Document:

exhibitno102ablamendment

                                                               Execution Version             AMENDMENT NO. 5 TO THE REVOLVING CREDIT AGREEMENT         AMENDMENT NO. 5 TO THE REVOLVING CREDIT AGREEMENT, dated as of   March 2,  2020 (this “Amendment”), by and among VERTIV INTERMEDIATE HOLDING II CORPORATION  (formerly  known  as  CORTES  NP  INTERMEDIATE  HOLDING  II  CORPORATION)  (“Holdings”),  VERTIV GROUP CORPORATION (formerly known as CORTES NP ACQUISITION CORPORATION)  (the “Lead Borrower”), the other Borrowers, the other Credit Parties, JPMORGAN CHASE BANK, N.A.,  as  Administrative  Agent  (in  such  capacity,  the  “Administrative  Agent”),  the  Collateral  Agents,  each  Lender, each Issuing Bank, JPMORGAN CHASE BANK, N.A., as the Swingline Lender (in such capacity,  the “Swingline Lender”), and each of the Replacement Lenders (as defined below) (in their capacity as  such) (solely with respect to Section 2 hereof);          WHEREAS, reference is hereby made to the Revolving Credit Agreement, dated as of November  30, 2016 (as amended by Amendment No. 1 to Revolving Credit Agreement, dated as of September 28,  2018 (“Amendment No. 1”), Amendment No. 2 to the Revolving Credit Agreement, dated as of October  19,  2018  (“Amendment  No.  2”),  Amendment  No.  3  to  the  Revolving  Credit  Agreement,  dated  as  of  February 15, 2019 (“Amendment No. 3”) and Amendment No. 4 to the Revolving Credit Agreement, dated  as  of  January  14,  2020  (“Amendment  No.  4”),  and  as  further  amended,  amended  and  restated,  supplemented or otherwise modified from time to time in accordance with the terms thereof prior to the  date  hereof,  the  “Credit  Agreement”;  the  Credit  Agreement  as  amended  by  this  Amendment,  the  “Amended Credit Agreement”), among Holdings, the Lead Borrower, the other Borrowers from time to  time party thereto, the Administrative Agent, the Collateral Agents, each Lender from time to time party  thereto and each other Person from time to time party thereto;         WHEREAS, pursuant to Sections 3.04 and 13.12(b) of the Credit Agreement, Lenders who do not  consent  to  amendments  requiring greater  than a  Required  Lender  vote  can  be  compelled  by  the  Lead  Borrower  to  assign  its  Commitments  and  outstanding  Loans  to  one  or  more  Eligible  Assignees  if  the  Required Lenders have otherwise agreed to such amendments;         WHEREAS, immediately prior to the Amendment No. 5 Effective Date (as defined below), certain  Replacement Lenders party hereto, pursuant to Sections 3.04 and 13.12(b) of the Credit Agreement, shall  acquire all of the Commitments (the “Replaced Lender Commitments”) and any outstanding Loans (the  “Replaced Lender Loans”) of the Replaced Lenders (as defined below) under the Credit Agreement at such  time and, following the satisfaction of the requirements set forth in Section 2 hereof, (x) the Replacement  Lenders shall each become a Lender under the Credit Agreement, in each case, with respect to the Replaced  Lender Commitments and any Replaced  Lender  Loans,  and  (y) each Replaced  Lender shall  cease  to  constitute a Lender under the Credit Agreement;         WHEREAS, pursuant to Section 13.12 of the Credit Agreement and except as otherwise expressly  set forth therein, the Credit Agreement or any other Credit Document may be amended in a writing signed  by the Credit Parties party thereto, the Administrative Agent and the Required Lenders (or, with respect to  certain amendments, each Lender and each Issuing Bank);          WHEREAS,  the  Credit  Parties  party  hereto,  the  Administrative  Agent,  each  of  the Lenders  (immediately after giving effect to the Pre-Amendment Replacements (as defined below)) and each of the  Issuing Banks have indicated their willingness, pursuant to Section 13.12 of the Credit Agreement, to (x)  extend the Maturity Date under the Credit Agreement and (y) amend certain other terms of the Credit  Agreement, in each case as set forth in Section 3 of this Amendment;                                             

 

        WHEREAS, this Amendment will become effective on the Amendment No. 5 Effective Date on  the terms and subject to the conditions set forth herein; and         WHEREAS, JPMorgan Chase Bank, N.A. (or any of its affiliates as so designated by it to act in  such capacity), Bank of America, N.A., Wells Fargo Bank, National Association, PNC Capital Markets  LLC, ING Capital LLC, Citibank, N.A. and Goldman Sachs Lending Partners LLC have been appointed  and will act as the joint arrangers and bookrunners for this Amendment (in such capacity, the “Arrangers”)  and  Deutsche  Bank  Securities  Inc.  has  been  appointed  and  will  act  as  documentation  agent  for  this  Amendment.         NOW, THEREFORE, in consideration of the premises contained herein and for other good and  valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto,  intending to be legally bound hereby, agree as follows:         Section 1.  Defined Terms; References.  Unless otherwise specifically defined herein, each  term used herein which is defined in the Credit Agreement has the meaning assigned to such term in the  Credit Agreement.  Each reference to “hereof”, “hereunder”, “herein” and “hereby” and each other similar  reference and each reference to “this Agreement” and each other similar reference contained in the Credit  Agreement  shall,  after  this  Amendment  becomes  effective,  refer  to  the  Credit  Agreement  as  amended  hereby.  This amendment is a “Credit Document” as defined under the Credit Agreement.         Section 2.  Replacement of Certain Existing Lenders.          (a)   Immediately prior to giving effect to this Amendment on the Amendment No. 5 Effective  Date, the Lead Borrower shall, pursuant to Section 3.04 and Section 13.12(b) of the Credit Agreement,  replace Credit Suisse AG, Cayman Islands Branch, HSBC Bank USA, N.A. and Morgan Stanley Senior  Funding,  Inc. (collectively,  the  “Replaced  Lenders”  and  each  a  “Replaced  Lender”),  each  an  existing  Lender  under  the  Credit  Agreement that  has  declined  to  consent  to  the  amendments  set  forth  in  this  Amendment, with  the Lenders party  hereto  (in  such capacity,  the  “Replacement  Lenders”  and  each  a  “Replacement Lender”) (the “Pre-Amendment Replacements”); provided that at the time of such Pre- Amendment Replacements:               (i)   each of the  Replacement Lenders, the Administrative  Agent and the Swingline        Lender shall  execute  this  Amendment (and hereby  agrees by  its  execution  hereof,  that (v)  the        Swingline  Lender  consents  to  each  assignment  of  Commitments with  respect  to  the  U.S.        Subfacility, (w)  each  Replacement  Lender does  not  constitute a  Defaulting  Lender, (x) each        Replacement  Lender constitutes an  Eligible  Transferee  under  the  Credit  Agreement and  is        reasonably acceptable to the Administrative Agent, (y) as of the date hereof, each Replacement        Lender complies with each of the applicable representations and warranties and the other provisions        set forth in the Standard Terms and Conditions for Assignment and Assumption as set forth on        Exhibit K of the Credit Agreement, and (z) the provisions of this Section 2, together with such        other provisions of this Amendment that expressly refer to this Section 2, shall constitute the form        of Assignment and Assumption relating to such Pre-Amendment Replacements as required under        Sections 3.04 and 13.04 of the Credit Agreement, and such form is, solely for the purpose of the        Pre-Amendment Replacements, acceptable to the Administrative Agent and the Lead Borrower);        and               (ii)  the Lead Borrower (or the Administrative Agent, on its behalf) shall pay to (x)        the Lenders (including the Replaced Lenders and the Replacement Lenders) an amount equal to        (1) all accrued, but theretofore unpaid, interest on all outstanding Loans under the Credit        Agreement, and (2) all accrued, but theretofore unpaid, Fees with respect to such Loans owed to                                        -2- 

 

        the Lenders pursuant to Section 2.05 of the Credit Agreement, and (y) to each Replaced Lender        the principal amount of its pro rata share of all of the Replaced Lender Loans outstanding (if any)        under the Credit Agreement immediately prior to the Amendment No. 5 Effective Date that are        held by such Replaced Lender.         (b)   Following the consummation of the requirements in clauses (a)(i) and (a)(ii) above:                (i)   the Administrative  Agent  is  deemed  to  have executed Section  2 of  this        Amendment,  such Section  2 constituting  the  Assignment  and  Assumption  relating  to  the  Pre-       Amendment Replacements, on behalf of each Replaced Lender;               (ii)  each (x) Replacement Lender shall be a Lender under, and be a party to, the Credit        Agreement (without limiting any such Replacement Lender’s existing obligations thereunder) and        shall have the rights and obligations of a Lender under the Credit Agreement, and (y) Replaced        Lender shall cease to constitute a Lender under the Credit Agreement and be released from its        obligations under the Credit Agreement, except with respect to indemnification provisions under        the Credit Agreement (including, without limitation, Sections 3.01, 3.02, 5.01, 12.07 and 13.01 of        the Credit Agreement), which shall survive as to such Replaced Lender with respect to actions or        occurrences prior to it ceasing to be a Lender under the Credit Agreement; and                (iii) after giving effect to all of the Pre-Amendment Replacements, (x) the Replaced        Lender Commitments and any Replaced Lender Loans shall be assigned and assumed by the        Replacement Lenders in an aggregate amount equal its pro rata portion of the applicable Replaced        Lender Commitments, and (y) each of the Lenders under the Credit Agreement shall have the        applicable Commitments under the Credit Agreement as set forth opposite such Lender’s name        on Schedule 1 attached hereto (and such Schedule 1 shall, for the avoidance of doubt, (i) reflects        each Replacement Lender’s portion of the Replaced Lender Commitments, and (ii) supersedes        any prior, contemporaneous or subsequent oral agreements between any Replaced Lender and        Replacement Lender as to the Pre-Amendment Replacements).         Section 3.  Amendments to the Credit Agreement. Immediately after giving effect to the Pre- Amendment Replacements and effective as of the Amendment No. 5 Effective Date, the Credit Parties,  the Administrative Agent, each of the Lenders (immediately after giving effect to the Pre-Amendment  Replacements), each of the Issuing Banks and the Swingline Lender hereby agree to each of the following  amendments:          (a)   The Credit Agreement (excluding all schedules and exhibits thereto) is, effective as of the  Amendment No. 5 Effective Date, hereby amended to delete the stricken text (indicated textually in the  same manner as the following example:) and to add the double-underlined text (indicated textually in the  same  manner  as  the  following  example:)  as  set  forth  in  the  pages  of  the  Amended  Credit  Agreement  attached as Exhibit A hereto.  As used in the Amended Credit Agreement, the terms “Agreement”, “this  Agreement”,  “herein”,  “hereinafter”,  “hereto”,  “hereof”,  and  words  of  similar  import  shall,  unless  the  context otherwise requires, mean, from and after the replacement of the terms of the Credit Agreement by  the terms of the Amended Credit Agreement, the Amended Credit Agreement.         (b)   (x)  Schedules  1.01(A),  1.01(B), 8.12,  8.14, 8.19, 9.17,  10.01(iii),  10.04,  10.05(iii),  10.06(viii) and 13.03 attached as Exhibit B to this Amendment hereby replace the corresponding existing  Schedules to the Credit Agreement, and (y) Schedule 2.01 to the Credit Agreement is hereby replaced in its  entirety with Schedule 1 attached hereto (and, in each case, for the avoidance of doubt, all other exhibits  and schedules to the Credit Agreement shall remain in full force and effect).                                         -3- 

 

        Section 4.  Representations and Warranties; No Default. By its execution of this Amendment,  each Credit Party party hereto hereby represents and warrants, as of the date hereof, that:         (a)   Each  Credit  Party  that  is  party  hereto  has  the  corporate, partnership,  limited  liability  company or unlimited liability company power and authority, as the case may be, to execute, deliver and  perform the terms and provisions of this Amendment (and by extension the Amended Credit Agreement)  and has taken all necessary corporate, partnership, limited liability company or unlimited liability company  action, as the case may be, to authorize the execution, delivery and performance by it of this Amendment  by each Credit Party that is a party hereto. Each Credit Party that is a party hereto has duly executed and  delivered  this  Amendment,  and  this  Amendment  constitutes  a  legal,  valid  and  binding  obligation  enforceable in accordance with its terms, except to the extent that the enforceability thereof may be limited  by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws generally affecting  creditors’ rights and by equitable principles (regardless of whether enforcement is sought in equity or at  law);         (b)   Neither the execution, delivery or performance by any Credit Party party hereto of this  Amendment, nor compliance by it with the terms and provisions hereof (i) will contravene any provision  of any law, statute, rule or regulation or any order, writ, injunction or decree of any court or governmental  instrumentality, (ii) will conflict with or result in any breach of any of the terms, covenants, conditions or  provisions of, or constitute a default under, or result in the creation or imposition of (or the obligation to  create or impose) any Lien (except for Permitted Liens) upon any of the property or assets of any Credit  Party party hereto pursuant to the terms of, any indenture, mortgage, deed of trust, credit agreement or loan  agreement, or any other material agreement, contract or instrument, in each case to which any Credit Party  party hereto is a party or by which it or any of its property or assets is bound or to which it may be subject  (except, in the case of the preceding clauses (i) and (ii), in the case of any contravention, breach, default,  creation, imposition and/or conflict, that would not reasonably be expected, either individually or in the  aggregate, to have a Material Adverse Effect) or (iii) will violate any provision of the certificate or articles  of incorporation, certificate of formation, limited liability company agreement or by-laws (or equivalent  organizational documents), as applicable, of any Credit Party party hereto;         (c)   Except  to  the  extent  the  failure  to  obtain  or  make  the  same  would  not  reasonably  be  expected to have a Material Adverse Effect, no order, consent, approval, license, authorization or validation  of, or filing, recording or registration with (except for (x) those that have otherwise been obtained or made  on  or  prior  to the  Amendment  No.  5  Effective  Date  and  which  remain  in full  force  and  effect  on  the  Amendment No. 5 Effective Date and (y) filings or registrations which are necessary to perfect, or required  under  applicable  law  with  respect  to,  the  security  interests  created  under  the  Security  Documents),  or  exemption by, any governmental or public body or authority, or any subdivision thereof, is required to be  obtained or made by, or on behalf of, any Credit Party party hereto to authorize, or is required to be obtained  or made by, or on behalf of, any Credit Party party hereto in connection with, the execution, delivery and  performance of this Amendment; and         (d)   At the time of and immediately after giving effect to this Amendment, no Default or Event  of Default shall have occurred and be continuing.         Section 5.  Effectiveness.  This Amendment shall become effective as of the date hereof and  immediately after giving effect to the Pre-Amendment Replacements (the “Amendment No. 5 Effective  Date”), subject to the satisfaction (or waiver by the Lenders) of the following conditions:         (a)   Counterparts of this Amendment shall have been executed and delivered (by electronic  transmission  or  otherwise)  to  the  Administrative  Agent  by  Holdings,  the  Lead  Borrower,  the  other  Borrowers, the other Credit Parties, the Administrative Agent, the Collateral Agents, each of the Lenders                                        -4- 

 

  (immediately after giving effect to the Pre-Amendment Replacements), each of the Issuing Banks and the  Swingline Lender, and, solely with respect to Section 2 hereof, the Replacement Lenders (in their capacity  as such);          (b)    The Administrative  Agent  shall  have  received  customary  secretary’s or  director’s  certificates for each Credit Party (together with applicable attachments), in each case, substantially similar  to the secretary’s or director’s certificates (amended as necessary to reflect the transactions contemplated  hereby) for such Credit Party that was delivered on the Amendment No. 3 Effective Date, or otherwise in  form and substance reasonably satisfactory to the Administrative Agent;         (c)   The Administrative Agent shall have received (i) German account pledge agreements, duly  authorized, executed and delivered by Great River Finance Designated Activity Company, Vertiv GmbH  (formerly known as Emerson  Network Power GmbH) and Vertiv Integrated  Systems  GmbH (formerly  known as Knürr GmbH), and, in each case, the German Collateral Agent, creating junior ranking security  interests over certain assets of such Credit Parties covered in the German Account Pledge Agreements, (ii)  a Hong Kong confirmation agreement to the Initial Hong Kong Security Agreement, executed by the Hong  Kong Credit Parties and the Asian Collateral Agent, (iii) a supplement to the Initial Singapore Security  Agreement (as supplemented by the supplemental Singapore security agreement dated as of February 15,  2019), executed by the Singapore Guarantors and the Asian Collateral Agent, and (iv) an Irish deed of  confirmation to the Initial Irish Security Agreement, executed by the Irish Credit Parties and the European  Collateral Agent, in each case, dated the Amendment No. 5 Effective Date and in form and substance  reasonably satisfactory to the Administrative Agent;         (d)   The Administrative  Agent shall have  received from (i) Willkie Farr & Gallagher LLP,  special counsel to the U.S. Credit Parties, (ii) Morgan, Lewis & Bockius LLP, California counsel to the  U.S. Credit Parties formed or organized under the laws of the State of California, (iii) Taft Stettinius &  Hollister LLP, Ohio counsel to the U.S. Credit Parties formed or organized under the laws of the State of  Ohio, (iv) Stewart McKelvey, Nova Scotia counsel to the Canadian Credit Party, (v) Mayer Brown, Hong  Kong  counsel  to  the  Administrative  Agent,  (vi)  King  &  Wood  Mallesons,  Australian  counsel to  the  Administrative Agent, (vii) Mayer Brown International LLP, English counsel to the Administrative Agent,  (viii)  Willkie  Farr  &  Gallagher  LLP,  French  counsel  to  the  Credit  Parties, (ix) Mayer  Brown,  French  counsel to the Administrative Agent, (x) Mayer Brown LLP, German counsel to the Administrative Agent,  (xi) Willkie  Farr  &  Gallagher  LLP,  German  counsel to the  Credit  Parties,  (xii) A&L  Goodbody,  Irish  counsel to the Administrative Agent, (xiii) Allen & Gledhill LLP, Singapore counsel to the Administrative  Agent, and (xiv) Morgan Lewis Stamford LLC, Singapore counsel to the Credit Parties, opinions addressed  to the Administrative Agent and each of the Lenders and dated the Amendment No. 5 Effective Date, in  each  case, substantially  similar  to  the  opinions  (amended  as  necessary  to  reflect  the  transactions  contemplated hereby) for such Credit Party that were delivered on the Amendment No. 3 Effective Date,  or otherwise in form and substance reasonably satisfactory to the Administrative Agent;         (e)   The Administrative Agent shall have received an executed Perfection Certificate, dated as  of  the  Amendment  No.  5  Effective  Date,  and  in  form  and  substance  reasonably  satisfactory  to  the  Administrative Agent;         (f)   Each of the representations and warranties made by any Credit Party party hereto as set  forth in Section 4 of this Amendment, Section 8 of the Credit Agreement or in any other Credit Document  are true and correct in all material respects (without duplication of any materiality standard set forth in any  such representation or warranty) on and as of the Amendment No. 5 Effective Date with the same effect as  though made on and as of such date, except to the extent such representations and warranties expressly  relate to an earlier date, in which case such representations and warranties were true and correct in all                                         -5- 

 

  material  respects  as  of  such  date  (without  duplication  of  any  materiality  standard  set  in  any  such  representation or warranty);         (g)   No Event of Default has occurred and is continuing;          (h)   The  Administrative  Agent  shall  have  received  on  or  prior  to  the  Amendment  No.  5  Effective Date,  (i) for the account of the Arrangers, all fees required to be paid, and all expenses required  to  be  paid or reimbursed, pursuant  to  the  Engagement  Letter,  dated  as  of  January  31,  2020  (the  “Engagement Letter”), by and between the Lead Borrower and JPMorgan Chase Bank, N.A., and (ii) for  the account of the Administrative Agent and the Arrangers, all reasonable out-of-pocket fees and expenses  of the Administrative Agent and the Arrangers (limited, in the case of legal expenses, to the reasonable out- of-pocket fees  and disbursements of  one  primary  U.S.  counsel to  the  Administrative  Agent  and,  if  reasonably necessary, one local counsel in any relevant jurisdiction (which may include a single firm of  counsel acting in multiple jurisdictions)) in connection with the preparation, execution and delivery of this  Amendment and the other Credit Documents entered into in connection herewith, in each case, to the extent  invoiced at least three (3) Business Days’ prior to the date hereof;          (i)   The  Administrative  Agent shall have  received  (i) in respect of each  U.S. Credit Party,  certified copies of a recent date of requests for information or copies (Form UCC-1) listing all effective  financing statements that name Holdings, the Lead Borrower or any other U.S. Credit Party as debtor and  that are filed in the UCC as may be reasonably necessary to perfect the security interests purported to be  created by the  Security Documents, together with copies of such other financing statements  that name  Holdings, the Lead Borrower or any other U.S. Credit Party as debtor (none of which shall cover any of the  Collateral except to the extent evidencing Permitted Liens), (ii) in respect of each U.S. Credit Party, reports  as of a recent date listing all effective tax and judgment liens with respect to Holdings, the Lead Borrower  or any other U.S. Credit Party in the United States, and (iii) in respect of the Canadian Credit Party, PPSA  certificates or equivalent Lien searches as of a recent date, listing all effective financing statements that  name the Canadian Credit Party as debtor and that are filed in each jurisdiction as necessary to perfect the  security interests purported to be created by the Canadian Security Documents, together with copies of such  other financing statements that name the Canadian Credit Party as debtor (none of which shall cover any of  the Collateral except to the extent evidencing Permitted Liens);          (j)     (i) Each Lender shall have received all documentation and other information required by  bank regulatory authorities under applicable “know your customer” and anti-money laundering rules and  regulations,  including  the  USA  PATRIOT Act  and  the  AML  Legislation,  in  each  case,  to  the  extent  reasonably  requested  by  such  Person  in  writing  at  least  ten  (10)  days  prior  to  the  Amendment  No.  5  Effective Date, and (ii) to the extent the Lead Borrower qualifies as a “legal entity customer” under 31  C.F.R. § 1010.230 (the “Beneficial Ownership Regulation”), any Lender that has requested, in a written  notice  to  the  Lead  Borrower  at  least  ten  (10)  days  prior  to  the  Amendment  No.  5  Effective  Date,  a  certification  regarding  beneficial  ownership  as  required  by  the  Beneficial  Ownership  Regulation  (a  “Beneficial  Ownership  Certification”)  shall  have  received  such  Beneficial  Ownership  Certification  (provided that, upon the execution and delivery by such Lender of its signature page to this Agreement, the  condition set forth in this clause (ii) shall be deemed to be satisfied);          (k)   On or prior to the Amendment No. 5 Effective Date, the Administrative Agent shall have  received (and agrees not to provide to Public-Siders) the annual forecast for the Lead Borrower and its  Subsidiaries on a consolidated basis (including projected statements of income, sources and uses of cash  and balance sheets for the Lead Borrower and its Subsidiaries on a consolidated basis), in accordance with  Section 9.01(d) of the Amended Credit Agreement; and                                          -6- 

 

        (l)   The New Term Loan Credit Agreement (as defined in the Amended Credit Agreement)  shall be (or concurrent with the effectiveness of this Amendment, will be) in full force and effect.          Section 6.  Fees Generally.  All fees payable hereunder, including, without limitation, the fees  payable  under  the  Engagement  Letter,  shall  be  in  all  respects  fully  earned,  due  and  payable  on  the  Amendment No. 5 Effective Date and non-refundable and non-creditable thereafter.         Section 7.  Acknowledgments and Confirmations; Liens Unimpaired.         (a)   Each  Credit  Party  party  hereto  hereby  expressly  acknowledges  the  terms  of  this  Amendment (and, for the avoidance of doubt, ratifies the terms of Amendment No. 1, Amendment No. 2,  Amendment  No.  3  and  Amendment  No.  4)  and  reaffirms,  as  of  the  date  hereof,  (i)  the  covenants  and  agreements contained in each Credit Document to which it is a party (and each joinder to which it is a party  to any Credit Documents), including, in each case, such covenants and agreements as in effect immediately  after  giving  effect  to  this Amendment and  the  transactions  contemplated  hereby,  (ii)  subject  to  any  limitations set forth in the Guaranty Agreement, its guarantee of the Obligations, and (iii) its prior grant of  Liens on the Collateral to secure the Obligations owed or otherwise guaranteed by it pursuant to the Security  Documents with all such Liens continuing in full force and effect after giving effect to this Amendment.           (b)   Notwithstanding the above, each of the Credit Parties (other than the French Credit Parties)  party hereto consents to the amendments of the Credit Agreement effected by this Amendment and confirms  that (i) its obligations as a Guarantor under the Guaranty Agreement to which it is a party are not discharged  or  otherwise  affected  by  those  amendments  or the  other  provisions  of  this  Amendment  (and  for  the  avoidance of doubt Amendment No. 1, Amendment No. 2, Amendment No. 3 and Amendment No. 4) and  shall accordingly, subject to any limitations set forth in the Guaranty Agreement, continue in full force and  effect, (ii) its obligations under, and the Liens granted by it in and pursuant to, the Security Documents to  which it is a party are not discharged or otherwise affected by those amendments or the other provisions of  this Amendment (and for the avoidance of doubt Amendment No. 1, Amendment No. 2, Amendment No.  3 and Amendment No. 4 and any increases to the Commitments effected thereunder) and shall accordingly  remain in full force and effect, (iii) the Obligations so guaranteed and secured shall, after the Amendment  No. 5 Effective Date and subject to any limitations set forth in the Guaranty Agreement, extend to the  Obligations under the Credit Documents (including under the Credit Agreement as amended pursuant to  this Amendment).         (c)   Each French Credit Party hereby confirms to the other Parties that, upon and following the  execution and performance by it of this Amendment, (i) all of its payment and performance obligations,  contingent  or  otherwise,  under  each  of  the  Credit  Documents (including,  for  the  avoidance  of  doubt,  Amendment No. 1, Amendment No. 2, Amendment No. 3 and Amendment No. 4) to which it is a party  shall remain in full force and effect, (ii) the security created or purported to be created by it under each  French Security Document to which it is party shall remain in full force and effect and shall continue to  secure the “Secured Obligations” as such term is defined in each of the French Security Documents and  (iii) the term “Credit Agreement” as used in each French Security Document to which it is party shall be a  reference to the Amended Credit Agreement and as further amended, restated, supplemental and modified  from time to time, and notably by this Amendment.          (d)   After giving effect to this Amendment, neither the modification of the Credit Agreement  effected pursuant to this Amendment nor the execution, delivery, performance or effectiveness of this  Amendment:               (i)   impairs the validity, effectiveness or priority of the Liens granted pursuant to any        Credit Document, and such Liens continue unimpaired with the same priority applicable to such                                        -7- 

 

        Liens immediately prior to giving effect to this Amendment to secure repayment of all        Obligations, whether heretofore or hereafter incurred; or               (ii)  requires that any new filings required to be made under any Credit Document be        made or other action required to be taken under any Credit Document be taken to perfect or to        maintain the perfection of such Liens, except for such filings and other actions as have otherwise        been made or taken on or prior to the Amendment No. 5 Effective Date and which remain in full        force and effect on the Amendment No. 5 Effective Date.          Section 8.  Amendment,  Modification  and  Waiver.  After the  effectiveness  hereof,  this  Amendment may not be amended, modified or waived except in accordance with Section 13.12 of the  Amended Credit Agreement.         Section 9.  Entire Agreement.  This Amendment, the Credit Agreement and the other Credit  Documents constitute the entire agreement among the parties hereto with respect to the subject matter  hereof and thereof and supersede all other prior agreements and understandings, both written and verbal,  among the parties hereto with respect to the subject matter hereof.  Except as expressly set forth herein,  this Amendment (a) shall not by implication or otherwise limit, impair, constitute a waiver of, or  otherwise affect the rights and remedies of any party under, the Credit Agreement or any other Credit  Document and (b) shall not alter, modify, amend or in any way affect any of the terms, conditions,  obligations, covenants or agreements contained in the Credit Agreement or any other provision of either  such agreement or any other Credit Document or be construed as a novation thereof, or serve to effect a  novation of the obligations outstanding under the Credit Agreement or instruments guaranteeing or  securing the same, which shall remain and continue in full force and effect.          Section 10. GOVERNING LAW.           (a)   THIS AMENDMENT (OTHER THAN SECTION 7(c) OF THIS AMENDMENT) AND  THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY,  AND CONSTRUED  IN  ACCORDANCE  WITH,  THE  LAWS  OF  THE  STATE  OF  NEW  YORK.   SECTION  13.08 OF  THE  CREDIT  AGREEMENT  IS  HEREBY  INCORPORATED  MUTATIS  MUTANDIS AND SHALL APPLY HERETO.         (b)   SECTION 7(c) OF THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF  THE RELEVANT PARTIES HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED AND  INTERPRETED IN ACCORDANCE WITH, THE LAWS OF FRANCE.         Section 11. Severability.  If any provision of this Amendment is held to be illegal, invalid or  unenforceable, the legality, validity and enforceability of the remaining provisions of this Amendment shall  not be affected or impaired thereby.  The invalidity of a provision in a particular jurisdiction shall not  invalidate or render unenforceable such provision in any other jurisdiction.         Section 12. Counterparts.  This Amendment may be signed in any number of counterparts,  each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon  the same  instrument.  Delivery by facsimile or other electronic  means of an executed counterpart of a  signature page to this Amendment shall be effective as delivery of an original executed counterpart of this  Amendment.         Section 13. Headings.  The headings of this Amendment are for purposes of reference only  and shall not limit or otherwise affect the meaning hereof.                                         -8- 

 

        Section 14. Post-Closing Actions. Notwithstanding anything to the contrary contained in  this Amendment or the Credit Agreement or the other Credit Documents, the parties hereto acknowledge  and agree that the Lead Borrower agrees that it will, or will cause its relevant Subsidiaries to, complete  each of the actions described in Schedule 2 attached hereto reasonably promptly following the  Amendment No. 5 Effective Date, and in any event within the time periods set forth in Schedule 2.                          [Remainder of Page Intentionally Left Blank]                                         -9- 

 

        IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed  by their respective authorized signatories as of the day and year first above written.                                       VERTIV INTERMEDIATE HOLDING II CORPORATION, as                                      Holdings                                       By:                                                                                 Name:                                           Title:                                        VERTIV GROUP CORPORATION,                                      as Lead Borrower                                        By:                                                                                 Name:                                           Title:                                        CHARLOTTE PROPERTIES LLC                                      DESARROLLADORA LINA, LLC                                      ELECTRICAL RELIABILITY SERVICES, INC.                                      ENERGY LABS, INC.                                      HIGH VOLTAGE MAINTENANCE CORPORATION                                      LIEBERT FIELD SERVICES, INC.                                      VERTIV CORPORATION                                      VERTIV IT SYSTEMS, INC.                                      as U.S. Borrowers                                       By:                                                                                 Name:                                           Title:                                           [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

                                        VERTIV CANADA ULC,                           as Canadian Borrower                            By:                                                                      Name:                                  Title:                             VERTIV INFRASTRUCTURE LIMITED,                           as an English Guarantor                            By:                                                                      Name:                               Title:                            VERTIV INDUSTRIAL SYSTEMS SAS                           VERTIV FRANCE,                           as French Borrowers                            By:                                                                      Name:                                Title:                             VERTIV GMBH,                           as German Borrower                            By:                                                                      Name:                                Title:                             VERTIV INTEGRATED SYSTEMS GMBH,                           as German Guarantor                            By:                                                                      Name:                                 Title:                           [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

  SIGNED and DELIVERED as a DEED   for and on behalf of GREAT RIVER FINANCE    DESIGNATED ACTIVITY COMPANY   by _______________________     its lawfully appointed attorney                                                                      ___________________________                                                                      Attorney    in the presence of     Witness:   Name:   Address:   Occupation:                  [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

  SIGNED and DELIVERED as a DEED   for and on behalf of VERTIV IRELAND LIMITED   by _______________________     its lawfully appointed attorney                                                                      ___________________________                                                                      Attorney    in the presence of     Witness:   Name:   Address:   Occupation:                  [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

  SIGNED and DELIVERED as a DEED   for and on behalf of VERTIV INTERNATIONAL    DESIGNATED ACTIVITY COMPANY   by _______________________     its lawfully appointed attorney                                                                      ___________________________                                                                      Attorney    in the presence of     Witness:   Name:   Address:   Occupation:                                                          [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

  VERTIV (HONG KONG) HOLDINGS LIMITED (formerly known as GREAT RIVER HONG  KONG) HOLDING LIMITED), as a Hong Kong Borrower      EXECUTED as a deed by                    )     VERTIV (HONG KONG) HOLDINGS              )   _______________________  LIMITED                                  )  acting by two directors                  )    Print name:                                           )    Director                                           )                                              )   _______________________                                           )   Print name:                                               Director                                                                                                          ATLAS ASIA LIMITED, as a Hong Kong Borrower      EXECUTED as a deed by                    )     ATLAS ASIA LIMITED                       )   _______________________  acting by two directors                  )    Print name:                                           )    Director                                           )                                              )   _______________________                                           )   Print name:                                               Director                                                                                                                                                    VERTIV (HONG KONG) LIMITED (formerly known as EMERSON NETWORK POWER (HONG  KONG) LIMITED), as a Hong Kong Borrower      EXECUTED as a deed by                    )     VERTIV (HONG KONG) LIMITED               )   _______________________  acting by two directors                  )    Print name:                                           )    Director                                           )                                              )   _______________________                                           )   Print name:                                               Director                                                                                        [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

                                      VERTIV (SINGAPORE) PTE. LTD.                                       as a Singapore Guarantor                                       By:                                                                                 Name:                                          Title:                                       AVOCENT ASIA PACIFIC PTE. LTD.,                                      as a Singapore Guarantor                                       By:                                                                                 Name:                                          Title:                                             VERTIV (AUSTRALIA) PTY. LTD.., as an Australian Guarantor    EXECUTED by VERTIV (AUSTRALIA)       )      PTY. LTD. (ACN 003 469 654)  in      )      accordance with section 127(1) of the )     Corporations Act 2001 (Cth) by authority of )   its directors:                       )                                           )                                           )     ...............................................................    ..............................................................  ) Signature of director/company secretary*  Signature of director                )    *delete whichever is not applicable                                       )                                           )     ...............................................................    ..............................................................  ) Name of director/company secretary* (block  Name of director (block letters)          letters)                                            *delete whichever is not applicable                                                      [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

                                        JPMORGAN CHASE BANK, N.A., as Administrative Agent,                           U.S. Collateral Agent, Asian Collateral Agent, Australian                           Collateral Agent, European Collateral Agent, and German                           Collateral Agent                                                                                  By:                                                                     Name:                                Title:                                                        JPMORGAN CHASE BANK, N.A., as a Lender, Swingline                              Lender, and Issuing Bank                                                                                         By:                                                                     Name:                                Title:                                                            J.P. MORGAN EUROPE LIMITED, as French Collateral Agent                                                                                   By:                                                                     Name:                                Title:                                                          SOLELY WITH RESPECT TO SECTION 2 OF THIS                           AMENDMENT:                            JPMORGAN CHASE BANK, N.A., as a Replacement Lender                                                                                  By:                                                                        Name:                             Title:                                  [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

                                         [ISSUING BANK], as an Issuing Bank                                                                                         By:                                                                     Name:                                Title:                                                          [LENDER], as a Lender                                                                                         By:                                                                     Name:                                Title:                                                          SOLELY WITH RESPECT TO SECTION 2 OF THIS                           AMENDMENT:                            [LENDER], as a Replacement Lender                                                                                        By:                                                                     Name:                                Title:                                                 [Signature Page to Amendment No. 5 to the Revolving Credit Agreement] 

 

                                                                           SCHEDULE 1                                                                    TO AMENDMENT                                      SCHEDULE 2.01                                       Commitments                                                                       Canadian         European                                          U.S. Revolving    Revolving        Revolving  Lenders                                 Commitments     Commitments      Commitments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              JPMorgan Chase Bank, N.A.             $   39,781,250.00  $  2,375,000.00  $ 2,375,000.00   Bank of America, N.A.                 $   39,781,250.00  $        0.00 $    2,375,000.00   Bank of America, N.A., acting through its                                Canada Branch                         $           0.00  $   2,375,000.00  $        0.00  Wells Fargo Bank, National Association $  58,625,000.00                $           0.00  Wells Fargo Capital Finance Corporation Canada $  0.00 $    3,500,000.00  $        0.00  Wells Fargo Capital Finance (UK) Ltd. $           0.00 $          0.00 $    3,500,000.00   PNC Bank, National Association        $   33,500,000.00  $  2,000,000.00  $ 2,000,000.00   ING Capital LLC                       $   33,500,000.00  $  2,000,000.00  $ 2,000,000.00   Deutsche Bank AG New York Branch      $    8,375,000.00  $        0.00 $      500,000.00   Deutsche Bank AG, Canada Branch       $           0.00 $     500,000.00  $         0.00  Citibank, N.A.                        $   62,812,500.00  $  3,750,000.00  $ 3,750,000.00   Goldman Sachs Lending Partners LLC    $   46,062,500.00  $  2,750,000.00  $ 2,750,000.00   Bank of Montreal, Chicago Branch      $   11,725,000.00  $        0.00 $           0.00  Bank of Montreal, Toronto Branch      $           0.00 $     700,000.00  $         0.00  Bank of Montreal, London Branch       $           0.00 $          0.00 $      700,000.00   Barclays Bank PLC                     $     837,500.00  $     50,000.00  $     50,000.00                                                                             Total                                  $ 335,000,000.00   $ 20,000,000.00   $ 20,000,000.00                                                                                                                                  Asian Revolving French Revolving German Revolving  Lenders                                 Commitments     Commitments      Commitments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              JPMorgan Chase Bank, N.A.              $  17,500,000.00   $ 6,250,000.00  $ 3,750,000.00    Bank of America, N.A.                  $  17,500,000.00   $       0.00  $   3,750,000.00    Bank of America Merrill Lynch International  Limited                                $          0.00  $   6,250,000.00    $      0.00                                                                            Total                                  $  35,000,000.00   $ 12,500,000.00  $ 7,500,000.00                                                                      Schedule 1-1                                             

 

                                              U.S. FILO      Canadian FILO                                           Revolving        Revolving   Lenders                                 Commitments     Commitments                                                                                                                                                                                                                                                                                                                                                                                                JPMorgan Chase Bank, N.A.             $    2,731,250.00  $   237,500.00   Bank of America, N.A.                 $    2,731,250.00  $        0.00  Bank of America, N.A., acting through its                Canada Branch                         $           0.00 $     237,500.00  Wells Fargo Bank, National Association $   4,025,000.00  $        0.00  Wells Fargo Capital Finance Corporation Canada $  0.00 $     350,000.00  PNC Bank, National Association        $    2,300,000.00  $   200,000.00   ING Capital LLC                       $    2,300,000.00  $   200,000.00   Deutsche Bank AG New York Branch      $     575,000.00  $         0.00  Deutsche Bank AG, Canada Branch       $           0.00 $      50,000.00  Citibank, N.A.                        $    4,312,500.00  $   375,000.00   Goldman Sachs Lending Partners LLC    $    3,162,500.00  $   275,000.00   Bank of Montreal, Chicago Branch      $     805,000.00  $         0.00  Bank of Montreal, Toronto Branch      $           0.00 $      70,000.00  Barclays Bank PLC                     $      57,500.00  $      5,000.00                                                             Total                                  $  23,000,000.00   $ 2,000,000.00                                                                                                LC   Issuing Banks                           Commitments                                                                                                                                                                                                                                 JPMorgan Chase Bank, N.A.             $   50,000,000.00   Bank of America, N.A.                 $   50,000,000.00   Wells Fargo Bank, National Association $  25,000,000.00   PNC Bank, National Association        $   15,000,000.00   ING Capital LLC                       $   15,000,000.00   Citibank, N.A.                        $   45,000,000.00                                            Total                                  $ 200,000,000.00                                          Schedule 1-2                                             

 

                                                                               SCHEDULE 2                                                              TO AMENDMENT                            Post-Closing Date Actions   1. On or prior to the date that is thirty (30) days after the Amendment No. 5 Effective Date (with     respect to Pledged Collateral issued by any Domestic Subsidiary) or ninety (90) days after the     Amendment No. 5 Effective Date (with respect to Pledged Collateral issued by any Foreign     Subsidiary) (or, in each case, such later date to which the Term Agent may agree in its     discretion), the Lead Borrower shall deliver to the Term Agent, as bailee on behalf of the     Collateral Agent, pursuant to Section 5.4 of the Intercreditor Agreement, a stock certificate (or     equivalent) in respect of the below referenced Pledged Collateral, in each case, to the extent (i)     not delivered on the Amendment No. 5 Effective Date, accompanied by undated instruments of     transfer or assignment duly executed in blank, (ii) the equity in such Pledged Collateral is     certificated and (iii) not constituting Excluded Collateral:         a. Certificate(s) representing 100% of the equity interests of Energy Labs, Inc., pledged by           Vertiv Group Corporation; and         b. Certificate(s) representing approximately 65% of the equity interests of Vertiv (Taiwan)           CO., Ltd., pledged by Vertiv Corporation.         c. Certificate(s) representing approximately 65% of the equity interests of Vertiv           International Holdings Designated Activity Company, pledged by Vertiv IT Systems, Inc.         d. Certificate(s) representing approximately 65% of the equity interests of Avocent do           Brasil Informatica Limitada, pledged by Vertiv IT Systems, Inc.         e. Certificate(s) representing approximately 65% of the equity interests of Avocent China           Technology Limited, pledged by Vertiv IT Systems, Inc.         f. Certificate(s) representing approximately 65% of the equity interests of Tecnologias del           Pacifico, S.A. de C.V., pledged by Energy Labs, Inc.         g. Certificate(s) representing approximately 65% of the equity interests of Desarrolladora           Lina S. de R.L. de C.V., pledged by Desarrolladora Lina, LLC.                                                                                                                 Schedule 2                                       

 

                                                                       EXHIBIT A                                      TO AMENDMENT   [Amended Credit Agreement]                                                                       

 

                                                             EXHIBIT B                                           TO AMENDMENT   [Amended Schedules to Credit Agreement]exhibitno103revolvingcre

                                                                                                                CONFORMED THROUGH AMENDMENT NO. 5                                    REVOLVING CREDIT AGREEMENT                                                           among                                     VERTIV INTERMEDIATE HOLDING II CORPORATION,                          as Holdings,                                               VERTIV GROUP CORPORATION  and its Subsidiaries listed as Borrowers on the signature pages hereto,                         as Borrowers,                                                     VARIOUS LENDERS                                                JPMORGAN CHASE BANK, N.A.,                     as Administrative Agent                                                             and                                                   COLLATERAL AGENTS           _______________________________________                                                 Dated as of November 30, 2016,   as amended by Amendment No. 1, dated as of September 28, 2018,    as amended by Amendment No. 2, dated as of October 19, 2018,    as amended by Amendment No. 3, dated as of February 15, 2019,     as amended by Amendment No. 4, dated as of January 14, 2020,   and as further amended by Amendment No. 5, dated March 2, 2020                                               JPMORGAN CHASE BANK, N.A.,                   BANK OF AMERICA, N.A.,       WELLS FARGO BANK, NATIONAL ASSOCIATION,                 PNC CAPITAL MARKETS LLC,                       ING CAPITAL LLC,                      CITIBANK, N.A., and         GOLDMAN SACHS LENDING PARTNERS LLC,              as Joint Lead Arrangers and Bookrunners                                             DEUTSCHE BANK SECURITIES INC.,                     as Documentation Agent                                

 

                                                                                                                                          TABLE OF CONTENTS                                                                                                Page   ARTICLE 1      Definitions and Accounting Terms ................................................................................................... 1       Section 1.01   Defined Terms .......................................................................................................................... 1      Section 1.02   Terms Generally; Certain Interpretive Provisions and Classification and                      Reclassification .................................................................................................................... 83      Section 1.03   Exchange Rates; Currency Equivalent ................................................................................... 84      Section 1.04   Additional Alternative Currencies .......................................................................................... 85      Section 1.05   Limited Condition Transactions ............................................................................................. 85      Section 1.06   Interpretation (Quebec) .......................................................................................................... 86      Section 1.07   Code of Banking Practice (Australia) ..................................................................................... 87      Section 1.08   Interpretation  (Germany) ....................................................................................................... 87      Section 1.09   Divisions ................................................................................................................................. 87      Section 1.10   Treatment of Subsidiaries Prior to Joinder ............................................................................. 87      Section 1.11   Interest Rates; LIBOR Notification ........................................................................................ 87   ARTICLE 2      Amount and Terms of Credit .......................................................................................................... 88       Section 2.01   The Commitments .................................................................................................................. 88      Section 2.02   Loans ...................................................................................................................................... 89      Section 2.03   Borrowing Procedure.............................................................................................................. 91      Section 2.04   Evidence of Debt; Repayment of Loans ................................................................................. 92      Section 2.05   Fees......................................................................................................................................... 93      Section 2.06   Interest on Loans .................................................................................................................... 94      Section 2.07   Termination and Reduction of Commitments ........................................................................ 96      Section 2.08   Interest Elections .................................................................................................................... 97      Section 2.09   Optional and Mandatory Prepayments of Loans .................................................................... 98      Section 2.10   Payments Generally; Pro Rata Treatment; Sharing of Set-offs ............................................ 103      Section 2.11   Defaulting Lenders ............................................................................................................... 104      Section 2.12   Swingline Loans ................................................................................................................... 105      Section 2.13   Letters of Credit .................................................................................................................... 106      Section 2.14   Settlement Amongst Lenders................................................................................................ 111      Section 2.15   Revolving Commitment Increase ......................................................................................... 112      Section 2.16   Lead Borrower and Applicable Administrative Borrower .................................................... 114      Section 2.17   Overadvances ....................................................................................................................... 114      Section 2.18   Protective Advances ............................................................................................................. 115      Section 2.19   Extended Loans .................................................................................................................... 116   ARTICLE 3      Yield Protection, Illegality and Replacement of Lenders ............................................................. 118       Section 3.01   Increased Costs, Alternate Rate of Interest, Illegality, etc. ................................................... 118      Section 3.02   Compensation ....................................................................................................................... 120      Section 3.03   Change of Lending Office .................................................................................................... 120      Section 3.04   Replacement of Lenders ....................................................................................................... 120   ARTICLE 4      [Reserved] ..................................................................................................................................... 121   ARTICLE 5      Taxes ............................................................................................................................................. 121       Section 5.01   Net Payments ........................................................................................................................ 121      Section 5.02   Irish and German Tax Matters .............................................................................................. 124      Section 5.03   Non-Cooperative Jurisdiction ............................................................................................... 125                                                   -i- 

 

                                                                                                    ARTICLE 6A     Conditions Precedent to Credit Events on the Closing Date ......................................................... 125       Section 6A.01  Closing Date; Credit Documents; Notes............................................................................... 125      Section 6A.02  Officer’s Certificate .............................................................................................................. 125      Section 6A.03  Opinions of Counsel ............................................................................................................. 125      Section 6A.04  Corporate Documents; Proceedings, etc. .............................................................................. 125      Section 6A.05  Acquisition; Equity Financing; Refinancing ........................................................................ 126      Section 6A.06  [Reserved] ............................................................................................................................ 126      Section 6A.07  Intercreditor Agreement ....................................................................................................... 126      Section 6A.08  [Reserved] ............................................................................................................................ 126      Section 6A.09  Security Agreements ............................................................................................................ 127      Section 6A.10  Guaranty Agreement ............................................................................................................ 127      Section 6A.11  Financial Statements; Pro Forma Balance Sheets; Projections ............................................. 127      Section 6A.12  Solvency Certificate ............................................................................................................. 128      Section 6A.13  Fees, etc. ............................................................................................................................... 128      Section 6A.14  Representations and Warranties ........................................................................................... 128      Section 6A.15  Patriot Act............................................................................................................................. 128      Section 6A.16  Borrowing Notice ................................................................................................................. 128      Section 6A.17  [Reserved] ............................................................................................................................ 128      Section 6A.18  [Reserved] ............................................................................................................................ 128      Section 6A.19  Material Adverse Effect ....................................................................................................... 128      Section 6A.20  Inventory Appraisal/Borrowing Base Certificate ................................................................. 128   ARTICLE 6B     Conditions Precedent to Initial Credit Extension under Eurasian Subfacilities ............................ 128       Section 6B.01  Credit Documents ................................................................................................................. 129      Section 6B.02  [Reserved] ............................................................................................................................ 129      Section 6B.03  Opinions of Counsel ............................................................................................................. 129      Section 6B.04  Corporate Documents; Proceedings, etc. .............................................................................. 129      Section 6B.05  Reaffirmation by North American Credit Parties ................................................................. 130      Section 6B.06  [Reserved] ............................................................................................................................ 130      Section 6B.07  Security Documents.............................................................................................................. 130      Section 6B.08  Guaranty Agreement ............................................................................................................ 131      Section 6B.09  [Reserved] ............................................................................................................................ 131      Section 6B.10  [Reserved]. ........................................................................................................................... 131      Section 6B.11  Fees, etc. ............................................................................................................................... 131      Section 6B.12  [Reserved] ............................................................................................................................ 131      Section 6B.13  Patriot Act............................................................................................................................. 131      Section 6B.14  Borrowing Notice ................................................................................................................. 131      Section 6B.15  Representations and Warranties ........................................................................................... 131   ARTICLE 7      Conditions Precedent to All Credit Events ................................................................................... 131       Section 7.01   Notice of Borrowing ............................................................................................................. 131      Section 7.02   Availability ........................................................................................................................... 131      Section 7.03   No Default ............................................................................................................................ 132      Section 7.04   Representations and Warranties ........................................................................................... 132   ARTICLE 8      Representations, Warranties and Agreements ............................................................................... 132       Section 8.01   Organizational Status............................................................................................................ 132      Section 8.02   Power and Authority; Enforceability .................................................................................... 132      Section 8.03   No Violation ......................................................................................................................... 132      Section 8.04   Approvals ............................................................................................................................. 133      Section 8.05   Financial Statements; Financial Condition; Projections ....................................................... 133                                                   -ii- 

 

                                                                                                        Section 8.06   Litigation .............................................................................................................................. 133      Section 8.07   True and Complete Disclosure ............................................................................................. 133      Section 8.08   Use of Proceeds; Margin Regulations .................................................................................. 134      Section 8.09   Tax ........................................................................................................................................ 134      Section 8.10   ERISA and Pensions............................................................................................................. 135      Section 8.11   The Security Documents ...................................................................................................... 136      Section 8.12   Properties .............................................................................................................................. 137      Section 8.13   Capitalization ........................................................................................................................ 137      Section 8.14   Subsidiaries .......................................................................................................................... 138      Section 8.15   Compliance with Statutes, OFAC Rules and Regulations; Patriot Act; FCPA .................... 138      Section 8.16   Investment Company Act ..................................................................................................... 138      Section 8.17   [Reserved] ............................................................................................................................ 138      Section 8.18   Environmental Matters ......................................................................................................... 138      Section 8.19   Labor Relations .................................................................................................................... 139      Section 8.20   Intellectual Property ............................................................................................................. 139      Section 8.21   [Reserved]. ........................................................................................................................... 139      Section 8.22   EEA Financial Institutions ................................................................................................... 139      Section 8.23   Borrowing Base Certificate .................................................................................................. 139      Section 8.24   [Reserved] ............................................................................................................................ 139      Section 8.25   Non-Hong Kong Company ................................................................................................... 139      Section 8.26   [Reserved]. ........................................................................................................................... 139      Section 8.27   [Reserved] ............................................................................................................................ 139      Section 8.28   Centre of Main Interests and Establishments ....................................................................... 140      Section 8.29   Common Enterprise .............................................................................................................. 140      Section 8.30   Private Company .................................................................................................................. 140   ARTICLE 9      Affirmative Covenants .................................................................................................................. 140       Section 9.01   Information Covenants ......................................................................................................... 140      Section 9.02   Books, Records and Inspections; Conference Calls ............................................................. 144      Section 9.03   Maintenance of Property; Insurance ..................................................................................... 145      Section 9.04   Existence; Franchises ........................................................................................................... 145      Section 9.05   Compliance with Statutes, etc. ............................................................................................. 146      Section 9.06   Compliance with Environmental Laws ................................................................................ 146      Section 9.07   Pension and Benefit Plans .................................................................................................... 146      Section 9.08   End of Fiscal Years; Fiscal Quarters .................................................................................... 148      Section 9.09   [Reserved] ............................................................................................................................ 148      Section 9.10   Payment of Taxes ................................................................................................................. 148      Section 9.11   Use of Proceeds .................................................................................................................... 148      Section 9.12   Additional Security; Further Assurances; etc. ...................................................................... 148      Section 9.13   Post-Closing Actions ............................................................................................................ 150      Section 9.14   Permitted Acquisitions ......................................................................................................... 150      Section 9.15   [Reserved] ............................................................................................................................ 151      Section 9.16   Designation of Subsidiaries .................................................................................................. 151      Section 9.17   Collateral Monitoring and Reporting ................................................................................... 151      Section 9.18   Centre of Main Interests ....................................................................................................... 155      Section 9.19   Financial Assistance ............................................................................................................. 155      Section 9.20   European Collateral .............................................................................................................. 155   ARTICLE 10     Negative Covenants ...................................................................................................................... 156       Section 10.01  Liens ..................................................................................................................................... 156      Section 10.02  Consolidation, Merger, or Sale of Assets, etc....................................................................... 160      Section 10.03  Dividends ............................................................................................................................. 164      Section 10.04  Indebtedness ......................................................................................................................... 167                                                   -iii- 

 

                                                                                                        Section 10.05  Advances, Investments and Loans ........................................................................................ 171      Section 10.06  Transactions with Affiliates.................................................................................................. 174      Section 10.07  Limitations on Payments, Certificate of Incorporation, By-Laws and Certain                      Other Agreements, etc. ...................................................................................................... 176      Section 10.08  Limitation on Certain Restrictions on Subsidiaries .............................................................. 176      Section 10.09  Business ................................................................................................................................ 178      Section 10.10  Negative Pledges .................................................................................................................. 178      Section 10.11  Financial Covenant ............................................................................................................... 179   ARTICLE 11     Events of Default .......................................................................................................................... 180       Section 11.01  Payments .............................................................................................................................. 180      Section 11.02  Representations, etc. ............................................................................................................. 180      Section 11.03  Covenants ............................................................................................................................. 180      Section 11.04  Default Under Other Agreements ......................................................................................... 181      Section 11.05  Bankruptcy, etc. .................................................................................................................... 181      Section 11.06  ERISA; Foreign Pension Plans ............................................................................................. 182      Section 11.07  Security Documents.............................................................................................................. 182      Section 11.08  Credit Agreement; Guaranty ................................................................................................ 182      Section 11.09  Judgments ............................................................................................................................. 183      Section 11.10  Change of Control ................................................................................................................ 183      Section 11.11  Application of Funds ............................................................................................................ 183   ARTICLE 12     The Administrative Agent ............................................................................................................. 186       Section 12.01  Appointment and Authorization ........................................................................................... 186      Section 12.02  Delegation of Duties ............................................................................................................. 187      Section 12.03  Exculpatory Provisions ......................................................................................................... 187      Section 12.04  Reliance by Administrative Agent ....................................................................................... 187      Section 12.05  No Other Duties, Etc. ........................................................................................................... 188      Section 12.06  Non-reliance on Administrative Agent and Other Lenders .................................................. 188      Section 12.07  Indemnification by the Lenders ............................................................................................ 188      Section 12.08  Rights as a Lender ................................................................................................................ 188      Section 12.09  Administrative Agent May File Proofs of Claim; Credit Bidding ........................................ 188      Section 12.10  Resignation of the Agents .................................................................................................... 189      Section 12.11  Collateral Matters and Guaranty Matters ............................................................................. 190      Section 12.12  Bank Product Providers ........................................................................................................ 191      Section 12.13  Withholding Taxes ............................................................................................................... 191      Section 12.14  Solidary Interests/Quebec Liens (Hypothecs) ...................................................................... 192      Section 12.15  Parallel Debt ......................................................................................................................... 192      Section 12.16  Administration of Security granted pursuant to German Security Documents ..................... 193      Section 12.17  Certain ERISA Matters ......................................................................................................... 194   ARTICLE 13     Miscellaneous ............................................................................................................................... 195       Section 13.01  Payment of Expenses, etc. .................................................................................................... 195      Section 13.02  Right of Set-off ..................................................................................................................... 196      Section 13.03  Notices .................................................................................................................................. 197      Section 13.04  Benefit of Agreement; Assignments; Participations, etc. ..................................................... 197      Section 13.05  No Waiver; Remedies Cumulative ....................................................................................... 200      Section 13.06  [Reserved] ............................................................................................................................ 200      Section 13.07  Calculations; Computations .................................................................................................. 201      Section 13.08  GOVERNING LAW; SUBMISSION TO JURISDICTION; VENUE; WAIVER                      OF JURY TRIAL .............................................................................................................. 201      Section 13.09  Counterparts ......................................................................................................................... 202                                                   -iv- 

 

                                                                                                Section 13.10  [Reserved] ............................................................................................................................ 202  Section 13.11  Headings Descriptive............................................................................................................ 202  Section 13.12  Amendment or Waiver; etc................................................................................................... 202  Section 13.13  Survival ................................................................................................................................ 204  Section 13.14  [Reserved] ............................................................................................................................ 204  Section 13.15  Confidentiality ...................................................................................................................... 204  Section 13.16  USA Patriot Act Notice ........................................................................................................ 206  Section 13.17  Canadian Anti-Money Laundering Legislation .................................................................... 206  Section 13.18  UK “Know Your Customer” Checks .................................................................................... 206  Section 13.19  Waiver of Sovereign Immunity ............................................................................................ 207  Section 13.20  INTERCREDITOR AGREEMENT ..................................................................................... 207  Section 13.21  Absence of Fiduciary Relationship ....................................................................................... 208  Section 13.22  Judgment Currency ............................................................................................................... 208  Section 13.23  Electronic Execution of Assignments and Certain Other Documents .................................. 208  Section 13.24  Entire Agreement ................................................................................................................. 209  Section 13.25  Appointment of Collateral Agent as Security Trustee .......................................................... 209  Section 13.26  Limitations of Enforcement against German Credit Parties ................................................. 214  Section 13.27  Acknowledgement and Consent to Bail-In of EEA Financial Institutions ........................... 215  Section 13.28  Acknowledgement Regarding Any Supported QFCs ........................................................... 215                                                                 -v- 

 

    SCHEDULE 1.01(A)        Designated Account Debtors  SCHEDULE 1.01(B)        Unrestricted Subsidiaries  SCHEDULE 2.01           Commitments  SCHEDULE 8.12           Real Property  SCHEDULE 8.14           Subsidiaries  SCHEDULE 8.19           Labor Matters  SCHEDULE 9.13           Post-Closing Actions  SCHEDULE 9.17           Deposit Accounts  SCHEDULE 10.01(iii)     Existing Liens  SCHEDULE 10.04          Existing Indebtedness  SCHEDULE 10.05(iii)     Existing Investments  SCHEDULE 10.06(viii)    Affiliate Transactions  SCHEDULE 13.03          Lender Addresses   EXHIBIT A-1             Form of Notice of Borrowing  EXHIBIT A-2             Form of Notice of Swingline Borrowing  EXHIBIT A-3             Form of Notice of Conversion/Continuation  EXHIBIT B-1             Form of Revolving Note  EXHIBIT B-2             Form of Swingline Note  EXHIBIT C               Form of U.S. Tax Compliance Certificate  EXHIBIT D               Form of Notice of Secured Bank Product Provider  EXHIBIT E               Form of Officers’ Certificate  EXHIBIT F               [Reserved]  EXHIBIT G               [Reserved]  EXHIBIT H               [Reserved]  EXHIBIT I               Form of Solvency Certificate  EXHIBIT J               Form of Compliance Certificate  EXHIBIT K               Form of Assignment and Assumption  EXHIBIT L               Form of Intercreditor Agreement                                                   -vi- 

 

         THIS  REVOLVING  CREDIT  AGREEMENT,  dated  as  of  November  30,  2016,  as  amended  by  Amendment No. 1, dated as  of  September 28,  2018, as  amended  by  Amendment  No.  2, dated as  of October  19,  2018, as amended by Amendment No. 3, dated as of February 15, 2019, as amended by Amendment No. 4, dated as  of  January  14,  2020,  and  as  amended  by  Amendment  No.  5,  dated  as  of  March  2,  2020,  among  VERTIV  INTERMEDIATE  HOLDING  II  CORPORATION  (F/K/A  CORTES  NP  INTERMEDIATE  HOLDING  II  CORPORATION)  (“Holdings”),  VERTIV  GROUP  CORPORATION  (F/K/A  CORTES  NP  ACQUISITION  CORPORATION) (the “Lead Borrower”), each of the other Borrowers (as hereinafter defined) party hereto, the  Lenders party hereto from time to time and JPMORGAN CHASE BANK, N.A. (“JPMCB”), as the Administrative  Agent, and the Collateral Agents party hereto.  All capitalized terms used herein and defined in Section 1 are used  herein as therein defined.                                          W I T N E S S E T H:          WHEREAS,  (a)  the  Borrowers  have  requested  that  the  Lenders  extend  credit  in  the  form  of  Revolving  Loans in an aggregate principal amount at any one time outstanding not to exceed, with respect to any Subfacility,  the amounts set forth on Schedule 2.01 with respect thereto, (b) the Borrowers have requested that the Issuing Banks  issue Letters of Credit in an aggregate stated amount at any time outstanding not to exceed $200,000,000, and (c) the  Borrowers  have requested the Swingline Lender to extend  credit in the  form of  Swingline Loans in an aggregate  principal amount at any time outstanding not to exceed $75,000,000.          NOW THEREFORE, the Lenders are willing to extend such credit to the Borrowers, the Swingline Lender  is  willing  to  make  Swingline  Loans  to  the  U.S.  Borrowers  and  the  Issuing  Banks  are  willing  to  issue  Letters  of  Credit for the account of the Borrowers on the terms and subject to the conditions set forth herein.          ARTICLE 1      Definitions and Accounting Terms.          Section 1.01  Defined Terms.  As used in this Agreement, the following terms shall have the following  meanings:          “Account Debtor” shall mean any Person who may become obligated to another Person under, with respect  to, or on account of, an Account.          “Accounts” shall mean all “accounts,” as such term is defined in the UCC as in effect on the date hereof in  the State of New York, in which any Person now or hereafter has rights and shall include the meaning given to the  term “Accounts” in any Non-U.S. Security Document.           “Acquired Entity  or Business” shall  mean  either (x)  the assets  constituting  a business, division, product  line,  manufacturing  facility  or  distribution  facility  of  any  Person  not  already  a  Subsidiary  of  the  Lead  Borrower,  which assets shall, as a result of the respective acquisition, become assets of the Lead Borrower or a Restricted  Subsidiary of the Lead Borrower (or assets of a Person who shall be merged or amalgamated with and into the Lead  Borrower or a Restricted Subsidiary of the Lead Borrower) or (y) a majority of the Equity Interests of any such  Person, which Person shall, as a result of the respective acquisition, become a Restricted Subsidiary of the Lead  Borrower (or shall be merged or amalgamated with and into the Lead Borrower or a Restricted Subsidiary of the  Lead Borrower).          “Additional  Intercreditor  Agreement”  shall  mean  an  intercreditor  agreement  among  the  applicable  Collateral  Agents  and  one  or  more  Junior  Representatives  for  holders  of  Permitted  Junior  Debt  (or  Permitted  Refinancing Indebtedness in respect thereof) providing that, inter alia, the Liens on the Collateral in favor of the  applicable Collateral Agents (for the benefit of the Secured Creditors) shall be senior to such Liens in favor of the  Junior  Representatives  (for  the  benefit  of  the  holders  of  Permitted  Junior  Debt  (or  Permitted  Refinancing  Indebtedness in respect thereof)), as such intercreditor agreement may be amended, amended and restated, modified,  supplemented,  extended  or  renewed  from  time  to  time  in  accordance  with  the  terms  hereof  and  thereof.   The  Additional  Intercreditor  Agreement  shall  be  in  a  form  customary  at  such  time  for  transactions  of  the  type  contemplated  thereby  and  reasonably  satisfactory  to  the  Administrative  Agent  and  the  Lead  Borrower  (it  being  understood that the terms of the Intercreditor Agreement are reasonably satisfactory).                                                    -1- 

 

         “Additional Inventory Asian Jurisdictions” shall mean any or all of Hong Kong, Singapore and Australia.          “Additional Inventory European Jurisdictions” shall mean any or all of England and Wales or Ireland.          “Additional Inventory Security Actions” shall mean:          (a)    the Administrative Agent shall have received the results of an appraisal and a field examination,  from an appraiser and an examiner reasonably satisfactory to the Administrative Agent, of all applicable Inventory  requested to be included in the applicable Borrowing Base and such other customary legal and commercial due  diligence  as  the  Administrative  Agent  may  reasonably  require  in  its  Permitted  Discretion  in  order  to  determine  customary and appropriate reserves, if any, against such Inventory, after giving effect to the advances rates set forth  in the Borrowing Base component definitions and the existing exclusionary criteria; and          (b)     (i)    with respect  to any Inventory located in  England and Wales that is requested to be  included  in  the  European  Borrowing  Base  and  owned  by  a  European  Credit  Party,  all  European  Credit  Parties  owning such Inventory shall have duly authorized, executed and delivered such customary documentation governed  by  English  law,  and  taken  such  other  customary  collateral  security  and  perfection  actions,  deemed  reasonably  necessary by the Administrative Agent in its Permitted Discretion, when taken together with the actions theretofore  completed in accordance with Article 6B, Section 9.12 and/or Section 9.13 of this Agreement, to provide a valid and  enforceable first priority (subject to Permitted Borrowing Base Liens) (and perfected or equivalent) security interest  in such Inventory;                  (ii)   with  respect  to  any  Inventory located in Ireland  that is  requested to be included  in  the                 European  Borrowing  Base  and  owned  by  a  European  Credit  Party,  all  European  Credit  Parties                 owning  such  Inventory  shall  have  duly  authorized,  executed  and  delivered  such  customary                 documentation  governed  by  Irish  law,  and  taken  such  other  customary  collateral  security  and                 perfection  actions,  deemed  reasonably  necessary  by  the  Administrative  Agent  in  its  Permitted                 Discretion, when taken together with the actions theretofore completed in accordance with Article                 6B, Section 9.12 and/or Section 9.13 of this Agreement, to provide a valid and enforceable first                 priority (subject to Permitted Borrowing Base Liens) perfected (to the extent applicable) Lien;                   (iii)  with respect to any Inventory located in Germany that is requested to be included in the                 German Borrowing Base and owned by a German Credit Party, all German Credit Parties owning                 such Inventory shall  have duly authorized, executed and  delivered a German  Security Transfer                 Agreement governed by German law that covers the location at which such Inventory resides and                 taken all actions required thereunder or under applicable law to perfect the security interest created                 thereunder  (or,  if  on  or  prior  to  the  date  of  such  Additional  Inventory  Security  Action,  the                 Administrative  Agent  reasonably  determines  in  its  Permitted  Discretion  that,  as  a  result  of  a                 change in any law that occurs after the Closing Date or for any other reason, the execution and                 delivery  of  such  German  Security  Transfer  Agreement,  when  taken  together  with  the  actions                 theretofore  completed  in  accordance  with  Article  6B,  Section  9.12  and/or  Section  9.13  of  this                 Agreement,  would not be sufficient to provide a valid and enforceable first priority (subject to                 Permitted Borrowing Base Liens) perfected (to the extent applicable) Lien in such Inventory, such                 German  Credit  Parties  shall  have  duly  authorized,  executed  and  delivered  such  documentation                 governed  by  German  law,  and  taken  such  other  customary  collateral  security  and  perfection                 actions,  deemed  reasonably  necessary  by  the  Administrative  Agent  in  its  Permitted  Discretion,                 when taken together with the actions theretofore completed in accordance with Article 6B, Section                 9.12  and/or  Section  9.13  of  this  Agreement,  to  provide  a  valid  and  enforceable  first  priority                 (subject to Permitted Borrowing Base Liens) perfected (to the extent applicable) Lien;                  (iv)   with respect to any Inventory located in Hong Kong that is requested to be included in the                 Asian Borrowing Base and owned by an Asian Credit Party, all Asian Credit Parties owning such                 Inventory  shall  have  duly  authorized,  executed  and  delivered  such  customary  documentation                 governed by Hong Kong law, and taken such other customary collateral security and perfection                 actions,  deemed  reasonably  necessary  by  the  Administrative  Agent  in  its  Permitted  Discretion,                 when taken together with the actions theretofore completed in accordance with Article 6B Section                                                  -2- 

 

                 9.12  and/or  Section  9.13  of  this  Agreement,  to  provide  a  valid  and  enforceable  first  priority                 (subject to Permitted Borrowing Base Liens) perfected (to the extent applicable) Lien;                  (v)    with respect to any Inventory located in Singapore that is requested to be included in the                 Asian Borrowing Base and owned by an Asian Credit Party, all Asian Credit Parties owning such                 Inventory  shall  have  duly  authorized,  executed  and  delivered  such  documentation  governed  by                 Singapore law, and taken such other customary collateral security and perfection actions, deemed                 reasonably necessary by the Administrative Agent in its Permitted Discretion, when taken together                 with the actions theretofore completed in accordance with Article 6B, Section 9.12 and/or Section                 9.13  of  this  Agreement,  to  provide  a  valid  and  enforceable  first  priority  (subject  to  Permitted                 Borrowing Base Liens) perfected (to the extent applicable) Lien; and                  (vi)   with respect to any Inventory located in Australia that is requested to be included in the                 Asian Borrowing Base and owned by an Asian Credit Party, all Asian Credit Parties owning such                 Inventory  shall  have  duly  authorized,  executed  and  delivered  a  security  deed  governed  by                 Australian law and taken all actions required thereunder or under applicable law to perfect the                 security  interest  created  thereunder  (or,  if  on  or  prior  to  the  date  of  such  Additional  Inventory                 Security Action, the Administrative Agent reasonably determines in its Permitted Discretion that,                 as a result of a change in any law that occurs after the Closing Date or for any other reason, the                 execution  and  delivery  of  such  security  deed,  when  taken  together  with  the  actions  theretofore                 completed in accordance  with  Article 6B, Section 9.12 and/or Section 9.13 of this  Agreement,                 would  not  be  sufficient  to  provide  a  valid  and  enforceable  first  priority  (subject  to  Permitted                 Borrowing  Base  Liens)  perfected  (to  the  extent  applicable)  Lien  in  such  Inventory,  such  Asian                 Credit Parties shall have duly authorized, executed and delivered such documentation governed by                 Australian law, and taken such other customary collateral security and perfection actions, deemed                 reasonably necessary by the Administrative Agent in its Permitted Discretion, when taken together                 with the actions theretofore completed in accordance with Article 6B, Section 9.12 and/or Section                 9.13  of  this  Agreement,  to  provide  a  valid  and  enforceable  first  priority  (subject  to  Permitted                 Borrowing Base Liens) perfected (to the extent applicable) Lien in such Inventory;          provided  that  if  any  additional  Person  owning  Inventory  located  in  an  Additional  Inventory  Asian         Jurisdiction  becomes  an  Asian  Credit  Party,  any  additional  Person  owning  Inventory  located  in  an         Additional  Inventory  European  Jurisdiction  becomes  a  European  Credit  Party,  or  any  additional  Person         owning Inventory in Germany becomes a German Credit Party, in each case, under this Agreement at any         time, after the date, if any, when the Additional Inventory Security Actions have been satisfied in such         jurisdiction, the Additional Inventory Security Actions shall be deemed no longer satisfied with respect to         such  jurisdiction  until  the  date,  if  ever,  upon  which  each  such  additional  Asian  Credit  Party,  European         Credit  Party,  or  German  Credit  Party,  as  applicable,  has  satisfied  the  applicable  requirements  of  this         definition in such jurisdiction.          “Additional Security Documents” shall have the meaning provided in Section 9.12(a).          “Adjustment Date” shall mean the first day of January, April, July and October of each fiscal year.          “Administrative  Agent”  shall  mean  JPMCB,  in  its  capacity  as  Administrative  Agent  for  the  Lenders  hereunder, and shall include its branch offices and affiliates in any applicable jurisdiction and any successor to the  Administrative Agent appointed pursuant to Section 12.10.          “Administrative Agent Fees” shall have the meaning provided in Section 2.05(b).            “Administrative  Questionnaire”  shall  mean  an  administrative  questionnaire  in  the  form  supplied  by  the  Administrative Agent.          “Advisory  Agreement”  shall  mean  that  certain  Corporate  Advisory  Services  Agreement  dated  as  of  November 30, 2016 by and among the Lead Borrower and the Sponsor, as may be amended, amended and restated,                                                   -3- 

 

  modified,  supplemented,  extended  or  renewed  from  time  to  time  prior  to  the  Amendment  No.  5  Effective  Date,  including,  to  the  extent  terminated  prior  to  the  Amendment  No.  5  Effective  Date,  solely  to  the  extent  of  any  obligations that survive the termination thereof.          “Affiliate”  shall  mean,  with  respect  to  any  Person,  any  other  Person  directly  or  indirectly  controlling,  controlled by, or under direct or indirect common control with, such Person.  A Person shall be deemed to control  another Person if such Person possesses, directly or indirectly, the power to direct or cause the direction of the  management and policies of such other Person, whether through the ownership of voting securities, by contract or  otherwise; provided, however, that neither the Administrative Agent nor any Lender (nor any Affiliate thereof) shall  be  considered  an  Affiliate  of  the  Lead  Borrower  or  any  Subsidiary  thereof  as  a  result  of  this  Agreement,  the  extensions of credit hereunder or its actions in connection therewith.          “Agents” shall mean the Administrative Agent, the Collateral Agents, any sub-agent or co-agent of either  of the foregoing pursuant to the Credit Documents, the Lead Arrangers and the Documentation Agent.          “Aggregate Borrowing Base” shall mean the sum of all of the Borrowing Bases; provided that:                  (x)    the  Borrowing  Bases  for  all  of  the  Foreign  Subfacilities,  on  a  combined  basis  but         excluding the Canadian Borrowing Base and the Canadian FILO Borrowing Base, shall be limited to the         lesser of (A) the sum of the computations of such Borrowing Bases in accordance  with the definitions         thereof,  and  (B)  45%  of  the  Aggregate  Borrowing  Base  (the  determination  of  which  such  Foreign         Subfacility Borrowing Bases to be limited to the extent necessary to comply with this clause (x)(B) being         made by the Lead Borrower in consultation with the Administrative Agent), and                   (y)    the Asian Borrowing Base shall be limited to the lesser of (A) the computation of the         Asian Borrowing Base in accordance with the definition thereof, and (B) 15% of the Aggregate Borrowing         Base, and                   (z)    for the avoidance of duplication, (A) the U.S. Borrowing Base shall not be included in the         computation of the Aggregate Borrowing Base so long as the U.S. FILO Subfacility is in existence and the         U.S. FILO Borrowing Base has been included in such computation, and (B) the Canadian Borrowing Base         shall not be included in the computation of the Aggregate Borrowing Base so long as the Canadian FILO         Subfacility is in existence and the Canadian FILO Borrowing Base has been included in such computation.            The Aggregate Borrowing Base or any component thereof at any time shall be determined by reference to  the  most  recent  Borrowing  Base  Certificate  delivered  to  the  Administrative  Agent  pursuant  to  Section  6A.20  or  Section 9.17(a), as applicable.          The Administrative Agent shall (i) promptly notify the Lead Borrower in writing (including via e-mail)  whenever it determines that a Borrowing Base as of any specified date set forth on a Borrowing Base Certificate  differs from such Borrowing Base as determined by the Administrative Agent for such date, (ii) discuss the basis for  any such deviation and any changes proposed by the Lead Borrower, including the reasons for any impositions of or  changes in Reserves (in the Administrative Agent’s Permitted Discretion and subject to the definition thereof) or  eligibility criteria, with the Lead Borrower, (iii) consider, in the exercise of its Permitted Discretion, any additional  factual information provided by the Lead Borrower relating to the determination of such Borrowing Base and (iv)  promptly  notify  the  Lead  Borrower  of  its  decision  with  respect  to  any  changes  proposed  by  the  Lead  Borrower.   Pending a  decision  by  the  Administrative  Agent  to  make  any requested change,  the  initial determination of such  Borrowing Base by the Administrative Agent shall continue to constitute such Borrowing Base.          “Aggregate Commitments” shall mean, at any time, the aggregate amount of the Revolving Commitments  of all Lenders.          “Aggregate Exposures” shall mean, at any time, the sum of (a) the aggregate Outstanding Amount of all  Loans plus (b) the LC Exposure, each determined at such time.                                                   -4- 

 

         “Agreement”  shall  mean  this  Revolving  Credit  Agreement,  as  may  be  amended,  amended  and  restated,  modified, supplemented, extended or renewed from time to time.          “Alternate Rate” shall mean, for any day and for any Alternative Currency, the sum of (i) a rate per annum  selected by the Administrative Agent, in its reasonable discretion based on market conditions and in no event greater  than the rate per annum generally charged by the Administrative Agent to similarly situated borrowers in similar  circumstances at such time, reflecting the cost to the Lenders under the applicable Subfacility of obtaining funds,  plus (ii) the Applicable Margin for LIBO Rate Loans; provided, that if any of the above rates shall be less than zero,  such rate shall be deemed to be zero for purposes of this Agreement.  When  used in reference to any Loan or  Borrowing,  “Alternate  Rate”  refers  to  whether  such  Loan,  or  the  Loans  comprising  such  Borrowing  are  bearing  interest at a rate determined by reference to the Alternate Rate.          “Alternate Rate Loan” shall mean a Loan made by the Lenders to the Borrowers which bears interest at a  rate based on the Alternate Rate. All Alternate Rate Loans shall be denominated in an Alternative Currency.           “Alternative Currency” shall mean, (i) with respect to the Canadian Subfacility and the Canadian FILO  Subfacility,  Canadian  Dollars,  (ii)  with  respect  to  the  French  Subfacility,  Euros,  (iii)  with  respect  to  the  German  Subfacility,  Euros,  (iv)  with  respect  to  the  Asian  Subfacility,  Australian  Dollars,  Singapore  Dollars,  Hong  Kong  Dollars and CNH, (v) with respect to the European Subfacility, Euros and Pounds Sterling and (vi) with respect to  Letters of Credit, Canadian Dollars, Euros, Australian Dollars, Singapore Dollars, Hong Kong Dollars and CNH, in  each case (including in the case of the U.S.  Subfacility and the U.S.  FILO Subfacility),  together  with  each  other  currency (other than U.S. Dollars) that is approved in accordance with Section 1.04.           “Amendment No. 1” shall mean Amendment No. 1 to the Credit Agreement, dated as of the Amendment  No. 1 Effective Date.          “Amendment No. 1 Effective Date” shall mean September 28, 2018.          “Amendment No. 2” shall mean Amendment No. 2 to the Credit Agreement, dated as of the Amendment  No. 2 Effective Date.          “Amendment No. 2 Effective Date” shall mean October 19, 2018.          “Amendment No. 3” shall mean Amendment No. 3 to the Credit Agreement, dated as of the Amendment  No. 3 Effective Date.          “Amendment No. 3 Effective Date” shall mean February 15, 2019.          “Amendment No. 4” shall mean that certain Amendment No. 4 to the Revolving Credit Agreement, dated  as of January 14, 2020, by and among Holdings, the Lead Borrower, the other Borrowers party thereto, the Lenders  party thereto, and the Administrative Agent.          “Amendment No. 4 Effective Date” shall have the meaning provided in Amendment No. 4.          “Amendment No. 5” shall mean that certain Amendment No. 5 to the Revolving Credit Agreement, dated  as of the Amendment No. 5 Effective Date, by and among Holdings, the Lead Borrower, the other Credit Parties  party thereto, the Lenders party thereto, the Administrative Agent, the U.S. Collateral Agent, the Asian Collateral  Agent, the Australian Collateral Agent, the European Collateral Agent and the German Collateral Agent.          “Amendment No. 5 Effective Date” shall mean March 2, 2020.          “Amendment No. 5 Repayment Transactions” shall have the meaning provided in the definition of the term  “Amendment No. 5 Transactions.”                                                   -5- 

 

         “Amendment No. 5 Transaction Costs” shall mean the fees, premiums, commissions and expenses payable  by Holdings, the Lead Borrower and its Subsidiaries and any Parent Company in connection with the transactions  described in the definition of “Amendment No. 5 Transactions.”          “Amendment No. 5 Transactions” shall mean, collectively, (i) the entering into of Amendment No. 5 and  any other Credit Documents to be entered into in connection therewith and the repayment or incurrence of Loans (if  any) on the Amendment No. 5 Effective Date, (ii) the entering into of the New Term Loan Credit Agreement and the  borrowings  thereunder  on  the  Amendment  No.  5  Effective  Date,  (iii)  the  repayment  in  full  of  all  “Loans”  outstanding  under,  and  as  defined  in,  the  Original  Term  Loan  Credit  Agreement,  together  with  all  accrued  and  unpaid interest and fees thereon, in each case as of immediately prior to giving effect to the New Term Loan Credit  Agreement, (iv) the redemption in full of the outstanding principal amount of (A) the Senior Notes issued pursuant  to the Senior Notes Indenture, (B) the Second Lien Notes issued pursuant to the Second Lien Notes Indenture and  (C) the Holdco  Notes issued  pursuant to the Holdco  Notes Indenture, in each  case  together  with all  accrued and  unpaid interest, premiums and fees thereon, in each case as of immediately prior to giving effect to the New Term  Loan  Credit  Agreement, and (v) the payment of all  Amendment No. 5 Transaction Costs (clauses (iii) and (iv)  hereof, collectively, the “Amendment No. 5 Repayment Transactions”).           “Anti-Corruption  Laws”  shall  mean all  laws,  rules, and  regulations  of any jurisdiction  applicable to the  Lead Borrower or any of its Subsidiaries from time to time concerning or relating to bribery or corruption.           “Applicable Administrative Borrower” shall mean (i) with respect to each Subfacility, the Lead Borrower  and (ii) (a) with respect to the Asian Subfacility, the Hong Kong Parent Borrower, (b) with respect to the Canadian  Subfacility  and  the  Canadian  FILO  Subfacility,  the  Canadian  Parent  Borrower,  (c)  with  respect  to  the  European  Subfacility, the Irish Parent Borrower, (d) with respect to the French Subfacility, the French Parent Borrower and (e)  with respect to the German Subfacility, the German Parent Borrower.          “Applicable Collateral” shall mean (a) with respect to the Obligations of the U.S. Credit Parties, Collateral  in  which  a security  interest  is  granted by  a U.S.  Credit Party,  and (b)  with respect to  the Obligations of  Foreign  Credit Parties, Collateral in which a security interest is granted by any Credit Party.          “Applicable Margin” shall mean with respect to any Type of Revolving Loan, other than a FILO Loan, the  per  annum  margin  set  forth  below,  as  determined  by  the  Average  Global  Availability  as  of  the  most  recent  Adjustment Date:                                                                             LIBO Rate Loans, HIBOR                       Average Global Availability   Base Rate Loans and    Loans, BBSY Loans, SOR                         (percentage of Aggregate    Canadian Prime Rate   Loans, CNH HIBOR Loans             Level           Commitments)                   Loans            and CDOR Rate Loans         I           > 66%                        0.25%                    1.25%         II          > 33% < 66%                  0.50%                    1.50%         III         < 33%                        0.75%                    1.75%           The Applicable Margin with respect to any Type of FILO Loan shall be the per annum margin set forth  below, as determined by the Average Global Availability as of the most recent Adjustment Date:                        Average Global Availability   Base Rate Loans and                         (percentage of Aggregate    Canadian Prime Rate      LIBO Rate Loans and             Level           Commitments)                   Loans              CDOR Rate Loans         I           > 66%                        1.25%                    2.25%         II          > 33% < 66%                  1.50%                    2.50%         III         < 33%                        1.75%                    2.75%           The Applicable Margin shall be subject to increase or decrease on the first Business Day of each fiscal  quarter based on Average Global Availability, and each such increase or decrease in the Applicable Margin shall be  effective on the Adjustment Date occurring immediately after the last day of the fiscal quarter most recently ended.                                                   -6- 

 

  If the Borrowers fail to deliver any Borrowing Base Certificate on or before the date required for delivery thereof,  then,  at  the  option  of  the  Required  Lenders,  the  Applicable  Margin  shall  be  determined  as  if  Level III  were  applicable,  from  the  first  day  of  the  calendar  month  following  the  date  such  Borrowing  Base  Certificate  was  required to be delivered until the date of delivery of such Borrowing Base Certificate.          “Applicable Time” shall mean, with respect to any borrowings and payments in any Alternative Currency,  the local time in the place of settlement for such Alternative Currency as may be determined by the Administrative  Agent or the applicable Issuing Bank, as the case may be, to be necessary for timely settlement on the relevant date  in accordance with normal banking procedures in the place of payment and, in the case of borrowing requests and  payments by Borrowers, notified in writing to the Lead Borrower. Each Lender shall make each Loan to be made by  it hereunder on  the proposed date thereof  by  wire transfer of  immediately available funds  to  such account  of the  Administrative  Agent   (i)  in  the  case  of  Loans  to  an  Irish  Borrower,  French  Borrower  or  German  Borrower,  payments received by the Administrative Agent in Euro, Pounds Sterling and U.S. Dollar, no later than 1:00 p.m.  London time, (ii)  in the case of Loans to a Hong Kong Borrower, payments received by the Administrative Agent in  Singapore Dollars, CNH, Hong Kong Dollars and Australian Dollars, no later than 11:00 a.m.  Hong Kong time, and  (iii) in the case of Loans to a Canadian Borrower, payments received by the Administrative Agent in U.S. Dollars or  Canadian Dollars, no later than 11:00 a.m. Toronto time.          “Approved Fund” shall mean any Person (other than a natural person (or a holding company, investment  vehicle or trust for, or owned and operated for the primary benefit of, a natural person)) that is engaged in making,  purchasing, holding or investing in bank loans and similar extensions of credit in the ordinary course of its business  and that is administered or managed by (a) an existing Lender, (b) an Affiliate of an existing Lender or (c) an entity  or an Affiliate of an entity that administers or manages an existing Lender; provided that, if such Person is not a  French  Authorized  Lender  or  French  Authorized  Issuing  Bank,  such  Person  shall  not  be  required  to  extend  any  French Revolving Loan or LC Credit Extension (as the case may be) to any French Borrower (or, in the case of LC  Credit Extensions, for the account of or benefit of any French Subsidiary) and any transfer of the French Revolving  Commitment thereto shall not occur in France.          “Article 55 BRRD” means Article 55 of Directive 2014/59/EU establishing a framework for the recovery  and resolution of credit institutions and investment firms.          “Asian Borrowing Base” shall mean, at any time of calculation, an amount equal to the sum of, without  duplication:                  (a)    the book value of Eligible Accounts of the Asian Credit Parties multiplied by the advance         rate of 85%, plus                  (b)    at  any  time  following  the  completion  of  all  Additional  Inventory  Security  Actions  by         each Asian Credit Party owning Inventory in any Additional Inventory Asian Jurisdiction, the lesser of (i)         the Cost of Eligible Inventory of the Asian Credit Parties multiplied by the advance rate of 70%, and (ii) the         appraised NOLV Percentage of Eligible Inventory of the Asian Credit Parties multiplied by the advance         rate of 85%; plus                  (c)    100% of Eligible Cash of the Asian Credit Parties; plus                  (d)    the  positive  amount,  if  any,  by  which  the  U.S.  Borrowing  Base  exceeds  the  total  U.S.         Revolving Exposure of all Lenders, minus                   (e)    any Reserves established from time to time by the Administrative Agent in accordance         herewith.          “Asian Collateral Agent” shall mean JPMCB, acting as a collateral agent for the Secured Creditors for the  purpose  of  any  Singapore  Security  Document  or  Hong  Kong  Security  Document  and  any  successor  thereto  appointed pursuant to Section 12.10.                                                   -7- 

 

         “Asian  Credit  Parties”  shall  mean  the  Hong  Kong  Credit  Parties,  the  Australian  Credit  Parties,  and  the  Singapore Credit Parties.           “Asian  Line  Cap”  shall  mean  an  amount  that  is  equal  to  the  lesser  of  (a) the  Asian  Revolving  Commitments and (b) the then applicable Asian Borrowing Base.          “Asian Protective Advance” shall have the meaning provided in Section 2.18.          “Asian Revolving Borrowing” shall mean a Borrowing comprised of Asian Revolving Loans.          “Asian Revolving Commitment” shall mean, with respect to each Lender, the commitment, if any, of such  Lender to make Asian Revolving Loans hereunder up to the amount set forth and opposite such Lender’s name on  Schedule 2.01 under the caption “Asian Revolving Commitment,” or in the Assignment and Assumption pursuant to  which such Lender assumed its Asian Revolving Commitment, as applicable, as the same may be (a) reduced from  time to time pursuant to Section 2.07 and (b) reduced or increased from time to time pursuant to assignments by or  to such Lender pursuant to Section 13.04.  The aggregate amount of the Lenders’ Asian Revolving Commitments on  the Amendment No. 5 Effective Date is $35,000,000.          “Asian Revolving Exposure” shall mean, with respect to any Lender at any time, the aggregate principal  amount at such time of all outstanding Asian Revolving Loans of such Lender.          “Asian  Revolving  Loans”  shall  mean  advances  made  pursuant  to  Article  2  hereof  under  the  Asian  Subfacility.          “Asian Subfacility” shall mean the Asian Revolving Commitments of the Lenders and the Loans pursuant  to those Commitments in accordance with the terms hereof.          “ASIC” shall mean the Australian Securities and Investments Commission.          “Assignment  and  Assumption”  shall  mean  an  Assignment  and  Assumption  substantially  in  the  form  of  Exhibit K (appropriately completed) or such other form as shall be acceptable to the Administrative Agent and the  Lead  Borrower  (such  approval  by  the  Lead  Borrower  not  to  be  unreasonably  withheld,  delayed  or  conditioned),  which  shall,  in  the  case  of  any  assignment  of  Commitments  or  Loans  under  the  French  Subfacility,  (i)  specify  whether  the  assignee  is  incorporated,  domiciled,  established  or  acting  through  an  office  in  a  Non-Cooperative  Jurisdiction and (ii) include a representation by the proposed assignee that it is a French Authorized Lender.          “Audited Financial Statements” shall have the meaning provided in Section 6A.11(i).          “Australia” shall mean the Commonwealth of Australia (and includes, where the context requires, any State  or Territory of Australia).          “Australian Collateral” shall mean all the “Security Assets” as defined in the Initial Australian Security  Agreement and all other property (whether real, personal or otherwise) located in any state or territory of Australia  (or taken to be so located for the purposes of any stamp duty law) or with respect to which any security interests  have been granted (or purported to be granted) by the Australian Guarantors or will be granted in accordance with  the requirements set forth in Section 9.13.          “Australian Collateral Agent” shall mean JPMCB, acting as a collateral agent for the Secured Creditors  solely for the purpose of any Australian Security Document and any successor thereto appointed pursuant to Section  12.10.          “Australian Credit Parties” shall mean each Australian Guarantor.          “Australian Dollars” or “AU$” shall mean the lawful currency of Australia.                                                   -8- 

 

         “Australian Guarantor” shall mean each Australian Subsidiary that is on the Eurasian Effectiveness Date, or  which becomes, a party to the Guaranty Agreement in accordance with the requirements of this Agreement or the  provisions of such Guaranty Agreement.          “Australian PPS Security Interest” shall mean a “security interest” as defined in the Australian PPSA other  than an interest of the kind referred to in Section 12(3) of the Australian PPSA where the transaction concerned does  not, in substance, secure payment or performance of an obligation.          “Australian PPSA” shall mean the Personal Property Securities Act 2009 (Cth) (Australia).          “Australian  Reference  Banks”  shall  mean  Australia  and  New  Zealand  Banking  Group  Limited,  Commonwealth  Bank  of  Australia,  National  Australia  Bank  Limited  and  Westpac  Banking  Corporation,  or  such  other persons as the Administrative Agent and the Lead Borrower may agree to in writing from time to time.           “Australian  Security  Documents”  shall  mean  the  Initial  Australian  Security  Agreement,  each  Deposit  Account  Control  Agreement  and,  after  the  execution  and  delivery  thereof,  each  Additional  Security  Document  governed by the laws of Australia (or any state or territory thereof), including those entered into as required by the  Additional Inventory Security Actions, together with any other applicable security documents governed by the laws  of Australia (or any state or territory thereof), such as a deed or any other related documents, bonds, debentures or  pledge agreements as may be required to perfect a Lien in favor of the Australian Collateral Agent for the benefit of  the Secured Creditors.           “Australian Subsidiary” shall mean any  Subsidiary of the Lead Borrower that is incorporated, formed or  otherwise organized under the laws of Australia.          “Availability Conditions” shall be deemed satisfied only if:          (a)     with respect to the U.S. Subfacility, each Lender’s U.S. Revolving Exposure does not exceed such  Lender’s U.S. Revolving Commitment;          (b)     with respect to the Asian Subfacility, each Lender’s Asian Revolving Exposure does not exceed  such Lender’s Asian Revolving Commitment;          (c)     with respect to the Canadian  Subfacility, each  Lender’s  Canadian Revolving Exposure does not  exceed such Lender’s Canadian Revolving Commitment;          (d)     with respect to the French Subfacility, each Lender’s French Revolving Exposure does not exceed  such Lender’s French Revolving Commitment;          (e)     with  respect  to  the  German  Subfacility,  each  Lender’s  German  Revolving  Exposure  does  not  exceed such Lender’s German Revolving Commitment;          (f)     with respect to the European Subfacility, each Lender’s European Revolving Exposure does not  exceed such Lender’s European Revolving Commitment;          (g)     with respect to the U.S. FILO Subfacility, each Lender’s U.S. FILO Revolving Exposure does not  exceed such Lender’s U.S. FILO Revolving Commitment;          (h)     with respect to the Canadian FILO Subfacility, each Lender’s Canadian FILO Revolving Exposure  does not exceed such Lender’s Canadian FILO Revolving Commitment;          (i)     with respect to the U.S. Subfacility, the sum of (i) the aggregate U.S. Revolving Exposure of all  Lenders plus (ii) the aggregate Asian Revolving Exposure in respect of Asian Revolving Loans made to the Hong  Kong  Borrowers  in  reliance  on  clause  (d)  of  the  definition  of  “Asian  Borrowing  Base” plus  (iii)  the  aggregate  Canadian Revolving Exposure in respect of Canadian Revolving Loans made to the Canadian Borrowers in reliance                                                   -9- 

 

  on clause (d) of the definition of “Canadian Borrowing Base” plus (iv) the aggregate European Revolving Exposure  in respect of European Revolving Loans made to the Irish Borrowers in reliance on clause (d) of the definition of  “European  Borrowing  Base” plus  (v)  the  aggregate  French  Revolving  Exposure  in  respect  of  French  Revolving  Loans made to the French Borrowers in reliance on clause (b) of the definition of “French Borrowing Base” plus (vi)  the aggregate German Revolving Exposure in respect of German Revolving Loans made to the German Borrowers  in reliance on clause (c) of the definition of “German Borrowing Base” does not exceed the U.S. Borrowing Base  then in effect;          (j)     with respect to the U.S. Subfacility, the aggregate U.S. Revolving Exposure does not exceed the  U.S. Line Cap;           (k)     with respect to the Asian Subfacility, the aggregate Asian Revolving Exposure does not exceed the  Asian Line Cap;           (l)     with  respect  to  the  Canadian  Subfacility,  the  aggregate  Canadian  Revolving  Exposure  does  not  exceed the Canadian Line Cap;           (m)     with respect to the French Subfacility, the aggregate French Revolving Exposure of any French  Borrower does not exceed its French Line Cap on a per-Borrower basis;          (n)     with respect to the German Subfacility, the aggregate German Revolving Exposure of any German  Borrower Group does not exceed its German Line Cap;          (o)     with  respect  to  the  European  Subfacility,  the  aggregate  European  Revolving  Exposure  does  not  exceed the European Line Cap;           (p)     with respect to the U.S. FILO Subfacility, the aggregate U.S. FILO Revolving Exposure does not  exceed the U.S. FILO Line Cap;           (q)     with respect to the Canadian FILO Subfacility, the aggregate Canadian FILO Revolving Exposure  does not exceed the Canadian FILO Line Cap; and          (r)     with respect to each Subfacility, the Aggregate Exposure of all Lenders does not exceed the Line  Cap.          “Average Global Availability” shall mean at any Adjustment Date, the average daily Global Availability  for the fiscal quarter immediately preceding such Adjustment Date.          “Bail-In  Action” shall  mean  the exercise of any Write-Down and Conversion Powers  by  the applicable  EEA Resolution Authority in respect of any liability of an EEA Financial Institution.          “Bail-In Legislation” shall mean                  (a)    in relation to an EEA Member Country which has implemented, or which at any time         implements, Article 55 BRRD, the relevant implementing law or regulation as described in the EU Bail-In         Legislation Schedule from time to time; and                   (b)    in relation to any state other than such an EEA Member Country or (to the extent that the         United Kingdom is not such an EEA Member Country) the United Kingdom, any analogous law or         regulation from time to time which requires contractual recognition of any Write-down and Conversion         Powers contained in that law or regulation.          “Bank Product” shall mean any of the following products, services or facilities extended to any Borrower  or  any  of  its  Restricted  Subsidiaries:   (a)  Cash  Management  Services;  (b)  products  under  Swap  Contracts;  (c)  commercial credit card, purchase card and merchant card services; and (d) other banking products or services as                                                  -10- 

 

  may be requested by any Borrower or any of its Restricted Subsidiaries, other than Letters of Credit issued pursuant  to the provisions of Section 2.13 by the Administrative Agent or any Issuing Bank.          “Bank  Product  Debt”  shall  mean  Indebtedness  and  other  obligations  of  a  Borrower  or  any  of  its  Subsidiaries relating to Bank Products.          “Bank  Product  Reserve”  shall  mean  the  aggregate  amount  of  reserves  established  by  the  Administrative  Agent from time to time in its Permitted Discretion in respect of Secured Bank Product Obligations (which shall at  all times include a reserve for the maximum amount of all Noticed Hedges outstanding at that time).          “Bankruptcy Code” shall have the meaning provided in Section 11.05(a).          “Base Rate” shall mean, for any day, a rate per annum equal to the greatest of (a) the Prime Rate in effect  on such day, (b) the NYFRB Rate in effect on such day plus 1⁄2 of 1%, (c) the LIBO Rate for a one month Interest  Period on such day (or if such  day  is  not a Business Day, the immediately  preceding  Business  Day) plus 1%;  provided that, the LIBO Rate for any day shall be based on the LIBO Rate at approximately 11:00 a.m. London time  on such day and (d) 1.00%.  Any change in the Base Rate due to a change in the Prime Rate, the NYFRB Rate or the  LIBO Rate shall be effective from and including the effective date of such change in the Prime Rate, the NYFRB  Rate or the LIBO Rate, respectively. If the Base Rate is being used as an alternate rate of interest pursuant to Section  3.01 (for the avoidance of doubt, only until any amendment has become effective pursuant to Section 3.01(b)), then  the Base Rate shall be the greater of clauses (a) and (b) above and shall be determined without reference to clause  (c) above. For the avoidance of doubt, if the Base Rate as determined pursuant to the foregoing would be less than  1.00%, such rate shall be deemed to be 1.00% for purposes of this Agreement.          “Base  Rate  Loan”  shall  mean  each  Revolving  Loan  which  is  designated  or  deemed  designated  as  a  Revolving  Loan  bearing  interest  at  the  Base  Rate  by  the  Applicable  Administrative  Borrower  at  the  time  of  the  incurrence thereof or conversion thereto.  All Base Rate Loans shall be denominated in U.S. Dollars.          “BBSY Rate” shall mean in relation to any BBSY Loan:          (a)     the  Australian  Bank  Bill  Swap  Reference  Rate  (Bid)  administered  by  ASX  Benchmarks  Pty  Limited (or any other person which takes over the administration of that rate) for the relevant period and displayed  (before any correction, recalculation or republication by the administrator) on page BBSY of the Thomson Reuters  Screen (or any replacement Thomson Reuters page which displays that rate) as of 10:30am (Sydney time) on the  first  day of  the relevant  period for Australian Dollars  and  for a period equal to the Interest  Period  of that BBSY  Loan.  If such page or service ceases to be available, the Administrative Agent may specify another page or service  displaying the relevant rate after consultation with the Lead Borrower; and          (b)     if the rate described in sub-paragraph (a) above is not available, the sum of:                   (i)   the  Australian Bank Bill  Swap Reference  Rate administered by  ASX Benchmarks Pty         Limited (or any other person which takes over the administration of that rate) for the relevant period and         displayed (before any correction, recalculation or republication by the administrator) on page BBSW of the         Thomson  Reuters  Screen  (or  any  replacement  Thomson  Reuters  page  which  displays  that  rate)  as  of         10:30am (Sydney time) on the first day of the relevant period for Australian Dollars and for a period equal         to the Interest Period of that BBSY Loan.  If such page or service ceases to be available, the Administrative         Agent  may  specify  another  page  or  service  displaying  the  relevant  rate  after  consultation  with  the  Lead         Borrower; and                  (ii)   0.05% per annum   or          (c)     if (x) for any reason that rate is not displayed for a term equivalent to that period; or (y) the basis  on which that rate is calculated or displayed is changed and in the reasonable opinion of the Administrative Agent it                                                  -11- 

 

  ceases to reflect the Lenders’ cost of funding to the same extent as at the date of this Agreement, then “BBSY Rate”  will be the rate determined by the Administrative Agent (acting reasonably) to be the sum of:                   (i)   one of the following rates:                         (A)    the rate representing the view (if any and applied to the relevant period) which                               respondents to the NCDSURVEY10AM survey conducted by ASX Benchmarks                               Pty Limited (or any other person which takes over the conduct of that survey)                               are asked to submit to the relevant conductor of the survey; or                         (B)    (if the rate referred to in paragraph (A) is not available), the arithmetic mean of                               the rates (rounded upwards to four decimal places) as supplied to the Agent at its                               request by the Australian Reference Banks as the mid discount rate (expressed                               as  a  yield  percent  to  maturity)  observed  by  the  relevant  Australian  Reference                               Bank  for  marketable  parcels  of  Australian  dollar  denominated  bank  accepted                               bills  and  negotiable  certificates  of  deposit  accepted  or  issued  by  Prime  Banks                               (being a bank determined by the Australian Finance Markets Association (or any                               other  person  which  takes  over  the  administration  of  the  Australian  Bank  Bill                               Swap Reference Rate (Bid) for Australian dollars) as being a Prime Bank or an                               acceptor or issuer of  bills of  exchange or negotiable certificates of  deposit for                               the purposes of calculating that rate.  If ASX Benchmarks Pty Limited or such                               other person ceases to make such determination, the Prime Banks shall be the                               Prime Banks last so appointed), and which mature on the last day of the relevant                               period or in the same half month period under market conventions; or                         (C)    (if  there  is  no  observable  market  rate  for  marketable  parcels  of  Prime  Bank                               Australian dollar securities referred to in paragraph (B) above), the rate at which                               the relevant Australian Reference Bank could borrow funds in Australian dollars                               in the Australian interbank market and for the relevant period were it to do so by                               asking for and then accepting interbank offers for deposits in reasonable market                               sizes and for that period; and                  (ii)   0.05% per annum.          “BBSY  Loan”  shall  mean  each  Asian  Revolving  Loan  denominated  in  Australian  Dollars  designated  as  such by the Applicable Administrative Borrower at the time of the incurrence thereof or conversion thereto.          “Benchmark  Replacement”  shall  mean  the  sum  of:  (a)  the  alternate  benchmark  rate  (which  may  be  a  SOFR-Based  Rate)  that  has  been  selected  by  the  Administrative  Agent  and  the  Lead  Borrower  giving  due  consideration to (i) any selection or recommendation of a replacement rate or the mechanism for determining such a  rate  by  the  Relevant  Governmental  Body  and/or  (ii)  any  evolving  or  then-prevailing  market  convention  for  determining a rate of interest as a replacement to LIBOR for U.S. dollar-denominated syndicated credit facilities and  (b) the Benchmark Replacement Adjustment; provided that, if the Benchmark Replacement as so determined would  be  less  than  zero,  the  Benchmark  Replacement  will  be  deemed  to  be  zero  for  the  purposes  of  this  Agreement;  provided  further  that  any  such  Benchmark  Replacement  shall  be  administratively  feasible  as  determined  by  the  Administrative Agent in its sole discretion.           “Benchmark  Replacement  Adjustment”  shall  mean  the  spread  adjustment,  or  method  for  calculating  or  determining such spread adjustment, (which may be a positive or negative value or zero) that has been selected by  the Administrative Agent and the Lead Borrower giving due consideration to (i) any selection or recommendation of  a  spread  adjustment,  or  method  for  calculating  or  determining  such  spread  adjustment,  for  the  replacement  of  LIBOR  with the  applicable  Unadjusted Benchmark  Replacement  by  the  Relevant  Governmental Body and/or  (ii)  any evolving or then-prevailing market convention for determining a spread adjustment, or method for calculating or  determining  such  spread  adjustment,  for  the  replacement  of  LIBOR  with  the  applicable  Unadjusted  Benchmark  Replacement for U.S. dollar-denominated syndicated credit facilities at such time (for the avoidance of doubt, such  Benchmark Replacement Adjustment shall not be in the form of a reduction to the Applicable Margin).                                                 -12- 

 

         “Benchmark Replacement Conforming Changes” shall mean, with respect to any Benchmark Replacement,  any  technical,  administrative  or  operational  changes  (including  changes  to  the  definition  of  “Base  Rate,”  the  definition of “Interest Period,” timing and frequency of determining rates and making payments of interest and other  administrative  matters)  that  the  Administrative  Agent  decides  in  its  reasonable  discretion  may  be  appropriate  to  reflect the adoption and implementation of such Benchmark Replacement and to permit the administration thereof  by  the  Administrative  Agent  in  a  manner  substantially  consistent  with  market  practice  (or,  if  the  Administrative  Agent  decides  that  adoption  of  any  portion  of  such  market  practice  is  not  administratively  feasible  or  if  the  Administrative  Agent  determines  that  no  market  practice  for  the  administration  of  the  Benchmark  Replacement  exists,  in  such  other  manner  of  administration  as  the  Administrative  Agent  decides  is  reasonably  necessary  in  connection with the administration of this Agreement).          “Benchmark Replacement Date” shall mean the earlier to occur of the following events with respect to the  LIBO Rate:           (1)    in the case of clause (1) or (2) of the definition of “Benchmark Transition Event,” the later of (a)  the  date  of  the  public  statement  or  publication  of  information  referenced  therein  and  (b)  the  date  on  which  the  administrator of the LIBO Screen Rate permanently or indefinitely ceases to provide the LIBO Screen Rate; or          (2)    in the case of clause (3) of the definition of “Benchmark Transition Event,” the date of the public  statement or publication of information referenced therein.          “Benchmark  Transition  Event”  shall  mean  the  occurrence  of  one  or  more  of  the  following  events  with  respect to LIBOR:           (1)    a public statement or publication of information by or on behalf of the administrator of the LIBO  Screen  Rate  announcing  that  such  administrator  has  ceased  or  will  cease  to  provide  the  LIBO  Screen  Rate,  permanently  or  indefinitely,  provided  that,  at  the  time  of  such  statement  or  publication,  there  is  no  successor  administrator that will continue to provide the LIBO Screen Rate;           (2)    a public statement or publication of information by the regulatory supervisor for the administrator  of  the  LIBO  Screen  Rate,  the  U.S.  Federal  Reserve  System,  an  insolvency  official  with  jurisdiction  over  the  administrator for the LIBO Screen Rate, a resolution authority with jurisdiction over the administrator for the LIBO  Screen  Rate  or  a  court or  an  entity  with  similar  insolvency  or  resolution  authority  over  the  administrator  for  the  LIBO Screen Rate, in each case which states that the administrator of the LIBO Screen Rate has ceased or will cease  to  provide  the  LIBO  Screen  Rate  permanently  or  indefinitely,  provided  that,  at  the  time  of  such  statement  or  publication, there is no successor administrator that will continue to provide the LIBO Screen Rate; and/or           (3)    a public statement or publication of information by the regulatory supervisor for the administrator  of the LIBO Screen Rate announcing that the LIBO Screen Rate is no longer representative.          “Benchmark Transition Start Date” shall mean (a) in the case of a Benchmark Transition Event, the earlier  of (i) the applicable Benchmark Replacement Date and (ii) if such Benchmark Transition Event is a public statement  or publication of information of a prospective event, the 90th day prior to the expected date of such event as of such  public statement or publication of information (or if the expected date of such prospective event is fewer than 90  days after such statement or publication, the date of such statement or publication) and (b) in the case of an Early  Opt-in Election, the date specified by the Administrative Agent or the Required Lenders, as applicable, by notice to  the Lead Borrower, the Administrative Agent (in the case of such notice by the Required Lenders) and the Lenders.          “Benchmark  Unavailability  Period”  shall  mean,  if  a  Benchmark  Transition  Event  and  its  related  Benchmark Replacement Date have occurred with respect to LIBOR and solely to the extent that LIBOR has not  been  replaced  with  a  Benchmark  Replacement,  the  period  (x)  beginning  at  the  time  that  such  Benchmark  Replacement Date has occurred if, at such time, no Benchmark Replacement has replaced LIBOR for all purposes  hereunder in accordance with Section 3.01 and (y) ending at the time that a Benchmark Replacement has replaced  LIBOR for all purposes hereunder pursuant to Section 3.01.                                                  -13- 

 

         “Beneficial Ownership Certification” shall mean a certification regarding beneficial ownership as required  by the Beneficial Ownership Regulation.          “Beneficial Ownership Regulation” shall mean 31 C.F.R. § 1010.230.          “Benefit Plan” shall mean any of (a) an “employee benefit plan” (as defined in ERISA) that is subject to  Title I of ERISA, (b) a “plan” as defined in Section 4975 of the Code or (c) any Person whose assets include (for  purposes of ERISA Section 3(42) or otherwise for purposes of Title I of ERISA or Section 4975 of the Code) the  assets of any such “employee benefit plan” or “plan”.          “BHC Act Affiliate” shall have the meaning assigned to the term “affiliate” in, and shall be interpreted in  accordance with, 12 U.S.C. § 1841(k).          “Borrowers” shall mean the U.S. Borrowers, the Canadian Borrowers, the French Borrowers, the German  Borrowers, the Hong Kong Borrowers and the Irish Borrowers.          “Borrowing” shall mean the borrowing of the same Type, Class and in the same currency, of Revolving  Loan by the Borrowers from all the Lenders having Commitments on a given date (or resulting from a conversion or  conversions on such date), having, in the case of LIBO Rate Loans, CDOR Rate Loans, SOR Loans, BBSY Loans,  CNH HIBOR Loans, and HIBOR Loans, the same Interest Period; provided that Base Rate Loans incurred pursuant  to Section 3.01 shall be considered part of the related Borrowing of LIBO Rate Loans.          “Borrowing Base” shall mean any of the U.S. Borrowing Base, the Asian Borrowing Base, the Canadian  Borrowing  Base,  the French  Borrowing  Bases, the German Borrowing Bases,  the European  Borrowing Base,  the  U.S. FILO Borrowing Base, and the Canadian FILO Borrowing Base.          “Borrowing Base Certificate” shall mean a certificate of a Responsible Officer of the Lead Borrower in  form and substance reasonably satisfactory to the Administrative Agent.          “Business Day” shall mean any day that is any day except Saturday, Sunday and any day which shall be in  New York City a legal holiday or a day on which banking institutions are authorized or required by law or other  government action to close in New York City, and (A) in connection with Loans under the German Subfacility, the  French  Subfacility  and  the  European  Subfacility,  any  day  except  Saturday,  Sunday  and  any  day  which  shall  be  in London, Frankfurt or Paris a legal holiday or a day on which banking institutions are authorized or required by  law or other government action to close in London, Frankfurt or Paris, as applicable, (B) in connection with Loans  under the Canadian Subfacility and the Canadian FILO Subfacility, any day except Saturday, Sunday and any day  which shall be in Toronto, Ontario a legal holiday or a day on which banking institutions are authorized or required  by law or other government action to close in Toronto, (C) in connection with Loans under the Asian Subfacility,  any  day  except  Saturday,  Sunday  and  any  day  which  shall  be  in  Hong  Kong  a  legal  holiday  or  a  day  on  which  banking institutions are authorized or required by law or other government action to close in Hong Kong, (D) if such  day  relates  to  (x)  any  Loans  denominated  in  Euros  or  (y)  payment  or  purchase  of  Euros,  any  day  on  which  TARGET2 payment system is open for the settlement of payments in Euro, (E) if such day relates to (x) any Loans  denominated in Pounds Sterling or (y) payment or purchase of Pounds Sterling, any day on which banks are open  for general business in London, (F) if such day relates to (x) any Loans denominated in Singapore Dollars or (y)  payment or purchase of Singapore Dollars, any day on which banks are open for general business in Singapore, (G)  if such day relates to (x) any Loans denominated in Australian Dollars, or (y) payment or purchase of Australian  Dollars, any day on which banks are open for general business in Sydney, Australia, (H) if such day relates to (x)  any Loans denominated in CNH or (y) payment or purchase of CNH, any day on which banks are open for general  business in China and Hong Kong, (I) if such day relates to (x) any Loans denominated in Hong Kong Dollars or (y)  payment or purchase of Hong Kong Dollars, any day except Saturday, Sunday and any day which shall be in Hong  Kong a legal holiday or a day on which banking institutions are authorized or required by law or other government  action to close in Hong Kong, (J) if such day relates to (x) any Loans made to a Canadian Borrower or denominated  in Canadian Dollars or (y) payment or purchase of Canadian Dollars, any day except Saturday, Sunday and any day  which shall be in Toronto, Ontario a legal holiday or a day on which banking institutions are authorized or required  by  law  or  other  government  action  to  close  in  Toronto  and  (K)  with  respect  to  all  notices  and  determinations  in  connection  with, and payments of  principal and interest  on, LIBO Rate  Loans,  any day  which is a Business  Day                                                 -14- 

 

  which is also a day for trading by and between banks in the New York or London interbank market or the principal  financial center of such Alternative Currency.          “CAML Legislation” shall mean the Proceeds of Crime (Money Laundering) and Terrorist Financing Act  (Canada)  and  other  anti-terrorism  laws  and  “know  your  client”  policies,  regulations,  laws  or  rules  applicable  in  Canada, including any guidelines or orders thereunder.          “Canadian Borrowers” shall mean the Canadian Parent Borrower and each Canadian Subsidiary Borrower.          “Canadian Borrowing Base” shall mean, at any time of calculation, an amount equal to the sum of, without  duplication:          (a)     the book value of Eligible Accounts of the Canadian Credit Parties multiplied by the advance rate  of 85%, plus          (b)     the lesser of (i) the Cost of Eligible Inventory of the Canadian Credit Parties multiplied by  the  advance rate of 70%, and (ii) the appraised NOLV Percentage of Eligible Inventory of the Canadian Credit Parties  multiplied by the advance rate of 85%; plus          (c)     100% of Eligible Cash of the Canadian Credit Parties; plus          (d)     the positive amount, if any, by which the U.S. Borrowing Base exceeds the total U.S. Revolving  Exposure of all Lenders; minus          (e)     any Reserves established from time to time by the Administrative Agent in accordance herewith.          “Canadian Collateral” shall mean all the “Collateral” as defined in the Initial Canadian Security Agreement  and all other property (whether real, personal or otherwise) with respect to which any security interests have been  granted  (or  purported  to  be  granted)  by  the  Canadian  Borrowers  or  will  be  granted  in  accordance  with  the  requirements set forth in Section 9.13.          “Canadian Credit Party” shall mean each Canadian Borrower.           “Canadian Defined Benefit Pension Plan” shall mean any Canadian Pension Plan which contains a “defined  benefit provision,” as defined in subsection 147.1(1) of the Income Tax Act (Canada).          “Canadian Dollars” and “C$” shall mean the lawful currency of Canada.          “Canadian  Dominion  Account”  shall  mean  a  special  concentration  account  established  by  a  Canadian  Credit Party in Canada, at JPMCB or another bank reasonably acceptable to the Administrative Agent, over which  the Administrative Agent has exclusive control for withdrawal purposes pursuant to the terms and provisions of this  Agreement and the other Credit Documents.          “Canadian Economic Sanctions and Export Control Laws” shall mean any Canadian laws, regulations or  orders governing transactions in controlled goods or technologies or dealings with countries, entities, organizations,  or individuals subject to economic sanctions and similar measures.          “Canadian FILO Borrowing Base” shall mean, at any time of calculation, an amount equal to the sum of,  without duplication:          (a)     the book value of Eligible Accounts of the Canadian Credit Parties multiplied by the advance rate  of 92.5%; plus                                                  -15- 

 

         (b)     the lesser of (i) the Cost of Eligible Inventory of the Canadian Credit Parties multiplied by  the  advance rate of 75%, and (ii) the appraised NOLV Percentage of Eligible Inventory of the Canadian Credit Parties  multiplied by the advance rate of 90%; plus          (c)     100% of Eligible Cash of the Canadian Credit Parties; minus          (d)     any Reserves established from time to time by the Administrative Agent in accordance herewith.          “Canadian FILO Lender” shall mean any Lender under the Canadian FILO Subfacility.            “Canadian FILO Line Cap” shall mean an amount equal to the lesser of (a) the Canadian FILO Revolving  Commitments and (b) the then applicable Canadian FILO Borrowing Base.          “Canadian  FILO  Loans”  shall  mean  advances  made  to  or  at  the  instructions  of  a  Canadian  Borrower  pursuant to Section 2.01 hereof under the Canadian FILO Subfacility.          “Canadian FILO Revolving Borrowing” shall mean a Borrowing comprised of Canadian FILO Loans.          “Canadian  FILO  Revolving  Commitment”  shall  mean  the  commitment  of  the  Canadian  FILO  Lenders  under  the  Canadian  FILO  Subfacility  to  make  Canadian  FILO  Loans  hereunder.   The  aggregate  amount  of  the  Canadian FILO Revolving Commitments on the Amendment No. 5 Effective Date is $2,000,000.          “Canadian FILO Revolving Exposure” shall mean, with respect to any Canadian FILO Lender at any time,  the aggregate principal amount at such time of all outstanding Canadian FILO Loans of such Lender.          “Canadian  FILO  Revolving  Note”  shall  mean  each  revolving  note  relating  to  the  Canadian  FILO  Subfacility substantially in the form of Exhibit B-1 hereto.          “Canadian FILO Subfacility” shall mean the Canadian FILO Revolving Commitments of the Lenders and  the Loans pursuant to those Commitments in accordance with the terms hereof.          “Canadian  Line  Cap”  shall  mean  an  amount  that  is  equal  to  the  lesser  of  (a)  the  Canadian  Revolving  Commitments and (b) the then applicable Canadian Borrowing Base.          “Canadian Parent Borrower” shall mean Vertiv Canada ULC (f/k/a Cortes NP Canada ULC).          “Canadian Pension Event” shall mean solely with respect to a Canadian Defined Benefit Pension Plan (a)  the termination by a Credit Party of such a Canadian Defined Benefit Pension Plan; or (b) the filing of a notice of  intention to terminate in whole or in part such a Canadian Defined Benefit Pension Plan or the treatment of such a  Canadian Defined Benefit Pension Plan amendment as a termination or partial termination; or (c) the issuance of an  order or notice of intended decision by any Governmental Authority to terminate or have an administrator or like  body appointed to administer such a Canadian Defined Benefit Pension Plan; or (d) any other event or condition  which  might  constitute  grounds  for  the  termination  of,  winding  up  or  partial  termination  or  winding  up  or  the  appointment of an administrator to administer, any such Canadian Defined Benefit Pension Plan.          “Canadian Pension Plan” shall mean any registered pension plan as such term is defined under the Income  Tax Act (Canada)  that is administered or contributed to by a Credit Party for its employees or former employees.          “Canadian Prime Rate” shall mean, for any period, the rate per annum determined by the Administrative  Agent to be the higher of (i) the rate equal to the PRIMCAN Index rate that appears on the Bloomberg screen at  10:15 a.m. Toronto time on such day (or, in the event that the PRIMCAN Index is not published by Bloomberg, any  other information services that publishes such index from time to time, as selected by the Administrative Agent in its  reasonable discretion) and (ii) the average rate for 30 day Canadian Dollar bankers’ acceptances that appears on the  Reuters Screen CDOR Page (or, in the event such rate does not appear on such page or screen, on any successor or  substitute page or screen that displays such rate, or on the appropriate page of such other information service that                                                  -16- 

 

  publishes such rate from time to time, as selected by the Administrative Agent in its reasonable discretion) at 10:15  a.m. Toronto time on such day, plus 1.00% per annum; provided, that if any the above rates shall be less than zero,  such rate shall be deemed to be zero for purposes of this Agreement. Any change in the Canadian Prime Rate due to  a change in the PRIMCAN Index or the CDOR Rate shall be effective from and including the effective date of such  change in the PRIMCAN Index or CDOR Rate, respectively.          “Canadian Prime Rate Loans” shall mean any Loan denominated in Canadian Dollars made by the Lenders  to the Borrowers which bears interest at a rate based on the Canadian Prime Rate.          “Canadian Priority Payables Reserve” shall mean, on any date of determination and only with respect to a  Canadian  Credit  Party,  reserves  established  by  the  Administrative  Agent  in  its  Permitted  Discretion  for  amounts  secured by any Liens, choate or inchoate, ranking or capable of ranking in priority senior to or pari passu with the  Collateral Agent’s Liens on Canadian Collateral, including, without duplication, (i) amounts deemed to be held in  trust, or held in trust, pursuant to applicable law, (ii) any such amounts due or which may become due for wages,  salaries, commissions or compensation, including vacation pay, (iii) any such amounts for workers’ compensation,  employment insurance, employee source deductions, employee income tax, sales tax, goods and services tax, value  added tax, harmonized sales tax or similar taxes and all pension obligations and contributions (including in respect  of any wind-up deficiency), and (iv) any similar statutory or other claims, that in each case referred to in clauses (i)  through (iv) above are secured by Liens, choate or inchoate, ranking or capable of ranking in priority senior to or  pari passu with the Collateral Agent’s Liens on Canadian Collateral.          “Canadian Protective Advance” shall have the meaning provided in Section 2.18.          “Canadian Revolving Borrowing” shall mean a Borrowing comprised of Canadian Revolving Loans.          “Canadian Revolving Commitment” shall mean, with respect to each Lender, the commitment, if any, of  such Lender to make Canadian Revolving Loans hereunder up to the amount set forth and opposite such Lender’s  name  on  Schedule  2.01  under  the  caption  “Canadian  Revolving  Commitment,”  or  in  the  Assignment  and  Assumption  pursuant  to  which  such  Lender  assumed  its  Canadian  Revolving  Commitment,  as  applicable,  as  the  same may be (a) reduced from time to time pursuant to Section 2.07 and (b) reduced or increased from time to time  pursuant  to  assignments by  or to  such  Lender pursuant  to  Section 13.04.  The aggregate amount  of the  Lenders’  Canadian Revolving Commitments on the Amendment No. 5 Effective Date is $20,000,000.          “Canadian Revolving Exposure” shall mean, with respect to any Lender at any time, the aggregate principal  amount at such time of all outstanding Canadian Revolving Loans of such Lender.          “Canadian Revolving Loans” shall mean advances made pursuant to Article 2 hereof under the Canadian  Subfacility.          “Canadian  Revolving  Note”  shall  mean  each  revolving  note  relating  to  the  Canadian  Subfacility  substantially in the form of Exhibit B-1 hereto.          “Canadian  Security  Documents”  shall  mean  the  Initial  Canadian  Security  Agreement,  each  Deposit  Account  Control  Agreement  and,  after  the  execution  and  delivery  thereof,  each  Additional  Security  Document,  together with any other applicable security documents executed by the Canadian Credit Parties from time to time,  such as a deed of hypothec and any other related documents as may be required to perfect a Lien in favor of the  Collateral Agent for the benefit of the Secured Creditors in the Province of Quebec.          “Canadian Subfacility”  shall  mean  the Canadian Revolving  Commitments of the  Lenders  and the  Loans  pursuant to those Commitments in accordance with the terms hereof.          “Canadian  Subsidiary”  shall  mean  any  Subsidiary  of  the  Lead  Borrower  that  is  incorporated,  formed  or  otherwise organized under the laws of Canada or any province or territory thereof.                                                  -17- 

 

         “Canadian Subsidiary Borrowers” shall mean each Canadian Subsidiary that is or becomes a party to this  Agreement as a Borrower after the Closing Date pursuant to Section 9.12 or otherwise.          “Capital Expenditures” shall mean, with respect to any Person, all expenditures by such Person which are  required to be capitalized in accordance with U.S. GAAP and, without duplication, the amount of Capitalized Lease  Obligations incurred by such Person; provided that Capital Expenditures shall not include (i) the purchase price paid  in connection with a Permitted Acquisition, (ii) the purchase price of equipment that is purchased simultaneously  with the trade-in of existing equipment to the extent that the gross amount of such purchase price is reduced by the  credit  granted  by  the  seller  of  such  equipment  for  such  existing  equipment  being  traded  in  at  such  time,  (iii)  expenditures  made  in  leasehold  improvements,  to  the  extent  reimbursed  by  the  landlord,  (iv)  expenditures  to  the  extent that they are actually paid for by any Person other than a Credit Party or any of its Restricted Subsidiaries and  for  which  no  Credit  Party  or  any  of  its  Restricted  Subsidiaries  has  provided  or  is  required  to  provide  or  incur,  directly  or  indirectly,  any  consideration  or  monetary  obligation  to  such  third  party  or  any  other  Person  (whether  before,  during  or  after  such  period),  (v)  property,  plant  and  equipment  taken  in  settlement  of  accounts  and  (vi)  expenditures made to restore, replace or rebuild property subject to any damage, loss, destruction or condemnation,  to  the  extent  such  expenditures  are  made  with  insurance  proceeds,  condemnation  awards  or  damage  recovery  proceeds relating to any damage, loss, destruction or condemnation.          “Capital Requirements Directive” shall mean Directive 2013/36/EU of the European Parliament and of the  Council  of  26  June  2013  on  access  to  the  activity  of  credit  institutions  and  the  prudential  supervision  of  credit  institutions  and  investment  firms,  amending  Directive  2002/87/EC  and  repealing  Directives  2006/48/EC  and  2006/49/EC.          “Capitalized  Lease  Obligations”  shall  mean,  with  respect  to  any  Person,  all  rental  obligations  of  such  Person which, under U.S. GAAP, are required to be capitalized on the books of such Person, in each case taken at  the amount thereof accounted for as indebtedness in accordance with U.S. GAAP.          “Cash  Collateral”  shall  have  a  meaning  correlative  to  the  definition  of  “Cash  Collateralize”  and  shall  include the proceeds of such cash collateral and other credit support.          “Cash Collateralize” shall mean (a) to pledge and deposit with or deliver to the Administrative Agent for  deposit  into  the  LC  Collateral  Account,  for  the  benefit  of  the  Administrative  Agent,  the  Issuing  Banks  or  the  Swingline  Lenders  (as  applicable)  and  the  Lenders,  cash  as  collateral  for,  or  (b)  to  provide  other  credit  support  (including  in  the  form  of  backstop  letters  of  credit),  in  form  and  containing  terms  (including,  to  the  extent  not  specifically set forth in this Agreement, the amount thereof) reasonably satisfactory to the Administrative Agent, the  Issuing Bank or the Swingline Lender, as applicable, for, in either case, the LC Exposure, Obligations in respect of  Swingline  Loans, or obligations of Lenders to fund participations in respect of either thereof (as the context  may  require).            “Cash Equivalents” shall mean:                   (i)   U.S.  Dollars,  Canadian  dollars,  Singapore  Dollars,  Hong  Kong  Dollars,  Australian         Dollars,  Pounds  Sterling,  Euros,  CNH,  the  national  currency  of  any  participating  member  state  of  the         European Union or, in the case of any  Foreign Subsidiary, such local currencies  held by it  from time to         time in the ordinary course of business;                  (ii)   readily  marketable  direct  obligations  of  any  member  of  the  European  Economic  Area,         Switzerland, or Japan, or any agency or instrumentality thereof or obligations unconditionally guaranteed         by the full faith and credit of such country, and, at the time of acquisition thereof, having a credit rating of         at least Aa3 (or the equivalent grade) by Moody’s or AA- by S&P (or an equivalent rating from Fitch);                 (iii)   marketable general obligations issued by (a) any state of the United States or any political         subdivision thereof or any instrumentality thereof that are guaranteed by the full faith and credit of such         state or (b) Canada or any agency or instrumentality thereof that are guaranteed by the full faith and credit                                                  -18- 

 

         of Canada, and, in each case, at the time of acquisition thereof, having a credit rating of at least Aa3 (or the         equivalent grade) by Moody’s or AA- by S&P (or an equivalent rating from Fitch);                  (iv)   securities or any other evidence of Indebtedness or readily marketable direct obligations         issued  or  directly  and  fully  guaranteed  or  insured  by  the  United  States  government  or  any  agency  or         instrumentality of the United States government, the U.K. government or any agency or instrumentality of         the  U.K.  government,  any  constituent  nation  of  the  U.K.  or  any  agency  or  instrumentality  thereof,  any         member of the European Union or any agency or instrumentality thereof, or the Canadian government or         any agency or instrumentality thereof (provided that the full faith and credit of the United States, the U.K.,         such member, or Canada, as the case may be, is pledged in support of those securities), in such case having         maturities of not more than 24 months from the date of acquisition;                  (v)    certificates of deposit and eurodollar time deposits with maturities of twenty-four months         or less from the date of acquisition, bankers’ acceptances with maturities not exceeding twenty-four months         and  overnight  bank  deposits,  in  each  case,  with  any  Lender  party  to  this  Agreement  or  any  commercial         bank or trust company  having, or  which is  the  principal banking  subsidiary  of  a bank  holding company         having, a long-term unsecured debt rating of at least “A” or the equivalent thereof from S&P or “A2” or the         equivalent thereof from Moody’s (or an equivalent rating from Fitch);                  (vi)   repurchase obligations with a term of not more than thirty days for underlying securities         of the types described in clauses (iv) and (v) above entered into with any financial institution meeting the         qualifications specified in clause (v) above;                 (vii)   commercial paper having one of the two highest ratings obtainable from Moody’s, S&P         or Fitch and, in each case, maturing within twenty-four months after the date of acquisition;                 (viii)   money market funds at least 95% of the assets of which constitute Cash Equivalents of         the kinds described in clauses (i) through (vii) of this definition; and                  (ix)   Indebtedness or preferred stock issued by Person having a credit rating of at least A-2 (or         the  equivalent  grade)  by  Moody’s  or  A  by  S&P  (or  an  equivalent  rating  from  Fitch),  maturing  within         twenty-four months after the date of acquisition.          “Cash Management Services” shall mean any services provided from time to time to any Borrower or any  of  its  Restricted  Subsidiaries  in  connection  with  operating,  collections,  payroll,  trust,  or  other  depository  or  disbursement  accounts,  including  automated  clearinghouse,  e-payable,  electronic  funds  transfer,  wire  transfer,  controlled disbursement, overdraft, depository, information reporting, lockbox and stop payment services.          “CDOR  Rate”  shall  mean,  for  the  relevant  Interest  Period,  the  Canadian  dollar  offered  rate  (“CDOR”)  which, in turn shall mean on any day the sum of (a) the arithmetic average of the discount rate quotations of all  institutions listed in respect of the relevant interest period for Canadian Dollar-denominated bankers’ acceptances  displayed  and  identified  as  such  on  the  “CDOR  Page”  (or  any  display  substituted  therefore)  of  Reuters  Monitor  Money  Rates  Service  Reuters  Screen,  or,  in  the  event  such  rate  does  not  appear  on  such  page  or  screen,  on  any  successor or substitute page or screen that displays such rate, or on the appropriate page of such other information  service  that  publishes  such  rate  from  time  to  time,  as  selected  by  the  Administrative  Agent  in  its  reasonable  discretion (the “CDOR Screen Rate”), at or about 10:15 a.m. Toronto local time on the first day of the applicable  Interest Period and, if such day is not a Business Day, then on the immediately preceding Business Day (as adjusted  by the Administrative Agent after 10:15 a.m. Toronto local time to reflect any error in the posted rate of interest or  in the posted average annual rate of interest) plus (b) 0.10% per annum; provided that (x) if the CDOR Screen Rate  shall be less than zero, such rate shall be deemed to be zero and (y) if the CDOR Screen Rate is not available on the  Reuters Screen CDOR Page on any particular day, then the Canadian dollar offered rate component of such rate on  that day shall be calculated as the applicable Interpolated Rate as of such time on such day; or if such day is not a  Business Day, then as so determined on the immediately preceding Business Day.                                                  -19- 

 

         “CDOR  Rate  Loan”  shall  mean  a  Loan  denominated  in  Canadian  Dollars  made  by  the  Lenders  to  the  Borrowers which bears interest at a rate based on the CDOR Rate.          “CERCLA” shall mean the Comprehensive Environmental Response, Compensation, and Liability Act of  1980, as the same has been amended and may hereafter be amended from time to time, 42 U.S.C. § 9601 et seq.          “CFC” shall mean a Subsidiary of the Lead Borrower that is a “controlled foreign corporation” within the  meaning of Section 957 of the Code.          “Change in Law” shall mean the occurrence after the Amendment No. 5 Effective Date or, with respect to  any  Lender,  such  later  date  on  which  such  Lender  becomes  a  party  to  this  Agreement,  of  (a)  the  adoption  of  or  taking effect of any law, rule,  regulation  or treaty, (b)  any change in  any  law,  rule,  regulation  or treaty  or in the  interpretation  or  application  thereof  by  any  Governmental  Authority  or  (c)  compliance  by  any  Lender  (or,  for  purposes of Section 2.10(b), by any lending office of such Lender or by  such  Lender’s holding company, if any)  with any request, guideline or directive (whether or not  having  the force of  law)  of any  Governmental  Authority  made or issued  after such applicable date; provided that,  notwithstanding  anything  herein to the contrary,  (x) the  Dodd-Frank  Wall  Street  Reform  and  Consumer  Protection  Act  and  all  requests,  rules,  guidelines  or  directives  thereunder or issued in connection therewith and (y) all requests, rules, guidelines or directives promulgated by the  Bank  for  International  Settlements,  the  Basel  Committee  on  Banking  Supervision  (or  any  successor  or  similar  authority) or the United States or foreign regulatory authorities, in each case pursuant to Basel III, shall be deemed  to be a “Change in Law,” regardless of the date enacted, adopted or issued.          “Change of Control” shall be deemed to occur if:          (a)     any  person  or  “group”  (within  the  meaning  of  Rules  13d-3  and  13d-5  under  the  Securities  Exchange Act as in effect on the Amendment No. 5 Effective Date), but excluding (x) any employee benefit plan of  such person and its Subsidiaries and any person or entity acting in its capacity as trustee, agent or other fiduciary or  administrator  of  any  such  plan  and  (y)  any  combination  of  Permitted  Holders,  shall  have,  directly  or  indirectly,  acquired  beneficial  ownership  of  Equity  Interests  representing  35%  or  more  of  the  aggregate  voting  power  represented by the issued and outstanding Equity Interests of Ultimate Parent and the Permitted Holder shall own,  directly or indirectly, less than such person or “group” of the aggregate voting power represented by the issued and  outstanding Equity Interests of Ultimate Parent;          (b)     a “change of control” (or similar event) shall occur under (I) the Term Loan Credit Agreement,  and  (II)  the  definitive  agreements  pursuant  to  which  any  Refinancing  Notes,  Refinancing  Term  Loans  or  Indebtedness permitted under Section 10.04(xxvii) or (xxix) was issued or incurred, in each case of this subclause  (II)  with  an  aggregate  outstanding  principal  amount  in  respect  of  such  series  of  Refinancing  Notes,  Refinancing  Term Loans or other Indebtedness in excess of the Threshold Amount;           (c)     Ultimate  Parent  shall  cease  to  own,  directly  or  indirectly,  100%  of  the  Equity  Interests  of  Holdings; or          (d)     Holdings shall cease to own, directly or indirectly, (i) 100% of the Equity Interests of the Lead  Borrower or (ii) 100% of the Equity Interests (other than directors’ qualifying shares in de minimis amounts) of the  Irish Parent Borrower, the Hong Kong Parent Borrower, the Canadian Parent Borrower, the French Parent Borrower,  the German Guarantor or the German Parent Borrower (except to the extent (x) any such Credit Party has been  designated as an Unrestricted Subsidiary pursuant to Section 9.16, (y) any such Credit Party has been transferred or  merged  into  another  entity  pursuant  to  Section  10.02,  or  (z)  all  outstanding  Loans  and  Commitments  of  the  Subfacility with respect to which such Credit Party’s assets are included in the Borrowing Base have been repaid  and terminated in full).           Notwithstanding  anything  to  the  contrary  in  this  definition  or  any  provision  of  Section  13d-3  of  the  Securities Exchange Act, no person or “group” shall be deemed to beneficially own Equity Interests to be acquired  by such person or “group” pursuant to a stock or asset purchase agreement, merger agreement, option agreement,                                                  -20- 

 

  warrant  agreement  or  similar  agreement  until  the  consummation  of  the  acquisition  of  the  Equity  Interests  in  connection with the transactions contemplated by such agreement.          “Chattel Paper” shall have the meaning provided in Article 9 of the UCC.          “CITA” shall mean the Income Tax Act (Canada), as amended from time to time.           “Class”  (a)  when  used  with  respect  to  Lenders,  refers  to  whether  such  Lender  has  a  Loan,  Protective  Advance or Commitment with respect to the U.S. Subfacility, the U.S. FILO Subfacility, the Canadian Subfacility,  the  Canadian  FILO  Subfacility,  the  French  Subfacility,  the  German  Subfacility,  the  Asian  Subfacility  or  the  European Subfacility, (b) when used with respect to Commitments, refers to whether such Commitments are U.S.  Revolving  Commitments,  the  U.S.  FILO  Revolving  Commitments,  the  Canadian  Revolving  Commitments,  the  Canadian  FILO  Revolving  Commitments,  the  French  Revolving  Commitments,  the  German  Revolving  Commitments,  the  Asian  Revolving  Commitments  or  the  European  Revolving  Commitments,  and  (c)  when  used  with respect to Loans or a Borrowing, refers to whether such Loans, or the Loans comprising such Borrowing, are  Loans under the U.S.  Subfacility,  Loans under  the U.S.  FILO Subfacility,  Loans  under the  Canadian Subfacility,  Loans  under  the  Canadian  FILO  Subfacility,  Loans  under  the  French  Subfacility,  Loans  under  the  German  Subfacility,  Loans  under  the  Asian  Subfacility  or  Loans  under  the  European  Subfacility  or  Protective  Advances  under the U.S. Subfacility, the U.S. FILO Subfacility, the Canadian Subfacility, the Canadian FILO Subfacility, the  French Subfacility, the German Subfacility, the Asian Subfacility or the European Subfacility.          “Closing Date” shall mean November 30, 2016.           “CNH” means offshore Renminbi deliverable in Hong Kong.          “CNH  HIBOR  Loan”  shall  mean  a  Loan  denominated  in  CNH  made  by  the  Lenders  to  the  Borrowers  which bears interest at a rate based on the CNH HIBOR Rate.          “CNH  HIBOR  Rate”  means,  in  relation  to  any  Loan  in  CNH,  the  Hong  Kong  interbank  offered  rate  administered by the Treasury Markets Association (or any other person which takes over the administration of that  rate) for CNH and period displayed on page CNHHIBORFIX of the Thomson Reuters screen (or any replacement  Thomson Reuters page which displays that rate), as of 11:00 a.m. Hong Kong local time, two Business Days before  the first day of the applicable Interest Period (“CNH HIBOR Screen Rate”); provided that (x) if no CNH HIBOR  Screen Rate is available for the Interest Period of that Loan, the Interpolated Rate for that Loan shall be used, (y) if  no  CNH  HIBOR  Screen  Rate  is  available  for  the  currency  of  that  Loan  and  it  is  not  possible  to  calculate  an  Interpolated Rate for that Loan, then, unless and until the Administrative Agent and the applicable Borrower shall  mutually agree upon a substitute rate, then the Hong Kong interbank offered rate component of such rate on that day  shall be calculated as (i) if available, the CNH HIBOR Screen Rate for the immediately preceding Business Day,  adjusted  to  take  into  account  such  factors  as  the  Administrative  Agent  may,  in  its  absolute  discretion,  consider  necessary  and  (ii)  if  the  CNH  HIBOR  Screen  Rate  referred  to  in  clause  (i)  is  unavailable,  the  cost  to  the  Administrative Agent of funding the relevant Loan from whatever source it may reasonably select and (z) if any  such CNH HIBOR Screen Rate or Interpolated Rate is below zero, CNH HIBOR will be deemed to be zero.           “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time.          “Code  of  Banking  Practice  (Australia)”  shall  mean  the  Code  of  Banking  Practice  published  by  the  Australian Bankers’ Association.           “Collateral” shall mean, collectively, the U.S. Collateral and the Foreign Collateral.          “Collateral Agents” shall mean, collectively, the U.S. Collateral Agent, the European Collateral Agent, the  French Collateral  Agent,  the  German Collateral  Agent,  the Asian  Collateral  Agent and the  Australian Collateral  Agent.          “Collection Accounts” has the meaning given to that term in Section 9.17(e)(i).                                                   -21- 

 

         “Collections” has the meaning given to that term in Section 9.17(e)(i).           “Commitment”  shall  mean,  with  respect  to  any  Lender,  such  Lender’s  Revolving  Commitment,  LC  Commitment or Swingline Commitment, or any Extended Revolving Loan Commitment.          “Commodity Exchange Act” shall mean the Commodity Exchange Act (7 U.S.C. § 1 et seq.), as amended  from time to time, and any successor statute.          “Compliance  Certificate”  shall  mean  a  certificate  of  the  Responsible  Officer  of  the  Lead  Borrower  substantially in the form of Exhibit J hereto.          “Compounded SOFR”   shall  mean the compounded average of SOFRs  for the applicable Corresponding  Tenor, with the rate, or methodology for this rate, and conventions for this rate (which may include compounding in  arrears with a lookback and/or suspension period as a mechanism to determine the interest amount payable prior to  the end of each Interest Period) being established by the Administrative Agent in accordance with:                   (1) the rate, or methodology for this rate, and conventions for this rate selected or recommended by the             Relevant Governmental Body for determining compounded SOFR; provided that:                      (2) if,  and  to  the  extent  that,  the  Administrative  Agent  determines  that  Compounded  SOFR  cannot  be             determined  in  accordance  with  clause  (1)  above,  then  the  rate,  or  methodology  for  this  rate,  and             conventions  for  this  rate  that  the  Administrative  Agent  determines  in  its  reasonable  discretion  are             substantially  consistent  with  any  evolving  or  then-prevailing  market  convention  for  determining             compounded SOFR for U.S. dollar-denominated syndicated credit facilities at such time;            provided, further, that if the Administrative Agent decides that any such rate, methodology or convention  determined in accordance with clause (1) or clause (2) is not administratively feasible for the Administrative Agent,  then  Compounded  SOFR  will  be  deemed  unable  to  be  determined  for  purposes  of  the  definition  of  “Benchmark  Replacement.”          “Consolidated Depreciation and Amortization Expense” shall mean, with respect to any Person, for any  period, the total amount of depreciation and amortization expense, including (i) amortization of deferred financing  fees and debt issuance costs, commissions, fees and expenses, (ii) amortization of unrecognized prior service costs  and  actuarial  gains  and  losses  related  to  pensions  and  other  post-employment  benefits  and  (iii)  amortization  of  intangibles  (including,  without  limitation,  amortization  of  turnaround  costs,  goodwill  and  organizational  costs)  (excluding any such adjustment to the extent that it represents an accrual of or reserve for cash expenditures in any  future period except  to  the extent such adjustment  is  subsequently reversed),  in each  case  of such  Person and its  Restricted Subsidiaries for such period on a consolidated basis in accordance with U.S. GAAP.          “Consolidated EBITDA” shall mean, with respect to any Person for any period, Consolidated Net Income  of such Person for such period; plus (without duplication):                   (i)   provision for taxes based on income, profits or capital (including state franchise taxes and         similar taxes in the nature of income tax) of such Person and its Restricted Subsidiaries for such period,         franchise  taxes  and  foreign  withholding  taxes  and  including  an  amount  equal  to  the  tax  distributions         actually made to the holders of the Equity Interests of such Person or any direct or indirect parent of such         Person in respect of such period in accordance with Section 10.03(vi) as though such amounts had been         paid as income taxes directly by such Person, in each case, to the extent that such provision for taxes was         deducted in computing such Consolidated Net Income; plus                  (ii)   Consolidated Depreciation and Amortization Expense of such Person and its  Restricted         Subsidiaries for such period, to the extent such expenses were deducted in computing such Consolidated         Net Income; plus                                                  -22- 

 

                         (iii)   the  sum  of  (a)  the  consolidated  interest  expense  of  such  Person  and  its  Restricted  Subsidiaries  for  such  period,  whether  paid  or  accrued,  to  the  extent  such  expense  was  deducted  in  computing Consolidated Net Income, including, without limitation, amortization of original issue discount,  the interest component of all payments associated  with Capitalized Lease Obligations, and the net of the  effect of all payments made or received pursuant to Swap Contracts (but excluding any non-cash interest  expense attributable to the  mark-to-market valuation of Swap Contracts or other derivatives pursuant to  U.S. GAAP) and excluding amortization or write-off of deferred financing fees and expensing of any other  financing fees, including any expensing of bridge or commitment fees and the non-cash portion of interest  expense resulting from the reduction in the carrying value under purchase accounting of the Borrower’s  outstanding Indebtedness; provided that, for purposes of calculating consolidated interest expense, no effect  will be given to the discount and/or premium resulting from the bifurcation of derivatives under ASC 815,  Derivatives and Hedging, as a result of the terms of the Indebtedness to which such consolidated interest  expense applies; plus (b) the consolidated interest expense of such Person and its Restricted Subsidiaries  that was capitalized during such period; plus (c) all cash dividends, whether paid or accrued, on any series  of preferred stock or any series of Disqualified Stock of such Person or any of its Restricted Subsidiaries,  excluding items eliminated in consolidation, in each case, determined on a consolidated basis in accordance  with U.S. GAAP; minus (d) the consolidated interest income of such Person and its Restricted Subsidiaries  for such period, whether received or accrued, to the extent that the foregoing were deducted or included, in  the case of clause (d), in computing such Consolidated Net Income; plus           (iv)   any  other  non-cash  losses,  charges  and  expenses  of  such  Person  and  its  Restricted  Subsidiaries  (including  write-offs  and  write-downs)  for  such  period,  to  the  extent  that  such  non-cash  charges were included in computing such Consolidated Net Income; provided that  if  any  such  non-cash  charge represents an accrual or reserve for anticipated cash charges in any future period, (i) such Person  may  determine  not  to  add  back  such  non-cash  charge  in  the  period  for  which  Consolidated  EBITDA  is  being calculated; provided that the aggregate amount of such non-cash charges not so added back in such  period shall not exceed, when aggregated with amounts not added back pursuant to the proviso at the end of  this definition and the proviso at the end of the definition of “Consolidated Net Income,” $10,000,000 and  (ii) to the extent such Person does decide to add back such non-cash charge, the cash payment in respect  thereof in such future period shall be subtracted from Consolidated EBITDA to such extent, and excluding  amortization of a prepaid cash item that was paid in a prior period; plus           (v)    any  losses  from  foreign  currency  transactions  (including  losses  related  to  currency  remeasurements  of  Indebtedness)  of  such  Person  and  its  Restricted  Subsidiaries  for  such  period,  to  the  extent that such losses were taken into account in computing such Consolidated Net Income; plus           (vi)   (a)  the  Specified  Permitted  Adjustments  and  (b)  any  other  cost  savings,  operating  expense reductions, operating improvements and synergies permitted to be added back to this definition  pursuant to the definition of “Pro Forma Cost Savings” (including, without limitation, expenses attributable  to  the  implementation  of  such  cost  savings  initiatives  and  costs  and  expenses  related  to  employment  of  terminated employees incurred by such Person during such period to the extent such costs and expenses  were deducted in computing Consolidated Net Income) and in the case of this clause (b), subject to the Cost  Savings Cap; plus          (vii)   losses  in  respect  of  post-retirement  benefits  of  such  Person  and  its  Restricted  Subsidiaries, as a result of the application of ASC 715, Compensation-Retirement Benefits,  to  the extent  that such losses were deducted in computing such Consolidated Net Income; plus         (viii)   the amount of fees, indemnities and expenses incurred or reimbursed by such Person and  its Restricted Subsidiaries pursuant to Sections 10.06(v) and 10.06(vii) hereunder; plus           (ix)   any  proceeds  from  business  interruption  insurance  received  by  such  Person  and  its  Restricted Subsidiaries during such period, to the extent the associated losses arising out of the event that  resulted  in  the  payment  of  such  business  interruption  insurance  proceeds  were  included  in  computing  Consolidated Net Income; plus                                           -23- 

 

                 (x)    [reserved]; plus                  (xi)   any contingent  or  deferred payments (including,  without  limitation, earn-out  payments,         noncompete  payments  and  consulting  payments)  incurred  in  connection  with  any  acquisition  or  other         Investment and paid or accrued during the applicable period; plus                 (xii)   [reserved]; minus                (xiii)   any  interest  expense  consisting  of  Subsidiary  income  attributable  to  minority  equity         interests of third parties in any Restricted Subsidiary of such Person that is not a Wholly-Owned Restricted         Subsidiary of such Person; minus                (xiv)    the amount of any gain in respect of post-retirement benefits as a result of the application         of ASC 715, to the extent such gains were taken into account in computing such Consolidated Net Income;         minus                 (xv)    any  gains  from  foreign  currency  transactions  (including  gains  related  to  currency         remeasurements  of  Indebtedness)  of  such  Person  and  its  Restricted  Subsidiaries  for  such  period,  to  the         extent that such gains were taken into account in computing such Consolidated Net Income; minus                (xvi)    non-cash gains increasing such Consolidated Net Income for such period, other than the         accrual of revenue in the ordinary course of business and other than reversals of an accrual or reserve for a         potential cash item that reduced Consolidated EBITDA in any prior period,          provided, that the Lead Borrower may, in its sole discretion, elect to not make any adjustment for any item  pursuant to the foregoing clauses (i) through (xvi) above if any such item individually is less than $2,000,000 in any  fiscal quarter; provided, further that the aggregate amount  of such items  not added back  in such period shall not  exceed, when aggregated with amounts not added back pursuant to clause (iv)(i) of this definition and pursuant to  the proviso in the last paragraph of the definition of “Consolidated Net Income,” $10,000,000.          “Consolidated Fixed Charge Coverage Ratio” shall mean, with respect to any Test Period, the ratio of (a)  Consolidated EBITDA of the Lead Borrower and its Restricted Subsidiaries for such Test Period, minus (x) Capital  Expenditures  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  paid  in  cash  (excluding  the  proceeds  of any  Indebtedness  (other  than  Indebtedness  hereunder))  for  such  Test  Period,  (y)  the  amount  of  cash  payments  made  during such Test Period (net of cash refunds received during such period) by the Lead Borrower and its Restricted  Subsidiaries in respect of federal, state, local and foreign income taxes during such Test Period and (z) Dividends  permitted by Section 10.03(xiii) or (xv) paid in cash for such period to (b) Consolidated Fixed Charges for such Test  Period, calculated on a Pro Forma Basis.          “Consolidated  Fixed  Charges”  shall  mean,  with  respect  to  any  period,  for  the  Lead  Borrower  and  its  Restricted Subsidiaries on a consolidated basis, the sum, without duplication, of (a) Consolidated Interest Charges  for such period to the extent paid in cash (or accrued and payable on a current basis in cash) and (b) the aggregate  amount  of  scheduled  amortization  payments  of  principal  made  during  such  period  in  respect  of  long-term  Consolidated Indebtedness.          “Consolidated Indebtedness” shall mean, at any time, the sum of (without duplication) (i) all Capitalized  Lease Obligations of the Lead Borrower and its Restricted Subsidiaries, (ii) all Indebtedness of the Lead Borrower  and its Restricted Subsidiaries of the type described in clause (i)(A) of the definition of “Indebtedness” and (iii) all  Contingent Obligations of the Lead Borrower and its Restricted Subsidiaries in respect of Indebtedness of any third  Person of the type referred to in the preceding clauses (i) and (ii), in each case, determined on a consolidated basis in  accordance with U.S. GAAP and calculated on a Pro Forma Basis; provided that Consolidated Indebtedness shall  not include Indebtedness in respect of any Refinancing Notes or Permitted Notes that have been defeased or satisfied  and discharged in accordance with the applicable indenture or with respect to which the required deposit has been  made  in  connection  with  a  call  for  repurchase  or  redemption  to  occur  within  the  time  period  set  forth  in  the  applicable indenture, in each case to the extent such transactions are permitted by Section 10.07(a).                                                  -24- 

 

         “Consolidated  Interest  Charges”  shall  mean,  with  respect  to  any  period,  for  the  Lead  Borrower  and  its  Restricted  Subsidiaries  on  a  consolidated  basis,  all  cash  interest,  premium  payments,  debt  discount,  charges  and  related fees and expenses, net of interest income, of the Lead Borrower and its Restricted Subsidiaries in connection  with borrowed money (including capitalized interest) or in connection with the deferred purchase price of assets, in  each case to the extent treated as interest in accordance with U.S. GAAP, excluding (a) up-front or financing fees  (including, without limitation, bridge or commitment fees), transaction costs, commissions, expenses, premiums or  charges, (b) costs associated with obtaining, or breakage costs in respect of, swap or hedging agreements and (c)  amortization or write-off of deferred financing costs.            “Consolidated Net Income” shall mean, with respect to any specified Person for any period, the aggregate  of  the  net  income  (loss)  of  such  Person  and  its  Restricted  Subsidiaries  for  such  period,  on  a  consolidated  basis,  determined in accordance with U.S. GAAP; provided that:                   (i)   any after-tax effect of all extraordinary (as determined in accordance with U.S. GAAP         prior to giving effect to Accounting Standards Update No. 2015-01, Income Statement—Extraordinary and         Unusual Items (Subtopic 225-20), Simplifying Income Statement Presentation by Eliminating the Concept         of Extraordinary Items), nonrecurring or unusual gains or losses or income or expenses (including related         to  the  Amendment  No.  5  Transactions)  or  any  restructuring  charges  or  reserves,  including,  without         limitation, any expenses or charges related to any reconstruction, recommissioning or reconfiguration of         fixed assets for alternate uses, retention, severance, system establishment cost, contract termination costs,         costs to consolidate facilities and relocate employees, advisor fees and other out of pocket costs and non-        cash  charges  to  assess  and  execute  operational  improvement  plans  and  restructuring  programs,  will  be         excluded;                  (ii)   any expenses, costs or charges incurred, or any amortization thereof for such period, in         connection with any equity issuance, Investment, acquisition, disposition, recapitalization or incurrence or         repayment of, or amendment or waiver of the operative documents with respect to, Indebtedness permitted         under this Agreement, including a refinancing thereof (in each case whether or not successful) (including         any such costs and charges incurred in connection with the Amendment No. 5 Transactions), and all gains         and losses realized in connection  with any business disposition or any disposition of assets outside the         ordinary course of business or the disposition of securities or the early extinguishment of Indebtedness or         other derivative instruments, together with any related provision for taxes on any such gain, loss, income or         expense will be excluded;                 (iii)   the  net  income  (or  loss)  of  any  Person  that  is  not  a  Restricted  Subsidiary  or  that  is         accounted  for  by  the  equity  method  of  accounting  will  be  excluded; provided that  the  income  of  such         Person will be included to the extent of the amount of dividends or similar distributions paid in cash (or         converted to cash) to the specified Person or a Restricted Subsidiary of the Person;                  (iv)   the net income (or loss) of any Person and its Restricted Subsidiaries will be calculated         without deducting the income attributed to, or adding the losses attributed to, the minority equity interests         of third parties in any non-Wholly-Owned Restricted Subsidiary except to the extent of the dividends paid         in cash (or convertible into cash) during such period on the shares of Equity Interests of such Restricted         Subsidiary held by such third parties;                  (v)    [reserved];                  (vi)   the cumulative effect of any change in accounting principles will be excluded;                 (vii)   (a) any non-cash expenses resulting from the grant or periodic remeasurement of stock         options,  restricted stock  grants or other equity  incentive programs  (including  any stock  appreciation and         similar  rights)  and  (b)  any  costs  or  expenses  incurred  pursuant  to  any  management  equity  plan  or  stock         option  plan  or  other  management  or  employee  benefit  plan  or  agreement  or  any  stock  subscription  or         shareholder agreement, to the extent, in the case of clause (b), that such costs or expenses are funded with         cash proceeds contributed to the common equity capital of the Lead Borrower or a Restricted Subsidiary of         the Lead Borrower, will be excluded;                                                 -25- 

 

                        (viii)   the effect of any non-cash impairment charges or write-ups, write-downs or write-offs of  assets or liabilities resulting from the application of U.S. GAAP and the amortization of intangibles arising  from the  application of U.S.  GAAP,  including pursuant  to ASC 805, Business  Combinations,  ASC 350,  Intangibles-Goodwill  and  Other,  or  ASC  360, Property, Plant  and  Equipment,  as  applicable,  will  be  excluded;           (ix)   any net after-tax income or loss from disposed, abandoned or discontinued operations and  any net after-tax gains or losses on disposed, abandoned or discontinued, transferred or closed operations  will be excluded;           (x)    any increase in amortization  or depreciation, or effect  of  any adjustments to inventory,  property, plant or equipment, software, goodwill and other intangibles, debt line items, deferred revenue or  rent  expense,  any  one  time  cash  charges  (such  as  purchased  in  process  research  and  development  or  capitalized manufacturing profit in inventory) or any other effects, in each case, resulting from purchase  accounting  in  connection  with  the  Amendment  No.  5  Transactions  or  any  other  acquisition  prior  to  or  following the Closing Date will be excluded;           (xi)   an  amount  equal  to  the  tax  distributions  actually  made  to  the  holders  of  the  Equity  Interests  of  such  Person  or  any  direct  or  indirect  parent  of  such  Person  in  respect  of  such  period  in  accordance with Section 10.03(vi) will be included as though such amounts had been paid as income taxes  directly by such Person for such period;          (xii)   unrealized  gains  and  losses  relating  to  foreign  currency  transactions,  including  those  relating  to  mark-to-market  of  Indebtedness  resulting  from  the  application  of  U.S.  GAAP,  including  pursuant  to  ASC  830, Foreign  Currency  Matters,  (including  any  net  loss  or  gain  resulting  from  hedge  arrangements for currency exchange risk) will be excluded;         (xiii)   any  net  gain  or  loss  from  obligations  under  Swap  Contracts  or  in  connection  with  the  early  extinguishment  of  Indebtedness  or  obligations  under  Swap  Contracts  (including  of  ASC  815,  Derivatives and Hedging) will be excluded;         (xiv)    the amount of any restructuring, business optimization, acquisition and integration costs  and  charges  (including,  without  limitation,  retention,  severance,  systems  establishment  costs,  excess  pension  charges,  information  technology  costs,  rebranding  costs,  recruiting  and  signing  bonuses  and  expenses,  contract  termination  costs,  including  future  lease  commitments,  costs  related  to  the  start-up  (including  entry  into  new  market/channels  and  new  service  offerings),  preopening,  opening,  closure  or  relocation, reconfiguration or consolidation of facilities and costs to relocate employees, systems, facilities  or equipment conversion costs, consulting fees, costs associated with tax projects and audits) or other fees  related to any of the foregoing (including any such costs, charges and fees incurred in connection with the  Amendment No. 5 Transactions) will be excluded; and          (xv)    accruals  and  reserves  that  are  established  or  adjusted  within  18  months  after  the  Amendment No. 5 Effective Date that are so required to be established as a result of the Amendment No. 5  Transactions in accordance with U.S. GAAP will be excluded;         (xvi)    all  amortization  and  write-offs  of  deferred  financing  fees,  debt  issuance  costs,  commissions,  fees  and  expenses,  costs  of  surety  bonds,  charges  owed  with  respect  to  letters  of  credit,  bankers’ acceptances or similar facilities, and expensing of any bridge, commitment or other financing fees  (including in connection with a transaction undertaken but not completed), will be excluded;          (xvii)   losses, charges and expenses that are covered by indemnification or other reimbursement  provisions in connection with any asset disposition will be excluded to the extent actually reimbursed, or so  long  as  such  Person  has  made  a  determination  that  a  reasonable  basis  exists  for  indemnification  or  reimbursement,  but only  to  the extent  that  such amount  is  in  fact indemnified  or  reimbursed  within  365                                           -26- 

 

         days of such determination (with a deduction in the applicable future period for any amount so added back         to the extent not so indemnified or reimbursed within such 365 days);                (xviii)   cash  dividends  or  returns  of  capital  from  Investments  in  Persons  other  than  the  Lead         Borrower  and  the  Restricted  Subsidiaries  (such  return  of  capital  limited  to  gains  on  dispositions  of         Investments),  in  each  case  received  during  such  period,  to  the  extent  not  otherwise  included  in         Consolidated Net Income for that period or any prior period subsequent to the Amendment No. 5 Effective         Date will be included;          provided, that the Lead Borrower may, in its sole discretion, elect to not make any adjustment for any item  pursuant to the foregoing clauses (i) through (xviii) above if any such item individually is less than $2,000,000 in  any fiscal quarter; provided, further that the aggregate amount of such adjustments pursuant to this proviso, clause  (iv)(i) of the definition of “Consolidated EBTIDA” and the proviso set forth in the last paragraph of the definition of  “Consolidated EBITDA” not included in any such fiscal quarter shall not in the aggregate exceed $10,000,000.          “Consolidated  Total  Assets”  shall  mean,  as  of  any  date  of  determination,  the  amount  that  would,  in  conformity with U.S. GAAP, be set forth opposite the caption “total assets” (or any like caption) on a consolidated  balance sheet of the Lead Borrower and the Restricted Subsidiaries at such date.          “Consolidated  Total  Net  Leverage  Ratio”  shall  mean,  at  any  time,  the  ratio  of  (x)  Consolidated  Indebtedness at such time, less the aggregate amount of (a) unrestricted cash and Cash Equivalents and (b) cash and  Cash  Equivalents  restricted  solely  in  favor  of  or  pursuant  to  the  Term  Loan  Credit  Agreement  and  the  credit  documents related thereto, any Credit Document, any Permitted Pari Passu Notes Documents, any Permitted Pari  Passu  Loan  Documents,  any  Refinancing  Note  Documents  or  Refinancing  Term  Loan  Documents  in  respect  of  Refinancing Notes or Refinancing Term Loans that rank pari passu with the Term Loans (as defined in the Term  Loan Credit Agreement) and any Permitted Junior Debt Documents (to the extent such cash and Cash Equivalents  also  secure  the  Indebtedness  hereunder  on  a  senior  priority  basis)  to  (y)  Consolidated  EBITDA  of  the  Lead  Borrower and its Restricted Subsidiaries for the Test Period then most recently ended.  If the Consolidated Total Net  Leverage Ratio is being determined for a given Test Period, Consolidated Indebtedness shall be measured on the last  day of such Test Period, with Consolidated EBITDA being determined for such Test Period.          “Contingent  Obligation” shall mean, as  to  any Person, any  obligation of  such Person  as  a result of  such  Person being a general partner of any other Person, unless the underlying obligation is expressly made non-recourse  as  to  such  general  partner,  and  any  obligation  of  such  Person  guaranteeing  or  intended  to  guarantee  any  Indebtedness (“primary obligations”) of any other Person (the “primary obligor”) in any manner, whether directly or  indirectly,  including,  without  limitation,  any  such  obligation  of  such  Person,  whether  or  not  contingent,  (i)  to  purchase any such primary obligation or any property constituting direct or indirect security therefor, (ii) to advance  or supply funds (x) for the purchase or payment of any such primary obligation or (y) to maintain working capital or  equity capital of the primary obligor or otherwise to maintain the net worth or solvency of the primary obligor, (iii)  to  purchase  property,  securities  or  services  primarily  for  the  purpose  of  assuring  the  owner  of  any  such  primary  obligation of the ability of the primary obligor to make payment of such primary obligation or (iv) otherwise to  assure or hold harmless the holder of such primary obligation against loss in respect thereof; provided, however, that  the  term  Contingent  Obligation  shall  not  include  endorsements  of  instruments  for  deposit  or  collection  in  the  ordinary course of business.  The amount of any Contingent Obligation shall be deemed to be an amount equal to the  stated or determinable amount of the primary obligation in respect of which such Contingent Obligation is made or,  if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by such  Person in good faith.          “Contribution Indebtedness” shall mean Indebtedness of the Lead Borrower or any Restricted Subsidiary in  an  aggregate  principal  amount  at  any  time  outstanding  not  greater  than  100%  of  the  aggregate  amount  of  cash  contributions  (other  than  the  proceeds  from  the  issuance  of  Disqualified  Stock  and  contributions  by  the  Lead  Borrower or any Restricted Subsidiary) made to the capital of the Lead Borrower or such Restricted Subsidiary after  the Amendment No. 5 Effective Date (whether through the issuance or sale of capital stock or otherwise), in each  case, to the extent not otherwise applied to any other basket or exception under this Agreement; provided that the  maturity date of such Contribution Indebtedness is  no earlier than the  Latest Maturity Date as of the date such  Contribution Indebtedness was incurred.                                                 -27- 

 

         “Contribution Notice” shall mean a contribution notice issued by the Pensions Regulator under s38 or s47  of the United Kingdom’s Pensions Act 2004.          “Corporations Act” shall mean the Corporations Act 2001 (Cth) of Australia.          “Corresponding  Tenor” with  respect  to  a  Benchmark  Replacement  means  a  tenor  (including  overnight)  having  approximately  the  same  length  (disregarding  business  day  adjustment)  as  the  applicable  tenor  for  the  applicable Interest Period with respect to the LIBO Rate.          “Cost” shall mean, as reasonably determined by the Administrative Agent in good faith, with respect to  Inventory, the lower of (a) cost computed on a specific identification or first in first out basis or (b) market value,  provided that for purposes of the calculation of Borrowing Base, the cost of Inventory shall not include (A) the  portion of the cost of Inventory equal to the profit earned by any Affiliate on the sale thereof to any Borrower, or (B)  write ups or write downs in cost with respect to currency exchange rates.          “Cost  Savings  Cap” shall  have the  meaning  provided  to such term  in the definition of  “Pro  Forma Cost  Savings.”          “Covered Entity”  shall  mean  any of  the  following:  (i) a  “covered  entity” as that  term  is defined in, and  interpreted  in  accordance  with,  12  C.F.R.  §  252.82(b);  (ii)  a  “covered  bank”  as  that  term  is  defined  in,  and  interpreted  in  accordance  with,  12  C.F.R.  §  47.3(b);  or  (iii)  a  “covered  FSI”  as  that  term  is  defined  in,  and  interpreted in accordance with, 12 C.F.R. § 382.2(b).          “Covered Party” shall have the meaning provided in Section 13.28.          “Credit Documents” shall mean this Agreement, Amendment No. 1, Amendment No. 2, Amendment No. 3,  Amendment No. 4, Amendment No. 5, and, after the execution and delivery thereof pursuant to the terms of this  Agreement,  each  Note,  the  Guaranty  Agreement,  each  Security  Document,  the  Intercreditor  Agreement,  any  Additional  Intercreditor  Agreement,  each  Incremental  Revolving  Commitment  Agreement  and  each  Extension  Amendment (and each joinder to such Credit Document).          “Credit Event” shall mean the making of any Loan.          “Credit  Extension”  shall  mean,  as  the  context  may  require,  (i)  a  Credit  Event  or  (ii)  the  issuance,  amendment, extension or renewal of any Letter of Credit by any Issuing Bank; provided that “Credit Extensions”  shall not include conversions and continuations of outstanding Loans.          “Credit Party” shall mean Holdings, the Borrowers and each Subsidiary Guarantor.          “Crew Transactions” shall have the meaning provided in Amendment No. 4.          “Crew Transactions Closing Date” shall mean the date of consummation of the Mergers (as defined in the  Crew Acquisition Agreement (as defined in Amendment No. 4)) pursuant to the Crew Acquisition Agreement.          “Debtor  Relief  Laws”  shall  mean  the  Bankruptcy  Code  of  the  United  States,  and  all  other  liquidation,  conservatorship,  bankruptcy,  assignment  for  the  benefit  of  creditors,  administration,  examinership,  moratorium,  rearrangement,  receivership,  insolvency,  judicial  management,  reorganization,  or  similar  debtor  relief  laws  of  the  United States or other applicable jurisdictions from time to time in effect including any proceeding under corporate  law or other law of any jurisdiction whereby a corporation seeks a stay or a compromise of the claims of its creditors  against  it  and  each  of  the United  Kingdom’s  Insolvency  Act  1986,  Regulation  (EU)  2015/848  of  the  European  Parliament and of the Council of 20 May 2015 on insolvency proceedings, the United Kingdom’s Companies Act  2006, the Irish Companies Act, Companies (Winding Up and Miscellaneous Provisions) Ordinance (Chapter 32 of  the Laws of Hong Kong) (Hong Kong), Companies (Winding Up) Rules (Chapter 32H of the Laws of Hong Kong),  Bankruptcy Ordinance (Chapter 6 of the  Laws of Hong Kong),  the Bankruptcy and Insolvency Act (Canada), the  Companies’ Creditors Arrangement Act (Canada), the Winding-Up and Restructuring Act (Canada), the Bankruptcy                                                  -28- 

 

  Act,  Chapter  20  of  Singapore,  the  Companies  Act,  Chapter  50  of  Singapore,  the  Insolvency,  Restructuring  and  Dissolution Act 2018 of Singapore (No. 40 of 2018) and the Corporations Act, each as now and hereafter in effect,  any  successors  to  such  statutes  and  any  other  applicable  insolvency  or  other  similar  law  of  any  jurisdiction  (including, in respect of a French Credit Party, Book VI of the French Commercial Code as amended) and including,  in respect of a German Credit Party, the German Insolvency Code (Insolvenzordnung).          “Default”  shall  mean  any  event,  act  or  condition  which  with  notice  or  lapse  of  time,  or  both,  would  constitute an Event of Default.          “Default  Right”  shall  have  the  meaning  assigned  to  that  term  in,  and  shall  be  interpreted  in  accordance  with, 12 C.F.R. §§ 252.81, 47.2 or 382.1, as applicable.          “Defaulting Lender” shall mean, any Lender that (a) has failed to (i) fund all or any portion of its Loans  within two Business Days of the date such Loans were required to be funded hereunder unless such Lender notifies  the  Administrative  Agent  and  the  Lead  Borrower  in  writing  that  such  failure  is  the  result  of  such  Lender’s  determination that one or more conditions precedent to funding (each of which conditions precedent, together with  any  applicable  default,  shall  be  specifically  identified  in  such  writing)  has  not  been  satisfied,  or  (ii)  pay  to  the  Administrative Agent, any Issuing Bank, any Swingline Lender or any other Lender any other amount required to be  paid by it hereunder (including in respect of its participation in Letters of Credit or Swingline Loans) within two  Business Days of the date when due, (b) has notified the Lead Borrower or the Administrative Agent in writing that  it does not intend to comply with its funding obligations hereunder, or has made a public statement to that effect  (unless such writing or public statement relates to such lender’s obligation to fund a Loan hereunder and states that  such  position  is  based  on  such  Lender’s  determination  that  a  condition  precedent  to  funding  (which  condition  precedent, together with any applicable default, shall be specifically identified in such writing or public statement)  cannot be satisfied), (c) has failed, within three Business Days after written request by the Administrative Agent or  the Lead Borrower, to confirm in writing to the Administrative Agent and the Lead Borrower that it will comply  with its prospective funding obligations hereunder (provided that such Lender shall cease to be a Defaulting Lender  pursuant to this clause (c) upon receipt of such  written confirmation by the Administrative  Agent and the Lead  Borrower),  or  (d)  has,  or  has  a  direct  or  indirect  parent  company  that  has  other  than  via  an  Undisclosed  Administration, (i) become the subject of (A) a proceeding under any Debtor Relief Law or (B) a Bail-In Action, or  (ii) had appointed for it a receiver, custodian, conservator, trustee, administrator, assignee for the benefit of creditors  or similar Person charged with reorganization or liquidation of its business or assets, including the Federal Deposit  Insurance Corporation or any other state or federal regulatory authority acting in such a capacity; provided that a  Lender shall not be a Defaulting Lender solely by virtue of the ownership or acquisition of any Equity Interest in  that  Lender  or  any  direct  or  indirect  parent  company  thereof  by  a  Governmental  Authority  so  long  as  such  ownership interest does not result in or provide such Lender with immunity from the jurisdiction of courts within the  United States or from the enforcement of judgments or writs of attachment on its assets or permit such Lender (or  such Governmental Authority) to reject, repudiate, disavow or disaffirm any contracts or agreements made with such  Lender.  Any determination by the Administrative Agent that a Lender is a Defaulting Lender under any one or  more  of  clauses  (a)  through  (d)  above,  and  of  the  effective  date  of  such  status,  shall  be  conclusive  and  binding  absent manifest error, and such Lender shall be deemed to be a Defaulting Lender of the date established therefor by  the Administrative Agent in a written notice of such determination, which shall be delivered by the Administrative  Agent to the Lead Borrower and each other Lender promptly following such determination.  Notwithstanding the  foregoing, (x) in no event shall a Lender providing any French Revolving Loans or LC Credit Extensions for the  account or benefit of any French Subsidiary be deemed a Defaulting Lender as a result of its inability to fund any  portion of such Loans or LC Credit Extensions, as required to be funded by it, as a result of a Change in Law or  circumstances,  following  the  Closing  Date,  that  causes  it  to  cease  to  be  a  French  Authorized  Lender  or  French  Authorized Issuing Bank, as applicable and (y) in no event shall a Lender providing any LC Credit Extensions for  the account or benefit of any Irish Subsidiary be deemed a Defaulting Lender as a result of its inability to fund any  portion  of  such  LC  Credit  Extensions,  as  required  to  be  funded  by  it,  as  a  result  of  any  Change  in  Law  or  circumstances, following the Closing Date, that causes it to cease to be an Irish Authorized LC Issuer.           “Deposit Account” shall have the meaning assigned thereto in Article 9 of the UCC, and shall include the  meaning given to the term “Deposit Accounts” in any Non-U.S. Security Agreement.                                                  -29- 

 

         “Deposit Account Control Agreement” shall mean a Deposit Account control agreement to be executed by  each institution maintaining a Deposit Account (other than an Excluded Account) for any Credit Party, in each case  as  required  by  and  in  accordance  with  the  terms  of  Section  9.17  (or  any  similar  agreements,  documentation  or  requirement necessary, as determined by the Administrative Agent in its Permitted Discretion, to perfect the security  interest of any Collateral Agent or effect control over the relevant Deposit Accounts).          “Designated Non-cash Consideration” shall mean the fair market value of non-cash consideration received  by the Lead Borrower or one of its Restricted Subsidiaries in connection with an asset sale that is so designated as  Designated Non-cash Consideration pursuant to an officers’ certificate, setting forth the basis of such valuation, less  the amount of cash and Cash Equivalents received in connection with a subsequent sale of such Designated Non- cash Consideration.          “Dilution Factors” shall mean, without duplication, with respect to any period, the aggregate amount of all  deductions, credit memos, returns, adjustments, allowances, bad debt write-offs and other non-cash credits which are  recorded to reduce accounts receivable in a manner consistent with current and historical accounting practices of the  Credit Parties.           “Dilution Ratio” shall mean, at any date, the amount (expressed as a percentage) equal to (a) the aggregate  amount of the applicable Dilution Factors for the twelve (12) most recently ended fiscal months divided by (b) total  gross sales for the twelve (12) most recently ended fiscal months.           “Dilution  Reserve”  shall  mean,  at  any  date,  the  applicable  Dilution  Ratio  multiplied  by  the  Eligible  Accounts.          “Disqualified  Lender”  shall  mean  (a)  competitors  of  Ultimate  Parent,  the  Lead  Borrower  and  its  Subsidiaries, and any person controlling or controlled by any such competitor, in each case identified in writing by  the Lead Borrower (or its counsel) to the Administrative Agent at any time (at any time when JPMCB is serving as  Administrative  Agent,  by  e-mail  to  JPMDQ_Contact@jpmorgan.com),  (b)  institutions  previously  designated  in  writing by the Lead Borrower to the Administrative Agent prior to the Amendment No. 5 Effective Date by notice to  the  Administrative  Agent  and  (c)  any  affiliates  of  any  such  competitors,  controlling  or  controlled  persons  or  institutions reasonably identifiable as affiliates solely on the basis of their names (other than bona fide fixed income  investors  or  debt  funds  that  are  affiliates  of  competitors  described  in  clause  (a)  above  but  not  of  institutions  described in clause (b) above) or identified by the Lead Borrower (or its counsel) in writing to the Administrative  Agent  at  any  time  (at  any  time  when  JPMCB  is  serving  as  Administrative  Agent,  by  e-mail  to  JPMDQ_Contact@jpmorgan.com) (it being understood that any update pursuant  to clause (a) or clause (c) above  shall not become effective until the third Business Day following the Administrative Agent’s receipt of such notice,  and, in any event, shall not apply retroactively or to any entity that is party to a pending trade as of the date of such  notice).          “Disqualified Stock” shall mean, with respect to any Person, any capital stock of such Person other than  common Equity Interests or Qualified Preferred Stock of such Person.          “Distribution  Conditions”  shall  mean  as  to  any  relevant  action  contemplated  in  this  Agreement,  (i) no  Event of Default has then occurred and is continuing or would result from such action, (ii) (a) Global Availability on  a Pro Forma Basis immediately after giving effect to such action would be at least the greater of (x) 15.0% of the  Line Cap and (y) $50,000,000 and (b) over the 30 consecutive days prior to consummation of such action, Global  Availability averaged no less than the greater of (x) 15.0% of the Line Cap and (y) $50,000,000, on a Pro Forma  Basis for such action and (iii) if (a) Global Availability on a Pro Forma Basis immediately after giving effect to such  action is less than 25% of the Aggregate Commitments or (b) over the 30 consecutive days prior to consummation of  such action, Global Availability averaged less than 25% of the Aggregate Commitments on a Pro Forma Basis for  such action, the Consolidated Fixed Charge Coverage Ratio would be at least 1.0 to 1.0 on a Pro Forma Basis for  such action.          “Dividend” shall mean, with respect to any Person, that such Person has paid a dividend, distribution or  returned  any  equity  capital  to  its  stockholders,  partners  or members  or  made  in  respect  of  its  Equity  Interests  or  caused to be made any other payment or delivery of property (other than common Equity Interests of such Person) to                                                 -30- 

 

  its stockholders, partners or members as such in respect of its Equity Interests, or redeemed, retired, purchased or  otherwise acquired, directly or indirectly, for consideration any shares of any class of its Equity Interests outstanding  on or after the Closing Date (or any options or warrants issued by such Person with respect to its Equity Interests).          “Documentation Agent” shall mean, (x) prior to the Amendment No. 5 Effective Date, Wells Fargo Bank,  National Association, PNC Capital Markets LLC, ING Capital LLC, Deutsche Bank Securities Inc., Citibank, N.A.,  Goldman Sachs Bank USA and Morgan Stanley Senior Funding, Inc., in their capacities as co-documentation agents  under this Agreement and (y) upon and following the Amendment No. 5 Effective Date, Deutsche Bank Securities  Inc., in its capacity as documentation agent under this Agreement.           “Dollar Equivalent” shall mean, at any time, (a) with respect to any amount denominated in U.S. Dollars,  such  amount,  and  (b) with  respect  to  any  amount  denominated  in  any  Alternative  Currency  (or,  with  respect  to  Section 1.03(b), any other relevant currency), the equivalent amount thereof in U.S. Dollars as determined by the  Administrative Agent or the applicable Issuing Bank, as the case may be, at such time on the basis of the Spot Rate  (determined in respect of the most recent Revaluation Date) for the purchase of U.S. Dollars with such Alternative  Currency (or, with respect to Section 1.03(b), such other relevant currency).           “Dominion  Account”  shall  mean,  collectively, the U.S.  Dominion  Account  and the  Canadian  Dominion  Account.          “Early Opt-in Election” shall mean the occurrence of:                           (i)   (1) a determination by  the  Administrative Agent or (2) a notification  by the  Required         Lenders to the Administrative Agent (with a copy to the Lead Borrower) that the Required Lenders have         determined that U.S. dollar-denominated syndicated credit facilities being executed at such time, or that         include language similar to that contained in Section 3.01 are being executed or amended, as applicable, to         incorporate or adopt a new benchmark interest rate to replace the LIBO Rate, and                   (ii)   (1) the election by the Administrative Agent or (2) the election by the Required Lenders         to declare that an Early Opt-in Election has occurred and the provision, as applicable, by the Administrative         Agent of written notice of such election to the Lead Borrower and the Lenders or by the Required Lenders         of written notice of such election to the Administrative Agent.          “EEA Financial Institution” shall mean (a) any institution established in any EEA Member Country which  is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country  which is a parent of an institution described in clause (a) of this definition, or (c) any institution established in an  EEA Member Country which is a subsidiary of an institution described in clause (a) or (b) of this definition and is  subject to consolidated supervision with its parent.          “EEA  Member  Country”  shall  mean  any  of  the  member  states  of  the  European  Union,  Iceland,  Liechtenstein, and Norway.          “EEA Resolution Authority” shall mean any public administrative authority or any Person entrusted with  public administrative authority of any EEA Member Country (including any delegee) having responsibility for the  resolution of any EEA Financial Institution.          “Effective Yield” shall mean, as to any Revolving Loans or other Indebtedness, the effective yield on such  Revolving Loans or other Indebtedness as mutually determined by the Administrative Agent and the Lead Borrower  in good faith, taking into account the applicable interest rate margins, any interest rate floors or similar devices and  all fees, including upfront or similar fees or original issue discount (amortized over the shorter of (x) the Weighted  Average Life to Maturity of such Loans or other Indebtedness and (y) the four years following the date of incurrence  thereof) payable generally to lenders providing such Loans or other Indebtedness, but excluding any arrangement,  structuring, commitment, underwriting, ticking or other fees payable in connection therewith that are not generally  shared  with  the  relevant  lenders  and  customary  consent  fees  paid  generally  to  consenting  lenders.   Each  mutual                                                  -31- 

 

  determination of the “Effective Yield” by the Administrative Agent and the Lead Borrower shall be conclusive and  binding on all Lenders absent manifest error.          “Eligible Accounts” shall mean, on any date of determination of the Borrowing Base, all of the Accounts  owned by all applicable Credit Parties and reflected in the most recent Borrowing Base Certificate delivered by the  Lead Borrower to the Administrative Agent, except any Account to which any of the exclusionary criteria set forth  below applies.  In addition, the Administrative Agent reserves the right, at any time and from time to time after the  Closing Date, to adjust any of the criteria set forth below, to establish new criteria with respect to Eligible Accounts  and to adjust the advance rates, in each case, in its Permitted Discretion, subject to the approval of the Supermajority  Lenders or Required Lenders, as the case may be, in the case of adjustments, new criteria or increases in advance  rates which have the effect of making more credit available than would have been available if the standards in effect  on  the  Closing  Date  had  continued  to  be  in  effect.   Eligible  Accounts  shall  not  include  any  of  the  following  Accounts:                   (i)   any  Account  in  which  the  applicable  Collateral  Agent,  on  behalf  of  the  Secured         Creditors, does not have a valid and enforceable first priority (subject to Permitted Borrowing Base Liens)         perfected (to the extent applicable) Lien;                  (ii)   any Account that is not owned by a Credit Party;                 (iii)   any  Account  due  from  an  Account  Debtor  that  is  not  domiciled  in  the  United  States,         Canada, France, Germany, any Eligible Asian Jurisdiction or any Eligible European Jurisdiction and (if not         a natural person) organized or incorporated under the laws of the United States, Canada, France, Germany,         any Eligible Asian Jurisdiction or any Eligible European Jurisdiction, unless, in each case, such Account is         backed by credit insurance satisfactory to the Administrative Agent or a letter of credit acceptable to the         Administrative Agent which is in the possession of, is directly drawable by the Administrative Agent and,         with  respect  to  which  the  Administrative  Agent  has  “control”  as  defined  in  Section  9-107  of  the  UCC;         provided  that  up  to  $5,000,000  of  Accounts  may  be  included  in  the  Aggregate  Borrowing  Base         notwithstanding  this  clause  (iii); provided  further  that  Accounts  owing  from  large  multinational         corporations including but not limited to Dell, Shell and British Petroleum reasonably acceptable to the         Administrative Agent in its Permitted Discretion may be included in the Borrowing Base notwithstanding         this clause (iii);                  (iv)   any Account that is payable in any currency other than U.S. Dollars or (a) with respect to         the Canadian Subfacility or Canadian FILO Subfacility, Canadian Dollars, (b) with respect to the French         Subfacility,  Euros,  (c)  with  respect  to  the  German  Subfacility,  Euros,  (d)  with  respect  to  the  Asian         Subfacility, Hong Kong Dollars, Singapore Dollars, CNH or Australian Dollars or (e) with respect to the         European Subfacility, Pounds Sterling or Euros;                  (v)    any Account that does not arise from the sale of goods or the performance of services by         such Borrower in the ordinary course of its business;                  (vi)   any  Account  that  does  not  comply  in  all  material  respects  with  all  applicable  legal         requirements,  including,  without  limitation,  all  laws,  rules,  regulations  and  orders  of  any  Governmental         Authority;                 (vii)   any Account (A) as to which a Credit Party’s right to receive payment is contingent upon         the  fulfillment  of  any  condition  whatsoever  unless  such  condition  is  satisfied  (other  than  Accounts         consisting of retainage on long-term contracts where the remaining services under such contract are solely         to be rendered by third parties who are not in violation of the terms of such contract), (B) as to which a         Credit Party is not able to bring suit or otherwise enforce its remedies against the Account Debtor through         judicial, administrative or arbitration process, (C) that represents a progress or milestone billing consisting         of an invoice for goods sold or used or services rendered pursuant to a contract under which the Account         Debtor’s obligation to pay that invoice is subject to a Credit Party’s completion of further performance         under such contract or is subject to the equitable lien of a surety bond issuer, or (D) that arises with respect         to goods that are delivered on a bill-and-hold, cash-on-delivery basis or placed on consignment, guaranteed                                                 -32- 

 

                  sale or other terms by reason of which the payment by the Account Debtor is or may be conditional except  that Accounts arising from sales which are on a cash-on-delivery basis (to the extent such cash-on-delivery  is in the ordinary course of business) shall not be deemed ineligible pursuant to this definition until 14 days  after the shipment of the goods relating thereto;         (viii)   to the  extent  that  any defense,  counterclaim  or dispute arises,  or any accrued rebate or  sales commission payable exists or is owed, or the Account is, or is reasonably likely to become, subject to  any right of recoupment, chargeback or set-off by the Account Debtor, for customer deposits or otherwise,  to the extent of the amount of such rebate, sales commission, recoupment, chargeback or set-off, it being  understood that the remaining balance of the Account shall be eligible;           (ix)   any Account that is subject to any netting or similar arrangement, including, with respect  to German law governed Accounts, current account arrangements (Kontokorrentabreden);           (x)    any Account that is not a true and correct statement of bona fide indebtedness incurred in  the amount of the Account for merchandise sold to or services rendered and accepted by the applicable  Account Debtor;           (xi)   any  Account  with  respect  to  which  an  invoice  or  other  electronic  transmission  constituting  a  request  for  payment,  reasonably  acceptable  to  the  Administrative  Agent  in  form  and  substance, has not been sent on a timely basis to the applicable Account Debtor according to the normal  invoicing and timing procedures of the Credit Parties or that represents a partial payment on a delivered  invoice;          (xii)   any Account that arises from a sale to any director, officer, other employee or Affiliate of  a Credit Party (other than any portfolio company of the Sponsor to the extent such Account is on terms and  conditions not less favorable to the applicable Credit Party as would reasonably be obtained by such Credit  Party at that time in a comparable arm’s-length transaction with a Person other than a portfolio company of  the Sponsor);         (xiii)   any  Account  that  is  in  default; provided that,  without  limiting  the  generality  of  the  foregoing, an Account shall be deemed in default at any time upon the occurrence of any of the following:  (A) when such Account is not paid more than 120 days after the date of the original invoice therefor (or, in  respect  of  the  French  Borrower,  more  than  the  maximum  payment  terms  authorized  under  the  French  Commercial  Code) (except  that  up to  $10,000,000 of  Accounts  in  the aggregate  may be included in  the  Aggregate  Borrowing  Base  notwithstanding  this  clause  (xiii)(A),  solely  to  the  extent  such  Accounts  represent  retainage  per  the  underlying  contract); provided  further that,  in  calculating  such  delinquent  portions of Accounts credit balances will be excluded, (B) such Account has dated terms of more than 120  days from the invoice date (or, in respect of the French Borrower, more than the maximum payment terms  authorized under the French Commercial Code), or (C) such Account has been written off the books of the  Credit Parties or otherwise designated as uncollectible or has been sent to a collection agency;         (xiv)    any Account that is the obligation of an Account Debtor (other than an individual) if 50%  or more of the Dollar Equivalent of all Accounts owing by such Account Debtor are ineligible under the  criteria set forth in clause (xiii) above;          (xv)    except as otherwise agreed by the Administrative Agent, any Account as to which any of  the representations or warranties pertaining to Accounts set forth in the Credit Documents are untrue in any  material respect (to the extent such materiality relates to the amount owing on such Account);         (xvi)    any Account which is evidenced by a judgment, Instrument (as defined in the applicable  Security Document) or Chattel Paper (as defined in the applicable Security Document) and such Instrument  or Chattel Paper is not pledged and delivered to the Administrative Agent under the Security Documents;                                           -33- 

 

                        (xvii)   any  Account  on  which  the  Account  Debtor  is  a  Governmental  Authority,  unless  the  applicable  Credit  Party  has  assigned  its  rights  to  payment  of  such  Account  to  the  Administrative  Agent  pursuant to the Assignment of Claims Act of 1940, as amended, in the case of a U.S. federal Governmental  Authority, and pursuant to applicable law, if any, in  the case of  any other Governmental  Authority, and  such assignment has been accepted and acknowledged by the appropriate government officers to the extent  required under such law for a valid assignment of such Account;        (xviii)   any  Account  arising  on  account  of  a  supplier  rebate,  unless  the  Credit  Parties  have  received  a  waiver  of  offset  from  the  supplier  in  form  and  substance  reasonably  satisfactory  to  the  Administrative Agent;         (xix)    any Account which is owing by an Account Debtor to the extent the aggregate amount of  Accounts owing from such Account Debtor and its Affiliates to the Credit Parties exceeds, in the case of (i)  an Account Debtor with an Investment Grade Rating, 20% of the aggregate Eligible Accounts of all Credit  Parties, (ii) in the case of an Account Debtor that does not have an Investment Grade Rating, 15% of the  aggregate  Eligible  Accounts  of  all  Credit  Parties  and  (iii)  in  the  case  of  an  Account  Debtor  listed  on  Schedule 1.01(A), the percentage set forth on such schedule opposite such Account Debtor’s name (which  Schedule 1.01(A) may be updated from time to time solely with the consent of the Administrative Agent)  of the aggregate Eligible Accounts of all Credit Parties;          (xx)    any Account which the goods giving rise to such Account have not been shipped to the  Account Debtor (or which is accounted for as deferred revenue following the shipment thereof until the risk  of loss has passed to the Account Debtor) or for which the services giving rise to such Account have not  been performed by such Credit Party;         (xxi)    any Account which is owing in respect of interest and late charges or fees in respect of  Indebtedness;          (xxii)   any Account which is acquired by a Credit Party after the Closing Date in an acquisition  or other bulk purchase of assets (other than from another Credit Party) and would constitute, taken together  with all other assets acquired in such acquisition or bulk purchase after the Closing Date and to become  eligible  pursuant  to  this  clause  (xxii)  or  clause  (xii)  of  the  definition  of  “Eligible  Inventory,”  more  than  25% of the Aggregate Borrowing Base, unless and until such time as the Administrative Agent shall have  received or conducted a field examination, from an examiner reasonably satisfactory to the Administrative  Agent,  of  such  Accounts  acquired  in  such  acquisition  or  other  bulk  purchase  of  assets  and  such  other  customary due diligence as the Administrative Agent may reasonably require in its Permitted Discretion in  order to determine the appropriate Reserves against such Accounts, all of the results of the foregoing to be  reasonably satisfactory to the Administrative Agent;        (xxiii)   any Account as to which the contract or agreement underlying such Account is governed  by (or, if no governing law is expressed therein, is deemed to be governed by) the laws of any jurisdiction  other than the United States, any state thereof, the District of Columbia, Canada or any province thereof or,  (A) in the case of the Asian Borrowing Base only, any Eligible Asian Jurisdiction (B) in the case of each  French  Borrowing  Base  only,  any  Eligible  European  Jurisdiction,  (C)  in  the  case  of  each  German  Borrowing Base only, any Eligible European Jurisdiction, and (D) in the case of the European Borrowing  Base  only,  any  Eligible  European  Jurisdiction;  in  each  case,  other  than  as  reasonably  agreed  by  the  Administrative Agent;         (xxiv)    any  Account  which  is  subject  to  any  limitation  on  assignment  or  other  restriction  (whether arising by operation of law, by agreement or otherwise) which would, under the local governing  law of the contract creating such Account, have the effect of restricting the assignment for or by  way of  security  or  the  creation  of  security  over  such  Account  generally,  in  each  case  unless  the  Administrative  Agent  has  determined  that  such  limitation  is  not  enforceable.  Each  Credit  Party  shall  use  its  reasonable  endeavours to remove any such restrictions from the underlying contracts evidencing its Accounts or to  obtain consents to the granting of security over the Accounts from the relevant Account Debtors;                                           -34- 

 

               (xxv)    any Account which is excluded from the scope of any Security Document by virtue of the         definition of “Excluded Collateral” (or equivalent terminology in any such Security Document);               (xxvi)    with  respect  to  any  French  Borrower,  (A)  any  Account  that  is  owed  by  an  Account         Debtor which is a consumer (consommateur) within the meaning of the French Consumer Code, (B) any         Account that is not a professional receivable (créance professionnelle) within the meaning of the French         Monetary and Financial Code or (C) any Account that is not an Account evidenced by any promissory note,         bill of exchange (including lettre de change or billet à ordre), chattel paper or instrument (unless endorsed         in favor of the Administrative Agent);               (xxvii)   any Account that is accounted for as deferred revenue, including Accounts arising under         extended warranty contracts;               (xxviii)   any Account arising under a contract for which a Credit Party has posted a performance         bond, up to the bond amount;                (xxix)    any Account that is represented in the accounting of any Credit Party as unapplied cash,         unreconciled difference, debit memos or credit memos, customer returns, adjustments or customer reserves;         or                (xxx)    any Account due from an Account Debtor that is a Sanctioned Person.           “Eligible  Asian  Jurisdiction”  shall  mean  each  of  Australia,  Hong  Kong,  Singapore,  and  New  Zealand,  provided  that  the  Administrative  Agent  may,  in  its  Permitted  Discretion,  remove  one  or  more  of  the  countries  comprising  the  Eligible  Asian  Jurisdictions  and  subsequently  add  one  or  more  countries  back  as  Eligible  Asian  Jurisdictions.          “Eligible Cash” shall mean, with respect to any Person, cash of such Person that is on deposit in a Deposit  Account that is subject to a Deposit Account Control Agreement in favor of any Collateral Agent; provided that if  the  subject  account  is  held  at an  institution other than the  Administrative  Agent  or its  affiliates, at  any  time that  either  (i)  the  Aggregate  Exposures  exceed  the  Aggregate  Borrowing  Base  (without  giving  regard  to  any  cash  included in the Borrowing Base) or (ii) the Payment Conditions are tested, the applicable Collateral Agent reserves  the right to verify the balance of such account on a daily basis.          “Eligible  European  Jurisdiction”  shall  mean  each  of  Austria,  Belgium,  Denmark,  Finland,  France,  Germany, Greece, Italy, Ireland, Luxembourg, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and  England and Wales, provided that the Administrative Agent may, in its Permitted Discretion, remove one or more of  the countries comprising the Eligible European Jurisdictions and subsequently add one or more countries back as  Eligible European Jurisdictions          “Eligible In-Transit Inventory” shall mean Inventory owned by a U.S. Credit Party or a Canadian Credit  Party that would meet all of the criteria of “Eligible Inventory” if it were not in transit (solely to a location in the  U.S. or Canada that would otherwise be acceptable pursuant to the other clauses of this definition). In addition, no  Inventory shall be Eligible In-Transit Inventory unless (a) it is subject to a negotiable document of title, showing the  Administrative Agent (or, with the consent of the Administrative Agent in its Permitted Discretion, the applicable  Credit  Party)  as  consignee  and  the  Administrative  Agent  has  control  over  such  documents  of  title  (including  by  delivery of customs broker or freight forwarder agreements in a form and substance reasonably acceptable to the  Administrative Agent); (b) such Inventory is insured in accordance with the provisions of this Agreement and the  other  Credit  Documents,  including,  without  limitation,  to  the  extent  applicable,  marine  cargo  insurance;  (c)  such  Inventory has been identified to the applicable sales contract and title has passed to the applicable Credit Party; (d)  such Inventory is not sold by a vendor that has a right to reclaim, divert shipment of, repossess, stop delivery, claim  any  reservation  of  title  or  otherwise  assert  Lien  rights  against  the  Inventory;  (e)  such  Inventory  is  shipped  by  a  common carrier that is not affiliated with the vendor and has not been acquired from a Person that is (x) currently  the  subject  or  target  of  any  Sanctions  or  (y)  a  Sanctioned  Person,  and  (f)  is  being  handled  by  a  customs  broker,  freight-forwarder or other handler that has delivered a customary lien waiver.                                                  -35- 

 

         “Eligible  Inventory”  shall  mean,  subject  to  adjustment  as  set  forth  below,  items  of  Inventory  of  any  applicable Credit Party held for sale in the ordinary course.  Eligible Inventory shall exclude any Inventory to which  any of the exclusionary criteria set forth below applies.  The Administrative Agent shall have the right to establish,  modify or eliminate Reserves against Eligible Inventory from time to time in its Permitted Discretion.  In addition,  the Administrative Agent reserves the right, at any time and from time to time after the Closing Date, to adjust any  of the criteria set forth below, to establish new criteria with respect to Eligible Inventory and to adjust advance rates,  in each case, in its Permitted Discretion, subject to the approval of the Supermajority Lenders or Required Lenders,  as the case may be, in the case of adjustments, new criteria or increases in the advance rates which have the effect of  making  more  credit  available  than  would  have  been  available  if  the  standards  in  effect  on  the  Closing  Date  had  continued to be in effect.  Eligible Inventory shall not include any Inventory of the Credit Parties that:                   (i)   is not solely owned by a Credit Party, or is leased by or is on consignment to a Credit         Party, or the Credit Parties do not have title thereto;                  (ii)   the applicable Collateral Agent, on behalf of the Secured Creditors, does not have a valid         and  enforceable  first  priority  (subject  to  Permitted  Borrowing  Base  Liens)  perfected  (to  the  extent         applicable)  Lien  (such  Lien  being  governed  by  the  laws  of  the  jurisdiction  in  which  the  Inventory  in         question is located) and, with respect to Inventory owned by any Credit Party other than a U.S. Credit Party         or Canadian Credit Party, the applicable Additional Inventory Security Actions have not been completed;                 (iii)   (A) is stored at a location leased by a Credit Party unless (x) the Administrative Agent         has  given  its  prior  consent  thereto,  (y)  a  reasonably  satisfactory  Landlord  Lien  Waiver  and  Access         Agreement  has  been  delivered  to  the  Administrative  Agent,  or  (z)  Landlord  Lien  Reserves  reasonably         satisfactory to the Administrative Agent have been established with respect thereto, or (B) is stored with a         bailee or warehouseman unless either (x) a reasonably satisfactory acknowledged bailee waiver letter has         been received by the Administrative Agent, or (y) Landlord Lien Reserves reasonably satisfactory to the         Administrative  Agent  have  been  established  with  respect  thereto,  it  being  understood  that  in  each  case,         during the 120-day period immediately following the Closing Date, such location or warehouse need not be         subject to a Landlord Lien Waiver and Access Agreement or bailee waiver letter, and the lack thereof shall         not otherwise deem the applicable Inventory to be ineligible;                  (iv)   (A) is placed on consignment, unless a valid consignment agreement which is reasonably         satisfactory  to  the  Administrative  Agent  is  in  place  with  respect  to  such  Inventory  or  (B)  is  in  transit         (except  Eligible  In-Transit  Inventory)  between  locations  leased,  owned  or  occupied  by  a  Credit  Party         within the same jurisdiction;                  (v)    is covered by a negotiable document of title, unless such document has been delivered to         the Administrative Agent with all necessary endorsements, free and clear of all Liens except Liens in favor         of landlords, carriers, bailees and warehousemen if clause (iii) has been complied with;                  (vi)   is unsalable, shopworn, seconds, damaged, obsolete, distressed, has been written off or is         unfit for sale, in each case, as determined in the ordinary course of business by the Credit Parties;                 (vii)   consists of display items or packing or shipping materials or manufacturing supplies;                (viii)   is not of a type generally held for sale in the ordinary course of the Credit Parties’, as         applicable, business;                  (ix)   except as otherwise agreed by the Administrative Agent, does not conform in all material         respects to the representations or warranties pertaining to Inventory set forth in the Credit Documents;                  (x)    is  subject  to  any  licensing  arrangement  or  any  other  Intellectual  Property  or  other         proprietary  rights  of  any  Person,  the  effect  of  which  would  be  to  limit  the  ability  of  the  Administrative         Agent, or any Person selling the Inventory on behalf of the Administrative Agent, to sell such Inventory in                                                  -36- 

 

                  enforcement of the Administrative Agent’s Liens without further consent or payment to the licensor or such  other Person (unless such consent has then been obtained);           (xi)   is not covered by casualty insurance maintained as required by Section 9.03;          (xii)   is  acquired  by  a  Credit  Party  after  the  Closing  Date  in  an  acquisition  or  other  bulk  purchase of assets (other than from another Credit Party) and would constitute, taken together with all other  assets acquired in such acquisition or bulk purchase after the Closing Date and to become eligible pursuant  to this clause (xii) or clause (xxii) of the definition of “Eligible Accounts,” more than 25% of the Aggregate  Borrowing Base, unless and until such time as the Administrative Agent shall have received or conducted  an  appraisal,  from  an  appraiser  reasonably  satisfactory  to  the  Administrative  Agent,  of  such  Inventory  acquired in such acquisition or other bulk purchase of assets and such other customary due diligence as the  Administrative Agent may reasonably require in its Permitted Discretion order to determine the appropriate  Reserves  against  such  Inventory,  all  of  the  results  of  the  foregoing  to  be  reasonably  satisfactory  to  the  Administrative Agent;         (xiii)   which is located at any location where the aggregate value of all Eligible Inventory of the  Credit Parties at such location is less than $100,000;          (xiv)    is Inventory of another type deemed ineligible per the initial inventory appraisal;          (xv)    is  Inventory  in  relation  to  which  (i)  any  contract  or  related  documentation  (such  as  invoices  or  purchase  orders)  relating  to  such  Inventory  includes  retention  of  title  rights  in  favor  of  the  vendor  or  supplier  thereof,  or  (ii)  under  applicable  governing  laws,  retention  of  title  may  be  imposed  unilaterally by the vendor or supplier thereof; provided that Inventory which may be subject to any rights of  retention of title shall not be excluded from Eligible Inventory solely pursuant to this sub-paragraph (xv) in  the event that (A) the  Administrative  Agent shall have received evidence  satisfactory to it that the  full  purchase price of such Inventory has, or will have, been paid prior, or upon the delivery of, such Inventory  to the relevant Credit Party or (B) a Letter of Credit has been issued under and in accordance with the terms  of this Agreement for the purchase of such Inventory;         (xvi)    is stored at a location not in (a)  (x) the United States or Canada, in the case of the U.S.  Borrowing  Base,  U.S.  FILO  Borrowing  Base,  Canadian  Borrowing  Base  or  Canadian  FILO  Borrowing  Base or (y) Mexico in an amount not to exceed 5% of the Aggregate Borrowing Base, in the case of the  U.S. Borrowing Base or U.S. FILO Borrowing Base, (b)  an Additional Inventory Asian Jurisdiction, in the  case of the Asian Borrowing Base, (c) an  Additional Inventory European Jurisdiction, in the case of the  European Borrowing Base, (d) France, in the case of any French Borrowing Base, or (e) Germany, in the  case of any German Borrowing Base;          (xvii)   consists  of  service  vans  or  other  items  of  Inventory  held  in  service  vans  for  use  by  technicians at project sites;        (xviii)   has been returned by a customer or is in the process of being reworked or retooled;         (xix)    comprises Tooling Materials;          (xx)    is held for use by an outside processor or subcontractor;          (xxi)    is of a type generally sold and delivered by the Credit Parties on a “drop-ship” basis;          (xxii)   has  increased  value  due  to  favorable  capitalized  variance  adjustments  (but  only  to  the  extent of such increase);        (xxiii)   that  is  represented  in  the  accounting  of  any  Credit  Party as inventory  adjustment,  variance, reclassification, warranty reserve, write-off, inventory valuation or unreconciled difference; or                                           -37- 

 

              (xxiv)    has been acquired from any Sanctioned Person.           “Eligible Transferee” shall mean and include any existing Lender, any Approved Fund or any commercial  bank, an insurance company, a finance company, a financial institution, any fund that invests in loans or any other  “accredited investor” (as defined in Regulation D of the Securities Act) but in any event excluding (i) any natural  person,  (ii)  any  Disqualified  Lender  and  (iii)  Holdings,  each  Borrower  and  their  respective  Subsidiaries  and  Affiliates.          “Environment” shall mean ambient air, indoor air, surface water, groundwater, drinking water, land surface  and sub-surface strata and natural resources such as wetlands, flora and fauna.          “Environmental  Claims”  shall  mean  any  and  all  administrative,  regulatory  or  judicial  actions,  suits,  demands,  demand  letters,  directives,  claims,  liens,  notices  of  noncompliance  or  violation,  investigations  and/or  proceedings arising under or pursuant to any Environmental Law or any permit issued, or any approval given, under  any such Environmental Law, including, without limitation, (a) any and all Environmental Claims by governmental  or  regulatory  authorities  for  enforcement,  investigation,  cleanup,  removal,  response,  remedial  or  other  actions  or  damages pursuant to any applicable Environmental Law, and (b) any and all Environmental Claims by any third  party seeking damages, contribution, indemnification, cost recovery, compensation or injunctive relief arising out of  or relating to an alleged injury or threat of injury to human health, safety or the Environment due to the presence of  Hazardous Materials, including any Release or threat of Release of any Hazardous Materials.          “Environmental  Law”  shall  mean  any  federal,  state,  provincial,  national,  supranational,  foreign  or  local  statute, law, rule, regulation, ordinance, code, binding guideline and rule of common law, now or hereafter in effect  and  in  each  case  as  amended,  and  any  judicial  or  administrative  interpretation  thereof,  including  any  judicial  or  administrative  order,  consent  decree  or  judgment,  relating  to  pollution  or  protection  of  the  Environment,  occupational health or Hazardous Materials, including, without limitation, any state, provincial and local or foreign  counterparts or equivalents, in each case as amended from time to time.          “Equity Financing” shall have the meaning provided in Section 6A.05(b).          “Equity  Interests”  of  any  Person  shall  mean  any  and  all  shares,  interests,  rights  to  purchase,  warrants,  options, participations or other equivalents of or interests in (however designated) equity of such Person, including  any  preferred  stock,  any  limited  or  general  partnership  interest  and  any  limited  liability  company  membership  interest,  but  excluding,  for  the  avoidance  of  doubt,  any  Indebtedness  convertible  into  or  exchangeable  for  the  foregoing.          “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended from time to  time, and, unless the context indicates otherwise, the regulations promulgated and rulings issued thereunder.  Section  references to ERISA are to ERISA, as in effect at the date of this Agreement and any successor Section thereof.          “ERISA Affiliate” shall mean each person (as defined in Section 3(9) of ERISA) which together with the  Lead Borrower or a Restricted Subsidiary of the Lead Borrower would be deemed to be a “single employer” within  the meaning of Section 414(b) or (c) of the Code and solely with respect to Section 412 of the Code, Section 414(b),  (c), (m) or (o) of the Code.          “ERISA  Event”  shall  mean  (a)  any  “reportable  event,”  as  defined  in  Section  4043  of  ERISA  or  the  regulations issued thereunder, but excluding any event for which the 30-day notice period is waived with respect to a  Plan, (b) any failure to make a required contribution to any Plan that would result in the imposition of a Lien or  other encumbrance or the failure to satisfy the minimum funding standards set forth in Sections 412 or 430 of the  Code or Sections 302 or 303 of ERISA, or the arising of such a Lien or encumbrance, with respect to a Plan, (c) the  incurrence  by  the  Lead  Borrower,  a  Restricted  Subsidiary  of  the  Lead  Borrower,  or  an  ERISA  Affiliate  of  any  liability under Title IV of ERISA with respect to the termination of any Plan or the withdrawal or partial withdrawal  (including  under  Section  4062(e)  of  ERISA)  of  any  of  the  Lead  Borrower,  a  Restricted  Subsidiary  of  the  Lead  Borrower,  or  an  ERISA  Affiliate  from  any  Plan  or  Multiemployer  Plan,  (d)  the  filing  of  a  notice  of  intent  to  terminate a Plan or the treatment of a Plan amendment as a termination under Section 4041 of ERISA, (e) the receipt                                                  -38- 

 

  by the Lead Borrower, a Restricted Subsidiary of the Lead Borrower, or an ERISA Affiliate from the PBGC or a  plan administrator of any notice of intent to terminate any Plan or Multiemployer Plan or to appoint a trustee to  administer  any  Plan,  (f)  the  adoption  of  any  amendment  to  a  Plan  that  would  require  the  provision  of  security  pursuant to the Code, ERISA or other applicable law, (g) the receipt by the Lead Borrower, a Restricted Subsidiary  of the Lead Borrower, or an ERISA Affiliate of any written notice concerning statutory liability arising from the  withdrawal or partial withdrawal of the Lead Borrower, a Restricted Subsidiary of the Lead Borrower, or an ERISA  Affiliate from a Multiemployer Plan or a written determination that a Multiemployer Plan is, or is expected to be,  insolvent  or  in  reorganization,  within  the  meaning  of  Title  IV  of  ERISA,  (h)  the  occurrence  of  any  non-exempt  “prohibited transaction” (within the meaning of Section 406 of ERISA or Section 4975 of the Code) with respect to  which  the  Lead Borrower or any  Restricted Subsidiary is  a “disqualified  person” (within the  meaning  of  Section  4975 of the Code) or with respect to which the Lead Borrower or any Restricted Subsidiary could reasonably be  expected to have liability, (i) the occurrence of any event or condition which constitutes grounds under Section 4042  of ERISA for the termination of any Plan or the appointment of a trustee to administer any Plan, (j) the filing of any  request for or receipt of a minimum funding waiver under Section 412(c) of the Code with respect to any Plan or  Multiemployer  Plan,  (k)  a  determination  that  any  Plan  is  in  “at-risk”  status  (as  defined  in  Section  303(i)(4)  of  ERISA or Section 430(i)(4) of the Code), (l) the receipt by the Lead Borrower, a Restricted Subsidiary of the Lead  Borrower or any ERISA Affiliate of any notice, that a Multiemployer Plan is, or is expected to be, in endangered or  critical status under Section 305 of ERISA, or (m) any other extraordinary event or condition with respect to a Plan  or Multiemployer Plan which could reasonably be expected to result in a Lien or any acceleration of any statutory  requirement to fund all or a substantial portion of the unfunded accrued benefit liabilities of such plan.          “EU Bail-In Legislation Schedule” shall mean the EU Bail-In Legislation Schedule published by the Loan  Market Association (or any successor person), as in effect from time to time.          “Eurasian Credit Party” shall mean each French Credit Party, each German Credit Party, each Asian Credit  Party and each European Credit Party.          “Eurasian Effectiveness Date” shall have the meaning provided in Article 6B.          “Eurasian  Subfacility”  shall  mean  each  of  the  Asian  Subfacility,  the  European  Subfacility,  the  French  Subfacility and the German Subfacility.          “Euro” or “€” shall mean the single currency of the Participating Member States.          “European Borrowing Base” shall mean, at any time of calculation, an amount equal to the sum of, without  duplication:          (a)     the book value of Eligible Accounts of the European Credit Parties multiplied by the advance rate  of 85%, plus          (b)     at  any  time  following  the  completion  of  all  Additional  Inventory  Security  Actions  by  each  European Credit Party owning Inventory in any Additional Inventory European Jurisdiction, the lesser of (i) the Cost  of Eligible Inventory of the European Credit Parties multiplied by the advance rate of 70%, and (ii) the appraised  NOLV Percentage of Eligible Inventory of the European Credit Parties multiplied by the advance rate of 85%; plus          (c)     100% of Eligible Cash of the European Credit Parties; plus          (d)     the positive amount, if any, by which the U.S. Borrowing Base exceeds the total U.S. Revolving  Exposure of all Lenders, minus          (e)     any Reserves established from time to time by the Administrative Agent in accordance herewith.          “European Collateral Agent” shall mean JPMCB, acting as a collateral agent for the Secured Creditors for  the purpose of any Irish Security Document or UK Security Document and any successor thereto appointed pursuant  to Section 12.10.                                                  -39- 

 

         “European Credit Parties” shall mean the Irish Credit Parties and the UK Credit Parties.          “European  Line  Cap”  shall  mean  an  amount  that  is  equal  to  the  lesser  of  (a)  the  European  Revolving  Commitments and (b) the then applicable European Borrowing Base.          “European Protective Advance” shall have the meaning provided in Section 2.18.          “European Revolving Borrowing” shall mean a Borrowing comprised of European Revolving Loans.          “European Revolving Commitment” shall mean, with respect to each Lender, the commitment, if any, of  such Lender to make European Revolving Loans hereunder up to the amount set forth and opposite such Lender’s  name  on  Schedule  2.01  under  the  caption  “European  Revolving  Commitment,”  or  in  the  Assignment  and  Assumption  pursuant  to  which  such  Lender  assumed  its  European  Revolving  Commitment,  as  applicable,  as  the  same may be (a) reduced from time to time pursuant to Section 2.07 and (b) reduced or increased from time to time  pursuant  to  assignments by  or to  such  Lender pursuant  to  Section 13.04.  The aggregate amount  of the  Lenders’  European Revolving Commitments on the Closing Date is $20,000,000.          “European  Revolving  Exposure”  shall  mean,  with  respect  to  any  Lender  at  any  time,  the  aggregate  principal amount at such time of all outstanding European Revolving Loans of such Lender.          “European Revolving Loans” shall mean advances made pursuant to Article 2 hereof under the European  Subfacility.          “European  Subfacility” shall  mean  the European  Revolving Commitments  of the Lenders and  the Loans  pursuant to those Commitments in accordance with the terms hereof.           “EU Bail-In Legislation Schedule” means the document described as such and published by the Loan  Market Association (or any successor person) from time to time.          “Event of Default” shall have the meaning provided in Article 11.          “Excluded  Account”  shall  mean  a  Deposit  Account,  Securities  Account  (as  defined  in  the  UCC)  or  Commodity  Account  (as  defined  in  the  UCC)  (i)  which  is  used  for  the  sole  purpose  of  making  payroll  and  withholding tax payments related thereto and other employee wage and benefit payments and accrued and unpaid  employee  compensation  payments  (including  salaries,  wages,  benefits  and  expense  reimbursements,  401(k)  and  other  retirement  plans  and  employee  benefits,  including  rabbi  trusts  for  deferred  compensation  and  health  care  benefits), (ii) which is used for paying taxes, including sales taxes, (iii) which is used as an escrow account or as a  fiduciary or trust account or is otherwise held exclusively for the benefit of an unaffiliated third party, (iv) which is a  zero balance Deposit Account, Securities Account or Commodity Account or (v) which is not otherwise subject to  the provisions of this definition and together with any other Deposit Accounts, Securities Accounts or Commodity  Accounts that are excluded pursuant to this clause (v), has an average daily balance for any fiscal month of less than  $15,000,000.          “Excluded Collateral” shall mean, with respect to a (i) U.S. Credit Party, the meaning provided in the Initial  U.S. Security Agreement, or (ii) if applicable, all assets specifically described in any applicable Security Document  as excluded from the grant of security.           “Excluded Swap Obligation” shall mean, with respect to any Guarantor, (x) as it relates to all or a portion  of the Guaranty (pursuant to Section 1 of the Guaranty Agreement) of such Guarantor, any Swap Obligation if, and  to  the  extent  that,  such  Swap  Obligation  (or  any  Guaranty  thereof)  is  or  becomes  illegal  under  the  Commodity  Exchange Act or any rule, regulation or order of the Commodity Futures Trading Commission (or the application or  official interpretation of any thereof) by virtue of such Guarantor’s failure for any reason to constitute an “eligible  contract  participant”  as  defined  in  the  Commodity  Exchange  Act  and  the  regulations  thereunder  at  the  time  the  Guaranty of such Guarantor becomes effective with respect to such Swap Obligation or (y) as it relates to all or a  portion of the grant by such Guarantor of a security interest, any Swap Obligation if, and to the extent that, such                                                  -40- 

 

  Swap Obligation (or such security interest in respect thereof) is or becomes illegal under the Commodity Exchange  Act or any rule, regulation or order of the Commodity Futures Trading Commission (or the application or official  interpretation of any thereof) by virtue of such Guarantor’s failure for any reason to constitute an “eligible contract  participant”  as  defined  in  the  Commodity  Exchange  Act  and  the  regulations  thereunder  at  the  time  the  security  interest  of  such  Guarantor becomes effective  with  respect  to such  Swap Obligation.   If a Swap  Obligation arises  under a master agreement  governing  more than  one swap, such  exclusion  shall  apply  only  to  the portion  of  such  Swap Obligation that is attributable to swaps for which such Guaranty or security interest is or becomes illegal.          “Excluded Taxes” shall mean, with respect to the Administrative Agent, any Lender, or any other recipient  of any payment to be made by or on account of any obligation of any Credit Party under any Credit Document, (a)  income Taxes imposed on (or measured by) net income, and franchise (and similar) Taxes, imposed, in each case, as  a result of such recipient being organized or having its principal office or applicable lending office located in, such  jurisdiction (or any political subdivision thereof) or as a result of any other present or former connection between  such recipient and the jurisdiction imposing such Tax (other than a connection arising from such Administrative  Agent,  Lender  or other  recipient  having  executed,  delivered,  become  a  party  to,  performed  its  obligations  under,  received payments under, received or perfected a security interest under, engaged in any other transaction pursuant  to  or  enforced  any  Credit  Document,  or  sold  or  assigned  an  interest  in  any  Loan  or  Credit  Document),  (b)  any  branch profits Taxes under Section 884(a) of the Code or any similar Tax imposed by any jurisdiction described in  clause (a) above, (c) with respect to any Loan to a U.S. Borrower, in the case of a Lender (other than an assignee  pursuant  to  a  request  by  a  Borrower  under  Section  3.04),  any  U.S.  federal  withholding  Tax  that  is  imposed  on  amounts payable to such Lender at the time such Lender becomes a party to this Agreement  or designates a new  lending  office,  except  to  the  extent  such  recipient  (or  its  assignor,  if  any)  was  entitled,  immediately  prior  to  the  designation  of  a  new  lending  office  (or  assignment),  to  receive  additional  amounts  from  the  Credit  Parties  with  respect to such withholding tax pursuant to Section 5.01(a), (d) any Taxes attributable to such recipient’s failure to  comply with Section 5.01(b) or Section 5.01(c), (e) in the case of French withholding Taxes imposed with respect to  any Loan to a French Borrower, (i) such withholding Taxes which are only imposed as a result of such Lender not  being, or ceasing to be, a French Qualifying Lender other than as a result of any change after the date it became a  Lender under this Agreement in (or in the interpretation, administration or application of) any law or tax treaty or  any published practice or published concession of any relevant taxing authority after the date the Lender became a  Lender under this Agreement, or (ii) where such Lender is a French Treaty Lender and withholding Taxes imposed  by  France  may  be  reduced  or  eliminated  following  the  completion  of  the  necessary  procedural  formalities  in  connection  with  the  applicable  French  Treaty,  provided  that  the  exclusion  for  changes  after  the  date  a  Lender  became a Lender under this Agreement in clause (e)(i) above shall not apply in respect of any French withholding  Taxes imposed by France on a payment made to a Lender if such withholding Taxes are imposed solely because this  payment  is  made  to  an  account  opened  in  the  name  and  for  the  account  of  that  Lender  in  a  financial  institution  situated in a Non-Cooperative Jurisdiction, (f) any Canadian federal withholding Taxes imposed on a payment with  respect to any Loan to a Canadian Borrower if such payment: (i)  is made to a Person with which the Credit Party  does not deal at arm’s length (for the purposes of the CITA) at the time of making the payment; (ii) is in respect of a  debt or other obligation to pay an amount to a Person with whom the payer is not dealing at arm’s length (for the  purposes of the CITA) at the time of such payment, or (iii) is made to a Person that is, or does not deal at arm’s  length (for the purposes of the CITA) with, a specified shareholder (as defined in subsection 18(5) of the CITA) of  any Credit Party, (g) with respect to any Loan to a Canadian Borrower, in the case of any Lender under the Canadian  Subfacility or Canadian FILO Subfacility with respect to the Canadian Subfacility or Canadian FILO Subfacility, as  applicable, capital Taxes, (h) in the case of Irish withholding Taxes imposed with respect to any Loan to any Irish  Borrower (i) such withholding Taxes which on the date on which the payment falls due are only imposed as a result  of such Lender not being or ceasing to be, an Irish Qualifying Lender other than as a result of any change after the  date it became a Lender under this Agreement in (or in the interpretation, administration or application of) any law  or tax treaty or any published practice or published concession of any relevant taxing authority or (ii) where such  Lender is an Irish Treaty Lender and the Borrower is able to demonstrate that any withholding taxes imposed on the  payment by Ireland could have been reduced or eliminated had the Lender completed its obligations under Section  5.02(b), (i) any Taxes imposed under FATCA, (j) U.S. federal backup withholding Taxes pursuant to Code Section  3406, (k) in the case of any amounts payable in respect of any Loans, Letters of Credit, Revolving Commitments or  LC Disbursements provided to French Borrowers, any Tax Deduction on account of Tax imposed by France on any  such payment if such Tax Deduction is imposed solely because the payment is made to an account opened in the  name of or for the benefit of such recipient in a financial institution situated in a Non-Cooperative Jurisdiction and  (l) with respect to any Loan to a German Borrower, in case of a German Tax Deduction, the relevant Lender is a                                                 -41- 

 

  German Treaty Lender and the German Borrower or German Guarantor making the payment is able to demonstrate  that the payment could have been made to the Lender without the German Tax Deduction had that Lender complied  with its obligations set out  under Section 5.02(c) and (m) any amount an  Australian Credit Party is required to  deduct or withhold under section 255 of the Income Tax Assessment Act of 1936 (Cth) or section 260-5 of Schedule  1 to the Taxation Administration Act 1953 (cth) in connection with the recovery of unpaid Tax related liabilities of a  Recipient.          “Existing Revolving Loans” has the meaning assigned to such term in Section 2.19(a).          “Extendable Bridge Loans” shall  mean customary “bridge” loans which by their terms will be converted  into loans that have, or extended such that they have, a maturity date later than the Latest Maturity Date of all Loans  or Commitments of any Subfacility then in effect.          “Extended  Revolving  Loan  Commitments”  shall  mean  one  or  more  commitments  hereunder  to  convert  Existing  Revolving  Loans  to  Extended  Revolving  Loans  of  a  given  Extension  Series  pursuant  to  an  Extension  Amendment.          “Extended Revolving Loans” shall have the meaning provided in Section 2.19(a).          “Extending Lender” shall have the meaning provided in Section 2.19(c).            “Extension Amendment” shall have the meaning provided in Section 2.19(d).          “Extension Election” shall have the meaning provided in Section 2.19(c).          “Extension Request” shall have the meaning provided in Section 2.19(a).          “Extension Series” shall have the meaning provided in Section 2.19(a)(y)(iii)(B).          “FATCA” shall mean Sections 1471 through 1474 of the Code, as of the date of this Agreement (or any  amended or successor version that is substantively comparable and not materially more onerous to comply  with),  any current or future regulations thereunder or official interpretations thereof, any agreements entered into pursuant  to Section 1471(b)(1) of the Code as of the date of this Agreement (or any amended or successor version described  above),  and  any  intergovernmental  agreements,  treaties  or  conventions  (and  any  related  laws,  rules  or  official  administrative guidance) implementing the foregoing.          “FCCR Test Amount” shall have the meaning provided in Section 10.11(a).            “FCPA” shall mean the United States Foreign Corrupt Practices Act of 1977, as amended.          “Federal Funds Rate” shall  mean,  for any day, the rate calculated by the NYFRB based on  such day’s  federal  funds  transactions  by  depositary  institutions,  as  determined  in  such  manner  as  shall  be  set  forth  on  the  Federal Reserve Bank of New York’s Website from time to time, and published on the next succeeding Business  Day by the NYFRB as the federal funds effective rate; provided, that if the above rate shall be less than zero, such  rate shall be deemed to be zero for purposes of this Agreement.          “Federal  Reserve  Bank  of  New  York’s  Website”  shall  mean  the  website  of  the  NYFRB  at  http://www.newyorkfed.org, or any successor source.          “Fee Letter” shall mean the Fee Letter, dated July 29, 2016, by and among JPMCB and the Lead Borrower.          “Fees” shall mean all amounts payable pursuant to or referred to in Section 2.05.          “FILO  Loans”  shall  mean  the  Canadian  FILO  Loans  and/or  the  U.S.  FILO  Loans,  as  the  context  may  require.                                                  -42- 

 

         “FILO  Subfacility”  shall  mean the Canadian FILO Subfacility and/or the  U.S. FILO  Subfacility, as the  context may require.          “Financial  Support  Direction” shall  mean  a  financial support direction issued by  the  Pensions  Regulator  under s43 of the United Kingdom’s Pensions Act 2004.          “Fitch” shall mean Fitch, Inc.           “Flood Insurance Laws” shall mean, collectively, (i) the National Flood Insurance Act of 1968 as now or  hereafter in effect or any successor statute thereto, (ii) the Flood Disaster Protection Act of 1973 as now or hereafter  in effect or any successor statute thereto, (iii) the National Flood Insurance Reform Act of 1994 as now or hereafter  in effect or any successor statute thereto, (iv) the Flood Insurance Reform Act of 2004 as now or hereafter in effect  or any successor statute thereto and (v) the Biggert-Waters Flood Insurance Reform Act of 2012, as now or hereafter  in effect or any successor statute thereto.          “Foreign Borrower” shall mean each Canadian Borrower, each French Borrower, each German Borrower,  each Hong Kong Borrower and each Irish Borrower.          “Foreign Collateral” shall mean all Hong Kong Collateral, Canadian Collateral, French Collateral, German  Collateral, Irish Collateral, Singapore Collateral, Australian Collateral, and UK Collateral.          “Foreign  Credit  Parties”  shall  mean  each  Asian  Credit  Party,  each  Canadian  Credit  Party,  each  French  Credit Party, each German Credit Party, and each European Credit Party.          “Foreign Pension Plan” shall mean any plan, fund (including, without limitation, any superannuation fund)  or other similar program established or maintained outside the United States or Canada by the Lead Borrower or any  one or more of its Restricted Subsidiaries primarily for the benefit of employees of the Lead Borrower or such  Restricted  Subsidiaries  residing  outside  the  United  States  or  Canada,  which  plan,  fund  or other  similar  program  provides, or results in, retirement income, a deferral of income in contemplation of retirement or payments to be  made upon termination of employment, and which plan is not subject to ERISA, the Code or applicable Canadian  law.          “Foreign  Primary  Subfacilities”  shall  mean  each  Foreign  Subfacility  other  than  the  Canadian  FILO  Subfacility.          “Foreign  Subfacilities”  shall  mean  the  Asian  Subfacility,  the  Canadian  Subfacility,  the  Canadian  FILO  Subfacility, the French Subfacility, the German Subfacility, and the European Subfacility.          “Foreign Subsidiaries” shall mean each Subsidiary of the Lead Borrower that is not a U.S. Subsidiary.          “French Assignment of Receivables” shall mean the French assignment of receivables (Bordereau Dailly)  executed by the French Borrowers as of  the Eurasian Effectiveness Date creating security interests over certain  assets of the French Borrowers.          “French Authorized Issuing Bank” shall mean (i) a credit institution (établissement de crédit) licensed by  the  relevant  Governmental  Authorities  of  France  for  the  purpose  of  providing  to  customers  credit  transactions  (opérations  de  crédit)  and  bank  payment  services  (services  bancaires de  paiement);  (ii) a  credit  institution  (établissement de crédit) having its registered office in a member state of the European Union or in a state which is a  party to the Treaty on the European Economic Area, so long as the relevant Governmental  Authorities of  France  have  been  notified  in  advance  by  the  relevant  Governmental  Authority  of  such  state; provided,  that  such  credit  institution provides to customers in France only those credit transactions (opérations de credit) and bank payment  services (services bancaires de paiement) which it is authorized to provide or administer in the state in which is  registered office is located; or (iii) a financial institution (établissement financier) having its registered office in a  member state of the European Union or in a state which is a party to the Treaty on the European Economic Area,  which has obtained a certificate from the relevant Governmental Authorities of such state certifying that it meets the                                                  -43- 

 

  conditions  required  for  that  purpose  by  such  Governmental  Authority,  so  long  as  the  relevant  Governmental  Authorities of France have been notified in advance by the relevant Governmental Authority of such state; provided,  that such financial institution provides to customers in France only those credit transactions (opérations de crédit)  and bank payment services (services bancaires de paiement) which it is authorized to provide in the state in which is  registered office is located.  For purposes of this definition, “notified in advance” refers to the satisfaction of  the  formalities  required  to  benefit  from  applicable  European  passporting  provisions  (including  the  transmission  by  a  local regulator to the French banking authority of a notice received from a financial institution to the effect that such  institution intends to trade in France on a remote basis pursuant to the European passporting regulations).          “French  Authorized  Lender”  shall  mean  (i)  a  credit  institution  (établissement de crédit) licensed  for  the  purpose  of  carrying  out  credit  transactions  (operations  de  crédit) by  the  relevant  Governmental  Authorities  of  France;  (ii)  a  credit  institution  (établissement  de  crédit) having  its  registered  office  in  a  member  state  of  the  European Union or in a state which is a party to the Treaty on the European Economic Area, so long as the relevant  Governmental Authorities of France have been notified in advance by the relevant Governmental Authority of such  state; provided, that such credit institution carries out in France only those credit transactions which it is authorized  to carry out in the state in which is registered office is located; or (iii) a financial institution (établissement financier)  having its registered office in a member state of the European Union or in a state which is a party to the Treaty on  the European Economic Area, which has obtained a certificate from the relevant Governmental Authority of such  state certifying that it meets the conditions required for that purpose by such Governmental Authority, so long as the  relevant French authorities have been notified in advance by the relevant Governmental Authorities of such state;  provided, that such financial institution carries out in France only those credit transactions which it is authorized to  carry out in the state in which is registered office is located.  For purposes of this definition, “notified in advance”  refers  to  the  satisfaction  of  the  formalities  required  to  benefit  from  applicable  European  passporting  provisions  (including the transmission by a local regulator to the French banking authority of a notice received from a financial  institution to the effect that such institution intends to trade in France on a remote basis pursuant to the European  passporting regulations).          “French Borrowers” shall mean the French Parent Borrower and each French Subsidiary Borrower.          “French Borrowing Base” shall mean, at any time of calculation, in respect of each French Borrower, an  amount equal to the sum of, without duplication:           (a)     the book value of Eligible Accounts of such French Borrower multiplied by the advance rate of  85%, plus          (b)     the positive amount, if any, by which the U.S. Borrowing Base exceeds the total U.S. Revolving  Exposure of all Lenders; minus          (c)     Reserves established from time to time by the Administrative Agent in accordance herewith.           “French  Collateral”  shall  mean  all  the  “Security  Assets”  as  defined  in  the  Initial  French  Security  Agreements and all other property (whether real, personal or otherwise) with respect to which any security interests  have been granted (or purported to be granted) by the French Credit Parties or will be granted in accordance with the  requirements set forth in Section 9.13.          “French  Collateral  Agent”  shall  mean  J.P.  Morgan  Europe  Limited,  acting  as  a  collateral  agent  for  the  Secured Creditors for the purpose of any French Security Document and any successor thereto appointed pursuant to  Section 12.10.          “French Credit Party” shall mean each French Borrower.          “French Line Cap” shall mean, with respect to each French Borrower, an amount that is equal to the lesser  of  (a)  the  French  Revolving  Commitments  and  (b)  the  then  applicable  French  Borrowing  Base  of  such  French  Borrower.                                                  -44- 

 

         “French Master Assignment Agreement” shall mean the French master assignment agreement executed by  the French Borrowers as of Eurasian Effectiveness Date creating security interests over certain assets of the French  Borrowers.          “French Parent Borrower” shall mean any entity executing this Agreement (or a joinder to this Agreement)  on the Eurasian Effectiveness Date as a “French Parent Borrower.”          “French Pledge of Bank Accounts” shall mean the French pledge of bank accounts executed by the French  Borrowers as of Eurasian Effectiveness Date creating security interests over certain assets of the French Borrowers.          “French Protective Advance” shall have the meaning provided in Section 2.18.          “French  Qualifying  Lender”  shall  mean  for  the  purposes  of  any  Loan  to  be  made  available  to  a  French  Borrower pursuant to this Agreement, a Lender which (i) fulfills the conditions under the domestic laws of France to  receive payments of interest from a French Borrower under that Credit Document without a Tax Deduction or (ii) is  a French Treaty Lender.          “French Revolving Borrowing” shall mean a Borrowing comprised of French Revolving Loans.          “French Revolving Commitment” shall mean, with respect to each Lender, the commitment, if any, of such  Lender to make French Revolving Loans hereunder up to the amount set forth and opposite such Lender’s name on  Schedule 2.01 under the caption “French Revolving Commitment,” or in the Assignment and Assumption pursuant  to which such Lender assumed its French Revolving Commitment, as applicable, as the same may be (a) reduced  from time to time pursuant to Section 2.07 and (b) reduced or increased from time to time pursuant to assignments  by  or  to  such  Lender  pursuant  to  Section  13.04.   The  aggregate  amount  of  the  Lenders’  French  Revolving  Commitments on the Amendment No. 5 Effective Date is $12,500,000.  Each Lender that has a French Revolving  Commitment (or any Affiliate or branch of any such Lender that is acting on behalf of such Lender) shall be a  French Authorized Lender.          “French Revolving Exposure” shall mean, with respect to any Lender at any time, the aggregate principal  amount at such time of all outstanding French Revolving Loans of such Lender.          “French  Revolving  Loans”  shall  mean  advances  made  pursuant  to  Article  2  hereof  under  the  French  Subfacility.          “French  Security  Documents” shall  mean  the Initial French Security  Agreements,  each  Deposit Account  Control Agreement, and, after the execution and delivery thereof, each Additional Security Document governed by  French law, together with any other applicable security documents governed by French law from time to time, such  as a deed and any other related documents, bonds, debentures or pledge agreements as may be required to perfect a  Lien in favor of the French Collateral Agent for the benefit of the Secured Creditors.          “French  Subfacility”  shall  mean  the  French  Revolving  Commitments  of  the  Lenders  and  the  Loans  pursuant to those Commitments in accordance with the terms hereof.          “French  Subsidiary”  shall  mean  any  Subsidiary  of  the  Lead  Borrower  that  is  incorporated,  formed  or  otherwise organized under the laws of France.          “French  Subsidiary  Borrowers”  shall  mean  any  entity  executing  this  Agreement  (or  a  joinder  to  this  Agreement)  on  the  Eurasian  Effectiveness  Date  as  a  “French  Subsidiary  Borrower”,  and  each  other  French  Subsidiary  that  is  or  becomes  a  party  to  this  Agreement  as  a  Borrower  after  the  Eurasian  Effectiveness  Date  pursuant to Section 9.12 or otherwise.          “French Treaty” has the meaning assigned to such term in the definition of “French Treaty State.”          “French Treaty Lender” shall mean a Lender which:                                                  -45- 

 

         (a)    is treated as resident of a French Treaty State for the purposes of a French Treaty;          (b)     does not carry on business in France through a permanent establishment with which that Lender’s  participation in the Loan is effectively connected;          (c)    is acting from a lending office situated in a jurisdiction in which it is incorporated or established;  and          (d)     fulfills any other condition which must be fulfilled under the relevant French Treaty by residents  of  such  French  Treaty  State  for  such  residents  to  obtain  exemption  from  Taxes  imposed  on  interest  by  the  jurisdiction  of  tax  residence  of  the  applicable  French  Borrower,  subject  to  the  completion  of  any  necessary  procedural formalities.          “French Treaty State” shall mean a jurisdiction having a double taxation agreement (a “French Treaty”)  with France, which makes provision for full exemption from Taxes imposed by France on interest payments.          “Fronting Exposure” shall mean a Defaulting Lender’s Pro Rata Share of LC Exposure or Swingline Loans,  as applicable, except to the extent allocated to other Lenders under Section 2.11.          “Fronting Fee” shall have the meaning provided in Section 2.05(c)(ii).            “German” or “Germany” shall mean the Federal Republic of Germany (Bundesrepublik Deutschland), any  governmental or public body or authority, or any subdivision thereof.           “German Account Pledge Agreements” shall mean the German account pledge agreements executed by the  German Credit Parties as of the date of this Agreement creating security interests over certain assets of the German  Credit Parties.          “German Borrower Group” shall mean each individual German Borrower on a standalone basis, except that  a  German  Guarantor  and  a  German  Borrower  that  is  its  direct  Subsidiary  shall  collectively  constitute  a  single  German Borrower Group.          “German Borrowers” shall mean the German Parent Borrower and each German Subsidiary Borrower.          “German  Borrowing  Base”  shall  mean  at  any  time  of  calculation,  solely  in  respect  of  each  German  Borrower Group, an amount equal to the sum of, without duplication:           (a)    the book value of Eligible Accounts of such German Borrower Group multiplied by the advance  rate of 85%, plus          (b)     at any time following the completion of all Additional Inventory Security Actions by each German  Credit Party owning Inventory in Germany, the lesser of (i) the Cost of Eligible Inventory of such German Borrower  Group multiplied by the advance rate of 70%, and (ii) the appraised NOLV Percentage of Eligible Inventory of such  German Borrower Group multiplied by the advance rate of 85%; plus          (c)    the positive amount, if any, by which the U.S. Borrowing Base exceeds the total U.S. Revolving  Exposure of all Lenders; minus           (d)     Reserves established from time to time by the Administrative Agent in accordance herewith.          “German  Collateral”  shall  mean  all  the  “Security  Assets”  as  defined  in  the  Initial  German  Security  Agreements and all other property (whether real, personal or otherwise) with respect to which any security interests  have been granted (or purported to be granted) by the German Credit Parties or will be granted in accordance with  the requirements set forth in Section 9.13.                                                  -46- 

 

         “German Collateral Agent” shall mean JPMCB, acting as a collateral agent for the Secured Creditors for  the purpose of any German Security Document and any successor thereto appointed pursuant to Section 12.10.          “German Credit Party” shall mean each German Borrower and any German Guarantor.          “German Global Assignment Agreements” shall mean the German global assignment agreements executed  by the German Credit Parties as of the date of this Agreement creating security interests over certain assets of the  German Credit Parties.          “German  Guarantor” shall mean each German Subsidiary that is not a German Borrower that is on the  Eurasian  Effectiveness  Date,  or  which  becomes,  a  party  to  the  Guaranty  Agreement  in  accordance  with  the  requirements of this Agreement or the provisions of such Guaranty Agreement.          “German Line Cap” shall mean, with respect to each German Borrower Group, an amount that is equal to  the lesser of (a) the German Revolving Commitments and (b) the then applicable German Borrowing Base of such  German Borrower Group.          “German  Parent  Borrower”  shall  mean  any  entity  executing  this  Agreement  (or  a  joinder  to  this  Agreement) on the Eurasian Effectiveness Date as a “German Parent Borrower.”           “German Protective Advance” shall have the meaning provided in Section 2.18.          “German  Qualifying Lender” shall mean a Lender which is in respect of interest payable by a German  Borrower beneficially entitled to interest payable to that Lender in respect of an advance under a Credit Document  and is (a) lending through a permanent establishment in Germany; or (b) a German Treaty Lender.          “German Revolving Borrowing” shall mean a Borrowing comprised of German Revolving Loans.          “German Revolving Commitment” shall mean, with respect to each Lender, the commitment, if any, of  such  Lender to  make German Revolving  Loans hereunder up to the amount set  forth and opposite such Lender’s  name on Schedule 2.01 under the caption “German Revolving Commitment,” or in the Assignment and Assumption  pursuant to which such Lender assumed its German Revolving Commitment, as applicable, as the same may be (a)  reduced  from  time  to  time  pursuant  to  Section  2.07  and  (b)  reduced  or  increased  from  time  to  time  pursuant  to  assignments  by  or  to  such  Lender  pursuant  to  Section  13.04.   The  aggregate  amount  of  the  Lenders’  German  Revolving Commitments on the Amendment No. 5 Effective Date is $7,500,000.          “German Revolving Exposure” shall mean, with respect to any Lender at any time, the aggregate principal  amount at such time of all outstanding German Revolving Loans of such Lender.          “German  Revolving  Loans”  shall  mean  advances  made  pursuant  to  Article  2  hereof  under  the  German  Subfacility.           “German Security Documents” shall mean the Initial German Security Agreements and, after the execution  and delivery thereof, each Additional Security Document governed by German law, including those entered into as  required  by  the  Additional  Inventory  Security  Actions,  together  with  any  other  applicable  security  documents  governed by German law from time to time.          “German Security Transfer Agreement” shall mean any German security transfer agreement to be executed  by a German Credit Party as an Additional Security Document creating security interests over certain assets of such  German Credit Party.          “German  Subfacility”  shall  mean  the  German  Revolving  Commitments  of  the  Lenders  and  the  Loans  pursuant to those Commitments in accordance with the terms hereof.                                                  -47- 

 

         “German  Subsidiary”  shall  mean  any  Subsidiary  of  the  Lead  Borrower  that  is  incorporated,  formed  or  otherwise organized under the laws of Germany.          “German  Subsidiary  Borrowers”  shall  mean  any  entity  executing  this  Agreement  (or  a  joinder  to  this  Agreement)  on  the  Eurasian  Effectiveness  Date  as  a  “German  Subsidiary  Borrower”,  and  each  other  German  Subsidiary  that  is  or  becomes  a  party  to  this  Agreement  as  a  Borrower  after  the  Eurasian  Effectiveness  Date  pursuant to Section 9.12 or otherwise.          “German  Tax  Deduction”  shall  mean  a  deduction  or  withholding  for  or  on  account  of  Tax  imposed  by  Germany.          “German Treaty Lender” shall mean a Lender which (a) is treated as a resident of a German Treaty State  for  the  purposes  of  the  German  Treaty,  (b)  does  not  carry  on  a  business  in  Germany  through  a  permanent  establishment with which that Lender’s participation in the Loan is effectively connected and, (c) with respet to the  interest  payable  by  the  German  Borrower  is  entiled  to  rely  on  the  benefits  of  the  German  Treaty  (subject  to  the  completion of any procedural formalities).          “German  Treaty  State”  shall  mean  a  jurisdiction  having  a  double  taxation  agreement  with  Germany  (a  “German Treaty”) which makes provision for full exemption for tax imposed by Germany on interest.          “Global Availability” shall mean, as of any applicable date, the amount by which the Line Cap at such time  exceeds the Aggregate Exposures on such date.          “Governmental  Authority”  shall  mean  the  government  of  the  United  States  of  America,  Canada,  Hong  Kong,  France,  Germany,  Ireland,  Australia,  Singapore,  the  United  Kingdom  or  any  other  country,  including  any  political subdivision of any of the foregoing (including state, provincial, territorial or local), the European Central  Bank, the Council of Ministers of the European Union, and any agency, authority, instrumentality, regulatory body,  court,  central  bank  or  other  entity  (including  any  European  supranational  body)  exercising  executive,  legislative,  judicial, taxing, regulatory or administrative powers or functions of or pertaining to government.          “Guaranteed Creditors” shall mean and include (x) each of the Administrative Agent, the Collateral Agents,  the  Lenders,  each  Issuing  Bank  and  each  Swingline  Lender  and  (y)  any  Secured  Bank  Product  Provider  or  any  Person that was a Secured Bank Product Provider on the Closing Date or at the time of entry into a particular  Secured Bank Product Obligation.          “Guarantor” shall mean and include Holdings, each Borrower (with respect to the Obligations of each other  Borrower; provided  that  no  Foreign  Credit  Party  will  be  a  Guarantor  with  respect  to  the  Obligations  of  the  U.S.  Credit Parties) and each Subsidiary Guarantor.          “Guaranty Agreement” shall mean the Guaranty Agreement executed by each Credit Party.          “Hazardous Materials” shall mean (a) any petroleum or petroleum products, radioactive materials, asbestos  in any form that is or could become friable, urea formaldehyde foam insulation, polychlorinated biphenyls, radon  gas or per- and polyfluoroalkyl substances; (b) any chemicals, materials or substances defined as or included in the  definition of “hazardous substances,” “hazardous waste,” “hazardous materials,” “extremely hazardous substances,”  “restricted  hazardous  waste,”  “toxic  substances,”  “toxic  pollutants,”  “contaminants,”  or  “pollutants,”  or  words  of  similar  import,  under  any  applicable  Environmental  Law;  and  (c)  any  other  chemical,  material  or  substance  regulated under any Environmental Law.          “HIBOR  Loan”  shall  mean  a  Loan  denominated  in  Hong  Kong  Dollars  made  by  the  Lenders  to  the  Borrowers which bears interest at a rate based on the HIBOR Rate.          “HIBOR  Rate”  shall  mean,  for  any  Interest  Period  with  respect  to  a  HIBOR  Loan  or  overdue  amount  denominated in Hong Kong Dollars, such interest rate as is determined by the Administrative Agent as of 11:00 a.m.  (Hong Kong time) on the first day of the relevant Interest Period, for a period comparable to such Interest Period, to                                                  -48- 

 

  be equal to (a) the rate per annum  designated  as  “FIXING@11:00” displayed  under the heading  “HONG KONG  INTERBANK OFFERED RATES (HK DOLLARS)” (“HKABHIBOR”) on the Reuters Screen Page HIBOR (or  other commercially available source reasonably designated by the Administrative Agent); or (b) if HKABHIBOR is  not available for any reason, the interest rate at which deposits in Hong Kong Dollars of the approximate amount of  the  HIBOR  Loan  would  be  offered  by  JPMorgan  Chase  Bank,  N.A.’s  Hong  Kong  branch  to  major  banks  in  the  Hong Kong interbank market.          “Holdco Notes” shall mean Vertiv Intermediate Holding Corporation’s 12.00%/13.00% senior PIK toggle  notes due 2022 pursuant to the Holdco Notes Indenture.          “Holdco Notes Indenture” shall mean the Indenture dated as of February 9, 2017, pursuant to which the  Holdco Notes were issued, as amended, restated, supplemented or otherwise modified on or prior to the Amendment  No. 5 Effective Date.          “Holdings” shall have the meaning provided in the first paragraph of this Agreement.          “Hong  Kong”  shall  mean  the  Hong  Kong  Special  Administrative  Region  of  the  People’s  Republic  of  China.          “Hong  Kong  Borrowers”  shall  mean  the  Hong  Kong  Parent  Borrower  and  each  other  Hong  Kong  Subsidiary Borrower.          “Hong Kong Collateral” shall mean all the “Security Assets” as defined in the Initial Hong Kong Security  Agreement and all other property (whether real, personal or otherwise and whether currently existing or otherwise)  with respect to which any security interests have been granted (or purported to be granted) by the Hong Kong Credit  Parties or will be granted in accordance with the requirements set forth in Section 9.13.          “Hong Kong Credit Party” shall mean each Hong Kong Borrower.          “Hong Kong Dollars” or “HK$” shall mean the lawful currency of Hong Kong.          “Hong  Kong  Parent  Borrower”  shall  mean  any  entity  executing  this  Agreement  (or  a  joinder  to  this  Agreement) on the Eurasian Effectiveness Date as a “Hong Kong Parent Borrower.”           “Hong  Kong  Security  Documents”  shall  mean  the  Initial  Hong  Kong  Security  Agreement  and,  after  the  execution and delivery thereof, each Additional Security Document governed by Hong Kong law, including those  entered into as required by the Additional Inventory Security Actions, together with any other applicable security  documents governed by Hong Kong law from time to time.          “Hong Kong Subsidiary” shall mean any Subsidiary of the Lead Borrower that is incorporated, formed or  otherwise organized under the laws of Hong Kong.          “Hong Kong Subsidiary Borrowers” shall mean any entity executing this Agreement (or a joinder to this  Agreement) on the Eurasian Effectiveness Date as a “Hong Kong Subsidiary Borrower”, and each other Hong Kong  Subsidiary  that  is  or  becomes  a  party  to  this  Agreement  as  a  Borrower  after  the  Eurasian  Effectiveness  Date  pursuant to Section 9.12 or otherwise.          “Immaterial Subsidiary” shall mean any Restricted Subsidiary of the Lead Borrower that, as of the most  recently ended Test Period, does not have, when taken together with all other Immaterial Subsidiaries, (a) assets in  excess  of  5.0%  of  Consolidated Total  Assets;  or  (b)  revenues  for  the  period  of  four  consecutive  fiscal  quarters  ending  on  such  date  in  excess  of  5.0%  of  the  combined  revenues  of  the  Lead  Borrower  and  the  Restricted  Subsidiaries for such period.          “Impacted Interest Period” shall have the meaning assigned to such term in clause (i) of the definition of  “LIBO Rate.”                                                  -49- 

 

         “Increase Date” shall have the meaning provided in Section 2.15(b).            “Increase Loan Lender” shall have the meaning provided in Section 2.15(b).            “Incremental Revolving Commitment Agreement” shall have the meaning provided in Section 2.15(d).          “Incremental Term Loan” shall mean any additional loans made after the Amendment No. 5 Effective Date  under the Term Loan Credit Agreement pursuant to Section 2.15 of the Term Loan Credit Agreement.          “Indebtedness” shall mean, as to any Person, without duplication, (i) all indebtedness (including principal,  interest, fees and charges) of such Person (A) for borrowed money or (B) for the deferred purchase price of property  or services, (ii) the maximum amount available to be drawn under all letters of credit, bankers’ acceptances and  similar obligations issued for the account of such Person and all unpaid drawings in respect of such letters of credit,  bankers’ acceptances and similar obligations, (iii) all Indebtedness of the types described in clause (i), (ii), (iv), (v),  (vi)  or  (vii)  of  this  definition  secured  by  any  Lien  on  any  property  owned  by  such  Person,  whether  or  not  such  Indebtedness has been assumed by such Person (provided that, if the Person has not assumed or otherwise become  liable in respect of such Indebtedness, such Indebtedness shall be deemed to be in an amount equal to the lesser of  (x) the aggregate unpaid amount of Indebtedness secured by such Lien and (y) the fair market value of the property  to which such Lien relates as determined in good faith by such Person), (iv) the aggregate amount of all Capitalized  Lease Obligations of such Person, (v) all Contingent Obligations of such Person, (vi) all obligations under any Swap  Contracts  and  any  Bank  Product  Debt  or  under  any  similar  type  of  agreement  and  (vii)  all  Off-Balance  Sheet  Liabilities  of  such  Person.   Notwithstanding  the  foregoing,  Indebtedness  shall  not  include  (a)  trade  payables  and  accrued  expenses  incurred  by  any  Person  in  accordance  with  customary  practices  and  in  the  ordinary  course  of  business  of  such  Person,  (b) obligations,  to  the  extent  such  obligations  would  otherwise  constitute  Indebtedness,  under any agreement that has been defeased or satisfied and discharged pursuant to the terms of such agreement  prior  to  the  time  of  any  calculation  under  this  definition  or  (c)  earn-outs  and  contingent  payments  in  respect  of  acquisitions except to the extent that the liability on account of any such earn-outs or contingent payment becomes  fixed, due and payable for more than ten (10) Business Days without being paid and is required by U.S. GAAP to be  reflected as a liability on the consolidated balance sheet of the Lead Borrower and its Restricted Subsidiaries.          “Indemnified Person” shall have the meaning provided in Section 13.01(a)(z)(iii).          “Indemnified Taxes” shall mean (i) all Taxes, other than Excluded Taxes, imposed on or with respect to  any payment made by or on account of any obligation of any Credit Party under any Credit Document or Letter of  Credit and (ii) to the extent not described in (i), Other Taxes.          “Independent  Assets  or  Operations”  shall  mean,  with  respect  to  any  Parent  Company,  that  such  Parent  Company’s  total  assets,  revenues,  income  from  continuing  operations  before  income  taxes  and  cash  flows  from  operating  activities  (excluding  in  each  case  amounts  related  to  its  investment  in  the  Lead  Borrower  and  the  Restricted Subsidiaries), determined in accordance with GAAP and as shown on the most recent balance sheet of  such Parent Company, is more than 5.0% of such Parent Company’s corresponding consolidated amount.          “Initial  Australian  Security  Agreement”  shall  mean  the  Australian  Security  Agreement  executed  by  the  Australian  Guarantors  as  of  the  date  of  this  Agreement  creating  security  interests  over  certain  assets  of  the  Australian Guarantors.          “Initial  Canadian  Security  Agreement”  shall  mean  the  Canadian  Security  Agreement  executed  by  the  Canadian  Credit  Parties  as  of  the  date  of  this  Agreement  creating  security  interests  over  certain  assets  of  the  Canadian Credit Parties.          “Initial Field Work” shall mean a field examination and inventory appraisal of the Borrowers completed by  examiners and appraisers reasonably acceptable to the Administrative Agent, delivered pursuant to Section 6A.20 or  9.13, as the case may be.                                                  -50- 

 

           “Initial French Security Agreements” shall mean each of the French Assignment of Receivables, the French   Master Assignment Agreement and the French Pledge of Bank Accounts.           “Initial German Security Agreements” shall mean each of the German Global Assignment Agreements and   the German Account Pledge Agreements.           “Initial Hong Kong Security Agreement” shall mean the Hong Kong Security Agreement executed by the   Hong Kong Credit Parties as of the date of this Agreement creating security interests over certain assets of the Hong   Kong Credit Parties.           “Initial Irish Security Agreement” shall mean the Irish Security Agreement executed by the Irish Credit   Parties as of the date of this Agreement creating security interests over certain assets of the Irish Credit Parties.           “Initial Security Agreements” shall mean the Initial Australian Security Agreement, the Initial Canadian   Security  Agreement,  the  Initial  French  Security  Agreements,  the  Initial  German  Security  Documents,  the  Initial   Hong Kong Security Agreement, the Initial Irish Security Agreement, the Initial Singapore Security Agreement, the   Initial UK Security Agreement, and the Initial U.S. Security Agreement.           “Initial  Singapore  Security  Agreement”  shall  mean  the  Singapore  Security  Agreement  executed  by  the   Singapore Guarantors as of the date of this Agreement creating security interests over certain assets of the Singapore   Guarantors.           “Initial UK Security Agreement” shall mean the UK Security Agreement executed by the UK Guarantors   as of the date of this Agreement creating security interests over certain assets of the UK Guarantors.           “Initial U.S. Security Agreement” shall mean the U.S. Security Agreement executed by each U.S. Credit   Party as of the date of this Agreement creating security interests over certain assets of such U.S. Credit Party.           “Intellectual Property” shall have the meaning provided in Section 8.20.           “Intercreditor Agreement” shall mean that certain Intercreditor Agreement in the form of Exhibit L, dated   as of the Closing Date, by and among the U.S. Collateral Agent and the Term Agent, as may be amended, amended   and restated, modified, supplemented, extended or renewed from time to time in accordance with the terms thereof.           “Interest Determination Date”  shall mean, with respect to (i) any LIBO Rate Loan denominated in U.S.   Dollars, Euros, CNH and Singapore Dollars, on the second Business Day prior to the commencement of any Interest   Period relating to such LIBO Rate Loan, or (ii) any LIBO Rate Loan denominated in Pounds Sterling or Australian   Dollars, CDOR Rate Loan or HIBOR Loan (as applicable), on the day of the commencement of any Interest Period   relating  to  such  LIBO  Rate  Loan  denominated  in  Pounds  Sterling  or  Australian  Dollars,  CDOR  Rate  Loan  or   HIBOR Loan, as applicable, unless market practice differs in the relevant Interbank Market for a currency, in  which case the Interest Determination Date for that currency will be determined by the Administrative Agent in  accordance with market practice in the relevant Interbank Market.            “Interest Period” shall mean, as to any Borrowing of a LIBO Rate Loan, CDOR Rate Loan, SOR Loan,   BBSY Loan, CNH HIBOR Loan, or HIBOR Loan, the period commencing on the date of such Borrowing or on the   last day of the immediately preceding Interest Period applicable to such Borrowing, as applicable, and ending on the   numerically corresponding day (or, if there is no  numerically  corresponding day,  on the  last day)  in the calendar   month that is one, two, three, six, or, if available from all Lenders, twelve months or less than one month thereafter,   as the Lead Borrower may elect, or the date any Borrowing of a LIBO Rate Loan, CDOR Rate Loan, SOR Loan,   BBSY Loan, CNH HIBOR Loan or HIBOR Loan is converted to a Borrowing of a Base Rate Loan, Canadian Prime   Rate Loan, or LIBO Rate Loan in accordance with Section 2.08 or repaid or prepaid in accordance with Section 2.07   or Section 2.09; provided that if any Interest Period would end on a day other than a Business Day, such Interest   Period shall be extended to the next succeeding Business Day unless such next succeeding Business Day would fall   in  the  next  calendar  month,  in  which  case  such  Interest  Period  shall  end  on  the  next  preceding  Business  Day.                                                    -51- 

 

  Interest shall accrue from and including the first day of an Interest Period to but excluding the last day of such  Interest Period.          “Interim Period” shall have the meaning provided in Section 10.11(b).          “Interpolated Rate” shall mean, at any time, (i) with respect to any LIBO Rate Loans (other than CDOR  Rate Loans), for any Interest Period, the rate per annum (rounded to the same number of decimal places as the LIBO  Screen Rate) determined by the Administrative Agent (which determination shall be conclusive and binding absent  manifest error) to be equal to the rate that results from interpolating on a linear basis between:  (a) the LIBO Screen  Rate for the longest period (for which the LIBO Screen Rate is available) that is shorter than the Impacted Interest  Period; and (b) the LIBO Screen Rate for the shortest period (for which that LIBO Screen Rate is available) that  exceeds the Impacted Interest Period, in each case, at such time, (ii) with respect to any CDOR Rate Loan for any  Interest  Period,  a  rate per  annum  (rounded  upward  to  the  next  1/100th  of  1%)  determined  by  the  Administrative  Agent (which determination shall be conclusive and binding absent manifest error) to be equal to the rate that results  from interpolating on a linear basis between (a) the applicable CDOR Screen Rate for the longest period (for which  such CDOR Screen Rate is available) that is shorter than the Interest Period for such CDOR Rate Loan and (b) the  applicable CDOR Screen Rate for the shortest period (for which such CDOR Screen Rate is available) that is longer  than the Interest Period for such CDOR Rate Loan, in each case at such time and (iii) with respect to any CNH  HIBOR  Loan  or  SOR  Loan  for  any  Interest  Period,  the  rate  which  results  from  interpolating  on  a  linear  basis  between (a) the CNH HIBOR Screen Rate or SOR Screen Rate, as applicable, for the longest period (for which such  CNH HIBOR Screen Rate or SOR Screen Rate is available) which is less than the Interest Period of that Loan, and  (b) the CNH HIBOR Screen Rate or SOR Screen Rate, as applicable, for the shortest period (for which such CNH  HIBOR Screen Rate or SOR Screen Rate is available) which exceeds the Interest Period of that Loan, each as of  11:00 a.m. Hong Kong local time (in the case of CNH HIBOR Loans) or 11:00 a.m. London local time (in the case  of SOR Loans), in each case, two Business Days before the first day of the applicable Interest Period.          “Inventory”  shall  mean  all  “inventory,”  (including  parts,  work-in-process,  raw  materials,  and  finished  goods)  as  such  term  is  defined  in  the  UCC  as  in  effect  on  the  date  hereof  in  the  State  of  New  York,  wherever  located,  in  which  any  Person  now  or  hereafter  has  rights,  and  shall  include  the  meaning  given  to  the  term  “Inventory” in any Non-U.S. Security Agreement.          “Investment Grade Rating” shall mean, with respect to any Person, that such Person has a corporate credit  rating of BBB- or better by S&P and a corporate family rating of Baa3 or better by Moody’s (or comparable ratings  by any other rating agency).          “Investments” shall have the meaning provided in Section 10.05.          “Irish Authorized LC Issuer” shall mean:          (a)     the holder of an authorisation granted by the European Central Bank under the SSM Regulation on  the application therefor under section 9 of the Central Bank Act 1971 of Ireland;           (b)     the holder of a licence granted under section 9 of the Central Bank Act 1971 of Ireland before the  commencement  of  the  European  Union  (Single  Supervisory  Mechanism)  Regulations  2014  that  is  deemed,  in  accordance with the SSM Regulation, to be an authorisation granted by the European Central Bank under the SSM  Regulation;          (c)     the holder of an authorisation granted under section 9A of the Central Bank Act 1971 of Ireland;  and          (d)     a  credit  institution  that  is  incorporated  or  established  in  an  EEA  Member  Country  other  than  Ireland and that:                                                  -52- 

 

                  (i)   holds  an  authorisation  for  the  purposes  of  the  Capital  Requirements  Directive  and         applicable  law  in  the  EEA  Member  Country  in  which  it  is  incorporated  or  established  including,  where         applicable, the SSM Regulation; and                  (ii)   has duly exercised its right to provide activities referred to in paragraph 1 of Annex I to         the Capital Requirements Directive, whether by establishing a branch or otherwise, in Ireland in accordance         with  the  Capital  Requirements  Directive,  the  Irish  Capital  Requirements  Regulations  and  the  laws  and         regulations which implement the Capital Requirements Directive and/ or other European Union directives         codified by it in the EEA Member Country in  which it is incorporated or established including,  where         applicable, the SSM Regulation,   which shall, in each case, be deemed evidenced, in respect of any entity, by its inclusion in any register or list of the  relevant class of holders or credit institutions, as applicable, maintained by the Central Bank of Ireland.          “Irish Borrowers” shall mean the Irish Parent Borrower and each Irish Subsidiary Borrower.          “Irish  Capital  Requirements  Regulations”  means  European  Union  (Capital  Requirements)  Regulations  2014 which give effect to the Capital Requirements Directive in Ireland.          “Irish Collateral” shall mean all the “Security Assets” as defined in the Initial Irish Security Agreement and  all  other  property  (whether  real,  personal  or  otherwise)  with  respect  to  which  any  security  interests  have  been  granted  (or  purported  to  be  granted)  by  the  Irish  Credit  Parties  or  will  be  granted  in  accordance  with  the  requirements set forth in Section 9.13.          “Irish Companies Act” shall have the meaning provided to such term in the definition of “Irish Subsidiary.”           “Irish Credit Party” shall mean each Irish Borrower.          “Irish Parent Borrower” shall mean any entity executing this Agreement (or a joinder to this Agreement) on  the Eurasian Effectiveness Date as an “Irish Parent Borrower.”           “Irish Qualifying  Lender” shall  mean a Lender  which is  beneficially entitled to interest payable to that  Lender in respect of an advance under a Credit Document:          (a)     a bank which is carrying on a bona fide banking business in Ireland for the purposes of section  246(3)(a) of the TCA whose lending office is located in Ireland; or          (b)     a company within the meaning of section 246 of the TCA:                          (i)   which by virtue of the law of a Relevant Territory is resident in the Relevant                 Territory for the purposes of tax and that Relevant Territory imposes a tax that generally applies to                 interest  receivable  in  that  Relevant  Territory  by  companies  from  sources  outside  that  Relevant                 Territory; or                         (ii)   in receipt of interest payable under a Credit Document which:                                        A.     is  exempted  from  the  charge  to  Irish  income  tax  pursuant  to                                              the  terms  of  a  double  taxation  treaty  entered  into  between                                              Ireland and another jurisdiction that is in force on the date the                                              relevant interest is paid; or                                        B.     would  be  exempted  from  the  charge  to  Irish  income  tax                                              pursuant to the terms of a double taxation treaty entered into                                              between  Ireland  and  another  jurisdiction  signed  on  or  before                                              the date on which the relevant interest is paid but not in force                                                  -53- 

 

                                              on that date, assuming that treaty had the force of law on that                                              date; or          provided  that  in  the  case  of  both  (A)  and  (B)  above  such  company  does  not  provide  its  commitment  in         connection with a trade or business which is carried on in Ireland by it through a branch or agency; or          (c)     a U.S. company that is incorporated in the U.S.A. and is taxed in the U.S. on its worldwide income  provided that such U.S. company does not provide its commitment in connection with a trade or business which is  carried on in Ireland by it through a branch or agency in Ireland; or          (d)     a U.S. limited liability company (“LLC”), where the ultimate recipients of the interest payable to  that LLC satisfy the requirements set out in paragraph (b) or (c) above and the business conducted through the LLC  is so structured for market reasons and not for tax avoidance purposes provided that such LLC does not provide its  commitment in connection with a trade or business which is carried on by it in Ireland through a branch or agency in  Ireland; or          (e)     a  qualifying  company  within  the  meaning  of  section  110  of  the  TCA  whose  lending  office  is  located in Ireland; or          (f)     an exempt approved scheme within the meaning of section 774 of the TCA whose lending office  is located in Ireland; or          (g)     an investment undertaking within the meaning of section 739B of the TCA whose lending office is  located in Ireland; or           (h)     a company within the meaning of section 246 of the TCA:                   (i)   which advances money in the ordinary course of a trade which includes the lending of         money; and                  (ii)   whose hands any interest payable in respect of money so advanced is taken into account         in computing the trading income of that company; and                 (iii)   which  has  complied  with  notification  requirements  set  out  in  section  246(5)(a)  of  the         TCA; and                  (iv)   whose lending office is located in Ireland; or          (i)     an Irish Treaty Lender.          “Irish Security Documents” shall mean the Initial Irish Security Agreement and, after the execution and  delivery thereof, each Additional Security Document governed by Irish law, including those entered into as required  by the Additional Inventory Security Actions, such as a deed and any other related documents, bonds, debentures or  pledge agreements as may be required to perfect in favor of the European Collateral Agent for the benefit of the  Secured Creditors.           “Irish  Subsidiary”  shall  mean  any  Subsidiary  of  the  Lead  Borrower  that  is  incorporated,  formed  or  otherwise organized under the laws of Ireland and shall be construed in accordance with Section 7 of the Companies  Act 2014 of Ireland (the “Irish Companies Act”).          “Irish  Subsidiary  Borrowers”  shall  mean  any  entity  executing  this  Agreement  (or  a  joinder  to  this  Agreement) on the Eurasian Effectiveness Date as an “Irish Subsidiary Borrower”, and each other Irish Subsidiary  that is or becomes a party to this Agreement as a Borrower after the Eurasian Effectiveness Date pursuant to Section  9.12 or otherwise.                                                  -54- 

 

         “Irish Treaty Lender” shall mean a Lender other than a Lender falling within paragraphs (b), (c) or (d) of  the definition of  “Irish Qualifying  Lender”  which  is on the date any relevant payment is  made entitled under a  double  taxation  agreement  in  force  on  that  date  (subject  to  the  completion  of  any  procedural  formalities)  to  that  payment without any deduction of Tax.          “Issuing  Bank”  shall  mean,  as  the  context  may  require,  (a) (i)  JPMCB,  (ii)  Bank  of  America,  N.A,  (iii)  Wells Fargo Bank, National Association, (iv) PNC Capital Markets LLC, (v) ING Capital LLC, and (vi) Citibank,  N.A., in each case, with respect to Letters of Credit issued by it up to the Dollar Equivalent as set forth opposite  such Issuing Bank’s name on Schedule 2.01 attached hereto under the caption “LC Commitments”; (b) any other  Lender that may become an Issuing Bank pursuant to Sections 2.13(i) and 2.13(k), with respect to Letters of Credit  issued by such Lender; or (c) collectively, all of the foregoing; provided that the amounts set forth in clause (a) of  this definition shall be correspondingly reduced on a ratable basis by the amount of allocated to such new Issuing  Bank (unless otherwise agreed by all then existing Issuing Banks).  Each Issuing Bank may, in its discretion, arrange  for one or more Letters of Credit to be issued by affiliates of such Issuing Bank (including without limitation with  respect to Letters of Credit with a co-applicant that is not a U.S. Credit Party), in which case the term “Issuing  Bank” shall include any such affiliate with respect to Letters of Credit issued by such affiliate.          “JPMCB” shall have the meaning provided in the first paragraph of this Agreement.          “Junior  Representative”  shall  mean,  with  respect  to  any  series  of  Permitted  Junior  Debt,  the  trustee,  administrative agent, collateral agent, security agent or similar agent under the indenture or agreement pursuant to  which such Permitted Junior Debt is issued, incurred or otherwise obtained and each of their successors in such  capacities.          “Landlord Lien Reserve” shall mean an amount equal to three months’ rent for all of the leased locations of  the  Borrowers  at  which  Eligible  Inventory  is  stored,  other  than  leased  locations  with  respect  to  which  the  Administrative Agent has received a Landlord Lien Waiver and Access Agreement.          “Landlord  Lien  Waiver  and  Access  Agreement”  shall  mean  a  Landlord  Lien  Waiver  and  Access  Agreement, in a form reasonably approved by the Administrative Agent.          “Latest Maturity Date” shall mean, at any date of determination, the latest maturity date applicable to any  Loan or Commitment under any Subfacility hereunder as of such date of determination.          “LC Collateral Account” shall mean a collateral account in the form of a deposit account established and  maintained by the Administrative Agent for the benefit of the Secured Creditors, in accordance with the provisions  of Section 2.13.          “LC Commitment” shall mean the commitment of each Issuing Bank to issue Letters of Credit under the  U.S. Subfacility pursuant to Section 2.13.          “LC  Credit  Extension”  shall  mean,  with  respect  to  any  Letter  of  Credit  under  the  U.S.  Subfacility,  the  issuance thereof or extension of the expiry date thereof, or the increase of the amount thereof.          “LC Disbursement” shall mean a payment or disbursement made by any Issuing Bank pursuant to a Letter  of Credit under the U.S. Subfacility.          “LC Documents” shall mean all documents, instruments and agreements delivered by the U.S. Borrower or  any  Restricted Subsidiary of  the  Lead Borrower that is a  co-applicant in respect of any  Letter of  Credit to any  Issuing Bank or the Administrative Agent in connection with any Letter of Credit under the U.S. Subfacility.          “LC Exposure” shall mean at any time the sum of (a) the aggregate undrawn amount of all outstanding  Letters of Credit at such time plus (b) the aggregate principal amount of all LC Disbursements that have not yet been  reimbursed at such time.  The LC Exposure of any Lender at any time shall mean its Pro Rata Percentage of the  aggregate LC Exposure at such time.                                                  -55- 

 

         “LC Obligations” shall mean the sum (without duplication) of (a) all amounts owing by the U.S. Borrower  for any drawings under Letters of Credit (including any bankers’ acceptances or other payment obligations arising  therefrom); and (b) the undrawn amount of all outstanding Letters of Credit.          “LC Participation Fee” shall have the meaning provided in Section 2.05(c)(i).          “LC Request” shall mean a request in accordance with the terms of Section 2.13(b) in form and substance  reasonably satisfactory to the Issuing Banks.          “LCT Election” shall have the meaning provided in Section 1.05(iii).            “LCT Test Date” shall have the meaning provided in Section 1.05(iii)(3)(y).          “Lead Arrangers” shall  mean (x) prior  to the Amendment  No. 5 Effective Date, JPMorgan  Chase Bank,  N.A., Bank of America, N.A., Wells Fargo Bank, National Association, PNC Capital Markets LLC, ING Capital  LLC,  Deutsche  Bank  Securities  Inc.,  Citibank,  N.A.,  Goldman  Sachs  Bank  USA  and  Morgan  Stanley  Senior  Funding,  Inc.,  in  their  capacities  as  joint  lead  arrangers  and  bookrunners  for  this  Agreement  and  (y)  upon  and  following  the  Amendment  No.  5  Effective  Date,  JPMorgan  Chase  Bank,  N.A.  (or  any  of  its  affiliates  as  so  designated  by it  to  act in such capacity),  Bank of  America,  N.A., Wells  Fargo Bank, National  Association, PNC  Capital  Markets  LLC,  ING  Capital  LLC,  Citibank,  N.A.  and  Goldman  Sachs  Lending  Partners  LLC,  in  their  capacities as joint lead arrangers and bookrunners for this Agreement.          “Lead Borrower” shall have the meaning provided in the introductory paragraph hereto.          “Lender” shall mean each financial institution listed on Schedule 2.01, as well as any Person that becomes  a “Lender” hereunder pursuant to Section 2.15, 3.04 or 13.04(b), and, as the context requires, includes the Swingline  Lender.          “Lender Loss Sharing Agreement” shall mean that certain Lender Loss Sharing Agreement entered into by  each Lender as of the Closing Date and each other Lender becoming party to this Agreement via an Assignment and  Assumption or otherwise after the Closing Date.          “Letter of Credit” shall mean any letters of credit issued or to be issued by any Issuing Bank under the U.S.  Subfacility for the account of the U.S. Borrowers (or any Restricted Subsidiary of the Lead Borrower, with a U.S.  Borrower as a co-applicant thereof) pursuant to Section 2.13, including any standby letter of credit, time (usance), or  documentary  letter  of  credit  or  any  indemnity,  or  bank  guarantee  or  similar  form  of  credit  support  issued  by  the  Administrative Agent or an Issuing Bank for the benefit of a Borrower pursuant to Section 2.13 to the extent the  provisions of Section 2.13 are applicable thereto.          “Letter of Credit Expiration Date” shall mean the date which is five (5) Business Days prior to the Maturity  Date.          “LIBO  Rate”  shall  mean,  (i)  with  respect  to  any  LIBO  Rate  Loan  for  any  Interest  Period,  the  London  interbank offered rate (“LIBOR”) as administered by ICE Benchmark Administration Limited (or any other Person  that takes over the administration of such rate) for U.S. Dollars, Pounds Sterling or Euro for a period equal in length  to such Interest Period as displayed on pages LIBOR01 or LIBOR02 of the Reuters screen that displays such rate  (or, in the event such rate does not appear on a Reuters page or screen, on any successor or substitute page on such  screen that displays such rate, or on the appropriate page of such other information service that publishes such rate  from time to time as selected by the  Administrative Agent  in its reasonable discretion; in each case the  “LIBO  Screen Rate”), in the case of U.S. Dollars and Euro, at approximately 11:00 a.m., London time, two Business Days  prior to the commencement of such Interest Period and, in the case of Pounds Sterling, at approximately 11:00 a.m.,  London time on the Business Day of the commencement of such Interest Period; provided that if the LIBO Screen  Rate shall be less than 0.00% per annum, such rate shall be deemed to be 0.00% per annum for the purposes of this  Agreement; provided,  further, that if the LIBO Screen Rate shall not be available at such time for such Interest  Period (an  “Impacted  Interest  Period”)  then  the  LIBO  Rate  shall  be  the  Interpolated  Rate; provided  that  if  any                                                  -56- 

 

  Interpolated  Rate  shall  be  less  than  0.00%  per  annum,  such  rate  shall  be  deemed  to  be  0.00%  per  annum  for  purposes of this Agreement, (ii) with respect to any LIBO Rate Loan denominated in Canadian Dollars, the CDOR  Rate for such Interest Period; provided that if the CDOR Rate shall be less than 0.0%, such rate shall be deemed to  be 0.0% per annum for purposes of this Agreement, (iii) with respect to any LIBO Rate Loan denominated in Hong  Kong Dollars, the HIBOR Rate for such Interest Period; provided that if the HIBOR Rate shall be less than 0.0%,  such rate shall be deemed to be 0.0% per annum for purposes of this Agreement, (iv) with respect to any LIBO Rate  Loan denominated in Singapore Dollars, the SOR Rate for such Interest Period; provided that if the SOR Rate shall  be less than 0.0%, such rate shall be deemed to be 0.0% per annum for purposes of this Agreement, (v) with respect  to any LIBO Rate Loan denominated in Australian Dollars, the BBSY Rate for such Interest Period; provided that if  the  BBSY  Rate  shall  be  less  than  0.0%,  such  rate  shall  be  deemed  to  be  0.0%  per  annum  for  purposes  of  this  Agreement,  (vi) with respect to any LIBO Rate Loan denominated in CNH, the CNH HIBOR Rate for such Interest  Period, provided that if the CNH HIBOR Rate shall be less than 0.0%, such rate shall be deemed to be 0.0% per  annum for purposes of this Agreement, and (vii) with respect to any other Alternative Currency that becomes an  Alternative Currency following the Closing Date, such reference rate for loans or deposits in such currency for such  Interest Period as the Administrative Agent, the Borrowers and the Lenders shall agree.          “LIBO Rate Loan” shall mean a Loan made by the Lenders to the Borrowers which bears interest at a rate  based on the LIBO Rate. LIBO Rate Loans may be denominated in U.S. Dollars or in an Alternative Currency. All  U.S. Revolving Loans denominated in an Alternative Currency, if any, must be LIBO Rate Loans.          “LIBO Screen Rate” shall have the meaning assigned to such term in clause (i) of the definition of “LIBO  Rate.”          “LIBOR” shall have the meaning provided in clause (i) of the definition of “LIBO Rate.”          “Lien” shall mean any mortgage, charge, assignment by way of security, pledge, hypothecation, collateral  assignment,  security  deposit  arrangement,  encumbrance,  deemed,  documentary  or  statutory  or  documentary  trust,  security conveyance, Australian PPS Security Interest, transfer or assignment for security purposes, lien (statutory or  other),  preference,  priority  or  other  security  agreement  of  any  kind  or  nature  whatsoever  (including,  without  limitation, any conditional sale or other title retention agreement, and any lease having substantially the same effect  as any of the foregoing and any other in rem right created for security purposes).          “Limited  Condition  Acquisition”  shall  mean  any  acquisition  (including  by  way  of  merger)  or  similar  Investment whose consummation is not conditioned on the availability of, or on obtaining, financing.          “Limited  Condition  Transaction”  shall  mean  any  acquisition  (including  by  way  of  merger)  or  similar  Investment (including the assumption or incurrence of Indebtedness), the making of any Dividend and/or the making  of any voluntary or optional payment or prepayment on or redemption or acquisition for value of any Indebtedness  subject to Section 10.07(a).          “Line Cap” shall mean an amount equal to the lesser of (a) the Aggregate Commitments and (b) the then  applicable Aggregate Borrowing Base.          “Liquidity Event”  shall  mean  the occurrence of a date when  (a) Global  Availability shall have been  less  than the greater of (i) 10.0% of the Line Cap and (ii) $30,000,000, in either case for five consecutive Business Days,  until such date as (b) (x) Global Availability shall have been at least equal to the greater of (i) 10.0% of the Line Cap  and (ii) $30,000,000 for 30 consecutive calendar days.          “Liquidity Notice” shall mean a written notice delivered by the Administrative Agent at any time during a  Liquidity Period to any bank or other depository at which any Deposit Account (other than any Excluded Account)  is maintained directing such bank or other depository (a) to remit all funds in such Deposit Account to a Dominion  Account,  or  in  the  case  of  a  Dominion  Account,  to  the  Administrative  Agent  on  a  daily  basis,  and  (b) to  cease  following  directions  or  instructions  given  to  such  bank  or  other  depository  by  any  Credit  Party  regarding  the  disbursement  of  funds  from  such  Deposit  Account  (other  than  any  Excluded  Account),  and  (c) to  follow  all                                                  -57- 

 

  directions  and  instructions  given  to  such  bank  or  other  depository  by  the  Administrative  Agent  in  each  case,  pursuant to the terms of any Deposit Account Control Agreement in place.          “Liquidity  Period”  shall  mean  any  period  throughout  which  (a) a  Liquidity  Event  has  occurred  and  is  continuing or (b) a Specified Event of Default has occurred and is continuing.          “Loans” shall  mean advances  made to or at the instructions of the  Applicable Administrative Borrower  pursuant to Article 2 hereof and may constitute Revolving Loans, Swingline Loans or Overadvance Loans.          “Location” of any Person shall mean such Person’s “location” as determined pursuant to Section 9-307 of  the UCC of the State of New York.          “Margin Stock” shall have the meaning provided in Regulation U.          “Market  Capitalization”  shall  mean  an  amount  equal  to  (i)  the  total  number  of  issued  and  outstanding  shares of capital stock any Parent Company on the date of declaration of the relevant dividend multiplied by (ii) the  arithmetic mean of the closing prices per share of such capital stock on the New York Stock Exchange (or, if the  primary listing of such capital stock is on another exchange, on such other exchange) for the 30 consecutive trading  days immediately preceding the date of declaration of such dividend.          “Material  Adverse  Effect”  shall  mean  (i)  a  material  adverse  effect  on  the  business,  assets,  financial  condition  or  results  of  operations  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  taken  as  a  whole,  (ii)  a  material and adverse effect on the rights and remedies of the Administrative Agent and Lenders, taken as a whole,  under  the  Credit  Documents  or  (iii)  a  material  and  adverse  effect  on  the  ability  of  the  Credit  Parties,  taken  as  a  whole, to perform their payment obligations under the Credit Documents.          “Material  Real  Property”  shall  mean  each  parcel  of  Real  Property  located  in  the  United  States  that  is  acquired after the Amendment No. 5 Effective Date owned in fee by any U.S. Credit Party that (together with any  other parcels constituting a single site or operating property) has a fair market value (as determined by the Lead  Borrower  in  good  faith)  of  at  least  the  greater  of  $15,000,000  and  3.0%  of  Consolidated  EBITDA  of  the  Lead  Borrower and its Restricted Subsidiaries for the most recently ended Test Period.           “Maturity Date” shall mean the date that is five years after the Amendment No. 5 Effective Date.          “Minimum Equity Percentage” shall have the meaning provided in Section 6A.05(b)(z).          “Moody’s” shall mean Moody’s Investors Service, Inc.          “Mortgage”  shall  mean  a  mortgage,  debenture,  leasehold  mortgage,  deed  of  trust,  deed  of  immovable  hypothec, leasehold deed of trust, deed to secure debt, leasehold deed to secure debt or similar security instrument in  form and substance reasonably satisfactory to the Administrative Agent, in favor of the U.S. Collateral Agent for the  benefit of the Secured Creditors, as the same  may be amended, amended and restated,  modified, supplemented,  extended or renewed from time to time.          “Mortgaged Property” shall mean any Material Real Property of any U.S. Credit Party which is required to  be encumbered by a Mortgage.          “Multiemployer Plan” shall mean a multiemployer plan as defined in Section 4001(a)(3) of ERISA and  subject to Title IV of ERISA under which the Lead Borrower or a Restricted Subsidiary of the Lead Borrower has  any obligation or liability, including on account of an ERISA Affiliate.           “New Term Loan Credit Agreement” shall have the meaning provided in clause (i) of the definition of the  term “Term Loan Credit Agreement.”                                                  -58- 

 

         “NOLV Percentage” shall mean the fraction, expressed as a percentage, (a) the numerator of which is the  amount  equal  to  the  blended  recovery  on  the  aggregate  amount  of  the  Eligible  Inventory  at  such  time  on  a  “net  orderly liquidation value” basis as set forth in the most recent inventory appraisal received by the Administrative  Agent  in  accordance  with  Section  9.02(b),  net  of  operating  expenses,  liquidation  expenses  and  commissions  reasonably anticipated in the disposition of such assets, and (b) the denominator of which is the original Cost of the  aggregate amount of the Eligible Inventory subject to appraisal.          “Non-Cooperative  Jurisdiction”  shall  mean  a  non-cooperative  state  or  territory  (Etat  ou  territoire  non  coopératif) as set out in the list referred to in Article 238-OA of the French General Tax Code (Code Général des  Impôts), as such list may be amended from time to time.          “Non-Defaulting Lender” shall mean and include each Lender other than a Defaulting Lender.          “Non-U.S.  Security  Documents”  shall  mean  the  Canadian  Security  Documents,  the  French  Security  Documents, the German Security Documents, the Hong Kong Security Documents, the Irish Security Documents,  the Singapore Security Documents, the Australian Security Documents and/or the UK Security Documents.          “North American Borrowers” shall mean the U.S. Borrowers and the Canadian Borrowers.          “North American Credit Party” shall mean each U.S. Credit Party and each Canadian Credit Party.          “Note” shall mean each Revolving Note or Swingline Note, as applicable.          “Notice  of  Borrowing”  shall  mean  a  notice  substantially  in  the  form  of  the  relevant  notice  attached  as  Exhibit A-1 hereto or, in the case of a Swingline Borrowing, Exhibit A-2 hereto.          “Notice of Conversion/Continuation” shall mean a notice substantially in the form of Exhibit A-3 hereto.          “Notice  Office”  shall  mean  JPMorgan  Chase  Bank,  N.A.,  500  Stanton  Christiana  Road  NCC5,  Floor  1,  Newark,  DE  19713,  Attention:  Loan  &  Agency  Services  Group,  Telephone  Number:  +1-302-634-4670,  Email:  meghan.roberts@chase.com,  with    copies   to   (i)   gene.r.riegodedios@jpmorgan.com  and   (ii)  jane.c.lynch@jpmorgan.com, and in connection with the Asian Subfacility, with copies to JPMorgan Chase Bank,  N.A.  Hong  Kong  Branch,  One  @  Changi  City,  1  Changi  Business  Park  Central  1  Floor  9,  Singapore  486036  Telephone  Number:  +65  6801  3720  /  +65  6801  3973,  Fax  Number:  +65  67224022,  Email:  loan.agency.services.asia@jpmorgan.com, Attn: Loan Agency Services Asia, and in connection with the European,  Subfacility, the German Subfacility and the French Subfacility, J.P. Morgan Europe Limited, 25 Bank Street, Canary  Wharf, London E145JP, Fax number 44 207 777 2360, loan_and_agency_london@jpmorgan.com or in each case,  such other offices or persons as the Administrative Agent  may hereafter designate in writing as such to the other  parties  hereto.   If  a  notice  is  intended  for  all  Lenders,  a  copy  of  such  notice  should  also  be  sent  to  covenant.compliance@jpmchase.com.   Each  Borrowing  Base  Certificate  and  any  related  notices  shall  also  be  delivered,  in  Adobe  PDF  format  to  (i)  Brittany.s.stark@jpmorgan.com,  (ii)  ib.cbc@jpmchase.com,  (iii)  covenant.compliance@jpmchase.com,  (iv)  gene.r.riegodedios@jpmorgan.com,  (v)  jane.c.lynch@jpmorgan.com,  (vi) meghan.roberts@chase.com, or, in each case, such other offices or persons as the Administrative Agent  may  hereafter designate in writing as such to the other parties hereto, provided further that, any supporting documents  delivered in connection with a Borrowing Base Certificate, if in Microsoft Excel format, shall only be delivered in  Microsoft Excel format to (i) Brittany.s.stark@jpmorgan.com and (ii) ib.cbc.@jpmchase.com.           “Noticed Hedge” shall mean any Secured Bank Product Obligations arising under a Swap Contract with  respect to which the Lead Borrower and the Secured Bank Product Provider thereof have notified the Administrative  Agent  of  the  intent  to  include  such  Secured  Bank  Product  Obligations  as  a  Noticed  Hedge  hereunder  and  with  respect to which a Bank Products Reserve has subsequently been established in the maximum amount thereof.          “NYFRB” shall mean the Federal Reserve Bank of New York.                                                  -59- 

 

         “NYFRB Rate” shall mean, for any day, the greater of (a) the Federal Funds Rate in effect on such day and  (b)  the  Overnight  Bank  Funding  Rate  in  effect  on  such  day  (or  for  any  day  that  is  not  a  Business  Day,  for  the  immediately  preceding  Business  Day); provided  that  if  none  of  such  rates  are  published  for  any  day  that  is  a  Business Day, the term “NYFRB Rate” shall mean the rate for a federal funds transaction quoted at 11:00 a.m. on  such day received to the Administrative Agent from a federal funds broker of recognized standing selected by it;  provided, further, that if any of the aforesaid rates shall be less than zero, such rate shall be deemed to be zero for  purposes of this Agreement.          “Obligations” shall mean (x) all now existing or hereafter arising debts, obligations, covenants, and duties  of payment or performance by any Credit Party of every kind, matured or unmatured, direct or contingent, owing,  arising,  due,  or  payable  to  any  Lender,  Agent  or  Indemnified  Person  by  any  Credit  Party  arising  out  of  this  Agreement or any other Credit Document, including, without limitation, all obligations to repay principal or interest  (including  interest,  fees  and  other  amounts  accruing  during  any  proceeding  under  any  Debtor  Relief  Laws,  regardless  of  whether  allowed  or  allowable  in  such  proceeding)  on  the  Loans,  and  to  pay  interest,  fees,  costs,  charges, expenses, professional fees, and all sums chargeable to any Credit Party or for which any Credit Party is  liable as indemnitor under the Credit Documents, whether or not evidenced by any note or other instrument and (y)  all Secured Bank Product Obligations (with respect to any Credit Party, other than any Excluded Swap Obligation of  such Credit Party) entered into by the Lead Borrower or any of its Restricted Subsidiaries, whether now in existence  or hereafter arising.  Notwithstanding anything to the contrary contained above, other than in connection with any  application  of  proceeds  pursuant  to  Section  11.11,  (x)  obligations  of  any  Credit  Party  under  any  Secured  Bank  Product Obligations shall be secured and guaranteed pursuant to the Credit Documents only to the extent that, and  for so long as, the other Obligations are so secured and guaranteed and (y) any release of Collateral or Guarantors  effected in the  manner permitted  by  this  Agreement shall  not require the consent of holders  of obligations  under  Secured Bank Product Obligations.          “OFAC” shall mean the U.S. Treasury Department Office of Foreign Assets Control.          “Off-Balance Sheet Liabilities” of any Person shall mean (i) any repurchase obligation or liability of such  Person with respect to accounts or notes receivable sold by such Person, (ii) any liability of such Person under any  Sale-Leaseback Transactions that do not create a liability on the balance sheet of such Person, (iii) any obligation  under a Synthetic Lease or (iv) any obligation arising with respect to any other transaction which is the functional  equivalent of or takes the place of borrowing but which does not constitute a liability on the balance sheet of such  Person.          “Officers’ Certificate” shall mean a certificate of a Responsible Officer of the Lead Borrower substantially  in the form of Exhibit E hereto, and in any case, in form and substance reasonably satisfactory to the Administrative  Agent.          “Original Term Loan Credit Agreement” shall have the meaning provided in clause (i) of the definition of  the term “Term Loan Credit Agreement.”          “Other Taxes” shall mean any and all present or future stamp, court or documentary, intangible, recording,  filing  or  similar  Taxes  arising  from  any  payment  made  under,  from  the  execution,  delivery,  registration,  performance or enforcement of, from the receipt or perfection of a security interest under, or otherwise with respect  to, any Credit Document or Letter of Credit except any such Taxes imposed with respect to an assignment (other  than an assignment made pursuant to Section 3.04) that are imposed as a result of any present or former connection  between  the  relevant  Lender  and  the  jurisdiction  imposing  such  Tax  (other  than  a  connection  arising  from  such  Lender having executed, delivered, become a party to, performed its obligations under, received payments under,  received or perfected a security interest under, engaged in any other transaction pursuant to or enforced any Credit  Document, or sold or assigned an interest in any Loan or Credit Document).          “Outstanding Amount” shall mean, with respect to Loans on any date, the Dollar Equivalent amount of the  aggregate  outstanding  principal  amount  thereof  after  giving  effect  to  any  borrowings  and  prepayments  or  repayments of Loans occurring on such date.          “Overadvance” shall have the meaning provided in Section 2.17(vii).                                                 -60- 

 

         “Overadvance Loan” shall mean a Base Rate Loan, a LIBO Rate Loan or a Canadian Prime Rate Loan  made when an Overadvance exists or is caused by the funding thereof.          “Overnight Bank Funding Rate” shall mean, for any day, the rate comprised of both overnight federal funds  and overnight LIBO Rate borrowings by U.S.-managed banking offices of depository institutions, as such composite  rate shall be determined by the NYFRB as set forth on the Federal Reserve Bank of New York’s Website from time  to time, and published on the next succeeding Business Day by the NYFRB as an overnight bank funding rate (from  and after such date as the NYFRB shall commence to publish such composite rate).          “Parallel Debt” shall have the meaning provided in Section 12.15.          “Parent Company” shall mean any direct or indirect parent company of the Lead Borrower (other than the  Sponsor).          “Pari Passu Intercreditor Agreement” shall have the meaning set forth in the Term Loan Credit Agreement  as in effect on the Amendment No. 5 Effective Date.          “Pari Passu Representative” shall have the meaning set forth in the Term Loan Credit Agreement as in  effect on the Amendment No. 5 Effective Date.          “Participant” shall have the meaning provided in Section 13.04(c).          “Participant Register” shall have the meaning provided in Section 13.04(c).          “Participating Member State” shall mean any member state of the European Union that has the euro as its  lawful currency in accordance with legislation of the European Union relating to Economic and Monetary Union.          “Patriot Act” shall have the meaning provided in Section 13.16.          “Payment Conditions” shall mean as to any relevant action contemplated in this Agreement, (i) no Event of  Default has then occurred and is continuing or would result from such action, (ii) (a) Global Availability on a Pro  Forma Basis immediately after giving effect to such action would be at least the greater of (x) 12.5% of the Line  Cap  and  (y) $40,000,000  and  (b) over  the  30  consecutive  days  prior  to  consummation  of  such  action,  Global  Availability averaged no less than the greater of (x) 12.5% of the Line Cap and (y) $40,000,000, on a Pro Forma  Basis for such action and (iii) if (a) Global Availability on a Pro Forma Basis immediately after giving effect to such  action is less than 25% of the Aggregate Commitments, or (b) over the 30 consecutive days prior to consummation  of such action, Global Availability averaged less than 25% of the Aggregate Commitments on a Pro Forma Basis for  such action, the Consolidated Fixed Charge Coverage Ratio would be at least 1.0 to 1.0 on a Pro Forma Basis for  such action.          “Payment  Office”  shall  mean  the  office  of  the  Administrative  Agent  located  at  500  Stanton  Christiana  Road, Ops 2, 3rd Floor Newark, DE 19713, Attention of Loan and Agency Services Group, or such other office as  the Administrative Agent may hereafter designate in writing as such to the other parties hereto.          “PBGC”  shall  mean  the  Pension  Benefit  Guaranty  Corporation  established  pursuant  to  Section  4002  of  ERISA, or any successor thereto.          “Pensions Regulator” shall mean the body corporate called the Pensions Regulator established under Part I  of the United Kingdom’s Pensions Act 2004, as amended.          “Perfection Certificate” shall have the meaning provided in the U.S. Security Agreement.          “Permitted  Acquisition”  shall  mean  the  acquisition  by  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries of an Acquired Entity or Business; provided that (in each case) (A) the Acquired Entity or Business  acquired is in a business permitted by Section 10.09 and (B) all applicable requirements of Section 9.14 are satisfied.                                                  -61- 

 

         “Permitted Borrowing Base Liens” shall mean Liens on the Collateral permitted by Sections 10.01(i), (ii)  (solely  with  respect  to  warehousemens’  liens),  (xi),  (xii)  (solely  as  it  relates  to  Eligible  Accounts  and  Eligible  Inventory of Canadian Credit Parties, in respect to amounts not yet overdue) and (xxiii) (in the case of clauses (ii),  (xi) and (xxiii), subject to compliance with clause (iii) of the definition of  “Eligible Inventory” and in each case,  solely to the extent any such Lien set forth in clause (ii), (xi), (xii) or (xxiii) arises by operation of law).          “Permitted  Discretion”  shall  mean  reasonable  credit  judgment  made  in  good  faith  in  accordance  with  customary business practices for comparable asset-based lending transactions, and as it relates to the establishment  of  reserves  or  the  imposition  of  exclusionary  criteria  shall  require  that  (x)  such  establishment,  adjustment  or  imposition after the Closing Date (other than with respect to Landlord Lien Reserves) be based on the analysis of  facts  or  events  first  occurring  or  first  discovered  by  the  Administrative  Agent  after  the  Closing  Date  or  are  materially different from the facts or events occurring or known to the Administrative Agent on the Closing Date,  unless the Lead Borrower and the Administrative Agent otherwise agree in writing (for the avoidance of doubt, it is  understood that such Reserves may be established after the Closing Date pursuant to the terms of Section 9.17, or in  connection with Additional Inventory Security Actions, if applicable), (y) the contributing factors to the imposition  of any reserves shall not duplicate (i) the exclusionary criteria set forth in the definition of “Eligible Accounts” or  “Eligible Inventory,” as applicable, and vice versa or (ii) any reserves deducted in computing book value and (z) the  amount of any such reserve so established or the effect of any adjustment or imposition of exclusionary criteria be a  reasonable quantification of the incremental dilution of the Borrowing Base attributable to such contributing factors.          “Permitted Encumbrance” shall mean, with respect to any Mortgaged Property, such exceptions to title as  are set forth in the mortgage title insurance policy delivered with respect thereto, all of which exceptions must be  acceptable to the Administrative Agent in its reasonable discretion.          “Permitted Holders” shall mean (i) the Sponsor, (ii)  any Related Party of the Sponsor and (iii) any “group”  (within  the  meaning  of  Section  13(d)(3)  or  Section  14(d)(2)  of  the  Securities  Exchange  Act  or  any  successor  provision) of which any of the foregoing are members; provided that in the case of such “group” and without giving  effect  to  the  existence  of  such  “group”  or  any  other  “group”,  such  Persons  specified  in  clauses  (i)  or  (ii)  above,  collectively, have beneficial ownership, directly or indirectly, of more than 50% of the total voting power of the  voting stock of Ultimate Parent.          “Permitted Investment” shall have the meaning provided in Section 10.05.          “Permitted  Junior  Debt”  shall  mean  and  include  (i)  any  Permitted  Junior  Notes  and  (ii)  any  Permitted  Junior Loans.          “Permitted Junior Debt Documents” shall mean and include the Permitted Junior Notes Documents and the  Permitted Junior Loan Documents.          “Permitted Junior Loan Documents” shall mean, after the execution and delivery thereof, each agreement,  document  or  instrument  relating  to  the  incurrence  of  Permitted  Junior  Loans,  in  each  case  as  the  same  may  be  amended, amended and restated, modified, supplemented, extended or renewed from time to time in accordance  with the terms hereof and thereof.          “Permitted Junior Loans” shall mean any Indebtedness of the Lead Borrower or any Restricted Subsidiary  in  the  form  of  unsecured  or  secured  loans; provided  that  (i)  except  as  provided  in  clause  (v)  below,  no  such  Indebtedness, to the extent incurred by any Credit Party, shall be secured by any asset of the Lead Borrower or any  of its Subsidiaries, (ii) no such Indebtedness, to the extent incurred by any Credit Party, shall be guaranteed by any  Person other than a Credit Party, (iii) no such Indebtedness shall be subject to scheduled amortization or have a final  stated maturity, in either case prior to the date occurring ninety-one (91) days following the Latest Maturity Date as  of the date such Indebtedness was incurred, except in the case of Extendable Bridge Loans, (iv) [reserved], (v) in the  case of any such Indebtedness incurred by a Credit Party that is secured (a) such Indebtedness is secured only by  assets comprising Collateral on a junior-lien basis relative to the Liens on such Collateral securing the Obligations of  the Credit Parties, and not secured by any property or assets of any Credit Party other than the Collateral, (b) the  security agreements relating to such Indebtedness are substantially the same as the Security Documents (with such  differences  as  are  necessary  to  reflect  the  differing  lien  priorities  or  as  otherwise  reasonably  satisfactory  to  the                                                 -62- 

 

  Administrative  Agent)  and (c) a Junior Representative  acting on  behalf of the  holders  of such  Indebtedness  shall  have  become  party  to  the  Additional  Intercreditor  Agreement; provided  that  if  such  Indebtedness  is  the  initial  incurrence of Permitted Junior Debt that is secured by assets of the Lead Borrower or any other Credit Party, then  the Administrative Agent, the applicable Collateral Agents and the Junior Representative for such Indebtedness shall  have executed and delivered, and each applicable Credit Party shall have acknowledged, the Additional Intercreditor  Agreement and (vi) to the extent incurred by any Credit Party, the negative covenants and events of default, taken as  a  whole,  contained  in  the  agreement  governing  such  Indebtedness,  shall  not  be  materially  more  favorable  to  the  lenders providing such Permitted Junior Loans than the related provisions contained in this Agreement; provided  that (w) any such terms may be more favorable to the extent they take effect after the Latest Maturity Date as of the  date such Indebtedness was incurred and (x) may include financial maintenance covenants customary for the type of  Indebtedness incurred (provided that a certificate of a Responsible Officer of the Lead Borrower delivered to the  Administrative  Agent  at  least  five  Business  Days  prior  to  the  incurrence  of  such  Indebtedness,  together  with  a  reasonably  detailed  description  of  the  material  terms  and  conditions  of  such  Indebtedness  or  drafts  of  the  documentation  relating  thereto,  stating  that  the  Lead  Borrower  has  determined  in  good  faith  that  such  terms  and  conditions satisfy the requirement set out in the foregoing clause (vi), shall be conclusive evidence that such terms  and conditions satisfy such requirement unless the Administrative Agent provides notice to the Lead Borrower of an  objection  during  such  five  Business  Day  period  (including  a  reasonable  description  of  the  basis  upon  which  it  objects)).            “Permitted Junior Notes” shall mean any Indebtedness of the Lead Borrower or any Restricted Subsidiary  in the form of unsecured or secured notes and incurred pursuant to one or more issuances of such notes; provided  that (i) except as provided in clause (vii) below, no such Indebtedness, to the extent incurred by any Credit Party,  shall be secured by any asset of the Lead Borrower or any of its Subsidiaries, (ii) no such Indebtedness, to the extent  incurred by any Credit Party, shall be guaranteed by any Person other than a Credit Party, (iii) no such Indebtedness  shall be subject to scheduled amortization or have a final stated maturity, in either case prior to the date occurring  ninety-one (91) days following the Latest Maturity Date as of the date such Indebtedness was incurred, except in the  case  of  Extendable  Bridge  Loans,  (iv)  any  “asset  sale”  offer  to  purchase  covenant  included  in  the  indenture  governing such Indebtedness to the extent incurred by any Credit Party, shall provide that the Lead Borrower or the  respective  Subsidiary  shall  be  permitted  to  repay  obligations,  and  terminate  commitments,  under  this  Agreement  before offering to purchase such Indebtedness, (v) the indenture governing such Indebtedness shall not include any  financial maintenance covenants, (vi) the “default to other indebtedness” event of default contained in the indenture  governing such Indebtedness shall provide for a “cross-acceleration” or a “cross acceleration” and “cross payment  default” rather than a “cross-default,” (vii) in the case of any such Indebtedness incurred by a Credit Party that is  secured (a) such Indebtedness is secured only by assets comprising Collateral on a junior-lien basis relative to the  Liens on such Collateral securing the Obligations of the Credit Parties, and not secured by any property or assets of  the  Credit  Parties  other  than  the  Collateral,  (b)  the  security  agreements  relating  to  such  Indebtedness  are  substantially the same as the Security Documents (with such differences as are necessary to reflect the differing lien  priorities or as otherwise reasonably satisfactory to the Administrative Agent) and (c) a Junior Representative acting  on behalf of the holders of such Indebtedness shall have become party to the Additional Intercreditor Agreement;  provided that if such Indebtedness is the initial incurrence of Permitted Junior Debt that is secured by assets of the  Lead Borrower or any other Credit Party, then the Administrative Agent, the applicable Collateral Agents and the  Junior  Representative  for  such  Indebtedness  shall  have  executed  and  delivered,  and  each  applicable  Credit  Party  shall  have  acknowledged,  the  Additional  Intercreditor  Agreement,  and  (viii)  to  the  extent  incurred  by  any  Credit  Party, the  negative covenants  and events  of default, taken  as  a  whole, contained in  the indenture governing  such  Indebtedness shall not be materially more favorable to the holders of such Permitted Junior Notes than the related  provisions contained in this Agreement; provided that any such terms may be more favorable to the extent they take  effect after the Latest Maturity Date as of the date such Indebtedness was incurred (provided that a certificate of a  Responsible Officer of the Lead Borrower delivered to the Administrative Agent at least five Business Days prior to  the  incurrence  of  such  Indebtedness,  together  with  a  reasonably  detailed  description  of  the  material  terms  and  conditions of such Indebtedness or drafts of the documentation relating thereto, stating that the Lead Borrower has  determined in good faith that such terms and conditions satisfy the requirement set out in the foregoing clause (viii),  shall  be  conclusive  evidence  that  such  terms  and  conditions  satisfy  such  requirement  unless  the  Administrative  Agent  provides  notice  to  the  Lead  Borrower  of  an  objection  during  such  five  Business  Day  period  (including  a  reasonable description of the basis upon which it objects)).                                                    -63- 

 

         “Permitted Junior Notes Documents” shall mean, after the execution and delivery thereof, each Permitted  Junior Notes Indenture, and the Permitted Junior Notes, in each case as the same may be amended, amended and  restated, modified, supplemented, extended or renewed from time to time in accordance with the terms hereof and  thereof.          “Permitted  Junior  Notes  Indenture”  shall  mean  any  indenture  or  similar  agreement  entered  into  in  connection  with  the  issuance  of  Permitted  Junior  Notes,  as  the  same  may  be  amended,  amended  and  restated,  modified, supplemented, extended or renewed from time to time in accordance with the terms hereof and thereof.          “Permitted Liens” shall have the meaning provided in Section 10.01.          “Permitted Notes” shall mean and include (i) any Permitted Junior Notes and (ii) any Permitted Pari Passu  Notes.          “Permitted  Pari  Passu  Loan  Documents”  shall  have  the  meaning  set  forth  in  the  Term  Loan  Credit  Agreement as in effect on the Amendment No. 5 Effective Date.          “Permitted Pari Passu Loans” shall have the meaning set forth in the Term Loan Credit Agreement as in  effect on the Amendment No. 5 Effective Date.          “Permitted Pari Passu Notes” shall have the meaning set forth in the Term Loan Credit Agreement as in  effect on the Amendment No. 5 Effective Date.          “Permitted  Pari  Passu  Notes  Documents”  shall  have  the  meaning  set  forth  in  the  Term  Loan  Credit  Agreement as in effect on the Amendment No. 5 Effective Date.          “Permitted Refinancing Indebtedness” shall mean (x) Indebtedness incurred by the Lead Borrower or any  Restricted  Subsidiary  which  serves  to  extend,  replace,  refund,  refinance,  renew  or  defease  (“Refinance”)  any  Indebtedness, including any previously issued Permitted Refinancing Indebtedness, so long as:                  (1)    the principal amount of such new Indebtedness does not exceed (a) the principal amount         of Indebtedness (including any unused commitments therefor that are able to be drawn at such time) being         so  extended,  replaced,  refunded,  refinanced,  renewed  or  defeased  (such  Indebtedness,  the  “Refinanced         Debt”), plus (b) any accrued and unpaid interest and fees on such Refinanced Debt, plus (c) the amount of         any tender or redemption premium paid thereon or any penalty or premium required to be paid under the         terms of the instrument or documents governing such Refinanced Debt and any costs, fees and expenses         incurred in connection with the issuance of such new Indebtedness and the Refinancing of such Refinanced         Debt;                  (2)    except in the case of Extendable Bridge Loans, such Permitted Refinancing Indebtedness         has a:                         (a)    Weighted  Average  Life  to  Maturity  at  the  time  such  Permitted  Refinancing                 Indebtedness is incurred that is not less than the remaining Weighted Average Life to Maturity of                 the applicable Refinanced Debt; and                         (b)     final scheduled maturity date equal to or later than the final scheduled maturity                 date of the Refinanced Debt (or, if earlier, the date that is 91 days after the Latest Maturity Date as                 of the date such Indebtedness was incurred);                  (3)    to the extent such Permitted Refinancing Indebtedness Refinances (a) Indebtedness that is         expressly subordinated in right of payment to the Obligations (other than Indebtedness assumed or acquired         in  an  acquisition  and  not  created  in  contemplation  thereof),  such  Permitted  Refinancing  Indebtedness  is         subordinated  to  the  Obligations  on  terms  that  are,  taken  as  a  whole,  not  materially  less  favorable  to  the         Lenders  than  the  subordination  terms  applicable  to  the  Refinanced  Debt,  (b)  secured  by  Liens  that  are                                                  -64- 

 

         subordinated  to  the  Liens  securing  the  Obligations,  such  Permitted  Refinancing  Indebtedness  is         (i) unsecured or (ii) secured by Liens that are subordinated to the Liens that secure the Obligations on terms         that are, taken as a whole, not materially less favorable to the Lenders than the Lien subordination terms         applicable to the Refinanced Debt or (c) secured by Liens that are pari passu with the Liens securing the         Obligations, such Permitted Refinancing Indebtedness is (i) unsecured or (ii) secured by Liens that are pari         passu  or  subordinated  to  the  Liens  that  secure  the  Obligations  on  terms  that  are,  taken  as  a  whole,  not         materially less favorable to the Lenders than the Collateral sharing provisions applicable to the Refinanced         Debt; and                  (4)    subject  to  Section 10.01(vi),  such  Permitted  Refinancing  Indebtedness  shall  not  be         secured by any assets or property of the Lead Borrower or any Restricted Subsidiary that does not secure         the Refinanced Debt being Refinanced (plus improvements and accessions thereon and proceeds in respect         thereof);   provided that (a) Permitted Refinancing Indebtedness will not include Indebtedness of a Restricted Subsidiary of the  Lead Borrower that is not a Credit Party that refinances Indebtedness of a Credit Party and (b) clause (2) of this  definition will not apply to any Refinancing of any Indebtedness under clause (iii) or (v) of Section 10.04.          “Person”  shall  mean  any  individual,  partnership,  joint  venture,  firm,  corporation,  association,  limited  liability company, trust or other enterprise or any government or political subdivision or any agency, department or  instrumentality thereof.          “Plan” shall mean any pension plan as defined in Section 3(2) of ERISA other than a Canadian Pension  Plan, Foreign Pension Plan or a Multiemployer Plan, which is maintained or contributed to by (or to which there is  an obligation to contribute of) the Lead Borrower or a Restricted Subsidiary of the Lead Borrower or with respect to  which the Lead Borrower or a Restricted Subsidiary of the Lead Borrower has, or may have, any liability, including,  for greater certainty, liability arising from an ERISA Affiliate.          “Platform”  shall  mean  Debt  Domain,  Intralinks,  Syndtrak,  ClearPar  or  a  substantially  similar  electronic  transmission system.          “Pledged Collateral” shall have the meaning assigned to it in the Pledge Agreement.          “Pounds Sterling” or “£” shall mean the lawful currency of the United Kingdom.          “PPSA” shall mean the Personal Property Security Act (Ontario) and the regulations thereunder; provided,  however, if validity, perfection and effect of perfection and non-perfection of the U.S. Collateral Agent’s Lien on  any  applicable  Collateral  are  governed  by  the  personal  property  security  laws  or  other  applicable  laws  of  any  jurisdiction in Canada other than Ontario, PPSA shall mean those personal property security laws or such other  applicable laws (including the Civil Code of Quebec) in effect from time to time in such other jurisdiction for the  purposes of the provisions hereof relating to such validity, perfection and effect of perfection and non-perfection and  for the definitions related to such provisions, as from time to time in effect.          “Primary Subfacility” shall mean each Subfacility (other than a FILO Subfacility).           “Prime Rate” shall mean the rate of interest per annum publicly announced from time to time by JPMCB as  its prime rate in effect at its office located at 270 Park Avenue, New York, New York; each change in the Prime  Rate shall be effective from and including the date such change is publicly announced as being effective; provided,  that if the rate shall be less than zero, such rate shall be deemed to be zero for purposes of this Agreement.          “Priority  Payables  Reserve”  shall  mean  reserves  for  amounts  which  rank  or  are  capable  of  ranking  in  priority to the Liens granted to any Collateral Agent under the Security Documents, including without limitation, in  the Permitted Discretion of the Administrative Agent, any such amounts due and not paid for wages, vacation pay,  severance  pay,  employee  deductions,  income  tax,  amounts  due  and  not  paid  under  any  legislation  relating  to                                                  -65- 

 

  workers’  compensation  or  to  employment  insurance,  amounts  currently  or  past  due  and  not  paid  for  taxes  and  pension obligations.          “Pro Forma Basis” shall mean, with respect to the calculation of any test, financial ratio, basket or covenant  under  this  Agreement,  including  the  Consolidated  Total  Net  Leverage  Ratio  and  the  Consolidated  Fixed  Charge  Coverage Ratio and the calculation of Consolidated Total Assets and Consolidated EBITDA, of any Person and its  Restricted Subsidiaries, as of any date, that pro forma effect will be given to the Amendment No. 5 Transactions,  any  acquisition,  merger,  consolidation,  Investment,  any  issuance,  incurrence,  assumption  or  repayment  or  redemption of Indebtedness (including Indebtedness issued, incurred or assumed or repaid or redeemed as a result  of, or to finance, any relevant transaction and for which any such test, financial ratio, basket or covenant is being  calculated) (but excluding the identifiable proceeds of any Indebtedness being incurred substantially simultaneously  therewith or as part of the same transaction or series of related transactions for purposes of netting cash to calculate  the applicable ratio), any issuance or redemption of preferred stock or Disqualified Stock, all sales, transfers and  other  dispositions  or  discontinuance  of  any  Subsidiary,  line  of  business,  division,  segment  or  operating  unit,  any  operational change (including the entry into any material contract or arrangement) or any designation of a Restricted  Subsidiary to an Unrestricted Subsidiary or of an Unrestricted Subsidiary to a Restricted Subsidiary, in each case  that have occurred during the four consecutive fiscal quarter period of such Person being used to calculate such test,  financial ratio, basket or covenant (the “Reference Period”), or subsequent to the end of the Reference Period but  prior to such  date or prior  to or simultaneously  with  the event  for  which a determination under this  definition is  made (including any such event occurring at a Person who became a Restricted Subsidiary of the subject Person or  was merged, amalgamated or consolidated with or into the subject Person or any other Restricted Subsidiary of the  subject Person after the commencement of the Reference Period), as if each such event occurred on the first day of  the Reference Period.          For purposes of making any computation referred to above:                  (1)    if any Indebtedness bears a floating rate of interest and is being given pro forma effect,         the  interest  on  such  Indebtedness  shall  be  calculated  as  if  the  rate  in  effect  on  the  date  for  which  a         determination under this definition is made had been the applicable rate for the entire period (taking into         account any Swap Contract applicable to such Indebtedness if such Swap Contract has a remaining term in         excess of such period);                  (2)    interest on a Capitalized Lease Obligation shall be deemed to accrue at an interest rate         reasonably determined by a responsible financial or accounting officer, in his or her capacity as such and         not  in  his  or  her  personal  capacity,  of  the  Lead  Borrower  to  be  the  rate  of  interest  implicit  in  such         Capitalized Lease Obligation in accordance with U.S. GAAP;                  (3)    interest on Indebtedness that may optionally be determined at an interest rate based upon         a factor of a prime or similar rate, a eurocurrency interbank offered rate, or other rate, shall be deemed to         have been based upon the rate actually chosen, or, if none, then based upon such optional rate chosen as the         Lead Borrower may designate; and                  (4)    interest on any Indebtedness under a revolving credit facility computed on a pro forma         basis shall be computed based upon the average daily balance of such Indebtedness during the applicable         period.          Any pro  forma  calculation  may  include,  without  limitation,  adjustments  calculated  in  accordance  with  Regulation S-X under the Securities Act.  Any pro forma calculation may include, without limitation, adjustments  calculated to give effect to any Pro Forma Cost Savings; provided that any such adjustments, other than Specified  Permitted Adjustments, that consist of reductions in costs and other operating improvements or synergies (whether  added pursuant to this definition, the definition of “Pro Forma Cost Savings” or otherwise added to Consolidated  Net Income or Consolidated EBITDA) shall be calculated in accordance with, and satisfy the requirements specified  in, the definition of “Pro Forma Cost Savings.”          “Pro Forma Cost Savings” shall mean, without duplication of any amounts referenced in the definition of  “Pro  Forma  Basis,”  an  amount  equal  to  the  amount  of  cost  savings,  operating  expense  reductions,  operating                                                 -66- 

 

  improvements (including the  entry  into any  material contract or arrangement) and acquisition synergies, in each  case, projected in good faith to be realized (calculated on a pro forma basis as though such items had been realized  on the first day of such period) as a result of actions taken on or prior to, or to be taken by the Lead Borrower (or  any successor thereto) or any Restricted Subsidiary within 18 months of, the date of such pro forma calculation, net  of the amount of actual benefits realized or expected to be realized during such period that are otherwise included in  the calculation of Consolidated EBITDA from such action; provided that (a) such cost savings, operating expense  reductions,  operating  improvements  and  synergies  are  factually  supportable  and  reasonably  identifiable  (as  determined in good faith by a responsible financial or accounting officer, in his or her capacity as such and not in his  or her personal capacity, of the Lead Borrower (or any successor thereto)) and are reasonably anticipated to be  realized within 18 months after the date of such pro forma calculation and (b) no cost savings, operating expense  reductions, operating improvements and synergies shall be added pursuant to this definition to the extent duplicative  of any expenses or charges otherwise added to Consolidated Net Income or Consolidated EBITDA, whether through  a  pro  forma  adjustment  or  otherwise,  for  such  period; provided, further,  that,  except  for  the  Specified  Permitted  Adjustments, (i) the aggregate amount added in respect of the foregoing proviso (or otherwise added to Consolidated  Net  Income  or  Consolidated  EBITDA),  solely  with  respect  to  acquisitions  after  the  Amendment  No.  5  Effective  Date,  shall  not  exceed  with  respect  to  any  four  quarter  period  25%  of  Consolidated  EBITDA  for  such  period  (calculated after giving effect to any such adjustments, after giving effect to the Specified Permitted Adjustments, in  each case, if applicable) (such limitation, the “Cost Savings Cap”) and (ii) the aggregate amount added in respect of  the foregoing proviso (or otherwise added to Consolidated Net Income or Consolidated EBITDA) shall no longer be  permitted to be added back to the extent the cost savings, operating expense reductions, operating improvements and  synergies have not been achieved within 18 months of the action or event giving rise to such cost savings, operating  expense reductions, operating improvements and synergies.          “Pro Rata Percentage” of any Lender at any time shall mean either (i) the percentage of the total Revolving  Commitments represented by such Lender’s Revolving Commitment, (ii) the percentage of the total U.S. Revolving  Commitments represented by such Lender’s U.S. Revolving Commitment, (iii) the percentage of the total U.S. FILO  Revolving Commitments represented by such Lender’s U.S. FILO Revolving Commitment, (iv) the percentage of  the total Canadian Revolving Commitments represented by such Lender’s Canadian Revolving Commitment, (v) the  percentage  of  the  total  Canadian  FILO  Revolving  Commitments  represented  by  such  Lender’s  Canadian  FILO  Revolving  Commitment,  (vi)  the  percentage  of  the  total  French  Revolving  Commitments  represented  by  such  Lender’s  French  Revolving  Commitment,  (vii)  the  percentage  of  the  total  German  Revolving  Commitments  represented by such Lender’s German  Revolving Commitment, (viii) the percentage of the total Asian Revolving  Commitments  represented  by  such  Lender’s  Asian  Revolving  Commitment  or  (ix)  the  percentage  of  the  total  European Revolving Commitments represented by such Lender’s European Revolving Commitment, as applicable.          “Pro Rata Share” shall mean, with respect to each Lender at any time, either (i) a fraction (expressed as a  percentage, carried out to the ninth decimal place), the numerator of which is the amount of the Aggregate Exposure  of such Lender at such time and the denominator of which is the aggregate amount of all Aggregate Exposures at  such time, (ii) a fraction (expressed as a percentage, carried out to the ninth decimal place), the numerator of which  is the amount  of  the U.S.  Revolving Exposure of  such  Lender at such time and the denominator  of  which  is the  aggregate amount of all U.S. Revolving Exposures at such time, (iii) a fraction (expressed as a percentage, carried  out to the ninth decimal place), the numerator of which is the amount of the U.S. FILO Revolving Exposure of such  Lender at such time and the denominator of which is the aggregate amount of all U.S. FILO Revolving Exposures at  such time, (iv) a fraction (expressed as a percentage, carried out to the ninth decimal place), the numerator of which  is the amount of the Canadian Revolving Exposure of such Lender at such time and the denominator of which is the  aggregate amount of all Canadian Revolving Exposures at such time, (v) a  fraction (expressed as a percentage,  carried  out  to  the  ninth  decimal  place),  the  numerator  of  which  is  the  amount  of  the  Canadian  FILO  Revolving  Exposure of such Lender at such time and the denominator of which is the aggregate amount of all Canadian FILO  Revolving Exposures at such time, (vi) a fraction (expressed as a percentage, carried out to the ninth decimal place),  the  numerator  of  which  is  the  amount  of  the  French  Revolving  Exposure  of  such  Lender  at  such  time  and  the  denominator of  which is the  aggregate amount of all French Revolving Exposures at such time, (vii) a fraction  (expressed  as  a  percentage,  carried out  to  the  ninth  decimal  place),  the  numerator  of  which  is  the  amount  of  the  German Revolving Exposure of such Lender at such time and the denominator of which is the aggregate amount of  all German Revolving Exposures at such time, (viii) a fraction (expressed as a percentage, carried out to the ninth  decimal place), the numerator of which is the amount of the Asian Revolving Exposure of such Lender at such time  and the denominator of which is the aggregate amount of all Asian Revolving Exposures at such time or (ix) a                                                 -67- 

 

  fraction (expressed as a percentage, carried out to the ninth decimal place), the numerator of which is the amount of  the  European  Revolving  Exposure  of  such  Lender  at  such  time  and  the  denominator  of  which  is  the  aggregate  amount of all European Revolving Exposures at such time, as applicable.  The initial Pro Rata Shares of each Lender  are set forth opposite the name of such Lender on Schedule 2.01 or in the Assignment and Assumption pursuant to  which such Lender becomes a party hereto, as applicable.          “Properly Contested” with respect to any obligation of a Credit Party, (a) the obligation is subject to a bona  fide dispute regarding amount or the Credit Party’s liability to pay; (b) the obligation is being properly contested in  good faith by appropriate proceedings promptly instituted and diligently pursued; (c) appropriate reserves have been  established in accordance with U.S. GAAP; (d) non-payment would not reasonably be expected to have a Material  Adverse Effect, nor result in forfeiture or sale of any assets of the Credit Party; (e) no Lien is imposed on assets of  the  Credit  Party,  unless  bonded  and  stayed  to  the  satisfaction  of  Administrative  Agent;  and  (f)  if  the  obligation  results from entry of a judgment or other order, such judgment or order is stayed pending appeal or other judicial  review.           “Protective Advances” shall have the meaning provided in Section 2.18.            “PTE” shall mean a prohibited transaction class exemption issued by the U.S. Department of Labor, as any  such exemption may be amended from time to time.          “Public Company Costs” shall mean, as to any Person, costs relating to compliance with the provisions of  the Securities Act and the Securities Exchange Act, and any other comparable body of laws, rules or regulations, as  applicable to companies with equity securities held by the public, costs associated with, or in anticipation of, or in  preparation for, compliance with the requirements of the Sarbanes Oxley Act of 2002 and the rules and regulations  promulgated  in  connection  therewith,  the  rules  of  national  securities  exchanges,  as  applicable  to  companies  with  listed  equity,  directors’  compensation,  fees  and  expense  reimbursement,  costs  relating  to  investor  relations,  shareholder meetings and reports to shareholders, directors’ and officers’ insurance and other executive costs, legal  and  other  professional  fees,  and  listing  fees,  in  each  case  to  the  extent  arising  solely  by  virtue  of  listing  such  Person’s equity securities on a national securities exchange.          “Public-Sider” shall mean a Lender whose representatives may trade in securities of the Lead Borrower or  its  controlling  person  or  any  of  its  Subsidiaries  or  any  Parent  Company  while  in  possession  of  the  financial  statements provided by the Lead Borrower under the terms of this Agreement.          “QFC”  shall  have  the  meaning  assigned  to  the  term  “qualified  financial  contract”  in,  and  shall  be  interpreted in accordance with, 12 U.S.C. 5390(c)(8)(D).          “QFC Credit Support” shall have the meaning provided in Section 13.28.          “Qualified Preferred Stock” shall mean any preferred capital stock of Holdings or the Lead Borrower so  long as the terms of any such preferred capital stock (x) do not contain any mandatory put, redemption, repayment,  sinking  fund  or  other  similar  provision  prior  to  the  91st  day  after  the  Latest  Maturity  Date  as  of  the  date  such  Qualified  Preferred  Stock  was  issued  other  than  (i)  provisions  requiring  payment  solely  (or  with  provisions  permitting Holdings or the Lead Borrower, as applicable, to opt to make payment solely) in the form of common  Equity Interests or Qualified Preferred Stock of Holdings or the Lead Borrower or cash in lieu of fractional shares,  as applicable, or any Equity Interests of any Parent Company of Holdings or the Lead Borrower, as applicable, (ii)  provisions  requiring  payment  solely  as  a  result  of  a  change  of  control  or  asset  sale,  so  long  as  any  rights  of  the  holders thereof upon the occurrence of a change of control or asset sale are subject to the payment in full of all  Obligations  in  cash  (other  than  unasserted  contingent  indemnification  obligations)  or  such  payment  is  otherwise  permitted by this Agreement (including as a result of a waiver or amendment hereunder) and (iii) with respect to  preferred  capital  stock  issued  to  any  plan  for  the  benefit  of  employees  of  Holdings  or  the  Lead  Borrower,  as  applicable, or its Subsidiaries or by any such plan to such employees, provisions requiring the repurchase thereof in  order to satisfy applicable statutory or regulatory obligations and (y) give Holdings or the Lead Borrower the option  to elect to pay such dividends or distributions on a non-cash basis or otherwise do not require the cash payment of  dividends or distributions at any time that such cash payment is not permitted under this Agreement or would result  in an Event of Default hereunder.                                                 -68- 

 

         “Real Property” of any Person shall mean, collectively, the right, title and interest of such Person (including  any  leasehold,  mineral  or  other  estate)  in  and  to  any  and  all  land,  improvements  and  fixtures  owned,  leased  or  operated  by  such  Person,  together  with,  in  each  case,  all  easements,  hereditaments  and  appurtenances  relating  thereto,  all improvements and  appurtenant  fixtures and equipment, all  general intangibles  and  contract rights and  other property and rights incidental to the ownership, lease or operation thereof.          “Recipient” shall mean the Administrative Agent, any Lender or any other recipient of any payment to be  made by or on account of any obligation of Holdings, any Borrower or any Guarantor hereunder or under any other  Credit Document or Letter of Credit.          “Recovery Event” shall mean the receipt by the Lead Borrower or any of its Restricted Subsidiaries of any  cash insurance proceeds or condemnation awards payable (i) by reason of theft, loss, physical destruction, damage,  taking or any other similar event with respect to any property or assets of the Lead Borrower or any of its Restricted  Subsidiaries (but not by reason of any loss of revenues or interruption of business or operations caused thereby) and  (ii)  under  any  policy  of  insurance  required  to  be  maintained  under  Section  9.03,  in  each  case  to  the  extent  such  proceeds  or  awards  do  not  constitute  reimbursement  or  compensation  for  amounts  previously  paid  by  the  Lead  Borrower or any of its Restricted Subsidiaries in respect of any such event.          “Reference Period” shall have the meaning provided in the definition of the term “Pro Forma Basis.”          “Refinance”  shall  have  the  meaning  provided  in  clause  (x)  of  the  definition  of  the  term  “Permitted  Refinancing Indebtedness.”           “Refinanced Debt” shall have the meaning provided in clause (1)(a) of the definition of the term “Permitted  Refinancing Indebtedness.”          “Refinancing Note Documents” shall mean the Refinancing Notes, the Refinancing Notes Indenture and all  other documents executed and delivered with respect to the Refinancing Notes or Refinancing Notes Indenture, as  the same may be amended, amended and restated, modified, supplemented, extended or renewed from time to time  in accordance with the terms hereof and thereof.          “Refinancing Notes” shall have the meaning provided in the Term Loan Credit Agreement.          “Refinancing Notes Indenture” shall have the meaning provided in the Term Loan Credit Agreement.          “Refinancing  Term  Loan  Documents”  shall  have  the  meaning  provided  in  the  Term  Loan  Credit  Agreement.          “Refinancing Term Loans” shall have the meaning provided in the Term Loan Credit Agreement.           “Register” shall have the meaning provided in Section 13.04(b)(iv).          “Regulation” shall have the meaning provided in Section 8.28.          “Regulation D” shall mean Regulation D of the Board of Governors of the Federal Reserve System as from  time to time in effect and any successor to all or a portion thereof establishing reserve requirements.          “Regulation T” shall mean Regulation T of the Board of Governors of the Federal Reserve System as from  time to time in effect and any successor to all or a portion thereof.          “Regulation U” shall mean Regulation U of the Board of Governors of the Federal Reserve System as from  time to time in effect and any successor to all or a portion thereof.          “Regulation X” shall mean Regulation X of the Board of Governors of the Federal Reserve System as from  time to time in effect and any successor to all or a portion thereof.                                                  -69- 

 

         “Related  Party”  shall  mean  (a) with  respect  to Platinum  Equity  Advisors,  LLC,  (i) any  investment  fund  controlled by or under common control with Platinum Equity Advisors, LLC, any officer or director of the foregoing  persons, or any entity controlled by any of the foregoing persons and (ii) any spouse or lineal descendant (including  by adoption or stepchildren) of the officers and directors referred to in clause (a)(i); (b) with respect to any officer of  the Lead Borrower or its Subsidiaries, (i) any spouse or lineal descendant (including by adoption and stepchildren)  of  such  officer  and  (ii) any  trust,  corporation  or  partnership  or  other  entity,  in  each  case  to  the  extent  not  an  operating company, of which an 80% or more controlling interest is held by the beneficiaries, stockholders, partners  or  owners  who  are  the  officer,  any  of  the  persons  described  in  clause (b)(i)  above  or  any  combination  of  these  identified  relationships;  and  (c) with  respect  to  any  Agent,  such  Agent’s  Affiliates  and  the  respective  directors,  officers, employees, agents and advisors of such Agent and such Agent’s Affiliates.          “Release”  shall  mean  actively  or  passively  disposing,  discharging,  injecting,  spilling,  pumping,  leaking,  leaching, dumping, emitting, escaping, emptying, pouring, seeping, migrating or the like, of any Hazardous Material  into, through or upon the Environment or within, from or into any building, structure, facility or fixture.          “Relevant  Governmental  Body”  means  the  Federal  Reserve  Board  and/or  NYFRB,  or  a  committee  officially  endorsed  or  convened  by  the  Federal  Reserve  Board  and/or  NYFRB  or,  in  each  case,  any  successor  thereto.          “Relevant Territory” shall mean (a) a member state of the European Communities (other than Ireland); or  (b) not being such a member state, a jurisdiction with which Ireland has a entered into a double taxation treaty that  either has the force of law by virtue of Section 826(1) of the TCA or will have the force of law on completion of the  procedures set out in Section 826(1) of the TCA.          “Renminbi” shall mean the lawful currency of the People’s Republic of China.          “Replaced Lender” shall have the meaning provided in Section 3.04(z).          “Replacement Lender” shall have the meaning provided in Section 3.04(z).          “Required  Lenders”  shall  mean  Non-Defaulting  Lenders,  the  sum  of  whose  outstanding  principal  of  Commitments as of any date of determination represents greater than 50% of the sum of all outstanding principal of  Commitments of Non-Defaulting Lenders at such time.          “Required Subfacility Lenders” shall mean, with respect to any Subfacility, Non-Defaulting Lenders, the  sum  of  whose  outstanding  principal  of  Commitments  under  such  Subfacility  as  of  any  date  of  determination  represents greater than 50% of the sum of all outstanding principal of Commitments under such Subfacility of Non- Defaulting Lenders at such time.          “Requirement of Law” or “Requirements of Law” shall mean, with respect to any Person, (i) the charter,  articles or certificate of organization or incorporation and bylaws or other organizational or governing documents of  such Person and (ii) any statute, law, treaty, rule, regulation, order, decree, writ, injunction or determination of any  arbitrator or 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.          “Reserves” shall mean, without duplication of any items that are otherwise addressed or excluded through  eligibility  criteria,  such  reserves  as  the  Administrative  Agent,  from  time  to  time  determines  in  its  Permitted  Discretion,  including  but  not  limited  to  Dilution  Reserves  and  Landlord  Lien  Reserves,  plus  any  Bank  Product  Reserves,  and  (a)  with  respect  to  the  Canadian  Borrowing  Base  and  the  Canadian  FILO  Borrowing  Base,  the  Canadian Priority Payables Reserve; (b) with respect to the Asian Borrowing Base, the Singapore Priority Payables  Reserve; (c) with respect to the European Borrowing Base, reserves for VAT, reserves for the prescribed part of an  UK Credit Party’s net property that would be made available for the satisfaction of its unsecured liabilities pursuant  to Section 176A of the United Kingdom’s Insolvency Act 1986, reserves with respect to liabilities of a UK Credit  Party which constitute preferential debts pursuant to Sections 176ZA or 386 of the United Kingdom’s Insolvency  Act 1986; and (d) with respect to the French Borrowing Base, German Borrowing Base, Asian Borrowing Base and                                                  -70- 

 

  European Borrowing Base, Priority Payables Reserves and reserves for extended or extendible retention of title over  Accounts, if any.          Notwithstanding anything to the contrary in this Agreement, (i) such Reserves shall not be established or  changed except upon not less than three (3) Business Days’ prior written notice to the Lead Borrower, which notice  shall  include  a  reasonably  detailed  description  of  such  Reserve  being  established  (during  which  period  (a)  the  Administrative Agent shall, if requested, discuss any such Reserve or change with the Lead Borrower, (b) the Lead  Borrower may take such action as may be required so that the event, condition or matter that is the basis for such  Reserve or change thereto no longer exists or exists in a manner that would result in the establishment of a lower  Reserve  or  result  in  a  lesser  change  thereto,  in  a  manner  and  to  the  extent  reasonably  satisfactory  to  the  Administrative  Agent  and  (c)  no  Credit  Extensions  shall  be  made  to  the  Borrowers  if  after  giving  effect  to  such  Credit Extension the Availability Conditions would not be met after taking into account such Reserves), provided  that (x) no Landlord Lien Reserves may be established prior to the date that is 120 days after the Closing Date and  (y)  no  Reserves  with  respect  to  any  failure  to  deliver  Deposit  Account  Control  Agreements  in  accordance  with  Section 9.17 may be established prior to the date that is 90 days after the Closing Date (with respect to Deposit  Accounts existing on the Closing Date) or 60 days after the opening of the applicable Deposit Account (with respect  to Deposit Accounts opened following the Closing Date), (ii) no Reserves shall be established with respect to any  surety bond arrangements in which guarantees, letters of credit, bonds or similar arrangements are issued by one of  the  Credit  Parties  to  facilitate  the  Credit  Parties’  business,  except  to  the  extent  (x) any  assets  included  in  the  applicable Borrowing Base are subject to a perfected or a common law Lien securing reimbursement obligations in  respect  of  such  surety  bond  arrangements  and  such  Liens  are pari  passu  or  senior  to  the  Liens  securing  the  Obligations hereunder or (y) the counterparties to any such surety bond arrangement have made demands for cash  collateral which have not been satisfied, (iii) the amount of any Reserve established by the Administrative Agent,  and any change in the amount of any Reserve, shall have a reasonable relationship to the event, condition or other  matter  that  is  the  basis  for  such  Reserve  or  such  change.   Notwithstanding  clause  (i)  of  the  preceding  sentence,  changes to the Reserves solely for purposes of correcting mathematical or clerical errors shall not be subject to such  notice  period,  it  being  understood  that  no  Default  or  Event  of  Default  shall  be  deemed  to  result  therefrom,  if  applicable, for a period of six (6) Business Days and (iv) no reserves or changes shall be duplicative of reserves or  changes already accounted for through eligibility criteria.          “Resolution Authority” means any body which has authority to exercise any Write-down and Conversion  Powers.          “Responsible Officer” shall mean, with respect to any Person, its chief financial officer, chief executive  officer,  president,  or  any  vice  president,  managing  director  (which  shall  include  any Geschäftsführer),  director,  company secretary, treasurer, controller or other officer of such Person having substantially the same authority and  responsibility and, solely for purposes of notices given pursuant to Article 2, any other officer or employee of the  applicable Credit Party so designated by any of the foregoing officers in a notice to the Administrative Agent or any  other  officer  or  employee  of  the  applicable  Credit  Party  designated  in  or  pursuant  to  an  agreement  between  the  applicable  Credit  Party  and  the  Administrative  Agent; provided  that,  with  respect  to  compliance  with  financial  covenants, “Responsible Officer” shall mean the chief financial officer, treasurer or controller of the Lead Borrower,  or any other officer of the Lead Borrower having substantially the same authority and responsibility.          “Restricted  Subsidiary”  shall  mean  each  Subsidiary  of  the  Lead  Borrower  other  than  any  Unrestricted  Subsidiary.   The  Subsidiary  Borrowers  and  Subsidiary  Guarantors  shall  at  all  times  constitute  Restricted  Subsidiaries.          “Returns” shall have the meaning provided in Section 8.09(a)(i).          “Revaluation  Date”  shall  mean  (a) with  respect  to  any  Loan,  each  of  the  following:   (i) each  date of  a  Borrowing of a LIBO Rate Loan, CDOR Rate Loan, BBSY Loan, CNH HIBOR Loan, SOR Loan or HIBOR Loan  denominated in an Alternative Currency, (ii) each date of a continuation of a LIBO Rate Loan, CDOR Rate Loan,  BBSY Loan, CNH HIBOR Loan, SOR Loan or HIBOR Loan denominated in an Alternative Currency pursuant to  Section 2.02, (iii) for purposes of calculating the Unused Line Fee, the last day of any fiscal quarter and (iv) such  additional dates as the Administrative Agent shall determine or require; and (b) with respect to any Letter of Credit,  each  of  the  following:  (i) each  date  of  issuance  of  a  Letter  of  Credit  denominated  in  an  Alternative  Currency,                                                 -71- 

 

  (ii) each date of an amendment of any such Letter of Credit having the effect of increasing the amount thereof,  (iii) each  date  of  any  payment  by  the  applicable  Issuing  Bank  under  any  Letter  of  Credit  denominated  in  an  Alternative Currency and (iv) for purposes of calculating the Unused Line Fee, the LC Participation Fee and the  Fronting Fee, the last day of any fiscal quarter; and (c) with respect to any Foreign Subfacility, if required by the  Administrative  Agent  or  the  Required  Subfacility  Lenders,  any  date  on  which  the  Dollar  Equivalent  of  the  Outstanding  Amount  in  respect  of  such  Foreign  Subfacility,  as  recalculated  based on  the  exchange  rate  therefor  quoted in the Wall Street Journal on the respective date of determination pursuant to this exception, would result in  an  increase  in  the  Dollar  Equivalent  of  such  Outstanding  Amount  by  10%  or  more  since  the  most  recent  prior  Revaluation Date.          “Revolver  Priority  Collateral”  shall  have  the  meaning  assigned  to  the  term  “ABL  Collateral”  in  the  Intercreditor Agreement.          “Revolving  Availability  Period”  shall  mean  the  period  from  and  including  the  Closing  Date  to  but  excluding the earlier of the Maturity Date and the date of termination of the Revolving Commitments.          “Revolving  Borrowing”  shall  mean  a  U.S.  Revolving  Borrowing,  a  U.S.  FILO  Revolving  Borrowing,  a  Canadian Revolving Borrowing, a Canadian FILO Revolving Borrowing, a French Revolving Borrowing, a German  Revolving Borrowing, an Asian Revolving Borrowing and/or a European Revolving Borrowing.          “Revolving  Commitment”  shall  mean  the  U.S.  Revolving  Commitment,  the  U.S.  FILO  Revolving  Commitment,  the  Canadian  Revolving  Commitment,  the  Canadian  FILO  Revolving  Commitment,  the  French  Revolving  Commitment,  the  German  Revolving  Commitment,  the  Asian  Revolving  Commitment  and/or  the  European Revolving Commitment.          “Revolving Commitment Increase” shall have the meaning provided in Section 2.15(a).          “Revolving Commitment Increase Notice” shall have the meaning provided in Section 2.15(b).          “Revolving Exposure” shall mean the U.S. Revolving Exposure, the U.S. FILO Revolving Exposure, the  Canadian  Revolving  Exposure,  the  Canadian  FILO  Revolving  Exposure,  the  French  Revolving  Exposure,  the  German Revolving Exposure, the Asian Revolving Exposure and/or the European Revolving Exposure.          “Revolving Loans” shall mean U.S. Revolving Loans, U.S. FILO Revolving Loans, Canadian Revolving  Loans, and/or Canadian FILO Loans, French Revolving Loans, German Revolving Loans, Asian Revolving Loans,  European Revolving Loans, Protective Advances and/or Overadvance Loans.          “Revolving  Note”  shall  mean  the  U.S.  Revolving  Note,  the  U.S.  FILO  Revolving  Note,  the  Canadian  Revolving Note, the Canadian FILO Revolving Note.          “S&P” shall mean S&P Global Ratings, a division of S&P Global Inc., and any successor owner of such  division.           “Sale-Leaseback Transaction” shall mean any arrangements with any Person providing for the leasing by  the Lead Borrower or any of its Restricted Subsidiaries of real or personal property which has been or is to be sold  or transferred by the Lead Borrower or such Restricted Subsidiary to such Person or to any other Person to whom  funds have been or are to be advanced by such Person in connection therewith.          “Sanctioned Country” shall mean a country, region or territory that at any time is the subject or target of  any comprehensive territorial Sanctions (as of the (x) Closing Date, the Crimea region of the Ukraine, Cuba, Iran,  North Korea, Sudan and Syria and (y) Amendment No. 5 Effective Date, the Crimea region of the Ukraine, Cuba,  Iran, North Korea and Syria).          “Sanctioned  Person”  shall  mean,  at  any  time,  (a)  any  Person  listed  in  any  Sanctions-related  list  of  designated Persons maintained by the Office of Foreign Assets Control of the U.S. Department of the Treasury, the                                                  -72- 

 

  U.S.  Department  of  State,  or  by  the  United  Nations  Security  Council,  the  government  of  Canada,  Her  Majesty’s  Treasury of the United Kingdom, the European Union, any European Union member state, (b) any Person operating,  organized or resident in a Sanctioned Country or (c) any Person owned or controlled by any such Person or Persons  described in the foregoing clause (a) or (b) or the government of a Sanctioned Country.          “Sanctions”  shall  mean  economic  or  financial  sanctions  or  trade  embargoes  imposed,  administered  or  enforced from time to time by (a) the U.S. government, including those administered by the Office of Foreign Assets  Control of the U.S. Department of the Treasury or the U.S. Department of State, or (b) the United Nations Security  Council,  the  government  of  Canada  (including  Canadian  Economic  Sanctions  and  Export  Control  Laws),  the  European Union, any European Union member state or Her Majesty’s Treasury of the United Kingdom.           “SEC” shall have the meaning provided in Section 9.01(g).          “Second Lien Notes” shall mean the Lead Borrower’s 10.00% senior secured second lien notes due 2024  pursuant to the Second Lien Notes Indenture.          “Second Lien Notes Indenture” shall mean the Indenture dated as of May 13, 2019, pursuant to which the  Second  Lien  Notes  were  issued,  as  amended,  restated,  supplemented  or  otherwise  modified  on  or  prior  to  the  Amendment No. 5 Effective Date.          “Section 9.01 Financials” shall mean the annual and quarterly financial statements required to be delivered  pursuant to Sections 9.01(a) and (b), or, if applicable, Section 9.01(c) in lieu thereof.          “Secured  Bank  Product  Obligations”  shall  mean  Bank  Product  Debt  owing  to  a  Secured  Bank  Product  Provider or any Person that was a Secured Bank Product Provider on the Closing Date or at the time it entered into a  Bank Product with a Borrower or its Subsidiary, up to the maximum amount (in the case of any Secured Bank  Product Provider other than JPMCB and its Affiliates) specified by such provider in writing to the Administrative  Agent,  which  amount  may  be  established  or  increased  (by  further  written  notice  by  the  Lead  Borrower  or  such  provider to the Administrative Agent from time to time) as long as no Default or Event of Default then exists and no  Overadvance  would result from establishment  of a Bank Product Reserve  for such amount and  all  other Secured  Bank Product Obligations.          “Secured Bank Product Provider” shall mean, at the time of entry into a Bank Product with a Borrower or  its  Subsidiary  (or,  if  such  Bank  Product  exists  on  the  Closing  Date,  as  of  the  Closing  Date)  the  Administrative  Agent, any  Lender or any of their respective  Affiliates that  is  providing a Bank Product; provided such  provider  delivers written notice to the Administrative Agent, substantially in the form of Exhibit D hereto, by the later of ten  (10) days following (x) the Closing Date and (y) creation of the Bank Product, (i) describing the Bank Product and  setting forth the maximum amount to be secured by the Collateral and the methodology to be used in calculating  such amount, and (ii) agreeing to be bound by Section 12.12.  It is hereby understood that a Person may not be a  Secured Bank Product Provider to the extent it is similarly treated as such under the Term Loan Credit Agreement in  respect of such Bank Product.          “Secured Creditors” shall have the meaning assigned that term in the respective Security Documents.          “Securities  Act”  shall  mean  the  Securities  Act  of  1933,  as  amended,  and  the  rules  and  regulations  promulgated thereunder.          “Securities Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, and the rules and  regulations promulgated thereunder.          “Security  Document”  shall  mean  and  include  the  U.S.  Security  Document  and  each  Non-U.S.  Security  Document.          “Senior Notes” shall mean the Lead Borrower’s 9.250% senior notes due 2024 pursuant to the Senior Notes  Indenture.                                                  -73- 

 

         “Senior Notes  Indenture” shall  mean the Indenture dated as  of  October 17, 2016, pursuant  to  which the  Senior Notes were issued, as amended, restated, supplemented or otherwise modified on or prior to the Amendment  No. 5 Effective Date.          “Settlement Date” shall have the meaning provided in Section 2.14(b).            “Similar  Business”  shall  mean  any  business  and  any  services,  activities  or  businesses  incidental,  or  reasonably related or similar to, or complementary to any line of business engaged in by the Lead Borrower and its  Restricted  Subsidiaries  on  the  Amendment  No.  5  Effective  Date  (after  giving  effect  to  the  Amendment  No.  5  Transactions) or any business activity that is a reasonable extension, development or expansion thereof or ancillary  thereto.          “Singapore  Collateral”  shall  mean  all  the  “Security  Assets”  as  defined  in  the  Initial  Singapore  Security  Agreement and all other property (whether real, personal or otherwise) with respect to which any security interests  have been granted (or purported to be granted) by the Singapore Guarantors or will be granted in accordance with  the requirements set forth in Section 9.13.          “Singapore Credit Parties” shall mean each Singapore Guarantor.           “Singapore Dollars” or “S$” shall mean the lawful currency of Singapore.          “Singapore Guarantor” shall mean each Singapore Subsidiary that is on the Eurasian Effectiveness Date, or  which becomes, a party to the Guaranty Agreement in accordance with the requirements of this Agreement or the  provisions of such Guaranty Agreement.          “Singapore Priority Payables Reserve” shall mean, on any date of determination and only with respect to a  Singapore Credit  Party, reserves  established  by the  Administrative  Agent  in  its Permitted  Discretion for amounts  secured by any Liens, choate or inchoate, ranking or capable of ranking in priority senior to or pari passu with the  Asian Collateral Agent’s Liens on Singapore Collateral, including, without duplication, (i) amounts deemed to be  held in trust, or held in trust, pursuant to applicable law, (ii) any such amounts due or which may become due as  preferential debts under the Companies Act, Chapter 50 of Singapore, as amended, supplemented or re-enacted from  time to time and (iii) any similar statutory or other claims that would have priority over or be pari passu with any  Liens granted to the Asian Collateral Agent in the future.          “Singapore  Security  Documents”  shall  mean  the  Initial  Singapore  Security  Agreement  and,  after  the  execution  and  delivery  thereof,  each  Additional  Security  Document  governed  by  Singapore  law,  including  those  entered into as required by the Additional Inventory Security Actions, together with any other applicable security  documents governed by Singapore law from time to time.           “Singapore Subsidiary” shall mean any  Subsidiary of the Lead Borrower that is incorporated, formed  or  otherwise organized under the laws of Singapore.          “SOFR” with respect to any day shall mean the secured overnight financing rate published for such day by  the NYFRB, as the administrator of the benchmark (or a successor administrator), on the Federal Reserve Bank of  New York’s Website.          “SOFR-Based Rate” shall mean SOFR, Compounded SOFR or Term SOFR.          “Solvent” and “Solvency” shall mean, with respect to any Person on any date of determination, that on such  date (i) the fair value of the assets of such Person and its Subsidiaries, on a consolidated basis, is greater than the  total  amount  of  liabilities,  including  contingent  liabilities,  of  such  Person  and  its  Subsidiaries,  on  a  consolidated  basis (it being understood that the amount of contingent liabilities at any time shall be computed as the amount that,  in  light  of  all  the  facts  and  circumstances  existing  at  such  time,  represents  the  amount  that  can  reasonably  be  expected to become an actual or matured liability); (ii) the present fair saleable value of the assets of such Person  and  its  Subsidiaries,  on  a  consolidated  basis,  is  greater  than  the  total  amount  of  liabilities,  including  contingent                                                  -74- 

 

  liabilities,  of  such  Person  and  its  Subsidiaries,  on  a  consolidated  basis  (it  being  understood  that  the  amount  of  contingent liabilities at any time shall be computed as the amount that, in light of all the facts and circumstances  existing  at  such  time,  represents  the  amount  that  can  reasonably  be  expected  to  become  an  actual  or  matured  liability); (iii) such Person and its Subsidiaries, on a consolidated basis, are able to pay their debts and liabilities  (including,  without limitation,  contingent  and subordinated liabilities)  as  they  become absolute and  mature in  the  ordinary course of business on their respective stated maturities and are otherwise “solvent” within the meaning  given that term and similar terms under applicable laws relating to fraudulent transfers and conveyances; and (iv)  such Person and its Subsidiaries on a consolidated basis have, and will have, adequate capital with which to conduct  the business they are presently conducting and reasonably anticipate conducting.          “SOR Loan” shall mean a Loan denominated in Singapore Dollars made by the Lenders to the Borrowers  which bears interest at a rate based on SOR.          “SOR  Rate”  shall  mean,  in  relation  to  any  Loan  in  Singapore  Dollars,  the  rate  administered  by  ABS  Benchmarks Administration Co Pte. Ltd. (or any other entity or person which takes over the administration of that  rate)  for  the  relevant  currency  and  period  displayed  on  page  ABSFIX01  of  the  Thomson  Reuters  screen  (or  any  replacement  Thomson  Reuters  page  which  displays  that  rate),  as  of  11:00  a.m.  London  local  time,  two  Business  Days before the first day of the applicable Interest Period (“SOR Screen Rate”); provided that (x) if no SOR Screen  Rate is available for the applicable Interest Period, the Interpolated Rate for that Loan shall be used, (y) if no SOR  Screen Rate is available for the currency of that Loan and it is not possible to calculate an Interpolated Rate for that  Loan,  then,  unless  and  until  the  Administrative  Agent  and  the  applicable  Borrower  shall  mutually  agree  upon  a  substitute  rate,  then  such  rate  shall  be  calculated  as  (i)  if  available,  the  SOR  Screen  Rate  for  the  immediately  preceding Business Day, adjusted to take into account such factors as the Administrative Agent may, in its absolute  discretion, consider necessary and (ii) if the SOR Screen Rate referred to in clause (i) is unavailable, the cost to the  Administrative Agent of funding the relevant Loan from whatever source it may reasonably select and (z) if the  SOR Screen Rate or Interpolated Rate is below zero, SOR will be deemed to be zero.           “Specified Equity Contribution” shall have the meaning provided in Section 10.11(b).            “Specified Event of Default” shall mean any Event of Default arising under Section 11.01, 11.03(i) (solely  relating  to a failure to comply  with Section 10.11  or Section 9.17(c), (d),  (e), (f), (g),  or  (h)),  11.02  (solely  with  respect to any material inaccuracy in any Borrowing Base Certificate), 11.03(ii) or 11.05.          “Specified Permitted Adjustments” shall mean all adjustments identified in the calculation of “Adjusted  EBITDA”  as  set  forth  in  the  “Summary—Summary  Historical  Financial  and  Pro  Forma  Financial  Data”  in  the  private supplement relating to Amendment No. 5 to the extent such adjustments, without duplication, continue to be  applicable to the reference period (it being understood that such adjustments shall be calculated net of the amount of  actual benefits realized or expected to be realized during such reference period that are otherwise included in the  calculation of Consolidated EBITDA).          “Specified Representations” shall mean the representations and warranties of the Credit Parties set forth in  Sections 8.02, 8.03(iii) (in the case of any Class of Loans with respect to which such Specified Representations are  made, limited to the incurrence of such Class of Loans in the case of the Borrowers, the provision of the Guaranty  Agreement  and  the  grant  of  the  Liens  in  the  Collateral  to  the  Collateral  Agents  for  the  benefit  of  the  Secured  Creditors  by  all  Credit  Parties),  8.05(b),  8.08(c)  (in  the  case  of  any  Class  of  Loans  with  respect  to  which  such  Specified Representations are made, limited to the incurrence and use of proceeds thereof), 8.08(d) (in the case of  any Class of Loans with respect to which such Specified Representations are made, limited to the incurrence and use  of  proceeds  thereof),  8.11,  8.15  (in  the  case  of  any  Class  of  Loans  with  respect  to  which  such  Specified  Representations are made, limited to the incurrence and use of proceeds thereof) and 8.16 (in the case of any Class  of  Loans  with  respect  to  which  such  Specified  Representations  are  made,  limited  to  the  incurrence  and  use  of  proceeds thereof).          “Sponsor” shall mean Platinum Equity Advisors, LLC and its Affiliates (excluding any operating portfolio  company thereof).                                                  -75- 

 

         “Sponsor  Affiliate”  shall  mean  the  collective  reference  to  any  entities  (other  than  a  portfolio  company)  controlled directly or indirectly by the Sponsor.          “Spot Rate” shall mean the exchange rate, as reasonably determined by the Administrative Agent, that is  applicable  to  conversion  of  one  currency  into  another  currency,  which  is  (a) the  exchange  rate  reported  by  Bloomberg (or other commercially available source reasonably designated by the Administrative Agent) as of the  end of the preceding Business Day in the financial market for the first currency; or (b) if such report is unavailable  for any reason, the spot rate for the purchase of the first currency with the second currency as in effect during the  preceding  Business  Day  in  the  Administrative  Agent’s  principal  foreign  exchange  trading  office  for  the  first  currency.          “SSM  Regulation”  shall  mean  Council  Regulation  (ED)  No.  1024/2013  of  15  October  2013  conferring  specific  tasks  on  the  European  Central  Bank  concerning  policies  relating  to  the  prudential  supervision  of  credit  institutions and, where relevant, shall include reference to Regulation (EU) No. 468/2014 of the European Central  Bank  of  16  April  2014  establishing  the  framework  for  co-operation  within  the  Single  Supervisory  Mechanism  between the European Central Bank and national competent authorities and with national designated authorities.          “Subfacility”  shall  mean  the  U.S.  Subfacility,  the  U.S.  FILO  Subfacility,  the  Canadian  Subfacility,  the  Canadian  FILO  Subfacility,  the  French  Subfacility,  the  German  Subfacility,  the  Asian  Subfacility  and/or  the  European Subfacility.          “Subordinated Indebtedness” shall mean any Indebtedness that is expressly subordinated in right of  payment to the Obligations.          “Subsequent Transaction” shall have the meaning provided in Section 1.05.          “Subsidiary” shall mean, as to any Person, (i) any corporation more than 50% of whose stock of any class  or classes having by the terms thereof ordinary voting power to elect a majority of the directors of such corporation  (irrespective of whether or not at the time stock of any class or classes of such corporation shall have or might have  voting power by reason of the happening of any contingency) is at the time owned by such Person and/or one or  more Subsidiaries of such Person and (ii) any partnership, limited liability company, association, joint venture or  other  entity  in  which  such  Person  and/or  one  or  more  Subsidiaries  of  such  Person  has  more  than  a  50%  Equity  Interest at the time.          “Subsidiary  Borrower”  shall  mean  each  U.S.  Subsidiary  Borrower  and  each  Canadian  Borrower,  French  Borrower, German Borrower, Hong Kong Borrower and Irish Borrower.          “Subsidiary  Guarantor”  shall  mean  each  UK  Guarantor,  each  Australian  Guarantor,  and  each  Singapore  Guarantor.          “Supermajority  Lenders” shall  mean those Non-Defaulting Lenders  which would constitute the Required  Lenders under, and as defined in, this Agreement if the percentage “50%” contained therein were changed to “66- 2/3%.”          “Supported QFC” shall have the meaning provided in Section 13.28.          “Swap  Contract”  shall  mean  (a)  any  and  all  rate  swap  transactions,  basis  swaps,  credit  derivative  transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity  or equity index swaps or options, bond or bond price or bond index swaps or options or forward bond or forward  bond  price  or  forward  bond  index  transactions,  interest  rate  options,  forward  foreign  exchange  transactions,  cap  transactions,  floor  transactions,  collar  transactions,  currency  swap  transactions,  cross-currency  rate  swap  transactions,  currency  options,  spot  contracts,  or  any  other  similar  transactions  or  any  combination  of  any  of  the  foregoing (including any options to enter into any of the foregoing), whether or not any such transaction is governed  by or subject to any master agreement, and (b) any and all transactions of any kind, and the related confirmations,  which are subject to the terms and conditions of, or governed by, any form of master agreement published by the                                                  -76- 

 

    International Swaps and Derivatives  Association,  Inc., any International  Foreign Exchange Master  Agreement,  or   any  other  master  agreement  (any  such  master  agreement,  together  with  any  related  schedules,  a  “Master   Agreement”), including any such obligations or liabilities under any Master Agreement.           “Swap Obligation” shall mean, with respect to any Guarantor, any obligation to pay or perform under any   agreement, contract or transaction that constitutes a “swap” within the meaning of section 1a(47) of the Commodity   Exchange Act.           “Swingline Commitment” shall mean the commitment of the Swingline Lender to make loans pursuant to   Section 2.12, as the same may be reduced from time to time pursuant to Section 2.07 or Section 2.12.           “Swingline  Exposure”  shall  mean  at  any  time  the  aggregate  principal  amount  at  such  time  of  all   outstanding  Swingline  Loans.   The  Swingline  Exposure  of  any  Lender  at  any  time  shall  equal  its  Pro  Rata   Percentage of the aggregate Swingline Exposure at such time.           “Swingline Lender” shall mean JPMCB.           “Swingline Loan” shall mean any Loan made by the Swingline Lender pursuant to Section 2.12 until such   Loan is settled among the Lenders pursuant to Section 2.14.           “Swingline Note” shall mean each swingline note substantially in the form of Exhibit B-2 hereto.           “Syndication Agent” shall mean, prior to the Amendment No. 5 Effective Date, Bank of America, N.A., in   its capacity as syndication agent for this Agreement.            “Synthetic Lease” shall mean a lease transaction under which the parties intend that (i) the lease will be   treated as an “operating lease” by the lessee and (ii) the lessee will be entitled to various tax and other benefits   ordinarily available to owners (as opposed to lessees) of like property.           “TARGET2” shall mean the Trans-European Automated Real-time Gross Settlement Express Transfer  payment system which utilizes a single shared platform and which was launched on 19 November 2007.           “Tax Deduction” shall mean a deduction or withholding for or on account of Tax from any payment to be   made by or on account of any Loan provided to a French Borrower.           “Tax Receivable Agreement” shall mean that certain Tax Receivable Agreement, dated as of February 7,   2020, by and between Ultimate Parent and VPE Holdings, LLC, a Delaware limited liability company, as may be   amended, amended and restated, modified, supplemented, extended or renewed from time to time.           “Taxes” shall mean any and all present or future taxes, levies, imposts, duties, deductions, charges, fees,   assessments,  liabilities  or  withholdings  imposed by any  Governmental Authority  in the  nature of a tax, including   interest, penalties and additions to tax with respect thereto.           “TCA” shall mean the Taxes Consolidation Act 1997 of Ireland as amended.           “TEG” shall have the meaning provided in Section 2.06(l).           “TEG Letter” shall have the meaning provided in Section 2.06(l).           “Term Agent” shall mean Citibank, N.A. (or prior to the entry into the New Term Loan Credit Agreement,   JPMorgan  Chase  Bank,  N.A.),  in  its  capacity  as  administrative  agent  and  collateral  agent  under  the  Term   Documents.           “Term Documents” shall mean the Term Loan Credit Agreement, any guarantees issued thereunder and the   collateral and security documents (and intercreditor agreements) entered into in connection therewith.                                                   -77- 

 

         “Term Loan Credit Agreement” shall mean (i) the Term Loan Credit Agreement (the “New Term Loan  Credit Agreement”) entered into as of the Amendment No. 5 Effective Date (or prior to the entry into the New Term  Loan Credit Agreement, that certain Term Loan Credit Agreement entered into as of the Closing Date (as amended,  restated,  amended  and  restated,  modified  or  supplemented  prior  to  the  Amendment  No.  5  Effective  Date,  the  “Original  Term  Loan  Credit  Agreement”)),  as  the  same  may  be  amended,  amended  and  restated,  modified  or  supplemented from time to time in accordance with the terms hereof and thereof, by and among the Lead Borrower,  Holdings, the lenders party thereto in their capacities as lenders thereunder, the Term Agent and the other agents and  parties  party  thereto  from  time  to  time,  and  (ii)  any  other  credit  agreement,  loan  agreement,  note  agreement,  promissory note, indenture or other agreement or instrument evidencing or governing the terms of any Indebtedness  or other financial accommodation that has been incurred to extend (subject to the limitations set forth herein and in  the  Intercreditor  Agreement)  or  refinance  in  whole  or  in  part  the  Indebtedness  and  other  obligations  outstanding  under  (x)  the  credit  agreement  referred  to  in  the  preceding  clause  (i)  or  (y)  any  subsequent  Term  Loan  Credit  Agreement, unless such agreement or instrument expressly provides that it is not intended to be and is not a Term  Loan Credit Agreement hereunder.  Any reference to the Term Loan Credit Agreement hereunder shall be deemed a  reference to any Term Loan Credit Agreement then in existence.          “Term Priority  Collateral” shall have the  meaning assigned to the term  “Fixed  Asset Collateral” in  the  Intercreditor Agreement.          “Term  SOFR”  shall  mean  the  forward-looking  term  rate  based  on  SOFR  that  has  been  selected  or  recommended by the Relevant Governmental Body.           “Test Period” shall mean each period of four consecutive fiscal quarters of the Lead Borrower (in each case  taken as one accounting period) for which Section 9.01 Financials have been (or were required to be) delivered or  are otherwise internally available on or after the Amendment No. 5 Effective Date; provided that, until the first such  Section 9.01 Financials are (or are required to be) delivered hereunder or are otherwise internally available on or  after the Amendment No. 5 Effective Date, “Test Period” shall mean the four consecutive fiscal quarters of Ultimate  Parent or the Lead Borrower for which financial statements have been delivered pursuant to Section 9.01 of  this  Agreement (prior to giving effect to Amendment No. 5).          “Threshold Amount” shall mean the greater of $100,000,000 and 20.0% of Consolidated EBITDA of the  Lead Borrower and its Restricted Subsidiaries for the most recently ended Test Period.          “Tooling Materials” shall mean assets (not classified as property, plant or equipment under U.S. GAAP or  recorded as a capital expenditure in the financial statements of any Credit Party) that are recognized in accordance  with EITF Issue No. 99-5 “Accounting for Pre-Production Costs Related to Long-Term Supply Arrangements” as a  result of incurring costs for the design and development of molds, dies or other tools that are owned or to be owned  by a customer per such customer’s specifications.          “Type” shall mean the type of Loan determined with regard to the interest option applicable thereto, i.e.,  whether a Base Rate Loan, LIBO Rate Loan, Canadian Prime Rate Loan, CDOR Rate Loan, CNH HIBOR Loan,  SOR Loan, BBSY Loan or HIBOR Loan.          “U.S. Borrowers” shall mean (i) the Lead Borrower and (ii) any U.S. Subsidiary Borrower.          “U.S.  Borrowing  Base”  shall  mean,  at  any  time  of  calculation,  an  amount  equal  to  the  sum  of,  without  duplication:          (a)     the book value of Eligible Accounts of the U.S. Credit Parties multiplied by the advance rate of  85%; plus          (b)     the lesser of (i) the Cost of Eligible Inventory of the U.S. Credit Parties multiplied by the advance  rate of 70% and (ii) the appraised NOLV Percentage of Eligible Inventory of the U.S. Credit Parties multiplied by  the advance rate of 85%; plus                                                  -78- 

 

         (c)     100% of Eligible Cash of the U.S. Credit Parties; minus          (d)     any Reserves established from time to time by the Administrative Agent in accordance herewith.          “U.S. Collateral” shall mean all property (whether real, personal or otherwise) with respect to which any  security interests have been granted (or purported to be granted) pursuant to any U.S. Security Document (including  any  Additional  Security  Documents  but  excluding  the  Non-U.S.  Security  Documents)  or  will  be  granted  in  accordance with requirements set forth in Section 9.13, including, without limitation, all collateral as described in  the  U.S.  Security  Agreement  and  all  Mortgaged  Properties.   For  the  avoidance  of  doubt,  in  no  event  shall  U.S.  Collateral include Excluded Collateral.          “U.S. Collateral Agent” shall mean JPMCB, acting as a collateral agent for the Secured Creditors for the  purpose  of  any  US  Security  Document  or  Canadian  Security  Document  and  any  successor  thereto  appointed  pursuant to Section 12.10.          “U.S. Credit Party” shall mean Holdings and each U.S. Borrower.          “U.S. Dollars” and the sign “$” shall each mean freely transferable lawful money (expressed in dollars) of  the United States.          “U.S. Dominion Account” shall mean a special concentration account established by the Lead Borrower in  the  United  States, at JPMCB or another bank reasonably  acceptable to  the Administrative  Agent, over  which  the  Administrative  Agent  has  exclusive  control  for  withdrawal  purposes  pursuant  to  the  terms  and  provisions  of  this  Agreement and the other Credit Documents.          “U.S. FILO Borrowing Base” shall mean at any time of calculation, an amount equal to the sum of, without  duplication:          (a)     the  book  value  of  Eligible  Accounts  of  the  U.S.  Borrowers multiplied  by  the  advance  rate  of  92.5%; plus          (b)     the lesser of (i) the Cost of Eligible Inventory of the U.S. Borrowers multiplied by the advance rate  of 75%, and (ii) the appraised NOLV Percentage of Eligible Inventory of the  U.S. Borrowers multiplied  by  the  advance rate of 90%; plus          (c)     100% of Eligible Cash of the U.S. Borrowers; minus          (d)     any Reserves established from time to time by the Administrative Agent in accordance herewith.          “U.S. FILO Lender” shall mean any Lender under the U.S. FILO Subfacility.          “U.S.  FILO  Line  Cap”  shall  mean  an  amount  equal  to  the  lesser  of  (a)  the  U.S.  FILO  Revolving  Commitments and (b) the then applicable U.S. FILO Borrowing Base.          “U.S.  FILO  Loans”  shall  mean  advances  made  to  or  at  the  instructions  of  a  U.S.  Borrower  pursuant  to  Section 2.01 hereof under the U.S. FILO Subfacility.          “U.S. FILO Revolving Borrowing” shall mean a Borrowing comprised of U.S. FILO Revolving Loans.          “U.S. FILO Revolving Commitment” shall mean the commitment of the U.S. FILO Lenders under the U.S.  FILO Subfacility to make U.S. FILO Loans hereunder.  The aggregate amount of the U.S. FILO Lenders’ U.S. FILO  Revolving Commitments on the Amendment No. 5 Effective Date is $23,000,000.          “U.S.  FILO  Revolving  Exposure”  shall  mean,  with  respect  to  any  U.S.  FILO  Lender  at  any  time,  the  aggregate principal amount at such time of all outstanding U.S. FILO Loans of such Lender.                                                  -79- 

 

         “U.S. FILO Revolving Loan” shall mean shall mean advances made pursuant to Article  2 hereof under the  U.S. FILO Subfacility.          “U.S.  FILO  Revolving  Note”  shall  mean  each  revolving  note  relating  to  the  U.S.  FILO  Subfacility  substantially in the form of Exhibit B-1 hereto.          “U.S. FILO Subfacility” shall mean the U.S. FILO Revolving Commitments of the Lenders and the Loans  pursuant to those Commitments in accordance with the terms hereof.          “U.S. GAAP” shall mean generally accepted accounting principles in the United States of America as in  effect from time to time; provided that determinations  made pursuant  to  this Agreement  in  accordance  with U.S.  GAAP are subject (to the extent provided therein) to Section 13.07(a).          “U.S. Line Cap” shall mean an amount that is equal to the lesser of (a) the U.S. Revolving Commitments  and (b) the then applicable U.S. Borrowing Base.          “U.S. Protective Advances” shall have the meaning provided in Section 2.18.          “U.S. Revolving Borrowing” shall mean a Borrowing comprised of U.S. Revolving Loans.          “U.S. Revolving Commitment” shall mean, with respect to each Lender, the commitment, if any, of such  Lender to make U.S. Revolving Loans hereunder up to the amount set forth and opposite such Lender’s name on  Schedule 2.01 under the caption “U.S. Revolving Commitment,” or in the Assignment and Assumption pursuant to  which such Lender assumed its U.S. Revolving Commitment, as applicable, as the same may be (a) reduced from  time to time pursuant to Section 2.07 and (b) reduced or increased from time to time pursuant to assignments by or  to such Lender pursuant to Section 13.04.  The aggregate amount of the Lenders’ U.S. Revolving Commitments on  the Amendment No. 5 Effective Date is $335,000,000.          “U.S.  Revolving  Exposure”  shall  mean,  with  respect  to  any  Lender  at  any  time,  the  aggregate  principal  amount at such time of all outstanding U.S. Revolving Loans of such Lender, plus the aggregate amount at such  time of such Lender’s LC Exposure, plus the aggregate amount at such of such Lender’s Swingline Exposure.          “U.S. Revolving Loans” shall mean advances made pursuant to Article 2 hereof under the U.S. Subfacility  and may constitute U.S. Revolving Loans and Swingline Loans.          “U.S. Revolving Note” shall mean each revolving note relating to the U.S. Subfacility substantially in the  form of Exhibit B-1 hereto.          “U.S. Security Documents” shall mean the Initial U.S. Security Agreement, each Deposit Account Control  Agreement  of  a  U.S.  Credit  Party,  each  Mortgage  and,  after  the  execution  and  delivery  thereof,  each  Additional  Security Document of a U.S. Credit Party.          “U.S. Special Resolution Regimes” shall have the meaning provided in Section 13.28.          “U.S.  Subfacility”  shall  mean  the  U.S.  Revolving  Commitments  of  the  Lenders  and  the  Loans  and  LC  Credit Extensions pursuant to those Commitments in accordance with the terms hereof.          “U.S. Subsidiary” shall mean, as to any Person, any Subsidiary of such Person that is incorporated, formed  or otherwise organized under the laws of the United States, any state thereof or the District of Columbia.          “U.S. Subsidiary Borrower” shall mean each U.S. Subsidiary of the Lead Borrower that is on the Closing  Date, or which becomes, a party to this Agreement in accordance with the requirements of this Agreement.          “U.S. Tax Compliance Certificate” shall have the meaning provided in Section 5.01(c).                                                  -80- 

 

         “UCC” shall mean the Uniform Commercial Code in effect in the State of New York from time to time;  provided, however, that, at any time, if by reason of mandatory provisions of law, the Uniform Commercial Code as  in  effect  in  a  jurisdiction  other  than  the  State  of  New  York  governs,  the  term  “UCC”  shall  mean  the  Uniform  Commercial Code as in effect, at such time, in such other jurisdiction for purposes of the provisions relating to such  perfection or priority and for purposes of definitions relating to such provisions.          “UK Bail-In Legislation” means (to the extent that the United Kingdom is not an EEA Member Country  which has implemented, or implements, Article 55 BRRD) Part I of the United Kingdom Banking Act 2009 and any  other  law  or  regulation  applicable  in  the  United  Kingdom  relating  to  the  resolution  of  unsound  or  failing  banks,  investment firms or other financial institutions or their affiliates (otherwise than through liquidation, administration  or other insolvency proceedings).          “UK Collateral” shall mean all the “Secured Assets” as defined in the Initial UK Security Agreement and  all  other  property  (whether  real,  personal  or  otherwise)  with  respect  to  which  any  security  interests  have  been  granted (or purported to be granted) by the UK Guarantors or will be granted in accordance with the requirements  set forth in Section 9.13.          “UK Credit Parties” shall mean each UK Guarantor.           “UK  Guarantor”  shall  mean  each  UK  Subsidiary  that  is  on  the  Eurasian  Effectiveness  Date,  or  which  becomes,  a  party  to  the  Guaranty  Agreement  in  accordance  with  the  requirements  of  this  Agreement  or  the  provisions of such Guaranty Agreement.          “UK Insolvency Event” shall mean any corporate action, legal proceedings or other procedure or step is  taken in relation to:          (a)    the  suspension  of  payments,  a  moratorium  of  any  indebtedness  (provided  the  ending  of  such  moratorium  will  not  remedy  any  Event  of  Default  caused  by  such  moratorium),  winding-up,  dissolution,  administration or reorganization (by way of voluntary arrangement, scheme of arrangement or otherwise) of any UK  Credit Party;          (b)     a composition, compromise, assignment or arrangement with any creditor of any UK Credit Party  in connection with or as a result of any financial difficulty on the part of any UK Credit Party;          (c)    the  appointment  of  a  liquidator,  receiver,  administrative  receiver,  administrator,  compulsory  manager or other similar officer in respect of any UK Credit Party, or any of its assets;           (d)     the enforcement of any Lien over any assets of any UK Credit Party having an aggregate value in  excess of £1,000,000 (or equivalent);          (e)    any expropriation, attachment, sequestration, distress or execution or any analogous process in any  jurisdiction affects any asset or assets of a UK Credit Party having an aggregate value in excess of £5,000,000 (or  equivalent), and is not discharged within 21 days; or          (f)    any UK  Credit  Party  is  unable or admits  inability  to  pay  its  debts as they  fall  due,  suspends or  threatens to suspend making payments on any of its debts or, by reason of actual or anticipated financial difficulties,  commences negotiations with one or more of its creditors (excluding any Secured Creditor in its capacity as such)  with  a  view  to  rescheduling  any  of  its  indebtedness  that  is  indebtedness  in  an  aggregate  amount  of  at  least  £1,000,000 (or equivalent),    or any analogous procedure or step is taken in any jurisdiction provided that clauses (a) to (d) above shall not apply  to  (i)  any  winding-up  petition  which  is  frivolous  or  vexatious  and  is  discharged,  stayed  or  dismissed  within  20  Business Days of commencement, (ii) the appointment of an administrator (or any procedure or step in relation to  such  appointment)  which  the  Administrative  Agent  is  satisfied  will  be  withdrawn  or  unsuccessful  and  (iii)  any  actions expressly permitted by the Credit Agreement.                                                   -81- 

 

         “UK  Security  Documents”  shall  mean  the  Initial  UK  Security  Agreement  and,  after  the  execution  and  delivery thereof, each Additional Security Document governed by the laws of England and Wales, including those  entered into as required by the Additional Inventory Security Actions, together with any other applicable security  documents  governed  by  the  laws  of  England  and  Wales  from  time  to  time,  such  as  a  deed  or  any  other  related  documents, bonds, debentures or pledge agreements as may be required to perfect a Lien in favor of the European  Collateral Agent for the benefit of the Secured Creditors.           “UK Subsidiary” shall mean any Subsidiary of the Lead Borrower that is incorporated, formed or otherwise  organized under the laws of England and Wales.          “Ultimate Parent” shall mean Vertiv Holdings Co, a Delaware corporation (f/k/a GS Acquisition Holdings  Corp.).          “Unadjusted Benchmark Replacement” shall mean the Benchmark Replacement excluding the Benchmark  Replacement Adjustment; provided that, if the Unadjusted Benchmark Replacement as so determined would be less  than zero, the Unadjusted Benchmark Replacement will be deemed to be zero for the purposes of this Agreement.          “Unaudited Financial Statements” shall have the meaning provided in Section 6A.11.          “Undisclosed Administration” shall mean, in relation to a Lender or its direct or indirect parent company,  the appointment of an administrator, provisional liquidator, conservator, receiver, trustee, custodian or other similar  official by a supervisory authority or regulator under or based on the law in the country where such Lender or such  parent company is subject to home jurisdiction supervision if applicable law requires that such appointment is not to  be publicly disclosed.          “Unfunded Pension Liability” of any Plan subject to Title IV of ERISA shall mean the amount, if any, by  which  the  value  of  the  accumulated  plan  benefits  under  the  Plan  determined  on  a  plan  termination  basis  in  accordance with actuarial assumptions at such time consistent with those prescribed by the PBGC for purposes of  Section 4044 of ERISA, exceeds the fair market value of all plan assets of such Plan.          “United Kingdom” shall mean the United Kingdom of Great Britain and Northern Ireland.          “United States” and “U.S.” shall each mean the United States of America.          “Unrestricted Subsidiary” shall mean (i) on the Amendment No. 5 Effective Date, each Subsidiary of the  Lead Borrower listed on Schedule 1.01B, (ii) any other Subsidiary of the Lead Borrower designated by the board of  directors of the Lead Borrower as an Unrestricted Subsidiary pursuant to Section 9.16 subsequent to the Amendment  No. 5 Effective Date, in each case, except to the extent redesignated as a Restricted Subsidiary in accordance with  such Section 9.16 and (iii) any Subsidiary of an Unrestricted Subsidiary pursuant to the foregoing clause (i) or (ii);  provided, however, that no Subsidiary Borrower shall be designated as an Unrestricted Subsidiary unless released  from its obligations as a Subsidiary Borrower concurrently with or after satisfaction of all applicable conditions to  such designation in accordance with Section 9.16.          “Unused Line Fee” shall have the meaning provided in Section 2.05(a).          “Unused  Line  Fee  Rate”  shall  mean,  0.25%  per  annum  on  the  average  daily  amount  by  which  the  Commitments  under  any  Subfacility  exceed  the  Revolving  Exposure  of  all  Lenders  under  such  Subfacility,  calculated based upon the actual number of days elapsed over a 360-day year payable quarterly in arrears.          “VAT” shall mean (a) any tax imposed in compliance with the Council Directive of 28 November 2006 on  the common system of value added tax (EC Directive 2006/112); and (b) any other tax of a similar nature, whether  imposed in a member state of the European Union or the United Kingdom in substitution for, or levied in addition  to, such tax referred to in clause (a) above, or imposed elsewhere.                                                  -82- 

 

         “Weighted  Average  Life  to  Maturity”  shall  mean,  when  applied  to  any  Indebtedness  at  any  date,  the  number of years obtained by dividing (i) the then outstanding principal amount of such Indebtedness into (ii) the  product obtained by  multiplying (x) the amount of each  then remaining  installment or other required scheduled  payments of principal, including payment at final maturity, in respect thereof, by (y) the number of years (calculated  to the nearest one-twelfth) that will elapse between such date and the making of such payment.          “Wholly-Owned  Domestic  Subsidiary”  shall  mean,  as  to  any  Person,  any  Wholly-Owned  Subsidiary  of  such Person which is a U.S. Subsidiary of such Person.          “Wholly-Owned  Restricted  Subsidiary”  shall  mean,  as  to  any  Person,  any  Wholly-Owned  Subsidiary  of  such Person which is a Restricted Subsidiary of such Person.          “Wholly-Owned Subsidiary” shall mean, as to any Person, (i) any corporation 100% of whose capital stock  is at the time owned by such Person and/or one or more Wholly-Owned Subsidiaries  of such Person and (ii) any  partnership,  association,  joint  venture  or  other  entity  in  which  such  Person  and/or  one  or  more  Wholly-Owned  Subsidiaries of such Person owns 100% of the Equity Interests at such time (other than, in the case of a Foreign  Subsidiary with respect to preceding clauses (i) or (ii), director’s qualifying shares and/or other nominal amounts of  shares required to be held by Persons other than the Lead Borrower and its Subsidiaries under applicable law).          “Write-Down and Conversion Powers” shall mean                  (a)    in relation to any Bail-In Legislation described in the EU Bail-In Legislation Schedule         from time to time, the powers described as such in relation to that Bail-In Legislation in the EU Bail-In         Legislation Schedule;                  (b)    in relation to any other applicable Bail-In Legislation:                (i)      any powers under that Bail-In Legislation to cancel, transfer or dilute shares issued by a         person that is a bank or investment firm or other financial institution or affiliate of a bank, investment firm         or other financial institution, to cancel, reduce, modify or change the form of a liability of such a person or         any contract or instrument under which that liability arises, to convert all or part of that liability into shares,         securities or obligations of that person or any other person, to provide that any such contract or instrument         is to have effect as if a right had been exercised under it or to suspend any obligation in respect of that         liability or any of the powers under that Bail-In Legislation that are related to or ancillary to any of those         powers; and               (ii)      any similar or analogous powers under that Bail-In Legislation; and                  (c)    in relation to any UK Bail-In Legislation:                 (i)      any powers under that UK Bail-In Legislation to cancel, transfer or dilute shares issued         by a person that is a bank or investment firm or other financial institution or affiliate of a bank, investment         firm  or  other  financial  institution,  to  cancel,  reduce,  modify  or  change  the  form  of  a  liability  of  such  a         person or any contract or instrument under which that liability arises, to convert all or part of that liability         into shares, securities or obligations of that person or any other person, to provide that any such contract or         instrument is to have effect as if a right had been exercised under it or to suspend any obligation in respect         of that liability or any of the powers under that UK Bail-In Legislation that are related to or ancillary to any         of those powers; and               (ii)      any similar or analogous powers under that UK Bail-In Legislation.          Section 1.02  Terms Generally; Certain Interpretive Provisions and Classification and Reclassification.   The  definitions  in  Section  1.01  shall  apply  equally  to  both  the  singular  and  plural  forms  of  the  terms  defined.   Whenever  the  context  may  require,  any  pronoun  shall  include  the  corresponding  masculine,  feminine  and  neuter  forms.   The  words  “include,” “includes” and  “including” shall be deemed to be followed by the phrase  “without                                                  -83- 

 

  limitation.”  The word “will” shall be construed to have the same meaning and effect as the word “shall”; and the  words “asset” and “property” shall be construed as having the same meaning and effect and to refer to any and all  tangible and  intangible assets and  properties, including cash, securities, accounts  and contract rights.  The  words  “herein,” “hereof” and “hereunder,” and words of similar import, shall be construed to refer to this Agreement in its  entirety  and  not  to  any  particular  provision  of  this  Agreement  unless  the  context  shall  otherwise  require.   All  references  herein  to  Articles,  Sections,  paragraphs,  clauses,  subclauses,  Exhibits  and  Schedules  shall  be  deemed  references  to  Articles,  Sections,  paragraphs,  clauses  and  subclauses  of,  and  Exhibits  and  Schedules  to,  this  Agreement unless the context shall otherwise require.  Unless otherwise expressly provided herein, (a) all references  to documents, instruments  and other  agreements (including  the  Credit  Documents and  organizational  documents)  shall be deemed to include all subsequent amendments, restatements, amendments and restatements, supplements  and  other  modifications  thereto,  but  only  to  the  extent  such  amendments,  restatements,  amendments  and  restatements, supplements and other modifications are not prohibited by any Credit Document and (b) references to  any law, statute, rule or regulation shall include all statutory and regulatory provisions consolidating, amending,  replacing, supplementing or interpreting such law.  Unless otherwise specified, all references herein to times of day  shall be references to Eastern time (daylight or standard, as applicable).  It is understood and agreed that any Lien,  sale, lease or other disposition of assets, Dividend, Indebtedness, Investment, Affiliate transaction or prepayment of  Indebtedness  need  not  be  permitted  solely  by  reference  to  one  category  of  permitted  Lien,  sale,  lease  or  other  disposition of assets, Dividend, Indebtedness, Investment, Affiliate transaction or prepayment of Indebtedness under  Sections 10.01, 10.02, 10.03, 10.04, 10.05, 10.06 and 10.07(a), respectively, but may instead be permitted in part  under any combination thereof (it being understood that the Lead Borrower may utilize amounts under any category  that is subject to the Payment Conditions or the Distribution Conditions or any financial ratio or test, including the  Consolidated Fixed Charge Coverage Ratio or Consolidated Total Net Leverage Ratio, prior to amounts under any  other category). For purposes of determining compliance at any time with Sections 10.01, 10.02, 10.03, 10.04, 10.05,  10.06 and 10.07(a), in  the event that any  Lien, sale,  lease  or  other disposition of assets, Dividend,  Indebtedness,  Investment, Affiliate transaction or prepayment of Indebtedness meets the criteria of more than one of the categories  of transactions or items permitted pursuant to any clause of such Sections 10.01, 10.02, 10.03, 10.04, 10.05, 10.06  and  10.07(a),  the  Lead  Borrower,  in  its  sole  discretion,  may,  from  time  to  time,  classify  or  reclassify  such  transaction or item (or portion thereof) (except reclassification into any category or item that is subject to Payment  Conditions or Distribution Conditions) and will only be required to include the amount and type of such transaction  (or portion thereof) in any one category.          Section 1.03  Exchange Rates; Currency Equivalent.            (a)     Notwithstanding anything to  the contrary  in this  Agreement, (i) any representation or warranty  that  would  be  untrue  or  inaccurate,  (ii)  any  undertaking  that  would  be  breached,  (iii) any  basket  that  would  be  exceeded or (iv) any event that would constitute a Default or an Event of Default, in each case, solely as a result of  fluctuations in applicable currency exchange rates, shall not be deemed to be untrue, inaccurate, breached, exceeded  or so constituted, as applicable, solely as a result of such fluctuations in currency exchange rates; provided that this  Section 1.03(a) shall not relieve the Borrowers of their obligations under Section 2.09(b).          (b)     For purposes of determining the Consolidated Fixed Charge Coverage Ratio and the Consolidated  Total  Net  Leverage  Ratio,  amounts  denominated  in  a  currency  other  than  U.S.  Dollars  will  be  converted  to  the  Dollar  Equivalent  amount  thereof,  and  will,  in  the  case  of  Indebtedness,  reflect  the  currency  translation  effects,  determined  in  accordance  with  U.S.  GAAP,  of  Swap  Contracts  permitted  hereunder  for  currency  exchange  risks  with  respect  to  the  applicable  currency  in  effect  on  the  date  of  determination  of  the  Dollar  Equivalent  of  such  Indebtedness.          (c)     Wherever  in  this  Agreement  in  connection  with  a  Borrowing,  conversion,  continuation  or  prepayment of a Loan, an amount, such as a required minimum or multiple amount, is expressed in U.S. Dollars, but  such Borrowing or Loan is denominated in an  Alternative Currency, such amount shall be the equivalent amount  thereof in such Alternative Currency (rounded to the nearest Alternative Currency, with 0.5 Alternative Currency  being  rounded  upward),  as  determined  by  the  Administrative  Agent  at  such  time  on  the  basis  of  the  Spot  Rate  (determined in respect of the most recent Revaluation Date) for the purchase of such Alternative Currency with U.S.  Dollars.                                                  -84- 

 

         (d)     All references in the Credit Documents to Loans, Letters of Credit, Obligations, Borrowing Base  components  and  other  amounts  shall  be  denominated  in  U.S.  Dollars,  unless  expressly  provided  otherwise.   The  Dollar Equivalent of any amounts denominated or reported under a Credit Document in a currency other than U.S.  Dollars shall be determined by the Administrative Agent on a daily basis, based on the current Spot Rate.  The Lead  Borrower  shall  report  value  and  other  Borrowing  Base  components  to  the  Administrative  Agent  in  the  currency  invoiced by the Lead Borrower or shown in the Lead Borrower’s financial records, and unless expressly provided  otherwise, shall deliver financial statements and calculate financial covenants in U.S. Dollars (subject to paragraph  (b) above).  Notwithstanding anything herein to the contrary, if any Obligation is funded and expressly denominated  in a currency other than U.S. Dollars, the Borrowers shall repay such Obligation in such other currency.          Section 1.04  Additional Alternative Currencies.            (a)     The Borrowers may from time to time request that Loans be made and/or Letters of Credit be  issued in a currency other than those specifically listed in the definition of “Alternative Currency”; provided that  such requested currency is a lawful currency (other than U.S. Dollars) that is readily available and freely transferable  and convertible into U.S. Dollars.  In the case of any such request with respect to the making of Loans, such request  shall be subject to the approval of the Administrative Agent and the Lenders with Commitments in respect of the  Subfacility under which such additional Alternative Currency is being requested; and in the case of any such request  with respect to the issuance of Letters of Credit, such request shall be subject to the approval of the Administrative  Agent and the applicable Issuing Bank.          (b)     Any such request shall be made to the Administrative Agent not later than 11:00 a.m., 20 Business  Days  prior  to  the  date  of  the  desired  Credit  Extension  (or  such  other  time  or  date  as  may  be  agreed  by  the  Administrative  Agent  and,  in  the  case  of  any  such  request  pertaining  to  Letters  of  Credit,  the  applicable  Issuing  Bank, in its or their sole discretion).  In the case of any such request pertaining to Loans, the Administrative Agent  shall promptly notify each applicable Lender thereof; and in the case of any such request pertaining to Letters of  Credit, the Administrative Agent shall promptly notify the applicable Issuing Bank thereof.  Each applicable Lender  (in  the  case  of  any  such  request  pertaining  to  Loans)  or  the  applicable  Issuing  Bank  (in  the  case  of  a  request  pertaining to Letters of Credit) shall notify the Administrative Agent, not later than 11:00 a.m., ten Business Days  after receipt of such request  whether it consents, in its sole discretion, to the making of Loans or the issuance of  Letters of Credit, as the case may be, in such requested currency.          (c)     Any failure by a Lender or the applicable Issuing Bank, as the case may be, to respond to such  request within the time period specified in the preceding sentence shall be deemed to be a refusal by such Lender or  the applicable Issuing Bank, as the case may be, to permit Loans to be made or Letters of Credit to be issued in such  requested currency.  If the Administrative Agent and all the Lenders with Commitments in respect of the Subfacility  under  which  such  additional  Alternative  Currency is being  requested consent  to  making Loans in such requested  currency, the Administrative Agent shall so notify such Borrower and such currency shall thereupon be deemed for  all  purposes  to  be  an  Alternative  Currency  hereunder  for  purposes  of  any  Borrowings  of  Loans;  and  if  the  Administrative Agent and the applicable Issuing Bank consent to the issuance of Letters of Credit in such requested  currency, the Administrative Agent shall so notify such Borrower and such currency shall thereupon be deemed for  all  purposes  to  be  an  Alternative  Currency  hereunder  for  purposes  of  any  Letter  of  Credit  issuances.   If  the  Administrative Agent shall fail to obtain consent to any request for an additional currency under this Section 1.04,  the Administrative Agent shall promptly so notify such Borrower.          Section 1.05  Limited  Condition  Transactions.   Notwithstanding  anything  to  the  contrary  in  this  Agreement,  in  connection  with  any  action  being  taken  in  connection  with  a  Limited  Condition  Transaction,  for  purposes of:                   (i)   determining  compliance  with  any  provision  of  this  Agreement  which  requires  the         calculation  of  any  financial  ratio  or  test,  including  the  Consolidated  Total  Net  Leverage  Ratio  and         Consolidated Fixed Charge Coverage Ratio;                  (ii)   testing  availability  under  baskets  set  forth  in  this  Agreement  (including  baskets         determined by reference to Consolidated EBITDA or Consolidated Total Assets); or                                                  -85- 

 

                (iii)   determining other compliance with this Agreement (including the determination that no         Default or Event of Default (or any type of Default or Event of Default) has occurred, is continuing or         would result therefrom);   in each case, at the option of the Lead Borrower (the Lead Borrower’s election to exercise such option in connection  with any Limited Condition Transaction, an “LCT Election”), the date of determination of whether any such action  is permitted hereunder shall be made (1) in the case of any acquisition (including by way of merger) or similar  Investment (including the assumption or incurrence of Indebtedness in connection therewith), at the time of (or on  the  basis  of  the  Section  9.01  Financials  for  the  most  recently  ended  Test  Period  at  the  time  of)  either  (x)  the  execution of the definitive agreement with respect to such acquisition or Investment, (y) the public announcement of  an intention to make an offer in respect of the target or such acquisition or Investment or (z) the consummation of  such acquisition or Investment, (2) in the case of any Dividend, at the time of (or on the basis of the Section 9.01  Financials for the most recently ended Test Period at the time of) either (x) the declaration of such Dividend or (y)  the  making  of  such  Dividend  and  (3)  in  the  case  of  any  voluntary  or  optional  payment  or  prepayment  on  or  redemption or acquisition for value of any Indebtedness subject to Section 10.07(a), at the time of (or on the basis of  the Section 9.01 Financials for the most recently ended Test Period at the time of) either (x) delivery of irrevocable  (which may be conditional) notice with respect to such payment or prepayment or redemption or acquisition of such  Indebtedness  or  (y)  the  making  of  such  voluntary  or  optional  payment  or  prepayment  on  or  redemption  or  acquisition for value of any Indebtedness (the “LCT Test Date”), and if, for the Limited Condition Transaction (and  the  other  transactions  to  be  entered  into  in  connection  therewith),  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries would have been permitted to take such action on the relevant LCT Test Date in compliance with such  ratio, test or basket, such ratio, test or basket shall be deemed to have been complied with.  For the avoidance of  doubt,  (a) if  the  Lead  Borrower  has  made  an  LCT  Election  and  any  of  the  ratios,  tests  or  baskets  for  which  compliance was determined or tested as of the LCT Test Date would have failed to have been complied with as a  result  of  fluctuations  in  any  such  ratio,  test  or  basket,  including  due  to  fluctuations  in  Consolidated  EBITDA  or  Consolidated Total Assets of the Lead Borrower or the Person subject to such Limited Condition Transaction, at or  prior to the consummation of the relevant transaction or action, such baskets, tests or ratios will not be deemed to  have failed to have been complied with as a result of such fluctuations; provided, that, notwithstanding anything to  the contrary herein, if financial statements for one or more subsequent Test Periods shall have become available, the  Lead Borrower may elect, in its sole discretion, to re-determine all such financial ratios or tests, with respect to, or  as of the last day of, the most recently ended Test Period on the basis of such financial statements, in which case  such date of redetermination shall thereafter be deemed to be the LCT Test Date for purposes of such baskets, ratios  and financial metrics. and (b) the provisions of this Section 1.05 shall not apply to any determination of  (i) whether  the Availability Conditions would be met for any Credit Extension or (ii) the Global Availability component of the  Distribution Conditions or the Payment Conditions, other than with respect to any Limited Condition Transaction  that  is  to  be  financed  solely  with  the  proceeds  of  newly  committed  financing  not  constituting  Commitments  hereunder.   If  the  Lead  Borrower  has  made  an  LCT  Election  for  any  Limited  Condition  Transaction,  then  in  connection with any calculation of any ratio, test or basket availability with respect to the incurrence of Indebtedness  or Liens, the making of Dividends, the making of any Permitted Investment, mergers, the conveyance, lease or other  transfer  of  all  or  substantially  all  of  the  assets  of  the  Lead  Borrower,  the  prepayment,  redemption,  purchase,  defeasance  or  other  satisfaction  of  Indebtedness,  or  the  designation  of  an  Unrestricted  Subsidiary  (each,  a  “Subsequent Transaction”) following the relevant LCT Test Date and prior to the earlier of the date on which such  Limited Condition Transaction is consummated or the date that the definitive agreement or irrevocable notice for  such  Limited  Condition  Transaction  is  terminated,  revoked  or  expires  without  consummation  of  such  Limited  Condition Transaction, for purposes of determining whether such Subsequent Transaction is permitted under this  Agreement,  any  such  ratio,  test  or  basket  shall  be  required  to  be  satisfied  on  a  Pro  Forma  Basis  assuming  such  Limited  Condition  Acquisition  and  other  transactions  in  connection  therewith  (including  any  incurrence  of  Indebtedness and the use of proceeds thereof) have been consummated.          Section 1.06  Interpretation (Quebec).  For purposes of any Collateral located in the Province of Quebec  or charged by any deed of hypothec (or any other Credit Document) and for all other purposes pursuant to which the  interpretation or construction of a Credit Document may be subject to the laws of the Province of Quebec or a court  or  tribunal  exercising  jurisdiction  in  the  Province  of  Quebec,  (a)  “personal  property”  shall  be  deemed  to  include  “movable property,” (b) “real property” shall be deemed to include “immovable property,” (c) “tangible property”  shall be deemed to include “corporeal property,” (d) “intangible property” shall be deemed to include “incorporeal  property,” (e) “security interest,” “mortgage” and “lien” shall be deemed to include a “hypothec,” “prior claim” and                                                 -86- 

 

  a  “resolutory  clause,”  (f)  all  references  to  filing,  registering  or  recording  under  the  UCC  or  the  PPSA  shall  be  deemed to include publication under the Civil Code of Quebec to the extent such law is applicable to the validity,  perfection  and  effect  of  perfection  of  the  Collateral  Agent’s  Liens  on  applicable  Collateral,  (g)  all  references  to  “perfection” of or “perfected” Liens shall be deemed to include a reference to an “opposable” or “set up” Liens as  against third parties, (h) any “right of offset,” “right of setoff” or similar expression shall be deemed to include a  “right of compensation,”  (i) “goods” shall  be deemed to include  “corporeal movable property” other than  chattel  paper,  documents  of  title,  instruments,  money  and  securities,  (j)  an  “agent”  shall  be  deemed  to  include  a  “mandatary,” (k) “construction liens” shall be deemed to include “legal hypothecs,” (l) “joint and several” shall be  deemed to include “solidary,” (m) “gross negligence or willful misconduct” shall be deemed to be “intentional or  gross fault,” (n) “beneficial ownership” shall be deemed to include “ownership on behalf of another as mandatary,”  (o) “easement” shall be deemed to include “servitude,” (p) “priority” shall be deemed to include “prior claim,” (q)  “survey”  shall  be  deemed  to  include  “certificate  of  location  and  plan,”  (r)  “fee  simple  title”  shall  be  deemed  to  include “absolute ownership” and (s) “ground lease” shall be deemed to include “emphyteutic lease.”  The parties  hereto confirm that  it  is their  wish  that  this  Agreement  and any other document  executed in connection  with  the  transactions contemplated herein be drawn up in the English language only (except if another language is required  under  any  applicable  law)  and  that  all  other  documents  contemplated  thereunder  or  relating  thereto,  including  notices, may also be drawn up in the English language only.  Les parties aux présentes confirment que c’est leur  volonté que cette convention et les autres documents de crédit soient rédigés en langue anglaise seulement et que  tous les documents, y compris tous avis, envisagés par cette convention et les autres documents peuvent être rédigés  en langue anglaise seulement (sauf si une autre langue est requise en vertu d’une loi applicable).          Section 1.07  Code of Banking Practice (Australia).  The parties agree that the Code of Banking Practice  (Australia) does not apply to the Credit Documents nor the transactions under them.          Section 1.08  Interpretation   (Germany).   (a)  Winding-up  or  dissolution  (and  any  of  those  terms)  includes  a  German  Credit  Party  being  declared  bankrupt  (insolvent)  or  dissolved  (aufgelöst).  (b)  Any  step  or  procedure  taken  in  connection  with  insolvency  proceedings  includes  a  German  Credit  Party  having  applied  for  bankruptcy (Insolvenzantrag) or the opening of bankruptcy proceedings (Insolvenzeröffnung). (c) An administrator  includes an insolvency administrator (Insolvenzverwalter) and insolvency trustee (Sachwalter).          Section 1.09  Divisions.  For all purposes under the Credit Documents, in connection with any division  or plan of division under Delaware law (or any comparable event under a different jurisdiction’s laws): (a) if any  asset, right, obligation or liability of any Person becomes the asset, right, obligation or liability of a different Person,  then it shall be deemed to have been transferred from the original Person to the subsequent Person, and (b) if any  new Person comes into existence, such new Person shall be deemed to have been organized on the first date of its  existence by the holders of its Equity Interests at such time.          Section 1.10  Treatment of Subsidiaries Prior to Joinder.  Each Subsidiary of Holdings that is required to  be  joined  as  a  Credit  Party  pursuant  to  Section  9.12  shall,  from  the  time  of  the  requirement  (if  any)  that  such  Subsidiary be joined as a Credit Party pursuant to Section 9.12 until the completion of such joinder, be deemed for  the purposes of Section 10 of this Agreement to be a Credit Party from and after the date of formation or acquisition  of  such  Subsidiary; provided  that  this  Section  1.10  shall  only  apply  to  the  extent  such  Subsidiary  is  actually  subsequently joined as a Credit Party pursuant to Section 9.12.          Section 1.11  Interest  Rates;  LIBOR  Notification.   The  interest  rate  on  a  Loan  denominated  in  U.S.  Dollars or  an  Alternative  Currency  may be derived from an interest  rate  benchmark  that is,  or  may  in the  future  become, the subject of regulatory reform.  Regulators have signaled the need to use alternative benchmark reference  rates for some of these interest rate benchmarks and, as a result, such interest rate benchmarks may cease to comply  with  applicable  laws  and  regulations,  may  be  permanently  discontinued,  and/or  the  basis  on  which  they  are  calculated  may change. The London  interbank offered rate is intended to represent the rate at which contributing  banks may obtain short-term borrowings from each other in the London interbank market.  In July 2017, the U.K.  Financial  Conduct  Authority  announced  that,  after  the  end  of  2021,  it  would  no  longer  persuade  or  compel  contributing banks to make rate submissions to the ICE Benchmark Administration (together with any successor to  the ICE Benchmark Administrator, the “IBA”) for purposes of the IBA setting the London interbank offered rate. As  a result, it is possible that commencing in 2022, the London interbank offered rate may no longer be available or  may no longer be deemed an appropriate reference rate upon which to determine the interest rate on LIBO Rate                                                 -87- 

 

  Loans. In light of this eventuality, public and private sector industry initiatives are currently underway to identify  new or alternative reference rates to be used in place of the London interbank offered rate.  Upon the occurrence of a  Benchmark Transition Event or an Early Opt-In Election, Section 3.01(b) provides a mechanism for determining an  alternative rate of interest.  The Administrative Agent will promptly notify the Lead Borrower, pursuant to Section  3.01(b)(iii), of any change to the reference rate upon which the interest rate on Eurodollar Loans is based.  However,  the  Administrative  Agent  does  not  warrant  or  accept  any  responsibility  for,  and  shall  not  have  any  liability  with  respect to, the administration, submission or any other matter related to the London interbank offered rate or other  rates in the definition of “LIBO Rate” or with respect to any alternative or successor rate thereto, or replacement rate  thereof (including, without limitation, (i) any such alternative, successor or replacement rate implemented pursuant  to Section 3.01(b), whether upon the occurrence of a Benchmark Transition Event or an Early Opt-in Election, and  (ii)  the  implementation  of  any  Benchmark  Replacement  Conforming  Changes  pursuant  to  Section  3.01(b)(ii)),  including  without  limitation,  whether  the  composition  or  characteristics  of  any  such  alternative,  successor  or  replacement reference rate will be similar to, or produce the same value or economic equivalence of, the LIBO Rate  or  have  the  same  volume  or  liquidity  as  did  the  London  interbank  offered  rate  prior  to  its  discontinuance  or  unavailability.          ARTICLE 2      Amount and Terms of Credit.          Section 2.01  The  Commitments.   Subject  to  the  terms  and  conditions  and  relying  upon  the  representations  and  warranties  herein  set  forth,  each  Lender  agrees,  severally  and  not  jointly,  to  make  (i) U.S.  Revolving Loans to the U.S. Borrowers in U.S. Dollars or in one or more Alternative Currencies, if any, at any time  and from time to time on and after the Closing Date until the earlier of one Business Day prior to the Maturity Date  and the termination of the U.S. Revolving Commitment of such Lender in accordance with the terms hereof, in an  aggregate principal amount at any time outstanding that will not result in the Availability Conditions not being met;  provided that, no U.S. Revolving Loans may be made to any U.S. Borrower (other than Swingline Loans pursuant to  Section 2.12) unless the amount of outstanding U.S. FILO Loans is equal to the U.S. FILO Revolving Commitment;  (ii) Canadian Revolving Loans to the Canadian Borrowers in U.S. Dollars or Canadian Dollars or in one or more  additional Alternative Currencies, at any time and from time to time on and after the Closing Date until the earlier of  one Business Day prior to the Maturity Date and the termination of the Canadian Revolving Commitment of such  Lender in accordance with the terms hereof, in an aggregate principal amount at any time outstanding that will not  result in the Availability Conditions not being met; provided that, no Canadian Revolving Loans may be made to  any  Canadian  Borrower  unless  the  amount  of  outstanding  Canadian  FILO  Loans  is  equal  to  the  Canadian  FILO  Revolving  Commitment;  (iii) Asian  Revolving  Loans  to  the  Hong  Kong  Borrowers  in  U.S.  Dollars,  Australian  Dollars, Singapore Dollars, Hong Kong Dollars, CNH or in one or more additional Alternative Currencies, at any  time and from time to time on and after the Eurasian Effectiveness Date until the earlier of one Business Day prior  to the Maturity Date and the termination of the Asian Revolving Commitment of such Lender in accordance with the  terms  hereof,  in  an  aggregate  principal  amount  at  any  time  outstanding  that  will  not  result  in  the  Availability  Conditions not being met; (iv) French Revolving Loans to the French Borrowers in U.S. Dollars or Euros or in one  or  more  additional  Alternative  Currencies,  if  any,  at  any  time  and  from  time  to  time  on  and  after  the  Eurasian  Effectiveness Date until the earlier of one Business Day prior to the Maturity Date and the termination of the French  Revolving Commitment of such Lender in accordance with the terms hereof, in an aggregate principal amount at  any time outstanding that will not result in the Availability Conditions not being met; (v) German Revolving Loans  to the German Borrowers in U.S. Dollars or Euros or in one or more additional Alternative Currencies, if any, at any  time and from time to time on and after the Eurasian Effectiveness Date until the earlier of one Business Day prior  to the Maturity Date and the termination of the German Revolving Commitment of such Lender in accordance with  the terms hereof, in an aggregate principal amount at any time outstanding that will  not result in the Availability  Conditions not being met; and (vi) European Revolving Loans to the Irish Borrowers in U.S. Dollars, Euros, Pounds  Sterling or in one or more additional Alternative Currencies, if any, at any time and from time to time on and after  the Eurasian Effectiveness Date until the earlier of one Business Day prior to the Maturity Date and the termination  of  the  European  Revolving  Commitment  of  such  Lender  in  accordance  with  the  terms  hereof,  in  an  aggregate  principal amount at any time outstanding that will not result in the Availability Conditions not being met.  Subject to  the terms and conditions set forth herein, the Canadian FILO Lenders agree to make Canadian FILO Loans to the  Canadian Borrowers, in  U.S.  Dollars, Canadian Dollars  or  one or more additional Alternative Currencies, if any,  until the earlier of one Business Day prior to the Maturity Date and the termination of the Canadian FILO Revolving  Commitment  of  such  Lender  in  an  aggregate  principal  amount  that  will  not  result  in  the  aggregate  amount  of  Canadian FILO Loans exceeding the Canadian FILO Line Cap.  Subject to the terms and conditions set forth herein,                                                 -88- 

 

  the  U.S.  FILO  Lenders  agree  to  make  U.S.  FILO  Loans  to  the  U.S.  Borrowers  in  U.S.  Dollars  or  one  or  more  Alternative Currencies, if any, until the earlier of one Business Day prior to the Maturity Date and the termination of  the U.S. FILO Revolving Commitment of such Lender in an aggregate principal amount that will not result in the  aggregate amount of the U.S. FILO Loans exceeding the U.S. FILO Line Cap.  Within the limits set forth above and  subject  to  the  terms,  conditions  and  limitations  set  forth  herein,  the  Borrowers  may  borrow,  pay  or  prepay  and  reborrow Revolving Loans under each applicable Subfacility.  All Borrowers shall be jointly and severally liable as  borrowers for all Canadian Revolving Loans and Canadian FILO Loans regardless of which Borrower receives the  proceeds thereof.  All Borrowers shall be jointly and severally liable as borrowers for all Asian Revolving Loans  regardless of which Borrower receives the proceeds thereof.  All Borrowers shall be jointly and severally liable as  borrowers  for  all  French  Revolving  Loans  regardless  of  which  Borrower  receives  the  proceeds  thereof.   All  Borrowers shall be jointly and severally liable as borrowers for all German Revolving  Loans regardless of which  Borrower receives the proceeds thereof.  All Borrowers shall be jointly and severally liable as borrowers for all  European Revolving Loans regardless of which Borrower receives the proceeds thereof.  All U.S. Borrowers shall  be jointly and severally liable as borrowers for all U.S. Revolving Loans and U.S. FILO Loans regardless of which  U.S. Borrower received the proceeds thereof.  No Borrower that is a Foreign Credit Party shall be liable for any U.S.  Revolving Loans or U.S. FILO Loans.          Section 2.02  Loans.          (a)     Each (i) U.S. Revolving Loan (other than Swingline Loans) shall be made as part of a Borrowing  consisting of U.S. Revolving Loans made by the Lenders ratably in accordance with their applicable U.S. Revolving  Commitments,  (ii)  Canadian  Revolving  Loan  shall  be  made  as  part  of  a  Borrowing  consisting  of  Canadian  Revolving  Loans  made  by  the  Lenders  ratably  in  accordance  with  their  applicable  Canadian  Revolving  Commitments, (iii) Canadian FILO Loan shall be made as part of a Borrowing consisting of Canadian FILO Loans  made  by  the  Canadian  FILO  Lenders  ratably  in  accordance  with  their  applicable  Canadian  FILO  Revolving  Commitments, (iv) U.S. FILO Loan shall be made as part of a Borrowing consisting of U.S. FILO Loans made by  the U.S. FILO Lenders ratably in accordance with their applicable U.S. FILO Revolving Commitments, (v) Asian  Revolving Loan shall be made as part of a Borrowing consisting of Asian Revolving Loans made by the relevant  Lenders  ratably  in  accordance  with  their  applicable  Asian  Revolving  Commitments,  (vi)  French  Revolving  Loan  shall be made as part of a Borrowing consisting of French Revolving Loans made by the relevant Lenders ratably in  accordance with their applicable French Revolving Commitments, (vii) German Revolving Loan shall be made as  part of a Borrowing consisting of German Revolving Loans made by the relevant Lenders ratably in accordance with  their applicable German Revolving Commitments, and (viii) European Revolving Loan shall be made as part of a  Borrowing consisting of European Revolving Loans made by the Lenders ratably in accordance with their applicable  European  Revolving  Commitments; provided  that  the  failure  of  any  Lender  to  make  any  Loan  shall  not  in  itself  relieve any other Lender of its obligation to lend hereunder (it being understood, however, that no Lender shall be  responsible for the failure of any other Lender to make any Loan required to be made by such other Lender).  Except  for Loans deemed made pursuant to Section 2.02(f), Loans (other than Swingline Loans) comprising any Borrowing  shall be in an aggregate principal amount that is (i) in the case of Base Rate Loans and Canadian Prime Rate Loans  equal to the amount requested by the applicable Borrower and (ii) in the case of LIBO Rate Loans, CDOR Rate  Loans, or any Loans under the Asian Subfacility, European Subfacility, German Subfacility, or French Subfacility,  (A) an integral multiple of the Dollar Equivalent of $250,000 and not less than the Dollar Equivalent of $1,000,000,  or (B) equal to the remaining available balance of the Revolving Commitments under the applicable Subfacility.          (b)     Subject to Section 3.01, (i) each Borrowing of U.S. Revolving Loans or U.S. FILO Loans shall be  comprised entirely of Base Rate Loans or LIBO Rate Loans, (ii) each Borrowing of Canadian Revolving Loans or  Canadian FILO Loans shall be comprised entirely of Canadian Prime Rate Loans or CDOR Rate Loans or, if in any  Alternative Currency,  LIBO Rate  Loans, (iii) each Borrowing of European Revolving Loans shall be comprised  entirely of LIBO Rate Loans, (iv) each Borrowing of Asian Revolving Loans shall be comprised entirely of HIBOR  Loans,  LIBO  Rate  Loans,  SOR  Loans,  BBSY  Loans  or  CNH  HIBOR  Loans,  (v)  each  Borrowing  of  French  Revolving Loans shall be comprised entirely of LIBO Rate Loans and (vi) each borrowing of German Revolving  Loans  shall  be  comprised  entirely  of  LIBO  Rate  Loans,  in  each  case,  as  the  applicable  Borrower  may  request  pursuant to Section 2.03.  Each Lender may at its option make any LIBO Rate Loan, CDOR Rate Loan, Canadian  Prime Rate Loans, BBSY Loan, SOR Loan, HIBOR Loan or CNH HIBOR Loan by causing any domestic or foreign  branch or Affiliate of such Lender to make such Loan; provided that any exercise of such option shall not affect the  obligation  of  the  Borrowers  to  repay  such  Loan  in  accordance  with  the  terms  of  this  Agreement  or  cause  the                                                 -89- 

 

  Borrowers  to  pay  additional  amounts  pursuant  to  Section 3.01  and provided  further  that  any  such  domestic  or  foreign  branch  or  Affiliate  which  makes  a  Loan  to  a  French  Borrower  must  be  a  French  Authorized  Lender.   Borrowings of more than one Type may be outstanding at the same time; provided further that the Borrowers shall  not  be  entitled  to  request  any  Borrowing  that,  if  made,  would  result  in  more  than  ten  Borrowings  in  the  U.S.  Subfacility,  five  Borrowings  in  the  U.S.  FILO  Subfacility,  five  Borrowings  in  the  Canadian  Subfacility,  five  Borrowings  in  the  Canadian  FILO  Subfacility,  five  Borrowings  in  the  Asian  Subfacility,  five  Borrowings  in  the  European  Subfacility,  five  Borrowings  in  the  French  Subfacility  and  five  Borrowings  in  the  German  Subfacility,  respectively, outstanding hereunder at any one time.  For purposes of the foregoing, Borrowings  having different  Interest Periods, regardless of whether they commence on the same date, shall be considered separate Borrowings.          (c)     Except with respect to Loans made pursuant to Section 2.02(f), each Lender shall make each Loan  (other  than  Swingline  Loans)  to  be  made  by  it  hereunder  on  the  proposed  date  thereof  by  wire  transfer  of  immediately available funds to such account as the Administrative Agent may designate (i) in New York City, in the  case of Loans to a U.S. Borrower not later than 3:00 p.m. New York time, (ii) in Toronto, Ontario, in the case of  Loans to a Canadian Borrower, not later than 3:00 p.m. Toronto time, (iii) in London, in the case of Loans to an Irish  Borrower, French  Borrower or German  Borrower,  and (iv) in  Hong Kong, in the case of  Loans to a Hong  Kong  Borrower, not later than the Applicable Time specified by the Administrative Agent in the case of any Loans to a  Foreign  Borrower,  and  the  Administrative  Agent  shall  promptly  credit  the  amounts  so  received  to  an  account  as  directed  by  the  Applicable  Administrative  Borrower  in  the  applicable  Notice  of  Borrowing  maintained  with  the  Administrative  Agent  or,  if  a  Borrowing  shall  not  occur  on  such  date  because  any  condition  precedent  herein  specified shall not have been met or waived, return the amounts so received to the respective Lenders.          (d)     Unless the Administrative Agent shall have received notice from a Lender prior to the date of any  Borrowing that such Lender will not  make available to the Administrative  Agent  such Lender’s portion of such  Borrowing,  the  Administrative  Agent  may  assume  that  such  Lender  has  made  such  portion  available  to  the  Administrative Agent on the date of such Borrowing in accordance with paragraph (c) above, and the Administrative  Agent  may,  in  reliance  upon  such  assumption,  make  available  to  the  applicable  Borrower  on  such  date  a  corresponding amount.  If the Administrative Agent shall have so made funds available then, to the extent that such  Lender shall not have made such portion available to the Administrative Agent, such Lender and the Lead Borrower  severally agree to repay to the Administrative Agent forthwith on demand such corresponding amount together with  interest thereon, for each day from the date such amount is made available to such Borrower until the date such  amount  is  repaid  to  the  Administrative  Agent  at  (i)  in  the  case  of  the  applicable  Borrowers,  the  interest  rate  applicable at the time to the Loans comprising such Borrowing and (ii) in the case of such Lender, a rate determined  by the Administrative Agent to represent its cost of overnight or short-term funds (which determination shall be  conclusive  absent  manifest  error).   If  such  Lender  shall  repay  to  the  Administrative  Agent  such  corresponding  amount, such amount shall constitute such Lender’s Loan as part of such Borrowing for purposes of this Agreement.          (e)     Notwithstanding any other provision of this Agreement, no Borrower shall be entitled to request,  or to elect to convert or continue, any Borrowing if the Interest Period requested with respect thereto would end after  the Maturity Date.          (f)     If an Issuing Bank shall not have received from the applicable Borrowers the payment required to  be made by Section 2.13(e) within the time specified in such Section, such Issuing Bank will promptly notify the  Administrative Agent of the LC Disbursement and the Administrative Agent will promptly notify each applicable  Lender of such LC Disbursement and its Pro Rata Percentage thereof.  Each such Lender shall pay by wire transfer  of immediately available funds to the Administrative Agent on such date (or, if such Lender shall have received such  notice later than 12:00 (noon), New York City time, on any day, not later than 11:00 a.m., New York City time on  the  immediately  following  Business  Day),  an  amount  equal  to  such  Lender’s  Pro  Rata  Percentage  of  such  LC  Disbursement  (it  being  understood  that  such  amount  shall  be  deemed  to  constitute  a  Base  Rate  Loan  (for  LC  Disbursements  denominated  in  U.S.  Dollars),  a  Canadian  Prime  Rate  Loan  (for  LC  Disbursements  denominated  Canadian Dollars), or a LIBO Rate Loan with an Interest Period of one month (for LC Disbursements denominated  in  any  other  currency)  of  such  Lender,  and  such  payment  shall  be  deemed  to  have  reduced  the  applicable  LC  Exposure), and the Administrative Agent will promptly pay to such Issuing Bank amounts so received by it from the  applicable  Lenders.   The  Administrative  Agent  will  promptly  pay  to  the  applicable  Issuing  Bank  any  amounts  received by it from the applicable Borrower pursuant to Section 2.13(e) prior to the time that any Lender makes any  payment pursuant to this paragraph (f); any such amounts received by the Administrative Agent thereafter will be                                                 -90- 

 

  promptly  remitted  by  the  Administrative  Agent  to  the  Lenders  that  shall  have  made  such  payments  and  to  the  applicable Issuing Bank, as their interests may appear.  If any Lender under the applicable Subfacility shall not have  made its Pro Rata Percentage of such LC Disbursement available to the Administrative Agent as provided above,  such Lender and the applicable Borrowers, severally agree to pay interest on such amount, for each day from and  including the date such amount is required to be paid in accordance with this paragraph (f) to but excluding the date  such amount is paid, to the Administrative Agent for the account of the applicable Issuing Bank at (i) in the case of  the Lead Borrower, a rate per annum equal to the interest rate applicable to Revolving Loans pursuant to Section  2.06, and (ii) in the case of such Lender, at the Base Rate (for U.S. Dollars), the Canadian Prime Rate (for Canadian  Dollars), or the LIBO Rate with an Interest Period of one month for all other currencies.          Section 2.03  Borrowing Procedure.  To request a Revolving Borrowing, the Applicable Administrative  Borrower  shall  notify  the  Administrative  Agent  of  such  request  by  telecopy  or  electronic  transmission  (if  arrangements  for  doing  so  have  been  approved  by  the  Administrative  Agent,  which  approval  shall  not  be  unreasonably  withheld,  conditioned  or  delayed)  or  (other  than  in  the  case  of  requests  in  relation  to  European  Revolving  Loans,  French  Revolving  Loans  or  German  Revolving  Loans)  telephone  (promptly  confirmed  by  telecopy or electronic transmission) (i) in the case of a Borrowing of LIBO Rate Loans under the U.S. Subfacility or  U.S. FILO Subfacility, not later than 1:00 p.m., New York City time, three Business Days (or such later date as the  Administrative  Agent  may  agree) before the date of  the proposed Borrowing  to  the  Administrative  Agent’s New  York office, (ii) in the case of a Borrowing of CDOR Rate Loans under the Canadian Subfacility or Canadian FILO  Subfacility,  not  later  than  1:00  p.m.,  Toronto  time,  four  Business  Days  (or  such  later  date  as  the  Administrative  Agent may agree) before the date of the proposed Borrowing to the Administrative Agent’s Toronto office, (iii) in  the case of a Borrowing of BBSY Loans under the Asian Subfacility, not later than 1:00 p.m., Hong Kong time, four  Business Days (or such later date as the Administrative Agent may agree) before the date of the proposed Borrowing  to the Administrative Agent’s Hong Kong office, (iv) in the case of a Borrowing of SOR Loans under the Asian  Subfacility, not later than 1:00 p.m., Singapore time, four Business Days (or such later date as the Administrative  Agent may agree) before the date of the proposed Borrowing to the Administrative Agent’s Hong Kong office, (v) in  the case of a Borrowing of LIBO Rate Loans under any Foreign Subfacility, not later than 11:00 a.m., New York  City time, four Business Days (or such later date as the Administrative Agent may agree) before the date of the  proposed Borrowing to the Administrative Agent’s New York office, (vi) in the case of a Borrowing of Base Rate  Loans  (other  than  Swingline  Loans)  under  the  U.S.  Subfacility  or  the  U.S.  FILO  Subfacility,  not  later  than  1:00 p.m., New York City time, on the Business Day of the proposed Borrowing to the Administrative Agent’s New  York office, (vii) in the case of a Borrowing of HIBOR Loans under the Asian Subfacility, not later than 11:00 a.m.,  Hong Kong time, four Business Days (or such later date as the Administrative Agent may agree) before the date of  the  proposed  Borrowing  to  the  Administrative  Agent’s  Hong  Kong  office,  (viii)  in  the  case  of  a  Borrowing  of  Canadian Prime Rate Loans under the Canadian Subfacility or Canadian FILO Subfacility, not later than 11:00 a.m.,  Toronto time, on the Business Day of the proposed Borrowing to the Administrative Agent’s Toronto office and (ix)  in the case of a Borrowing of CNH HIBOR Loans under the Asian Subfacility, not later than 1:00 p.m., Singapore  time, five Business Days (or such later date as the Administrative Agent may agree) before the date of the proposed  Borrowing to the Administrative Agent’s Hong Kong office.  Each such telephonic Notice of Borrowing shall be  irrevocable, subject to Sections 2.09 and 3.01, and shall be confirmed promptly by hand delivery or telecopy to the  Administrative Agent of a written Notice of Borrowing in a form approved by the Administrative Agent and signed  by the Lead Borrower (or confirmed promptly by electronic transmission (if arrangements for doing so have been  approved  by  the  Administrative  Agent,  which  approval  shall  not  be  unreasonably  withheld,  conditioned  or  delayed)).   Each  such  telephonic  and  written  Notice  of  Borrowing  shall  specify  the  following  information  in  compliance with Section 2.02:                  (a)    the name of the Borrower;                  (b)    the aggregate amount of such Borrowing;                  (c)    the date of such Borrowing, which shall be a Business Day;                  (d)    whether such Borrowing is to be a Borrowing of Base Rate Loans, a Borrowing of LIBO         Rate Loans, a Borrowing of Canadian Prime Rate Loans, a Borrowing of CDOR Rate Loans, a Borrowing         of CNH HIBOR Loans, a Borrowing of HIBOR Loans, a Borrowing of SOR Loans, or a Borrowing of         BBSY Loans;                                                 -91- 

 

                 (e)    in the case of a Borrowing of LIBO Rate Loans, CDOR Rate Loans, BBSY Loans, SOR         Loans,  CNH  HIBOR  Loans  or  HIBOR  Loans,  the  initial  Interest  Period  to  be  applicable  thereto,  which         shall be a period contemplated by the definition of the term “Interest Period”;                  (f)    the location and number of the account to which funds are to be disbursed, which shall         comply with the requirements of Section 2.02;                  (g)    the Subfacility under which the Loans are to be borrowed;                  (h)    the currency of the Borrowing;                   (i)    the amount of Eligible Cash as of the close of business on the Business Day prior to the         date of such notice and the remaining Global Availability after adjusting for the proposed Borrowing; and                  (j)    that the conditions set forth in Article 6 or Article 7, as applicable, are satisfied or waived         as of the date of the notice.          If no election as to the Type of Borrowing is specified, then the requested Borrowing shall be a Borrowing  of  Base  Rate  Loans  (for  Borrowings  in  U.S.  Dollars  under  the  U.S.  Subfacility  or  the  U.S.  FILO  Subfacility),  Canadian Prime Rate Loans (for Borrowings in Canadian Dollars) and LIBO Rate Loans with an Interest Period of  one month (for Borrowings in U.S. Dollars under any Foreign Subfacility and any other currency).  If no Interest  Period  is  specified  with  respect  to  any  requested  Borrowing  of  LIBO  Rate  Loans,  CDOR  Rate  Loans,  HIBOR  Loans, BBSY Loans or SOR Loans then the Applicable Administrative Borrower shall be deemed to have selected  an Interest Period of one month’s duration.  If no currency is specified, then the requested Borrowing shall be made  in  U.S.  Dollars.   Promptly  following  receipt  of  a  Notice  of  Borrowing  in  accordance  with  this  Section  2.03,  the  Administrative Agent shall advise each Lender of the details thereof and of the amount of such Lender’s Loan to be  made as part of the requested Borrowing.          This Section 2.03 shall not apply to Swingline Loans, the borrowing of which shall be in accordance with  Section 2.12.          Section 2.04  Evidence of Debt; Repayment of Loans.          (a)     Each  U.S.  Borrower,  jointly  and  severally,  hereby  unconditionally  promises  to  pay  (i)  to  the  Administrative  Agent  (A)  for  the  account  of  each  Lender  under  the  U.S.  Subfacility,  the  then  unpaid  principal  amount  of  each  U.S.  Revolving  Loan  of  such  Lender,  and  (B)  for  the  account  of  each  U.S.  FILO  Lender,  if  applicable,  the then  unpaid  principal amount  of each U.S. FILO  Loan of  such  U.S.  FILO  Lender,  and (ii) to the  Swingline Lender the then unpaid principal amount of each applicable Swingline Loan, on the Maturity Date.  Each  Borrower,  jointly  and  severally,  hereby  unconditionally  promises  to  pay  to  the  Administrative  Agent  (A)  for  the  account  of  each  Lender  under  the  Canadian  Subfacility,  the  then  unpaid  principal  amount  of  each  Canadian  Revolving  Loan  of  such  Lender  and  (B)  for  the  account  of  each  Canadian  FILO  Lender,  if  applicable,  the  then  unpaid principal amount of each Canadian FILO Loan of such Canadian FILO Lender, on the Maturity Date.  Each  Borrower, jointly and severally, hereby unconditionally promises to pay to the Administrative Agent for the account  of each Lender under the Asian Subfacility, the then unpaid principal amount of each Asian Revolving Loan of such  Lender, on the Maturity Date. Each Borrower, jointly and severally, hereby unconditionally promises to pay to the  Administrative  Agent  for  the  account  of  each  Lender  providing  any  French  Revolving  Loans,  the  then  unpaid  principal amount of each French Revolving Loan of such Lender, on the Maturity Date.  Each Borrower, jointly and  severally,  hereby  unconditionally  promises  to  pay  to  the  Administrative  Agent  for  the  account  of  each  Lender  providing any German Revolving Loans, the then unpaid principal amount of each German Revolving Loan of such  Lender, on the Maturity Date.  Each Borrower, jointly and severally, hereby unconditionally promises to pay to the  Administrative  Agent  for  the  account  of  each  Lender  under  the  European  Subfacility,  the  then  unpaid  principal  amount of each European Revolving Loan of such Lender, on the Maturity Date.          (b)     Each  Lender  shall  maintain  in  accordance  with  its  usual  practice  an  account  or  accounts  evidencing the indebtedness of the Borrowers to such Lender resulting from each Loan made by such Lender from                                                  -92- 

 

  time to time,  including the amounts of principal and  interest  payable and  paid  to  such  Lender from time to time  under this Agreement.  The Applicable Administrative Borrower shall be entitled to review records of such accounts  with prior reasonable notice during normal business hours.          (c)     The Administrative Agent shall maintain accounts in which it will record (i) the amount of each  Loan made hereunder, the Class and Type thereof, the currency thereof and the Interest Period applicable thereto;  (ii) the amount of any principal or interest due and payable or to become due and payable from the Borrowers to  each Lender hereunder; and (iii) the amount of any sum received by the Administrative Agent hereunder for the  account of the Lenders and each Lender’s share thereof.  Each Lender shall maintain in accordance with its usual  practice  an  account  or  accounts  evidencing  the  indebtedness  of  the  Borrowers  to  such  Lender.   The  Applicable  Administrative Borrower shall be entitled  to review records  of such  accounts  with prior reasonable notice during  normal business hours.          (d)     The  entries  made  in  the  accounts  maintained  pursuant  to  paragraphs  (b)  and  (c)  above  shall  be  prima  facie  evidence  of  the  existence  and  amounts  of  the  obligations  therein  recorded  absent  manifest  error;  provided that the failure of any Lender or the Administrative Agent to maintain such accounts or any error therein  shall not in any manner affect the obligations of the Borrowers to repay the Loans in accordance with their terms.          (e)     Any Lender under the U.S. Subfacility, the U.S. FILO Subfacility, the Canadian Subfacility or the  Canadian FILO Subfacility may request that Loans made by it under such Subfacility be evidenced by a promissory  note.   In  such  event,  the  applicable  Borrower  shall  promptly  prepare,  execute  and  deliver  to  such  Lender  a  promissory note payable to such Lender (or, if requested by such Lender, to such Lender and its registered assigns)  substantially in the form of Exhibit B-1 or Exhibit B-2, as applicable.          Section 2.05  Fees.          (a)     Unused  Line  Fee.   With respect to each  Subfacility, the applicable Borrowers  shall,  jointly and  severally,  pay  to  the  Administrative  Agent,  for  the pro  rata  benefit  of  the  Lenders  (other  than  any  Defaulting  Lender), under each Subfacility, a fee in U.S. Dollars equal to the Unused Line Fee Rate multiplied by the amount  by  which  the  Revolving  Commitments  (other  than  Revolving  Commitments  of  a  Defaulting  Lender)  under  such  Subfacility exceed the average daily balance of outstanding Revolving Loans (other than Swingline Loans) under  such Subfacility and stated amount of outstanding Letters of Credit under such Subfacility during any fiscal quarter  (such fee, the “Unused Line Fee”).  Such fee shall accrue commencing on the Closing Date, and will be payable in  arrears, on the first Business Day of each fiscal quarter, commencing on or about April 1, 2017.          (b)     Administrative  Agent  Fees.   The  Borrowers,  jointly  and  severally,  agree  to  pay  to  the  Administrative  Agent,  for  its  own  account,  the  fees  set  forth  in  the  Fee  Letter  or  such  other  fees  payable  in  the  amounts  and  at  the  times  separately  agreed  upon  between  the  Lead  Borrower  and  the  Administrative  Agent  (the  “Administrative Agent Fees”).          (c)     LC  and  Fronting  Fees.   With  respect  to  each  Subfacility,  the  applicable  Borrowers,  jointly  and  severally,  agree  to  pay  (i)  to  the  Administrative  Agent  for  the  account  of  each  Lender  a  participation  fee  (“LC  Participation Fee”) in U.S. Dollars with respect to its participations in Letters of Credit, which shall accrue at a rate  equal to the Applicable Margin from time to time used to determine the interest rate on LIBO Rate Loans that are  not FILO Loans pursuant to Section 2.06, on the average daily amount of such Lender’s LC Exposure (excluding  any  portion  thereof  attributable  to  unreimbursed  LC  Disbursements)  during  the  period  from  and  including  the  Closing Date to but excluding the later of the date on which such Lender’s Revolving Commitment terminates and  the  date  on  which  such  Lender  ceases  to  have  any  LC  Exposure,  and  (ii) to  each  Issuing  Bank  a  fronting  fee  (“Fronting  Fee”),  which  shall  accrue  at  the  rate  of  0.125%  per  annum  on  the  average  daily  amount  of  the  LC  Exposure (excluding  any portion thereof  attributable to unreimbursed  LC  Disbursements) during  the period from  and including the Closing Date to but excluding the later of the date of termination of the Revolving Commitments  and the date on which there ceases to be any LC Exposure, as well as each Issuing Bank’s standard and reasonable  fees with respect to the issuance, amendment, renewal or extension of any Letter of Credit or processing of drawings  thereunder as agreed among the Lead Borrower and such Issuing Bank from time to time.  LC Participation Fees and  Fronting Fees accrued to but excluding the last day of March, June, September and December of each year shall be  payable on the third Business Day following  such last  day, commencing on  the first such date  to occur after the                                                 -93- 

 

  Closing  Date; provided  that  all  such  fees  shall  be  payable  on  the  date  on  which  the  Revolving  Commitments  terminate and any such fees accruing after the date on which the Revolving Commitments terminate shall be payable  on demand (including documentation reasonably supporting such request).  Any other fees payable to the Issuing  Banks  pursuant  to  this  paragraph  shall  be  payable  within  10  days  after  written  demand  (together  with  backup  documentation  supporting  such  reimbursement  request).   All  LC  Participation  Fees  and  Fronting  Fees  shall  be  computed on the basis of a year of 360 days and shall be payable for the actual number of days elapsed (including  the first day but excluding the last day).          (d)     All  fees  shall  be  paid  on  the  dates  due,  in  immediately  available  funds,  to  the  Administrative  Agent  for distribution, if  and as appropriate,  among the  Lenders  (other than Defaulting Lenders),  except  that  the  Fronting Fees shall be paid directly to each Issuing Bank.  Once paid, none of the fees shall be refundable under any  circumstances.          Section 2.06   Interest on Loans.          (a)     U.S. Subfacility and U.S. FILO Subfacility.  (i)  Subject to the provisions of Section 2.06(g), the  Loans  comprising  each  Borrowing  under  the  U.S.  Subfacility  or  the  U.S.  FILO  Subfacility  of  Base  Rate  Loans,  including each Swingline Loan, shall bear interest at a rate per annum equal to the Base Rate plus the Applicable  Margin in effect from time to time.          (ii)   Subject to the provisions of Section 2.06(g), the Loans comprising each Borrowing under the U.S.  Subfacility or the U.S. FILO Subfacility of LIBO Rate Loans shall bear interest at a rate per annum equal to the  LIBO Rate for the Interest Period in effect for such Borrowing plus the Applicable Margin in effect from time to  time.          (b)     Canadian Subfacility and Canadian FILO Subfacility.  (i)  Subject to the provisions of Section  2.06(g), the Loans comprising each Borrowing under the Canadian Subfacility or the Canadian FILO Subfacility of  Canadian  Prime  Rate  Loans  shall  bear  interest  at  a  rate  per  annum  equal  to  the  Canadian  Prime  Rate  plus the  Applicable Margin in effect from time to time.          (ii)   Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing  under  the  Canadian Subfacility or the Canadian FILO Subfacility of CDOR Rate Loans shall bear interest at a rate per annum  equal to the CDOR Rate for the Interest Period in effect for such Borrowing plus the Applicable Margin in effect  from time to time.          (iii)  Subject  to  the  provisions  of  Section 2.06(g),  the  Loans  comprising  each  Borrowing  under  the  Canadian Subfacility or the Canadian FILO Subfacility of LIBO Rate Loans shall bear interest at a rate per annum  equal to the LIBO Rate for the Interest Period in effect  for such Borrowing plus the  Applicable Margin in effect  from time to time.           (c)     Asian Subfacility.   (i)  Subject to  the provisions  of Section 2.06(g), the  Loans comprising each  Borrowing under the Asian Subfacility of CNH HIBOR Loans shall bear interest at a rate per annum equal to the  CNH HIBOR Rate plus the Applicable Margin in effect from time to time.          (ii)   Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing  under  the  Asian Subfacility of HIBOR Loans shall bear interest at a rate per annum equal to the HIBOR Rate for the Interest  Period in effect for such Borrowing plus the Applicable Margin in effect from time to time.          (iii)  Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing  under  the  Asian Subfacility of SOR Loans shall bear interest at a rate per annum equal to the SOR  Rate plus the Applicable  Margin in effect from time to time.          (iv)   Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing  under  the  Asian Subfacility of  LIBO Rate Loans  shall bear interest  at a rate per annum equal to the  LIBO Rate plus the  Applicable Margin in effect from time to time.                                                  -94- 

 

          (v)   Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing  under  the  Asian Subfacility of BBSY Loans shall bear interest at a rate per annum equal to the BBSY Rate plus the Applicable  Margin in effect from time to time.          (d)     European  Subfacility.   Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing under the European Subfacility of LIBO Rate Loans shall bear interest at a rate per annum equal to the  LIBO Rate plus the Applicable Margin in effect from time to time.          (e)     French  Subfacility.   Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing  under the French  Subfacility  of  LIBO Rate  Loans shall  bear interest  at a rate per annum  equal to the  LIBO Rate plus the Applicable Margin in effect from time to time.          (f)     German  Subfacility.   Subject  to  the  provisions  of  Section  2.06(g),  the  Loans  comprising  each  Borrowing under the German Subfacility of LIBO Rate Loans shall bear interest at a rate per annum equal to the  LIBO Rate plus the Applicable Margin in effect from time to time.          (g)     Notwithstanding the foregoing, if any principal of or interest on any Loan or any fees or other  amount payable by the Borrowers hereunder is not paid when due, whether at stated maturity, upon acceleration or  otherwise, such overdue amount shall bear interest, after as well as before judgment, at a rate per annum equal to (i)  in the case of overdue principal of, or interest on, any Loan, 2% plus the rate otherwise applicable to such Loan or  (ii) in the case of any other amount, 2% plus the rate applicable to Base Rate Loans.          (h)     Accrued interest on each Loan shall be payable (i) in the case of Base Rate Loans or Canadian  Prime Rate Loans on each Adjustment Date, commencing with April 1, 2017, in arrears for such Base Rate Loans or  Canadian Prime Rate Loans, (ii) in the case of LIBO Rate Loans, CDOR Rate Loans, SOR Loans, BBSY Loans,  CNH HIBOR Loans or HIBOR Loans, at the end of the current Interest Period therefor and, in the case of an Interest  Period in excess of three months, on each date occurring at three-month intervals after the first day of such Interest  Period and (iii) in the case of all Revolving Loans, upon termination of the Revolving Commitments; provided that  (x) interest accrued pursuant to paragraph (g) of this Section 2.06 shall be payable on demand and, absent demand,  on  each  Adjustment  Date,  at  the  end  of  the  current  Interest  Period  and  upon  termination  of  the  Revolving  Commitments, as applicable, (y) in the event of any repayment or prepayment of any Loan (other than a prepayment  of a Base Rate Loan prior to the end of the Revolving Availability Period), accrued interest on the principal amount  repaid  or  prepaid  shall  be  payable  on  the  date  of  such  repayment  or  prepayment  and  (z)  in  the  event  of  any  conversion of any LIBO Rate Loan, CDOR Rate Loan, SOR Loan, BBSY Loan, CNH HIBOR Loan or HIBOR  Loan prior to the end of the current Interest Period therefor, accrued interest on such Loan shall be payable on the  effective date of such conversion.          (i)     All interest hereunder shall be computed on the basis of a year of 365/366 days, or 365 days for  Loans  denominated in Canadian Dollars, Pounds Sterling, AU$, SGD or HKD except that interest computed by  reference to the LIBO Rate denominated in U.S. Dollar, Euro and CNH (other than Base Rate Loans determined by  reference to the LIBO Rate) and all fees shall be computed on the basis of a year of 360 days, and in each case shall  be payable for the actual number of days elapsed (including the first day but excluding the last day).  The applicable  Base Rate or LIBO Rate shall be determined by the Administrative Agent in accordance with the provisions of this  Agreement and such determination shall be conclusive absent manifest error.          (j)     For purposes of the Interest Act (Canada), (i) whenever any interest or fee under this Agreement is  calculated using a rate based on a year of 360 or 365 days or any other period of time that is less than a calendar  year, the rate determined pursuant to such calculation, when expressed as an annual rate, is equivalent to (x) the  applicable rate based on the number of days in the calendar year, (y) multiplied by the actual number of days in the  calendar year in which the period for which such interest is payable (or compounded) ends, and (z) divided by 360,  365 or such other period of time that is less than the calendar year, as the case may be, (ii) the principle of deemed  reinvestment of interest does not apply to any interest calculation under this Agreement, and (iii) the rates of interest  stipulated in this Agreement are intended to be nominal rates and not effective rates or yields.          (k)     If any provision of this Agreement or of any of the other Credit Documents would obligate any  Credit Party to make any payment of interest or other amount payable to the Lenders in an amount or calculated at a                                                 -95- 

 

  rate which would be prohibited by law or would result in a receipt by the Lenders of interest at a criminal rate (as  such terms are construed under the Criminal Code (Canada)) then, notwithstanding such provisions, such amount or  rate shall be deemed to have been adjusted with retroactive effect to the maximum amount or rate of interest, as the  case may be, as would not be so prohibited by law or so result in a receipt by the Lenders of interest at a criminal  rate, such adjustment to be effected, to the extent necessary, as follows: (1) firstly, by reducing the amount or rate of  interest  required  to  be  paid  to  the  Lenders  under  this  Section  2.06,  and  (2)  thereafter,  by  reducing  any  fees,  commissions, premiums and other amounts required to be paid to the Lenders which would constitute “interest” for  purposes of Section 347 of the Criminal Code (Canada).  Notwithstanding the foregoing, and after giving effect to  all  adjustments  contemplated  thereby,  if  the  Lenders  shall  have  received  an  amount  in  excess  of  the  maximum  permitted by that section of the Criminal Code (Canada), the Canadian Credit Parties shall be entitled, by notice in  writing to the Administrative Agent, to obtain reimbursement from the Lenders in an amount equal to such excess  and,  pending  such  reimbursement,  such  amount  shall  be  deemed  to  be  an  amount  payable  by  the  Lenders  to  the  applicable  Canadian  Credit  Parties.   Any  amount  or  rate  of  interest  referred  to  in  this  Section  2.06   shall  be  determined in accordance with generally accepted actuarial practices and principles as an effective annual rate of  interest  over  the  term  that  the  applicable  Loan  remains  outstanding  on  the  assumption  that  any  charges,  fees  or  expenses that fall within the meaning of “interest” (as defined in the Criminal Code (Canada)) shall, if they relate to  a specific period of time, be pro-rated over that period of time and otherwise be pro-rated over the period from the  Closing Date to the Maturity Date and, in the event of a dispute, a certificate of a Fellow of the Canadian Institute of  Actuaries appointed by the Administrative Agent shall be conclusive for the purposes of such determination.          (l)     French  Revolving  Loans;  Effective  Global  Rate  (Taux  Effectif  Global).  All  Credit  Parties  acknowledge that, by virtue of certain characteristics of this Agreement (in particular the floating rates of interest  and the adjustment of the Applicable Margin applicable to the Loans, the relevant French Borrower’s right to select  the duration of each Interest Period and the uncertainty as to the amount to be effectively drawn from time to time  under the Loans), for the purpose of articles L.314-1 to L.314-5 of the French Consumer Code, article R.314-1 et  seq. of the French Consumer Code and article L.313-4 of the French Monetary and Financial Code, the taux effectif  global (the “TEG”) shall be required to be calculated based on assumptions as to the period rate (taux de période)  and the period term (durée  de  période) and on the assumption that the interest rate and all other fees, costs or  expenses  payable  under  this  Agreement  will  be  maintained  at  their  original  level  throughout  the  term  of  this  Agreement. The calculation of the TEG shall be set out in a TEG letter (the “TEG Letter”) which will be delivered  by the Administrative Agent to each French Borrower on the date of the first utilization of a French Revolving Loan  on or after the Eurasian Effectiveness Date and from time to time as required by applicable law, and each TEG  Letter will form an integral part of this Agreement.          Section 2.07  Termination and Reduction of Commitments.          (a)     The  Revolving  Commitments,  the  Swingline  Commitment,  and  the  LC  Commitment  shall  automatically terminate on the Maturity Date.          (b)     The  Lead  Borrower  may  at  any  time  terminate,  or  from  time  to  time  reduce,  the  Revolving  Commitments of any Class; provided that (i) any such reduction shall be in an amount that is (x) an integral multiple  of  $1,000,000  or  (y)  the  entire  remaining  Revolving  Commitments  of  such  Class  and  (ii)  the  Revolving  Commitments  under  any  Subfacility  shall  not  be  terminated  or  reduced  if  after  giving  effect  to  any  concurrent  prepayment  of  the  Revolving  Loans  under  such  Subfacility  in  accordance  with  Section 2.09,  the  Revolving  Exposures  under  such  Subfacility  would  exceed  the  Commitments  under  such  Subfacility.   The  U.S.  FILO  Revolving  Commitments  or  Canadian  FILO  Revolving  Commitments  may  not  be  reduced  unless  all  Revolving  Loans under the U.S. Subfacility, or the Canadian Subfacility, respectively, have been previously or are concurrently  repaid in full.          (c)     The Lead Borrower shall notify the Administrative Agent of any election to terminate or reduce  the Revolving Commitments of any Subfacility under paragraph (b) of this Section 2.07 at least three Business Days  (or  such  shorter  period  to  which  the  Administrative  Agent  may  consent)  prior  to  the  effective  date  of  such  termination or reduction, specifying such election and the effective date thereof.  Promptly following receipt of any  notice, the Administrative Agent shall advise the relevant Lenders of the contents thereof.  Each notice delivered by  the  Lead  Borrower  pursuant  to  this  Section  2.07  shall  be  irrevocable  except  that,  to  the  extent  delivered  in  connection with a refinancing of the applicable Obligations or other contingent transaction, such notice shall not be                                                 -96- 

 

  irrevocable until such refinancing is closed and funded or such other contingent transaction has been consummated.   Any  effectuated  termination  or  reduction  of  the  Revolving  Commitments  of  any  Subfacility  shall  be  permanent.   Each reduction of the Revolving Commitments of any Subfacility shall be made ratably among the relevant Lenders  in accordance with their respective Revolving Commitments.          Section 2.08  Interest Elections.          (a)     Each  Revolving  Borrowing  initially  shall  be  of  the  Type  specified  in  the  applicable  Notice  of  Borrowing and, in  the case of a Borrowing of  LIBO Rate Loans, CDOR Rate Loans, SOR Loans, BBSY Loans,  CNH HIBOR Loans or HIBOR Loans, shall have an initial Interest Period as specified in such Notice of Borrowing.   Thereafter, the Applicable Administrative Borrower may elect to convert such Borrowing to a different Type or to  continue such Borrowing and, in the case of a Borrowing  of  LIBO Rate Loans,  CDOR Rate Loans, SOR  Loans,  BBSY Loans, CNH HIBOR Loans or HIBOR Loans, may elect Interest Periods therefor, all as provided in this  Section  2.08, provided  always  that  no  LIBO  Rate  Loan  to  an  Irish  Borrower,  a  French  Borrower  or  a  German  Borrower  or  a  Hong  Kong  Borrower  may  be  converted.   The  Applicable  Administrative  Borrower  may  elect  different options with respect to different portions of the affected Borrowing, in which case each such portion shall  be allocated ratably among the Lenders holding the Loans comprising such Borrowing, and the Loans comprising  each  such  portion  shall  be  considered  a  separate  Borrowing.   Notwithstanding  anything  to  the  contrary,  the  Borrowers shall not be entitled to request any conversion or continuation that, if made, would result in more than ten  Borrowings in the U.S. Subfacility, five Borrowings in the U.S. FILO Subfacility, five Borrowings in the Canadian  Subfacility,  five  Borrowings  in  the  Canadian  FILO  Subfacility,  five  Borrowings  in  the  Asian  Subfacility,  five  Borrowings  in  the  European  Subfacility,  five  Borrowings  in  the  French  Subfacility  and  five  Borrowings  in  the  German Subfacility outstanding hereunder at any one time.  This Section 2.08 shall not apply to Swingline Loans,  which may not be converted or continued or to any LIBO Rate Loan to an Irish Borrower, a French Borrower, a  German Borrower or a Hong Kong Borrower, which may not be converted.          (b)     To make an election pursuant to this Section 2.08, the Applicable Administrative Borrower shall  notify the Administrative Agent of such election by telephone (other than in relation to a European Revolving Loan,  French Revolving Loan or German Revolving Loan) or electronic transmission (if arrangements for doing so have  been  approved  by  the  Administrative  Agent,  which  approval  shall  not  be  unreasonably  withheld,  delayed  or  conditioned)  by  the  time  that  a  Notice  of  Borrowing  would  be  required  under  Section  2.03  if  such  Applicable  Administrative  Borrower  was  requesting  a  Revolving  Borrowing  of  the  Type  resulting  from  such  election  to  be  made  on  the  effective  date  of  such  election,  subject  to  Section  3.05.   Each  such  telephonic  Notice  of  Conversion/Continuation shall be confirmed promptly by hand delivery or telecopy to the Administrative Agent of a  written Notice of Conversion/Continuation substantially in the form of Exhibit A-3, unless otherwise agreed to by  the Administrative Agent and the Applicable Administrative Borrower.           (c)     Each  telephonic  and  written  Notice  of  Conversion/Continuation  shall  specify  the  following  information in compliance with Section 2.02:                   (i)   the Borrowing to which such Notice of Conversion/Continuation applies and, if different         options are being elected with respect to different portions thereof, the portions thereof to be allocated to         each resulting Borrowing (in which case the information to be specified pursuant to clauses (iii) and (iv)         below shall be specified for each resulting Borrowing);                  (ii)   the  effective  date  of  the  election  made  pursuant  to  such  Notice  of         Conversion/Continuation, which shall be a Business Day;                 (iii)   whether the resulting Borrowing is to be a Borrowing of Base Rate Loans, a Borrowing         of LIBO Rate Loans, a Borrowing of Canadian Prime Rate Loans, a Borrowing of CDOR Rate Loans, a         Borrowing  of  CNH  HIBOR  Loans,  a  Borrowing  of  SOR  Loans,  a  Borrowing  of  BBSY  Loans,  or  a         Borrowing of HIBOR Loans;                   (iv)   the currency of the resulting Borrowing; and                                                  -97- 

 

                 (v)    if the resulting Borrowing is a Borrowing of LIBO Rate Loans, CDOR Rate Loans, SOR         Loans, BBSY Loans, CNH HIBOR Loans or HIBOR Loans, the Interest Period to be applicable thereto         after  giving  effect  to  such  election,  which  shall  be  a  period  contemplated  by  the  definition  of  the  term         “Interest Period.”          If  any  such  Notice  of  Conversion/Continuation  requests  a  Borrowing  of  LIBO  Rate  Loans,  CDOR  Rate  Loans, SOR  Loans, BBSY Loans, CNH HIBOR Loans or HIBOR Loans but does not specify an Interest Period,  then the Applicable Administrative Borrower shall be deemed to have selected an Interest Period of one month’s  duration.  No Borrowing may be converted into or continued as a Borrowing denominated in a different currency,  but instead must be prepaid in the original currency of such Borrowing and reborrowed in the other currency.          (d)     Promptly  following  receipt  of  a  Notice  of  Conversion/Continuation,  the  Administrative  Agent  shall advise each Lender of the details thereof and of such Lender’s portion of each resulting Borrowing.          (e)     If  a  Notice  of  Conversion/Continuation  with  respect  to  a  Borrowing  of  LIBO  Rate  Loans  denominated in U.S. Dollars under the U.S. Subfacility or the U.S. FILO Subfacility is not timely delivered prior to  the end of the Interest Period applicable thereto, then, unless such Borrowing is repaid as provided herein, at the end  of such Interest Period such  Borrowing shall be converted to a Borrowing  of Base  Rate Loans.  If a Notice of  Conversion/Continuation with respect to a Borrowing of CDOR Rate Loans is not timely delivered prior to the end  of the Interest Period applicable thereto, then, unless such Borrowing is repaid as provided herein, at the end of such  Interest  Period  such  Borrowing shall be converted to a Borrowing of  Canadian Prime Rate Loans.  If a Notice of  Conversion/Continuation with respect to a Borrowing under the Asian Subfacility, European Subfacility, German  Subfacility or French Subfacility is not timely delivered prior to the end of the Interest Period applicable thereto,  then, unless such Borrowing is repaid as provided herein, at the end of such Interest Period such Borrowing shall be  converted to a Borrowing with an Interest Period of one month.  Notwithstanding any contrary provision hereof, if  an  Event  of Default  has occurred  and is continuing and the Administrative  Agent, at  the request  of the Required  Lenders,  so  notifies  the  Lead  Borrower,  then,  after  the  occurrence  and  during  the  continuance  of  such  Event  of  Default  (i)  no  outstanding  Borrowing  under  the  U.S.  Subfacility,  the  U.S.  FILO  Subfacility,  the  Canadian  Subfacility or the Canadian FILO Subfacility may be converted to or continued as a Borrowing of LIBO Rate Loans  or CDOR Rate Loans and (ii) unless repaid, each Borrowing of LIBO Rate Loans, CDOR Rate Loans, SOR Loans,  BBSY  Loans,  CNH  HIBOR  Loans  and  HIBOR  Loans  shall  be  converted  to  a  Borrowing  of  Base  Rate  Loans,  Canadian Prime Rate Loans, LIBO Rate Loans, SOR Loans, BBSY Loans, CNH HIBOR Loans or HIBOR Loans  with an Interest Period of one month, respectively, at the end of the Interest Period applicable thereto.          Section 2.09  Optional and Mandatory Prepayments of Loans.          (a)     Optional Prepayments.  The Borrowers shall have the right at any time and from time to time to  prepay, without premium or penalty, any Borrowing (provided that no Canadian FILO Loan or U.S. FILO Loan may  be  prepaid  unless,  prior  to  or  simultaneously  with  such  prepayment,  all  Revolving  Loans  outstanding  under  the  Canadian  Subfacility  or  the  U.S.  Subfacility,  respectively,  are  repaid  in  full),  in  whole  or  in  part,  subject  to  the  requirements of this Section 2.09; provided that each partial prepayment shall be in an amount that is an integral  multiple of $100,000.          (b)     Revolving Loan Prepayments.           (i)   In  the  event  of  the  termination  of  all  the  Revolving  Commitments  of  any  Subfacility,  the  applicable  Borrowers  shall,  on  the  date  of  such  termination,  repay  or  prepay  all  the  outstanding  Revolving  Borrowings  of  such  Subfacility  and  all  outstanding  Swingline  Loans  in  the  case  of  any  termination  of  the  U.S.  Subfacility and Cash Collateralize or backstop on terms reasonably satisfactory to the Administrative Agent the LC  Exposure in respect of such Subfacility in accordance with Section 2.13(j).          (ii)   In the event of any partial reduction of the Revolving Commitments under any Subfacility, then  (A) at or prior to the effective date of such reduction, the Administrative Agent shall notify the Lead Borrower and  the  Lenders  of  the  Aggregate  Exposures  after  giving  effect  thereto  and  (B) if  (1)  the  U.S.  Revolving  Exposures  would exceed the U.S. Line Cap then in effect (it being understood that for this purpose, the U.S. Borrowing Base  shall deduct any Canadian Revolving Exposures borrowed in reliance on clause (d) of the definition of “Canadian                                                 -98- 

 

  Borrowing Base”, European Revolving Exposures borrowed in reliance on clause (d) of the definition of “European  Borrowing  Base”,  Asian  Revolving  Exposures  borrowed  in  reliance  on  clause  (d)  of  the  definition  of  “Asian  Borrowing  Base”,  French  Revolving  Exposures  borrowed  in  reliance  on  clause  (b)  of  the  definition  of  “French  Borrowing Base” and German Revolving Exposures borrowed in reliance on clause (c) of the definition of “German  Borrowing Base”), after giving effect to such reduction, then the U.S. Borrowers shall, on the date of such reduction  (or, if such excess is due to the imposition of new Reserves, a change in the methodology of calculating existing  Reserves,  a  change  in  eligibility  standards  or  the  occurrence  of  a  Revaluation  Date,  within  five  Business  Days  following such notice), first, repay or prepay Swingline Loans, second, repay or prepay U.S. Revolving Borrowings  and third, replace or Cash Collateralize outstanding Letters of Credit in accordance with the procedures set forth in  Section 2.13(j), in an amount sufficient to eliminate such excess, (2) the Canadian Revolving Exposures exceed the  Canadian Line Cap then in effect, after giving effect to such reduction, then the Canadian Borrowers shall, on the  date of such reduction (or, if such excess is due to the imposition of new Reserves, a change in the methodology of  calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation Date, within five  Business Days following such notice), repay or prepay Canadian Revolving Borrowings in an amount sufficient to  eliminate such excess, (3) the U.S. FILO Revolving Exposures at any time exceed the U.S. FILO Line Cap then in  effect, such excess shall be deemed drawn under the U.S. Subfacility pursuant to the U.S. Borrowing Base then in  effect, and if the result causes the U.S. Revolving Exposures to exceed the U.S. Line Cap then in effect (it being  understood  that  for  this  purpose,  the  U.S.  Borrowing  Base  shall  deduct  any  Canadian  Revolving  Exposures  borrowed in reliance on clause (d) of the definition of “Canadian Borrowing Base”, European Revolving Exposures  borrowed  in  reliance  on  clause  (d) of  the  definition  of  “European  Borrowing  Base”,  Asian  Revolving  Exposures  borrowed  in  reliance  on  clause  (d)  of  the  definition  of  “Asian  Borrowing  Base”,  French  Revolving  Exposures  borrowed in reliance on clause (b) of the definition of “French Borrowing Base” and German Revolving Exposures  borrowed  in  reliance  on  clause  (c)  of  the  definition  of  “German  Borrowing  Base”)  the  U.S.  Borrowers  shall,  immediately after demand (or, if such excess is due to the imposition of new Reserves, a change in the methodology  of calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation Date, within  five  Business  Days  following  such  notice),  apply  an  amount  equal  to  such  excess  to  prepay  the  Loans  and  any  interest  accrued  thereon, first,  repay  or  prepay  Swingline  Loans, second,  repay  or  prepay  U.S.  Revolving  Borrowings, and third, replace or Cash Collateralize outstanding Letters of Credit in accordance with the procedures  set  forth  in  Section  2.13(j),  in  an  amount  sufficient  to  eliminate  such  excess,  (4)  the  Canadian  FILO  Revolving  Exposures at any time exceed the Canadian FILO Line Cap then in effect, such excess shall be deemed drawn under  the  Canadian  Subfacility  pursuant  to  the  Canadian  Borrowing  Base  then  in  effect  and  if  the  result  causes  the  Canadian  Revolving  Exposures  to  exceed  the  Canadian  Line  Cap  then  in  effect,  the  Canadian  Borrowers  shall,  immediately after demand (or, if such excess is due to the imposition of new Reserves, a change in the methodology  of calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation Date, within  five  Business  Days  following  such  notice),  apply  an  amount  equal  to  such  excess  to  prepay  the  Loans  and  any  interest accrued thereon, repay or prepay Canadian Revolving Borrowings in an amount sufficient to eliminate such  excess,  (5)  the  Asian  Revolving  Exposures  exceed  the  Asian  Line  Cap  then  in  effect,  after  giving  effect  to  such  reduction,  then  the  Hong  Kong  Borrowers  shall,  on  the  date  of  such  reduction  (or,  if  such  excess  is  due  to  the  imposition of new Reserves, a change in the methodology of calculating existing Reserves, a change in eligibility  standards  or  the  occurrence  of  a  Revaluation  Date,  within  five  Business  Days  following  such  notice),  repay  or  prepay  Asian  Revolving  Borrowings  in  an  amount  sufficient  to  eliminate  such  excess,  (6)  the  French  Revolving  Exposures with regard to any French Borrower exceed the French Line Cap for such French Borrower then in effect,  after giving effect  to  such reduction, then such  French Borrower shall,  on the  date of such  reduction  (or, if such  excess is due to the imposition of new Reserves, a change in the methodology of calculating existing Reserves, a  change in eligibility standards or the occurrence of a Revaluation Date, within five Business Days following such  notice),  repay  or  prepay  French  Revolving  Borrowings  in  an  amount  sufficient  to  eliminate  such  excess,  (7)  the  German Revolving Exposures with regard to any German Borrower Group exceed the German Line Cap for such  German Borrower Group then in effect, after giving effect to such reduction, then the applicable German Borrower  shall, on the date of such reduction (or, if such excess is due to the imposition of new  Reserves, a change in the  methodology of calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation  Date,  within  five  Business  Days  following  such  notice),  repay  or  prepay  German  Revolving  Borrowings  in  an  amount sufficient to eliminate such excess, (8) the European Revolving Exposures exceed the European Line Cap  then in effect, after giving effect to such reduction, then the Irish Borrowers shall, on the date of such reduction (or,  if  such  excess  is  due  to  the  imposition  of  new  Reserves,  a  change  in  the  methodology  of  calculating  existing  Reserves,  a  change  in  eligibility  standards  or  the  occurrence  of  a  Revaluation  Date,  within  five  Business  Days  following such notice), repay or prepay European Revolving Borrowings in an amount sufficient to eliminate such                                                  -99- 

 

  excess,  or  (9)  the  Aggregate  Exposures  would  exceed  the  Line  Cap  then  in  effect,  after  giving  effect  to  such  reduction, then the Borrowers under the applicable Subfacility shall, on the date of such reduction (or, if such excess  is due to the imposition of new Reserves, a change in the methodology of calculating existing Reserves, a change in  eligibility standards or the occurrence of a Revaluation Date, within five Business Days following such notice), first,  in the case of the U.S. Subfacility only, repay or prepay all Swingline Loans, second, repay or prepay Revolving  Borrowings  and third,  in  the  case  of  the  U.S.  Subfacility  only,  if  applicable,  replace  or  Cash  Collateralize  outstanding Letters of Credit in accordance with the procedures set forth in Section 2.13(j), in an amount sufficient  to eliminate such excess.          (iii)  In the event that (1) the U.S. Revolving Exposures at any time exceeds the U.S. Line Cap then in  effect  (it  being  understood  that  for  this  purpose,  the  U.S.  Borrowing  Base  shall  deduct  any  Canadian  Revolving  Exposures borrowed in reliance on clause (d) of the definition of “Canadian Borrowing Base”, European Revolving  Exposures  borrowed  in  reliance  on  clause  (d) of  the  definition  of  “European  Borrowing  Base”,  Asian  Revolving  Exposures  borrowed  in  reliance  on  clause  (d)  of  the  definition  of  “Asian  Borrowing  Base”,  French  Revolving  Exposures borrowed in reliance on clause (b) of the definition of “French Borrowing Base” and German Revolving  Exposures borrowed in reliance on clause (c) of the definition of “German Borrowing Base”), the U.S. Borrowers  shall, immediately after demand (or, if such overadvance is due to the imposition of new Reserves, a change in the  methodology of calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation  Date, within five Business Days following notice), apply an amount equal to such excess to prepay the Loans and  any  interest  accrued  thereon, first,  repay  or  prepay  Swingline  Loans, second,  repay  or  prepay  U.S.  Revolving  Borrowings, and third, replace or Cash Collateralize outstanding Letters of Credit in accordance with the procedures  set forth in Section 2.13(j), in an amount sufficient to eliminate such excess, (2) the Canadian Revolving Exposures  at any time exceed the Canadian Line Cap then in effect, the Canadian Borrowers shall, immediately after demand  (or,  if  such  overadvance  is  due  to  the  imposition  of  new  Reserves,  a  change  in  the  methodology  of  calculating  existing Reserves, a change in eligibility standards or the occurrence of a Revaluation Date, within five Business  Days  following  notice), apply  an amount  equal to such  excess  to  prepay  the  Canadian Revolving  Loans and  any  interest accrued thereon, repay or prepay Canadian Revolving Borrowings in an amount sufficient to eliminate such  excess, (3) the U.S.  FILO Revolving Exposures  at any  time exceed  the U.S.  FILO Line Cap then in  effect, such  excess shall be deemed drawn under the U.S. Subfacility pursuant to the U.S. Borrowing Base then in effect, and if  the result causes the U.S. Revolving Exposures to exceed the U.S. Line Cap then in effect (it being understood that  for this purpose, the U.S. Borrowing Base shall deduct any Canadian Revolving Exposures borrowed in reliance on  clause (d) of the definition of “Canadian Borrowing Base”, European Revolving Exposures borrowed in reliance on  clause  (d)  of  the  definition  of  “European  Borrowing  Base”,  Asian  Revolving  Exposures  borrowed  in  reliance  on  clause (d) of the definition of “Asian Borrowing Base”, French Revolving Exposures borrowed in reliance on clause  (b) of the definition of “French Borrowing Base” and German Revolving Exposures borrowed in reliance on clause  (c) of the definition of “German Borrowing Base”) the U.S. Borrowers shall, immediately after demand (or, if such  overadvance  is  due  to  the  imposition  of  new  Reserves,  a  change  in  the  methodology  of  calculating  existing  Reserves,  a  change  in  eligibility  standards  or  the  occurrence  of  a  Revaluation  Date,  within  five  Business  Days  following notice), apply an amount equal to such excess to prepay the Loans and any interest accrued thereon, first,  repay or prepay Swingline Loans, second, repay or prepay U.S. Revolving Borrowings, and third, replace or Cash  Collateralize  outstanding  Letters  of  Credit  in  accordance  with  the  procedures  set  forth  in  Section  2.13(j),  in  an  amount  sufficient  to  eliminate  such  excess,  (4)  the  Canadian  FILO  Revolving  Exposures  at  any  time  exceed  the  Canadian FILO Line Cap then in effect, such excess shall be deemed drawn under the Canadian Subfacility pursuant  to the Canadian Borrowing Base then in effect and if the result causes the Canadian Revolving Exposures to exceed  the  Canadian  Line  Cap  then  in  effect  the  Canadian  Borrowers  shall,  immediately  after  demand  (or,  if  such  overadvance  is  due  to  the  imposition  of  new  Reserves,  a  change  in  the  methodology  of  calculating  existing  Reserves,  a  change  in  eligibility  standards  or  the  occurrence  of  a  Revaluation  Date,  within  five  Business  Days  following notice), apply an amount equal to such excess to prepay the Loans and any interest accrued thereon, repay  or prepay Canadian Revolving Borrowings in an amount sufficient to eliminate such excess, (5) the Asian Revolving  Exposures at any time exceed the Asian Line Cap then in effect, the Hong Kong Borrowers shall, immediately after  demand  (or,  if  such  overadvance  is  due  to  the  imposition  of  new  Reserves,  a  change  in  the  methodology  of  calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation Date, within five  Business Days following notice), apply an amount equal to such excess to prepay the Loans and any interest accrued  thereon,  repay  or  prepay  Asian  Revolving  Borrowings  in  an  amount  sufficient  to  eliminate  such  excess,  (6)  the  French Revolving Exposures with regard to any French Borrower at any time exceed the French Line Cap for such  French Borrower then in effect, such French Borrower shall, immediately after demand (or, if such overadvance is                                                 -100- 

 

  due to the imposition of new Reserves, a change in the methodology of calculating existing Reserves, a change in  eligibility standards or the occurrence of a Revaluation Date, within five Business Days following notice), apply an  amount  equal  to  such  excess  to  prepay  the  Loans  and  any  interest  accrued  thereon,  repay  or  prepay  French  Revolving Borrowings in an amount sufficient to eliminate such excess, (7) the German Revolving Exposures with  regard to any German Borrower Group at any time exceed the German Line Cap for such German Borrower Group  then in effect, the applicable German Borrower shall, immediately after demand (or, if such overadvance is due to  the  imposition  of  new  Reserves,  a  change  in  the  methodology  of  calculating  existing  Reserves,  a  change  in  eligibility standards or the occurrence of a Revaluation Date, within five Business Days following notice), apply an  amount  equal  to  such  excess  to  prepay  the  Loans  and  any  interest  accrued  thereon,  to  repay  or  prepay  German  Revolving Borrowings in an amount sufficient to eliminate such excess, (8) the European Revolving Exposures at  any time exceed the European Line Cap then in effect, the Irish Borrowers shall, immediately after demand (or, if  such  overadvance is due to the imposition of  new  Reserves, a change in the  methodology  of calculating  existing  Reserves,  a  change  in  eligibility  standards  or  the  occurrence  of  a  Revaluation  Date,  within  five  Business  Days  following notice), apply an amount equal to such excess to prepay the Loans and any interest accrued thereon, repay  or prepay European Revolving Borrowings in an amount sufficient to eliminate such excess, or (9) the Aggregate  Exposures  at  any  time  exceed  the  Line  Cap  then  in  effect,  the  Borrowers  under  the  applicable  Subfacility  shall,  immediately  after  demand  (or,  if  such  overadvance  is  due  to  the  imposition  of  new  Reserves,  a  change  in  the  methodology of calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation  Date, within five Business Days following notice), apply an amount equal to such excess to prepay the Loans and  any  interest  accrued  thereon, first,  in  the case of the U.S.  Subfacility only, repay or  prepay  all  Swingline  Loans,  second,  repay  or prepay  Revolving  Borrowings, and third,  in the case of the U.S.  Subfacility  only, if applicable,  replace or Cash Collateralize outstanding Letters of Credit in accordance with the procedures set forth in Section  2.13(j), in an amount sufficient to eliminate such excess.          (iv)    In the event that the aggregate LC Exposure exceeds the LC Commitment then in effect, the Lead  Borrower shall, without notice or demand, immediately replace or Cash Collateralize outstanding Letters of Credit  in accordance with the procedures set forth in Section 2.13(j), in an amount sufficient to eliminate such excess.          (c)     Application of Prepayments.           (i)   Prior to any optional or mandatory prepayment of Borrowings hereunder, the Lead Borrower shall  select the Borrowing or Borrowings to be prepaid and shall specify such selection in the notice of such prepayment  pursuant to this paragraph (i) of Section 2.09(c).  Unless during a Liquidity Period, except as provided in Section  2.09(b)(iii) hereof, all mandatory prepayments shall be applied as follows:  first, to fees and reimbursable expenses  of  the  Administrative  Agent  then  due  and  payable  pursuant  to  the  Credit  Documents; second,  in  the  case  of  a  mandatory prepayment of the U.S. Subfacility, to interest then due and payable on the Borrowers’ Swingline Loans;  third, in the case of a mandatory prepayment of the U.S. Subfacility, to the principal balance of the Swingline Loan  outstanding until the same has been prepaid in full; fourth, to interest then due and payable on the Revolving Loans  and other amounts due pursuant to Sections 3.02 and 5.01 in respect of the applicable Subfacility subject to such  mandatory prepayment; fifth, to the principal balance of the Revolving Loans in respect of the applicable Subfacility  subject  to  such  mandatory  prepayment  until  the  same  have  been  prepaid  in  full; sixth,  in  the  case  of  the  U.S.  Subfacility  only,  to  Cash  Collateralize  all  LC  Exposure  in  respect  of  the  applicable  Subfacility  subject  to  such  mandatory  prepayment plus any  accrued  and  unpaid  interest  thereon  (to  be  held  and  applied  in  accordance  with  Section 2.13(j) hereof); seventh, to all other Obligations pro rata in accordance with the amounts that such Lender  certifies  is  outstanding;  and eighth,  as  required  by  the  Intercreditor  Agreement  or,  in  the  absence  of  any  such  requirement, returned to the Lead Borrower or to such party as otherwise required by law.          (ii)   Amounts to be applied pursuant to this Section 2.09 to the prepayment of Revolving Loans shall  be  applied,  as  applicable,  first  to  reduce  outstanding  Base  Rate  Loans  and  Canadian  Prime  Rate  Loans,  as  applicable.  Any amounts remaining after each such application shall be applied to prepay LIBO Rate Loans, CDOR  Rate Loans, SOR Loans, BBSY Loans, CNH HIBOR Loans and HIBOR Loans, as applicable.  Notwithstanding the  foregoing,  if  the  amount  of  any  prepayment  of  Loans  required  under  this  Section  2.09  shall  be  in  excess  of  the  amount  of  the  Base  Rate  Loans  or  Canadian  Prime  Rate  Loans,  as  applicable  at  the  time  outstanding,  only  the  portion  of  the  amount  of  such  prepayment  that  is  equal  to  the  amount  of  such  outstanding  Base  Rate  Loans  or  Canadian  Prime  Rate  Loans  shall  be  immediately  prepaid  and,  at  the  election  of  the  applicable  Borrower,  the  balance of such required prepayment shall be either (A) deposited in the LC Collateral Account and applied to the                                                 -101- 

 

  prepayment of LIBO Rate Loans, CDOR Rate Loans, SOR Loans, BBSY Loans, CNH HIBOR Loans or HIBOR  Loans, as applicable, on the last day of the then next-expiring Interest Period for LIBO Rate Loans,  CDOR Rate  Loans, SOR Loans, BBSY Loans, CNH HIBOR Loans or HIBOR Loans, as applicable (with all interest accruing  thereon for the account of the applicable Borrowers) or (B) prepaid immediately, together with any amounts owing  to the Lenders under Section 2.10.  Notwithstanding any such deposit in the LC Collateral Account, interest shall  continue to accrue on such Loans until prepayment.          (d)     Notice of Prepayment.  The Lead Borrower shall notify the Administrative Agent (and, in the case  of prepayment of a Swingline Loan, the applicable Swingline Lender) by telephone (other than in the case of the  requests  in  relation  to  European  Revolving  Loans,  French  Revolving  Loans  or  German  Revolving  Loans)  (confirmed  by  telecopy),  telecopy  or  electronic  transmission  (with  respect  to  electronic  transmission,  solely  if  arrangements  for  doing  so  have  been  approved  by  the  Administrative  Agent,  which  approval  shall  not  be  unreasonably  withheld,  delayed  or  conditioned)  of  any  prepayment  hereunder  (i)  in  the  case  of  prepayment  of  a  Borrowing of LIBO Rate Loans denominated in U.S. Dollars, to the Administrative Agent’s New York office not  later than 1:00 p.m., New York City time, three Business Days (or, in the case of any such prepayment in connection  with the Crew Transactions on or about the Crew Transactions Closing Date, one Business Day) (or such shorter  period to which the Administrative Agent may consent) before the date of prepayment, (ii) in the case of prepayment  of a Borrowing of Base Rate Loans, to the Administrative Agent’s New York office not later than 1:00 p.m., New  York City time, on the date of prepayment, (iii) in the case of prepayment of a Borrowing of CDOR Rate Loans, to  the Administrative Agent’s Toronto office not later than 1:00 p.m., Toronto time, three Business Days (or, in the  case of any such prepayment in connection with the Crew Transactions on or about the Crew Transactions Closing  Date, one Business Day) (or such shorter period to which the Administrative Agent may consent) before the date of  prepayment, (iv) in the case of prepayment of a Borrowing of Canadian Prime Rate Loans, to the Administrative  Agent’s  Toronto  office  not  later  than  1:00  p.m.,  Toronto  time,  on  the  date  of  prepayment,  (v)  in  the  case  of  prepayment of a Borrowing of HIBOR Loans, to the Administrative Agent’s Hong Kong office not later than 1:00  p.m., Hong Kong time, three Business Days (or, in the case of any such prepayment in connection with the Crew  Transactions on or about the Crew Transactions Closing Date, one Business Day) (or such shorter period to which  the  Administrative  Agent  may consent) before the date  of prepayment, (vi)  in the case of prepayment of  a CNH  HIBOR Loans, to the Administrative Agent’s Hong Kong office not later than 1:00 p.m., Hong Kong time, three  Business Days (or, in the case of any such prepayment in connection with the Crew Transactions on or about the  Crew Transactions Closing Date, one Business Day) (or such shorter period to which the Administrative Agent may  consent) before the date of prepayment, (vii) in the case of prepayment of a Swingline Loan, to the Administrative  Agent’s New York office not later than 1:00 p.m., New York City time, on the date of prepayment, (viii) in the case  of prepayment of a Borrowing of SOR Loans, to the Administrative Agent’s Hong Kong office not later than 1:00  p.m., Hong Kong time, three Business Days (or, in the case of any such prepayment in connection with the Crew  Transactions on or about the Crew Transactions Closing Date, one Business Day) (or such shorter period to which  the  Administrative  Agent  may  consent)  before  the  date  of  prepayment,  (ix)  in  the  case  of  prepayment  of  a  Borrowing of BBSY Loans, to the Administrative Agent’s Hong Kong office not later than 1:00 p.m., Hong Kong  time, three Business Days (or, in the case of any such prepayment in connection with the Crew Transactions on or  about the Crew Transactions Closing Date, one Business Day) (or such shorter period to which the Administrative  Agent  may  consent) before the date of prepayment,  (x) in the case of prepayment of  a Borrowing of LIBO Rate  Loans denominated in Euros  or Pounds Sterling, in the Administrative Agent’s London  office not later than 1:00  p.m.,  London  time  three  Business  Days  (or,  in  the  case  of  any  such  prepayment  in  connection  with  the  Crew  Transactions on or about the Crew Transactions Closing Date, one Business Day) (or such shorter period to which  the  Administrative  Agent  may  consent)  before  the  date  of  prepayment  and  (xi)  in  the  case  of  a  prepayment  of  a  Borrowing of LIBO Rate Loans denominated in CNH, AU$, SGD or HKD, in the Administrative Agent’s Hong  Kong office not later than 1:00 p.m., Hong Kong time, three Business Days (or, in the case of any such prepayment  in connection with the Crew Transactions on or about the Crew Transactions Closing Date, one Business Day) (or  such shorter period to which the Administrative Agent may consent) before the prepayment.  Each such notice shall  specify the prepayment date, the principal amount of each Borrowing or portion thereof to be prepaid and, in the  case of a mandatory prepayment, a reasonably detailed calculation of the amount of such prepayment.  Each notice  of prepayment pursuant to this Section 2.09 shall be irrevocable, except that the Lead Borrower may, by subsequent  notice to the Administrative Agent, revoke any such notice of prepayment if such notice of revocation is received  not later than 10:00 a.m. (New York City time) on the day on which such prepayment is scheduled to occur and,  provided that (i) the Lead Borrower reimburses each Lender pursuant to Section 3.02 for any funding losses within  five Business Days after receiving written demand therefor and (ii) the amount of Loans as to which such revocation                                                 -102- 

 

  applies shall be deemed converted to (or continued as, as applicable) Base Rate Loans, Canadian Prime Rate Loans,  or LIBO Rate Loans (not denominated in U.S. Dollars) with an Interest Period of one month, in accordance with the  provisions of Section 2.08 as of the date of  notice of revocation (subject to subsequent  conversion in accordance  with the provisions of this Agreement).  Promptly following receipt of any such notice (other than a notice relating  solely to Swingline Loans), the Administrative Agent shall advise the Lenders of the contents thereof.  Each partial  prepayment  of  any  Borrowing  shall  be  in  an  amount  that  would  be  permitted  in  the  case  of  an  advance  of  a  Borrowing of the same Type as provided in Section 2.02, except as necessary to apply fully the required amount of a  mandatory  prepayment.   Each  prepayment  of  a  Borrowing  shall  be  applied  ratably  to  the  Loans  included  in  the  prepaid Borrowing.  Prepayments shall be accompanied by accrued interest to the extent required by Section 2.06.          Section 2.10  Payments Generally; Pro Rata Treatment; Sharing of Set-offs.          (a)     Each Borrower shall make each payment required to be made by it hereunder or under any other  Credit Document (whether of principal, interest, fees or reimbursement of LC Disbursements, or of amounts payable  under Sections 3.01, 3.02 and 5.01 or otherwise) at or before the time expressly required hereunder or under such  other Credit Document for such payment (or, if no such time is expressly required, prior to (x) 2:00 p.m., New York  City time or other Applicable Time specified by the Administrative Agent), on the date when due, in immediately  available funds, without set-off or counterclaim.  Except as otherwise expressly provided herein, all payments by the  Borrowers hereunder with respect to principal and interest on Loans denominated in an Alternative Currency shall  be made to the Administrative Agent, for the account of the respective Lenders to which such payment is owed, at  the Administrative Agent’s applicable office in such Alternative Currency and in Same Day Funds not later than the  Applicable  Time  specified  by  the  Administrative  Agent  on  the  dates  specified  herein.  Without  limiting  the  generality of the foregoing, the Administrative Agent may require that any payments due under this Agreement be  made in the United States.  If, for any reason, any Borrower is prohibited by any law from making any required  payment  hereunder  in  an  Alternative  Currency,  such  Borrower  shall  make  such  payment  in  U.S.  Dollars  in  the  Dollar Equivalent of the Alternative Currency payment amount.  Any amounts received after such time on any date  may,  in  the  reasonable  discretion  of  the  Administrative  Agent,  be  deemed  to  have  been  received  on  the  next  succeeding  Business  Day  for  purposes  of  calculating  interest  thereon.   All  such  payments  shall  be  made  to  the  Administrative Agent at the Payment Office, except payments to be made directly to an Issuing Bank or Swingline  Lender as expressly provided herein and except that payments pursuant to Sections 3.01, 3.02, 5.01 and 13.01 shall  be made to the Administrative Agent for the benefit of to the Persons entitled thereto and payments pursuant to other  Credit Documents shall be made to the Administrative Agent for the benefit of the Persons specified therein.  The  Administrative Agent shall distribute any such payments received by it for the account of any other Person to the  appropriate recipient promptly following receipt thereof.  If any payment under any Credit Document shall be due  on a day that is not a Business Day, the date for payment shall be extended to the next succeeding Business Day,  and, in the case of any payment accruing interest, interest thereon shall be payable for the period of such extension.          (b)     If at any time insufficient funds are received by and available to the Administrative Agent to pay  fully all amounts of principal, unreimbursed LC Disbursements, interest and  fees then  due hereunder, such  funds  shall  be  applied  in  the  manner  as  provided  in  Section  2.09(c)  or  11.11  hereof,  as  applicable,  ratably  among  the  parties entitled thereto.          (c)     If  any  Lender  shall,  by  exercising  any  right  of  set-off  or  counterclaim  or  otherwise,  obtain  payment  in  respect  of  any  principal  of  or  interest  on  any  of  its  Revolving  Loans  or  participations  in  LC  Disbursements  or  Swingline  Loans  resulting  in  such  Lender  receiving  payment  of  a  greater  proportion  of  the  aggregate amount of its Revolving Loans and participations in LC Disbursements and Swingline Loans and accrued  interest thereon than the proportion received by any other Lender under such Subfacility, then the Lender receiving  such  greater  proportion  shall  purchase  (for  cash  at  face  value)  participations  in  the  Revolving  Loans  and  participations  in  LC  Disbursements  and  Swingline  Loans  of  other  Lenders  under  such  Subfacility  to  the  extent  necessary  so  that  the benefit  of all  such  payments  shall  be  shared  by the  Lenders ratably in accordance  with  the  aggregate amount of principal of and accrued interest on their respective Revolving Loans and participations in LC  Disbursements and Swingline Loans; provided that (i) if any such participations are purchased and all or any portion  of the payment giving rise thereto is recovered, such participations shall be rescinded and the purchase price restored  to the extent of such recovery, without interest, and (ii) the provisions of this paragraph shall not be construed to  apply  to  any  payment  made  by  the  Lead  Borrower  pursuant  to  and  in  accordance  with  the  express  terms  of  this  Agreement or any payment obtained by a Lender as consideration for the assignment of or sale of a participation in                                                 -103- 

 

  any  of  its  Loans  or  participations  in  LC  Disbursements  to  any  assignee  or  participant,  other  than  to  the  Lead  Borrower or any Subsidiary or Affiliate thereof (as to which the provisions of this paragraph shall apply).  Each  Borrower consents to the foregoing and agrees, to the extent it may effectively do so under applicable law that any  Lender  acquiring  a  participation  pursuant  to  the  foregoing  arrangements  may  exercise  against  the  Credit  Parties  rights of set-off and counterclaim with respect to such participation as fully as if such Lender were a direct creditor  of a Credit Party in the amount of such participation.          (d)     Unless the Administrative Agent shall have received notice from a Borrower prior to the date on  which  any  payment  is  due  under  the  applicable  Subfacility  to  the  Administrative  Agent  for  the  account  of  the  Lenders or applicable Issuing Bank hereunder that such Borrower will not make such payment, the Administrative  Agent may assume that such Borrower has made such payment on such date in accordance herewith and may, in  reliance upon such assumption, distribute to the Lenders or the Issuing Banks, as the case may be, the amount due.   In such event, if such Borrower has not in fact made such payment, then each of the Lenders or the Issuing Banks  under the applicable Subfacility, as the case may be, severally agrees to repay to the Administrative Agent forthwith  on demand the amount so distributed to such Lender or Issuing Bank with interest thereon, for each day from and  including the date such amount is distributed to it to but excluding the date of payment to the Administrative Agent,  at  the  greater  of  the  Federal  Funds  Rate  and  a  rate  determined  by  the  Administrative  Agent  in  accordance  with  banking industry rules on interbank compensation.          (e)     If any Lender shall fail to make any payment required to be made by it pursuant to Section 2.02(c),  2.02(f),  2.10(d),  2.12(d)  or  2.13(d),  then  the  Administrative  Agent  may,  in  its  discretion  (notwithstanding  any  contrary provision hereof), apply any amounts thereafter received by the Administrative Agent for the account of  such Lender to satisfy such Lender’s obligations under such Sections until all such unsatisfied obligations are fully  paid.          Section 2.11  Defaulting Lenders.          (a)     Reallocation  of  Pro  Rata  Share;  Amendments.   For  purposes  of  determining  the  Lenders’  obligations to fund or acquire participations in Loans or Letters of Credit, the Administrative Agent may exclude the  Commitments and Loans of any Defaulting Lender(s) or any Lender providing French Revolving Loans that ceases  to be a French Authorized Lender from the calculation of Pro Rata Shares.  A Defaulting Lender shall have no right  to vote on any amendment, waiver or other modification of a Credit Document, except as provided in Section 13.12;  provided that when a Defaulting Lender shall exist or any Lender providing any French Revolving Loans ceases to  be a French Authorized Lender or any Lender having LC Exposure regarding Letters of Credit issued for the benefit  of or the account of any French Subsidiary ceases to be a French Authorized Issuing Bank or any Lender having LC  Exposure regarding Letters of Credit issued for the benefit of or the account of any Irish Subsidiary ceases to be an  Irish  Authorized  LC  Issuer  (as  the  case  may  be),  any  such  Defaulting  Lender’s  Revolving  Commitment  or  such  Lender’s  French  Revolving  Commitment  or  LC  Exposure,  as  applicable,  shall  be  disregarded  in  any  of  such  calculations to the extent that disregarding the applicable Revolving Commitments would not cause the Revolving  Exposure of any Lender under any Subfacility to exceed the amount of such Lender’s Revolving Commitment under  such Subfacility.           (b)     Payments; Fees.  The Administrative Agent may, in its discretion, receive and retain any amounts  payable  to  a  Defaulting  Lender  under  the  Credit  Documents,  and  a  Defaulting  Lender  shall  be  deemed  to  have  assigned to the Administrative Agent such amounts until all Obligations owing to the Administrative Agent, Non- Defaulting Lenders and other Secured Creditors have been paid in full.  The Administrative Agent may apply such  amounts  to  the  Defaulting  Lender’s  defaulted  obligations,  use  the  funds  to  Cash  Collateralize  such  Lender’s  Fronting Exposure, or readvance the amounts to the Borrowers hereunder.  A Lender shall not be entitled to receive  (and no Borrower shall be obligated to pay) any fees accruing hereunder during the period in which it is a Defaulting  Lender, and the unfunded portion of its Commitment shall be disregarded for purposes of calculating the Unused  Line Fee under Section 2.05(a).  To the extent any LC Obligations owing to a Defaulting Lender are reallocated to  other Lenders, LC Participation Fees attributable to such LC Obligations under Section 2.05(c) shall be paid to such  other Lenders.  The Administrative Agent shall be paid all LC Participation Fees attributable to LC Obligations that  are not so reallocated.                                                  -104- 

 

         (c)     Cure.   The  Lead  Borrower,  Administrative  Agent  and  applicable  Issuing  Bank  may  agree  in  writing that a Lender is no longer a Defaulting Lender.  At such time, Pro Rata Shares shall be reallocated without  exclusion  of  such  Lender’s  Commitments  and  Loans,  and  all  outstanding  Loans,  LC  Obligations  and  other  exposures  under  the  Commitments  shall  be  reallocated  among  Lenders  and  settled  by  the  Administrative  Agent  (with appropriate payments by the reinstated Lender) in accordance with the readjusted Pro Rata Shares.  Unless  expressly agreed by the Lead Borrower, Administrative Agent and applicable Issuing Bank, no reinstatement of a  Defaulting Lender shall constitute a waiver or release of claims against such Lender.  The failure of any Lender to  fund a Loan, to make a payment in respect of LC Obligations or otherwise to perform its obligations hereunder shall  not relieve any other Lender of its obligations, and no Lender shall be responsible for default by another Lender.          Section 2.12  Swingline Loans.          (a)     Swingline  Commitment.   Subject  to  the  terms  and  conditions  set  forth  herein,  the  Swingline  Lender may, but shall not be obligated to, make Swingline Loans to the U.S. Borrowers from time to time during the  Revolving Availability Period, in an aggregate principal amount at any time outstanding that will not result in (i) the  aggregate  principal  amount  of  outstanding  Swingline  Loans  exceeding  $75,000,000  or  (ii)  the  U.S.  Revolving  Exposures  exceeding  the  U.S.  Line  Cap; provided  that  the  Swingline  Lender  shall  not  be  required  to  make  a  Swingline Loan to refinance an outstanding Swingline Loan.  Within the foregoing limits and subject to the terms  and conditions set forth herein, the Lead Borrower may borrow, repay and reborrow Swingline Loans.          (b)     Swingline  Loans.   To  request  a  Swingline  Loan,  the  Lead  Borrower  shall  notify  the  Administrative  Agent  of  such  request  by  telephone  (confirmed  by  telecopy),  telecopy  or  electronic  transmission  (with  respect  to  electronic  transmission,  solely  if  arrangements  for  doing  so  have  been  approved  by  the  Administrative Agent,  which approval shall not be unreasonably withheld, delayed or conditioned), not later than  1:00 p.m., New York City time, on the day of a proposed Swingline Loan.  Each such notice shall be irrevocable and  specify  the  requested  date  (which  shall  be  a  Business  Day)  and  amount  of  the  requested  Swingline  Loan.   The  Administrative  Agent  will  promptly  advise  the  Swingline  Lender  of  any  such  notice  received  from  the  Lead  Borrower.  The Swingline Lender shall make each Swingline Loan available to the Lead Borrower by means of a  credit to the general deposit account of the Lead Borrower with the Swingline Lender (or, in the case of a Swingline  Loan made to finance the reimbursement of an LC Disbursement as provided in Section 2.13(e), by remittance to the  applicable Issuing Bank) by 5:00 p.m., New York City time, on the requested date of such Swingline Loan.  The  Lead  Borrower  shall  not  request  a  Swingline  Loan  if  at  the  time  of  and  immediately  after  giving  effect  to  such  request a Default has occurred and is continuing.  Swingline Loans shall be made in minimum amounts of $100,000.          (c)     Prepayment.  The Lead Borrower shall have the right at any time and from time to time to repay,  without premium or penalty, any Swingline Loan, in  whole or in part, upon giving written or telecopy  notice (or  telephone  notice  promptly  confirmed  by  written,  or  telecopy  notice)  to  the  Swingline  Lender  and  to  the  Administrative Agent before 4:00 p.m., New York City time on the date of repayment at the Swingline Lender’s  address  for  notices  specified  in  the  Swingline  Lender’s  administrative  questionnaire.   All  principal  payments  of  Swingline  Loans  shall  be  accompanied  by  accrued  interest  on  the  principal  amount  being  repaid  to  the  date  of  payment.          (d)     Participations.  The Swingline Lender  may by  written notice given  to  the Administrative Agent  not later than 4:00 p.m., New York City time, on any Business Day require the Lenders under the U.S. Subfacility to  acquire participations on such Business Day in all or a portion of the Swingline Loans outstanding; provided that if  the outstanding principal amount of U.S. FILO Loans is less than the U.S. FILO Line Cap on such date, (a) each  Lender with a U.S. FILO Revolving Commitment shall be deemed to have purchased from the Swingline Lender a  participation  in  each  outstanding  Swingline  Loan  (in  an  aggregate  principal  amount  not  to  exceed  the  aggregate  amount of the U.S. FILO Line Cap), and (b) each Lender with a U.S. Revolving Commitment shall be deemed to  have  purchased  from  the  Swingline  Lender  a  participation  in  each  outstanding  Swingline  Loan  to  the  extent  not  participated to the Lenders under the U.S. FILO Subfacility pursuant to the foregoing clause (a).  Such notice shall  specify the aggregate amount of Swingline Loans in which Lenders will participate.  Promptly upon receipt of such  notice, the Administrative Agent will give notice thereof to such Lender, specifying in such notice such Lender’s  Pro Rata Percentage of such Swingline Loan or Loans.  Each Lender hereby absolutely and unconditionally agrees,  upon  receipt  of  notice  as  provided  above,  to  pay  to  the  Administrative  Agent,  for  the  account  of  the  Swingline  Lender,  such  Lender’s  Pro  Rata  Percentage  of  such  Swingline  Loan  or  Loans.   Each  Lender  acknowledges  and                                                 -105- 

 

  agrees that its obligation to acquire participations in Swingline Loans pursuant to this paragraph is absolute and  unconditional and shall not be affected by any circumstance whatsoever, including the occurrence and continuance  of  a  Default  or  reduction  or  termination  of  the  Aggregate  Commitments  or  whether  an  Overadvance  exists  or  is  created thereby, and that each such payment shall be made without any offset, abatement, withholding or reduction  whatsoever (provided that such payment shall not cause such Lender’s Revolving Exposure to exceed such Lender’s  Revolving  Commitment).  Each  Lender shall  comply  with its obligation under this paragraph by  wire transfer  of  immediately available funds, in the same manner as provided in Section 2.14 with respect to Loans made by such  Lender  (and  Section  2.02  shall  apply, mutatis  mutandis,  to  the  payment  obligations  of  the  Lenders),  and  the  Administrative Agent shall promptly pay to the Swingline Lender the amounts so received by it from the Lenders.   The  Administrative  Agent  shall  notify  the  Lead  Borrower  of  any  participations  in  any  Swingline  Loan  acquired  pursuant  to  this  paragraph,  and  thereafter  payments  in  respect  of  such  Swingline  Loan  shall  be  made  to  the  Administrative Agent and not to the Swingline Lender.  Any amounts received by the Swingline Lender from the  Lead Borrower (or other party on behalf of the Lead Borrower) in respect of a Swingline Loan after receipt by the  Swingline Lender of the proceeds of a sale of participations therein shall be promptly remitted to the Administrative  Agent; any such amounts received by the Administrative Agent shall be promptly remitted by the Administrative  Agent to the applicable Lenders that shall have made their payments pursuant to this paragraph and to the Swingline  Lender, as their interests may appear.  The purchase of participations in a Swingline Loan pursuant to this paragraph  shall not relieve any Borrower of any default in the payment thereof.          (e)     If the Maturity Date shall have occurred at a time when Extended Revolving Loan Commitments  are in effect, then on the Maturity Date all then outstanding Swingline Loans shall be repaid in full on such date (and  there  shall  be  no  adjustment  to  the  participations  in  such  Swingline  Loans  as  a  result  of  the  occurrence  of  such  Maturity Date); provided that, if on the occurrence of the Maturity Date (after giving effect to any repayments of  Revolving Loans and any reallocation of Letter of Credit participations as contemplated in Section 2.13(o)), there  shall  exist  sufficient  unutilized  Extended  Revolving  Loan  Commitments  so  that  the  respective  outstanding  Swingline Loans could be incurred pursuant to the Extended Revolving Loan Commitments which will remain in  effect after the occurrence of the Maturity Date, then there shall be an automatic adjustment on such date of the  participations  in  such  Swingline  Loans  and  same  shall  be  deemed  to  have  been  incurred  solely  pursuant  to  the  Extended Revolving Loan Commitments and such Swingline Loans shall not be so required to be repaid in full on  the Maturity Date.          Section 2.13  Letters of Credit.          (a)     General.  Subject to the terms and conditions set forth herein, the Lead Borrower may request the  issuance of Letters of Credit in U.S. Dollars, Canadian Dollars, Singapore Dollars, Hong Kong Dollars, Australian  Dollars,  Pounds  Sterling,  Euros,  CNH  or  in  one  or  more  applicable  Alternative  Currencies  (if  any)  for  the  Lead  Borrower’s account or the account of a Restricted Subsidiary of the Lead Borrower in a form reasonably acceptable  to  the  Administrative  Agent  and  the  Issuing  Bank,  at  any  time  and  from  time  to  time  during  the  Revolving  Availability Period (provided that the Lead Borrower shall be a co-applicant with respect to each Letter of Credit  issued for the account of or in favor of any Restricted Subsidiary and that, to the extent any Letter of Credit is issued  for the account of, or in favor of, or with a co-Applicant that is (a) a French Subsidiary, the relevant Issuing Bank  shall be a French Authorized Issuing Bank, or (b) an Irish Subsidiary, the relevant Issuing Bank shall be an Irish  Authorized LC Issuer).  In the event of any inconsistency between the terms and conditions of this Agreement and  the terms and conditions of any form of letter of credit application or other agreement submitted by a Borrower to,  or entered into by any Borrower with, the applicable Issuing Bank relating to any Letter of Credit, the terms and  conditions of this Agreement shall control.          (b)     Request  for  Issuance,  Amendment,  Renewal,  Extension;  Certain  Conditions.   To  request  the  issuance of a Letter of Credit or the amendment, renewal or extension of an outstanding Letter of Credit, a Borrower  shall hand  deliver or telecopy  (or transmit  by  electronic communication, if  arrangements  for doing so  have  been  approved by applicable Issuing Bank) a LC Request to the applicable Issuing Bank and the Administrative Agent  not later than 1:00 p.m. on the third Business Day preceding the requested date of issuance, amendment, renewal or  extension (or such later date and time as is reasonably acceptable to the applicable Issuing Bank).  A request for an  initial issuance of a Letter of Credit shall specify in form and detail reasonably satisfactory to the applicable Issuing  Bank:  (i)  the  proposed  issuance  date  of  the  requested  Letter  of  Credit  (which  shall  be  a  Business  Day);  (ii)  the  amount and currency thereof; (iii) the expiry date thereof; (iv) the name and address of the beneficiary thereof; (v)                                                 -106- 

 

  the  documents  to  be  presented  by  such  beneficiary  in  case  of  any  drawing  thereunder;  (vi)  the  full  text  of  any  certificate to be presented by such beneficiary in case of any drawing thereunder; and (vii) such other matters as the  applicable Issuing Bank may reasonably require and shall attach the agreed form of the Letter of Credit.  A request  for  an  amendment,  renewal  or  extension  of  any  outstanding  Letter  of  Credit  shall  specify  in  form  and  detail  reasonably satisfactory to the applicable Issuing Bank, (w) the Letter of Credit to be amended, renewed or extended;  (x) the proposed date of amendment, renewal or extension thereof (which shall be a Business Day), (y) the nature of  the  proposed  amendment,  renewal  or  extension;  and  (z)  such  other  matters  as  the  applicable  Issuing  Bank  may  reasonably require.  If requested by the applicable Issuing Bank, the applicable Borrower also shall submit a letter of  credit application substantially on such Issuing Bank’s standard form in connection with any request for a Letter of  Credit.  A Letter of Credit shall be issued, amended, renewed or extended only if (and upon issuance, amendment,  renewal or extension of each Letter of Credit, the applicable Borrower shall be deemed to represent and warrant  (solely in the case of (w) and (x)) that, after giving effect to such issuance, amendment, renewal or extension) (A)  the  LC  Exposure  shall  not  exceed  $200,000,000,  (B)  the  Availability  Conditions  are  satisfied,  and  (C)  if  a  Defaulting Lender exists, either such Lender or the Lead Borrower has entered into arrangements satisfactory to the  Administrative Agent and Issuing Bank to eliminate any Fronting Exposure associated with such Lender.            (c)     Expiration  Date.   Each  Letter  of  Credit  shall  expire  at  or  prior  to  the  close  of  business  on  the  earlier of the date  which  is  one  year  after the date of  the issuance of  such  Letter of Credit  (or  such other longer  period of time as  the  Administrative  Agent and the applicable Issuing Bank  may agree and, in  the case of any  renewal  or  extension  thereof,  one  (1)  year  after  such  renewal  or  extension)  and,  unless  Cash  Collateralized  or  otherwise  credit  supported  to  the  reasonable  satisfaction  of  the  Administrative  Agent  and  the  applicable  Issuing  Bank (in which case the expiry may extend no longer than twelve months after the Letter of Credit Expiration Date)  the Letter of Credit Expiration Date.  Each Letter of Credit may, upon the request of the Lead Borrower, include a  provision whereby such Letter of Credit shall be renewed automatically for additional consecutive periods of twelve  (12) months or less (but, subject to the foregoing, not beyond the date that is after the Letter of Credit Expiration  Date) unless the applicable Issuing Bank notifies the beneficiary thereof pursuant to the terms and conditions of such  Letter of Credit that such Letter of Credit will not be renewed.          (d)     Participations.   By  the  issuance  of  a  Letter  of  Credit  (or  an  amendment  to  a  Letter  of  Credit  increasing  the  amount  thereof)  and  without  any  further  action  on  the  part  of  the  applicable  Issuing  Bank  or  the  Lenders, the applicable Issuing Bank hereby grants to each Lender under the U.S. Subfacility, and each such Lender  hereby acquires from such Issuing Bank, a participation in such Letter of Credit equal to such Lender’s Pro Rata  Percentage  of  the  aggregate  amount  available  to  be  drawn  under  such  Letter  of  Credit.   In  consideration  and  in  furtherance of the foregoing, each Lender under the U.S. Subfacility hereby absolutely and unconditionally agrees to  pay to the Administrative Agent, for the account of the applicable Issuing Bank, such Lender’s Pro Rata Percentage  of each LC Disbursement made by the applicable Issuing Bank and not reimbursed by the Borrowers on the date due  as provided in paragraph (e) of this Section 2.13, or of any reimbursement payment required to be refunded to the  Borrowers  for  any  reason.   Each  applicable  Lender  acknowledges  and  agrees  that  its  obligation  to  acquire  participations pursuant to this paragraph in respect of Letters of Credit is absolute and unconditional and shall not be  affected by any circumstance whatsoever, including any amendment, renewal or extension of any Letter of Credit or  the occurrence and continuance of a Default or reduction or termination of the Aggregate Commitments or whether  or not an Overadvance exists or is created thereby, and that each such payment shall be made without any offset,  abatement, withholding or reduction whatsoever.          (e)     Reimbursement.  If any Issuing Bank shall make any LC Disbursement in respect of a Letter of  Credit, the Borrowers under the U.S. Subfacility shall reimburse such LC Disbursement by paying to the applicable  Issuing  Bank  an  amount  equal  to  such  LC  Disbursement  not  later  than  (x)  in  the  case  of  reimbursement  in  U.S.  Dollars under the U.S. Subfacility, 2:00 p.m., New York City time, on the Business Day after receiving notice from  such Issuing Bank of such LC Disbursement or (y) in the case of reimbursement in an Alternative Currency, the  Applicable  Time  specified  by  the  Administrative  Agent  on  the  Business  Day  after  receiving  notice  from  such  Issuing  Bank  of  such  LC  Disbursement; provided  that,  whether  or  not  the  Lead  Borrower  submits  a  Notice  of  Borrowing, the applicable Borrower shall be deemed to have requested (except to the extent such Borrower makes  payment to reimburse such LC Disbursement when due) a Borrowing of Base Rate Loans, Canadian Prime Rate  Loans or LIBO Rate Loans with an Interest Period of one month, as applicable, in an amount necessary to reimburse  such LC Disbursement.  If such Borrower fails to make such payment when due, the applicable Issuing Bank shall  notify the Administrative Agent and the Administrative Agent shall notify each Lender under the U.S. Subfacility of                                                 -107- 

 

  the applicable LC Disbursement, the payment then due from such Borrower in respect thereof and such Lender’s Pro  Rata  Percentage  thereof.   Promptly  following  receipt  of  such  notice,  each  such  Lender  shall  pay  to  the  Administrative  Agent  its  Pro  Rata  Percentage  of  the  unreimbursed  LC  Disbursement  (in  U.S.  Dollars,  if  the  applicable  Letter  of  Credit  was  denominated  in  U.S.  Dollars,  or  in  the  applicable  Alternative  Currency,  if  the  applicable Letter of Credit was denominated in an Alternative Currency) in the same manner as provided in Section  2.02(f)  with  respect  to  Loans  made  by  such  Lender,  and  the  Administrative  Agent  shall  promptly  pay  to  the  applicable  Issuing  Bank  the  amounts  so  received  by  it  from  such  Lenders.   In  the  case  of  a  Letter  of  Credit  denominated in an Alternative Currency, the applicable Borrower shall reimburse the applicable Issuing Bank in  such Alternative Currency, unless (A) such Issuing Bank (at its option) shall have specified in such notice that it will  require reimbursement  in U.S.  Dollars, or  (B) in the  absence of  any  such  requirement  for  reimbursement  in U.S.  Dollars, the applicable Borrower shall have notified such Issuing Bank promptly following receipt of the notice of  drawing  that  such  Borrower  will  reimburse  such  Issuing  Bank  in  U.S.  Dollars.   In  the  case  of  any  such  reimbursement in U.S. Dollars of a drawing under a Letter of Credit denominated in an Alternative Currency, the  applicable Issuing Bank shall notify the applicable Borrower of the Dollar Equivalent of the amount of the drawing  promptly  following  the  determination  thereof.   Promptly  following  receipt  by  the  Administrative  Agent,  of  any  payment from the Borrowers pursuant to this paragraph, the Administrative Agent shall distribute such payment to  the applicable Issuing Bank.  Any payment made by a Lender pursuant to this paragraph to reimburse an Issuing  Bank for any LC Disbursement (other than the funding of Base Rate Loans, Canadian Prime Rate Loans or LIBO  Rate Loans as contemplated above) shall not constitute a Loan and shall not relieve any Borrower of its obligation to  reimburse such LC Disbursement.  In the event that (A) a drawing denominated in an Alternative Currency is to be  reimbursed in U.S. Dollars pursuant to the third sentence in this Section 2.13(e) and (B) the U.S. Dollar amount paid  by the Borrowers shall not be adequate on the date of that payment to purchase in accordance with normal banking  procedures  a  sum  denominated  in  the  Alternative  Currency  equal  to  the  drawing,  the  Borrowers  under  the  U.S.  Subfacility agree, as a separate and independent obligation, to indemnify  the applicable Issuing Bank for the loss  resulting from its inability on that date to purchase the Alternative Currency in the full amount of the drawing.          (f)     Obligations Absolute.           (i)   Subject  to  the  limitations  set  forth  below,  the  obligation  of  the  Borrowers  to  reimburse  LC  Disbursements as provided in paragraph (e) of this Section 2.13 shall be absolute, unconditional and irrevocable, and  shall  be  performed  strictly  in  accordance  with  the  terms  of  this  Agreement  under  any  and  all  circumstances  whatsoever and irrespective of (i) any lack of validity or enforceability of any Letter of Credit or this Agreement, or  any term or provision therein, (ii) any draft or other document presented under a Letter of Credit proving to be  forged, fraudulent or invalid in any respect or any statement therein being untrue or inaccurate in any respect, (iii)  payment by any Issuing Bank under a Letter of Credit against presentation of a draft or other document that does not  strictly comply with the terms of such Letter of Credit, (iv) the existence of any claim, setoff, defense or other right  which any Borrower may have at any time against a beneficiary of any Letter of Credit, (v) any adverse change in  the relevant exchange rates or in the availability of the relevant Alternative Currency to the Lead Borrower or any  Subsidiary or in the relevant currency markets generally or (vi) any other event or circumstance whatsoever, whether  or not similar to any of the foregoing, that might, but for the provisions of this Section 2.13, constitute a legal or  equitable discharge of, or provide a right of setoff against, the obligations of the Borrowers hereunder; provided that  the Borrowers shall have no obligation to reimburse any Issuing Bank to the extent that such payment was made in  error due to the gross negligence, bad faith, or willful misconduct of such Issuing Bank (as determined by a court of  competent jurisdiction or another independent tribunal having jurisdiction).  Neither the Administrative Agent, the  Lenders nor any Issuing Bank, nor any of their Affiliates, shall have any liability or responsibility by reason of or in  connection with the issuance or transfer of any Letter of Credit or any payment or failure to make any payment  thereunder (irrespective of any of the circumstances referred to in the preceding sentence), or any error, omission,  interruption, loss or delay in transmission or delivery of any draft, notice or other communication under or relating  to any Letter of Credit (including any document required to make a drawing thereunder), any error in interpretation  of technical terms or any consequence arising from causes beyond the control of any Issuing Bank; provided that the  foregoing  shall not  be construed to excuse any Issuing Bank  from liability  to the Borrowers to the extent  of any  direct  damages  (as  opposed  to  consequential  damages,  claims  in  respect  of  which  are  hereby  waived  by  each  Borrower  to  the  extent  permitted  by  applicable  law)  suffered  by  the  Borrowers  that  are  caused  by  such  Issuing  Bank’s failure to exercise care when determining whether drafts and other documents presented under a Letter of  Credit comply with the terms thereof.  The parties hereto expressly agree that, in the absence of gross negligence,  willful misconduct, or bad faith on the part of any Issuing Bank (as determined by a court of competent jurisdiction                                                 -108- 

 

  or another independent tribunal having jurisdiction), each Issuing Bank shall be deemed to have exercised care in  each  such  determination.   In  furtherance  of  the  foregoing  and  without  limiting  the  generality  thereof,  the  parties  agree that, with respect to documents presented which appear on their face to be in substantial compliance with the  terms of a Letter of Credit, each Issuing Bank may, in its sole discretion, either accept and make payment upon such  documents without responsibility for further investigation, regardless of any notice or information to the contrary, or  refuse to accept and make payment upon such documents if such documents are not in strict compliance with the  terms of such Letter of Credit.          (ii)   No Issuing Bank assumes any responsibility for any failure or delay in performance or any breach  by  any  Borrower  or  other  Person  of  any  obligations  under  any  LC  Document.   No  Issuing  Bank  makes  to  the  Lenders any express or implied warranty, representation or guaranty with respect to the Collateral, such documents  or any Credit Party.  No Issuing Bank shall be responsible to any Lender for any recitals, statements, information,  representations or warranties contained in, or for the execution, validity, genuineness, effectiveness or enforceability  of any LC Document; the validity, genuineness, enforceability, collectability, value or sufficiency of any Collateral  or  the perfection of  any  Lien therein;  or the assets, liabilities, financial  condition, results of  operations, business,  creditworthiness or legal status of any Credit Party.          (iii)  No Issuing Bank or any of its Affiliates, and their respective officers, directors, employees, agents  and investment advisors shall be liable to any Lender or other Person for any action taken or omitted to be taken in  connection  with  any  LC  Documents  except  as  a  result  of  its  actual  gross  negligence  or  willful  misconduct  as  determined by a court of competent jurisdiction in a final nonappealable judgment.  No Issuing Bank shall have any  liability  to  any  Lender  if  such  Issuing  Bank  refrains  from  any  action  under  any  Letter  of  Credit  or  such  LC  Documents until it receives written instructions from the Required Lenders.          (g)     Disbursement Procedures.  Each Issuing Bank shall examine all documents purporting to represent  a  demand  for  payment  under  a  Letter  of  Credit  within  the  period  stipulated  by  the  terms  and  conditions  of  such  Letter of Credit following its receipt of such documents.  After such examination, such Issuing Bank shall promptly  notify the Administrative Agent and the Lead Borrower by telephone (confirmed by telecopy) of such demand for  payment and whether such Issuing Bank has made or will make an LC Disbursement thereunder; provided that any  failure  to  give  or  delay  in  giving  such  notice  shall  not  relieve  any  Borrower  of  its  obligation  to  reimburse  such  Issuing Bank and the Lenders with respect to any such LC Disbursement (other than with respect to the timing of  such reimbursement obligation set forth in Section 2.13(e)).          (h)     Interim Interest.  If any Issuing Bank shall make any LC Disbursement, then, unless the applicable  Borrower  shall  reimburse  such  LC  Disbursement  in  full  on  the  date  such  LC  Disbursement  is  made,  the  unpaid  amount thereof shall bear interest, for each day from and including the date such LC Disbursement is made to but  excluding the date that such Borrower reimburses such LC Disbursement, at the rate per annum then applicable to  Base Rate Loans; provided that, if such Borrower fails to reimburse such LC Disbursement when due pursuant to  paragraph (e) of this Section 2.13, then Section 2.06(e) shall apply.  Interest accrued pursuant to this paragraph shall  be for the account of the applicable Issuing Bank, except that interest accrued on and after the date of payment by  any Lender pursuant to paragraph (e) of this Section 2.13 to reimburse such Issuing Bank shall be for the account of  such Lender to the extent of such payment.          (i)     Resignation  or  Removal  of  any  Issuing  Bank.   Any  Issuing  Bank  may  resign  as  Issuing  Bank  hereunder at any time upon at least 30 days’ prior written notice to the Lenders, the Administrative Agent and the  Lead Borrower.  Any Issuing Bank may be replaced at any time by agreement between the Lead Borrower and the  Administrative Agent; provided that so long as no Event of Default has occurred and is continuing under Section  11.01 or Section 11.05, such successor Issuing Bank shall be reasonably acceptable to the Lead Borrower.  One or  more  Lenders  may  be  appointed  as  additional  Issuing  Banks  in  accordance  with  subsection  (k)  below.   The  Administrative Agent shall notify the Lenders of any such replacement of such Issuing Bank or any such additional  Issuing Bank.  At the time any such resignation or replacement shall become effective, the Lead Borrower shall pay  all unpaid fees accrued for the account of the replaced Issuing Bank pursuant to Section 2.05(c).  From and after the  effective  date  of  any  such  resignation  or  replacement  or  addition,  as  applicable,  (i)  the  successor  or  additional  Issuing  Bank  shall  have  all  the  rights  and  obligations  of  an  Issuing  Bank  under  this  Agreement  with  respect  to  Letters of Credit to be issued thereafter and (ii) references herein to the term “Issuing Bank” shall be deemed to refer  to such successor or such addition or to any previous Issuing Bank, or to such successor or such additional Issuing                                                 -109- 

 

  Bank and all previous Issuing Banks, as the context shall require.  After the resignation or replacement of an Issuing  Bank hereunder, the replaced Issuing Bank shall remain a party hereto and shall continue to have all the rights and  obligations  of  an  Issuing  Bank  under  this  Agreement  with  respect  to  Letters  of  Credit  issued  by  it  prior  to  such  resignation or replacement, but shall not be required to issue additional Letters of Credit.  If at any time there is  more than one Issuing Bank hereunder, the Lead Borrower may, in its discretion, select which Issuing Bank is to  issue any particular Letter of Credit.          (j)     Cash Collateralization.           (i)   If any Specified Event of Default shall occur and be continuing, on the Business Day that the Lead  Borrower receives notice from the Administrative Agent (acting at the request of the Required Lenders) demanding  the  deposit  of  Cash  Collateral  pursuant  to  this  paragraph,  the  Lead  Borrower  shall  deposit  in  the  LC  Collateral  Account, in the name of the Administrative Agent and for the benefit of the Secured Creditors, an amount in cash  equal to 102.00% of the LC Exposure as of such date.  Each such deposit shall be held by the Administrative Agent  as collateral for the payment and performance of the obligations of the Lead Borrower under this Agreement, but  shall be immediately released and returned to the Lead Borrower (in no event later than two (2) Business Days) once  all Specified Events of Default are cured or waived.  The Administrative Agent shall have exclusive dominion and  control,  including  the  exclusive  right  of  withdrawal,  over  such  account.   Other  than  any  interest  earned  on  the  investment of such deposits, which investments shall be made only in Cash Equivalents and at the direction of the  Lead  Borrower  and  at  the  Lead  Borrower’s  risk  and  expense,  such  deposits  shall  not  bear  interest.   Interest  or  profits, if any, on such investments shall accumulate in such account.  Moneys in such account shall be applied by  the  Administrative  Agent  to  reimburse  the  Issuing  Banks  for  LC  Disbursements  for  which  they  have  not  been  reimbursed and, to the extent not so applied, shall be held for the satisfaction of the reimbursement obligations of the  Lead Borrower for the LC Exposure at such time or, if the maturity of the Loans has been accelerated (but subject to  the consent of Lenders with LC Exposure representing greater than 50% of the total LC Exposure), be applied to  satisfy other Obligations of the Lead Borrower.          (ii)   The Lead Borrower shall, on demand by an Issuing Bank or the Administrative Agent from time  to time, Cash Collateralize the Fronting Exposure associated with any Defaulting Lender.          (k)     Additional Issuing Banks.  The Lead Borrower may, at any time and from time to time with the  consent of the Administrative Agent (which consent shall not be unreasonably withheld, delayed or conditioned) and  such Lender, designate one or more additional Lenders to act as an issuing bank under the terms of this Agreement.   Any Lender designated as an issuing bank pursuant to this paragraph (k) shall be deemed (in addition to being a  Lender) to be an Issuing Bank  with respect to Letters of Credit issued or to be issued by such Lender, and all  references herein and in the other Credit Documents to the term “Issuing Bank” shall, with respect to such Letters of  Credit, be deemed to refer to such Lender in its capacity as Issuing Bank, as the context shall require.          (l)     No Issuing Bank shall be under an obligation to issue any Letter of Credit if:                   (i)   any order, judgment or decree of any Governmental Authority or arbitrator shall by  its         terms  purport  to  enjoin  or  restrain  such  Issuing  Bank  from  issuing  such  Letter  of  Credit,  or  any  law         applicable to such Issuing Bank or any request or directive (whether or not having the force of law) from         any Governmental Authority with jurisdiction over such Issuing Bank shall prohibit, or request that such         Issuing Bank refrain from, the issuance of letters of credit generally or such Letter of Credit in particular or         shall impose upon such Issuing Bank with respect to such Letter of Credit any restriction, reserve or capital         requirement  (for  which  such  Issuing  Bank  is  not  otherwise  compensated  hereunder)  not  in  effect  on  the         Amendment No. 5 Effective Date, or shall impose upon such Issuing Bank any unreimbursed loss, cost or         expense which was not applicable on the Amendment No. 5 Effective Date and which such Issuing Bank in         good faith deems material to it; or                  (ii)   the issuance of such Letter of Credit would violate one or more policies of such Issuing         Bank.          (m)     No  Issuing  Bank  shall  be  under  an  obligation  to  amend  any  Letter  of  Credit  if  (i) such  Issuing  Bank  would  have  no  obligation  at  such  time  to  issue  such  Letter  of  Credit  in  its  amended  form  under  the  terms                                                 -110- 

 

  hereof, or (ii) the beneficiary of such Letter of Credit does not accept the proposed amendment to such Letter of  Credit.          (n)     LC Collateral Account.           (i)   The Administrative Agent is hereby authorized to establish and maintain at the Notice Office, in  the  name  of  the  Administrative  Agent  and  pursuant  to  a  dominion  and  control  agreement,  a  restricted  deposit  account designated “The Lead Borrower LC Collateral Account” (or such sub-accounts as the Administrative Agent  may require for purposes of administration or collateral separation or otherwise).  Each Credit Party shall deposit  into the LC Collateral Account from time to time the Cash Collateral required to be deposited under Section 2.13(j)  hereof.          (ii)   The  balance  from  time  to  time  in  such  LC  Collateral  Account  shall  constitute  part  of  the  Applicable  Collateral  and  shall  not  constitute  payment  of  the  Obligations  until  applied  as  hereinafter  provided.   Notwithstanding  any  other  provision  hereof  to  the  contrary,  all  amounts  held  in  the  LC  Collateral  Account  shall  constitute collateral security first for the liabilities in respect of Letters of Credit outstanding from time to time and  second for the other Obligations hereunder until such time as all Letters of Credit shall have been terminated and all  of  the  liabilities  in  respect  of  Letters  of  Credit  have  been  paid  in  full.   All  funds  in  “The  Lead  Borrower  LC  Collateral Account” may be invested in accordance with the provisions of Section 2.13(j).          (o)     Extended  Commitments.   If  the  Maturity  Date  shall  have  occurred  at  a  time  when  Extended  Revolving Loan Commitments are in effect, then (i) such Letters of Credit shall automatically be deemed to have  been issued (including for purposes of the obligations of the Lenders to purchase participations therein and to make  payments in respect thereof pursuant to Sections 2.13(d) and (e)) under (and ratably participated in by Lenders) the  Extended Revolving Loan Commitments under the applicable Subfacility, if any, up to an aggregate amount not to  exceed  the  aggregate  principal  amount  of  the  unutilized  Extended  Revolving  Loan  Commitments  under  such  Subfacility  at  such  time  (it  being  understood  that  no  partial  face  amount  of  any  Letter  of  Credit  may  be  so  reallocated) and (ii) to the extent not reallocated pursuant to the immediately preceding clause (i), the Borrowers  shall  Cash  Collateralize  any  such  Letter  of  Credit  in  accordance  with  Section  2.13(j).   Except  to  the  extent  of  reallocations of participations pursuant to the prior sentence, the occurrence of the Maturity Date with respect to  Existing  Revolving  Loans  shall  have  no effect  upon  (and  shall not diminish) the percentage participations  of the  Lenders of Extended Revolving Loans in any Letter of Credit issued before the Maturity Date.          (p)     Indemnification.  Each Borrower agrees to indemnify, defend and hold harmless each Lender and  each Issuing Bank and its branches, Affiliates, and correspondents and each such Person’s respective directors,  officers, employees, attorneys and agents (each, including the Issuing Banks, a “Letter of Credit Related Person”)  (to the fullest extent permitted by law) from and against any and all claims, demands, suits, actions, investigations,  proceedings, liabilities, fines, costs, penalties, and damages, and all reasonable fees and disbursements of attorneys,  experts, or consultants and all other costs and expenses actually incurred in connection therewith or in connection  with the enforcement of this indemnification (as and when they are incurred and irrespective of whether suit is  brought), which may be incurred by or awarded against any Letter of Credit Related Person (other than Taxes,  which shall be governed by Article 5) (the “Letter of Credit Indemnified Costs”), and which arise out of or in  connection with, or as a result of this Agreement, any Letter of Credit, any LC Document, or any Letter of Credit  drawing document referred to in or related to any Letter of Credit, or any action or proceeding arising out of any of  the foregoing (whether administrative, judicial or in connection with arbitration); in each case, including that  resulting from the Letter of Credit Related Person’s own negligence; provided, that such indemnity shall not be  available to any Letter of Credit Related Person claiming indemnification to the extent that such Letter of Credit  Indemnified Costs may be finally determined in a final, non-appealable judgment of a court of competent  jurisdiction to have resulted directly from the gross negligence or willful misconduct of the Letter of Credit Related  Person claiming indemnity. This indemnification provision shall survive termination of this Agreement and all  Letters of Credit.          Section 2.14  Settlement Amongst Lenders.          (a)     The Swingline Lender may, at any time (but, in any event shall weekly), on behalf of the Lead  Borrower  (which  hereby  authorizes  the  Swingline  Lender  to  act  on  its  behalf  in  that  regard)  request  the                                                 -111- 

 

  Administrative Agent to cause the relevant Lenders to make a Revolving Loan (which shall be a Base Rate Loan) in  an  amount  equal  to  such  Lender’s  Pro  Rata  Percentage  of  the  Outstanding  Amount  of  Swingline  Loans,  which  request may be made regardless of whether the conditions set forth in Section 7 have been satisfied; provided that  such Lender’s Pro Rata Percentage shall be determined as a proportion of the U.S. Subfacility unless the outstanding  principal amount of U.S. FILO Loans is less than the U.S. FILO Line Cap, in which case an amount equal to (x) the  U.S. FILO Line Cap minus (y) the outstanding principal amount of U.S. FILO Loans of such Revolving Loan shall  be made as U.S. FILO Loans, and the remaining amount of such Revolving Loan shall be settled as U.S. Revolving  Loans.  Upon such request, each such Lender shall make available to the Administrative Agent the proceeds of such  U.S. FILO  Loan  and/or  U.S. Revolving  Loan  for the account  of  the  Swingline  Lender.   If  the Swingline  Lender  requires such a Revolving Loan to be made by the Lenders and the request therefor is received prior to 12:00 Noon  on a Business Day, such transfers shall be made in immediately available funds no later than 3:00 p.m. that day; and,  if the request therefor is received after 12:00 Noon, then  no later than 3:00 p.m. on the next Business Day.  The  obligation  of  each  such  Lender  to  transfer  such  funds  is  irrevocable,  unconditional  and  without  recourse  to  or  warranty by the Administrative Agent or the Swingline Lender.  If and to the extent any such Lender shall not have  so made its transfer to the Administrative Agent, such Lender agrees to pay to the Administrative Agent, forthwith  on demand, such amount, together with interest thereon, for each day from such date until the date such amount is  paid to the Administrative Agent, at the Federal Funds Rate.          (b)     The  amount  of  each  Lender’s  Pro  Rata  Percentage  of  outstanding  Revolving  Loans  (including  outstanding  Swingline  Loans)  shall  be  computed  weekly  (or  more  frequently  in  the  Administrative  Agent’s  discretion) and shall be adjusted upward or downward based on all Revolving Loans (including Swingline Loans)  and repayments of Revolving Loans (including Swingline Loans) received by the Administrative Agent as of 3:00  p.m. on the first Business Day (such date, the “Settlement Date”) following the end of the period specified by the  Administrative Agent.          (c)     The Administrative Agent shall deliver to each of the Lenders promptly after a Settlement Date a  summary statement of the amount of outstanding Revolving Loans (including Swingline Loans) for the period and  the amount of repayments received for the period.  As reflected on the summary statement, (i) the Administrative  Agent  shall  transfer  to  each  Lender  its  applicable  Pro  Rata  Percentage  of  applicable  repayments,  and  (ii)  each  Lender shall transfer to the Administrative Agent (as provided below) or the Administrative Agent shall transfer to  each Lender, such amounts as are necessary to insure that, after giving effect to all such transfers, the amount of  Revolving Loans made by each Lender under any applicable Subfacility with respect to Revolving Loans under such  Subfacility  to  the  Borrowers  (including  Swingline  Loans)  shall  be  equal  to  such  Lender’s  applicable  Pro  Rata  Percentage  under  such  Subfacility  of  Revolving  Loans  (including  Swingline  Loans)  outstanding  as  of  such  Settlement Date.  If the summary statement requires transfers to be made to the Administrative Agent by the Lenders  and is received prior to 12:00 Noon on a Business Day, such transfers shall be made in immediately available funds  no later than 3:00 p.m. that day; and, if received after 12:00 Noon, then no later than 3:00 p.m. on the next Business  Day.  The obligation of each Lender to transfer such funds is irrevocable, unconditional and without recourse to or  warranty by the Administrative Agent.  If and to the extent any Lender shall not have so made its transfer to the  Administrative Agent, such Lender agrees to pay to the Administrative Agent, forthwith on demand such amount,  together with interest thereon, for each day from such date until the date such amount is paid to the Administrative  Agent, at the Federal Funds Rate.          Section 2.15  Revolving Commitment Increase.          (a)     Subject to the terms and conditions set forth herein, after the Amendment No. 5 Effective Date,  the Lead Borrower shall have the right to request, by written notice to the Administrative Agent, an increase in the  Revolving Commitments under any Subfacility other than a FILO Subfacility (a “Revolving Commitment Increase”)  in an aggregate amount not to exceed $145,000,000; provided that (i) any Revolving Commitment Increase for the  U.S. Subfacility shall be on the terms (including the latest Maturity Date of any Class of Commitments under the  U.S.  Subfacility)  and  pursuant  to  the  documentation  applicable  to  the  U.S.  Subfacility,  (ii)  any  Revolving  Commitment Increase for the Asian Subfacility shall be on the terms (including the latest Maturity Date of any Class  of Commitments under the Asian Subfacility) and pursuant to the documentation applicable to the Asian Subfacility,  (iii) any Revolving Commitment Increase for the Canadian Subfacility shall be on the terms (including the latest  Maturity  Date  of  any  Class  of  Commitments  under  the  Canadian  Subfacility)  and  pursuant  to  the  documentation  applicable to the Canadian Subfacility, (iv) any Revolving Commitment Increase for the European Subfacility shall                                                 -112- 

 

  be on the terms (including the latest Maturity Date of any Class of Commitments under the European Subfacility)  and pursuant to the documentation applicable to the European Subfacility, (v) any Revolving Commitment Increase  for the French Subfacility shall be on the terms (including the latest Maturity Date of any Class of Commitments  under  the  French  Subfacility)  and  pursuant  to  the  documentation  applicable  to  the  French  Subfacility,  (vi)  any  Revolving  Commitment  Increase  for  the  German  Subfacility  shall  be  on  the  terms  (including  the  latest  Maturity  Date of any Class of Commitments under the German Subfacility) and pursuant to the documentation applicable to  the  German  Subfacility,  (vii)  the  Lead  Borrower  shall  only  be  permitted  to  request  six  Revolving  Commitment  Increases  after  the  Amendment  No.  5  Effective  Date,  (viii)  any  Revolving  Commitment  Increase  shall  be  in  a  minimum amount of $10,000,000 (which may be allocated in smaller increments to various Subfacilities so long as  the aggregate amount of the Revolving Commitment Increase is at least $10,000,000) or, if less than $10,000,000 is  available, the amount left available (or, in each case, such lesser amount as the Administrative Agent may agree in  its sole discretion) and (ix) following any Revolving Commitment Increase, the Revolving Commitments under the  Foreign Subfacilities shall not exceed 30% of the Aggregate Commitments.          (b)     Each notice submitted pursuant to this Section 2.15 (a “Revolving Commitment Increase Notice”)  requesting  a  Revolving  Commitment  Increase  shall  specify  the  amount  of  the  increase  in  the  Revolving  Commitments  being  requested  and  the  relevant  Subfacility  to  be  increased.   Upon  receipt  of  a  Revolving  Commitment Increase Notice, the Administrative Agent may (at the direction of the Lead Borrower) promptly notify  the  Lenders  under  the  applicable  Subfacility  and/or  such  other  Persons  who  may  participate  as  Lenders  of  the  requested  increase  in  Revolving  Commitments; provided  that  (i) each  applicable  Lender  or  additional  financial  institution  may elect or decline, in its sole discretion, to have its Revolving Commitment increased in connection  with  any  requested  Revolving  Commitment  Increase,  it  being  understood  that  no  Lender  shall  be  obligated  to  increase its Revolving Commitment unless it, in its sole discretion, so agrees; (ii) if commitments from additional  financial institutions are obtained in connection with the Revolving Commitment Increase, any Person or Persons  providing  such  commitment  shall  be  subject  to  the  written  consent  of  the  Administrative  Agent,  the  Swingline  Lenders  and  the  Issuing  Banks  (such  consent  not  to  be  unreasonably  withheld,  conditioned  or  delayed),  if  such  consent would be required pursuant to Section 13.04; (iii) any Person providing for such Revolving Commitment  Increase in respect of a French Borrower shall be a French Authorized Lender,  (iv) in no event shall a Defaulting  Lender be entitled to participate in such Revolving Commitment Increase and (v) no Issuing Bank or Swingline  Lender shall be required to act in such capacity under the Revolving Commitment Increase without its prior written  consent.  In the event that any Lender or other Person agrees to participate in any Revolving Commitment Increase  (each, an “Increase Loan Lender”), such Revolving Commitment Increase shall become effective on such date as  shall be mutually agreed upon by the Increase Loan Lenders and the Lead Borrower, which date shall be as soon as  practicable after the date of receipt of the Revolving Commitment Increase Notice (such date, the “Increase Date”);  provided that the establishment of such Revolving Commitment Increase shall be subject to the satisfaction of each  of the following conditions:  (1) subject to Section 1.05, no Event of Default would exist after giving effect thereto;  (2) the representations and warranties under Article 8 shall be true in all material respects, provided that, solely with  respect to Revolving Loans made under the Revolving Commitment Increases that are used to effect or finance a  Permitted  Acquisition  or  Investments  permitted  under  this  Agreement,  the  Borrowers  shall  have  the  option  of  making  any  representations  and  warranties  under  Article  8  (other  than  any  Specified  Representations)  and  determinations as to the availability of any “basket-carveouts” under Article 10 effective as of the date of entering  the  definitive  agreement  for  such  Permitted  Acquisition  or  such  Investment  in  accordance  with  the  Limited  Condition Transaction provisions set forth in Section 1.05; (3) the Revolving Commitment Increase shall be effected  pursuant  to  one  or  more  joinder  agreements  executed  and  delivered  by  the  Lead  Borrower,  the  Administrative  Agent,  and  the  Increase  Loan  Lenders,  each  of  which  shall  be reasonably  satisfactory  to  the  Lead  Borrower,  the  Administrative Agent, and the Increase Loan Lenders; (4) the Credit Parties shall execute and deliver or cause to be  executed and delivered to the Administrative Agent such amendments to the Credit Documents, legal opinions and  other  documents  as  the  Administrative  Agent  may  reasonably  request  in  connection  with  any  such  transaction,  which  amendments,  legal  opinions  and  other  documents  shall  be  reasonably  satisfactory  to  the  Administrative  Agent; and (5) the Borrowers shall have paid to the Administrative Agent and the Lenders such additional fees as  may be agreed to be paid by the Borrowers in connection therewith.          (c)     On  the  Increase  Date,  upon  fulfillment  of  the  conditions  set  forth  in  this  Section  2.15,  (i)  the  Administrative Agent shall effect a settlement of all outstanding Revolving Loans under the increased Subfacility  among the Lenders that will reflect the adjustments to the Revolving Commitments of the applicable Lenders as a  result  of  the  Revolving  Commitment  Increase,  (ii)  the  Administrative  Agent  shall  notify  the  Lenders  and  Credit                                                 -113- 

 

  Parties  of  the  occurrence  of  the  Revolving  Commitment  Increase  to  be  effected  on  the  Increase  Date,  (iii)  Schedule 2.01 shall be deemed modified to reflect the revised Revolving Commitments of the affected Lenders and  (iv) with respect to any Revolving Commitment Increase to the U.S. Subfacility or the Canadian Subfacility, Notes  will be issued, at the expense of the Borrowers, to any Lender participating in the Revolving Commitment Increase  and requesting a Note.          (d)     The  terms  and  provisions  of  the  Revolving  Commitment  Increase  shall  be  identical  to  the  Revolving  Loans  and  the  Revolving  Commitments  under  the  applicable  Subfacility  and,  for  purposes  of  this  Agreement and the other Credit Documents, all Revolving Loans made under the Revolving Commitment Increase  shall be deemed to be Revolving  Loans.  Without  limiting  the generality of the foregoing, (i) the rate  of interest  applicable to the Revolving Commitment Increase shall be the same as the rate of interest applicable to the existing  Revolving Loans, (ii) unused line fees applicable to the Revolving Commitment Increase shall be calculated using  the  same  Unused  Line  Fee  Rates  applicable  to  the  existing  Revolving  Loans,  (iii) the  Revolving  Commitment  Increase shall share ratably in any mandatory prepayments of the Revolving Loans under the applicable Subfacility,  (iv) after giving effect to such Revolving Commitment Increases, Revolving Commitments shall be reduced based  on each Lender’s Pro Rata Percentage, and (v) the Revolving Commitment Increase shall rank pari passu in right of  payment and security with the existing Revolving Loans under the applicable Subfacility.  Each joinder agreement  and  any  amendment  to  any  Credit  Document  requested  by  the  Administrative  Agent  in  connection  with  the  establishment of the Revolving Commitment Increase may, without the consent of any of the Lenders, effect such  amendments  to  this  Agreement  (an  “Incremental  Revolving  Commitment  Agreement”)  and  the  other  Credit  Documents as may be reasonably necessary or appropriate, in the opinion of the Administrative Agent and the Lead  Borrower, to effect the provisions of this Section 2.15.          Section 2.16  Lead  Borrower  and  Applicable  Administrative  Borrower.   Each  Borrower  hereby  designates the Lead Borrower as its representative and agent for all purposes under the Credit Documents, including  requests  for  Revolving  Loans  and  Letters  of  Credit,  designation  of  interest  rates,  delivery  or  receipt  of  communications, preparation and delivery of Borrowing Base Certificates and financial reports, receipt and payment  of  Obligations,  requests  for  waivers,  amendments  or other  accommodations,  actions  under  the  Credit  Documents  (including  in  respect  of  compliance  with  covenants),  and  all  other  dealings  with  the  Administrative  Agent,  any  Issuing Bank or any Lender, and each Borrower of any Subfacility hereby designates the Applicable Administrative  Borrower  of  such  Subfacility  as  its  representative  and  agent  for  purposes  of  requests  for  Revolving  Loans  and  Letters of Credit and designation of interest rates.  Each of the Lead Borrower and each Applicable Administrative  Borrower hereby accepts such appointment.  The Administrative Agent and the Lenders shall be entitled to rely  upon,  and  shall  be  fully  protected  in  relying  upon,  any  notice  or  communication  (including  any  Notice  of  Borrowing) delivered by the Lead Borrower on behalf of any Borrower, and any Notice of Borrowing, request for a  Letter  of  Credit  or  designation  of  interest  rate  by  any  Applicable  Administrative  Borrower  on  behalf  of  the  Borrowers  of its  Subfacility.   The Administrative  Agent  and the Lenders  may  give any  notice or communication  with a Borrower hereunder to the Lead Borrower on behalf of such Borrower.  Each of the Administrative Agent,  the Issuing Banks and the Lenders shall have the right, in its discretion, to deal exclusively with the Lead Borrower  for  any  or  all  purposes  under  the  Credit  Documents.   Each  Borrower  agrees  that  any  notice,  election,  communication, representation, agreement or undertaking made on its behalf by the Lead Borrower or, in the case of  any Notice of Borrowing, request for a Letter of Credit or designation of interest rate, the Applicable Administrative  Borrower for its Subfacility shall be binding upon and enforceable against it.          Section 2.17  Overadvances.   If  (i) the  aggregate  U.S.  Revolving  Loans  outstanding  exceed  the  U.S.  Line  Cap,  (ii) the  aggregate  Asian  Revolving  Loans  outstanding  exceed  the  Asian  Line  Cap,  (iii) the  aggregate  Canadian Revolving Loans outstanding exceed the Canadian Line Cap, (iv) the aggregate French Revolving Loans  outstanding  exceed  the  French  Line  Cap,  (v) the  aggregate  German  Revolving  Loans  outstanding  exceed  the  German  Line  Cap,  (vi)  the  aggregate  European  Revolving  Loans  outstanding  exceed  the  European  Line  Cap  or  (vii) the aggregate Revolving Loans outstanding exceed the Line Cap (each of the foregoing clauses (i), (ii), (iii),  (iv),  (v),  (vi)  and  (vii),  an  “Overadvance”),  in  each  case  at  any  time,  the  excess  amount  shall  be  payable  by  the  applicable Borrowers on demand (or, if such Overadvance is due to the imposition of new Reserves, a change in the  methodology of calculating existing Reserves, a change in eligibility standards or the occurrence of a Revaluation  Date, within five Business Days following notice) by the Administrative Agent, but all such Revolving Loans shall  nevertheless  constitute  Obligations  secured  by  the  Applicable  Collateral  and  entitled  to  all  benefits  of  the  Credit  Documents.  The Administrative Agent may require the Lenders to honor requests for Overadvance Loans and to                                                 -114- 

 

  forbear from requiring the Borrowers to cure an Overadvance, (a) when no other Event of Default is known to the  Administrative Agent, as long as (i) the Overadvance does not continue for more than 30 consecutive days (and no  Overadvance may exist for at least five consecutive days thereafter before further Overadvance Loans are required)  and  (ii)  the  aggregate  amount  of  all  Overadvances  and  Protective  Advances  is  not  known  by  the  Administrative  Agent to exceed 10% of the Aggregate Borrowing Base, (b) regardless of whether an Event of Default exists, if the  Administrative  Agent  discovers an  Overadvance not  previously  known  by it  to  exist, as long as  from  the date of  such discovery the Overadvance (i) is not increased by more than $500,000, and (ii) does not continue for more than  30  consecutive  days.   In  no  event  shall  Overadvance  Loans  be  required  that  would  cause  (i)  the  aggregate  outstanding U.S. Revolving Loans and LC Obligations to exceed the aggregate U.S. Revolving Commitments, (ii)  the aggregate outstanding Asian Revolving Loans to exceed the aggregate Asian Revolving Commitments, (iii) the  aggregate outstanding Canadian Revolving Loans to exceed the aggregate Canadian Revolving Commitments, (iv)  the aggregate outstanding French Revolving Loans to exceed the aggregate French Revolving Commitments, (v) the  aggregate outstanding German Revolving Loans to exceed the aggregate German Revolving Commitments, (vi) the  aggregate outstanding European Revolving Loans to exceed the aggregate European Revolving Commitments, or  (vii) the  Aggregate Exposure to exceed  the Aggregate  Commitments.  The  making of  any Overadvance shall not  create  nor  constitute  a  Default  or  Event  of  Default;  it  being  understood  that  the  making  or  continuance  of  an  Overadvance shall not constitute a waiver by the Administrative Agent or the Lenders of the then existing Event of  Default.  In no event shall any Borrower or other Credit Party be permitted to require any Overadvance Loan to be  made.          Section 2.18  Protective  Advances.   The  Administrative  Agent  shall  be  authorized,  in  its  discretion,  following notice to and consultation with the Lead Borrower, at any time, to make Base Rate Loans, Canadian Prime  Rate Loans, or LIBO Rate Loans with an Interest Period of one month (other than in U.S. Dollars) (each such loan  in respect of U.S. Collateral, a “U.S. Protective Advance”; in respect of Hong Kong Collateral, Singapore Collateral  and Australian Collateral, an “Asian Protective Advance”, in respect of Canadian Collateral, a “Canadian Protective  Advance”, in respect of UK Collateral and Irish Collateral, a “European Protective Advance,” in respect of French  Collateral, a “French Protective Advance”, in respect of German Collateral, a “German Protective Advance”  and  collectively,  “Protective  Advances”)  (a)  (i)  in  an  aggregate  amount,  together  with  the  aggregate  amount  of  all  Overadvance Loans, not to exceed 10% of the Aggregate Borrowing Base, (ii) in an aggregate amount, together with  the aggregate amount of Overadvance Loans under the U.S. Subfacility, not to exceed 10% of the U.S. Borrowing  Base,  (iii)  in  an  aggregate  amount,  together  with  the  aggregate  amount  of  Overadvance  Loans  under  the  Asian  Subfacility,  not  to  exceed  10%  of  the  Asian  Borrowing  Base,  (iv)  in  an  aggregate  amount,  together  with  the  aggregate amount of Overadvance Loans under the French Subfacility, not to exceed 10% of any French Borrowing  Base,  (v)  in  an  aggregate  amount,  together  with  the  aggregate  amount  of  Overadvance  Loans  under  the  German  Subfacility, not to exceed 10% of any German Borrowing Base, and (vi) in an aggregate amount, together with the  aggregate  amount  of  Overadvance  Loans  under  the  European  Subfacility,  not  to  exceed  10%  of  the  European  Borrowing Base, in each case, if the Administrative Agent deems such Protective Advances necessary or desirable  to preserve and protect the Applicable Collateral, or to enhance the collectability or repayment of the Obligations  under such Subfacility; or (b) to pay any other amounts chargeable to Credit Parties under any Credit Documents,  including costs, fees and expenses; provided that, (i) the aggregate amount of outstanding Protective Advances plus  the outstanding amount of Revolving Loans and LC Obligations shall not exceed the Aggregate Commitments, (ii)  the  aggregate  amount  of  outstanding  U.S.  Protective  Advances plus  the  outstanding  amount  of  U.S.  Revolving  Loans and LC Obligations shall not exceed the aggregate U.S. Revolving Commitments, (iii) the aggregate amount  of outstanding Asian Protective Advances plus the outstanding amount of Asian Revolving Loans shall not exceed  the  aggregate  Asian  Revolving  Commitments,  (iv)  the  aggregate  amount  of  outstanding  Canadian  Protective  Advances plus  the  outstanding  amount  of  Canadian  Revolving  Loans  shall  not  exceed  the  aggregate  Canadian  Revolving Commitments, (v) the aggregate amount of outstanding French Protective Advances plus the outstanding  amount  of  French  Revolving  Loans  shall  not  exceed  the  aggregate  French  Revolving  Commitments,  (vi)  the  aggregate amount of outstanding German Protective Advances plus the outstanding amount of German Revolving  Loans  shall  not  exceed  the  aggregate  German  Revolving  Commitments,  and  (vii)  the  aggregate  amount  of  outstanding  European  Protective  Advances plus  the  outstanding  amount  of  European  Revolving  Loans  shall  not  exceed the aggregate European Revolving Commitments.  Each Lender shall participate in each Protective Advance  in accordance with its Pro Rata Percentage.  Required Lenders may at any time revoke the Administrative Agent’s  authority to make further Protective Advances under clause (a) above by written notice to the Administrative Agent.   Absent  such  revocation,  the  Administrative  Agent’s  determination  that  funding  of  a  Protective  Advance  is  appropriate shall be conclusive.  The Administrative Agent may use the proceeds of such Protective Advances to                                                 -115- 

 

  (a) protect,  insure,  maintain  or  realize  upon  any  Applicable  Collateral;  or  (b) defend  or  maintain  the  validity  or  priority of the Administrative Agent’s Liens in any Applicable Collateral, including any payment of a judgment,  insurance premium, warehouse charge, finishing or processing charge, or landlord claim, or any discharge of a Lien;  provided that the Administrative Agent  shall  use reasonable efforts to notify  the Lead Borrower after paying any  such amount or taking any such action and shall not make payment of any item that is being Properly Contested.          Section 2.19  Extended Loans.          (a)     Notwithstanding  anything  to  the  contrary  in  this  Agreement,  subject  to  the  terms  of  this  Section 2.19,  the  Lead  Borrower  may  at  any  time  and  from  time  to  time  when  no  Event  of  Default  then  exists  request that all or a portion of the then-existing Revolving Loans under any Subfacility (the “Existing  Revolving  Loans”),  together  with  any  related  outstandings,  be  converted  to  extend  the  scheduled  maturity  date(s)  of  any  payment of principal with respect to all or any portion of the principal amount (and related outstandings) of such  Revolving Loans (any such Revolving Loans which have been so converted, “Extended Revolving Loans”) and to  provide for other terms consistent with this Section 2.19.  In order to establish any Extended Revolving Loans, the  Lead Borrower shall provide a notice to the Administrative Agent (who shall provide a copy of such notice to each  of the Lenders) (each, an “Extension Request”) setting forth the proposed terms of the Extended Revolving Loans to  be established, which shall (x) be identical as offered to each Lender (including as to the proposed interest rates and  fees payable) and (y) be identical to the Existing Revolving Loans, except that:  (i) repayments of principal of the  Extended  Revolving  Loans  may  be  delayed  to  later  dates  than  the  Maturity  Date;  (ii)  the  Effective  Yield  with  respect to the Extended Revolving Loans (whether in the form of interest rate margin, upfront fees, original issue  discount  or  otherwise)  may  be  different  than  the  Effective  Yield  for  the  Existing  Revolving  Loans  to  the  extent  provided  in  the  applicable  Extension  Amendment;  and  (iii)  the  Extension  Amendment  may  provide  for  other  covenants and terms that apply solely to any period after the Maturity Date that is in effect on the effective date of  the Extension Amendment (immediately prior to the establishment of such Extended Revolving Loans); provided,  however,  that  (A)  in  no  event  shall  the  final  maturity  date  of  any  Extended  Revolving  Loans  at  the  time  of  establishment thereof be earlier than the then Maturity Date of any other Revolving Loans hereunder and (B) the  Weighted Average Life to Maturity of any Extended Revolving Loans at the time of establishment thereof shall be  no shorter than the remaining Weighted Average Life to Maturity of any other Revolving Loans then outstanding.   Any Extended Revolving Loans converted pursuant to any Extension Request shall be designated a series (each, an  “Extension Series”) of Extended Revolving Loans, as applicable, for all purposes of this Agreement; provided that  (i)  any  Extended  Revolving  Loans  converted  from  Existing  Revolving  Loans  may,  to  the  extent  provided  in  the  applicable Extension Amendment, be designated as an increase in any previously established Extension Series with  respect  to  such  Revolving  Loans  and  (ii)  any  Person  providing  for  an  Extended  Revolving  Loan  to  a  French  Borrower shall be a French Authorized Lender.          (b)     With respect to any Extended Revolving Loans, subject to the provisions of Sections 2.12(e) and  2.13(o), to the extent dealing with Swingline Loans and Letters of Credit which mature or expire after the Maturity  Date,  all  Swingline  Loans  and  Letters  of  Credit  shall  be  participated  in  on  a pro  rata  basis  by  all  Lenders  with  Revolving Commitments and/or Extended Revolving Loan Commitments in accordance with their Pro Rata Share of  the Aggregate Commitments under each Extension Series of Extended Revolving Loans, and the Existing Revolving  Loans, of the applicable Subfacility (and, except as provided in Sections 2.12(e) and 2.13(o), without giving effect  to changes thereto on the Maturity Date with respect to Swingline Loans and Letters of Credit theretofore incurred  or issued) and all borrowings under the Aggregate Commitments and repayments thereunder shall be made on a pro  rata basis (except for (x) payments of interest and fees at different rates on Extended Revolving Loan Commitments  (and related outstandings) and (y) repayments required upon any Maturity Date of any Revolving Commitments or  Extended Revolving Loan Commitments).          (c)     The Lead Borrower shall provide the applicable Extension Request at least ten (10) Business Days  prior to the date on which Lenders under the Existing Revolving Loans, are requested to respond, and shall agree to  such procedures, if any, as may be established by, or acceptable to, the Administrative Agent, in each case acting  reasonably to accomplish the purposes of this Section 2.19.  No Lender shall have any obligation to agree to have  any of its Existing Revolving Loans converted into Extended Revolving Loans pursuant to any Extension Request.   Any Lender (each, an “Extending Lender”) wishing to have all or a portion of its Existing Revolving Loans subject  to such Extension Request converted into Extended Revolving Loans shall notify the Administrative Agent (each, an  “Extension  Election”)  on  or  prior  to  the  date  specified  in  such  Extension  Request  of  the  amount  of  its  Existing                                                 -116- 

 

  Revolving  Loans  which  it  has  elected  to  request  be  converted  into  Extended  Revolving  Loans  (subject  to  any  minimum denomination requirements imposed by the Administrative Agent).  Any Lender that does not respond to  the Extension Request on or prior to the date specified therein shall be deemed to have rejected such Extension  Request.   In  the  event  that  the  aggregate  principal  amount  of  Existing  Revolving  Loans  subject  to  Extension  Elections  relating  to  a  particular  Extension  Request  exceeds  the  amount  of  Extended  Revolving  Loans  requested  pursuant to such Extension Request,  Revolving  Loans  subject to such Extension Elections shall be converted to  Extended  Revolving  Loans,  on  a pro  rata  basis  based  on  the  aggregate  principal  amount  of  Revolving  Loans  included  in  each  such  Extension  Elections  or  to  the  extent  such  option  is  expressly  set  forth  in  the  respective  Extension Request, the Lead Borrower shall have the option to increase the amount of Extended Revolving Loans so  that such excess does not exist.          (d)     Extended Revolving Loans shall be established pursuant to an amendment (each, an “Extension  Amendment”)  to  this  Agreement  among  the  Borrowers,  the  Administrative  Agent  and  each  Extending  Lender  providing Extended Revolving Loans thereunder which shall be consistent with the provisions set forth in Section  2.19(a)  above  (but  which  shall  not  require  the  consent  of  any  other  Lender).   The  Administrative  Agent  shall  promptly notify each relevant Lender as to the effectiveness of each Extension Amendment.          (e)     With respect to any Extension Amendment consummated by a Borrower pursuant to this Section  2.19,  (i)  such  Extension  Amendment  shall  not  constitute  voluntary  or  mandatory  payments  or  prepayments  for  purposes of this Agreement, (ii) with respect to Extended Revolving Loan Commitments, if the aggregate amount  extended is less than (A) the LC Commitment, the LC Commitment shall be reduced upon the date that is five (5)  Business Days prior to the Maturity Date (to the extent needed so that the LC Commitment does not exceed the  aggregate  Revolving  Commitment  which  would  be  in  effect  after  the  Maturity  Date),  and,  if  applicable,  the  Borrowers shall Cash Collateralize obligations under any issued Letters of Credit in an amount equal to 102% of the  stated amount of such Letters of Credit, or (B) the Swingline Commitment, the Swingline Commitment shall be  reduced upon the date that is five (5) Business Days prior to the Maturity Date (to the extent needed so that the  Swingline Commitment does not exceed the aggregate Revolving Commitment which would be in effect after the  Maturity  Date),  and,  if  applicable,  the  Borrowers  shall  prepay  any  outstanding  Swingline  Loans.   The  Administrative  Agent  and  the  Lenders  hereby  consent  to  each  Extension  Amendment  and  the  other  transactions  contemplated by this Section 2.19 (including, for the avoidance of doubt, payment of any interest or fees in respect  of any Extended Revolving Loan Commitments on such terms as may be set forth in the Extension Request) and  hereby waive the requirements of any provision of this Credit Agreement or any other Credit Document that may  otherwise prohibit any Extension Amendment or any other transaction contemplated by this Section 2.19; provided  that such consent shall not be deemed to be an acceptance of the Extension Request.          (f)     Each of the parties hereto hereby agrees that this Agreement and the other Credit Documents may  be amended pursuant to an Extension Amendment, without the consent of any other Lenders, to the extent (but only  to the extent) necessary to (i) reflect the existence and terms of any Extended Revolving Loans incurred pursuant  thereto,  (ii)  establish  new  tranches  or  sub-tranches  in  respect  of  Revolving  Commitments  so  extended  and  such  technical  amendments  as  may  be  necessary  in  connection  with  the  establishment  of  such  new  tranches  or  sub- tranches,  in  each  case  on  terms  consistent  with  this  Section  2.19,  and  (iii)  effect  such  other  amendments  to  this  Agreement and the other Credit Documents as may be necessary or appropriate, in the reasonable opinion of the  Administrative  Agent  and  the  Lead  Borrower,  to  effect  the  provisions  of  this  Section,  and  the  Required  Lenders  hereby  expressly  authorize  the  Administrative  Agent  to  enter  into  any  such  Extension  Amendment.   Notwithstanding the foregoing, the Administrative Agent shall have the right (but not the obligation) to seek the  advice or concurrence of the Required Lenders with respect to any matter contemplated by this Section 2.19 and, if  the Administrative Agent seeks such advice or concurrence, the Administrative Agent shall be permitted to enter  into such amendments with the Borrowers in accordance with any instructions actually received by such Required  Lenders and shall also be entitled to refrain from entering into such amendments with the Borrowers unless and until  it shall have received such advice or concurrence; provided, however, that whether or not there has been a request by  the Administrative Agent for any such advice or concurrence, all such amendments entered into with the Borrowers  by  the  Administrative  Agent  hereunder  shall  be  binding  and  conclusive  on  the  Lenders.   Without  limiting  the  foregoing,  in  connection  with  any  Extension  Amendment,  the  respective  Credit  Parties  shall  (at  their  expense)  amend (and the Administrative Agent is hereby directed to amend) any Mortgage that has a maturity date prior to  the Latest Maturity Date so that such maturity date is extended to the Latest Maturity Date (or such later date as may  be advised by local counsel to the Administrative Agent).                                                 -117- 

 

         ARTICLE 3      Yield Protection, Illegality and Replacement of Lenders.          Section 3.01  Increased Costs, Alternate Rate of Interest, Illegality, etc.          (a)     In the event:                   (i)   the Administrative Agent shall have determined (which determination shall be conclusive         absent manifest error) on any Interest Determination Date that, by reason of any changes arising after the         Amendment No. 5 Effective Date affecting the interbank Eurodollar market, adequate and fair  means do         not  exist for ascertaining  the  applicable interest  rate  on the  basis provided for in  the definition of  LIBO         Rate,  CDOR  Rate,  HIBOR  Rate,  SOR   Rate,  BBSY  Rate  or  CNH  HIBOR  Rate;  provided  that  no         Benchmark Transition Event shall have occurred at such time;                  (ii)   the Administrative Agent is advised by the Required Lenders that the LIBO Rate, CDOR         Rate,  HIBOR  Rate,  SOR  Rate,  BBSY  Rate  or  CNH  HIBOR  Rate  for  such  Interest  Period  will  not         adequately and fairly reflect the cost to such Lenders of making or maintaining their Loans included in such         Borrowing for such Interest Period; or                  (iii)   at any time, if the making or continuance of any LIBO Rate Loan has been made (x)         unlawful  by  any  law  or  governmental  rule,  regulation  or  order,  (y)  impossible  by  compliance  by  any         Lender  in  good  faith  with  any  governmental  request  (whether  or  not  having  force  of  law)  or  (z)         impracticable  as  a  result  of  a  contingency  occurring  after  the  Amendment  No.  5  Effective  Date  which         materially and adversely affects the interbank eurodollar market;   then the Administrative Agent (or such Lender, in the case of clause (iii) above) shall give notice thereof to the Lead  Borrower  and  the  Lenders  by  telephone  or  telecopy  as  promptly  as  practicable  thereafter  and,  until  the  Administrative Agent (or such Lender, in the case of clause (iii) above)  notifies the Lead Borrower and the Lenders  that  the  circumstances  giving  rise  to  such  notice  no  longer  exist,  (i)  any  Notice  of  Conversion/Continuation  that  requests the conversion of any Borrowing to, or continuation of any Borrowing as, a Borrowing of a LIBO Rate  Loan, CDOR Rate Loan, HIBOR Loan, SOR Loan, BBSY Loan or CNH HIBOR Loan (as applicable) shall be  ineffective, (ii) if any Borrower requests a Borrowing of a LIBO Rate Loan, CDOR Rate Loan, HIBOR Loan, SOR  Loan, BBSY Loan or CNH HIBOR Loan (as applicable), such Borrowing shall be made as a Borrowing of a Base  Rate Loan, Canadian Prime Rate Loan or Alternate Rate Loan, and (iii) in the case of a LIBO Rate Loan affected by  the  circumstances described  in Section 3.01(a)(iii),  the Lead  Borrower shall, either (x) if the affected LIBO Rate  Loan is then being made initially or pursuant to a conversion, cancel such Borrowing by giving the Administrative  Agent telephonic notice (confirmed in writing) on the same date that the Lead Borrower was notified by the affected  Lender or the Administrative Agent pursuant to Section 3.01(a)(iii) or (y) if the affected LIBO Rate Loan is then  outstanding,  upon at least three Business Days’  written  notice to the  Administrative  Agent, require the affected  Lender to convert such LIBO Rate Loan into a Base Rate Loan; provided that if more than one Lender is affected at  any time, then all affected Lenders must be treated the same pursuant to this Section 3.01(a), respectively.          (b)     (i)    Notwithstanding anything to the contrary herein or in any other Credit Document, upon  the  occurrence  of  a  Benchmark  Transition  Event  or  an  Early  Opt-in  Election,  as  applicable,  the  Administrative  Agent  and  the  Borrowers  may  amend  this  Agreement  to  replace  the  LIBO  Screen  Rate  with  a  Benchmark  Replacement.  Any  such amendment  with  respect to a Benchmark Transition Event  will  become effective at 5:00  p.m.  on  the  fifth  (5th)  Business  Day  after  the  Administrative  Agent  has  posted  such  proposed  amendment  to  all  Lenders and the Lead Borrower, so long as the Administrative Agent has not received, by such time, written notice  of  objection  to  such  proposed  amendment  from  Lenders  comprising  the  Required  Lenders;  provided  that,  with  respect to any proposed amendment containing any SOFR-Based Rate, the Lenders shall be entitled to object only to  the Benchmark Replacement Adjustment contained therein. Any such amendment with respect to an Early Opt-in  Election  will become effective on the date that  Lenders comprising the Required  Lenders have delivered to the  Administrative  Agent  written  notice  that  such  Required  Lenders  accept  such  amendment.  No  replacement  of  the  LIBO Screen Rate with a Benchmark Replacement will occur prior to the applicable Benchmark Transition Start  Date.                                                  -118- 

 

                 (ii)   In connection with the implementation of a Benchmark Replacement, the Administrative         Agent will have the right to make Benchmark Replacement Conforming Changes from time to time and,         notwithstanding  anything  to  the  contrary  herein  or  in  any  other  Credit  Document,  any  amendments         implementing  such  Benchmark  Replacement  Conforming  Changes  will  become  effective  without  any         further action or consent of any other party to this Agreement.                 (iii)   The Administrative Agent will promptly notify the Lead Borrower and the Lenders of (i)         any  occurrence  of  a  Benchmark  Transition  Event  or  an  Early  Opt-in  Election,  as  applicable,   (ii)  the         implementation  of any  Benchmark  Replacement,  (iii)  the  effectiveness  of  any  Benchmark  Replacement         Conforming Changes and (iv) the commencement or conclusion of any Benchmark Unavailability Period.          Any determination, decision or election that may be made by the Administrative Agent or Lenders pursuant         to this Section 3.01(b),  including any  determination  with  respect  to  a tenor,  rate or  adjustment  or of the         occurrence or non-occurrence of an event, circumstance or date and any decision to take or refrain from         taking any action, will be conclusive and binding absent manifest error and may be made in its or their sole         discretion  and  without  consent  from  any  other  party  hereto,  except,  in  each  case,  as  expressly  required         pursuant to this Section 3.01(b).                  (iv)   Upon  the  Lead  Borrower’s  receipt  of  notice  of  the  commencement  of  a  Benchmark         Unavailability  Period,  (i)  any  Notice  of  Conversion/Continuation  that  requests  the  conversion  of  any         Revolving Borrowing to, or continuation of any Revolving Borrowing as, a LIBO Rate Loan that is based         on the LIBO Screen Rate shall be ineffective and (ii) if any Notice of Borrowing requests a LIBO Rate         Loan  that  is  based  on  the  LIBO  Screen  Rate,  (A)  the  applicable  Borrower  may  revoke  such  Notice  of         Borrowing  or  (B)  absent  a  revocation  by  the  applicable  Borrower,  such  Revolving  Borrowing  shall  be         made as a Base Rate Loan (to the extent of the affected LIBO Rate Loans or Interest Periods); provided that         any LIBO Rate Loans based on the LIBO Screen Rate that remain outstanding after such Interest Period         shall be converted into Base Rate Loans.          (c)     If any Change in Law shall:                   (i)   impose,  modify  or  deem  applicable  any  reserve,  special  deposit,  liquidity  or  similar         requirement  (including  any  compulsory  loan  requirement,  insurance  charge  or  other  assessment)  against         assets of, deposits with or for the account of, or credit extended by, any Lender or any Issuing Bank;                  (ii)   impose  on  any  Lender  or  any  Issuing  Bank  or  the  London  interbank  market  any  other         condition, cost or expense (other than Taxes) affecting this Agreement or Loans made by such Lender or         such Issuing Bank; or                 (iii)   subject any Lender, any Issuing Bank or the Administrative Agent to any Taxes (other         than  (A)  Taxes  indemnified  under  Section  5.01(a)  or  (B)  Excluded  Taxes)  on  its  loans,  loan  principal,         commitments, or other obligations, or its deposits, reserves, other liabilities or capital attributable thereto;   and  the  result  of  any  of  the  foregoing  shall  be  to  increase  the  cost  to  such  Lender,  such  Issuing  Bank  or  the  Administrative Agent of making, continuing, converting or maintaining any Loan (or of maintaining its obligation to  make any such Loan) or to reduce the amount of any sum received or receivable by such Lender, such Issuing Bank  or the Administrative Agent hereunder (whether of principal, interest or otherwise), then the Lead Borrower will pay  to  such  Lender,  such  Issuing  Bank  or  the  Administrative  Agent,  as  the  case  may  be,  such  additional  amount  or  amounts as will compensate such Lender, such Issuing Bank or the Administrative Agent, as the case may be, for  such additional costs incurred or reduction suffered.          (d)     If  any  Lender  or  any  Issuing  Bank  determines  that  any  Change  in  Law  regarding  capital  or  liquidity requirements has or would have the effect of reducing the rate of return on such Lender’s capital or on the  capital of such Lender’s or such Issuing Bank’s holding company, if any, as a consequence of this Agreement or the  Loans made by such Lender or such Issuing Bank, to a level below that which such Lender or such Lender’s or such  Issuing Bank’s holding company could have achieved but for such Change in Law (taking into consideration such  Lender’s policies and the policies of such Lender’s or such Issuing Bank’s holding company with respect to capital  adequacy and liquidity), then from time to time the Lead Borrower will pay to such Lender such additional amount                                                 -119- 

 

  or amounts as will compensate such Lender or such Lender’s or such Issuing Bank’s holding company for any such  reduction suffered.          (e)     A certificate of a Lender, an Issuing Bank or the Administrative Agent setting forth the amount or  amounts  necessary  to  compensate  such  Lender,  such  Issuing  Bank  or  the  Administrative  Agent  or  its  holding  company, as the case may be, as specified in clause (b) or (c) of this Section 3.01, and certifying that it is the general  practice  and  policy  of  such  Lender  or  such  Issuing  Bank  to  demand  such  compensation  from  similarly  situated  borrowers in similar circumstances at such time to the extent it is legally permitted to do so, shall be delivered to the  Lead  Borrower  and  shall  be  conclusive  absent  manifest  error.   The  Lead  Borrower  shall  pay  such  Lender,  such  Issuing Bank or the  Administrative  Agent, as  the case  may be, the amount  shown as  due on any  such certificate  within 10 Business Days after receipt thereof.          (f)     Failure  or  delay  on  the  part  of  any  Lender,  any  Issuing  Bank  or  the  Administrative  Agent  to  demand compensation pursuant to this Section shall not constitute a waiver of such Lender’s, such Issuing Bank’s or  the  Administrative  Agent’s  right  to  demand  such  compensation; provided  that  the  Lead  Borrower  shall  not  be  required  to  compensate  a  Lender,  an  Issuing  Bank  or  the  Administrative  Agent  pursuant  to  this  Section  for  any  increased costs or reductions incurred more than 180 days prior to the date that such Lender, such Issuing Bank or  the Administrative Agent, as the case may be, notifies the Lead Borrower of the Change in Law giving rise to such  increased costs or reductions and of such Lender’s, such Issuing Bank’s or the Administrative Agent’s intention to  claim  compensation  therefor; provided, further,  that, if the Change in  Law giving rise to such increased costs  or  reductions  is  retroactive,  then  the  180-day  period  referred  to  above  shall  be  extended  to  include  the  period  of  retroactive effect thereof.          Section 3.02  Compensation.  Each Borrower, jointly and severally, agrees to compensate each Lender,  upon its written request (which request shall set forth in reasonable detail the basis for requesting such compensation  and the calculation of the amount of such compensation), for all losses, expenses and liabilities (including, without  limitation, any loss, expense or liability incurred by reason of the liquidation or reemployment of deposits or other  funds required by such Lender to fund its LIBO Rate Loans, CDOR Rate Loans, SOR Loans, HIBOR Loans, CNH  HIBOR Loans or BBSY Loans but excluding loss of anticipated profits (and without giving effect to the minimum  “LIBO Rate” or similar minimum)) which such Lender may sustain:  (i) if for any reason (other than a default by  such Lender or the Administrative Agent) a Borrowing of, or conversion from or into, LIBO Rate Loans, CDOR  Rate Loans, SOR Loans, HIBOR Loans, CNH HIBOR Loans or BBSY Loans does not occur on a date specified  therefor  in  a  Notice  of  Borrowing  or  Notice  of  Conversion/Continuation;  (ii)  if  any  prepayment  or  repayment  (including  any  termination  or  reduction  of  Commitments  made  pursuant  to  Section  2.07  or  as  a  result  of  an  acceleration of the Loans pursuant to Article 11) or conversion of any of its LIBO Rate Loans, CDOR Rate Loans,  SOR Loans, HIBOR Loans, CNH HIBOR Loans or BBSY Loans occurs on a date which is not the last day of an  Interest Period with respect thereto; (iii) if any prepayment of any LIBO Rate  Loans, CDOR  Rate Loans, SOR  Loans,  HIBOR  Loans,  CNH  HIBOR  Loans  or  BBSY  Loans  is  not  made  on  any  date  specified  in  a  notice  of  termination or reduction given by the Lead Borrower; or (iv) as a consequence of any other default by any Borrower  to repay its LIBO Rate Loans, CDOR Rate Loans, SOR Loans, HIBOR Loans, CNH HIBOR Loans or BBSY Loans  when required by the terms of this Agreement or any Note held by such Lender.          Section 3.03  Change of Lending Office.  Each Lender agrees that on the occurrence of any event giving  rise to the operation of Section 3.01 or Section 5.01(a) with respect to such Lender, it will, if requested by the Lead  Borrower,  use  reasonable  efforts  (subject  to  overall  policy  considerations  of  such  Lender)  to  designate  another  lending office for any Loans affected by such event; provided that such designation is made on such terms that such  Lender and its lending office suffer no economic, legal or regulatory disadvantage, with the object of avoiding the  consequence of the event giving rise to the operation of such Section.  Nothing in this Section 3.03 shall affect or  postpone any of the obligations of the Borrowers or the right of any Lender provided in Sections 3.01 and 5.01.          Section 3.04  Replacement of Lenders.  (x) If any  Lender becomes a Defaulting  Lender, (y)  upon the  occurrence of an event giving rise to the operation of Section 3.01 or Section 5.01(a) with respect to such Lender or  (z) in the case of a refusal by a Lender to consent to certain proposed changes, waivers, discharges or terminations  with respect to this Agreement which have been approved by the Required Lenders as (and to the extent) provided in  Section 13.12(b), the Lead Borrower shall have the right to replace such Lender (the “Replaced Lender”) with one  or  more  other  Eligible  Transferees,  none  of  whom  shall  constitute  a  Defaulting  Lender  at  the  time  of  such                                                 -120- 

 

  replacement  (collectively,  the  “Replacement  Lender”)  and  each  of  whom  shall  be  required  to  be  reasonably  acceptable to the Administrative Agent (to the extent the Administrative Agent’s consent would be required for an  assignment to such Replacement Lender pursuant to Section 13.04); provided that (i) at the time of any replacement  pursuant to this Section 3.04, the Replacement Lender shall enter into one or more Assignment and Assumptions  pursuant  to  Section  13.04(b)  (and  with  all  fees  payable  pursuant  to  said  Section  13.04(b)  to  be  paid  by  the  Replacement  Lender  and/or  the  Replaced  Lender  (as  may  be  agreed  to  at  such  time  by  and  among  the  Lead  Borrower,  the  Replacement  Lender  and  the  Replaced  Lender))  pursuant  to  which  the  Replacement  Lender  shall  acquire all of the Commitments and outstanding Loans of, the Replaced Lender and, in connection therewith, shall  pay to (x) the Replaced Lender in respect thereof an amount equal to the sum of (I) an amount equal to the principal  of, and all accrued interest on, all outstanding Loans of the respective Replaced Lender and (II) an amount equal to  all  accrued,  but  theretofore  unpaid,  Fees  owing  to  the  Replaced  Lender  pursuant  to  Section  2.05  and  (ii)  all  obligations  of  each  Borrower  due  and  owing  to  the  Replaced  Lender  at  such  time  (other  than  those  specifically  described in clause (i) above in respect of which the assignment purchase price has been, or is concurrently being,  paid)  shall  be  paid  in  full  to  such  Replaced  Lender  concurrently  with  such  replacement.   Upon  receipt  by  the  Replaced  Lender of all amounts required  to  be paid  to  it pursuant  to  this  Section 3.04,  the Administrative Agent  shall be entitled (but not obligated) and authorized to execute an Assignment and Assumption on behalf of such  Replaced  Lender,  and  any  such  Assignment  and  Assumption  so  executed  by  the  Administrative  Agent  and  the  Replacement Lender shall be effective for purposes of this Section 3.04 and Section 13.04.  Upon the execution of  the  respective  Assignment  and  Assumption,  the  payment  of  amounts  referred  to  in  clauses  (i)  and  (ii)  above,  recordation of the assignment on  the Register pursuant  to  Section 13.04  and,  if  so requested by  the Replacement  Lender, delivery to the Replacement Lender of the appropriate Note or Notes executed by the applicable Borrower,  (x) the Replacement Lender shall become a Lender hereunder and the Replaced Lender shall cease to constitute a  Lender  hereunder,  except  with  respect  to  indemnification  provisions  under  this  Agreement  (including,  without  limitation, Sections 3.01, 3.02, 5.01, 12.07 and 13.01), which shall survive as to such Replaced Lender with respect  to actions or occurrences prior to it ceasing to be a Lender hereunder.            If any Lender or Issuing Bank requests compensation under Section 3.01, or if any Credit Party is required  to pay any additional amount to any Lender or Issuing Bank or any Governmental Authority for the account of any  Lender or Issuing  Bank  pursuant  to  Section 5.01(a)  or  if any amount payable in respect  of  any  Loans,  Letters  of  Credit, Revolving Commitments or LC Disbursements provided to French Borrowers is not, or will not be (when the  relevant corporate income tax is calculated), treated as a deductible charge or expense for French tax purposes for  that French Borrower by reason of that amount being (x) paid or accrued to a Lender or Issuing Bank incorporated,  domiciled,  established  or  acting  through  an  office  in  a  Non-Cooperative  Jurisdiction  or  (y)  paid  to  an  account  opened in the name of or for the benefit of that Lender or Issuing Bank in a financial institution situated in a Non- Cooperative  Jurisdiction,  then  such  Lender  or  Issuing  Bank  shall  use  reasonable  efforts  to  designate  a  different  lending office for funding or booking its Loans or Letters of Credit hereunder or to assign its rights and obligations  hereunder to another of its offices, branches or affiliates, if, in the judgment of such Lender or Issuing Bank, such  designation or assignment (i)  would eliminate or reduce amounts payable pursuant to  Section 3.01 or 5.01(a) or  would  make  any  amount  payable  in  respect  of  any  Loans,  Letters  of  Credit,  Revolving  Commitments,  or  LC  Disbursements provided to French Borrowers be treated as a deductible charge or expense for French tax purposes  for that French Borrower, as the case may be, in the future and (ii) would not subject such Lender or Issuing Bank to  any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender or Issuing Bank and,  provided,  that  if  in  respect  of  French  Revolving  Loans  extended  to  or  on  behalf  of  any  French  Borrower,  such  lending office shall be a French Authorized Lender.  The Borrowers hereby agree to pay all reasonable costs and  expenses incurred by any Lender in connection with any such designation or assignment.          ARTICLE 4      [Reserved].          ARTICLE 5      Taxes.          Section 5.01  Net Payments.          (a)     All payments made by or on account of any Credit Party under any Credit Document or Letter of  Credit shall be made free and clear of, and without deduction or withholding for, any Taxes, except as required by  applicable  law.   If  any  Taxes  are  required  to  be  withheld  or  deducted  from  such  payments  by  any  applicable  withholding  agent,  then  the  Credit  Parties  jointly  and  severally  agree  that  (i)  to  the  extent  such  deduction  or                                                 -121- 

 

  withholding is on account of an Indemnified Tax or Other Tax, the sum payable by the applicable Credit Party shall  be  increased  as  necessary  so  that  after  making  all  required  deductions  or  withholding  (including  deduction  or  withholdings applicable to additional sums payable under this Section 5.01), the applicable Lender (or, in the case of  amounts  payable to the  Administrative  Agent, the  Administrative  Agent) receives an  amount equal to the  sum  it  would have received had no such deductions or withholdings been made, (ii) the applicable withholding agent will  make such deductions or withholdings, and (iii) the applicable withholding agent shall timely pay the full amount  deducted or withheld to the relevant Governmental Authority in accordance with applicable law.  In addition, but  without duplication of any other amounts payable under this Section 5.01, the Borrowers shall timely pay any Other  Taxes to the relevant Governmental Authority in accordance with applicable law.  The Borrowers will furnish to the  applicable Recipient within 45 days after the date the payment by any of them of any Taxes is due pursuant to  applicable Law or this Section 5.01 certified copies of tax receipts evidencing such payment by the applicable Credit  Party.   The  Borrowers  shall  indemnify  and  hold  harmless  the  relevant  Recipient,  and  reimburse  such  Recipient,  within  10  Business  Days  of  written  request  therefor,  for  the  amount  of  any  Indemnified  Taxes  (including  any  Indemnified  Taxes  imposed  on  amounts  payable  under  this  Section  5.01)  payable  or  paid  by  such  Recipient  or  required to be withheld or deducted from a payment to such Recipient, and any Other Taxes, and any reasonable  out-of-pocket expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes or Other  Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority.          (b)     Any Lender that is entitled to an exemption from or reduction of withholding Tax with respect to  payments made under any Credit Document shall deliver to the Lead Borrower and the Administrative Agent, at the  time or times reasonably requested by the Lead Borrower or the Administrative Agent, such properly completed and  executed documentation reasonably requested by the Lead Borrower or the Administrative Agent, certifying as to  any  entitlement  of  such  Lender  to  an  exemption  from,  or  a  reduced  rate  of,  withholding  Tax.   In  addition,  each  Lender shall deliver to the Lead Borrower and the Administrative Agent, at the time or times reasonably requested  by  the  Lead  Borrower  or  the  Administrative  Agent,  such  other  documentation  prescribed  by  applicable  law  or  reasonably requested by the Lead Borrower or the Administrative Agent as will enable the Lead Borrower or the  Administrative Agent to determine whether such Lender is subject to backup withholding or information reporting  requirements.  Each Lender shall, whenever a lapse in time or change in circumstances renders such documentation  (including any specific documents required below in Section 5.01(c)) expired, obsolete or inaccurate in any respect,  deliver promptly to the Lead Borrower and the Administrative Agent updated or other appropriate documentation  (including  any  new  documentation  reasonably  requested  by  the  Lead  Borrower  or  the  Administrative  Agent)  or  promptly notify the Lead Borrower and the Administrative Agent in writing of its ineligibility to do so.          (c)     Without  limiting  the  generality  of  the  foregoing:   (x)  Each  Lender  that  is  not  a  United  States  person  (as  such  term  is  defined  in  Section  7701(a)(30)  of  the  Code)  shall  deliver  to  the  Lead  Borrower  and  the  Administrative Agent on or prior to the Closing Date or, in the case of a Lender that is an assignee or transferee of  an  interest  under  this  Agreement  pursuant  to  Section  3.04  or 13.04(b)  (unless  the  relevant  Lender  was  already  a  Lender hereunder immediately prior to such assignment or transfer), on the date of such assignment or transfer to  such Lender, (i) two accurate and complete original signed copies of Internal Revenue Service Form W-8BEN (or  successor form) or Form W-8BEN-E (or successor form) claiming eligibility for benefits of an income tax treaty to  which the United States is a party or Form W-8ECI (or successor form), or (ii) in the case of a Lender claiming  exemption from U.S. federal withholding tax under Section 871(h) or 881(c) of the Code with respect to payments  of  “portfolio  interest,”  a  certificate  substantially  in  the  form  of  Exhibit  C  (any  such  certificate,  a  “U.S.  Tax  Compliance Certificate”) and two accurate and complete original signed copies of Internal Revenue Service Form  W-8BEN (or successor form) or W-8BEN-E (or successor form); or (iii) to the extent a Lender is not the beneficial  owner (for example, where the Lender is a partnership or a participating Lender), two accurate and complete original  signed copies of Internal Revenue Service Form W-8IMY (or successor form) of the Lender, accompanied by Form  W-8ECI, Form W-8BEN, Form W-8BEN-E, U.S. Tax Compliance Certificate, Form W-8IMY, Form W-9 and/or  any other required information (or successor or other applicable form) from each beneficial owner that  would be  required  under  this  Section  5.01(c)  if  such  beneficial  owner  were  a  Lender  (provided  that,  if  the  Lender  is  a  partnership  for  U.S.  federal  income  Tax  purposes  (and  not  a  participating  Lender),  and  one  or  more  beneficial  owners are claiming the portfolio interest exemption, the U.S. Tax Compliance Certificate may be provided by such  Lender on behalf of such beneficial owner(s)); (y) Each Lender that is a United States person, as defined in Section  7701(a)(30) of the Code, shall deliver to the Lead Borrower and the Administrative Agent, at the times specified in  Section 5.01(b), two accurate and complete original signed copies of Internal Revenue Service Form W-9, or any  successor form that such Person is entitled to provide at such time, in order to qualify for an exemption from United                                                 -122- 

 

  States  federal  backup  withholding  requirements;  and  (z)  if  any  payment  made  to  a  Lender  under  any  Credit  Document  would  be  subject  to  U.S.  federal  withholding  Tax  imposed  by  FATCA  if  such  Lender  were  to  fail  to  comply  with  the  applicable  reporting  requirements  of  FATCA  (including  those  contained  in  Section  1471(b)  or  1472(b) of the Code, as applicable), such Lender shall deliver to the Lead Borrower and the Administrative Agent,  at  the  time  or  times  prescribed  by  applicable  law  and  at  such  time  or  times  reasonably  requested  by  the  Lead  Borrower or the Administrative Agent, such documentation prescribed by applicable law (including as prescribed by  Section  1471(b)(3)(C)(i)  of  the  Code)  and  such  additional  documentation  reasonably  requested  by  the  Lead  Borrower or the Administrative Agent as may be necessary for the Lead Borrower or the Administrative Agent to  comply with their obligations under FATCA, to determine whether such Lender has complied with such Lender’s  obligations under FATCA or to determine, the amount, if any, to deduct and withhold from such payment.  Solely  for purposes of this Section 5.01(c)(z), “FATCA” shall include any amendment made to FATCA after the Closing  Date.          Notwithstanding  any  other  provision  of  this  Section  5.01,  a  Lender  shall  not  be  required  to  deliver  any  documentation that such Lender is not legally eligible to deliver.          (d)     If the  Administrative  Agent  or any Lender determines, in its sole discretion exercised in  good  faith, that it has received a refund of any Indemnified Taxes as to which it has been indemnified by the Credit  Parties or with respect to which a Credit Party has paid additional amounts pursuant to Section 5.01(a), it shall pay  to the relevant Credit Party an amount equal to such refund (but only to the extent of indemnity payments made, or  additional amounts paid, by such Credit Party under Section 5.01(a) with respect to the Indemnified Taxes giving  rise to such refund), net of all reasonable out-of-pocket expenses (including any Taxes) of the Administrative Agent  or such Lender, as the case may be, and without interest (other than any interest paid by the relevant Governmental  Authority  with  respect  to  such  refund); provided  that  the  relevant  Credit  Party,  upon  the  request  of  the  Administrative Agent or such Lender, agrees to repay the amount paid over to such Credit Party pursuant to this  Section 5.01(d) (plus any penalties, interest or other charges imposed by the relevant Governmental Authority) to  the Administrative Agent or such Lender in the event the Administrative Agent or such Lender is required to repay  such refund to such Governmental Authority.  Notwithstanding anything to the contrary in this Section 5.01(d), in  no event will the Administrative Agent or any Lender be required to pay any amount to any Credit Party pursuant to  this  Section  5.01(d)  to  the  extent  such  payment  would  place  the  Administrative  Agent  or  such  Lender  in  a  less  favorable position (on a net after-Tax basis) than such party would have been in if the tax giving rise to such refund  had never been imposed and the applicable indemnification payments or additional amounts had never been paid.   Nothing in this Section 5.01(d) shall be construed to obligate the Administrative Agent or any Lender to disclose its  Tax returns or any other information regarding its Tax affairs or computations to any Person or otherwise to arrange  its Tax affairs in any manner other than as it determines in its sole discretion.          (e)     For the avoidance of doubt, for purposes of this Section 5.01, the term “Lender” shall include any  Issuing Bank or Swingline Lender.          (f)     Value Added Tax.           (i)   All amounts set out or expressed in a Credit Document or Letter of Credit to be payable by any  party  to  any  Lender(s)  and/or  any  Agent(s)  (a  “Finance  Party”)  which  (in  whole  or  in  part)  constitute  the  consideration  for  a  supply  or  supplies  for  VAT  purposes  shall  be  deemed  to  be  exclusive  of  any  VAT  which  is  chargeable  on  such  supply  or  supplies,  and  accordingly,  subject  to  clause  (ii)  below,  if  VAT  is  or  becomes  chargeable on any supply made by any Finance Party to any party under a Credit Document or Letter of Credit and  that Finance Party is required to account to the relevant tax authority for the VAT, that party shall pay to the Finance  Party (in addition to and at the same time as paying any other consideration for such supply) an amount equal to the  amount of such VAT (and such Finance Party shall promptly provide an appropriate VAT invoice to such party).          (ii)   If VAT is or becomes chargeable on any supply made by any Finance Party (the “Supplier”) to  any other Finance Party (the “Receiving Finance Party”) under a Credit Document or Letter of Credit, and any party  other than the Receiving Finance Party (the “Subject Party”) is required by the terms of any Credit Document or  Letter  of  Credit  to  pay  an  amount  equal  to  the  consideration  for  such  supply  to  the  Supplier  (rather  than  being  required to reimburse the Receiving Finance Party in respect of that consideration), (x) (where the Supplier is the  person required to account to the relevant tax authority for the VAT) the Subject Party must also pay to the Supplier                                                 -123- 

 

  (at the same time as paying that amount) an additional amount equal to the amount of the VAT.  The Receiving  Finance Party must (where this clause (x) applies) promptly pay to the Subject Party an amount equal to any credit  or repayment the Receiving Finance Party receives from the relevant tax authority which the Receiving Finance  Party reasonably determines relates to the VAT chargeable on that supply; and (y) (where the Receiving Finance  Party is the person required to account to the relevant tax authority for the VAT) the Subject Party must promptly,  following demand  from the Receiving Finance Party, pay to the Receiving  Finance Party an amount equal to the  VAT chargeable on that supply but only to the extent that the Receiving Finance Party reasonably determines that it  is not entitled to credit or repayment from the relevant tax authority in respect of that VAT.          (iii)  Where a Credit Document or Letter of Credit requires any party to reimburse or indemnify a  Finance Party for any cost or expense, that party shall reimburse or indemnify (as the case may be) such Finance  Party for the full amount of such cost or expense, including such part thereof as represents VAT, save to the extent  that such Finance Party reasonably determines that it is entitled to credit or repayment in respect of such VAT from  the relevant tax authority.          (iv)   Any reference in this Section 5.01(f) to any party shall, at any time when such party is treated as a  member  of  a  group  for  VAT  purposes,  include  (where  appropriate  and  unless  the  context  otherwise  requires)  a  reference to the representative member of such group at such time (the term “representative member” to have the  same  meaning  as  in  the  UK’s  Value  Added  Tax  Act  1994  or  in  the  case  of  Ireland,  the  term  “representative  member” to mean the group member notified by the Revenue Commissioners of Ireland in accordance with section  15(1)(a) of the Value-Added Tax Consolidation Act 2010 as being the member responsible for complying with the  provision of the Value-Added Tax Consolidation Act 2010 in respect of the group or equivalent legislation outside  the UK).          Section 5.02  Irish and German Tax Matters.          (a)     The provisions of this Section 5.02 shall only apply in respect of Taxes imposed by (i) Ireland on  payments of interest made with respect to any Loan made to an Irish Borrower or (ii) Germany on payments of  interest made with respect to any Loan made to a German Borrower. For the avoidance of doubt, the provisions of  this Section 5.02 shall not apply to any claim in connection with FATCA.          (b)     An Irish Treaty Lender and each Irish Borrower which makes a payment to which that Irish Treaty  Lender  is  entitled  shall  cooperate,  upon  request  in  writing  by  the  Irish  Borrower,  in  completing  any  procedural  formalities  necessary  for the Irish Borrower to obtain  authorisation to  make a payment  without any deduction or  withholding on account of Tax.          (c)     A  German  Treaty  Lender  and  each  German  Borrower  which  makes  a  payment  to  which  that  German Treaty Lender is entitled shall cooperate, upon request in writing by the German Borrower, in completing  any reasonable procedural formalities necessary for the German Borrower to obtain authorisation to make a payment  without any deduction or withholding on account of Tax.          (d)     Lender Status Confirmation.  Each Lender which becomes a party to this Agreement after the date  of this Agreement shall indicate, in the Assignment and Assumption which it executes on becoming a party, and for  the benefit of the Administrative Agent and without liability to any Borrower or Guarantor, which of the following  categories it falls within:                   (i)   with respect to an Irish Borrower:                         (A)    not an Irish Qualifying Lender;                         (B)    an Irish Qualifying Lender (other than an Irish Treaty Lender); or                         (C)    an Irish Treaty Lender; or                  (ii)   with respect to a German Borrower or German Guarantor:                                                  -124- 

 

                        (A)    not a German Qualifying Lender;                         (B)    a German Qualifying Lender (other than an German Treaty Lender); or                         (C)    a German Treaty Lender.   If a new Lender fails to indicate its status in accordance with this Section 5.02(d), then such new Lender shall be  treated for the purposes of this Agreement (including by each Irish Borrower and each German Borrower) as if it is  not an Irish Qualifying Lender (with respect to an Irish Borrower or Irish Guarantor) or not an German Qualifying  Lender (with respect to a German Borrower or German Guarantor) until such time as it notifies the Administrative  Agent  which  category  applies  (and  the  Administrative  Agent,  upon  receipt  of  such  notification,  shall  inform  the  Lead Borrower).  For the avoidance of doubt, an Assignment and Assumption shall not be invalidated by any failure  of a new  Lender to comply  with this Section 5.02.  Upon written request from an Irish Borrower, a Lender shall  promptly  confirm  to  that  Irish  Borrower  whether  it  is  an  Irish  Qualifying  Lender  or  is  not  an  Irish  Qualifying  Lender.          (e)     Each Lender, upon reasonable written request from the Irish Borrowers from time to time, shall as  soon as practicable provide such information as may be required to enable the Irish Borrowers to comply with the  provisions of sections 891A, 891E, 891F and 891G of the TCA (and any regulations made thereunder).          Section 5.03  Non-Cooperative  Jurisdiction.   Each  Lender  providing  any  French  Revolving  Loans  represents that on the Amendment No. 5 Effective Date it  is not incorporated or domiciled (or acting through an  office or carrying on a trade or business (“établissement stable”) (in each case, to which the French Subfacility is  attributable) located) in a Non-Cooperative Jurisdiction.          ARTICLE 6A     Conditions Precedent to Credit Events on the Closing Date.  The Administrative Agent,  Swingline  Lender,  the  Issuing  Banks  and  the  Lenders  shall  not  be  required  to  fund  any  Revolving  Loans  or  Swingline  Loans,  or  arrange  for  the  issuance  of  any  Letters  of  Credit  on  the  Closing  Date,  until  the  following  conditions are satisfied or waived.          Section 6A.01  Closing Date; Credit Documents; Notes.  On or prior to the Closing Date, Holdings and  the North American Borrowers shall have executed and delivered to the Administrative Agent a counterpart of this  Agreement.          Section 6A.02  Officer’s Certificate.  On the Closing Date, the Administrative Agent shall have received  a certificate, dated the Closing Date and signed on behalf of the Lead Borrower (and not in any individual capacity)  by a Responsible Officer of the Lead Borrower, certifying on behalf of the Lead Borrower that all of the conditions  in Sections 6A.05, 6A.14 and 6A.19 have been satisfied on such date.          Section 6A.03  Opinions of Counsel.  On the Closing Date, the Administrative Agent shall have received  an opinion addressed to the Administrative Agent, each of the Lenders, each of the Issuing Banks, and each of the  Collateral Agents and dated the Closing Date in form and substance reasonably satisfactory to the Administrative  Agent from each of (i) Willkie Farr & Gallagher LLP, special counsel to the Credit Parties, (ii) Waller Lansden  Dortch  &  Davis,  LLP,  Alabama  counsel  to  the  Credit  Parties,  (iii)  Morgan,  Lewis  &  Bockius  LLP,  California,  Florida and New Jersey counsel to the Credit Parties, (iv) Stoel Rives LLP, Idaho and Washington counsel to the  Credit Parties, (v) Taft Stettinius & Hollister LLP, Ohio counsel to the Credit Parties, and (vi) Stikeman Elliott LLP,  Canadian counsel to the Canadian Credit Parties and Stewart McKelvey LLP, Nova Scotia counsel to the Canadian  Credit Parties.          Section 6A.04  Corporate Documents; Proceedings, etc.           (a)    On the Closing Date, the Administrative Agent shall have received a certificate from each North  American  Credit  Party,  dated  the  Closing  Date,  signed  by  a  Responsible  Officer  of  such  North  American  Credit  Party and attested to by the Secretary or any Assistant Secretary of such North American Credit Party, in the form of  Exhibit E with appropriate insertions, together with copies of the certificate or articles of incorporation and by-laws                                                  -125- 

 

  or  equivalent  organizational  documents,  as  applicable,  of  such  Credit  Party  and  the  resolutions  of  such  North  American  Credit  Party  referred  to  in  such  certificate,  and  each  of  the  foregoing  shall  be  in  form  and  substance  reasonably satisfactory to the Administrative Agent.          (b)     The  Administrative  Agent  shall  have  received  good  standing  certificates  and  bring-down  telegrams or facsimiles, if any, for the North American Credit Parties which the Administrative Agent reasonably  may have requested, in the case of a Canadian Credit Party, only to the extent such concept is applicable in such  Canadian Credit Party’s jurisdiction of incorporation, formation or organization.          Section 6A.05  Acquisition; Equity Financing; Refinancing.          (a)    The  Acquisition  (other  than,  to  the  extent  the  Deferred  Closing  Actions  (as  defined  in  the  Acquisition  Agreement)  have  not  been  completed  by  the  Closing  Date,  any  Deferred  Closing  (as  defined  in  the  Acquisition Agreement)) shall be consummated substantially concurrently with the initial funding of the loans under  the Term Loan Credit Agreement and hereunder (if any) in accordance in all material respects with the Acquisition  Agreement  without  waiver  or  amendment  thereof  materially  adverse  to  the  interests  of  the  Agents  and  their  Affiliates that are Lenders on the Closing Date (including any reduction in the purchase price that does not meet the  criteria of this clause (a)) unless consented to by the Agents (such consent not to be unreasonably withheld, delayed  or conditioned); it being  understood that (w) no reduction in the purchase price shall be deemed to be materially  adverse to the interests of the Agents and their Affiliates that are Lenders on the Closing Date if such reduction is  applied first to reduce the Equity Financing to no less than the Minimum Equity Percentage and second pro rata to  reduce the Equity Financing to no less than the Minimum Equity Percentage, the Term Loan Commitment and/or  the Senior Notes, (x) no increase in the purchase price shall be deemed to be materially adverse to the interests of  the Agents and their Affiliates that are Lenders on the Closing Date if such increase is funded solely by an increase  in the Equity Financing, (y) no modification to the purchase price as a result of any purchase price adjustment or  working  capital  adjustment  expressly  contemplated  by  the  Acquisition  Agreement  as  of  July  29,  2016  shall  constitute a reduction or increase in the purchase price and (z) the Agents shall be deemed to have consented to any  waiver or amendment of the Acquisition Agreement if it shall have not affirmatively objected to any such waiver or  amendment within three Business Days of receipt of written notice of such waiver or amendment.          (b)     Holdings shall have received, or substantially concurrently with the funding of the Loans  under  the Term Loan Credit Agreement will receive, from the Sponsor and its controlled affiliates or investment funds  advised by the Sponsor or its controlled affiliates, together with the Seller (to the extent of any rollover investment  by the Seller) and one or more other co-investors, directly or indirectly, cash or rollover equity investments (in the  form of (x) common equity, (y) equity on the terms disclosed to the Administrative Agent prior to July 29, 2016 (as  such terms may be amended or modified in a manner that is not materially adverse to the interests of the Agents and  their  Affiliates  that  are  Lenders  on  the  Closing  Date)  or  (z)  other  equity  on  terms  reasonably  satisfactory  to  the  Lenders) in the aggregate amount of not less than an amount previously agreed (the “Minimum Equity Percentage”)  of the sum of (i) the Equity Financing and (ii) the aggregate principal amount borrowed under this Agreement, the  Term Loan Credit Agreement and/or the Senior Notes (exclusive of any portion of the Equity Financing or amounts  borrowed  under  this  Agreement,  the  Term  Loan  Credit  Agreement  and/or  the  Senior  Notes  applied  to  pay  any  transaction  fees  and  expenses,  including  any  transaction  or  advisory  fees  paid  or  payable  to  the  Sponsor)  on  the  Closing  Date  (the  “Equity  Financing”),  the  cash  proceeds  of  which  shall  have  been  contributed  to  the  common  equity of the Lead Borrower.          (c)    The Acquired Business shall have satisfied and discharged, or substantially concurrently with the  funding  of  the  loans  under  the  Term  Loan  Credit  Agreement  will  satisfy  and  discharge  all  Indebtedness  contemplated under the definition of “Acquisition Agreement Refinancing Indebtedness.”          Section 6A.06  [Reserved].          Section 6A.07  Intercreditor  Agreement.   On  the  Closing  Date,  each  U.S.  Credit  Party  shall  have  executed and delivered an acknowledgment to the Intercreditor Agreement.          Section 6A.08  [Reserved].                                                  -126- 

 

         Section 6A.09  Security  Agreements.  On  the Closing Date,  (i) each  U.S.  Credit  Party  shall  have duly  authorized, executed and delivered the Initial  U.S. Security  Agreement and (ii) each  Canadian  Credit Party, shall  have duly authorized, executed and delivered the Initial Canadian Security Agreement, in each case, covering all of  such Credit Party’s present and future Collateral referred to therein, and shall have delivered:                   (i)   in  respect  of  each  U.S.  Credit  Party,  proper  financing  statements  (Form  UCC-1  or  the         equivalent) authorized for filing under the UCC or other appropriate filing offices of each jurisdiction as         may be necessary or, to the extent reasonably requested by the Administrative Agent reasonably in advance         of the Closing Date, desirable to perfect the security interests purported to be created by the U.S. Security         Documents;                  (ii)   to the Term Agent, as bailee for the U.S. Collateral Agent pursuant to the Intercreditor         Agreement, all of the Pledged Collateral, if any, referred to in the U.S. Security Documents and then owned         by  any  U.S.  Credit  Party  together  with  executed  and  undated  endorsements  for  transfer  in  the  case  of         Pledged Collateral constituting certificated securities, along with evidence that all other actions necessary         to  perfect  (to  the  extent  required  by  such  U.S.  Security  Document)  the  security  interests  in  Pledged         Collateral purported to be created by such U.S. Security Document have been taken;                 (iii)   in respect of each U.S. Credit Party, certified copies of a recent date of requests for         information or copies (Form UCC-1), or equivalent reports as of a recent date, listing all effective financing         statements that name such Credit Party as debtor and that are filed in the jurisdictions referred to in clause         (i) above, together with copies of such other financing statements that name such Credit Party as debtor         (none of which shall cover any of the Collateral except to the extent evidencing Permitted Liens);                 (iv)    in  respect  of  each  Canadian  Credit  Party,  proper  financing  statements  (PPSA  or  the         equivalent) authorized for filing under the PPSA or other appropriate filing offices of each jurisdiction as         may be necessary or, to the extent reasonably requested by the Administrative Agent reasonably in advance         of  the  Closing  Date,  desirable  to  perfect  the  security  interests  purported  to  be  created  by  the  Canadian         Security Documents;                  (v)    in respect of each Canadian Credit Party, copies of a recent date of PPSA certificates or         equivalent  Lien  searches  as  of  a  recent  date,  listing  all  effective  financing  statements  that  name  the         Canadian  Credit  Parties  as  debtor  and  that  are  filed  in  the  jurisdictions  referred  to  in  clause  (iv)  above,         together  with copies  of  such  other financing  statements that  name such Canadian Credit  Party  as  debtor         (none of which shall cover any of the Collateral except to the extent evidencing Permitted Liens); and                 (vi)    an executed Perfection Certificate; and   provided that to the extent any Collateral is not able to be provided and/or perfected on the Closing Date after the  use by the North American Credit Parties of commercially reasonable efforts without undue burden or expense, the  provisions of this Section 6A.09 shall be deemed to have been satisfied and the North American Credit Parties shall  be required to provide such Collateral in accordance with the provisions set forth in Section 9.13 if, and only if, each  North  American  Credit  Party  shall  have  executed  and  delivered  the  Security  Documents  required  above  and  the  Agent shall have a perfected security interest in all Collateral of the type for which perfection may be accomplished  by filing a UCC financing statement or possession of certificated securities of Wholly-Owned Domestic Subsidiaries  (to the extent required by such Security Documents) that have been received from the Seller after the use by the  North American Credit Parties of commercially reasonable efforts.          Section 6A.10  Guaranty Agreement.  On the Closing Date, each North American Credit Party shall have  duly authorized, executed and delivered the Guaranty Agreement.          Section 6A.11  Financial Statements; Pro Forma Balance Sheets; Projections.  On or prior to the Closing  Date,  the  Agents  and  their  Affiliates  that  are  Lenders  on  the  Closing  Date  shall  have  received  (i)  the  audited  combined balance sheets of the Acquired Business for the three most recent years ending at least 90 days prior to the  Closing Date, and the related audited statements of operations and comprehensive income and statements of cash                                                  -127- 

 

  flows of the Acquired Business for the fiscal years then ended (collectively, the “Audited Financial Statements”),  (ii) the unaudited combined balance sheets of the Acquired Business as of each fiscal quarter ending after the date of  the most recent balance sheet delivered pursuant to clause (i) and at least 45 days prior to the Closing Date (the date  of the last such applicable fiscal quarter, the “Financial Statements Date”), and the related unaudited statements of  operations and comprehensive income and statements of cash flows of the Acquired Business for the portion of the  fiscal year then ended (the “Unaudited Financial Statements”), (iii) a pro forma consolidated balance sheet for the  Lead Borrower prepared as of the Financial Statements Date and a pro forma statement of comprehensive income  for the most recent fiscal year covered by the Audited Financial Statements and the year to date and the four quarter  period ending on the Financial Statements Date, and (iv) forecasts of the financial performance of Holdings and its  restricted subsidiaries on a quarterly basis for the 2017 fiscal year and an annual basis thereafter through the fiscal  year ending September 30, 2023.  The financial statements referred to in the foregoing clauses (i) and (ii) shall be  prepared  in  accordance  with  U.S.  GAAP  subject  in  the  case  of  the  Unaudited  Financial  Statements  to  changes  resulting from audit and normal year-end audit adjustments and to the absence of certain footnotes.          Section 6A.12  Solvency Certificate.  On the Closing Date, the Administrative Agent shall have received  a solvency certificate from the chief financial officer or treasurer (or officer  with equivalent duties) of the Lead  Borrower substantially in the form of Exhibit I.          Section 6A.13  Fees, etc.  On  the  Closing  Date,  the  Lead Borrower  shall  have  paid  to  the  Agents and  their Affiliates that are Lenders on the Closing Date all costs, fees and expenses (including, without limitation, legal  fees and expenses) to the extent invoiced at least three Business Days prior the Closing Date and other compensation  payable to the Agents or such Lender that have been separately agreed and are payable in respect of the Transaction  to the extent then due.          Section 6A.14  Representations  and  Warranties.   The  Acquisition  Agreement  Representations  shall  be  true and correct to the extent required by the definition thereof and the Specified Representations shall be true and  correct in all material respects on the Closing Date (in each case, any representation or warranty that is qualified as  to “materiality or similar language” shall be true and correct in all respects on the Closing Date); provided that any  “Material  Adverse  Effect”  or  similar  qualifier  in  any  such  Specified  Representation  shall,  for  purposes  of  this  Section 6A.14, be deemed to refer to “Closing Date Material Adverse Effect.”          Section 6A.15  Patriot Act.  The Agents shall have received from the North American Credit Parties, at  least three Business Days prior to the Closing Date, all documentation and other information required by regulatory  authorities under applicable “know your customer” and anti-money laundering rules and regulations, including the  Patriot Act, in each case to the extent requested in writing at least 10 Business Days prior to the Closing Date.          Section 6A.16  Borrowing  Notice.   Prior to the  making  of a Revolving  Loan  on the  Closing  Date,  the  Administrative Agent shall have received a Notice of Borrowing meeting the requirements of Section 2.02(c).          Section 6A.17  [Reserved].          Section 6A.18  [Reserved].          Section 6A.19  Material  Adverse  Effect.   Since  the  Balance  Sheet  Date  (as  defined  in  the  Acquisition  Agreement), there has not been any event, occurrence, development or state of circumstances or facts that has had or  would reasonably be expected to have, individually or in the aggregate, a Closing Date Material Adverse Effect.          Section 6A.20  Inventory  Appraisal/Borrowing  Base  Certificate.   The  Lead  Borrower  shall  have  delivered to the Administrative Agent the Initial Field Work and a Borrowing Base Certificate in form and substance  reasonably satisfactory to the Administrative Agent.          ARTICLE 6B     Conditions  Precedent  to  Initial  Credit  Extension  under  Eurasian  Subfacilities.   The  Administrative Agent and the Lenders shall not be required to fund any Revolving Loans in respect of the Eurasian  Credit Parties, until the following additional conditions are either satisfied or waived by the Required Subfacility  Lenders (the date on which such conditions are satisfied or waived, the “Eurasian Effectiveness Date”).                                                  -128- 

 

         Section 6B.01  Credit Documents.  On or prior to the Eurasian Effectiveness Date, each Eurasian Credit  Party shall have executed and delivered to the Administrative Agent a counterpart of this Agreement (or any joinder  to this Agreement).           Section 6B.02  [Reserved].          Section 6B.03  Opinions  of  Counsel.   On  the  Eurasian  Effectiveness  Date,  the  Administrative  Agent  shall  have  received  an  opinion  addressed  to  the  Administrative  Agent,  each  of  the  Lenders,  each  of  the  Issuing  Banks,  and  each  of  the  Collateral  Agents  and  dated  the  Eurasian  Effectiveness  Date  in  form  and  substance  reasonably satisfactory to the Administrative Agent from each of (i) Willkie Farr & Gallagher LLP, special counsel  to  the  Credit  Parties,  (ii)  Mayer  Brown,  Hong  Kong  counsel  to  the  Administrative  Agent,  (iii)  King  &  Wood  Mallesons, Australian counsel to the Administrative Agent, (iv) A&L Goodbody, Irish counsel to the Administrative  Agent,  (v)  Mayer  Brown  International  LLP,  UK  counsel  to  the  Administrative  Agent,  (vi)  Mayer  Brown  LLP,  German  counsel  to  the  Administrative  Agent  and  Willkie  Farr  &  Gallagher  LLP,  German  counsel  to  the  Credit  Parties, (vii) Mayer Brown Paris, French counsel to the Agents and Willkie Farr & Gallagher LLP, French counsel  to  the  Credit  Parties,  which  opinion  shall  cover  the  capacity,  due  authorization  and  absence  of  insolvency  with  respect to the French Credit Parties, and (viii) Allen & Gledhill LLP, Singapore counsel to the Administrative Agent  and Morgan Lewis Stamford LLC, Singapore counsel to the Credit Parties.          Section 6B.04  Corporate Documents; Proceedings, etc.           (a)    On  the  Eurasian  Effectiveness  Date,  the  Administrative  Agent  shall  have  received  a  certificate  from each Eurasian Credit Party (other than the French Credit Parties which shall provide the certificates set forth in  Section 6B.04(b) below), dated the Eurasian Effectiveness Date, signed by a Responsible Officer of such Eurasian  Credit  Party,  and  (other  than  with  respect  to  any  German  Credit  Party  or  UK  Credit  Party)  attested  to  by  the  Secretary or any Assistant Secretary of such Eurasian Credit Party, in form and substance reasonably satisfactory to  the  Administrative  Agent,  with  appropriate  insertions,  together  with  copies  of  the  certificate  or  articles  of  incorporation  and  by-laws  (or  equivalent  organizational  documents  which  shall  include,  for  each  German  Credit  Party, an electronic excerpt from the commercial register and simple copies of the shareholder list and of the articles  of association), as applicable, of such Eurasian Credit Party and the resolutions (including, in respect of a Singapore  Credit  Party,  resolutions  signed  by  all  the  holders  of  the  issued  shares  in  such  Singapore  Credit  Party)  of  such  Eurasian  Credit  Party  referred  to  in  such  certificate,  and  each  of  the  foregoing  shall  be  in  form  and  substance  reasonably satisfactory to the Administrative Agent, and in the case of each Irish Credit Party, a certificate from that  Irish  Credit  Party  confirming  that  the  performance  by  that  Irish  Credit  Party  of  its  obligations  under  the  Credit  Documents to which it is a party does not constitute financial assistance within the meaning of Section 82 of the  Irish Companies Act and a certificate from each Irish Credit Party confirming that it and each other Credit Party  form  part  of  a  group  of  companies  for  the  purposes  of  Section  243  of  the  Irish  Companies  Act  and  that  the  prohibition contained in Section 239 of the Irish Companies Act does not apply to the transaction contemplated by  this Agreement.          (b)     French  Credit  Party  Closing  Certificate.   The  Administrative  Agent  shall  have  received  a  certificate of each French Credit Party, dated the Eurasian Effectiveness Date and executed by a legal representative  (or authorized attorney), which shall (A) certify the relevant corporate approval documents (and powers of attorney,  if applicable) authorizing the execution, delivery and performance of the Credit Documents to which it is a party,  (B) identify by name and title and bear the signatures of any officers and directors of such French Credit Party  authorized to sign the Credit Documents to which it is a party, and (C) contain appropriate attachments, including (i)  a copy of the certificate of incorporation (k-bis) of each French Credit Party, (ii) a true and correct and up-to-date  copy  of  its  bylaws  (statuts),  (iii)  a  non-bankruptcy  certificate  (certificate  de  non-faillite)  and  (iv)  a  lien  search  certificate (état des privilèges et des nantissements).          (c)     The  Administrative  Agent  shall  have  received  good  standing  certificates  (or,  in  relation  to  the  Australian Credit Parties, evidence of existence or registration with ASIC) and bring-down telegrams or facsimiles,  if any, for the Eurasian Credit Parties which the Administrative Agent reasonably may have requested, and only to  the extent such concept is applicable in such Credit Party’s jurisdiction of incorporation, formation or organization.                                                  -129- 

 

         Section 6B.05  Reaffirmation by  North  American  Credit Parties.  The North  American Credit Parties  shall  have reconfirmed  their security and  guaranty  obligations  with respect to the Obligations under the  Eurasian  Subfacilities.          Section 6B.06  [Reserved].          Section 6B.07  Security Documents.  On the Eurasian Effectiveness Date, (i) [reserved], (ii) [reserved],  (iii)  each  French  Credit  Party  shall  have  duly  authorized,  executed  and  delivered  the  Initial  French  Security  Agreements, (iv) each German Credit Party shall have duly authorized, executed and delivered the Initial German  Security Agreements, (v) each Irish Credit Party shall have duly authorized, executed and delivered the Initial Irish  Security Agreement, (vi) each Hong Kong Credit Party shall have duly authorized, executed and delivered the Initial  Hong  Kong  Security  Agreement,  (vii)  each  Australian  Credit  Party  shall  have  duly  authorized,  executed  and  delivered the Initial Australian Security Agreement, (viii) each Singapore Credit Party shall have duly authorized,  executed  and  delivered  the  Singapore  Security  Agreement,  and  (ix)  each  UK  Credit  Party  shall  have  duly  authorized,  executed  and  delivered  the  Initial  UK  Security  Agreement,  in  each  case,  covering  all  of  such  Credit  Party’s present and future Collateral referred to therein, and shall have delivered:                   (i)   [reserved];                  (ii)   [reserved];                 (iii)   [reserved];                 (iv)    [reserved];                  (v)    [reserved];                  (vi)    [reserved];                  (vii)   in relation to the Initial Irish Security Agreement, all notices signed by the Irish Credit         Parties, all as required by the Initial Irish Security Agreement;                (viii)   in relation to the Initial Irish Security Agreement, a letter of authorization from each Irish         Credit Party authorizing A&L Goodbody to file particulars of the charges created under the Initial Irish         Security  Agreement  with the Irish Registrar of Companies in compliance  with Section 409 of the Irish         Companies Act, duly executed by the respective Irish Credit Parties;                 (ix)    in  relation  to  the  Initial  UK  Security  Agreement,  all  notices  signed  by  the  UK  Credit         Parties, all as required by the Initial UK Security Agreement;                  (x)    in  relation  to  the  Initial  Singapore  Security  Agreement,  all  notices  signed  by  the         Singapore Credit Parties, all as required by the Initial Singapore Security Agreement;                  (xi)    in respect of each Singapore Credit Party, a letter of authorisation from such Singapore         Credit  Party  to  Allen  &  Gledhill  LLP,  authorising  Allen  &  Gledhill  LLP  to  file  a  statement  containing         particulars  of  charge  in  respect  of  the  Initial  Singapore  Security  Agreement  with  the  Accounting  and         Corporate Regulatory Authority of Singapore, duly executed by the respective Singapore Credit Parties;                 (xii)   in relation to the Initial Hong Kong Security Agreement, all notices signed by the Hong         Kong Credit Parties, all as required by the Initial Hong Kong Security Agreement;                 (xiii)   in respect of each Australian  Credit Party, proper financing statements registered under         the  Australian  PPSA  as  may  be  necessary  or,  to  the  extent  reasonably  requested  by  the  Administrative         Agent reasonably in advance of the Eurasian Effectiveness Date, desirable to perfect the security interests         purported to be created by the Australian Security Agreements; and                                                  -130- 

 

               (xiv)    in respect of each Australian Credit Party, copies of Australian PPSA searches as of a         recent date, listing all effective financing statements that name or otherwise identify the Australian Credit         Parties as grantor (none of which shall cover any of the Collateral except to the extent evidencing Permitted         Liens).          Section 6B.08  Guaranty  Agreement.   On  the  Eurasian  Effectiveness  Date,  each  Eurasian  Credit  Party  shall have duly authorized, executed and delivered a joinder agreement to the Guaranty Agreement.          Section 6B.09  [Reserved].          Section 6B.10  [Reserved].          Section 6B.11  Fees,  etc.   On  the  Eurasian  Effectiveness  Date,  the  Lead  Borrower  shall  have  paid,  without  duplication  of  any  costs,  fees  and  expenses  paid  on  the  Closing  Date  pursuant  to  Section  6A.13,  to  the  Agents  and  their  Affiliates  that  are  Lenders  on  the  Eurasian  Effectiveness  Date  all  costs,  fees  and  expenses  (including, without limitation, legal fees and expenses) to the extent invoiced at least three Business Days prior the  Eurasian Effectiveness Date and other compensation payable to the Agents or such Lender that have been separately  agreed and are payable in respect of the Transaction and the joinder of the Eurasian Credit Parties to this Agreement  to the extent then due.          Section 6B.12  [Reserved].          Section 6B.13  Patriot Act.  The Agents shall have received from the Eurasian Credit Parties, at least  three Business Days prior to the Eurasian Effectiveness Date, all documentation and other information required by  regulatory  authorities  under  applicable  “know  your  customer”  and  anti-money  laundering  rules  and  regulations,  including  the  Patriot  Act,  in  each  case  to  the  extent  requested  in  writing  at  least  10  Business  Days  prior  to  the  Eurasian Effectiveness Date.          Section 6B.14  Borrowing  Notice.   Prior  to  the  making  of  a  Revolving  Loan  on  the  Eurasian  Effectiveness  Date,  if  any,  the  Administrative  Agent  shall  have  received  a  Notice  of  Borrowing  meeting  the  requirements of Section 2.02(c).          Section 6B.15  Representations  and  Warranties.   The  Specified  Representations  with  respect  to  each  Eurasian Credit Party shall be true and correct in all material respects on the Eurasian Effectiveness Date (in each  case, any representation or warranty that is qualified as to “materiality or similar language” shall be true and correct  in all respects on the Eurasian Effectiveness Date); provided that any “Material Adverse Effect” or similar qualifier  in any such Specified Representation shall, for purposes of this Section 6B.15, be deemed to refer to “Closing Date  Material Adverse Effect.”          ARTICLE 7      Conditions  Precedent  to  All  Credit  Events.   The  obligation  of  each  Lender  and  each  Issuing Bank to make any Credit Extension shall be subject to the satisfaction (or waiver) of each of the conditions  precedent set forth below:          Section 7.01  Notice  of  Borrowing.   The  Administrative  Agent  shall  have  received  a  Notice  of  Borrowing as required by Section 2.03 (or such notice shall have been deemed given in accordance with Section  2.03) if Loans are being requested or, in the case of the issuance, amendment, extension or renewal of a Letter of  Credit,  the  Issuing  Banks  and  the  Administrative  Agent  shall  have  received  a  notice  requesting  the  issuance,  amendment,  extension  or  renewal  of  such  Letter  of  Credit  as  required  by  Section  2.13(b)  or,  in  the  case  of  the  Borrowing of a Swingline Loan, the Swingline Lender and the Administrative Agent shall have received a notice  requesting such Swingline Loan as required by Section 2.12(b).          Section 7.02  Availability.  The Availability Conditions on the proposed date of such Credit Extension  shall be satisfied.                                                  -131- 

 

         Section 7.03  No Default.  No Default or Event of Default shall exist at the time of, or result from, such  funding or issuance.          Section 7.04  Representations and Warranties.  Each of the representations and warranties made by any  Credit Party set forth in Section 8 hereof or in any other Credit Document shall be true and correct in all material  respects (without duplication of any materiality standard set forth in any such representation or warranty) on and as  of the date of such Credit Extension with the same effect as though made on and as of such date, except to the extent  such  representations  and  warranties  expressly  relate  to  an  earlier  date,  in  which  case  such  representations  and  warranties shall be true and correct in all material respects as of such date (without duplication of any materiality  standard set forth in any such representation or warranty).  The acceptance of the benefits of each Credit Event after  the Closing Date shall constitute a representation and warranty by each Borrower to the Administrative Agent and  each  of  the  Lenders  that  all  the  conditions  specified  in  this  Section  7  and  applicable  to  such  Credit  Event  are  satisfied as of that time (other than such conditions which are subject to the discretion of the Administrative Agent  or the Lenders).  All of the Notes, certificates, legal opinions and other documents and papers referred to in Section  6  and  in  this  Section  7,  unless  otherwise  specified,  shall  be  delivered  to  the  Administrative  Agent  at  the  Notice  Office for the account of each of the Lenders.          ARTICLE 8      Representations, Warranties and Agreements.  In order to induce the Lenders to enter into  this Agreement and to make the Loans, each Borrower (and, solely with respect to Sections 8.01, 8.02, 8.03, 8.04,  and 8.16  with respect  to  itself, Holdings),  makes  the  following representations  and  warranties, in each case  after  giving effect to the Transaction and the Amendment No. 5 Transactions.          Section 8.01  Organizational Status.  Each of Holdings, the Lead Borrower and each of its Restricted  Subsidiaries  (i)  is  a  duly  organized  and  validly  existing  corporation,  partnership,  limited  liability  company  or  unlimited liability company, as the case may be, in good standing (to the extent such concept is applicable) under the  laws  of  the  jurisdiction  of  its  organization  or  incorporation,  (ii)  has  the  corporate,  partnership,  limited  liability  company or unlimited liability company or holding company power and authority, as the case may be, to own its  property and assets and to transact the business in which it is engaged and presently proposes to engage and (iii) is,  to the extent such concepts are applicable under the laws of the relevant jurisdiction, duly qualified and is authorized  to do business and is in good standing in each jurisdiction where the ownership, leasing or operation of its property  or the conduct of its business requires such qualifications except for failures to be so qualified which, individually  and in the aggregate would not reasonably be expected to have a Material Adverse Effect.          Section 8.02  Power  and  Authority;  Enforceability.   Each  Credit  Party  thereof  has  the  corporate,  partnership, limited liability company or unlimited liability company power and authority, as the case may be, to  execute, deliver and perform the terms and provisions of each of the Credit Documents to which it is party and has  taken all necessary corporate, partnership, limited liability company or unlimited liability company action, as the  case may be, to authorize the execution, delivery and performance by it of each of such Credit Documents.  Each  Credit Party thereof has duly executed and delivered each of the Credit Documents to which it is party, and each of  such Credit Documents constitutes its legal, valid and binding obligation enforceable in accordance with its terms,  except  to  the  extent  that  the  enforceability  thereof  may  be  limited  by  applicable  bankruptcy,  insolvency,  reorganization,  moratorium or other similar laws generally affecting creditors’ rights and by equitable principles  (regardless of whether enforcement is sought in equity or at law).          Section 8.03  No Violation.  Neither the execution, delivery or performance by any Credit Party of the  Credit  Documents  to  which  it  is  a  party,  nor  compliance  by  it  with  the  terms  and  provisions  thereof,  (i)  will  contravene any provision of any law, statute, rule or regulation or any order, writ, injunction or decree of any court  or  governmental  instrumentality,  (ii)  will  conflict  with  or  result  in  any  breach  of  any  of  the  terms,  covenants,  conditions or provisions of, or constitute a default under, or result in the creation or imposition of (or the obligation  to create or impose) any Lien (except pursuant to the Security Documents) upon any of the property or assets of any  Credit Party pursuant to the terms of, any indenture, mortgage, deed of trust, credit agreement or loan agreement, or  any other material agreement, contract or instrument, in each case to which any Credit Party is a party or by which it  or any of its property or assets is bound or to which it may be subject (except, in the case of preceding clauses (i)  and (ii), other than in the case of any contravention, breach, default and/or conflict, that would not reasonably be  expected,  either  individually  or  in  the  aggregate,  to  have  a  Material  Adverse  Effect)  or  (iii)  will  violate  any                                                  -132- 

 

  provision of the certificate or articles of incorporation, certificate of formation, limited liability company agreement  or by-laws (or equivalent organizational or constitutional documents), as applicable, of any Credit Party.          Section 8.04  Approvals.   Except  to  the  extent  the  failure  to  obtain  or  make  the  same  would  not  reasonably  be  expected  to  have  a  Material  Adverse  Effect,  no  order,  consent,  approval,  license,  authorization  or  validation  of,  or  filing,  recording  or  registration  with  (except  for  (x)  those  that  have  otherwise  been  obtained  or  made on or prior to the Closing Date and which remain in full force and effect on the Closing Date and (y) filings  which are necessary to perfect the security interests created under the Security Documents), or exemption by, any  governmental or public body or authority, or any subdivision thereof, is required to be obtained or made by, or on  behalf of, any Credit Party to authorize, or is required to be obtained or made by, or on behalf of, any Credit Party in  connection with, the execution, delivery and performance of any Credit Document.          Section 8.05  Financial Statements; Financial Condition; Projections.          (a)     (i)   As  of  the  Amendment  No.  5  Effective  Date,  the  consolidated  balance  sheets  of  the  Lead         Borrower (or a Parent Company) and its Subsidiaries for the two most recent fiscal years for which such         balance sheets were required to have been delivered pursuant to Section 9.01(b) as of the Amendment No.         5 Effective Date and the related consolidated statements of income, cash flows and retained earnings of the         Lead Borrower (or a Parent Company) and its Subsidiaries for each such fiscal year present fairly in all         material respects the consolidated financial position of the Lead Borrower (or a Parent Company) and its         Subsidiaries as of the dates thereof and their results of operations for the periods covered thereby.  All of         the foregoing historical financial statements have been audited by Ernst and Young, KPMG LLP or other         independent certified public accountants of recognized national standing and prepared in accordance with         U.S. GAAP consistently applied, except as otherwise expressly noted.                   (ii)   As of the Amendment No. 5 Effective Date, the unaudited consolidated balance sheets of         the Lead Borrower (or a Parent Company) and its Subsidiaries for each fiscal quarter (if any) ending after         the date of the most recent audited annual balance sheet delivered prior to the Amendment No. 5 Effective         Date pursuant to Section 9.01(b) and the related consolidated statements of income, cash flows and retained         earnings  of  the  Lead  Borrower  (or  a Parent  Company)  and  its  Subsidiaries  for  each  such  fiscal  period         present fairly in all material respects the consolidated financial position of the Lead Borrower (or a Parent         Company, as applicable) and its Subsidiaries as of the dates thereof and their results of operations for the         periods covered thereby, subject to the absence of footnotes and to normal year-end audit adjustments. All         of  the  foregoing  historical  financial  statements  have  been  prepared  in  accordance  with  U.S.  GAAP         consistently applied, except as otherwise expressly noted therein.          (b)     On  the  Amendment  No.  5  Effective  Date,  the  Lead  Borrower  and  each  of  its  Restricted  Subsidiaries, on a consolidated basis, are Solvent after giving effect to the consummation of the Amendment No. 5  Transactions.          (c)     [Reserved].          (d)     Since the Amendment No. 5 Effective Date there has been no change, event or occurrence that  could reasonably be expected to have, either individually or in the aggregate, a Material Adverse Effect.          Section 8.06  Litigation.  There are no actions, suits or proceedings pending or, to the knowledge of the  Lead Borrower, threatened in writing (i) with respect to the Amendment No. 5 Transactions or any Credit Document  or (ii) that either individually or in the aggregate, have had, or would reasonably be expected to have, a Material  Adverse Effect.          Section 8.07  True and Complete Disclosure.          (g)     All written information (other than information consisting of statements, estimates, forecasts and  projections, as to which no representation, warranty or covenant is made) that has been or will be made available to  the Administrative Agent or any Lender by any Credit Party or any representative of a Credit Party at its direction                                                  -133- 

 

  and on its behalf in connection with this Agreement, the other Credit Documents or any transaction contemplated  herein or therein, when taken as a whole and after giving effect to all supplements thereto, is and will be complete  and correct in all material respects and does not and will not contain any untrue statement of a material fact or omit  to state a material fact necessary to make the statements contained therein, in each case in light of the circumstances  under which such statements are made, not materially misleading.          (h)     As  of  the  Amendment  No.  5  Effective  Date,  to  the  best  knowledge  of  the  Lead  Borrower,  the  information included in the most recently delivered Beneficial Ownership Certification provided on or prior to the  Amendment No. 5 Effective Date to any Lender pursuant to this Agreement (or any amendment hereto) is true and  correct  in  all  respects; provided,  that  this  representation  and  warranty  shall  only  apply  with  respect  to  any  such  Beneficial Ownership Certification to the extent the Beneficial Ownership Regulation is applicable to the Credit  Parties specified in such Beneficial Ownership Certification on the applicable date on which this representation and  warranty is made.          Section 8.08  Use of Proceeds; Margin Regulations.          (a)     All proceeds of the Loans incurred on the Closing Date will be used by the Lead Borrower to  finance  working  capital  purposes  in  an  amount  not  to  exceed  $50,000,000  (plus  amounts  incurred  by  the  Lead  Borrower under the U.S. Subfacility to fund certain original issue discount or upfront fees).          (b)     (i) All proceeds of the Loans incurred after the Closing Date (other than on the Amendment No. 5  Effective Date) will be used for working capital needs and general corporate purposes, including the financing of  capital expenditures, Permitted Acquisitions, and other permitted Investments, Dividends and any other purpose not  prohibited hereunder and (ii) all proceeds of the Loans incurred on the Amendment No. 5 Effective Date (if any)  will be used by the Borrowers (x) to pay a portion of the costs of the Amendment No. 5 Repayment Transactions,  (y) to pay all or any portion of the Amendment No. 5 Transaction Costs and (z) to finance working capital purposes  in an amount not to exceed $100,000,000.          (c)     No part of any Credit Event (or the proceeds thereof) will be used to purchase or carry any Margin  Stock or to extend credit for the purpose of purchasing or carrying any Margin Stock.  Neither the making of any  Loan nor the use of the proceeds thereof nor the occurrence of any other Credit Event will violate (x) the provisions  of Regulation T, Regulation  U or Regulation X of the Board of Governors of the Federal Reserve System or (y)  applicable legislation governing financial assistance and/or capital maintenance, as set forth in Section 9.19.          (d)     The  Lead  Borrower  will  not  request  any  Borrowing,  and  the  Lead  Borrower  shall  not  use,  and  shall procure that its Subsidiaries and its or their respective directors, officers, employees and agents shall not use,  the proceeds of any Borrowing (A) in furtherance of an offer, payment, promise to pay, or authorization of the  payment or giving of money, or anything else of value, to any Person in violation of any Anti-Corruption Laws, (B)  for the purpose of funding, financing or facilitating any activities, business or transaction of or with any Sanctioned  Person, or in any Sanctioned Country, or (C) in any manner that would result in the violation of any Sanctions  applicable to the Lead Borrower and its Subsidiaries or, to the knowledge of the Lead Borrower, any other party  hereto. The foregoing paragraph (C) shall  not apply to the extent that compliance will result in a violation of, or  conflict with, or liability under, section 7 of the German Foreign Trade Ordinance (Außenwirtschaftsverordnung) (in  connection with section 4 para 1 no 3 Foreign Trade Law (Außenwirtschaftsgesetz)) or European Union Regulation  (EC) No 2271/96.          Section 8.09  Tax.          (a)     Except as would not reasonably be expected to result in a Material Adverse Effect, (i) the Lead  Borrower and each of its Restricted Subsidiaries has timely filed or caused to be timely filed with the appropriate  taxing authority all Tax returns, statements, forms and reports for taxes (the “Returns”) required to be filed by, or  with respect to the income, properties or operations of, the Lead Borrower and/or any of its Restricted Subsidiaries,  (ii)  the  Returns  accurately  reflect  in  all  material  respects  all  liability  for  Taxes  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  for  the  periods  covered  thereby,  and  (iii)  the  Lead  Borrower  and  each  of  its  Restricted  Subsidiaries  have  paid  all  Taxes  payable  by  them,  other  than  those  that  are  being  contested  in  good  faith  by  appropriate proceedings and fully provided for as a reserve on the financial statements of the Lead Borrower and its                                                 -134- 

 

  Restricted Subsidiaries in accordance with U.S. GAAP or, for Foreign Subsidiaries, in conformity  with  generally  accepted  accounting  principles  that  are  applicable  in  their  respective  jurisdictions  of  organization.   There  is  no  action,  suit,  proceeding,  investigation,  audit  or  claim  now  pending  or,  to  the  knowledge  of  the  Lead  Borrower,  threatened in writing by any authority regarding any Taxes relating to the Lead Borrower or any of its Restricted  Subsidiaries  which  is  reasonably  likely  to  be  adversely  determined,  and,  if  adversely  determined,  would  be  reasonably be expected to result in a Material Adverse Effect.          (b)     Each European Credit Party, French Credit Party and German Credit Party (i) is resident for Tax  purposes in its jurisdiction of incorporation and (ii) except as otherwise disclosed in any joinder or counterpart to  this Agreement or the Guaranty Agreement pursuant to which such Credit Party becomes a party hereto or thereto,  does not carry on any trade through a permanent establishment outside its jurisdiction of incorporation.          Section 8.10  ERISA and Pensions.          (a)     No  ERISA  Event  has  occurred  or  is  reasonably  expected  to  occur  that  would  reasonably  be  expected to result in a Material Adverse Effect.  Each Plan is in compliance in form and operation with its terms and  with the applicable provisions of ERISA, the Code and other applicable law, except for such non-compliance that  would not reasonably be expected to have a Material Adverse Effect.  Except as would not reasonably be expected  to result in a Material Adverse Effect, each Plan (and each related trust, if any) which is intended to be qualified  under Section 401(a) of the Code has received a favorable determination letter from the Internal Revenue Service or  is in the form of a prototype document that is the subject of a favorable opinion letter.          (b)     There  exists  no  Unfunded  Pension  Liability  with  respect  to  any  Plan,  except  as  would  not  reasonably be expected to have a Material Adverse Effect.          (c)     If each of the Lead Borrower, each Restricted Subsidiary of the Lead Borrower and each ERISA  Affiliate were to withdraw from all Multiemployer Plans in a complete withdrawal as of the date this assurance is  given,  the  aggregate  withdrawal  liability  that  would  be  incurred  would  not  reasonably  be  expected  to  have  a  Material Adverse Effect.          (d)     There are no actions, suits or claims pending against or involving a Plan (other than routine claims  for benefits)  or,  to the knowledge of  the Lead Borrower, any Restricted Subsidiary  of the Lead Borrower or  any  ERISA Affiliate, threatened, which would reasonably be expected to be asserted successfully against any Plan and,  if so asserted successfully, would reasonably be expected, either individually or in the aggregate, to have a Material  Adverse Effect.          (e)     The Lead Borrower, any  Restricted Subsidiary of the  Lead Borrower and any ERISA  Affiliate  have  made all  material contributions to or under each Plan and Multiemployer Plan required by law  within the  applicable  time  limits  prescribed  thereby,  the  terms  of  such  Plan  or  Multiemployer  Plan,  respectively,  or  any  contract or agreement requiring contributions to a Plan or Multiemployer Plan except where any failure to comply,  individually or in the aggregate, would not reasonably be expected to have a Material Adverse Effect.          (f)     Except as would not reasonably be expected to have a Material Adverse Effect:  (i) each Foreign  Pension Plan has been maintained in substantial compliance with its terms and with the requirements of any and all  applicable laws, statutes, rules, regulations and orders and has been maintained, where required, in good standing  with applicable regulatory authorities; (ii) all contributions required to be made with respect to a Foreign Pension  Plan have been timely made; and (iii) neither the Lead Borrower nor any of its Restricted Subsidiaries has incurred  any obligation in connection with the termination of, or withdrawal from, any Foreign Pension Plan.          (g)     Except as would not reasonably be expected to have a Material Adverse Effect, no Credit Party is  or has at any time been (i) an employer (for the purposes of sections 38 to 51 of the United Kingdom’s Pensions Act  2004)  of  an  occupational  pension  scheme  which  is  not  a  money  purchase  scheme  (both  terms  as  defined  in  the  United Kingdom’s Pensions Schemes Act 1993) or (ii) “connected” with or an “associate” (as those terms are used  in sections 38 and 43 of the United Kingdom’s Pensions Act 2004) of such an employer                                                  -135- 

 

         (h)     Canadian  Pension  Plans.   Except  as  individually  or  in  the  aggregate  could  not  reasonably  be  expected  to  result  in  a  Material  Adverse  Effect,  (i)  each  Canadian  Pension  Plan  is,  and  has  been,  established,  registered, funded, administered and invested in compliance with the terms of such plan (including the terms of any  documents in respect of such plan), all applicable laws and any collective agreements, as applicable, and (ii) no  Canadian Pension Plan is subject to an investigation, any other proceeding, or action or claim.  All employer and  employee payments, contributions or premiums to be remitted, paid to or in respect of each Canadian Pension Plan  by a Credit Party have been paid by each such Credit Party in a timely fashion in accordance with the terms thereof,  any funding agreement and all applicable Laws except to the extent cured within 10 Business Days of the due date  in respect thereof.  No Canadian Pension Plan is a Canadian Defined Benefit Pension Plan as of the Closing Date.  No  Lien  has  arisen  in  respect  of  any  Credit  Party  in  connection  with  any  Canadian  Pension  Plan  (save  for  contribution amounts not yet due).          Section 8.11  The Security Documents.          (a)     The  provisions  of  the  Security  Documents  are  effective  to  create  in  favor  of  each  relevant  Collateral Agent for the benefit of the Secured Creditors a legal, valid and enforceable security interest (except to  the  extent  that  the  enforceability  thereof  may  be  limited  by  applicable  bankruptcy,  insolvency,  reorganization,  moratorium  or  other  similar  laws  generally  affecting  creditors’  rights  and  by  equitable  principles  (regardless  of  whether  enforcement  is  sought  in  equity  or  at  law))  in  all  right,  title  and  interest  of  the  Credit  Parties  in  the  Collateral specified therein in which a security interest can be created under applicable law, and (1) in the case of the  U.S. Security Documents and U.S. Collateral described therein, upon (i) the timely and proper filing of financing  statements listing each applicable Credit Party, as a debtor, and the U.S. Collateral Agent, as secured creditor, in the  secretary of  state’s office (or other similar governmental entity) of the jurisdiction of organization of such Credit  Party,  (ii)  the  receipt  by  the  Term  Agent,  as  bailee  for  the  U.S.  Collateral  Agent  pursuant  to  the  Intercreditor  Agreement, of all Instruments (as defined in the Initial U.S. Security Agreement), Chattel Paper (as defined in the  Initial U.S. Security Agreement) and certificated pledged Equity Interests that constitute “securities” governed by  Article 8 of the New York UCC, in each case constituting Collateral in suitable form for transfer by delivery or  accompanied  by  instruments  of  transfer  or  assignment  duly  executed  in  blank,  (iii)  sufficient  identification  of  commercial  tort  claims  (as  applicable),  (iv)  execution  of  a  control  agreement  establishing  the  U.S.  Collateral  Agent’s  “control”  (within  the  meaning  of  the  New  York  UCC)  with  respect  to  any  deposit  account,  (v)  the  recordation of the Patent Security Agreement, if applicable, and the Trademark Security Agreement, if applicable, in  the respective form attached to the Initial U.S. Security Agreement, in each case in the United States Patent and  Trademark Office and (vi) the Copyright Security Agreement in U.S. Copyrights, if applicable, in the form attached  to the U.S. Security Agreement with the United States Copyright Office, the U.S. Collateral Agent, for the benefit of  the Secured Creditors, has (to the extent provided in the U.S. Security Documents), a fully perfected security interest  in all right, title and interest in all the U.S. Collateral, subject to no other Liens other than Permitted Liens, in each  case, to the extent perfection can be accomplished under applicable law through these actions, (2) in the case of the  Hong  Kong  Security  Documents  and  Hong  Kong  Collateral  described  therein,  upon  the  timely  and  proper  filing  and/or  registration  of  the  Initial  Hong  Kong  Security  Agreement  and  the  security  interests  created  by  it  with  the  Hong Kong Companies Registry and other appropriate filing offices of Hong Kong, the Asian Collateral Agent, for  the  benefit  of  the  Secured  Creditors,  has  (to  the  extent  provided  in  the  Hong  Kong  Security  Documents)  a  fully  perfected security interest in all right, title and interest in all of the Hong Kong Collateral, subject to no other Liens  other than Permitted Liens, in each case, to the extent perfection can be accomplished under applicable law through  these actions, (3) in the case of the Canadian Security Documents and Canadian Collateral described therein, upon  the timely and proper PPSA filings (and equivalent filings under the Civil Code of Quebec), the U.S. Collateral  Agent, for the benefit of the Secured Creditors, has (to the extent provided in the Canadian Security Documents) a  fully perfected security interest in all right, title and interest in all of the Canadian Collateral, subject to no other  Liens other than Permitted Liens, in each case, to the extent perfection can be accomplished under applicable law  through these actions,  (4) in  the case of the French  Security  Documents and  French  Collateral described therein,  upon (i) execution of a control agreement establishing the French Collateral Agent’s “control” with respect to any  French  deposit  account  and  (ii)  notice  of  constitution  of  the  pledge  over  the  relevant  French  deposit  accounts  to  being served on or about the Closing Date to the relevant account bank, the French Collateral Agent, for the benefit  of the Secured Creditors, has (to the extent provided in the French Security Documents) a fully perfected security  interest in all right, title and interest in all of the French Collateral, subject to no other Liens other than Permitted  Liens, in each case, to the extent perfection can be accomplished under applicable law through these actions, (5) in  the  case  of  the  German  Security  Documents  and  German  Collateral  described  therein,  upon,  in  the  case  of the                                                 -136- 

 

  German Account Pledge Agreements, the notification of each account bank, the German Collateral Agent, for the  benefit of the Secured Creditors, has (to the extent provided in the German Security Documents) a fully perfected  security interest in all right, title and interest in all of the German Collateral, subject to no other Liens other than  Permitted  Liens, in each case, to the extent perfection can  be accomplished under applicable law through these  actions, (6) in the case of the Singapore Security Documents and Singapore Collateral described therein, upon the  proper registration  of the  Initial  Singapore  Security  Agreement  and  the  security  interests  created  by  it  with  the  Accounting and Corporate Regulatory Authority in Singapore within 30 days of execution by the parties thereto, the  Asian  Collateral  Agent,  for  the  benefit  of  the  Secured  Creditors,  has  (to  the  extent  provided  in  the  Singapore  Security  Documents)  a  fully  perfected  security  interest  in  all  right,  title  and  interest  in  all  of  the  Singapore  Collateral,  subject  to  no  other  Liens  other  than  Permitted  Liens,  in  each  case,  to  the  extent  perfection  can  be  accomplished under applicable law through these actions, (7) in the case of the Irish Security Documents and Irish  Collateral described therein, upon the proper registration of the Initial Irish Security Agreement and the security  interests created by it with the Irish Registrar of Companies within 21 days of execution by the parties thereto, the  European Collateral Agent, for the benefit of the Secured Creditors, has (to the extent provided in the Initial Irish  Security Agreement), a fully perfected security interest in all right, title and interest in all of the Irish Collateral,  subject  to  no  other  Liens  other  than  Permitted  Liens,  in  each  case,  to  the  extent  perfection  can  be  accomplished  under applicable law through these actions, (8) in the case of the Australian Security Documents and Australian  Collateral described therein, the Australian Collateral Agent, for the benefit of the Secured Creditors, has (to the  extent provided in the Australian Security Documents) a fully perfected security interest in all right, title and interest  in all of the Australian Collateral, subject to no other Liens other than Permitted Liens, in each case, to the extent  perfection can be accomplished under applicable law through these actions, the timely and proper filing of financing  statements and/or the obtaining of “control” (for the purposes of Part 9.5 of the Australian PPSA) with respect to the  Collateral  as  required  under  the  Australian  PPSA  and  (9)  in  the  case  of  the  UK  Security  Documents  and  UK  Collateral  described  therein,  upon  the  timely  and  proper  filing  of  the  Initial  UK  Security  Agreement,  relevant  Additional Security Documents and the security interests created by it or them with Companies House, the European  Collateral  Agent,  for  the  benefit  of  the  Secured  Creditors,  has  (to  the  extent  provided  in  the  UK  Security  Documents) a fully perfected security interest in all right, title and interest in all of the UK Collateral, subject to no  other Liens other than Permitted Liens, in each case, to the extent perfection can be accomplished under applicable  law through these actions.          (b)     Upon  delivery  in  accordance  with  Section  9.12,  each  Mortgage  will  create,  as  security  for  the  obligations  purported  to  be  secured  thereby,  a  valid  and  enforceable  (except  to  the  extent  that  the  enforceability  thereof  may  be  limited  by  applicable  bankruptcy,  insolvency,  reorganization,  moratorium  or  other  similar  laws  generally  affecting  creditors’  rights  generally  and  by  equitable  principles  (regardless  of  whether  enforcement  is  sought in equity or at law)) and, upon recordation in the appropriate recording office, perfected security interest in  and mortgage lien on the respective Mortgaged Property in favor of the U.S. Collateral Agent (or such other trustee  as may be required or desired under local law) for the benefit of the Secured Creditors, superior and prior to the  rights of all third Persons (except as may exist pursuant to the Permitted Encumbrances related thereto) and subject  to no other Liens (other than Permitted Liens related thereto).          Section 8.12  Properties.  All Real Property owned by any U.S. Credit Party as of the Amendment No. 5  Effective Date, and the nature of the interest therein, is correctly set forth in Schedule 8.12, which Schedule 8.12  also indicates each property that constitutes a Material Real Property as of the Amendment No. 5 Effective Date.   Each of the Lead Borrower and each of its Restricted Subsidiaries has good and marketable title or valid leasehold  interest in the case of Real Property, and good and valid title in the case of tangible personal property, to all material  tangible properties owned by it, including all material property reflected in the most recent historical balance sheets  referred to in Section 8.05(a) (except as sold or otherwise disposed of since the date of such balance sheet in the  ordinary course of business or as permitted by the terms of this Agreement), free and clear of all Liens, other than  Permitted Liens, except where the failure to have such title or interests would not reasonably be expected to have,  individually or in the aggregate, a Material Adverse Effect on the use or operation of such Real Property or personal  property necessary for the ordinary conduct of the Lead Borrower and its Restricted Subsidiaries’ business, taken as  a whole.          Section 8.13  Capitalization.   All  outstanding shares  of capital stock of  the Lead Borrower have been  duly and validly issued and are fully paid and non-assessable (other than any assessment on the shareholders of the  Lead Borrower that may be imposed as a matter of law) and are owned by Holdings.  The Lead Borrower does not                                                 -137- 

 

  have outstanding any capital stock or other securities convertible into or exchangeable for its capital stock or any  rights to subscribe for or to purchase, or any options for the purchase of, or any agreement providing for the issuance  (contingent or otherwise) of, or any calls, commitments or claims of any character relating to, its capital stock.          Section 8.14  Subsidiaries.  On and as of the Amendment No. 5 Effective Date and after giving effect to  the consummation of the Amendment No. 5 Transactions, the Lead Borrower has no Subsidiaries other than those  Subsidiaries listed on Schedule 8.14.  Schedule 8.14 correctly sets forth, as of the Amendment No. 5 Effective Date  and after giving effect to the Amendment No. 5 Transactions, the percentage ownership (direct and indirect) of the  Lead Borrower in each class of capital stock of each of its Subsidiaries and also identifies the direct owner thereof.          Section 8.15  Compliance with Statutes, OFAC Rules and Regulations; Patriot Act; FCPA.          (a)     Each  of  the  Lead  Borrower  and  each  of  its  Subsidiaries  is  in  compliance  with  all  applicable  statutes, regulations and orders of (including any laws relating to terrorism, money laundering, embargoed persons  or  the  Patriot  Act),  and  all  applicable  restrictions  imposed  by,  all  governmental  bodies,  domestic  or  foreign,  in  respect  of the conduct  of its  business  and the ownership of its property (including,  without  limitation, applicable  statutes,  regulations,  orders  and  restrictions  relating  to  environmental  standards  and  controls),  except  such  noncompliances as, individually and in the aggregate, have not had, and would not reasonably be expected to have, a  Material  Adverse  Effect  and  except  to  the  extent  that  compliance  by  a  Canadian  Credit  Party  would  violate  or  conflict with the Foreign Extraterritorial Measures Act (Canada). The Borrowers will not directly (or knowingly  indirectly) use the proceeds of the Revolving Loans to violate or result in a violation of any such applicable statutes,  regulations, orders or restrictions referred to in the immediately preceding sentence.          (b)     The Lead Borrower has implemented and maintains in effect policies and procedures reasonably  and  appropriately  designed  to  ensure  material  compliance  by  the  Lead  Borrower,  its  Subsidiaries  and  their  respective directors, officers, employees and agents  with Anti-Corruption Laws and applicable Sanctions, and the  Lead  Borrower,  its  Subsidiaries  and  their  respective  officers  and  employees  and,  to  the  knowledge  of  the  Lead  Borrower,  its  directors  and  agents,  are  in  compliance  with  Anti-Corruption  Laws  and  applicable  Sanctions  in  all  material respects.  None of (a) the Lead Borrower, any Subsidiary or any of their respective directors, officers or  employees, or (b) to the knowledge of the Lead Borrower, any agent of the Lead Borrower or any Subsidiary that  will act in any capacity  in  connection  with  or  benefit  from  the credit  facility established hereby,  is  a Sanctioned  Person.   No  Borrowing, use  of proceeds  or the  Amendment  No. 5 Transactions  will  violate any  Anti-Corruption  Law or applicable Sanctions. This Section 8.15(b) shall not apply to the extent that compliance  will result in  a  violation  of,  or  conflict  with,  or  liability  under,  section  7  of  the  German  Foreign  Trade  Ordinance  (Außenwirtschaftsverordnung)  (in  connection  with  section  4  para  1  no  3  Foreign  Trade  Law  (Außenwirtschaftsgesetz))  or  European  Union  Regulation  (EC)  No  2271/96  or  similar  anti-boycott  statute  or  the  Foreign Extraterritorial Measures Act (Canada).          Section 8.16  Investment Company Act.  None of Holdings, the Lead Borrower or any of its Restricted  Subsidiaries is an “investment company” within the meaning of the Investment Company Act of 1940, as amended,  required to be registered as such.          Section 8.17  [Reserved].          Section 8.18  Environmental Matters.          (a)     The Lead Borrower and each of its Restricted Subsidiaries are in compliance with all applicable  Environmental  Laws  and  the  requirements  of  any  permits  issued  under  such  Environmental  Laws.   To  the  knowledge of any Credit Party, there are no pending or threatened Environmental Claims against the Lead Borrower  or any of its Restricted Subsidiaries or any Real Property currently or formerly owned, leased or operated by the  Lead Borrower or any of its Restricted Subsidiaries.  There are no facts, circumstances, conditions or occurrences  with  respect  to  the  business  or operations  of  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  or,  to  the  knowledge of any Credit Party, any Real Property currently or formerly owned, leased or operated by the Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  that  would  be  reasonably  expected  (i)  to  form  the  basis  of  an  Environmental  Claim  against  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  or  (ii)  to  cause  any  Real  Property owned, leased or operated by the Lead Borrower or any of its Restricted Subsidiaries to be subject to any                                                 -138- 

 

  restrictions on the ownership, lease, occupancy or transferability of such Real Property by the Lead Borrower or any  of its Restricted Subsidiaries under any applicable Environmental Law.          (b)     To the knowledge of any Credit Party, Hazardous Materials have not at any time been generated,  used, treated or stored on, or transported to or from, or Released on or from, any Real Property owned, leased or  operated by the Lead Borrower or any of its Restricted Subsidiaries where such generation, use, treatment, storage,  transportation or Release has (i) violated or would be reasonably expected to violate any applicable Environmental  Law, (ii) give rise to an Environmental Claim or (iii) give rise to liability under any applicable Environmental Law.          (c)     Notwithstanding anything to the contrary in this Section 8.18, the representations and warranties  made in this Section 8.18 shall be untrue only if the effect of any or all conditions, violations, claims, restrictions,  failures and noncompliances of the types described above would, either individually or in the aggregate, reasonably  be expected to have a Material Adverse Effect.          Section 8.19  Labor Relations.  Except as set forth in Schedule 8.19 or except to the extent the same has  not, either individually or in the aggregate, had and would not reasonably be expected to have a Material Adverse  Effect, (a) there are no strikes, lockouts, slowdowns or other labor disputes pending against the Lead Borrower or  any of its Restricted Subsidiaries or, to the knowledge of the Lead Borrower, threatened against the Lead Borrower  or any of its Restricted Subsidiaries, (b) to the knowledge of the Lead Borrower, there are no questions concerning  union representation with respect to the Lead Borrower or any of its Restricted Subsidiaries, (c) the hours worked by  and  payments  made  to  employees  of  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  have  not  been  in  violation of the Fair Labor Standards Act or any other applicable Federal, state, local, or foreign law dealing with  such matters and (d) to the knowledge of the Lead Borrower, no wage and hour department investigation has been  made of the Lead Borrower or any of its Restricted Subsidiaries.          Section 8.20  Intellectual Property.  Each of the Lead Borrower and each of its Restricted Subsidiaries  owns  or  has  the  right  to  use  all  the  patents,  trademarks,  domain  names,  service  marks,  trade  names,  copyrights,  inventions,  trade  secrets,  formulas,  proprietary  information  and  know-how  of  any  type,  whether  or  not  written  (including,  but  not  limited  to,  rights  in  computer  programs  and  databases)  (collectively,  “Intellectual  Property”),  necessary for the present conduct of its business, without any known conflict with the Intellectual Property rights of  others,  except  for  such  failures  to  own  or  have  the  right  to  use  and/or  conflicts  as  have  not  had,  and  would  not  reasonably be expected to have, a Material Adverse Effect.          Section 8.21  [Reserved].          Section 8.22  EEA Financial Institutions.  No Credit Party is an EEA Financial Institution.          Section 8.23  Borrowing Base Certificate.  At the time of delivery of each Borrowing Base Certificate,  assuming that any eligibility criterion that requires the approval or satisfaction of the Administrative Agent has been  approved by or is satisfactory to the Administrative Agent, each material Account reflected therein as eligible for  inclusion in each Borrowing Base is an Eligible Account and the material Inventory reflected therein as eligible for  inclusion in each Borrowing Base constitutes Eligible Inventory.          Section 8.24  [Reserved].            Section 8.25  Non-Hong Kong Company.  Except as disclosed to the Administrative Agent, no Credit  Party incorporated outside Hong Kong is registered as a non-Hong Kong Company within the meaning of Part 16 of  the Companies Ordinance (Cap.622 of the Laws of Hong Kong) except as otherwise specified in writing from time  to time by the Lead Borrower to the Administrative Agent.          Section 8.26  [Reserved].          Section 8.27  [Reserved].                                                    -139- 

 

         Section 8.28  Centre  of  Main  Interests  and  Establishments.   For  the  purposes  of  Regulation  (EU)  2015/848  of  the  European  Parliament  and  of  the  Council  20  May  2015  on  insolvency  proceedings  (the  “Regulation”), (a) each of the European Credit Parties’, French Credit Parties’ and German Credit Parties’ centre of  main interests (as that term is used in Article 3(1) of the Regulation) is situated in its jurisdiction of incorporation  and (b) except as otherwise disclosed in any joinder or counterpart to this Agreement or the Guaranty Agreement  pursuant to which such Credit Party becomes a party hereto or thereto, none of the European Credit Parties, French  Credit  Parties  or  German  Credit  Parties  have  an  “establishment”  (as  that  term  is  used  in  Article  2(10)  of  the  Regulation) in any other jurisdiction (or any equivalent provision(s) of any applicable successor to the Regulation  which may apply from time to time to any of the UK Credit Parties).          Section 8.29  Common Enterprise.  The successful operation and condition of each of the Credit Parties  is dependent on the continued successful performance of the functions of the group of the Credit Parties as a whole  and the successful operation of each of the Credit Parties is dependent on the successful performance and operation  of each other Credit Party.  Each Credit Party expects to derive benefit (and its board of directors or other governing  body  has  determined  that  it  may  reasonably  be  expected  to  derive  benefit),  directly  and  indirectly,  from  (i)  successful operations of each of the other Credit Parties and (ii) the credit extended by the Lenders to the Borrowers  hereunder,  both  in  their  separate  capacities  and  as  members  of  the  group  of  companies.   Each  Credit  Party  has  determined  that  execution,  delivery,  and  performance  of  this  Agreement  and  any  other  Credit  Documents  to  be  executed by such Credit Party is within its purpose, will be of direct and indirect commercial benefit to such Credit  Party, and is in its best interest.          Section 8.30  Private Company.  No Singapore Credit Party is (a) a public company (as defined in the  Companies Act, Chapter 50 of Singapore) or (b) a company whose holding company or ultimate holding company is  a public company (as defined in the Companies Act, Chapter 50 of Singapore).          ARTICLE 9      Affirmative  Covenants.   The  Lead  Borrower  and  each  of  its  Restricted  Subsidiaries  hereby covenants and agrees that on and after the Amendment No. 5 Effective Date and so long as any Lender shall  have  any  Commitment  hereunder,  any  Loan  or  other  Obligation  hereunder  (other  than  (i)  any  indemnification  obligations arising hereunder which are not then due and payable and (ii) Secured Bank Product Obligations, except  to the extent then due and payable and then entitled to payment in accordance with Section 11.11), or any Letter of  Credit shall remain outstanding (unless Cash Collateralized or backstopped on terms reasonably satisfactory to the  Administrative Agent and the applicable Issuing Bank).          Section 9.01  Information Covenants.  The Lead Borrower will furnish to the Administrative Agent for  distribution to each Lender, including each Lender’s Public-Siders, except as otherwise provided below:                  (a)    Quarterly Financial Statements.  Within 45 days after the close of each of the first three         quarterly accounting periods in each fiscal year of the Lead Borrower, (i) the consolidated balance sheet of         the Lead Borrower and its Subsidiaries as at the end of such quarterly accounting period and the related         consolidated  statements  of  income  and  retained  earnings  and  statement  of  cash  flows  for  such  quarterly         accounting period and for the elapsed portion of the fiscal year ended with the last day of such quarterly         accounting  period,  in  each  case  setting  forth  comparative  figures  for  the  corresponding  quarterly         accounting period in the prior fiscal year, all of which shall be certified by the chief financial officer of the         Lead Borrower that they fairly present in all material respects in accordance with U.S. GAAP the financial         condition  of  the  Lead  Borrower  and  its  Subsidiaries  as  of  the  dates  indicated  and  the  results  of  their         operations  for  the  periods  indicated,  subject  to  normal  year-end  audit  adjustments  and  the  absence  of         footnotes,  and  (ii)  management’s  discussion  and  analysis  of  the  important  operational  and  financial         developments during such quarterly accounting period.                  (b)    Annual Financial  Statements.  Within 90 days after the close of each fiscal year of the         Lead Borrower, (i) the consolidated balance sheet of the Lead Borrower and its Subsidiaries as at the end of         such fiscal year and the related consolidated statements of income and retained earnings and statement of         cash  flows  for  such  fiscal  year  setting  forth  comparative  figures  for  the  preceding  fiscal  year  and         comparable forecasted figures for such fiscal year based on the corresponding forecasts delivered pursuant         to Section 9.01(d) (provided, that, the comparisons to forecasts shall not be provided to Public-Siders) and         certified,  in  the  case  of  consolidated  financial  statements,  by  Ernst  &  Young,  KPMG  LLP  or  other                                                 -140- 

 

                  independent certified public accountants of recognized national standing, together with an opinion of such  accounting firm (which opinion shall be without a “going concern” or like qualification or exception (other  than any emphasis of matter paragraph) and without any qualification or exception as to the scope of such  audit (except for qualifications for a change in accounting principles with which such accountants concur  and which shall have been disclosed in the notes to the financial statements or other than as a result of, or  with respect to, (A) an upcoming maturity date under this Agreement or the Term Loan Credit Agreement,  (B)  any  actual  or  potential  inability  to  satisfy  any  financial  maintenance  covenant  under  any  of  its  Indebtedness  (including,  without  limitation,  the  financial  covenant  set  forth  in  Section 10.11  of  this  Agreement) on a future date or in a future period or (C) the activities, operations, financial results, assets or  liability of any Unrestricted Subsidiary)) to the effect such statements fairly present in all material respects  in accordance with U.S. GAAP the financial condition of the Lead Borrower and its Subsidiaries as of the  date indicated and the results of their operations for the periods indicated, and (ii) management’s discussion  and analysis of the important operational and financial developments during such fiscal year.             (c)    Notwithstanding the foregoing, the obligations referred to in Sections 9.01(a) and 9.01(b)  above  and  Section  9.01(d)  below  may  be  satisfied  with  respect  to  financial  information  of  the  Lead  Borrower  and  its  Subsidiaries  by  furnishing  (A) the  applicable  financial  statements  or  forecasts  of  any  Parent Company or (B) the Lead Borrower’s or such Parent Company’s Form 10-K or 10-Q, as applicable,  filed with the SEC (and the public filing of such report with the SEC shall constitute delivery under this  Section 9.01); provided that with respect to each of the preceding clauses (A) and (B), (1) to the extent such  information relates to a Parent Company of the Lead Borrower, if and so long as such Parent Company will  have Independent Assets or Operations, such information is accompanied by, or the Lead Borrower shall  separately  deliver  within  the  applicable  time  periods  set  forth  in  Sections  9.01(a)  and  9.01(b)  above,  consolidating  information  (which  need  not  be  audited)  that  explains  in  reasonable  detail  the  differences  between the information relating to such Parent Company and its Independent Assets or Operations, on the  one hand, and the information relating to the Lead Borrower and the consolidated Restricted Subsidiaries  on a stand-alone basis, on the other hand and (2) to the extent such information is in lieu of information  required to be provided under Section 9.01(b), such materials are accompanied by a report and opinion by  Ernst  &  Young,  KPMG  LLP  or  other  independent  certified  public  accountants  of  recognized  national  standing or another accounting firm reasonably acceptable to the Administrative Agent, which report and  opinion  (a)  will  be  prepared  in  accordance  with  generally  accepted  auditing  standards  and  (b) will  be  without a “going concern” or like qualification or exception (other than any emphasis of matter paragraph)  and  without  any  qualification  or  exception  as  to  the  scope  of  such  audit  (except  for  qualifications  for  a  change in accounting principles with which such accountants concur and which shall have been disclosed  in the notes to the financial statements or other than as a result of, or with respect to, (I) an upcoming  maturity  date  under  this  Agreement  or  the  Term  Loan  Credit  Agreement,  (II)  any  actual  or  potential  inability to satisfy any financial maintenance covenant under any of its Indebtedness (including, without  limitation,  the  financial  covenant  set  forth  in  Section 10.11  of  this  Agreement)  on  a  future  date  or  in  a  future  period  or  (III)  the  activities,  operations,  financial  results,  assets  or  liability  of  any  Unrestricted  Subsidiary).           (d)    Forecasts.   Within  90  days  after  the  close  of  each  fiscal  year  of  the  Lead  Borrower  (commencing with respect to fiscal year 2021), a reasonably detailed annual forecast (including projected  statements  of  income,  sources  and  uses  of  cash  and  balance  sheets  for  the  Lead  Borrower  and  its  Subsidiaries  on  a  consolidated  basis),  prepared  on  an  annual  basis  for  such  fiscal  year  and  including  a  discussion of the principal assumptions upon which such forecast is based (it being agreed that such annual  forecasts shall not be provided to Public-Siders).           (e)    Officer’s  Certificates.   At  the  time  of  the  delivery  of  the  Section  9.01  Financials,  a  Compliance  Certificate  from  a  Responsible  Officer  of  the  Lead  Borrower  substantially  in  the  form  of  Exhibit J, certifying on behalf of the Lead Borrower that, to such Responsible Officer’s knowledge, no  Default  or  Event  of  Default  has  occurred  and  is  continuing  or,  if  any  Default  or  Event  of  Default  has  occurred and is continuing, specifying the nature and extent thereof, which certificate shall (i) solely to the  extent  (x)  then  subject  to  Section  10.11  or  (y)  Global  Availability  is  otherwise  less  than  15%  of  the  Aggregate Commitments, set forth the reasonably detailed calculations  with respect to the Consolidated  Fixed Charge Coverage Ratio for such period, (ii) certify that there have been no changes to Schedules                                          -141- 

 

                  1(a),  2(b),  10,  11(a),  11(b),  11(c),  12  and  13  of  the  Perfection  Certificate,  in  each  case  since  the  Amendment No. 5 Effective Date or, if later, since the date of the most recent certificate delivered pursuant  to this Section 9.01(e), or if there have been any such changes, a list in reasonable detail of such changes  (but, in each case with respect to this clause (ii), only to the extent such changes are required to be reported  to the applicable Collateral Agent pursuant to the terms of such Security Documents), and (iii) certify that  there have been no changes to the information provided in the Beneficial Ownership Certification delivered  to any Lender that would result in a change to the list of beneficial owners identified in such certification,  in  each case  since the  Amendment  No. 5 Effective Date  or,  if later, since the date of the  most recent  certificate  delivered  pursuant  to  this  Section  9.01(e),  or  if  there  have  been  any  such  changes,  a  list  in  reasonable detail of such changes (but, in each case with respect to this clause (iii), solely to the extent (x)  such changes would result in a change to the list of beneficial owners identified in any such certification  and (y) the Beneficial Ownership Regulation is applicable to the Credit Parties specified in the Beneficial  Ownership Certification delivered to any Lender).           (f)    Notice  of  Default,  Litigation  and  Material  Adverse  Effect.   Promptly  after  any  Responsible Officer of the Lead Borrower obtains knowledge thereof, notice of (i) the occurrence of any  event which constitutes a Default or an Event of Default or any default or event of default under the Term  Loan Credit Agreement, any Permitted Pari Passu Notes, any Permitted Pari Passu Loans, any Permitted  Junior  Debt  or  other  debt  instrument  in  excess  of  the  Threshold  Amount,  (ii)  any  litigation,  or  governmental investigation or proceeding  pending against  Holdings or any  of  its Subsidiaries (x)  which,  either  individually  or  in  the  aggregate,  has  had,  or  would  reasonably  be  expected  to  have,  a  Material  Adverse Effect or (y) with respect to any Credit Document, or (iii) any other event, change or circumstance  that has had, or would reasonably be expected to have, a Material Adverse Effect.           (g)    Other Reports and Filings.  Promptly after the filing or delivery thereof, copies of all  financial information, proxy materials and reports, if any, which Holdings or any of its Subsidiaries shall  publicly file with the Securities and Exchange Commission or any successor thereto (the “SEC”).           (h)    Environmental Matters.  Promptly after any Responsible Officer of the Lead Borrower  obtains  knowledge  thereof,  notice  of  any  of  the  following  environmental  matters  to  the  extent  such  environmental matters, either individually or when aggregated with all other such environmental matters,  would reasonably be expected to have a Material Adverse Effect:                   (i)   any pending or threatened Environmental Claim against the Lead Borrower or          any  of  its  Restricted  Subsidiaries  or  any  Real  Property  owned,  leased  or  operated  by  the  Lead          Borrower or any of its Restricted Subsidiaries;                  (ii)   any condition or occurrence on or arising from any Real Property owned, leased          or  operated  by  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  that  (a)  results  in          noncompliance  by  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  with  any  applicable          Environmental Law or (b) would reasonably be expected to form the basis of an Environmental          Claim against the Lead Borrower or any of its Restricted Subsidiaries or any such Real Property;                  (iii)  any condition or occurrence on any Real Property owned, leased or operated by          the Lead Borrower or any of its Restricted Subsidiaries that could reasonably be expected to cause          such  Real  Property  to  be  subject  to  any  restrictions  on  the  ownership,  lease,  occupancy,  use  or          transferability by the Lead Borrower or any of its Restricted Subsidiaries of such Real Property          under any Environmental Law; and                  (iv)   the taking of any removal or remedial action in response to the actual or alleged          presence of any Hazardous Material on any Real Property owned, leased or operated by the Lead          Borrower  or  any  of  its  Restricted  Subsidiaries  as  required  by  any  Environmental  Law  or  any          governmental or other administrative agency and all notices received by the Lead Borrower or any          of its Restricted Subsidiaries from any government or governmental agency under, or pursuant to,          CERCLA which identify the Lead Borrower or any of its Restricted Subsidiaries as potentially                                           -142- 

 

                          responsible parties for remediation costs or which otherwise notify the Lead Borrower or any of its          Restricted Subsidiaries of potential liability under CERCLA.           All  such  notices  shall  describe  in  reasonable  detail  the  nature  of  the  claim,  investigation,  condition, occurrence or removal or remedial action and the Lead Borrower’s or such Subsidiary’s response  thereto.           The Lead Borrower represents and  warrants  that it, Holdings or any other Parent  Company and  any Subsidiary, in each case, if any, either (i) has no registered or publicly traded securities outstanding, or  (ii) files its financial statements with the SEC and/or makes its financial statements available to potential  holders of its 144A securities, and, accordingly, the Lead Borrower hereby (i) authorizes the Administrative  Agent to make financial statements and other information provided pursuant to clauses (a) and (b) above,  along with the Credit Documents and the list of Disqualified Lenders, available to Public-Siders and (ii)  agrees that at the time the Section 9.01 Financials are provided hereunder, they shall already have been, or  shall substantially concurrently be, made available to holders of its securities.  The Lead Borrower will not  request that any other material be posted to Public-Siders without expressly representing and warranting to  the Administrative Agent in writing that such materials do not constitute material non-public information  within the  meaning of  the  federal securities laws or that the Lead  Borrower has  no outstanding publicly  traded  securities,  including  144A  securities  (it  being  understood  that  the  Lead  Borrower  shall  have  no  obligation to request that any material be posted to Public-Siders).  Notwithstanding anything herein to the  contrary,  in  no  event  shall  the  Lead  Borrower  request  that  the  Administrative  Agent  make  available  to  Public-Siders  budgets  or  any  certificates,  reports  or  calculations  with  respect  to  the  Lead  Borrower’s  compliance with the covenants contained herein.           (i)    Notices  to  Holders.   Promptly  after  the  sending,  filing  or  receipt  thereof,  the  Lead  Borrower  will provide to the  Administrative  Agent any  material  notices provided to, or received from,  holders of (I) Refinancing Notes, Permitted Pari Passu Notes, Permitted Pari Passu Loans, Permitted Junior  Debt  or  other  Indebtedness,  in  each  case  of  this  clause  (I),  with  a  principal  amount  in  excess  of  the  Threshold Amount, or (II)  the Term Loan  Credit  Agreement  (including, for the  avoidance of  doubt,  any  notices relating to an actual or purported default or event of default thereunder and any notices to the extent  the  action or occurrence described therein  would reasonably be expected  to be materially adverse to  the  interests  of  the  Lenders,  but  excluding  any  administrative  notices  or  regular  reporting  requirements  thereunder).           (j)    Financial Statements of  Unrestricted Subsidiaries.   Simultaneously  with the delivery  of  each  set  of  Section  9.01  Financials,  the  related  consolidating  financial  statements  reflecting  adjustments  necessary to eliminate the accounts of Unrestricted Subsidiaries (if any) from such consolidated financial  statements.           (k)    Insurance.  Evidence of insurance renewals as required under Section 9.03.           (l)    Other  Information.   From  time  to  time,  (x)  such  other  information  or  documents  (financial  or  otherwise)  with  respect  to  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  as  the  Administrative Agent or any Lender (through the Administrative Agent) may reasonably request and (y)  information and documentation reasonably requested by the Administrative Agent or any Lender necessary  for purposes  of  compliance  with applicable  “know  your  customer” and anti-money laundering rules and  regulations,  including  the  Patriot  Act  and  the  Beneficial  Ownership  Regulation.   Notwithstanding  the  foregoing, neither the Lead Borrower nor any of its Restricted Subsidiaries will be required to provide any  information pursuant to this Section 9.01(l) to the extent that the provision thereof would violate any law,  rule  or  regulation  or  result  in  the  breach  of  any  binding  contractual  obligation  or  the  loss  of  any  professional  privilege; provided  that  in  the  event  that  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  does  not  provide information  that otherwise  would be required to be provided  hereunder in  reliance on such exception, the Lead Borrower shall use commercially reasonable efforts to provide notice  to the Administrative Agent promptly upon obtaining knowledge that such information is being withheld  (but solely if providing such notice would not violate such law, rule or regulation or result in the breach of  such binding contractual obligation or the loss of such professional privilege).                                          -143- 

 

                 (m)    Foreign Pension Plans.  Promptly after any Responsible Officer of the Lead Borrower         obtains  knowledge  thereof,  (i)  details  of  any  investigation  or  proposed  investigation  by  the  Pensions         Regulator  which  would  be  reasonably  likely  to  lead  to  the  issue  of  a  Financial  Support  Direction  or  a         Contribution  Notice  in  relation  to  any  Foreign  Pension  Plan  (or  if  any  Credit  Party  is  in  receipt  of  a         Financial Support Direction or a Contribution Notice in relation to any Foreign Pension Plan), (ii) details of         any amount is due to any Foreign Pension Plan pursuant to Sections 75 or 75A of the United Kingdom’s         Pensions Act 1995 (in each case with respect to (i) or (ii), describing such matter or event and the action         proposed to be taken with respect thereto); and (iii) details of any material change to the rate or basis to the         employer  contributions  to  a  Foreign  Pension  Plan,  in  each  case,  to  the  extent  any  of  the  foregoing,         individually or in the aggregate, would reasonably be expected to have a Material Adverse Effect.          Section 9.02  Books, Records and Inspections; Conference Calls.          (a)     The Lead Borrower will, and will cause each of its Restricted Subsidiaries to, keep proper books  of  record  and  accounts  in  which  full,  true  and  correct  entries  in  conformity  with  U.S.  GAAP  (or,  for  Restricted  Subsidiaries which are Foreign Subsidiaries, in conformity with generally accepted accounting principles that are  applicable in their respective jurisdiction of organization) in all material respects shall be made of all dealings and  transactions in relation to its business and activities.          (b)     The Lead Borrower will permit the Administrative Agent, subject to reasonable advance notice to,  and  reasonable  coordination  with,  the  Lead  Borrower  and  during  normal  business  hours,  to  visit  and  inspect  the  properties  of  any  Borrower,  at  the  Borrowers’  expense  as  provided  in  clause  (c)  below,  inspect,  audit  and  make  extracts  from any Borrower’s corporate, financial or operating records, and discuss  with its officers, employees,  agents, advisors and independent accountants (subject to such accountants’ customary policies and procedures) such  Borrower’s business, financial condition, assets and results of operations (it being understood that a representative of  the Lead Borrower and such Borrower shall be permitted to be present in any discussions with officers, employees,  agent,  advisors  and  independent  accountants); provided  that  the  Administrative  Agent  shall  only  be  permitted  to  conduct one field examination and one inventory appraisal with respect to any Collateral comprising the Aggregate  Borrowing Base per 12-month period; provided further that (i) if at any time Global Availability is less than 33% of  the  Line  Cap  for  a  period  of  5  consecutive  Business  Days  during  such  12-month  period,  one  additional  field  examination  and  one  additional  inventory  appraisal  of  Revolver  Priority  Collateral  will  be  permitted  in  such  12- month period  and (ii) during  any  Liquidity  Period, one  additional  field examination and  one additional inventory  appraisal of Revolver Priority Collateral be permitted in such 12-month period, except that during the existence and  continuance  of  an  Event  of  Default,  there  shall  be  no  limit  on  the  number  of  additional  field  examinations  and  inventory appraisals of Revolver Priority  Collateral that shall be permitted at the Administrative Agent’s request.   No such inspection or visit shall unduly interfere with the business or operations of any Borrower, nor result in any  damage to the property or other Collateral.  No inspection shall involve invasive testing without the prior written  consent  of  the  Lead  Borrower.   Neither  the  Administrative  Agent  nor  any  Lender  shall  have  any  duty  to  any  Borrower to make any inspection, nor to share any results of any inspection, appraisal or report with any Borrower.   Each  of  the  Lead  Borrowers  acknowledges  that  all  inspections,  appraisals  and  reports  are  prepared  by  the  Administrative Agent and Lenders for their purposes, and the Borrowers shall not be entitled to rely upon them.          (c)     The Lead Borrower will reimburse (or will cause to be reimbursed) the Administrative Agent for  all reasonable and documented out-of-pocket costs and expenses (other than any legal fees or costs and expenses  covered under Section 13.01) of the Administrative Agent in connection with (i) one examination per fiscal year of  any  Borrower’s  books  and  records  as  described  in  clause  (a)  above  and  (ii)  field  examinations  and  inventory  appraisals of Collateral comprising the Aggregate Borrowing Base, in each case subject to the limitations on such  examinations, audits and appraisals permitted under the preceding paragraph.  Subject to and without limiting the  foregoing, the Borrowers specifically agree to pay the Administrative Agent’s then standard charges for examination  activities, including the standard charges of the Administrative Agent’s internal appraisal group.  This Section shall  not be construed to limit the Administrative Agent’s right to use third parties for such purposes.          (d)     The  Lead  Borrower  will,  within  30  days  (or,  if  after  using  commercially  reasonable  efforts  to  schedule such call, at such later date as agreed to by the Administrative Agent in its reasonable discretion) after the  date  of  the  delivery  (or,  if  later,  required  delivery)  of  the  quarterly  and  annual  financial  information  pursuant  to  Sections  9.01(a)  and  (b),  hold  a  conference  call  or  teleconference,  at  a  time  selected  by  the  Lead  Borrower  and                                                 -144- 

 

  reasonably acceptable to the Administrative Agent, with all of the Lenders that choose to participate, to review the  financial results of the previous fiscal quarter or year, as the case may be, of the Lead Borrower (it being understood  that any such call may be combined with any similar call held for any of the Borrower’s or any Parent Company’s  other lenders or equity holders).          Section 9.03  Maintenance of Property; Insurance.          (a)     The Lead Borrower will, and will cause each of its Restricted Subsidiaries to, (i) except as would  not, either individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect, keep all  tangible property necessary to the business of the Lead Borrower and its Restricted Subsidiaries in reasonably good  working  order  and  condition,  ordinary  wear  and  tear,  casualty  and  condemnation  excepted,  (ii)  maintain  with  financially sound and reputable insurance companies insurance on all such property and against all such risks as is,  in  the  good  faith  determination  of  the  Lead  Borrower,  consistent  and  in  accordance  with  industry  practice  for  companies similarly situated owning similar properties and engaged in similar businesses as the Lead Borrower and  its Restricted Subsidiaries, and (iii) furnish to the Administrative Agent, upon its request therefor, all information  reasonably requested as to the insurance carried.  The provisions of this Section 9.03 shall be deemed supplemental  to, but not duplicative of, the provisions of any Security Documents that require the maintenance of insurance.          (b)     If any portion of any Mortgaged Property is at any time located in an area identified by the Federal  Emergency Management  Agency (or  any  successor agency) as  a special  flood  hazard area  with  respect to  which  flood insurance has been made available under Flood Insurance Laws, then the Lead Borrower shall, or shall cause  the applicable U.S. Credit Party to (i) maintain, or cause to be maintained, with a financially sound and reputable  insurer,  flood  insurance  in  an  amount  sufficient  to  comply  with  all  applicable  rules  and  regulations  promulgated  pursuant to the Flood Insurance Laws and (ii) deliver to the Administrative Agent evidence reasonably requested by  the Administrative Agent as to such compliance, including, without limitation, evidence of annual renewals of such  insurance.          (c)     The Lead Borrower will, and will cause each of its Restricted Subsidiaries to, at all times keep its  property constituting Collateral insured in favor of the applicable Collateral Agent (or the U.S. Collateral Agent on  the applicable Collateral Agent’s behalf), and all liability and property policies or certificates (or certified copies  thereof) with respect to such insurance (i) shall be endorsed in a customary manner to the applicable Collateral  Agent  (or  the  U.S.  Collateral  Agent  on  the  applicable  Collateral  Agent’s  behalf)  for  the  benefit  of  the  Secured  Creditors (including, without limitation, by naming the applicable Collateral Agent (or the U.S. Collateral Agent on  the  applicable  Collateral  Agent’s  behalf)  as  lender’s  loss  payee,  mortgagee  and/or  additional  insured)  and  (ii)  if  agreed by the insurer (which agreement the Borrowers shall use commercially reasonable efforts to obtain), shall  state that such insurance policies shall not be canceled without at least 30 days’ prior written notice thereof (or, with  respect  to  non-payment  of  premiums,  10  days’  prior  written  notice)  by  the  respective  insurer  to  the  applicable  Collateral  Agent  (or  the  U.S.  Collateral  Agent  on  the  applicable  Collateral  Agent’s  behalf); provided  that  the  requirements  of  this  Section  9.03(c)  shall  not  apply  to  (x)  insurance  policies  covering  (1)  directors  and  officers,  fiduciary or other professional liability, (2) employment practices liability, (3) workers compensation liability, (4)  automobile and aviation liability, (5) health, medical, dental and life insurance, and (6) such other insurance policies  and  programs  as  to  which  a  secured  lender  is  not  customarily  granted  an  insurable  interest  therein  as  the  Administrative Agent may approve; (y) self-insurance programs; and (z) insurance policies of Foreign Credit Parties  or  with  respect  to  non-U.S.  policies  to  the  extent  not  customary  in  similar  transactions  for  similarly  situated  borrowers in the jurisdictions of incorporation of such Foreign Credit Parties or such non-U.S. policies.          (d)     If  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  shall  fail  to  maintain  insurance  in  accordance with this Section 9.03, or the Lead Borrower or any of its Restricted Subsidiaries shall fail to so endorse  all policies with respect thereto, after any applicable grace period, the Administrative Agent shall have the right (but  shall  be  under  no  obligation)  to  procure  such  insurance,  and  the  Credit  Parties  jointly  and  severally  agree  to  reimburse the Administrative Agent for all reasonable costs and expenses of procuring such insurance.          Section 9.04  Existence;  Franchises.   The  Lead  Borrower  will,  and  will  cause  each  of  its  Restricted  Subsidiaries  to,  do  or  cause  to  be  done,  all  things  necessary  to  preserve  and  keep  in  full  force  and  effect  its  existence, franchises, licenses and permits in each case to the extent material; provided, however, that nothing in this  Section 9.04 shall prevent (i) sales of assets and other transactions by the Lead Borrower or any of its Restricted                                                 -145- 

 

  Subsidiaries in accordance with Section 10.02, (ii) the abandonment by the Lead Borrower or any of its Restricted  Subsidiaries  of  any  franchises,  licenses  or  permits  that  the  Lead  Borrower  reasonably  determines  are  no  longer  material  to  the  operations  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  taken  as  a  whole  or  (iii)  the  withdrawal by the Lead Borrower or any of its Restricted Subsidiaries of its qualification as a foreign corporation,  partnership, limited liability company or unlimited liability company, as the case may be, in any jurisdiction if such  withdrawal would not, either individually or in the aggregate, reasonably be expected to have a Material Adverse  Effect.          Section 9.05  Compliance  with  Statutes,  etc.  The  Lead  Borrower  will,  and  will  cause  each  of  its  Subsidiaries to, comply with all applicable statutes, regulations (including, without limitation, FCPA, OFAC and the  USA PATRIOT Act, CAML Legislation and Canadian Economic Sanctions and Export Control Laws) and orders  of, and all applicable restrictions imposed by, all governmental bodies, domestic or foreign, in respect of the conduct  of its business and the ownership of its property (including applicable statutes, regulations, orders and restrictions  relating to environmental standards and controls), except such noncompliances as would not, either individually or  in the aggregate, reasonably be expected to have a Material Adverse Effect. The Lead Borrower will maintain in  effect  and  enforce  policies  and  procedures  designed  to  ensure  material  compliance  by  the  Lead  Borrower,  its  Subsidiaries and their respective directors, officers, employees and agents with Anti-Corruption Laws and applicable  Sanctions. This Section 9.05 shall not apply to the extent that compliance will result in a violation of, or conflict  with,  or  liability  under,  section  7  of  the  German  Foreign  Trade  Ordinance  (Außenwirtschaftsverordnung)  (in  connection with section 4 para 1 no 3 Foreign Trade Law (Außenwirtschaftsgesetz)) or European Union Regulation  (EC) No 2271/96 or similar anti-boycott statute.          Section 9.06  Compliance with Environmental Laws.          (a)     The Lead Borrower will comply, and will cause each of its Restricted Subsidiaries to comply, with  all Environmental Laws and permits applicable to, or required by, the ownership, lease or use of Real Property now  or hereafter owned, leased or operated by the Lead Borrower or any of its Restricted Subsidiaries, except such  noncompliances as would not, either individually or in the aggregate, reasonably be expected to have a Material  Adverse Effect, and will keep or cause to be kept all such Real Property free and clear of any Liens imposed  pursuant to such Environmental Laws (other than Liens imposed on leased Real Property resulting from the acts or  omissions of the owner of such leased Real Property or of other tenants of such leased Real Property who are not  within the control of the Lead Borrower), except such Liens as would not, either individually or in the aggregate,  reasonably be expected to have a Material Adverse Effect.  Except as have not had, and would not reasonably be  expected to have, a Material Adverse Effect, neither the Lead Borrower nor any of its Restricted Subsidiaries will  generate, use, treat, store, Release or dispose of, or permit the generation, use, treatment, storage, Release or  disposal of Hazardous Materials on any Real Property now or hereafter owned, leased or operated by the Lead  Borrower or any of its Restricted Subsidiaries, or transport or permit the transportation of Hazardous Materials to or  from any such Real Property, except for Hazardous Materials generated, used, treated, stored, Released or disposed  of at any such Real Properties or transported to or from such Real Properties in compliance with all applicable  Environmental Laws.          (b)     (i) After the receipt by the Administrative Agent or any Lender of any notice of the type described  in  Section  9.01(h)  or  (ii)  at  any  time  that  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  are  not  in  compliance with Section 9.06(a), at the written request of the Administrative Agent, the Lead Borrower will provide  or cause the applicable Credit Party to provide an environmental site assessment report concerning any Mortgaged  Property owned, leased or operated by the Lead Borrower or any other Credit Party that is the subject of or could  reasonably be expected to be the subject of such notice or noncompliance, prepared by an environmental consulting  firm reasonably approved by the Administrative Agent, indicating the presence or absence of Hazardous Materials  and the reasonable worst case cost of any removal or remedial action in connection with such Hazardous Materials  on such Mortgaged Property.  If the Credit Parties fail to provide the same within 30 days after such request was  made,  the  Administrative  Agent  may  order  the  same,  the  reasonable  cost  of  which  shall  be  borne  (jointly  and  severally) by the Lead Borrower and the other Credit Parties.          Section 9.07  Pension and Benefit Plans.                                                  -146- 

 

         (a)     ERISA.  Promptly upon a Responsible Officer of the Lead Borrower obtaining knowledge thereof,  the  Lead  Borrower  will  deliver  to  the  Administrative  Agent  a  certificate  of  a  Responsible  Officer  of  the  Lead  Borrower setting forth the full details as to such occurrence and the action, if any, that the Lead Borrower, any  Restricted Subsidiary or an ERISA Affiliate is required or proposes to take, together with any notices required or  proposed  to  be  given  or  filed  by  the  Lead  Borrower,  such  Restricted  Subsidiary,  the  Plan  administrator  or  such  ERISA Affiliate to or with the PBGC or any other Governmental Authority, or a Plan participant and any notices  received by the Lead Borrower, such Restricted Subsidiary or such ERISA Affiliate from the PBGC or any other  Governmental Authority, or a Plan participant with respect thereto:  that (a) an ERISA Event has occurred that is  reasonably expected to result in a Material Adverse Effect; (b) there has been an increase in Unfunded Pension  Liabilities since the date the representations hereunder are given, or from any prior notice, as applicable, in either  case,  which  is reasonably expected to result in a Material Adverse Effect; (c) there has been an increase in the  estimated withdrawal liability under Section 4201 of ERISA, if the Lead Borrower, any Restricted Subsidiary of the  Lead Borrower and the ERISA Affiliates were to withdraw completely from any and all Multiemployer Plans which  is reasonably expected to result in a Material Adverse Effect, (d) the Lead Borrower, any Restricted Subsidiary of  the Lead Borrower or any ERISA Affiliate adopts, or commences contributions to, any Plan subject to Section 412  of the Code, or adopts any amendment to a Plan subject to Section 412 of the Code which is reasonably expected to  result in a Material Adverse Effect, (e) that a contribution required to be made with respect to a Foreign Pension  Plan has not been timely made which failure is reasonably likely to result in a Material Adverse Effect; or (f) that a  Foreign  Pension  Plan  has  been  or  is  reasonably  expected  to  be  terminated,  reorganized,  partitioned  or  declared  insolvent and such event is reasonably expected to result in a Material Adverse Effect.  The Lead Borrower will also  deliver to the Administrative Agent, upon request by the Administrative Agent, a complete copy of the most recent  annual report (on Internal Revenue Service Form 5500-series, including, to the extent required, the related financial  and  actuarial  statements  and  opinions  and  other  supporting  statements,  certifications,  schedules  and  information)  filed  with  the  Internal  Revenue  Service  or  other  Governmental  Authority  of  each  Plan  that  is  maintained  or  sponsored by the Lead Borrower or a Restricted Subsidiary.          (b)     Canadian Pension Plans.             (i)   Except as individually or in the aggregate could not reasonably be expected to result in a Material  Adverse Effect, for each existing, or hereafter adopted, Canadian Pension Plan, each Credit Party will in a timely  fashion comply with and perform in all respects all of its obligations under and in respect of such Canadian Pension  Plan, including under any funding agreements and all applicable laws (including any fiduciary, funding, investment  and administration obligations).          (ii)   All employer or employee payments, contributions or premiums required to be remitted, paid to or  in respect of each Canadian Pension Plan by a Credit Party shall be paid or remitted by each such Credit Party in a  timely fashion in accordance with the terms thereof, any funding agreements and all applicable laws provided that  any  Credit  Party  shall  have  a  10 Business  Day  cure  period  in  the  event  any  such  payments,  contributions  or  premiums have not been paid or remitted when due.          (iii)  The Credit Parties shall deliver to the Administrative Agent (A) if requested by the Administrative  Agent, copies of each annual and other return, report or valuation  with respect to each Canadian Pension Plan as  filed  with  any  applicable  Governmental  Authority;  (B)  promptly  after  receipt  thereof,  a  copy  of  any  material  direction,  order,  notice,  ruling  or  opinion  that  any  Credit  Party  may  receive  from  any  applicable  Governmental  Authority  with respect  to  any Canadian  Pension  Plan;  and  (C) prior notification of  the establishment  of any  new  Canadian Defined Benefit Pension Plan to which a Canadian Credit Party has assumed an obligation to contribute or  has any liability under, or the assumption of any liability under or commencement of contributions to any Canadian  Defined Benefit Pension Plan by a Canadian Credit Party in respect of which such Canadian Credit Party was not  previously contributing or liable.          (c)     UK Pensions.  Each UK Guarantor shall ensure that all Foreign Pension Plans, operated by or  maintained for the benefit of itself and/or any of their employees are fully  funded based on the statutory  funding  objective under Sections 221 and 222 of the United Kingdom’s Pensions Act 2004 and that no action or omission is  taken by any UK Guarantor in relation to such Foreign Pension Plan which has or is reasonably likely to have a  Material  Adverse  Effect  (including,  without  limitation,  the  termination  or  commencement  of  winding-up                                                  -147- 

 

  proceedings of any  such pension scheme or any  member of  the Group  ceasing  to employ  any  member of  such  a  pension scheme).          Section 9.08  End of Fiscal Years; Fiscal Quarters.  The Lead Borrower will cause (i) its, and each of its  Restricted Subsidiaries’ fiscal years to end on or near December 31 of each year; provided, however, that the Lead  Borrower  may, upon  written  notice to the  Administrative  Agent, change its  fiscal  year (or the fiscal  year of its  Restricted Subsidiaries) to any other fiscal year reasonably acceptable to the Administrative Agent, in which case,  the  Borrower  and  the  Administrative  Agent  will,  and  are  hereby  authorized  by  the  Lenders  to,  make  any  amendments to this Agreement that are necessary, in the judgment of the Administrative Agent and the Borrower, to  reflect such change in fiscal year, and (ii) each of its, and each of its Restricted Subsidiaries’ fiscal quarters to end  on or near March 31, June 30, September 30 and December 31.          Section 9.09  [Reserved].          Section 9.10  Payment of Taxes.           (a)     Except  as  would  not  reasonably  be  expected  to  result  in  a  Material  Adverse  Effect,  the  Lead  Borrower will pay and discharge, and will cause each of its Restricted Subsidiaries to pay and discharge, all Taxes  imposed  upon it  or  upon its income or profits or upon  any  properties belonging to it,  prior to the date on  which  penalties attach thereto, and all lawful claims which, if unpaid, might become a Lien or charge upon any properties  of the Lead Borrower or any of its Restricted Subsidiaries not otherwise permitted under Section 10.01(i); provided  that neither the Lead Borrower nor any of its Restricted Subsidiaries shall be required to pay any such Tax which is  being contested in  good faith and by appropriate proceedings if it  has  maintained adequate reserves  with respect  thereto  in  accordance  with  U.S.  GAAP  (or,  for  Foreign  Subsidiaries,  in  conformity  with  generally  accepted  accounting principles that are applicable in their respective jurisdictions of organization).          (b)     Each European Credit Party, French Credit Party and German Credit Party (i) will maintain its  residence for Tax purposes in its jurisdiction of incorporation and (ii) except as otherwise disclosed in any joinder or  counterpart  to  this  Agreement  or  the  Guaranty  Agreement  pursuant  to  which  such  Credit  Party  becomes  a  party  hereto  or  thereto,  will  not  carry  on  a  trade  through  a  permanent  establishment  outside  its  jurisdiction  of  incorporation.          Section 9.11  Use of Proceeds.  Each Borrower will use the proceeds of the Loans only as provided in  Section 8.08.          Section 9.12  Additional Security; Further Assurances; etc.           (a)     The  Lead  Borrower  will,  and  will  cause  each  of  the  Subsidiary  Borrowers  and  the  Subsidiary  Guarantors to, grant to the applicable Collateral Agent for the benefit of the Secured Creditors security interests and  Mortgages in such assets and properties (in the case of Real Property, limited to Material Real Property) of the Lead  Borrower,  the  Subsidiary  Borrowers  and  the  Subsidiary  Guarantors  as  are  acquired  after  the  Closing  Date  (other  than  assets  constituting  Excluded  Collateral)  and  as  may  be  reasonably  requested  from  time  to  time  by  the  Administrative Agent (collectively, as may be amended, amended and restated, modified, supplemented, extended  or renewed from time to time, and taken together with any documentation entered into in connection with fulfilling  the Additional Inventory Security Actions, the “Additional Security Documents”).  All such security interests and  Mortgages shall be granted pursuant to documentation consistent with the Initial Security Documents or otherwise  reasonably  satisfactory  in  form  and  substance  to  the  Administrative  Agent  and  (subject  to  exceptions  as  are  reasonably  acceptable  to  the Administrative  Agent)  shall  constitute,  upon  taking  all  necessary  perfection  (or  the  equivalent  with  respect  to  (i)  each  Hong  Kong  Borrower,  under  applicable  Hong  Kong  law,  (ii)  each  Canadian  Borrower,  under  applicable  Canadian  law,  (iii)  each  French  Borrower,  under  applicable  French  law,  (iv)  each  German Borrower, under applicable German law, (v) each Irish Borrower under applicable Irish law, (vi) each UK  Guarantor, under applicable English law, (vii) each Singapore Guarantor, under applicable Singapore law and (viii)  each Australian Guarantor, under applicable Australian law) action (which the Credit Parties agree to take pursuant  to clause (e) below) valid and enforceable perfected (or the equivalent with respect to (i) each Hong Kong Borrower,  under applicable Hong  Kong law, (ii) each Canadian Borrower, under applicable Canadian law, (iii) each French  Borrower, under applicable French law, (iv) each German Borrower, under applicable German law, (v) each Irish                                                 -148- 

 

  Borrower under applicable Irish law, (vi) each UK Guarantor, under applicable English  law, (vii) each Singapore  Guarantor, under applicable Singapore law and (viii) each Australian Guarantor, under applicable Australian law)  security interests and Mortgages (except, in each case, to the extent that the enforceability thereof may be limited by  applicable bankruptcy,  insolvency, reorganization,  moratorium or other similar laws generally affecting creditors’  rights and by equitable principles (regardless of whether enforcement is sought in equity or at law)), subject to the  Intercreditor Agreement and any Additional Intercreditor Agreement, superior to and prior to the rights of all third  Persons  and  subject  to  no  other  Liens  except  for  Permitted  Liens.   The  Additional  Security  Documents  or  instruments related thereto shall be duly recorded or filed in such manner and in such places as are required by law  to establish, perfect, preserve and protect (subject to exceptions as are reasonably acceptable to the Administrative  Agent)  the  Liens  in  favor  of  the  applicable  Collateral  Agent  required  to  be  granted  pursuant  to  the  Additional  Security  Documents.   Notwithstanding  any  other  provision  in  this  Agreement  or  any  other  Credit  Document,  no  Foreign Subsidiary, or Subsidiary of a CFC shall be required to pledge any of its assets to secure any obligations of  the Borrowers under the Credit Documents relating to the U.S. Subfacility or U.S. FILO Subfacility or guarantee the  obligations  of  the  U.S.  Borrowers  under  the  Credit  Documents  relating  to  the  U.S.  Subfacility  or  U.S.  FILO  Subfacility.          (b)     Subject to the terms of the Intercreditor Agreement and any Additional Intercreditor Agreement,  with  respect  to  any  Person  that  is  or  becomes  a  Restricted  Subsidiary  after  the  Closing  Date,  in  the  case  of  any  Restricted  Subsidiary  the  Equity  Interests  of  which  are  directly  held  by  a  U.S.  Credit  Party,  deliver  to  the  U.S.  Collateral  Agent  (or  the  Term  Agent,  as  bailee  for  the  U.S.  Collateral  Agent  pursuant  to  the  Intercreditor  Agreement) the certificates, if any, representing all (or such lesser amount as is required) of the Equity Interests of  such  Subsidiary,  together  with  undated  stock  powers  or  other  appropriate  instruments  of  transfer  executed  and  delivered in blank by a duly authorized officer of the holder(s) of such Equity Interests, and all intercompany notes  owing  from  such  Subsidiary  to  any  Credit  Party  together  with  instruments  of  transfer  executed  and  delivered  in  blank  by  a  duly  authorized  officer  of  such  Credit  Party  (to  the  extent  required  pursuant  to  the  U.S.  Security  Documents).  At the option of the Lead Borrower, it may cause a Restricted Subsidiary that is a U.S. Subsidiary,  Canadian Subsidiary, French Subsidiary, German Subsidiary, Irish Subsidiary or Hong Kong Subsidiary to become  a  “Subsidiary  Borrower”  hereunder  by  causing  such  Subsidiary  (A)  to  execute  a  joinder  agreement  to  this  Agreement in form and substance satisfactory to the Administrative Agent and such Security Documents creating  such Lien over its assets in favor of the applicable Collateral Agent for the benefit of the Secured Creditors on such  terms and of such scope substantially consistent with the applicable Initial Security Agreements or in any event, in  form and substance reasonably satisfactory to the applicable Collateral Agent; (B) to take all actions necessary or  advisable in the opinion of the Administrative Agent or the applicable Collateral Agent to cause the Lien created by  the applicable Security Document to be duly perfected to the extent required by such agreement in accordance with  all applicable Requirements  of Law, including the filing  of financing statements in such jurisdictions as  may be  reasonably  requested  by  the  Administrative  Agent  or  the  applicable  Collateral  Agent;  (C)  at  the  request  of  the  Administrative  Agent,  deliver  to  the  Administrative  Agent  a  signed  copy  of  an  opinion,  addressed  to  the  Administrative  Agent  and  the  other  Lenders,  of  counsel  to  the  Credit  Parties  reasonably  acceptable  to  the  Administrative Agent as to such matters set forth in this Section 9.12(b) and customarily opined upon by counsel to  such Credit Parties in such jurisdiction; and (D) to deliver to the Administrative Agent, at least three Business Days  prior  to  the  date  such  Subsidiary  becomes  a  “Subsidiary  Borrower”  hereunder,  all  documentation  and  other  information necessary for purposes of compliance with applicable “know your customer” and anti-money laundering  rules and regulations, including the Patriot Act and the Beneficial Ownership Regulation.  At the option of the Lead  Borrower,  it  may  cause  a  Restricted  Subsidiary  that  is  an  Australian  Subsidiary,  Singapore  Subsidiary  or  UK  Subsidiary  to  become  a  “Subsidiary  Guarantor”  hereunder  by  causing  such  Subsidiary  to  (x)  execute  a  joinder  agreement to the Guaranty Agreement and such Security Documents creating such Lien over its assets in favor of  the  applicable  Collateral  Agent  for  the  benefit  of  the  Secured  Creditors  on  such  terms  and  of  such  scope  substantially  consistent  with  the  applicable  Initial  Security  Agreements  or  in  any  event,  in  form  and  substance  reasonably satisfactory to the applicable Collateral Agent and (y) to take all actions necessary or advisable in the  opinion of the Administrative Agent or the applicable Collateral Agent to cause the Lien created by the applicable  Security Document to be duly perfected to the extent required by such agreement in accordance with all applicable  Requirements  of  Law,  including  the  filing  of  financing  statements  in  such  jurisdictions  as  may  be  reasonably  requested by the Administrative Agent or the applicable Collateral Agent.          (c)     The  Lead  Borrower  will,  and  will  cause  each  of  the  Subsidiary  Borrowers  and  Subsidiary  Guarantors to, at the expense of the Lead Borrower, make, execute, endorse, acknowledge, file and/or deliver to the                                                 -149- 

 

  applicable Collateral  Agent, promptly, upon the reasonable request of the Administrative Agent or the applicable  Collateral Agent, at the Lead Borrower’s expense, any document or instrument supplemental to or confirmatory of  the  Security  Documents  to  the  extent  deemed  by  the  Administrative  Agent  or  the  applicable  Collateral  Agent  reasonably necessary for the continued validity, perfection (or the equivalent with respect to (i) each Hong Kong  Borrower, under applicable Hong Kong law, (ii) each Canadian Borrower, under applicable Canadian law, (iii) each  French Borrower, under applicable French law, (iv) each German Borrower, under applicable German law, (v) each  Irish  Borrower  under  applicable  Irish  law,  (vi)  each  UK  Guarantor,  under  applicable  English  law,  (vii)  each  Singapore  Guarantor,  under  applicable  Singapore  law  and  (viii)  each  Australian  Guarantor,  under  applicable  Australian law) and priority of the Liens on the Collateral covered thereby subject to no other Liens except for  Permitted Liens or as otherwise permitted by the applicable Security Document.          (d)     If the Administrative Agent reasonably determines that it  or the Lenders are required by law or  regulation  to  have  appraisals  prepared in respect of any Mortgaged  Property, the  Lead  Borrower  will,  at its own  expense, provide to the Administrative Agent appraisals which satisfy the applicable requirements of the Real Estate  Appraisal  Reform  Amendments of the  Financial Institution Reform,  Recovery and Enforcement  Act of 1989, as  amended.           (e)     The Lead Borrower agrees that each action required by clauses (a) through (d) of this Section 9.12  shall be completed in no event later than 90 days after such action is required to be taken pursuant to such clauses or  requested  to  be  taken  by  the  Administrative  Agent  or  the  Required  Lenders  (or  (x)  with  respect  to  any  required  Mortgages, such later date on which the Lead Borrower has received confirmation from the Administrative Agent  that (A) flood insurance due diligence has been completed in a manner reasonably satisfactory to the Administrative  Agent and all Lenders (including, for the avoidance of doubt, delivery by the Lead Borrower to the Administrative  Agent  of  a  completed  “Life-of-Loan”  FEMA  standard  flood  hazard  determination  and,  if  such  applicable  Real  Property is located in an area identified by the Federal Emergency Management Agency (or any successor agency)  as a special flood hazard area, a notice about special flood hazard area status and flood disaster assistance executed  by the Lead Borrower and any Credit Party relating thereto) and (B) it is reasonably satisfied that flood insurance  complies  with  Section  9.03  hereto  and  (y)  in  each  case,  such  longer  period  as  the  Administrative  Agent  shall  otherwise agree, including with respect to any Real Property acquired after the Closing Date that the Lead Borrower  has notified  the  Administrative Agent  that  it intends to dispose of  pursuant  to a  disposition  permitted by  Section  10.02), as the case may be; provided that, in no event will the Lead Borrower or any of its Restricted Subsidiaries be  required to take any action to obtain consents from third parties with respect to its compliance with this Section 9.12.          Section 9.13  Post-Closing  Actions. The Lead Borrower agrees that it  will, or will  cause its relevant  Subsidiaries to, complete each of the actions described on Schedule 9.13 as soon as commercially reasonable and by  no later than the date set forth in Schedule 9.13 with respect to such action or such later date as the Administrative  Agent may reasonably agree.          Section 9.14  Permitted Acquisitions.           (a)     Subject to the provisions of this Section 9.14 and the requirements contained in the definition of  Permitted Acquisition, the Lead Borrower and its Restricted Subsidiaries may from time to time after the Closing  Date  effect  Permitted  Acquisitions, so  long  as  (in each case  except to  the extent  the Required Lenders  otherwise  specifically  agree  in  writing  in  the  case  of  a  specific  Permitted  Acquisition)  the  Payment  Conditions  shall  be  satisfied on a Pro Forma Basis for such Permitted Acquisition.          (b)     With  respect  to  any  Permitted  Acquisition  involving  the  creation  or  acquisition  of  a  Restricted  Subsidiary, or the acquisition of Equity Interests of any Person, the Equity Interests thereof created or acquired in  connection with such Permitted Acquisition (other than any such Equity Interests constituting Excluded Collateral)  shall be pledged for the benefit of the Secured Creditors pursuant to (and to the extent required by) the U.S. Security  Agreement.          (c)     The  Lead  Borrower  shall  cause  each  Restricted  Subsidiary  which  is  formed  to  effect,  or  is  acquired pursuant to, a Permitted Acquisition to comply with, and to execute and deliver all of the documentation as  and  to  the  extent  (and  within  the  time  periods)  required  by,  Section  9.12,  to  the  reasonable  satisfaction  of  the  Administrative Agent.                                                 -150- 

 

         Section 9.15  [Reserved].          Section 9.16  Designation of Subsidiaries.  The Lead Borrower may at any time and from time to time  after the Closing Date designate any Restricted Subsidiary of the Lead Borrower as an Unrestricted Subsidiary or  any Unrestricted Subsidiary as a Restricted Subsidiary by written notice to the Administrative Agent; provided that  (i) immediately before and after such designation, no Event of Default shall have occurred and be continuing, (ii) in  the  case  of  the  designation  of  any  Subsidiary  as  an  Unrestricted  Subsidiary,  such  designation  shall  constitute  an  Investment in such Unrestricted Subsidiary (calculated as an amount equal to the sum of (x) the fair market value of  the  Subsidiary  designated immediately prior to  such  designation (such  fair  market  value to be calculated  without  regard to any Obligations of such Subsidiary under the Guaranty Agreement) and (y) the aggregate principal amount  of  any  Indebtedness  owed  by  such  Subsidiary  to  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  immediately prior to such designation, all calculated, except as set forth in the parenthetical to clause (x) above, on a  consolidated basis in accordance with  U.S. GAAP), and  such Investment shall be permitted under Section 10.05,  (iii) no Subsidiary may be designated as an Unrestricted Subsidiary if it is a “Restricted Subsidiary” for the purpose  of (I) the Term Loan Credit Agreement or (II) any Refinancing Notes Indenture, any Permitted Pari Passu Notes  Document,  any  Permitted  Pari  Passu  Loan  Document,  any  Permitted  Junior  Notes  Document  or  other  debt  instrument,  in  each  case  of  this  clause  (II),  with  a  principal  amount  in  excess  of  the  Threshold  Amount,  (iv)  following the designation of an Unrestricted Subsidiary as a Restricted Subsidiary, the Lead Borrower shall comply  with  the  provisions  of  Section  9.12  with  respect  to  such  designated  Restricted  Subsidiary,  (v)  no  Restricted  Subsidiary may be a Subsidiary of an Unrestricted Subsidiary (and any Subsidiary of an Unrestricted Subsidiary that  is acquired or formed after the date of designation shall automatically be designated as an Unrestricted Subsidiary),  (vi) in the case of the designation of any Subsidiary as an Unrestricted Subsidiary, each of (x) the Subsidiary to be  so designated and (y) its Subsidiaries has not, at the time of designation, and does not thereafter, create, incur, issue,  assume, guarantee or otherwise become directly or indirectly liable with respect to any Indebtedness pursuant to  which the lender has recourse to any of the assets of the Lead Borrower or any Restricted Subsidiary (other than  Equity  Interests  in  an  Unrestricted  Subsidiary),  and  (vii)  if  any  Subsidiary  Borrower  is  to  be  designated  as  an  Unrestricted Subsidiary, (x) a new Borrowing Base Certificate giving pro forma effect to such designation shall have  delivered in connection with such designation if the assets of such Subsidiary Borrower comprise more than 10% of  the Aggregate Borrowing Base, (y) to the extent such Subsidiary Borrower is the only Borrower whose assets are  included in the applicable Borrowing Base under a particular Subfacility at that time, all outstanding Loans under  such  Subfacility  shall have been  prepaid  in  full  and all Revolving  Commitments under the  applicable Subfacility  shall have been cancelled, and (z) in the case of the French Subfacility or the German Subfacility, to the extent such  Borrower is the only Credit Party whose assets are included in the applicable Borrowing Base, all outstanding Loans  of  such  Borrower  shall  have  been  prepaid  in  full,  in  each  case  on  or  prior  to  the  date of  such  designation.   The  designation of any Unrestricted Subsidiary as a Restricted Subsidiary shall constitute (i) the incurrence at the time of  designation of any Investment, Indebtedness or Liens of such Subsidiary existing at such time and (ii) a return on  any Investment by the Lead Borrower in Unrestricted Subsidiaries pursuant to the preceding sentence in an amount  equal to the fair market value at the date of such designation of the Lead Borrower’s Investment in such Subsidiary.          Section 9.17  Collateral Monitoring and Reporting.          (a)     Borrowing Base Certificates.  By the 20th day of each month (or if such date is not a Business  Day,  the  following  Business  Day),  the  Lead  Borrower  shall  deliver  to  the  Administrative  Agent  (and  the  Administrative Agent shall promptly deliver the same to the Lenders) a Borrowing Base Certificate prepared as of  the close of business on the last Business Day of the previous month (provided that, during a Liquidity Period, the  Lead Borrower shall deliver to the Administrative Agent weekly Borrowing Base Certificates by Wednesday (or if  such date is not a Business Day, the following Business Day) of every week prepared as of the close of business on  Friday of the previous week, which weekly Borrowing Base Certificates shall be in standard form unless otherwise  reasonably agreed to by the Administrative Agent), or more frequently if elected by the Lead Borrower, provided the  Aggregate Borrowing Base shall continue to be reported on such more frequent basis for at least three (3) months  following any such election; provided, further, that (i) Inventory amounts shown in the Borrowing Base Certificates  delivered on a weekly basis will be based on the Inventory amount (a) set forth in the most recent weekly report,  where possible, and (b) for the most recently ended month for which such information is available with regard to  locations  where it  is  impracticable to report Inventory  more frequently, and  (ii) the amount of Eligible  Accounts  shown in such Borrowing Base Certificate will be based on the amount of the gross Accounts set forth in the most  recent  weekly  report,  less  the  amount  of  ineligible  Accounts  reported  for  the  most  recently  ended  month).   In                                                 -151- 

 

  addition,  an  updated  Borrowing  Base  Certificate  will  be  delivered  in  connection  with  any  Notice  of  Borrowing  delivered following the transfer of any assets pursuant to Section 10.02(xxii)(A) between the Credit Parties if such  transferred  assets  would  need  to  be  included  in  the  applicable  Borrowing  Base  in  order  to  meet  the  Availability  Conditions. All calculations of Global Availability in any Borrowing Base Certificate shall be made by the Lead  Borrower and certified by a Responsible Officer, provided that the Administrative Agent may from time to time  review and adjust any such calculation in consultation with the Lead Borrower to the extent the calculation is not  made in accordance with this Agreement or does not accurately reflect the Reserves.          (b)     Records  and  Schedules  of  Accounts.   The  Lead  Borrower  shall  keep  materially  accurate  and  complete  records  of  all  Accounts,  including  all  payments  and  collections  thereon,  and  shall  submit  to  the  Administrative Agent, upon the Administrative Agent’s request, sales, collection, reconciliation and other reports in  form reasonably satisfactory to the Administrative Agent on a periodic basis (but not more frequently than at the  time of delivery of each of the Section 9.01 Financials).  The Lead Borrower shall also provide to the Administrative  Agent,  upon  the  Administrative  Agent’s  request,  on  or  before  the  20th  day  of  each  month,  a  detailed  aged  trial  balance of all Accounts as of the end of the preceding month, specifying each Account’s Account Debtor name and  the amount, invoice date and due date as the Administrative Agent may reasonably request.  If Accounts owing from  any single Account Debtor in an aggregate face amount of $10,000,000 or more cease to be Eligible Accounts, the  Borrowers  shall  notify  the  Administrative  Agent  of  such  occurrence  promptly  (and  in  any  event  within  three  Business Days) after any Responsible Officer of the Lead Borrower has actual knowledge thereof.          (c)     Maintenance  of  U.S.  Dominion  Account.   With  respect  to  each  U.S.  Credit  Party’s  Deposit  Accounts (other than Excluded Accounts) and Dominion Accounts located in the United States, within ninety (90)  days (or such later date as Administrative Agent may agree in its reasonable discretion) of the Closing Date or, if  opened following the Closing Date, within sixty (60) days (or such later date as the Administrative Agent may agree  in its reasonable discretion), of the opening of such Deposit Account or the date any Person that owns such Deposit  Account  becomes  a  U.S.  Credit  Party  hereunder,  (i) each  U.S.  Credit  Party  shall  obtain  from  each  bank  or  other  depository  institution  that  maintains  such  Deposit  Account,  a  Deposit  Account  Control  Agreement,  in  form  reasonably  satisfactory  to  the  Administrative  Agent  that  provides  for  such  bank  or  other  depository  institution,  following  its  receipt  of  a  Liquidity  Notice  (it  being  understood  that  the  Administrative  Agent  shall  reasonably  promptly deliver a copy of such Liquidity Notice to the Lead Borrower), to transfer to a U.S. Dominion Account, on  a daily basis, all balances in  such Deposit Account  for application to the Obligations then outstanding (the “U.S.  Sweep”); provided, that, following the termination of the Liquidity Period, the Administrative Agent shall promptly  instruct such bank or other depository institution to terminate the U.S. Sweep; (ii) the Lead Borrower shall establish  the U.S. Dominion Account and obtain a Deposit Account Control Agreement in form reasonably satisfactory to the  Administrative Agent, from the applicable U.S. Dominion Account bank, establishing the Administrative Agent’s  control  over  such  U.S.  Dominion  Account,  (iii) each  U.S.  Credit  Party  irrevocably  appoints  the  Administrative  Agent as such U.S. Credit Party’s attorney-in-fact to collect such balances during a Liquidity Period to the extent  any such delivery is not so made and (iv) each U.S. Credit Party shall instruct each Account Debtor to make all  payments with respect to Revolver Priority Collateral into Deposit Accounts subject to Deposit Account Control  Agreements,  or  the  U.S.  Credit  Parties  shall  promptly  (and  in  any  event  within  seven  (7)  days)  direct  any  such  payments into Deposit Accounts subject to Deposit Account Control Agreements (it being understood that it shall  not be a Default or Event of Default if any such payments are deposited in an Excluded Account pursuant to clause  (v) of the definition thereof); and it is expressly acknowledged that the Administrative Agent reserves the right to  impose  Reserves  with  respect  to  the  failure  to  obtain  any  such  Deposit  Account  Control  Agreement  within  such  ninety (90) or sixty (60) day period, at or after the end of such period, as applicable.  The provisions of this Section  9.17(c) do not apply to Excluded Accounts.          (d)     Maintenance  of  Canadian  Dominion  Account.   With  respect  to  each  Credit  Party’s  Deposit  Accounts (other than Excluded Accounts) and Dominion Accounts located in Canada, within ninety (90) days (or  such later date as Administrative Agent may agree in its reasonable discretion) of the Closing Date or, if opened  following the Closing Date, within sixty (60) days (or such later date as the Administrative Agent may agree in its  reasonable  discretion),  of  the  opening  of  such  Deposit  Account  or  the  date  any  Person  that  owns  such  Deposit  Account becomes a Canadian Credit Party hereunder, (i) each Canadian Credit Party shall obtain from each bank or  other depository institution that maintains such Deposit Account, a Deposit  Account Control Agreement, in  form  reasonably  satisfactory  to  the  Administrative  Agent  that  provides  for  such  bank  or  other  depository  institution,  following  its  receipt  of  a  Liquidity  Notice  (it  being  understood  that  the  Administrative  Agent  shall  reasonably                                                 -152- 

 

  promptly  deliver  a  copy  of  such  Liquidity  Notice  to  the  Lead  Borrower),  to  transfer  to  a  Canadian  Dominion  Account, on a daily basis, all balances in such Deposit Account for application to the Obligations then outstanding  (the “Canadian Sweep”); provided, that, following the termination of the Liquidity Period, the Administrative Agent  shall  promptly  instruct  such  bank  or  other  depository  institution  to  terminate  the  Canadian  Sweep;  (ii) the  Lead  Borrower shall establish the Canadian Dominion Account and obtain a Deposit Account Control Agreement in form  reasonably  satisfactory  to  the  Administrative  Agent,  from  the  applicable  Canadian  Dominion  Account  bank,  establishing the Administrative Agent’s control over such Canadian Dominion Account, (iii) each Canadian Credit  Party irrevocably appoints the Administrative Agent as such Canadian Credit Party’s attorney-in-fact to collect such  balances  during a Liquidity  Period  to the extent  any such delivery  is  not so  made and (iv) each  Canadian Credit  Party  shall  instruct  each  Account  Debtor  to  make  all  payments  with  respect  to  Revolver  Priority  Collateral  into  Deposit  Accounts subject to Deposit  Account Control  Agreements, or the Canadian Credit Parties shall promptly  (and in any event within seven (7) days) direct any such payments into Deposit Accounts subject to Deposit Account  Control Agreements (it being understood that it shall not be a Default or Event of Default if any such payments are  deposited in an Excluded Account pursuant to clause (v) of the definition thereof); and it is expressly acknowledged  that the Administrative Agent reserves the right to impose Reserves with respect to the failure to obtain any such  Deposit Account Control Agreement  within such  ninety (90) or sixty (60) day period, at or after the end of such  period, as applicable.  The provisions of this Section 9.17(d) do not apply to Excluded Accounts.          (e)     Asian, French, German and European Deposit Accounts.             (i)   Each Foreign  Credit Party (other than the Canadian  Credit Parties) shall,  with respect to its  Deposit Accounts into which proceeds of the Accounts of such Foreign Credit Party (“Collections”) are paid (each  such Deposit Account being a “Collection Account”), within ninety (90) days (or such later date as Administrative  Agent may agree in its reasonable discretion) of the Closing Date or, if opened following the Closing Date, within  sixty  (60)  days  (or  such  later  date  as  the  Administrative  Agent  may  agree  in  its  reasonable  discretion),  of  the  opening of such Collection Account or the date any Person that owns such Collection Account becomes a Foreign  Credit Party (other than a Canadian Credit Party) hereunder, take all actions necessary to obtain a Deposit Account  Control  Agreement  (or equivalent  documentation,  including  a notice and  acknowledgment) in each case,  in  form  reasonably  satisfactory  to  the  Administrative  Agent  (with  respect  to  (i)  the  Hong  Kong  Credit  Parties  under  applicable  Hong  Kong  law,  (ii)  the  French  Credit  Parties  under  applicable  French  law,  (iii)  the  German  Credit  Parties under applicable German law, (iv) the Irish Credit Parties under the applicable Irish law, (v) the UK Credit  Parties under applicable law of England and Wales, (vi) Singapore Credit Parties under applicable Singaporean law  and (vii) Australian Credit Parties under applicable Australian law), and shall take all other actions necessary to  establish the Administrative Agent’s and/or the applicable Collateral Agent’s control over such Collection Account,  such  control  being  sufficient  to  obtain  a  “fixed  charge”  or  “non-circulating  charge”  as  applicable  (in  each  jurisdiction  in  which  such  concept  is  applicable),  provided  that  the  Administrative  Agent  may,  in  its  Permitted  Discretion  and  without  the  consent  of  any  other  Lender,  grant  any  request  from  any  Foreign  Credit  Party  not  to  require the entry into a Deposit Account Control Agreement over any Collection Account located in a jurisdiction  outside of the Eligible European Jurisdiction, the Eligible Asian Jurisdiction, the United States and Canada.           (ii)   Each Foreign Credit Party (other than the Canadian Credit Parties) shall be the sole account holder  of each Deposit Account and shall not allow any other Person (other than the Administrative Agent, the applicable  Collateral  Agent  or  the  applicable  depositary  bank)  to  have  control  over  such  Deposit  Account  or  any  deposits  credited thereto.            (iii)  Notwithstanding  the  foregoing,  it  is  expressly  acknowledged  that  it  may  be  impractical  for  a  Foreign Credit Party (other than a Canadian Credit Party) to obtain a Deposit Account Control Agreement (or the  equivalent) from the bank or depositary that maintains its Deposit Accounts or it may take longer than agreed to  obtain a Deposit Account Control Agreement (or the equivalent) in which event the Administrative Agent will act  reasonably  in  extending  the  time  for  obtaining  such  Deposit  Account  Control  Agreement  (or  the  equivalent);  provided that in each case, such Foreign Credit Party has exercised due diligence and reasonable efforts in providing  such  Deposit  Account  Control  Agreement  (or  the  equivalent).  It  is  expressly  acknowledged  that  (w)  the  Administrative Agent reserves the right to impose Reserves with respect to the failure to obtain any such Deposit  Account Control Agreement over any Collection Accounts within such ninety (90) or sixty (60) day period referred  to in Section 9.17(e)(i), at or after the end of such period, to account for potential claims of priority creditors which  may come ahead of the security interests granted to the applicable Collateral Agent as a result of such security                                                 -153- 

 

  interests  being  “floating” or “circulating”  forms, as opposed  to  “fixed” or “non-circulating”  forms (and if it  does  impose Reserves or agree to any other form of action acceptable to the Administrative Agent, the failure to obtain  such Deposit Account  Control Agreement  shall not constitute an Event of Default), (x) the Administrative Agent  reserves the right to impose Reserves in connection with any agreement by the Administrative Agent pursuant to  Section  9.17(e)(i)  that  Collection  Accounts  located  outside  Eligible  Asian  Jurisdictions,  Eligible  European  Jurisdictions, the United States or Canada are not required to be subject to Deposit Account Control Agreements, (y)  in  connection  with  any  failure  to  obtain  any  Deposit  Account  Control  Agreement  with  respect  to  a  Collection  Account,  the  Administrative  Agent  may  require  the  amendment  of  the  relevant  Security  Documents  on  terms  mutually agreeable to the Administrative Agent and the Lead Borrower, acting reasonably, to the extent necessary to  ensure  the  continuing  effectiveness  of  the  security  created  thereby  notwithstanding  that  any  Deposit  Account  Control  Agreement  has  not been obtained, and (z) the  form of the Deposit  Account  Control Agreement (or the  equivalent) may vary from the forms obtained for Deposit Accounts located in the United States in order to conform  to local requirements and customs.            (iv)   The provisions of this Section 9.17(e) do not apply to Excluded Accounts.          (f)     Deposit Account Operations.            (i)   Schedule 9.17 sets forth all Deposit Accounts (other than Excluded Accounts) maintained by the  Credit Parties, including the Dominion Accounts, as of the Amendment No. 5 Effective Date.  The Lead Borrower  shall  promptly  notify  the  Administrative  Agent  of  any  opening  or  closing  of  a  Deposit  Account  (other  than  any  Excluded Accounts), and shall not open any Deposit Accounts (other than any Excluded Accounts) at a bank not  reasonably acceptable to the Administrative Agent.          (ii)   If any Credit Party receives cash or any check, draft or other item of payment payable to such  Credit Party with respect (x) any U.S. Credit Party, any Revolver Priority Collateral, or (y) any Non-U.S. Credit  Party, any Collateral of the type that would constitute Revolver Priority Collateral if such Non-U.S. Credit Parties  were party to the Intercreditor Agreement, it shall hold the same in trust for the Administrative Agent and promptly  (and  in any  event  within  seven  (7) days) deposit the same into any  Deposit  Account  that is subject  to  a Deposit  Account Control Agreement or a Dominion Account.          (iii)  Subject to Section 9.17(g)(iii), each Asian Credit Party, each French Credit Party, each German  Credit Party and each European Credit Party agrees that upon the commencement and during the continuation of a  Liquidity Period, the only way in which monies may be withdrawn from any Deposit Account with respect to which  Deposit  Account  Control  Agreements  have  been  entered  into  for  purposes  of  establishing  the  amounts  in  such  Deposit  Account  as  “Eligible Cash”   is  (i) by  (or  on the authorisation or instruction of)  the applicable Collateral  Agent (or the Administrative Agent) in order to apply them in accordance with Section 11.11(c) or (ii) at the sole  discretion  of,  and  through  the  express  authorisation  or  instruction  by,  the  applicable  Collateral  Agent  (or  the  Administrative Agent) or as otherwise set out in that Deposit Account Control Agreement.          (iv)   Each applicable Collateral Agent shall be given sufficient access to each relevant Deposit Account  (including each Collection Account) to ensure that the provisions of Section 11.11(c) are capable of being complied  with including, without limitation, by having entered into a Deposit Account Control Agreement or other equivalent  agreement with the account bank holding the relevant Deposit Account requiring such account bank to follow the  instructions of the Administrative Agent and/or the applicable Collateral Agent if instructions are given by it.          (g)     Collection Account Operations.             (i)   Each Asian Credit Party, each French Credit Party, each German Credit Party, and each European  Credit Party shall instruct each Account Debtor to pay all Collections into segregated Collection Accounts  which  only  contain  Collections  and  are  not  used  for  any  other  purpose  and  which  are  subject  to  the  control  of  the  Administrative Agent and/or the applicable Collateral Agent as specified in (e)(i) above (or each Asian Credit Party,  each French Credit Party, each German Credit Party, and each European Credit Party shall promptly (and in any  event within seven (7) days) direct any such payments into such Collection Accounts).                                                  -154- 

 

         (ii)   If any Foreign Credit Party (other than the Canadian Credit Parties) receives cash or any check,  draft or other item of payment payable to such Credit Party with respect to any of its Accounts, it shall hold the same  in trust for the Administrative Agent or its applicable Collateral Agent and promptly (and in any event within seven  (7) days) deposit the same into a Collection Account.          (iii)  Each Asian Credit Party, each French Credit Party, each German Credit Party, and each European  Credit Party agrees that the only way in which monies may be withdrawn from any Collection Account is (i) by (or  on the authorisation or instruction of) the applicable Collateral Agent (or the Administrative Agent) in order to apply  them in accordance with Section 11.11(c) or (ii) at the sole discretion of, and through the express authorisation or  instruction by, the applicable Collateral Agent (or the Administrative Agent).          (h)     Transfer of Accounts; Notification of Account Debtors.           (i)   At  any  time  at  the  request  of  the  Administrative  Agent  in  its  sole  discretion  following  the  commencement of a Liquidity Period, the Foreign Credit Parties (other than Canadian Credit Parties) shall (a) at the  discretion of the Administrative Agent, either (i) immediately cause all of their Deposit Accounts into which the  proceeds of Accounts are being paid (each an “Existing Collection Account”) to be transferred to the name of the  Administrative Agent or (ii) promptly open new Deposit Accounts with (and, at the discretion of the Administrative  Agent,  in  the  name  of)  the  Administrative  Agent  or  an  Affiliate  of  the  Administrative  Agent  (such  new  bank  accounts being Deposit Accounts under and for the purposes of this Agreement), and (b) if new Deposit Accounts  have been established pursuant to this Section (each a “New Collection Account”) ensure that all Account Debtors  are  instructed  to  pay  the  Collections  owing  to  such  Credit  Parties  to  the  New  Collection  Accounts.   Until  all  Collections have been redirected to the New Collection Accounts, each such Credit Party shall cause all amounts on  deposit  in  any  Existing  Collection  Account  to  be  transferred  to  a  New  Collection  Account  at  the  end  of  each  Business Day, provided that if any such Credit Party does not instruct such re-direction  or transfer, each of them  hereby  authorises  the  Administrative  Agent  to  give  such  instructions  on  their  behalf  to  the  applicable  Account  Debtors and/or the account bank holding such Existing Collection Account (as applicable).          (ii)   At  any  time  at  the  request  of  the  Administrative  Agent  in  its  sole  discretion  following  the  commencement of a Liquidity Period, each Foreign Credit Party (other than Canadian Credit Parties) agrees that if  any of its Account Debtors have not previously received notice of the security interest of the applicable Collateral  Agent over the Accounts and the Collections, it shall give notice to such Account Debtors and if any such Credit  Party  does  not  serve  such  notice,  each  of  them  hereby  authorizes  the  Administrative  Agent  or  the  applicable  Collateral Agent to serve such notice on their behalf.           Section 9.18 Centre of Main Interests.  Each European Credit Party, French Credit Party and German  Credit Party shall (a) maintain its centre of main interests (as that term is used in Article 3(1) of the Regulation) in  its  jurisdiction  of  incorporation  for  the  purposes  of  the  Regulation  and  (b)  except  as  otherwise  disclosed  in  any  joinder or counterpart to this Agreement or the Guaranty Agreement pursuant to which such Credit Party becomes a  party hereto or thereto, shall not have an establishment (as that term is used in Article 2(10) of the Regulation) in  any other jurisdiction (or any equivalent provision(s) of any applicable successor to the Regulation which may apply  from time to time to any of the UK Credit Parties).          Section 9.19  Financial Assistance. Each Credit Party and its Restricted Subsidiaries shall comply in all  respects  with  applicable  legislation  governing  financial  assistance  and/or  capital  maintenance,  to  the  extent  such  legislation  is  applicable  to  such  Credit  Party  or  such  Restricted  Subsidiary,  including  §§  678-679  of  the  United  Kingdom’s Companies Act 2006, Section 82 of the Irish Companies Act, Article L.225-216 of France’s Commercial  Code and Part 2J.3 of the Corporations Act (to the extent applicable) in each case as amended, or any equivalent and  applicable provisions  under the  laws of the  jurisdiction of organization  of such Credit  Party and  its Subsidiaries,  including in relation to the execution of the Security Documents by such Credit Party and payments of amounts due  under this Agreement.          Section 9.20  European Collateral. Each European Credit Party, French Credit Party and German Credit  Party shall ensure that (i) its standard terms and conditions of purchase at all times contain a condition to the effect  that title to the purchased goods transfers to the such Credit Party at a time no later than on delivery of the purchased  goods to the such Credit Party and that, pursuant to such standard terms and conditions of purchase, there are no                                                 -155- 

 

  extendible retention of title rights in favor of its suppliers, (ii) its standard terms and conditions of purchase are not  amended in a manner that would prejudice the interest of the Lenders  without the prior consent in writing of the  Administrative  Agent,  and  (iii)  if  the  reference  on  any  purchase  order  or  equivalent  document  is  to  the  standard  terms and conditions of purchase as set out on a specified website, the relevant website must be maintained, up to  date  and  publicly  accessible  at  all  times.   During  any  Liquidity  Period  or  at  any  other  time  at  which  the  Administrative Agent in its Permitted Discretion determines that the Collateral of any European Credit Party, French  Credit Party or German Credit Party may be at substantial risk of loss of title, at the request of the Administrative  Agent, the specified Credit Party must send a copy of its standard terms and conditions of purchase (or other notice  satisfactory to the Administrative Agent which rejects retention of title and/or extendible retention of title provisions  in  relation  to  the  Credit  Party’s  Inventory)  to  its  suppliers.   Upon  the  occurrence  of  a  Liquidity  Period  which  is  continuing the Administrative Agent may request that any European Credit Party, French Credit Party or German  Credit Party shall change its standard terms and conditions of purchase or change its purchase standards so that all  purchases will be effected through an Affiliate located in the United States.            ARTICLE 10     Negative Covenants.  The Lead Borrower and each of its  Restricted Subsidiaries (and  Holdings  in  the  case  of  Section  10.09(b))  hereby  covenant  and  agree  that  on  and  after  the  Amendment  No.  5  Effective  Date  and  so  long  as  any  Lender  shall  have  any  Commitment  hereunder,  any  Loan  or  other  Obligation  hereunder (other than (i) any indemnification obligations arising hereunder which are not then due and payable and  (ii) Secured Bank Product Obligations not then due and payable pursuant to Section 11.11) or any Letter of Credit  shall  remain  outstanding  (unless  Cash  Collateralized  or  backstopped  on  terms  reasonably  satisfactory  to  the  Administrative Agent):          Section 10.01 Liens.  The Lead Borrower will not, and will not permit any of its Restricted Subsidiaries  to, create, incur, assume or suffer to exist any Lien upon or with respect to any property or assets (real or personal,  tangible or intangible) of the Lead Borrower or any of its Restricted Subsidiaries, whether now owned or hereafter  acquired; provided that the provisions of this Section 10.01 shall not prevent the creation, incurrence, assumption or  existence of, or any filing in respect of, the following (Liens described below are herein referred to as “Permitted  Liens”):                   (i)   Liens  for Taxes, assessments or governmental charges or levies not yet overdue for 30         days  or  not  yet  due  and  payable  or  Liens  for  Taxes  being  contested  in  good  faith  and  by  appropriate         proceedings  for  which  adequate  reserves  have  been  established  in  accordance  with  U.S.  GAAP  (or,  for         Foreign  Subsidiaries,  in  conformity  with  generally  accepted  accounting  principles  that  are  applicable  in         their respective jurisdictions of organization);                  (ii)   Liens  in  respect  of  property  or  assets  of  the  Lead  Borrower  or  any  of  its  Restricted         Subsidiaries imposed by  law,  which  were  incurred  in  the  ordinary  course  of  business  and  do  not  secure         Indebtedness  for  borrowed  money,  such  as  carriers’,  warehousemen’s,  contractors’,  materialmen’s,         repairer’s and mechanics’ liens and other similar Liens arising in the ordinary course of business, and (i)         which are being contested in good faith by appropriate proceedings, which proceedings have the effect of         preventing  the  forfeiture  or  sale  of  the  property  or  assets,  subject  to  any  such  Lien  for  which  adequate         reserves have been established in accordance with U.S. GAAP (or, for Foreign Subsidiaries, in conformity         with  generally  accepted  accounting  principles  that  are  applicable  in  their  respective  jurisdictions  of         organization), or (ii) in respect of which no obligations are past due;                 (iii)   Liens (x) in existence on the Amendment No. 5 Effective Date which are listed, and the         property  subject  thereto  described,  in  Schedule  10.01(iii)  (or  to  the  extent  not  listed  on  such  Schedule         10.01(iii), where the principal amount of obligations secured by such Liens is less than $30,000,000 in the         aggregate)  and  (y)  Liens  securing  Permitted  Refinancing  Indebtedness  in  respect  of  any  Indebtedness         secured by the Liens referred to in the preceding clause (x);                  (iv)   (x)  Liens  created  pursuant  to  the  Credit  Documents  (including  Liens  on  Secured  Bank         Product Obligations) and (y) Liens securing Obligations (as defined in the Term Loan Credit Agreement)         under the Term Loan Credit Agreement and the credit documents related thereto and incurred pursuant to         Section 10.04(i)(y) and, including any Secured Bank Product Obligations that are guaranteed or secured by                                                  -156- 

 

                  the guarantees and security interests thereunder; provided, in the case of this clause (y), that the collateral  agent under the Term Loan Credit Agreement shall have entered into the Intercreditor Agreement;           (v)    leases, subleases, licenses or sublicenses (including licenses or sublicenses of software,  technology  and  other  Intellectual  Property)  granted  to  other  Persons  not  materially  interfering  with  the  conduct of the business of the Lead Borrower or any of its Restricted Subsidiaries;           (vi)   Liens (x) upon assets of the Lead Borrower or any of its Restricted Subsidiaries securing  Indebtedness permitted by Section 10.04(iii); provided that such Liens do not encumber any asset of the  Lead Borrower or any of its Restricted Subsidiaries other than the assets acquired with such Indebtedness  and  after-acquired  property  that  is  affixed  or  incorporated  into  such  assets  and  proceeds  and  products  thereof; provided  that  individual  financings  of  equipment  provided  by  one  lender  may  be  cross  collateralized to other financings of equipment provided by such lender on customary terms and (y) Liens  securing Permitted Refinancing Indebtedness in respect of any Indebtedness secured by the Liens referred  to in clause (x) above;          (vii)   [reserved];         (viii)   easements, rights-of-way, restrictions (including zoning and other land use restrictions),  covenants, conditions, licenses, encroachments, protrusions and other similar charges or encumbrances and  title deficiencies, which in the aggregate do not materially interfere with the conduct of the business of the  Lead Borrower or any of its Restricted Subsidiaries;           (ix)   (A) Liens arising from precautionary UCC, PPSA or other similar financing statement  filings regarding operating leases or consignments entered into in the ordinary course of business, (B) Liens  provided for by any transfer of an Account (as defined in the Australian PPSA) permitted under the Credit  Documents, a commercial consignment or a PPS Lease (as defined in the Australian PPSA) which do not  secure payment or performance of an obligation and (C) Liens provided for by any transfer of an account  permitted  under  the  Credit  Documents  or  a  commercial  consignment  which  do  not  secure  payment  or  performance of an obligation;           (x)    attachment and judgment Liens, to the extent and for so long as the underlying judgments  and decrees do not constitute an Event of Default pursuant to Section 11.09 and notices of lis pendens and  associated  rights  related  to  litigation  being  contested  in  good  faith  by  appropriate  proceedings  and  for  which adequate reserves have been made;           (xi)   statutory, common law and contractual landlords’ liens under leases to which the Lead  Borrower or any of its Restricted Subsidiaries is a party;          (xii)   Liens (other than Liens imposed under ERISA or any pension standards legislation of any  other  applicable  jurisdiction)  incurred  in  the  ordinary  course  of  business  in  connection  with  workers’  compensation  claims,  unemployment  insurance,  employee  source  deductions,  wages,  vacation  pay,  statutory pension plans and social security benefits and Liens securing the performance of bids, tenders,  leases and contracts in the ordinary course of business, statutory obligations, surety, stay, customs or appeal  bonds, performance bonds and other obligations of a like nature (including (i) those to secure health, safety  and environmental obligations and (ii) those required or requested by any Governmental Authority other  than letters of credit) incurred in the ordinary course of business;         (xiii)   Permitted Encumbrances;         (xiv)    (A)  Liens  on  property  or  assets  (other  than  Accounts  or  Inventory  owned  by  a  Credit  Party or by a Restricted Subsidiary that is organized in the same jurisdiction as a Credit Party, unless such  Liens are expressly made junior to the Liens in favor of the Administrative Agent) acquired pursuant to a  Permitted Acquisition, or on property or assets of a Restricted Subsidiary of the Lead Borrower in existence  at the time such Restricted Subsidiary is acquired pursuant to a Permitted Acquisition; provided that (x) any                                           -157- 

 

                  Indebtedness that is secured by such Liens is permitted to exist under Section 10.04, and (y) such Liens are  not incurred in connection with, or in contemplation or anticipation of, such Permitted Acquisition and do  not  attach  to  any  other  asset  of  the  Lead  Borrower  or  any  of its  Restricted  Subsidiaries  and  (B)  Liens  securing Permitted Refinancing Indebtedness in respect of any Indebtedness secured by the Liens referred  to in clause (A);          (xv)    deposits  or  pledges  to  secure  bids,  tenders,  contracts  (other  than  contracts  for  the  repayment of borrowed money), leases, statutory obligations, surety, stay, customs and appeal bonds and  other obligations of like nature (including (i) those to secure health, safety and environmental obligations  and  (ii)  those  required  or  requested  by  any  Governmental  Authority  other  than  letters  of  credit),  and  as  security for the payment of rent, in each case arising in the ordinary course of business;          (xvi)    Liens  on  assets  of  non-Credit  Parties  securing  Indebtedness  of  non-Credit  Parties  permitted pursuant to Section 10.04(viii); provided, however, in the event that any such non-Credit Party is  designated  as  a  Credit  Party  pursuant  to  this  Agreement,  any  such  liens  shall  substantially  concurrently  with  such  designation  be  either  (x)  released  and  discharged  in  their  entirety  on  such  assets  or  (y)  subordinated to the Liens created pursuant to the Security Documents;         (xvii)   any  interest  or  title  of,  and  any  Liens  created  by,  a  lessor,  lessee,  sublessor,  licensee,  sublicensee, licensor or sublicensor under any lease, sublease, license or sublicense agreement (including  software and other technology licenses) in the ordinary course of business;        (xviii)   Liens  on  property  subject  to  Sale-Leaseback  Transactions  to  the  extent  such  Sale- Leaseback Transactions are permitted by Section 10.02(xii);         (xix)    any encumbrances or restrictions (including, without limitation, put and call agreements)  with respect to the Equity Interests of any joint venture or similar arrangement permitted by the terms of  this Agreement arising pursuant to the agreement evidencing such joint venture or similar arrangement;          (xx)    Liens in favor of the Lead Borrower or any Restricted Subsidiary securing intercompany  Indebtedness permitted by Section 10.05; provided that any Liens securing Indebtedness that are required  to  be  subordinated  pursuant  to  Section  10.05  shall  be  subordinated  to  the  Liens  created  pursuant  to  the  Security Documents;         (xxi)    Liens on specific items of inventory or other goods (and proceeds thereof) of any Person  securing such Person’s obligations in respect of bankers’ acceptances or letters of credit issued or created  for the  account of such  Person  to facilitate  the purchase, shipment  or storage of such  inventory  or  other  goods, and pledges or deposits in the ordinary course of business;         (xxii)   Liens on insurance policies and the proceeds thereof (whether accrued or not) and rights  or claims against an insurer, in each case securing insurance premium financings permitted under Section  10.04(x);        (xxiii)   Liens  that  may  arise  on  inventory  or  equipment  of  the  Lead  Borrower  or  any  of  its  Restricted Subsidiaries in the ordinary course of business as a result of such inventory or equipment being  located  on  premises  owned  by  Persons  other  than  the  Lead  Borrower  and  its  Restricted  Subsidiaries  (including  Liens  arising  out  of  conditional  sale,  title  retention  (including  extended  retention  of  title),  consignment or similar arrangements for the sale of goods);         (xxiv)    Liens in favor of customs and revenue authorities arising as a matter of law to secure  payment of customs duties in connection with the importation of goods in the ordinary course of business;         (xxv)    Liens  (i)  of  a  collection  bank  arising  under  Section  4-210  of  the  UCC  (or  equivalent  under Australian law) or similar provisions of other applicable laws on items in the course of collection,  (ii) attaching  to  commodity  trading  accounts  or  other  commodities  brokerage  accounts  incurred  in  the                                           -158- 

 

                  ordinary course of business and (iii) in favor of a banking or other financial institution arising as a matter of  law or under customary general terms and conditions encumbering deposits (including the right of set-off)  and which are within the general parameters customary in the banking industry;        (xxvi)    Liens  deemed  to  exist  in  connection  with  Investments  in  repurchase  agreements  permitted under Section 10.05(ii); provided that such Liens do not extend to any assets other than those that  are the subject of such repurchase agreement;        (xxvii)   Liens that are contractual rights of set-off (i) relating to the establishment of depository  relations with banks or other financial institutions not given in connection with the incurrence or issuance  of Indebtedness, (ii) relating to pooled deposit or sweep accounts of the Lead Borrower or any Restricted  Subsidiary  to  permit  satisfaction  of  overdraft  or  similar  obligations  incurred  in  the  ordinary  course  of  business of the Lead Borrower or any Restricted Subsidiary or (iii) relating to purchase orders and other  agreements entered into with customers of the Lead Borrower or any of its Restricted Subsidiaries in the  ordinary course of business;       (xxviii)   Liens  attaching  solely  to  cash  earnest  money  deposits  in  connection  with  any  letter  of  intent  or  purchase  agreement  in  connection  with  a  Permitted  Acquisition  or  other  Investment  permitted  hereunder;        (xxix)    other Liens attaching to properties and assets (other than Accounts or Inventory owned  by a Credit Party or by a Restricted Subsidiary that is organized in the same jurisdiction as a Credit Party,  unless such Liens are expressly made junior to the Liens in favor of the Administrative Agent) to the extent  securing  liabilities  with  a  principal  amount  not  in  excess  of  the  greater  of  $250,000,000  and  45.0%  of  Consolidated  EBITDA  of the  Lead  Borrower and its Restricted  Subsidiaries for the  most recently ended  Test Period (measured at the time of incurrence) in the aggregate at any time outstanding;         (xxx)    Liens on Collateral securing obligations in respect of Indebtedness permitted by Section  10.04(xxvii);        (xxxi)    cash deposits with respect to any Refinancing Notes, any Permitted Pari Passu Notes, any  Permitted Pari Passu Loans or any Permitted Junior Debt or any other Indebtedness, in each case to the  extent permitted by Section 10.07;        (xxxii)   Liens  on  accounts  receivable  sold  in  connection  with  the  sale  or  discount  of  accounts  receivable permitted by Section 10.02(iv);       (xxxiii)   Liens arising out of conditional sale, title retention, consignment or similar arrangements  for sale of goods entered into by the Lead Borrower or any Restricted Subsidiary in the ordinary course of  business;       (xxxiv)    Liens encumbering reasonable customary initial deposits and margin deposits and similar  Liens attaching to commodity trading accounts or other brokerage accounts incurred in the ordinary course  of business and not for speculative purposes;        (xxxv)    (i) zoning,  building,  entitlement  and  other  land  use  regulations  by  Governmental  Authorities  with  which  the  normal  operation  of  the  business  of  the  Lead  Borrower  and  the  Restricted  Subsidiaries complies, and (ii) any zoning or similar law or right reserved to or vested in any Governmental  Authority to control or regulate the use of any real  property that does not  materially interfere  with  the  ordinary conduct of the business of the Lead Borrower or any Restricted Subsidiary;       (xxxvi)    deposits made in the ordinary course of business to secure liability to insurance carriers  or under self-insurance arrangements in respect of such obligations;                                           -159- 

 

             (xxxvii)   receipt  of  progress  payments  and  advances  from  customers  in  the  ordinary  course  of         business to the extent the same creates a Lien on the related inventory and proceeds thereof;             (xxxviii)   so long as no Event of Default has occurred and is continuing at the time of granting such         Liens, Liens on cash deposits in an aggregate amount not to exceed the greater of $45,000,000 and 8.5% of         Consolidated  EBITDA  of the  Lead  Borrower and its Restricted  Subsidiaries for the  most recently ended         Test Period securing any Swap Contracts permitted hereunder that do not constitute Obligations hereunder;              (xxxix)    [reserved];                  (xl)   customary Liens granted in favor of a trustee to secure fees and other amounts owing to         such trustee under an indenture or other agreement pursuant to which Indebtedness not prohibited by the         indenture is issued (including the indenture under which the notes are to be issued);                 (xli)   leases  and  subleases  of  real  property  that  do  not  materially  interfere  with  the  ordinary         conduct of the business of the Lead Borrower or any of its Restricted Subsidiaries;                 (xlii)   Liens on cash or Cash Equivalents (and the related escrow accounts) in connection with         the  issuance  into  (and  pending  the  release  from)  escrow  of any  Refinancing  Notes,  any  Permitted  Pari         Passu Notes, any Permitted Pari Passu Loans or any Permitted Junior Debt;                 (xliii)  Liens  on  property  or  assets  used  to  redeem,  repay,  defease  or  satisfy  and  discharge         Indebtedness; provided that such redemption, repayment, defeasance or satisfaction and discharge is not         prohibited by this Agreement and that such deposit shall be deemed for purposes of Section 10.07 (to the         extent applicable) to be a prepayment of such Indebtedness; and                (xliv)   other ordinary course Liens or Liens consistent with past practice, in each case, on assets         of Foreign Subsidiaries that are not Credit Parties incidental to the conduct of the Lead Borrower’s and its         Restricted Subsidiaries’ businesses or the ownership of its property, not securing any Indebtedness of the         Lead Borrower or a Restricted Subsidiary, and which do not in the aggregate materially detract from the         value of the Lead Borrower’s and its Restricted Subsidiaries’ property when taken as a whole, or materially         impair the use thereof in the operation of its business.   In connection with the granting of Liens of the type described in this Section 10.01 by the Lead Borrower or any of  its  Restricted  Subsidiaries,  the  Administrative  Agent  and  the  Collateral  Agents  shall  be  authorized  to,  take  any  actions  deemed  appropriate by  it  in  connection therewith  (including,  without  limitation, by  executing  appropriate  lien releases or lien subordination agreements in favor of the holder or holders of such Liens, in either case solely  with respect to the item or items of equipment or other assets subject to such Liens).          Section 10.02 Consolidation, Merger, or Sale of Assets, etc.  The Lead Borrower will not, and will not  permit any of its Restricted Subsidiaries to, wind up, liquidate or dissolve its affairs or enter into any partnership,  joint venture, or transaction of merger or consolidation, or convey, sell, lease or otherwise dispose of all or any part  of its property or assets, or enter into any Sale-Leaseback Transaction, in each case, on or after the Amendment No.  5 Effective Date, except that:                   (i)   any Investment permitted by Section 10.05 may be structured as a merger, consolidation         or amalgamation;                  (ii)   the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  sell  assets  (including  Equity         Interests)  not  constituting  Collateral  or  comprising  Term  Priority  Collateral  (and,  so  long  as  a  new         Borrowing Base Certificate is delivered in connection with such sale of assets comprising more than 10%         of  the  Aggregate  Borrowing  Base  have  been  disposed  of  in  connection  with  such  sale,  any  Revolver         Priority  Collateral)  so  long  as  (x) the  Lead  Borrower  or  the  respective  Restricted  Subsidiary  receives  at         least fair market value (as determined in good faith by the Lead Borrower or such Restricted Subsidiary, as         the case may be) and (y) in the case of any single transaction that involves assets or Equity Interests having                                                  -160- 

 

                  a fair market value of more than the greater of $30,000,000 and 6.0% of Consolidated EBITDA of the Lead  Borrower  and  its  Restricted  Subsidiaries  for  the  most  recently  ended  Test  Period,  at  least  75%  of  the  consideration received by the Lead Borrower or such Restricted Subsidiary shall be in the form of cash,  Cash Equivalents or, subject to the proviso below, Designated Non-cash Consideration (taking into account  the amount of cash and Cash Equivalents, the principal amount of any promissory notes and the fair market  value, as determined by the Lead Borrower or such Restricted Subsidiary, as the case may be, in good faith,  of any other consideration (including Designated Non-cash Consideration)) and is paid at the time of the  closing of such sale; provided, however, that for purposes of this clause (y), the following shall be deemed  to be cash:  (A) any liabilities (as shown on the Lead Borrower’s or such Restricted Subsidiary’s most  recent  balance  sheet  provided  hereunder  or  in  the  footnotes  thereto)  of  the  Lead  Borrower  or  such  Restricted Subsidiary (other than liabilities that are by their terms subordinated to the Obligations) that are  assumed by the transferee with respect to the applicable disposition and for which the Lead Borrower and  the Restricted Subsidiaries shall have been validly released by all applicable creditors in writing, (B) any  securities, notes, other obligations or assets received by the Lead Borrower or such Restricted Subsidiary  from such transferee that are convertible by the Lead Borrower or such Restricted Subsidiary into cash or  Cash Equivalents (to the extent of the cash or Cash Equivalents received in the conversion) within 180 days  following the closing of the applicable asset sale, (C) consideration consisting of Indebtedness of the Lead  Borrower  or  such  Restricted  Subsidiary  that  is  not  Subordinated  Indebtedness  received  from  such  transferee, (D) accounts receivable of a business retained by the Lead Borrower or any of its Restricted  Subsidiaries,  as  the  case  may  be,  following  the  sale  of  such  business; provided  that  such  accounts  receivable (1) are not past due more than 90 days and (2) do not have a payment date greater than 120 days  from  the  date  of  the  invoices  creating  such  accounts  receivable  and  (E)  any  Designated  Non-cash  Consideration received by the Lead Borrower or any of its Restricted Subsidiaries in such asset sale having  an aggregate fair market value, taken together with all other Designated Non-cash Consideration received  pursuant to this clause (y) that is at that time outstanding, not to exceed the greater of (1) $150,000,000 and  (2) 30.0% of Consolidated EBITDA of the  Lead Borrower and its  Restricted Subsidiaries for the  most  recently  ended  Test  Period  (measured  at  the  time  of  the  receipt  of  such  Designated  Non-cash  Consideration)  (with  the  fair  market  value  of  each  item  of  Designated  Non-cash  Consideration  being  measured at the time received and without giving effect to subsequent changes in value);          (iii)   each of the Lead Borrower and its Restricted Subsidiaries may lease (as lessee) or license  (as licensee) real or personal property (so long as any such lease or license does not create a Capitalized  Lease Obligation except to the extent permitted by Section 10.04(iii));           (iv)   each of the Lead Borrower and its Restricted Subsidiaries may sell or discount, in each  case in the ordinary course of business, accounts receivable arising in the ordinary course of business, but  only in connection with the compromise or collection thereof and not as part of any financing transaction;           (v)    each  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  grant  licenses,  sublicenses, leases or subleases to other Persons not materially interfering with the conduct of the business  of  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries,  taken  as  a  whole,  including  of  Intellectual  Property;           (vi)   (v) any U.S. Subsidiary of the Lead Borrower may be merged, consolidated, dissolved,  amalgamated or liquidated with or into the Lead Borrower (so long as the surviving Person of such merger,  consolidation,  dissolution,  amalgamation  or  liquidation  is  a  corporation,  limited  liability  company  or  limited partnership organized or existing under the laws of the United States of America, any state thereof  or the District of Columbia and, if such surviving Person is not the Lead Borrower, such Person expressly  assumes, in writing, all the obligations of the Lead Borrower under the Credit Documents pursuant to an  assumption agreement in form and substance reasonably satisfactory to the Administrative Agent) or any  U.S.  Subsidiary  Borrower  (so  long  as  the  surviving  Person  of  such  merger,  consolidation,  dissolution,  amalgamation  or  liquidation  is  a  Wholly-Owned  Domestic  Subsidiary  of  the  Lead  Borrower,  is  a  corporation, limited liability company or limited partnership and is or becomes a U.S. Subsidiary Borrower  concurrently with such merger, consolidation or liquidation), (w) any Canadian Subsidiary of the Canadian  Parent  Borrower  may  be  merged,  consolidated,  dissolved,  amalgamated  or  liquidated  with  or  into  the  Canadian  Parent  Borrower  (so  long  as  the  surviving  Person  of  such  merger,  consolidation,  dissolution,                                          -161- 

 

                  amalgamation  or  liquidation  is  a  corporation,  limited  liability  company,  unlimited  liability  company  or  limited  partnership  organized  or  existing  under  the  laws  of  Canada  or  any  province  thereof  and,  if  such  surviving Person is not the Canadian Parent Borrower, such Person expressly assumes, in writing, all the  obligations  of  the  Canadian  Parent  Borrower  under  the  Credit  Documents  pursuant  to  an  assumption  agreement  in  form  and  substance  reasonably  satisfactory  to  the  Administrative  Agent)  or  any  Canadian  Subsidiary  Borrower  (so  long  as  the  surviving  Person  of  such  merger,  consolidation,  dissolution,  amalgamation or liquidation is a Canadian Subsidiary of the Canadian Parent Borrower, is a corporation,  limited  liability  company  or  limited  partnership  and  is  or  becomes  a  Canadian  Subsidiary  Borrower  concurrently  with  such  merger,  consolidation  or  liquidation),  (x)  any  Restricted  Subsidiary  that  is  not  a  Credit  Party  may  be  merged,  consolidated,  dissolved,  amalgamated  or  liquidated  with  or  into  any  other  Restricted Subsidiary that is not a Credit Party, (y) any Restricted Subsidiary may be merged, consolidated,  dissolved,  amalgamated  or  liquidated  with  or  into  any  Credit  Party  (so  long  as  such  Credit  Party  is  the  surviving corporation of such merger, consolidation, dissolution, amalgamation or liquidation) and (z) any  Credit  Party  that  is  a  Foreign  Subsidiary  may  be  merged,  consolidated,  dissolved,  amalgamated  or  liquidated with or into any other Credit Party that is a Foreign Subsidiary organized in the same jurisdiction  (provided  that  such  resulting  entity  continues  as  a  Credit  Party  following  such  merger,  consolidation,  dissolution,  acquisition  or  liquidation); provided  that  any  such  merger,  consolidation,  dissolution,  amalgamation or liquidation shall only be permitted pursuant to this clause (vi), so long as (I) no Event of  Default then exists or would exist immediately after giving effect thereto and (II) any  security interests  granted to any Collateral Agent for the benefit of the Secured Creditors in the assets (and Equity Interests)  of any such Person subject to any such transaction shall not be impaired in any material respect as a result  of such merger, consolidation, amalgamation or liquidation;          (vii)   [reserved];         (viii)   each of the Lead Borrower and its Restricted Subsidiaries may make sales or leases of  (A) inventory in the ordinary course of business, (B) goods held for sale in the ordinary course of business  and (C) immaterial assets with a fair market value, in the case of this clause (C), of less than the greater of  $25,000,000 and 5.0% of Consolidated EBITDA of the Lead Borrower and its Restricted Subsidiaries for  the most recently ended Test Period (measured at the time of such sale or lease, as applicable);            (ix)   each of the Lead Borrower and its Restricted Subsidiaries may sell or otherwise dispose  of (i) outdated, obsolete, surplus or worn out property, in each case, in the ordinary course of business and  (ii) property no longer used or useful in the conduct of the business of the Lead Borrower and its Restricted  Subsidiaries;           (x)    each of the Lead Borrower and its Restricted Subsidiaries may sell or otherwise dispose  of assets acquired pursuant to a Permitted Acquisition so long as (x) such assets are not used or useful to  the core or principal business of the Lead Borrower and its Restricted Subsidiaries, (y) such assets have a  fair market value not in excess of the greater of (A) $50,000,000 and (B) 10.0% of Consolidated EBITDA  of the Lead Borrower and its Restricted Subsidiaries for the most recently ended Test Period (measured at  the time of disposition thereof), and (z) such assets are sold, transferred or disposed of on or prior to the  first anniversary of the relevant Permitted Acquisition;           (xi)   in order to effect a sale, transfer or disposition otherwise permitted by this Section 10.02,  a Restricted Subsidiary of the Lead Borrower may be merged, amalgamated or consolidated with or into  another Person, or may be dissolved or liquidated;          (xii)   each  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  effect  Sale-Leaseback  Transactions (a) involving real property acquired after the Amendment No. 5 Effective Date and not more  than 180 days prior to such Sale-Leaseback Transaction for cash and fair market value (as determined by  the Lead Borrower) or (b) with respect to any other Sale-Leaseback Transactions not described in subclause  (xii)(a),  having  an  aggregate  fair  market  value  not  in  excess  of  the  greater  of  $25,000,000  and  5.0%  of  Consolidated  EBITDA  of the  Lead  Borrower and its Restricted  Subsidiaries for the  most recently ended  Test Period (measured at the time of such Sale-Leaseback Transaction);                                           -162- 

 

                        (xiii)    [reserved];         (xiv)    each  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  issue  or  sell  Equity  Interests in, or Indebtedness or other securities of, an Unrestricted Subsidiary;          (xv)    each of the Lead Borrower and its Restricted Subsidiaries may make transfers of property  subject to casualty or condemnation proceedings upon the occurrence of the related Recovery Event;         (xvi)    each of the Lead Borrower and its Restricted Subsidiaries may abandon, allow to lapse or  expire or otherwise become invalid Intellectual Property rights in the ordinary course of business, in the  exercise of its reasonable good faith judgment;         (xvii)   each  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  make  voluntary  terminations of or unwind Swap Contracts;        (xviii)   each  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  make  dispositions  resulting from foreclosures by third parties on properties of the Lead Borrower or any of its Restricted  Subsidiaries and acquisitions by the  Lead Borrower or any of its Restricted Subsidiaries resulting from  foreclosures by such Persons or properties of third parties;         (xix)    each  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  terminate  leases  and  subleases;          (xx)    each  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  use  cash  and  Cash  Equivalents (or other assets that were Cash Equivalents when the relevant Investment was made) to make  payments that are not otherwise prohibited by this Agreement;         (xxi)    each of the Lead Borrower or its Restricted Subsidiaries may sell or otherwise dispose of  property to the extent that (i) such property is exchanged for credit against the purchase price of similar  replacement property or (ii) the proceeds of such sale or disposition are promptly applied to the purchase  price of such replacement property;         (xxii)   sales,  dispositions  or  contributions  of  property  (A)  between  Credit  Parties  (other  than  Holdings) so long as a new Borrowing Base Certificate is delivered if any Overadvance is caused by such  transfer  to  a  Credit  Party  under  a  different  Subfacility,  (B)  between  Restricted  Subsidiaries  (other  than  Credit Parties), (C) by Restricted Subsidiaries that are not Credit Parties to the Credit Parties (other than  Holdings) or (D) by Credit Parties to any Restricted Subsidiary that is not a Credit Party; provided with  respect to clause (D) that (x) (1) the portion (if any) of any such sale, disposition or contribution of property  made for less than fair market value and (2) any noncash consideration received in exchange for any such  sale, disposition or contribution of property, shall in each case constitute an Investment in such Restricted  Subsidiary subject to Section 10.05 and (y) a new Borrowing Base Certificate shall be delivered if assets  comprising  more  than  10%  of  the  Aggregate  Borrowing  Base  are  transferred  in  a  single  transaction  or  series of related transactions to non-Credit Parties;        (xxiii)   dispositions  of  Investments  (including  Equity  Interests)  in  joint  ventures  to  the  extent  required  by,  or  made  pursuant  to  customary  buy/sell  arrangements  between,  the  joint  venture  parties  set  forth in joint venture arrangements and similar binding arrangements;        (xxiv)    transfers of condemned property as a result of the exercise of “eminent domain” (or the  equivalent under other applicable law) or other similar powers to the respective Governmental Authority or  agency that has condemned the same (whether by deed in lieu of condemnation or otherwise), and transfers  of property that have been subject to a casualty to the respective insurer of such real property as part of an  insurance settlement;                                           -163- 

 

               (xxv)    any  disposition  of  any  asset  between  or  among  the  Restricted  Subsidiaries  as  a         substantially concurrent interim disposition in connection with a disposition otherwise permitted pursuant         to this Section 10.02;                (xxvi)    dispositions permitted by Section 10.03; and                (xxvii)   dispositions or other transactions undertaken in good faith for Tax planning purposes, so         long as after giving effect to such dispositions or other transactions, the security interest of the applicable         Collateral Agent in the Collateral for the benefit of the Secured Creditors is not materially impaired.   To the extent the Required Lenders (or such other percentage of the Lenders as may be required by this Section  10.02) waive the provisions of this Section 10.02 with respect to the sale of any Collateral, or any Collateral is sold  as permitted by this Section 10.02 (other than to a Borrower or a Subsidiary Guarantor), such Collateral shall be sold  free and clear of the Liens created by the Security Documents, and the  Administrative Agent and the Collateral  Agents shall be authorized to take any actions deemed appropriate by them in order to effect the foregoing.          Section 10.03 Dividends.   The  Lead  Borrower  will  not,  and  will  not  permit  any  of  its  Restricted  Subsidiaries to, authorize, declare or pay any Dividends with respect to the Lead Borrower or any of its Restricted  Subsidiaries on or after the Amendment No. 5 Effective Date, except that:                   (i)   any  Restricted  Subsidiary  of  the  Lead  Borrower  may  authorize,  declare  and  pay         Dividends  or  return  capital  or  make  distributions  and  other  similar  payments  with  regard  to  its  Equity         Interests to the Lead Borrower or to other Restricted Subsidiaries of the Lead Borrower which directly or         indirectly own equity therein;                  (ii)   any  non-Wholly-Owned  Subsidiary  of  the  Lead  Borrower  may  declare  and  pay  cash         Dividends to its shareholders generally so long as the Lead Borrower or its Restricted Subsidiary which         owns the Equity Interests in the Subsidiary paying such Dividends receives at least its proportionate share         thereof (based upon its relative holding of the Equity Interests in the Subsidiary paying such Dividends and         taking  into  account  the  relative  preferences,  if  any,  of  the  various  classes  of  Equity  Interests  of  such         Subsidiary);                 (iii)   so long as no Event of Default exists at the time of the applicable Dividend, redemption         or repurchase or  would exist immediately after giving effect thereto, the  Lead Borrower  may pay cash         Dividends  to  Holdings  to  allow  Holdings  to  pay  cash  dividends  or  make  cash  distributions  to  any  other         Parent Company to redeem or repurchase, contemporaneously with such Dividend, Equity Interests of such         Holdings  or  such  other  Parent  Company  from  management,  employees,  officers  and  directors  (and  their         successors and assigns) of Holdings, such other Parent Company, the Lead Borrower  and its Restricted         Subsidiaries; provided that (A) the aggregate amount of Dividends made by the Lead Borrower to Holdings         pursuant to this clause (iii), and the aggregate amount paid by Holdings or such other Parent Company in         respect of all such Equity Interests so redeemed or repurchased shall not (net of any cash proceeds received         by Holdings from issuances of its Equity Interests and contributed to the Lead Borrower in connection with         such  redemption  or repurchase), in either case,  exceed  during any  fiscal  year of the  Lead Borrower,  the         greater  of  $50,000,000  and  10.0%  of  Consolidated  EBITDA  of  the  Lead  Borrower  and  its  Restricted         Subsidiaries for the most recently ended Test Period (measured at the time of such Dividend) (provided that         the amount of cash Dividends permitted to be, but not, paid in any fiscal year pursuant to this clause (iii)         shall  increase  the  amount  of  cash  Dividends  permitted  to  be  paid  in  the  succeeding  two  fiscal  years         pursuant to this clause (iii)); (B) such amount in any calendar year may be increased by an amount not to         exceed:  (I) the cash proceeds of key man life insurance policies received by the Lead Borrower or any of         its Restricted Subsidiaries after the Amendment No. 5 Effective Date; plus (II) the net proceeds from the         sale  of  Equity  Interests  of  Holdings  or  any  Parent  Company,  in  each  case  to  members  of  management,         managers, directors or consultants of any Parent Company or any of its Subsidiaries that occurs after the         Amendment No. 5 Effective Date, where the net proceeds of such sale are received by or contributed to the         Lead Borrower; less (III) the amount of any Dividends previously made with the cash proceeds described         in  the  preceding  clause  (I);  and  (C)  cancellation  of  Indebtedness  owing  to  the  Lead  Borrower  from         members of management, officers, directors, employees of the Lead Borrower or any of its Subsidiaries in                                                 -164- 

 

                  connection with a repurchase of Equity Interests of Holdings or any other Parent Company will not be  deemed to constitute a Dividend for purposes of this Agreement;           (iv)   the Lead Borrower may authorize, declare and pay cash Dividends to Holdings so long as  the proceeds thereof are promptly used by Holdings (or subsequently paid to any other Parent Company) to  pay  expenses  incurred  by  Holdings  or  any  other  Parent  Company  in  connection  with  offerings,  registrations, or exchange listings of equity or debt securities and maintenance of same (A) where the net  proceeds  of  such  offering  are  to  be  received  by  or  contributed  to  the  Lead  Borrower,  (B)  in  a  prorated  amount of such expenses in proportion to the amount of such net proceeds intended to be so received or  contributed or loaned, or (C) otherwise on an interim basis prior to completion of such offering so long as  Holdings and any other Parent Company shall cause the amount of such expenses to be repaid to the Lead  Borrower or the relevant Restricted Subsidiary of the Lead Borrower out of the proceeds of such offering  promptly if such offering is completed;           (v)    the Lead Borrower may authorize, declare and pay cash Dividends to Holdings so long as  the proceeds thereof are promptly used by Holdings (or subsequently paid to any other Parent Company) to  pay costs (including all professional fees and expenses) incurred by Holdings or any other Parent Company  in connection with reporting obligations under or otherwise incurred in connection with compliance with  applicable laws, applicable rules or regulations of any governmental, regulatory or self-regulatory body or  stock exchange, including in respect of any reports filed with respect to the Securities Act, the Securities  Exchange Act or the respective rules and regulations promulgated thereunder;           (vi)   the Lead Borrower may authorize, declare and pay cash dividends or other distributions,  or  make  loans  or  advances  to,  any  Parent  Company  or  the  equity  interest  holders  thereof  in  amounts  required  for  any  Parent  Company  or  the  equity  interest  holders  thereof  to  pay,  in  each  case  without  duplication:                  (A)    franchise  Taxes  (and  other  fees  and  expenses)  required  to  maintain  their          existence to the extent such Taxes, fees and expenses are reasonably attributable to the operations          of Holdings, the Lead Borrower and its Restricted Subsidiaries;                  (B)    with respect to any taxable period for which the Lead Borrower and/or any of its          Subsidiaries  are  members  of  a  consolidated,  combined  or  similar  income  tax  group  for  U.S.          federal and/or applicable state, local or foreign income or similar tax purposes of which a direct or          indirect parent of the Lead Borrower is the common parent, the portion of any U.S. federal, state,          local and/or foreign income and similar taxes (including any alternative minimum taxes) of such          tax group that is attributable to the taxable income of the Lead Borrower and/or such Subsidiaries;          provided  (1)  that  the  amount  of  such  payments  made  in  respect  of  any  taxable  period  in  the          aggregate do not exceed the amount that the Lead Borrower and/or such Subsidiaries would have          been  required  to  pay  in  respect  of  such  taxable  period  had  the  Lead  Borrower  and/or  such          Subsidiaries been a stand-alone corporate taxpayer or tax group for all applicable taxable periods          ending after the date hereof, (2) that the permitted payment pursuant to this clause (B) attributable          to any Unrestricted Subsidiary for any taxable period shall be limited to the amount actually paid          by such Unrestricted Subsidiary to the Lead Borrower or any Restricted Subsidiary and (3) that          with  respect  to  any  taxable  period  (or  portion  thereof)  ending  prior  to  the  Amendment  No.  5          Effective Date, distributions otherwise permitted under this clause (B) shall be permitted only to          the  extent  such  tax  distribution  relates  to  income  tax  audit  adjustments  that  arise  after  the          Amendment No. 5 Effective Date                  (C)    customary salary, bonus and other benefits payable to officers and employees of          any  Parent  Company  to  the  extent  such  salaries,  bonuses  and  other  benefits  are  reasonably          attributable to the ownership or operations of the Lead Borrower and its Restricted Subsidiaries;                  (D)    general  corporate  operating  and  overhead  costs  and  expenses  (including          administrative,  legal,  accounting  and  similar  expenses  provided  by  third  parties)  of  any  Parent                                           -165- 

 

                          Company  to  the  extent  such  costs  and  expenses  are  reasonably  attributable  to  the  ownership  or          operations of the Lead Borrower and its Restricted Subsidiaries;                  (E)    cash payments in lieu of issuing fractional shares in connection with the exercise          of warrants, options or other securities convertible into or exchangeable for Equity Interests of the          Lead Borrower or any Parent Company;                  (F)    the purchase or other acquisition by Holdings or any other Parent Company of          the Lead Borrower of all or substantially all of the property and assets or business of any Person,          or of assets constituting a business unit, a line of business or division of such Person, or of all of          the Equity Interests in a Person; provided that if such purchase or other acquisition had been made          by  the  Lead Borrower,  it  would  have constituted a Permitted Acquisition permitted  to  be  made          pursuant to Section 9.14; provided that (A) such dividend, distribution, loan or advance shall be          made concurrently with the closing of such purchase or other acquisition and (B) such parent shall,          immediately  following  the  closing  thereof,  cause  (1)  all  property  acquired  (whether  assets  or          Equity  Interests)  and  any  liabilities  assumed  to  be  contributed  to  the  Lead  Borrower  or  any          Restricted Subsidiary  or  (2) the  merger (to the  extent  permitted in Section 10.02) into the Lead          Borrower or any Restricted Subsidiary of the Person formed or acquired in order to consummate          such purchaser or other acquisition;                  (G)    any customary fees and expenses related to any unsuccessful equity offering by          any Parent Company directly attributable to the operations of the Lead Borrower and its Restricted          Subsidiaries; and                  (H)    without duplication of any other amounts permitted pursuant to Section 10.03(v)          or this clause (vi), Public Company Costs;          (vii)   reasonable and customary indemnities to directors, officers and employees of Holdings or  any other Parent Company in the ordinary course of business, to the extent reasonably attributable to the  ownership or operation of the Lead Borrower and its Restricted Subsidiaries;         (viii)   the Lead Borrower may authorize, declare and pay cash Dividends to Holdings so long as  the proceeds thereof are promptly used by Holdings (or subsequently paid to any other Parent Company)  for payment of (x) obligations under or in respect of director and officer insurance policies to the extent  reasonably attributable to the ownership or operation of the Lead Borrower and its Restricted Subsidiaries  or  (y)  indemnification  obligations  owing  to  the  Sponsor  and  Sponsor  Affiliates  under  the  Advisory  Agreement;           (ix)   any  Dividend  used  to  fund  the  Amendment  No.  5  Transactions,  including  Amendment  No. 5 Transaction Costs;           (x)    the Lead Borrower may authorize, declare and pay cash Dividends to Holdings (who may  subsequently  authorize,  declare  and  pay  cash  Dividends  to  any  other  Parent  Company)  so  long  as  the  proceeds  thereof  are  used  to  pay  the  Sponsor  or  Sponsor  Affiliate  fees,  expenses  and  indemnification  payments that are then permitted to be paid pursuant to Sections 10.06(v) and 10.06(vii);           (xi)   repurchases  of  Equity  Interests  deemed  to  occur  upon  exercise  of  stock  options  or  warrants or similar equity incentive awards;          (xii)   a  Dividend  to  any  Parent  Company  to  fund  a  payment  of  dividends  on  such  Parent  Company’s common stock after the Amendment No. 5 Effective Date, not to exceed, in any fiscal year, 6%  of such Parent Company’s Market Capitalization;         (xiii)   the  Lead  Borrower  may  pay  any  Dividends  so  long  as  the  Distribution  Conditions  are  satisfied on a Pro Forma Basis immediately after giving effect to such Dividends;                                           -166- 

 

               (xiv)    purchases  of  minority  interests  in  Restricted  Subsidiaries  that  are  not  Wholly-Owned         Subsidiaries  by  the  Lead  Borrower  and  the  Guarantors; provided  that  the  aggregate  amount  of  such         purchases, when added to the aggregate amount of Investments pursuant to Section 10.05(xvii), shall not         exceed  the  greater  of  $30,000,000  and  6.0%  of  Consolidated  EBITDA  of  the  Lead  Borrower  and  its         Restricted Subsidiaries for the most recently ended Test Period (measured at the time of such purchase);                 (xv)    the  authorization,  declaration  and  payment  of  Dividends  or  the  payment  of  other         distributions by the Lead Borrower in an aggregate amount since the Amendment No. 5 Effective Date, not         to  exceed  the  greater  of   $85,000,000  and  16%  of  Consolidated  EBITDA  of  the  Lead  Borrower  and  its         Restricted Subsidiaries for the most recently ended Test Period (measured at the time of such Dividend);                (xvi)    the  Lead  Borrower  and  each  Restricted  Subsidiary  may  authorize,  declare  and  make         Dividend payments or other distributions payable solely in the Equity Interests of such Person so long as in         the case of Dividend or other distribution by a Restricted Subsidiary, the Lead Borrower or a Restricted         Subsidiary receives at least its pro rata share of such dividend or distribution;                (xvii)   the  Lead  Borrower  may  authorize,  declare  and  pay  Dividends  with  the  cash  proceeds         contributed  to  its  common  equity  from  the  net  cash  proceeds  of  any  equity  issuance  by  any  Parent         Company, so long as, with respect to any such payments, no Event of Default shall have occurred and be         continuing or would result therefrom;                (xviii)   the  Lead  Borrower  and  any  Restricted  Subsidiary  may  authorize,  declare  and  pay         Dividends within 90 days after the date of declaration thereof, if at the date of declaration of such payment,         such payment would have complied with another provision of this Section 10.03;                (xix)    the Lead Borrower may authorize, declare and pay cash dividends or other distributions,         or make loans or advances to, any Parent Company so long as (a) the proceeds thereof are used to make         payments to minority shareholders pursuant to appraisal or dissenter’s rights with respect to shares in an         Acquired Entity or Business held by such shareholders immediately prior to the acquisition and (b) such         acquisition was made in compliance with Section 10.03(vi)(F); and                 (xx)    any Dividend, payment or distribution to any Parent Company to fund payments required         to be made by such Parent Company pursuant to the Tax Receivable Agreement.   In determining compliance with this Section 10.03 (and in determining amounts paid as Dividends pursuant hereto  for purposes of the definition of Consolidated EBITDA and Consolidated Net Income), amounts loaned or advanced  to Holdings pursuant to Section 10.05(vi) shall, to the extent such loan or advance remains unpaid, be deemed to be  cash Dividends paid to Holdings to the extent provided in said Section 10.05(vi).          Section 10.04 Indebtedness.   The  Lead  Borrower  will  not,  and  will  not  permit  any  of  its  Restricted  Subsidiaries to, contract, create, incur, assume or suffer to exist any Indebtedness, except:                   (i)   (x)  Indebtedness  incurred  pursuant  to  this  Agreement  and  the  other  Credit  Documents,         (y) Indebtedness incurred pursuant to the Term Loan Credit Agreement and the other Term Documents in         an aggregate principal amount not to exceed (A) $2,200,000,000 plus (B) Incremental Term Loans incurred         under  Section  2.15(a)  of  the  Term  Loan  Credit  Agreement  (or  any  similar  provision  in  any  Permitted         Refinancing Indebtedness thereof), and any Permitted Refinancing Indebtedness in respect thereof and (z)         Indebtedness under Refinancing Notes and Refinancing Term Loans incurred under the Term Loan Credit         Agreement, and any Permitted Refinancing Indebtedness in respect thereof;                  (ii)   Indebtedness  under  Swap  Contracts  entered  into  with  respect  to  other  Indebtedness         permitted  under  this  Section  10.04  so  long  as  the  entering  into  of  such  Swap  Contracts  are  bona  fide         hedging activities and are not for speculative purposes;                                                  -167- 

 

                         (iii)   Indebtedness  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  evidenced  by  Capitalized  Lease  Obligations  and  purchase  money  Indebtedness  (including  obligations  in  respect  of  mortgages, industrial revenue bonds, industrial development bonds and similar financings) in connection  with the acquisition, construction, installation, repair, replacement or improvement of fixed or capital assets  and  any  Permitted  Refinancing  Indebtedness  in  respect  thereof; provided  that  in  no  event  shall  the  aggregate principal amount of all such Indebtedness incurred or assumed in each case after the Amendment  No.  5  Effective  Date  pursuant  to  this  clause  (iii)  exceed  the  greater  of  $180,000,000  and  35.0%  of  Consolidated  EBITDA  of the  Lead  Borrower and its Restricted  Subsidiaries for the  most recently ended  Test Period (measured at the time of incurrence) at any one time outstanding;           (iv)   to  the  extent  constituting  Indebtedness,  any  Indebtedness  in  respect  of  payments  to  minority  shareholders  pursuant  to  appraisal  or  dissenters’  rights  with  respect  to  shares  in  an  Acquired  Entity or Business held by such shareholders immediately prior to the Permitted Acquisition, as applicable;           (v)    (A) Indebtedness of a Restricted Subsidiary of the Lead Borrower acquired pursuant to a  Permitted Acquisition (or Indebtedness assumed at the time of a Permitted Acquisition of an asset securing  such  Indebtedness);  provided  that  (x)  such  Indebtedness  was  not  incurred  in  connection  with,  or  in  anticipation or contemplation of, such Permitted Acquisition and (y) the Consolidated Total Net Leverage  Ratio, determined on a Pro Forma Basis as of the last day of the most recently ended Test Period, shall not  exceed 4.50 to 1.00 and (B) any Permitted Refinancing Indebtedness in respect thereof;           (vi)   intercompany Indebtedness and cash management pooling obligations and arrangements  among  the  Lead  Borrower  and  its  Restricted  Subsidiaries  to  the  extent  permitted  by  Sections  9.17  and  10.05(vi);          (vii)   Indebtedness outstanding on the Amendment No. 5 Effective Date and listed on Schedule  10.04 (or to the extent not listed on such Schedule 10.04, where the outstanding principal amount of such  Indebtedness  is  less  than  $30,000,000  in  the  aggregate)  and  any  Permitted  Refinancing  Indebtedness  in  respect thereof;         (viii)   Indebtedness  of  non-Credit  Parties; provided  that  the  aggregate  principal  amount  of  Indebtedness  outstanding  pursuant  to  this  clause  (viii)  shall  not  at  any  time  exceed  the  greater  of  $120,000,000 and 25.0% of Consolidated EBITDA of the Lead Borrower and its Restricted Subsidiaries for  the most recently ended Test Period (measured at the time of incurrence);           (ix)   [reserved];           (x)    Indebtedness incurred in the ordinary course of business to finance insurance premiums  or take-or-pay obligations contained in supply arrangements;           (xi)   Indebtedness  incurred  in  the  ordinary  course  of  business  in  respect  of  netting  services,  overdraft  protections,  employee  credit  card  programs,  automatic  clearinghouse  arrangements  and  other  similar services in connection with cash management and deposit accounts and Indebtedness in connection  with  the  honoring  of  a  bank  or  other  financial  institution  of  a  check,  draft  or  similar  instrument  drawn  against insufficient funds in the ordinary course of business, including in each case, Bank Product Debt;          (xii)   [reserved];         (xiii)   unsecured  Indebtedness  of  the  Lead  Borrower  (which  may  be  guaranteed  on  a  subordinated basis by Holdings (so long as it is a party to the Guaranty Agreement) and any or all other  Credit  Parties),  in  an  aggregate  outstanding  principal  amount  (together  with  any  Permitted  Refinancing  Indebtedness  in  respect  thereof)  not  to  exceed  the  greater  of  $240,000,000  and  45.0%  of  Consolidated  EBITDA of the Lead Borrower and its Restricted Subsidiaries for the  most recently ended Test Period  (measured at the time of incurrence) at any time, assumed or incurred in connection with any Permitted  Acquisition permitted under Section 9.14, so long as such Indebtedness (and any guarantees thereof) are                                           -168- 

 

                  subordinated to the Obligations upon terms and conditions acceptable to the Administrative Agent and any  Permitted Refinancing Indebtedness in respect thereof;         (xiv)    Indebtedness  consisting  of  obligations  under  deferred  compensation  (including  indemnification  obligations,  obligations  in  respect  of  purchase  price  adjustments,  earn-outs,  incentive  noncompetes  and  other  contingent  obligations)  or  other  similar  arrangements  incurred  or  assumed  in  connection  with  any  Permitted  Acquisition  or  any  other  Investment,  in  each  case,  permitted  under  this  Agreement;          (xv)    additional  Indebtedness  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  not  to  exceed  the  greater  of  $250,000,000  and  45.0%  of  Consolidated  EBITDA  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  for  the  most  recently  ended  Test  Period  (measured  at  the  time  of  incurrence)  in  aggregate principal amount outstanding at any time and any Permitted Refinancing Indebtedness in respect  thereof;         (xvi)    Contingent  Obligations  for  customs,  stay,  performance,  appeal,  judgment,  replevin  and  similar  bonds  and  suretyship  arrangements,  and  completion  guarantees  and  other  obligations  of  a  like  nature, all in the ordinary course of business;         (xvii)   Contingent  Obligations  to  insurers  required  in  connection  with  worker’s  compensation  and other insurance coverage incurred in the ordinary course of business;        (xviii)   guarantees  made  by  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  of  Indebtedness of the Lead Borrower or any of its Restricted Subsidiaries permitted to be outstanding under  this Section 10.04; provided that (x) such guarantees are permitted by Section 10.05 and (y) no Restricted  Subsidiary that is not a Credit Party shall guarantee Indebtedness of a Credit Party pursuant to this clause  (xviii);         (xix)    guarantees made by any non-Credit Party of Indebtedness of any other non-Credit Party  permitted to be outstanding under this Section 10.04;          (xx)    guarantees made by Restricted Subsidiaries acquired pursuant to a Permitted Acquisition  of  Indebtedness  acquired  or  assumed  pursuant  thereto  in  accordance  with  this  Section  10.04,  or  any  refinancing  thereof  pursuant  to  this  Section  10.04; provided that such guarantees may only be made by  Restricted Subsidiaries who were guarantors of the Indebtedness originally acquired or assumed pursuant to  this  Section  10.04  at  the  time  of  the  consummation  of  the  Permitted  Acquisition  to  which such  Indebtedness relates;         (xxi)    customary Contingent Obligations in connection with sales, other dispositions and leases  permitted under Section 10.02 (but not in respect of Indebtedness for borrowed money or Capitalized Lease  Obligations) including indemnification obligations with respect to leases, and guarantees of collectability in  respect of accounts receivable or notes receivable for up to face value;         (xxii)   guarantees of Indebtedness of directors, officers and employees of the Lead Borrower or  any of its Restricted Subsidiaries in respect of expenses of such Persons in connection with relocations and  other ordinary course of business purposes;        (xxiii)   guarantees of Indebtedness of a Person in connection with a joint venture; provided that  the aggregate principal amount of any Indebtedness so guaranteed that is then outstanding, when added to  the  aggregate amount of  unreimbursed payments theretofore  made in respect of  such  guarantees and the  amount  of  Investments  then  outstanding  (and  deemed  outstanding)  under  clause  (xix)  of  Section  10.05,  shall not exceed the greater of $210,000,000 and 40.0% of Consolidated EBITDA of the Lead Borrower  and its Restricted Subsidiaries for the most recently ended Test Period (measured at the time of incurrence)  and any Permitted Refinancing Indebtedness in respect thereof;                                           -169- 

 

                       (xxiv)    Contribution  Indebtedness  and  any  Permitted  Refinancing  Indebtedness  in  respect  thereof;         (xxv)    Indebtedness arising from the honoring by a bank or other financial institution of a check,  draft or similar instrument drawn against insufficient funds in the ordinary course of business, to the extent  such Indebtedness is extinguished reasonably promptly after receipt of notice thereof;        (xxvi)    (x)  severance,  pension  and  health and  welfare  retirement  benefits  or  the  equivalent  thereof  to  current  and  former  officers,  employees  and  directors  of  the  Lead  Borrower  or  its  Restricted  Subsidiaries  incurred  in  the  ordinary  course  of  business,  (y)  Indebtedness  representing  deferred  compensation or stock-based compensation to current and former officers, employees and directors of the  Lead Borrower and the Restricted Subsidiaries and (z) Indebtedness consisting of promissory notes issued  by any Credit Party to current or former officers, directors and employees, their respective estates, spouses  or  former  spouses  to  finance  the  purchase  or  redemption  of  Equity  Interests  of  any  Parent  Company  permitted by Section 10.03;        (xxvii)   (A) Permitted Pari Passu Notes, Permitted Pari Passu Loans or Permitted Junior Debt in  an amount not to exceed the then remaining aggregate principal amount of Incremental Term Loans that  could be incurred at such time pursuant to Section 2.15 of the Term Loan Credit Agreement (or any similar  provisions  in  any  Permitted  Refinancing  Indebtedness  thereof)  so  long  as  (i)  all  such  Indebtedness  is  incurred in accordance with the requirements of the definition of “Permitted Pari Passu Notes,” “Permitted  Pari Passu Loans”, “Permitted Junior Notes” or “Permitted Junior Loans”, as the case may be, and (ii) no  Event of Default then exists or would result therefrom (provided, that with respect to any such Indebtedness  incurred to finance a Limited Condition Transaction, such requirement shall be limited to the absence of an  Event of Default pursuant to Section 11.01 or Section 11.05); and (B) Permitted Refinancing Indebtedness  in respect of Indebtedness incurred pursuant to subclause (A) above;       (xxviii)   (x)  guarantees  made  by  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  of  obligations  (not  constituting  debt  for  borrowed  money)  of  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries owing to vendors, suppliers and other third parties incurred in the ordinary course of business  and (y) Indebtedness of any Credit Party (other than Holdings) as an account party in respect of trade letters  of credit issued in the ordinary course of business;        (xxix)    (A) Permitted Junior Debt of the Lead Borrower and its Restricted Subsidiaries incurred  under Permitted Junior Debt Documents so long as (i) all such Indebtedness is incurred in accordance with  the requirements of the definition of “Permitted Junior Notes” or “Permitted Junior Loans”, as the case may  be, (ii) no Event of Default then exists or would result therefrom (provided, that with respect to any such  Indebtedness incurred to finance a Limited Condition Transaction, such requirement shall be limited to the  absence of an Event  of  Default  pursuant to  Section 11.01  or  Section 11.05), (iii) any  such Indebtedness  incurred  or  guaranteed  by  a  Credit  Party  is  not  secured  by  any  assets  of  the  Lead  Borrower  or  any  Restricted Subsidiary, and (iv) the aggregate principal amount of such Permitted Junior Debt issued or  incurred after the Amendment No. 5 Effective Date shall not cause the Consolidated Total Net Leverage  Ratio, determined on a Pro Forma Basis as of the last day of the most recently ended Test Period, to exceed  4.50 to 1.00 and (B) any Permitted Refinancing Indebtedness in respect of Indebtedness incurred pursuant  to subclause (A) above; provided that the amount of Permitted Junior Debt which may be incurred pursuant  to  this  clause  (xxix)  by  non-Credit  Parties  shall  not  exceed  the  greater  of  $240,000,000  and  45.0%  of  Consolidated  EBITDA  of the  Lead  Borrower and its Restricted  Subsidiaries for the  most recently ended  Test Period (measured at the time of incurrence) at any time outstanding;         (xxx)    Indebtedness  arising  out  of  Sale-Leaseback  Transactions  permitted  by  Section  10.01(xviii);         (xxxi)    [reserved];        (xxxii)   all premiums (if any), interest (including post-petition interest), fees, expenses, charges  and additional or contingent interest on obligations described in clauses (i) through (xxxi) above; and                                          -170- 

 

             (xxxiii)   any guarantee which is a cross-guarantee entered into in connection with class order 7319         98/1418  or  ASIC  Corporations  (Wholly-owned  Companies)  Instrument  2016/785  to  obtain  relief  for         wholly-owned subsidiaries  from the requirement to prepare and lodge audited  financial statements under         Chapter 2M of the Corporations Act.          The Lead Borrower or any Restricted Subsidiary may incur Indebtedness permitted by this Section 10.04  (including, to the extent permitted by this Section 10.04, through the use of the same basket or other exception used  to originally incur the debt securities being satisfied and discharged), to satisfy and discharge any debt securities  permitted to be incurred by this Section 10.04, at the same time as such debt securities are outstanding, so long as  the  net  proceeds  of  such  Indebtedness  are  promptly  and  irrevocably  deposited  with  the  trustee  to  satisfy  and  discharge the applicable indenture in accordance with such debt securities.          Section 10.05 Advances, Investments and Loans.  The Lead Borrower will not, and will not permit any  of its Restricted Subsidiaries to, directly or indirectly, lend money or 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 other Person (each of the foregoing, an “Investment” and, collectively, “Investments” and with the value of  each Investment being measured at the time made and without giving effect to subsequent changes in value or any  write-ups, write-downs or write-offs thereof but giving effect to any cash return or cash distributions received by the  Lead  Borrower  and  its  Restricted  Subsidiaries  with  respect  thereto),  except  that  the  following  shall  be  permitted  (each of the following, a “Permitted Investment” and collectively, “Permitted Investments”):                   (i)   the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  acquire  and  hold  accounts         receivable owing to any of them, if created or acquired in the ordinary course of business and payable or         dischargeable  in  accordance  with  customary  trade  terms  of  the  Lead  Borrower  or  such  Restricted         Subsidiary;                  (ii)   the Lead Borrower and its Restricted Subsidiaries may acquire and hold cash and Cash         Equivalents;                 (iii)   the Lead Borrower and its Restricted Subsidiaries may hold the Investments held by them         on  the  Amendment  No.  5  Effective  Date  and  described  on  Schedule  10.05(iii),  and  any  modification,         replacement, renewal or extension thereof that does not increase the principal amount thereof unless any         additional Investments made with respect thereto are permitted under the other provisions of this Section         10.05;                  (iv)   the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  acquire  and  hold  Investments         (including  debt  obligations  and  Equity  Interests)  received  in  connection  with  the  bankruptcy  or         reorganization of suppliers and customers, and Investments received in good faith settlement of delinquent         obligations of, and other disputes with, customers and suppliers arising in the ordinary course of business;                  (v)    the Lead Borrower and its Restricted Subsidiaries may enter into Swap Contracts to the         extent permitted by Section 10.04(ii);                  (vi)   (a) the Lead Borrower and any Restricted Subsidiary may make intercompany loans to         and other investments (including cash management pooling obligations and arrangements) in Credit Parties         (other  than  Holdings,  unless  otherwise  permitted  by  Section  10.03),  including  in  connection  with  tax         planning and reorganization activities, so long as, after giving effect thereto, the security interest of the         Lenders in the Collateral, taken as a whole, is not materially impaired, (b) any non-Credit Party may make         intercompany  loans  to  and  other  investments  (including  cash  management  pooling  obligations  and         arrangements  to  the  extent  not  in  contravention  of  Section  9.17)  in  the  Lead  Borrower  or  any  of  its         Restricted  Subsidiaries  so  long  as  in  the  case  of  such  intercompany  loans  (other  than  cash  management         pooling obligations and arrangements) to Credit Parties (other than Holdings), all payment obligations of         the  respective  Credit  Parties  are  subordinated  to  their  obligations  under  the  Credit  Documents  on  terms         reasonably satisfactory to the Administrative Agent, (c) the Credit Parties may make intercompany loans         to,  guarantees  on  behalf  of,  and  other  investments  (including  cash  management  pooling  obligations  and         arrangements to the extent  not in contravention of Section 9.17) in, Restricted Subsidiaries that are  not                                                 -171- 

 

                  Credit Parties, (d) any Restricted Subsidiary that is not a Credit Party may make intercompany loans to, and  other  investments  (including  cash  management  pooling  obligations  and  arrangements)  in,  any  other  Restricted Subsidiary that is also not a Credit Party and (e) Credit Parties may make intercompany loans  and other investments (including cash management pooling obligations and arrangements to the extent not  in  contravention of  Section 9.17) in any  Restricted Subsidiary  that is  not a Credit  Party so  long as such  Investment  is  part  of  a series of  simultaneous Investments by  Restricted  Subsidiaries  in other  Restricted  Subsidiaries  that  results  in  the  proceeds  of  the  initial  Investment  being  invested  in  one  or  more  Credit  Parties (other than Holdings, unless otherwise permitted by Section 10.03);          (vii)   Permitted Acquisitions shall be permitted in accordance with Section 9.14;         (viii)   loans  and  advances  by  the  Lead  Borrower  and  its  Restricted  Subsidiaries  to  officers,  directors  and  employees  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries  in  connection  with  (i)  business-related  travel,  relocations  and  other  ordinary  course  of  business  purposes  (including  travel  and  entertainment  expenses)  shall  be  permitted  and  (ii)  any  such  Person’s  purchase  of  Equity  Interests  of  Holdings or any Parent Company; provided that no cash is actually advanced pursuant to this clause (ii)  unless immediately repaid;           (ix)   advances  of  payroll  payments  to  employees  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries in the ordinary course of business;           (x)    non-cash consideration may be received in connection with any sale of assets permitted  pursuant to Section 10.02(ii) or (x);           (xi)   additional Restricted Subsidiaries of the Lead Borrower may be established or created if  the  Lead  Borrower  and  such  Subsidiary  comply  with  the  requirements  of  Section  9.12,  if  applicable;  provided that to the extent any such new Subsidiary is created solely for the purpose of consummating a  transaction pursuant to an acquisition permitted by this Section 10.05, and such new Subsidiary at no time  holds any assets or liabilities other than any merger consideration contributed to it contemporaneously with  the closing of such transaction, such new Subsidiary shall not be required to take the actions set forth in  Section 9.12, as applicable, until the respective acquisition is consummated (at which time the surviving or  transferee  entity  of  the  respective  transaction  and  its  Subsidiaries  shall  be  required  to  so  comply  in  accordance with the provisions thereof);          (xii)   extensions  of  trade  credit  may  be  made  in  the  ordinary  course  of  business  (including  advances made to distributors consistent with past practice), Investments received in satisfaction or partial  satisfaction  of  previously  extended  trade  credit  from  financially  troubled  account  debtors,  Investments  consisting of prepayments to suppliers made in the ordinary course of business and loans or advances made  to distributors in the ordinary course of business;         (xiii)   earnest money deposits may be made to the extent required in connection with Permitted  Acquisitions and other Investments to the extent permitted under Section 10.01(xxviii);         (xiv)    Investments in deposit accounts, securities accounts or commodities accounts opened in  the ordinary course of business;          (xv)    Investments in the nature of pledges or deposits with respect to leases or utilities provided  to third parties in the ordinary course of business;         (xvi)    Investments  in  the  ordinary  course  of  business  consisting  of  UCC  Article  3  (or  the  equivalent under other applicable law) endorsements for collection or deposit;         (xvii)   purchases  of  minority  interests  in  Restricted  Subsidiaries  that  are  not  Wholly-Owned  Subsidiaries by the Borrowers and the Subsidiary Guarantors; provided that the aggregate amount of such  purchases,  when  added  to  the  aggregate  amount  of  Dividends  pursuant  to  Section  10.03(xiv),  shall  not                                           -172- 

 

                  exceed  the  greater  of  $30,000,000  and  6.0%  of  Consolidated  EBITDA  of  the  Lead  Borrower  and  its  Restricted Subsidiaries for the most recently ended Test Period (measured at the time such Investment is  made);        (xviii)   Investments (other than Permitted Acquisitions) so long as the Payment  Conditions are  satisfied on a Pro Forma Basis immediately after giving effect to such Investments;         (xix)    in addition to Investments permitted by clauses (i) through (xviii) and (xx) through (xxxi)  of  this  Section  10.05,  the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  make  additional  loans,  advances and other Investments to or in a Person (including a joint venture) in an aggregate outstanding  amount for all loans, advances and other Investments made pursuant to this clause (xix), not to exceed the  greater  of  $105,000,000  and  20.0%  of  Consolidated  EBITDA  of  the  Lead  Borrower  and  its  Restricted  Subsidiaries for the most recently ended Test Period (measured at the time such Investment is made);          (xx)    the  licensing,  sublicensing  or  contribution  of  Intellectual  Property  rights  pursuant  to  arrangements  with Persons  other than the  Lead Borrower and the Restricted Subsidiaries  in  the ordinary  course  of  business  for  fair  market  value,  as  determined  by  the  Lead  Borrower  or  such  Restricted  Subsidiary, as the case may be, in good faith;         (xxi)    loans and advances to any Parent Company in lieu of, and not in excess of the amount of  (after giving effect to any other loans, advances or Dividends made to any Parent Company), Dividends  permitted to be made to any Parent Company in accordance with Section 10.03; provided that any  such  loan or advance shall reduce the amount of such applicable Dividends thereafter permitted under Section  10.03  by  a  corresponding  amount  (if  such  applicable  subsection  of  Section  10.03  contains  a  maximum  amount);         (xxii)   Investments to the extent that payment for such Investments is made solely in the form of  common  Equity  Interests  or  Qualified  Preferred  Stock  of  Holdings  or  any  Equity  Interests  of  any  other  Parent Company to the seller of such Investments;        (xxiii)   Investments  of  a  Person  that  is  acquired  and  becomes  a  Restricted  Subsidiary  or  of  a  company  merged or amalgamated or consolidated into any  Restricted Subsidiary, in  each case after the  Amendment  No.  5  Effective  Date  and  in  accordance  with  this  Section  10.05  and/or  Section  10.02,  as  applicable, to the extent such Investments were not made in contemplation of or in connection with such  acquisition, merger, amalgamation or consolidation, do not constitute a material portion of the aggregate  assets  acquired  in  such  transaction  and  were  in  existence  on  the  date  of  such  acquisition,  merger,  amalgamation or consolidation;        (xxiv)    Investments in a Restricted Subsidiary that is not a Credit Party or in a joint venture, in  each case, to the extent such Investment is substantially contemporaneously repaid in full with a dividend  or other distribution from such Restricted Subsidiary or joint venture;         (xxv)    to  the  extent  that  they  constitute  Investments,  purchases  and  acquisitions  of  inventory,  supplies,  materials  and  equipment  or  purchases  of  contract  rights  or  licenses  or  leases  of  Intellectual  Property, in each case, in the ordinary course of business;        (xxvi)    Investments by the Lead Borrower and its Restricted Subsidiaries consisting of deposits,  prepayment and other credits to suppliers or landlords made in the ordinary course of business;        (xxvii)   guaranties made in the ordinary course of business of (a) obligations owed to landlords,  suppliers, customers, franchisees and licensees of the Lead Borrower or its Subsidiaries or (b) operating  leases (for the avoidance of doubt, excluding Capitalized Lease Obligations) or of other obligations that do  not constitute Indebtedness;                                           -173- 

 

             (xxviii)   Investments  consisting  of  the  licensing,  sublicensing  or  contribution  of  Intellectual         Property pursuant to joint marketing arrangements with other Persons;                (xxix)    Investments in Unrestricted Subsidiaries having an aggregate fair market value (measured         on  the  date  each  such  Investment  was  made  and  without  giving  effect  to  subsequent  changes  in  value),         when taken together with all other Investments made pursuant to this Section 10.05(xxix) not to exceed the         greater  of  $65,000,000  and  12.0%  of  Consolidated  EBITDA  of  the  Lead  Borrower  and  its  Restricted         Subsidiaries for the most recently ended Test Period (measured at the time such Investment is made), at any         one time outstanding;                 (xxx)    [reserved]; and               (xxxi)    Investments by the Lead Borrower and its Restricted Subsidiaries in joint ventures in an         aggregate amount for all Investments made pursuant to this clause (xxxi), not to exceed, when added to the         aggregate  amount  then  guaranteed  under  clause  (xxiii)  of  Section  10.04  and  all  unreimbursed  payments         theretofore  made  in  respect  of  guarantees  pursuant  to  clause  (xxiii)  of  Section  10.04,  the  greater  of         $120,000,000 and 25.0% of Consolidated EBITDA of the Lead Borrower and its Restricted Subsidiaries for         the most recently ended Test Period (measured at the time such Investment is made).   To the extent an Investment is permitted to be made by a Credit Party directly in any Restricted Subsidiary or any  other Person who is not a Credit Party (each such person, a “Target Person”) under any provision of this Section  10.05, such Investment  may be made, solely to the extent it constitutes part of the same transaction, by advance,  contribution  or  distribution  by  a  Credit  Party  to  a  Restricted  Subsidiary  or  Holdings,  and  further  advanced  or  contributed as part of the same transaction by such Restricted Subsidiary or Holdings for purposes of making the  relevant Investment in the Target Person without constituting an additional Investment for purposes of this Section  10.05  (it  being  understood  that  such  Investment  must  satisfy  the  requirements  of,  and  shall  count  toward  any  thresholds  in,  a  provision  of  this  Section  10.05  as  if  made  by  the  applicable  Credit  Party  directly  to  the  Target  Person).          Section 10.06 Transactions with Affiliates.  The Lead Borrower will not, and will not permit any of its  Restricted Subsidiaries to, enter into any transaction or series of related transactions with any Affiliate of the Lead  Borrower  or  any  of  its  Subsidiaries  involving  aggregate  payments  or  consideration  in  excess  of  the  greater  of  $55,000,000 and 10% of Consolidated EBITDA of the Lead Borrower and its Restricted Subsidiaries for the most  recently ended Test Period (measured at the time of such transaction), other than on terms and conditions deemed in  good faith by the board of directors of the Lead Borrower (or any committee thereof) to be not less favorable to the  Lead  Borrower  or  such  Restricted  Subsidiary  as  would  reasonably  be  obtained  by  the  Lead  Borrower  or  such  Restricted Subsidiary at that time in a comparable arm’s-length transaction  with a Person other than an  Affiliate,  except:                   (i)   Dividends (and loans and advances in lieu thereof) may be paid to the extent provided in         Section 10.03;                  (ii)   loans  and  other  transactions  among  Holdings,  the  Lead  Borrower  and  its  Restricted         Subsidiaries (and any Parent Company);                 (iii)   customary  fees  and  indemnification  (including  the  reimbursement  of  out-of-pocket         expenses) may be paid to directors of Holdings, the Lead Borrower and its Restricted Subsidiaries (and, to         the extent directly attributable to the operations of the Lead Borrower and the other Restricted Subsidiaries,         to any other Parent Company);                  (iv)   the  Lead  Borrower  and  its  Restricted  Subsidiaries  may  enter  into,  and  may  make         payments under, employment or other service-related agreements, employee benefits plans, stock option         plans,  indemnification  provisions,  stay  bonuses,  severance  and  other  similar  compensatory  arrangements         with current and former officers, employees, consultants and directors of Holdings, the Lead Borrower and         its Restricted Subsidiaries in the ordinary course of business;                                                  -174- 

 

                          (v)    solely during calendar year 2020, so long as no Event of Default shall exist (both before  and  immediately  after  giving  effect  thereto)  under  Section  11.01  or  11.05,  Holdings  and/or  the  Lead  Borrower may pay fees to the Sponsor or the Sponsor Affiliates (or dividend such funds to any Parent  Company to be paid to the Sponsor or the Sponsor Affiliates) in an amount not to exceed $2,000,000 and  perform its other obligations pursuant to the terms of the Advisory Agreement; provided further that upon  the occurrence and during the continuance of Event of Default under Section 11.01 or 11.05, such amounts  may accrue on a subordinated basis, but not be payable in cash during such period, but all such accrued  amounts (plus accrued interest, if any, with respect thereto) may be payable in cash upon the cure or waiver  of such Event of Default;           (vi)   the  Amendment  No.  5  Transactions  (including  Amendment  No.  5  Transaction  Costs)  shall be permitted;          (vii)   the Borrowers may make payments (or make dividends to Holdings or any other Parent  Company to make payments) (i) to reimburse the Sponsor or the Sponsor Affiliates for its reasonable out- of-pocket  expenses,  and  to  indemnify  it,  pursuant  to  the  terms  of  the  Advisory  Agreement  and  (ii)  to  reimburse any shareholders for their respective reasonable out-of-pocket expenses and to indemnify them,  pursuant  to  the  terms  of  any  stockholders  agreement  with  respect  to  Holdings  or  any  other  Parent  Company, as in effect on the Amendment No. 5 Effective Date, subject to amendments not adverse to the  Lenders in any material respect;         (viii)   transactions  described  on  Schedule  10.06(viii)  or  any  amendment  thereto  to  the  extent  such an amendment is not adverse to the Lenders in any material respect;           (ix)   Investments in the Lead Borrower’s Subsidiaries and joint ventures (to the extent any  such Subsidiary that is not a Restricted Subsidiary or any such joint venture is only an Affiliate as a result  of  Investments  by  Holdings  and  the  Restricted  Subsidiaries  in  such  Subsidiary  or  joint  venture)  to  the  extent otherwise permitted under Section 10.05;           (x)    [reserved];           (xi)   transactions between the Lead Borrower and any Person that is an Affiliate solely due to  the  fact  that  a  director  of  such  Person  is  also  a  director  of  the  Lead  Borrower  or  any  Parent  Company;  provided, however,  that  such  director  abstains  from  voting  as  a  director  of  the  Lead  Borrower  or  such  Parent Company, as the case may be, on any matter involving such other Person;          (xii)   payments  by  Holdings,  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  to  any  Parent Company for any financial advisory, financing, underwriting or placement services or in respect of  other  investment  banking  activities,  including,  without  limitation,  in  connection  with  the  acquisitions  or  divestitures, which payments are approved by a majority of the board of directors of the Lead Borrower in  good faith;          (xiii)   guarantees  of  performance  by  the  Borrower  and  its  Restricted  Subsidiaries  of  Unrestricted  Subsidiaries  in  the  ordinary  course  of  business,  except  for  guarantees  of  Indebtedness  in  respect of borrowed money;          (xiv)    the issuance of Equity Interests in the form of common stock or Qualified Preferred Stock  of the Lead Borrower to any Parent Company, or to any director, officer, employee or consultant thereof;           (xv)    transactions with joint ventures entered into in the ordinary course of business;          (xvi)    transactions  with  Unrestricted  Subsidiaries,  customers,  clients,  lessors,  landlords,  suppliers, contractors, or purchasers or sellers of goods or services that are Affiliates, in each case, in the  ordinary course of business and otherwise in compliance with the terms of this Agreement that are fair to  the  Lead  Borrower  and  its  Restricted  Subsidiaries,  or  made  in  the  reasonable  determination  of  senior                                           -175- 

 

         management or the board of directors or equivalent governing body of the Lead Borrower or any Parent         Company; and                (xvii)   to the extent not otherwise prohibited by this Agreement, transactions between or among         Holdings,  the  Lead  Borrower  and  any  of  its  Restricted  Subsidiaries  shall  be  permitted  (including  equity         issuances).          Section 10.07 Limitations  on  Payments,  Certificate  of  Incorporation,  By-Laws  and  Certain  Other  Agreements, etc.  The Lead Borrower will not, and will not permit any of its Restricted Subsidiaries to:                  (a)    make (or give any notice (other than any such notice that is expressly contingent upon the         repayment in full in cash of  all Obligations other than any indemnification obligations arising  hereunder         which are not due and payable) in respect of) any  voluntary or optional payment or prepayment on or         redemption  or  acquisition  for  value  of,  or  any  prepayment  or  redemption  as  a  result  of  any  asset  sale,         Change  of  Control  or  similar  event  of  (including,  in  each  case  without  limitation,  by  way  of  depositing         money or securities with the trustee with respect thereto or any other Person before due for the purpose of         paying when due), any Permitted Junior Debt, Subordinated Indebtedness or Refinancing Notes (other than         Refinancing Notes secured by Liens ranking pari passu with the Liens securing the Indebtedness under the         Term Loan Credit Agreement), in each case, in an outstanding principal amount greater than the greater of         $25,000,000 and 5.0% of Consolidated EBITDA of the Lead Borrower and its Restricted Subsidiaries for         the most recently ended Test Period (it being understood that payments of regularly scheduled interest and         payments of  fees, expenses and indemnification  obligations and any payment  that is intended to prevent         any Indebtedness from being treated as an “applicable high yield discount obligation” within the meaning         of Section 163(b)(1) of the Code, in each case, shall be permitted), except that (A) the Lead Borrower may         consummate  the  Amendment  No.  5  Transactions,  and  (B)  Permitted  Junior  Debt,  Subordinated         Indebtedness and such Refinancing Notes may be repaid, prepaid, redeemed, repurchased or defeased (and         any applicable deposit of money or securities with the trustee with respect thereto or any other Person for         the purpose of paying such Permitted Junior Debt or Refinancing Notes when due may be made), (i) so         long as the Payment Conditions are satisfied on a Pro Forma Basis immediately after giving effect to the         consummation of the proposed repayment or prepayment and (ii) with amounts not to exceed the greater of         $50,000,000 and 10.0% of Consolidated EBITDA of the Lead Borrower and its Restricted Subsidiaries for         the  most  recently  ended  Test  Period; provided,  that  nothing  herein  shall  otherwise  prevent  the  Lead         Borrower  and  its  Restricted  Subsidiaries  from  refinancing  Permitted  Junior  Debt,  Subordinated         Indebtedness or Refinancing Notes, in each case with Permitted Refinancing Indebtedness;                  (b)    amend  or  modify,  or  permit  the  amendment  or  modification  of  any  provision  of,  any         Refinancing  Note  Document  (after  the  entering  into  thereof)  other  than  any  amendment  or  modification         (when taken as a whole) that is not materially adverse to the interests of the Lenders;                  (c)    amend  or  modify,  or  permit  the  amendment  or  modification  of  any  provision  of,  any         Permitted Junior Debt Document (after the entering into thereof) with a principal amount in excess of the         Threshold  Amount,  other  than  any  amendment  or  modification  (when  taken  as  a  whole)  that  is  not         materially adverse to the interests of the Lenders; or                  (d)    amend,  modify  or  change  its  certificate  or  articles  of  incorporation  (including,  without         limitation,  by  the  filing  or  modification  of  any  certificate  or  articles  of  designation)  or  certificate  of         formation; limited liability company agreement or by-laws (or the equivalent organizational documents);         accounting policies, reporting policies or fiscal year (except as required by U.S. GAAP), as applicable, or         any agreement entered into by it with respect to its Equity Interests, or enter into any new agreement with         respect to its Equity Interests, unless such amendment, modification, change or other action contemplated         by this clause (d) (when taken as a whole) is not materially adverse to the interests of the Lenders.          Section 10.08 Limitation on Certain Restrictions on Subsidiaries.  The Lead Borrower will not, and will  not permit any of its Restricted Subsidiaries to, directly or indirectly, create or otherwise cause or suffer to exist or  become effective any consensual encumbrance or restriction on the ability of any such Restricted Subsidiary to (a)  pay dividends or make any other distributions on its capital stock or any other interest or participation in its profits                                                 -176- 

 

  owned  by  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries,  or  pay  any  Indebtedness  owed  to  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries,  (b)  make  loans  or  advances  to  the  Lead  Borrower  or  any  of its  Restricted Subsidiaries or (c) transfer any of its properties or assets to the Lead Borrower or any of its Restricted  Subsidiaries, except for such encumbrances or restrictions existing under or by reason of:                   (i)   applicable law;                  (ii)   this  Agreement and  the other Credit  Documents and  the Term  Loan  Credit  Agreement         and the other definitive documentation entered into in connection therewith;                 (iii)   any Refinancing Note Documents or Refinancing Term Loan Documents;                  (iv)   customary  provisions  restricting  subletting  or  assignment  of  any  lease  governing  any         leasehold interest of the Lead Borrower or any of its Restricted Subsidiaries;                  (v)    customary  provisions  restricting  assignment  of  any  licensing  agreement  (in  which  the         Lead Borrower or any of its Restricted Subsidiaries is the licensee) or other contract entered into by the         Lead Borrower or any of its Restricted Subsidiaries in the ordinary course of business;                  (vi)   restrictions on the transfer of any asset pending the close of the sale of such asset;                 (vii)   any  agreement  or  instrument  governing  Indebtedness  assumed  in  connection  with  a         Permitted Acquisition, to the extent the relevant encumbrance or restriction was not agreed to or adopted in         connection with, or in anticipation of, the respective Permitted Acquisition and does not apply to the Lead         Borrower or any Restricted Subsidiary of the Lead Borrower, or the properties of any such Person, other         than the Persons or the properties acquired in such Permitted Acquisition;                (viii)   encumbrances  or  restrictions  on  cash  or  other  deposits  or  net  worth  imposed  by         customers under agreements entered into in the ordinary course of business;                  (ix)   any  agreement  or  instrument  relating  to  Indebtedness  of  a  non-Credit  Party  incurred         pursuant to Section 10.04 to the extent such encumbrance or restriction only applies to such non-Credit         Party and any Subsidiaries of such non-Credit Party;                  (x)    an agreement effecting a refinancing, replacement or substitution of Indebtedness issued,         assumed or incurred pursuant to an agreement or instrument referred to in clause (vii) above; provided that         the provisions relating to such encumbrance or restriction contained in any such refinancing, replacement         or substitution agreement are no less favorable to the Lead Borrower or the Lenders in any material respect         than the provisions relating to such encumbrance or restriction contained in the agreements or instruments         referred to in such clause (vii) above;                  (xi)   restrictions on the transfer of any asset subject to a Lien permitted by Section 10.01;                 (xii)   restrictions  and  conditions  imposed  by  the  terms  of  the  documentation  governing  any         Indebtedness of a Restricted Subsidiary of the Lead Borrower that is not a Credit Party, which Indebtedness         is permitted by Section 10.04;                (xiii)   customary provisions in joint venture agreements and other similar agreements applicable         to joint ventures permitted under Section 10.05 and applicable solely to such joint venture;                (xiv)    on or after the execution and delivery thereof, (i) the Permitted Junior Debt Documents,         (ii) the Permitted Pari Passu Notes Documents and (iii) the Permitted Pari Passu Loan Documents; and                 (xv)    negative  pledges  and  restrictions  on  Liens  in  favor  of  any  holder  of  Indebtedness  for         borrowed money permitted under Section 10.04 but only if such negative pledge or restriction expressly                                                  -177- 

 

         permits  Liens for the benefit of the Administrative  Agent and/or the Collateral Agents and the Secured         Creditors  with  respect  to  the  credit  facilities  established  hereunder  and  the  Obligations  under  the  Credit         Documents on a senior basis and without a requirement that such holders of such Indebtedness be secured         by  such  Liens  securing  the  Obligations  under  the  Credit  Documents  equally  and  ratably  or  on  a  junior         basis.          Section 10.09 Business.          (a)     The Lead Borrower will not permit at any time the business activities taken as a whole conducted  by the Lead Borrower and its Restricted Subsidiaries to be materially different from the business activities taken as a  whole  conducted  by  the  Lead  Borrower  and  its  Restricted  Subsidiaries  on  the  Amendment  No.  5  Effective  Date  (after  giving  effect  to  the  Amendment  No.  5  Transactions)  except  that  the  Lead  Borrower  and  its  Restricted  Subsidiaries may engage in Similar Business.          (b)     Holdings will not engage in any business other than its ownership of the capital stock of, and the  management of, the Lead Borrower and, indirectly, its Subsidiaries and activities incidental thereto; provided that  Holdings may engage in those activities that are incidental to (i) the maintenance of its existence in compliance with  applicable law, (ii) legal, tax and accounting matters in connection with any of the foregoing or following activities,  (iii) the entering into, and performing its obligations under, this Agreement, the other Credit Documents to which it  is  a  party,  the  Advisory  Agreement,  the  Term  Loan  Credit  Agreement  and  the  other  definitive  documentation  entered into in connection therewith, (iv) the issuance, sale or repurchase of its Equity Interests and the receipt of  capital  contributions,  (v)  the  making  of  dividends  or  distributions  on  its  Equity  Interests,  (vi)  the  filing  of  registration statements, and compliance with applicable reporting and other obligations, under federal, state or other  securities  laws,  (vii)  the  listing  of  its  equity  securities  and  compliance  with  applicable  reporting  and  other  obligations in connection therewith, (viii) the retention of (and the entry into, and exercise of rights and performance  of obligations in respect of, contracts and agreements with) transfer agents, private placement agents, underwriters,  counsel, accountants and other advisors and consultants, (ix) the performance of obligations under and compliance  with its certificate of incorporation and by-laws, or any applicable law, ordinance, regulation, rule, order, judgment,  decree or permit, including, without limitation, as a result of or in connection with the activities of its Subsidiaries,  (x)  the incurrence and payment of its operating and business expenses  and any Taxes for which  it  may be liable  (including  reimbursement  to  Affiliates  for  such  expenses  paid  on  its  behalf),  (xi)  the  consummation  of  the  Amendment No. 5 Transactions, (xii) the making of loans to or other Investments in, or incurrence of Indebtedness  from,  the  Lead  Borrower  (or  in  the  case  of  incurrence  of  Indebtedness,  from  any  Wholly-Owned  Domestic  Subsidiary,  which  is  a  Credit  Party),  as  and  to  the  extent  not  prohibited  by  this  Agreement  and  (xiii)  any  other  activity  expressly  contemplated  by  this  Agreement  to  be  engaged  in  by  Holdings,  including,  without  limitation,  repurchases of Indebtedness of the Lead Borrower under the Term Loan Credit Agreement pursuant to Section 2.19  and Section 2.20 thereof and entry into and performance of guarantees of Refinancing Notes, Permitted Junior Debt,  Permitted Pari Passu Notes, Permitted Pari Passu Loans and, subject to any applicable limitations set forth herein,  other permitted Indebtedness of the Lead Borrower and its Restricted Subsidiaries.          Section 10.10 Negative Pledges.  The Lead Borrower shall not, and shall not permit any of its Restricted  Subsidiaries that are Credit Parties to, agree or covenant with any Person to restrict in any way its ability to grant  any Lien on its assets in favor of the Lenders, other than pursuant to the Intercreditor Agreement, any Additional  Intercreditor Agreement, any Pari Passu Intercreditor Agreement or any other intercreditor agreement contemplated  by this agreement, and except that this Section 10.10 shall not apply to:                   (i)   any covenants contained in this Agreement or any other Credit Documents or that exist         on the Amendment No. 5 Effective Date;                  (ii)   covenants  existing  under  the  Term  Loan  Credit  Agreement  as  in  effect  on  the         Amendment No. 5 Effective Date (or as amended in a manner not prohibited by this Agreement or the other         Credit Documents) and the other credit documents pursuant thereto;                 (iii)   the  covenants  contained  in  any  Refinancing  Note  Documents,  any  Refinancing  Term         Loan Documents, any Permitted Pari Passu Notes Documents, any Permitted Pari Passu Loan Documents                                                  -178- 

 

         or any Permitted Junior Debt (in each case so long as same do not restrict the granting of Liens to secure         Indebtedness pursuant to this Agreement);                  (iv)   covenants  and  agreements  made  in  connection  with  any  agreement  relating  to  secured         Indebtedness  permitted  by  this  Agreement  but  only  if  such  covenant  or  agreement  applies  solely  to  the         specific asset or assets to which such Lien relates;                  (v)    customary  provisions  in  leases,  subleases,  licenses  or  sublicenses  and  other  contracts         restricting the right of assignment thereof;                  (vi)   customary provisions in joint venture agreements and other similar agreements applicable         to joint ventures that are applicable solely to such joint venture;                 (vii)   restrictions imposed by law;                (viii)   customary  restrictions  and  conditions  contained  in  agreements  relating  to  any  sale  of         assets or Equity Interests pending such sale; provided such restrictions and conditions apply only to the         Person or property that is to be sold;                  (ix)   contractual  obligations  binding  on  a  Restricted  Subsidiary  at  the  time  such  Restricted         Subsidiary first becomes a Restricted Subsidiary, so long as such contractual obligations were not entered         into solely in contemplation of such Person becoming a Restricted Subsidiary;                  (x)    negative  pledges  and  restrictions  on  Liens  in  favor  of  any  holder  of  Indebtedness  for         borrowed  money entered into  after the  Amendment  No. 5 Effective Date  and otherwise permitted  under         Section 10.04 but only if such negative pledge or restriction expressly permits Liens for the benefit of the         Administrative  Agent  and/or  the  Collateral  Agents  and  the  Secured  Creditors  with  respect  to  the  credit         facilities  established  hereunder  and  the  Obligations  under  the  Credit  Documents  on  a  senior  basis  and         without  a  requirement  that  such  holders  of  such  Indebtedness  be  secured  by  such  Liens  securing  the         Obligations under the Credit Documents equally and ratably or on a junior basis;                  (xi)   restrictions on any non-Credit Party pursuant to the terms of any Indebtedness of such         non-Credit Party permitted to be incurred hereunder;                 (xii)   restrictions on cash or other deposits imposed by customers under contracts entered into         in the ordinary course of business; and                (xiii)   any  restrictions  on  Liens  imposed  by  any  amendments,  modifications,  restatements,         renewals, increases, supplements, refundings, replacements or refinancings of the contracts, instruments or         obligations  referred  to  in  clauses  (i),  (ii),  (iii),  (ix),  (x)  and  (xi)  above; provided  that  such  amendments,         modifications,  restatements,  renewals,  increases,  supplements,  refundings,  replacements  or  refinancings         are, in the good faith judgment  of the Lead Borrower,  not materially  more restrictive,  taken  as  a  whole,         with respect to such encumbrance and other restrictions than those prior to such amendment, modification,         restatement, renewal, increase, supplement, refunding, replacement or refinancing.          Section 10.11 Financial Covenant.          (a)     The Lead Borrower and its Restricted Subsidiaries shall, on any date when Global Availability is  less than the greater of (a) 10.0% of the Aggregate Commitments, and (b) $30,000,000 (the “FCCR Test Amount”),  have a Consolidated Fixed Charge Coverage Ratio of at least 1.0 to 1.0, tested for the four fiscal quarter period  ending on the last day of the most recently ended fiscal quarter for which the Lead Borrower was required to deliver  Section 9.01 Financials, and at the end of each succeeding fiscal quarter thereafter until the date on which Global  Availability has exceeded the FCCR Test Amount for 30 consecutive days.                                                  -179- 

 

         (b)     For purposes of determining compliance with the financial covenant set forth in Section 10.11(a)  above, cash equity contributions (which equity shall be common equity or otherwise in a form reasonably acceptable  to the  Administrative  Agent)  made to Holdings  (which shall  be contributed  in cash to the common  equity of  the  Lead Borrower) after the end of the relevant fiscal quarter and on or prior to the day that is 10 Business Days after  financial statements are required to be delivered under Section 9.01 for such fiscal quarter, or with respect to the  initial  date  the  FCCR  Test  Amount  is  not  exceeded,  within  10  Business  Days  after  the  Lead  Borrower  and  its  Restricted Subsidiaries become subject to testing the financial covenant under paragraph (a) of this Section 10.11  (such 10-Business Day period being referred to herein as the  “Interim Period”)  will,  at the request  of the  Lead  Borrower,  be  included  in  the  calculation  of  Consolidated  EBITDA  solely  for  the  purposes  of  determining  compliance with such financial covenant at the end of such fiscal quarter and applicable subsequent periods which  include such fiscal quarter (any such equity contribution so included in the calculation of Consolidated EBITDA, a  “Specified Equity Contribution”); provided that (a) Specified Equity Contributions may be made no more than two  times in any twelve fiscal month period and no more than five times after the Amendment No. 5 Effective Date, (b)  the  amount  of  any  Specified  Equity  Contribution  shall  be  no  greater  than  the  amount  required  to  cause  the  Borrowers to be in pro forma compliance with such financial covenant, (c) the Borrowers shall not be permitted to  borrow hereunder or request the issuance of Letters of Credit during the Interim Period until the relevant Specified  Equity  Contribution  has  been  made,  (d)  all  Specified  Equity  Contributions  shall  be  disregarded  for  purposes  of  determining any baskets calculated on the basis of Consolidated EBITDA contained herein and in the other Credit  Documents, (e) there shall be no  pro forma reduction in  Indebtedness  with  the proceeds of any  Specified  Equity  Contribution  for  determining  compliance  with  the  financial  covenant  for  the  fiscal  quarter  with  respect  to  which  such  Specified  Equity Contribution  is  made and (f) until the last  Business  Day of the Interim Period, neither the  Administrative Agent nor any Lender shall have any right to accelerate the Loans or terminate the Commitments,  and none of the Administrative Agent nor any Lender shall have any right to foreclose on or take possession of the  Collateral or any other right or remedy under the Credit Documents that would be available on the basis of an Event  of Default resulting from the failure to comply with Section 10.11(a).          ARTICLE 11     Events of Default.  Upon the occurrence of any of the following specified events (each,  an “Event of Default”):          Section 11.01 Payments.  Any Borrower shall (i) default in the payment  when due of any principal of  any Loan or (ii) default, and such default shall continue unremedied for five or more Business Days, in the payment  when due of any interest on any Loan, or any Fees or any other amounts owing hereunder or under any other Credit  Document; or          Section 11.02 Representations, etc.  Any representation, warranty or statement made or deemed made by  any Credit Party herein or in any other Credit Document or in any certificate delivered to the Administrative Agent  or any Lender pursuant hereto or thereto shall prove to be untrue in any material respect on the date as of which  made or deemed made and such incorrect representation, warranty or statement shall remain untrue in such material  respect (solely to the extent capable of being cured) for a period of 30 days following the earlier of (x) any Credit  Party’s knowledge of such default or (y) written notice to the Lead Borrower from the Administrative Agent or the  Required Lenders.          Section 11.03 Covenants.   Holdings,  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  shall  (i)  default  in  the  due  performance  or  observance  by  it  of  any  term,  covenant  or  agreement  contained  in  Section  9.01(f)(i), 9.02(b), 9.04 (as to the Lead Borrower), 9.11, 9.14(a), 9.17(c), (d), (e), (f), (g) or (h) (other than any such  default which is not directly caused by the action or inaction of Holdings, the Lead Borrower or any of its Restricted  Subsidiaries,  which  such  default  shall  be  subject  to  clause  (iii)  below),  9.19  or  Article  10,  (ii)  fail  to  deliver  a  Borrowing Base Certificate required to be delivered pursuant to Section 9.17(a) within five (5) Business Days of the  date such Borrowing Base Certificate is required to be delivered (other than during the occurrence of a Liquidity  Event,  in  which  case  such  period  shall  be  three  (3)  Business  Days),  (iii)  default  in  the  due  performance  or  observance  by  it  of  any  other  term,  covenant  or  agreement  contained  in  this  Agreement  or  in  any  other  Credit  Document (other than those set forth in Sections 11.01 and 11.02), and such default shall continue unremedied for a  period of 30 days after written notice thereof to the Lead Borrower by the Administrative Agent or the Required  Lenders; or                                                  -180- 

 

         Section 11.04 Default  Under  Other  Agreements.   (i)  Holdings,  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  shall  (x)  default  in  any  payment  of  any  Indebtedness  (other  than  Indebtedness  under  this  Agreement)  beyond  the  period  of  grace,  if  any,  provided  in  an  instrument  or  agreement  under  which  such  Indebtedness was created or (y) default in the observance or performance of any agreement or condition relating to  any  Indebtedness  (other  than  Indebtedness  under  this  Agreement)  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 a trustee or agent  on behalf of such holder or holders) to cause (determined without regard to whether any notice is required), any such  Indebtedness to become due prior to its stated maturity or (ii) any Indebtedness (other than Indebtedness under this  Agreement) of Holdings, the Lead Borrower or any of its Restricted Subsidiaries shall be declared to be (or shall  become) due and payable, or required to be prepaid other than by a regularly scheduled required prepayment, prior  to the stated maturity thereof; provided that (A) it shall not be a Default or an Event of Default under this Section  11.04 unless the aggregate principal amount of all Indebtedness as described in preceding clauses (i) and (ii) is at  least equal to the Threshold Amount and (B) the preceding clause (ii) shall not apply to Indebtedness that becomes  due as a result of a voluntary sale or transfer of, or Recovery Event with respect to, the property or assets securing  such Indebtedness, if such sale or transfer or Recovery Event is otherwise permitted hereunder; or          Section 11.05 Bankruptcy, etc.          (a)     Holdings,  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  (other  than  any  Immaterial  Subsidiary) shall, to the extent applicable, commence a voluntary case concerning itself under Title 11 of the United  States Code entitled “Bankruptcy,” as now or hereafter in effect, or any successor thereto (the “Bankruptcy Code”)  or commence analogous case, proceeding, step or procedure in any jurisdiction  (including any application for the  winding-up or dissolution)  under any Debtor Relief  Law;  or an involuntary case or proceeding under any Debtor  Relief Law is commenced against Holdings, the Lead Borrower or any of its Restricted Subsidiaries (other than any  Immaterial  Subsidiary),  and  (except  in  the  case  of  an  administrator  appointed  by  the  directors  of  an  Australian  Credit Party under the Corporations Act) the petition is not controverted within 21 days, or is not dismissed within  60 days (or is rejected or dismissed on grounds of insufficiency of assets), after commencement of the case; or a  custodian  (as  defined  in  the  Bankruptcy  Code),  receiver,  interim  receiver,  receiver-manager,  trustee,  liquidator,  administrator,  examiner,  monitor,  judicial  manager  or  similar  officer  is  appointed  for,  or  takes  charge  of,  all  or  substantially all of the property of Holdings, the Lead Borrower or any of its Restricted Subsidiaries (other than any  Immaterial  Subsidiary),  or  Holdings,  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  (other  than  any  Immaterial Subsidiary) commences any other case or proceeding under any Debtor Relief Law or similar law of any  jurisdiction  whether  now or hereafter in effect  relating  to Holdings, the Lead Borrower or any of its  Restricted  Subsidiaries (other than any Immaterial Subsidiary), or there is commenced against Holdings, the Lead Borrower or  any of its Restricted Subsidiaries (other than any Immaterial Subsidiary) any such case or proceeding which remains  undismissed for a period of 60 days (or is rejected or dismissed on grounds of insufficiency of assets), or Holdings,  the Lead Borrower or any of its Restricted Subsidiaries (other than any Immaterial Subsidiary) is adjudicated, or is  deemed for the purposes of any applicable law to be, insolvent or bankrupt; or any order of relief or other order  approving  any  such  case  or  proceeding  is  entered;  or  Holdings,  the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  (other  than  any  Immaterial  Subsidiary)  suffers  any  appointment  of  any  custodian,  receiver,  interim  receiver, receiver-manager, trustee, liquidator, administrator, examiner, monitor, judicial manager or the like for it or  any substantial part of its property to continue undischarged or unstayed for a period of 60 days; or Holdings, the  Lead  Borrower  or  any  of  its  Restricted  Subsidiaries  (other  than  any  Immaterial  Subsidiary)  makes  a  general  assignment  for  the  benefit  of  creditors;  or  any  corporate,  limited  liability  company  or  similar  action  is  taken  by  Holdings,  the  Lead  Borrower or any  of  its Restricted Subsidiaries (other than any Immaterial Subsidiary)  for the  purpose of effecting any of the foregoing.           (b)     UK Insolvency.  Any UK Insolvency Event occurs with respect to any UK Credit Party.           (c)     French Insolvency.  Any French Credit Party shall become unable, admit in writing its inability or  fail  generally  to  pay  its  debts  as  they  become  due  (as  interpreted,  in  respect  of  each  French  Credit  Party,  in  accordance with Article L. 621-1 of France’s Commercial Code, as amended).          (d)     Singapore Insolvency.  (a) Any Singapore Credit Party is or is presumed or deemed to be unable  or admits inability to pay its debts as they fall due, suspends making payments on any of its debts or, by reason of                                                 -181- 

 

  actual or anticipated financial difficulties, commences negotiations with one or more of its creditors with a view to  rescheduling any of its indebtedness; or (b) if in respect of any Singapore Credit Party, (i) the value of its assets is  less than its liabilities (taking into account contingent and prospective liabilities); or (ii) a moratorium is declared in  respect of any of its indebtedness.          (e)     Declared  Company.   A  Singapore  Credit  Party  is  declared  by  the  Minister  for  Finance  to  be  a  company to which Part IX of the Companies Act, Chapter 50 of Singapore applies.          (f)     Hong  Kong  Insolvency.   (i)  Any  Hong  Kong  Credit  Party  is  or  is  presumed  or  deemed  to  be  unable or admits inability to  pay  its debts as they  fall due, suspends making payments on any of its debts or, by  reason of actual or anticipated financial difficulties, commences negotiations with one or more of its creditors with a  view to rescheduling any of its indebtedness; or (ii) the value of the assets of any Hong Kong Credit Party is less  than  its  liabilities  (taking  into  account  contingent  and  prospective  liabilities)  or  (iii)  a  moratorium  is  declared  in  respect of any indebtedness of any Hong Kong Credit Party.          (g)     Hong Kong Insolvency Proceedings.  Any corporate action, legal proceedings or other procedure  or  step  is  taken  in  relation  to:  (i)  the  suspension  of  payments,  a  moratorium  of  any  indebtedness,  winding-up,  dissolution,  administration,  provisional  supervision  or  reorganisation  (by  way  of  voluntary  agreement,  scheme  of  arrangement or otherwise) of any Hong Kong Credit Party; (ii) a composition or arrangement with any creditor of  any  Hong  Kong  Credit  Party,  or  any  assignment  for  the  benefit  of  creditors  generally  of  any  Hong  Kong  Credit  Party or class of such creditors; (iii) the appointment of a liquidator, receiver, administrator, administrative receiver,  compulsory manager, provisional supervisor or other similar officer in respect of any Hong Kong Credit Party or  any of its assets; or (iv) enforcement of any Lien over any assets of any Hong Kong Credit Party, or any analogous  procedure or step is taken in any jurisdiction.  Clause (i) of this Section 11.05(g) shall not apply to any winding-up  petition which is frivolous or vexatious and is discharged, stayed or dismissed within 60 days of commencement.          Section 11.06 ERISA; Foreign Pension Plans.  (i) An ERISA Event has occurred with respect to a Plan  or Multiemployer Plan which has resulted or would reasonably be expected to result in a Material Adverse Effect;  (ii) there is or arises Unfunded Pension Liability which has resulted or would reasonably be expected to result in a  Material Adverse Effect, (iii) a Foreign Pension Plan or a Canadian Pension Plan has failed to comply with, or be  funded  in  accordance  with,  applicable  law  which  has  resulted  or  would  reasonably  be  expected  to  result  in  a  Material Adverse Effect, (iv) the Lead Borrower or any of its Restricted Subsidiaries has incurred any obligation in  connection with the termination of, or withdrawal from, any Foreign Pension Plan that, in each case, has resulted or  would reasonably be expected to result in a Material Adverse Effect, or (v) a Canadian Pension Event has occurred  that has resulted or would reasonably be expected to result in a Material Adverse Effect.          Section 11.07 Security Documents.  Any of the Security Documents shall cease to be in full force and  effect, or shall cease to give the applicable Collateral Agent for the benefit of the Secured Creditors the Liens, rights,  powers and privileges purported to be created thereby (including, without limitation (to the extent provided therein),  a perfected (or the equivalent with respect to Foreign Credit Parties under applicable law) security interest, to the  extent required by the Credit Documents, in, and Lien on, a material portion of the Collateral or a material portion of  the Revolver Priority Collateral (in each case, other than as a result of the failure of the applicable Collateral Agent  to file continuation statements or the failure of the applicable Collateral Agent or the collateral agent under the Term  Loan Credit Agreement to maintain possession of possessory collateral delivered to it), in favor of the applicable  Collateral Agents, superior to and prior to the rights of all third Persons (except as permitted by Section 10.01), and  subject to no other Liens (except as permitted by Section 10.01)); or          Section 11.08 Credit Agreement; Guaranty.            (a)     Credit  Agreement.   This  Agreement  or  any  provision  thereof  shall  cease  to  be  in  full  force  or  effect as to any Credit Party, or any Credit Party or any Person acting for or on behalf of such Credit Party shall  deny or disaffirm in writing such Credit Party’s obligations under this Agreement; or          (b)     Guaranty.  Any Guaranty or any provision thereof shall cease to be in full force or effect as to any  Guarantor (other than a Guarantor otherwise qualifying as an Immaterial Subsidiary, whether or not so designated),  or any Guarantor or any Person acting for or on behalf of such Guarantor shall deny or disaffirm in writing such                                                 -182- 

 

  Guarantor’s obligations under the Guaranty to which it is a party or any Guarantor (other than a Guarantor otherwise  qualifying  as  an  Immaterial  Subsidiary,  whether  or  not  so  designated)  shall  default  in  the  due  performance  or  observance of any term, covenant or agreement on its part to be performed or observed pursuant to the Guaranty to  which it is a party; or          Section 11.09 Judgments.  One or more judgments or decrees shall be entered against Holdings, the Lead  Borrower or any Restricted Subsidiary (other than any Immaterial Subsidiary) of the Lead Borrower involving in the  aggregate for Holdings, the Lead Borrower and its Restricted Subsidiaries (other than any Immaterial Subsidiary) a  liability or liabilities (not paid or fully covered (other than to the extent of any deductible) by a reputable and solvent  insurance company  with  respect  to judgments  for the  payment  of  money) and such judgments and  decrees  either  shall be final and non-appealable or shall not be vacated, discharged or stayed or bonded pending appeal for any  period of 60 consecutive days, and the aggregate amount of all such judgments and decrees (to the extent not paid or  fully  covered  (other  than  to  the  extent  of  any  deductible)  by  such  insurance  company)  equals  or  exceeds  the  Threshold Amount; or          Section 11.10 Change of Control.  A Change of Control shall occur;    then  and  in  any  such  event,  and  at  any  time  thereafter,  if  any  Event  of  Default  shall  then  be  continuing,  the  Administrative  Agent,  upon  the  written  request  of  the  Required  Lenders,  shall  by  written  notice  to  the  Lead  Borrower, take any or all of the following actions, without prejudice to the rights of the Administrative Agent, any  Lender or the holder of any Note to enforce its claims against any Credit Party (provided that, if an Event of Default  specified in Section 11.05 shall occur  with respect to the  Lead Borrower, the result  which would occur  upon the  giving  of  written  notice  by  the  Administrative  Agent  as  specified  in  clauses  (i)  and  (ii)  below  shall  occur  automatically  without  the  giving  of  any  such  notice):   (i)  declare  the  Aggregate  Commitments  terminated,  whereupon all Commitments of each Lender shall forthwith terminate immediately; (ii) declare the principal of and  any accrued interest in respect of all Loans and the Notes and all Obligations owing hereunder and thereunder to be,  whereupon the same shall become, forthwith due and payable without presentment, demand, protest or other notice  of any kind, all of which are hereby waived by each Credit Party; (iii) enforce, or instruct the applicable Collateral  Agents to enforce, all of the Liens and security interests created pursuant to the Security Documents; (iv) enforce  each  Guaranty,  (v)  terminate,  reduce  or  condition  any  Revolving  Commitment,  or  make  any  adjustment  to  any  Borrowing Base and (vi) require the Credit Parties to Cash Collateralize LC Obligations, and, if the Credit Parties  fail  promptly  to  deposit  such  Cash  Collateral,  the  Administrative  Agent  may  (and  shall  upon  the  direction  of  Required Lenders) advance the required Cash Collateral as Revolving Loans (whether or not an Overadvance exists  or is created thereby, or the conditions in Section 7.01 are satisfied).          Section 11.11 Application  of  Funds.   After  the  exercise  of  remedies  provided  for  above  (or  after  the  Loans  have  automatically  become  immediately  due  and  payable  and  the  LC  Exposure  has  automatically  been  required to be Cash Collateralized as set forth above):                   (a)    any  amounts  received  on  account  of  the  Obligations  (other  than  proceeds  of  the         Collateral)  shall,  subject  to  the  provisions  of  Sections  2.11  and  2.13(j),  be  applied  ratably  by  the         Administrative Agent, separately in respect of each Subfacility, in the following order:                         First,  to  the  payment  of  all  reasonable  costs  and  out-of-pocket  expenses,  fees,                 commissions  and  taxes  of  such  sale,  collection  or  other  realization,  if  any,  including,  without                 limitation, compensation to the Administrative Agent and its agents and counsel, and all expenses,                 liabilities and advances made or incurred by the Administrative Agent in connection therewith;                         Second, to the payment of all other reasonable costs and out-of-pocket expenses of such                 sale, collection or other realization including, without limitation, costs and expenses and all costs,                 liabilities and advances made or incurred by the other Secured Creditors in connection therewith                 (other than in respect of Secured Bank Product Obligations);                         Third, in the case of  the U.S. Subfacility only,  to  interest then due and  payable on the                 U.S. Borrowers’ Swingline Loans;                                                  -183- 

 

                                 Fourth,  (x)  in  the  case  of  the  U.S.  Subfacility  only,  to  the  principal  balance  of  the          Swingline Loans outstanding until the same has been prepaid in full and (y) the principal balance          of Protective Advances outstanding, until paid in full;                  Fifth,  to  interest  then  due  and  payable  on  Revolving  Loans  and  other  amounts  due          pursuant to Sections 3.01, 3.02 and 5.01;                  Sixth,  to  Cash  Collateralize  all  LC  Exposures  (to  the  extent  not  otherwise  Cash          Collateralized pursuant to the terms hereof) plus any accrued and unpaid interest thereon;                  Seventh,  to  the  principal  balance  of  Revolving  Borrowings  then  outstanding  and  all          Obligations on account of Noticed Hedges with Secured Creditors, pro rata;                  Eighth, to all other Obligations pro rata; and                  Ninth, the balance, if any, as required by the Intercreditor Agreement or any Additional          Intercreditor Agreement or, in the absence of any such requirement, to the Person lawfully entitled          thereto (including the applicable Credit Party or its successors or assigns).           Notwithstanding  the  foregoing,  (a)  no  amounts  shall  be  applied  to  any  FILO  Subfacility  at  any  time  when  Obligations  remain  outstanding  under  any  other  Subfacility,  and  (b)  in  no  event  will  any  amounts  received  from  a  Foreign  Credit  Party  be  applied  to  any  such  amounts  with  respect  to  the  U.S.  FILO Subfacility or the U.S. Subfacility.           Amounts used to Cash Collateralize the aggregate undrawn amount of Letters of Credit pursuant  to clause Sixth above shall be applied to satisfy drawings under such Letters of Credit as they occur.  If any  amount remains on deposit as Cash Collateral after all Letters of Credit have either been fully drawn or  expired,  such  remaining  amount  shall  be  applied  to  the  other  Obligations,  if  any,  in  the  order  set  forth  above.  Amounts distributed with respect to any Secured Bank Product Obligations shall be the lesser of the  maximum  Secured  Bank  Product  Obligations  last  reported  to  the  Administrative  Agent  or  the  actual  Secured Bank Product Obligations as calculated by the methodology reported to the Administrative Agent  for  determining  the  amount  due.   The  Administrative  Agent  shall  have  no  obligation  to  calculate  the  amount  to  be  distributed  with  respect  to  any  Secured  Bank  Product  Obligations,  and  may  request  a  reasonably detailed calculation of such amount from the applicable Secured Creditor.  If a Secured Creditor  fails  to  deliver  such  calculation  within  five  days  following  request  by  the  Administrative  Agent,  the  Administrative Agent may assume the amount to be distributed is zero.           In the event that any such proceeds are insufficient to pay in full the items described in clauses  First  through  Eighth  of  this  Section  11.11(a),  the  Credit  Parties  shall  remain  liable  for  any  deficiency.   Notwithstanding  the  foregoing  provisions,  this  Section  11.11(a)  is  subject  to  the  provisions  of  the  Intercreditor Agreement and any Additional Intercreditor Agreement.           (b)    any  proceeds  of  U.S.  Collateral  received  by  the  Administrative  Agent  shall  be  applied  ratably in the following order:                  First,  to  the  payment  of  all  reasonable  costs  and  out-of-pocket  expenses,  fees,          commissions and taxes of such sale, collection or other realization including, without limitation,          compensation to the Administrative Agent and its agents and counsel, and all expenses, liabilities          and advances made or incurred by the Administrative Agent in connection therewith due from the          U.S. Borrowers;                  Second, to the payment of all other reasonable costs and out-of-pocket expenses of such          sale, collection or other realization including, without limitation, costs and expenses and all costs,          liabilities and advances made or incurred by the other Secured Creditors in connection therewith                                           -184- 

 

                  (other than in respect of Secured Bank Product Obligations or the Guaranty by the U.S. Borrowers  of the Obligations of the Foreign Credit Parties) due from the U.S. Borrowers;          Third, to interest then due and payable on the Lead Borrower’s Swingline Loan;          Fourth,  to  the  principal  balance  of  the  Swingline  Loan  and  U.S.  Protective  Advances  outstanding until the same has been prepaid in full;          Fifth, to interest then due and payable on Revolving Loans under the U.S. Subfacility and  other amounts due pursuant to Sections 3.01, 3.02 and 5.01;          Sixth,  to  Cash  Collateralize  all  LC  Exposures  (to  the  extent  not  otherwise  Cash  Collateralized pursuant to the terms hereof) plus any accrued and unpaid interest thereon;          Seventh,  to  the  principal  balance  of  Revolving  Borrowings  under  the  U.S.  Subfacility  then outstanding and all Obligations of  the U.S.  Borrowers  on account of Noticed  Hedges  with  Secured Creditors, pro rata;          Eighth,  to  the  payment  of  all  reasonable  costs  and  out-of-pocket  expenses,  fees,  commissions and taxes of such sale, collection or other realization including, without limitation,  compensation to the Administrative Agent and its agents and counsel, and all expenses, liabilities  and advances made or incurred by the Administrative Agent in connection therewith due from the  Foreign Credit Parties;          Ninth, to the payment of all  other reasonable costs and out-of-pocket expenses of such  sale, collection or other realization including, without limitation, costs and expenses and all costs,  liabilities and advances made or incurred by the other Secured Creditors in connection therewith  (other than in respect of Secured Bank Product Obligations) due from the Foreign Credit Parties;          Tenth,  to  the  principal  balance  of  Protective  Advances  under  each  Foreign  Primary  Subfacility outstanding until the same has been prepaid in full;          Eleventh,  to  interest  then  due  and  payable  on  Revolving  Loans  under  each  Foreign  Primary Subfacility and other amounts due pursuant to Sections 3.01, 3.02 and 5.01;          Twelfth,  to  the  principal  balance  of  Revolving  Borrowings  under  the  Foreign  Primary  Subfacilities  then  outstanding  and  all  Obligations  of  the  Foreign  Credit  Parties  on  account  of  Noticed Hedges with Secured Creditors, pro rata;          Thirteenth, to interest  then  due and payable on  U.S. FILO Loans under the  U.S.  FILO  Subfacility, and other amounts due pursuant to Sections 3.01, 3.02 and 5.01;          Fourteenth, to the principal balance of U.S. FILO Loans under the U.S. FILO Subfacility  then outstanding;          Fifteenth,  to  interest  then  due  and  payable  on  Canadian  FILO  Loans  made  to  the  Canadian Borrowers and other amounts due pursuant to Sections 3.01, 3.02 and 5.01;           Sixteenth,  to  the  principal  balance  of  Canadian  FILO  Loans  made  to  the  Canadian  Borrowers then outstanding;           Seventeenth, to all other Obligations pro rata; and                                   -185- 

 

                        Eighteenth,  the  balance,  if  any,  as  required  by  the  Intercreditor  Agreement  or  any                 Additional  Intercreditor  Agreement  or,  in  the  absence  of  any  such  requirement,  to  the  Person                 lawfully entitled thereto (including the applicable Credit Party or its successors or assigns).                  In the event that any such proceeds are insufficient to pay in full the items described in clauses         First through Seventeenth of this Section 11.11(b), the Credit Parties shall remain liable for any deficiency.          Notwithstanding  the  foregoing  provisions,  this  Section  11.11(b)  is  subject  to  the  provisions  of  the         Intercreditor Agreement and any Additional Intercreditor Agreement.                  (c)    any proceeds of Foreign Collateral received by the Administrative Agent shall be applied         ratably in the order specified in clauses Eighth through Twelfth and Fifteenth through Eighteenth of clause         (b) above; provided that in no event will any amounts received from a Foreign Credit Party be applied to         any such amounts with respect to the U.S. FILO Subfacility or the U.S. Subfacility.          Excluded Swap Obligations with respect to any Guarantor shall not be paid with amounts received from  such Guarantor or its assets, but appropriate adjustments shall be made with respect to payments from other Credit  Parties to preserve the allocation to Obligations otherwise set forth above in this Section 11.11.          ARTICLE 12     The Administrative Agent.          Section 12.01 Appointment and Authorization.          (a)     Each of the Lenders hereby irrevocably appoints JPMCB to act on its behalf as the Administrative  Agent  hereunder  and  under  the  other  Credit  Documents  and  authorizes  the  Administrative  Agent  to  take  such  actions on its behalf and to exercise such powers as are delegated to the Administrative Agent by the terms hereof or  thereof, together with such actions and powers as are reasonably incidental thereto.  The provisions of this Article 12  (other  than  Sections  12.08,  12.10  and  12.11)  are  solely  for  the  benefit  of  the  Administrative  Agent,  the  Issuing  Banks and the Lenders, and neither the Lead Borrower nor any other Credit Party shall have rights as a third party  beneficiary of any of such provisions.          (b)     Each of the Lenders (on behalf of itself and its Affiliates, including in its capacity as Secured Bank  Product Provider) hereby irrevocably appoints and authorizes each Collateral Agent (including the Administrative  Agent in its capacity as U.S. Collateral Agent, European Collateral Agent and German Collateral Agent) to act as  the  agent  and,  to  the  extent  relevant,  security  trustee  of  such  Lender  hereunder  and  under  the  other  Credit  Documents for purposes of acquiring, holding and enforcing any and all Liens on Collateral granted by any Credit  Party to secure any of the Obligations, together with such powers and discretion as are reasonably incidental thereto,  it being understood that the provisions of this Article 12 apply to the Collateral Agents in their capacity as such and  references to Administrative Agent in the rest of this Article 12 shall be interpreted accordingly to include references  to each Collateral Agent (including in any Collateral Agent’s capacity as trustee of any trust  under the Security  Documents).   Each  Collateral  Agent  and  any  co-agents,  sub-agents  and  attorneys-in-fact  appointed  by  the  Administrative Agent or applicable Collateral Agent pursuant to Section 12.02 for purposes of holding or enforcing  any  Lien  on  the  Collateral  (or  any  portion  thereof)  granted  under  the  Security  Documents,  or  for  exercising  any  rights and remedies thereunder at the direction of the Administrative Agent, shall be entitled to the benefits of all  provisions  of  this  Article  12  and  Article  13  (including  Section 13.01,  as  though  such  co-agents,  sub-agents  and  attorneys-in-fact were the “Collateral Agent” or “security trustee” under the Credit Documents) as if set forth in full  herein with respect thereto.  Without limiting the generality of the foregoing, the Lenders hereby expressly authorize  the Administrative Agent and/or each Collateral Agent to execute any and all documents (including releases) with  respect to the Collateral and the rights of the Guaranteed Creditors with respect thereto, as contemplated by and in  accordance with the provisions of this Agreement and the Security Documents and acknowledge and agree that any  such action by any Agent shall bind the Lenders.          (c)     The Lenders hereby authorize the Administrative Agent and each applicable Collateral Agent to  enter  into  the  Intercreditor  Agreements,  any  Additional  Intercreditor  Agreement,  any  Pari  Passu  Intercreditor  Agreement  (to  the  extent  requested  by  the  applicable  Pari  Passu  Representative)  and  any  other  intercreditor  agreement or arrangement or supplement thereto permitted under this Agreement without any further consent by any  Lender and any such intercreditor agreement shall be binding upon the Lenders.                                                 -186- 

 

         Section 12.02 Delegation of Duties.  The Administrative Agent may perform any and all of its duties and  exercise its rights and powers hereunder or under any other Credit Document by or through any one or more sub- agents appointed by the Administrative Agent.  The Administrative Agent and any such sub-agent may perform any  and  all  of  its  duties  and  exercise  its  rights  and  powers  by  or  through  their  respective  Related  Parties.   The  exculpatory  provisions  of  this  Article  12  shall  apply  to  any  such  sub-agent  and  to  the  Related  Parties  of  the  Administrative Agent and any such sub-agent, and shall apply to their respective activities in connection with the  syndication of the credit facilities provided for herein as well as activities as Administrative Agent.          Section 12.03 Exculpatory  Provisions.   The  Administrative  Agent  shall  not  have  any  duties  or  obligations  except  those  expressly  set  forth  herein  and  in  the  other  Credit  Documents.   Without  limiting  the  generality of the foregoing, the Administrative Agent:                  (a)    shall  not  be  subject  to  any  fiduciary  or  other  implied  duties,  regardless  of  whether  a         Default has occurred and is continuing;                  (b)    shall  not  have  any  duty  to  take  any  discretionary  action  or  exercise  any  discretionary         powers,  except  discretionary  rights  and  powers  expressly  contemplated  hereby  or  by  the  other  Credit         Documents  that  the  Administrative  Agent  is  required  to  exercise  as  directed  in  writing  by  the  Required         Lenders (or such other number or percentage of the Lenders as shall be expressly provided for herein or in         the  other  Credit  Documents); provided  that  the  Administrative  Agent  shall  not  be  required  to  take  any         action that, in its opinion or the opinion of its counsel, may expose the Administrative Agent to liability or         that is contrary to any Credit Document or applicable law;                  (c)    shall  not, except  as expressly set  forth  herein  and in the other Credit  Documents, have         any duty to disclose, and shall not be liable for the failure to disclose, any information relating to the Lead         Borrower  or  any  of  its  Affiliates  that  is  communicated  to  or  obtained  by  the  Person  serving  as  the         Administrative Agent or any of its Affiliates in any capacity;                  (d)    shall  not  be  liable  to  any  Lender  for  any  action  taken  or  not  taken  by  it  (i)  with  the         consent or at the request of the Required Lenders (or such other number or percentage of the Lenders as         shall be necessary, or as the Administrative Agent shall believe in good faith shall be necessary, under the         circumstances  as  provided  in  Article  11  and  Section  13.12)  or  (ii)  in  the  absence  of  its  own  gross         negligence,  bad  faith  or  willful  misconduct.   The  Administrative  Agent  shall  be  deemed  not  to  have         knowledge of any Default  unless and until notice describing such  Default is given to the Administrative         Agent by the Lead Borrower or a Lender; and                  (e)    shall not be responsible for or have any duty to ascertain or inquire into (i) any statement,         warranty or representation made in or in connection with this Agreement or any other Credit Document, (ii)         the contents of any certificate, report or other document delivered hereunder or thereunder or in connection         herewith  or  therewith,  (iii)  the  performance  or  observance  of  any  of  the  covenants,  agreements  or  other         terms  or  conditions  set  forth  herein  or  therein  or  the  occurrence  of  any  Default,  (iv)  the  validity,         enforceability,  effectiveness  or  genuineness  of  this  Agreement,  any  other  Credit  Document  or  any  other         agreement,  instrument  or  document,  or  the  creation,  perfection  or  priority  of  any  Lien  purported  to  be         created by the Security Documents, (v) the value or the sufficiency of any Collateral, or (vi) the satisfaction         of any condition set forth in Articles 6A or 6B or elsewhere herein, other than to confirm receipt of items         expressly required to be delivered to the Administrative Agent.          Section 12.04 Reliance  by  Administrative  Agent.   The  Administrative  Agent  shall  be  entitled  to  rely  upon,  and  shall  not  incur  any  liability  for  relying  upon,  any  notice,  request,  certificate,  consent,  statement,  instrument, document or other  writing (including any electronic  message, Internet or intranet  website posting or  other  distribution)  believed  by  it  to  be  genuine  and  to  have  been  signed,  sent  or  otherwise  authenticated  by  the  proper Person.  The Administrative Agent also may rely upon any statement made to it orally or by telephone and  believed  by  it  to  have  been  made  by  the  proper  Person, and  shall  not  incur  any  liability  for  relying  thereon.   In  determining compliance with any condition hereunder to the making of a Loan, that by its terms must be fulfilled to  the  satisfaction  of  a  Lender,  the  Administrative  Agent  may  presume  that  such  condition  is  satisfactory  to  such  Lender unless the  Administrative  Agent  shall  have received notice to the contrary  from  such  Lender  prior to the                                                 -187- 

 

  making  of  such  Loan.   The  Administrative  Agent  may  consult  with  legal  counsel  (who  may  be  counsel  for  the  Borrowers), independent accountants and other experts selected by it, and shall not be liable, in the absence of its  own gross negligence, bad faith or willful misconduct in selecting such counsel, accountants or other experts, for  any action taken or not taken by it in accordance with the advice of any such counsel, accountants or experts.          Section 12.05 No Other Duties, Etc.  Anything herein to the contrary notwithstanding, none of the Lead  Arrangers or the Documentation Agent shall have any powers, duties or responsibilities under this Agreement or any  of  the  other  Credit  Documents,  except  in  its  capacity,  as  applicable,  as  the  Administrative  Agent  or  a  Lender  hereunder.          Section 12.06 Non-reliance  on  Administrative  Agent  and  Other  Lenders.   Each  Lender  acknowledges  that it has, independently and without reliance upon the Administrative Agent or any other Lender or any of their  Related Parties  and based on  such  documents and  information as  it  has deemed  appropriate, made its own credit  analysis and decision to enter into this Agreement.  Each Lender also acknowledges that it will, independently and  without reliance upon the Administrative Agent or any other Lender or any of their Related Parties and based on  such documents and information as it shall from time to time deem appropriate, continue to make its own decisions  in  taking  or  not  taking  action  under  or  based  upon  this  Agreement,  any  other  Credit  Document  or  any  related  agreement or any document furnished hereunder or thereunder.          Section 12.07 Indemnification by the Lenders.  To the extent that the Borrowers for any reason fail to  pay any amount required under Section 13.01(a) to be paid by them to the Administrative Agent or any Collateral  Agent (or any sub-agent thereof), or any Related Party of any of the foregoing, each Lender severally agrees to pay  to the Administrative Agent or any Collateral Agent (or any such sub-agent) or such Related Party, as the case may  be, such  Lender’s pro rata share (based on the amount of then outstanding  Loans  held by each Lender or, if the  Loans have been repaid in full, based on the amount of outstanding Loans held by each Lender immediately prior to  such  repayment  in  full)  of  (determined  as  of  the  time  that  the  applicable  unreimbursed  expense  or  indemnity  payment is  sought) of  such  unpaid amount; provided  that  the  unreimbursed  expense  or  indemnified  loss,  claim,  damage,  liability  or  related  expense,  as  the  case  may  be,  was  incurred  by  or  asserted  against  the  Administrative  Agent or any Collateral Agent (or any such sub-agent) in its capacity as such, or against any Related Party of any of  the  foregoing acting  for the  Administrative  Agent  or  any  Collateral  Agent (or any  such sub-agent)  in connection  with such capacity.  For the avoidance of doubt, this Section 12.07 does not expand or limit any obligation of any  Credit Party under this Agreement.          Section 12.08 Rights as a Lender.  The Person serving as the Administrative Agent hereunder shall have  the same rights and powers in its capacity as a Lender as any other Lender and may exercise the same as though it  were not the Administrative Agent and the term “Lender” or “Lenders” shall, unless otherwise expressly indicated  or  unless  the context otherwise  requires, include the  Person serving  as the  Administrative  Agent  hereunder in  its  individual capacity.  Such Person and its Affiliates may accept deposits from, lend money to, own securities of, act  as the financial advisor or in any other advisory capacity for and generally engage in any kind of business with the  Lead  Borrower  or  any  Subsidiary  or  other  Affiliate  thereof  as  if  such  Person  were  not  the  Administrative  Agent  hereunder and without any duty to account therefor to the Lenders.          Section 12.09 Administrative Agent May File Proofs of Claim; Credit Bidding.  In case of the pendency  of any proceeding under any Debtor Relief Law or any other judicial proceeding relative to any Credit Party, the  Administrative  Agent  (irrespective  of  whether  the  principal  of  any  Loan  or  LC  Exposure  shall  then  be  due  and  payable as herein expressed or by declaration or otherwise and irrespective of whether the Administrative Agent  shall have made any demand on the Borrowers) shall be entitled and empowered, by intervention in such proceeding  or otherwise:                  (a)    to file and prove a claim for the whole amount of the principal and interest owing and         unpaid in respect of the Loans, LC Exposure and all other Obligations that are owing and unpaid and to file         such other documents as may be necessary or advisable in order to have the claims of the Lenders, the         Issuing  Banks  and  the  Administrative  Agent  (including  any  claim  for  the  reasonable  compensation,         expenses, disbursements and advances of the Lenders, the Issuing Banks and the Administrative Agent and         their  respective  agents  and  counsel  and  all  other  amounts  due  the  Lenders,  the  Issuing  Banks  and  the         Administrative Agent under Sections 4.01 and 13.01) allowed in such judicial proceeding; and                                                 -188- 

 

                 (b)    to collect and receive any monies or other property payable or deliverable on any such         claims and to  distribute the same; and  any custodian, receiver,  assignee, trustee, liquidator, sequestrator,         judicial  manager,  or  other  similar  official  in  any  such  judicial  proceeding  is  hereby  authorized  by  each         Lender  and  each  Issuing  Bank  to  make  such  payments  to  the  Administrative  Agent  and,  if  the         Administrative Agent shall consent to the making of such payments directly to the Lenders and the Issuing         Banks,  to  pay  to  the  Administrative  Agent  any  amount  due  for  the  reasonable  compensation,  expenses,         disbursements and advances of the Administrative Agent and its agents and counsel, and any other amounts         due the Administrative Agent under Sections 4.01 and 13.01.          Nothing contained herein shall be deemed to authorize the Administrative Agent to authorize or consent to  or accept or adopt on behalf of any Lender or any Issuing Bank any plan of reorganization, arrangement, adjustment  or  composition  affecting  the  Obligations  or  the  rights  of  any  Lender  or  any  Issuing  Bank  to  authorize  the  Administrative Agent to vote in respect of the claim of any Lender or any Issuing Bank or in any such proceeding.          The  Secured  Creditors  hereby  irrevocably  authorize  the  Administrative  Agent,  at  the  direction  of  the  Required  Lenders,  to  credit  bid  all  or  any  portion  of  the  Obligations  (including  accepting  some  or  all  of  the  Collateral in satisfaction of some or all of the Obligations pursuant to a deed in lieu of foreclosure or otherwise) and  in  such  manner  purchase  (either  directly  or  through  one  or  more  acquisition  vehicles)  all  or  any  portion  of  the  Collateral  (a)  at  any  sale  thereof  conducted  under  the  provisions  of  the  Bankruptcy  Code  of the  United  States,  including under Sections 363, 1123 or 1129 of the Bankruptcy Code of the United States, or any similar laws in any  other jurisdictions to which a Credit Party is subject or (b) at any other sale or foreclosure or acceptance of collateral  in  lieu  of  debt  conducted  by  (or  with  the  consent  or  at  the  direction  of)  the  Administrative  Agent  (whether  by  judicial action  or otherwise) in accordance  with  any applicable law.  In connection  with any such credit  bid and  purchase, the Obligations owed to the Secured Creditors shall be entitled to be, and shall be, credit bid on a ratable  basis  (with  Obligations  with  respect  to  contingent  or  unliquidated  claims  receiving  contingent  interests  in  the  acquired assets on a ratable basis that would vest upon the liquidation of such claims in an amount proportional to  the  liquidated  portion  of  the  contingent  claim  amount  used  in  allocating  the  contingent  interests)  in  the  asset  or  assets so purchased (or in the Equity Interests or debt instruments of the acquisition vehicle or vehicles that are used  to consummate such purchase).  In connection with any such bid (i) the Administrative Agent shall be authorized to  form  one  or  more  acquisition  vehicles  to  make  a  bid,  (ii)  the  Administrative  Agent  shall  be  authorized  to  adopt  documents  providing  for  the  governance  of  the  acquisition  vehicle  or  vehicles  (provided that any actions by the  Administrative Agent with respect to such acquisition vehicle or vehicles, including any disposition of the assets or  Equity Interests thereof shall be governed, directly or indirectly, by the vote of the Required Lenders, irrespective of  the termination of this Agreement and without giving effect to the limitations on actions by the Required Lenders  contained  in  clauses  (a)(i)  through  (a)(vii)  of  Section  13.12  of  this  Agreement),  and  (iii)  to  the  extent  that  Obligations that are assigned to an acquisition vehicle are not used to acquire Collateral for any reason (as a result of  another bid being higher or better, because the amount of Obligations assigned to the acquisition vehicle exceeds the  amount  of  debt  credit  bid  by  the  acquisition  vehicle  or  otherwise),  such  Obligations  shall  automatically  be  reassigned to the Lenders pro rata and the Equity Interests and/or debt instruments issued by any acquisition vehicle  on  account  of  the  Obligations  that  had  been  assigned  to  the  acquisition  vehicle  shall  automatically  be  cancelled,  without the need for any Secured Creditor or any acquisition vehicle to take any further action.          Section 12.10 Resignation of the Agents.          (a)     The Administrative Agent (including as Collateral Agent) and any Collateral Agent may at any  time give notice of its resignation to the Lenders and the Borrowers.  Upon receipt of any such notice of resignation,  the Required Lenders shall have the right, with the Lead Borrower’s consent (other than during the existence of an  Event of Default under Section 11.01 or 11.05), to appoint a successor, which shall be a bank with an office in the  United States, or an  Affiliate of any such bank  with an office in the United States  or,  in the case of a Collateral  Agent, such other third party providing agency services as may be acceptable to the Required Lenders and consented  to by the Lead Borrower (other than during the existence of an Event of Default under Section 11.01 or 11.05).  If no  such successor shall have been so appointed by the Required Lenders (and consented to by the Lead Borrower, to  the  extent  so  required)  and  shall  have  accepted  such  appointment  within  30 days  after  such  retiring  Agent  gives  notice  of  its  resignation,  then  such  retiring  Agent  may,  with  the  Lead  Borrower’s  consent  (other  than  during  the  existence of an Event of Default under Section 11.01 or 11.05), on behalf of the Lenders, appoint a successor Agent  meeting the qualifications set forth above; provided that if the Administrative Agent shall notify the Borrowers and                                                 -189- 

 

  the Lenders that no qualifying Person has accepted such appointment within such period, then such resignation shall  nonetheless become effective in accordance with such notice and (a) such retiring Agent shall be discharged from its  duties  and obligations hereunder and under the other Credit  Documents (except  that in  the case of any  collateral  security held by such retiring Agent on behalf of the Lenders under any of the Credit Documents, then such retiring  Agent  shall  continue  to  hold  such  collateral  security  solely  for  purposes  of  maintaining  the  Secured  Creditors’  security interest thereon until such time as a successor Agent is appointed) and (b) all payments, communications  and determinations provided to be made by, to or through such retiring Agent shall instead be made by or to each  Lender directly, until such time as the Required Lenders (with the consent of the Lead Borrower, to the extent so  required)  appoint  a  successor  Agent  as  provided  for  above  in  this  Section  12.10.   Upon  the  acceptance  of  a  successor’s appointment hereunder (which, in the case of any third party providing services as a Collateral Agent  hereunder may require the entry into such customary documentation reasonably satisfactory to the Lead Borrower as  such third party provider shall require, including without limitation in certain jurisdictions a security trust deed or  similar arrangement), such successor shall succeed to and become vested with all of the rights, powers, privileges  and duties of such retiring Agent, and such retiring Agent shall be discharged from all of its duties and obligations  hereunder  or  under  the  other  Credit  Documents  (if  not  already  discharged  therefrom  as  provided  above  in  this  Section  12.10).   After  such  retiring  Agent’s  resignation  hereunder  and  under  the  other  Credit  Documents,  the  provisions of this Article 12 and Section 13.01 shall continue in effect for the benefit of such retiring Agent, its sub- agents and their respective Related Parties in respect of any actions taken or omitted to be taken by any of them  while such retiring Agent was acting as an Agent hereunder.          (b)     Any  resignation  by  JPMCB  as  administrative  agent  pursuant  to  this  Section  12.10  shall  also  constitute its resignation as lender of the Swingline Loans to the extent that JPMCB is acting in such capacity at  such time.  Upon the acceptance of a successor’s appointment as Administrative Agent hereunder, (i) such successor  shall succeed to and become vested with all of the rights, powers, privileges and duties of the retiring lender of the  Swingline Loans and (ii) the retiring lender of the Swingline Loans shall be discharged from all of its duties and  obligations hereunder or under the other Credit Documents.          Section 12.11 Collateral Matters and Guaranty Matters.          (a)     The  Lenders  and  the  Issuing  Banks  irrevocably  authorize  the  Administrative  Agent  and  the  Collateral Agents, as applicable (and subject to the provisions of the Intercreditor Agreement and any  Additional  Intercreditor Agreement),                   (i)   to release any Lien on any property granted to or held by the Collateral Agents under any         Credit  Document  (A)  upon  termination  of  the  Aggregate  Commitments  and  payment  in  full  of  all         Obligations (other than (i) contingent indemnification obligations and expense reimbursement obligations         which are not then due and payable and (ii) Secured Bank Product Obligations except to the extent then due         and  payable  and  then  entitled  to  payment  in  accordance  with  Section  11.11)  and  the  expiration  or         termination  of  all  Letters  of  Credit  (unless  Cash  Collateralized  or  backstopped  on  terms  reasonably         satisfactory to the Administrative Agent), (B) that is sold or to be sold as part of or in connection with any         sale permitted hereunder or under any other Credit Document to a Person that is not a Credit Party, (C)         subject to Section 13.12, if approved, authorized or ratified in writing by the Required Lenders, (D) that         constitutes “Excluded Collateral” (as such term is defined in the applicable Security Document), (E) if the         property  subject  to  such  Lien  is  owned  by  a  Subsidiary  Borrower  or  Subsidiary  Guarantor,  subject  to         Section  13.12,  upon  release  of  such  Subsidiary  Borrower  or  Subsidiary  Guarantor  from  its  obligations         under this Agreement and the applicable Guaranty Agreements pursuant to clause (ii) below, or (F) in the         case of any Australian Credit Party, Singapore Credit Party or UK Credit Party, to release any property         (other than any Collateral of the type that would constitute Revolver Priority Collateral if such Non-U.S.         Credit Parties were party to the Intercreditor Agreement) at the request of the Lead Borrower in connection         with any Lien permitted by Section 10.01, provided that it is agreed that none of the Administrative Agent         or the Collateral Agents shall be obliged to agree to such request if such Agent reasonably determines that         such release would reasonably be expected to negatively impact the protections or remedies of the Secured         Creditors, generally in their capacities as secured creditors of such Credit Party, under the relevant Security         Documents;                                                  -190- 

 

                 (ii)   to (x) release any Subsidiary Borrower from its obligations under this Agreement or any         Subsidiary Guarantor from its obligations under the applicable Guaranty Agreements if such Person ceases         to be a Restricted Subsidiary or, in the case of a Subsidiary Guarantor that is a Wholly-Owned Domestic         Subsidiary, becomes an Excluded Subsidiary, in each case as a result of a transaction permitted hereunder;         provided, that (i) no Credit Party will dispose of a minority interest in any Subsidiary Guarantor for the         primary purpose of releasing such Subsidiary Guarantor from its obligations under the Credit Documents as         determined by the Lead Borrower in good faith and (ii) the release of any Subsidiary Guarantor from its         obligations under the Guaranty Agreement if such Subsidiary Guarantor becomes an Excluded Subsidiary         as  a  result  of  becoming  a  non-Wholly-Owned  Subsidiary  shall  only  be  permitted  if,  at  the  time  such         Guarantor becomes a non-Wholly-Owned Subsidiary, after giving pro forma effect to such release and the         consummation of the transaction that causes such Person to become a non-Wholly-Owned Subsidiary, the         Lead Borrower is deemed to have made a new Investment in such Person for purposes of Section 10.05 (as         if such Person were then newly acquired) in an amount equal to the portion of the fair market value of the         net assets of such Person attributable to the Lead Borrower’s equity interest therein as estimated by the         Lead Borrower in good faith and such Investment is permitted pursuant to Section 10.05 at such time, or         (y) in the case of any Subsidiary Borrower or Subsidiary Guarantor under any Subfacility other than the         U.S.  Subfacility  and  the  U.S.  FILO  Subfacility,  to  release  such  Subsidiary  Borrower  or  Subsidiary         Guarantor  in  the  event  the  Commitments  in  respect  of  the  applicable  Subfacility  are  terminated  in  full         hereunder at the option of the Lead Borrower;                 (iii)   at the request of the Lead Borrower, to subordinate any Lien on any property (other than         any assets included in the Borrowing Base) granted to or held by the Collateral Agents or Administrative         Agent under any Credit Document to the holder of any Lien on such property that is permitted by Sections         10.01(iv)(y), (vi), (xiv), (xxxviii), (xlii) or (xliii) or any other Lien that is permitted by Section 10.01 to be         senior  to  the  Lien  securing  the  Obligations  or  to  release  any  Lien  securing  the  Obligations  upon  the         incurrence of any Lien permitted by Section 10.01 with respect to specified assets (other than any assets         included in the Borrowing Base) if the Lien securing the Obligations is not allowed by the documentation         creating such Lien or related documentation; and                  (iv)   to,  without  the  input  or  consent  of  the  other  Lenders,  (1)  negotiate  the  form  of  any         Mortgage  or  other  Security  Document  as  may  be  necessary  or  appropriate  in  the  opinion  of  the         Administrative  Agent  and  the  Lead  Borrower  (x)  in  connection  with  any  Additional  Inventory  Security         Action, or (y) to otherwise comply with this Agreement, and (2) execute, deliver and perform any new         Security Document or intercreditor agreement or amendment to any  Security Document or intercreditor         agreement or enter into any amendment to the Security Documents or intercreditor agreement as may be         necessary or appropriate in the opinion of the Administrative Agent and the Lead Borrower.          (b)     Upon  request  by  the  Administrative  Agent  or  any  Collateral  Agent  at  any  time,  the  Required  Lenders  will  confirm  in  writing  the  Administrative  Agent’s  or  the  Collateral  Agents’,  as  applicable,  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 12.11.  In each case as specified in this Section 12.11, the  Administrative Agent will (and each Lender irrevocably authorizes the Administrative Agent to), at the Borrower’s  expense,  execute and  deliver to the applicable Credit Party  such documents  as  such  Credit  Party  may  reasonably  request to evidence the release of such item of Collateral from the assignment and security interest granted under the  Security Documents or to subordinate its interest in such item, or to release such Guarantor from its obligations  under the Guaranty, in each case in accordance with the terms of the Credit Documents and this Section 12.11.          Section 12.12 Bank Product Providers.  Each Secured Bank Product Provider, by delivery of a notice to  the  Administrative  Agent  of  such  agreement,  agrees  to  be  bound  by  this  Article  12.   Each  such  Secured  Bank  Product  Provider  shall  indemnify  and  hold  harmless  the  Administrative  Agent  and  the  Collateral  Agents,  to  the  extent  not  reimbursed  by  the  Credit  Parties,  against  all  claims  that  may  be  incurred  by  or  asserted  against  the  Administrative  Agent  and  the  Collateral  Agents  in  connection  with  such  provider’s  Secured  Bank  Product  Obligations.          Section 12.13 Withholding  Taxes.   To  the  extent  required  by  any  applicable  law,  the  Administrative  Agent may withhold from any payment to any Lender an amount equivalent to any applicable withholding Tax.  If                                                 -191- 

 

  the Internal Revenue Service or any other authority of the United States or other jurisdiction asserts a claim that the  Administrative Agent did not properly withhold Tax from amounts paid to or for the account of any Lender for any  reason (including, without limitation, because the appropriate form was not delivered or not properly executed, or  because  such  Lender  failed  to  notify  the  Administrative  Agent  of  a  change  in  circumstance  that  rendered  the  exemption  from,  or  reduction  of  withholding  Tax  ineffective),  such  Lender  shall,  within  10  days  after  written  demand  therefor,  indemnify  and  hold  harmless  the  Administrative  Agent  (to  the  extent  that  the  Administrative  Agent  has  not  already  been  reimbursed  by  any  Credit  Party  pursuant  to  Section  5.01  and  without  limiting  or  expanding  the  obligation  of  any  Credit  Party  to  do  so)  for  all  amounts  paid,  directly  or  indirectly,  by  the  Administrative Agent as Taxes or otherwise, together with all expenses incurred, including legal expenses and any  other out-of-pocket expenses, whether or not such Tax was correctly or legally imposed or asserted by the relevant  Governmental Authority.  A certificate as to the amount of such payment or liability delivered to any Lender by the  Administrative Agent shall be conclusive absent manifest error.  Each Lender hereby authorizes the Administrative  Agent to set off and apply any and all amounts at any time owing to such Lender under this Agreement or any other  Credit Document against any amount due the Administrative Agent under this Section 12.13.  The agreements in  this Section 12.13 shall survive the resignation and/or replacement of the Administrative Agent, any assignment of  rights by, or the replacement of, a Lender and the repayment, satisfaction or discharge of all other Obligations.          Section 12.14 Solidary  Interests/Quebec  Liens  (Hypothecs).   For  the  purposes  of  holding  any  security  granted  by  any  Canadian  Credit  Party  pursuant  to  the  laws  of  the  Province  of  Quebec,  each  Lender  and  Agent  hereby irrevocably  appoints and  authorizes  the  Administrative  Agent  to  act as  the  hypothecary representative (in  such capacity, the “Hypothecary Representative”) for all present and future Secured Creditors as contemplated under  Article 2692 of the Civil Code of Québec, and to enter into, to take and to hold on its behalf, and for its benefit, any  hypothec, and to exercise such powers and duties that are conferred upon the Hypothecary Representative under any  hypothec.  The  Hypothecary  Representative  shall:  (a)  have  the  sole  and  exclusive  right  and  authority  to  exercise,  except as may be otherwise specifically restricted by the terms hereof, all rights and remedies given to it pursuant to  any  hypothec, pledge,  applicable laws or otherwise, (b) benefit from and  be subject to all  provisions  hereof  with  respect to the Administrative Agent mutatis mutandis, including, without limitation, all such provisions with respect  to the liability or responsibility to and indemnification by the Lenders, and (c) be entitled to delegate from time to  time any of its powers or duties under any hypothec or pledge on such terms and conditions as it may determine  from time to time. Any person who becomes a Lender shall, by its execution of an Assignment and Assumption, be  deemed to have consented to and confirmed the Administrative Agent as the hypothecary representative as aforesaid  and to have ratified, as of the date it becomes a Lender, all actions taken by the Hypothecary Representative in such  capacity.  The  substitution  of  the  Administrative  Agent  pursuant  to  the  provisions  of  this  Article  12  shall  also  constitute the substitution of the Hypothecary Representative. To the extent necessary or useful, the parties hereby  waive  the  application  of  Section  32  of  the  Act  respecting  the  special  powers  of  legal  persons  (Québec),  and  of  Articles 1310 and 2147 of the Civil Code of Québec.          Section 12.15 Parallel Debt.           (a)     Each Canadian Credit Party, Asian Credit Party, French Credit Party, German Credit Party and  European Credit Party (for the purpose of this Section 12.15, the “Non-U.S. Credit Parties”) hereby irrevocably and  unconditionally  undertakes  (and  to  the  extent  necessary  undertakes  in  advance)  to  pay  to  the  German  Collateral  Agent  amounts  equal  to  any  amounts  owing  from  time  to  time  by  such  Non-U.S.  Credit  Party  to  any  Secured  Creditors  under  this  Agreement  and  any  other  Credit  Document  as  and  when  those  amounts  are  due  under  any  Credit Document (such payment undertakings under this Section 12.15 and the obligations and liabilities resulting  therefrom being the “Parallel Debt”).          (b)     The  German  Collateral  Agent  shall  have  its  own  independent  right  to  demand  payment  of  the  Parallel  Debt  by  each  Non-U.S.  Credit  Party.  Each  Non-U.S.  Credit  Party  and  the  German  Collateral  Agent  acknowledges that the obligations of each Non-U.S. Credit Party under this Section 12.15 are several, separate and  independent (selbständiges  Schuldanerkenntnis) from, and shall not in any way limit or affect, the corresponding  obligations  of  each  Non-U.S.  Credit  Party  to  any  Secured  Creditor  under  this  Agreement  or  any  other  Credit  Document (the “Corresponding Debt”) nor shall the amounts for which each Non-U.S. Credit Party are liable under  this Section 12.15 be limited or affected in any way by its Corresponding Debt provided that: (i) the Parallel Debt  shall be decreased to the extent that the Corresponding Debt has been irrevocably paid or discharged (other than, in  each case, contingent obligations); (ii) the Corresponding Debt shall be decreased to the extent that the Parallel Debt                                                 -192- 

 

  has been irrevocably paid or discharged; (iii) the amount of the Parallel Debt shall at all  times be equal to the  amount  of  the  Corresponding  Debt;  (iv)  the  Parallel  Debt  will  be  payable  in  the  currency  or  currencies  of  the  Corresponding Debt; and (v) for the avoidance of doubt, the Parallel Debt will become due and payable at the same  time when the Corresponding Debt becomes due and payable.          (c)     The security granted under any German Security Document with respect to the Parallel Debt is  granted to the German Collateral Agent in its capacity as sole creditor of the Parallel Debt.          (d)     Without limiting or affecting the German  Collateral Agent’s rights against any Non-U.S. Credit  Party  (whether  under  this  Agreement  or  any  other  Credit  Document),  each  Non-U.S.  Credit  Party  acknowledges  that: (i) nothing in this Agreement shall impose any obligation on the German Collateral Agent to advance any sum  to any Non-U.S. Credit Party or otherwise under any Credit Document; and (ii) for the purpose of any vote taken  under  any  Credit  Document,  the  German  Collateral  Agent  shall  not  be  regarded  as  having  any  participation  or  commitment other that those which it has in its capacity as a Lender.          (e)     The  Parallel  Debt  shall  remain  effective  in  case  a  third  person  should  assume  or  be  entitled,  partially or in whole, to any rights of any of the Secured Creditors under any Credit Documents, be it by virtue of  assignment, assumption or otherwise.          (f)     All monies received or recovered by the German Collateral Agent pursuant to this Agreement and  all  amounts  received  or  recovered  by  the  German  Collateral  Agent  from  or  by  the  enforcement  of  any  security  granted to secure the Parallel Debt shall be applied in accordance with this Agreement.          Section 12.16 Administration of Security granted pursuant to German Security Documents. In relation to  the German Security Documents the following additional provisions shall apply:          (a)     The German Collateral Agent, with respect to the part of the Collateral secured pursuant to the  German  Security Documents or any other Collateral created under German law (“German  Collateral”), shall: (i)  hold,  administer  and  realise  such  German  Collateral  that  is  transferred  or  assigned  by  way  of  security  (Sicherungseigentum/Sicherungsabtretung) or otherwise granted to it and is creating or evidencing a non-accessory  security right (nicht akzessorische Sicherheit) in its own name as trustee (Treuhänder) for the benefit of the Secured  Creditors; and (ii) hold, administer, and realise any such German Collateral that is pledged (verpfändet) or otherwise  transferred to the German Collateral Agent and is creating or evidencing an accessory security right (akzessorische  Sicherheit) as agent.          (b)     With  respect  to  the  German  Collateral,  each  Secured  Creditor  hereby  authorizes  and  grants  a  power of attorney, and each future Secured Creditor by becoming a party to this Agreement authorizes, and grants a  power of attorney (Vollmacht) to the German Collateral Agent (whether or not by or through employees or agents)  to: (i) accept as its representative (Stellvertreter) any pledge or other creation of any accessory security right granted  in favor of such Secured Creditors in connection with the German Security Documents and to agree to and execute  on  its  behalf  as  its  representative  (Stellvertreter)  any  amendments  and/or  alterations  to  any  German  Security  Documents or any other agreement related to such German Collateral which creates a pledge or any other accessory  security right (akzessorische Sicherheit) including the release or confirmation of release of such security; (ii) execute  on behalf of itself and the Secured Creditors where relevant and without the need for any further referral to, or  authority  from,  the  Secured  Creditors  or  any  other  person  all  necessary  releases  of  any  such  German  Collateral  secured  under  the  German  Security  Documents  or  any  other  agreement  related  to  such  German  Collateral;  (iii)  realise such Collateral in accordance with the German Security Documents or any other agreement securing such  German Collateral; (iv) make, receive all declarations and statements and undertake all other necessary actions and  measures  which  are  necessary  or  desirable  in  connection  with  such  German  Collateral  or  the  German  Security  Documents or any other agreement securing the German Collateral; (v) take such action on its behalf as may from  time to time be authorized under or in accordance with the German Security Documents; and (vi) exercise such  rights,  remedies,  powers  and  discretions  as  are  specifically  delegated  to  or  conferred  upon  the  Secured  Creditors  under  the  German  Security  Documents  together  with  such  powers  and  discretions  as  are  reasonably  incidental  thereto.                                                   -193- 

 

         (c)     Each of the Secured Creditors agrees that, if the courts of Germany do not recognize or give effect  to the trust expressed to be created by this Agreement or any German Security Document, the relationship of the  Secured Creditors to the German Collateral Agent shall be construed as one of principal and agent but, to the extent  permissible under the laws of Germany, all the other provisions of this Agreement shall have full force and effect  between the parties hereto.          Each Secured Creditor hereby ratifies and approves, and each future Secured Creditor by becoming a party  to this Agreement ratifies and approves, all acts and declarations previously done by the German Collateral Agent  on such person’s behalf (including for the avoidance of doubt the declarations made by the German Collateral Agent  as  representative  without  power  of  attorney  (Vertreter  ohne  Vertretungsmacht)  in  relation  to  the  creation  of  any  pledge (Pfandrecht) on behalf and for the benefit of each Secured Creditor as future pledgee or otherwise).          Section 12.17 Certain ERISA Matters.          (a)     Each Lender (x) represents and warrants, as of the date such Person became a Lender party hereto,  to, and (y) covenants, from the date such Person became a Lender party hereto to the date such Person ceases being  a Lender party hereto, for the benefit of, the Administrative Agent and not, for the avoidance of doubt, to or for the  benefit of any Borrower or any other Credit Party, that at least one of the following is and will be true:                   (i)   such Lender is not using “plan assets” (within the meaning of 29 CFR § 2510.3 101, as         modified by Section 3(42) of ERISA or otherwise) of one or more Benefit Plans in connection with such         Lender’s  entrance  into,  participation  in,  administration  of  and  performance  of  the  Loans,  the  Letters  of         Credit, the Commitments or this Agreement,                  (ii)   the prohibited transaction exemption set forth in one or more PTEs, such as PTE 84-14 (a         class exemption for certain transactions determined by independent qualified professional asset managers),         PTE 95-60 (a class exemption for certain transactions involving insurance company general accounts), PTE         90-1 (a class exemption for certain transactions involving insurance company pooled separate accounts),         PTE 91-38 (a class exemption for certain transactions involving bank collective investment funds) or PTE         96-23  (a  class  exemption  for  certain  transactions  determined  by  in-house  asset  managers),  is  applicable,         and  the  applicable  requirements  of  such  exemption  are  satisfied,  with  respect  to  such  Lender’s  entrance         into,  participation  in,  administration  of  and  performance  of  the  Loans,  the  Letters  of  Credit,  the         Commitments and this Agreement,                 (iii)   (A)  such  Lender  is  an  investment  fund  managed  by  a  “Qualified  Professional  Asset         Manager” (within the meaning of Part VI of PTE 84-14), (B) such Qualified Professional Asset Manager         made the investment decision on behalf of such Lender to enter into, participate in, administer and perform         the Loans, the Letters of Credit, the Commitments and this Agreement, (C) the entrance into, participation         in,  administration  of  and  performance  of  the  Loans,  the  Letters  of  Credit,  the  Commitments  and  this         Agreement satisfies the requirements of sub-sections (b) through (g) of Part I of PTE 84-14 and (D) to the         best knowledge of such Lender, the requirements of subsection (a) of Part I of PTE 84-14 are satisfied with         respect to such Lender’s entrance into, participation in, administration of and performance of the Loans, the         Letters of Credit, the Commitments and this Agreement, or                  (iv)   such  other representation,  warranty and covenant as  may  be agreed  in  writing between         the Administrative Agent, in its sole discretion, and such Lender.          (b)     In addition, unless either (1) sub-clause (i) in the immediately preceding clause (a) is true with  respect to a Lender or (2) a Lender has provided another representation, warranty and covenant in accordance with  sub-clause (iv) in the immediately preceding clause (a), such Lender further (x) represents and warrants, as of the  date such Person became a Lender party hereto, and (y) covenants, from the date such Person became a Lender party  hereto to the date such Person ceases being a Lender party hereto, for the benefit of, the Administrative Agent and  not,  for  the  avoidance  of  doubt,  to  or  for  the  benefit  of  any  Borrower  or  any  other  Credit  Party,  that  the  Administrative Agent is not a fiduciary with respect to the assets of such Lender involved in such Lender’s entrance  into, participation in, administration of and performance of the Loans, the Letters of Credit, the Commitments and                                                  -194- 

 

  this Agreement (including in connection with the reservation or exercise of any rights by the Administrative Agent  under this Agreement, any Credit Document or any documents related hereto or thereto).          ARTICLE 13     Miscellaneous.          Section 13.01 Payment of Expenses, etc.          (a)     The  Credit  Parties  hereby  jointly  and  severally  agree,  from  and  after  the  Amendment  No.  5  Effective Date, to:  (i) pay all reasonable invoiced out-of-pocket costs and expenses of the Agents and Issuing Banks  (limited, in the case of legal expenses, to the reasonable fees and disbursements of one primary counsel to all Agents  and Issuing Banks and, if reasonably necessary, one local counsel in any relevant jurisdiction (which may include a  single  firm  of  counsel  acting  in  multiple  jurisdictions))  in  connection  with  (x)  the  preparation,  execution  and  delivery of this Agreement and the other Credit Documents and the documents and instruments referred to herein  and  therein,  (y)  the  administration  hereof  and  thereof  and  any  amendment,  waiver  or  consent  relating  hereto  or  thereto  (whether  or  not  effective)  and  (z)  their  syndication  efforts  with  respect  to  this  Agreement;  (ii)  pay  all  reasonable  invoiced  out-of-pocket  costs  and  expenses  of  the  Agents,  each  Lender  and  each  Issuing  Bank  in  connection  with  the  enforcement  of  this  Agreement  and  the  other  Credit  Documents  and  the  documents  and  instruments  referred  to  herein  and  therein  or  in  connection  with  any  refinancing  or  restructuring  of  the  credit  arrangements  provided  under  this  Agreement  in  the  nature  of  a  “work-out”  or  pursuant  to  any  insolvency  or  bankruptcy proceedings (limited, in the case of legal expenses, to one primary counsel to all Agents, Lenders and  Issuing Banks to be retained  by the  Administrative  Agent  and, if  reasonably necessary,  one local counsel in any  relevant jurisdiction (which may include a single firm of counsel acting in multiple jurisdictions)  and, in the case of  an actual or perceived conflict of interest where any Indemnified Person affected by such conflict informs the Lead  Borrower  of  such  conflict,  of  a  single  additional  firm  of  counsel  for  all  similarly  situated  affected  Indemnified  Persons) and (iii) indemnify each Agent and each Lender, each Issuing Bank and their respective Affiliates, and the  officers,  directors,  employees,  agents,  trustees,  representatives  and  investment  advisors  of  each  of  the  foregoing  (each,  an  “Indemnified  Person”)  from  and  hold  each  of  them  harmless  against  any  and  all  liabilities,  obligations  (including  removal  or  remedial  actions),  losses,  damages,  penalties,  claims,  actions,  judgments,  suits,  costs,  expenses and disbursements (including reasonable attorneys’ and consultants’ fees and disbursements) incurred by,  imposed on or assessed against any of them as a result of, or arising out of, or in any way related to, or by reason of,  (a) any investigation, litigation or other proceeding (whether or not any Agent, any Issuing Bank or any Lender is a  party thereto and whether or not such investigation, litigation or other proceeding is brought by or on behalf of any  Credit Party) related to the entering into and/or performance of this Agreement or any other Credit Document or the  proceeds  of  any  Loans  hereunder  or  the  consummation  of  the  Amendment  No.  5  Transactions  or  any  other  transactions contemplated herein or in any other Credit Document or the exercise of any of their rights or remedies  provided herein or in the other Credit Documents, or (b) the actual or alleged presence of Hazardous Materials in the  Environment relating in any way to any Real Property owned, leased or operated, at any time, by the Lead Borrower  or  any  of  its  Subsidiaries;  the  generation,  storage,  transportation,  handling,  Release  or  threat  of  Release  of  Hazardous Materials by the Lead Borrower or any of its Subsidiaries at any location, whether or not owned, leased  or operated by the Lead Borrower or any of its Subsidiaries; the non-compliance by the Lead Borrower or any of its  Subsidiaries with any Environmental Law (including applicable permits thereunder) applicable to any Real Property;  or any Environmental Claim asserted against the Lead Borrower, any of its Subsidiaries or relating in any way to  any Real Property at any time owned, leased or operated by the Lead Borrower or any of its Subsidiaries, including,  in each case, without limitation, the reasonable fees and disbursements of counsel and other consultants incurred in  connection  with  any  such  investigation,  litigation  or  other  proceeding,  in  all  cases,  whether  or  not  caused  by  or  arising, in whole or in part, out of the comparative, contributory or sole negligence of the Indemnified Person (but  excluding in each case (and each Indemnified Person, by accepting the benefits hereof, agrees to promptly refund or  return any indemnity received hereunder to the extent it is later determined by a final, non-appealable judgment of a  court of competent jurisdiction that such Indemnified Person is not entitled thereto) any losses, liabilities, claims,  damages or expenses (i) to the extent incurred by reason of the gross negligence, bad faith or willful misconduct of  the  applicable  Indemnified  Person,  any  Affiliate  of  such  Indemnified  Person  or  any  of  their  respective  directors,  officers, employees, representatives, agents, Affiliates, trustees or investment advisors, (ii) to the extent incurred by  reason  of  any  material  breach  of  the  obligations  of  such  Indemnified  Person  under  this  Agreement  or  the  other  Credit Documents (in the case of each of preceding clauses (i) and (ii), as determined by a court of competent  jurisdiction in a final and non-appealable decision) or (iii) that do not involve or arise from an act or omission by the  Lead Borrower or Guarantors or any of their respective affiliates and is brought by an Indemnified Person (other                                                 -195- 

 

  than claims against any Agent solely in its capacity as such or in its fulfilling such role)).  To the extent that the  undertaking to indemnify, pay or hold harmless any Agent, any Issuing Bank or any Lender or other Indemnified  Person set forth in the preceding sentence may be unenforceable because it is violative of any law or public policy,  the Credit Parties shall make the maximum contribution to the payment and satisfaction of each of the indemnified  liabilities which is permissible under applicable law.  This Section 13.01(a) shall not apply with respect to Taxes  other than Taxes that represent liabilities, obligations, losses, damages, etc. arising from a non-Tax claim.          (b)     No Agent or any Indemnified Person shall be responsible or liable to any Credit Party or any other  Person for (x) any determination made by it pursuant to this Agreement or any other Credit Document in the absence  of  gross  negligence,  bad  faith  or  willful  misconduct  on  the  part  of  such  Indemnified  Person  (in  each  case,  as  determined by a court of competent jurisdiction in a final and non-appealable judgment) or (y) any damages arising  from the use by others of information or other materials obtained through electronic, telecommunications or other  information transmission systems.          (c)     No party  hereto (and no Indemnified Person or any Subsidiary or  Affiliate of Holdings or the  Borrower) shall be responsible to any other party hereto (or any Indemnified Person or any Subsidiary or Affiliate of  Holdings  or  the  Borrower)  for  any  indirect,  special,  exemplary,  incidental,  punitive  or  consequential  damages  (including, without limitation, any loss of profits, business or anticipated savings) which may be alleged as a result  of this Agreement or any other Credit Document or the financing contemplated hereby; provided that nothing in this  Section 13.01(c) shall limit the Credit Parties’ indemnity obligations to the extent that such indirect, special, punitive  or consequential damages are included in any claim by a third party unaffiliated with any Indemnified Person with  respect to which the applicable Indemnified Person is entitled to indemnification under Section 13.01(a).          Section 13.02 Right of Set-off.          (a)     In addition to any rights now or hereafter granted under applicable law or otherwise, and not by  way of limitation of any such rights, upon the occurrence and during the continuance of an Event of Default, the  Administrative Agent, each Issuing Bank and each Lender is hereby authorized at any time or from time to time,  without presentment, demand, protest or other notice of any kind to any Credit Party or to any other Person, any  such notice being hereby expressly waived, to set off and to appropriate and apply any and all deposits (general or  special) (other than accounts used exclusively for payroll, payroll taxes, fiduciary and trust purposes, and employee  benefits) and any other Indebtedness at any time held or owing by the Administrative Agent, such Issuing Bank or  such Lender (including, without limitation, by branches and agencies of the Administrative Agent or such Lender  wherever located) to or for the credit or the account of the Lead Borrower or any of its Subsidiaries against and on  account of the Obligations and liabilities of the Credit Parties to the Administrative Agent, such Issuing Bank or  such  Lender under this Agreement or under any of the other Credit Documents, including, without limitation, all  claims of any nature or description arising out of or connected with this Agreement or any other Credit Document,  irrespective of  whether or not  the  Administrative  Agent, such  Issuing  Bank  or  such  Lender shall have  made any  demand  hereunder  and  although  said  Obligations,  liabilities  or  claims,  or  any  of  them,  shall  be  contingent  or  unmatured.   Notwithstanding  the  foregoing,  no  set  off  or  application  of  assets  of  Foreign  Credit  Parties  may  be  applied to any amounts with respect to the U.S. FILO Subfacility or the U.S. Subfacility.          (b)     NOTWITHSTANDING  THE  FOREGOING  SUBSECTION  (a),  AT  ANY  TIME  THAT  THE  LOANS  OR  ANY  OTHER  OBLIGATION  SHALL  BE  SECURED  BY  REAL  PROPERTY  LOCATED  IN  CALIFORNIA,  NO  ISSUING  BANK  OR  LENDER  SHALL  EXERCISE  A  RIGHT  OF  SET-OFF,  LIEN  OR  COUNTERCLAIM  OR  TAKE  ANY  COURT  OR  ADMINISTRATIVE  ACTION  OR  INSTITUTE  ANY  PROCEEDING  TO  ENFORCE  ANY  PROVISION  OF  THIS  AGREEMENT  OR  ANY  NOTE  UNLESS  IT  IS  TAKEN  WITH  THE  CONSENT  OF  THE  REQUIRED  LENDERS  OR  APPROVED  IN  WRITING  BY  THE  ADMINISTRATIVE  AGENT,  IF  SUCH  SET-OFF  OR  ACTION  OR  PROCEEDING  WOULD  OR  MIGHT  (PURSUANT  TO  CALIFORNIA  CODE  OF  CIVIL  PROCEDURE  SECTIONS  580a,  580b,  580d  AND  726  OF  THE CALIFORNIA CODE OF CIVIL PROCEDURE OR SECTION 2924 OF THE CALIFORNIA CIVIL CODE,  IF  APPLICABLE,  OR  OTHERWISE)  AFFECT  OR  IMPAIR  THE  VALIDITY,  PRIORITY  OR  ENFORCEABILITY  OF  THE  LIENS  GRANTED  TO  THE  COLLATERAL  AGENTS  PURSUANT  TO  THE  SECURITY  DOCUMENTS  OR  THE  ENFORCEABILITY  OF  THE  NOTES  AND  OTHER  OBLIGATIONS  HEREUNDER, AND ANY ATTEMPTED EXERCISE BY ANY ISSUING BANK OR ANY LENDER OF ANY  SUCH  RIGHT  WITHOUT  OBTAINING  SUCH  CONSENT  OF  THE  REQUIRED  LENDERS  OR  THE                                                 -196- 

 

  ADMINISTRATIVE AGENT SHALL BE NULL AND VOID.  THIS SUBSECTION (b) SHALL BE SOLELY  FOR THE BENEFIT OF EACH ISSUING BANK, EACH OF THE LENDERS AND THE ADMINISTRATIVE  AGENT HEREUNDER.          Section 13.03 Notices.          (a)     Except as otherwise expressly provided herein, all notices and other communications provided for  hereunder  shall  be  in  writing  (including  telegraphic,  telex,  telecopier,  cable  communication  or  electronic  transmission) and mailed, telegraphed, telexed, telecopied, cabled, delivered or transmitted:  if to any Credit Party,  c/o  Vertiv  Group  Corporation,  1050  Dearborn  Drive,  Columbus,  OH  43085,  Attention:  Lynne  Maxeiner,  Vice  President, Global Treasury and Investor Relations; if to any Lender, at its address specified on Schedule 13.03 or in  writing to the Administrative Agent; and if to the Administrative Agent, at the Notice Office, and in connection with  the Asian Subfacility, to JPMorgan Chase Bank, N.A. Hong Kong Branch, One @ Changi City, 1 Changi Business  Park Central 1 Floor 9, Singapore 486036 Telephone Number: +65 6801 3720 / +65 6801 3973, Fax Number: +65  67224022, Email: loan.agency.services.asia@jpmorgan.com, Attn: Loan Agency Services Asia; or, as to any Credit  Party or the Administrative Agent, at such other address as shall be designated by such party in a written notice to  the other parties hereto and, as to each Lender, at such other address as shall be designated by such Lender in its  Administrative Questionnaire.          (b)     Notices  and  other  communications  to  the  Lenders  hereunder  may  be  delivered  or  furnished  by  electronic  communications  pursuant  to  procedures  approved  by  the  Administrative  Agent; provided  that  the  foregoing  shall  not  apply  to  notices  pursuant  to  Article  2  unless  otherwise  agreed  by  the  Administrative  Agent.   Each of the Administrative Agent, the Lead Borrower or Holdings 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.          (c)     Notices and other communications sent to an e-mail address shall be deemed received upon the  sender’s  receipt  of  an  acknowledgement  from  the  intended  recipient  (such  as  by  the  “return  receipt  requested”  function, as available, return e-mail or other written acknowledgement), 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; provided that, for both clauses (i) and (ii) above, if such notice, e-mail  or other communication is not sent during the normal business hours of the recipient, such notice or communication  shall be deemed to have been sent at the opening of business on the next Business Day for the recipient.          Section 13.04 Benefit of Agreement; Assignments; Participations, etc.          (a)     The  provisions  of  this  Agreement  shall  be  binding  upon  and  inure  to  the  benefit  of  the  parties  hereto and their respective successors and assigns permitted hereby (including any Affiliate of any Issuing Bank that  issues  any  Letter  of  Credit),  except  that  (i) no  Borrower  may  assign  or  otherwise  transfer  any  of  its  rights  or  obligations hereunder without the prior written consent of each Lender (and any attempted assignment or transfer by  a  Borrower  without  such  consent  shall  be  null  and  void)  and  (ii) no  Lender  may  assign  or  otherwise  transfer  its  rights or obligations hereunder except in accordance with this Section 13.04.  Nothing in this Agreement, expressed  or implied, shall be construed to confer upon any Person (other than the parties hereto, their respective successors  and  assigns  permitted  hereby  (including  any  Affiliate  of  any  Issuing  Bank  that  issues  any  Letter  of  Credit),  Participants (to the extent provided in paragraph (c) of this Section 13.04) and, to the extent expressly contemplated  hereby, the Related Parties of each of the Administrative Agent, the Issuing Banks and the Lenders) any legal or  equitable right, remedy or claim under or by reason of this Agreement.          (b)     (i)  Subject to the conditions set forth in paragraph (b)(ii) below, any Lender may assign to one or  more Eligible Transferees all or a portion of its rights and obligations under this  Agreement (including all or a  portion of its Commitment, participations in Letters of Credit and the Loans at the time owing to it) with the prior  written consent (such consent not to be unreasonably withheld) of:                  (A)    the Lead Borrower; provided that, the Lead Borrower shall be deemed to have consented         to an assignment unless it shall have objected thereto by written notice to the Administrative Agent within                                                 -197- 

 

                  ten (10) Business Days after having received notice thereof; provided that no consent of the Lead Borrower  shall be required for an assignment to a Lender, an Affiliate of a Lender, an Approved Fund or, if an Event  of Default has occurred and is continuing under Section 11.01 or 11.05, any other Eligible Transferee;           (B)    the Administrative Agent; provided that no consent of the Administrative Agent shall be  required for an assignment to a Lender, an Affiliate of a Lender or an Approved Fund;           (C)    each applicable Issuing Bank (solely for the assignment that increases the obligations of  the assignees to participate in exposure under one or more Letters of Credit (whether or not outstanding));  and           (D)    the Swingline Lender, in the case of assignments of the U.S. Subfacility.   (ii)   Assignments shall be subject to the following additional conditions:           (A)    except  in  the  case  of  an  assignment  to  a  Lender  or  an  Affiliate  of  a  Lender  or  an  assignment of the entire remaining amount of the assigning Lender’s Commitment or Loans of any Class,  the  amount  of  the  Commitment  or  Loans  of  the  assigning  Lender  subject  to  each  such  assignment  (determined as of the date the Assignment and Assumption with respect to such assignment is delivered to  the  Administrative  Agent)  shall  not  be  less  than  $5,000,000  unless  each  of  the  Lead  Borrower  and  the  Administrative  Agent  otherwise  consent;  provided  that  no  such  consent  of  the  Lead  Borrower  shall  be  required if an Event of Default has occurred and is continuing under Section 11.01 or 11.05;           (B)    each partial assignment shall be made as an assignment of a proportionate part of all the  assigning  Lender’s  rights  and  obligations  under  this  Agreement;  provided  that  this  clause  shall  not  be  construed  to  prohibit  the  assignment  of  a  proportionate  part  of  all  the  assigning  Lender’s  rights  and  obligations in respect of Commitments or Loans of a single class;            (C)    [reserved];           (D)    the parties to each assignment shall execute and deliver to the Administrative Agent (x)  an Assignment and Assumption or (y) to the extent applicable, an agreement incorporating an Assignment  and Assumption by reference pursuant to a Platform as to which the Administrative Agent and the parties  to  the  Assignment  and  Assumption  are  participants,  together  with  the  payment  by  the  assignee  of  a  processing and recordation fee of $3,500;            (E)    any assignee (other than an Approved Fund) shall be a French Authorized Lender in the  case of an assignment of French Revolving Commitments or French Revolving Loans, a French Authorized  Issuing Bank in the case of an assignment of LC Exposure with respect to any Letter of Credit issued for  the  account of or  benefit of any  French  Subsidiary, and an Irish Authorized  LC Issuer in the case  of an  assignment of LC Exposure with respect to any Letter of Credit issued for the account of or benefit of any  Irish Subsidiary;            (F)    no assignment of an interest under the French Subfacility shall be effected to an assignee  incorporated,  domiciled,  established  or  acting  in  all  or  in  part  through  an  office  in  a  Non-Cooperative  Jurisdiction, without the prior written consent of the Lead Borrower; and           (G)    the assignee, if it shall not be a Lender, shall deliver to the Administrative Agent an  Administrative Questionnaire in  which the assignee designates one or more credit contacts to whom all  syndicate-level information (which  may contain  material non-public information about the Credit Parties  and their related parties or their respective securities) will be made available and who may receive such  information  in  accordance  with  the  assignee’s  compliance  procedures  and  applicable  laws,  including  Federal and state securities laws.                                           -198- 

 

         (iii)  Subject to acceptance and recording thereof pursuant to clause (b)(iv) below, from and after the  effective date specified in each Assignment and Assumption the assignee thereunder shall be a party hereto and, to  the extent of the interest assigned by such Assignment and Assumption, have the rights and obligations of a Lender  under  this  Agreement,  and  the  assigning  Lender  thereunder  shall,  to  the  extent  of  the  interest  assigned  by  such  Assignment  and  Assumption,  be  released  from  its  obligations  under  this  Agreement  (and,  in  the  case  of  an  Assignment  and  Assumption  covering  all  of  the  assigning  Lender’s  rights  and  obligations  under  this  Agreement,  such Lender shall cease to be a party hereto but shall continue to be entitled to the benefits of Sections 3.01, 3.02,  5.01 and 13.01).  Any assignment or transfer by a Lender of rights or obligations under this Agreement that does not  comply  with  this  Section 13.04  shall  be  treated  for  purposes  of  this  Agreement  as  a  sale  by  such  Lender  of  a  participation in such rights and obligations in accordance with clause (c) below.          (iv)   The Administrative Agent, acting for this purpose as a non-fiduciary agent of the Borrowers, shall  maintain  at  one  of  its  offices  a  copy  of  each  Assignment  and  Assumption  delivered  to  it  and  a  register  for  the  recordation of the names and addresses of the Lenders, and the Commitment of, and principal amount (and related  interest) of the Loans and LC Disbursements owing to, each Lender pursuant to the terms hereof from time to time  (the  “Register”).   The  entries  in  the  Register  shall  be  conclusive  absent  manifest  error,  and  the  Borrowers,  the  Administrative  Agent,  the  Issuing  Banks  and  the  Lenders  shall  treat  each  Person  whose  name  is  recorded  in  the  Register pursuant  to  the  terms hereof  as  a  Lender  hereunder for all purposes  of  this  Agreement, notwithstanding  notice to the contrary.  The Register shall be available for inspection by the Borrowers, any Lender, as to its own  positions only, and any Issuing Bank, at any reasonable time and from time to time upon reasonable prior notice.           (v)   Upon its receipt of (x) a duly completed Assignment and Assumption executed by an assigning  Lender and an assignee or (y) to the extent applicable, an agreement incorporating an Assignment and Assumption  by reference pursuant to a Platform as to which the Administrative Agent and the parties to the Assignment and  Assumption  are  participants,  the  assignee’s  completed  Administrative  Questionnaire  (unless  the  assignee  shall  already be a Lender hereunder), the processing and recordation fee referred to in this clause (b) and any written  consent to such assignment required by this clause (b), the Administrative Agent shall accept such Assignment and  Assumption  and  record  the  information  contained  therein  in  the  Register; provided  that  if  either  the  assigning  Lender or the assignee shall have failed to make any payment required to be made by it pursuant to this Agreement,  the  Administrative  Agent  shall  have  no  obligation  to  accept  such  Assignment  and  Assumption  and  record  the  information therein in the Register unless and until such payment shall have been made in full, together with all  accrued  interest  thereon.   No  assignment  shall  be  effective  for  purposes  of  this  Agreement  unless  it  has  been  recorded in the Register as provided in this clause (v).          (c)     Any  Lender  may,  without  the  consent  of  any  Borrower,  the  Administrative  Agent,  the  Issuing  Banks or the Swingline Lenders, sell participations to one or more Eligible Transferees (a “Participant”), in all or a  portion of such Lender’s rights and obligations under this Agreement (including all or a portion of its Commitment  and  the  Loans  (including  participations  in  Letters  of  Credit)  owing  to  it); provided  that  (A) such  Lender’s  obligations under this Agreement shall remain unchanged; (B) such Lender shall remain solely responsible to the  other parties hereto for the performance of such obligations; and (C) the Borrowers, the Administrative Agent, the  Issuing Banks and the other Lenders shall continue to deal solely and directly with such Lender in connection with  such  Lender’s  rights  and  obligations  under  this  Agreement.   Any  agreement  or  instrument  pursuant  to  which  a  Lender sells such a participation shall provide that such Lender shall retain the sole right to enforce this Agreement  and to approve any amendment, modification or waiver of any provision of this Agreement; provided  that  such  agreement or instrument may provide that such Lender will not, without the consent of the Participant, agree to any  amendment, modification or waiver that requires the consent of each Lender or each adversely affected Lender and  that directly affects such Participant.  Each Borrower agrees that each Participant shall be entitled to the benefits of  Sections 3.01  and  5.01  (subject  to  the  requirements  and  limitations  therein  (it  being  understood  that  the  documentation required under Section 5.01(b) and (c) shall be delivered solely to the participating Lender)) to the  same extent as if it were a Lender and had acquired its interest by assignment pursuant to clause (b) of this Section  13.04; provided that such Participant (A) shall be subject to the provisions of Section 3.03 as if it were an assignee  pursuant  to  clause (b)  of  this  Section  13.04;  and  (B)  shall  not  be  entitled  to  receive  any  greater  payment  under  Section  3.01  or 5.01,  with  respect  to  any  participation,  than  its  participating  Lender  would  have  been  entitled  to  receive, except to the extent such entitlement to receive a greater payment results from a Change in Law that occurs  after  the  Participant  acquired  the  applicable  participation.   Each  Lender  that  sells  a  participation  agrees,  at  the  Borrower’s  request  and  expense,  to  use  reasonable  efforts  to  cooperate  with  the  Borrowers  to  effectuate  the                                                 -199- 

 

  provisions of Section 3.04 with respect to any Participant.  To the extent permitted by law, each Participant also  shall be entitled to the benefits of Section 9.08 as though it were a Lender; provided that such Participant shall be  subject to Section 3.03 as though it were a Lender.  Each Lender that sells a participation shall, acting solely for this  purpose as an agent of the Borrowers, maintain a register on which it enters the name and address of each Participant  and the principal amounts (and related interest) of each Participant’s interest in the Loans or other obligations under  the Credit Documents (the “Participant Register”); provided that no Lender shall have any obligation to disclose all  or any portion of the Participant Register (including the identity of any Participant or any information relating to a  Participant’s  interest  in  any  Commitments,  Loans,  Letters  of  Credit  or  its  other  obligations  under  any  Credit  Document)  to  any  Person  except  to  the  extent  such  disclosure  is  necessary  to  establish  that  such  Commitments,  Loans,  Letters  of  Credit  or  other  obligation  is  in  registered  form  under  Section  5f.103-1(c)  of  the  United  States  Treasury  Regulations.  The entries in the Participant Register shall be conclusive absent  manifest error, and such  Lender shall treat each Person whose name is recorded in the Participant Register as the owner of such participation  for  all  purposes  of  this  Agreement  notwithstanding  any  notice  to  the  contrary.   For  the  avoidance  of  doubt,  the  Administrative  Agent  (in  its  capacity  as  Administrative  Agent)  shall  have  no  responsibility  for  maintaining  a  Participant Register.          (d)     [Reserved].          (e)     Nothing in this Agreement shall prevent or prohibit any Lender from pledging its Loans and Notes  hereunder  to  a  Federal  Reserve  Bank  or  any  central  banking  authority  in  support  of  borrowings  made  by  such  Lender from such Federal Reserve Bank or any such central banking authority and, with prior notification to the  Administrative Agent (but without the consent of the Administrative Agent or the Borrowers), any Lender which is  a fund may pledge all or any portion of its Loans and Notes to its trustee or to a collateral agent providing credit or  credit support to such Lender in support of its obligations to such trustee, such collateral agent or a holder of such  obligations, as the case may be.  No pledge pursuant to this clause (e) shall release the transferor Lender from any of  its obligations hereunder.          (f)     Each  Lender  acknowledges  and  agrees  to  comply  with  the  provisions  of  this  Section  13.04  applicable to it as a Lender hereunder.          (g)     The Administrative Agent shall have the right, and the Lead Borrower hereby expressly authorizes  the  Administrative  Agent, to provide to any requesting  Lender, the  list of  Disqualified Lenders provided to the  Administrative Agent by the Lead Borrower and any updates thereto.  The Lead Borrower hereby agrees that any  such  requesting  Lender  may  share  the  list  of  Disqualified  Lenders  with  any  potential  assignee,  transferee  or  participant.  Notwithstanding  the  foregoing,  each  Credit  Party  and  the  Lenders  acknowledge  and  agree  that  the  Administrative  Agent,  acting  in  its  capacity  as  such,  shall  not  have  any  responsibility  or  obligation  to  determine  whether  any  Lender  or  potential  Lender  is  a  Disqualified  Lender   and  the  Administrative  Agent  shall  have  no  liability with respect to any assignment, transfer or participation made to a Disqualified Lender.          Section 13.05 No Waiver; Remedies Cumulative.  No failure or delay on the part of the Administrative  Agent, the Collateral Agents or any Lender in exercising any right, power or privilege hereunder or under any other  Credit Document and no course of dealing between the Borrowers or any other Credit Party and the Administrative  Agent, the Collateral Agents or any Lender shall operate as a waiver thereof; nor shall any single or partial exercise  of  any  right,  power  or  privilege  hereunder  or  under  any  other  Credit  Document  preclude  any  other  or  further  exercise thereof or the exercise of any other right, power or privilege hereunder or thereunder.  The rights, powers  and remedies herein or in any other Credit Document expressly provided are cumulative and not exclusive of any  rights, powers or remedies which the Administrative Agent, the Collateral Agents or any Lender would otherwise  have.  No notice to or demand on any Credit Party in any case shall entitle any Credit Party to any other or further  notice or demand in similar or other circumstances or constitute a waiver of the rights of the Administrative Agent,  the Collateral Agents or any Lender to any other or further action in any circumstances without notice or demand.          Section 13.06 [Reserved].                                                  -200- 

 

         Section 13.07 Calculations; Computations.          (a)     The  financial  statements  to  be  furnished  to  the  Lenders  pursuant  hereto  shall  be  made  and  prepared in accordance with U.S. GAAP consistently applied throughout the periods involved (except as set forth in  the notes thereto); provided that to the extent expressly provided herein, certain calculations shall be made on a Pro  Forma Basis; provided, further, that if the Lead Borrower notifies the Administrative Agent that the Lead Borrower  wishes to amend  any leverage calculation  or  any  financial definition  used  therein  to  implement  the effect  of  any  change  in  U.S.  GAAP  or  the  application  thereof  occurring  after  the  Amendment  No.  5  Effective  Date  on  the  operation  thereof  (or  if  the  Administrative  Agent  notifies  the  Lead  Borrower  that  the  Required  Lenders  wish  to  amend  any  leverage  test  or  any  financial  definition  used  therein  for  such  purpose),  then  the  Borrowers  and  the  Administrative  Agent  shall  negotiate  in  good  faith  to  amend  such  leverage  test  or  the  definitions  used  therein  (subject to the approval of the Required Lenders) to preserve the original intent thereof in light of such changes in  U.S. GAAP; provided, further, that all determinations made pursuant to any applicable leverage test or any financial  definition used therein shall be determined on the basis of U.S. GAAP as applied and in effect immediately before  the  relevant  change  in  U.S.  GAAP  or  the  application  thereof  became  effective,  until  such  leverage  test  or  such  financial  definition  is  amended.   Notwithstanding  any  other  provision  contained  herein,  (i)  all  terms  of  an  accounting or financial nature used herein shall be construed, and all computations of amounts and ratios referred to  herein shall be made, without giving effect to Statement of Financial Accounting Standards 141R or ASC 805 (or  any other financial accounting standard having a similar result or effect) and (ii) the accounting for any lease shall  be based on the Borrower’s treatment thereof in accordance with U.S. GAAP as in effect on December 15, 2018 and  without giving effect to any subsequent changes in U.S. GAAP (or the required implementation of any previously  promulgated changes in U.S. GAAP) relating to the treatment of a lease as an operating lease or capitalized lease.          (b)     The calculation of any  financial ratios under this Agreement shall be calculated by dividing the  appropriate component by the other component, carrying the result to one place more than the number of places by  which such ratio is expressed herein and rounding the result up or down to the nearest number (with a rounding- down if there is no nearest number).          Section 13.08 GOVERNING  LAW;  SUBMISSION  TO  JURISDICTION;  VENUE;  WAIVER  OF  JURY TRIAL.          (a)     THIS AGREEMENT AND  THE OTHER CREDIT DOCUMENTS AND THE RIGHTS AND  OBLIGATIONS OF THE PARTIES HEREUNDER AND THEREUNDER SHALL, EXCEPT AS OTHERWISE  PROVIDED  IN  THE  RELEVANT  SECURITY  DOCUMENT,  BE  CONSTRUED  IN  ACCORDANCE  WITH  AND  BE  GOVERNED  BY  THE  LAW  OF  THE  STATE  OF  NEW  YORK.   ANY  LEGAL  ACTION  OR  PROCEEDING WITH RESPECT TO THIS AGREEMENT OR ANY OTHER CREDIT DOCUMENT (EXCEPT  THAT,  (X)  IN  THE  CASE  OF  ANY  MORTGAGE  OR  OTHER  SECURITY  DOCUMENT,  PROCEEDINGS  MAY  ALSO  BE  BROUGHT  BY  THE  ADMINISTRATIVE  AGENT  OR  COLLATERAL  AGENTS  IN  THE  STATE IN WHICH THE RELEVANT MORTGAGED PROPERTY OR COLLATERAL IS LOCATED OR ANY  OTHER RELEVANT JURISDICTION AND (Y) IN THE CASE OF ANY BANKRUPTCY, INSOLVENCY OR  SIMILAR  PROCEEDINGS  WITH  RESPECT  TO  ANY  CREDIT  PARTY,  ACTIONS  OR  PROCEEDINGS  RELATED  TO  THIS  AGREEMENT  AND  THE  OTHER  CREDIT  DOCUMENTS  MAY  BE  BROUGHT  IN  SUCH COURT HOLDING SUCH BANKRUPTCY, INSOLVENCY OR SIMILAR PROCEEDINGS) MAY BE  BROUGHT IN THE COURTS OF THE STATE OF NEW  YORK OR OF THE UNITED STATES FOR THE  SOUTHERN DISTRICT OF NEW YORK, IN EACH CASE WHICH ARE LOCATED IN THE COUNTY OF  NEW YORK, AND, BY EXECUTION AND DELIVERY OF THIS AGREEMENT OR ANY OTHER CREDIT  DOCUMENT, EACH OF THE PARTIES HERETO OR THERETO HEREBY IRREVOCABLY ACCEPTS FOR  ITSELF  AND  IN  RESPECT  OF  ITS  PROPERTY,  GENERALLY  AND  UNCONDITIONALLY,  THE  EXCLUSIVE JURISDICTION OF THE AFORESAID COURTS.  EACH PARTY HERETO HEREBY FURTHER  IRREVOCABLY  WAIVES  ANY  CLAIM  THAT  ANY  SUCH  COURTS  LACK  PERSONAL  JURISDICTION  OVER  IT,  AND  AGREES  NOT  TO  PLEAD  OR  CLAIM,  IN  ANY  LEGAL  ACTION  PROCEEDING  WITH  RESPECT TO THIS AGREEMENT OR ANY OTHER CREDIT DOCUMENTS BROUGHT IN ANY OF THE  AFOREMENTIONED COURTS, THAT SUCH COURTS LACK PERSONAL JURISDICTION OVER IT.  EACH  PARTY  HERETO  IRREVOCABLY  CONSENTS  TO  THE  SERVICE  OF  PROCESS  OUT  OF  ANY  OF  THE  AFOREMENTIONED COURTS IN ANY SUCH ACTION OR PROCEEDING BY THE MAILING OF COPIES  THEREOF BY REGISTERED OR CERTIFIED MAIL, POSTAGE PREPAID, SUCH PARTY, AS THE CASE                                                 -201- 

 

  MAY  BE,  AT  ITS  ADDRESS  SET  FORTH  OPPOSITE  ITS  SIGNATURE  BELOW,  SUCH  SERVICE  TO  BECOME  EFFECTIVE  30  DAYS  AFTER  SUCH  MAILING.   EACH  PARTY  HERETO  IRREVOCABLY  WAIVES ANY OBJECTION TO SUCH SERVICE OF PROCESS AND FURTHER IRREVOCABLY WAIVES  AND  AGREES  NOT  TO  PLEAD  OR  CLAIM  IN  ANY  ACTION  OR  PROCEEDING  COMMENCED  HEREUNDER  OR  UNDER  ANY  OTHER  CREDIT  DOCUMENT  THAT  SERVICE  OF  PROCESS  WAS  IN  ANY  WAY  INVALID  OR  INEFFECTIVE.   NOTHING  HEREIN  SHALL  AFFECT  THE  RIGHT  OF  ANY  PARTY  HERETO  TO  SERVE  PROCESS  IN  ANY  OTHER  MANNER  PERMITTED  BY  LAW  OR  TO  COMMENCE LEGAL PROCEEDINGS OR OTHERWISE PROCEED AGAINST ANY OTHER SUCH PARTY  IN ANY OTHER JURISDICTION.          (b)     EACH PARTY HERETO HEREBY IRREVOCABLY WAIVES ANY OBJECTION WHICH IT  MAY  NOW  OR  HEREAFTER  HAVE  TO  THE  LAYING  OF  VENUE  OF  ANY  OF  THE  AFORESAID  ACTIONS OR PROCEEDINGS ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT OR ANY  OTHER CREDIT DOCUMENT BROUGHT IN THE COURTS REFERRED TO IN CLAUSE (a) ABOVE AND  HEREBY FURTHER IRREVOCABLY WAIVES AND AGREES NOT TO PLEAD OR CLAIM IN ANY SUCH  COURT  THAT  ANY  SUCH  ACTION  OR  PROCEEDING  BROUGHT  IN  ANY  SUCH  COURT  HAS  BEEN  BROUGHT IN AN INCONVENIENT FORUM.          (c)     EACH OF THE PARTIES TO THIS AGREEMENT HEREBY IRREVOCABLY WAIVES ALL  RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF  OR  RELATING TO THIS AGREEMENT, THE OTHER CREDIT DOCUMENTS OR THE TRANSACTIONS  CONTEMPLATED HEREBY OR THEREBY.          Section 13.09 Counterparts.  This Agreement may be executed in any number of counterparts and by the  different parties hereto on separate counterparts, each of which when so executed and delivered shall be an original,  but all of which shall together constitute one and the same instrument.  A set of counterparts executed by all the  parties hereto shall be lodged with the Lead Borrower and the Administrative Agent.          Section 13.10 [Reserved].          Section 13.11 Headings  Descriptive.   The  headings  of  the  several  Sections  and  subsections  of  this  Agreement are inserted for convenience only and shall not in any  way affect the meaning or construction of any  provision of this Agreement.          Section 13.12 Amendment or Waiver; etc.          (a)     Except as expressly contemplated hereby, neither this Agreement nor any other Credit Document  nor  any  terms  hereof  or  thereof  may  be  changed,  waived,  discharged  or  terminated  unless  such  change,  waiver,  discharge or termination is in writing signed by the Credit Parties party hereto or thereto, the Administrative Agent  and the  Required Lenders  (although  additional parties  may  be added  to (and  annexes  may be  modified to reflect  such additions) the Guaranty Agreement and the Security Documents in accordance with the provisions hereof and  thereof without the consent of the other Credit Parties party thereto or the Required Lenders), or the Administrative  Agent  with  the  written  consent  of  the  Required  Lenders, provided  that  no  such  change,  waiver,  discharge  or  termination shall (i) without the prior written consent of each Lender (and Issuing Bank, if applicable) directly and  adversely affected thereby, extend the final scheduled maturity of any Revolving Commitment, or reduce the rate or  extend the time of payment of interest or fees thereon (except in connection with the waiver of the applicability of  any post-default increase in interest rates) or reduce or forgive the principal amount thereof, (ii) except as otherwise  expressly provided in the Security Documents, release all or substantially all of the Collateral under all the Security  Documents  without  the  prior  written  consent  of  each  Lender,  (iii)  except  as  otherwise  provided  in  the  Credit  Documents, release all or substantially all of the value of the Guaranties by the Guarantors without the prior written  consent of each Lender, (iv) amend, modify or waive any pro rata sharing provision of Section 2.10, the payment  waterfall  provision  of  Section  11.11,  or  any  provision  of  this  Section  13.12(a)  (except  for  technical  amendments  with  respect  to  additional  extensions  of  credit  pursuant  to  this  Agreement  which  afford  the  protections  to  such  additional  extensions  of  credit  of  the  type  provided  to  the  Revolving  Commitments  on  the  Amendment  No.  5  Effective  Date),  in  each  case,  without  the  prior  written  consent  of  each  Lender  directly  and  adversely  affected  thereby, (v) reduce the percentage specified in the definition of Required Lenders or Supermajority Lenders without                                                 -202- 

 

  the prior written consent of each Lender (it being understood that, without the prior written consent of the Required  Lenders or Supermajority Lenders, as applicable, additional extensions of credit pursuant to this Agreement that are  permitted  by  the  terms  hereof  or  that  have  been  consented  to  by  the  Required  Lenders  may  be  included  in  the  determination of the Required Lenders or Supermajority Lenders, as applicable, on substantially the same basis as  the  extensions  of  Revolving  Commitments  are  included  on  the  Amendment  No.  5  Effective  Date),  (vi)  amend  Section 1.04 or the definition of “Alternative Currency” in a manner that could cause any Lender to be required to  lend Loans in an additional currency without the written consent of such Lender or (vii) consent to the assignment or  transfer  by  any  Borrower  of  any  of  its  rights  and  obligations  under  this  Agreement  without  the  consent  of  each  Lender; provided further that no such change, waiver, discharge or termination shall (1) increase the Commitments  of any Lender over the amount thereof then in effect without the consent of such Lender (it being understood that  waivers  or  modifications  of  conditions  precedent,  covenants,  Defaults  or  Events  of  Default  or  of  a  mandatory  reduction in the Aggregate Commitments shall not constitute an increase of the Commitment of any Lender, and that  an  increase  in  the  available  portion  of  any  Commitment  of  any  Lender  shall  not  constitute  an  increase  of  the  Commitment of such Lender), (2) without the consent of each Agent adversely affected thereby, amend, modify or  waive any provision of Section 12 or any other provision of any Credit Document as the same relates to the rights or  obligations  of  such  Agent,  (3)  without  the  consent  of  Collateral  Agents,  amend,  modify  or  waive  any  provision  relating  to the rights or obligations of the Collateral  Agents, (4)  without the consent of an Issuing Bank or the  Swingline Lender, amend,  modify or waive any provision relating to the rights or obligations of the such Issuing  Bank or Swingline Lender, (5) without the prior written consent of the Supermajority Lenders, change the definition  of the term “Global Availability,” “Aggregate Borrowing Base,” “U.S. FILO Borrowing Base,” “U.S. Borrowing  Base,”  “Canadian  Borrowing  Base,”  “Canadian  FILO  Borrowing  Base,”  “European  Borrowing  Base,”  or  “Borrowing  Base”  or  any  component  definition  used  therein  (including,  without  limitation,  the  definitions  of  “Eligible  Accounts,”  “Eligible  Cash”  and  “Eligible  Inventory”,  but  subject  to  clause  (6)  with  respect  to  the  component definitions expressly listed therein) if, as a result thereof, the amounts available to be borrowed by the  Borrowers would be increased, or increase the percentages set forth therein or add any new classes of eligible assets  thereto; provided that the foregoing shall not limit the discretion of the Administrative Agent to change, establish or  eliminate any Reserves or to add Accounts and Inventory acquired in a Permitted Acquisition to the Borrowing Base  as provided herein, (6) without the prior written consent of the Required Lenders, change the definition of the term  “Asian  Borrowing Base,” “French  Borrowing Base,” or “German Borrowing Base,” or any component definition  used  therein  (including,  without  limitation,  the  definitions  of  “Eligible  Accounts,”  “Eligible  Cash”  and  “Eligible  Inventory”; provided that any such changes shall only be applicable solely as they relate to determinations of the  Asian Borrowing Base, French Borrowing Base or German Borrowing Base, as the case may be) even if, as a result  thereof, the amounts  available to be borrowed  by the Borrowers  would be increased;  provided  that  the foregoing  shall not limit the discretion of the Administrative Agent to change, establish or eliminate any Reserves or to add  Accounts and Inventory acquired in a Permitted Acquisition to the Borrowing Base as provided herein or increase  the percentages set forth therein or add any new classes of eligible assets thereto, or (7) without the prior written  consent of the Required Subfacility Lenders, adversely affect the rights of Lenders under such Subfacility in respect  of payments hereunder in a manner different than such amendment affects other Subfacilities.          (b)     If,  in  connection  with  any  proposed  change,  waiver,  discharge  or  termination  of  any  of  the  provisions of this Agreement as contemplated by clauses (i) through (vii), inclusive, of the first proviso to Section  13.12(a),  the  consent  of  the  Required  Lenders  is  obtained  but  the  consent  of  one  or  more  of  such  other  Lenders  whose consent is required is not obtained, then the Lead Borrower shall have the right, so long as all non-consenting  Lenders whose individual consent is required are treated as described in either clause (A) or (B) below, to either (A)  replace each such  non-consenting  Lender or Lenders  with  one or more Replacement  Lenders pursuant to Section  3.04 so long as at the time of such replacement, each such Replacement Lender consents to the proposed change,  waiver,  discharge  or  termination  or  (B)  terminate  such  non-consenting  Lender’s  Commitments  and/or  repay  the  outstanding  Revolving  Loans  of  such  Lender  in  accordance  with  Section  3.04; provided  that,  unless  the  Commitments  that  are  terminated,  and  Revolving  Loans  repaid,  pursuant  to  the  preceding  clause  (B)  are  immediately replaced in full at such time through the addition of new Lenders or the increase of outstanding Loans  of existing Lenders (who in each case must specifically consent thereto), then in the case of any action pursuant to  preceding clause (B) the Required Lenders (determined after giving effect to the proposed action) shall specifically  consent thereto; provided further that in any event the Lead Borrower shall not have the right to replace a Lender,  terminate its Commitments or repay its Revolving Loans solely as a result of the exercise of such Lender’s rights  (and the withholding of any required consent by such Lender) pursuant to the second proviso to Section 13.12(a).                                                  -203- 

 

         (c)     Notwithstanding  anything  to  the  contrary  contained  in  clause  (a)  of  this  Section  13.12,  the  Borrowers, the Administrative Agent and each Lender providing the relevant Revolving Commitment Increase may  (i) in accordance with the provisions of Section 2.15, enter into an Incremental Revolving Commitment Agreement,  and (ii) in accordance with the provisions of Section 2.19, enter into an Extension Amendment; provided that after  the execution and delivery by the Borrowers, the Administrative Agent and each such Lender may thereafter only be  modified in accordance with the requirements of clause (a) above of this Section 13.12.          (d)     Without  the  consent  of  any  other  person,  the  applicable  Credit  Party  or  Parties  and  the  Administrative Agent and/or Collateral Agents may (in its or their respective sole discretion, or shall, to the extent  required by any Credit Document) enter into any amendment or waiver of any Credit Document, or enter into any  new  agreement  or  instrument,  to  effect  the  granting,  perfection,  protection,  expansion  or  enhancement  of  any  security  interest  in  any  Collateral  or  additional  property  to  become  Collateral  for  the  benefit  of  the  Secured  Creditors, or as required by local law to give effect to, or protect any security interest for the benefit of the Secured  Creditors, in any property or so that the security interests therein comply with applicable Requirements of Law.          (e)     Notwithstanding  anything  to  the  contrary  herein,  any  fee  letter  may  be  amended,  or  rights  and  privileges thereunder waived, in a writing executed only by the parties thereto.          (f)     Anything herein to the contrary notwithstanding, during such period as a Lender is a Defaulting  Lender,  to  the  fullest  extent  permitted  by  applicable  law,  such  Lender  will  not  be  entitled  to  vote  in  respect  of  amendments, waivers and consents hereunder and the Commitment and the outstanding Loans or other extensions of  credit of such Lender hereunder will not be taken into account in determining whether the Required Lenders or all of  the  Lenders,  as  required,  have  approved  any  such  amendment,  waiver  or  consent  (and  the  definitions  of  “Supermajority”  and  “Required  Lenders”  will  automatically  be  deemed  modified  accordingly  for  the  duration  of  such  period); provided  that  any  such  amendment  or  waiver  that  would  increase  or  extend  the  term  of  the  Commitment of such Defaulting Lender, extend the date fixed for the payment of principal or interest owing to such  Defaulting  Lender  hereunder,  reduce  the  principal  amount  of  any  obligation  owing  to  such  Defaulting  Lender,  reduce the amount of or the rate or amount of interest on any amount owing to such Defaulting Lender or of any fee  payable  to  such  Defaulting  Lender  hereunder,  or  alter  the terms  of  this  proviso,  will  require  the  consent  of  such  Defaulting Lender.          (g)     Further, notwithstanding anything to the contrary contained in this Section 13.12, if following the  Amendment No. 5 Effective Date, the Administrative Agent and any  Credit Party shall have jointly identified an  obvious  error  or  any  error or  omission  of  a  technical  or  immaterial  nature,  in  each  case,  in  any  provision  of  the  Credit Documents, then the Administrative Agent and the Credit Parties shall be permitted to amend such provision  and such amendment shall become effective without any further action or consent of any other party to any Credit  Documents  if  the  same  is  not  objected  to  in  writing  by  the  Required  Lenders  within  five  (5)  Business  Days  following receipt of notice thereof.          Section 13.13 Survival.  All indemnities set forth herein including, without limitation, in Sections 3.01,  3.02, 5.01, 12.07 and 13.01 shall survive the execution, delivery and termination of this Agreement and the Notes  and the making and repayment of the Obligations.          Section 13.14 [Reserved].            Section 13.15 Confidentiality.          (a)     Subject to the provisions of clause (b) of this Section 13.15, each Agent, each Lead Arranger, the  Documentation Agent and any Lender agrees that it will not disclose without the prior consent of the Lead Borrower  (other than to its affiliates and its and their respective directors, officers, employees, auditors, advisors or counsel or  to another Lender if such Lender or such Lender’s holding or parent company in its reasonable discretion determines  that any such party should have access to such information in connection with the transactions contemplated by this  Agreement and such Agent’s, Lead Arranger’s, Documentation Agent’s or Lender’s role hereunder or investment in  the Loans, provided such Persons shall be subject to the provisions of this Section 13.15 to the same extent as such  Lender (or language substantially similar to this Section 13.15(a))) any non-public information with respect to the  Lead  Borrower  or  any  of  its  Subsidiaries  (other  than,  for  the  avoidance  of  doubt,  information  pertaining  to  this                                                 -204- 

 

  Agreement routinely provided by arrangers to data service providers, including league table providers, that serve the  lending  industry)  which  is  now  or  in  the  future  furnished  by  or  on  behalf  of  any  Credit  Party  pursuant  to  this  Agreement or any other Credit Document, provided that each Agent, Lead Arranger and Lender may disclose any  such information (i) as has become generally available to the public other than by virtue of a breach of this Section  13.15(a) by such Agent, Lead Arranger or Lender, (ii) as may be required or appropriate in any report, statement or  testimony  submitted  to  any  municipal,  state  or  Federal  regulatory  body  or  any  foreign  regulatory  authorities  and  central banking authorities having or claiming to have jurisdiction over such Agent, Lead Arranger or Lender or to  the  Federal Reserve Board or the  Federal Deposit Insurance Corporation or similar organizations (whether in the  United States or elsewhere) or their successors, (iii) as may be required or appropriate in respect to any summons or  subpoena  or  in  connection  with  any  litigation,  (iv)  in  order  to  comply  with  any  law,  order,  regulation  or  ruling  applicable  to  such  Agent,  Lead  Arranger  or  Lender,  (v)  in  the  case  of  any  Lead  Arranger  or  Lender,  to  the  Administrative  Agent  or  the  Collateral  Agents,  (vi)  to  any  prospective  or  actual  direct  or  indirect  contractual  counterparty (other than any Disqualified Lender, except that the list of Disqualified Lenders may be furnished) in  any swap, hedge or similar agreement (or to any such contractual counterparty’s professional advisor), so long as  such  contractual  counterparty  (or  such  professional  advisor) agrees  to  be bound by  the provisions of  this Section  13.15 (or language substantially similar to this Section 13.15(a)), (vii) in the case of any Lender, to any prospective  or actual transferee, pledgee or participant (other than any Disqualified Lender, except that the list of Disqualified  Lenders may be furnished) in connection with any contemplated transfer, pledge or participation of any of the Notes  or Commitments or any interest therein by such Lender, (viii) has become available to any Agent, Lead Arranger,  the Documentation Agent, any Lender, or any of their respective Affiliates on a non-confidential basis from a source  other than Holdings, the Lead Borrower or any Subsidiary thereof, and which source is not known by such Person to  be subject to a confidentiality restriction in respect thereof in favor of the Lead Borrower or any Affiliate of the  Lead Borrower, (ix) for purposes of establishing a “due diligence” defense, (x) on a confidential basis to market data  collectors, similar service providers to the lending industry and service providers to the Administrative Agent and  the  Lenders  in  connection  with  the  administration  and  management  of  this  Agreement  and  the  other  Credit  Documents and (xi) that has been independently developed by such Agent, Lead Arranger or Lender without the use  of any other confidential information provided by the Lead Borrower or on the Lead Borrower’s behalf, provided  that such prospective transferee, pledge or participant agrees to be bound by the confidentiality provisions contained  in this Section 13.15 (or language substantially similar to this Section 13.15(a)); provided, further, that, to the extent  permitted pursuant to any applicable law, order, regulation or ruling, and other than in connection with credit and  other bank examinations conducted in the ordinary course with respect to such Agent, Lead Arranger or Lender, in  the case of any disclosure pursuant to the foregoing clauses (ii), (iii) or (iv), such Agent, Lead Arranger or Lender  will use its commercially reasonable efforts to notify the Lead Borrower in advance of such disclosure so as to  afford  the  Lead  Borrower  the  opportunity  to  protect  the  confidentiality  of  the  information  proposed  to  be  so  disclosed.  Notwithstanding anything else contained herein to the contrary, to the extent permitted by the Australian  PPSA,  the  parties  agree  to  keep  all  information  of  the  kind  permitted  by  Section 275(1) of  the  Australian  PPSA  confidential and not to disclose that information to any other person.  To the extent Section 275 of the Australian  PPSA applies, the parties to this Agreement agree that the terms of the Australian PPS Security Interest provided  under a Security Agreement are contained wholly in that Security Agreement.          (b)     The Lead Borrower hereby acknowledges and agrees that each Lender may share with any of its  affiliates, and such affiliates may share with such Lender, any information related to Holdings, the Lead Borrower or  any  of  its  Subsidiaries  (including,  without  limitation,  any  non-public  customer  information  regarding  the  creditworthiness of Holdings, the Lead Borrower and its Subsidiaries); provided such Persons shall be subject to the  provisions of this Section 13.15 to the same extent as such Lender.          (c)     This Section 13.15 is not, and shall not be deemed to constitute, an express or implied agreement  by any Agent, any Lead Arranger, the Documentation Agent or any Lender with any Credit Party for a higher degree  of confidentiality than that prescribed in Section 47 of the Banking Act, Chapter 19 of Singapore and in the Third  Schedule to the Banking Act, Chapter 19 of Singapore.          (d)     If  any  Credit  Party  provides  any  Agent,  any  Lead  Arranger,  the  Documentation  Agent  or  any  Lender with personal data of any individual as required by, pursuant to, or in connection with the Credit Documents,  that Credit Party represents and warrants to the Agents, the Lead Arrangers, the Documentation Agent and Lenders  that it has, to the extent required by law, (i) notified the relevant individual of the purposes for which data will be  collected,  processed,  used  or  disclosed;  and  (ii)  obtained  such  individual’s  consent  for,  and  hereby  consents  on                                                 -205- 

 

  behalf of such individual to, the collection, processing, use and disclosure of his/her personal data by the Agents,  Lead Arrangers, the Documentation Agent and the Lenders, in each case, in accordance with or for the purposes of  the  Credit  Documents,  and  confirms  that  it  is  authorised  by  such  individual  to  provide  such  consent  on  his/her  behalf.          Section 13.16 USA Patriot Act Notice.  Each  Lender hereby  notifies Holdings and the Borrowers that  pursuant to the requirements of the USA PATRIOT Act Title III of Pub. 107-56 (signed into law October 26, 2001  and amended on March 9, 2009) (the “Patriot Act”), the Organised and Serious Crimes Ordinance (Cap. 455 of the  Laws  of  Hong  Kong),  the  Drug  Trafficking  (Recovery  of  Proceeds)  Ordinance  (Cap.  405  of  the  Laws  of  Hong  Kong), the UK Money Laundering Regulations Act 2007 and other applicable anti-money laundering, anti-terrorist  financing, government sanction and “know your client” policies, regulations, laws or rules (collectively, the “AML  Legislation”),  it  is  required  to  obtain,  verify,  and  record  information  that  identifies  Holdings,  the  Borrowers  and  each Subsidiary  Guarantor,  which  information  includes  the  name of  each  Credit  Party  and  other  information that  will allow such Lender to identify the Credit Party in accordance with the Patriot Act, and each Credit Party agrees  to provide such information from time to time to any Lender.          Section 13.17 Canadian  Anti-Money  Laundering  Legislation.   If  the  Administrative  Agent  has  ascertained the identity of any Canadian Credit Party or any authorized signatories of any Canadian Credit Party for  the  purposes  of  the  Proceeds  of  Crime  (Money  Laundering)  and  Terrorist  Financing  Act  (Canada)  and  other  applicable anti-terrorism Laws and “know your client” policies, regulations, laws or rules (the Proceeds of Crime  (Money Laundering) and Terrorist Financing Act (Canada) and such other anti-terrorism Laws applicable in Canada,  as  well  as  all  applicable  “know  your  client”  policies,  regulations,  laws  or  rules,  collectively,  including  any  guidelines or orders thereunder, “AML Legislation”), then the Administrative Agent:                  (a)    shall be deemed to have done so as an agent for each Lender and this Agreement shall         constitute a “written agreement” in such regard between each Lender and the Administrative Agent within         the meaning of the applicable AML Legislation; and                  (b)    shall provide to the  Lenders,  copies of  all information obtained in such regard  without         any representation or warranty as to its accuracy or completeness.          Notwithstanding  the preceding  sentence and  except  as  may  otherwise be agreed  in  writing, each  Lender  agrees that the Administrative Agent has no obligation to ascertain the identity of the Canadian Credit Parties or any  authorized signatories of the Canadian Credit Parties on behalf of any Lender, or to confirm the completeness or  accuracy of any information it obtains from any Canadian Credit Party or any such authorized signatory in doing so.          Section 13.18 UK “Know Your Customer” Checks.            (a)     If (i) the introduction of or any change in (or in the interpretation, administration or application of)  any law or regulation made after the date of this Agreement; (ii) any change in the status of a UK Credit Party after  the date of this Agreement; or (iii) a proposed assignment or transfer by a Lender of any of its rights and obligations  under this Agreement to a party that is not a Lender prior to such assignment or transfer, obliges the Administrative  Agent or any Lender (or, in the case of paragraph (iii) above, any prospective new Lender) to comply with “know  your customer” or similar identification procedures in circumstances where the necessary information is not already  available to it, each UK Credit Party shall promptly upon the request of the Administrative Agent or any Lender  supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent  (for itself or on behalf of any Lender) or any Lender (for itself or, in the case of the event described in paragraph (iii)  above, on behalf of any prospective new Lender) in order for the Administrative Agent, such Lender or, in the case  of  the  event  described  in  paragraph  (iii)  above,  any  prospective  new  Lender  to  carry  out  and  be  satisfied  it  has  complied with all necessary “know your customer” or other similar checks under all applicable laws and regulations  pursuant to the transactions contemplated in the Credit Documents.          (b)     Each Lender shall promptly upon the request of the Administrative Agent supply, or procure the  supply of, such documentation and other evidence as is reasonably requested by the Administrative Agent (for itself)  in order for the Administrative Agent to carry out and be satisfied it has complied with all necessary “know your                                                  -206- 

 

  customer”  or  other  similar  checks  under  all  applicable  laws  and  regulations  pursuant  to  the  transactions  contemplated in the Credit Documents.          Section 13.19 Waiver  of  Sovereign  Immunity.   Each  of  the  Credit  Parties,  in  respect  of  itself,  its  Subsidiaries, its process agents, and its properties and revenues, hereby irrevocably agrees that, to the extent  that  Holdings,  the  Borrowers,  or any  of  their  respective  Subsidiaries  or  any  of  their  respective  properties  has  or  may  hereafter acquire any right of immunity, whether characterized as sovereign immunity or otherwise, from any legal  proceedings,  whether  in  the  United  States  or  elsewhere,  to  enforce  or  collect  upon  the  Loans  or  any  Credit  Document or any  other liability  or obligation  of Holdings,  the Borrowers, or any of  their respective Subsidiaries  related  to  or  arising  from  the  transactions  contemplated  by  any  of  the  Credit  Documents,  including,  without  limitation,  immunity  from  service  of  process,  immunity  from  jurisdiction  or  judgment  of  any  court  or  tribunal,  immunity from execution of a judgment, and immunity of any of its property from attachment prior to any entry of  judgment, or from attachment in aid of execution upon a judgment, Holdings and the Borrowers, for themselves and  on behalf of their respective Subsidiaries, hereby expressly waive, to the fullest extent permissible under applicable  law,  any  such  immunity,  and  agree  not  to  assert  any  such  right  or  claim  in  any  such  proceeding,  whether  in  the  United States or elsewhere.  Without limiting the generality of the foregoing, Holdings and the Borrowers further  agree  that  the  waivers  set  forth  in  this  Section  13.19  shall  have  the  fullest  extent  permitted  under  the  Foreign  Sovereign Immunities Act of 1976 of the United States and are intended to be irrevocable for purposes of such Act.          Section 13.20 INTERCREDITOR AGREEMENT.          (a)     EACH  LENDER  PARTY  HERETO  UNDERSTANDS,  ACKNOWLEDGES  AND  AGREES  THAT IT (AND EACH OF ITS SUCCESSORS AND ASSIGNS) AND EACH OTHER LENDER (AND EACH  OF THEIR SUCCESSORS AND ASSIGNS) SHALL BE BOUND BY THE INTERCREDITOR AGREEMENT  AND,  TO  THE  EXTENT  REQUESTED  BY  THE  LEAD  BORROWER  AFTER  THE  AMENDMENT  NO.  5  EFFECTIVE  DATE  TO  BE  ENTERED  INTO  IN  CONNECTION  WITH  INDEBTEDNESS  PERMITTED  AND/OR  NOT  PROHIBITED  BY  THIS  AGREEMENT  TO  BE  INCURRED  AND  PERMITTED  BY  THIS  AGREEMENT  TO  BE  SUBJECT  TO  SUCH  INTERCREDITOR  AGREEMENT,  ANY  ADDITIONAL  INTERCREDITOR AGREEMENT OR ANY OTHER INTERCREDITOR AGREEMENT CONTEMPLATED BY  THIS  AGREEMENT,  WHICH  IN  CERTAIN  CIRCUMSTANCES  MAY  REQUIRE  (AS  MORE  FULLY  PROVIDED  THEREIN)  THE  TAKING  OF  CERTAIN  ACTIONS  BY  THE  LENDERS,  INCLUDING  THE  PURCHASE  AND  SALE  OF  PARTICIPATIONS  BY  VARIOUS  LENDERS  TO  EACH  OTHER  IN  ACCORDANCE WITH THE TERMS THEREOF.          (b)     THE PROVISIONS OF THIS SECTION 13.20 ARE NOT INTENDED TO SUMMARIZE OR  FULLY DESCRIBE THE PROVISIONS OF THE INTERCREDITOR AGREEMENT AND, TO THE EXTENT  REQUESTED BY THE LEAD BORROWER AFTER THE AMENDMENT NO. 5 EFFECTIVE DATE TO BE  ENTERED INTO IN CONNECTION WITH INDEBTEDNESS PERMITTED AND/OR NOT PROHIBITED BY  THIS AGREEMENT TO BE INCURRED AND PERMITTED BY THIS AGREEMENT TO BE SUBJECT TO  SUCH  INTERCREDITOR  AGREEMENT,  ANY  ADDITIONAL  INTERCREDITOR  AGREEMENT  OR  ANY  OTHER INTERCREDITOR AGREEMENT CONTEMPLATED BY THIS AGREEMENT.  REFERENCE MUST  BE  MADE  TO  THE  INTERCREDITOR  AGREEMENT  ITSELF  AND,  TO  THE  EXTENT  REQUESTED  BY  THE LEAD BORROWER AFTER THE AMENDMENT NO. 5 EFFECTIVE DATE TO BE ENTERED INTO IN  CONNECTION WITH INDEBTEDNESS PERMITTED AND/OR NOT PROHIBITED BY THIS AGREEMENT  TO  BE  INCURRED  AND  PERMITTED  BY  THIS  AGREEMENT  TO  BE  SUBJECT  TO  SUCH  INTERCREDITOR AGREEMENT, ANY ADDITIONAL INTERCREDITOR AGREEMENT OR ANY OTHER  INTERCREDITOR  AGREEMENT  CONTEMPLATED  BY  THIS  AGREEMENT  TO  UNDERSTAND  ALL  TERMS  AND  CONDITIONS  THEREOF.   EACH  LENDER  IS  RESPONSIBLE  FOR  MAKING  ITS  OWN  ANALYSIS AND REVIEW OF THE INTERCREDITOR AGREEMENT AND, TO THE EXTENT REQUESTED  BY THE LEAD BORROWER AFTER THE AMENDMENT NO. 5 EFFECTIVE DATE TO BE ENTERED INTO  IN  CONNECTION  WITH  INDEBTEDNESS  PERMITTED  AND/OR  NOT  PROHIBITED  BY  THIS  AGREEMENT TO BE INCURRED AND PERMITTED BY THIS AGREEMENT TO BE SUBJECT TO SUCH  INTERCREDITOR AGREEMENT, ANY ADDITIONAL INTERCREDITOR AGREEMENT OR ANY OTHER  INTERCREDITOR  AGREEMENT  CONTEMPLATED  BY  THIS  AGREEMENT  AND  THE  TERMS  AND  PROVISIONS THEREOF, AND NO AGENT OR ANY OF AFFILIATES MAKES  ANY REPRESENTATION  TO ANY LENDER AS TO THE SUFFICIENCY OR ADVISABILITY OF THE PROVISIONS CONTAINED IN                                                 -207- 

 

  THE INTERCREDITOR AGREEMENT AND, TO THE EXTENT REQUESTED BY THE LEAD BORROWER  AFTER THE AMENDMENT NO. 5 EFFECTIVE DATE TO BE ENTERED INTO IN CONNECTION WITH  INDEBTEDNESS  PERMITTED  AND/OR  NOT  PROHIBITED  BY  THIS  AGREEMENT  TO  BE  INCURRED  AND PERMITTED BY THIS AGREEMENT TO BE SUBJECT TO SUCH INTERCREDITOR AGREEMENT,  ANY  ADDITIONAL  INTERCREDITOR  AGREEMENT  OR  ANY  OTHER  INTERCREDITOR  AGREEMENT  CONTEMPLATED BY THIS AGREEMENT.  A COPY OF THE INTERCREDITOR AGREEMENT AND, TO  THE EXTENT REQUESTED BY THE LEAD BORROWER AFTER THE AMENDMENT NO. 5 EFFECTIVE  DATE  TO  BE  ENTERED  INTO  IN  CONNECTION  WITH  INDEBTEDNESS  PERMITTED  AND/OR  NOT  PROHIBITED BY THIS AGREEMENT TO BE INCURRED AND PERMITTED BY THIS AGREEMENT TO  BE  SUBJECT  TO  SUCH  INTERCREDITOR  AGREEMENT,  ANY  ADDITIONAL  INTERCREDITOR  AGREEMENT  OR  ANY  OTHER  INTERCREDITOR  AGREEMENT  CONTEMPLATED  BY  THIS  AGREEMENT MAY BE OBTAINED FROM THE ADMINISTRATIVE AGENT.          (c)     THE  INTERCREDITOR  AGREEMENT  AND,  TO  THE  EXTENT  REQUESTED  BY  THE  LEAD  BORROWER  AFTER  THE  AMENDMENT  NO.  5  EFFECTIVE  DATE  TO  BE  ENTERED  INTO  IN  CONNECTION WITH INDEBTEDNESS PERMITTED AND/OR NOT PROHIBITED BY THIS AGREEMENT  TO  BE  INCURRED  AND  PERMITTED  BY  THIS  AGREEMENT  TO  BE  SUBJECT  TO  SUCH  INTERCREDITOR AGREEMENT, ANY ADDITIONAL INTERCREDITOR AGREEMENT OR ANY OTHER  INTERCREDITOR AGREEMENT CONTEMPLATED BY THIS AGREEMENT IS AN AGREEMENT SOLELY  AMONGST THE LENDERS (AND THEIR SUCCESSORS AND ASSIGNS) AND IS NOT AN AGREEMENT  TO  WHICH  HOLDINGS  OR  ANY  OF  ITS  SUBSIDIARIES  IS  PARTY.   AS  MORE  FULLY  PROVIDED  THEREIN,  THE  INTERCREDITOR  AGREEMENT  AND,  TO  THE  EXTENT  REQUESTED  BY  THE  LEAD  BORROWER  AFTER  THE  AMENDMENT  NO.  5  EFFECTIVE  DATE  TO  BE  ENTERED  INTO  IN  CONNECTION WITH INDEBTEDNESS PERMITTED AND/OR NOT PROHIBITED BY THIS AGREEMENT  TO  BE  INCURRED  AND  PERMITTED  BY  THIS  AGREEMENT  TO  BE  SUBJECT  TO  SUCH  INTERCREDITOR AGREEMENT, ANY ADDITIONAL INTERCREDITOR AGREEMENT OR ANY OTHER  INTERCREDITOR  AGREEMENT  CONTEMPLATED  BY  THIS  AGREEMENT  CAN  ONLY  BE  AMENDED  BY THE PARTIES THERETO IN ACCORDANCE WITH THE PROVISIONS THEREOF.          Section 13.21 Absence  of  Fiduciary  Relationship.   Notwithstanding  any  other  provision  of  this  Agreement  or  any  provision  of  any  other  Credit  Document,  (i)  none  of  the  Lead  Arrangers,  the  Documentation  Agent,  the  Syndication  Agents  or  any  Lender  shall,  solely  by  reason  of  this  Agreement  or  any  other  Credit  Document, have any fiduciary, advisory or agency relationship or duty in respect of any Lender or any other Person  and (ii) Holdings and the Borrowers hereby waive, to the fullest extent permitted by law, any claims they may have  against the Lead Arrangers, the Documentation Agent, the Syndication Agents or any Lender for breach of fiduciary  duty or alleged breach of fiduciary duty.          Section 13.22 Judgment Currency.  If, for purposes of obtaining judgment in any court, it is necessary to  convert a sum from the currency provided under a Credit Document (“Agreement Currency”) into another currency,  the rate of exchange used shall be the Spot Rate for conversion into U.S. Dollars or, for conversion into another  currency,  the  spot  rate  for  the  purchase  of  the  Agreement  Currency  with  such  other  currency  through  the  Administrative  Agent’s  principal  foreign  exchange  trading  office  for  the  other  currency  during  such  office’s  preceding  Business  Day.   Notwithstanding  any  judgment  in  a  currency  (“Judgment  Currency”)  other  than  the  Agreement Currency, a Borrower shall discharge its obligation in respect of any sum due under a Credit Document  only if, on the Business Day following receipt by the Administrative Agent of payment in the Judgment Currency,  the Administrative Agent can use the amount paid to purchase the sum originally due in the Agreement Currency.  If  the  purchased  amount  is  less  than  the  sum  originally  due,  such  Borrower  agrees,  as  a  separate  obligation  and  notwithstanding any such judgment, to indemnify the Administrative Agent and Lenders against such loss.  If the  purchased amount is greater than the sum originally due, the Administrative Agent shall return the excess amount to  such Borrower (or to the Person legally entitled thereto).          Section 13.23 Electronic  Execution  of  Assignments  and  Certain  Other  Documents.   The  words  “execution,” “execute,” “signed,” “signature,” and words of like import in or related to any document to be signed in  connection with this Agreement and the transactions contemplated hereby (including without limitation Assignment  and Assumptions, amendments  or  other Notice of  Borrowings,  waivers  and consents) shall be deemed to include  electronic signatures, the electronic matching of assignment terms and contract formations on electronic platforms                                                 -208- 

 

  approved by the Administrative Agent, or the keeping of records in electronic form, each of which shall be of the  same  legal  effect,  validity  or  enforceability  as  a  manually  executed  signature  or  the  use  of  a  paper-based  recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the  Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and  Records  Act,  or  any  other  similar  state  laws  based  on  the  Uniform  Electronic  Transactions  Act; provided  that  notwithstanding anything contained herein to the contrary the Administrative Agent is under no obligation to agree  to accept electronic signatures in any form or in any format unless expressly agreed to by the Administrative Agent  pursuant to procedures approved by it.          Section 13.24 Entire  Agreement.  This  Agreement  and the  other  Credit  Documents  represent  the  final  agreement among the parties and may not be contradicted by evidence of prior, contemporaneous or subsequent oral  agreements of the parties.  There are no unwritten oral agreements among the parties.          Section 13.25 Appointment  of  Collateral  Agent  as  Security  Trustee.   For  purposes  of  any  Liens  or  Collateral  created  under  the  Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  Australian  Security Documents, Irish Security Documents, the UK Security Documents (or, in the case of paragraph (c), the  French  Security  Documents)  and  any  Additional  Security  Document  governed  by  Hong  Kong,  Irish,  Singapore,  Australian, English or, in the case of paragraph (c), French law, the following additional provisions shall apply, in  addition to the provisions set out in Article 12 or otherwise hereunder.          (a)     In this Section 13.25, the following expressions have the following meanings:                   (i)   “Appointee” shall mean any receiver, administrator, judicial manager or other insolvency         officer appointed in respect of any Credit Party or its assets.                  (ii)   “Charged  Property”  shall  mean  the  assets  of  the  Credit  Parties  subject  to  a  security         interest  under  the  Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  the  Australian         Security Documents, the Irish Security Documents or the UK Security Documents.                 (iii)   “Delegate”  shall  mean  any  delegate,  agent,  attorney  or  co-trustee  appointed  by  the         relevant Collateral Agent (in its capacity as security trustee).          (b)     The Secured Creditors appoint the Asian Collateral Agent to hold the security interests constituted  by the Hong Kong Security Documents, the Singapore Security Documents, the Australian Collateral Agent to hold  the security interests constituted by the Australian Security Documents and the European Collateral Agent to hold  the  security  interests constituted  by  the Irish Security Documents  or  the UK Security  Documents on trust for the  Secured Creditors on the terms of the Credit Documents and the relevant Collateral Agents accept that appointment.           (c)     The  Secured  Creditors  hereby  irrevocably  appoint  J.P.  Morgan  Europe  Limited  as  French  Collateral  Agent  to create, register,  manage and enforce on their behalf the security interests constituted by the  French Security Documents of the French Borrowers in accordance with Article 2328-1 of the French Civil Code, as  amended  from  time  to  time  on  the  terms  of  the  Credit  Documents  and  J.P.  Morgan  Europe  Limited  accepts  that  appointment as French Collateral Agent.  Moreover, in accordance with Article 1161 of the French Civil Code as  amended from time to time, the Secured Creditors authorize J.P. Morgan Europe Limited to act in the name and on  behalf of each Secured Creditor as French Collateral Agent and to act in its own name and capacity as, notably,  French Collateral Agent, in each case pursuant to the Credit Documents.          (d)     Each applicable Collateral Agent, its subsidiaries and associated companies may each retain for its  own account and benefit any fee, remuneration and profits paid to it in connection with (i) its activities under the  Credit Documents; and (ii) its engagement in any kind of banking or other business with any Credit Party.          (e)     Nothing in this Agreement constitutes any Collateral Agent as a trustee or fiduciary of, nor shall  any Collateral Agent have any duty or responsibility to, any Credit Party.                                                  -209- 

 

         (f)     No applicable Collateral Agent shall have any duties or obligations to any other Person except for  those which are expressly specified in the Credit Documents or mandatorily required by applicable law.          (g)     Each applicable Collateral Agent may appoint one or more Delegates on such terms (which may  include the power to sub-delegate) and subject to such conditions as it thinks fit, to exercise and perform all or any  of  the  duties,  rights,  powers  and  discretions  vested  in  it  by  the  Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  the  Australian  Security  Documents,  the  Irish  Security  Documents  or  the  UK  Security  Documents and shall not be obliged to supervise any Delegate or be responsible to any person for any loss incurred  by reason of any act, omission, misconduct or default on the part of any Delegate.          (h)     Each applicable Collateral Agent  may (whether for the purpose of complying  with  any  law or  regulation of any overseas jurisdiction, or for any other reason) appoint (and subsequently remove) any person to act  jointly with such Collateral Agent either as a separate trustee or as a co-trustee on such terms and subject to such  conditions as the applicable Collateral Agent thinks fit and with such of the duties, rights, powers and discretions  vested  in  the  applicable  Collateral  Agent  by  the  Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  the  Australian  Security  Documents,  the  Irish  Security  Documents  or  the  UK  Security  Documents  as  may be conferred by the instrument of appointment of that person.          (i)     The applicable Collateral Agent shall notify the Lenders of the appointment of each Appointee  (other than a Delegate).          (j)     The applicable Collateral Agent may pay reasonable remuneration to any Delegate or Appointee,  together  with  any  costs  and  expenses  (including  legal  fees)  reasonably  incurred  by  the  Delegate  or  Appointee  in  connection with its appointment.  All such remuneration, costs and expenses shall be treated, for the purposes of this  Agreement, as paid or incurred by the applicable Collateral Agent.          (k)     Each Delegate and each Appointee shall have every benefit, right, power and discretion and the  benefit  of  every  exculpation  (together  “Rights”)  of  the  applicable  Collateral  Agent  (in  its  capacity  as  security  trustee)  under  the  Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  the  Australian  Security  Documents, the Irish Security Documents or the UK Security Documents, and each reference to the Collateral Agent  (where  the  context  requires  that  such  reference  is  to  the  applicable  Collateral  Agent  in  its  capacity  as  security  trustee) in the provisions of the Hong Kong Security Documents, the Singapore Security Documents, the Australian  Security  Documents, the Irish Security Documents or the UK Security  Documents  which confer Rights shall be  deemed to include a reference to each Delegate and each Appointee.          (l)     Each  Secured  Creditor  confirms  its  approval  of  the  Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  the  Australian  Security  Documents,  the  Irish  Security  Documents  or  the  UK  Security Documents and authorizes and instructs the applicable Collateral Agent: (i) to execute and deliver the Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  the  Australian  Security  Documents,  the  Irish  Security Documents or the UK Security Documents; (ii) to exercise the rights, powers and discretions given to the  applicable Collateral Agent (in its capacity as security trustee) under or in connection with the Hong Kong Security  Documents, the Singapore Security Documents, the Australian Security Documents, the Irish Security Documents or  the UK Security Documents together with any other incidental rights, powers and discretions; and (iii) to give any  authorizations and confirmations to be given by the applicable Collateral Agent (in its capacity as security trustee)  on behalf of the Secured Creditors under the Hong Kong Security Documents, the Singapore Security Documents,  the Australian Security Documents, the Irish Security Documents or the UK Security Documents.          (m)     Each applicable Collateral Agent may accept without inquiry the title (if any) which any person  may have to the Charged Property.          (n)     Each other Secured Creditor confirms that it does not wish to be registered as a joint proprietor of  any security interest constituted by a Hong Kong Security Document, a Singapore Security Document, an Australian  Security Document, an Irish Security Document or a UK Security Document and accordingly authorizes: (a) the  applicable Collateral Agent to hold such security interest in its sole name (or in the name of any Delegate) as trustee  for the Secured Creditors; and (b) (except in the case of a Hong Kong Security Document) the Land Registry (or                                                  -210- 

 

  other relevant registry) to register the applicable Collateral Agent (or any Delegate or Appointee) as a sole proprietor  of such security interest.          (o)     Except to the extent that a Hong Kong Security Document, a Singapore Security Document, an  Australian  Security  Document,  an  Irish  Security  Document  or  a  UK  Security  Document  otherwise  requires,  any  moneys  which  the applicable Collateral Agent receives under or pursuant  to  a Hong Kong Security  Document,  a  Singapore  Security  Document,  an  Australian  Security  Document,  an  Irish  Security  Document  or  a  UK  Security  Document  may be: (a) invested in any  investments  which the applicable Collateral  Agent selects and  which are  authorized by applicable law; or (b) placed on deposit at any bank or institution (including the applicable Collateral  Agent) on terms that the applicable Collateral Agent thinks fit, in each case in the name or under the control of the  applicable Collateral Agent, and the applicable Collateral Agent shall hold those moneys, together with any accrued  income (net of any applicable Tax) to the order of the Lenders, and shall pay them to the Lenders on demand.          (p)     On a disposal of any of the Charged Property which is permitted under the Credit Documents,  each  applicable  Collateral  Agent  shall  (at  the  cost  of  the  Credit  Parties)  execute  any  release  of  the  Hong  Kong  Security  Documents,  the  Singapore  Security  Documents,  the  Australian  Security  Documents,  the  Irish  Security  Documents or the UK Security Documents or other claim over that Charged Property and issue any certificates of  non-crystallization of floating charges that may be required or take any other action that any applicable Collateral  Agent considers desirable.          (q)     No applicable Collateral Agent shall be liable for:                   (i)   any defect in or failure of the title (if any) which any person may have to any assets over         which  security  is  intended  to  be  created  by  a  Hong  Kong  Security  Document,  a  Singapore  Security         Document, an Australian Security Document, an Irish Security Document or a UK Security Document;                  (ii)   any loss resulting from the investment or deposit at any bank of moneys which it invests         or deposits in a manner permitted by a Hong Kong Security Document, a Singapore Security Document, an         Australian Security Document, an Irish Security Document or a UK Security Document;                 (iii)   the exercise of, or the failure to exercise, any right, power or discretion given to it by or         in connection with any Credit Document or any other agreement, arrangement or document entered into, or         executed in anticipation of, under or in connection with, any Credit Document; or                  (iv)   any  shortfall  which  arises  on  enforcing  a  Hong  Kong  Security  Document,  a  Singapore         Security  Document,  an  Australian  Security  Document,  an  Irish  Security  Document  or  a  UK  Security         Document.          (r)     No applicable Collateral Agent shall be obligated to:                   (i)   obtain  any  authorization  or  environmental  permit  in  respect  of  any  of  the  Charged         Property  or  a  Hong  Kong  Security  Document,  a  Singapore  Security  Document,  an  Australian  Security         Document, an Irish Security Document or a UK Security Document;                  (ii)   hold  in  its  own  possession  a  Hong  Kong  Security  Document,  a  Singapore  Security         Document, an Australian Security Document, an Irish Security Document or a UK Security Document, title         deed or other document relating to the Charged Property or a Hong Kong Security Document, a Singapore         Security  Document,  an  Australian  Security  Document,  an  Irish  Security  Document  or  a  UK  Security         Document;                 (iii)   perfect, protect, register, make any filing or give any notice in respect of a Hong Kong         Security Document, a Singapore Security Document, an Australian Security Document, an Irish Security         Document or a UK Security Document (or the order of ranking of a Hong Kong Security Document, a         Singapore  Security  Document,  an  Australian  Security  Document,  an  Irish  Security  Document  or  a  UK                                                  -211- 

 

         Security Document), unless that failure arises directly from its own gross negligence or willful misconduct;         or                  (iv)   require  any  further  assurances  in  relation  to  a  Hong  Kong  Security  Document,  a         Singapore  Security  Document,  an  Australian  Security  Document,  an  Irish  Security  Document  or  a  UK         Security Document.          (s)     In  respect  of  any  Hong  Kong  Security  Document,  any  Singapore  Security  Document,  any  Australian  Security  Document,  any Irish  Security  Document  or UK Security Document, the  applicable Collateral  Agent shall not be obligated to: (i) insure, or require any other person to insure, the Charged Property; or (ii) make  any enquiry or conduct any investigation into the legality, validity, effectiveness, adequacy or enforceability of any  insurance existing over such Charged Property.          (t)     In  respect  of  any  Hong  Kong  Security  Document,  any  Singapore  Security  Document,  any  Australian  Security  Document,  any Irish  Security  Document  or UK Security Document, the  applicable Collateral  Agent  shall  not  have  any  obligation  or  duty  to  any  person  for  any  loss  suffered  as  a  result  of:  (i)  the  lack  or  inadequacy  of  any  insurance;  or  (ii)  the  failure  of  the  applicable  Collateral  Agent  to  notify  the  insurers  of  any  material fact relating to the risk assumed by them, or of any other information of any kind, unless Required Lenders  have requested it to do so in writing and the applicable Collateral Agent has failed to do so within fourteen (14) days  after receipt of that request.          (u)     Every appointment of a successor Asian Collateral Agent under a Hong Kong Security Document  or a Singapore Security Document, a successor Australian Collateral Agent under an Australian Security Document,  or a successor European Collateral Agent under an Irish Security Document or a UK Security Document shall be by  deed.          (v)     Section  1  of  the  Trustee  Act  2000  (UK)  shall  not  apply  to  the  duty  of  the  European  Collateral  Agent in relation to the trusts constituted by this Agreement.          (w)     In the case of any conflict between the provisions of this Agreement and those of the Trustee Act  1925 (UK) or the Trustee Act 2000 (UK), the provisions of this Agreement shall prevail to the extent allowed by  law, and shall constitute a restriction or exclusion for the purposes of the Trustee Act 2000 (UK).          (x)     The perpetuity period under the rule against perpetuities if applicable to this Agreement and any  Singapore  Security  Document,  any  Australian  Security  Document,  any  Irish  Security  Document  or  UK  Security  Document shall be 80 years from the date of this Agreement.          No  party  (other  than  the  applicable  Collateral  Agent)  may  take  any  proceedings  against  any  officer,  employee or agent of any Collateral Agent in respect of any claim it might have against that Collateral Agent or in  respect of any act or omission of any kind by that officer, employee or agent in relation to the Singapore Security  Documents, the Australian Security Documents, the Irish Security Documents or the UK Security Documents and  any officer, employee or agent of the applicable Collateral Agent may rely on this clause (i) and the provisions of  the Contracts (Rights of Third Parties) Act 1999.          (y)     Collateral limitation of liability to non-Beneficiaries:                   (i)   Each  applicable  Collateral  Agent,  in  its  capacity  as  security  trustee,  enters  into  and         performs the applicable Security Documents and the transactions they contemplate only as the trustee of the         security  trust  constituted  pursuant  to  Section  13.25(b)  (“Security  Trust”),  except  where  expressly  stated         otherwise.  This applies also in respect of any past and future conduct (including omissions) relating to this         Agreement or those transactions.                    (ii)   Under and in connection with the applicable Security Documents and those transactions         and conduct:                                                  -212- 

 

                                 (A)    each  applicable  Collateral  Agent’s  liability  (including  for  negligence)  to  the          Credit Parties is limited to the extent it can be satisfied out of the Charged Property assets.  An          applicable Collateral Agent need not pay any such liability out of other assets;                   (B)    a  Credit  Party  may  only  do  the  following  with  respect  to  any  applicable          Collateral Agent (but any resulting liability remains subject to the limitations in this clause (y)):                  (1)    prove  and  participate  in,  and  otherwise  benefit  from,  any  winding  up  of  the          Collateral Agent or any form of insolvency administration of the Collateral Agent but only with          respect to Security Trust assets;                  (2)    exercise rights and remedies with respect to Security Trust assets, including set-         off;                   (3)    enforce its security (if any) and exercise contractual rights; and                  (4)    bring any proceedings against the Collateral Agent seeking relief or orders that          are not inconsistent with the limitations in this clause (y),    and may not:                  (5)    bring other proceedings against the Collateral Agent;                  (6)    take any steps to have the Collateral Agent wound up or placed in any form of          insolvency administration or to have a receiver or receiver and manager appointed; or                  (7)    seek by any means (including set-off) to have a liability of the Collateral Agent          to that Credit Party (including for negligence) satisfied out of any assets of the Collateral Agent          other than Security Trust assets.          (iii)   Paragraphs  (i)  and  (ii)  apply  despite  any  other  provision  in  the  applicable  Security  Documents but do not apply with respect to any liability of an applicable Collateral Agent to a Credit Party  (including for negligence):                  (A)    to  the  extent  that  the  Collateral  Agent  has  no  right  or  power  to  have  Security          Trust assets applied towards satisfaction of that liability, or its right or power to do so is subject to          a deduction, reduction, limit  or requirement to make  good, in either case because the Collateral          Agent’s behavior was beyond power or improper in relation to the Security Trust; or                  (B)    under  any  provision  which  expressly  binds  the  Collateral  Agent  other  than  as          trustee of the Security Trust (whether or not it also binds it as trustee of the Security Trust).           (iv)   The limitation in paragraph (ii)(A) is to be disregarded for the purposes (but only for the  purposes) of the rights and remedies described in paragraph (ii)(B), and interpreting the applicable Security  Documents and any security for them, including determining the following:                  (A)    whether amounts are to be regarded as payable (and for this purpose damages or          other amounts will be regarded as a payable if they would have been owed had a suit or action          barred under paragraph (ii)(B) been brought);                  (B)    the calculation of amounts owing; or                   (C)    whether a breach or default has occurred,   but any resulting liability will be subject to the limitations in this clause (y).                                           -213- 

 

         Section 13.26 Limitations of Enforcement against German Credit Parties.           (a)     The Secured Creditors agree to restrict the enforcement of payment claims under this Agreement if  and to the extent that (i) the relevant payment is applied in satisfaction of any liabilities of the respective German  Credit Party’s direct or indirect shareholder(s) (upstream) or any entity affiliated to such shareholder (verbundenes  Unternehmen) within the meaning of section 15 of the German Stock Corporation Act (Aktiengesetz) (cross-stream)  (other  than  the  liabilities  of  any  of  the  respective  German  Credit  Party’s  wholly  owned  subsidiaries  and,  for  the  avoidance  of  doubt,  the  respective  German  Credit  Party’s  own  liabilities)  and  (ii)  such  payment  under  this  Agreement would cause the amount of the respective German Credit Party’s net assets (Reinvermögen), as adjusted  pursuant  to  the  following  provisions,  to  fall  below  the  amount  of  its  registered  share  capital  (Stammkapital)  (Begründung  einer  Unterbilanz)  or  to  increase  any  already  existing  capital  impairment  (Vertiefung  einer  Unterbilanz) in violation of sections 30 and 31 of the German Limited Liability Company Act (GmbHG), (each such  event  is  hereinafter  referred  to  as  a  “Capital  Impairment”).  For  the  purposes  of  the  calculation  of  a  Capital  Impairment, the following balance sheet items shall be adjusted as follows: (i) the amount of any increase of the  respective  German  Credit  Party’s  registered  share  capital  after  the  date  of  this  Agreement  that  is  not  expressly  permitted under the Credit Documents shall be deducted from the respective German Credit Party’s registered share  capital; (ii) loans provided to the respective German Credit Party by any member of the group shall be disregarded if  and to the extent such loans are subordinated or are considered subordinated by operation of law and such loans are  not shown in the balance sheet as liability of the respective German Credit Party; and (iii) loans or other contractual  liabilities incurred in violation of the provisions of the Credit Documents shall be disregarded.          (b)     Disposal of relevant assets.  In a situation  where the respective German  Credit Party  would not  have sufficient assets to maintain its registered share capital after satisfaction (in whole or in part) of the relevant  demand, the respective German Credit Party shall dispose of all assets, to the extent legally permitted and (in the  Administrative Agent’s reasonable opinion) commercially justifiable, which are not necessary for its business (nicht  betriebsnotwendig)  on  market  terms  where  the  relevant  assets  are  shown  in  the  balance  sheet  of  the  respective  German Credit Party with a book value which is significantly lower than the market value of such assets.          (c)     Management Notification/Auditor’s Determination.  The limitation pursuant to this Section 13.26  shall apply, subject to the following requirements, if following a notice by the Administrative Agent that it intends  to enforce any payment claims under this Agreement, the respective German Credit Party notifies the Administrative  Agent  (“Management  Notification”)  within  fifteen  (15)  days  upon  receipt  of  the  relevant  notice  that  a  Capital  Impairment would occur (setting out in reasonable detail to what extent a Capital Impairment would occur).  If the  Management Notification is contested by the Administrative Agent, the Administrative Agent shall nevertheless be  entitled  to  enforce  any  payment  claims  under  this  Agreement  up  to  such  amount,  which  is,  based  on  the  Management  Notification,  undisputed  between  itself  and  the  respective  German  Credit  Party.  In  relation  to  the  amount which is in dispute, the respective German Credit Party undertakes (at its own cost and expense) to arrange  for the preparation of a balance sheet by its auditors in order to have such auditors determine whether (and if so, to  what  extent)  any  enforcement  of  payment  claims  under  this  Agreement  would  cause  a  Capital  Impairment  (the  “Auditor’s Determination”). The Auditor’s Determination shall be prepared, taking into account the adjustments set  out above in relation to the  calculation of a Capital Impairment, by applying the generally accepted accounting  principles applicable from time to time in Germany (Grundsätze ordnungsmäßiger Buchführung) based on the same  principles and evaluation methods as consistently applied by the respective German Credit Party in the preparation  of its financial statements, in particular in the preparation of its most recent annual balance sheet, and taking into  consideration  applicable  court  rulings  of  German  courts.  The  respective  German  Credit  Party  shall  provide  the  Auditor’s  Determination  to  the  Administrative  Agent  within  thirty  (30)  days  from  the  date  on  which  the  Administrative  Agent  contested  the  Management  Notification  in  writing.  The  Auditor’s  Determination  shall  be  binding on the respective German Credit Party and the Administrative Agent.  If, and to the extent that, any payment  claims under this Agreement has been enforced without regard to the limitation set forth in Section 13.26(a) because  the amount of the available net assets pursuant to the Auditor’s Determination is lower than the amount stated in the  Management  Notification,  the  Administrative  Agent  shall  upon  written  demand  of  the  respective  German  Credit  Party to the Administrative Agent repay any amount (if and to the extent already paid to the Administrative Agent)  up to and including the amount calculated in the Auditor’s Determination as of the date the demand to enforce any  payment  claims  under  this  Agreement  was  made  and  in  accordance  with  this  Section 13.26(c),  provided  such  demand for payment is made to the Administrative Agent within six (6) months (Ausschlussfrist) from the date any  payment claim under this Agreement has been enforced.  If pursuant to the Auditor’s Determination the amount of                                                 -214- 

 

  the  available net  assets is higher than set out  in  the Management  Notification, the  Administrative  Agent  shall  be  entitled to enforce into such available net assets accordingly.          (d)     Exceptions.  Notwithstanding  the above,  the limitations pursuant to this  Section 13.26  shall not  apply: (i) if, at the time of the enforcement of payment claims hereunder, or after such enforcement, the limitations  set out in Section 13.26(a) are (due to a change in law or applicable court rulings or otherwise) no longer required in  order to protect the managing director(s) of the respective German Credit Party from being personally or criminally  liable for such obligation according to section 31 of the German Limited Liability Companies Act (GmbH-Gesetz);  or  (ii)  if  the  respective  German  Credit  Party  is  party  as  dominated  entity  (beherrschtes  Unternehmen)  of  a  domination  agreement   (Beherrschungsvertrag)  and/or  a  profit  and   loss  transfer  agreement  (Gewinnabführungsvertrag) pursuant to section 30 para 1 sentence 2 of the German Limited Liability Company Act  (GmbHG), unless the enforcement of payment claims hereunder would cause of violation of sections 30, 31 of the  German Limited Liability Company Act (GmbHG); or (iii) if the respective German Credit Party has a recourse  right (Rückgriffsanspruch) pursuant to section 30 para 1 sentence 2 of the German Limited Liability Company Act  (GmbHG),  towards  its  direct  or  indirect  shareholder(s)  (upstream)  or  any  entity  affiliated  to  such  shareholder  (verbundenes Unternehmen) within the meaning of section 15 of the German Stock Corporation Act (Aktiengesetz)  (cross-stream) which is fully recoverable (werthaltig); or (iv) for so long as the respective German Credit Party fails  to deliver the Management Notification and/or the Auditor’s Determination pursuant to Section 13.26(c); or (v) to  any amounts borrowed under the Credit Documents to the extent the proceeds of such borrowing are on-lent to the  respective German Credit Party or its Subsidiaries to the extent that any amounts so on-lent are still outstanding at  the time the relevant demand is made against the respective German Credit Party and the repayment of such loans as  a result of such on-lending is not prohibited by the Credit Documents or by operation of law.          GmbH & Co KG.  The provisions of this Section 13.26 shall apply to a limited partnership with a limited  liability company as its general partner (GmbH & Co. KG) mutatis mutandis, provided that any Capital Impairment  shall be determined in relation to the general partner.          Section 13.27 Acknowledgement and Consent to Bail-In of EEA Financial Institutions.  Notwithstanding  anything to the contrary in any Credit Document or in any other agreement, arrangement or understanding among  any  such  parties,  each  party  hereto  acknowledges  and  accepts  that  any  liability  of  any  EEA  Financial  Institution  arising under any Credit Document may be subject to the Bail-In Action by the relevant Resolution Authority and  acknowledges and accepts to be bound by the effect of:                  (a)    any Bail-In Action in relation to any such liability, including (without limitation):                          (i)   a reduction, in full or in part, in the principal amount, or outstanding amount due                 (including any accrued but unpaid interest) in respect of any such liability;                         (ii)   a conversion of all, or part of, any such liability into shares or other instruments                 of ownership that may be issued to, or conferred on, it; and                         (iii)  a cancellation of any such liability; and                  (b)    a variation of any term of any Finance Document to the extent necessary to give effect to         any Bail-In Action in relation to any such liability.          Section 13.28 Acknowledgement  Regarding  Any  Supported  QFCs.   To  the  extent  that  the  Credit  Documents  provide  support,  through  a  guarantee  or  otherwise,  for  interest  rate  protection  agreements  or  other  hedging agreements or any other agreement or instrument that is a QFC (such support, “QFC Credit Support” and  each such QFC a “Supported QFC”), the parties acknowledge and agree as follows with respect to the resolution  power of the Federal Deposit Insurance Corporation under the Federal Deposit Insurance Act and Title II of the  Dodd-Frank  Wall  Street  Reform  and  Consumer  Protection  Act  (together  with  the  regulations  promulgated  thereunder,  the  “U.S.  Special  Resolution  Regimes”)  in  respect  of  such  Supported  QFC  and  QFC  Credit  Support  (with the provisions below applicable notwithstanding that the Credit Documents and any Supported QFC may in                                                  -215- 

 

  fact be stated to be governed by the laws of the State of New York and/or of the United States or any other state of  the United States).          In the event a Covered Entity that is party to a Supported QFC (each, a “Covered Party”) becomes subject  to a proceeding under a U.S. Special Resolution Regime, the transfer of such Supported QFC and the benefit of such  QFC Credit Support (and any interest and obligation in or under such Supported QFC and such QFC Credit Support,  and any rights in property securing such Supported QFC or such QFC Credit Support) from such Covered Party will  be effective to the same extent as the transfer would be effective under the U.S. Special Resolution Regime if the  Supported  QFC  and  such  QFC  Credit  Support  (and  any  such  interest,  obligation  and  rights  in  property)  were  governed by the laws of the United States or a state of the United States. In the event a Covered Party or a BHC Act  Affiliate  of  a  Covered  Party  becomes  subject  to  a  proceeding  under  a  U.S.  Special  Resolution  Regime,  Default  Rights under the Credit Documents that might otherwise apply to such Supported QFC or any QFC Credit Support  that  may  be  exercised  against  such  Covered  Party  are  permitted  to  be  exercised  to  no  greater  extent  than  such  Default Rights could be exercised under the U.S. Special Resolution Regime if the Supported QFC and the Credit  Documents were governed by the laws of the United States or a state of the United States. Without limitation of the  foregoing, it is understood and agreed that rights and remedies of the parties  with respect to a Defaulting Lender  shall in no event affect the rights of any Covered Party with respect to a Supported QFC or any QFC Credit Support.                                                                                             *       *      *                                                    -216-

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