Document:

EXHIBIT 4.1

 

HUDSON GLOBAL, INC.

 

and

 

COMPUTERSHARE INC.

 

Rights Agent

  

 

 

AMENDED AND RESTATED RIGHTS AGREEMENT

 

Dated as of January 15, 2015

 

    	 

    	 

    

 

TABLE OF CONTENTS

 

	Section 1.	Certain Definitions	1
	 	 	 
	Section 2.	Appointment of Rights Agent	7
	 	 	 
	Section 3.	Issue of Right Certificates.	7
	 	 	 
	Section 4.	Form of Right Certificates	8
	 	 	 
	Section 5.	Countersignature and Registration.	9
	 	 	 
	Section 6.	Transfer, Split Up, Combination and Exchange of Right Certificates; Mutilated, Destroyed, Lost or Stolen Right Certificates.	10
	 	 	 
	Section 7.	Exercise of Rights; Purchase Price; Expiration Date of Rights.	10
	 	 	 
	Section 8.	Cancellation and Destruction of Right Certificates	11
	 	 	 
	Section 9.	Reservation and Availability of Preferred Shares.	12
	 	 	 
	Section 10.	Preferred Shares Record Date	13
	 	 	 
	Section 11.	Adjustment of Purchase Price, Number of Shares or Number of Rights	13
	 	 	 
	Section 12.	Certificate of Adjusted Purchase Price or Number of Shares	18
	 	 	 
	Section 13.	[Reserved].	19
	 	 	 
	Section 14.	Fractional Rights and Fractional Shares.	19
	 	 	 
	Section 15.	Rights of Action	20
	 	 	 
	Section 16.	Agreement of Right Holders	20
	 	 	 
	Section 17.	Right Certificate Holder Not Deemed a Stockholder	21
	 	 	 
	Section 18.	Concerning the Rights Agent.	21
	 	 	 
	Section 19.	Merger or Consolidation or Change of Name of Rights Agent.	21
	 	 	 
	Section 20.	Duties of Rights Agent	22
	 	 	 
	Section 21.	Change of Rights Agent	24
	 	 	 
	Section 22.	Issuance of New Right Certificates	24
	 	 	 
	Section 23.	Redemption.	24
	 	 	 
	Section 24.	Exchange.	25

 

    	i

    	 

    

 

	Section 25.	Process to Seek Exemption Prior to Distribution Date.	26
	 	 	 
	Section 26.	Notice of Certain Events.	28
	 	 	 
	Section 27.	Notices.	28
	 	 	 
	Section 28.	Supplements and Amendments	29
	 	 	 
	Section 29.	Successors	29
	 	 	 
	Section 30.	Benefits of this Agreement	29
	 	 	 
	Section 31.	Severability	29
	 	 	 
	Section 32.	Governing Law	30
	 	 	 
	Section 33.	Counterparts	30
	 	 	 
	Section 34.	Descriptive Headings; Interpretation	30
	 	 	 
	Section 35.	Determinations and Actions by the Board	30
	 	 	 
	Section 36.	Book Entry	30
	 	 	 
	Section 37.	Amendment and Restatement	30
	 	 	 
	Section 38.	Force Majeure	31

 

Exhibit A – Form of Representation
and Request Letter

 

Exhibit B – Terms of Series A Junior
Participating Preferred Stock

 

Exhibit C - Form of Right Certificate

 

Exhibit D - Summary of Rights to Purchase
Preferred Shares

 

    	ii

    	 

    

 

AMENDED AND RESTATED RIGHTS AGREEMENT

 

THIS AMENDED AND RESTATED
RIGHTS AGREEMENT (this “Agreement”), is dated as of January 15, 2015, between HUDSON GLOBAL, INC., a Delaware
corporation (the “Company”), and COMPUTERSHARE INC., a Delaware corporation, successor rights agent to THE
BANK OF NEW YORK (the “Rights Agent”).

 

WHEREAS, the Board
of Directors of the Company authorized a Rights Agreement, dated as of February 2, 2005 (the “Original Rights Agreement”),
declared a dividend of one preferred share purchase right (a “Right”) for each Common Share (as hereinafter defined)
of the Company outstanding upon the close of business on February 28, 2005 (the “Record Date”) payable upon the close
of business on such date, and authorized and directed the issuance of one Right with respect to each Common Share issued between
the Record Date and the earliest of certain dates specified in the Original Rights Agreement, each Right representing the right
to purchase one one-hundredth of a Preferred Share (as hereinafter defined) of the Company upon the terms and subject to the conditions
set forth in the Original Rights Agreement;

 

WHEREAS, if the
Company experiences an “ownership change,” as defined in Section 382 of the Internal Revenue Code of 1986, as amended
(the “Code”), then its ability to use its Tax Benefits (as hereinafter defined) for United States federal income tax
purposes could be substantially limited; and

 

WHEREAS, the Company
views its Tax Benefits as valuable assets of the Company, which are likely to inure to the benefit of the Company and its stockholders,
and the Company believes that it is in the best interests of the Company and its stockholders that the Company provide for the
protection of the Company’s Tax Benefits upon the terms and conditions set forth herein.

 

NOW, THEREFORE,
in consideration of the premises and the mutual agreements herein set forth, the Company and the Rights Agent hereby amend and
restate the Original Rights Agreement to provide as follows:

 

Section 1.          Certain
Definitions. For purposes of this Agreement, the following terms have the meanings indicated:

 

(a)          “Acquiring
Person” shall mean any Person that is or has become, by itself or together with its Affiliates and Associates, a Beneficial
Owner of 4.99% or more of the Common Shares then outstanding, but shall not include:

 

(i)          any
Related Person;

 

(ii)         any
Grandfathered Person; provided, however, that, if the Percentage Stock Ownership of any Person that had qualified as a Grandfathered
Person ceases to be at least 4.99%, then such Person shall not be deemed to be an Acquiring Person until such later time (if any)
as the Percentage Stock Ownership of such Person is 4.99% or more, and then only if such Person does not qualify (A) as an Exempt
Person, (B) for the exception in subsection (iv) of this Section 1(a), (C) as a Grandfathered Person pursuant to subsection (m)(ii)
of this Section 1, or (D) in the case of any Person who was a Grandfathered Person pursuant to subsection (m)(i) of this Section
1, as a Grandfathered Person pursuant to subsection (m)(ii) of this Section 1, which shall be applied to such Person as if the
Percentage Stock Ownership of such Person at the Original Effective Time had been less than 4.99%;

 

    	 

    	 

    

 

(iii)        any
Exempt Person;

 

(iv)        any
Person that the Company determines, in its sole discretion, has, at or after the Original Effective Time, by itself or together
with its Affiliates and Associates, inadvertently become a Beneficial Owner of 4.99% or more of the Common Shares then outstanding
(or has inadvertently failed to continue to qualify as a Grandfathered Person or Exempt Person), provided that such Person
promptly enters into, and delivers to the Company, an irrevocable commitment to divest, or cause its Affiliates and Associates
to divest, promptly after (A) if the Person delivers a representation letter pursuant to clause (i) of Section 1(i) and requests
a determination of the Company pursuant to clause (ii) of Section 1(i), then the time, if any, upon which the Company informs the
Person of its adverse determination with respect to such request (with no divestiture being required if the Person is determined
to be an Exempt Person), or (B) if the Person does not both deliver a representation letter pursuant to clause (i) of Section 1(i)
and request a determination of the Company pursuant to clause (ii) of Section 1(i), then the time of such commitment, and thereafter
such Person or its Affiliates and Associates divest to the extent and promptly after the time specified by the foregoing clause
(A) or (B) (without exercising or retaining any power, including voting power, with respect to such Common Shares (or other securities
the beneficial ownership of which by a Person also results in such Person beneficially owning Common Shares)) sufficient Common
Shares (or other securities the beneficial ownership of which by a Person also results in such Person beneficially owning Common
Shares) so that such Person’s Percentage Stock Ownership is less than 4.99% (or, in the case of any Person who or which has
inadvertently failed to continue to qualify as a Grandfathered Person or Exempt Person, Common Shares (or other securities the
beneficial ownership of which by a Person also results in such Person beneficially owning Common Shares) in an amount sufficient
to reduce such Person’s beneficial ownership of Common Shares by the number of Common Shares that caused such Person to so
fail to qualify as a Grandfathered Person or Exempt Person, as the case may be); provided, further, that any such Person
shall cease to qualify for the exclusion from the definition of “Acquiring Person” contained in this subsection (iv)
from and after such time (if any) as the Person, together with its Affiliates and Associates, subsequently becomes a Beneficial
Owner of 4.99% or more of the Common Shares then outstanding (or fails to continue to qualify as a Grandfathered Person or Exempt
Person), unless the Person independently meets the conditions set forth in this subsection (iv) with respect to the circumstances
relating to the Person, together with its Affiliates and Associates, subsequently becoming a Beneficial Owner of 4.99% or more
of the Common Shares then outstanding (or failing to continue to qualify as a Grandfathered Person or Exempt Person); and

 

(v)         any
Person that has, by itself or together with its Affiliates and Associates, become a Beneficial Owner of 4.99% or more of the Common
Shares then outstanding (or has failed to continue to qualify as a Grandfathered Person or Exempt Person) as a result of one or
more transactions that are determined to be Exempt Transactions, unless and until such time as such Person or transaction(s) no
longer satisfy the terms or conditions, if any, that the Board prescribed in its determination under subsection (i) of this Section
1 with respect to such transaction(s); provided, however, that, if the Percentage Stock Ownership of any Person that had
qualified for the exemption under this subsection (v) ceases to be at least 4.99%, then such Person shall not be deemed to be an
Acquiring Person until such later time (if any) as the Percentage Stock Ownership of such Person is 4.99% or more, and then only
if such Person does not qualify (A) as an Exempt Person, (B) for the exception in subsection (iv) of this Section 1(a), (C) as
a Grandfathered Person pursuant to subsection (m)(ii) of this Section 1, or (D) for an additional exception under this subsection
(v).

 

    	2

    	 

    

 

If officers of the Company
determine on behalf of the Company that a Person has, at or after the Original Effective Time, by itself or together with its Affiliates
and Associates, inadvertently become a Beneficial Owner of 4.99% or more of the Common Shares (or has inadvertently failed to continue
to qualify as a Grandfathered Person or Exempt Person) pursuant to subsection (iv) of this Section 1(a), then such officers shall
promptly notify the Board of such determination. Notwithstanding the foregoing, a failure to promptly make such a notification
shall not impact the effectiveness of such determination.

 

(b)          “Affiliate”
and “Associate” shall have the respective meanings ascribed to such terms in Rule 12b-2 of the General Rules and
Regulations under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), as in effect on the date of
this Agreement and, to the extent not included within the foregoing provisions of this Section 1(b), shall also include, with respect
to any Person, any other Person whose Common Shares are treated, for purposes of Section 382 of the Code and the Treasury Regulations
thereunder, as being (i) owned by such first Person (or by a Person or group of Persons to which the Common Shares owned by such
first Person are attributed pursuant to Treasury Regulation Section 1.382-2T(h)) or (ii) owned by the same “entity”
(as defined in the second sentence of Treasury Regulation Section 1.382-3(a)(1)(i)) as is deemed to own the Common Shares owned
by such first Person; provided, however, that a Person shall not be deemed to be an Affiliate or Associate of another Person
solely because either or both Persons are or were directors or officers of the Company.

 

(c)          A
Person shall be deemed the “Beneficial Owner” of and shall be deemed to “beneficially own” any securities:

 

(i)          which
such Person or any of such Person’s Affiliates or Associates beneficially owns, directly or indirectly;

 

(ii)         which
such Person or any of such Person’s Affiliates or Associates, directly or indirectly, has the right or the obligation to
acquire (whether such right is exercisable, or such obligation is required to be performed, immediately or only after the passage
of time) pursuant to any agreement, arrangement or understanding (whether or not in writing) or upon the exercise of conversion
rights, exchange rights, warrants, options, or other rights (in each case, other than upon exercise or exchange of the Rights);
provided, however, that a Person shall not be deemed the Beneficial Owner of, or to beneficially own, securities
tendered pursuant to a tender or exchange offer made by or on behalf of such Person or any of such Person’s Affiliates or
Associates until such tendered securities are accepted for purchase or exchange;

 

(iii)        which
such Person or any of such Person’s Affiliates or Associates, directly or indirectly, has or shares the right to vote or
dispose of, or has “beneficial ownership” (as defined under Rule 13d-3 of the General Rules and Regulations under the
Exchange Act) of, including pursuant to any agreement, arrangement or understanding (whether or not in writing); or

 

(iv)        with
respect to which any other Person is a Beneficial Owner, if the Person referred to in the introductory clause of this Section 1(c)
or any of such Person’s Affiliates or Associates has any agreement, arrangement or understanding (whether or not in writing)
with such other Person (or any of such other Person’s Affiliates or Associates) with respect to acquiring, holding, voting
or disposing of any securities of the Company;

 

    	3

    	 

    

 

provided, however,
that the preceding provisions of this Section 1(c) shall not be applied to cause a Person to be deemed the “Beneficial
Owner” of, or to “beneficially own,” any security (A) solely because such Person has the right to vote such security
pursuant to an agreement, arrangement or understanding (whether or not in writing) which (1) arises solely from a revocable proxy
given to such Person in response to a public proxy or consent solicitation made pursuant to, and in accordance with, the applicable
rules and regulations under the Exchange Act, and (2) is not also then reportable on Schedule 13D under the Exchange Act (or any
comparable or successor report), or (B) if such beneficial ownership arises solely as a result of such Person’s status as
a “clearing agency,” as defined in Section 3(a)(23) of the Exchange Act; provided, further, that nothing in
this Section 1(c) shall cause a Person engaged in business as an underwriter of securities or member of a selling group to be a
Beneficial Owner of, or to “beneficially own,” any securities acquired through such Person’s participation in
good faith in an underwriting syndicate until the expiration of 40 calendar days after the date of such acquisition, or such later
date as the directors of the Company may determine in any specific case; and provided, further, that the transfer of beneficial
ownership of Common Shares to any Person without any consideration for such transfer being given by such Person shall not result
in such Person becoming a Beneficial Owner of any additional Common Shares until the Person accepts such transfer. Anything in
this Agreement to the contrary notwithstanding, to the extent not within the foregoing provisions of this Section 1(c), a Person
shall be deemed the “Beneficial Owner” of, and shall be deemed to “beneficially own” or have “beneficial
ownership” of, any securities that are owned by another Person and that are treated, for purposes of Section 382 of the Code
and the Treasury Regulations thereunder, as being (x) owned by such first Person (or by a Person or group of Persons to which the
securities owned by such first Person are attributed pursuant to Treasury Regulation Section 1.382-2T(h)), or (y) owned by the
same “entity” (as defined in the second sentence of Treasury Regulation Section 1.382-3(a)(1)(i)) as is deemed to own
the securities owned by such first Person.

 

(d)          “Board”
shall mean the Board of Directors of the Company.

 

(e)          “Business
Day” shall mean any day other than a Saturday, a Sunday or a day on which banking institutions in the State of New York are
authorized or obligated by law or executive order to close.

 

(f)          “close
of business” on any given date shall mean 5:00 P.M., New York, New York time, on such date; provided, however, that
if such date is not a Business Day, then “close of business” shall mean 5:00 P.M., New York, New York time, on the
next succeeding Business Day.

 

(g)          “Common
Shares” shall mean the shares of common stock, par value $.001 per share, of the Company.

 

(h)          “Distribution
Date” shall have the meaning set forth in Section 3(a) hereof.

 

    	4

    	 

    

 

(i)          “Exempt
Person” shall mean any Person (i) who (A) delivers to the Company a letter that, as determined by the Company in its sole
discretion, is substantially in the form attached hereto as Exhibit A or (B) is an Affiliate or Associate of another Person who
delivers to the Company a letter described in clause (i)(A) and (ii) whose beneficial ownership of 4.99% or more of the outstanding
Common Shares would not, as determined (either (1) prior to the time such Person becomes the Beneficial Owner of 4.99% or more
of the Common Shares then outstanding or (2) if the Company determines pursuant to Section 1(a)(iv) that such Person (by itself
or together with its Affiliates and Associates) had inadvertently become a Beneficial Owner of 4.99% or more of the Common Shares
then outstanding, then after the time such Person becomes the Beneficial Owner of 4.99% or more of the Common Shares then outstanding)
by the Company in its sole discretion, jeopardize or endanger the availability to the Company of the Tax Benefits; provided,
however, that such Person shall not be an Exempt Person unless and until it, or its Affiliate or Associate who delivers a letter
described in clause (i), has received written notice of such determination by the Company under this clause (ii); provided,
further, that such Person shall cease to be an Exempt Person from and after the earlier of such time (if any) as (I) in respect
of the letter that such Person, or its Affiliate or Associate, delivered pursuant to clause (i), a representation or warranty of
such Person, or its Affiliate or Associate, in such letter was not true and correct when made, a representation or warranty of
such Person, or its Affiliate or Associate, in such letter that was to remain true and correct after the date of the letter as
contemplated therein ceases to remain true and correct or such Person, or its Affiliate or Associate, ceases to comply with a covenant
contained in such letter, or (II) such Person becomes the Beneficial Owner of 10% or more of the Common Shares then outstanding,
other than by virtue of any increase that is a result of an acquisition of Common Shares by the Company. Notwithstanding the foregoing,
a Grandfathered Person shall not be precluded from becoming an Exempt Person (as defined in the preceding sentence, giving effect
to this sentence) prior to the time at which such Grandfathered Person would otherwise become an Acquiring Person.

 

If any Person that had
qualified as an Exempt Person ceases to so qualify, then, for purposes of Section 1(a), such Person shall be deemed to have become,
as of the time the Person ceased to qualify as an Exempt Person, a Beneficial Owner of the Common Shares that such Person and such
Person’s Affiliates and Associates then beneficially own.

 

(j)          “Exempt
Transaction” shall mean any transaction that the Board, in its sole discretion and on such terms and conditions as the Board
may in its sole discretion prescribe, should have the consequences of an Exempt Transaction under this Agreement.

 

(k)          “Expiration
Date” means the earliest of (i) the close of business on the date of the Company’s 2015 annual meeting of stockholders
(the “2015 Annual Meeting”) if the Company’s stockholders do not approve this Agreement by the affirmative vote
of the majority of Common Shares present in person or represented by proxy at the 2015 Annual Meeting (or any adjournment or postponement
thereof); (ii) the Final Expiration Date; (iii) the time at which the Rights are redeemed as provided in Section 23 hereof
(the “Redemption Date”); (iv) the time at which the Rights are exchanged as provided in Section 24 hereof; (v)
the repeal of Section 382 of the Code if the Board determines that this Agreement is no longer necessary for the preservation of
the Tax Benefits; and (vi) the beginning of a taxable year of the Company to which the Board determines that no Tax Benefits may
be carried forward.

 

(l)          “Final
Expiration Date” shall mean the close of business on January 15, 2018.

 

(m)          “Grandfathered
Person” shall mean:

 

(i)          any
Person who does not qualify as an “Acquiring Person” (as defined in the Original Rights Agreement) immediately prior
to the Original Effective Time and who, at the Original Effective Time, was the Beneficial Owner of 4.99% or more of the Common
Shares outstanding at the Original Effective Time; provided, however, that any such Person shall cease to be a Grandfathered
Person from and after such time (if any) as the Person’s Percentage Stock Ownership shall be increased from such Person’s
lowest Percentage Stock Ownership at or after the Original Effective Time, other than any increase pursuant to or as a result of
an acquisition of Common Shares by the Company; and

 

    	5

    	 

    

 

(ii)         any
Person who (A) at the Original Effective Time, was not the Beneficial Owner of 4.99% or more of the Common Shares outstanding at
the Original Effective Time and (B) if the definition of Acquiring Person did not include an exclusion for any Grandfathered Person,
would qualify as an Acquiring Person after the Original Effective Time as a result of an acquisition of Common Shares by the Company;
provided, however, that any such Person shall cease to be a Grandfathered Person from and after such time (if any) as the
Person’s Percentage Stock Ownership shall be increased from such Person’s lowest Percentage Stock Ownership on or after
the date of the first occurrence of any acquisition of Common Shares by the Company, other than any increase pursuant to or as
a result of a subsequent acquisition of Common Shares by the Company.

 

If any Person that had
qualified as a Grandfathered Person ceases to so qualify, then, for purposes of Section 1(a), such Person and such Person’s
Affiliates and Associates shall be deemed to have become, as of the time the Person ceased to qualify as a Grandfathered Person,
a Beneficial Owner of the Common Shares that such Person and such Person’s Affiliates and Associates then beneficially own.

 

(n)          “Original
Effective Time” shall mean the close of business on January 15, 2015.

 

(o)          “Percentage
Stock Ownership” of a Person shall mean the percentage calculated by dividing (i) the number of Common Shares as to which
such Person, together with its Affiliates and Associates, is a Beneficial Owner, divided by (ii) the number of Common Shares then
outstanding.

 

(p)          “Person”
shall mean any individual, firm, corporation, partnership, trust, association, limited liability company, limited liability partnership,
governmental entity, or other entity, or any group of any one or more of the foregoing making a “coordinated acquisition”
of shares or otherwise treated as an entity within the meaning of Treasury Regulation Section 1.382-3(a)(1)(i) and shall include
any successor (by merger or otherwise) of any such entity.

 

(q)          “Preferred
Shares” shall mean shares of Series A Junior Participating Preferred Stock, par value $.001 per share, of the Company having
the preferences and rights set forth in Exhibit B attached to this Agreement.

 

(r)          “Redemption
Date” shall have the meaning set forth in subsection (k) of this Section 1.

 

(s)          “Related
Person” shall mean the Company, any Subsidiary of the Company (in each case, including, without limitation, in any fiduciary
capacity), any employee benefit plan or compensation arrangement of the Company or any Subsidiary of the Company, or any entity
or trustee holding Common Shares to the extent organized, appointed or established by the Company or any Subsidiary of the Company
for or pursuant to the terms of any such employee benefit plan or compensation arrangement.

 

(t)          “Securities
Act” shall mean the Securities Act of 1933, as amended.

 

(u)          “Shares
Acquisition Date” shall mean (i) the first date of public announcement (which, for purposes of this definition, shall include,
without limitation, a report filed or amended pursuant to Section 13(d) under the Exchange Act, but not a report filed or
amended pursuant to Rule 13f-1 of the General Rules and Regulations under the Exchange Act) by the Company or a Person or an Affiliate
of the Person that the Person has become an Acquiring Person or (ii) if earlier, the first date the Board concludes that a Person
has become an Acquiring Person.

 

(v)         “Subsidiary”
of any Person shall mean any other Person of which securities or other ownership interests having ordinary voting power, in the
absence of contingencies, to elect a majority of the board of directors or other Persons performing similar functions are, at the
time, directly or indirectly owned by such first Person.

 

    	6

    	 

    

 

(w)          “Tax
Benefits” shall mean the net operating loss carryovers, capital loss carryovers, general business credit carryovers, alternative
minimum tax credit carryovers and foreign tax credit carryovers, as well as any loss or deduction attributable to a “net
unrealized built-in loss” within the meaning of Section 382 of the Code, of the Company or any of its Subsidiaries.

 

(x)          “Treasury
Regulation” shall mean a final, proposed or temporary regulation of the United States Department of Treasury promulgated
under the Code.

 

Section 2.          Appointment
of Rights Agent. The Company hereby appoints the Rights Agent to act as rights agent for the Company in accordance
with the express terms and conditions hereof (and no implied terms and conditions), and the Rights Agent hereby accepts such appointment.
The Company may from time to time appoint such co-rights agents as it may deem necessary or desirable, upon ten (10) days’
prior written notice to the Rights Agent setting forth the respective duties of the Rights Agent and any co-rights agent. The
Rights Agent shall have no duty to supervise, and shall in no event be liable for, the acts or omissions of any such co-rights
agents.

 

Section 3.          Issue
of Right Certificates.

 

(a)          Until
the earlier of (i) the tenth day after the Shares Acquisition Date or (ii) the tenth Business Day (or such later date as may be
determined by action of the Board prior to such time as any Person becomes an Acquiring Person) after the date that a tender or
exchange offer is first published or sent or given within the meaning of Rule 14d-2(a) of the General Rules and Regulations under
the Exchange Act if, upon consummation thereof, the Person publishing, sending or giving such tender or exchange offer would become
an Acquiring Person (the earlier of such dates being herein referred to as the “Distribution Date”), (x) the Rights
will be evidenced (subject to the provisions of Section 3(b) hereof) by the certificates for Common Shares registered in the
names of the holders thereof (which certificates shall also be deemed to be Right Certificates) and not by separate Right Certificates
(or, for book entry Common Shares , by notations of such shares in the respective accounts), and (y) the right to receive Right
Certificates will be transferable only in connection with the transfer of Common Shares; provided, however, that, if a tender
or exchange offer is terminated prior to the occurrence of a Distribution Date, then no Distribution Date shall occur as a result
of such tender or exchange offer. As soon as practicable after the Distribution Date, the Company will prepare and execute, the
Rights Agent will countersign, and the Company will send or cause to be sent (and the Rights Agent will, if requested and provided
with all necessary information and documentation, in form and substance reasonably satisfactory to the Rights Agent, send) by overnight
delivery service or registered or certified mail, postage prepaid, to each record holder of Common Shares as of the close of business
on the Distribution Date, at the address of such holder shown on the records of the Company or the transfer agent or registrar
for the Common Shares, a Right Certificate, in substantially the form of Exhibit C hereto (a “Right Certificate”),
evidencing one Right for each Common Share so held. As of the Distribution Date, the Rights will be evidenced solely by such Right
Certificates. The Company shall promptly notify the Rights Agent in writing upon the occurrence of the Distribution Date and, if
such notification is given orally, the Company shall confirm the same in writing within two (2) Business Days. Until such written
notice is received by the Rights Agent, the Rights Agent may presume conclusively for all purposes that the Distribution Date has
not occurred.

 

    	7

    	 

    

 

(b)          The
Company has prepared a Summary of Rights to Purchase Preferred Shares, attached as Exhibit D hereto (the “Summary of Rights”),
a copy of which is available free of charge from the Company. With respect to certificates or book entries for Common Shares outstanding
as of the Record Date, until the Distribution Date, the Rights will be evidenced by such respective certificates or book entries
registered in the names of the holders thereof. Until the Distribution Date (or the Expiration Date, if earlier), the surrender
for transfer of any certificate for Common Shares or book entry Common Shares outstanding on the Record Date, with or without a
copy of the Summary of Rights attached thereto, shall also constitute the transfer of the Rights associated with the Common Shares
represented thereby.

 

(c)          Certificates
for Common Shares that become outstanding (including, without limitation, certificates for reacquired Common Shares referred to
in the last sentence of this paragraph (c) and certificates issued on the transfer of Common Shares) after the Record Date but
prior to the earlier of the Distribution Date and the Expiration Date shall have impressed on, printed on, written on or otherwise
affixed to them a legend in substantially the following form (provided, however, that certificates for Common Shares in
existence on the date of this Agreement may bear the legend required by the Original Rights Agreement):

 

			This certificate also evidences and entitles the holder hereof to certain rights as set forth in
an Amended and Restated Rights Agreement between Hudson Global, Inc. and Computershare Inc., dated as of January 15, 2015, and
as such agreement may be amended (the “Rights Agreement”), the terms of which are hereby incorporated herein by reference
and a copy of which is on file at the principal executive offices of Hudson Global, Inc. Under certain circumstances, as set forth
in the Rights Agreement, such Rights will be evidenced by separate certificates and will no longer be evidenced by this certificate.
Hudson Global, Inc. will mail to the holder of this certificate a copy of the Rights Agreement without charge after receipt of
a written request therefor. Under certain circumstances set forth in the Rights Agreement, Rights issued to, or beneficially owned
by, an Acquiring Person or any Affiliate or Associate thereof (as such terms are defined in the Rights Agreement), whether beneficially
owned by such person or any subsequent holder, shall become null and void.

 

With respect to such certificates containing
the foregoing legend, until the Distribution Date, the Rights associated with the Common Shares represented by such certificates
shall be evidenced by such certificates alone, and the surrender for transfer of any such certificate shall also constitute the
transfer of the Rights associated with the Common Shares represented thereby. Similarly, during such time periods, transfers of
shares participating in the direct registration system shall also be deemed to be transfers of the associated Rights. In the case
of any shares participating in the direct registration system, the Company shall cause the transfer agent for the Common Shares
to include on each direct registration account statement with respect thereto issued prior to the earlier of the Distribution Date
and the Redemption Date a notation to the effect that references to Common Shares also includes the associated Rights. To the extent
that Common Shares of the Company are not represented by certificates, references in this Agreement to certificates shall be deemed
to refer to the notations in the accounts reflecting ownership of book entry shares. In the event that the Company purchases or
acquires any Common Shares after the Record Date but prior to the Distribution Date, any Rights associated with such Common Shares
shall be deemed cancelled and retired so that the Company shall not be entitled to exercise any Rights associated with the Common
Shares which are no longer outstanding.

 

Section 4.          Form
of Right Certificates. The Right Certificates (and the forms of election to purchase Preferred Shares and of assignment
to be printed on the reverse thereof) shall be substantially the same as Exhibit C hereto and may have such marks of identification
or designation and such legends, summaries or endorsements printed thereon as the Company may deem appropriate (which shall not
affect the rights, duties, liabilities, protections or responsibilities of the Rights Agent hereunder) and as are not inconsistent
with the provisions of this Agreement, or as may be required to comply with any applicable law or with any applicable rule or
regulation made pursuant thereto or with any applicable rule or regulation of any stock exchange or the Financial Industry Regulatory
Authority, or to conform to usage. Subject to the provisions of Section 22 hereof, the Right Certificates shall entitle the
holders thereof to purchase such number of one one-hundredths of a Preferred Share as shall be set forth therein at the price
per one one-hundredth of a Preferred Share set forth therein, but the amount and type of securities purchasable upon exercise
of each Right and such purchase price shall be subject to adjustment as provided herein (such purchase price, as so adjusted,
the “Purchase Price”).

 

    	8

    	 

    

 

Section 5.          Countersignature
and Registration.

 

(a)          The
Right Certificates shall be executed on behalf of the Company by its Chairman of the Board, Chief Executive Officer or any Vice
President either manually or by facsimile signature, shall have affixed thereto the Company’s seal or a facsimile thereof,
and shall be attested by the Treasurer, an Assistant Treasurer, the Secretary or an Assistant Secretary of the Company, either
manually or by facsimile signature. The Right Certificates shall be countersigned by an authorized signatory of the Rights Agent
manually or by facsimile signature and shall not be valid for any purpose unless countersigned. In case any officer of the Company
who shall have signed any of the Right Certificates shall cease to be such officer of the Company before countersignature by the
Rights Agent and issuance and delivery by the Company, such Right Certificates, nevertheless, may be countersigned by the Rights
Agent and issued and delivered by the Company with the same force and effect as though the individual who signed such Right Certificates
had not ceased to be such officer of the Company. Any Right Certificate may be signed on behalf of the Company by any person who,
at the actual date of the execution of such Right Certificate, shall be a proper officer of the Company to sign such Right Certificate,
although at the date of the execution of this Agreement any such individual was not such an officer. In case any authorized signatory
of the Rights Agent who has countersigned any Right Certificate ceases to be an authorized signatory of the Rights Agent before
issuance and delivery by the Company, such Right Certificate, nevertheless, may be issued and delivered by the Company with the
same force and effect as though the person who countersigned such Right Certificate had not ceased to be an authorized signatory
of the Rights Agent; and any Right Certificate may be countersigned on behalf of the Rights Agent by any person who, at the actual
date of the countersignature of such Right Certificate, is properly authorized to countersign such Right Certificate, although
at the date of the execution of this Agreement any such person was not so authorized.

 

(b)          Following
the Distribution Date, upon receipt by the Rights Agent of notice to that effect and all other relevant information and documents
referred to in Section 3(a), the Rights Agent will keep or cause to be kept, at its office or offices designated for such purpose,
books for registration and transfer of the Right Certificates issued hereunder. Such books shall show the names and addresses of
the respective holders of the Right Certificates, the number of Rights evidenced on its face by each of the Right Certificates
and the date of each of the Right Certificates.

 

(c)          Any
provisions of this Agreement to the contrary notwithstanding, the Company and the Rights Agent may amend this Agreement to provide
for uncertificated Rights in addition to or in place of Rights evidenced by Right Certificates.

 

    	9

    	 

    

 

Section
6.           Transfer,
Split Up, Combination and Exchange of Right Certificates; Mutilated, Destroyed, Lost or Stolen Right Certificates.

 

(a)          Subject
to the provisions of Section 14 hereof, at any time after the close of business on the Distribution Date, and at or prior
to the close of business on the Expiration Date, any Right Certificate or Right Certificates (other than Right Certificates representing
Rights that have become void pursuant to Section 11(a)(ii) hereof or that have been redeemed or exchanged pursuant to Section
23 or Section 24 hereof) may be transferred, split up, combined or exchanged for another Right Certificate or Right Certificates,
entitling the registered holder to purchase a like number of one one-hundredths of a Preferred Share as the Right Certificate or
Right Certificates surrendered then entitled such holder to purchase. Any registered holder desiring to transfer, split up, combine
or exchange any Right Certificate or Right Certificates shall make such request in writing delivered to the Rights Agent, and shall
surrender the Right Certificate or Right Certificates to be transferred, split up, combined or exchanged at the office or offices
of the Rights Agent designated for such purpose, along with a signature guarantee and such other and further documentation as the
Company or the Rights Agent may reasonably request. Neither the Rights Agent nor the Company shall be obligated to take any action
whatsoever with respect to the transfer of any such surrendered Right Certificate until the registered holder has properly completed
and duly signed the certificate contained in the form of assignment on the reverse side of such Right Certificate and has provided
such additional evidence as the Company or the Rights Agent may reasonably request. Pursuant to Section 9(d) hereof, the Company
or the Rights Agent may require payment of a sum sufficient to cover any tax or governmental charge that may be imposed in connection
with any transfer, split up, combination or exchange of Right Certificates. The Rights Agent shall not have any duty or obligation
to take any action under any section of this Agreement that requires the payment of taxes and/or charges unless and until it is
satisfied that all such payments have been made, and the Rights Agent shall promptly forward any such sum collected by it to the
Company or to such Persons as the Company may specify by written notice. Thereupon the Rights Agent, subject to the provisions
of this Agreement, shall countersign and deliver to the Person entitled thereto a Right Certificate or Right Certificates, as the
case may be, as so requested.

 

(b)          Upon
receipt by the Company and the Rights Agent of evidence reasonably satisfactory to them of the loss, theft, destruction or mutilation
of a Right Certificate and, in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to them, and,
at the Company’s request, reimbursement to the Company and the Rights Agent of all reasonable expenses incidental thereto,
and upon surrender to the Rights Agent and cancellation of the Right Certificate if mutilated, the Company will execute and deliver
a new Right Certificate of like tenor to the Rights Agent for countersignature and delivery to the registered holder in lieu of
the Right Certificate so lost, stolen, destroyed or mutilated.

 

Section
7.           Exercise
of Rights; Purchase Price; Expiration Date of Rights.

 

(a)          The
registered holder of any Right Certificate may exercise the Rights evidenced thereby (except as otherwise provided herein) in whole
or in part at any time after the Distribution Date upon surrender of the Right Certificate, with the form of election to purchase
and the certificate on the reverse side thereof properly completed and duly executed (with such signature duly guaranteed), to
the Rights Agent at the office or offices of the Rights Agent designated for such purpose, together with payment of the Purchase
Price for each one one-hundredth of a Preferred Share as to which the Rights are exercised, at or prior to the Expiration Date,
and an amount equal to any tax or charge required to be paid under Section 9(d).

 

(b)          The
Purchase Price for each one one-hundredth of a Preferred Share pursuant to the exercise of a Right shall initially be $8.50, shall
be subject to adjustment from time to time as provided in Section 11 hereof and shall be payable in lawful money of the United
States of America or in Common Shares in accordance with paragraph (c) below.

 

    	10

    	 

    

 

(c)          Upon
receipt of a Right Certificate representing exercisable Rights, with the form of election to purchase properly completed and duly
executed, accompanied by payment of the Purchase Price for the shares to be purchased and an amount equal to any applicable transfer
tax required to be paid by the holder of such Right Certificate in accordance with Section 9 hereof, as set forth below, the
Rights Agent shall thereupon promptly (i) (A) requisition from any transfer agent of the Preferred Shares certificates for the
number of Preferred Shares to be purchased, and the Company hereby irrevocably authorizes and directs any such transfer agent to
comply with all such requests, or (B) requisition from the depositary agent depositary receipts representing such number of one
one-hundredths of a Preferred Share as are to be purchased (in which case certificates for the Preferred Shares represented by
such receipts shall be deposited by the transfer agent with the depositary agent), (ii) when necessary to comply with this
Agreement, requisition from the Company the amount of cash to be paid in lieu of issuance of fractional shares in accordance with
Section 14 hereof, (iii) after receipt of such certificates or depositary receipts, cause the same to be delivered to or upon
the order of the registered holder of such Right Certificate, registered in such name or names as may be designated by such holder
and (iv) when necessary to comply with this Agreement, after receipt, deliver such cash to or upon the order of the registered
holder of such Right Certificate. The payment of the Purchase Price (as such amount may be reduced pursuant to Section 11(a)(iii)
hereof) shall be made by certified check, cashier’s check, bank draft or money order payable to the order of the Company,
except that, if so provided by the Board, the payment of the Purchase Price following the occurrence of a Section 11(a)(ii)
Event (as hereinafter defined) may be made wholly or in part by delivery of a certificate or certificates (with appropriate stock
powers executed in blank attached thereto) evidencing a number of Common Shares equal to the then Purchase Price divided by the
closing price (as determined pursuant to Section 11(d) hereof) per Common Share on the Trading Day (as hereinafter defined)
immediately preceding the date of such exercise. If the Company is obligated to issue other securities of the Company, pay cash
and/or distribute other property pursuant to Section 11(a) hereof, then the Company will make all arrangements necessary so
that such other securities, cash and/or other property are available for distribution by the Rights Agent, if and when appropriate.

 

(d)          In
case the registered holder of any Right Certificate shall properly exercise less than all the Rights evidenced thereby, a new Right
Certificate evidencing Rights equivalent to the Rights remaining unexercised shall be issued by the Rights Agent to the registered
holder of such Right Certificate or to such holder’s duly authorized assigns, subject to the provisions of Section 14
hereof.

 

(e)          Notwithstanding
anything in this Agreement to the contrary, neither the Rights Agent nor the Company shall be obligated to take any action with
respect to a registered holder of a Right Certificate upon the occurrence of any purported transfer, assignment or exercise as
set forth in this Section 7 unless such registered holder shall have (i) properly completed and duly executed the certificate
following the form of assignment or election to purchase set forth on the reverse of the Right Certificate surrendered for such
transfer, assignment or exercise, and (ii) provided such additional evidence of the identity of the Beneficial Owner (or former
Beneficial Owner) or Affiliates or Associates thereof as the Company shall reasonably request.

 

Section 8.          Cancellation
and Destruction of Right Certificates. All Right Certificates surrendered for the purpose of exercise, transfer,
split up, combination or exchange shall, if surrendered to the Company or to any of its agents, be delivered to the Rights Agent
for cancellation or in cancelled form, or if surrendered to the Rights Agent, shall be cancelled by it, and no Right Certificates
shall be issued in lieu thereof, except as expressly permitted by any of the provisions of this Agreement. The Company shall deliver
to the Rights Agent for cancellation and retirement, and the Rights Agent shall so cancel and retire, any other Right Certificate
purchased or acquired by the Company otherwise than upon the exercise thereof. Subject to applicable law and regulation, the Rights
Agent shall maintain in a retrievable database electronic records of all cancelled or destroyed Right Certificates that have been
canceled or destroyed by the Rights Agent. The Rights Agent shall maintain such electronic records or physical records for the
time period required by applicable law and regulation. Upon written request of the Company, the Rights Agent shall provide to
the Company or its designee copies of such electronic records or physical records relating to Rights Certificates cancelled or
destroyed by the Rights Agent.

 

    	11

    	 

    

 

Section 9.          Reservation
and Availability of Preferred Shares.

 

(a)          The
Company covenants and agrees that it will cause to be reserved and kept available out of its authorized and unissued Preferred
Shares or any authorized and issued Preferred Shares held in its treasury the number of Preferred Shares that will be sufficient
to permit the exercise in full of all outstanding Rights in accordance with Section 7.

 

(b)          So
long as the Preferred Shares issuable upon the exercise of Rights may be listed on any national securities exchange, the Company
shall use its best efforts to cause, from and after such time as the Rights become exercisable, all Preferred Shares reserved for
such issuance to be listed on such exchange upon official notice of issuance upon such exercise.

 

(c)          The
Company covenants and agrees that it will take all such action as may be necessary to ensure that all Preferred Shares delivered
upon exercise of Rights shall, at the time of delivery of the certificates for such shares (subject to payment of the Purchase
Price), be duly and validly authorized and issued and fully paid and nonassessable shares (except as otherwise provided by any
corporation law applicable to the Company).

 

(d)          The
Company further covenants and agrees that it will pay when due and payable any and all federal and state transfer taxes and charges
which may be payable in respect of the issuance or delivery of the Right Certificates or of any Preferred Shares upon the exercise
of Rights. The Company shall not, however, be required to pay any transfer tax which may be payable in respect of any transfer
or delivery of Right Certificates to a Person other than, or the issuance or delivery of certificates for the Preferred Shares
in a name other than that of, the registered holder of the Right Certificate evidencing Rights surrendered for exercise or to issue
or to deliver any certificates for Preferred Shares upon the exercise of any Rights until any such tax shall have been paid (any
such tax being payable by the holder of such Right Certificate at the time of surrender) or until it has been established to the
Company’s reasonable satisfaction that no such tax is due.

 

(e)          If
the Company determines that registration under the Securities Act is required, the Company shall use commercially reasonable efforts
(i) to file, as soon as practicable after the Distribution Date, a registration statement under the Securities Act with respect
to the securities issuable upon exercise of the Rights, (ii) to cause such registration statement to become effective as soon as
practicable after such filing and (iii) to cause such registration statement to remain effective (with a prospectus at all times
meeting the requirements of the Securities Act) until the earlier of (A) the date as of which the Rights are no longer exercisable
for such securities and (B) the Expiration Date. The Company shall also take such action as may be appropriate to ensure compliance
with the securities or blue sky laws of the various states in connection with the exercisability of the Rights. The Company may
temporarily suspend, for a period of time not to exceed 90 days, the exercisability of the Rights to prepare and file such registration
statement and permit it to become effective or to qualify the rights, the exercise thereof or the issuance of securities upon the
exercise thereof under state securities or blue sky laws. The Company shall issue a public announcement upon any such suspension
stating that the exercisability of the Rights has been temporarily suspended, as well as a public announcement when the suspension
is no longer in effect, in each case with simultaneous written notice to the Rights Agent. Notwithstanding anything contained in
this Agreement to the contrary, the Rights shall not be exercisable for securities in any jurisdiction if the requisite qualification
in such jurisdiction has not been obtained, such exercise is not permitted under applicable law or a registration statement in
respect of such securities has not been declared effective.

 

    	12

    	 

    

 

Section
10.          Preferred
Shares Record Date. Each Person in whose name any certificate for Preferred Shares is issued upon the exercise
of Rights shall for all purposes be deemed to have become the holder of record of the Preferred Shares represented thereby on,
and such certificate shall be dated, the date upon which the Right Certificate evidencing such Rights was duly surrendered and
payment of the Purchase Price (and any applicable transfer taxes) was made; provided, however, that if the date of such
surrender and payment is a date upon which the Preferred Shares transfer books of the Company are closed, such Person shall be
deemed to have become the record holder of such shares on, and such certificate shall be dated, the next succeeding Business Day
on which the Preferred Shares transfer books of the Company are open.

 

Section 11.         Adjustment
of Purchase Price, Number of Shares or Number of Rights. The Purchase Price, the number of Preferred Shares covered
by each Right and the number of Rights outstanding are subject to adjustment from time to time as provided in this Section 11.

 

(a)          (i)          In
the event the Company shall at any time after the date of this Agreement (A) declare a dividend on the Preferred Shares payable
in Preferred Shares, (B) subdivide the outstanding Preferred Shares, (C) combine the outstanding Preferred Shares into a smaller
number of Preferred Shares or (D) issue any shares of its capital stock in a reclassification of the Preferred Shares (including
any such reclassification in connection with a consolidation or merger in which the Company is the continuing or surviving corporation),
except as otherwise provided in this Section 11(a), the Purchase Price in effect at the time of the record date for such dividend
or of the effective date of such subdivision, combination or reclassification, and the number and kind of shares of capital stock
issuable on such date, shall be proportionately adjusted so that the holder of any Right exercised after such time shall be entitled
to receive the aggregate number and kind of shares of capital stock which, if such Right had been exercised immediately prior to
such date and at a time when the Preferred Shares transfer books of the Company were open, such holder would have owned upon such
exercise and been entitled to receive by virtue of such dividend, subdivision, combination or reclassification; provided, however,
that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par value of the
shares of capital stock of the Company issuable upon exercise of one Right. If an event occurs which would require an adjustment
under both Section 11(a)(i) and Section 11(a)(ii), then the adjustment provided for in this Section 11(a)(i) shall
be in addition to, and shall be made prior to, any adjustment required pursuant to Section 11(a)(ii).

 

  (ii)         Subject to the following paragraph and Section 24 of this Agreement, in the event any Person shall become an Acquiring Person (a “Section 11(a)(ii) Event”), each holder of a Right shall thereafter have a right to receive, upon exercise thereof at a price equal to the then current Purchase Price multiplied by the number of one one-hundredths of a Preferred Share for which a Right is exercisable immediately prior to the first occurrence of a Section 11(a)(ii) Event, in accordance with the terms of this Agreement and in lieu of Preferred Shares, such number of Common Shares as shall equal the result obtained by (x) multiplying the then current Purchase Price by the number of one one-hundredths of a Preferred Share for which a Right is exercisable immediately prior to the first occurrence of a Section 11(a)(ii) Event and dividing that product by (y) 50% of the then current per share market price of the Common Shares (determined pursuant to Section 11(d)) on the date the Person became an Acquiring Person (such number of shares, the “Adjustment Shares”).

 

    	13

    	 

    

 

			From and after a Section 11(a)(ii) Event, any Rights that are or were beneficially owned by
such Acquiring Person (or any Associate or Affiliate of such Acquiring Person) shall be void and any holder of such Rights shall
thereafter have no right to exercise such Rights under any provision of this Agreement. No Right Certificate shall be issued pursuant
to Section 3 or Section 6 that represents Rights beneficially owned by an Acquiring Person whose Rights would be void pursuant
to the preceding sentence or any Associate or Affiliate thereof; no Right Certificate shall be issued at any time upon the transfer
of any Rights to an Acquiring Person whose Rights would be void pursuant to the preceding sentence or any Associate or Affiliate
thereof or to any nominee of such Acquiring Person, Associate or Affiliate; and any Right Certificate delivered to the Rights Agent
for transfer to an Acquiring Person whose Rights would be void pursuant to the preceding sentence shall be cancelled. The Company
shall use all reasonable efforts to ensure that the provisions of this paragraph are complied with, but shall have no liability
to any holder of Right Certificates or other Person as a result of its failure to make any determinations with respect to an Acquiring
Person or its Affiliates, Associates or transferees hereunder.

 

  (iii)        In the event that there shall not be sufficient Common Shares issued but not outstanding or authorized but unissued (and not reserved for issuance for purposes other than upon exercise of the Rights) to permit the exercise in full of the Rights in accordance with the foregoing subparagraph (ii), the Company shall: (A) determine the excess of (1) the value of the Adjustment Shares issuable upon the exercise of a Right (the “Current Value”) over (2) the Purchase Price payable with respect to such Right (such excess, the “Spread”), and (B) with respect to each Right (subject to the second paragraph of Section 11(a)(ii)), make adequate provision to substitute for the Adjustment Shares, upon payment of the applicable Purchase Price, (1) cash, (2) a reduction in the Purchase Price, (3) other equity securities of the Company (including, without limitation, one one-hundredth of a Preferred Share or shares, or units of shares, of preferred stock which the Board has deemed to have the same value as Common Shares (such one one-hundredth of a Preferred Share or shares of preferred stock, hereinafter referred to as “common stock equivalents”)), (4) debt securities of the Company, (5) other assets or (6) any combination of the foregoing, having an aggregate value equal to the Current Value, where such aggregate value has been determined by the Board based upon the advice of a nationally recognized investment banking firm selected by the Board; provided, however, if the Company shall not have made adequate provision to substitute for the Adjustment Shares pursuant to clause (B) above within 30 days following the occurrence of a Section 11(a)(ii) Event (the “Section 11(a)(ii) Trigger Date”), then the Company shall be obligated to deliver, upon the surrender for exercise of a Right and without requiring payment of any portion of the Purchase Price, Common Shares (to the extent available) and then, if necessary, cash, which shares and/or cash have an aggregate value equal to the Spread. If the Board shall determine in good faith that it is likely that sufficient additional Common Shares might be authorized for issuance for exercise in full of the Rights, the 30-day period set forth above may be extended to the extent necessary, but not more than 90 days after the Section 11(a)(ii) Trigger Date, in order that the Company may seek stockholder approval for the authorization of such additional shares (such period, as it may be extended, the “Substitution Period”). To the extent that the Company determines that some action need be taken pursuant to the first and/or second sentences of this Section 11(a)(iii), the Company (x) shall provide, subject to the last paragraph of Section 11(a)(ii) hereof, that such action shall apply uniformly to all outstanding Rights, and (y) may suspend the exercisability of the Rights until the expiration of the Substitution Period to seek any authorization of additional shares and/or to decide the appropriate form of distribution to be made pursuant to such first sentence and to determine the value thereof. In the event of any such suspension, the Company shall issue a public announcement stating that the exercisability of the Rights has been temporarily suspended, as well as a public announcement at such time as the suspension is no longer in effect. For purposes of this Section 11(a)(iii), the value of the Common Shares shall be the current per share market price (as determined pursuant to Section 11(d) hereof) of the Common Shares on the Section 11(a)(ii) Trigger Date and the value of any “common stock equivalent” shall be deemed to have the same value as the Common Shares on such date.

 

    	14

    	 

    

 

(b)          In
case the Company shall fix a record date for the issuance of rights, options or warrants to all holders of Preferred Shares entitling
them (for a period expiring within 45 calendar days after such record date) to subscribe for or purchase Preferred Shares (or shares
having the same rights, privileges and preferences as the Preferred Shares (“equivalent preferred shares”)) or securities
convertible into Preferred Shares at a price per Preferred Share or equivalent preferred share (or having a conversion price per
share, if a security convertible into Preferred Shares or equivalent preferred shares) less than the then current per share market
price of the Preferred Shares (as defined in Section 11(d)) on such record date, the Purchase Price to be in effect after
such record date shall be determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction,
the numerator of which shall be the number of Preferred Shares outstanding on such record date plus the number of Preferred Shares
which the aggregate offering price of the total number of Preferred Shares and/or equivalent preferred shares so to be offered
(and/or the aggregate initial conversion price of the convertible securities so to be offered) would purchase at such current market
price and the denominator of which shall be the number of Preferred Shares outstanding on such record date plus the number of additional
Preferred Shares and/or equivalent preferred shares to be offered for subscription or purchase (or into which the convertible securities
so to be offered are initially convertible); provided, however, that in no event shall the consideration to be paid upon
the exercise of one Right be less than the aggregate par value of the shares of capital stock of the Company issuable upon exercise
of one Right. In case such subscription price may be paid in a consideration part or all of which shall be in a form other than
cash, the value of such consideration shall be as determined in good faith by the Board, whose determination shall be described
in a statement filed with the Rights Agent and shall be binding on the Rights Agent and holders of the Rights. Preferred Shares
owned by or held for the account of the Company or any Subsidiary of the Company shall not be deemed outstanding for the purpose
of any such computation. Such adjustment shall be made successively whenever such a record date is fixed; and in the event that
such rights, options or warrants are not so issued, the Purchase Price shall be adjusted to be the Purchase Price which would then
be in effect if such record date had not been fixed.

 

(c)          In
case the Company shall fix a record date for the making of a distribution to all holders of the Preferred Shares (including any
such distribution made in connection with a consolidation or merger in which the Company is the continuing or surviving corporation)
of evidences of indebtedness or assets (other than a regular quarterly cash dividend or a dividend payable in Preferred Shares)
or subscription rights or warrants (excluding those referred to in Section 11(b)), the Purchase Price to be in effect after
such record date shall be determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction,
the numerator of which shall be the then current per share market price of the Preferred Shares (as defined in Section 11(d))
on such record date, less the fair market value (as determined in good faith by the Board, whose determination shall be described
in a statement filed with the Rights Agent and shall be binding on the Rights Agent and holders of the Rights) of the portion of
the assets or evidences of indebtedness so to be distributed or of such subscription rights or warrants applicable to one Preferred
Share and the denominator of which shall be such current per share market price of the Preferred Shares on such record date; provided,
however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par
value of the shares of capital stock of the Company to be issued upon exercise of one Right. Such adjustments shall be made successively
whenever such a record date is fixed; and in the event that such distribution is not so made, the Purchase Price shall again be
adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed.

 

    	15

    	 

    

 

(d)          (i)
For the purpose of any computation hereunder, the “current per share market price” of any security (a “Security”
for the purpose of this Section 11(d)(i)) on any date shall be deemed to be the average of the daily closing prices per share
of such Security for the 30 consecutive Trading Days (as hereinafter defined) immediately prior to such date; provided, however,
that, if the current per share market price of the Security is determined during a period following the announcement by the issuer
of such Security of (i) a dividend or distribution on such Security payable in shares of such Security or securities convertible
into such shares, or (ii) any subdivision, combination or reclassification of such Security and prior to the expiration of 30 Trading
Days after the ex-dividend date for such dividend or distribution, or the record date for such subdivision, combination or reclassification,
then, and in each such case, the current per share market price shall be appropriately adjusted to reflect the current market price
per share equivalent of such Security. The closing price for each Trading Day shall be the last sale price, regular way, at or
prior to 4:00 P.M. Eastern time or, in case no such sale takes place on such day, the average of the closing bid and asked prices,
regular way, at or prior to 4:00 P.M. Eastern time, in either case, as reported in the principal consolidated transaction reporting
system with respect to securities listed or admitted to trading on the New York Stock Exchange or, if the Securities are not listed
or admitted to trading on the New York Stock Exchange, as reported in the principal consolidated transaction reporting system with
respect to securities listed on the principal national securities exchange on which the Security is listed or admitted to trading
or, if the Security is not listed or admitted to trading on any national securities exchange, the last quoted price or, if not
so quoted, the average of the high bid and low asked prices in the over-the-counter market, as reported at or prior to 4:00 P.M.
Eastern time by the applicable reporting system then in use, or, if on any such date the Security is not quoted by any such organization,
the average of the closing bid and asked prices as furnished by a professional market maker making a market in the Security selected
by the Board. The term “Trading Day” shall mean a day on which the principal national securities exchange on which
the Security is listed or admitted to trading is open for the transaction of business or, if the Security is not listed or admitted
to trading on any national securities exchange, a Business Day.

 

(ii) For the purpose
of any computation hereunder, the “current per share market price” of the Preferred Shares shall be determined in accordance
with the method set forth in Section 11(d)(i). If the Preferred Shares are not publicly traded, then the “current per
share market price” of the Preferred Shares shall be conclusively deemed to be the current per share market price of the
Common Shares as determined pursuant to Section 11(d)(i) (appropriately adjusted to reflect any stock split, stock dividend
or similar transaction occurring after the Record Date), multiplied by 100. If neither the Common Shares nor the Preferred Shares
are publicly held or so listed or traded, then “current per share market price” shall mean the fair value per share
as determined in good faith by the Board, whose determination shall be described in a statement filed with the Rights Agent and
shall be binding on the Rights Agent and holders of the Rights.

 

(e)          No
adjustment in the Purchase Price shall be required unless such adjustment would require an increase or decrease of at least 1%
in the Purchase Price; provided, however, that any adjustments that, by reason of this Section 11(e), are not required
to be made shall be carried forward and taken into account in any subsequent adjustment. All calculations under this Section 11
shall be made to the nearest cent or to the nearest one one-hundredth of a share, as the case may be. Notwithstanding the first
sentence of this Section 11(e), any adjustment required by this Section 11 shall be made no later than the earlier of
(i) three years from the date of the transaction which requires such adjustment or (ii) the Expiration Date.

 

(f)          If,
as a result of an adjustment made pursuant to Section 11(a), the holder of any Right thereafter exercised shall become entitled
to receive any shares of capital stock of the Company other than Preferred Shares, then, thereafter, the number of such other shares
so receivable upon exercise of any Right shall be subject to adjustment from time to time in a manner and on terms as nearly equivalent
as practicable to the provisions with respect to the Preferred Shares contained in Section 11, and the provisions of Sections 7,
9, 10 and 14 with respect to the Preferred Shares shall apply on like terms to any such other shares.

 

    	16

    	 

    

 

(g)          All
Rights originally issued by the Company subsequent to any adjustment made to the Purchase Price hereunder shall evidence the right
to purchase, at the adjusted Purchase Price, the number of Preferred Shares purchasable from time to time hereunder upon exercise
of the Rights, all subject to further adjustment as provided herein.

 

(h)          Unless
the Company shall have exercised its election as provided in Section 11(i), upon each adjustment of the Purchase Price as
a result of the calculations made in Section 11(b) and (c), each Right outstanding immediately prior to the making of such
adjustment shall thereafter evidence the right to purchase, at the adjusted Purchase Price, that number of Preferred Shares (calculated
to the nearest one one-hundredth of a Preferred Share) obtained by (i) multiplying (x) the number of one one-hundredth of a Preferred
Share covered by a Right immediately prior to this adjustment by (y) the Purchase Price in effect immediately prior to such adjustment
of the Purchase Price and (ii) dividing the product so obtained by the Purchase Price in effect immediately after such adjustment
of the Purchase Price.

 

(i)          The
Company may elect, on or after the date of any adjustment of the Purchase Price, to adjust the number of Rights in substitution
for any adjustment in the number of one one-hundredths of a Preferred Share purchasable upon the exercise of a Right. Each of the
Rights outstanding after such adjustment of the number of Rights shall be exercisable for the number of one one-hundredths of a
Preferred Share for which a Right was exercisable immediately prior to such adjustment. Each Right held of record prior to such
adjustment of the number of Rights shall become that number of Rights (calculated to the nearest one one-hundredth) obtained by
dividing the Purchase Price in effect immediately prior to adjustment of the Purchase Price by the Purchase Price in effect immediately
after adjustment of the Purchase Price. The Company shall make a public announcement of its election to adjust the number of Rights,
indicating the record date for the adjustment, and, if known at the time, the amount of the adjustment to be made. This record
date may be the date on which the Purchase Price is adjusted or any day thereafter, but, if the Right Certificates have been issued,
shall be at least ten days later than the date of the public announcement. If Right Certificates have been issued, then, upon each
adjustment of the number of Rights pursuant to this Section 11(i), the Company shall, as promptly as practicable, cause to
be distributed to holders of record of Right Certificates on such record date Right Certificates evidencing, subject to Section 14
hereof, the additional Rights to which such holders shall be entitled as a result of such adjustment, or, at the option of the
Company, shall cause to be distributed to such holders of record in substitution and replacement for the Right Certificates held
by such holders prior to the date of adjustment, and upon surrender thereof, if required by the Company, new Right Certificates
evidencing all the Rights to which such holders shall be entitled after such adjustment. Right Certificates so to be distributed
shall be issued, executed and countersigned in the manner provided for herein and shall be registered in the names of the holders
of record of Right Certificates on the record date specified in the public announcement.

 

(j)          Irrespective
of any adjustment or change in the Purchase Price or the number of one one-hundredths of a Preferred Share issuable upon the exercise
of the Rights, the Right Certificates theretofore and thereafter issued may continue to express the Purchase Price and the number
of one one-hundredths of a Preferred Share which were expressed in the initial Right Certificates issued hereunder.

 

(k)          Before
taking any action that would cause an adjustment reducing the Purchase Price below the par value, if any, of the Preferred Shares
issuable upon exercise of the Rights, the Company shall take any corporate action which may, based on the advice of its counsel,
be necessary in order that the Company may validly and legally issue fully paid and nonassessable (except as otherwise provided
by any corporation law applicable to the Company) Preferred Shares at such adjusted Purchase Price.

 

    	17

    	 

    

 

(l)          In
any case in which this Section 11 shall require that an adjustment in the Purchase Price be made effective as of a record
date for a specified event, the Company may elect to defer until the occurrence of such event the issuing to the holder of any
Right exercised after such record date of the one one-hundredths of a Preferred Share and other capital stock or securities of
the Company, if any, issuable upon such exercise over and above the number of one one-hundredths of a Preferred Share and other
capital stock or securities of the Company, if any, issuable upon such exercise on the basis of the Purchase Price in effect prior
to such adjustment; provided, however, that the Company shall deliver to such holder a due bill or other appropriate instrument
evidencing such holder’s right to receive such additional shares upon the occurrence of the event requiring such adjustment.

 

(m)          Anything
in this Section 11 to the contrary notwithstanding, the Company shall be entitled to make such reductions in the Purchase
Price, in addition to those adjustments expressly required by this Section 11, as and to the extent that the Company, in its
sole discretion, shall determine to be advisable in order that any consolidation or subdivision of the Preferred Shares, issuance
wholly for cash of any Preferred Shares at less than the current market price, issuance wholly for cash of Preferred Shares or
securities which by their terms are convertible into or exchangeable for Preferred Shares, dividends on Preferred Shares payable
in Preferred Shares or issuance of rights, options or warrants referred to in Section 11(b) hereof, hereafter made by the
Company to holders of its Common Shares shall not be taxable to such stockholders.

 

(n)          The
Company covenants and agrees that, after the Distribution Date, it will not, except as permitted by Section 23, Section 24
or Section 28 hereof, take (or permit any Subsidiary to take) any action if at the time such action is taken it is reasonably
foreseeable that such action will diminish substantially or otherwise eliminate the benefits intended to be afforded by the Rights.

 

(o)          Anything
in this Agreement to the contrary notwithstanding, in the event that the Company shall, at any time after the Record Date and prior
to the Distribution Date, (i) declare a dividend on the outstanding Common Shares payable in Common Shares, (ii) subdivide the
outstanding Common Shares, or (iii) combine the outstanding Common Shares into a smaller number of shares, the number of Rights
associated with each Common Share then outstanding, or issued or delivered thereafter but prior to the Distribution Date, shall
be proportionately adjusted so that the number of Rights thereafter associated with each Common Share following any such event
shall equal the result obtained by multiplying the number of Rights associated with each Common Share immediately prior to such
event by a fraction, the numerator of which shall be the total number of Common Shares outstanding immediately prior to the occurrence
of the event and the denominator of which shall be the total number of Common Shares outstanding immediately following the occurrence
of such event.

 

Section 12.         Certificate
of Adjusted Purchase Price or Number of Shares. Whenever an adjustment is made as provided in Section 11 hereof,
the Company shall promptly (a) prepare a certificate setting forth such adjustment and a brief statement of the facts accounting
for such adjustment, (b) file with the Rights Agent and with each transfer agent for the Common Shares a copy of such certificate
and (c) if such adjustment occurs at any time after the Distribution Date, mail (or, if deemed appropriate by the Board, make
available at no charge) a brief summary thereof to each holder of a Right Certificate in accordance with Section 26 hereof.
The Rights Agent shall be fully protected in relying on any such certificate and on any adjustments or statements therein contained
and shall not be deemed to have knowledge of any such adjustment or event unless and until it shall have received such certificate.

 

    	18

    	 

    

 

Section 13.         [Reserved].

 

Section 14.         Fractional
Rights and Fractional Shares.

 

(a)          The
Company shall not be required to issue fractions of Rights or to distribute Right Certificates which evidence fractional Rights.
In lieu of such fractional Rights, there shall be paid to the registered holders of the Right Certificates with regard to which
such fractional Rights would otherwise be issuable an amount in cash equal to the same fraction of the current market value of
a whole Right. For the purposes of this Section 14(a), the current market value of a whole Right shall be the closing price
of the Rights for the Trading Day immediately prior to the date on which such fractional Rights would have been otherwise issuable.
The closing price for any day shall be the last sale price, regular way, reported at or prior to 4:00 P.M. Eastern time, or, in
case no such sale takes place on such day, the average of the closing bid and asked prices, regular way, reported at or prior to
4:00 P.M. Eastern time, in either case, as reported in the principal consolidated transaction reporting system with respect to
securities listed or admitted to trading on the New York Stock Exchange or, if the Rights are not listed or admitted to trading
on the New York Stock Exchange, as reported in the principal consolidated transaction reporting system with respect to securities
listed on the principal national securities exchange on which the Rights are listed or admitted to trading or, if the Rights are
not listed or admitted to trading on any national securities exchange, the last quoted price or, if not so quoted, the average
of the high bid and low asked prices in the over-the-counter market, as reported at or prior to 4:00 P.M. Eastern time by the applicable
reporting system then in use or, if on any such date the Rights are not quoted by any such organization, the average of the closing
bid and asked prices as furnished by a professional market maker making a market in the Rights selected by the Board. If, on any
such date, no such market maker is making a market in the Rights, then the fair value of the Rights on such date as determined
in good faith by the Board shall be used.

 

(b)          The
Company shall not be required to issue fractions of Preferred Shares (other than fractions which are integral multiples of one
one-hundredth of a Preferred Share) upon exercise or exchange of the Rights or to distribute certificates which evidence fractional
Preferred Shares (other than fractions which are integral multiples of one one-hundredth of a Preferred Share). Fractions of Preferred
Shares in integral multiples of one one-hundredth of a Preferred Share may, at the election of the Company, be evidenced by depositary
receipts, pursuant to an appropriate agreement between the Company and a depositary selected by it; provided, that such
agreement shall provide that the holders of such depositary receipts shall have all the rights, privileges and preferences to which
they are entitled as beneficial owners of the Preferred Shares represented by such depositary receipts. In lieu of fractional Preferred
Shares that are not integral multiples of one one-hundredth of a Preferred Share, the Company shall pay to the registered holders
of Right Certificates, at the time such Rights are exercised as herein provided, an amount in cash equal to the same fraction of
the current market value of one Preferred Share. For purposes of this Section 14(b), the current market value of a Preferred
Share shall be the closing price of a Preferred Share (as determined pursuant to the second sentence of Section 11(d)(i) hereof)
for the Trading Day immediately prior to the date of such exercise.

 

(c)          The
holder of a Right by the acceptance of the Right expressly waives such holder’s right to receive any fractional Rights or
any fractional shares upon exercise of a Right (except as provided above).

 

(d)          Whenever
a payment for fractional Rights or fractional shares is to be made by the Rights Agent, the Company shall (i) promptly prepare
and deliver to the Rights Agent a certificate setting forth in reasonable detail the facts related to such payments and the prices
and/or formulas utilized in calculating such payments, and (ii) provide sufficient monies to the Rights Agent in the form of fully
collected funds to make such payments. The Rights Agent shall be fully protected in relying upon such a certificate and shall have
no duty with respect to, and shall not be deemed to have knowledge of any payment for fractional Rights or fractional shares under
any Section of this Agreement relating to the payment of fractional Rights or fractional shares unless and until the Rights Agent
shall have received such a certificate and sufficient monies.

 

    	19

    	 

    

 

Section 15.         Rights
of Action

 

. All rights of action in respect of this
Agreement, excepting the rights of action given to the Rights Agent hereunder, including Section 18 hereof, are vested in
the respective registered holders of the Right Certificates (and, prior to the Distribution Date, the registered holders of the
Common Shares); and any registered holder of any Right Certificate (or, prior to the Distribution Date, of the Common Shares),
without the consent of the Rights Agent or of the holder of any other Right Certificate (or, prior to the Distribution Date, of
the Common Shares), may, in such holder’s own behalf and for such holder’s own benefit, enforce, and may institute
and maintain any suit, action or proceeding against the Company to enforce, or otherwise act in respect of, such holder’s
right to exercise the Rights evidenced by such Right Certificate in the manner provided in such Right Certificate and in this Agreement.
Without limiting the foregoing or any remedies available to the holders of Rights, it is specifically acknowledged that the holders
of Rights would not have an adequate remedy at law for any breach of this Agreement and will be entitled to specific performance
of the obligations under, and injunctive relief against actual or threatened violations of the obligations of any Person subject
to, this Agreement.

 

Section 16.         Agreement
of Right Holders. Every holder of a Right, by accepting the same, consents and agrees with the Company and the
Rights Agent and with every other holder of a Right that:

 

(a)          prior
to the Distribution Date, the Rights will be transferable only in connection with the transfer of the Common Shares;

 

(b)          after
the Distribution Date, the Right Certificates are transferable only on the registry books of the Rights Agent if surrendered at
the office or offices of the Rights Agent designated for such purpose, duly endorsed or accompanied by a proper instrument of transfer;

 

(c)          the
Company and the Rights Agent may deem and treat the Person in whose name the Right Certificate (or, prior to the Distribution Date,
the associated Common Share certificate) is registered as the absolute owner thereof and of the Rights evidenced thereby (notwithstanding
any notations of ownership or writing on the Right Certificate or the associated Common Share certificate made by anyone other
than the Company or the Rights Agent) for all purposes whatsoever, and neither the Company nor the Rights Agent shall be affected
by any notice to the contrary; and

 

(d)          notwithstanding
anything in this Agreement to the contrary, neither the Company nor the Rights Agent shall have any liability to any holder of
a Right or other Person as a result of its inability to perform any of its obligations under this Agreement by reason of any preliminary
or permanent injunction or other order, decree or ruling issued by a court or competent jurisdiction or by a governmental, regulatory
or administrative agency or commission, or any statute, rule, regulation or executive order promulgated or enacted by any governmental
authority, prohibiting or otherwise restraining performance of such obligation; provided, however, that the Company must
use its best efforts to have any such order, decree or ruling lifted or otherwise overturned as soon as possible.

 

    	20

    	 

    

 

Section 17.         Right
Certificate Holder Not Deemed a Stockholder. No holder, as such, of any Right Certificate shall be entitled to
vote, receive dividends or other distributions or be deemed for any purpose the holder of the Preferred Shares or any other securities
of the Company which may at any time be issuable upon the exercise of the Rights represented thereby, nor shall anything contained
herein or in any Right Certificate be construed to confer upon the holder of any Right Certificate, as such, any of the rights
of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders
at any meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or other actions
affecting stockholders (except as provided in Section 26 hereof), or to receive dividends or subscription rights, or otherwise,
until the Right or Rights evidenced by such Right Certificate shall have been exercised in accordance with the provisions hereof.

 

Section 18.         Concerning
the Rights Agent.

 

(a)          The
Company agrees to pay to the Rights Agent reasonable compensation for all services rendered by it hereunder and, from time to time,
on demand of the Rights Agent, its reasonable expenses and counsel fees and other disbursements incurred in the administration
and execution of this Agreement and the exercise and performance of its duties hereunder. The Company also agrees to indemnify
the Rights Agent for, and to hold it harmless against, any loss, liability or expense (including the reasonable documented fees
and expenses of outside legal counsel), incurred without gross negligence, bad faith or willful misconduct (which gross negligence,
bad faith or willful misconduct must be determined by a final, non-appealable order, judgment, decree or ruling of a court of competent
jurisdiction) on the part of the Rights Agent, for action taken or omitted to be taken by the Rights Agent in connection with the
acceptance and administration of this Agreement, including the costs and expenses of defending against any claim of liability in
the premises.

 

(b)          The
Rights Agent shall be protected and shall incur no liability for, or in respect of any action taken, suffered or omitted by it
in connection with, its administration of this Agreement in reliance upon any Right Certificate or certificate for the Preferred
Shares or Common Shares or for other securities of the Company, instrument of assignment or transfer, power of attorney, endorsement,
affidavit, letter, notice, direction, consent, certificate, statement, or other paper or document believed by it to be genuine
and to be signed, executed and, where necessary, verified or acknowledged, by the proper Person or Persons, or otherwise upon the
advice of counsel as set forth in Section 20 hereof. The Rights Agent shall not be deemed to have knowledge of any event of
which it was supposed to receive notice thereof hereunder, and the Rights Agent shall be fully protected and shall incur no liability
for failing to take action in connection therewith unless and until it has received such notice in writing

 

(c)          The
provisions of this Section 18 and Section 20 hereof shall survive the termination or expiration of this Agreement, the
exercise or expiration of the Rights and the resignation, replacement or removal of the Rights Agent.

 

Section
19.          Merger
or Consolidation or Change of Name of Rights Agent.

 

(a)          Any
Person into which the Rights Agent or any successor Rights Agent may be merged or with which it may effect a share exchange or
be consolidated, or any Person resulting from any merger, share exchange or consolidation to which the Rights Agent or any successor
Rights Agent shall be a party, or any Person succeeding to the stock transfer or corporate trust business of the Rights Agent or
any successor Rights Agent, shall be the successor to the Rights Agent under this Agreement without the execution or filing of
any document or any further act on the part of any of the parties hereto, provided that such Person would be eligible for
appointment as a successor Rights Agent under the provisions of Section 21 hereof. In case, at the time such successor Rights
Agent shall succeed to the agency created by this Agreement, any of the Right Certificates shall have been countersigned but not
delivered, any such successor Rights Agent may adopt the countersignature of the predecessor Rights Agent and deliver such Right
Certificates so countersigned; and in case, at that time any of the Right Certificates shall not have been countersigned, any successor
Rights Agent may countersign such Right Certificates either in the name of the predecessor Rights Agent or in the name of the successor
Rights Agent; and, in all such cases, such Right Certificates shall have the full force provided in the Right Certificates and
in this Agreement.

 

    	21

    	 

    

 

(b)          In
case, at any time the name of the Rights Agent shall be changed and at such time any of the Right Certificates shall have been
countersigned but not delivered, the Rights Agent may adopt the countersignature under its prior name and deliver Right Certificates
so countersigned; and in case, at that time, any of the Right Certificates shall not have been countersigned, the Rights Agent
may countersign such Right Certificates either in its prior name or in its changed name; and, in all such cases, such Right Certificates
shall have the full force provided in the Right Certificates and in this Agreement.

 

Section 20.         Duties
of Rights Agent. The Rights
Agent undertakes the duties and obligations imposed by this Agreement upon the following terms and conditions, by all of which
the Company and the holders of Right Certificates, by their acceptance thereof, shall be bound:

 

(a)          The
Rights Agent may consult with legal counsel (who may be legal counsel for the Company), and the advice or opinion of such counsel
shall be full and complete authorization and protection to the Rights Agent as to any action taken or omitted by it in good faith
and in accordance with such advice or opinion.

 

(b)          Whenever,
in the performance of its duties under this Agreement, the Rights Agent shall deem it necessary or desirable that any fact or matter
be proved or established by the Company prior to taking or suffering any action hereunder, such fact or matter (unless other evidence
in respect thereof be herein specifically prescribed) may be deemed to be conclusively proved and established by a certificate
signed by the Chairman of the Board, the Chief Executive Officer or any Vice President and by the Treasurer or any Assistant Treasurer
or the Secretary or any Assistant Secretary of the Company and delivered to the Rights Agent; and such certificate shall be full
authorization and protection to the Rights Agent for any action taken or suffered in good faith by it under the provisions of this
Agreement in reliance upon such certificate.

 

(c)          The
Rights Agent shall be liable hereunder to the Company and any other Person only for its own gross negligence or willful misconduct
(which gross negligence, bad faith or willful misconduct must be determined by a final, non-appealable order, judgment, decree
or ruling of a court of competent jurisdiction); provided, however, that notwithstanding anything in this Agreement to the
contrary, under no circumstances shall the Rights Agent be liable for indirect, special, consequential or punitive damages hereunder
(including but not limited to lost profits), even if the Rights Agent has been advised of the likelihood of such loss or damage
and regardless of the form of action. Any liability of the Rights Agent under this Agreement will be limited to the amount of annual
fees paid by the Company to the Rights Agent.

 

(d)          The
Rights Agent shall not be liable for or by reason of any of the statements of fact or recitals contained in this Agreement or in
the Right Certificates (except its countersignature thereof) or be required to verify the same, but all such statements and recitals
are and shall be deemed to have been made by the Company only.

 

    	22

    	 

    

 

(e)          The
Rights Agent shall not have any liability or be under any responsibility in respect of the validity of this Agreement or the execution
and delivery hereof (except the due authorization, execution and delivery hereof by the Rights Agent) or in respect of the validity
or execution of any Right Certificate (except its countersignature thereof); nor shall it be liable or responsible for any breach
by the Company of any covenant or condition contained in this Agreement or in any Right Certificate; nor shall it be liable or
responsible for any change in the exercisability of the Rights (including the Rights becoming void pursuant to Section 11(a)(ii)
hereof) or any adjustment in the terms of the Rights (including the manner, method or amount thereof) provided for in Section 3,
11, 23 or 24, or the ascertaining of the existence of facts that would require any such change or adjustment (except with respect
to the exercise of Rights evidenced by Right Certificates after receipt of a certificate pursuant to Section 12 describing such
change or adjustment is required); nor shall it by any act hereunder be deemed to make any representation or warranty as to the
authorization or reservation of any Preferred Shares or other securities to be issued pursuant to this Agreement or any Right Certificate
or as to whether any Preferred Shares or other securities will, when issued, be validly authorized and issued, fully paid and nonassessable.

 

(f)          The
Company agrees that it will perform, execute, acknowledge and deliver, or cause to be performed, executed, acknowledged and delivered,
all such further and other acts, instruments and assurances as may reasonably be required by the Rights Agent for the carrying
out or performing by the Rights Agent of the provisions of this Agreement.

 

(g)          The
Rights Agent is hereby authorized and directed to accept instructions with respect to the performance of its duties hereunder from
any one of the Chairman of the Board, the Chief Executive Officer, any Vice President, the Secretary, any Assistant Secretary,
the Treasurer or any Assistant Treasurer of the Company, and to apply to such officers for advice or instructions in connection
with its duties, and it shall not be liable for any action taken or suffered by it in good faith in accordance with the advice
or instructions of any such officer or for any delay in acting while waiting for those instructions.

 

(h)          The
Rights Agent and any stockholder, director, officer or employee of the Rights Agent may buy, sell or deal in, or act as the transfer
agent for, any of the Rights, Common Shares or other securities of the Company or become pecuniarily interested in any transaction
in which the Company may be interested, or contract with or lend money to the Company or otherwise act as fully and freely as though
it were not Rights Agent under this Agreement. Nothing herein shall preclude the Rights Agent from acting in any other capacity
for the Company or for any other Person.

 

(i)          The
Rights Agent may execute and exercise any of the rights or powers hereby vested in it or perform any duty hereunder either itself
or by or through its attorneys or agents, and the Rights Agent shall not be answerable or accountable for any act, default, neglect
or misconduct of any such attorneys or agents or for any loss to the Company resulting from any such act, default, neglect or misconduct,
provided reasonable care was exercised in the selection and continued employment thereof.

 

    	23

    	 

    

 

Section 21.         Change
of Rights Agent. The Rights Agent or any successor Rights Agent may resign and be discharged from its duties under
this Agreement upon 30 days’ notice in writing mailed to the Company and, in the event that the Rights Agent or one of its
Affiliates is not also the transfer agent for the Company to each transfer agent of the Common Shares by trackable mail. In the
event the transfer agency relationship in effect between the Company and the Rights Agent terminates, the Rights Agent will be
deemed to have resigned automatically and be discharged from its duties under this Agreement as of the effective date of such
termination, and the Company shall be responsible for sending any required notice. The Company may remove the Rights Agent or
any successor Rights Agent upon 30 days’ notice in writing, mailed to the Rights Agent or successor Rights Agent, as the
case may be, and to each transfer agent of the Common Shares, and, if such removal occurs after the Distribution Date, to the
holders of the Right Certificates, in each case, by overnight delivery service or registered or certified mail, postage prepaid.
If the Rights Agent and the transfer agent of the Common Shares are the same Person, then the appointment of a successor transfer
agent for the Common Shares shall without any further action be the appointment of such Person as successor Rights Agent. If the
Rights Agent and the transfer agent of the Common Shares are the same Person, then, notwithstanding the foregoing notice provisions,
a removal notice to the Rights Agent shall be given upon such number of days’ notice as is specified in the agreement governing
the Rights Agent’s services as transfer agent, as such agreement may be amended from time to time. If the Rights Agent and
the transfer agent are not the same Person and the Rights Agent shall resign or be removed or shall otherwise become incapable
of acting, then the Company shall appoint a successor to the Rights Agent. If the Company shall fail to make such appointment
within a period of 90 days after giving notice of such removal or after it has been notified in writing of such resignation or
incapacity by the resigning or incapacitated Rights Agent or by the holder of a Right Certificate (who shall, with such notice,
submit such holder’s Right Certificate for inspection by the Company), then the registered holder of any Right Certificate
may apply to any court of competent jurisdiction for the appointment of a new Rights Agent. Any successor Rights Agent, whether
appointed by the Company or by such a court, shall be (a) a legal entity organized and doing business under the laws of the
United States or of any state of the United States so long as such entity is authorized to do business as a banking institution
in such state, in good standing, which is authorized under such laws to exercise corporate trust, stock transfer or stockholder
services powers and is subject to supervision or examination by federal or state authority and which has at the time of its appointment
as Rights Agent a combined capital and surplus, along with its Affiliates, of at least $50 million, or (b) an Affiliate of
a legal entity described in clause (a) of this sentence. After appointment, the successor Rights Agent shall be vested with the
same powers, rights, duties and responsibilities as if it had been originally named as Rights Agent without further act or deed;
but the predecessor Rights Agent shall deliver and transfer to the successor Rights Agent any property at the time held by it
hereunder, and execute and deliver any further assurance, conveyance, act or deed necessary for the purpose. Not later than the
effective date of any such appointment, the Company shall file notice thereof in writing with the predecessor Rights Agent and
each transfer agent of the Common Shares, and, if such appointment occurs after the Distribution Date, mail a notice thereof in
writing to the registered holders of the Right Certificates. Failure to give any notice provided for in this Section 21,
however, or any defect therein, shall not affect the legality or validity of the resignation or removal of the Rights Agent or
the appointment of the successor Rights Agent, as the case may be.

 

Section 22.         Issuance
of New Right Certificates. Notwithstanding any of the provisions of this Agreement or of the Rights to the contrary,
the Company may, at its option, issue new Right Certificates evidencing Rights in such form as may be approved by the Board to
reflect any adjustment or change in the Purchase Price and the number or kind or class of shares or other securities or property
purchasable under the Right Certificates made in accordance with the provisions of this Agreement.

 

Section 23.         Redemption.

 

(a)          The
Rights may be redeemed by action of the Board pursuant to subsection (b) of this Section 23 and shall not be redeemed
in any other manner.

 

(b)          The
Board may, at its option, at any time prior to such time as any Person becomes an Acquiring Person, redeem all but not less than
all the then outstanding Rights at a redemption price of $.001 per Right, appropriately adjusted to reflect any stock split, stock
dividend or similar transaction occurring after the Record Date (such redemption price being hereinafter referred to as the “Redemption
Price”). The redemption of the Rights by the Board may be made effective at such time, on such basis and with such conditions
as the Board, in its sole discretion, may establish.

 

    	24

    	 

    

 

(c)          Immediately
upon the effectiveness of the action of the Board ordering the redemption of the Rights pursuant to subsection (b) of this
Section 23, and without any further action and without any notice, the right to exercise the Rights will terminate and the
only right thereafter of the holders of Rights, as such, shall be to receive the Redemption Price. The Company shall promptly give
public notice of any such redemption (with prompt written notice to the Rights Agent); provided, however, that the failure
to give, or any defect in, any such notice shall not affect the validity of such redemption. Within ten days after the effectiveness
of the action of the Board ordering the redemption of the Rights pursuant to subsection (b) of this Section 23, the Company
shall mail a notice of redemption to all the holders of the then outstanding Rights at their last addresses as they appear upon
the registry books of the Rights Agent or, prior to the Distribution Date, on the registry books of the transfer agent for the
Common Shares. Any notice which is mailed in the manner herein provided shall be deemed given, whether or not the holder receives
the notice. Each such notice of redemption will state the method by which the payment of the Redemption Price will be made. Neither
the Company nor any of its Affiliates or Associates may redeem, acquire or purchase for value any Rights at any time in any manner
other than as specifically set forth in this Section 23 or in Section 24 hereof, and other than in connection with the
purchase of Common Shares prior to the Distribution Date.

 

Section 24.         Exchange.

 

(a)          The
Board may, at its option, at any time after any Person becomes an Acquiring Person, exchange all or part of the then outstanding
and exercisable Rights (which shall not include Rights that have become void pursuant to the provisions of Section 11(a)(ii)
hereof) for Common Shares at an exchange ratio of one Common Share per Right, appropriately adjusted to reflect any stock split,
stock dividend or similar transaction occurring after the Record Date (such exchange ratio being hereinafter referred to as the
“Exchange Ratio”). Notwithstanding the foregoing, the Board shall not be empowered to effect such exchange at any time
after an Acquiring Person becomes the Beneficial Owner of 50% or more of the Common Shares then outstanding. The exchange of the
Rights by the Board may be made effective as such time, on such basis and with such conditions as the Board, in its sole discretion,
may establish. Prior to effecting an exchange pursuant to this Section 24, the Board may direct the Company to enter into
a trust agreement in such form and with such terms as the Board shall approve (the “Trust Agreement”). If the Board
so directs, the Company shall enter into the Trust Agreement and shall issue to the trust created by the Trust Agreement (the “Trust”)
all of the Preferred Shares (or equivalent preferred shares, as such term is defined in Section 11(b) hereof), to the extent
applicable pursuant to Section 24(c), issuable pursuant to the exchange (and any cash in lieu of fractional shares), and all
Persons entitled to receive shares pursuant to the exchange shall be entitled to receive such Preferred Shares or equivalent preferred
shares (and any dividends or distributions made thereon after the date on which such shares are deposited in the Trust and any
cash in lieu of fractional shares) only from the Trust and solely upon compliance with the relevant terms and provisions of the
Trust Agreement.

 

(b)          Immediately
upon the action of the Board ordering the exchange of any Rights pursuant to subsection (a) of this Section 24 and without
any further action and without any notice, the right to exercise such Rights shall terminate and the only right thereafter of a
holder of such Rights, as such, shall be to receive that number of Common Shares equal to the number of such Rights held by such
holder multiplied by the Exchange Ratio. The Company shall promptly give public notice of any such exchange; provided, however,
that the failure to give, or any defect in, such notice shall not affect the validity of such exchange. The Company promptly shall
mail a notice of any such exchange to all of the holders of such Rights at their last addresses as they appear upon the registry
books of the Rights Agent. Any notice which is mailed in the manner herein provided shall be deemed given, whether or not the holder
receives the notice. Each such notice of exchange will state the method by which the exchange of the Common Shares for Rights will
be effected and, in the event of any partial exchange, the number of Rights which will be exchanged. Any partial exchange shall
be effected pro rata based on the number of Rights (other than Rights which have become void pursuant to the provisions of Section 11(a)(ii)
hereof) held by each holder of Rights.

 

    	25

    	 

    

 

(c)          In
any exchange pursuant to this Section 24, the Company, at its option, may substitute Preferred Shares (or equivalent preferred
shares, as such term is defined in Section 11(b) hereof) for some or all of the Common Shares exchangeable for Rights, at
the initial rate of one one-hundredth of a Preferred Share (or equivalent preferred share) for each Common Share of the Company,
as appropriately adjusted to reflect adjustments in the voting rights of the Preferred Shares pursuant to the terms thereof, so
that the fraction of a Preferred Share delivered in lieu of each Common Share of the Company shall have the same voting rights
as one Common Share of the Company.

 

(d)          In
the event that there shall not be sufficient Common Shares or Preferred Shares issued but not outstanding or authorized but unissued
to permit any exchange of Rights as contemplated in accordance with this Section 24, the Company shall take all such action
as may be necessary to authorize additional Common Shares or Preferred Shares for issuance upon exchange of the Rights.

 

Section 25.         Process
to Seek Exemption Prior to Distribution Date.

 

(a)          Any
Person who desires to effect any acquisition of Common Shares that would, if consummated, result in such Person beneficially owning
4.99% or more of the then outstanding Common Shares (a “Requesting Person”) may, prior to the Shares Acquisition Date
and in accordance with this Section 25(a), request that the Board grant an exemption with respect to such acquisition under this
Agreement so that such Person would be deemed to be an “Exempt Person” under clause (ii) of Section 1(i) hereof for
purposes of this Agreement (an “Exemption Request”). An Exemption Request shall be in proper form and shall be delivered
by overnight delivery service or registered or certified mail, postage prepaid, to the Corporate Secretary of the Company at the
principal executive office of the Company. The Exemption Request shall be deemed made upon receipt by the Corporate Secretary of
the Company. To be in proper form, an Exemption Request shall set forth (i) the name and address of the Requesting Person, (ii)
the number and percentage of Common Shares then Beneficially Owned by the Requesting Person, together with all Affiliates and Associates
of the Requesting Person, (iii) a reasonably detailed description of the transaction or transactions by which the Requesting Person
would propose to acquire Beneficial Ownership of Common Shares aggregating 4.99% or more of the then outstanding Common Shares
and the maximum number and percentage of outstanding Common Shares that the Requesting Person proposes to acquire, and (iv) such
other information, representations, warranties and covenants as are set forth in Exhibit A hereto. The Board shall make a determination
whether to grant an exemption in response to an Exemption Request as promptly as practicable (and, in any event, within ten Business
Days) after receipt thereof; provided, however, that the failure of the Board to make a determination within such
period shall be deemed to constitute the denial by the Board of the Exemption Request. The Requesting Person shall respond promptly
to reasonable and appropriate requests for additional information from the Board and its advisors to assist the Board in making
its determination. For purposes of considering the Exemption Request, any calculation of the number of Common Shares outstanding
at any particular time, including for purposes of determining the particular percentage of such outstanding Common Shares of which
any Person is the Beneficial Owner, shall be made pursuant to and in accordance with Section 382 of the Code. The Board shall only
grant an exemption in response to an Exemption Request if the Board determines, in its sole discretion, that the acquisition of
Beneficial Ownership of Common Shares by the Requesting Person (A) will not adversely impact in any material respect the time period
in which the Company could use the Tax Benefits or limit or impair the availability to the Company of the Tax Benefits, or (B)
is in the best interests of the Company despite the fact that it may adversely impact in a material respect the time period in
which the Company could use the Tax Benefits or limit or impair the availability to the Company of the Tax Benefits. Any exemption
granted hereunder may be granted in whole or in part, and may be subject to limitations or conditions (including a requirement
that the Requesting Person agree that it will not acquire Beneficial Ownership of Common Shares in excess of the maximum number
and percentage of shares approved by the Board), in each case, as and to the extent the Board shall determine necessary or desirable
to provide for the protection of the Tax Benefits. Any Exemption Request may be submitted on a confidential basis and, except to
the extent required by applicable law, the Company shall maintain the confidentiality of such Exemption Request and the Board’s
determination with respect thereto, unless the information contained in the Exemption Request or the Board’s determination
with respect thereto otherwise becomes publicly available. The Exemption Request shall be considered and evaluated by directors
serving on the Board, or a duly constituted committee thereof, who are independent of the Company and the Requesting Person and
disinterested with respect to the Exemption Request, and the action of a majority of such independent and disinterested directors
shall be deemed to be the determination of the Board for purposes of such Exemption Request.

 

    	26

    	 

    

 

(b)          The
Board may, of its own accord or upon the request of a stockholder (a “Waiver Request”), subsequent to a Shares Acquisition
Date and prior to the Distribution Date, and in accordance with this Section 25(b), grant an exemption with respect to any Acquiring
Person under this Agreement so that such Acquiring Person would be deemed to be an “Exempt Person” under clause (ii)
of Section 1(i) hereof for purposes of this Agreement. A Waiver Request shall be in proper form and shall be delivered by overnight
delivery service or registered or certified mail, postage prepaid, to the Corporate Secretary of the Company at the principal executive
office of the Company. The Waiver Request shall be deemed made upon receipt by the Corporate Secretary of the Company. To be in
proper form, a Waiver Request shall set forth (i) the name and address of the Acquiring Person, (ii) the number and percentage
of Common Shares then Beneficially Owned by the Acquiring Person, together with all Affiliates and Associates of the Acquiring
Person, (iii) a reasonably detailed description of the transaction or transactions by which the Acquiring Person acquired Beneficial
Ownership of Common Shares aggregating 4.99% or more of the then outstanding Common Shares and the maximum number and percentage
of outstanding Common Shares that the Acquiring Person proposes to acquire, and (iv) such other information, representations, warranties
and covenants as are set forth in Exhibit A hereto. The Board shall make a determination whether to grant an exemption in response
to a Waiver Request as promptly as practicable (and, in any event, within ten Business Days) after receipt thereof; provided,
however, that the failure of the Board to make a determination within such period shall be deemed to constitute the denial
by the Board of the Waiver Request. The Acquiring Person shall respond promptly to reasonable and appropriate requests for additional
information from the Board and its advisors to assist the Board in making its determination. For purposes of considering the Waiver
Request, any calculation of the number of Common Shares outstanding at any particular time, including for purposes of determining
the particular percentage of such outstanding Common Shares of which any Person is the Beneficial Owner, shall be made pursuant
to and in accordance with Section 382 of the Code. The Board shall only grant an exemption for an Acquiring Person if the Board
determines, in its sole discretion, that the acquisition of Beneficial Ownership of Common Shares by such Acquiring Person does
not adversely impact in any material respect the time period in which the Company could use the Tax Benefits or limit or impair
the availability to the Company of the Tax Benefits. Any exemption granted hereunder may be granted in whole or in part, and may
be subject to limitations or conditions (including a requirement that such Acquiring Person agree that it will not acquire Beneficial
Ownership of Common Shares in excess of the maximum number and percentage of shares approved by the Board), in each case, as and
to the extent the Board shall determine necessary or desirable to provide for the protection of the Tax Benefits. The Waiver Request
or other determination to grant an exemption shall be considered and evaluated by directors serving on the Board, or a duly constituted
committee thereof, who are independent of the Company and such Acquiring Person and disinterested with respect to the Waiver Request
or other determination to grant an exemption, and the action of a majority of such independent and disinterested directors shall
be deemed to be the determination of the Board for purposes of any exemption granted pursuant to this Section 25(b).

 

    	27

    	 

    

 

Section 26.         Notice
of Certain Events.

 

(a)          In
case the Company shall propose, after the Distribution Date, (i) to pay any dividend payable in stock of any class to the holders
of Preferred Shares or to make any other distribution to the holders of Preferred Shares (other than a regular quarterly cash dividend),
(ii) to offer to the holders of Preferred Shares rights or warrants to subscribe for or to purchase any additional Preferred Shares
or shares of stock of any class or any other securities, rights or options, (iii) to effect any reclassification of Preferred Shares
(other than a reclassification involving only the subdivision of outstanding Preferred Shares), (iv) to effect any consolidation
or merger into or with (other than a merger of a Subsidiary into or with the Company), to effect any share exchange with or to
effect any sale or other transfer (or to permit one or more of its Subsidiaries to effect any sale or other transfer), in one or
more transactions, of 50% or more of the assets or earning power of the Company and its Subsidiaries (taken as a whole) to, any
other Person, or (v) to effect the liquidation, dissolution or winding up of the Company, then, in each such case, the Company
shall give to the Rights Agent and each holder of a Right Certificate, in accordance with Section 27 hereof, a notice of such
proposed action, which shall specify the record date for the purposes of such stock dividend, or distribution of rights or warrants,
or the date on which such reclassification, consolidation, merger, share exchange, sale, transfer, liquidation, dissolution, or
winding up is to take place and the date of participation therein by the holders of the Preferred Shares if any such date is to
be fixed, and such notice shall be so given in the case of any action covered by clause (i) or (ii) above at least ten days prior
to the record date for determining holders of Preferred Shares for purposes of such action, and in the case of any such other action,
at least ten days prior to the date of the taking of such proposed action or the date of participation therein by the holders of
the Preferred Shares, whichever shall be the earlier.

 

(b)          If
a Section 11(a)(ii) Event shall occur, then (i) the Company shall, as soon as practicable thereafter, give to each holder
of a Right Certificate, in accordance with Section 27 hereof, a notice of the occurrence of such event, which notice shall
include a brief summary of the Section 11(a)(ii) Event and the consequences thereof to holders of Rights, and (ii) all references
in the preceding paragraph to Preferred Shares shall be deemed thereafter to refer to Common Shares and/or, if appropriate, other
securities.

 

Section 27.         Notices.

 

(a)          Notices
or demands authorized by this Agreement to be given or made by the Rights Agent or by the holder of any Right Certificate to or
on the Company shall be sufficiently given or made if sent by overnight delivery service or registered or certified mail, postage
prepaid, addressed (until another address is filed in writing with the Rights Agent) as follows:

 

Hudson Global, Inc.

560 Lexington Avenue,
5th Floor

New York, New York
10022

Attention: Corporate
Secretary

 

(b)          Subject
to the provisions of Section 21 hereof, any notice or demand authorized by this Agreement to be given or made by the Company
or by the holder of any Right Certificate to or on the Rights Agent shall be sufficiently given or made if sent by overnight delivery
service or registered or certified mail, postage prepaid, addressed (until another address is filed in writing with the Company)
as follows:

 

Computershare Inc.

250 Royall Street

Canton, Massachusetts
02021

Attention: Client Services

 

    	28

    	 

    

 

(c)          Notices
or demands authorized by this Agreement to be given or made by the Company or the Rights Agent to the holder of any Right Certificate
shall be sufficiently given or made if sent by overnight delivery service or registered or certified mail, postage prepaid, addressed
to such holder at the address of such holder as shown on the registry books of the Company.

 

Section 28.         Supplements
and Amendments. Prior to such time as any Person becomes an Acquiring Person and subject to the penultimate sentence
of this Section 28, the Company may and the Rights Agent shall, if the Company so directs, supplement or amend any provision
of this Agreement without the approval of any holders of certificates representing Common Shares. From and after the Distribution
Date and subject to the penultimate sentence of this Section 28, the Company and the Rights Agent shall, if the Company so
directs, supplement or amend this Agreement without the approval of any holders of Right Certificates in order (i) to cure any
ambiguity, (ii) to correct or supplement any provision contained herein which may be defective or inconsistent with any other
provision herein, (iii) to shorten or lengthen any time period hereunder, or (iv) to change or supplement the provisions hereunder
in any manner which the Company may deem necessary or desirable and which shall not adversely affect the interests of the holders
of Right Certificates (other than an Acquiring Person or an Affiliate or Associate of an Acquiring Person); provided, however,
that, from and after the Distribution Date, this Agreement may not be supplemented or amended to lengthen, pursuant to clause
(iii) of this sentence, (A) a time period relating to when the Rights may be redeemed at such time as the Rights are not then
redeemable, or (B) any other time period, unless such lengthening is for the purpose of protecting, enhancing or clarifying the
rights of, and/or the benefits to, the holders of Rights. Any such supplement or amendment shall be evidenced by a writing signed
by the Company and the Rights Agent. Upon the delivery of a certificate from an appropriate officer of the Company which states
that the proposed supplement or amendment is in compliance with the terms of this Section 28, the Rights Agent shall execute
such supplement or amendment; provided, that notwithstanding anything to the contrary contained herein, the Rights Agent may,
but shall not be obligated to, enter into any supplement or amendment that affects the Rights Agent’s own rights, duties,
obligations or immunities under this Agreement. Notwithstanding anything contained in this Agreement to the contrary, no supplement
or amendment shall be made which reduces the then effective Redemption Price or moves to an earlier date the then effective Final
Expiration Date. Prior to the Distribution Date, the interests of the holders of Rights shall be deemed coincident with the interests
of the holders of Common Shares.

 

Section 29.         Successors.
All the covenants and provisions of this Agreement by or for the benefit of the Company or the Rights Agent shall bind and inure
to the benefit of their respective successors and assigns hereunder.

 

Section 30.         Benefits
of this Agreement. Nothing in this Agreement shall be construed to give to any Person other than the Company, the
Rights Agent and the registered holders of the Right Certificates (and, prior to the Distribution Date, the Common Shares) any
legal or equitable right, remedy or claim under this Agreement; but this Agreement shall be for the sole and exclusive benefit
of the Company, the Rights Agent and the registered holders of the Right Certificates (and, prior to the Distribution Date, the
Common Shares).

 

Section 31.         Severability.
In the event any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other
authority to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement
shall remain in full force and effect and shall in no way be affected, impaired or invalidated; provided, however, that
nothing contained in this Section 31 will affect the ability of the Company under the provisions of Section 28 to supplement or
amend this Agreement to replace such invalid, void or unenforceable term, provision, covenant or restriction with a legal, valid
and enforceable term, provision, covenant or restriction; provided further, however, that if any such excluded term, provision,
covenant or restriction shall adversely affect the rights, immunities, duties or obligations of the Rights Agent, the Rights Agent
shall be entitled to resign immediately.

 

    	29

    	 

    

 

Section 32.         Governing
Law. This Agreement and each Right Certificate issued hereunder shall be deemed to be a contract made under the
laws of the State of Delaware and for all purposes shall be governed by and construed in accordance with the laws of such State
applicable to contracts to be made and performed entirely within such State; provided, however, that the rights, duties
and obligations of the Rights Agent hereunder shall be governed by and construed in accordance with the laws of the State of New
York.

 

Section 33.         Counterparts.
This Agreement may be executed in any number of counterparts and each of such counterparts shall for all purposes be deemed to
be an original, and all such counterparts shall together constitute but one and the same instrument. A signature to this Agreement
executed and/or transmitted electronically shall have the same authority, effect, and enforceability as an original signature.

 

Section 34.         Descriptive
Headings; Interpretation. Descriptive headings of the several Sections of this Agreement are inserted for
convenience only and shall not control or affect the meaning or construction of any of the provisions hereof. Any reference in
this Agreement to a statutory or regulatory provision includes a reference to any successor provision thereof.

 

Section 35.         Determinations
and Actions by the Board. The Board and the appropriate officers of the Company shall have the power and authority
to administer this Agreement and to exercise all rights and powers specifically granted to the Company, or as may be necessary
or advisable in the administration of this Agreement, including, without limitation, the right and power to interpret the provisions
of this Agreement and make all determinations to be made by the Company hereunder or deemed necessary or advisable for the administration
of this Agreement. The Board shall have the exclusive power and authority to exercise all rights and powers specifically granted
to the Board, including a determination to redeem or not redeem the Rights or to amend this Agreement and any determination as
to whether the actions of any Person shall be such as to cause such Person to beneficially own Common Shares or to become an Acquiring
Person. All such actions, calculations, interpretations and determinations (including, for purposes of clause (ii) below, all
omissions with respect to the foregoing) which are done or made by the Board or the officers of the Company, as applicable, in
good faith, shall (i) be final, conclusive and binding on the Company, the Rights Agent, the holders of the Rights and all other
parties, and (ii) not subject the Board to any liability to the holders of the Rights.

 

Section 36.         Book
Entry. Reference in this Agreement to certificates for Common Shares includes, in the case of uncertificated Common
Shares, the balances indicated in the account system of the transfer agent for book entry Common Shares, and prior to the Distribution
Date, any uncertificated Common Shares shall also evidence the associated Rights. A substantially similar version of any legend
required to be placed on any certificate for Common Shares may instead be included on any confirmation or notification to the
registered holder of such book entry Common Shares.

 

Section 37.         Amendment
and Restatement. This Agreement amends and restates the Original Rights Agreement in its entirety, effective as
of the close of business on January 15, 2015. For purposes of clarity, notwithstanding the foregoing and without limitation, any
amendment effected by means of this Agreement to the definition of the term “Acquiring Person” included in the Original
Rights Agreement does not affect the validity or effectiveness of any exception from the definition of Acquiring Person applicable
to any Person prior to such amendment.

 

    	30

    	 

    

 

Section 38.         Force
Majeure. Notwithstanding anything to the contrary contained herein, the Rights Agent shall not be liable
for any delays or failures in performance resulting from acts beyond its reasonable control including, without limitation, acts
of God, terrorist acts, shortage of supply, breakdowns or malfunctions, interruptions or malfunction of computer facilities, or
loss of data due to power failures or mechanical difficulties with information storage or retrieval systems, labor difficulties,
war, or civil unrest. 

 

    	31

    	 

    

 

IN WITNESS WHEREOF,
the parties hereto have caused this Agreement to be duly executed and attested, all as of the day and year first above written.

 

	 	 	 	HUDSON GLOBAL, INC.	 
	 	 	 	 	 	 
	Attest:	 	 	 	 
	 	 	 	 	 	 
	By:	/s/ Philip A. Skalski	 	By:	/s/ Manuel Marquez Dorsch	 
	Title:	Corporate Counsel and	 	Title:	Chairman and Chief Executive Officer	 
	 	Assistant Corporate Secretary	 	 	 	 
	 	 	 	 	 	 
	 	 	 	COMPUTERSHARE INC.	 
	 	 	 	 	 	 
	Attest:	 	 	 	 
	 	 	 	 	 	 
	By:	/s/ Fred Pappenmeier	 	By:	/s/ David Adamson	 
	Title:	Vice President	 	Title:	Vice President	 

 

    	32

    	 

    

	EXHIBIT A

 

FORM OF REPRESENTATION AND REQUEST LETTER

 

This letter is delivered
to the Company pursuant to Section 1(i)(i)(A) of the Amended and Restated Rights Agreement (the “Agreement”), dated
as of January 15, 2015 and as amended through the date hereof, by and between Hudson Global, Inc., a Delaware corporation (the
“Company”), and the Rights Agent named therein. Capitalized terms used, but not defined, in this letter (and the term
“beneficial ownership”) shall have the respective meanings given them under the Agreement.

 

By delivery of this letter,
[Name] (“Investor”) requests that the Company determine pursuant to Section 1(i)(ii) of the Agreement, based
on this letter and any other information that the Company believes relevant (which, upon written request of the Company, Investor
must provide if it desires to pursue this request), that beneficial ownership by Investor and its Affiliates and Associates of
4.99% or more of the outstanding Common Shares would not jeopardize or endanger the availability to the Company of the Tax Benefits
(such determination, if affirmative, is referred to herein as the “Determination”). The representations, warranties
and covenants of Investor contained in this letter are being provided or made solely in connection with Investor’s request
that the Company make the Determination, thereby effectuating the exemption (the “Exemption”) provided in Section 1(i)
of the Agreement.

 

For purposes
of this letter, the following terms shall have the meanings indicated:

 

(a)          The
“Applicable Period” means the period beginning with and including the date of this letter and ending at the earlier
of (A) the time, if any, following the Determination at which the Exemption is no longer in effect, or (B) the time at which the
Agreement is no longer effective.

 

(b)          A
specified Person has “Economic Ownership” of shares if such shares are treated, for purposes of Section 382 of the
Code and the Treasury Regulations thereunder, as being owned by the specified Person (or by a Person or group of Persons to which
the shares owned by the specified Person are attributed pursuant to Treasury Regulation Section 1.382-2T(h)).

 

(c)          “Fund”
means (A) an investment account that is not itself a Person and that is managed or advised by Investor or by an Affiliate or Associate
of Investor, and (B) any Affiliate or Associate of Investor that is an investment fund.

 

(d)          “Investor
Group” refers collectively to Investor and its Affiliates and Associates (including [__________]), other than the Funds.

 

Investor makes the following
representations, warranties and covenants:

 

(a)          The
aggregate number of Common Shares beneficially owned by the Funds and by the Investor Group and Funds, collectively, are as follows:

 

	
                 
	Number
    of Common Shares
	 	 
	Funds	 
	 	 
	Investor Group and Funds, collectively	 

 

    	A-1

    	 

    

 

(b)          Investor
represents and warrants that the following statements are true and correct at the date of this letter, and that the statements
in subparagraphs (b) and (c) below will also be true and correct at all times during the Applicable Period:

 

(i)          Neither
the Investor Group nor any single Fund has Economic Ownership of more than 4.90%1 of the total outstanding Common Shares.

 

(ii)         With
respect to any Common Shares owned by the Investor Group, no member of the Investor Group is acting as a member of a group that
both (A) includes any Person other than another member of the Investor Group and (B) is treated as an “entity” under
the second sentence of Treasury Regulation Section 1.382-3(a)(1)(i).

 

(iii)        With
respect to any Common Shares owned by a Fund, such Fund is not acting as a member of a group that is treated as an “entity”
under the second sentence of Treasury Regulation Section 1.382-3(a)(1)(i).

 

(c)          Investor
acknowledges, understands and agrees that, at all times during the Applicable Period, neither the Investor Group nor any Fund shall
acquire (other than through a stock dividend, rights dividend, stock split or similar transaction effected by the Company) any
Common Shares (or any interests in an entity that owns, directly or indirectly, any Common Shares) if, immediately after such acquisition,
(i) the Investor Group or such Fund would have Economic Ownership of more than 4.99% of the total then-outstanding Common Shares,
or (ii) to Investor’s knowledge, any Person other than (x) a member of the Investor Group or (y) such Fund would have Economic
Ownership of more than 4.99% of the total then-outstanding Common Shares (and would not have such level of Economic Ownership but
for such acquisition by the Investor Group or such Fund).

 

Investor acknowledges
and agrees that the accuracy of the foregoing representations and warranties and compliance with the foregoing covenants are a
condition to the Exemption becoming effective and remaining in effect.

 

	 	Sincerely,
	 	 
	 	[Name of Investor]
	 	 
	 	By: 	 	 
	 	Name:
	 	Title:

 

 

1 In its
sole discretion, the Company may accept a higher percentage not greater than 4.99%.

 

    	A-2

    	 

    

 

	EXHIBIT B

 

 Terms of the

Series A Junior Participating Preferred Stock,

$.001 par value, of Hudson Global, Inc.

 

Series A Junior Participating Preferred
Stock

 

1.            Designation
and Amount. There is hereby created a series of Preferred Shares that shall be designated as “Series A Junior Participating
Preferred Stock”, par value $.001 per share (the “Series A Preferred Stock”), and the number of shares constituting
such series shall be 1,000,000. Such number of shares may be increased or decreased by resolution of the Board of Directors; provided
that no decrease shall reduce the number of shares of Series A Preferred Stock to a number less than the number of shares then
outstanding plus the number of shares reserved for issuance upon the exercise of outstanding options, rights or warrants or upon
the conversion of any outstanding securities issued by the Corporation into Series A Preferred Stock.

 

2.            Dividends
and Distributions.

 

(A)         The
holders of shares of Series A Preferred Stock, in preference to the holders of shares of Common Stock and of any other junior
stock, shall be entitled to receive, when, as and if declared by the Board of Directors out of funds legally available for the
purpose, quarterly dividends payable in cash on the first business days of January, April, July and October in each year (each
such date being referred to herein as a “Quarterly Dividend Payment Date”), commencing on the first Quarterly Dividend
Payment Date after the first issuance of a share or fraction of a share of Series A Preferred Stock, in an amount per share
(rounded to the nearest cent) equal to the greater of (i) $1.00 or (ii) subject to the provision for adjustment hereinafter set
forth, 100 times the aggregate per share amount of all cash dividends, and 100 times the aggregate per share amount (payable in
kind) of all noncash dividends or other distributions, other than a dividend payable in shares of Common Stock or a subdivision
of the outstanding shares of Common Stock (by reclassification or otherwise), declared on the Common Stock since the immediately
preceding Quarterly Dividend Payment Date, or, with respect to the first Quarterly Payment Date, since the first issuance of any
share or fraction of a share of Series A Preferred Stock. In the event the Corporation shall at any time after the close of
business on February 28, 2005 (the “Record Date”) (a) declare any dividend on Common Stock payable in shares of Common
Stock, (b) subdivide the outstanding Common Stock, or (c) combine the outstanding Common Stock into a smaller number of shares,
then in each such case the amount to which holders of shares of Series A Preferred Stock were entitled immediately prior to
such event under clause (ii) of the preceding sentence shall be adjusted by multiplying such amount by a fraction, the numerator
of which is the number of shares of Common Stock that are outstanding immediately after such event and the denominator of which
is the number of shares of Common Stock that were outstanding immediately prior to such event.

 

(B)         The
Corporation shall declare a dividend or distribution on the Series A Preferred Stock as provided in paragraph (A) above immediately
after it declares a dividend or distribution on the Common Stock (other than a dividend payable in shares of Common Stock); provided
that, in the event no dividend or distribution shall have been declared on the Common Stock during the period between any Quarterly
Dividend Payment Date and the next subsequent Quarterly Dividend Payment Date, a dividend of $1.00 per share on the Series A
Preferred Stock shall nevertheless be payable on such subsequent Quarterly Dividend Payment Date.

 

    	B-1

    	 

    

 

(C)         Dividends
shall begin to accrue and be cumulative on outstanding shares of Series A Preferred Stock from the Quarterly Dividend Payment
Date next preceding the date of issue of such shares of Series A Preferred Stock, unless the date of issue of such shares
is prior to the record date for the first Quarterly Dividend Payment Date, in which case dividends on such shares shall begin to
accrue from the date of issue of such shares, or unless the date of issue is a Quarterly Dividend Payment Date or is a date after
the record date for the determination of holders of shares of Series A Preferred Stock entitled to receive a quarterly dividend
and before such Quarterly Dividend Payment Date, in either of which events such dividends shall begin to accrue and be cumulative
from such Quarterly Dividend Payment Date. Accrued but unpaid dividends shall not bear interest. Dividends paid on the shares of
Series A Preferred Stock in an amount less than the total amount of such dividends at the time accrued and payable on such
shares shall be allocated pro rata on a share-by-share basis among all such shares at the time outstanding. The Board of Directors
may fix a record date for the determination of holders of shares of Series A Preferred Stock entitled to receive payment of
a dividend or distribution declared thereon, which record date shall be no more than 30 days prior to the date fixed for the payment
thereof.

 

3.           Voting
Rights. The holders of shares of Series A Preferred Stock shall have the following voting rights:

 

(A)         Subject
to the provision for adjustment hereinafter set forth, each share of Series A Preferred Stock shall entitle the holder thereof
to 100 votes on all matters submitted to a vote of the stockholders of the Corporation. In the event the Corporation shall at any
time after the Record Date declare or pay any dividend on Common Stock payable in shares of Common Stock, or effect a subdivision
or combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of
a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each such case the number
of votes per share to which holders of shares of Series A Preferred Stock were entitled immediately prior to such event shall
be adjusted by multiplying such number by a fraction, the numerator of which is the number of shares of Common Stock that are outstanding
immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately
prior to such event.

 

(B)         Except
as otherwise provided herein, in any other resolution of the Board of Directors creating a series of Preferred Stock or any similar
stock, or by law, the holders of shares of Series A Preferred Stock and the holders of shares of Common Stock shall vote together
as one class on all matters submitted to a vote of stockholders of the Corporation.

 

(C)         Except
as set forth herein, holders of Series A Preferred Stock shall have no special voting rights and their consent shall not be
required (except to the extent they are entitled to vote with holders of Common Stock as set forth herein) for taking any corporate
action.

 

    	B-2

    	 

    

 

4.           Certain
Restrictions.

 

(A)         Whenever
quarterly dividends or other dividends or distributions payable on the Series A Preferred Stock as provided in Section 2
are in arrears, thereafter and until all accrued and unpaid dividends and distributions, whether or not declared, on shares of
Series A Preferred Stock outstanding shall have been paid in full, the Corporation shall not:

 

(i)          declare
or pay dividends on, make any other distributions on, or redeem or purchase or otherwise acquire for consideration any shares of
stock ranking junior (either as to dividends or upon liquidation, dissolution or winding up) to the Series A Preferred Stock;

 

(ii)         declare
or pay dividends on or make any other distributions on any shares of stock ranking on a parity (either as to dividends or upon
liquidation, dissolution or winding up) with the Series A Preferred Stock, except dividends paid ratably on the Series A
Preferred Stock and all such parity stock on which dividends are payable or in arrears in proportion to the total amounts to which
the holders of all such shares are then entitled;

 

(iii)        redeem
or purchase or otherwise acquire for consideration shares of any stock ranking on a parity (either as to dividends or upon liquidation,
dissolution or winding up) with the Series A Preferred Stock, provided that the Corporation may at any time redeem,
purchase or otherwise acquire shares of any such parity stock in exchange for shares of any stock of the Corporation ranking junior
to or on a parity with (both as to dividends or upon dissolution, liquidation or winding up) the Series A Preferred Stock;
or

 

(iv)        purchase
or otherwise acquire for consideration any shares of Series A Preferred Stock, or any shares of stock ranking on a parity
with the Series A Preferred Stock, except in accordance with a purchase offer made in writing or by publication (as determined
by the Board of Directors) to all holders of such shares upon such terms as the Board of Directors, after consideration of the
respective annual dividend rates and other relative rights and preferences of the respective series and classes, shall determine
in good faith will result in fair and equitable treatment among the respective series or classes.

 

(B)         The
Corporation shall not permit any corporation of which an amount of voting securities sufficient to elect at least a majority of
the directors of such corporation is beneficially owned, directly or indirectly, by the Corporation or otherwise controlled by
the Corporation to purchase or otherwise acquire for consideration any shares of stock of the Corporation unless the Corporation
could, under paragraph (A) of this Section 4, purchase or otherwise acquire such shares at such time and in such manner.

 

5.           Reacquired
Shares. All shares of Series A Preferred Stock that shall at any time have been reacquired by the Corporation shall, after
such reacquisition, have the status of authorized but unissued shares of Preferred Stock of the Corporation, without designation
as to series, and may be reissued as part of a new series of Preferred Stock to be created by resolution or resolutions of the
Board of Directors, subject to the conditions and restrictions on issuance set forth herein.

 

    	B-3

    	 

    

 

6.          Liquidation,
Dissolution or Winding Up. Upon any liquidation, dissolution or winding up of the Corporation, no distribution shall be made
(A) to the holders of shares of stock ranking junior (either as to dividends or upon liquidation, dissolution or winding up) to
the Series A Preferred Stock unless, prior thereto, the holders of shares of Series A Preferred Stock shall have received
$100 per share, plus an amount equal to accrued and unpaid dividends and distributions thereon, whether or not declared, to the
date of such payment, provided that the holders of shares of Series A Preferred Stock shall be entitled to receive
an aggregate amount per share, subject to the provision for adjustment hereinafter set forth, equal to 100 times the aggregate
amount to be distributed per share to holders of shares of Common Stock, or (B) to the holders of shares of stock ranking on a
parity (either as to dividends or upon liquidation, dissolution or winding up) with the Series A Preferred Stock, except distributions
made ratably on the Series A Preferred Stock and all other such parity stock in proportion to the total amounts to which the
holders of all such shares are entitled upon such liquidation, dissolution or winding up. In the event the Corporation shall at
any time after the Record Date declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision
or combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of
a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each such case the aggregate
amount to which holders of shares of Series A Preferred Stock were entitled immediately prior to such event under the proviso
in clause (A) of the preceding sentence shall be adjusted by multiplying such amount by a fraction, the numerator of which is the
number of shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares
of Common Stock that were outstanding immediately prior to such event.

 

7.          Consolidation,
Merger, etc. In case the Corporation shall enter into any consolidation, merger, combination, share exchange or other transaction
in which the shares of Common Stock are exchanged for or changed into other stock or securities, cash and/or any other property,
then in any such case the shares of Series A Preferred Stock shall at the same time be similarly exchanged or changed in an
amount per share (subject to the provision for adjustment hereinafter set forth) equal to 100 times the aggregate amount of stock,
securities, cash and/or any other property (payable in kind), as the case may be, into which or for which each share of Common
Stock is changed or exchanged. In the event the Corporation shall at any time after the Record Date (A) declare any dividend on
Common Stock payable in shares of Common Stock, (B) subdivide the outstanding Common Stock, or (C) combine the outstanding shares
of Common Stock into a smaller number of shares, then in each such case the amount set forth in the preceding sentence with respect
to the exchange or change of shares of Series A Preferred Stock shall be adjusted by multiplying such amount by a fraction,
the numerator of which is the number of shares of Common Stock that are outstanding immediately after such event and the denominator
of which is the number of shares of Common Stock that were outstanding immediately prior to such event.

 

8.          No
Redemption. The shares of Series A Preferred Stock shall not be redeemable.

 

9.          Amendment.
To the fullest extent permitted by applicable law, prior to such time as shares of Series A Preferred Stock are issued and
outstanding, the Board of Directors may modify, amend, alter or revoke any of the number of shares of Series A Preferred Stock,
the powers, preferences or special rights of the Series A Preferred Stock or the other terms of the Series A Preferred
Stock. From and after such time as shares of Series A Preferred Stock are issued and outstanding, the Restated Articles of
Incorporation of the Corporation shall not be amended in any manner that would materially alter or change the powers, preferences
or special rights of the Series A Preferred Stock so as to affect them adversely without the affirmative vote of the holders
of at least two-thirds of the outstanding shares of Series A Preferred Stock, voting together as a single class.

 

10.         Fractional
Shares. Series A Preferred Stock may be issued in fractions of a share which shall entitle the holder, in proportion to
such holder’s fractional shares, to exercise voting rights, receive dividends, participate in distributions and to have the
benefit of all other rights of holders of Series A Preferred Stock.

 

    	B-4

    	 

    

	EXHIBIT C

 

[Form of Right Certificate]

 

	Certificate No. R-	_______ Rights

 

  NOT EXERCISABLE AFTER JANUARY 15, 2018 (SUBJECT TO EXTENSION) OR EARLIER IF REDEMPTION, EXCHANGE OR TERMINATION OCCURS ON THE TERMS SET FORTH IN THE RIGHTS AGREEMENT.

 

Right Certificate

 

HUDSON GLOBAL, INC.

 

This certifies that ________________,
or registered assigns, is the registered owner of the number of Rights set forth above, each of which entitles the owner thereof,
subject to the terms, provisions and conditions of the Amended and Restated Rights Agreement, dated as of January 15, 2015, and
as such agreement may be amended (the “Rights Agreement”), between Hudson Global, Inc., a Delaware corporation (the
“Company”), and Computershare Inc. (the “Rights Agent”), to purchase from the Company at any time after
the Distribution Date (as such term is defined in the Rights Agreement) and prior to 5:00 P.M., New York, New York time, on
January 15, 2018, subject to extension, or earlier redemption, exchange or termination of the Rights as provided in the Rights
Agreement, at the office or offices of the Rights Agent designated for such purpose, or at the office of its successor as Rights
Agent, one one-hundredth of one fully paid nonassessable share of Series A Junior Participating Preferred Stock, par value $.001
per share (“Preferred Shares”), of the Company, at a purchase price of $8.50 per one one-hundredth of a Preferred Share
(the “Purchase Price”), upon presentation and surrender of this Right Certificate with the Form of Election to Purchase
properly completed and duly executed. The number of Rights evidenced by this Right Certificate (and the number of one one-hundredths
of a Preferred Share which may be purchased upon exercise hereof) set forth above, and the Purchase Price set forth above, are
the number and Purchase Price as of January 15, 2015, based on the Preferred Shares as constituted at such date. As provided in
the Rights Agreement, the Purchase Price and the number of one one-hundredths of a Preferred Share which may be purchased upon
the exercise of the Rights evidenced by this Right Certificate are subject to modification and adjustment upon the happening of
certain events.

 

This Right Certificate
is subject to all of the terms, provisions and conditions of the Rights Agreement, which terms, provisions and conditions are hereby
incorporated herein by reference and made a part hereof and to which Rights Agreement reference is hereby made for a full description
of the rights, limitations of rights, obligations, duties and immunities hereunder of the Rights Agent, the Company and the holders
of the Right Certificates. Copies of the Rights Agreement are on file at the principal executive offices of the Company and the
above-mentioned offices of the Rights Agent.

 

    	C-1

    	 

    

 

This Right Certificate,
with or without other Right Certificates, upon surrender at the office or offices of the Rights Agent designated for such purpose,
may be exchanged for another Right Certificate or Right Certificates of like tenor and date evidencing Rights entitling the holder
to purchase a like aggregate number of Preferred Shares as the Rights evidenced by the Right Certificate or Right Certificates
surrendered shall have entitled such holder to purchase. If this Right Certificate shall be exercised in part, the holder shall
be entitled to receive upon surrender hereof another Right Certificate or Right Certificates for the number of whole Rights not
exercised.

 

Subject to the provisions
of the Rights Agreement, the Rights evidenced by this Certificate may be redeemed by the Company at a redemption price of $.001
per Right.

 

The Board of Directors
of the Company may, at its option, at any time after any Person becomes an Acquiring Person, but prior to such Person’s acquisition
of 50% or more of the outstanding shares of Common Stock, par value $.001 per share (“Common Stock”), of the Company,
exchange the Rights evidenced by the certificates for Preferred Shares or shares of Common Stock, at an exchange ratio of one one-hundredth
of a Preferred Share or one share of Common Stock, as the case may be, per Right, subject to adjustment, as provided in the Rights
Agreement.

 

No fractional Preferred
Shares will be issued upon the exercise of any Right or Rights evidenced hereby (other than fractions which are integral multiples
of one one-hundredth of a Preferred Share, which may, at the election of the Company, be evidenced by depositary receipts), but
in lieu thereof, a cash payment will be made, as provided in the Rights Agreement.

 

No holder of this Right
Certificate shall be entitled to vote or receive dividends or be deemed for any purpose the holder of the Preferred Shares or of
any other securities of the Company which may at any time be issuable on the exercise hereof, nor shall anything contained in the
Rights Agreement or herein be construed to confer upon the holder hereof, as such, any of the rights of a stockholder of the Company
or any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or to give
or withhold consent to any corporate action, or to receive notice of meetings or other actions affecting stockholders (except as
provided in the Rights Agreement), or to receive dividends, distributions or subscription rights, or otherwise, until the Right
or Rights evidenced by this Right Certificate shall have been exercised as provided in the Rights Agreement.

 

This Right Certificate
shall not be valid or obligatory for any purpose until it shall have been countersigned by the Rights Agent.

 

    	C-2

    	 

    

 

WITNESS the facsimile
signature of the proper officers of the Company and its corporate seal. Dated as of ____________, ____.

 

	ATTEST:	 	HUDSON GLOBAL, INC.
	 	 	 	 
	 	 	By:	 
	 	 	 	Title:	 

 

Countersigned:

 

 

COMPUTERSHARE INC.

 

	By:	 	 
	 	Authorized Signature	 

    	C-3

    	 

    

 

[Form of Reverse Side of Right Certificate]

 

FORM OF ASSIGNMENT

 

(To be executed by the registered holder
if such

holder desires to transfer the Right Certificate.)

 

FOR VALUE RECEIVED
_______________________________ hereby sells, assigns and transfers unto _____________________________________________________________________________________

(Please print name and address of transferee)

_____________________________________________________________
this Right Certificate, together with all right, title and interest therein, and does hereby irrevocably constitute and appoint
___________________ Attorney, to transfer the within Right Certificate on the books of the within-named Company, with full power
of substitution.

 

Dated:____________, ____

 

	 	 
	 	Signature

 

Signature Guaranteed:

 

The undersigned hereby
certifies that the Rights evidenced by this Right Certificate are not beneficially owned by an Acquiring Person or an Affiliate
or Associate thereof (as defined in the Rights Agreement).

 

	 	 
	 	Signature

 

 

 

    	C-4

    	 

    

 

[Form of Reverse Side of Right Certificate
— continued]

 

FORM OF ELECTION TO PURCHASE

 

(To be executed if holder desires to

exercise the Right Certificate.)

 

To HUDSON GLOBAL, INC.:

 

The undersigned hereby
irrevocably elects to exercise __________________ Rights represented by this Right Certificate to purchase the Preferred Shares
issuable upon the exercise of such Rights and requests that certificates for such Preferred Shares be issued in the name of:

 

Please insert social security

or other identifying number

  

	 
	(Please print name and address)
	 
	 

  

If such number of Rights shall not be all
the Rights evidenced by this Right Certificate, a new Right Certificate for the balance remaining of such Rights shall be registered
in the name of and delivered to:

 

Please insert social security

or other identifying number

 

	 
	(Please print name and address)
	 
	 

 

Dated:____________, ____

 

	 	 
	 	Signature

 

Signature Guaranteed:

 

Signatures must be guaranteed
by a member firm of a registered national securities exchange, a member of the Financial Industry Regulatory Authority, or a commercial
bank or trust company having an office or correspondent in the United States.

 

    	C-5

    	 

    

 

[Form of Reverse Side of Right Certificate
— continued]

  

 

 

The undersigned hereby
certifies that the Rights evidenced by this Right Certificate are not beneficially owned by an Acquiring Person or an Affiliate
or Associate thereof (as defined in the Rights Agreement).

 

	 	 
	 	Signature

 

 

 

NOTICE

 

The signature in the
foregoing Forms of Assignment and Election must conform to the name as written upon the face of this Right Certificate in every
particular, without alteration or enlargement or any change whatsoever.

 

In the event the certification
set forth above in the Form of Assignment or the Form of Election to Purchase, as the case may be, is not completed, the Company
and the Rights Agent will deem the beneficial owner of the Rights evidenced by this Right Certificate to be an Acquiring Person
or an Affiliate or Associate thereof (as defined in the Rights Agreement) and such Assignment or Election to Purchase will not
be honored.

 

    	C-6

    	 

    

	EXHIBIT D

 

HUDSON GLOBAL, INC.

 

SUMMARY OF RIGHTS TO PURCHASE

PREFERRED SHARES

 

On February 2, 2005,
the Board of Directors (the “Board”) of Hudson Global, Inc. (the “Company”) entered into a rights agreement
and declared a dividend of one preferred share purchase right (a “Right”) for each outstanding share of common stock,
$.001 par value per share (“Common Shares”), of the Company. The dividend was payable upon the close of business on
February 28, 2005 to the stockholders of record upon the close of business on February 28, 2005. The Board extended the term of
and otherwise amended and restated that rights agreement on January 15, 2015, in an effort to protect stockholder value by attempting
to diminish the risk that the Company’s ability to use its net operating losses (“NOLs”) to reduce potential
future federal income tax obligations may become substantially limited.

 

The Company is providing
the following summary description of the Amended and Restated Rights Agreement (the “Rights Agreement”) entered into
between the Company and Computershare Inc. (the “Rights Agent”) on January 15, 2015. Please note, however, that this
description is only a summary, and is not complete, and should be read together with the entire Rights Agreement, which the Company
has filed with the Securities and Exchange Commission as an exhibit to an amendment to a Registration Statement on Form 8-A. A
copy of the Rights Agreement is also available free of charge from the Company.

 

The Rights. The
Rights will initially trade with, and will be inseparable from, the Common Shares. The Rights are evidenced only by certificates
that represent Common Shares. New Rights will accompany any new Common Shares the Company issues until the Distribution Date described
below or until the Rights are redeemed or the Rights Agreement expires. Until a Right is exercised as described below, the holder
thereof, as such, will have no rights as a stockholder of the Company, including, without limitation, the right to vote or to receive
dividends.

 

Exercise Price.
Each Right entitles the registered holder to purchase from the Company one one-hundredth of a share of Series A Junior Participating
Preferred Stock, par value $.001 per share (“Preferred Shares”), of the Company at a price of $8.50 per one one-hundredth
of a Preferred Share, subject to adjustment as provided in the Rights Agreement (the “Purchase Price”).

 

Exercisability.
The Rights will not be exercisable until the earlier of (i) ten days following a public announcement, or the Board concluding,
that a person or group of affiliated or associated persons has become an Acquiring Person by, subject to certain exceptions, acquiring
beneficial ownership of 4.99% or more of the outstanding Common Shares as described below, or (ii) ten business days (or such later
date as may be determined by the Board prior to such time as any person becomes an Acquiring Person) following the commencement
of, or announcement of an intention to make, a tender offer or exchange offer the consummation of which would result in a person
or group becoming an Acquiring Person.

 

The date on which the
Rights become exercisable is referred to in the Rights Agreement as the “Distribution Date.” Until that date, the certificates
for the Common Shares will also evidence the Rights, and any transfer of Common Shares will constitute a transfer of Rights. After
that date, the Rights will separate from the Common Shares and be evidenced by book entry credits or by Rights certificates that
the Company will mail to all eligible holders of Common Shares. Any Rights held by an Acquiring Person are void and may not be
exercised.

 

    	D-1

    	 

    

 

Acquiring Person.
An Acquiring Person is any person that becomes, by itself or together with its affiliates and associates, a beneficial owner
of 4.99% or more of the Common Shares then outstanding, but will not include (i) the Company, its subsidiaries and certain benefit
plans of the Company and its subsidiaries, (ii) any of certain “grandfathered” persons (“Grandfathered Persons”)
that would otherwise be Acquiring Persons as of the effective time of the Rights Agreement and that continue to qualify for this
status by not acquiring additional Common Shares or (iii) any person who or which the Board determines, in its sole discretion,
has inadvertently become a beneficial owner of 4.99% or more of the Common Shares then outstanding (or has inadvertently failed
to continue to qualify as a Grandfathered Person), provided that such person or its affiliates and associates promptly divest sufficient
Common Shares so that the percentage stock ownership of such person and its affiliates and associates is less than 4.99% of the
Common Shares then outstanding (or, in the case of any person who or which has inadvertently failed to continue to qualify as a
Grandfathered Person, the Common Shares that caused such person to so fail to qualify as a Grandfathered Person). In addition,
the Board, in its sole discretion, may (a) prior to the consummation of a transaction that would result in a person becoming an
Acquiring Person, upon the request of such person, determine that such person’s consummation of the transaction will not
result in such person becoming an Acquiring Person and (b) following the consummation of a transaction that results in a person
becoming an Acquiring Person, upon the request of such person or on its own accord, determine that such person is not an Acquiring
Person as a result of such transaction.

 

Preferred Shares.
Preferred Shares purchasable upon the exercise of Rights will not be redeemable. Each Preferred Share will be entitled to a minimum
preferential quarterly dividend payment of $1.00 per share but will be entitled to an aggregate dividend of 100 times the dividend
declared per Common Share. In the event of liquidation, the holders of the Preferred Shares will be entitled to a minimum preferential
liquidation payment of $100 per share but will be entitled to an aggregate payment of 100 times the payment made per Common Share.
Each Preferred Share will have 100 votes, voting together with the Common Shares. Finally, in the event of any merger, consolidation
or other transaction in which Common Shares are exchanged, each Preferred Share will be entitled to receive 100 times the amount
received per Common Share. These rights are protected by customary anti-dilution provisions.

 

Because of the nature
of the Preferred Shares’ dividend, voting and liquidation rights, the value of the one one-hundredth interest in a Preferred
Share purchasable upon exercise of each Right should approximate the value of one Common Share.

 

Flip-In. Upon
any person or group becoming an Acquiring Person, each holder of a Right, other than the Acquiring Person, will have the right
to receive, upon exercise of such Right, that number of Common Shares having a market value equal to the then current Purchase
Price divided by 50% of the market closing price of a Common Share on the trading day immediately preceding the date on which such
Right is exercised. In certain circumstances, the holder of a Right may receive upon exercise, in lieu of Common Shares, cash,
property or other securities of the Company or a reduction in the Purchase Price.

 

Expiration. The
Rights will expire on the earliest of (i) the date of the Company’s 2015 annual meeting of stockholders (the “2015
Annual Meeting”) if the Company’s stockholders do not approve the Rights Agreement at the 2015 Annual Meeting, (ii)
January 15, 2018, (iii) the time at which the Rights are redeemed as described below, (iv) the time at which the Rights are exchanged
as described below, (v) the repeal of Section 382 of the Internal Revenue Code if the Board determines that the Rights Agreement
is no longer necessary for the preservation of the Company’s NOLs, and (vi) the beginning of a taxable year of the Company
to which the Board determines that no NOLs may be carried forward.

 

    	D-2

    	 

    

 

Redemption. The
Board may redeem the Rights for $.001 per Right at any time before any person or group becomes an Acquiring Person. If the Board
redeems any Rights, it must redeem all of the Rights. Once the Rights are redeemed, the only right of a holder of Rights, as such,
will be to receive the redemption price of $.001 per Right. The redemption price will be adjusted if the Company effects a stock
split or pays a dividend in the form of Common Shares.

 

Exchange. After
a person or group becomes an Acquiring Person, but before an Acquiring Person owns 50% or more of the outstanding Common Shares,
the Board may extinguish the Rights by exchanging one Common Share or an equivalent security for each Right, other than Rights
held by the Acquiring Person.

 

Anti-Dilution Provisions.
The Board may adjust the Purchase Price, the number of Preferred Shares or Common Shares issuable upon exercise of a Right and
the number of outstanding Rights to prevent dilution that may occur from a stock dividend, a stock split or a reclassification
of the Preferred Shares or Common Shares. No adjustments to the Purchase Price of less than 1% will be made. No fractional Preferred
Shares will be issued (other than fractions which are integral multiples of one one-hundredth of a Preferred Share). In lieu thereof,
an adjustment in cash will be made based on the market price of the Preferred Shares on the last trading day prior to the date
of exercise.

 

Amendments. The
terms of the Rights Agreement may be amended by the Board without the consent of the holders of the Rights. After a person or group
becomes an Acquiring Person, the Board generally may not amend the Rights Agreement in any way that adversely affects holders of
the Rights.

 

Anti-Takeover Effects.
The Rights may have certain anti-takeover effects. The Rights may cause substantial dilution to any person or group that attempts
to acquire the Company without the approval of the Board. As a result, the overall effect of the Rights may be to render more difficult
or discourage a merger, tender offer or other business combination involving the Company that is not supported by the Board.

 

    	D-3exhibit101

EXECUTION VERSION   Deal CUSIP: 19933MAE3   Revolving Loan CUSIP: 19933MAF0   Delayed Draw Term Loan CUSIP: 19933MAG8      CREDIT AGREEMENT   Dated as of January 23, 2015   among   COLUMBUS MCKINNON CORPORATION,   COLUMBUS MCKINNON DUTCH HOLDINGS 3 B.V.,    COLUMBUS MCKINNON EMEA GMBH    and   CERTAIN SUBSIDIARIES,   as Borrowers,   JPMORGAN CHASE BANK, N.A.   as Administrative Agent,   and   The Other Lenders Party Hereto,   J.P. MORGAN SECURITIES LLC,         MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED       and      PNC CAPITAL MARKETS LLC,   as Joint Lead Arrangers and Joint Book Managers,   MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED       and      PNC CAPITAL MARKETS LLC,   as Co-Syndication Agents,      CITIZENS BANK, N.A.    and   M&T BANK,    as Co-Documentation Agents     

 

TABLE OF CONTENTS   Page    i       ARTICLE I. DEFINITIONS AND ACCOUNTING TERMS .................................................................... 1   1.01. Defined Terms ................................................................................................................... 1   1.02. Other Interpretive Provisions ........................................................................................... 31   1.03. Accounting Terms ............................................................................................................ 32   1.04. Rounding .......................................................................................................................... 33   1.05. Exchange Rates; Currency Equivalents ........................................................................... 33   1.06. Additional Alternative Currencies ................................................................................... 33   1.07. Change of Currency ......................................................................................................... 34   1.08. Times of Day ................................................................................................................... 34   1.09. Letter of Credit or Bankers’ Acceptance Amounts .......................................................... 34   ARTICLE II. THE COMMITMENTS AND CREDIT EXTENSIONS .................................................... 35   2.01. Delayed Draw Term Loans .............................................................................................. 35   2.02. Procedure for Delayed Draw Term Loan Borrowing ...................................................... 35   2.03. Repayment of Delayed Draw Term Loans ...................................................................... 35   2.04. Revolving Commitments ................................................................................................. 35   2.05. Procedure for Revolving Loan Borrowing ...................................................................... 36   2.06. Swingline Commitment ................................................................................................... 37   2.07. Procedure for Swingline Borrowing; Refunding of Swingline Loans ............................. 37   2.08. Commitment Fees, etc. .................................................................................................... 38   2.09. Termination or Reduction of Revolving Commitments .................................................. 39   2.10. Optional Prepayments ...................................................................................................... 39   2.11. Mandatory Prepayments and Commitment Reductions ................................................... 39   2.12. Continuation Options ....................................................................................................... 39   2.13. Limitations on Eurocurrency Tranches ............................................................................ 40   2.14. Interest Rates and Payment Dates .................................................................................... 40   2.15. Computation of Interest and Fees .................................................................................... 41   2.16. Inability to Determine Interest Rate ................................................................................. 41   2.17. Pro Rata Treatment and Payments ................................................................................... 42   2.18. Requirements of Law ....................................................................................................... 44   2.19. Taxes ................................................................................................................................ 46   2.20. Indemnity ......................................................................................................................... 49   2.21. Change of Lending Office ............................................................................................... 49   2.22. Replacement of Lenders .................................................................................................. 50     

 

TABLE OF CONTENTS   (continued)   Page    ii       2.23. Defaulting Lenders .......................................................................................................... 50   2.24. Incremental Facilities ....................................................................................................... 52   2.25. Designated Borrowers ...................................................................................................... 52   2.26. Collateral Security ........................................................................................................... 54   2.27. Non-Public Lender ........................................................................................................... 54   ARTICLE III. LETTERS OF CREDIT AND BANKERS’ ACCEPTANCES. ........................................ 54   3.01. L/C-B/A Commitment ..................................................................................................... 54   3.02. Procedure for Issuance of Letter of Credit ....................................................................... 56   3.03. Fees and Other Charges ................................................................................................... 56   3.04. L/C-B/A Participations .................................................................................................... 56   3.05. Reimbursement Obligation of the Borrower .................................................................... 57   3.06. Obligations Absolute ....................................................................................................... 58   3.07. Letter of Credit Payments ................................................................................................ 59   3.08. Applications ..................................................................................................................... 59   3.09. Applicability of ISP and UCP .......................................................................................... 59   ARTICLE IV. CONDITIONS PRECEDENT ........................................................................................... 59   4.01. Conditions of Initial Credit Extension ............................................................................. 59   4.02. Conditions to each Extension of Credit ........................................................................... 61   ARTICLE V. REPRESENTATIONS AND WARRANTIES ................................................................... 62   5.01. Existence, Qualification and Power ................................................................................. 62   5.02. Authorization; No Contravention .................................................................................... 63   5.03. Governmental Authorization; Other Consents ................................................................. 63   5.04. Binding Effect .................................................................................................................. 63   5.05. Financial Statements; No Material Adverse Effect; No Internal Control Event .............. 63   5.06. Litigation .......................................................................................................................... 64   5.07. No Default........................................................................................................................ 64   5.08. Ownership of Property; Liens .......................................................................................... 64   5.09. Environmental Compliance ............................................................................................. 64   5.10. Insurance .......................................................................................................................... 64   5.11. Taxes ................................................................................................................................ 64   5.12. ERISA Compliance .......................................................................................................... 65   5.13. Subsidiaries; Equity Interests ........................................................................................... 66   5.14. Margin Regulations; Investment Company Act; Other Regulations ............................... 66     

 

TABLE OF CONTENTS   (continued)   Page    iii       5.15. Disclosure ........................................................................................................................ 66   5.16. Compliance with Laws .................................................................................................... 67   5.17. Taxpayer Identification Number; Other Identifying Information .................................... 67   5.18. Intellectual Property; Licenses, Etc. ................................................................................ 67   5.19. Perfection of Security Interest ......................................................................................... 67   5.20. Properties ......................................................................................................................... 67   5.21. Solvency........................................................................................................................... 68   5.22. Bank Accounts ................................................................................................................. 68   5.23. Obligations as Senior Debt .............................................................................................. 68   5.24. Use of Proceeds ............................................................................................................... 68   5.25. Representations as to Foreign Loan Parties ..................................................................... 68   5.26. Anti-Corruption Laws and Sanctions ............................................................................... 69   ARTICLE VI. AFFIRMATIVE COVENANTS ....................................................................................... 69   6.01. Financial Statements ........................................................................................................ 69   6.02. Certificates; Other Information ........................................................................................ 70   6.03. Notices ............................................................................................................................. 71   6.04. Payment of Obligations ................................................................................................... 72   6.05. Preservation of Existence, Etc. ........................................................................................ 72   6.06. Maintenance of Properties ............................................................................................... 72   6.07. Maintenance of Insurance ................................................................................................ 72   6.08. Compliance with Laws, Organizational Documents and Contractual Obligations .......... 72   6.09. Books and Records .......................................................................................................... 73   6.10. Inspection Rights ............................................................................................................. 73   6.11. Use of Proceeds ............................................................................................................... 73   6.12. Additional Guarantors and Pledgors ................................................................................ 73   6.13. Approvals and Authorizations ......................................................................................... 75   6.14. Environmental Laws ........................................................................................................ 75   6.15. Centre of Main Interest and Establishment ...................................................................... 75   ARTICLE VII. NEGATIVE COVENANTS ............................................................................................. 75   7.01. Liens ................................................................................................................................ 75   7.02. Investments ...................................................................................................................... 77   7.03. Indebtedness..................................................................................................................... 78   7.04. Fundamental Changes ...................................................................................................... 81     

 

TABLE OF CONTENTS   (continued)   Page    iv       7.05. Dispositions ..................................................................................................................... 81   7.06. Restricted Payments ......................................................................................................... 83   7.07. Change in Nature of Business .......................................................................................... 84   7.08. Transactions with Affiliates ............................................................................................. 84   7.09. Burdensome Agreements ................................................................................................. 84   7.10. Use of Proceeds ............................................................................................................... 85   7.11. Financial Covenants ......................................................................................................... 85   7.12. Modifications of Certain Documents; Designation of Senior Debt ................................. 85   7.13. Sale-Leaseback Transactions ........................................................................................... 86   7.14. Capital Expenditures ........................................................................................................ 86   7.15. Changes in Fiscal Periods ................................................................................................ 86   ARTICLE VIII. EVENTS OF DEFAULT AND REMEDIES .................................................................. 86   8.01. Events of Default ............................................................................................................. 86   8.02. Remedies upon Event of Default ..................................................................................... 88   8.03. Application of Funds ....................................................................................................... 89   ARTICLE IX. ADMINISTRATIVE AGENT ........................................................................................... 90   9.01. Appointment .................................................................................................................... 90   9.02. Delegation of Duties ........................................................................................................ 90   9.03. Exculpatory Provisions .................................................................................................... 90   9.04. Reliance by Administrative Agent ................................................................................... 90   9.05. Notice of Default ............................................................................................................. 91   9.06. Non-Reliance on Agents and Other Lenders ................................................................... 91   9.07. Indemnification ................................................................................................................ 91   9.08. Agent in Its Individual Capacity ...................................................................................... 92   9.09. Successive Administrative Agent .................................................................................... 92   9.10. Joint Lead Arrangers, Co-Documentation Agents and Co-Syndication Agents .............. 92   ARTICLE X. MISCELLANEOUS............................................................................................................ 92   10.01. Amendments and Waivers ............................................................................................... 92   10.02. Notices ............................................................................................................................. 94   10.03. No Waiver; Cumulative Remedies .................................................................................. 95   10.04. Survival of Representations and Warranties .................................................................... 95   10.05. Payment of Expenses ....................................................................................................... 95   10.06. Successors and Assigns; Participations and Assignments ............................................... 96     

 

TABLE OF CONTENTS   (continued)   Page    v       10.07. Adjustments; Set-off ........................................................................................................ 99   10.08. Counterparts ................................................................................................................... 100   10.09. Severability .................................................................................................................... 100   10.10. Integration ...................................................................................................................... 100   10.11. GOVERNING LAW ...................................................................................................... 100   10.12. Submission to Jurisdiction; Waivers .............................................................................. 100   10.13. Acknowledgments ......................................................................................................... 101   10.14. Releases of Guarantees and Liens.................................................................................. 101   10.15. Confidentiality ............................................................................................................... 102   10.16. WAIVERS OF JURY TRIAL ....................................................................................... 102   10.17. USA PATRIOT Act ....................................................................................................... 103   10.18. Judgment Currency ........................................................................................................ 103   10.19. Representation Dutch Borrower. ................................................................................... 103           

 

         SCHEDULES   1.01 Existing Letters of Credit and Existing Bankers’ Acceptances   2.01 Commitments   5.05 Material Indebtedness and Other Liabilities at September 30, 2014   5.06 Litigation   5.09 Environmental Matters   5.12(c) ERISA   5.12(d) Pension Plans   5.13 Subsidiaries; Other Equity Investments   5.17 Identification Numbers for Designated Borrowers that are Foreign Subsidiaries   5.18 Intellectual Property Matters   5.19 UCC Filing Jurisdictions   5.20 Fee and Leasehold Real Property Assets   5.22 Bank Accounts   7.01 Existing Liens   7.03 Existing Indebtedness   7.05 Permitted Exclusive Licenses of IP Rights   7.09 Burdensome Agreements      EXHIBITS   Form of   A Compliance Certificate   B Assignment and Assumption   C Designated Borrower Request and Assumption Agreement   D Designated Borrower Notice   E Forms of U.S. Tax Compliance Certificates   F-1 Form of Increased Facility Activation Notice – Incremental Term Loans   F-2 Form of Increased Facility Activation Notice – Incremental Revolving Commitments   F-3 Form of New Lender Supplement              

 

       1   CREDIT AGREEMENT   This CREDIT AGREEMENT (“Agreement”) is dated as of January 23, 2015, among   COLUMBUS MCKINNON CORPORATION, a New York corporation (the “Company”), COLUMBUS   MCKINNON DUTCH HOLDINGS 3 B.V., (the “Dutch Borrower”), COLUMBUS MCKINNON EMEA   GMBH (the “German Borrower”) and certain Subsidiaries of the Company party hereto pursuant to   Section 2.25 (each a “Designated Borrower” and, together with the Company, the Dutch Borrower and   the German Borrower, the “Borrowers” and, each a “Borrower”), each lender from time to time party   hereto (collectively, the “Lenders” and individually, a “Lender”), and JPMORGAN CHASE BANK,   N.A., as Administrative Agent.   In consideration of the mutual covenants and agreements herein contained, the parties hereto   covenant and agree as follows:   ARTICLE I.   DEFINITIONS AND ACCOUNTING TERMS   1.01. Defined Terms.  As used in this Agreement, the following terms shall have the meanings   set forth below:   “Acceptance Credit” means a commercial Letter of Credit in which the applicable Issuing Lender   engages with the beneficiary of such Letter of Credit to accept a time draft.   “Administrative Agent” means JPMorgan Chase Bank, N.A. in its capacity as administrative   agent under any of the Loan Documents, or any successor administrative agent.    “Administrative Questionnaire” means an Administrative Questionnaire in a form supplied by   the Administrative Agent.   “Affiliate” means, with respect to a specified Person, another Person that directly, or indirectly   through one or more intermediaries, Controls or is Controlled by or is under common Control with the   Person specified.    “Agents” means the collective reference to the Administrative Agent and any other agent   identified on the cover page of this Agreement.   “Aggregate Exposure” means  with respect to any Lender at any time, an amount equal to (a)   until the Closing Date, the aggregate amount of such Lender’s Commitments at such time and (b)   thereafter, the sum of (i) such Lender’s Delayed Draw Term Commitment, or, if after the Delayed Draw   Term Loan Borrowing Date, the aggregate then unpaid principal amount of such Lender’s Delayed Draw   Term Loans and (ii) the amount of such Lender’s Revolving Commitment then in effect or, if the   Revolving Commitments have been terminated, the amount of such Lender’s Revolving Extensions of   Credit then outstanding.   “Aggregate Exposure Percentage” means with respect to any Lender at any time, the ratio   (expressed as a percentage) of such Lender’s Aggregate Exposure at such time to the Aggregate Exposure   of all Lenders at such time.   “Agreement” means this Credit Agreement.     

 

       2   “Alternative Currency” means each of Canadian Dollar, Euro, Hong Kong Dollar, Mexican Peso,   Sterling, Swiss Franc, Yen and each other currency (other than Dollars) that is approved in accordance   with Section 1.06.   “Alternative Currency Equivalent” means, at any time, with respect to any amount denominated   in Dollars, the equivalent amount thereof in the applicable Alternative Currency as determined by the   Administrative Agent or the Issuing Lender, as the case may be, at such time on the basis of the Spot Rate   (determined in respect of the most recent Revaluation Date) for the purchase of such Alternative Currency   with Dollars.   “Alternative Currency Sublimit” means an amount equal to the lesser of the Revolving   Commitment and $80,000,000.  The Alternative Currency Sublimit is part of, and not in addition to, the   Revolving Commitment.   “Anti-Corruption Laws” means all laws, rules and regulations of any jurisdiction applicable to the   Company or its Subsidiaries from time to time concerning or relating to bribery or corruption.   “Applicable Foreign Loan Party Documents” has the meaning specified in Section 5.25(a).   “Applicable Payment Office” means the office specified from time to time by the Administrative   Agent as its Applicable Payment Office by notice to the Company and the relevant Lenders (it being   understood that such Applicable Payment Office shall mean (i) with respect to Loans denominated in   Dollars, the office of the Administrative Agent specified in Section 10.2 or such other office as may be   specified from time to time by the Administrative Agent to the Company and each Lender and (ii) with   respect to Loans denominated in an Alternative Currency, the office, branch, affiliate or correspondent   bank of the Administrative Agent for such currency as specified from time to time by the Administrative   Agent to the Company and each Lender, until otherwise notified by the Administrative Agent).     “Applicable Rate” means, from time to time, the following percentages per annum, based upon   the Total Leverage Ratio as set forth in the most recent Compliance Certificate received by the   Administrative Agent pursuant to Section 6.02(a):   Level Total Leverage Ratio Commitment   Fee   Eurocurrency   Rate/CDOR   Rate/HIBOR   Rate/ Mexican   Peso Rate   Standby   Letter of   Credit Fee   Commercial   Letter of   Credit and   Bankers’   Acceptance   Fees   Base   Rate   I Greater than or equal to   4.00x   0.45% 2.75% 2.75% 1.375% 1.75%   II Less than 4.00x but   greater than or equal to   3.25x   0.40% 2.50% 2.50% 1.25% 1.50%   III Less than 3.25 but   greater than or equal to   2.50x   0.35% 2.25% 2.25% 1.125% 1.25%   IV Less than 2.50x but   greater than or equal to   1.75x   0.30% 2.00% 2.00% 1.00% 1.00%     

 

       3   V Less than 1.75x but   greater than or equal to   1.00x   0.25% 1.75% 1.75% 0.875% 0.75%   VI Less than 1.00x      0.20% 1.50% 1.50% 0.75% 0.50%   Any increase or decrease in the Applicable Rate resulting from a change in the Total Leverage   Ratio shall become effective as of the first Business Day immediately following the date a Compliance   Certificate is delivered pursuant to Section 6.02(a); provided, that (a) subject to clause (b) below, the   Applicable Rate in effect from the Closing Date through the first Business Day immediately following the   date on which a Compliance Certificate for the fiscal quarter ended March 31, 2015 is delivered shall be   determined based upon Pricing Level VI and (b) if a Compliance Certificate is not delivered when due in   accordance with Section 6.02(a), then Pricing Level I shall apply as of the first Business Day after the   date on which such Compliance Certificate was required to have been delivered until such time as the   Compliance Certificate is delivered.   For Incremental Term Loans, such per annum rates as shall be agreed to by the applicable   Borrower and the applicable Incremental Term Lenders as shown in the applicable Increased Facility   Activation Notice.       “Applicant Borrower” has the meaning specified in Section 2.25(a).     “Application” means an application, in such form as the applicable Issuing Lender may specify   from time to time, requesting the applicable Issuing Lender to open a Letter of Credit or BA.   “Approved Fund” has the meaning specified in Section 10.06(b).   “Approved Restructuring Charges” means cash or non-cash restructuring charges incurred by the   Company and/or its Subsidiaries in an aggregate amount not to exceed $5,000,000 during the term of this   Agreement; provided that the aggregate amount of cash restructuring charges during the term of this   Agreement shall not exceed $3,750,000 without the consent of the Administrative Agent.    “Assignment and Assumption” means an Assignment and Assumption, substantially in the form   of Exhibit B.   “Attributable Indebtedness” means, on any date, (a) in respect of any capital lease of any Person,   the capitalized amount thereof that would appear on a balance sheet of such Person prepared as of such   date in accordance with GAAP, and (b) in respect of any Synthetic Lease Obligation, the capitalized   amount of the remaining lease payments under the relevant lease that would appear on a balance sheet of   such Person prepared as of such date in accordance with GAAP if such lease were accounted for as a   capital lease.   “Audited Financial Statements” means the audited consolidated balance sheet of the Company   and its Subsidiaries for the fiscal year ended March 31, 2014, and the related consolidated statements of   income or operations, shareholders’ equity and cash flows for such fiscal year of the Company and its   Subsidiaries, including the notes thereto.   “Available Revolving Commitment” means as to any Revolving Lender at any time, an amount   equal to the excess, if any, of (a) such Lender’s Revolving Commitment then in effect over (b) such   Lender’s Revolving Extensions of Credit then outstanding; provided, that in calculating any Lender’s   Revolving Extensions of Credit for the purpose of determining such Lender’s Available Revolving     

 

       4   Commitment pursuant to Section 2.08(a), the aggregate principal amount of Swingline Loans then   outstanding shall be deemed to be zero.   “Bank Product Obligations” means every obligation of the Company and its Subsidiaries under   and in respect of any (a) Swap Contract with the Administrative Agent, any Lender or any Affiliate   thereof, or any Person that was a Lender or Affiliate thereof at the time of making such Swap Contract, to   which the Company or such Subsidiary is a party or which the Company or such Subsidiary has   guaranteed and (b) one or more of the following types of services or facilities (or with respect to Cash   Management Services, any Person that was a Lender or Affiliate thereof at the time of making such Cash   Management Services) extended to the Company or such Subsidiary (or which the Company or such   Subsidiary has guaranteed) by the Administrative Agent, any Lender or any Affiliate thereof : (i) credit   and purchase cards, (ii) lease financing or related services, (iii) Cash Management Services, and (iv)   electronic business-to-business payment arrangements (and any corresponding float financing on accounts   payable related thereto).   “Bankers’ Acceptance” or “BA” means a time draft, drawn by the beneficiary under an   Acceptance Credit and accepted by the applicable Issuing Lender upon presentation of documents by the   beneficiary of an Acceptance Credit pursuant to Article III hereof, in the standard form for bankers’   acceptances of the applicable Issuing Lender.  “Bankers’ Acceptance” or “BA” shall include Existing   Bankers’ Acceptances.   “Bankruptcy Event” means with respect to any Person, such Person becomes, in any relevant   jurisdiction, the subject of a bankruptcy or insolvency proceeding, or has had a receiver, conservator,   trustee, administrator, custodian, assignee for the benefit of creditors or similar Person charged with the   reorganization or liquidation of its business appointed for it, or, in the good faith determination of the   Administrative Agent, has taken any action in furtherance of, or indicating its consent to, approval of, or   acquiescence in, any such proceeding or appointment, provided that a Bankruptcy Event shall not result   solely by virtue of any ownership interest, or the acquisition of any ownership interest, in such Person by   a Governmental Authority or instrumentality thereof, provided, further, that such ownership interest does   not result in or provide such Person 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 Person (or such   Governmental Authority or instrumentality) to reject, repudiate, disavow or disaffirm any contracts or   agreements made by such Person.   “Base Rate”       means for any day, a rate per annum (rounded upwards, if necessary, to the next   1/16 of 1%) equal to the greatest of (a) the Prime Rate in effect on such day, (b) the Federal Funds   Effective Rate in effect on such day plus 1⁄2 of 1% and (c) the Eurocurrency Rate on such day (or, if such   day is not a Business Day, the next preceding Business Day) for a deposit in Dollars with a maturity of   one month plus 1.0%.  Any change in the Base Rate due to a change in the Prime Rate, the Federal Funds   Effective Rate or such Eurocurrency Rate shall be effective as of the opening of business on the day of   such change in the Prime Rate, the Federal Funds Effective Rate or such Eurocurrency Rate, respectively.   “Base Rate Loan” means a Loan that bears interest based on the Base Rate.  All Base Rate Loans   shall be denominated in Dollars.   “Borrower” and “Borrowers” each has the meaning specified in the introductory paragraph   hereto.   “Borrower Materials” has the meaning specified in Section 6.02.     

 

       5   “Borrowing” means the borrowing of a Delayed Draw Term Loan, Revolving Loan or Swingline   Loan, as the context may require.   “Borrowing Date” means any Business Day specified by the Company as a date on which a   Borrower requests the relevant Lenders to make Revolving Loans hereunder.   “Business Day” means a day other than a Saturday, Sunday or other day on which commercial   banks in New York City and London are authorized or required by law to close; provided, that (a) if such   day relates to any Revolving Loan denominated in a currency other than Dollars or Euros, such term shall   also mean any such day on which dealings in deposits in the relevant currency are conducted by and   between banks in the applicable foreign currency or foreign exchange interbank market but shall exclude   any day on which banks are not open for general business in the principal financial center of the country   of that currency, (b) if such day relates to any Revolving Loan denominated in Euro, such term shall also   mean a Target Operating Day that is also a London Business Day, and (c) if such day relates to any   Eurocurrency Rate Loan in Dollars, such term shall mean a day other than a Saturday, Sunday or other   day on which commercial banks in New York City are authorized or required by law to close which is   also a London Business Day.      “Canadian Dollar” means the lawful currency of Canada.   “Capital Lease Obligations” of any Person means the obligations of such Person to pay rent or   other amounts under any lease of (or other arrangement conveying the right to use) real or personal   property, or a combination thereof, which obligations are required to be classified and accounted for as   capital leases on a balance sheet of such Person under GAAP, and the amount of such obligations shall be   the capitalized amount thereof determined in accordance with GAAP.   “Cash Management Services” means any services provided from time to time by the   Administrative Agent, any Lender or any Affiliate thereof to the Company or any Subsidiary (or   guaranteed by the Company or any Subsidiary) in connection with operating, collections, payroll, trust, or   other depository or disbursement accounts, including automatic clearinghouse, controlled disbursement,   depository, electronic funds transfer, information reporting, lockbox, stop payment, overdraft and/or wire   transfer services.   “CDOR Rate” means for any Loans in Canadian Dollars, the CDOR Screen Rate or, if applicable   pursuant to the terms of Section 2.16, the applicable Reference Bank Rate.      “CDOR Screen Rate” means with respect to any Interest Period for any Loans in Canadian   Dollars, the average rate for bankers acceptances as administered by the Investment Industry Regulatory   Organization of Canada (or any other Person that takes over the administration of that rate) with a tenor   equal in length to such Interest Period, as displayed on CDOR page of the Reuters screen or, in the event   such rate does not appear on such Reuters page, on any successor or substitute page on such screen or   service that displays such rate, or on the appropriate page of such other information service that publishes   such rate as shall be selected from time to time by the Administrative Agent in its reasonable discretion.       “Change of Control” means an event or series of events by which:   (a) any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the   Securities Exchange Act of 1934, but excluding any employee benefit plan of such person or its   subsidiaries, and any person or entity acting in its capacity as trustee, agent or other fiduciary or   administrator of any such plan) becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5   under the Securities Exchange Act of 1934, except that a person or group shall be deemed to have     

 

       6   “beneficial ownership” of all securities that such person or group has the right to acquire, whether such   right is exercisable immediately or only after the passage of time (such right, an “option right”)), directly   or indirectly, of 25% or more of the equity securities of the Company entitled to vote for members of the   board of directors or equivalent governing body of the Company on a fully-diluted basis (and taking into   account all such securities that such person or group has the right to acquire pursuant to any option right);   (b) during any period of 12 consecutive months, a majority of the members of the board of   directors or other equivalent governing body of the Company cease to be composed of individuals (i) who   were members of that board or equivalent governing body on the first day of such period, (ii) whose   election to that board or equivalent governing body was approved by individuals referred to in clause (i)   above constituting at the time of such election at least a majority of that board or equivalent governing   body or (iii) whose election to that board or other equivalent governing body was approved by individuals   referred to in clauses (i) and (ii) above constituting at the time of such election at least a majority of that   board or equivalent governing body (excluding, in the case of both clause (ii) and clause (iii), any   individual whose initial or assumption of office as, a member of that board or equivalent governing body   occurs as a result of an actual or publicly threatened solicitation of proxies or consents for the election or   removal of one or more directors by any person or group other than a solicitation for the election of one or   more directors by or on behalf of the board of directors);   (c) any Person or two or more Persons acting in concert shall have acquired by contract or   otherwise, or shall have entered into a contract or arrangement that, upon consummation thereof, will   result in its or their acquisition of the power to exercise, directly or indirectly, a controlling influence over   the management or policies of the Company, or control over the equity securities of the Company entitled   to vote for members of the board of directors or equivalent governing body of the Company on a fully-   diluted basis (and taking into account all such securities that such Person or group has the right to acquire   pursuant to any option right) representing 25% or more of the combined voting power of such securities;   (d) the Company shall cease to have beneficial ownership (as defined in Rule 13d-3 under   the Exchange Act) of 100% of the aggregate voting power of the Equity Interest of each other Loan Party,   free and clear of all Liens (other than any Liens granted hereunder and Liens permitted under Section   7.01); or   (e) a “Change of Control” shall occur under the Senior Subordinated Note Indenture.   “Closing Date” means January 23, 2015.   “Co-Documentation Agents” means Citizens Bank, N.A. and M&T Bank.   “Co-Syndication Agents” means Merrill Lynch, Pierce, Fenner & Smith Incorporated and PNC   Capital Markets LLC.   “Code” means the Internal Revenue Code of 1986.   “COF Rate” has the meaning specified in Section 2.16(b).   “Collateral” means all of the property, rights and interests of the Loan Parties and their   Subsidiaries that are or are intended to be subject to the Liens created by the Security Documents.    “Commitment” means as to any Lender, the sum of the Delayed Draw Term Commitment and the   Revolving Commitment of such Lender.     

 

       7   “Commitment Fee Rate” means the rate set forth in the Applicable Rate grid.   “Company” has the meaning specified in the introductory paragraph hereto.   “Compliance Certificate” means a certificate substantially in the form of Exhibit A.   “Connection Income Taxes” means Other Connection Taxes that are imposed on or measured by   net income (however denominated) or that are franchise Taxes or branch profits Taxes.   “Consolidated EBITDA” means, for any period and without duplication, (a) Consolidated Net   Income for such period, plus (b) to the extent deducted in calculating Consolidated Net Income and   without duplication (i) income taxes expensed during such period, (ii) Interest Expense during such   period, (iii) depreciation, amortization and other Non-Cash Charges accrued for such period, (iv)   Approved Restructuring Charges incurred during such period, (v) the amount of any premium paid on the   repurchase of the Senior Subordinated Notes, (vi) non-cash losses from any Recovery Event, Disposition   or discontinued operation during such period, and (vii) non cash losses arising from mark-to-market   hedging arrangements, minus (c) to the extent such items were added in calculating Consolidated Net   Income (i) extraordinary gains during such period, (ii) gains from any Recovery Event, Disposition, or   discontinued operation during such period, (iii) interest and other income (excluding interest and other   income related to CM Insurance Company, Inc.) during such period, (iv) Federal, state, local and foreign   income tax credits of the Company and its Subsidiaries for such period, and (v) all non-cash items for   such period (including, without limitation, non cash gains arising from mark-to-market hedging   arrangements).   “Consolidated Net Income” means, for any period, for the Company and its Subsidiaries on a   consolidated basis in accordance with GAAP, the net income of the Company and its Subsidiaries.   “Contractual Obligation” means, as to any Person, any provision of any security issued by such   Person or of any agreement, instrument or other undertaking to which such Person is a party or by which   it or any of its property is bound.   “Control” means the possession, directly or indirectly, of the power to direct or cause the   direction of the management or policies of a Person, whether through the ability to exercise voting power,   by contract or otherwise.  “Controlling” and “Controlled” have meanings correlative thereto.   “Copyright Agreement” means any grant of security interest in copyrights owned by any Loan   Party, made by any Loan Party in favor of the Administrative Agent, or any of its predecessors.    “Credit Party” means the Administrative Agent, each Issuing Lender, the Swingline Lender or   any other Lender and, for the purposes of Section 10.13 only, any other Agent and the Joint Lead   Arrangers.   “CRR” means the Council Regulation (EU) No 575/2013 of the European Parliament and of the   Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and   amending Regulation (EU) No 648/2012.   “Debtor Relief Laws” means the Bankruptcy Code of the United States, and all other liquidation,   conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, rearrangement,   receivership, insolvency, reorganization, or similar debtor relief Laws of the United States or other   applicable jurisdictions from time to time in effect and affecting the rights of creditors generally.     

 

       8   “Default” means any event or condition that constitutes an Event of Default or that, with the   giving of any notice, the passage of time, or both, would be an Event of Default.   “Defaulting Lender” means, subject to Section 2.23, any Lender that, as determined by the   Administrative Agent, (a) has failed to perform its obligation to (i) fund all or any portion of its Loans,   within two Business Days of the date such Loans were required to be funded by it hereunder, unless such   Lender notifies the Administrative Agent and the Borrowers 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, the Issuing Lender, the 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 Borrowers, the Administrative Agent, the Issuing Lender or the  Swingline Lender 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 Borrowers, to confirm in writing to the   Administrative Agent and the Borrowers 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 Borrowers), or (d) has, or   has a direct or indirect parent company that has become the subject of a Bankruptcy Event; 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 (subject to Section 2.23) as 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 Company, the Issuing Lender, the  Swingline Lender and   each other Lender promptly following such determination.   “Delayed Draw Term Commitment” means as to any Delayed Draw Term Lender, the obligation   of such Delayed Draw Lender, if any, to make a Delayed Draw Term Loan to the Company in a principal   amount not to exceed the amount set forth under the heading “Delayed Draw Term Commitment”   opposite such Delayed Draw Term Lender’s name on Schedule 2.01.  The original aggregate amount of   the Delayed Draw Term Commitments is $125,000,000. For the avoidance of doubt, the Delayed Draw   Term Loans shall be denominated in Dollars only.     “Delayed Draw Term Lender” means each Lender that has a Delayed Draw Term Commitment or   that holds a Delayed Draw Term Loan.    “Delayed Draw Term Loan” has the meaning specified in Section 2.01.    “Delayed Draw Term Loan Availability Period” means the period commencing on the Closing   Date and ending 90 days thereafter.      

 

       9    “Delayed Draw Term Loan Borrowing Date” means any Business Day specified by the Company   as a date on which the Company requests the relevant Delayed Draw Term Lenders to make Delayed   Draw Term Loans hereunder.    “Delayed Draw Term Loan Maturity Date” means the date that is five years after the Delayed   Draw Term Loan Borrowing Date.     “Delayed Draw Term Percentage” means as to any Delayed Draw Term Lender at any time, the   percentage which such Lender’s Delayed Draw Term Commitment then constitutes of the aggregate   Delayed Draw Term Commitments (or, at any time after the Delayed Draw Term Loan Borrowing Date,   the percentage which the aggregate principal amount of such Delayed Draw Term Lender’s Delayed   Draw Term Loans then outstanding constitutes of the aggregate principal amount of the Delayed Draw   Term Loans then outstanding).   “Designated Borrower” has the meaning specified in the introductory paragraph hereto.   “Designated Borrower Notice” has the meaning specified in Section 2.25(a).   “Designated Borrower Request and Assumption Agreement” has the meaning specified in   Section 2.25(a).   “Disposition” or “Dispose” means the sale, transfer, license, lease or other disposition (including   any sale and leaseback transaction) of any property by any Person, including any sale, assignment,   transfer or other disposal, with or without recourse, of any notes or accounts receivable or any rights and   claims associated therewith.   “Dollar” and “$” mean lawful money of the United States.   “Dollar Equivalent” means, at any time, (a) with respect to any amount denominated in Dollars,   such amount, and (b) with respect to any amount denominated in any Alternative Currency, the equivalent   amount thereof in Dollars as determined by the Administrative Agent or the Issuing Lender, as the case   may be, at such time on the basis of the Spot Rate (determined in respect of the most recent Revaluation   Date) for the purchase of Dollars with such Alternative Currency. The Dollar Equivalent at any time of   the amount of any Letter of Credit, Bankers’ Acceptance or Loan denominated in an Alternative Currency   shall be the amount most recently determined as provided in Section 1.05.   “Domestic Loan Party” means a Loan Party that is organized under the laws of any political   subdivision of the United States.   “Domestic Loan Party Obligations” means Obligations of the Domestic Loan Parties.   “Domestic Subsidiary” means any Subsidiary that is organized under the laws of any political   subdivision of the United States.   “Dutch Borrower” has the meaning specified in the introductory paragraph hereto.   “Dutch Insolvency Event” means any bankruptcy (faillissement), suspension of payments   (surseance van betaling), administration (onderbewindstelling), dissolution (ontbinding) and any other   event whereby the relevant company is limited in the right to dispose of its assets under the laws of the   Netherlands.     

 

       10    “EMU” means the economic and monetary union in accordance with the Treaty of Rome 1957,   as amended by the Single European Act 1986, the Maastricht Treaty of 1992 and the Amsterdam Treaty   of 1998.   “EMU Legislation” means the legislative measures of the European Council for the introduction   of, changeover to or operation of a single or unified European currency.   “Environmental Indemnity Agreement” means that certain Environmental Indemnity Agreement,   dated as of January 23, 2015 among the Company, Yale Industrial Products, Inc., Crane Equipment &   Service, Inc., Unified Industries Inc. and the Administrative Agent, as amended, modified and/or restated   from time to time.   “Environmental Laws” means any and all Federal, state, local, and foreign statutes, laws,   regulations, ordinances, rules, judgments, orders, decrees, permits, concessions, grants, franchises,   licenses, agreements or governmental restrictions relating to pollution and the protection of the   environment or the release of any materials into the environment, including those related to hazardous   substances or wastes, air emissions and discharges to water or public wastewater treatment systems,   applicable in, or pursuant to the laws of, any jurisdiction.   “Environmental Liability” means any liability, contingent or otherwise (including any liability for   damages, costs of environmental remediation, fines, penalties or indemnities), of the Company, any other   Loan Party or any of their respective Subsidiaries directly or indirectly resulting from or based upon (a)   violation of any Environmental Law, (b) the generation, use, handling, transportation, storage, treatment   or disposal of any Hazardous Materials, (c) exposure to any Hazardous Materials, (d) the release or   threatened release of any Hazardous Materials into the environment or (e) any contract, agreement or   other consensual arrangement pursuant to which liability is assumed or imposed with respect to any of the   foregoing.   “Equity Interests” means, with respect to any Person, all of the shares of capital stock of (or other   ownership or profit interests in) such Person, all of the warrants, options or other rights for the purchase   or acquisition from such Person of shares of capital stock of (or other ownership or profit interests in)   such Person, all of the securities convertible into or exchangeable for shares of capital stock of (or other   ownership or profit interests in) such Person or warrants, rights or options for the purchase or acquisition   from such Person of such shares (or such other interests), and all of the other ownership or profit interests   in such Person (including partnership, member or trust interests therein), whether voting or nonvoting,   and whether or not such shares, warrants, options, rights or other interests are outstanding on any date of   determination.   “ERISA” means the Employee Retirement Income Security Act of 1974, as amended.   “ERISA Affiliate” means any trade or business (whether or not incorporated) under common   control with the Company within the meaning of Section 414(b) or (c) of the Code (and Sections 414(m)   and (o) of the Code for purposes of provisions relating to Section 412 of the Code).   “ERISA Event” means (a) a Reportable Event with respect to a Pension Plan; (b) the withdrawal   of the Company or any ERISA Affiliate from a Pension Plan subject to Section 4063 of ERISA during a   plan year in which such entity was a “substantial employer” as defined in Section 4001(a)(2) of ERISA or   a cessation of operations that is treated as such a withdrawal under Section 4062(e) of ERISA; (c) a   complete or partial withdrawal by the Company or any ERISA Affiliate from a Multiemployer Plan or   notification that a Multiemployer Plan is in reorganization; (d) the filing of a notice of intent to terminate,   the treatment of a Pension Plan amendment as a termination under Section 4041 or 4041A of ERISA; (e)     

 

       11   the institution by the PBGC of proceedings to terminate a Pension Plan; (f) any event or condition which   constitutes grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee   to administer, any Pension Plan; (g) the determination that any Pension Plan is considered an at-risk plan   or a plan in endangered or critical status within the meaning of Sections 430, 431 and 432 of the Code or   Sections 303, 304 and 305 of ERISA; or (h) the imposition of any liability under Title IV of ERISA, other   than for PBGC premiums due but not delinquent under Section 4007 of ERISA, upon the Company or   any ERISA Affiliate.   “Euro” and “EUR” mean the lawful currency of the Participating Member States introduced in   accordance with the EMU Legislation.   “Eurocurrency Base Rate” means (A) with respect to any Eurocurrency Rate Loan for any   applicable currency (other than a Non-Quoted Currency and Mexican Peso) and for any Interest Period,   the London interbank offered rate as administered by the ICE Benchmark Administration (or any other   Person that takes over the administration of such rate) for Dollars/the relevant currency 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 “LIBOR Screen Rate”) at approximately 11:00 A.M.,   London time, two Business Days prior to the commencement of such Interest Period (or in the case of any   Eurocurrency Rate Loan denominated in Sterling, on the same day as the commencement of such Interest   Period) and (B) with respect to any Eurocurrency Rate Loan for a Non-Quoted Currency and for any   Interest Period, the applicable Local Screen Rate for such Non-Quoted Currency as of the Specified Time   and on the Quotation Day for such Non-Quoted Currency and Interest Period; provided that if the LIBOR   Screen Rate or a Local Screen Rate, as applicable, shall be less than zero, such rate shall be deemed to be   zero for the purposes of this Agreement; provided further that if the LIBOR Screen Rate or a Local   Screen Rate, as applicable, shall not be available at such time for such Interest Period (an “Impacted   Interest Period”) with respect to the applicable currency, then the Eurocurrency Base Rate shall be the   Interpolated Rate (provided that if any Interpolated Rate shall be less than zero, such rate shall be deemed   to be zero for purposes at such time); provided further that if the Screen Rate shall be less than zero, such   rate shall be deemed to be zero for purposes of this Agreement); provided further that if the applicable   Screen Rate shall not be available for such Interest Period and/or for the applicable currency with respect   to such Eurocurrency Rate Loan for any reason and the Administrative Agent shall determine that it is not   possible to determine the Interpolated Rate (which conclusion shall be conclusive and binding absent   manifest error), then the applicable Reference Bank Rate shall be the Eurocurrency Base Rate for such   Interest Period for such Eurocurrency Rate Loan subject to Section 2.16.        “Eurocurrency Tranche” means the collective reference to Eurocurrency Rate Loans of the same   currency under a particular Facility the then current Interest Periods with respect to all of which begin on   the same date and end on the same later date (whether or not such Loans shall originally have been made   on the same day).   “Eurocurrency Rate Loan” means Loans the rate of interest applicable to which is based upon the   Eurocurrency Rate. All Revolving Loans denominated in an Alternative Currency must be Eurocurrency   Rate Loans.    “Eurocurrency Rate” means with respect to each day during each Interest Period pertaining to a   Eurocurrency Rate Loan, a rate per annum determined for such day in accordance with the following   formula:   Eurocurrency Base Rate     

 

       12   1.00 - Eurocurrency Reserve Requirements        “Eurocurrency Reserve Requirements” means for any day as applied to a Eurocurrency Rate   Loan, the aggregate (without duplication) of the maximum rates (expressed as a decimal fraction) of   reserve requirements in effect on such day (including basic, supplemental, marginal and emergency   reserves) under any regulations of the FRB or other Governmental Authority having jurisdiction with   respect thereto dealing with reserve requirements prescribed for eurocurrency funding (currently referred   to as “Eurocurrency Liabilities” in Regulation D of the Board) maintained by a member bank of the   Federal Reserve System.    “Event of Default” has the meaning specified in Section 8.01.     “Excluded Taxes” means, any of the following Taxes imposed on or with respect to any Credit   Party or required to be withheld or deducted from a payment to a Credit Party, (a) Taxes imposed on or   measured by net income (however denominated), franchise Taxes, and branch profits Taxes, in each case,   (i) imposed as a result of such Credit Party being organized under the laws of, or having its principal   office or, in the case of any Lender, its Lending Office located in, the jurisdiction imposing such Tax (or   any political subdivision thereof) or (ii) that are Other Connection Taxes, (b) in the case of a Lender, U.S.   federal withholding Taxes imposed on amounts payable to or for the account of such Lender with respect   to an applicable interest in a Loan or Commitment pursuant to a law in effect on the date on which (i)   such Lender acquires such interest in the Loan or Commitment (other than pursuant to an assignment   request by the Company under Section 2.22) or (ii) such Lender changes its Lending Office, except in   each case to the extent that, pursuant to Section 2.19(a) or (d), amounts with respect to such Taxes were   payable either to such Lender’s assignor immediately before such Lender acquired the applicable interest   in a Loan or Commitment or to such Lender immediately before it changed its Lending Office, (c) Taxes   attributable to such Credit Party’s failure to comply with Section 2.19(f) and (d) any U.S. federal   withholding Taxes imposed pursuant to FATCA.   “Existing Bankers’ Acceptances” means each Bankers’ Acceptance issued by Bank of America,   N.A. (including any Bankers’ Acceptance deemed to be issued) under the Existing Credit Agreement and   listed on Schedule 1.01.   “Existing Credit Agreement” means that certain Fifth Amended and Restated Credit Agreement,   dated as of October 19, 2012, as amended to the date hereof, among the Company, Bank of America,   N.A., as the administrative agent and the other lenders and agents party thereto.    “Existing Letters of Credit” means any Letter of Credit issued by Bank of America, N.A.   (including any Letter of Credit deemed to be issued) under the Existing Credit Agreement and listed on   Schedule 1.01.   “Facility” means each of (a) the Delayed Draw Term Commitments and the Delayed Draw Term   Loans made thereunder (the “Delayed Draw Term Loan Facility”), (b) the Revolving Commitments and   the extensions of credit made thereunder (the “Revolving Facility”) and (c) the Incremental Term Loans   (the “Incremental Term Facility”).   “FASB ASC” means the Accounting Standards Codification of the Financial Accounting   Standards Board.   “FATCA” means Sections 1471 through 1474 of the Code, as of the date of this Agreement (or   any amended or successor version that is substantively comparable and not materially more onerous to     

 

       13   comply with), any current or future regulations or official interpretations thereof, intergovernmental   agreements entered into pursuant to the foregoing, and any agreements entered into pursuant to Section   1471(b)(1) of the Code.    “Federal Funds Effective Rate”:  for any day, the weighted average of the rates on overnight   federal funds transactions with members of the Federal Reserve System arranged by federal funds   brokers, as published on the next succeeding Business Day by the Federal Reserve Bank of New York, or,   if such rate is not so published for any day that is a Business Day, the average of the quotations for the   day of such transactions received by JPMorgan Chase Bank, N.A. from three federal funds brokers of   recognized standing selected by it; provided that if the Federal Funds Effective Rate shall be less than   zero, such rate shall be deemed to be zero for purposes of this Agreement.   “Fee Payment Date” means ( a) the third Business Day following the last day of each March,   June, September and December and (b) the last day of the Revolving Commitment Period.   “Fixed Charge Coverage Ratio” means, as of any date of determination, the ratio of (a) (i)   Consolidated EBITDA for the Reference Period ended on such date, minus (ii) the aggregate amount of   all maintenance capital expenditures during such Reference Period, minus (iii) the aggregate amount paid,   or required to be paid (without duplication), in cash (but in no event less than zero in the aggregate) in   respect of the current portion of all income taxes for such Reference Period, minus (iv) the aggregate   amount of all Restricted Payments (other than Restricted Payments described in clauses (iv), (v) and (vi)   of the definition thereof) made in cash by the Company during such Reference Period to (b) the sum for   the Company and its Subsidiaries (determined on a consolidated basis without duplication in accordance   with GAAP), of (i) the aggregate amount of Interest Expense for such Reference Period (exclusive of   Interest Expense consisting of non-cash liabilities arising from mark-to-market hedging arrangements),   minus, to the extent included in Interest Expense, the amortization during such Reference Period of   financing costs incurred in connection with Indebtedness, plus (ii) the aggregate amount of regularly   scheduled payments of principal in respect of Indebtedness for borrowed money (including the principal   component of any payments in respect of Capital Lease Obligations, but excluding any payments made in   respect of the Senior Subordinated Notes pursuant to Section 7.06(f)) paid or required to be paid during   such Reference Period; provided, that, in the event of an acquisition permitted by Section 7.02 made   during any Reference Period, the foregoing ratio shall be calculated on a pro forma basis as if such   acquisition had occurred on the first day of such Reference Period, with such pro forma adjustments (x) as   may be required or permitted to be reflected in pro forma financial statements pursuant to Article 11 of   Regulation S-X or (y) as may otherwise be reasonably satisfactory to the Administrative Agent.   “Foreign Borrower” means the Dutch Borrower, the German Borrower and any Designated   Borrower that is a Foreign Subsidiary.   “Foreign Borrower Sublimit” means the lesser of (a) $80,000,000 and (b) the Revolving   Commitment.  The Foreign Borrower Sublimit is part of, and not in addition to, the Revolving   Commitment.   “Foreign Government Scheme or Arrangement” has the meaning specified in Section 5.12(e).   “Foreign Lender” means, (a) if the applicable Borrower is a U.S. Person, a Lender that is not a   U.S. Person, and (b) if the applicable Borrower is not a U.S. Person, a Lender that is resident or organized   under the Laws of a jurisdiction other than that in which such Borrower is resident for tax purposes.  For   purposes of this definition, the United States, each State thereof and the District of Columbia shall be   deemed to constitute a single jurisdiction.     

 

       14   “Foreign Loan Party” means a Loan Party that is organized under the laws of a jurisdiction other   than the United States, a State thereof or the District of Columbia.   “Foreign Loan Party Obligations” means Obligations of each Foreign Loan Party.   “Foreign Plan” has the meaning specified in Section 5.12(e).   “Foreign Subsidiary” means any Subsidiary that is organized under the laws of a jurisdiction   other than the United States, a State thereof or the District of Columbia.   “FRB” means the Board of Governors of the Federal Reserve System of the United States (or any   successor).   “Funding Office” means the office of the Administrative Agent specified in Section 10.2 or such   other office as may be specified from time to time by the Administrative Agent as its funding office by   written notice to the Company and the Lenders.   “GAAP” means (a) generally accepted accounting principles in the United States set forth in the   opinions and pronouncements of the Accounting Principles Board and the American Institute of Certified   Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or   such other principles as may be approved by a significant segment of the accounting profession in the   United States, or (b) in the case of Foreign Subsidiaries, generally accepted accounting principles in effect   from time to time in their respective jurisdictions of organization, each as applicable to the circumstances   as of the date of determination, consistently applied.    “German Borrower” has the meaning specified in the introductory paragraph hereto.   “Governmental Authority” means the government of the United States or any other nation, or of   any political subdivision thereof, whether state or local, and any agency, authority, instrumentality,   regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing,   regulatory or administrative powers or functions of or pertaining to government (including any supra-   national bodies such as the European Union or the European Central Bank).   “Guarantee” means, as to any Person, any (a) obligation, contingent or otherwise, of such Person   guaranteeing or having the economic effect of guaranteeing any Indebtedness or other obligation payable   or performable by another Person (the “primary obligor”) in any manner, whether directly or indirectly,   and including any obligation of such Person, direct or indirect, (i) to purchase or pay (or advance or   supply funds for the purchase or payment of) such Indebtedness or other obligation, (ii) to purchase or   lease property, securities or services for the purpose of assuring the obligee in respect of such   Indebtedness or other obligation of the payment or performance of such Indebtedness or other obligation,   (iii) to maintain working capital, equity capital or any other financial statement condition or liquidity or   level of income or cash flow of the primary obligor so as to enable the primary obligor to pay such   Indebtedness or other obligation, or (iv) entered into for the purpose of assuring in any other manner the   obligee in respect of such Indebtedness or other obligation of the payment or performance thereof or to   protect such obligee against loss in respect thereof (in whole or in part), or (b) Lien on any assets of such   Person securing any Indebtedness or other obligation of any other Person, whether or not such   Indebtedness or other obligation is assumed by such Person (or any right, contingent or otherwise, of any   holder of such Indebtedness to obtain any such Lien).  The amount of any Guarantee shall be deemed to   be an amount equal to the stated or determinable amount of the related primary obligation, or portion   thereof, in respect of which such Guarantee is made or, if not stated or determinable, the maximum     

 

       15   reasonably anticipated liability in respect thereof as determined by the guaranteeing Person in good faith.    The term “Guarantee” as a verb has a corresponding meaning.   “Guarantors” means, collectively, the Company (other than with respect to its Obligations) each   Subsidiary of the Company listed as “Guarantor” on the signature pages hereto and each other Person   (other than a Borrower) which guaranties the Obligations.  With respect to any Domestic Loan Party   Obligation, “Guarantor” shall exclude any Foreign Subsidiary of the Company.   “Guarantee Agreement” means that certain Guarantee Agreement, dated as of January 23, 2015,   from the Company and certain of its Domestic Subsidiaries to the Administrative Agent, as amended,   modified and/or restated from time to time.   “Hazardous Materials” means all explosive or radioactive substances or wastes and all hazardous   or toxic substances, wastes or other pollutants, including petroleum or petroleum distillates, asbestos or   asbestos-containing materials, polychlorinated biphenyls, radon gas, infectious or medical wastes and all   other substances or wastes of any nature regulated pursuant to any Environmental Law.   “HIBOR Rate” means for any Loans in Hong Kong Dollars, the HIBOR Screen Rate or, if   applicable pursuant to the terms of Section 2.16, the applicable Reference Bank Rate.      “HIBOR Screen Rate” means with respect to any Loan denominated in Hong Kong Dollars and   for any Interest Period with respect thereto, the percentage rate per annum designated as “FIXING @   11.00” (or any replacement designation or, if not designation appears, the arithmetic average (rounded   upwards to five decimal places) of the displayed rates) for the relevant period displayed under the heading   “HONG KONG INTERBANK OFFERED RATES (HK DOLLAR)” on the Reuters Screen HIBOR1=R   Page or HIBOR2=R Page (as appropriate) (or any replacement Reuters page which displays that rate) (in   each case the “HIBOR Screen Rate”) as of the Specified Time on the Quotation Day for such Interest   Period; provided that if the HIBOR Screen Rate shall be less than zero, such rate shall be deemed to be   zero for the purposes of this Agreement; provided further that if an Impacted Interest Period exists with   respect to Hong Kong Dollars, then the Eurocurrency Rate shall be the Interpolated Rate; and provided   further that if any Interpolated Rate shall be less than zero, such rate shall be deemed to be zero for   purposes of this Agreement       “Hong Kong Dollar” means the lawful currency of Hong Kong.    “Increased Facility Activation Date” means any Business Day on which any Lender shall execute   and deliver to the Administrative Agents an Increased Facility Activation Notice pursuant to Section   2.24(a).    “Increased Facility Activation Notice” means a notice substantially in the form of Exhibit F-1 or   F-2, as applicable.    “Increased Facility Closing Date” means any Business Day designated as such in an Increased   Facility Activation Notice.    “Incremental Term Facility” means as defined in the definition of “Facility”.    “Incremental Term Lenders” means (a) on any Increased Facility Activation Date relating to   Incremental Term Loans, the Lenders signatory to the relevant Increased Facility Activation Notice and   (b) thereafter, each Lender that is a holder of an Incremental Term Loan.     

 

       16    “Incremental Term Loans” means any term loans made pursuant to Section 2.24(a).    “Incremental Term Maturity Date” means with respect to the Incremental Term Loans to be made   pursuant to any Increased Facility Activation Notice, the maturity date specified in such Increased   Facility Activation Notice.   “Indebtedness” means, as to any Person at a particular time, without duplication, all of the   following, whether or not included as indebtedness or liabilities in accordance with GAAP:   (a) all obligations of such Person for borrowed money and all obligations of such Person   evidenced by bonds, debentures, notes, loan agreements or other similar instruments;   (b) all direct or contingent obligations of such Person arising under letters of credit   (including standby and commercial), bankers’ acceptances, bank guaranties, surety bonds and similar   instruments;   (c) net obligations of such Person under any Swap Contract;   (d) all obligations of such Person to pay the deferred purchase price of property or services   (other than trade accounts payable in the ordinary course of business and, in each case, not past due for   more than 90 days after the date on which such trade account payable was created);   (e) indebtedness (excluding prepaid interest thereon) secured by a Lien on property owned or   being purchased by such Person (including indebtedness arising under conditional sales or other title   retention agreements), whether or not such indebtedness shall have been assumed by such Person or is   limited in recourse;   (f) capital leases and Synthetic Lease Obligations;   (g) all obligations of such Person to purchase, redeem, retire, defease or otherwise make any   payment in respect of any Equity Interest in such Person or any other Person, valued, in the case of a   redeemable preferred interest, at the greater of its voluntary or involuntary liquidation preference plus   accrued and unpaid dividends; and   (h) all Guarantees of such Person in respect of any of the foregoing.   For all purposes hereof, the Indebtedness of any Person shall include the Indebtedness of any   partnership or joint venture (other than a joint venture that is itself a corporation or limited liability   company) in which such Person is a general partner or a joint venturer, unless such Indebtedness is made   expressly non-recourse to such Person.  The amount of any net obligation under any Swap Contract on   any date shall be deemed to be the Swap Termination Value thereof as of such date.  The amount of any   capital lease or Synthetic Lease Obligation as of any date shall be deemed to be the amount of   Attributable Indebtedness in respect thereof as of such date.   “Indemnified Taxes” means (a) Taxes, other than Excluded Taxes, imposed on or with respect to   any payment made by or on account of any obligation of any Loan Party under any Loan Document and   (b) to the extent not otherwise described in (a), Other Taxes.   “Indemnitees” has the meaning specified in Section 10.05.     

 

       17   “Insolvency Regulation” means the Council Regulation (EC) No. 1346/2000 29 May 2000 on   Insolvency Proceedings.   “Intellectual Property Security Agreements” means each Trademark Agreement, Patent   Agreement or Copyright Agreement.   “Interest Expense” means, for any period, the sum, without duplication, for the Company and its   Subsidiaries (determined on a consolidated basis in accordance with GAAP), of the following: (a) all   interest in respect of Indebtedness accrued or paid during such period (whether or not actually paid during   such period), plus (b) the net amounts paid (or minus the net amounts received) in respect of interest rate   Swap Contracts during such period, excluding reimbursement of legal fees and other similar transaction   costs and excluding payments required by reason of the early termination of interest rate Swap Contracts   in effect on the Closing Date, plus (c) all fees, including letter of credit or bankers’ acceptance fees and   expenses, (but excluding reimbursement of legal fees), plus (d) the amortization of financing costs in   connection with Indebtedness.   “Interest Payment Date” means, (a) as to any Loan other than a Base Rate Loan, the last day of   each Interest Period applicable to such Loan and the Delayed Draw Term Loan Maturity Date or the   Revolving Termination Date (as applicable); provided, however, that if any Interest Period for a   Eurocurrency Rate Loan exceeds three months, the respective dates that fall every three months after the   beginning of such Interest Period shall also be Interest Payment Dates; and (b) as to any Base Rate Loan   (including a Swingline Loan), the last day of each March, June, September and December and the   Delayed Draw Term Loan Maturity Date or the Revolving Termination Date (as applicable).    “Interest Period” means, as to any Eurocurrency Rate Loan, CDOR Rate Loan,  HIBOR Rate   Loan or Mexican Peso Rate Loan, (a) initially, the period commencing on the borrowing date, as the case   may be, with respect to (i) such Eurocurrency Rate Loan, CDOR Rate Loan or HIBOR Rate Loan, and   ending one, two, three or six (or, if agreed to by all Lenders under the relevant Facility, twelve) months   thereafter or (ii) such Mexican Peso Rate Loan, and ending one three or six months thereafter, as selected   by the Company in its notice of borrowing, as the case may be, given with respect thereto; and (b)   thereafter, each period commencing on the last day of the next preceding Interest Period applicable to (i)   such Eurocurrency Rate Loan, CDOR Rate Loan or HIBOR Rate Loan, and ending one, two, three or six   (or, if agreed to by all Lenders under the relevant Facility, twelve) months thereafter or (ii) such Mexican   Peso Rate Loan, and ending one three or six months thereafter, as selected by the Company by   irrevocable notice to the Administrative Agent not later than 11:00 A.M., Local Time, on the date that is   (i) three Business Days (in the case of Eurocurrency Rate Loans denominated in Dollars) and (ii) four   Business Days (in the case of Eurocurrency Rate Loans denominated in Alternative Currencies, CDOR   Rate Loans denominated in Canadian Dollars, HIBOR Rate Loans denominated in Hong Kong Dollars or   Mexican Peso Rate Loans denominated in Mexican Pesos) prior to the last day of the then current Interest   Period with respect thereto; provided that, all of the foregoing provisions relating to Interest Periods are   subject to the following:   (i) if any Interest Period would otherwise end on a day that is not a Business Day,   such Interest Period shall be extended to the next succeeding Business Day unless the result of   such extension would be to carry such Interest Period into another calendar month in which event   such Interest Period shall end on the immediately preceding Business Day;   (ii) the Borrower may not select an Interest Period under a particular Facility that   would extend beyond the Revolving Termination Date or beyond the date final payment is due on   the relevant Delayed Draw Term Loans, as the case may be;     

 

       18   (iii) any Interest Period that begins on the last Business Day of a calendar month (or   on a day for which there is no numerically corresponding day in the calendar month at the end of   such Interest Period) shall end on the last Business Day of a calendar month; and   (iv) the Borrower shall select Interest Periods so as not to require a payment or   prepayment of any Eurocurrency Rate Loan, CDOR Rate Loan, HIBOR Rate Loan or Mexican   Peso Rate Loan during an Interest Period for such Loan.   “Internal Control Event” means a material weakness in, or fraud that involves management or   other employees who have a significant role in, the Company’s internal controls over financial reporting,   in each case as described in the Securities Laws.   “Interpolated Rate” means, at any time, the rate per annum 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 Screen Rate for the longest period (for   which that Screen Rate is available in Dollars) that is shorter than the Impacted Interest Period and (b) the   Screen Rate for the shortest period (for which that Screen Rate is available for Dollars) that exceeds the   Impacted Interest Period, in each case, at such time, provided that if the Interpolated Rate shall be less   than zero, such rate shall be deemed to be zero for purposes of this Agreement.   “Investment” means, as to any Person, any direct or indirect acquisition or investment by such   Person, whether by means of (a) the purchase or other acquisition of capital stock or other securities of   another Person, (b) a loan, advance or capital contribution to, Guarantee or assumption of debt of, or   purchase or other acquisition of any other debt or equity participation or interest in, another Person,   including any partnership or joint venture interest in such other Person and any arrangement pursuant to   which the investor Guarantees Indebtedness of such other Person, or (c) the purchase or other acquisition   (in one transaction or a series of transactions) of assets of another Person that constitute a business unit.    For purposes of covenant compliance, the amount of any Investment shall be the amount actually   invested, without adjustment for subsequent increases or decreases in the value of such Investment.   “IP Rights” has the meaning specified in Section 5.18.   “IRS” means the United States Internal Revenue Service.   “ISP” means, with respect to any Letter of Credit, the “International Standby Practices 1998”   published by the Institute of International Banking Law & Practice, Inc. (or such later version thereof as   may be in effect at the time of issuance).   “Issuing Lender”  means each of JPMorgan Chase Bank, N.A., Bank of America, N.A. and PNC   Bank, N.A. and any other Revolving Lender approved by the Administrative Agent and the applicable   Borrower that has agreed in its sole discretion to act as an “Issuing Lender” hereunder, or any of their   respective affiliates, in each case in its capacity as issuer of any Letter of Credit or BA.  Each reference   herein to “the Issuing Lender” shall be deemed to be a reference to the relevant Issuing Lender.   “Joint Lead Arrangers” means J.P. Morgan Securities LLC, Merrill Lynch, Pierce, Fenner &   Smith Incorporated and PNC Capital Markets LLC, in their capacities as joint lead arrangers and joint   bookrunners.   “Laws” means, as to any Person, the Organization Documents of such Person and, collectively,   all international, foreign, Federal, state and local statutes, treaties, rules, guidelines, regulations,   ordinances, codes and administrative or judicial precedents or authorities, including the interpretation or     

 

       19   administration thereof by any Governmental Authority charged with the enforcement, interpretation or   administration thereof, and all applicable administrative orders, directed duties, requests, licenses,   authorizations and permits of, and agreements with, any Governmental Authority, in each case whether or   not having the force of law.   “L/C-B/A Commitment”  $40,000,000.   “L/C-BA Credit Extension” means, with respect to any Letter of Credit or Bankers’ Acceptance,   the issuance thereof or extension of the expiry date thereof, or the renewal or increase of the amount   thereof.   “L/C-B/A Exposure” means at any time, the total L/C-B/A Obligations.  The L/C-B/A Exposure   of any Revolving Lender at any time shall be its Revolving Percentage of the total L/C-B/A Exposure at   such time.   “L/C-B/A Obligations” means at any time, an amount equal to the sum of (a) the Dollar   Equivalent of the aggregate then undrawn and unexpired amount of the then outstanding Letters of Credit   and Bankers’ Acceptances and (b) the Dollar Equivalent of the aggregate amount of drawings under   Letters of Credit and Bankers’ Acceptances that have not then been reimbursed pursuant to Section 3.05.   “L/C-B/A Participants” means the collective reference to all the Revolving Lenders other than the   Issuing Lender.   “Lender” has the meaning specified in the introductory paragraph hereto and, as the context   requires, includes the Swingline Lender.    “Lender Parent” means with respect to any Lender, any Person as to which such Lender is,   directly or indirectly, a Subsidiary.   “Lending Office” means, as to any Lender, the office or offices of such Lender described as such   in such Lender’s Administrative Questionnaire, or such other office or offices as a Lender may from time   to time notify the Company and the Administrative Agent.   “Letter of Credit” means any letter of credit issued hereunder and shall include the Existing   Letters of Credit.  Letters of Credit may be issued in Dollars or in an Alternative Currency.  A Letter of   Credit may be a commercial letter of credit or a standby letter of credit.   “Letter of Credit-BA Expiration Date” means the day that is five days prior to the Revolving   Termination Date then in effect (or, if such day is not a Business Day, the next preceding Business Day).   “LIBOR Screen Rate” has the meaning assigned to it in the definition of “Eurocurrency Base   Rate.”   “Lien” means, in any jurisdiction, any mortgage, pledge, hypothecation, assignment, exclusive   license, deposit arrangement, encumbrance, lien (statutory or other), charge, or preference, priority or   other security interest or preferential arrangement in the nature of a security interest of any kind or nature   whatsoever (including any conditional sale or other title retention agreement, any easement, right of way   or other encumbrance on title to real property, and any financing lease having substantially the same   economic effect as any of the foregoing).     

 

       20   “Liquidity” means, as of any date of determination, an amount equal to the sum of (a) the   unrestricted cash on hand of the Company and its Subsidiaries on such date, plus (b) the result of (i) the   Revolving Commitments in effect on such date, minus (ii) the Total Revolving Extensions of Credit on   such date.   “Loan” means any loan made by any Lender pursuant to this Agreement.   “Loan Documents” means this Agreement, each Designated Borrower Request and Assumption   Agreement, each Note and each of the Security Documents.   “Loan Parties” means, collectively, the Company, the Dutch Borrower, the German Borrower,   each Designated Borrower and each Guarantor.   “Local Screen Rate” means the CDOR Screen Rate,  the HIBOR Screen Rate and the Mexican   Peso Rate.   “Local Time” means  (a) in the case of a Loan, Borrowing or Letter of Credit disbursement   denominated in Dollars, New York City time or (b) in the case of a Loan or Borrowing denominated in an   Alternative Currency, local time at the place of funding (it being understood that such local time shall   mean London, England time unless otherwise notified by the Administrative Agent).        “Majority Facility Lenders” means  with respect to any Facility, the holders of more than 50% of   the aggregate unpaid principal amount of the Delayed Draw Term Loans or the Total Revolving   Extensions of Credit, as the case may be, outstanding under such Facility (or, in the case of the Revolving   Facility, prior to any termination of the Revolving Commitments, the holders of more than 50% of the   Total Revolving Commitments).   “Material Acquisition” means a Permitted Acquisition involving aggregate consideration in   excess of $100,000,000.    “Material Adverse Effect” means (a) a material adverse change in, or a material adverse effect   upon, the operations, business, properties, assets, liabilities (actual or contingent), condition (financial or   otherwise) or prospects of the Company or the Company and its Subsidiaries taken as a whole; (b) a   material impairment of the ability of the Loan Parties, taken as a whole, to perform their obligations under   the Loan Documents to which they are party; or (c) a material adverse effect upon the legality, validity,   binding effect, enforceability or rights and remedies of the Administrative Agent or the Lenders against   the Loan Parties under the Loan Documents.   “Material Rental Obligation” means the obligation of the Loan Parties to pay rent under any one   or more operating leases with respect to any real or personal property that is material to the business of   the Loan Parties and as to which the aggregate amount of all rents payable during any fiscal year exceeds   $4,000,000.   “Mexican Peso” means the lawful currency of Mexico.    “Mexican Peso Rate” means with respect to any Loan denominated in Mexican Pesos and for any   Interest Period with respect thereto, the rate per annum equal to the Equilibrium Interbank Interest Rate for a   twenty-eight (28) day period (Tasa de Interes Interbancaria de Equilibrio a plazo de 28 dias, or the “TIIE   Rate”), as published by Banco de México in the Official Daily of the Federation (Diario Oficial de la   Federacion) of Mexico on the Business Day on which such Interest Period is to commence, which such   Peso Rate shall be determined by the Administrative Agent. If the TIIE Rate is not available at such time     

 

       21   for any reason, then the “Mexican Peso Rate” shall be determined by the Administrative Agent in   accordance with Section 2.16; provided that if TIIE Rate is not available at such time for any reason and   the Mexican Peso Rate cannot be determined in accordance with Section 2.16 for any reason, then the   “Mexican Peso Rate” for the applicable Interest Period shall be the rate per annum determined by the   Administrative Agent to be any other similar rate published by Banco de México which Lenders are   authorized to use pursuant to Applicable Law. The Mexican Peso Rate shall be determined by the   Administrative Agent in good faith after taking into consideration the general market conditions for   transactions of the type evidenced by this Agreement and the other Loan Documents and the particular   conditions of the Lenders from time to time and consistent with its determination of the Mexican Peso   Rate with respect to other credit facilities.   “Multiemployer Plan” means any employee benefit plan of the type described in   Section 4001(a)(3) of ERISA, to which the Company or any ERISA Affiliate makes or is obligated to   make contributions, or during the preceding five plan years, has made or been obligated to make   contributions.   “Multiple Employer Plan” means a Plan which has two or more contributing sponsors (including   the Company or any ERISA Affiliate) at least two of whom are not under common control, as such a plan   is described in Section 4064 of ERISA.   “Net Cash Proceeds” means:   (a) with respect to the sale of any asset by any Loan Party, the excess, if any, of (i) the sum   of cash and cash equivalents received in connection with such sale (including any cash received by way   of deferred payment pursuant to, or by monetization of, a note receivable or otherwise, but only as and   when so received) over (ii) the sum of (A) the principal amount of any Indebtedness that is secured by   such asset, so long as the lien securing such Indebtedness is permitted pursuant to Section 7.01, and that is   required to be repaid in connection with the sale thereof (other than Indebtedness under the Loan   Documents), (B) the out-of-pocket expenses incurred by such Loan Party in connection with such sale   and (C) income taxes reasonably estimated to be actually payable within two years of the date of the   relevant asset sale as a result of any gain recognized in connection therewith; and   (b) with respect to the sale of any capital stock or other equity interest or the incurrence of   any Indebtedness by any Loan Party, the excess of (i) the sum of the cash and cash equivalents received in   connection with such sale or incurrence over (ii) the underwriting discounts and commissions, and other   out-of-pocket expenses, incurred by such Loan Party in connection with such sale or incurrence.   “New Lender Supplement” has the meaning assigned to such term in Section 2.24(b).   “Non-Cash Charges” means, with respect to any calculation of Consolidated Net Income for any   period, all non-cash extraordinary losses and charges deducted in such calculation, as determined in   accordance with GAAP (excluding inventory and account receivable write-downs and charge-offs),   including, without limitation, non-cash recognition of unrealized declines in the market value of   marketable securities recorded in accordance with FASB Statement No. 115, non-cash asset impairment   charges recorded in accordance with FASB Statement No. 142 and FASB Statement No. 144, and non-   cash restructuring charges.   “Non-Defaulting Lender” means, at any time, each Lender that is not a Defaulting Lender at such   time.   “Non-Public Lender” means:      

 

       22   (i) until interpretation of “public” as referred to in the CRR by the relevant authority/ies: an entity   that provides repayable funds to the Dutch Borrower or any Dutch Designated Borrower for a minimum   initial amount of EUR 100,000 (or its equivalent in another currency) or an entity otherwise qualifying as   not forming part of the public; and   (ii) following the publication of an interpretation of “public” as referred to in the CRR by the   relevant authority/ies: such amount or such criterion as a result of which such entity shall qualify as not   forming part of the public.   “Non-Quoted Currency” means Canadian Dollars, Hong Kong Dollars and Mexican Pesos.        “Note” means the collective reference to any promissory note evidencing Loans.   “Obligations” means all advances to, and debts, liabilities, obligations, covenants and duties of,   the Company and its Subsidiaries arising under any Loan Document or otherwise with respect to any   Loan or Letter of Credit or Bankers’ Acceptance or any Bank Product Obligations, whether direct or   indirect (including those acquired by assumption), absolute or contingent, due or to become due, now   existing or hereafter arising and including interest and fees that accrue after the commencement by or   against any Loan Party or any Affiliate thereof of any proceeding under any Debtor Relief Laws or under   the Dutch Faillissementswet naming such Person as the debtor in such proceeding, regardless of whether   such interest and fees are allowed claims in such proceeding.   “Organization Documents” means, (a) (i) with respect to any corporation and any besloten   vennootschap met beperkte aansprakelijkheid, the certificate or articles of incorporation and the bylaws   (or equivalent or comparable constitutive documents with respect to any non-U.S. jurisdiction); (ii) with   respect to any limited liability company, the certificate or articles of formation or organization and   operating agreement; and (iii) with respect to any partnership, joint venture, trust or other form of   business entity, the partnership, joint venture or other applicable agreement of formation or organization   and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation   or organization with the applicable Governmental Authority in the jurisdiction of its formation or   organization and, if applicable, any certificate or articles of formation or organization of such entity, or   (b) with respect to entities incorporated in any non-U.S. jurisdiction, equivalent or comparable   constitutive documents.   “Other Connection Taxes” means, with respect to any Credit Party, Taxes imposed as a result of a   present or former connection between such Credit Party and the jurisdiction imposing such Tax (other   than (i) connections arising from such Credit Party 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 Loan Document, or sold or assigned an   interest in any Loan or Loan Document and (ii) any Dutch Taxes as a result of any Credit Party having an   interest, directly or indirectly, of 5% or more in the Dutch Borrower).   “Other Taxes” means all present or future stamp, court or documentary, intangible, recording,   filing or similar Taxes that arise from any payment made under, from the execution, delivery,   performance, enforcement or registration of, from the receipt or perfection of a security interest under, or   otherwise with respect to, any Loan Document, except any such Taxes that are Other Connection Taxes   imposed with respect to an assignment (other than an assignment made pursuant to Section 2.22).   “Participant” has the meaning specified in Section 10.06(c).   “Participant Register” has the meaning specified in Section 10.06(c).     

 

       23   “Participating Member State” means each state so described in any EMU Legislation.   “Patent Agreement” means any grant of security interest in patents owned by any Loan Party,   made by any Loan Party in favor of the Administrative Agent.   “PBGC” means the Pension Benefit Guaranty Corporation.   “PCAOB” means the Public Company Accounting Oversight Board.   “Pension Act” means the Pension Protection Act of 2006, as amended.   “Pension Funding Rules” means the rules of the Code and ERISA regarding minimum required   contributions (including any installment payment thereof) to Pension Plans and set forth in, with respect   to plan years ending prior to the effective date of the Pension Act, Section 412 of the Code and Section   302 of ERISA, each as in effect prior to the Pension Act and, thereafter, Sections 412, 430, 431, 432 and   436 of the Code and Sections 302, 303, 304 and 305 of ERISA.   “Pension Plan” means any employee pension benefit plan (including a Multiple Employer Plan or   a Multiemployer Plan) that is maintained or is contributed to by any Borrower and any ERISA Affiliate   and is either covered by Title IV of ERISA or is subject to the minimum funding standards under Section   412 of the Code.   “Permitted Acquisition” has the meaning specified in Section 7.02(h).   “Permitted Encumbrances” means, with respect to each fee-owned or leasehold real property of   the Company or any Subsidiary (or similar property interests under local law), those liens, encumbrances   and other matters affecting title, zoning, building codes, land use and other similar Laws and municipal   ordinances and other similar items, which in any such case, do not materially detract from the value of the   property or impair, in any material respect, the use or ownership of such property for its intended purpose,   in the ordinary course of business.     “Person” means any natural person, corporation, limited liability company, trust, joint venture,   association, company, partnership, Governmental Authority or other entity.   “PILOT Leases” means those certain leases between the Company and/or its Subsidiaries and the   (i) the city of Lexington, Tennessee and (ii) the city of Chattanooga, Tennessee and the county of   Hamilton, Tennessee and/or an authority or other designee of such entities in connection with the   acquisition of new equipment and the relocation of certain existing equipment of the Company, its   Subsidiaries or its Affiliates.  All of such equipment will be used at the Company’s existing facilities   located in the city of Lexington, Tennessee and the city of Chattanooga, Tennessee.   “Plan” means any employee benefit plan within the meaning of Section 3(3) of ERISA (including   a Pension Plan), maintained for employees of any Borrower or any ERISA Affiliate or any such Plan to   which any Borrower or any ERISA Affiliate is required to contribute on behalf of any of its employees.   “Platform” has the meaning specified in Section 6.02.   “Pledge Agreements” means the pledge agreements, between a Loan Party and the   Administrative Agent, pursuant to which any Loan Party pledges any stock, other equity interests or   intercompany notes held by it.     

 

       24    “Prime Rate” means the rate of interest per annum publicly announced from time to time by   JPMorgan Chase Bank, N.A. as its prime rate in effect at its principal office in New York City (the Prime   Rate not being intended to be the lowest rate of interest charged by JPMorgan Chase Bank, N.A. in   connection with extensions of credit to debtors).   “Public Lender” has the meaning specified in Section 6.02.   “Quotation Day” means with respect to any Eurocurrency Rate Loan for any Interest Period, (i) if   the currency is Canadian Dollars or Hong Kong Dollars, the first day of such Interest Period, (ii) if the   currency is Euro, two Target Operating Days before the first day of such Interest Period, (iii) for any other   currency, two Business Days prior to the commencement of such Interest Period (unless, in each case,   market practice differs in the relevant market where the Eurocurrency Rate for such currency is to be   determined, in which case the Quotation Day will be determined by the Administrative Agent in   accordance with market practice in such market (and if quotations would normally be given on more than   one day, then the Quotation Day will be the last of those days)).   “Recipient” means the Administrative Agent, any Lender (including the Swingline Lender), the   Issuing Lender or any other recipient of any payment to be made by or on account of any obligation of   any Loan Party hereunder.    “Recovery Event” means any settlement of or payment in respect of any property or casualty   insurance claim or any condemnation proceeding relating to any asset of any Loan Party.   “Reference Bank Rate” means the arithmetic mean of the rates (rounded upwards to four decimal   places) supplied to the Administrative Agent at its request by the Reference Banks (as the case may be) as   of the Specified Time on the Quotation Day for Loans in the applicable currency and the applicable   Interest Period: (a)  in relation to Loans in Canadian Dollars, as the rate at which the relevant Reference   Bank is willing to extend credit by the purchase of bankers acceptances which have been accepted by   banks which are for the time being customarily regarded as being of appropriate credit standing for such   purpose with a term to maturity equal to the relevant period; and (b)  in relation to Loans in any currency   other than Canadian Dollars, as the rate at which the relevant Reference Bank could borrow funds in the   London interbank market in the relevant currency and for the relevant period, were it to do so by asking   for and then accepting interbank offers in reasonable market size in that currency and for that period;   provided, that, if any Reference Bank Rate shall be less than zero, such rate shall be deemed to be zero for   purposes of this Agreement.      “Reference Banks” means the principal London (or other applicable) offices of JPMorgan Chase   Bank, N.A. and such other banks as may be appointed by the Administrative Agent in consultation with   the Company.  No Lender shall be obligated to be a Reference Bank without its consent.        “Reference Period” means, as of any date of determination, the period of four (4) consecutive   fiscal quarters of the Company and its Subsidiaries ending on such date, or if such date is not a fiscal   quarter end date, the period of four (4) consecutive fiscal quarters most recently ended (in each case   treated as a single accounting period).   “Refunded Swingline Loans” has the meaning specified in Section 2.07.   “Register” has the meaning specified in Section 10.06(b)(iv).   “Registered Public Accounting Firm” has the meaning specified in the Securities Laws and shall   be independent of the Company as prescribed by the Securities Laws.     

 

       25    “Reimbursement Obligation” means  the obligation of the applicable Borrower to reimburse the   Issuing Lender pursuant to Section 3.05 for amounts drawn under Letters of Credit and Bankers’   Acceptances.    “Reinvestment Deferred Amount” means with respect to any Reinvestment Event, the aggregate   Net Cash Proceeds received by the Company or any Subsidiary in connection therewith that are not   applied to prepay the Delayed Draw Term Loans or reduce the Revolving Commitments pursuant to   Section 2.11(b) as a result of the delivery of a Reinvestment Notice.    “Reinvestment Event” means any Disposition or Recovery Event in respect of which the   Company has delivered a Reinvestment Notice.    “Reinvestment Notice” means a written notice executed by a Responsible Officer stating that no   Event of Default has occurred and is continuing and that the Company (directly or indirectly through a   Subsidiary) intends and expects to use all or a specified portion of the Net Cash Proceeds of a Disposition   or Recovery Event to acquire or repair assets (other than current assets) useful in its business.   “Reinvestment Prepayment Amount” means with respect to any Reinvestment Event, the   Reinvestment Deferred Amount relating thereto less any amount expended prior to the relevant   Reinvestment Prepayment Date to acquire or repair assets (other than current assets) useful in the   Company’s business.    “Reinvestment Prepayment Date” means with respect to any Reinvestment Event, the earlier of   (a) the date occurring six months after such Reinvestment Event and (b) the date on which the Company   shall have determined not to, or shall have otherwise ceased to, acquire or repair assets (other than current   assets) useful in the Company’s business with all or any portion of the relevant Reinvestment Deferred   Amount.   “Related Parties” means, with respect to any Person, such Person’s Affiliates and the partners,   directors, officers, employees, agents, trustees, administrators, managers, advisors and representatives of   such Person and of such Person’s Affiliates.   “Reportable Event” means any of the events set forth in Section 4043(c) of ERISA, other than   events for which the 30 day notice period has been waived.   “Required Lenders” at any time, the holders of more than 50% of (a) until the Closing Date, the   Commitments then in effect and (b) thereafter, the sum of (i) such Lender’s Delayed Draw Term   Commitment, or, if after the Delayed Draw Term Loan Borrowing Date, the aggregate unpaid principal   amount of the Delayed Draw Term Loans then outstanding and (ii) the Total Revolving Commitments   then in effect or, if the Revolving Commitments have been terminated, the Total Revolving Extensions of   Credit then outstanding; provided that the Commitment of, and the portion of the Total Revolving   Extensions of Credit held or deemed held by, any Defaulting Lender shall be excluded for purposes of   making a determination of Required Lenders.   “Responsible Officer” means the chief executive officer, president, managing director, chief   financial officer, treasurer, secretary, assistant treasurer or controller of a Loan Party, or in relation to the   Dutch Borrower, a managing director A and a managing director B acting jointly or any attorney of the   Dutch Borrower.  Any document delivered hereunder that is signed by a Responsible Officer of a Loan   Party shall be conclusively presumed to have been authorized by all necessary corporate, partnership   and/or other action on the part of such Loan Party and such Responsible Officer shall be conclusively   presumed to have acted on behalf of such Loan Party.     

 

       26   “Restricted Payment” means (i) any dividend or other distribution (whether in cash, securities or   other property) with respect to any capital stock or other Equity Interest of the Company or any   Subsidiary, or any payment (whether in cash, securities or other property), including any sinking fund or   similar deposit, on account of the purchase, redemption, retirement, acquisition, cancellation or   termination of any such capital stock or other Equity Interest, or on account of any return of capital to the   Company’s stockholders, partners or members (or the equivalent Person thereof), (ii) any redemption,   retirement, sinking fund or similar payment, purchase or other acquisition for value, direct or indirect, of   any shares of any class of stock of, or other equity interest in, any Loan Party or any of its Subsidiaries   now or hereafter outstanding, (iii) any payment made to retire, or to obtain the surrender of, any   outstanding warrants, options or other rights to acquire shares of any class of stock of, or other equity   interest in, any Loan Party or any of its Subsidiaries, (iv) any payment or prepayment of principal of, or   redemption purchase, retirement, defeasance (including economic or legal defeasance), sinking fund or   similar payment with respect to, the Senior Subordinated Notes or other Indebtedness permitted under   Section 7.03(j) and/or any intercompany Indebtedness owing by the Company or any Subsidiary, (v) any   voluntary principal prepayments, redemptions, retirement, defeasance, sinking funds or similar payment   with respect to the Indebtedness permitted under Section 7.03(f), and (vi) any payment made to any   Affiliates of any Loan Party or any of its Subsidiaries in respect of management, consulting or other   similar services provided to any Loan Party or any of its Subsidiaries.   “Revaluation Date” means (a) with respect to any Loan, each of the following:  (i) each date of a   Borrowing of a Eurocurrency Rate Loan denominated in an Alternative Currency, (ii) each date of a   continuation of a Eurocurrency Rate Loan denominated in an Alternative Currency pursuant to   Section 2.12, and (iii) such additional dates as the Administrative Agent shall determine or the Required   Lenders shall require; and (b) with respect to any Letter of Credit or Bankers’ Acceptance, each of the   following:  (i) each date of issuance of a Letter of Credit or Bankers’ Acceptance denominated in an   Alternative Currency, (ii) each date of an amendment of any such Letter of Credit or Bankers’   Acceptance having the effect of increasing the amount thereof (solely with respect to the increased   amount), (iii) each date of any payment by the Issuing Lender under any Letter of Credit or Bankers’   Acceptance denominated in an Alternative Currency, (iv) in the case of the Existing Letters of Credit and   Existing Bankers’ Acceptances, the Closing Date, and (v) such additional dates as the Administrative   Agent or the Issuing Lender shall determine or the Required Lenders shall require.    “Revolving Commitment” means as to any Lender, the obligation of such Lender, if any, to make   Revolving Loans and participate in Swingline Loans and Letters of Credit in an aggregate principal   and/or face amount not to exceed the amount set forth under the heading “Revolving Commitment”   opposite such Lender’s name on Schedule 2.01 or in the Assignment and Assumption pursuant to which   such Lender became a party hereto, as the same may be changed from time to time pursuant to the terms   hereof.  The original amount of the Total Revolving Commitments is $150,000,000.    “Revolving Commitment Period” means the period from and including the Closing Date to the   Revolving Termination Date.    “Revolving Extensions of Credit” means as to any Revolving Lender at any time, an amount   equal to the sum of the Dollar Equivalent (a) of the aggregate principal amount of all Revolving Loans   held by such Lender then outstanding, (b) such Lender’s Revolving Percentage of the L/C-B/A   Obligations then outstanding and (c) such Lender’s Revolving Percentage of the aggregate principal   amount of Swingline Loans then outstanding.    “Revolving Lender” means each Lender that has a Revolving Commitment or that holds   Revolving Loans.     

 

       27    “Revolving Loans” means as defined in Section 2.04(a).    “Revolving Percentage” means as to any Revolving Lender at any time, the percentage which   such Lender’s Revolving Commitment then constitutes of the Total Revolving Commitments or, at any   time after the Revolving Commitments shall have expired or terminated, the percentage which the   aggregate principal amount of such Lender’s Revolving Loans then outstanding constitutes of the   aggregate principal amount of the Revolving Loans then outstanding, provided, that, in the event that the   Revolving Loans are paid in full prior to the reduction to zero of the Total Revolving Extensions of   Credit, the Revolving Percentages shall be determined in a manner designed to ensure that the other   outstanding Revolving Extensions of Credit shall be held by the Revolving Lenders on a comparable   basis.  Notwithstanding the foregoing, in the case of Section 2.23 when a Defaulting Lender shall exist,   Revolving Percentages shall be determined without regard to any Defaulting Lender’s Revolving   Commitment.    “Revolving Termination Date” means January 23, 2020.   “Sarbanes-Oxley” means the Sarbanes-Oxley Act of 2002.    “Sanctioned Country” means at any time, a country or territory which is itself the subject or target   of any Sanctions (at the time of this Agreement, Cuba, Iran, North Korea, Sudan and Syria).    “Sanctioned Person” means 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 or the U.S. Department of State or by the United Nations Security Council, the European Union   or any EU 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.   “Sanction(s)” means 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 European Union, Her Majesty’s Treasury of the United Kingdom or   the Netherlands, provided that with respect to any Person subject to the laws of Germany only such   sanctions as imposed, administered, or enforced from time to time by the Federal Republic of Germany   shall be included.    “Screen Rate” means the LIBOR Screen Rate and the Local Screen Rates collectively and   individually as the context may require.    “SEC” means the Securities and Exchange Commission, or any Governmental Authority   succeeding to any of its principal functions.   “Secured Leverage Ratio” means, as of any date of determination, the ratio of (a) an amount   equal to (i) Total Funded Indebtedness (which shall include the L/C-B/A Obligations, other than the L/C-   B/A Obligations relating to commercial letters of credit) of the Company and its Subsidiaries outstanding   on such date and secured by Liens on the assets of the Company or any Subsidiary, less (ii) Indebtedness   in respect of Guarantees by the Company permitted under Section 7.03(k), less (iii) unrestricted cash on   hand of the Company and its Subsidiaries on such date to (b) Consolidated EBITDA for the Reference   Period ended on such date; provided, that, in the event of an acquisition permitted by Section 7.02 made   during any Reference Period, the foregoing ratio shall be calculated on a pro forma basis as if such   acquisition had occurred on the first day of such Reference Period, with such pro forma adjustments (i) as     

 

       28   may be required or permitted to be reflected in pro forma financial statements pursuant to Article 11 of   Regulation S-X or (ii) as may otherwise be reasonably satisfactory to the Administrative Agent.   “Securities Laws” means the Securities Act of 1933, the Securities Exchange Act of 1934,   Sarbanes-Oxley and the applicable accounting and auditing principles, rules, standards and practices   promulgated, approved or incorporated by the SEC or the PCAOB.   “Security Documents” means collectively, the Guarantee Agreement, the U.S. Security   Agreement, the Pledge Agreements, the Environmental Indemnity Agreement, the Intellectual Property   Security Agreements, any assignments of intercompany Indebtedness and all other security agreements,   UCC financing statements, and any other instruments or documents required by the Administrative Agent   to be executed or delivered hereunder to secure the Obligations.   “Senior Subordinated Note Indenture” means the Columbus McKinnon Corporation 7.875%   Senior Subordinated Notes Due 2019 Indenture, dated as of January 25, 2011, among the Company, as   issuer, certain Guarantors and U.S. Bank National Association, as trustee, as the same shall, subject to the   terms and conditions of this Agreement, be further amended, supplemented or otherwise modified and in   effect from time to time.   “Senior Subordinated Notes” means the Company’s 7.875% senior subordinated notes due 2019,   issued pursuant to the Senior Subordinated Note Indenture, as the same shall, subject to the terms and   conditions of this Agreement, be amended, supplemented or otherwise modified and in effect from time   to time.   “Significant Subsidiary” means any Subsidiary of the Company which accounts for more than   fifteen percent of one or more of:   (a) the book value of the consolidated assets of the Company and its Subsidiaries; or   (b) the consolidated revenues of the Company and its Subsidiaries,   all as shown in the financial statements most recently delivered under Section 6.01(a) or (b).   “Solvent” means, with respect to any Person on a particular date, that, at fair valuations, (a) the   sum of such Person’s assets is greater than (x) all of such Person’s consolidated liabilities (including   contingent, subordinated, unmatured and unliquidated liabilities) and (y) the amount required to pay such   liabilities as they become absolute, matured or otherwise become due in the normal course of business,   (b) such Person has the ability to pay its debts and liabilities (including contingent, subordinated,   unmatured and unliquidated liabilities) as they become absolute, matured or otherwise become due in the   normal course of business and (c) such Person does not have an unreasonably small amount of capital   with which to conduct its business.   “Special Notice Currency” means at any time an Alternative Currency, other than the currency of   a country that is a member of the Organization for Economic Cooperation and Development at such time   located in North America or Europe.   “Specified Time” means (i) in relation to a Loan in Canadian Dollars, as of 11:00 a.m. Toronto,   Ontario time and (ii) in relation to a Loan in Hong Kong Dollars, as of 11:30 a.m., Hong Kong time and   (iii) in relation to a Loan in Mexican Pesos, as of 11:00 a.m. Mexico City time.      

 

       29   “Spot Rate” for a currency means the rate determined by the Administrative Agent or the Issuing   Lender, as applicable, to be the rate quoted by the Person acting in such capacity as the spot rate for the   purchase by such Person of such currency with another currency through its principal foreign exchange   trading office at approximately 11:00 a.m. on the date two Business Days prior to the date as of which the   foreign exchange computation is made; provided that the Administrative Agent or the Issuing Lender may   obtain such spot rate from another financial institution designated by the Administrative Agent or the   Issuing Lender if the Person acting in such capacity does not have as of the date of determination a spot   buying rate for any such currency; and provided further that the Issuing Lender may use such spot rate   quoted on the date as of which the foreign exchange computation is made in the case of any Letter of   Credit or Bankers’ Acceptance denominated in an Alternative Currency.   “Sterling” and “£” mean the lawful currency of the United Kingdom.   “Subsidiary” of a Person means a corporation, partnership, joint venture, limited liability   company or other business entity of which a majority of the shares of securities or other interests having   ordinary voting power for the election of directors or other governing body (other than securities or   interests having such power only by reason of the happening of a contingency) are at the time beneficially   owned, or the management of which is otherwise controlled, directly, or indirectly through one or more   intermediaries, or both, by such Person.  Unless otherwise specified, all references herein to a   “Subsidiary” or to “Subsidiaries” shall refer to a Subsidiary or Subsidiaries of the Company.   “Swap Contract” means (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 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 Termination Value” means, in respect of any one or more Swap Contracts, after taking   into account the effect of any legally enforceable netting agreement relating to such Swap Contracts, (a)   for any date on or after the date such Swap Contracts have been closed out and termination value(s)   determined in accordance therewith, such termination value(s), and (b) for any date prior to the date   referenced in clause (a), the amount(s) determined as the mark-to-market value(s) for such Swap   Contracts, as determined based upon one or more mid-market or other readily available quotations   provided by any recognized dealer in such Swap Contracts (which may include a Lender or any Affiliate   of a Lender).    “Swingline Commitment” means the obligation of the Swingline Lender to make Swingline   Loans pursuant to Section 2.06 in an aggregate principal amount at any one time outstanding not to   exceed $25,000,000. For the avoidance of doubt, Swingline Loans shall be denominated in Dollars.     “Swingline Exposure” means at any time, the sum of the aggregate amount of all outstanding   Swingline Loans at such time.  The Swingline Exposure of any Revolving Lender at any time shall be the   sum of (a) its Revolving Percentage of the total Swingline Exposure at such time related to Swingline     

 

       30   Loans other than any Swingline Loans made by such Lender in its capacity as a Swingline Lender and (b)   if such Lender shall be a Swingline Lender, the principal amount of all Swingline Loans made by such   Lender outstanding at such time (to the extent that the other Revolving Lenders shall not have funded   their participations in such Swingline Loans).    “Swingline Lender” means JPMorgan Chase Bank, N.A.    “Swingline Loans” has the meaning specified in Section 2.06.    “Swingline Participation Amount” has the meaning specified in Section 2.07(c).   “Swiss Franc” means the lawful currency of Switzerland.   “Synthetic Lease Obligation” means the monetary obligation of a Person under (a) a so-called   synthetic, off-balance sheet or tax retention lease, or (b) an agreement for the use or possession of   property creating obligations that do not appear on the balance sheet of such Person but which, upon the   insolvency or bankruptcy of such Person, would be characterized as the indebtedness of such Person   (without regard to accounting treatment).   “Target Operating Day” means any day that is not (a) a Saturday or Sunday, (b) Christmas Day or   New Year’s Day, (c) any day banks are otherwise not open for dealings in deposits in Euro in the London   interbank market or (d) any other day on which the Trans-European Real-time Gross Settlement   Operating System (or any successor settlement system) is not operating (as determined in good faith by   the Administrative Agent).        “Taxes” means all present or future taxes, levies, imposts, duties, deductions, withholdings   (including backup withholding), assessments, fees or other charges imposed by any Governmental   Authority, including any interest, additions to tax or penalties applicable thereto.   “Term Lender” means the collective reference to the Delayed Draw Term Lenders and the   Incremental Term Lenders.   “Term Loans” means  the collective reference to the Delayed Draw Term Loans and the   Incremental Term Loans.   “Threshold Amount” means $8,000,000.   “Total Funded Indebtedness” means, with respect to the Company and its Subsidiaries, the sum,   without duplication, of (a) the aggregate amount of Indebtedness of the Company and its Subsidiaries   determined on a consolidated basis in accordance with GAAP, relating to (i) the borrowing of money or   the obtaining of credit, including the issuance of notes or bonds, (ii) the deferred purchase price of assets   (other than trade payables incurred in the ordinary course of business), (iii) in respect of any Synthetic   Lease Obligations or any Capital Lease Obligations, and (iv) the maximum drawing amount of all standby   letters of credit outstanding and the maximum stated amount of all bankers’ acceptances outstanding, plus   (b) Indebtedness of the type referred to in clause (a) of another Person guaranteed by the Company or any   of its Subsidiaries.  For the avoidance of doubt, net obligations of the Company and its Subsidiaries under   any Swap Contract shall not constitute Total Funded Indebtedness.   “Total Leverage Ratio” means, as of any date of determination, the ratio of (a) an amount equal to   (i) Total Funded Indebtedness (which shall include the L/C-B/A Obligations, other than the L/C-B/A   Obligations relating to commercial letters of credit) of the Company and its Subsidiaries outstanding on     

 

       31   such date, less (ii) Indebtedness in respect of Guarantees by the Company permitted under Section   7.03(k), less (iii) unrestricted cash on hand of the Company and its Subsidiaries on such date to (b)   Consolidated EBITDA for the Reference Period ended on such date; provided, that, in the event of an   acquisition permitted by Section 7.02 made during any Reference Period, the foregoing ratio shall be   calculated on a pro forma basis as if such acquisition had occurred on the first day of such Reference   Period, with such pro forma adjustments (i) as may be required or permitted to be reflected in pro forma   financial statements pursuant to Article 11 of Regulation S-X or (ii) as may otherwise be reasonably   satisfactory to the Administrative Agent.   “Total Revolving Commitments” means at any time, the aggregate amount of the Revolving   Commitments then in effect.    “Total Revolving Extensions of Credit” means at any time, the aggregate amount of the   Revolving Extensions of Credit of the Revolving Lenders outstanding at such time.   “Trademark Agreement” means any grant of security interest in trademarks owned by any Loan   Party, made by any Loan Party in favor of the Administrative Agent, or any of its predecessors.   “Type” means, with respect to a Revolving Loan, its character as a Base Rate Loan, a   Eurocurrency Rate Loan, a CDOR Rate Loan,  a HIBOR Rate Loan or a Mexican Peso Rate Loan.   “UCC” means the Uniform Commercial Code as in effect in the State of New York; provided   that, if perfection or the effect of perfection or non-perfection or the priority of any security interest in any   Collateral is governed by the Uniform Commercial Code as in effect in a jurisdiction other than the State   of New York, “UCC” means the Uniform Commercial Code as in effect from time to time in such other   jurisdiction for purposes of the provisions hereof relating to such perfection, effect of perfection or non-   perfection or priority.   “UCP” means, with respect to any Letter of Credit, the Uniform Customs and Practice for   Documentary Credits, International Chamber of Commerce (“ICC”) Publication No. 600 (or such later   version thereof as may be in effect at the time of issuance).   “United States” and “U.S.” mean the United States of America.   “U.S. Person” means any Person that is a “United States Person” as defined in Section   7701(a)(30) of the Code.   “U.S. Security Agreement” means that certain U.S. Security Agreement, dated as of January 23,   2015, from the Company and certain Subsidiaries to the Administrative Agent, as amended, modified   and/or restated from time to time.   “U.S. Tax Compliance Certificate” has the meaning specified in Section 2.19(f)(iii).   “Yale” means Yale Industrial Products, Inc.   “Yen” and “¥” mean the lawful currency of Japan.   1.02. Other Interpretive Provisions.  With reference to this Agreement and each other Loan   Document, unless otherwise specified herein or in such other Loan Document:     

 

       32   (a) The definitions of terms herein shall apply equally to the singular and plural forms of   the terms defined.  Whenever the context may require, any pronoun shall include the corresponding   masculine, feminine and neuter forms.  The words “include,” “includes” and “including” shall be   deemed to be followed by the phrase “without limitation.”  The word “will” shall be construed to have   the same meaning and effect as the word “shall.”  Unless the context requires otherwise, (i) any   definition of or reference to any agreement, instrument or other document (including any Organization   Document) shall be construed as referring to such agreement, instrument or other document as from   time to time amended, supplemented or otherwise modified (subject to any restrictions on such   amendments, supplements or modifications set forth herein or in any other Loan Document), (ii) any   reference herein to any Person shall be construed to include such Person’s successors and assigns, (iii)   the words “hereto,” “herein,” “hereof” and “hereunder,” and words of similar import when used in any   Loan Document, shall be construed to refer to such Loan Document in its entirety and not to any   particular provision thereof, (iv) all references in a Loan Document to Articles, Sections, Exhibits and   Schedules shall be construed to refer to Articles and Sections of, and Exhibits and Schedules to, the   Loan Document in which such references appear, (v) any reference to any law shall include all statutory   and regulatory provisions consolidating, amending, replacing or interpreting such law and any reference   to any law or regulation shall, unless otherwise specified, refer to such law or regulation as amended,   modified or supplemented from time to time, and (vi) the words “asset” and “property” shall be   construed to have the same meaning and effect and to refer to any and all tangible and intangible assets   and properties, including cash, securities, accounts and contract rights.   (b) In the computation of periods of time from a specified date to a later specified date, the   word “from” means “from and including;” the words “to” and “until” each mean “to but excluding;”   and the word “through” means “to and including.”   (c) Section headings herein and in the other Loan Documents are included for convenience   of reference only and shall not affect the interpretation of this Agreement or any other Loan Document.   1.03. Accounting Terms.  (a)  Generally.  All accounting terms not specifically or completely   defined herein shall be construed in conformity with, and all financial data (including financial ratios and   other financial calculations) required to be submitted pursuant to this Agreement shall be prepared in   conformity with, GAAP applied on a consistent basis, as in effect from time to time, applied in a manner   consistent with that used in preparing the Audited Financial Statements, except as otherwise specifically   prescribed herein.  Notwithstanding the foregoing, for purposes of determining compliance with any   covenant (including the computation of any financial covenant) contained herein, Indebtedness of the   Borrower and its Subsidiaries shall be deemed to be carried at the lesser of (x) 100% of the outstanding   principal amount thereof and (y) the then-applicable accreted value thereof, and the effects of FASB ASC   825 and FASB ASC 470-2064 on financial liabilities shall be disregarded.   (b) Changes in GAAP.  If at any time any change in GAAP would affect the computation   of any financial ratio or requirement set forth in any Loan Document, and either the Company or the   Required Lenders shall so request, the Administrative Agent, the Lenders and the Company shall   negotiate in good faith to amend such ratio or requirement to preserve the original intent thereof in light   of such change in GAAP (subject to the approval of the Required Lenders); provided that, until so   amended, (i) such ratio or requirement shall continue to be computed in accordance with GAAP prior to   such change therein and (ii) the Company shall provide to the Administrative Agent and the Lenders   financial statements and other documents required under this Agreement or as reasonably requested   hereunder setting forth a reconciliation between calculations of such ratio or requirement made before   and after giving effect to such change in GAAP.  Without limiting the foregoing, leases shall continue   to be classified and accounted for on a basis consistent with that reflected in the Audited Financial   Statements for all purposes of this Agreement, notwithstanding any change in GAAP relating thereto,     

 

       33   unless the parties hereto shall enter into a mutually acceptable amendment addressing such changes, as   provided for above.   1.04. Rounding.  Any financial ratios required to be maintained by the Borrowers pursuant to   this Agreement shall be calculated by dividing the appropriate component by the other component,   carrying the result to one place more than the number of places by which such ratio is expressed herein   and rounding the result up or down to the nearest number (with a rounding-up if there is no nearest   number).   1.05. Exchange Rates; Currency Equivalents.   (a) The Administrative Agent shall determine the Spot Rates as of each Revaluation Date   to be used for calculating Dollar Equivalent amounts of Revolving Extensions of Credit and Total   Revolving Extensions of Credit denominated in Alternative Currencies.  Such Spot Rates shall become   effective as of such Revaluation Date and shall be the Spot Rates employed in converting any amounts   between the applicable currencies until the next Revaluation Date to occur.  Except for purposes of   financial statements delivered by Loan Parties hereunder or calculating financial covenants hereunder   or except as otherwise provided herein, the applicable amount of any currency (other than Dollars) for   purposes of the Loan Documents shall be such Dollar Equivalent amount as so determined by the   Administrative Agent.   (b) Wherever in this Agreement in connection with a Borrowing, conversion, continuation   or prepayment of a Eurocurrency Rate Loan or the issuance, amendment or extension of a Letter of   Credit or Bankers’ Acceptance, an amount, such as a required minimum or multiple amount, is   expressed in Dollars, but such Borrowing, Eurocurrency Rate Loan or Letter of Credit or Bankers’   Acceptance is denominated in an Alternative Currency, such amount shall be the relevant Alternative   Currency Equivalent of such Dollar amount (rounded to the nearest unit of such Alternative Currency,   with 0.5 of a unit being rounded upward), as determined by the Administrative Agent.   1.06. Additional Alternative Currencies.   (a) The Company may from time to time request that Eurocurrency Rate Loans be made   and/or Letters of Credit or Bankers’ Acceptances be issued in a currency other than those specifically   listed in the definition of “Alternative Currency;” provided that such requested currency is a lawful   currency (other than Dollars) that is readily available and freely transferable and convertible into   Dollars.  In the case of any such request with respect to the making of Eurocurrency Rate Loans, such   request shall be subject to the approval of the Administrative Agent and the Lenders; and in the case of   any such request with respect to the issuance of Letters of Credit or Bankers’ Acceptances, such request   shall be subject to the approval of the Administrative Agent and the applicable Issuing Lender.   (b) Any such request shall be made to the Administrative Agent not later than 11:00 a.m.,   15 Business Days prior to the date of the desired Revolving Extensions of Credit (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 or Bankers’ Acceptances, the applicable Issuing Lender, in its or their sole discretion).    In the case of any such request pertaining to Eurocurrency Rate Loans, the Administrative Agent shall   promptly notify each Lender thereof; and in the case of any such request pertaining to Letters of Credit   or Bankers’ Acceptances, the Administrative Agent shall promptly notify the applicable Issuing Lender   thereof.  Each Lender (in the case of any such request pertaining to Eurocurrency Rate Loans) or the   applicable Issuing Lender (in the case of a request pertaining to Letters of Credit or Bankers’   Acceptances) shall notify the Administrative Agent, not later than 11:00 a.m., 13 Business Days after   receipt of such request whether it consents, in its sole discretion, to the making of Eurocurrency Rate     

 

       34   Loans or the issuance of Letters of Credit or Bankers’ Acceptances, as the case may be, in such   requested currency.   (c) Any failure by a Lender or the applicable Issuing Lender, 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 Lender, as the case may be, to permit Eurocurrency   Rate Loans to be made or Letters of Credit or Bankers’ Acceptances to be issued in such requested   currency.  If the Administrative Agent and all the Lenders consent to making Eurocurrency Rate Loans   in such requested currency, the Administrative Agent shall so notify the Company and such currency   shall thereupon be deemed for all purposes to be an Alternative Currency hereunder for purposes of any   Borrowings of Eurocurrency Rate Loans; and if the Administrative Agent and the applicable Issuing   Lender consent to the issuance of Letters of Credit or Bankers’ Acceptances in such requested currency,   the Administrative Agent shall so notify the Company and such currency shall thereupon be deemed for   all purposes to be an Alternative Currency hereunder for purposes of any Letter of Credit or Bankers’   Acceptance issuances. If the Administrative Agent shall fail to obtain consent to any request for an   additional currency under this Section 1.06, the Administrative Agent shall promptly so notify the   Company.  Any specified currency of an Existing Letter of Credit or Existing Bankers’ Acceptance that   is neither Dollars nor one of the Alternative Currencies specifically listed in the definition of   “Alternative Currency” shall be deemed an Alternative Currency with respect to such Existing Letter of   Credit or Existing Bankers’ Acceptance only.   1.07. Change of Currency.   (a) Each obligation of the Borrowers to make a payment denominated in the national   currency unit of any member state of the European Union that adopts the Euro as its lawful currency   after the Closing Date shall be redenominated into Euro at the time of such adoption (in accordance   with the EMU Legislation).  If, in relation to the currency of any such member state, the basis of accrual   of interest expressed in this Agreement in respect of that currency shall be inconsistent with any   convention or practice in the London interbank market for the basis of accrual of interest in respect of   the Euro, such expressed basis shall be replaced by such convention or practice with effect from the   date on which such member state adopts the Euro as its lawful currency; provided that if any Borrowing   in the currency of such member state is outstanding immediately prior to such date, such replacement   shall take effect, with respect to such Borrowing, at the end of the then current Interest Period.   (b) Each provision of this Agreement shall be subject to such reasonable changes of   construction as the Administrative Agent may from time to time specify to be appropriate to reflect the   adoption of the Euro by any member state of the European Union and any relevant market conventions   or practices relating to the Euro.   (c) Each provision of this Agreement also shall be subject to such reasonable changes of   construction as the Administrative Agent may from time to time specify to be appropriate to reflect a   change in currency of any other country and any relevant market conventions or practices relating to the   change in currency.   1.08. Times of Day.  Unless otherwise specified, all references herein to times of day shall be   references to Eastern time in the United States (daylight or standard, as applicable).   1.09. Letter of Credit or Bankers’ Acceptance Amounts.  Unless otherwise specified herein,   the amount of a Letter of Credit or Bankers’ Acceptance at any time shall be deemed to be the Dollar   Equivalent of the stated amount of such Letter of Credit or Bankers’ Acceptance in effect at such time;   provided, however, that with respect to any Letter of Credit or Bankers’ Acceptance that, by its terms,     

 

       35   provides for one or more automatic increases in the stated amount thereof, the amount of such Letter of   Credit or Bankers’ Acceptance shall be deemed to be the Dollar Equivalent of the maximum stated   amount of such Letter of Credit or Bankers’ Acceptance after giving effect to all such increases, whether   or not such maximum stated amount is in effect at such time.   ARTICLE II.   THE COMMITMENTS AND CREDIT EXTENSIONS   2.01. Delayed Draw Term Loans. Subject to the terms and conditions hereof, each Delayed   Draw Term Lender severally agrees to make a term loan (a “Delayed Draw Term Loan”) in Dollars to the   Company during the Delayed Draw Term Loan Availability Period in a principal amount not to exceed its   Delayed Draw Term Commitment.  The Delayed Draw Term Loans may from time to time be   Eurocurrency Rate Loans or Base Rate Loans, as determined by the Company and notified to the   Administrative Agent in accordance with Sections 2.02 and 2.12.   2.02. Procedure for Delayed Draw Term Loan Borrowing.  The Company shall give the   Administrative Agent irrevocable notice (which notice must be received by the Administrative Agent (i)   in the case of a Base Rate Loan, prior to 10:00 A.M., New York City time, one Business Day prior to the   anticipated Delayed Draw Term Loan Borrowing Date or (ii) in the case of a Eurocurrency Rate Loan,   prior to 12:00 noon, New York City time, three Business Days prior to the anticipated Delayed Draw   Term Loan Borrowing Date) requesting that the Delayed Draw Term Lenders make the Delayed Draw   Term Loans on the Delayed Draw Term Loan Borrowing Date and specifying the amount to be borrowed.    Upon receipt of such notice the Administrative Agent shall promptly notify each Delayed Draw Term   Lender thereof.  Not later than 12:00 Noon, New York City time, on the Delayed Draw Term Loan   Borrowing Date each Delayed Draw Term Lender shall make available to the Administrative Agent at the   Lending Office an amount in immediately available funds equal to the Delayed Draw Term Loan or   Delayed Draw Term Loans to be made by such Lender.  The Administrative Agent shall credit the   account of the Company on the books of such office of the Administrative Agent with the aggregate of   the amounts made available to the Administrative Agent by the Delayed Draw Term Lenders in   immediately available funds.   2.03. Repayment of Delayed Draw Term Loans.  The Delayed Draw Term Loans made by   each Delayed Draw Term Lender on any Delayed Draw Term Loan Borrowing Date shall mature in   consecutive quarterly installments on each March 31, June 30, September 30 and December 31, beginning   on the last day of the first full fiscal quarter of the Company following such Delayed Draw Term Loan   Borrowing Date, each of which shall be in an amount equal to such Delayed Draw Term Loan Lender’s   Delayed Draw Term Percentage of 2.5% of the aggregate amount of Delayed Draw Term Loans made on   such Delayed Draw Term Loan Borrowing Date, with the balance of the Delayed Draw Term Loans   being payable on the Delayed Draw Term Loan Maturity Date.  Upon the making of any Delayed Draw   Term Loans, the Administrative Agent shall prepare an amortization schedule in connection therewith.   2.04. Revolving Commitments.  (a)   Subject to the terms and conditions hereof, each   Revolving Lender severally agrees to make revolving credit loans (“Revolving Loans”) in Dollars or in   any Alternative Currency to the Borrowers or any Designated Borrower, if applicable, from time to time   during the Revolving Commitment Period in an aggregate principal amount not to exceed at any one time   outstanding such Lender’s Revolving Commitment; provided, however, that after giving effect to any   Revolving Loan, (i) Total Revolving Extensions of Credit shall not exceed the Revolving Commitments,   (ii) the Revolving Extensions of Credit of any Lender, plus the Dollar Equivalent of such Lender’s L/C-   B/A Exposure then outstanding, plus such Lender’s Swingline Exposure then outstanding shall not   exceed such Lender’s Revolving Commitment, (iii) Total Revolving Extensions of Credit denominated in   Alternative Currencies shall not exceed the Alternative Currency Sublimit and (iv) Total Revolving     

 

       36   Extensions of Credit to Foreign Borrowers shall not exceed the Foreign Borrower Sublimit. During the   Revolving Commitment Period the Company or any Designated Borrower, if applicable, may use the   Revolving Commitments by borrowing, prepaying the Revolving Loans in whole or in part, and   reborrowing, all in accordance with the terms and conditions hereof.  The Revolving Loans may from   time to time be Eurocurrency Rate Loans, CDOR Rate Loans, HIBOR Rate Loans, Mexican Peso Rate   Loans or Base Rate Loans, as determined by the Company or any Designated Borrower and notified to   the Administrative Agent in accordance with Sections 2.05 and 2.12.   (b) Each Borrower or any Designated Borrower, if applicable, shall repay all the   outstanding Revolving Loans extended to it on the Revolving Termination Date.   2.05. Procedure for Revolving Loan Borrowing.  Each Borrower may borrow under the   Revolving Commitments during the Revolving Commitment Period on any Business Day, provided that   the applicable Borrower shall give the Administrative Agent irrevocable notice prior to (a) 12:00 noon,   New York City time, three Business Days prior to the requested Borrowing Date, if all or any part of the   requested Revolving Loans are to be Eurocurrency Rate Loans denominated in Dollars, (b) 11:00 A.M.,   Local Time, four Business Days prior to the requested Borrowing Date, if all or any part of the requested   Revolving Loans are to be Eurocurrency Rate Loans denominated in Alternative Currencies (other than   Special Notice Currencies), (c) 11:00 A.M., Local Time, five Business Days prior to the requested   Borrowing Date, if all or any part of the requested Revolving Loans are to be Eurocurrency Rate Loans   denominated in Special Notice Currency or (d) 12:00 noon, New York City time, on the requested   Borrowing Date, with respect to Base Rate Loans (provided that any such notice of a borrowing of Base   Rate Loans under the Revolving Facility to finance payments required by Section 3.05 may be given not   later than 10:00 A.M., New York City time, on the date of the proposed borrowing), specifying (i) the   amount and Type of Revolving Loans to be borrowed, (ii) the requested Borrowing Date, (iii) in the case   of Eurocurrency Rate Loans, CDOR Rate Loans, HIBOR Rate Loans or Mexican Peso Rate Loans, the   respective amounts of each such Type of Loan and the respective lengths of the initial Interest Period   therefor, (iv) the currency of the Revolving Loans to be borrowed, and (v) if applicable, the Designated   Borrower.  If the Company fails to specify a currency in such notice, then the Revolving Loans so   requested shall be denominated in Dollars. Any Revolving Loans made on the Closing Date shall initially   be Base Rate Loans.  Each borrowing under the Revolving Commitments shall be in an amount equal to   (x) in the case of Base Rate Loans, $500,000 or a whole multiple of $100,000 in excess thereof (or, if the   then aggregate Available Revolving Commitments are less than $500,000, such lesser amount) and (y) in   the case of Eurocurrency Rate Loans, CDOR Rate Loans, HIBOR Rate Loans and Mexican Peso Rate   Loans, $2,000,000 or a whole multiple of $500,000 in excess thereof (or the Dollar Equivalent thereof   with respect to Loans in any Alternative Currency); provided, that the Swingline Lender may request, on   behalf of the Borrower, borrowings under the Revolving Commitments that are Base Rate Loans in other   amounts pursuant to Section 2.07.  Upon receipt of any such notice from the applicable Borrower, the   Administrative Agent shall promptly notify each Revolving Lender thereof.  Each Revolving Lender will   make the amount of its pro rata share of each borrowing available to the Administrative Agent for the   account of such Borrower at the Funding Office or any Applicable Payment Office (in the case of a Loan   denominated in an Alternative Currency) prior to (i) 11:00 A.M., New York City time in the case of   Eurocurrency Rate Loans denominated in Dollars, (ii) 12:00 noon, Local Time in the case of each   Eurocurrency Rate Loan denominated in an Alternative Currency (other than Swiss Francs) and 8:00   A.M., Local Time in the case of each Eurocurrency Rate Loan denominated in Swiss Francs and (iii) 2:00   P.M., New York City time in the case of Base Rate Loans, on the Borrowing Date requested by such   Borrower in funds immediately available to the Administrative Agent.  Such borrowing will then be made   available to the applicable Borrower by the Administrative Agent crediting the account of the applicable   Borrower on the books of such office with the aggregate of the amounts made available to the   Administrative Agent by the Revolving Lenders and in like funds as received by the Administrative   Agent.     

 

       37   2.06. Swingline Commitment.  (a)  Subject to the terms and conditions hereof, from time to   time during the Revolving Commitment Period, the Swingline Lender may at its sole discretion make a   portion of the credit otherwise available to the  Borrowers under the Revolving Commitments by making   swing line loans (“Swingline Loans”) to the Company provided that (i) the sum of (x) the Swingline   Exposure of the Swingline Lender (in its capacity as Swingline Lender and a Revolving Lender), (y) the   Dollar Equivalent of the aggregate principal amount of outstanding Revolving Loans made by the   Swingline Lender (in its capacity as a Revolving Lender) and (z) the Dollar Equivalent of the L/C-B/A   Exposure of the Swingline Lender (in its capacity as a Revolving Lender) shall not exceed its Revolving   Commitment then in effect, (ii) the sum of the outstanding Swingline Loans shall not exceed the   Swingline Commitment, (iii) the applicable Borrower shall not request, and the Swingline Lender shall   not make, any Swingline Loan if, after giving effect to the making of such Swingline Loan, the aggregate   amount of the Available Revolving Commitments would be less than zero, and (iv) Total Revolving   Extensions of Credit to Foreign Borrowers shall not exceed the Foreign Borrower Sublimit. During the   Revolving Commitment Period, the Company may use the Swingline Commitment by borrowing,   repaying and reborrowing, all in accordance with the terms and conditions hereof.  Swingline Loans shall   be Base Rate Loans only denominated in Dollars.   (b) The Company shall repay to the Swingline Lender the then unpaid principal amount of   each Swingline Loan on the earlier of the Revolving Termination Date and five Business Days after   such Swingline Loan is made; provided that on each date that a Revolving Loan is borrowed, the   Company shall repay all Swingline Loans then outstanding and the proceeds of any such Revolving   Loans shall be applied by the Administrative Agent to repay any Swingline Loans outstanding.   2.07. Procedure for Swingline Borrowing; Refunding of Swingline Loans.  (a)  Whenever   the Company desires that the Swingline Lender make Swingline Loans it shall give the Swingline Lender   irrevocable telephonic notice confirmed promptly in writing (which telephonic notice must be received by   the Swingline Lender not later than 1:00 P.M., New York City time, on the proposed Borrowing Date),   specifying (i) the amount to be borrowed and (ii) the requested Borrowing Date (which shall be a   Business Day during the Revolving Commitment Period).  Each borrowing under the Swingline   Commitment shall be in an amount equal to $100,000 or a whole multiple of $100,000 in excess thereof.    Not later than 3:00 P.M., New York City time, on the Borrowing Date specified in a notice in respect of   Swingline Loans, the Swingline Lender shall make available to the Administrative Agent at the Funding   Office an amount in immediately available funds equal to the amount of the Swingline Loan to be made   by the Swingline Lender.  The Administrative Agent shall make the proceeds of such Swingline Loans   available to the Company on such Borrowing Date by depositing such proceeds in the account of the   Company with the Administrative Agent on such Borrowing Date in immediately available funds.   (b) The Swingline Lender, at any time and from time to time in its sole and absolute   discretion may, on behalf of the Company (which hereby irrevocably directs the Swingline Lender to   act on its behalf), on one Business Day’s notice given by the Swingline Lender no later than 12:00   Noon, New York City time, request each Revolving Lender to make, and each Revolving Lender   hereby agrees to make, a Revolving Loan, in an amount equal to such Revolving Lender’s Revolving   Percentage of the aggregate amount of the Swingline Loans (the “Refunded Swingline Loans”)   outstanding on the date of such notice, to repay the Swingline Lender.  Each Revolving Lender shall   make the amount of such Revolving Loan available to the Administrative Agent at the Funding Office   in immediately available funds, not later than 10:00 A.M., New York City time, one Business Day after   the date of such notice.  The proceeds of such Revolving Loans shall be immediately made available by   the Administrative Agent to the Swingline Lender for application by the Swingline Lender to the   repayment of the Refunded Swingline Loans.  The Company irrevocably authorizes the Swingline   Lender to charge the Company’s accounts with the Administrative Agent (up to the amount available in   each such account) in order to immediately pay the amount of such Refunded Swingline Loans to the     

 

       38   extent amounts received from the Revolving Lenders are not sufficient to repay in full such Refunded   Swingline Loans.   (c) If prior to the time a Revolving Loan would have otherwise been made pursuant to   Section 2.07(c), one of the events described in Section 8.01(f) shall have occurred and be continuing   with respect to the Company or if for any other reason, as determined by the Swingline Lender in its   sole discretion, Revolving Loans may not be made as contemplated by Section 2.07(c), each Revolving   Lender shall, on the date such Revolving Loan was to have been made pursuant to the notice referred to   in Section 2.07(b), purchase for cash an undivided participating interest in the then outstanding   Swingline Loans by paying to the Swingline Lender an amount (the “Swingline Participation Amount”)   equal to (i) such Revolving Lender’s Revolving Percentage times (ii) the sum of the aggregate principal   amount of Swingline Loans of the Swingline Lender then outstanding that were to have been repaid   with such Revolving Loans.   (d) Whenever, at any time after the Swingline Lender has received from any Revolving   Lender such Lender’s Swingline Participation Amount, the Swingline Lender receives any payment on   account of the Swingline Loans, the Swingline Lender will distribute to such Lender its ratable portion   of such payment (appropriately adjusted, in the case of interest payments, to reflect the period of time   during which such Lender’s participating interest was outstanding and funded and, in the case of   principal and interest payments, to reflect such Lender’s pro rata portion of such payment if such   payment is not sufficient to pay the principal of and interest on all Swingline Loans then due); provided,   however, that in the event that such payment received by the Swingline Lender is required to be   returned, such Revolving Lender will return to the Swingline Lender any portion thereof previously   distributed to it by the Swingline Lender.   (e) Each Revolving Lender’s obligation to make the Loans referred to in Section 2.07(b)   and to purchase participating interests pursuant to Section 2.07(c) shall be absolute and unconditional   and shall not be affected by any circumstance, including (i) any setoff, counterclaim, recoupment,   defense or other right that such Revolving Lender or the Company may have against the Swingline   Lender, the Company or any other Person for any reason whatsoever, (ii) the occurrence or continuance   of a Default or an Event of Default or the failure to satisfy any of the other conditions specified in   Article IV, (iii) any adverse change in the condition (financial or otherwise) of the Company, (iv) any   breach of this Agreement or any other Loan Document by the Company, any other Loan Party or any   other Revolving Lender or (v) any other circumstance, happening or event whatsoever, whether or not   similar to any of the foregoing.   2.08. Commitment Fees, etc.  (a)  The Company agrees to pay to the Administrative Agent for   the account of each Revolving Lender a commitment fee for the period from and including the date hereof   to the last day of the Revolving Commitment Period, computed at the Commitment Fee Rate on the   average daily amount of the Available Revolving Commitment of such Lender during the period for   which payment is made, payable quarterly in arrears on each Fee Payment Date in Dollars, commencing   on the first such date to occur after the date hereof.   (b) The Company agrees to pay to the Administrative Agent for the account of each   Delayed Draw Term Lender a ticking fee for the period from and including the date that is 30 days after   the Closing Date to the last day of the Delayed Draw Term Loan Availability Period, computed at the   Commitment Fee Rate on the amount of the Delayed Draw Term Commitment of such Lender during   the period for which payment is made, payable quarterly in arrears on each Fee Payment Date,   commencing on the first such date to occur after the date hereof. It is understood agreed that in the   event of any reduction in the Delayed Draw Term Commitment as set forth in Section 2.11, the ticking   fee shall be paid on the amount of the Delayed Draw Term Commitment as so reduced.       

 

       39   (c) The Company agrees to pay to the Administrative Agent and the Joint Lead Arrangers   the fees in the amounts and on the dates as set forth in any fee agreements with the Administrative   Agent and the Joint Lead Arrangers and to perform any other obligations contained therein.   2.09. Termination or Reduction of Revolving Commitments.  The Company shall have the   right, upon not less than three Business Days’ notice to the Administrative Agent, to terminate the   Revolving Commitments or, from time to time, to reduce the amount of the Revolving Commitments;   provided that no such termination or reduction of Revolving Commitments shall be permitted if, after   giving effect thereto and to any prepayments of the Revolving Loans and Swingline Loans made on the   effective date thereof, the Total Revolving Extensions of Credit would exceed the Total Revolving   Commitments.  Any such reduction shall be in an amount equal to $1,000,000, or a whole multiple   thereof, and shall reduce permanently the Revolving Commitments then in effect.    2.10. Optional Prepayments.  The Borrower may at any time and from time to time prepay   the Loans, in whole or in part, without premium or penalty, upon irrevocable notice delivered to the   Administrative Agent no later than 11:00 A.M., New York City time, three Business Days prior thereto,   in the case of Eurocurrency Rate Loans, and no later than 11:00 A.M., New York City time, one Business   Day prior thereto, in the case of Base Rate Loans, which notice shall specify the date and amount of   prepayment and whether the prepayment is of Eurocurrency Rate Loans or Base Rate Loans; provided,   that if a Eurocurrency Rate Loan, CDOR Rate Loan, HIBOR Rate Loan or Mexican Peso Rate Loan is   prepaid on any day other than the last day of the Interest Period applicable thereto, the Borrower shall   also pay any amounts owing pursuant to Section 2.20.  Upon receipt of any such notice the   Administrative Agent shall promptly notify each relevant Lender thereof.  If any such notice is given, the   amount specified in such notice shall be due and payable on the date specified therein, together with   (except in the case of Revolving Loans that are Base Rate Loans and Swingline Loans) accrued interest to   such date on the amount prepaid.  Partial prepayments of Delayed Draw Term Loans and Revolving   Loans shall be in an aggregate principal amount of $1,000,000 or a whole multiple thereof.  Partial   prepayments of Swingline Loans shall be in an aggregate principal amount of $100,000 or a whole   multiple thereof.   2.11. Mandatory Prepayments and Commitment Reductions.  (a)  If any Indebtedness shall   be incurred by the Company or any Subsidiary (excluding any Indebtedness incurred in accordance with   Section 7.03), an amount equal to 100% of the Net Cash Proceeds thereof shall be applied on the date of   such incurrence toward the prepayment of the Delayed Draw Term Loans (or, if prior to the Delayed   Draw Term Loan Borrowing Date, toward the reduction of the Delayed Draw Term Commitment).   (b) If on any date the Company or any Subsidiary shall receive Net Cash Proceeds from   any Disposition or Recovery Event then, unless a Reinvestment Notice shall be delivered in respect   thereof, such Net Cash Proceeds shall be applied on such date toward the prepayment of the Delayed   Draw Term Loans; provided, that, notwithstanding the foregoing, (i) the aggregate Net Cash Proceeds   of Dispositions that may be excluded from the foregoing requirement pursuant to a Reinvestment   Notice shall not exceed $5,000,000 in any fiscal year of the Company and (ii) on each Reinvestment   Prepayment Date, an amount equal to the Reinvestment Prepayment Amount with respect to the   relevant Reinvestment Event shall be applied toward the prepayment of the Delayed Draw Term Loans.   (c) The application of any prepayment pursuant to Section 2.11 shall be made, first, to   Base Rate Loans and, second, to Eurocurrency Rate Loans.  Each prepayment of the Loans under   Section 2.11  shall be accompanied by accrued interest to the date of such prepayment on the amount   prepaid.    2.12. Continuation Options.       

 

       40   (a) The Borrower may elect from time to time to convert Eurocurrency Rate Loans   denominated in Dollars to Base Rate Loans by giving the Administrative Agent prior irrevocable notice   of such election no later than 11:00 A.M., New York City time, on the Business Day preceding the   proposed conversion date.  The Borrower may elect from time to time to convert Base Rate Loans to   Eurocurrency Rate Loans denominated in Dollars by giving the Administrative Agent prior irrevocable   notice of such election no later than 11:00 A.M., New York City time, on the third Business Day   preceding the proposed conversion date, provided that no Base Rate Loan under a particular Facility   may be converted into a Eurocurrency Rate Loan denominated in Dollars when any Event of Default   has occurred and is continuing and the Administrative Agent or the Majority Facility Lenders in respect   of such Facility have determined in its or their sole discretion not to permit such conversions.  Upon   receipt of any such notice the Administrative Agent shall promptly notify each relevant Lender thereof.   (b) Any Eurocurrency Rate Loan, CDOR Rate Loan, HIBOR Rate Loan or Mexican Peso   Rate Loan may be continued as such upon the expiration of the then current Interest Period with respect   thereto by the Borrower giving irrevocable notice to the Administrative Agent, in accordance with the   applicable provisions of the term “Interest Period” set forth in Section 1.01, of the length of the next   Interest Period to be applicable to such Loans, provided that no Eurocurrency Rate Loan, CDOR Rate   Loan, HIBOR Rate Loan or Mexican Peso Rate Loan under a particular Facility may be continued as   such (i) when any Event of Default has occurred and is continuing and the Administrative Agent has or   the Majority Facility Lenders in respect of such Facility have determined in its or their sole discretion   not to permit such continuations or (ii) if an Event of Default specified in Section 8.01(f) with respect to   any Loan Party is in existence, and provided, further, that if the Company shall fail to give any required   notice as described above in this paragraph or if such continuation is not permitted pursuant to the   preceding proviso such Loans shall be automatically converted to Base Rate Loans on the last day of   such then expiring Interest Period.  Upon receipt of any such notice the Administrative Agent shall   promptly notify each relevant Lender thereof.   2.13. Limitations on Eurocurrency Tranches.  Notwithstanding anything to the contrary in   this Agreement, all borrowings and continuations of Eurocurrency Rate Loans and all selections of   Interest Periods shall be in such amounts and be made pursuant to such elections so that, (a) after giving   effect thereto, the aggregate principal amount of the Eurocurrency Rate Loans comprising each   Eurocurrency Tranche shall be equal to $2,000,000 or a whole multiple of $500,000 in excess thereof (or   the Dollar Equivalent thereof with respect to Loans in any Alternative Currency) and (b) no more than   twelve Eurocurrency Tranches shall be outstanding at any one time.   2.14. Interest Rates and Payment Dates.     (a) Each Eurocurrency Rate Loan, CDOR Rate Loan, HIBOR Rate Loan and Mexican   Peso Rate Loan shall bear interest for each day during each Interest Period with respect thereto at a rate   per annum equal to the Eurocurrency Rate, CDOR Rate,  HIBOR Rate or Mexican Peso Rate Loan   determined for such day plus the Applicable Rate.   (b) Each Base Rate Loan shall bear interest at a rate per annum equal to the Base Rate plus   the Applicable Rate.   (c) (i) If all or a portion of the principal amount of any Loan or Reimbursement Obligation   shall not be paid when due (whether at the stated maturity, by acceleration or otherwise), such overdue   amount shall bear interest at a rate per annum equal to (x) in the case of the Loans, the rate that would   otherwise be applicable thereto pursuant to the foregoing provisions of this Section plus 2% or (y) in   the case of Reimbursement Obligations, the rate applicable to Base Rate Loans under the Revolving   Facility plus 2%, and (ii) if all or a portion of any interest payable on any Loan or Reimbursement     

 

       41   Obligation or any commitment fee or other amount payable hereunder shall not be paid when due   (whether at the stated maturity, by acceleration or otherwise), such overdue amount shall bear interest at   a rate per annum equal to the rate then applicable to Base Rate Loans under the relevant Facility plus   2% (or, in the case of any such other amounts that do not relate to a particular Facility, the rate then   applicable to Base Rate Loans under the Revolving Facility plus 2%), in each case, with respect to   clauses (i) and (ii) above, from the date of such non-payment until such amount is paid in full (as well   after as before judgment).   (d) Interest shall be payable in arrears on each Interest Payment Date, provided that interest   accruing pursuant to paragraph (c) of this Section shall be payable from time to time on demand.   2.15. Computation of Interest and Fees.   (a) (i) Whenever interest and fees are calculated on the basis of the Prime Rate, interest   shall be calculated on the basis of a 365 (or 366, as the case may be) day year for the actual days   elapsed, (ii) whenever Eurocurrency Rate Loans are denominated in Sterling, interest and fees with   respect to such Eurocurrency Rate Loans shall be calculated on the basis of a 365-day year for the   actual days elapsed and (iii) whenever CDOR Rate Loans are denominated in Canadian Dollars or   HIBOR Rate Loans are denominated in Hong Kong Dollars, interest and fees with respect to such   Loans shall be calculated on the basis of a 365-day year  for the actual days elapsed; and, otherwise,   interest and fees shall be calculated on the basis of a 360-day year for the actual days elapsed   (including, with respect to Eurocurrency Rate Loans denominated in Dollars, Euros, Swiss Francs, and   Yen and Mexican Peso Rate Loans denominated in Mexican Pesos).  The Administrative Agent shall as   soon as practicable notify the applicable Borrower and the relevant Lenders of each determination of a   Eurocurrency Base Rate.  Any change in the interest rate on a Loan resulting from a change in the Base   Rate or the Eurocurrency Reserve Requirements shall become effective as of the opening of business on   the day on which such change becomes effective.  The Administrative Agent shall as soon as   practicable notify the applicable Borrower and the relevant Lenders of the effective date and the amount   of each such change in interest rate.   (b) Each determination of an interest rate by the Administrative Agent pursuant to any   provision of this Agreement shall be conclusive and binding on the applicable Borrower and the   Lenders in the absence of manifest error.  The Administrative Agent shall, at the request of the   applicable Borrower, deliver to the applicable Borrower a statement showing the quotations used by the   Administrative Agent in determining any interest rate pursuant to Section 2.14(a).   2.16. Inability to Determine Interest Rate.  If prior to the first day of any Interest Period:   (a) (i) the Administrative Agent shall have determined (which determination shall be   conclusive and binding absent manifest error) that adequate and reasonable means (including, without   limitation, by means of an Interpolated Rate) do not exist for ascertaining the Eurocurrency Base Rate   or the Eurocurrency Rate, as applicable, for such Interest Period, or (ii) the Administrative Agent shall   have received notice from the Majority Facility Lenders in respect of the relevant Facility that the   Eurocurrency Base Rate or the Eurocurrency Rate, as applicable, determined or to be determined for   such Interest Period will not adequately and fairly reflect the cost to such Lenders (as conclusively   certified by such Lenders) of making or maintaining their affected Loans during such Interest Period,   the Administrative Agent shall give telecopy or telephonic notice thereof to the applicable Borrower   and the relevant Lenders as soon as practicable thereafter.  If such notice is given (w) any Eurocurrency   Rate Loans (excluding Eurocurrency Rate Loans denominated in Alternative Currencies) under the   relevant Facility requested to be made on the first day of such Interest Period shall be made as Base   Rate Loans, (x) any Loans under the relevant Facility that were to have been converted on the first day     

 

       42   of such Interest Period to Eurocurrency Rate Loans shall be continued as Base Rate Loans, (y) any   outstanding Eurocurrency Rate Loans under the relevant Facility shall be converted, on the last day of   the then-current Interest Period, to Base Rate Loans and (z) any Eurocurrency Rate Loan denominated   in an Alternative Currency to which such Interest Period relates shall be repaid on the first day of such   Interest Period.  Until such notice has been withdrawn by the Administrative Agent, no further   Eurocurrency Rate Loans under the relevant Facility shall be made or continued as such, nor shall the   Borrower have the right to convert Loans under the relevant Facility to Eurocurrency Rate Loans.   (b) If at the time that the Administrative Agent shall seek to determine the Reference Bank   Rate less than two Reference Banks shall supply a rate to the Administrative Agent for purposes of   determining the Eurocurrency  Base Rate for such Eurocurrency Rate Loan, (i) if such Borrowing shall   be requested in Dollars, then such Borrowing shall be made as Base Rate Loans and (ii) if such   Borrowing shall be requested in any currency other than Dollars, the Eurocurrency  Base Rate shall be   equal to the cost to each Lender to fund its pro rata share of such Eurocurrency Rate Loan (from   whatever source and using whatever methodologies as such Lender may select in its reasonable   discretion (such rate, the “COF Rate”)).   2.17. Pro Rata Treatment and Payments.   (a) Each borrowing by any Borrower from the Lenders hereunder, each payment by such   Borrower on account of any commitment fee and any reduction of the Commitments of the Lenders   shall be made pro rata according to the respective Delayed Draw Term Percentages or Revolving   Percentages, as the case may be, of the relevant Lenders.   (b) Each payment (including each prepayment) by the Company on account of principal of   and interest on the Delayed Draw Term Loans shall be made pro rata according to the respective   outstanding principal amounts of the Delayed Draw Term Loans then held by the Delayed Draw Term   Lenders.  The amount of each mandatory principal prepayment of the Delayed Draw Term Loans shall   be applied, first, to reduce the then remaining installments of the Delayed Draw Term Loans and   Incremental Term Loans, as the case may be, occurring within the next 12 months, in direct order of   maturity, and second, to reduce the remaining respective installments thereof, in each case pro rata   based upon the respective then remaining principal amounts thereof. Amounts prepaid on account of the   Delayed Draw Term Loans may not be reborrowed.   (c) Each payment (including each prepayment) by the applicable Borrower on account of   principal of and interest on the Revolving Loans shall be made pro rata according to the respective   outstanding principal amounts of the Revolving Loans then held by the Revolving Lenders.   (d) All payments (including prepayments) to be made by a Borrower hereunder in respect   of amounts denominated in Dollars, whether on account of principal, interest, fees or otherwise, shall be   made without setoff or counterclaim and shall be made prior to 12:00 Noon, New York City time, on   the due date thereof to the Administrative Agent, for the account of the Lenders, at the Funding Office,   in Dollars and in immediately available funds.  All payments (including prepayments to be made by a   Borrower hereunder with respect to principal and interest on Revolving Loans denominated in   Alternative Currencies shall be made without set off or counterclaim and shall be made prior to 12:00   noon, Local Time (or, with respect to any Revolving Loan denominated in Swiss Francs, 8:00 A.M.,   Local Time), on the due date thereof to the Administrative agent, for the account of the Lenders, in the   city of the Administrative Agent’s Applicable Payment Office for the applicable currency, in the   Alternative Currency with respect to which such Revolving Loan is denominated and in immediately   available funds. The Administrative Agent shall distribute such payments to each relevant Lender   promptly upon receipt in like funds as received, net of any amounts owing by such Lender pursuant to     

 

       43   Section 9.07.  If any payment hereunder (other than payments on the Eurocurrency Rate Loans)   becomes due and payable on a day other than a Business Day, such payment shall be extended to the   next succeeding Business Day.  If any payment on a Eurocurrency Rate Loan becomes due and payable   on a day other than a Business Day, the maturity thereof shall be extended to the next succeeding   Business Day unless the result of such extension would be to extend such payment into another   calendar month, in which event such payment shall be made on the immediately preceding Business   Day.  In the case of any extension of any payment of principal pursuant to the preceding two sentences,   interest thereon shall be payable at the then applicable rate during such extension.   (e) Unless the Administrative Agent shall have been notified in writing by any Lender   prior to a borrowing that such Lender will not make the amount that would constitute its share of such   borrowing available to the Administrative Agent, the Administrative Agent may assume that such   Lender is making such amount available to the Administrative Agent, and the Administrative Agent   may, in reliance upon such assumption, make available to the applicable Borrower a corresponding   amount.  If such amount is not made available to the Administrative Agent by the required time on the   Borrowing Date therefor, such Lender shall pay to the Administrative Agent, on demand, such amount   with interest thereon, at a rate equal to (i) the greater of (A) the Federal Funds Effective Rate and (B) a   rate determined by the Administrative Agent in accordance with banking industry rules on interbank   compensation (in the case of a Eurocurrency Rate Loan denominated in Dollars) and (ii) the greater of   (A) the daily average of the greater of (1) the Federal Funds Effective Rate and (2) a rate determined by   the Administrative Agent in accordance with banking industry rates on interbank compensation or (B)   the Administrative Agent’s reasonable estimate of its average daily cost of funds (in the case of a   borrowing of a Eurocurrency Rate Loan denominated in an Alternative Currency), in each case for the   period until such Lender makes such amount immediately available to the Administrative Agent.  A   certificate of the Administrative Agent submitted to any Lender with respect to any amounts owing   under this paragraph shall be conclusive in the absence of manifest error.  If such Lender’s share of   such borrowing is not made available to the Administrative Agent by such Lender within three Business   Days after such Borrowing Date, the Administrative Agent shall also be entitled to recover such amount   with interest thereon equal to (x) the rate per annum applicable to Base Rate Loans hereunder (in the   case of a Eurocurrency Rate Loan denominated in Dollars) and (y) the greater of (1) the rate per annum   applicable to Base Rate Loans hereunder or (2) the Administrative Agent’s reasonable estimate of its   average daily cost of funds plus the Applicable Rate applicable to Eurocurrency Rate Loans   denominated in an Alternative Currency (in the case of a borrowing of a Eurocurrency Rate Loan   denominated in an Alternative Currency), on demand, from the applicable borrower (without prejudice   to any rights such Borrower may have against any such Lender).    (f) Unless the Administrative Agent shall have been notified in writing by the applicable   Borrower prior to the date of any payment due to be made by the applicable Borrower hereunder that   such Borrower will not make such payment to the Administrative Agent, the Administrative Agent may   assume that such Borrower is making such payment, and the Administrative Agent may, but shall not   be required to, in reliance upon such assumption, make available to the Lenders their respective pro rata   shares of a corresponding amount.  If such payment is not made to the Administrative Agent by the   applicable Borrower within three Business Days after such due date, the Administrative Agent shall be   entitled to recover, on demand, from each Lender to which any amount which was made available   pursuant to the preceding sentence, such amount with interest thereon at the rate per annum equal to the   daily average Federal Funds Effective Rate.  Nothing herein shall be deemed to limit the rights of the   Administrative Agent or any Lender against the applicable Borrower.   (g) If any Lender shall fail to make any payment required to be made by it pursuant to   Section 2.07(c), 2.07(d), 2.17(e), 2.17(f), 2.19(e), 3.04(a) or 9.07, then the Administrative Agent may,   in its discretion and notwithstanding any contrary provision hereof, (i) apply any amounts thereafter     

 

       44   received by the Administrative Agent for the account of such Lender for the benefit of the   Administrative Agent, the Swingline Lender or any Issuing Lender to satisfy such Lender’s obligations   to it under such Sections until all such unsatisfied obligations are fully paid, and/or (ii) hold any such   amounts in a segregated account as cash collateral for, and application to, any future funding   obligations of such Lender under any such Section, in the case of each of clauses (i) and (ii) above, in   any order as determined by the Administrative Agent in its discretion.   2.18. Requirements of Law.     (a) If the adoption of or any change in any Law or in the interpretation or application   thereof or compliance by any Lender or other Credit Party with any request or directive (whether or not   having the force of law) from any central bank or other Governmental Authority made subsequent to   the date hereof:   (i) shall subject any Credit Party to any Taxes (other than (A) Indemnified Taxes   and (B) Taxes described in clauses (b) through (d) of the definition of Excluded Taxes and (C)   Connection Income Taxes) on its loans, loan principal, letters of credit, commitments, or other   obligations, or its deposits, reserves, other liabilities or capital attributable thereto;   (ii) shall impose, modify or hold applicable any reserve, special deposit, compulsory   loan, insurance charge or similar requirement against assets held by, deposits or other liabilities in   or for the account of, advances, loans or other extensions of credit (or participations therein) by,   or any other acquisition of funds by, any office of such Lender that is not otherwise included in   the determination of the Eurocurrency Rate; or   (iii) shall impose on such Lender any other condition (other than Taxes);   and the result of any of the foregoing is to increase the cost to such Lender or such other Credit Party, by   an amount that such Lender or other Credit Party deems to be material, of making, converting into,   continuing or maintaining Loans or issuing or participating in Letters of Credit, or to reduce any amount   receivable hereunder in respect thereof, then, in any such case, the Company shall promptly pay such   Lender or such other Credit Party, upon its demand, any additional amounts necessary to compensate   such Lender or such other Credit Party for such increased cost or reduced amount receivable.  If any   Lender or such other Credit Party becomes entitled to claim any additional amounts pursuant to this   paragraph, it shall promptly notify the Company (with a copy to the Administrative Agent) of the event   by reason of which it has become so entitled.   (b) If any Lender shall have determined that the adoption of or any change in any Law   regarding capital or liquidity requirements or in the interpretation or application thereof or compliance   by such Lender or any corporation controlling such Lender with any request or directive regarding   capital or liquidity requirements (whether or not having the force of law) from any Governmental   Authority made subsequent to the date hereof shall have the effect of reducing the rate of return on such   Lender’s or such corporation’s capital as a consequence of its obligations hereunder or under or in   respect of any Letter of Credit to a level below that which such Lender or such corporation could have   achieved but for such adoption, change or compliance (taking into consideration such Lender’s or such   corporation’s policies with respect to capital adequacy or liquidity) by an amount deemed by such   Lender to be material, then from time to time, after submission by such Lender to the Company (with a   copy to the Administrative Agent) of a written request therefor, the Company shall pay to such Lender   such additional amount or amounts as will compensate such Lender or such corporation for such   reduction.      

 

       45   (c) Notwithstanding anything herein to the contrary, (i) all requests, rules, guidelines,   requirements and directives promulgated by the Bank for International Settlements, the Basel   Committee on Banking Supervision (or any successor or similar authority) or by United States or   foreign regulatory authorities, in each case pursuant to Basel III, and (ii) the Dodd-Frank Wall Street   Reform and Consumer Protection Act and all requests, rules, guidelines, requirements and directives   thereunder or issued in connection therewith or in implementation thereof, shall in each case be deemed   to be a change in law, regardless of the date enacted, adopted, issued or implemented.   (d) A certificate as to any additional amounts payable pursuant to this Section submitted by   any Lender to the Company (with a copy to the Administrative Agent) shall be conclusive in the   absence of manifest error.  Notwithstanding anything to the contrary in this Section, the Company shall   not be required to compensate a Lender pursuant to this Section for any amounts incurred more than   nine months prior to the date that such Lender notifies the Company of such Lenders to any additional   amounts payable pursuant provided that, if the circumstances giving rise to such claim have a   retroactive effect, then such nine-month period shall be extended to include the period of such   retroactive effect.  The obligations of the Company pursuant to this Section shall survive the   termination of this Agreement and the payment of the Loans and all other amounts payable hereunder.   (e) Notwithstanding any other provision of this Agreement, if, after the date hereof,   (i)(A) the adoption of any law, rule or regulation after the date of this Agreement, (B) any change in   any law, rule or regulation or in the interpretation or application thereof by any Governmental Authority   after the date of this Agreement or (C) compliance by any Lender with any request, guideline or   directive (whether or not having the force of law) of any Governmental Authority made or issued after   the date of this Agreement, shall make it unlawful for any such Lender to make or maintain any Loan   denominated in an Alternative Currency or to give effect to its obligations as contemplated hereby with   respect to any Loan denominated in an Alternative Currency, or (ii) there shall have occurred any   change in national or international financial, political or economic conditions (including the imposition   of or any change in exchange controls, but excluding conditions otherwise covered by this Section 2.18)   or currency exchange rates which would make it impracticable for the Lenders to make or maintain   Loans denominated in an Alternative Currency denominated in the relevant currency to, or for the   account of, any Borrower, then, by written notice to the Company and to the Administrative Agent:   (i) such Lender or Lenders may declare that Loans denominated in an Alternative   Currencies  (in the affected currency or currencies) will not thereafter (for the duration of such   unlawfulness) be made by such Lender or Lenders hereunder (or be continued for additional   Interest Periods), whereupon any request for a Loan denominated in an Alternative Currency (in   the affected currency or currencies) or to continue a Loan denominated in an Alternative   Currency (in the affected currency or currencies), as the case may be, for an additional Interest   Period) shall, as to such Lender or Lenders only, be of no force and effect, unless such declaration   shall be subsequently withdrawn; and   (ii) such Lender may require that all outstanding Loans denominated in an   Alternative Currency, made by it be converted to Base Rate Loans or Loans denominated in   Dollars, as the case may be (unless repaid by the relevant Borrower as described below), in which   event all such Loans denominated in an Alternative Currencies (in the affected currency or   currencies), shall be converted to Base Rate Loans or Loans denominated in Dollars, as the case   may be, as of the effective date of such notice as provided in Section 2.18(f) and at the Spot Rate   on the date of such conversion or, at the option of the relevant Borrower, repaid on the last day of   the then current Interest Period with respect thereto or, if earlier, the date on which the applicable   notice becomes effective.     

 

       46   (f) In the event any Lender shall exercise its rights under (i) or (ii) above, all payments and   prepayments of principal that would otherwise have been applied to repay the converted Loans   denominated in an Alternative Currencies of such Lender shall instead be applied to repay the Base   Rate Loans or Loans denominated in Dollars, as the case may be, made by such Lender resulting from   such conversion. For purposes of Section 2.18(e), a notice to the Company by any Lender shall be   effective as to each Loan denominated in an Alternative Currency made by such Lender, if lawful, on   the last day of the Interest Period, if any, currently applicable to such Loan denominated in an   Alternative Currency; in all other cases such notice shall be effective on the date of receipt thereof by   the Company.   2.19. Taxes.  (a)  Any and all payments by or on account of any obligation of any Loan Party   under any Loan Document shall be made without deduction or withholding for any Taxes, except as   required by applicable law.  If any applicable law (as determined in the good faith discretion of an   applicable withholding agent) requires the deduction or withholding of any Tax from any such payment   by a withholding agent, then the applicable withholding agent shall be entitled to make such deduction or   withholding and shall timely pay the full amount deducted or withheld to the relevant Governmental   Authority in accordance with applicable law and, if such Tax is an Indemnified Tax, then the sum payable   by the applicable Loan Party shall be increased as necessary so that, after such deduction or withholding   has been made (including such deductions and withholdings applicable to additional sums payable under   this Section 2.19), the amounts received by the applicable Credit Party with respect to this Agreement   equal the sum which would have been received had no such deduction or withholding been made.   (b) The Loan Parties shall timely pay to the relevant Governmental Authority in   accordance with applicable law, or at the option of the Administrative Agent timely reimburse it for,   Other Taxes.   (c) As soon as practicable after any payment of Taxes by any Loan Party to a   Governmental Authority pursuant to this Section 2.19, such Loan Party shall deliver to the   Administrative Agent the original or a certified copy of a receipt issued by such Governmental   Authority evidencing such payment, a copy of the return reporting such payment or other evidence of   such payment reasonably satisfactory to the Administrative Agent.   (d) The Loan Parties shall jointly and severally  indemnify each Credit Party, within 10   days after demand therefor, for the full amount of any Indemnified Taxes (including Indemnified Taxes   imposed or asserted on or attributable to amounts payable under this Section) payable or paid by such   Credit Party or required to be withheld or deducted from a payment to such Credit Party and any   reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes   were correctly or legally imposed or asserted by the relevant Governmental Authority.  A certificate as   to the amount of such payment or liability delivered to the Borrower by a Lender (with a copy to the   Administrative Agent), or by the Administrative Agent on its own behalf or on behalf of a Lender, shall   be conclusive absent manifest error.   (e) Each Lender shall severally indemnify the Administrative Agent, within 10 days after   demand therefor, for (i) any Taxes attributable to such Lender (but only to the extent that any Loan   Party has not already indemnified the Administrative Agent for such Indemnified Taxes and without   limiting the obligation of the Loan Parties to do so) and (ii) any Taxes attributable to such Lender’s   failure to comply with the provisions of Section 10.06(c) relating to the maintenance of a Participant   Register, in either case, that are payable or paid by the Administrative Agent in connection with any   Loan Document, and any reasonable expenses arising therefrom or with respect thereto, whether or not   such Taxes were 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     

 

       47   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 any Loan   Document or otherwise payable by the Administrative Agent to the Lender from any other source   against any amount due to the Administrative Agent under this paragraph (e).   (f) (i) Any Lender that is entitled to an exemption from or reduction of withholding Tax   with respect to payments made under any Loan Document shall deliver to the Borrower and the   Administrative Agent, at the time or times reasonably requested by the Borrower or the Administrative   Agent, such properly completed and executed documentation reasonably requested by the Borrower or   the Administrative Agent as will permit such payments to be made without withholding or at a reduced   rate of withholding.  In addition, any Lender, if reasonably requested by the Borrower or the   Administrative Agent, shall deliver such other documentation prescribed by applicable law or   reasonably requested by the Borrower or the Administrative Agent as will enable the Borrower or the   Administrative Agent to determine whether or not such Lender is subject to backup withholding or   information reporting requirements.  Notwithstanding anything to the contrary in the preceding two   sentences, the completion, execution and submission of such documentation (other than such   documentation set forth in Section 2.19(f)(ii)(A), (ii)(B) and (ii)(D) below) shall not be required if in   the Lender’s reasonable judgment such completion, execution or submission would subject such Lender   to any material unreimbursed cost or expense or would materially prejudice the legal or commercial   position of such Lender.   (ii) Without limiting the generality of the foregoing, in the event that the Borrower is   a U.S. Person,   (A) any Lender that is a U.S. Person shall deliver to the Borrower and the   Administrative Agent on or prior to the date on which such Lender becomes a Lender   under this Agreement (and from time to time thereafter upon the reasonable request of the   Borrower or the Administrative Agent), executed originals of IRS Form W-9 certifying   that such Lender is exempt from U.S. Federal backup withholding tax;   (B) any Foreign Lender shall, to the extent it is legally entitled to do so,   deliver to the Borrower and the Administrative Agent (in such number of copies as shall   be requested by the recipient) on or prior to the date on which such Foreign Lender   becomes a Lender under this Agreement (and from time to time thereafter upon the   reasonable request of the Borrower or the Administrative Agent), whichever of the   following is applicable:   (i) in the case of a Foreign Lender claiming the benefits of an income tax   treaty to which the United States is a party (x) with respect to payments of interest under   any Loan Document, executed originals of IRS Form W-8BEN or IRS Form W-BEN-E   establishing an exemption from, or reduction of, U.S. Federal withholding Tax pursuant   to the “interest” article of such tax treaty and (y) with respect to any other applicable   payments under any Loan Document, IRS Form W-8BEN or IRS Form W-8BEN-E   establishing an exemption from, or reduction of, U.S. Federal withholding Tax pursuant   to the “business profits” or “other income” article of such tax treaty;   (ii) executed originals of IRS Form W-8ECI;   (iii) in the case of a Foreign Lender claiming the benefits of the exemption   for portfolio interest under Section 881(c) of the Code, (x) a certificate substantially in   the form of Exhibit E-1 to the effect that such Foreign Lender is not a “bank” within the     

 

       48   meaning of Section 881(c)(3)(A) of the Code, a “10 percent shareholder” of the Borrower   within the meaning of Section 881(c)(3)(B) of the Code, or a “controlled foreign   corporation” described in Section 881(c)(3)(C) of the Code (a “U.S. Tax Compliance   Certificate”) and (y) executed originals of IRS Form W-8BEN or IRS Form W-8BEN-E;   or   (iv) to the extent a Foreign Lender is not the beneficial owner, executed   originals of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-   8BEN, IRS Form W-8BEN-E, a U.S. Tax Compliance Certificate substantially in the   form of Exhibit E-2 or Exhibit E-3, IRS Form W-9, and/or other certification documents   from each beneficial owner, as applicable; provided that if the Foreign Lender is a   partnership and one or more direct or indirect partners of such Foreign Lender are   claiming the portfolio interest exemption, such Foreign Lender may provide a U.S. Tax   Compliance Certificate substantially in the form of Exhibit E-4 on behalf of each such   direct and indirect partner;   (C) any Foreign Lender shall, to the extent it is legally entitled to do so,   deliver to the Borrower and the Administrative Agent (in such number of copies as shall   be requested by the recipient) on or prior to the date on which such Foreign Lender   becomes a Lender under this Agreement (and from time to time thereafter upon the   reasonable request of the Borrower or the Administrative Agent), executed originals of   any other form prescribed by applicable law as a basis for claiming exemption from or a   reduction in U.S. Federal withholding Tax, duly completed, together with such   supplementary documentation as may be prescribed by applicable law to permit the   Borrower or the Administrative Agent to determine the withholding or deduction   required to be made; and   (D) if a payment made to a Lender under any Loan 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 Borrower and the Administrative Agent at the time or times prescribed by   law and at such time or times reasonably requested by the 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 Borrower or the Administrative Agent as may be necessary for the   Borrower and the Administrative Agent to comply with their obligations under FATCA   and to determine that such Lender has complied with such Lender’s obligations under   FATCA or to determine the amount to deduct and withhold from such payment.  Solely   for purposes of this clause (D), “FATCA” shall include any amendments made to   FATCA after the date of this Agreement.   Each Lender agrees that if any form or certification it previously delivered expires or   becomes obsolete or inaccurate in any respect, it shall update such form or certification or promptly notify   the Borrower and the Administrative Agent in writing of its legal inability to do so.   (g) If any party determines, in its sole discretion, that it has received a refund of any Taxes   as to which it has been indemnified pursuant to this Section 2.19 (including by the payment of   additional amounts pursuant to this Section 2.19), it shall pay to the indemnifying party an amount   equal to such refund (but only to the extent of indemnity payments made under this Section with respect   to the Taxes giving rise to such refund), net of all out-of-pocket expenses (including Taxes) of, and net     

 

       49   of any loss or gain realized in the conversion of such funds or to another currency incurred by, such   indemnified party and without interest (other than any interest paid by the relevant Governmental   Authority with respect to such refund).  Such indemnifying party, upon the request of such indemnified   party, shall repay to such indemnified party the amount paid over pursuant to this paragraph (g) (plus   any penalties, interest or other charges imposed by the relevant Governmental Authority) in the event   that such indemnified party is required to repay such refund to such Governmental Authority.    Notwithstanding anything to the contrary in this paragraph (g), in no event will the indemnified party be   required to pay any amount to an indemnifying party pursuant to this paragraph (g) the payment of   which would place the indemnified party in a less favorable net after-Tax position than the indemnified   party would have been in if the indemnification payments or additional amounts giving rise to such   refund had never been paid.  This paragraph shall not be construed to require any indemnified party to   make available its Tax returns (or any other information relating to its Taxes that it deems confidential)   to the indemnifying party or any other Person.   (h) Each party’s obligations under this Section 2.19 shall survive the resignation or   replacement of the Administrative Agent or any assignment of rights by, or the replacement of, a   Lender, the termination of the Commitments and the repayment, satisfaction or discharge of all   obligations under the Loan Documents.   (i) For purposes of this Section 2.19, the term “Lender,” including as referenced in any   defined term used in this Section,  includes the Issuing Lenders and the Swingline Lender.   2.20. Indemnity.  Each Borrower agrees to indemnify each Lender for, and to hold each   Lender harmless from, any loss or expense that such Lender may sustain or incur as a consequence of (a)   default by a Borrower in making a borrowing of, conversion into or continuation of Eurocurrency Rate   Loans after the applicable Borrower has given a notice requesting the same in accordance with the   provisions of this Agreement, (b) default by a Borrower in making any prepayment of or conversion from   Eurocurrency Rate Loans after the applicable Borrower has given a notice thereof in accordance with the   provisions of this Agreement or (c) the making of a prepayment of Eurocurrency Rate Loans on a day that   is not the last day of an Interest Period with respect thereto.  Such indemnification may include an amount   equal to the excess, if any, of (i) the amount of interest that would have accrued on the amount so prepaid,   or not so borrowed, converted or continued, for the period from the date of such prepayment or of such   failure to borrow, convert or continue to the last day of such Interest Period (or, in the case of a failure to   borrow, convert or continue, the Interest Period that would have commenced on the date of such failure)   in each case at the Applicable Rate of interest for such Loans provided for herein (excluding, however,   the Applicable Rate included therein, if any) over (ii) the amount of interest (as reasonably determined by   such Lender) that would have accrued to such Lender on such amount by placing such amount on deposit   for a comparable period with leading banks in the interbank eurodollar market.  A certificate as to any   amounts payable pursuant to this Section submitted to a Borrower by any Lender shall be conclusive in   the absence of manifest error.  This covenant shall survive the termination of this Agreement and the   payment of the Loans and all other amounts payable hereunder.   2.21. Change of Lending Office.  Each Lender agrees that, upon the occurrence of any event   giving rise to the operation of Section 2.18 or 2.19(a) with respect to such Lender, it will, if requested by   the Company or the applicable Borrower, use reasonable efforts (subject to overall policy considerations   of such Lender) to designate another lending office for any Loans affected by such event with the object   of avoiding the consequences of such event; provided, that such designation is made on terms that, in the   sole judgment of such Lender, cause such Lender and its lending offices to suffer no economic, legal or   regulatory disadvantage, and provided, further, that nothing in this Section shall affect or postpone any of   the obligations of the Company or the applicable Borrower or the rights of any Lender pursuant to Section   2.18 or 2.19(a).     

 

       50   2.22. Replacement of Lenders.  The applicable Borrower shall be permitted to replace any   Lender that (a) requests reimbursement for amounts owing pursuant to Section 2.18 or 2.19(a), (b)   becomes a Defaulting Lender, or (c) does not consent to any proposed amendment, supplement,   modification, consent or waiver of any provision of this Agreement or any other Loan Document that   requires the consent of each of the Lenders or each of the Lenders affected thereby (so long as the consent   of the Required Lenders has been obtained), with a replacement financial institution; provided that (i)   such replacement does not conflict with any Law, (ii) no Event of Default shall have occurred and be   continuing at the time of such replacement, (iii) prior to any such replacement, such Lender shall have   taken no action under Section 2.21 so as to eliminate the continued need for payment of amounts owing   pursuant to Section 2.18 or 2.19(a), (iv) the replacement financial institution shall purchase, at par, all   Loans and other amounts owing to such replaced Lender on or prior to the date of replacement, (v) the   applicable Borrower shall be liable to such replaced Lender under Section 2.20 if any Eurocurrency Rate   Loan owing to such replaced Lender shall be purchased other than on the last day of the Interest Period   relating thereto, (vi) the replacement financial institution shall be reasonably satisfactory to the   Administrative Agent, (vii) the replaced Lender shall be obligated to make such replacement in   accordance with the provisions of Section 10.6 (provided that the applicable Borrower shall be obligated   to pay the registration and processing fee referred to therein), (viii) until such time as such replacement   shall be consummated, the applicable Borrower shall pay all additional amounts (if any) required pursuant   to Section 2.18 or 2.19(a), as the case may be, and (ix) any such replacement shall not be deemed to be a   waiver of any rights that the applicable Borrower, the Administrative Agent or any other Lender shall   have against the replaced Lender.  Each party hereto agrees that an assignment  required pursuant to this   paragraph may be effected pursuant to an Assignment and Assumption executed by Company, the   Administrative Agent and the assignee, and that the Lender required to make such assignment need not be   a party thereto in order for such assignment to be effective.   2.23. Defaulting Lenders.  Notwithstanding any provision of this Agreement to the contrary,   if any Lender becomes a Defaulting Lender, then the following provisions shall apply for so long as such   Lender is a Defaulting Lender:   (a) fees shall cease to accrue on the unfunded portion of the Revolving Commitment of   such Defaulting Lender pursuant to Section 2.08(a);   (b) the Revolving Commitment and Revolving Extensions of Credit of such Defaulting   Lender shall not be included in determining whether the Required Lenders have taken or may take any   action hereunder (including any consent to any amendment, waiver or other modification pursuant to   Section 10.01); provided, that this clause (b) shall not apply to the vote of a Defaulting Lender in the   case of an amendment, waiver or other modification requiring the consent of such Lender or each   Lender affected thereby;    (c) if any Swingline Exposure or L/C-B/A Exposure exists at the time such Lender   becomes a Defaulting Lender then:   (i) all or any part of the Swingline Exposure and L/C-B/A Exposure of such   Defaulting Lender (other than the portion of such Swingline Exposure referred to in clause (b) of   the definition of such term) shall be reallocated among the non-Defaulting Lenders in accordance   with their respective Revolving Percentages but only to the extent the sum of all non-Defaulting   Lenders’ Revolving Extensions of Credit plus such Defaulting Lender’s Swingline Exposure and   L/C-B/A Exposure does not exceed the total of all non-Defaulting Lenders’ Revolving   Commitments;     

 

       51   (ii) if the reallocation described in clause (i) above cannot, or can only partially, be   effected, the applicable Borrower shall within one Business Day following notice by the   Administrative Agent (x) first, prepay such Swingline Exposure and (y) second, cash collateralize   for the benefit of the applicable Issuing Lender only the Borrower’s obligations corresponding to   such Defaulting Lender’s L/C-B/A Exposure (after giving effect to any partial reallocation   pursuant to clause (i) above) in accordance with the procedures set forth in Article VIII for so   long as such L/C-B/A Exposure is outstanding;   (iii) if the applicable Borrower cash collateralizes any portion of such Defaulting   Lender’s L/C-B/A Exposure pursuant to clause (ii) above, the applicable Borrower shall not be   required to pay any fees to such Defaulting Lender pursuant to Section 3.3(a) with respect to such   Defaulting Lender’s L/C-B/A Exposure during the period such Defaulting Lender’s L/C-B/A   Exposure is cash collateralized;   (iv) if the L/C-B/A Exposure of the non-Defaulting Lenders is reallocated pursuant to   clause (i) above, then the fees payable to the Lenders pursuant to Section 2.08(a) and Section   3.03(a) shall be adjusted in accordance with such non-Defaulting Lenders’ Revolving   Percentages; and   (v) if all or any portion of such Defaulting Lender’s L/C-B/A Exposure is neither   reallocated nor cash collateralized pursuant to clause (i) or (ii) above, then, without prejudice to   any rights or remedies of the applicable Issuing Lender or any other Lender hereunder, all fees   payable under Section 3.03(a) with respect to such Defaulting Lender’s L/C-B/A Exposure shall   be payable to the applicable Issuing Lender until and to the extent that such L/C-B/A Exposure is   reallocated and/or cash collateralized; and   (d) so long as such Lender is a Defaulting Lender, the Swingline Lender shall not be   required to fund any Swingline Loan and the Issuing Lenders shall not be required to issue, amend or   increase any Letter of Credit or create, amend or increase any Bankers’ Acceptance, unless such   Swingline Lender or the applicable Issuing Lender is satisfied that the related exposure and the   Defaulting Lender’s then outstanding L/C-B/A Exposure will be 100% covered by the Revolving   Commitments of the non-Defaulting Lenders and/or cash collateral will be provided by the applicable   Borrower in accordance with Section 2.23(c), and participating interests in any newly made Swingline   Loan, any newly issued or increased Letter of Credit or any newly created or increased Bankers’   Acceptance shall be allocated among non-Defaulting Lenders in a manner consistent with Section   2.23(c)(i) (and such Defaulting Lender shall not participate therein).   If (i) a Bankruptcy Event with respect to a Lender Parent of any Lender shall occur   following the date hereof and for so long as such event shall continue or (ii) the Swingline Lender or any   Issuing Lender has a good faith belief that any Lender has defaulted in fulfilling its obligations under one   or more other agreements in which such Lender commits to extend credit, the Swingline Lender shall not   be required to fund any Swingline Loan and the applicable Issuing Lender shall not be required to issue,   amend or increase any Letter of Credit or create, amend or increase any Bankers’ Acceptance, unless the   Swingline Lender or the applicable Issuing Lender, as the case may be, shall have entered into   arrangements with the applicable Borrower or such Lender, satisfactory to the Swingline Lender or the   applicable Issuing Lender, as the case may be, to defease any risk to it in respect of such Lender   hereunder.   In the event that the Administrative Agent, the Company, the applicable Borrower, the   Swingline Lender and the applicable Issuing Lender each agrees that a Defaulting Lender has adequately   remedied all matters that caused such Lender to be a Defaulting Lender, then the Swingline Exposure and     

 

       52   L/C-B/A Exposure of the Lenders shall be readjusted to reflect the inclusion of such Lender’s Revolving   Commitment and on such date such Lender shall purchase at par such of the Loans of the other Lenders   (other than Swingline Loans) as the Administrative Agent shall determine may be necessary in order for   such Lender to hold such Loans in accordance with its Revolving Percentage.   2.24. Incremental Facilities.  (a)  The Company or any Borrower and any one or more   Lenders (including New Lenders) may from time to time agree that such Lenders shall make, obtain or   increase the amount of their Incremental Term Loans or Revolving Commitments, as applicable, by   executing and delivering to the Administrative Agent an Increased Facility Activation Notice specifying   (i) the amount of such increase and the Facility or Facilities involved, (ii) the applicable Increased Facility   Closing Date and (iii) in the case of Incremental Term Loans, (x) the applicable Incremental Term   Maturity Date, (y) the amortization schedule for such Incremental Term Loans, which shall comply with   Section 2.03(c), and (z) the Applicable Rate for such Incremental Term Loans.  Notwithstanding the   foregoing, (i) without the consent of the Required Lenders, the aggregate amount of borrowings of   Incremental Term Loans and the aggregate amount of incremental Revolving Commitments obtained   after the Closing Date pursuant to this paragraph shall not exceed $75,000,000 and (ii) without the   consent of the Administrative Agent, (x) each increase effected pursuant to this paragraph shall be in a   minimum amount of at least $20,000,000 (or the Dollar Equivalent thereof) and (y) no more than 3    Increased Facility Closing Dates may be selected by the Borrower after the Closing Date.  No Lender   shall have any obligation to participate in any increase described in this paragraph unless it agrees to do   so in its sole discretion.   (b) Any additional bank, financial institution or other entity which, with the consent of the   applicable Borrower and the Administrative Agent (which consent shall not be unreasonably withheld),   elects to become a “Lender” under this Agreement in connection with any transaction described in   Section 2.24(a) shall execute a New Lender Supplement (each, a “New Lender Supplement”),   substantially in the form of Exhibit F-3, whereupon such bank, financial institution or other entity (a   “New Lender”) shall become a Lender for all purposes and to the same extent as if originally a party   hereto and shall be bound by and entitled to the benefits of this Agreement.   (c) Unless otherwise agreed by the Administrative Agent, on each Increased Facility   Closing Date with respect to the Revolving Facility, the Borrower shall borrow Revolving Loans under   the relevant increased Revolving Commitments from each Lender participating in the relevant increase   in an amount determined by reference to the amount of each Type of Loan (and, in the case of   Eurocurrency Rate Loans, of each Eurocurrency Tranche) which would then have been outstanding   from such Lender if (i) each such Type or Eurocurrency Tranche had been borrowed or effected on   such Increased Facility Closing Date and (ii) the aggregate amount of each such Type or Eurocurrency   Tranche requested to be so borrowed or effected had been proportionately increased.  The Eurocurrency   Base Rate applicable to any Eurocurrency Rate Loan borrowed pursuant to the preceding sentence shall   equal the Eurocurrency Base Rate then applicable to the Eurocurrency Rate Loans of the other Lenders   in the same Eurocurrency Tranche (or, until the expiration of the then-current Interest Period, such   other rate as shall be agreed upon between the Borrower and the relevant Lender.   (d) Notwithstanding anything to the contrary in this Agreement, each of the parties hereto   hereby agrees that, on each Increased Facility Activation Date, this Agreement shall be amended to the   extent (but only to the extent) necessary to reflect the existence and terms of the Incremental Term   Loans evidenced thereby.  Any such deemed amendment may be effected in writing by the   Administrative Agent with the Company’s consent (not to be unreasonably withheld) and furnished to   the other parties hereto.   2.25. Designated Borrowers.     

 

       53   (a) The Company may at any time, upon (a) not less than 60 Business Days’ notice from   the Company to the Administrative Agent (or such shorter period as may be agreed by the   Administrative Agent in its sole discretion) and (b) receipt of the Administrative Agent’s and each   Lenders’ prior written consent, designate any Subsidiary of the Company (an “Applicant Borrower”) as   a Designated Borrower to receive Loans hereunder by delivering to the Administrative Agent (which   shall promptly deliver counterparts thereof to each Lender) a duly executed notice and agreement in   substantially the form of Exhibit C (a “Designated Borrower Request and Assumption Agreement”).    The parties hereto acknowledge and agree that prior to any Applicant Borrower becoming entitled to   utilize the credit facilities provided for herein the Administrative Agent shall have received such   supporting resolutions, incumbency certificates, Organization Documents (as well as a recent extract   from the Dutch trade register (Handelsregister) in respect of a Dutch Designated Borrower), Security   Documents, opinions of counsel and other documents or information (including, without limitation,   information with respect to the Patriot Act, Sanctions and Anti-Corruption Laws, and in respect of any   relevant Dutch Loan Party, a copy (if required) of a positive advice from its (central) works council   (and, if such advice is not unconditional, confirmation from the Company that (i) the conditions set by   the works council are and will be complied with and (ii) such compliance does and will not have a   Material Adverse Effect)), in form, content and scope reasonably satisfactory to the Administrative   Agent, as may be required by the Administrative Agent in its sole discretion, and Notes signed by such   new Borrowers to the extent any Lenders so require.  If the Administrative Agent and the Lenders agree   that an Applicant Borrower shall be entitled to receive Loans hereunder, then promptly following   receipt of all such requested resolutions, incumbency certificates, Security Documents, opinions of   counsel and other documents or information, the Administrative Agent shall send a notice in   substantially the form of Exhibit D (a “Designated Borrower Notice”) to the Company and the Lenders   specifying the effective date upon which the Applicant Borrower shall constitute a Designated   Borrower for purposes hereof, whereupon each of the Lenders agrees to permit such Designated   Borrower to receive Loans hereunder, on the terms and conditions set forth herein, and each of the   parties agrees that such Designated Borrower otherwise shall be a Borrower for all purposes of this   Agreement; provided that no borrowing request may be submitted by or on behalf of such Designated   Borrower until the date five Business Days after such effective date.   (b) The Obligations of the Company and each Designated Borrower that is a Domestic   Subsidiary shall be joint and several in nature.  The Obligations of the Dutch Borrower and the German   Borrower and all Designated Borrowers that are Foreign Subsidiaries shall be several in nature.    (c) Each Subsidiary of the Company that is or becomes a “Designated Borrower” pursuant   to this Section 2.25 hereby irrevocably appoints the Company as its agent for all purposes relevant to   this Agreement and each of the other Loan Documents, including (i) the giving and receipt of notices,   (ii) the execution and delivery of all documents, instruments and certificates contemplated herein and   all modifications hereto, and (iii) the receipt of the proceeds of any Loans made by the Lenders to any   such Designated Borrower hereunder.  Any acknowledgment, consent, direction, certification or other   action which might otherwise be valid or effective only if given or taken by all Borrowers, or by each   Borrower acting singly, shall be valid and effective if given or taken only by the Company, whether or   not any such other Borrower joins therein.  Any notice, demand, consent, acknowledgement, direction,   certification or other communication delivered to the Company in accordance with the terms of this   Agreement shall be deemed to have been delivered to each Designated Borrower.   (d) The Company may from time to time, upon not less than 15 Business Days’ notice   from the Company to the Administrative Agent (or such shorter period as may be agreed by the   Administrative Agent in its sole discretion), terminate a Designated Borrower’s status as such, provided   that there are no outstanding Loans payable by such Designated Borrower, or other amounts payable by   such Designated Borrower on account of any Loans made to it, as of the effective date of such     

 

       54   termination. The Administrative Agent will promptly notify the Lenders of any such termination of a   Designated Borrower’s status.   (e) Notwithstanding the above, any Lender that may not legally lend to, establish credit for   the account of and/or do any business whatsoever with such Designated Borrower shall notify the   Company and the Administrative Agent in writing that such Lender will not provide any Loans to such   Designated Borrower.   2.26. Collateral Security.  Subject to Section 6.12, the Obligations (which, for the avoidance   of doubt, shall include the Foreign Loan Party Obligations) shall be secured by a perfected first priority   security interest (subject only to Liens permitted by Section 7.01 entitled to priority under applicable law)   in (i) all of the assets of the Domestic Loan Parties (other than Equity Interests in Subsidiaries which are   addressed in clause (ii) below), whether now owned or hereafter acquired, including, without limitation   all personal property of each Loan Party, (ii) all Equity Interests of all Domestic Subsidiaries of each   Domestic Loan Party and all Equity Interests of each first-tier Foreign Subsidiary of each Domestic Loan   Party; provided that, with respect to Foreign Subsidiaries, such equity pledge shall be limited to 65% of   the capital stock of such Foreign Subsidiary to the extent the pledge secures Domestic Loan Party   Obligations, (iii) all present and future intercompany debt owing to each Domestic Loan Party and (iv) all   proceeds and products of the property and assets described in (i), (ii) and (iii) above.   2.27. Non-Public Lender. Any Loan to the Dutch Borrower or any Dutch Designated   Borrower shall at all times be provided by a Lender that is a Non-Public Lender.      ARTICLE III.   LETTERS OF CREDIT AND BANKERS’ ACCEPTANCES.   3.01. L/C-B/A Commitment.  (a)  Subject to the terms and conditions hereof, the applicable   Issuing Lender, in reliance on the agreements of the other Revolving Lenders set forth in Section 3.04(a),   agrees to issue Letters of Credit and create Bankers’ Acceptances in accordance with the terms of the   applicable Letter of Credit in Dollars or any Alternative Currency for the account of any Borrower or any   Subsidiary on any Business Day during the Revolving Commitment Period in such form as may be   approved from time to time by the applicable Issuing Lender; provided that (A) such Issuing Lender shall   have no obligation to issue any Letter of Credit or create any BA if, after giving effect to such issuance,   (i) Total Revolving Extensions of Credit shall exceed the Revolving Commitments, (ii) the Revolving   Extensions of Credit of any Lender, plus the Dollar Equivalent of such Lender’s L/C-B/A Exposure then   outstanding, plus such Lender’s Swingline Exposure then outstanding shall exceed such Lender’s   Commitment, (iii) the Dollar Equivalent of L/C-B/A Obligations then outstanding shall exceed the L/C-   B/A Commitment, (iv) Total Revolving Extensions of Credit denominated in Alternative Currencies shall   exceed the Alternative Currency Sublimit or (v) Total Revolving Extensions of Credit to Foreign   Borrowers shall exceed the Foreign Borrower Sublimit and (B) as to Acceptance Credits, the Bankers’   Acceptance created or to be created thereunder shall be an eligible Bankers’ Acceptance under Section 13   of the Federal Reserve Act (12 U.S.C. §372).  Each request by the Company for the issuance or   amendment of a Letter of Credit or Bankers’ Acceptance shall be deemed to be a representation by the   Company that the L/C-B/A Credit Extension so requested complies with the conditions set forth in the   proviso to the preceding sentence. All Existing Letters of Credit and Existing Bankers’ Acceptances shall   be deemed to have been issued pursuant hereto, and from and after the Closing Date shall be subject to   and governed by the terms of and conditions hereof.      

 

       55   (b) The applicable Issuing Lender shall not at any time be obligated to issue any Letter of   Credit or create any BA if:   (i)  such issuance or creation would conflict with, or cause the applicable Issuing   Lender or any L/C-B/A Participant to exceed any limits imposed by, any applicable requirement   of Law;    (ii) (A) the expiry date of such requested Letter of Credit would occur after the   earlier of (x) the first anniversary of its date of issuance and (y) the Letter of Credit-BA   Expiration Date; provided that any Letter of Credit with a one-year term may provide for the   renewal thereof for additional one-year periods (which shall in no event extend beyond the date   referred to in clause (A)(y) above) and (B) the maturity of any Bankers’ Acceptance would occur   earlier than 30 or later than 120 days from the date of issuance, and in any event, later than 60   days before the Letter of Credit-BA Expiration Date, unless the Administrative Agent and the   applicable Issuing Lender have approved such maturity date;    (iii) any order, judgment or decree of any Governmental Authority or arbitrator shall   by its terms purport to enjoin or restrain the applicable Issuing Lender from issuing such Letter of   Credit or creating any related Bankers’ Acceptance, or any Law applicable to the applicable   Issuing Lender or any request or directive (whether or not having the force of law) from any   Governmental Authority with jurisdiction over the applicable Issuing Lender shall prohibit, or   request that the applicable Issuing Lender refrain from, the issuance of letters of credit or creation   of related Bankers’ Acceptances generally or such Letter of Credit or any related Bankers’   Acceptance in particular or shall impose upon the applicable Issuing Lender with respect to such   Letter of Credit or related Bankers’ Acceptance any restriction, reserve or capital requirement (for   which the applicable Issuing Lender is not otherwise compensated hereunder) not in effect on the   Closing Date, or shall impose upon the applicable Issuing Lender any unreimbursed loss, cost or   expense which was not applicable on the Closing Date and which the applicable Issuing Lender   in good faith deems material to it;    (iv) the issuance of such Letter of Credit or creation of any Bankers’ Acceptance   would violate one or more policies of the applicable Issuing Lender applicable to letters of credit   generally, or the creation of any related Bankers’ Acceptance would cause the applicable Issuing   Lender to exceed the maximum amount of outstanding bankers’ acceptances permitted by   applicable law;    (v) such Letter of Credit or any related Bankers’ Acceptance shall be denominated in   a currency other than Dollars or an Alternative Currency;   (vi) such Letter of Credit or any related Bankers’ Acceptance contains any provisions   for automatic reinstatement of the stated amount after any drawing thereunder; or   (vii) the applicable Issuing Lender does not as of the issuance date of such requested   Letter of Credit or any related Bankers’ Acceptance issue Letters of Credit or Bankers’   Acceptances in the requested currency.    (c) Each applicable Issuing Lender shall notify the Administrative Agent of (i) the issuance   of any Letter of Credit or creation of any Bankers’ Acceptance on the date of any such issuance or   creation, (ii) the increase or decrease in the amount of any Letter of Credit or Bankers’ Acceptance on   the date of any such increase or decrease, (iii) the extension or renewal of any Letter of Credit or     

 

       56   Bankers’ Acceptance on the date of any such extension or renewal and (iv) the outstanding aggregate   principal amount of any L/C-B/A Credit Extensions on the last Business Day of each month.    3.02. Procedure for Issuance of Letter of Credit or BA.  Any Borrower may from time to   time request that the Issuing Lender issue a Letter of Credit or create a BA by delivering to the applicable   Issuing Lender at its address for notices specified herein an Application therefor, completed to the   satisfaction of the applicable Issuing Lender, and such other certificates, documents and other papers and   information as the applicable Issuing Lender may request.  Upon receipt of any Application, the   applicable Issuing Lender will process such Application and the certificates, documents and other papers   and information delivered to it in connection therewith in accordance with its customary procedures and   shall promptly issue the Letter of Credit or create the BA requested thereby (but in no event shall such   Issuing Lender be required to issue any Letter of Credit or create any BA earlier than three Business Days   after its receipt of the Application therefor and all such other certificates, documents and other papers and   information relating thereto) by issuing the original of such Letter of Credit or BA to the beneficiary   thereof or as otherwise may be agreed to by the applicable Issuing Lender and the applicable Borrower.    The applicable Issuing Lender shall furnish a copy of such Letter of Credit or BA to the applicable   Borrower promptly following the issuance thereof.  The applicable Issuing Lender shall promptly furnish   to the Administrative Agent, which shall in turn promptly furnish to the Lenders, notice of the issuance of   each Letter of Credit or BA (including the amount thereof).    3.03. Fees and Other Charges.  (a)  The applicable Borrower will pay a fee in Dollars on all   outstanding Letters of Credit or Bankers’ Acceptances at a per annum rate equal to the Applicable Rate   then in effect, shared ratably among the Revolving Lenders and payable quarterly in arrears on each Fee   Payment Date after the issuance date.  In addition, the applicable Borrower shall pay to the Issuing   Lender for its own account a fronting fee in Dollars of 0.125% per annum on the undrawn and unexpired   amount of the Dollar Equivalent of each Letter of Credit and BA, payable quarterly in arrears on each Fee   Payment Date after the issuance date.   (b) In addition to the foregoing fees, the applicable Borrower shall pay or reimburse the   applicable Issuing Lender for such normal and customary costs and expenses as are incurred or charged   by such Issuing Lender in issuing, negotiating, effecting payment under, amending or otherwise   administering any Letter of Credit or BA.   3.04. L/C-B/A Participations.  (a)  The applicable Issuing Lender irrevocably agrees to grant   and hereby grants to each L/C-B/A Participant, and, to induce the applicable Issuing Lender to issue   Letters of Credit and create BA’s, each L/C-B/A Participant irrevocably agrees to accept and purchase   and hereby accepts and purchases from the applicable Issuing Lender, on the terms and conditions set   forth below, for such L/C-B/A Participant’s own account and risk an undivided interest equal to such   L/C-B/A Participant’s Revolving Percentage in the applicable Issuing Lender’s obligations and rights   under and in respect of each Letter of Credit and BA and the amount of each draft paid or reimbursed by   the applicable Issuing Lender thereunder.  Each L/C-B/A Participant agrees with the applicable Issuing   Lender that, if a draft is paid under any Letter of Credit or reimbursed under any BA for which such   Issuing Lender is not reimbursed in full by the applicable Borrower in accordance with the terms of this   Agreement (or in the event that any reimbursement received by such Issuing Lender shall be required to   be returned by it at any time), such L/C-B/A Participant shall pay to the applicable Issuing Lender upon   demand at the applicable Issuing Lender’s address for notices specified herein the an amount in Dollars   equal to the Dollar Equivalent of such L/C-B/A Participant’s Revolving Percentage of the amount that is   not so reimbursed (or is so returned).  Each L/C-B/A Participant’s obligation to pay such amount shall be   absolute and unconditional and shall not be affected by any circumstance, including (i) any setoff,   counterclaim, recoupment, defense or other right that such L/C-B/A Participant may have against the   applicable Issuing Lender, the applicable Borrower or any other Person for any reason whatsoever, (ii) the     

 

       57   occurrence or continuance of a Default or an Event of Default or the failure to satisfy any of the other   conditions specified in Article IV, (iii) any adverse change in the condition (financial or otherwise) of the   Company or the applicable Borrower, (iv) any breach of this Agreement or any other Loan Document by   the applicable Borrower, any other Loan Party or any other L/C-B/A Participant or (v) any other   circumstance, happening or event whatsoever, whether or not similar to any of the foregoing.   (b) If any amount required to be paid by any L/C-B/A Participant to the applicable Issuing   Lender pursuant to Section 3.04(a) in respect of any unreimbursed portion of any payment made by the   applicable Issuing Lender under any Letter of Credit or BA is paid to the applicable Issuing Lender   within three Business Days after the date such payment is due, such L/C-B/A Participant shall pay to   the applicable Issuing Lender on demand an amount equal to the product of (i) such amount, times (ii)   the daily average Federal Funds Effective Rate during the period from and including the date such   payment is required to the date on which such payment is immediately available to the applicable   Issuing Lender, times (iii) a fraction the numerator of which is the number of days that elapse during   such period and the denominator of which is 360.  If any such amount required to be paid by any L/C-   B/A Participant pursuant to Section 3.04(a) is not made available to the applicable Issuing Lender by   such L/C-B/A Participant within three Business Days after the date such payment is due, the applicable   Issuing Lender shall be entitled to recover from such L/C-B/A Participant, on demand, such amount   with interest thereon calculated from such due date at the rate per annum applicable to Base Rate Loans   under the Revolving Facility.  A certificate of the applicable Issuing Lender submitted to any L/C-B/A   Participant with respect to any amounts owing under this Section shall be conclusive in the absence of   manifest error.   (c) Whenever, at any time after the applicable Issuing Lender has made payment under any   Letter of Credit or BA and has received from any L/C-B/A Participant its pro rata share of such   payment in accordance with Section 3.04(a), the applicable Issuing Lender receives any payment   related to such Letter of Credit or BA (whether directly from the applicable Borrower or otherwise,   including proceeds of collateral applied thereto by the applicable Issuing Lender), or any payment of   interest on account thereof, the applicable Issuing Lender will distribute to such L/C-B/A Participant its   pro rata share thereof; provided, however, that in the event that any such payment received by the   applicable Issuing Lender shall be required to be returned by the applicable Issuing Lender, such L/C-   B/A Participant shall return to the applicable Issuing Lender the portion thereof previously distributed   by the applicable Issuing Lender to it.   3.05. Reimbursement Obligation of the Borrower.  If any draft is paid under any Letter of   Credit or any Bankers’ Acceptance is presented for payment, the applicable Issuing Lender shall notify   the Company and the Administrative Agent thereof.  In the case of a Letter of Credit or Bankers’   Acceptance denominated in an Alternative Currency, the Company shall reimburse the applicable Issuing   Lender in such Alternative Currency, unless (A) the applicable Issuing Lender (at its option) shall have   specified in such notice that it will require reimbursement in Dollars, or (B) in the absence of any such   requirement for reimbursement in Dollars, the Company shall have notified the applicable Issuing Lender   promptly following receipt of the notice of drawing or payment that the Company will reimburse the   applicable Issuing Lender in Dollars. In the case of any such reimbursement in Dollars of a drawing under   a Letter of Credit or payment under a Bankers’ Acceptance denominated in an Alternative Currency, the   Administrative Agent shall notify the applicable Issuing Lender and the Company of the Dollar   Equivalent of the amount of the drawing or payment promptly following the determination thereof.  The   applicable Borrower shall reimburse the applicable Issuing Lender for the amount of (a) the draft so paid   and (b) any taxes, fees, charges or other costs or expenses incurred by the applicable Issuing Lender in   connection with such payment, not later than 12:00 Noon, New York City time (in the case of any   reimbursement in Dollars) or the Local Time (in the case of any reimbursement in an Alternative   Currency) on (i) the Business Day that the applicable Borrower receives notice of such draft or payment,     

 

       58   if such notice is received on such day prior to 10:00 A.M., New York City time, or (ii) if clause (i) above   does not apply, the Business Day immediately following the day that the applicable Borrower receives   such notice.  Each such payment shall be made to the applicable Issuing Lender at its address for notices   referred to herein in Dollars or the applicable Alternative Currency and in immediately available funds.    Interest shall be payable on any such amounts from the date on which the relevant draft is paid until   payment in full at the rate set forth in the Applicable Rate grid (x) until the Business Day next succeeding   the date of the relevant notice, Section 2.14(b) and (y) thereafter, Section 2.14(c).   3.06. Obligations Absolute.  The applicable Borrower’s obligations under this Article III shall   be absolute, unconditional and irrevocable under any and all circumstances and irrespective of any setoff,   counterclaim or defense to payment that the applicable Borrower may have or have had against the   applicable Issuing Lender, any beneficiary of a Letter of Credit or BA or any other Person.  The   applicable Borrower also agrees with the applicable Issuing Lender that the applicable Issuing Lender   shall not be responsible for, and the applicable Borrower’s Reimbursement Obligations under Section   3.05 shall not be affected by, among other things, (a) any lack of validity or enforceability of any Letter of   Credit, BA or  this Agreement, or any term or provision therein, (b) any draft or other document presented   under a Letter of Credit or BA proving to be invalid, fraudulent or forged in any respect or any statement   therein being untrue or inaccurate in any respect, (c) any dispute between or among the applicable   Borrower and any beneficiary of any Letter of Credit or BA or any other party to which such Letter of   Credit or BA may be transferred or any claims whatsoever of the applicable Borrower against any   beneficiary of such Letter of Credit or BA or any such transferee, (d) payment by the applicable Issuing   Lender under a Letter of Credit or BA against presentation of a draft or other document that does not   comply with the terms of such Letter of Credit or BA, (e) any other event or circumstance whatsoever,   whether or not similar to any of the foregoing, that might, but for the provisions of this Section, constitute   a legal or equitable discharge of, or provide a right of setoff against, the applicable Borrower's obligations   hereunder or (f) any adverse change in the relevant exchange rates or in the availability of the relevant   Alternative Currency to the Company or any Subsidiary or in the relevant currency markets generally.   The applicable Issuing Lender shall not have any liability or responsibility by reason of or in connection   with the issuance or transfer of any Letter of Credit or BA 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 message or advice,   however transmitted, in connection with any Letter of Credit or BA (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 the applicable Issuing Lender; provided that the foregoing shall not be   construed to excuse the applicable Issuing Lender from liability to the applicable Borrower to the extent   of any direct damages (as opposed to special, indirect, consequential or punitive damages, claims in   respect of which are hereby waived by the applicable Borrower to the extent permitted by applicable law)   suffered by the applicable Borrower that are caused by the applicable Issuing Lender's failure to exercise   care when determining whether drafts and other documents presented under a Letter of Credit or BA   comply with the terms thereof.  The parties hereto expressly agree that, in the absence of gross negligence   or willful misconduct on the part of the applicable Issuing Lender (as finally determined by a court of   competent jurisdiction), the applicable Issuing Lender 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 or BA, the applicable Issuing Lender 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 or BA.     

 

       59   3.07. Letter of Credit Payments.  If any draft shall be presented for payment under any Letter   of Credit or BA, the applicable Issuing Lender shall promptly notify the applicable Borrower and the   Administrative Agent of the date and amount thereof.  The responsibility of the applicable Issuing Lender   to the applicable Borrower in connection with any draft presented for payment under any Letter of Credit   or BA shall, in addition to any payment obligation expressly provided for in such Letter of Credit or BA,   be limited to determining that the documents (including each draft) delivered under such Letter of Credit   or BA in connection with such presentment are substantially in conformity with such Letter of Credit or   BA.   3.08. Applications.  To the extent that any provision of any Application related to any Letter   of Credit or BA is inconsistent with the provisions of this Article III, the provisions of this Article III   shall apply.   3.09. Applicability of ISP and UCP.  Unless otherwise expressly agreed by the applicable   Issuing Lender and the Company when a Letter of Credit is issued (including any such agreement   applicable to an Existing Letter of Credit), (i) the rules of the ISP shall apply to each standby Letter of   Credit, and (ii) the rules of the UCP shall apply to each commercial Letter of Credit.  Notwithstanding the   foregoing, the applicable Issuing Lender shall not be responsible to the Borrowers for, and the applicable   Issuing Lender’s rights and remedies against the Borrowers shall not be impaired by, any action or   inaction of the applicable Issuing Lender required or permitted under any Law, order, or practice that is   required or permitted to be applied to any Letter of Credit, Bankers’ Acceptance or this Agreement,   including the Law or any order of a jurisdiction where the applicable Issuing Lender or the beneficiary is   located, the practice stated in the ISP of UCP, as applicable, or in the decisions, opinions, practice   statements, or official commentary of the ICC Banking Commission, the Bankers Association for Finance   and Trade – International Financial Services Association (BAFT-IFSA), or the Institute of International   Banking Law & Practice, whether or not any Letter of Credit or Bankers’ Acceptance chooses such law or   practice.   ARTICLE IV.   CONDITIONS PRECEDENT   4.01. Conditions of Initial Credit Extension.  The effectiveness of this Agreement is subject   to satisfaction of the following conditions precedent on or prior to the Closing Date:   (a) The Administrative Agent’s receipt of the following, each in form and substance   satisfactory to the Administrative Agent and each of the Lenders:   (i) executed counterparts of this Agreement and each other Loan Document,   sufficient in number for distribution to the Administrative Agent, each Lender and the Company;   (ii) Notes executed by the Borrowers in favor of each Lender requesting a Note;   (iii) such certificates of resolutions or other action, incumbency certificates and/or   other certificates of Responsible Officers of each Loan Party as the Administrative Agent may   require evidencing the identity, authority and capacity of each Responsible Officer thereof   authorized to act as a Responsible Officer in connection with this Agreement and the other Loan   Documents to which such Loan Party is a party;   (iv) such documents and certifications (including the Organization Documents, and   with respect to the Dutch Borrower, an extract from the Chamber of Commerce (Kamer van   Koophandel)) as the Administrative Agent may reasonably require to evidence that each Loan     

 

       60   Party is duly organized or formed, and that each Loan Party is validly existing, in good standing   (to the extent applicable) and qualified to engage in business in each jurisdiction where its   ownership, lease or operation of properties or the conduct of its business requires such   qualification, except to the extent that failure to do so could not reasonably be expected to have a   Material Adverse Effect;    (v) a favorable opinion of DLA Piper LLP (US), counsel to the Loan Parties,   addressed to the Administrative Agent and each Lender, as to the matters concerning the Loan   Parties and the Loan Documents as the Administrative Agent may reasonably request   (vi) a favorable opinion of Oklahoma local counsel to Crane Equipment & Service,   Inc., reasonably acceptable to the Administrative Agent, addressed to the Administrative Agent   and each Lender;   (vii) a favorable opinion of Michigan local counsel to Unified Industries Inc.,   reasonably acceptable to the Administrative Agent, addressed to the Administrative Agent and   each Lender;   (viii) a favorable legal capacity opinion of DLA Piper UK LLP local counsel to   Columbus McKinnon EMEA GmbH, reasonably acceptable to the Administrative Agent,   addressed to the Administrative Agent and each Lender;   (ix) a favorable opinion of DLA Piper Nederland N.V. local counsel to Columbus   McKinnon Dutch Holdings 3 B.V., reasonably acceptable to the Administrative Agent, addressed   to the Administrative Agent and each Lender;   (x) a certificate of a Responsible Officer of each Loan Party either (A) attaching   copies of all consents, licenses and approvals required in connection with the execution, delivery   and performance by such Loan Party and the validity against such Loan Party of the Loan   Documents to which it is a party, and such consents, licenses and approvals shall be in full force   and effect, or (B) stating that no such consents, licenses or approvals are so required;   (xi) a certificate signed by a Responsible Officer of the Company certifying (A) that   the conditions specified in Sections 4.02(a) and (b) have been satisfied, (B) that there has been no   event or circumstance since March 31, 2014 that has had or could be reasonably expected to have,   either individually or in the aggregate, a Material Adverse Effect, and (C) as to the absence of any   action, suit, investigation or proceeding pending or, to the knowledge of any Loan Party,   threatened in any court or before any arbitrator or governmental authority that could reasonably   be expected to have a Material Adverse Effect;   (xii) a solvency certificate signed by the chief financial officer of the Loan Parties;   (xiii) evidence that all insurance required to be maintained pursuant to the Loan   Documents has been obtained and is in effect;   (xiv) evidence that the Security Documents shall be effective to create in favor of the   Administrative Agent a legal, valid and enforceable first (except for Liens permitted pursuant to   Section 7.01 and entitled to priority under applicable Law) security interest in and Lien upon the   Collateral, along with, in form and substance satisfactory to the Lenders, evidence that all filings,   recordings, deliveries of instruments and other actions necessary or desirable in the opinion of the     

 

       61   Administrative Agent to protect and preserve such security interests shall have been duly   effected;   (xv) a completed and fully executed perfection certificate with respect to each   domestic Loan Party and the results of UCC searches (and the equivalent thereof in all applicable   foreign jurisdictions) and other evidence satisfactory to the Administrative Agent that there are no   Liens upon the Collateral, other than Liens permitted pursuant to Section 7.01 and otherwise in   form and substance satisfactory to the Lenders;   (xvi) assignments to the Administrative Agent for the benefit of the Lenders, of all   notes and instruments evidencing intercompany Indebtedness among the Company and its   Subsidiaries;    (xvii) (A) the Administrative Agent shall have received satisfactory evidence that the   Existing Credit Facility shall have been terminated and all amounts thereunder shall have been   paid in full and (B) satisfactory arrangement shall have been made for the termination of all Liens   granted in connection therewith;    (xviii) The Administrative Agent shall have received (i) the certificates representing the   shares of capital stock pledged pursuant to the Pledge Agreement, together with an undated stock   power for each such certificate executed in blank by a duly authorized officer of the pledgor   thereof (or, in the case of Foreign Subsidiaries, customary documents as applicable) and (ii) each   promissory note (if any) pledged to the Administrative Agent pursuant to the Pledge Agreement   endorsed (without recourse) in blank (or accompanied by an executed transfer form in blank) by   the pledgor thereof;    (xix) The Administrative Agent shall have received, at least 3 days prior to the Closing   Date, all documentation and other information with respect to the Company and its Subsidiaries   that shall have been reasonably requested by the Administrative Agent in writing at least 5 days   prior to the Closing Date that the Administrative Agent reasonably determines is required by   regulatory authorities under applicable “know your customer” and anti-money laundering rules   and regulations, including the Patriot Act; and   (xx) such other assurances, certificates, documents, consents or opinions as the   Administrative Agent, the Issuing Lender, the Swingline Lender or the Required Lenders   reasonably may require.   (b) Any fees required to be paid on or before the Closing Date shall have been paid.   (c) Unless waived by the Administrative Agent, the Company shall have paid all fees,   charges and disbursements of counsel to the Administrative Agent (directly to such counsel if requested   by the Administrative Agent) to the extent invoiced prior to or on the Closing Date, plus such additional   amounts of such fees, charges and disbursements as shall constitute its reasonable estimate of such fees,   charges and disbursements incurred or to be incurred by it through the closing proceedings (provided   that such estimate shall not thereafter preclude a final settling of accounts between the Company and   the Administrative Agent).   4.02. Conditions to each Extension of Credit.  The agreement of each Lender, each Issuing   Lender and the Swingline Lender to make any extension of credit requested to be made by it on any date   (including its initial extension of credit) is subject to the satisfaction of the following conditions   precedent:     

 

       62   (a) The representations and warranties of the Borrowers and each other Loan Party   contained in Article V or any other Loan Document, or which are contained in any document furnished   at any time under or in connection herewith or therewith, shall be true and correct in all material   respects on and as of the date of such Delayed Draw Term Loan Borrowing Date and such Revolving   Extensions of Credit (other than to the extent any representation and warranty is already qualified by   materiality, in which case, such representation and warranty shall be true and correct as of such date),   except to the extent that such representations and warranties specifically refer to an earlier date, in   which case they shall be true and correct in all material respects as of such earlier date (other than to the   extent any representation and warranty is already qualified by materiality, in which case, such   representation and warranty shall be true and correct as of such earlier date) and except that for   purposes of this Section 4.02, the representations and warranties contained in Sections 5.05(a) and (b)   shall be deemed to refer to the most recent statements furnished pursuant to Sections 6.01(a) and (b),   respectively.   (b) No Default or Event of Default shall exist, or would result from such proposed   extension of credit or from the application of the proceeds thereof.   (c) If the applicable Borrower is a Designated Borrower, then the conditions of   Section 2.25 to the designation of such Borrower as a Designated Borrower shall have been met to the   satisfaction of the Administrative Agent.   (d) In the case of an extension of credit denominated in an Alternative Currency, there   shall not have occurred any change in national or international financial, political or economic   conditions or currency exchange rates or exchange controls which in the reasonable opinion of the   Administrative Agent, the Required Lenders (in the case of any Loans to be denominated in an   Alternative Currency) or the Issuing Lender (in the case of any Letter of Credit or Bankers’ Acceptance   to be denominated in an Alternative Currency) would make it impracticable for such extension of credit   to be denominated in the relevant Alternative Currency.   Each Borrowing by and issuance of a Letter of Credit or BA on behalf of a Borrower hereunder   shall constitute a representation and warranty by such Borrower as of the date of such extension of credit   that the conditions contained in this Section 4.02 have been satisfied.        ARTICLE V.   REPRESENTATIONS AND WARRANTIES   Each Borrower represents and warrants to the Administrative Agent and the Lenders that:   5.01. Existence, Qualification and Power.  Each Loan Party and each Subsidiary thereof (a)   is duly organized or formed, validly existing and, as applicable, in good standing under the Laws of the   jurisdiction of its incorporation or organization, (b) has all requisite power and authority and all requisite   governmental licenses, authorizations, consents and approvals to (i) own or lease its assets and carry on   its business and (ii) execute, deliver and perform its obligations under the Loan Documents to which it is   a party, (c) is duly qualified and is licensed and, as applicable, in good standing under the Laws of each   jurisdiction where its ownership, lease or operation of properties or the conduct of its business requires   such qualification or license; except in each case referred to in clause (b)(i) or (c), to the extent that failure   to do so could not reasonably be expected to have a Material Adverse Effect and (d) if applicable, has its   center of main interest (COMI) in the jurisdiction of its incorporation.     

 

       63   5.02. Authorization; No Contravention.  The execution, delivery and performance by each   Loan Party of each Loan Document to which such Person is party, have been duly authorized by all   necessary corporate or other organizational action, and do not and will not (a) contravene the terms of any   of such Person’s Organization Documents; (b) conflict with or result in any breach or contravention of, or   the creation of any Lien under, or require any payment to be made under (i) any Contractual Obligation to   which such Person is a party or affecting such Person or the properties of such Person or any of its   Subsidiaries or (ii) any order, injunction, writ or decree of any Governmental Authority or any arbitral   award to which such Person or its property is subject; or (c) violate any Law, except in the case of clause   (b)(i) for such violations which could not reasonably be expected, individually or in the aggregate, to have   a Material Adverse Effect.   5.03. Governmental Authorization; Other Consents.  No approval, consent, exemption,   authorization, or other action by, or notice to, or filing with, any Governmental Authority or any other   Person is necessary or required in connection with the execution, delivery or performance by, or   enforcement against, any Loan Party of this Agreement or any other Loan Document, except for (a) the   approvals, consents, exemptions, authorizations, actions, notices and filings that have been duly obtained,   taken, given or made and are in full force and effect, and (b) those approvals, consents, exemptions,   authorizations or other actions, notices or filings, the failure of which to obtain or make would not   reasonably be expected to have a Material Adverse Effect.     5.04. Binding Effect.  This Agreement has been, and each other Loan Document, when   delivered hereunder, will have been, duly executed and delivered by each Loan Party that is party thereto.    This Agreement constitutes, and each other Loan Document when so delivered will constitute, a legal,   valid and binding obligation of such Loan Party, enforceable against each Loan Party that is party thereto   in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy,   insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights   generally.   5.05. Financial Statements; No Material Adverse Effect; No Internal Control Event.   (a) The Audited Financial Statements (i) were prepared in accordance with GAAP   consistently applied throughout the period covered thereby, except as otherwise expressly noted therein;   (ii) fairly present the financial condition of the Company and its Subsidiaries as of the date thereof and   their results of operations for the period covered thereby in accordance with GAAP consistently applied   throughout the period covered thereby, except as otherwise expressly noted therein; and (iii) show all   material indebtedness and other liabilities, direct or contingent, of the Company and its Subsidiaries as   of the date thereof, including liabilities for taxes, material commitments and Indebtedness, to the extent   required to be shown in accordance with GAAP.   (b) The unaudited consolidated and consolidating balance sheets of the Company and its   Subsidiaries dated June 30, 2014 and September 30, 2014 and the related consolidated statements of   income or operations, shareholders’ equity and cash flows and consolidating statements of income or   operations for the fiscal quarters ended on such dates (i) were prepared in accordance with GAAP   consistently applied throughout the period covered thereby, except as otherwise expressly noted therein,   and (ii) fairly present the financial condition of the Company and its Subsidiaries as of the date thereof   and their results of operations for the period covered thereby, subject, in the case of clauses (i) and (ii),   to the absence of footnotes and to normal year-end audit adjustments.  Schedule 5.05 sets forth all   material indebtedness and other liabilities, direct or contingent, of the Company and its consolidated   Subsidiaries as of the date of such financial statements, including liabilities for taxes, material   commitments and Indebtedness.     

 

       64   (c) Since the date of the Audited Financial Statements, there has been no event or   circumstance, either individually or in the aggregate, that has had or could reasonably be expected to   have a Material Adverse Effect.   (d) To the best knowledge of the Company, no Internal Control Event exists or has   occurred since the date of the Audited Financial Statements that has resulted in or could reasonably be   expected to result in a misstatement in any material respect, in any financial information delivered or to   be delivered to the Administrative Agent or the Lenders, of (i) covenant compliance calculations   provided hereunder or (ii) the assets, liabilities, financial condition or results of operations of the   Company and its Subsidiaries on a consolidated basis.   (e) The consolidated and consolidating forecasted balance sheet and statements of income   and consolidated cash flows of the Company and its Subsidiaries delivered pursuant to Section 6.01(c)   and Section 6.01(c) of the Existing Credit Agreement were prepared in good faith on the basis of the   assumptions stated therein, which assumptions were believed to be reasonable at the time of delivery of   such forecasts.   5.06. Litigation.  There are no actions, suits, proceedings, claims or disputes pending or, to the   knowledge of the Company, threatened or contemplated, at law, in equity, in arbitration or before any   Governmental Authority, by or against the Company or any of its Subsidiaries or against any of their   properties or revenues that (a) purport to affect or pertain to this Agreement or any other Loan Document,   or any of the transactions contemplated hereby, or (b) except as specifically disclosed in Schedule 5.06,   either individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect.   5.07. No Default.  Neither any Loan Party nor any Subsidiary thereof is in default under or   with respect to any Contractual Obligation that could, either individually or in the aggregate, reasonably   be expected to have a Material Adverse Effect.  No Default has occurred and is continuing or would result   from the consummation of the transactions contemplated by this Agreement or any other Loan Document.   5.08. Ownership of Property; Liens.  Each of the Company and each Subsidiary has good   record and marketable title in fee simple to, or valid leasehold interests in, all real property necessary or   used in the ordinary conduct of its business, except for such defects in title as could not, individually or in   the aggregate, reasonably be expected to have a Material Adverse Effect.  The property of the Company   and its Subsidiaries is subject to no Liens, other than Liens permitted by Section 7.01.   5.09. Environmental Compliance.  The Company and its Subsidiaries conduct in the ordinary   course of business a review of the effect of existing Environmental Laws and claims alleging potential   liability or responsibility for violation of any Environmental Law on their respective businesses,   operations and properties, and as a result thereof the Company has reasonably concluded that, except as   specifically disclosed in Schedule 5.09, such Environmental Laws and claims could not, individually or in   the aggregate, reasonably be expected to have a Material Adverse Effect.   5.10. Insurance.  The properties of the Company and its Subsidiaries are insured with   financially sound and reputable insurance companies not Affiliates of the Company, in such amounts   (after giving effect to any insurance coverage from CM Insurance Company, Inc. compatible with the   following standards) with such deductibles and covering such risks as are customarily carried by   companies engaged in similar businesses and owning similar properties in localities where the Company   or the applicable Subsidiary operates.   5.11. Taxes.  The Company and its Subsidiaries have filed all Federal, state and other material   Tax returns and reports required to be filed, and have paid all Taxes, assessments, fees and other     

 

       65   governmental charges levied or imposed upon them or their properties, income or assets otherwise due   and payable, except those which are being contested in good faith by appropriate proceedings diligently   conducted and for which adequate reserves have been provided in accordance with GAAP.  As of the   Closing Date, no Tax Lien has been filed against the Company, any Subsidiary, or any assets of either   that could reasonably be expected to have a Material Adverse Effect.  There is no proposed tax   assessment against the Company or any Subsidiary that would, if made, have a Material Adverse Effect.    Neither any Loan Party nor any Subsidiary thereof is party to any tax sharing agreement.   5.12. ERISA Compliance.   (a) Each Plan is in compliance in all material respects with the applicable provisions of   ERISA, the Code and other Federal or state Laws.  Each Pension Plan that is intended to be a qualified   plan under Section 401(a) of the Code has received a favorable determination letter from the Internal   Revenue Service to the effect that the form of such Plan is qualified under Section 401(a) of the Code   and the trust related thereto has been determined by the Internal Revenue Service to be exempt from   federal income tax under Section 501(a) of the Code, or an application for such a letter is currently   being processed by the Internal Revenue Service.  To the best knowledge of the Borrowers, nothing has   occurred that would prevent or cause the loss of, such tax-qualified status.   (b) There are no pending or, to the best knowledge of the Borrowers, threatened claims,   actions or  lawsuits, or action by any Governmental Authority, with respect to any Plan that could   reasonably be expected to have a Material Adverse Effect.  There has been no prohibited transaction or   violation of the fiduciary responsibility rules with respect to any Plan that has resulted or could   reasonably be expected to result in a Material Adverse Effect.   (c) Except as could not reasonably be expected, either individually or in the aggregate, to   have a Material Adverse Effect, (i) no ERISA Event has occurred, and neither the Borrowers nor any   ERISA Affiliate is aware of any fact, event or circumstance that could reasonably be expected to   constitute or result in an ERISA Event with respect to any Pension Plan; (ii) each Borrower and each   ERISA Affiliate has met all applicable requirements under the Pension Funding Rules in respect of   each Pension Plan, and no waiver of the minimum funding standards under the Pension Funding Rules   has been applied for or obtained; (iii) as of the most recent valuation date for any Pension Plan, the   funding target attainment percentage (as defined in Section 430(d)(2) of the Code) is 60% or higher and   neither the Borrowers nor any ERISA Affiliate knows of any facts or circumstances that could   reasonably be expected to cause the funding target attainment percentage for any such plan to drop   below 60% as of the most recent valuation date; (iv) except as set forth on Schedule 5.12(c) hereto,   neither the Borrowers nor any ERISA Affiliate has incurred any liability to the PBGC other than for the   payment of premiums, and there are no premium payments which have become due that are unpaid; (v)   neither the Borrowers nor any ERISA Affiliate has engaged in a transaction that could be subject to   Section 4069 or Section 4212(c) of ERISA; and (vi) no Pension Plan has been terminated by the plan   administrator thereof nor by the PBGC, and no event or circumstance has occurred or exists that could   reasonably be expected to cause the PBGC to institute proceedings under Title IV of ERISA to   terminate any Pension Plan.   (d) Neither the Borrowers or any ERISA Affiliate maintains or contributes to, or has any   unsatisfied obligation to contribute to, or liability under, any active or terminated Pension Plan other   than (i) on the Closing Date, those listed on Schedule 5.12(d) hereto and (ii) thereafter, Pension Plans   not otherwise prohibited by this Agreement.   (e) With respect to each scheme or arrangement mandated by a government other than the   United States (a “Foreign Government Scheme or Arrangement”) and with respect to each employee     

 

       66   benefit plan maintained or contributed to by any Loan Party or any Subsidiary of any Loan Party that is   not subject to United States Law (a “Foreign Plan”):   (i) any employer and employee contributions required by Law or by the terms of   any Foreign Government Scheme or Arrangement or any Foreign Plan have been made, or, if   applicable, accrued, in accordance with normal accounting practices;   (ii) the fair market value of the assets of each funded Foreign Plan, the liability of   each insurer for any Foreign Plan funded through insurance or the book reserve established for   any Foreign Plan, together with any accrued contributions, is sufficient to procure or provide for   the accrued benefit obligations with respect to all current and former participants in such Foreign   Plan according to the actuarial assumptions and valuations most recently used to account for such   obligations in accordance with applicable generally accepted accounting principles; and   (iii) each Foreign Plan required to be registered has been registered and has been   maintained in good standing with applicable regulatory authorities.   5.13. Subsidiaries; Equity Interests.  As of the Closing Date, the Company has no   Subsidiaries other than those specifically disclosed in Part (a) of Schedule 5.13, and all of the outstanding   Equity Interests in such Subsidiaries have been validly issued, are fully paid and nonassessable and are   owned by a Loan Party in the amounts specified on Part (a) of Schedule 5.13 free and clear of all Liens.    As of the Closing Date, the Company has no equity investments in any other corporation or entity other   than those specifically disclosed in Part (b) of Schedule 5.13.  All of the outstanding Equity Interests in   the Company have been validly issued and are fully paid and nonassessable.   5.14. Margin Regulations; Investment Company Act; Other Regulations.   (a) No Borrower is engaged or will engage, principally or as one of its important activities,   in the business of purchasing or carrying margin stock (within the meaning of Regulation U issued by   the FRB), or extending credit for the purpose of purchasing or carrying margin stock.  Following the   application of the proceeds of each Borrowing or drawing under each Letter of Credit or Banker’s   Acceptance, not more than 25% of the value of the assets (either of any Borrower only or of any   Borrower and its Subsidiaries on a consolidated basis) will be margin stock. If requested by any Lender   or the Administrative Agent, the applicable Borrower will furnish to the Administrative Agent and each   Lender a statement to the foregoing effect in conformity with the requirements of FR Form G-3 or FR   Form U-1, as applicable, referred to in Regulation U.    (b) None of the Company, any Person Controlling the Company, or any Subsidiary is   required to be registered as an “investment company” under the Investment Company Act of 1940, as   amended.   (c) No Loan Party is subject to regulation under any Law (other than Regulation X issued   by the FRB) that limits its ability to incur Indebtedness.    5.15. Disclosure.  As of the Closing Date, the Company has disclosed to the Administrative   Agent and the Lenders all agreements, instruments and corporate or other restrictions to which it or any of   its Subsidiaries is subject, and all other matters known to it, that, individually or in the aggregate, could   reasonably be expected to result in a Material Adverse Effect.  No report, financial statement, certificate   or other information furnished (whether in writing or orally) by or on behalf of any Loan Party to the   Administrative Agent or any Lender in connection with the transactions contemplated hereby and the   negotiation of this Agreement or delivered hereunder or under any other Loan Document (in each case, as     

 

       67   modified or supplemented by other information so furnished) contains any material misstatement of fact   or omits to state any material fact necessary to make the statements therein, in the light of the   circumstances under which they were made, not misleading; provided that, with respect to projected   financial information, the Company represents only that such information was prepared in good faith   based upon assumptions believed to be reasonable at the time.   5.16. Compliance with Laws.  Each Loan Party and each Subsidiary thereof is in compliance   in all material respects with the requirements of all Laws and all orders, writs, injunctions and decrees   applicable to it or to its properties, except in such instances in which (a) such requirement of Law or   order, writ, injunction or decree is being contested in good faith by appropriate proceedings diligently   conducted or (b) the failure to comply therewith, either individually or in the aggregate, could not   reasonably be expected to have a Material Adverse Effect.   5.17. Taxpayer Identification Number; Other Identifying Information.  The true and   correct U.S. taxpayer identification number of the Company and each Designated Borrower that is a   Domestic Subsidiary and a party hereto on the Closing Date is set forth on Schedule 5.17.  The true and   correct unique identification number (if any) of each Designated Borrower that is a Foreign Subsidiary   and a party hereto on the Closing Date that has been issued by its jurisdiction of organization and the   name of such jurisdiction are set forth on Schedule 5.17.   5.18. Intellectual Property; Licenses, Etc.  Except as could not reasonably be expected to   result in a Material Adverse Effect, the Company and its Subsidiaries own, or possess the right to use, all   of the trademarks, service marks, logos, domain names, trade names, copyrights, patents, patent rights,   know-how, trade secrets, proprietary confidential information franchises, licenses and other intellectual   property rights, and all registrations and applications for registration of the foregoing (collectively, “IP   Rights”) that are reasonably necessary for the operation of their respective businesses, without conflict   with the rights of any other Person and free of clear of all Liens, other than Liens permitted under Section   7.01.  No slogan or other advertising device, product, process, method, substance, part or other material or   intellectual property now employed, or contemplated to be employed, by the Company or any Subsidiary   infringes upon any rights held by any other Person, except for any such infringement which, either   individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect.  Set   forth on Schedule 5.18 hereto is a complete list of all patents, trademarks and copyrights owned by the   Company and its Subsidiaries as of the Closing Date, and all such items are valid and subsisting as of   such date.  No claim or litigation regarding any of the foregoing is pending or, to the best knowledge of   the Company, threatened, which, either individually or in the aggregate, could reasonably be expected to   have a Material Adverse Effect.   5.19. Perfection of Security Interest.  The Security Documents are effective to create in favor   of the Administrative Agent, for the benefit of the Lenders, a legal, valid and enforceable security interest   in the Collateral described in each respective document and the proceeds thereof. In the case of the   pledged stock described in each Pledge Agreement, when stock certificates representing pledged stock are   delivered to the Administrative Agent (together with a properly completed and signed stock power or   endorsement), and in the case of other Collateral described in each Security Document, when financing   statements and other filings specified on Schedule 5.19 in appropriate form are filed in the offices   specified on Schedule 5.19, the Security Documents shall constitute fully perfected Liens on, and security   interests in, all rights, titles and interests of the Loan Parties in such Collateral and the proceeds thereof,   as security for the Obligations, in each case prior and superior in right to any other Person (except, in the   case of Collateral other than pledged stock, Liens permitted by Section 7.01).   5.20. Properties.     

 

       68   (a) Each of the Company and its Subsidiaries has good and marketable title to, or valid,   subsisting and enforceable leasehold interests in, all of its Properties material to its business.  All   machinery and equipment of each of the Company and its Subsidiaries is in good operating condition   and repair, and all necessary replacements of and repairs thereto have be made so as to preserve and   maintain the value and operating efficiency of such machinery and equipment.   (b) As of the Closing Date, Schedule 5.20 annexed hereto contains a true, accurate and   complete list of all fee and leasehold real property assets of the Company and its Subsidiaries.   5.21. Solvency.  Upon and immediately after consummation of the transactions contemplated   hereby, the Loan Parties, taken as a whole, are and will continue to be Solvent.   5.22. Bank Accounts.  Schedule 5.22 lists all banks and other financial institutions at which   the Company and each of its Domestic Subsidiaries maintains deposits and/or other accounts as of the   Closing Date, and such Schedule correctly identifies the name and address of each depository, the name   in which the account is held, a description of the purpose of the account, and the complete account   number.   5.23. Obligations as Senior Debt.  The Obligations constitute Designated Senior Indebtedness   (as defined in the Senior Subordinated Note Indenture). As such, all of the Obligations (and the   Administrative Agent and Lenders) are entitled to the benefits of each of the subordination and other   provisions contained in the Senior Subordinated Note Indenture which are available in respect of   Designated Senior Indebtedness (and to the holders thereof), and each of such subordination and other   provisions is in full force and effect and is enforceable in accordance with its terms.   5.24. Use of Proceeds.  The Company and its Subsidiaries will use the proceeds of the Loans   for the purposes specified in Section 6.11 and not for any other purpose.   5.25. Representations as to Foreign Loan Parties.  Each of the Company and each Foreign   Loan Party represents and warrants to the Administrative Agent and the Lenders that:   (a) Such Foreign Loan Party is subject to civil and commercial Laws with respect to its   obligations under this Agreement and the other Loan Documents to which it is a party (collectively as   to such Foreign Loan Party, the “Applicable Foreign Loan Party Documents”), and the execution,   delivery and performance by such Foreign Loan Party of the Applicable Foreign Loan Party Documents   constitute and will constitute private and commercial acts and not public or governmental acts.  Neither   such Foreign Loan Party nor any of its property has any immunity from jurisdiction of any court or   from any legal process (whether through service or notice, attachment prior to judgment, attachment in   aid of execution, execution or otherwise) under the laws of the jurisdiction in which such Foreign Loan   Party is organized and existing in respect of its obligations under the Applicable Foreign Loan Party   Documents.   (b) The Applicable Foreign Loan Party Documents are in proper legal form under the   Laws of the jurisdiction in which such Foreign Loan Party is organized and existing for the enforcement   thereof against such Foreign Loan Party under the Laws of such jurisdiction, and to ensure the legality,   validity, enforceability, priority or admissibility in evidence of the Applicable Foreign Loan Party   Documents.  It is not necessary to ensure the legality, validity, enforceability, priority or admissibility   in evidence of the Applicable Foreign Loan Party Documents that the Applicable Foreign Loan Party   Documents be filed, registered or recorded with, or executed or notarized before, any court or other   authority in the jurisdiction in which such Foreign Loan Party is organized and existing, or that any   registration charge or stamp or similar tax be paid on or in respect of the Applicable Foreign Loan Party     

 

       69   Documents or any other document, except for (i) any such filing, registration, recording, execution or   notarization as has been made or is not required to be made until the Applicable Foreign Loan Party   Document or any other document is sought to be enforced and (ii) any charge or tax as has been timely   paid.   (c) The execution, delivery and performance of the Applicable Foreign Loan Party   Documents executed by such Foreign Loan Party are, under applicable foreign exchange control   regulations of the jurisdiction in which such Foreign Loan Party is organized and existing, not subject   to any notification or authorization except (i) such as have been made or obtained or (ii) such as cannot   be made or obtained until a later date (provided that any notification or authorization described in   clause (ii) shall be made or obtained as soon as is reasonably practicable).   5.26. Anti-Corruption Laws and Sanctions.  The Company has implemented and maintains   in effect policies and procedures designed to ensure compliance by the Company, its Subsidiaries and   their respective directors, officers, employees and agents with Anti-Corruption Laws and applicable   Sanctions, and the Company, its Subsidiaries and their respective officers and employees, and to the   knowledge of the Company its directors and agents, are in compliance with Anti-Corruption Laws and   applicable Sanctions in all material respects and are not knowingly engaged in any activity that would   reasonably be expected to result in the Company being designated as a Sanctioned Person.  None of (a)   the Company, any Subsidiary or any of their respective directors, officers or employees, or (b) to the   knowledge of the Company, any agent of the Company 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 Loan,   Letter of Credit or Bankers’ Acceptance, use of proceeds or other transaction contemplated by this   Agreement will violate Anti-Corruption Laws or applicable Sanctions.   ARTICLE VI.   AFFIRMATIVE COVENANTS   So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation   hereunder shall remain unpaid or unsatisfied, or any Letter of Credit or Bankers’ Acceptance shall remain   outstanding, the Company shall, and shall (except in the case of the covenants set forth in Sections 6.01,   6.02, and 6.03) cause each Subsidiary to:   6.01. Financial Statements.  Deliver to the Administrative Agent and each Lender, in form   and detail satisfactory to the Administrative Agent and the Required Lenders:   (a) as soon as available, but in any event within 90 days after the end of each fiscal year of   the Company and its Subsidiaries, a consolidated and consolidating balance sheet of the Company and   its Subsidiaries as at the end of such fiscal year, and the related consolidated statements of income or   operations, shareholders’ equity and cash flows and consolidating statements of income or operations   for such fiscal year, setting forth in each case in comparative form the figures for the previous fiscal   year, all in reasonable detail and prepared in accordance with GAAP, such consolidated statements to   be audited and accompanied by (i) a report and opinion of Ernst & Young LLP or another Registered   Public Accounting Firm of nationally recognized standing reasonably acceptable to the Required   Lenders, which report and opinion shall be prepared in accordance with generally accepted auditing   standards and applicable Securities Laws and shall not be subject to any “going concern” or like   qualification or exception or any qualification or exception as to the scope of such audit and (ii) an   opinion of such Registered Public Accounting Firm independently assessing the Company’s internal   controls over financial reporting in accordance with Item 308 of SEC Regulation S-K, PCAOB   Auditing Standard No. 2, and Section 404 of Sarbanes-Oxley, and such consolidating statements to be   certified by the chief executive officer, chief financial officer, treasurer or controller of the Company to     

 

       70   the effect that such statements are fairly stated in all material respects when considered in relation to the   consolidated financial statements of the Company and its Subsidiaries;   (b) as soon as available, but in any event within 45 days after the end of each of the first   three fiscal quarters of each fiscal year of the Company and its Subsidiaries, a consolidated and   consolidating balance sheet of the Company and its Subsidiaries as at the end of such fiscal quarter, and   the related consolidated statements of income or operations, shareholders’ equity and cash flows and   consolidating statements of income or operations for such fiscal quarter and for the portion of the   Company’s fiscal year then ended, setting forth in each case in comparative form the figures for the   corresponding fiscal quarter of the previous fiscal year and the corresponding portion of the previous   fiscal year, all in reasonable detail and certified by the chief executive officer, chief financial officer,   treasurer or controller of the Company as fairly presenting in all material respects the financial   condition, results of operations, shareholders’ equity and cash flows of the Company and its   Subsidiaries in accordance with GAAP, subject only to normal year-end audit adjustments and the   absence of footnotes; and   (c) as soon as available, but in any event no later than 30 days after the start of each fiscal   year of the Company, budgets prepared by management of the Company, in form satisfactory to the   Administrative Agent, of consolidated balance sheets and statements of income or operations and   consolidated cash flows of the Company and its Subsidiaries on a quarterly basis for such fiscal year.   As to any information contained in materials furnished pursuant to Section 6.02(c), the Company   shall not be separately required to furnish such information under clause (a) or (b) above, but the   foregoing shall not be in derogation of the obligation of the Company to furnish the information and   materials described in clauses (a) and (b) above at the times specified therein.   6.02. Certificates; Other Information.  Deliver to the Administrative Agent and each Lender   (or, in the case of clause (f), to the relevant Lender), in form and detail satisfactory to the Administrative   Agent and the Required Lenders:   (a) concurrently with the delivery of the financial statements referred to in Sections 6.01(a)   and (b), a duly completed Compliance Certificate signed by the chief executive officer, chief financial   officer, treasurer or controller of the Company;   (b) promptly after any request by the Administrative Agent or any Lender, copies of any   detailed audit reports, management letters or recommendations submitted to the board of directors (or   the audit committee of the board of directors) of the Company by independent accountants in   connection with the accounts or books of the Company or any Subsidiary, or any audit of any of them;   (c) promptly after the same are available, copies of each annual report, proxy or financial   statement or other report or communication sent to the stockholders of the Company, and copies of all   annual, regular, periodic and special reports and registration statements which the Company may file or   be required to file with the SEC under Section 13 or 15(d) of the Securities Exchange Act of 1934, and   not otherwise required to be delivered to the Administrative Agent pursuant hereto;   (d) promptly after the furnishing thereof, copies of any statement or report furnished to any   holder of debt securities having an aggregate principal amount in excess of the Threshold Amount of   any Loan Party or any Subsidiary thereof pursuant to the terms of any indenture, loan or credit or   similar agreement and not otherwise required to be furnished to the Lenders pursuant to Section 6.01 or   any other clause of this Section 6.02;     

 

       71   (e) promptly, and in any event within five Business Days after receipt thereof by any Loan   Party or any Subsidiary thereof, copies of each notice or other correspondence received from the SEC   (or comparable agency in any applicable non-U.S. jurisdiction) concerning any investigation or possible   investigation or other inquiry by such agency regarding financial or other operational results of any   Loan Party or any Subsidiary thereof if, and only to the extent that, such Loan Party or Subsidiary may   provide such information in accordance with applicable Law;    (f) promptly, such additional information regarding the business, financial or corporate   affairs of the Company or any Subsidiary, or compliance with the terms of the Loan Documents, as the   Administrative Agent or any Lender may from time to time reasonably request; and    (g) only upon reasonable written request of the Administrative Agent, copies of any   documents described in Section 101(k) or 101(l) of ERISA that any Loan Party or any ERISA Affiliate   may request and receive with respect to any Multiemployer Plan or any documents described in Section   101(f) of ERISA that the administrator of any Pension Plan is required to provide.   Each Borrower hereby acknowledges that (a) the Administrative Agent and/or the Joint Lead   Arrangers will make available to the Lenders and the Issuing Lender materials and/or information   provided by or on behalf of such Borrower hereunder (collectively, “Borrower Materials”) by posting the   Borrower Materials on Intralinks or another similar electronic system (the “Platform”) and (b) certain of   the Lenders (each, a “Public Lender”) may have personnel who do not wish to receive material non-   public information with respect to any of the Borrowers or their respective Affiliates, or the respective   securities of any of the foregoing, and who may be engaged in investment and other market-related   activities with respect to such Persons’ securities.  Each Borrower hereby agrees that (w) all Borrower   Materials that are to be made available to Public Lenders shall be clearly and conspicuously marked   “PUBLIC” which, at a minimum, shall mean that the word “PUBLIC” shall appear prominently on the   first page thereof; (x) by marking Borrower Materials “PUBLIC,” the Borrowers shall be deemed to have   authorized the Administrative Agent, the Joint Lead Arrangers, any Issuing Lender and the Lenders to   treat such Borrower Materials as not containing any material non-public information with respect to the   Borrowers or their respective securities for purposes of United States Federal and state securities laws   (provided, however, that to the extent such Borrower Materials constitute Information, they shall be   treated as set forth in Section 10.15); (y) all Borrower Materials marked “PUBLIC” are permitted to be   made available through a portion of the Platform designated “Public Side Information;” and (z) the   Administrative Agent and the Joint Lead Arrangers shall be entitled to treat any Borrower Materials that   are not marked “PUBLIC” as being suitable only for posting on a portion of the Platform not designated   “Public Side Information.”  For the avoidance of doubt, it is acknowledged and agreed that, as of the   Closing Date, none of the Lenders is a Public Lender.   6.03. Notices.  Promptly after a Responsible Officer of any Borrower, or any other officer or   employee of any Borrower responsible for administering any of the Loan Documents or monitoring   compliance with any of the provisions thereof, in either case obtains knowledge thereof, notify the   Administrative Agent and each Lender of:   (a) the occurrence of any Default;   (b) any matter that has resulted or could reasonably be expected to result in a Material   Adverse Effect, including (i) breach or non-performance of, or any default under, a Contractual   Obligation of the Company or any Subsidiary; (ii) any dispute, litigation, investigation, proceeding or   suspension between the Company or any Subsidiary and any Governmental Authority; or (iii) the   commencement of, or any material development in, any litigation or proceeding affecting the Company   or any Subsidiary, including pursuant to any applicable Environmental Laws;     

 

       72   (c) the occurrence of any ERISA Event;   (d) any material change in accounting policies or financial reporting practices by the   Company or any Subsidiary; and   (e) the determination by the Registered Public Accounting Firm providing the opinion   required under Section 6.01(a)(ii) (in connection with its preparation of such opinion) or the Company’s   determination at any time of the occurrence or existence of any Internal Control Event.   Each notice pursuant to this Section 6.03 shall be accompanied by a statement of a Responsible   Officer of the Company setting forth details of the occurrence referred to therein and stating what action   the Company has taken and proposes to take with respect thereto.  Each notice pursuant to Section 6.03(a)   shall describe with particularity any and all provisions of this Agreement and any other Loan Document   that have been breached.   6.04. Payment of Obligations.  Pay and discharge as the same shall become due and payable,   all its obligations and liabilities, including (a) all material tax liabilities, assessments and governmental   charges or levies upon it or its properties or assets, unless the same are being contested in good faith by   appropriate proceedings diligently conducted and adequate reserves in accordance with GAAP are being   maintained by the Company or such Subsidiary; (b) all lawful claims which, if unpaid, would by law   become a Lien upon its property (other than a Lien permitted under Section 7.01); and (c) all   Indebtedness, as and when due and payable, but subject to any subordination provisions contained in any   instrument or agreement evidencing such Indebtedness.   6.05. Preservation of Existence, Etc.  (a) Preserve, renew and maintain in full force and effect   its legal existence, center of main interest (COMI), and good standing, as applicable, under the Laws of   the jurisdiction of its organization except in a transaction permitted by Section 7.04 or 7.05; (b) take all   reasonable action to maintain all rights, privileges, permits, licenses and franchises necessary or desirable   in the normal conduct of its business, except to the extent that failure to do so could not reasonably be   expected to have a Material Adverse Effect; (c) preserve or renew all of its registered patents, trademarks,   trade names and service marks, the non-preservation of which could reasonably be expected to have a   Material Adverse Effect; and (d) maintain in effect and enforce policies and procedures designed to   ensure compliance by the Company, its Subsidiaries and their respective directors, officers, employees   and agents with Anti-Corruption Laws and applicable Sanctions.   6.06. Maintenance of Properties.  Except where the failure to do so could not reasonably be   expected to have a Material Adverse Effect, (a) maintain, preserve and protect all of its properties and   equipment necessary in the operation of its business in good working order and condition, ordinary wear   and tear excepted; (b) make all necessary repairs thereto and renewals and replacements thereof; and (c)   use the standard of care typical in the industry in the operation and maintenance of its facilities.   6.07. Maintenance of Insurance.  Maintain with financially sound and reputable insurance   companies not Affiliates of the Company, insurance with respect to its properties and business against   loss or damage of the kinds customarily insured against by Persons engaged in the same or similar   business, of such types and in such amounts (after giving effect to any insurance coverage from CM   Insurance Company, Inc. compatible with the following standards) as are customarily carried under   similar circumstances by such other Persons and providing for not less than 30 days’ prior notice to the   Administrative Agent of termination, lapse or cancellation of such insurance.   6.08. Compliance with Laws, Organizational Documents and Contractual Obligations.    (a) Comply in all material respects with the requirements of all Laws and all orders, writs, injunctions and     

 

       73   decrees applicable to it or to its business or property, except in such instances in which (1) such   requirement of Law or order, writ, injunction or decree is being contested in good faith by appropriate   proceedings diligently conducted; or (2) the failure to comply therewith could not reasonably be expected   to have a Material Adverse Effect and (b) comply with all Organization Documents and, except where the   failure to comply therewith could not reasonably be expected to have a Material Adverse Effect, all   material Contractual Obligations.   6.09. Books and Records.  (a) Maintain proper books of record and account, in which full,   true and correct entries in conformity with GAAP consistently applied shall be made of all financial   transactions and matters involving the assets and business of the Company or such Subsidiary, as the case   may be; and (b) maintain such books of record and account in material conformity with all applicable   requirements of any Governmental Authority having regulatory jurisdiction over the Company or such   Subsidiary, as the case may be.   6.10. Inspection Rights.  Permit representatives and independent contractors of the   Administrative Agent and each Lender to visit and inspect any of its properties (provided that with respect   to any leased property, such inspection shall not violate the terms of the applicable lease), to examine its   corporate, financial and operating records, and make copies thereof or abstracts therefrom, and to discuss   its affairs, finances and accounts with its directors, officers, and independent public accountants, all at the   expense of the Company and at such reasonable times during normal business hours and as often as may   be reasonably desired, upon reasonable advance notice to the Company; provided, however, that (i) unless   an Event of Default is continuing, no such authorized representatives shall so visit, inspect or examine   more than once in any calendar year, (ii) representatives of any Lender may do any of the forgoing, at its   own expense, at reasonable times during normal business hours upon reasonable advance notice to the   applicable Borrower and (iii) when an Event of Default exists the Administrative Agent or any Lender (or   any of their respective representatives or independent contractors) may do any of the foregoing at the   expense of the Company at any time during normal business hours and without advance notice.   6.11. Use of Proceeds.  Use the proceeds of the (a) Delayed Draw Term Loan to redeem the   Senior Subordinated Notes and (b) Revolving Extensions of Credit for (1) general corporate purposes,   including working capital, capital expenditures and other lawful corporate purposes, (2) to finance   acquisitions permitted pursuant to Section 7.02 and (3) to finance, in part, the redemption of the Senior   Subordinated Notes.   6.12. Additional Guarantors and Pledgors.     (a) Notify the Administrative Agent at the time that any Person becomes a Subsidiary and   promptly thereafter (and in any event within 30 days), (i) provided that such Subsidiary is a Domestic   Subsidiary and a Significant Subsidiary, cause such Person to (x) guarantee all Obligations, by   executing and delivering to the Administrative Agent a Guarantee or such other document as the   Administrative Agent shall deem reasonably appropriate for such purpose and (y) secure all of its   Obligations as described in Section 2.26 by providing the Administrative Agent with a first priority   perfected security interest (subject only to Liens permitted by Section 7.01 entitled to priority under   applicable law) on its assets and by executing a security agreement and such other documents as the   Administrative Agent shall deem reasonably appropriate for such purpose, (ii) if such Subsidiary is a   Domestic Subsidiary, a Foreign Subsidiary of a Foreign Loan Party organized in the same jurisdiction   as any Foreign Loan Party or a first-tier Foreign Subsidiary of a Domestic Loan Party, the parent entity   of such Person shall pledge the equity of such Subsidiary as security for the Obligations; provided that,   such equity pledge of a Foreign Subsidiary of a Foreign Loan Party shall secure only Foreign Loan   Party Obligations; provided further that, such equity pledge or security interest in a Foreign Subsidiary   of a Domestic Loan Party shall be limited to 65% of the capital stock of such Foreign Subsidiary to the     

 

       74   extent the pledge or security interest secures Domestic Loan Party Obligations, and (iii) deliver to the   Administrative Agent documents of the types referred to in clauses (iii) and (iv) of Section 4.01(a) and   favorable opinions of counsel to such Person (which shall cover, among other things, the legality,   validity, binding effect and enforceability of the documentation referred to in clauses (i) and (ii)), all in   form, content and scope reasonably satisfactory to the Administrative Agent.  For the avoidance of   doubt, no actions shall be required to perfect any pledge of the equity of a Foreign Subsidiary of a   Domestic Loan Party under the laws of the jurisdiction where such Foreign Subsidiary is organized.   (b) Prior to any Domestic Subsidiary becoming a Designated Borrower (i) cause such   Person to (x) guarantee all Obligations by executing and delivering to the Administrative Agent a   Guarantee or such other document as the Administrative Agent shall deem appropriate for such purpose   and (y) secure all of its Obligations as described in Section 2.26 by providing the Administrative Agent   with a first priority perfected security interest (subject only to Liens permitted by Section 7.01 entitled   to priority under applicable law) on its assets and executing a security agreement and such other   documents as the Administrative Agent shall deem appropriate for such purpose, (ii) the parent entity of   such Person shall pledge the equity of such Subsidiary as security for the Obligations (except to the   extent the parent entity is not a U.S. Person, in which case the pledge of the equity of such Subsidiary   shall serve as security of only Foreign Loan Party Obligations), and (iii) deliver to the Administrative   Agent documents of the types referred to in clauses (iii) and (iv) of Section 4.01(a) and favorable   opinions of counsel to such Person (which shall cover, among other things, the legality, validity,   binding effect and enforceability of the documentation referred to in clauses (i) and (ii)), all in form,   content and scope reasonably satisfactory to the Administrative Agent.   (c) Prior to any Foreign Subsidiary becoming a Designated Borrower, (i) cause such   Person and such Person’s Subsidiaries to (x) guarantee all Obligations (or, if such Person is a Foreign   Subsidiary and (A) executing a Guarantee would result in a materially adverse tax consequence to the   Loan Parties, all Foreign Loan Party Obligations or (B) if the Company determines in good faith that a   guarantee of all Obligations or all Foreign Obligations by any such Person would not be advisable due   to local solvency or similar restrictions, all Obligations of its parent that is a Foreign Borrower) by   executing and delivering to the Administrative Agent a Guarantee or such other document as the   Administrative Agent shall deem reasonably appropriate for such purpose and (y) secure all of their   Obligations by providing the Administrative Agent with a first priority perfected security interest   (subject only to Liens permitted by Section 7.01 entitled to priority under applicable law) on its assets   and by executing a security agreement and such other documents as the Administrative Agent shall   deem reasonably appropriate for such purpose, (ii) the parent entity of such Person shall pledge the   equity of such Subsidiary as security for the Obligations; provided that, if the Foreign Subsidiary is not   a first-tier Foreign Subsidiary of a Domestic Loan Party, the pledge of the equity of such Subsidiary   shall serve only as security of Foreign Loan Party Obligations; provided further that, if the Foreign   Subsidiary is a first-tier Foreign Subsidiary of a Domestic Loan Party, such equity pledge shall be   limited to 65% of the capital stock of such first-tier Foreign Subsidiary to the extent the pledge secures   Domestic Loan Party Obligations (for the avoidance of doubt, to the extent the equity pledge of the   first-tier Foreign Subsidiary secures Foreign Loan Party Obligations, such limitation shall not apply),   and (iii) deliver to the Administrative Agent documents of the types referred to in clauses (iii) and (iv)   of Section 4.01(a) and favorable opinions of counsel to such Person (which shall cover, among other   things, the legality, validity, binding effect and enforceability of the documentation referred to in   clauses (i) and (ii)), all in form, content and scope reasonably satisfactory to the Administrative Agent.   (d) Prior to any Subsidiary becoming a Designated Borrower, each Borrower shall have   executed a Guarantee, in form and substance satisfactory to the Administrative Agent; provided that,   any Guarantee provided by a Foreign Borrower shall be limited to a guarantee of the Foreign Loan   Party Obligations.     

 

       75   (e) Notwithstanding anything to the contrary contained in this Section 6.12, the Company   may exclude any Foreign Subsidiary of any Foreign Borrower from the requirement that such   Subsidiary execute a Guarantee and Security Agreement to the extent and for so long as (i) such   Foreign Borrower and its Foreign Subsidiaries that have executed a Guarantee and Security Agreement   account for at least 50% of the assets of such Foreign Borrower and its Foreign Subsidiaries and (ii) no   Loan proceeds are made available to such Foreign Subsidiary.   6.13. Approvals and Authorizations.  Maintain all authorizations, consents, approvals and   licenses from, exemptions of, and filings and registrations with, each Governmental Authority of the   jurisdiction in which each Foreign Loan Party is organized and existing, and all approvals and consents of   each other Person in such jurisdiction, in each case that are required in connection with the Loan   Documents, except where the failure to comply therewith could not reasonably be expected to have a   Material Adverse Effect.   6.14. Environmental Laws. (a)  Comply in all material respects with, and ensure compliance   in all material respects by all tenants and subtenants, if any, with, all applicable Environmental Laws, and   obtain and comply in all material respects with and maintain, and ensure that all tenants and subtenants   obtain and comply in all material respects with and maintain, any and all licenses, approvals,   notifications, registrations or permits required by applicable Environmental Laws.   (b) Conduct and complete all investigations, studies, sampling and testing, and all   remedial, removal and other actions required under Environmental Laws and promptly comply in all   material respects with all lawful orders and directives of all Governmental Authorities regarding   Environmental Laws.   6.15. Centre of Main Interest and Establishment. Each of the Dutch Borrower and the   German Borrower shall maintain its centre of main interest in the Netherlands and Germany, respectively,   for the purposes of the Insolvency Regulation.   ARTICLE VII.   NEGATIVE COVENANTS   So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation   hereunder shall remain unpaid or unsatisfied, or any Letter of Credit or Bankers’ Acceptance shall remain   outstanding, the Company shall not, nor shall it permit any Subsidiary to, directly or indirectly:   7.01. Liens.  Create, incur, assume or suffer to exist any Lien upon any of its property, assets   or revenues, whether now owned or hereafter acquired, other than the following:   (a) Liens created pursuant to any Loan Document;   (b) Liens existing on the Closing Date and listed on Schedule 7.01 and any renewals or   extensions thereof, provided that (i) the property covered thereby is not changed, (ii) the amount   secured or benefited thereby is not increased except as contemplated by Section 7.03(b), (iii) the direct   or any contingent obligor with respect thereto is not changed, and (iv) any renewal or extension of the   obligations secured or benefited thereby is permitted by Section 7.03(b);   (c) Liens for Taxes, assessments or governmental charges not yet due or which are being   contested in good faith and by appropriate proceedings diligently conducted, if adequate reserves with   respect thereto are maintained on the books of the applicable Person in accordance with GAAP;     

 

       76   (d) carriers’, warehousemen’s, mechanics’, materialmen’s, repairmen’s or other like Liens   arising in the ordinary course of business which are not overdue for a period of more than 60 days or   which are being contested in good faith and by appropriate proceedings diligently conducted, if   adequate reserves with respect thereto are maintained on the books of the applicable Person;   (e) pledges or deposits in the ordinary course of business in connection with workers’   compensation, unemployment insurance and other social security legislation, other than any Lien   imposed by ERISA;   (f) pledges or deposits to secure the performance of tenders, bids, trade contracts and   leases (other than Indebtedness), statutory obligations, surety and appeal bonds, performance bonds and   other obligations of a like nature incurred in the ordinary course of business;   (g) Liens securing judgments for the payment of money not constituting an Event of   Default under Section 8.01(h);   (h) Liens securing Indebtedness permitted under Section 7.03(e); provided that (i) such   Liens do not at any time encumber any property other than the property financed by such Indebtedness   except that individual financings of equipment provided by one lender of the type permitted under   Section 7.03(e) may be cross collateralized to other financings of equipment provided by such lender of   the type permitted under Section 7.03(e), and (ii) the Indebtedness secured thereby does not exceed the   cost or fair market value, whichever is lower, of the property being acquired on the date of acquisition;    (i) Liens (other than Liens on Equity Interests in any Subsidiary) securing Indebtedness   permitted under Section 7.03(l) so long as such Indebtedness secured by such Liens does not exceed   $20,000,000 at any time;   (j) Liens on property of a Person existing at the time such Person is merged into or   consolidated with the Company or any other Subsidiary or becomes a Subsidiary; provided that such   Liens were not created in contemplation of such merger, consolidation or Investment and do not extend   to any assets other than those of the Person merged into or consolidated with the Company or any   Subsidiary or acquired by the Company or any Subsidiary, and the applicable Indebtedness secured by   such Lien is permitted under Section 7.03(o);    (k) 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;    (l) Liens consisting of an agreement to Dispose of any property in a Disposition permitted   under Section 7.05, in each case, solely to the extent such Disposition would have been permitted on the   date of the creation of such Lien; provided that such Liens encumber only the applicable assets pending   consummation of the Disposition;    (m) (A) leases, licenses, subleases or sublicenses granted to other Persons in the ordinary   course of business which do not (x) interfere in any material respect with the business of the Company   and its Subsidiaries, taken as a whole, or (y) secure any Indebtedness, and (B) the rights reserved or   vested in any Person by the terms of any lease, license, franchise, grant or permit held by the Company   or its Subsidiaries;    (n) Permitted Encumbrances;      

 

       77   (o) (A) statutory and common law rights of set-off and other similar rights and remedies as   to deposits of cash, securities, commodities and other funds in favor of banks, other depositary   institutions, securities or commodities intermediaries or brokerages and (B) Liens of a collecting bank   arising in the ordinary course of business under Section 4-208 of the UCC in effect in the relevant   jurisdiction and covering only the items being collected upon;    (p) Liens securing Indebtedness represented by financed insurance premiums in the   ordinary course of business consistent with past practice, provided that such Liens do not extend to any   property or assets other than the corresponding insurance policies being financed; and   (q) Liens on accounts receivable, the proceeds thereof, and certain ancillary rights relating   thereto of the Company and its Subsidiaries arising under “supply chain financing programs” permitted   under Section 7.05(p) of this Agreement;    (r) Liens arising from precautionary UCC financing statements or similar filings made in   respect of operating leases entered into by the Company or any of its Subsidiaries; and   (s) Liens created pursuant to the general conditions of a bank operating in the Netherlands   based on the general conditions drawn up by the Netherlands Bankers' Association (Nederlandse   Vereniging van Banken) and the Consumers Union (Consumentenbond).   7.02. Investments.  Make or hold any Investments, except:   (a) Investments held by the Company or such Subsidiary in the form of cash equivalents or   short-term marketable debt securities;   (b) Investments of a Loan Party in any of the Company’s Subsidiaries that are not Loan   Parties so long as after giving pro forma effect to such Investment, the Total Leverage Ratio as of the   end of the most recently ended fiscal quarter for which financial statements have been delivered shall   not be greater than 3.00:1.00; provided that if at the time of any Investment, and after giving pro forma   effect thereto, the Total Leverage Ratio as of the end of the most recently ended fiscal quarter for which   financial statements have been delivered would be greater than 3.00:1.00, additional Investments shall   nonetheless be permitted so long as the aggregate amount of such Investments consummated in reliance   on this proviso shall not exceed $10,000,000 in any fiscal year;    (c) advances to officers, directors and employees of the Company and Subsidiaries in an   aggregate amount not to exceed $500,000 at any time outstanding, for travel, entertainment, relocation   and analogous ordinary business purposes;   (d) Investments of the Company in any Domestic Loan Party and Investments of any   Subsidiary in the Company or in a Domestic Loan Party;   (e) Investments consisting of extensions of credit in the nature of accounts receivable or   notes receivable arising from the grant of trade credit in the ordinary course of business, and   Investments received in satisfaction or partial satisfaction thereof from financially troubled account   debtors to the extent reasonably necessary in order to prevent or limit loss;   (f) Guarantees permitted by Section 7.03;     

 

       78   (g) Investments held in the investment portfolio of CM Insurance Company, Inc. of the   type and in amounts in the ordinary course of business of CM Insurance Company, Inc. and consistent   with past practices;   (h) the acquisition of the assets or business of any other Person, or of a division or line of   business of any other Person, or of all or substantially all of the Equity Interests of any other Person   (each purchase or other acquisition made in accordance with this Section 7.02(i), a “Permitted   Acquisition”), so long as (i) immediately prior to and after the making of such acquisition, and after   giving effect thereto, no Default shall have occurred and be continuing, (ii) any such assets acquired   shall be utilized in, and if the acquisition involves a merger, amalgamation, consolidation or stock   acquisition, the target which is the subject of such acquisition shall be engaged in, the same line of   business as the Borrowers, (iii) the board of directors or similar governing body of the target subject to   such acquisition has approved such acquisition, (iv) if the acquisition is an acquisition of Equity   Interests, the Person being acquired shall become a Subsidiary of the Company and such Subsidiary   shall (x) become a Loan Party to the extent required under Section 6.12 and (y) provide security and a   guarantee to the Administrative Agent and the Lenders in accordance with Section 6.12, (v) the Total   Leverage Ratio as of the end of the most recently ended fiscal quarter for which financial statements   have been delivered, calculated on a pro forma basis after giving effect to such acquisition, shall not be   greater than 3.50:1.00; provided that if at the time of any such acquisition, and after giving pro forma   effect thereto, the Total Leverage Ratio as of the end of the most recently ended fiscal quarter for which   financial statements have been delivered would be greater than 3.50:1.00, such acquisition shall   nonetheless be permitted so long as the aggregate amount of such acquisitions consummated in reliance   on this proviso shall not exceed $10,000,000 in any fiscal year, (vi) at least five (5) Business Days prior   to making such acquisition, the Company shall have furnished the Administrative Agent with (x) a   Compliance Certificate, in form and substance satisfactory to the Administrative Agent, demonstrating   compliance with the conditions set forth in clause (v) above, and (y) then-current draft copies of the   purchase and sale material documents;   (i) Investments of any Subsidiary that is not a Loan Party in any other Subsidiary that is   not a Loan Party;   (j) Investments existing on the date hereof;    (k) Investments arising out of the receipt by the Company or any Subsidiary of promissory   notes and other non-cash consideration for the sale of assets permitted under Section 7.05;    (l) deposits made to secure the performance of leases, licenses or contracts in the ordinary   course of business; and   (m) Investments held by Persons whose Equity Interests or assets are acquired in a   Permitted Acquisition after the Closing Date to the extent that such Investments were not made in   contemplation of or in connection with such Permitted Acquisition and were in existence on the date of   such Permitted Acquisition.   7.03. Indebtedness.  Create, incur, assume or suffer to exist any Indebtedness, except:   (a) Indebtedness under the Loan Documents;   (b) Indebtedness outstanding on the Closing Date and listed on Schedule 7.03 and any   refinancings, refundings, renewals or extensions thereof; provided that (i) the amount of such   Indebtedness is not increased at the time of such refinancing, refunding, renewal or extension except by     

 

       79   an amount equal to a reasonable premium or other reasonable amount paid, and fees and expenses   reasonably incurred, in connection with such refinancing and by an amount equal to any existing   commitments unutilized thereunder and (ii) the terms relating to the obligors and guarantors of such   Indebtedness, the principal amount, amortization, maturity, collateral (if any) and subordination (if   any), and other material terms taken as a whole, of any such refinancing, refunding, renewing or   extending Indebtedness, and of any agreement entered into and of any instrument issued in connection   therewith, are no less favorable in any material respect to the Loan Parties or the Lenders than the terms   of any agreement or instrument governing the Indebtedness being refinanced, refunded, renewed or   extended and the interest rate applicable to any such refinancing, refunding, renewing or extending   Indebtedness does not exceed the then applicable market interest rate;   (c) Guarantees of the Company or any Guarantor in respect of Indebtedness otherwise   permitted hereunder of the Company or any Domestic Loan Party;   (d) obligations (contingent or otherwise) of the Company or any Subsidiary existing or   arising under any Swap Contract, provided that such obligations are (or were) entered into by such   Person in the ordinary course of business for the purpose of directly mitigating risks associated with   liabilities, commitments, investments, assets, or property held or reasonably anticipated by such Person,   or changes in the value of securities issued by such Person, and not for purposes of speculation or   taking a “market view;”    (e) Indebtedness of the Company in respect of capital leases, Synthetic Lease Obligations,    purchase money obligations, and any Attributable Indebtedness with respect to any sale-leaseback   transaction, for fixed or capital assets within the limitations set forth in Section 7.01(i); provided,   however, that (i) the aggregate amount of such Indebtedness (other than Indebtedness in respect of the   PILOT Leases) at any one time outstanding shall not exceed $15,000,000 and (ii) the aggregate amount   of Indebtedness in respect of the PILOT Leases shall not exceed $11,000,000;   (f) unsecured Indebtedness so long as (i) immediately prior to and after the incurrence of   such Indebtedness, and after giving effect thereto, no Default shall have occurred and be continuing, (ii)   the documents relating to such Indebtedness are provided to the Administrative Agent prior to the   closing of the incurrence of such Indebtedness (with drafts to be provided a reasonable time in advance   of such closing), (iii) such documents, and the terms and conditions of such Indebtedness, are   reasonably acceptable to the Administrative Agent and (iv) the Company demonstrates that, after giving   pro forma effect to the incurrence of such Indebtedness, it shall be in compliance with the financial   covenants set forth in  Section 7.11;   (g) intercompany loans among the Company and the Loan Parties which are Domestic   Subsidiaries; provided, that (i) the Investment corresponding to such Indebtedness is permitted pursuant   to Section 7.02 hereof, (ii) such intercompany loan is evidenced by a promissory note, (iii) such   promissory note is pledged to the Administrative Agent as security, and (iv) there are no restrictions   whatsoever on the ability of the applicable Loan Party to repay such loan;   (h) Indebtedness of any Foreign Subsidiary in an aggregate amount for all such   Indebtedness not to exceed the local currency equivalent (as determined by the Administrative Agent   from time to time by reference to the Spot Rate) of $30,000,000 in the aggregate at any one time   outstanding; provided that (i) the proceeds of such Indebtedness are used for working capital needs,   capital expenditures and the acquisition of assets or equity interests permitted pursuant to Section 7.02,   (ii) such Indebtedness is incurred solely by such Foreign Subsidiary, (iii) such Indebtedness is either   unsecured or, if such Foreign Subsidiary is not a Loan Party, is secured only by the assets of such   Foreign Subsidiary and (iv) except as permitted under Section 7.02(b) or Section 7.02(i), no guarantee     

 

       80   or other credit support of any kind is provided by any Person (including, without limitation, any Loan   Party) of or for such Indebtedness or any holder thereof; and provided, further, that the Company shall   notify the Administrative Agent in writing in advance prior to permitting such Foreign Subsidiary to   incur any Indebtedness in excess of $5,000,000 under this Section 7.03(h);   (i) Indebtedness of any Subsidiary owing to any Loan Party provided that the Investment   corresponding to such Indebtedness is permitted pursuant to Section 7.02(b);   (j) (i) Indebtedness of the Company in respect of the Senior Subordinated Notes and (ii)   additional unsecured subordinated Indebtedness so long as (A) immediately prior to and after the   incurrence of such Indebtedness, and after giving effect thereto, no Default shall have occurred and be   continuing, (B) the documents relating to such Indebtedness are provided to the Administrative Agent   prior to the closing of the incurrence of such Indebtedness (with drafts to be provided a reasonable time   in advance of such closing), (C) such documents, and the terms and conditions of such Indebtedness are   (x) structured with such subordination terms that are not materially less beneficial to the Lenders and   the Administrative Agent than the subordination terms of the Senior Subordinated Notes, or (y) are   otherwise reasonably acceptable to the Administrative Agent, and (D) the Company demonstrates that,   after giving pro forma effect to the incurrence of such Indebtedness, it shall be in compliance with the   financial covenants set forth in  Section 7.11;   (k) Indebtedness of the Company in respect of unsecured Guarantees issued by the   Company in the ordinary course of business in an amount not to exceed $20,000,000 at any time;   (l) other Indebtedness of the Company and its Domestic Subsidiaries that may be secured   in a principal amount outstanding at any one time not exceeding $20,000,000;   (m) Indebtedness of any Subsidiary that is not a Loan Party to any other Subsidiary that is   not a Loan Party;   (n) Indebtedness consisting of the financing of insurance premiums in the ordinary course   of business consistent with past practice;    (o) Indebtedness of a Person whose Equity Interests or assets are acquired in a Permitted   Acquisition to the extent such Indebtedness is acquired or assumed by the Company or any Subsidiary   in such Permitted Acquisition thereof; provided that such Indebtedness was not incurred in connection   with, or in anticipation of, such Permitted Acquisition;   (p) Indebtedness in respect of netting services, overdraft protections, cash management and   similar arrangements in connection with deposit accounts, in each case in the ordinary course of   business;   (q) Indebtedness of the Company or any of its Subsidiaries in respect of workers’   compensation, severance, health and welfare benefits and similar obligations incurred in the ordinary   course of business; and   (r) any Indebtedness arising under a declaration of joint and several liability used for the   purpose of section 2:403 of the Dutch Civil Code (and any residual liability under such declaration   arising pursuant to section 2:404(2) of the Dutch Civil Code.   To the extent that the creation, incurrence or assumption of any Indebtedness could be   attributable to more than one subsection of this Section 7.03, the Company may allocate such     

 

       81   Indebtedness to any one or more of such subsections and in no event shall the same portion of   Indebtedness be deemed to utilize or be attributable to more than one item; provided that (i) all   Indebtedness created pursuant to the Loan Documents shall be deemed to have been incurred in reliance   on Section 7.03(a) and (ii) all Indebtedness in respect of the Senior Subordinated Notes shall be deemed   to have been incurred in reliance on Section 7.03(j).   For purposes of determining compliance with the Dollar-denominated restrictions in any   subsection of Section 7.03 on the incurrence of Indebtedness, the Dollar-equivalent principal amount of   Indebtedness denominated in a foreign currency shall be calculated based on the relevant currency   exchange rate in effect on the date on which such Indebtedness was incurred, in the case of term debt, or   first committed, in the case of revolving credit debt; provided that if such Indebtedness is incurred to   modify, refinance, refund, renew or extend other Indebtedness denominated in a foreign currency, and   such modification, refinancing, refunding, renewal or extension would cause the applicable Dollar-   denominated restriction to be exceeded if calculated at the relevant currency exchange rate in effect on the   date of such modification, refinancing, refunding, renewal or extension, such Dollar-denominated   restriction shall be deemed not to have been exceeded so long as the principal amount of such refinancing   Indebtedness does not exceed the principal amount of such Indebtedness being modified, refinanced,   refunded, renewed or extended.   7.04. Fundamental Changes.  Merge, dissolve, liquidate, consolidate with or into another   Person, or Dispose of (whether in one transaction or in a series of transactions) all or substantially all of   its assets (whether now owned or hereafter acquired) to or in favor of any Person, except that, so long as   no Default exists or would result therefrom:   (a) any Subsidiary may merge with (i) the Company, provided that the Company shall be   the continuing or surviving Person, or (ii) any one or more other Subsidiaries, provided that (x) when   any Loan Party is merging with another Subsidiary, the Loan Party shall be the continuing or surviving   Person or the surviving Person shall become a Loan Party and (y) when a Domestic Loan Party is a   party to such merger, such Domestic Loan Party shall be the continuing or surviving person; and   (b) any Subsidiary may Dispose of all or substantially all of its assets (upon voluntary   liquidation or otherwise) to the Company or to another Subsidiary; provided that (x) if the transferor in   such a transaction is a Loan Party, then the transferee must either be the Company or a Loan Party or   become a Loan Party and (y) if the transferor is a Domestic Loan Party, then the transferee must be a   Domestic Loan Party.   7.05. Dispositions.  Make any Disposition or enter into any agreement to make any   Disposition, except:   (a) Dispositions of obsolete or worn out property, whether now owned or hereafter   acquired, in the ordinary course of business;   (b) Dispositions of inventory in the ordinary course of business;   (c) Dispositions of equipment or real property to the extent that (i) such property is   exchanged for credit against the purchase price of property used or useful in the business of the   Company and its Subsidiaries or (ii) the proceeds of such Disposition are reasonably promptly applied   to the purchase price of such property;   (d) Dispositions of property by any Subsidiary to the Company or to a wholly-owned   Subsidiary; provided that (i) if the transferor of such property is a Loan Party, the transferee thereof     

 

       82   must be a Loan Party or become a Loan Party and (ii) if the transferor is a Domestic Loan Party, then   the transferee must be a Domestic Loan Party;   (e) Dispositions permitted by Section 7.04;   (f) other than as set forth on Schedule 7.05, non-exclusive licenses of IP Rights in the   ordinary course of business and substantially consistent with past practice for terms not exceeding five   years;   (g) Dispositions by the Company and its Subsidiaries not otherwise permitted under this   Section 7.05; provided that (i) at the time of such Disposition, no Default shall exist or would result   from such Disposition and (ii) the aggregate book value of all property Disposed of in reliance on this   clause (g) in any fiscal year shall not exceed 5% of the total assets (calculated based on book value) of   the Company and its Subsidiaries, calculated as of the first day of such fiscal year;   (h) any Foreign Subsidiary of the Company may sell or dispose of Equity Interests in such   Subsidiary to qualify directors where required by applicable Law or to satisfy other requirements of   applicable Law with respect to the ownership of Equity Interests in Foreign Subsidiaries;   (i) the rental, lease or sublease of real property or equipment in the ordinary course of   business;   (j) transfers of property subject to Recovery Events;   (k) Dispositions in the ordinary course of business consisting of the abandonment,   cancellation, non-renewal or discontinuance of IP Rights which, in the reasonable good faith   determination of the Company, is desirable in the conduct of the business of the Company and its   Subsidiaries and not materially disadvantageous to the interests of the Lenders;   (l) each Loan Party and each of its Subsidiaries may surrender or waive contractual rights   and settle or waive contractual or litigation claims in the ordinary course of business;   (m) the sale or discount without recourse of accounts receivable arising in the ordinary   course of business in connection with the compromise or collection thereof;   (n) to the extent constituting a Disposition, transactions otherwise expressly permitted   under Sections 7.01, 7.02 or 7.06;    (o) to the extent constituting a Disposition, the issuance by the Company of its Equity   Interests; and   (p) the sale from time to time by the Company and its Subsidiaries of accounts receivable,   the proceeds thereof, and certain ancillary rights relating thereto (as the scope of such ancillary rights   shall be approved by the Administrative Agent), in each case, pursuant to “supply chain financing   programs” entered into from time to time by the Company and its Subsidiaries; provided that (i) the   aggregate face amount of accounts receivable so sold in any month pursuant to all such programs does   not exceed an amount equal to 10% of the aggregate consolidated accounts receivable of the Company   and its Subsidiaries as of the last day of the immediately preceding month and (ii) such sales are   consummated on arm’s-length terms and the Company and/or its Subsidiaries receive reasonable   consideration therefor (as determined by the Company in its reasonable business judgment);     

 

       83   provided, however, that any Disposition pursuant to clauses (a) through (p) (except for Dispositions   pursuant to Sections 7.05(e), (h), (j), (k), (l) or (m)) shall be for fair market value.   7.06. Restricted Payments.  Declare or make, directly or indirectly, any Restricted Payment,   or incur any obligation (contingent or otherwise) to do so, except that, so long as no Default shall have   occurred and be continuing at the time of any action described below or would result therefrom:   (a) each Subsidiary may make Restricted Payments to the Borrowers, the Guarantors and   any other Person that owns an Equity Interest in such Subsidiary, ratably according to their respective   holdings of the type of Equity Interest in respect of which such Restricted Payment is being made;   (b) the Company and each Subsidiary may declare and make dividend payments or other   distributions payable solely in the common stock or other common Equity Interests of such Person;   (c) the Company and each Subsidiary may purchase, redeem or otherwise acquire Equity   Interests issued by it with the proceeds received from the substantially concurrent issue of new shares of   its common stock or other common Equity Interests;   (d) payments with respect to any intercompany loan permitted under Section 7.03(g);   (e) the Company may declare or pay cash dividends to its stockholders, and purchase,   redeem or otherwise acquire for cash Equity Interests issued by it so long as, in each case, after giving   pro forma effect to such payment, purchase, redemption or acquisition, the Total Leverage Ratio as of   the end of the most recently ended fiscal quarter for which financial statements have been delivered   shall not be greater than 3.00:1.00 (in the case of any cash dividend to its stockholders, determined as of   the end of the most recently ended fiscal quarter for which financial statements have been delivered   prior to the date of declaration of such dividend (and for the avoidance of doubt, not as of the date of   payment of such dividend); provided that the date of declaration of such dividend reflects the minimum   period required under applicable state law); provided that if at the time of any such payment, purchase,   redemption or acquisition, and after giving pro forma effect thereto, the Total Leverage Ratio as of the   end of the most recently ended fiscal quarter for which financial statements have been delivered would   be greater than 3.00:1.00, such payment, purchase, redemption or acquisition shall nonetheless be   permitted so long as the aggregate amount of such payment, purchase, redemption or acquisition   consummated in reliance on this proviso shall not exceed $10,000,000 in any fiscal year;    (f) the Company may make prepayments or purchases of principal in respect of the   Indebtedness permitted under Section 7.03(j) and Section 7.03(f) so long as (i) the Company   demonstrates that, on a pro forma basis after giving effect to any such Restricted Payment, (A) it is   compliance with the financial covenants set forth in Section 7.11 and (B) Liquidity shall not be less   than $30,000,000, (ii) the aggregate amount of such Restricted Payments in respect of Indebtedness   permitted under Section 7.03(j) made in reliance of this clause (f) during the term of this Agreement   shall not exceed $50,000,000, (iii) any such Restricted Payment is made only with cash on hand of the   Company and its Subsidiaries and not with proceeds of credit extensions hereunder, and (iv) prior to   making any such Restricted Payment in any calendar year, that when aggregated with all other such   Restricted Payments pursuant to this clause (f) made during such calendar year would exceed   $15,000,000, the Company demonstrates that Total Leverage Ratio, calculated on a pro forma basis   after giving effect to such Restricted Payment, shall not be greater than 3.00:1.00;    (g) the Company may make prepayments or purchases of principal in respect of (i) the   Indebtedness permitted under Section 7.03(j), so long as such Restricted Payments are made with the   proceeds of Indebtedness permitted by Section 7.03(j), and (ii) the Indebtedness permitted under     

 

       84   Section 7.03(f), so long as such Restricted Payments are made with the proceeds of Indebtedness   permitted by Section 7.03(f);   (h) provided no Default of the type referred to in Section 8.01(a) or Event of Default shall   have occurred and be continuing or would result therefrom, the Company may make repurchases of   Equity Interests deemed to occur upon the exercise of stock options or warrants if such Equity Interests   represent a portion of the exercise price of such options or warrants or taxes payable in connection with   the vesting or exercise of such stock options or warrants; and   (i) provided no Default of the type referred to in Section 8.01(a) or Event of Default shall   have occurred and be continuing or would result therefrom, the payment of any dividend or distribution   within 60 days after the date of declaration thereof, if on the date of declaration (i) such payment would   have complied with the provisions of this Agreement and (ii) no Default had occurred and was   continuing.   7.07. Change in Nature of Business.  Engage in any material line of business substantially   different from those lines of business conducted by the Company and its Subsidiaries on the Closing Date   or any business substantially related or incidental thereto.   7.08. Transactions with Affiliates.  Enter into any transaction of any kind with any Affiliate   of the Company, whether or not in the ordinary course of business, other than on fair and reasonable   terms substantially as favorable to the Company or such Subsidiary as would be obtainable by the   Company or such Subsidiary at the time in a comparable arm’s length transaction with a Person other   than an Affiliate; provided that the foregoing restriction shall not apply to (i) transactions between or   among Loan Parties; (ii) transactions between or among Subsidiaries of the Company that are not Loan   Parties, (iii) transactions between or among Loan Parties and Subsidiaries and/or other Persons to the   extent such transactions are expressly permitted by Sections 7.01, 7.02, 7.03, 7.04, 7.05 or 7.06, (iv) the   payment of customary directors’ fees and indemnification and reimbursement of expenses to directors,   officers and employees; (v) the issuance of stock and stock options pursuant to the Company’s stock   option plans and stock purchase plans and (vi) reasonable compensation paid to officers and employees in   their capacity as such.   7.09. Burdensome Agreements.  Except as set forth on Schedule 7.09, enter into any   Contractual Obligation (other than this Agreement or any other Loan Document) that (a) limits the ability   (i) of any Subsidiary to make Restricted Payments to the Company or any Loan Party or to otherwise   transfer property to the Company or any Loan Party, (ii) of any Subsidiary to Guarantee the Indebtedness   of the Company or any Loan Party or (iii) of the Company or any Subsidiary to create, incur, assume or   suffer to exist Liens on property (including, for the avoidance of doubt, the fee-owned real property of the   Company or any Subsidiary) of such Person; provided, however, that this clause (iii) shall not prohibit   any negative pledge incurred or provided in favor of any holder of Indebtedness permitted under Section   7.03(e) solely to the extent any such negative pledge relates to the property financed by or the subject of   such Indebtedness; or (b) requires the grant of a Lien to secure an obligation of such Person if a Lien is   granted to secure another obligation of such Person, except in each case for prohibitions or restrictions   existing under or by reason of:   (a) applicable Law;   (b) restrictions imposed by any agreement relating to secured Indebtedness permitted   pursuant to Sections 7.03(e) to the extent that such restrictions apply only to the property or assets   securing such Indebtedness;     

 

       85   (c) customary provisions restricting assignments, subletting, sublicensing, pledging or   other transfers contained in leases, licenses and sales contracts (provided that such restrictions are   limited to the agreement itself or the property or assets subject to such leases, licenses or sales   contracts, as the case may be);   (d) any restriction or encumbrance with respect to any asset which arises in connection   with the Disposition of such asset, if such Disposition is otherwise permitted under Section 7.05; and   (e) restrictions in any agreement in effect at the time any Subsidiary becomes a Subsidiary   of the Company in connection with a Permitted Acquisition, so long as such agreement was not entered   into in connection with, or in anticipation of, such Permitted Acquisition.   7.10. Use of Proceeds.  Use the proceeds of any Loan or Letter of Credit, whether directly or   indirectly, and whether immediately, incidentally or ultimately, (A) to purchase or carry margin stock   (within the meaning of Regulation U of the FRB) or to extend credit to others for the purpose of   purchasing or carrying margin stock or to refund Indebtedness originally incurred for such purpose, (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 any party hereto.   7.11. Financial Covenants.   (a) Minimum Fixed Charge Coverage Ratio.  Permit the Fixed Charge Coverage Ratio,   as at the end of any fiscal quarter, to be less than 1.25:1.00.   (b) Total Leverage Ratio.  Permit the Total Leverage Ratio, as at the end of any fiscal   quarter, to be greater than 3.50:1.00; provided, however, that at the election (which, for the avoidance   of doubt shall occur on no more than two occasions) of the Company (prior notice of which shall be   given to the Administrative Agent), following the consummation of any Material Acquisition, (i) which   is financed with secured Indebtedness, the Total Leverage Ratio (x) as at the end of the fiscal quarter in   which such Material Acquisition occurs and the three fiscal quarters immediately thereafter, shall not be   greater than 4.00:1.00 and (y) as at the end of any fiscal quarter thereafter, the Total Leverage Ratio   shall not be greater than 3.50:1.00; and (ii) which is financed with unsecured or subordinated   Indebtedness, the Total Leverage Ratio as at the end of the fiscal quarter in which such Material   Acquisition occurs and as at the end of any fiscal quarter thereafter, shall not be greater than 4.50:1.00.   For the avoidance of doubt, the Company may elect that the maximum Total Leverage Ratio be   increased in accordance with the proviso contained in the immediately preceding sentence two times   during the term of this Agreement and the Company shall give the Administrative Agent prior written   notice of any such election.   (c) Secured Leverage Ratio. Permit the Secured Leverage Ratio, as at the end of any   fiscal quarter following the consummation of a Material Acquisition financed with unsecured or   subordinated Indebtedness, to be greater than 3.25:1.00.  For the avoidance of doubt, the Company shall   not be required to comply with the Secured Leverage Ratio test set forth in the preceding sentence at   such time as the unsecured or subordinated Indebtedness incurred to finance such Material Acquisition   is repaid in full.    7.12. Modifications of Certain Documents; Designation of Senior Debt.  Consent to any   amendment or modification of or supplement to any of the provisions of any documents or agreements   evidencing or governing the Indebtedness permitted under Section 7.03(j) in a manner materially adverse   to the Lenders.  The Loan Parties will designate the Credit Agreement and the Obligations hereunder as     

 

       86   “Designated Senior Indebtedness” any document governing subordinated indebtedness incurred pursuant   to Section 7.03(j), and will not designate any other Indebtedness as “Designated Senior Indebtedness”   under any document governing any other subordinated indebtedness incurred pursuant to Section 7.03(j)   if, as a result of such designation, any portion of the Obligations would cease to be “Designated Senior   Indebtedness.”   7.13. Sale-Leaseback Transactions.  Directly or indirectly, enter into any arrangements with   any Person whereby such Person shall sell or transfer (or request another Person to purchase) any   property, real, personal or mixed, used or useful in its business, whether now owned or hereafter acquired,   and thereafter rent or lease such property from any Person; provided however, that the Loan Parties may   enter into sale-leaseback transactions (x) with respect to sale-leaseback transaction among their Affiliates,   the Attributable Indebtedness in respect of which is permitted to be incurred pursuant to Section 7.03(e)   and (y) otherwise, if (i) after giving effect on a pro forma basis to any such transaction the Borrowers   shall be in compliance with all other provisions of this Agreement, including Section 7.01 and Section   7.03 and (ii) the gross cash proceeds of any such transaction are at least equal to the fair market value of   such property (as determined in good faith by the Loan Parties).   7.14. Capital Expenditures.  Make or become legally obligated to make any expenditure in   respect of the purchase or other acquisition of any fixed or capital asset (excluding normal replacements   and maintenance which are properly charged to current operations), except for capital expenditures in the   ordinary course of business not exceeding, in the aggregate for the Company and its Subsidiaries,   $30,000,000 per fiscal year; provided, however, that if as of the last day of any fiscal year, the Company   and its Subsidiaries have made less than $30,000,000 of capital expenditures during such fiscal year, such   unused portion (i.e., an amount equal to $30,000,000 less the amount of capital expenditures made) may   be carried over for expenditure in the immediately following fiscal year (it being understood and agreed   that such unused portion from the preceding fiscal year shall be deemed to be expended first in the   subsequent fiscal year); provided further that following a Material Acquisition, capital expenditures in the   ordinary course of business, in the aggregate for the Company and its Subsidiaries, shall not exceed   $40,000,000 per fiscal year (without duplication) provided, however, that if as of the last day of any fiscal   year, the Company and its Subsidiaries have made less than $40,000,000 (without duplication) of capital   expenditures during such fiscal year, such unused portion (i.e., an amount equal to $40,000,000 less the   amount of capital expenditures made) may be carried over for expenditure in the immediately following   fiscal year (it being understood and agreed that such unused portion from the preceding fiscal year shall   be deemed to be expended first in the subsequent fiscal year).    7.15. Changes in Fiscal Periods. Permit the fiscal year of the Company to end on a day other   than March 31 or change the Company’s method of determining fiscal quarters.   ARTICLE VIII.   EVENTS OF DEFAULT AND REMEDIES   8.01. Events of Default.  Any of the following shall constitute an Event of Default:   (a) Non-Payment. Any Borrower or any other Loan Party fails to pay (i) when and as   required to be paid herein, and in the currency required hereunder, any amount of principal of any Loan   or any L/C-B/A Obligation, or (ii) within three Business Days after the same becomes due, any interest   on any Loan or on any Obligation, or any fee due hereunder, or (iii) within five days after the same   becomes due, any other amount payable hereunder or under any other Loan Document; or   (b) Specific Covenants.  The Company fails to perform or observe any term, covenant or   agreement contained in any of Section 6.01, 6.02, 6.03, 6.05(a), 6.07, 6.10, 6.11 or Article VII; or     

 

       87   (c) Other Defaults.  Any Loan Party fails to perform or observe any other covenant or   agreement (not specified in subsection (a) or (b) above) contained in any Loan Document on its part to   be performed or observed and such failure continues for 30 days; or   (d) Representations and Warranties.  Any representation, warranty, certification or   statement of fact made or deemed made by or on behalf of the Company or any other Loan Party herein,   in any other Loan Document, or in any document delivered in connection herewith or therewith shall be   incorrect or misleading in any material respect (except that such materiality qualifier will not be   applicable to any representation, warranty, statement or certification that is already qualified or   modified by materiality in the text thereof) when made or deemed made; or   (e) Cross-Default.  (i) The Company or any Subsidiary (A) fails to make any payment   when due (whether by scheduled maturity, required prepayment, acceleration, demand, or otherwise) in   respect of any (x) Indebtedness or Guarantee (other than Indebtedness hereunder and Indebtedness   under Swap Contracts) having an aggregate principal amount (including undrawn committed or   available amounts and including amounts owing to all creditors under any combined or syndicated   credit arrangement) of more than the Threshold Amount, or (y) Material Rental Obligation, (B) fails to   observe or perform any other agreement or condition relating to any such Indebtedness, Material Rental   Obligation or Guarantee or contained in any instrument or agreement evidencing, securing or relating   thereto, or any other event occurs, the effect of which default or other event is to cause, or to permit the   holder or holders of such Indebtedness or the beneficiary or beneficiaries of such Material Rental   Obligation or Guarantee (or a trustee or agent on behalf of such holder or holders or beneficiary or   beneficiaries) to cause, with the giving of notice if required, such Indebtedness or Material Rental   Obligation to be demanded or to become due or to be repurchased, prepaid, defeased or redeemed   (automatically or otherwise), or an offer to repurchase, prepay, defease or redeem such Indebtedness to   be made, prior to its stated maturity, or such Guarantee to become payable or cash collateral in respect   thereof to be demanded; or (ii) there occurs under any Swap Contract an Early Termination Date (as   defined in such Swap Contract) resulting from (A) any event of default under such Swap Contract as to   which the Company or any Subsidiary is the Defaulting Party (as defined in such Swap Contract) or (B)   any Termination Event (as so defined) under such Swap Contract as to which the Company or any   Subsidiary is an Affected Party (as so defined) and, in either event, the Swap Termination Value owed   by the Company or such Subsidiary as a result thereof is greater than the Threshold Amount; or   (f) Insolvency Proceedings, Etc.  (i) Any Loan Party or any of its Subsidiaries institutes or   consents to the institution of any proceeding under any Debtor Relief Law, or makes an assignment for   the benefit of creditors; or applies for or consents to the appointment of any receiver, trustee, custodian,   conservator, liquidator, rehabilitator or similar officer for it or for all or any material part of its   property; or any receiver, trustee, custodian, conservator, liquidator, rehabilitator or similar officer is   appointed without the application or consent of such Person and the appointment continues   undischarged or unstayed for 60 calendar days; or any proceeding under any Debtor Relief Law relating   to any such Person or to all or any material part of its property is instituted without the consent of such   Person and continues undismissed or unstayed for 60 calendar days, or an order for relief is entered in   any such proceeding or (ii) the occurrence of a Dutch Insolvency Event with respect to a Loan Party; or   (g) Inability to Pay Debts; Attachment.  (i) The Company or any Subsidiary becomes   unable or admits in writing its inability or fails generally to pay its debts as they become due, or (ii) any   writ or warrant of attachment or execution or similar process is issued or levied against all or any   material part of the property of any such Person and is not released, vacated or fully bonded within 60   days after its issue or levy; or     

 

       88   (h) Judgments.  There is entered against the Company or any Subsidiary (i) one or more   final judgments or orders for the payment of money in an aggregate amount (as to all such judgments or   orders) exceeding the Threshold Amount (to the extent not covered by CM Insurance Company, Inc. or   independent third-party insurance as to which CM Insurance Company, Inc. or such third-party insurer,   as the case may be, does not dispute coverage), or (ii) any one or more non-monetary final judgments   that have, or could reasonably be expected to have, individually or in the aggregate, a Material Adverse   Effect and, in either case, (A) enforcement proceedings are commenced by any creditor upon such   judgment or order, or (B) there is a period of 30 consecutive days during which a stay of enforcement of   such judgment, by reason of a pending appeal or otherwise, is not in effect; or   (i) ERISA.  (i) An ERISA Event occurs with respect to a Pension Plan or Multiemployer   Plan which has resulted or could reasonably be expected to result in liability of the Company or any if   its Subsidiaries under Title IV of ERISA to the Pension Plan, Multiemployer Plan or the PBGC in an   aggregate amount in excess of the Threshold Amount, or (ii) the Company, any of its Subsidiaries, or   any ERISA Affiliate fails to pay when due, after the expiration of any applicable grace period, any   installment payment with respect to its withdrawal liability under Section 4201 of ERISA under a   Multiemployer Plan in an aggregate amount in excess of the Threshold Amount;   (j) Invalidity of Loan Documents.  Any provision of any Loan Document, at any time after   its execution and delivery and for any reason other than as expressly permitted hereunder or thereunder   or satisfaction in full of all the Obligations, ceases to be in full force and effect; or any Loan Party or   any other Person contests in any manner the validity or enforceability of any provision of any Loan   Document; or any Loan Party denies that it has any or further liability or obligation under any Loan   Document, or purports to revoke, terminate or rescind any provision of any Loan Document; or   (k) Change of Control.  There occurs any Change of Control; or   (l) Invalidity of Liens.  Any of the following shall occur: (i) the Liens created hereunder or   under the other Loan Documents shall at any time (other than by reason of the Administrative Agent   relinquishing such Lien) cease to constitute valid and perfected Liens on any Collateral with an   aggregate fair market value in excess of $500,000 which is intended to be covered thereby other than   with the consent, in writing, of the Administrative Agent; (ii) except for expiration in accordance with   its respective terms, any Loan Document shall for whatever reason be terminated, or shall cease to be in   full force and effect other than with the consent, in writing, of the Administrative Agent; or (iii) the   enforceability of any Loan Document shall be contested by the Company or any of its Subsidiaries.   8.02. Remedies upon Event of Default.  If any Event of Default occurs and is continuing, the   Administrative Agent shall, at the request of, or may, with the consent of, the Required Lenders, take any   or all of the following actions:   (a) declare the commitment of each Lender to make Loans and any obligation of an Issuing   Lender to issue Letters of Credit or create Bankers’ Acceptances to be terminated, whereupon such   commitments and obligation shall be terminated;   (b) declare the unpaid principal amount of all outstanding Loans, all interest accrued and   unpaid thereon, and all other amounts owing or payable hereunder or under any other Loan Document   to be immediately due and payable, without presentment, demand, protest or other notice of any kind,   all of which are hereby expressly waived by the Borrowers;     

 

       89   (c) require that the Borrowers cash collateralize the L/C-B/A Obligations in an amount   equal to the aggregate then undrawn and unexpired amount of such Letters of Credit and Bankers’   Acceptances; and   (d) exercise on behalf of itself, the Lenders and the Issuing Lender all rights and remedies   available to it, the Lenders and the Issuing Lender under the Loan Documents;   provided, however, that upon the occurrence of any event specified in Section 8.01(f), the   obligation of each Lender to make Loans and any obligation of an Issuing Lender to make extensions of   credit with respect to Letters of Credit and Bankers’ Acceptances shall automatically terminate, the   unpaid principal amount of all outstanding Loans and all interest and other amounts as aforesaid shall   automatically become due and payable, and the obligation of the Borrowers to cash collateralize the L/C-   B/A Obligations as aforesaid shall automatically become effective, in each case without further act of the   Administrative Agent or any Lender.   8.03. Application of Funds.  After the exercise of remedies provided for in Section 8.02 (or   after the Loans have automatically become immediately due and payable and the L/C-B/A Obligations   have automatically been required to be cash collateralized as set forth in the proviso to Section 8.02), any   amounts received on account of the Obligations shall be applied by the Administrative Agent in the   following order:   First, to payment of that portion of the Obligations constituting fees, indemnities, expenses and   other amounts (including fees, charges and disbursements of counsel to the Administrative Agent and   amounts payable under Article III) payable to the Administrative Agent in its capacity as such;   Second, to payment of that portion of the Obligations constituting fees, indemnities and other   amounts (other than principal, interest and fees with respect to Letters of Credit and Bankers’   Acceptances) payable to the Lenders and any Issuing Lender (including fees, charges and disbursements   of counsel to the respective Lenders and respective Issuing Lender and amounts payable under Article   III), ratably among them in proportion to the respective amounts described in this clause Second payable   to them;   Third, to payment of that portion of the Obligations constituting accrued and unpaid fees with   respect to Letters of Credit and Bankers’ Acceptances and interest on the Loans, extensions of credit with   respect to Letters of Credit and Bankers’ Acceptances and other Obligations, ratably among the Lenders   and any Issuing Lender in proportion to the respective amounts described in this clause Third payable to   them;   Fourth, to (a) payment of that portion of the Obligations constituting (i) Bank Product Obligations   (other than obligations under and in respect of lease financing or related services) and (ii) unpaid principal   of the Loans and extensions of credit with respect to Letters of Credit and Bankers’ Acceptances, and (b)   the Administrative Agent for the account of any Issuing Lender, to cash collateralize that portion of L/C-   B/A Obligations comprised of the aggregate undrawn amount of Letters of Credit and Bankers’   Acceptances (in an amount equal to the Minimum Collateral Amount with respect thereof), ratably among   the Lenders and the Issuing Lender in proportion to the respective amounts described in this clause Fourth   held by them;    Fifth, to all other Obligations; and   Last, the balance, if any, after all of the Obligations have been indefeasibly paid in full, to the   Company or as otherwise required by Law.     

 

       90   Amounts used to cash collateralize the aggregate undrawn amount of Letters of Credit and   Bankers’ Acceptances pursuant to clause Fourth above shall be applied to satisfy drawings under such   Letters of Credit and Bankers’ Acceptances as they occur.  If any amount remains on deposit as cash   collateral after all Letters of Credit and Bankers’ Acceptances 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.   ARTICLE IX.   ADMINISTRATIVE AGENT   9.01. Appointment.  Each Lender hereby irrevocably designates and appoints the   Administrative Agent as the agent of such Lender under this Agreement and the other Loan Documents,   and each such Lender irrevocably authorizes the Administrative Agent, in such capacity, to take such   action on its behalf under the provisions of this Agreement and the other Loan Documents and to exercise   such powers and perform such duties as are expressly delegated to the Administrative Agent by the terms   of this Agreement and the other Loan Documents, together with such other powers as are reasonably   incidental thereto.  Notwithstanding any provision to the contrary elsewhere in this Agreement, the   Administrative Agent shall not have any duties or responsibilities, except those expressly set forth herein,   or any fiduciary relationship with any Lender, and no implied covenants, functions, responsibilities,   duties, obligations or liabilities shall be read into this Agreement or any other Loan Document or   otherwise exist against the Administrative Agent.   9.02. Delegation of Duties.  The Administrative Agent may execute any of its duties under this   Agreement and the other Loan Documents by or through agents or attorneys-in-fact and shall be entitled   to advice of counsel concerning all matters pertaining to such duties.  The Administrative Agent shall not   be responsible for the negligence or misconduct of any agents or attorneys-in-fact selected by it with   reasonable care.   9.03. Exculpatory Provisions.  Neither any Agent nor any of their respective officers,   directors, employees, agents, advisors, attorneys-in-fact or affiliates shall be (i) liable for any action   lawfully taken or omitted to be taken by it or such Person under or in connection with this Agreement or   any other Loan Document (except to the extent that any of the foregoing are found by a final and   nonappealable decision of a court of competent jurisdiction to have resulted from its or such Person’s own   gross negligence or willful misconduct) or (ii) responsible in any manner to any of the Lenders for any   recitals, statements, representations or warranties made by any Loan Party or any officer thereof   contained in this Agreement or any other Loan Document or in any certificate, report, statement or other   document referred to or provided for in, or received by the Agents under or in connection with, this   Agreement or any other Loan Document or for the value, validity, effectiveness, genuineness,   enforceability or sufficiency of this Agreement or any other Loan Document or for any failure of any   Loan Party a party thereto to perform its obligations hereunder or thereunder.  The Agents shall not be   under any obligation to any Lender to ascertain or to inquire as to the observance or performance of any   of the agreements contained in, or conditions of, this Agreement or any other Loan Document, or to   inspect the properties, books or records of any Loan Party.   9.04. Reliance by Administrative Agent.  The Administrative Agent shall be entitled to rely,   and shall be fully protected in relying, upon any instrument, writing, resolution, notice, consent,   certificate, affidavit, letter, telecopy or email message, statement, order or other document or conversation   believed by it to be genuine and correct and to have been signed, sent or made by the proper Person or   Persons and upon advice and statements of legal counsel (including counsel to the Borrower),   independent accountants and other experts selected by the Administrative Agent.  The Administrative   Agent may deem and treat the payee of any Note as the owner thereof for all purposes unless a written   notice of assignment, negotiation or transfer thereof shall have been filed with the Administrative Agent.      

 

       91   The Administrative Agent shall be fully justified in failing or refusing to take any action under this   Agreement or any other Loan Document unless it shall first receive such advice or concurrence of the   Required Lenders (or, if so specified by this Agreement, all Lenders) as it deems appropriate or it shall   first be indemnified to its satisfaction by the Lenders against any and all liability and expense that may be   incurred by it by reason of taking or continuing to take any such action.  The Administrative Agent shall   in all cases be fully protected in acting, or in refraining from acting, under this Agreement and the other   Loan Documents in accordance with a request of the Required Lenders (or, if so specified by this   Agreement, all Lenders), and such request and any action taken or failure to act pursuant thereto shall be   binding upon all the Lenders and all future holders of the Loans.   9.05. Notice of Default.  The Administrative Agent shall not be deemed to have knowledge or   notice of the occurrence of any Default or Event of Default unless the Administrative Agent has received   notice from a Lender or the Borrowers referring to this Agreement, describing such Default or Event of   Default and stating that such notice is a “notice of default”.  In the event that the Administrative Agent   receives such a notice, the Administrative Agent shall give notice thereof to the Lenders.  The   Administrative Agent shall take such action with respect to such Default or Event of Default as shall be   reasonably directed by the Required Lenders (or, if so specified by this Agreement, all Lenders); provided   that unless and until the Administrative Agent shall have received such directions, the Administrative   Agent may (but shall not be obligated to) take such action, or refrain from taking such action, with respect   to such Default or Event of Default as it shall deem advisable in the best interests of the Lenders.    9.06. Non-Reliance on Agents and Other Lenders.  Each Lender expressly acknowledges   that neither the Agents nor any of their respective officers, directors, employees, agents, advisors,   attorneys-in-fact or affiliates have made any representations or warranties to it and that no act by any   Agent hereafter taken, including any review of the affairs of a Loan Party or any affiliate of a Loan Party,   shall be deemed to constitute any representation or warranty by any Agent to any Lender.  Each Lender   represents to the Agents that it has, independently and without reliance upon any Agent or any other   Lender, and based on such documents and information as it has deemed appropriate, made its own   appraisal of and investigation into the business, operations, property, financial and other condition and   creditworthiness of the Loan Parties and their affiliates and made its own decision to make its Loans   hereunder and enter into this Agreement.  Each Lender also represents that it will, independently and   without reliance upon any Agent or any other Lender, and based on such documents and information as it   shall deem appropriate at the time, continue to make its own credit analysis, appraisals and decisions in   taking or not taking action under this Agreement and the other Loan Documents, and to make such   investigation as it deems necessary to inform itself as to the business, operations, property, financial and   other condition and creditworthiness of the Loan Parties and their affiliates.  Except for notices, reports   and other documents expressly required to be furnished to the Lenders by the Administrative Agent   hereunder, the Administrative Agent shall not have any duty or responsibility to provide any Lender with   any credit or other information concerning the business, operations, property, condition (financial or   otherwise), prospects or creditworthiness of any Loan Party or any affiliate of a Loan Party that may   come into the possession of the Administrative Agent or any of its officers, directors, employees, agents,   advisors, attorneys-in-fact or affiliates.   9.07. Indemnification.  The Lenders agree to indemnify each Agent and its officers, directors,   employees, affiliates, agents, advisors and controlling persons (each, an “Agent Indemnitee”) (to the   extent not reimbursed by the Borrowers and without limiting the obligation of the Borrowers to do so),   ratably according to their respective Aggregate Exposure Percentages in effect on the date on which   indemnification is sought under this Section (or, if indemnification is sought after the date upon which the   Commitments shall have terminated and the Loans shall have been paid in full, ratably in accordance with   such Aggregate Exposure Percentages immediately prior to such date), from and against any and all   liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or     

 

       92   disbursements of any kind whatsoever that may at any time (whether before or after the payment of the   Loans) be imposed on, incurred by or asserted against such Agent Indemnitee in any way relating to or   arising out of, the Commitments, this Agreement, any of the other Loan Documents or any documents   contemplated by or referred to herein or therein or the transactions contemplated hereby or thereby or any   action taken or omitted by such Agent Indemnitee under or in connection with any of the foregoing;   provided that no Lender shall be liable for the payment of any portion of such liabilities, obligations,   losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements that are found by a   final and nonappealable decision of a court of competent jurisdiction to have resulted from such Agent   Indemnitee’s gross negligence or willful misconduct.  The agreements in this Section shall survive the   termination of this Agreement and the payment of the Loans and all other amounts payable hereunder.   9.08. Agent in Its Individual Capacity.  Each Agent and its affiliates may make loans to,   accept deposits from and generally engage in any kind of business with any Loan Party as though such   Agent were not an Agent.  With respect to its Loans made or renewed by it and with respect to any Letter   of Credit issued or participated in by it, each Agent shall have the same rights and powers under this   Agreement and the other Loan Documents as any Lender and may exercise the same as though it were not   an Agent, and the terms “Lender” and “Lenders” shall include each Agent in its individual capacity.   9.09. Successive Administrative Agent.  The Administrative Agent may resign as   Administrative Agent upon 10 days’ notice to the Lenders and the Borrower.  If the Administrative Agent   shall resign as Administrative Agent under this Agreement and the other Loan Documents, then the   Required Lenders shall appoint from among the Lenders a successor agent for the Lenders, which   successor agent shall (unless an Event of Default under Section 8.01(a) or Section 8.01(f) with respect to   the Borrower shall have occurred and be continuing) be subject to approval by the Borrower (which   approval shall not be unreasonably withheld or delayed), whereupon such successor agent shall succeed   to the rights, powers and duties of the Administrative Agent, and the term “Administrative Agent” shall   mean such successor agent effective upon such appointment and approval, and the former Administrative   Agent’s rights, powers and duties as Administrative Agent shall be terminated, without any other or   further act or deed on the part of such former Administrative Agent or any of the parties to this   Agreement or any holders of the Loans.  If no successor agent has accepted appointment as   Administrative Agent by the date that is 10 days following a retiring Administrative Agent’s notice of   resignation, the retiring Administrative Agent’s resignation shall nevertheless thereupon become   effective, and the Lenders shall assume and perform all of the duties of the Administrative Agent   hereunder until such time, if any, as the Required Lenders appoint a successor agent as provided for   above.  After any retiring Administrative Agent’s resignation as Administrative Agent, the provisions of   this Article IX and of Section 10.05 shall continue to inure to its benefit.    9.10. Joint Lead Arrangers, Co-Documentation Agents and Co-Syndication Agents.  None   of the Joint Lead Arrangers, the Co-Documentation Agents or the Co-Syndication Agents shall have any   duties or responsibilities hereunder in their respective capacities as such.    ARTICLE X.   MISCELLANEOUS   10.01. Amendments and Waivers.  Neither this Agreement, any other Loan Document, nor any   terms hereof or thereof may be amended, supplemented or modified except in accordance with the   provisions of this Section 10.01.  The Required Lenders and each Loan Party party to the relevant Loan   Document may, or, with the written consent of the Required Lenders, the Administrative Agent and each   Loan Party party to the relevant Loan Document may, from time to time, (a) enter into written   amendments, supplements or modifications hereto and to the other Loan Documents for the purpose of   adding any provisions to this Agreement or the other Loan Documents or changing in any manner the     

 

       93   rights of the Lenders or of the Loan Parties hereunder or thereunder or (b) waive, on such terms and   conditions as the Required Lenders or the Administrative Agent, as the case may be, may specify in such   instrument, any of the requirements of this Agreement or the other Loan Documents or any Default or   Event of Default and its consequences; provided, however, that no such waiver and no such amendment,   supplement or modification shall (i) forgive the principal amount or extend the final scheduled date of   maturity of any Loan, extend the scheduled date of any amortization payment in respect of any Term   Loan, reduce the stated rate of any interest or fee payable hereunder (except (x) in connection with the   waiver of applicability of any post-default increase in interest rates (which waiver shall be effective with   the consent of the Majority Facility Lenders of each adversely affected Facility) and (y) that any   amendment or modification of defined terms used in the financial covenants in this Agreement shall not   constitute a reduction in the rate of interest or fees for purposes of this clause (i)) or extend the scheduled   date of any payment thereof, or increase the amount or extend the expiration date of any Lender’s   Revolving Commitment or Delayed Draw Term Commitment, in each case without the written consent of   each Lender directly affected thereby; (ii) eliminate or reduce the voting rights of any Lender under this   Section 10.01 without the written consent of such Lender; (iii) reduce any percentage specified in the   definition of Required Lenders, consent to the assignment or transfer by the Company or any Borrower of   any of its or their rights and obligations under this Agreement and the other Loan Documents, release all   or substantially all of the Collateral or release all or substantially all of the Subsidiary Guarantors from   their obligations under the Guarantee and Collateral Agreement, amend the definition of “Alternative   Currency”, Section 1.06 or Section 2.25, in each case without the written consent of all Lenders; (iv)   amend, modify or waive any provision of Section 2.17 without the written consent of, in respect of each   Facility, each Lender adversely affected thereby; (v) reduce the amount of Net Cash Proceeds required to   be applied to prepay Loans under this Agreement without the written consent of the Majority Facility   Lenders with respect to each Facility adversely affected thereby; (vi) reduce the percentage specified in   the definition of Majority Facility Lenders with respect to any Facility without the written consent of all   Lenders under such Facility; (vii) amend, modify or waive any provision of Article IX or any other   provision of any Loan Document that affects the Administrative Agent without the written consent of the   Administrative Agent; (viii) amend, modify or waive any provision of Section 2.06 or 2.07 without the   written consent of the Swingline Lender; or (ix) amend, modify or waive any provision of Section 3   without the written consent of any applicable Issuing Lender.  Any such waiver and any such amendment,   supplement or modification shall apply equally to each of the Lenders and shall be binding upon the Loan   Parties, the Lenders, the Administrative Agent and all future holders of the Loans.  In the case of any   waiver, the Loan Parties, the Lenders and the Administrative Agent shall be restored to their former   position and rights hereunder and under the other Loan Documents, and any Default or Event of Default   waived shall be deemed to be cured and not continuing; but no such waiver shall extend to any   subsequent or other Default or Event of Default, or impair any right consequent thereon.        Notwithstanding the foregoing, this Agreement may be amended (or amended and restated) with the   written consent of the Required Lenders, the Administrative Agent and the Company (a) to add one or   more additional credit facilities to this Agreement and to permit the extensions of credit from time to time   outstanding thereunder and the accrued interest and fees in respect thereof to share in the benefits of this   Agreement and the other Loan Documents with the Term Loans and Revolving Extensions of Credit and   the accrued interest and fees in respect thereof and (b) to include appropriately the Lenders holding such   credit facilities in any determination of the Required Lenders and Majority Facility Lenders.      Furthermore, notwithstanding the foregoing, the Administrative Agent, with the consent of the Company,   may amend, modify or supplement any Loan Document without the consent of any Lender or the   Required Lenders in order to correct, amend or cure any ambiguity, inconsistency or defect or correct any   typographical error or other manifest error in any Loan Document.     

 

       94   10.02. Notices.   All notices, requests and demands to or upon the respective parties hereto to be effective shall be   in writing (including by telecopy), and, unless otherwise expressly provided herein, shall be deemed to   have been duly given or made when delivered, or three Business Days after being deposited in the mail,   postage prepaid, or, in the case of telecopy or electronic mail notice, when received, addressed as follows   in the case of the Company and the Administrative Agent, and as set forth in an Administrative   Questionnaire delivered to the Administrative Agent in the case of the Lenders, or to such other address   as may be hereafter notified by the respective parties hereto:   Company: 140 John James Audubon Parkway   Amherst, New York 14228-1197    Attention: Gregory P. Rustowicz, Vice President-   Finance and Chief Financial Officer    Telephone: 716-689-5442   Fax:  716-689-5598   E-mail: gregory.rustowicz@cmworks.com      With a copy to:      Jamie Knox, Esq.   DLA Piper LLP (US)   1251 Avenue of the Americas, 27th Floor   New York, New York 10020-1104   Telephone: 212-335-4992   Fax: 212-884-8692   E-mail: jamie.knox@dlapiper.com        Administrative Agent: 10 S. Dearborn St.    Floor L2    Chicago, IL 60603     Mailcode: IL1-0480    Attention: Darren Cunningham    Telecopy: 888-292-9533    Telephone: 312-385-7080   Email: jpm.agency.servicing.1@jpmorgan.com      For borrowing notices for loans denominated in   Alternative Currencies:    J.P. Morgan Europe Limited   Loans Agency 6th floor   25 Bank Street, Canary Wharf   London E145JP   United Kingdom   Attention: Loans Agency   Telecopy:  +44 20 7777 2360   Email: loan_and_agency_london@jpmorgan.com       For notices with respect to Letters of Credit or   Bankers’ Acceptances:   chicago.lc.agency.activity.team@jpmorgan.com     

 

       95         provided that any notice, request or demand to or upon the Administrative Agent or the Lenders shall not   be effective until received.   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 II  unless otherwise agreed by the   Administrative Agent and the applicable Lender.  The Administrative Agent or the Borrowers may, in   their 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.   10.03. No Waiver; Cumulative Remedies.  No failure to exercise and no delay in exercising,   on the part of the Administrative Agent or any Lender, any right, remedy, power or privilege hereunder or   under the other Loan Documents shall operate as a waiver thereof; nor shall any single or partial exercise   of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the   exercise of any other right, remedy, power or privilege.  The rights, remedies, powers and privileges   herein provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided   by law.   10.04. Survival of Representations and Warranties.  All representations and warranties made   hereunder, in the other Loan Documents and in any document, certificate or statement delivered pursuant   hereto or in connection herewith shall survive the execution and delivery of this Agreement and the   making of the Loans and other extensions of credit hereunder.   10.05. Payment of Expenses.  The Company and the applicable Borrower agree (a) to pay or   reimburse the Administrative Agent for all its costs and expenses incurred in connection with the   development, preparation and execution of, and any amendment, supplement or modification to, this   Agreement and the other Loan Documents and any other documents prepared in connection herewith or   therewith, and the consummation and administration of the transactions contemplated hereby and thereby,   including the reasonable fees and disbursements of counsel to the Administrative Agent and filing and   recording fees and expenses, with statements with respect to the foregoing to be submitted to the   Borrower prior to the Closing Date (in the case of amounts to be paid on the Closing Date) and from time   to time thereafter on a quarterly basis or such other periodic basis as the Administrative Agent shall deem   appropriate, (b) to pay or reimburse each Lender, each Issuing Lender, the Swingline Lender and the   Administrative Agent for all its costs and expenses incurred in connection with the enforcement or   preservation of any rights under this Agreement, the other Loan Documents and any such other   documents, including the fees and disbursements of counsel (including the allocated fees and expenses of   in-house counsel) to each Lender and of counsel to the Administrative Agent, (c) to pay, indemnify, and   hold each Lender, the Issuing Lenders, the Swingline Lender and the Administrative Agent harmless   from, all present of future stamp, court, or documentary, intangible, recording, filing or similar Taxes, if   any, that may be payable or determined to be payable in connection with the execution and delivery of, or   consummation or administration of any of the transactions contemplated by, or any amendment,   supplement or modification of, or any waiver or consent under or in respect of, this Agreement and the   other Loan Documents (except any such Taxes that are Other Connection Taxes imposed with respect to   an assignment (other than an assignment made pursuant to Section 2.22)), and (d) to pay, indemnify, and   hold each Lender, the Issuing Lenders, the Swingline Lender and the Administrative Agent, their   respective affiliates, and their respective officers, directors, employees, agents, advisors and controlling   persons (each, an “Indemnitee”) harmless from and against any and all other liabilities, obligations,   losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or     

 

       96   nature whatsoever with respect to the execution, delivery, enforcement, performance and administration   of this Agreement, the other Loan Documents and any such other documents, including any claim,   litigation, investigation or proceeding regardless of whether any Indemnitee is a party thereto and whether   or not the same are brought by the Borrower, its equity holders, affiliates or creditors or any other Person,   including any of the foregoing relating to the use of proceeds of the Loans or Letters of Credit (including   any refusal by an Issuing Lender to honor a demand for payment under a Letter of Credit if the documents   presented in connection with such demand do not strictly comply with the terms of such Letter of Credit)   or any actual or alleged presence or release of Hazardous Materials on or from any property owned or   operated by any Borrower or any of its Subsidiaries, or any Environmental Liability related in any way to   any Borrower or any of its Subsidiaries and the reasonable fees and expenses of legal counsel in   connection with claims, actions or proceedings by any Indemnitee against any Loan Party under any Loan   Document (all the foregoing in this clause (d), collectively, the “Indemnified Liabilities”), provided, that   the Borrowers shall have no obligation hereunder to any Indemnitee with respect to Indemnified   Liabilities to the extent such Indemnified Liabilities are found by a final and nonappealable decision of a   court of competent jurisdiction to have resulted from the gross negligence or willful misconduct of such   Indemnitee or any of its Affiliates, and provided, further, that this Section 10.05(d) shall not apply with   respect to Taxes other than any Taxes that represent losses or damages arising from any non-Tax claim.    Without limiting the foregoing, and to the extent permitted by applicable law, the Borrowers agree not to   assert and to cause its Subsidiaries not to assert, and hereby waives and agrees to cause its Subsidiaries to   waive, all rights for contribution or any other rights of recovery with respect to all claims, demands,   penalties, fines, liabilities, settlements, damages, costs and expenses of whatever kind or nature, under or   related to Environmental Laws, that any of them might have by statute or otherwise against any   Indemnitee.  No Indemnitee shall be liable for any damages arising from the use by others of information   or other materials obtained through electronic, telecommunications or other information transmission   systems, except to the extent any such damages are found by a final and nonappealable decision of a court   of competent jurisdiction to have resulted from the gross negligence or willful misconduct of such   Indemnitee.  No Indemnitee shall be liable for any indirect, special, exemplary, punitive or consequential   damages in connection with this Agreement or the other Loan Documents or the transactions   contemplated hereby or thereby.  All amounts due under this Section 10.05 shall be payable not later than   10 days after written demand therefor.  Statements payable by the Borrowers pursuant to this Section   10.05 shall be submitted to Gregory P. Rustowicz (Telephone No. 716-689-5442) (Telecopy No. 716-   689-5598), at the address of the Company set forth in Section 10.02, or to such other Person or address as   may be hereafter designated by the Company in a written notice to the Administrative Agent.  The   agreements in this Section 10.05 shall survive the termination of this Agreement and the repayment of the   Loans and all other amounts payable hereunder.   10.06. Successors and Assigns; Participations and Assignments.    (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 Lender that issues any Letter of Credit), except that (i) the Borrowers may not assign or   otherwise transfer any of their respective rights or obligations hereunder without the prior written   consent of each Lender (and any attempted assignment or transfer by the Borrowers 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.   (b) (i) Subject to the conditions set forth in paragraph (b)(ii) below, any Lender may assign   to one or more assignees (each, an “Assignee”), other than a natural person, any Borrower or any   Subsidiary or Affiliate of any Borrower or any Defaulting Lender, all or a portion of its rights and   obligations under this Agreement (including all or a portion of its Commitments and the Loans at the     

 

       97   time owing to it) provided that in respect of the Dutch Borrower or any Dutch Designated Borrower the   Assignee is a Non-Public Lender and with the prior written consent of:   (A) The Company (such consent not to be unreasonably withheld), provided   that no consent of the Company shall be required for an assignment to a Lender, an   affiliate of a Lender, an Approved Fund (as defined below) or, if an Event of Default   under Section 8.01(a) or (f) has occurred and is continuing, any other Person; and   provided, further, that the Company shall be deemed to have consented to any such   assignment unless the Company shall object thereto by written notice to the   Administrative Agent within five Business Days after having received notice thereof; and   (B) the Administrative Agent, provided that no consent of the Administrative   Agent shall be required for an assignment of all or any portion of a Term Loan to a   Lender, an affiliate of a Lender or an Approved Fund.   (ii) Assignments shall be subject to the following additional conditions:   (A) except in the case of an assignment to a Lender, an affiliate of a Lender   or an Approved Fund or an assignment of the entire remaining amount of the assigning   Lender’s Commitments or Loans under any Facility, the amount of the Commitments 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 (or, in the case of the   Incremental Term Facility, $1,000,000) unless each of the Company and the   Administrative Agent otherwise consent, provided that (1) no such consent of the   Company shall be required if an Event of Default has occurred and is continuing and (2)   such amounts shall be aggregated in respect of each Lender and its affiliates or Approved   Funds, if any;   (B) (1) the parties to each assignment shall execute and deliver to the   Administrative Agent an Assignment and Assumption, together with a processing and   recordation fee of $3,500 and (2) the assigning Lender shall have paid in full any   amounts owing by it to the Administrative Agent; and   (C) 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 Company and its Affiliates 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.   For the purposes of this Section 10.06, “Approved Fund” means any Person (other than 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) a Lender, (b) an affiliate of a Lender or (c) an entity or an affiliate of an entity   that administers or manages a Lender.   (iii)  Subject to acceptance and recording thereof pursuant to paragraph (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     

 

       98   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 2.18, 2.19, 2.20 and 10.05).  Any assignment or transfer by a Lender of   rights or obligations under this Agreement that does not comply with this Section 10.06 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 paragraph (c) of this Section.   (iv) The Administrative Agent, acting for this purpose as an agent of the Company,   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 Commitments of,   and principal amount (and stated interest) of the Loans and L/C-B/A Obligations owing to, each   Lender pursuant to the terms hereof from time to time (the “Register”).  The entries in the   Register shall be conclusive, and the Company, the Administrative Agent, the Issuing Lenders   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.   (v) Upon its receipt of a duly completed Assignment and Assumption executed by an   assigning Lender and an Assignee, the Assignee’s completed Administrative Questionnaire   (unless the Assignee shall already be a Lender hereunder), the processing and recordation fee   referred to in paragraph (b) of this Section and any written consent to such assignment required   by paragraph (b) of this Section, the Administrative Agent shall accept such Assignment and   Assumption and record the information contained therein in the Register.  No assignment shall be   effective for purposes of this Agreement unless it has been recorded in the Register as provided in   this paragraph.   (c) Any Lender may, without the consent of the Company or the Administrative Agent,   sell participations to one or more banks or other entities (a “Participant”) in all or a portion of such   Lender’s rights and obligations under this Agreement (including all or a portion of its Commitments   and the Loans owing to it); provided that (i) such Lender’s obligations under this Agreement shall   remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the   performance of such obligations, and (iii) the Company, the Administrative Agent, the Issuing Lenders   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 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 may provide that such Lender will not, without the consent of the   Participant, agree to any amendment, modification or waiver that (i) requires the consent of each   Lender directly affected thereby pursuant to the proviso to the second sentence of Section 10.01 and (ii)   directly affects such Participant.  Each Lender that sells a participation agrees, at the Company’s   request and expense, to use reasonable efforts to cooperate with the Company to effectuate the   provisions of Section 2.22 with respect to any Participant.  The Company agrees that each Participant   shall be entitled to the benefits of Sections 2.18, 2.19 and 2.20 (subject to the requirements and   limitations therein, including the requirements under Section 2.19(f) (it being understood that the   documentation required under Section 2.19(f) shall be delivered to the participating Lender)) to the   same extent as if it were a Lender and had acquired its interest by assignment pursuant to paragraph (b)   of this Section; provided that such Participant (i) agrees to be subject to the provisions of Sections 2.18   and 2.19 as if it were an assignee under paragraph (b) of this Section and (ii) shall not be entitled to     

 

       99   receive any greater payment under Sections 2.18 or 2.19, 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 an adoption of or any change in any Law or in the interpretation   or application thereof or compliance by any Lender with any request or directive (whether or not having   the force of law) from any central bank or other Governmental Authority made subsequent to the date   hereof that occurs after the Participant acquired the applicable participation.  To the extent permitted by   law, each Participant also shall be entitled to the benefits of Section 10.07(b) as though it were a   Lender, provided such Participant shall be subject to Section 10.07(a) as though it were a Lender.  Each   Lender that sells a participation shall, acting solely for this purpose as an agent of the Company,   maintain a register on which it enters the name and address of each Participant and the principal   amounts (and stated interest) of each Participant’s interest in the Loans or other obligations under the   Loan Documents (the “Participant Register”); provided that no Lender shall have any obligation to   disclose all or any portion of the Participant Register to any Person (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 Loan Document) except to the extent that such disclosure is   necessary to establish that such Commitment, Loan, Letter 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) Any Lender may at any time pledge or assign a security interest in all or any portion of   its rights under this Agreement to secure obligations of such Lender, including any pledge or   assignment to secure obligations to a Federal Reserve Bank, and this Section shall not apply to any such   pledge or assignment of a security interest; provided that no such pledge or assignment of a security   interest shall release a Lender from any of its obligations hereunder or substitute any such pledgee or   Assignee for such Lender as a party hereto. Each of the Company and any applicable Borrower, upon   receipt of written notice from the relevant Lender, agrees to issue Notes to any Lender requiring Notes   to facilitate transactions of the type described in this paragraph (d).   10.07. Adjustments; Set-off.  (a)  Except to the extent that this Agreement or a court order   expressly provides for payments to be allocated to a particular Lender or to the Lenders under a particular   Facility, if any Lender (a “Benefitted Lender”) shall receive any payment of all or part of the Obligations   owing to it (other than in connection with an assignment made pursuant to Section 10.06), or receive any   collateral in respect thereof (whether voluntarily or involuntarily, by set-off, pursuant to events or   proceedings of the nature referred to in Section 8.01(f), or otherwise), in a greater proportion than any   such payment to or collateral received by any other Lender, if any, in respect of the Obligations owing to   such other Lender, such Benefitted Lender shall purchase for cash from the other Lenders a participating   interest in such portion of the Obligations owing to each such other Lender, or shall provide such other   Lenders with the benefits of any such collateral, as shall be necessary to cause such Benefitted Lender to   share the excess payment or benefits of such collateral ratably with each of the Lenders; provided,   however, that if all or any portion of such excess payment or benefits is thereafter recovered from such   Benefitted Lender, such purchase shall be rescinded, and the purchase price and benefits returned, to the   extent of such recovery, but without interest.    (b) In addition to any rights and remedies of the Lenders provided by law, each Lender   shall have the right, without notice to the Borrowers, any such notice being expressly waived by the   Borrowers to the extent permitted by applicable law, upon any Obligations becoming due and payable   by the Borrowers (whether at the stated maturity, by acceleration or otherwise), to apply to the payment     

 

       100   of such Obligations, by setoff or otherwise, any and all deposits (general or special, time or demand,   provisional or final), in any currency, and any other credits, indebtedness or claims, in any currency, in   each case whether direct or indirect, absolute or contingent, matured or unmatured, at any time held or   owing by such Lender, any affiliate thereof or any of their respective branches or agencies to or for the   credit or the account of the Borrower; provided that if any Defaulting Lender shall exercise any such   right of setoff, (i) all amounts so set-off shall be paid over immediately to the Administrative Agent for   further application in accordance with the provisions of this Agreement and, pending such payment,   shall be segregated by such Defaulting Lender from its other funds and deemed held in trust for the   benefit of the Administrative Agent, the Issuing Lenders, the Swingline Lender and the Lenders and (ii)   the Defaulting Lender shall provide promptly to the Administrative Agent a statement describing in   reasonable detail the obligations owing to such Defaulting Lender as to which it exercised such right of   set-off.  Each Lender agrees promptly to notify the Borrowers and the Administrative Agent after any   such application made by such Lender, provided that the failure to give such notice shall not affect the   validity of such application.   10.08. Counterparts.  This Agreement may be executed by one or more of the parties to this   Agreement on any number of separate counterparts, and all of said counterparts taken together shall be   deemed to constitute one and the same instrument.  Delivery of an executed signature page of this   Agreement by email or facsimile transmission shall be effective as delivery of a manually executed   counterpart hereof.  A set of the copies of this Agreement signed by all the parties shall be lodged with   the Company and the Administrative Agent.   10.09. Severability.  Any provision of this Agreement that is prohibited or unenforceable in any   jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or   unenforceability without invalidating the remaining provisions hereof, and any such prohibition or   unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any   other jurisdiction.   10.10. Integration.  This Agreement and the other Loan Documents represent the entire   agreement of the Borrowers, the Administrative Agent and the Lenders with respect to the subject matter   hereof and thereof, and there are no promises, undertakings, representations or warranties by the   Administrative Agent or any Lender relative to the subject matter hereof not expressly set forth or   referred to herein or in the other Loan Documents.   10.11. GOVERNING LAW.  THIS AGREEMENT AND THE RIGHTS AND   OBLIGATIONS OF THE PARTIES UNDER THIS AGREEMENT SHALL BE GOVERNED BY, AND   CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF   NEW YORK.   10.12. Submission to Jurisdiction; Waivers.  Each of the Borrowers hereby irrevocably and   unconditionally:   (a) submits for itself and its property in any legal action or proceeding relating to this   Agreement and the other Loan Documents to which it is a party, or for recognition and   enforcement of any judgment in respect thereof, to the exclusive jurisdiction of the courts of the   State of New York, the courts of the United States for the Southern District of New York, and   appellate courts from any thereof; provided, that nothing contained herein or in any other Loan   Document will prevent any Lender or the Administrative Agent from bringing any action to   enforce any award or judgment or exercise any right under the Security Documents or against any   Collateral or any other property of any Loan Party in any other forum in which jurisdiction can be   established;     

 

       101   (b) consents that any such action or proceeding may be brought in such courts and   waives any objection that it may now or hereafter have to the venue of any such action or   proceeding in any such court or that such action or proceeding was brought in an inconvenient   court and agrees not to plead or claim the same   (c) agrees that service of process in any such action or proceeding may be effected   by mailing a copy thereof by registered or certified mail (or any substantially similar form of   mail), postage prepaid, to the Company, as the case may be at its address set forth in Section   10.02 or at such other address of which the Administrative Agent shall have been notified   pursuant thereto;   (d) agrees that nothing herein shall affect the right to effect service of process in any   other manner permitted by law; and   (e) waives, to the maximum extent not prohibited by law, any right it may have to   claim or recover in any legal action or proceeding referred to in this Section any indirect, special,   exemplary, punitive or consequential damages.   10.13. Acknowledgments.  Each of the Borrowers hereby acknowledges and agrees that (a) no   fiduciary, advisory or agency relationship between the Loan Parties and the Credit Parties is intended to   be or has been created in respect of any of the transactions contemplated by this Agreement or the other   Loan Documents, irrespective of whether the Credit Parties have advised or are advising the Loan Parties   on other matters, and the relationship between the Credit Parties, on the one hand, and the Loan Parties,   on the other hand, in connection herewith and therewith is solely that of creditor and debtor, (b) the Credit   Parties, on the one hand, and the Loan Parties, on the other hand, have an arm’s length business   relationship that does not directly or indirectly give rise to, nor do the Loan Parties rely on, any fiduciary   duty to the Loan Parties or their affiliates on the part of the Credit Parties, (c) the Loan Parties are capable   of evaluating and understanding, and the Loan Parties understand and accept, the terms, risks and   conditions of the transactions contemplated by this Agreement and the other Loan Documents, (d) the   Loan Parties have been advised that the Credit Parties are engaged in a broad range of transactions that   may involve interests that differ from the Loan Parties’ interests and that the Credit Parties have no   obligation to disclose such interests and transactions to the Loan Parties, (e) the Loan Parties have   consulted their own legal, accounting, regulatory and tax advisors to the extent the Loan Parties have   deemed appropriate in the negotiation, execution and delivery of this Agreement and the other Loan   Documents, (f) each Credit Party has been, is, and will be acting solely as a principal and, except as   otherwise expressly agreed in writing by it and the relevant parties, has not been, is not, and will not be   acting as an advisor, agent or fiduciary for the Loan Parties, any of their affiliates or any other Person, (g)   none of the Credit Parties has any obligation to the Loan Parties or their affiliates with respect to the   transactions contemplated by this Agreement or the other Loan Documents except those obligations   expressly set forth herein or therein or in any other express writing executed and delivered by such Credit   Party and the Loan Parties or any such affiliate and (h) no joint venture is created hereby or by the other   Loan Documents or otherwise exists by virtue of the transactions contemplated hereby among the Credit   Parties or among the Loan Parties and the Credit Parties.   10.14. Releases of Guarantees and Liens.   (a) Notwithstanding anything to the contrary contained herein or in any other Loan   Document, the Administrative Agent is hereby irrevocably authorized by each Lender (without   requirement of notice to or consent of any Lender except as expressly required by Section 10.01) to take   any action requested by the Company having the effect of releasing any Collateral or guarantee   obligations (i) to the extent necessary to permit consummation of any transaction not prohibited by any     

 

       102   Loan Document or that has been consented to in accordance with Section 10.01 or (ii) under the   circumstances described in paragraph (b) below.   (b) At such time as the Loans, the Reimbursement Obligations and the other obligations   under the Loan Documents shall have been paid in full, the Commitments have been terminated and no   Letters of Credit or Bankers’ Acceptances shall be outstanding, the Collateral shall be released from the   Liens created by the Security Documents, and the Security Documents and all obligations (other than   those expressly stated to survive such termination) of the Administrative Agent and each Loan Party   under the Security Documents shall terminate, all without delivery of any instrument or performance of   any act by any Person.   10.15. Confidentiality.  Each of the Administrative Agent and each Lender agrees to keep   confidential all non-public information provided to it by any Loan Party, the Administrative Agent or any   Lender pursuant to or in connection with this Agreement that is designated by the provider thereof as   confidential; provided that nothing herein shall prevent the Administrative Agent or any Lender from   disclosing any such information (a) to the Administrative Agent, any other Lender or any affiliate thereof,   (b) subject to an agreement to comply with the provisions of this Section, to any actual or prospective   Transferee or any direct or indirect counterparty to any Swap Agreement (or any professional advisor to   such counterparty), (c) to its employees, directors, agents, attorneys, accountants and other professional   advisors or those of any of its affiliates, (d) upon the request or demand of any Governmental Authority,   (e) in response to any order of any court or other Governmental Authority or as may otherwise be   required pursuant to any Law, (f) if requested or required to do so in connection with any litigation or   similar proceeding, (g) that has been publicly disclosed, (h) to the National Association of Insurance   Commissioners or any similar organization or any nationally recognized rating agency that requires   access to information about a Lender’s investment portfolio in connection with ratings issued with respect   to such Lender, (i) in connection with the exercise of any remedy hereunder or under any other Loan   Document, (j) to market data collectors and service providers providing services in connection with the   syndication or administration of the Facilities or (k) if agreed by the Company in its sole discretion, to   any other Person.   Each Lender acknowledges that information furnished to it pursuant to this Agreement or the   other Loan Documents may include material non-public information concerning the Company and its   Affiliates and their Related Parties or their respective securities, and confirms that it has developed   compliance procedures regarding the use of material non-public information and that it will handle such   material non-public information in accordance with those procedures and applicable law, including   Federal and state securities laws.   All information, including requests for waivers and amendments, furnished by the Company or   the Administrative Agent pursuant to, or in the course of administering, this Agreement or the other Loan   Documents will be syndicate-level information, which may contain material non-public information about   the Company and its Affiliates and their Related Parties or their respective securities.  Accordingly, each   Lender represents to the Company and the Administrative Agent that it has identified in its   Administrative Questionnaire a credit contact who may receive information that may contain material   non-public information in accordance with its compliance procedures and applicable law, including   Federal and state securities laws.   10.16. WAIVERS OF JURY TRIAL.  THE BORROWERS, THE ADMINISTRATIVE   AGENT AND THE LENDERS HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVE   TRIAL BY JURY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS   AGREEMENT OR ANY OTHER LOAN DOCUMENT AND FOR ANY COUNTERCLAIM   THEREIN.     

 

       103   10.17. USA PATRIOT Act.  Each Lender hereby notifies each Borrower that pursuant to the   requirements of the USA Patriot Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the   “Patriot Act”), it is required to obtain, verify and record information that identifies each Borrower, which   information includes the name and address of each Borrower and other information that will allow such   Lender to identify each Borrower in accordance with the Patriot Act.   10.18. Judgment Currency.  If, for the purposes of obtaining judgment in any court, it is   necessary to convert a sum due hereunder or any other Loan Document in one currency into another   currency, the rate of exchange used shall be that at which in accordance with normal banking procedures   the Administrative Agent could purchase the first currency with such other currency on the Business Day   preceding that on which final judgment is given.  The obligation of each Borrower in respect of any such   sum due from it to the Administrative Agent or any Lender hereunder or under the other Loan Documents   shall, notwithstanding any judgment in a currency (the “Judgment Currency”) other than that in which   such sum is denominated in accordance with the applicable provisions of this Agreement (the “Agreement   Currency”), be discharged only to the extent that on the Business Day following receipt by the   Administrative Agent or such Lender, as the case may be, of any sum adjudged to be so due in the   Judgment Currency, the Administrative Agent or such Lender, as the case may be, may in accordance   with normal banking procedures purchase the Agreement Currency with the Judgment Currency.  If the   amount of the Agreement Currency so purchased is less than the sum originally due to the Administrative   Agent or any Lender from any Borrower in the Agreement Currency, such Borrower agrees, as a separate   obligation and notwithstanding any such judgment, to indemnify the Administrative Agent or such   Lender, as the case may be, against such loss.  If the amount of the Agreement Currency so purchased is   greater than the sum originally due to the Administrative Agent or any Lender in such currency, the   Administrative Agent or such Lender, as the case may be, agrees to return the amount of any excess to   such Borrower (or to any other Person who may be entitled thereto under applicable law).   10.19. Representation Dutch Borrower. If the Dutch Borrower, or any other Loan Party   incorporated under the laws of the Netherlands, is represented by an attorney in connection with the   signing and/or execution of this Agreement or any other agreement, deed or document referred to in or   made pursuant to this Agreement, it is hereby expressly acknowledged and accepted by the other parties   to such document that the existence and extent of the attorney’s authority and the effects of the attorney’s   exercise or purported exercise of his or her authority shall be governed by the laws of the Netherlands.        [Remainder of this page intentionally left blank.]     

 

    

 

    

 

    

 

    

 

    

 

    

 

as a Lender and an Issuing Lender    

 

    

 

    

 

    

 

    

 

    

 

HSBC Bank USA, National Association,   as a Lender   Name: Frank M. Eassa   Title: Senior Vice President   [Signature Page to Credit Agreement]    

 

    

 

      SCHEDULE 1.01   EXISTING LETTERS OF CREDIT AND EXISTING BANKERS’   ACCEPTANCES   See attached.              

 

   Columbus McKinnon   Letters of Credit   as of 1/23/14   Letter of Credit # Beneficiary Product Type US$ Amount Expiry Date Currency   00000011174632 KATSUYAMA KIKAI, LTD Acceptances-Doc 45,686$        1/27/2015 JPY **   00000011179981 KATSUYAMA KIKAI, LTD Acceptances-Doc 148,063$     3/3/2015 JPY **   00000064569449 KATSUYAMA KIKAI, LTD Import 522,967$     1/25/2015 JPY **   00000064569450 KATSUYAMA KIKAI, LTD Import 665,476$     2/25/2015 JPY **   00000001015767 LIBERTY MUTUAL INSURANCE COMPANY Standby-Financial 350,000$     4/1/2015 USD   00000001066989 LIBERTY MUTUAL INSURANCE COMPANY Standby-Financial 700,000$     1/31/2015 USD   00000064045303 TENNESSEE DEPT OF COMMERCE & INSUR Standby-Financial 500,000$     7/13/2015 USD   00000064045306 ZURICH AMERICAN INSURANCE COMPANY Standby-Financial 2,561,434$  4/1/2015 USD   00000064045329 NATIONAL UNION FIRE INSURANCE CO OF Standby-Financial 288,000$     4/1/2015 USD   **  Please note currency fluctuations may occur on those Letters of Credit issued in currency other than USD    

 

   SCHEDULE 2.01   COMMITMENTS      Lender   Revolving   Commitment   Delayed Draw Term   Commitment   JPMorgan Chase Bank, N.A. $30,000,000.00 $25,000,000.00   Bank of America, N.A.  $30,000,000.00 $25,000,000.00   PNC Bank, N.A.  $30,000,000.00 $25,000,000.00   Citizen Bank $17,727,272.73 $14,772,727.27   M&T Bank $17,727,272.73 $14,772,727.27   Credit Suisse AG, Cayman Islands Branch  $8,181,818.18 $6,818,181.82   HSBC Bank USA, National Association  $8,181,818.18 $6,818,181.82   Branch Banking and Trust Company  $8,181,818.18 $6,818,181.82   Total $150,000,000.00 $125,000,000.00        

 

   SCHEDULE 5.05   MATERIAL INDEBTEDNESS AND OTHER LIABILITIES AS OF SEPTEMBER   30, 2014   1) Columbus McKinnon Corporation 7 7/8% Senior Subordinated Notes due 2019, interest   payable semi-annually at February 1 and August 1: $150,000,000   2) Columbus McKinnon Industrial Products GmbH line of credit from Commerzbank of   EUR 1,500,000; outstanding balance of EUR 300,000 used as bank security for rent   3) Pfaff Beteiligungs GmbH (and Columbus McKinnon Engineered Products GmbH) line of   credit from HypoVereinsbank of EUR 3,000,000; outstanding balance of  1,312,460 used   for Letters of Credit and Bank Guarantees   4) Pfaff Beteiligungs GmbH (and Columbus McKinnon Engineered Products GmbH) line of   credit from Stadtsparkasse A. of EUR 5,000,000; outstanding balance of  771,958 used   for Letters of Credit and Bank Guarantees   5) Pfaff Beteiligungs GmbH (and Columbus McKinnon Engineered Products GmbH) line of   credit from Raiffeisenlandesbank Oo. of EUR 3,000,000; outstanding balance of  701,221   used for Letters of Credit and Bank Guarantees   6) Pfaff Beteiligungs GmbH line of credit from Winterthur AXA Versicherung of EUR   2,250,000; outstanding balance of  458,751 used for Letters of Credit and Bank   Guarantees   7) Columbus McKinnon Dutch Holdings 1 B.V. note payable to Yale Industrial Products,   Inc. of EUR 1,596,766; fully outstanding   8) Columbus McKinnon do Brasil Ltda. note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of USD 2,123,858; fully outstanding   9) Columbus McKinnon Dutch Holdings 1 B.V. note payable to Yale Industrial Products,   Inc. of EUR 4,000,000; fully outstanding   10) Columbus McKinnon Austria GmbH note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of EUR 4,000,000; fully outstanding   11) CMCO Material Handling (Pty.) Ltd. Limited note payable to Columbus McKinnon   Corporation of ZAR 7,000,000; fully outstanding   12) Columbus McKinnon Dutch Holdings 1 B.V. note payable to Yale Industrial Products,   Inc. of USD 3,000,000; fully outstanding   13) Columbus McKinnon Asia Pacific Ltd. note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of USD 3,000,000; fully outstanding   14) Columbus McKinnon EMEA GmbH note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of EUR 68,000,000; fully outstanding   15) Columbus McKinnon de Uruguay, S.A. note payable to Columbus McKinnon de Mexico,   S.A. de C.V. of USD 673,000; fully outstanding   16) Columbus McKinnon de Panama, S.A. note payable to Columbus McKinnon de Mexico,   S.A. de C.V. of USD 1,122,000; fully outstanding   17) Columbus McKinnon Industrial Products GmbH note payable to Columbus McKinnon   Corporation of USD 68,000,000; USD 22,255,249 outstanding   18) Columbus McKinnon Asia Pacific Pte. Ltd. note payable to Columbus McKinnon   Industrial Products GmbH of EUR 6,190,000; fully outstanding   19) Columbus McKinnon Hungary Kft. note payable to Columbus McKinnon Industrial   Products GmbH of EUR 700,000; fully outstanding     

 

   20) Columbus McKinnon Iberica S.L.U. note payable to Columbus McKinnon Industrial   Products GmbH of EUR 1,000,000; fully outstanding   21) Columbus McKinnon ME Dubai note payable to Columbus McKinnon Industrial   Products GmbH of AED 800,000; fully outstanding   22) Columbus McKinnon Turkey note payable to Columbus McKinnon Industrial Products   GmbH of EUR 200,000; fully outstanding   23) Pfaff Beteiligungs GmbH note payable to Columbus McKinnon Industrial Products   GmbH of EUR 8,900,000; fully outstanding   24) Columbus McKinnon Hangzhou Industrial Co. Ltd note payable to Columbus McKinnon   Asia Pacific Ltd. (Hong Kong) USD 2,000,000; fully outstanding   25) Hangzhou LILA Lifting and Lashing Co. Ltd. note payable to Columbus McKinnon Asia   Pacific Ltd. (Hong Kong) USD 2,000,000; fully outstanding   26) See attached Schedule 1.01 for outstanding Letters of Credit and Bank Acceptances   (certain foreign LC’s and Guarantees included as outstanding against above credit lines)    27) See attached schedule of material capital leases and real property leases     

 

   Columbus McKinnon   Capital Leases-   Legal Capital/ Assets in   Type Entity Operating Contract Lessor /Contract-Nb. Obligation   Duff Norton Property Lease Yale Industrial Products Inc. Capital Real Estate - Duff Norton, NC Agreement- June 2007 1,479               Lease Plan CMCO Capital Car Leases Mult. 558                  Austria Car Leases CM Austria-Hebetechnik Capital Austria Car Leases Mult. 176                  S Africa Car Leases CMCO Material Handling Pty Ltd Capital S Africa Car Leases Mult. 60                       

 

   SCHEDULE 5.06   LITIGATION   Asbestos Litigation      This aggregated litigation can generically be described as “asbestos litigation” and includes   claims for various types of personal injury allegedly caused by (or contributed to) an individual   claiming to have been exposed, in an occupational environment to Columbus McKinnon   company cranes and hoists which incorporated vendor supplied asbestos-containing parts or   materials.      As of January 14, 2015, there were 1,095 such matters pending, venued in thirteen (13) states   (California, Delaware, Illinois, Maryland, Michigan, Missouri, New York, Ohio, Pennsylvania,   Rhode Island, Texas, Utah and West Virginia).  In 97 cases, the claimed injury is mesothelioma,   which is a serious and almost always fatal disease; 39 of these plaintiffs have died. A total of 240   cases involve a primary claim of lung cancer; 111 have resulted in death. Additionally, there are   147 cases identifying other cancers as the primary claim with 43 fatalities. The remaining cases   involve a claim of asbestosis or other asbestos related disease.  Nearly all of these cases are   recent filings and are in the “discovery phase” of the litigation.      The Company regularly reviews its reserves in connection with the asbestos litigation.  CM   Insurance Company, Inc., the Company’s captive insurance subsidiary, provides coverage in   respect of the asbestos litigation.      Based on actuarial information, the Company has estimated its asbestos-related aggregate   liability including related legal costs to range between $7,000,000 and $12,000,000 using   actuarial parameters of continued claims for a period of 18 to 30 years from September 30,   2014.  The Company's estimation of its asbestos-related aggregate liability that is probable and   estimable, in accordance with U.S. generally accepted accounting principles approximates   $8,514,000, which has been reflected as a liability in the consolidated financial statements as of   September 30, 2014.      Other Product Liability Litigation      The Company is also involved in other unresolved legal actions that arise in the normal course of   business.  The most prevalent of these unresolved actions involve disputes related to product   design, manufacture and performance.  As of January 14, 2015, there were 9 such matters   pending, venued in five (5) states (California, Illinois, Kentucky, Missouri and Pennsylvania),   Canada and Puerto Rico. The Company’s estimation of its product-related aggregate liability that   is probable and estimable, in accordance with U.S. generally accepted accounting principles   approximates $5,668,000, which has been reflected as a liability in the consolidated financial   statements as of September 30, 2014.                   

 

   Commercial Claims       Columbus McKinnon Corporation v. WIL AG (venued in Vienna, Austria)   This is an action filed by the Company against Austrian distributor WIL AG.  The Company is   seeking recovery of an outstanding amount of $189,444 USD for a tire shredder unit   manufactured and delivered to WIL AG.  WIL AG withheld payment alleging delays by the   Company in delivery and installation at the end-users facility in Poland.  However, the alleged   delays were self-induced and are not attributable to the Company.      Crane Equipment & Service, Inc. v. B.E.T. Construction, Inc.   State of New York Supreme Court, Erie County   Index Number: 801287/2014   The Company is seeking recovery in the amount of $67,183.50 for goods sold to B.E.T. in 2011.      Columbus McKinnon Industrial GmbH ("CMIP") and Çelikbilek Makine Sanayi ve Ticaret   A.Ş. ("Celikbilek") had a business relationship in Turkey for approximately 25 years where   Celikbilek distributed products manufactured by CMIP.  CMIP terminated this relationship in   February, 2012.  Celikbilek took the position that the relationship was an exclusive distributor   relationship and on termination was entitled to compensation in the amount of 300,000 EUR.    CMIP’s position is that the arrangement was entered into orally and a mere sales agreement not   triggering termination payments.  Celikbilek filed suit in Turkish court in 2012 against CMIP’s   Turkish subsidiary.  CMIP’s Turkish subsidiary subsequently filed suit in Turkey for Unfair   Competition, the basis for terminating the ongoing relationship.  CMIP filed suit against   Celikbilek in Germany for a declaratory judgment finding the agreement a seller-purchaser   arrangement rather than a distributorship agreement.  The law suits are pending.  CMIP has an   accrual on the books for the pending litigation     

 

   SCHEDULE 5.09   ENVIRONMENTAL MATTERS      None.     

 

   SCHEDULE 5.12(C)   ERISA    None.        

 

      SCHEDULE 5.12(D)   PENSION PLANS   The Borrower and/or an ERISA Affiliate maintains, contributes, has any unsatisfied obligation to   contribute to, or liability with respect to the following Pension Plans:    (1)  Iowa Ironworkers Heavy Highway Pension Plan    (2)  Columbus McKinnon Corporation Monthly Retirement Benefit Plan    (3)  Pension Plan for Bargaining Unit Employees of Columbus McKinnon Corporation     

 

   SCHEDULE 5.13   SUBSIDIARIES; OTHER EQUITY INVESTMENTS    See attached.        

 

   SCHEDULE 5.13 - SUBSIDIARIES; OTHER EQUITY INVESTMENTS           Part (a)   Incorporation Percent of Outstanding   Company Name Jurisdiction Authorized Outstanding Shares Owned   Columbus McKinnon Corporation -         Columbus McKinnon de Mexico,  S.A. de C.V. Mexico                          651,100                          651,100 100         CM Insurance Company, Inc. New York 1,000                                                          1,000 100         Columbus McKinnon de Panama, S.A. Panama 100                                                              100 100         Columbus McKinnon de Uruguay, S.A. Uruguay 20                                                                  14 100         Columbus McKinnon do Brasil Ltda. Brazil 426,800                                                  426,800 100         Yale Industrial Products, Inc. Delaware 1,000                                                          1,000 100         Unified Industries, Inc. Michigan                            50,000                                666 100         Societe d'Exploitation des Raccords Gautier France 10,000                                                      10,000 100         Crane Equipment & Service, Inc. Oklahoma 1,000                                                            100 100   Yale Industrial Products, Inc. -         Egyptian American Crane Co. Egypt 17,000                                                      17,000 40         Columbus McKinnon Limited Canada Unlimited 1,500                             100         Yale Industrial Products Ltd. (Dormant) England 1,000                             1,000                             100         Columbus McKinnon Dutch holdings 1 B.V. Netherlands 180                               180                               100              Columbus McKinnon Dutch holdings 2 B.V. Netherlands 180                               180                               100               Columbus McKinnon Dutch holdings 3 B.V. Netherlands 180                               180                               100   Columbus McKinnon Dutch holdings 3 B.V. -         Columbus McKinnon EMEA GmbH Germany 25,000                           25,000                           100         Columbus McKinnon Asia Pacific PTE Ltd Singapore 1                                   1                                   100   Columbus McKinnon Asia Pacific Pte. Ltd.         Columbus McKinnon Industrial Products Co., Ltd. China (PRC)  *  * 100         Hangzhou LILA Lifting and Lashing Co,. Ltd. China (PRC)  *  * 100         Yale Industrial Products Asia Co., Ltd. Thailand 35,000                           35,000                           100         Columbus McKinnon Asia Pacific, Ltd. Hong Kong 20,054,326                     20,054,326                     100         Columbus McKinnon Singapore Pte. Ltd Singapore 1                                   1                                   100   Columbus McKinnon EMEA GmbH  -         Columbus McKinnon Industrial Products GmbH Germany 1                                   1                                   100         Columbus McKinnon Corporation, Ltd. England 50,000                           40,000                           100         Columbus McKinnon France S.a.R.L. France 590                               590                               100                  Columbus McKinnon Maghreb S.a.R.L. Morocco 1,000                             1,000                                     Columbus McKinnon Pty. Ltd. South Africa 982,760                         982,760                         100         Columbus McKinnon Austria GmbH Austria 1                                   1                                   100                 Hebetechnik Gesellschaft GmbH Austria 35,000                           17,500                           100         Columbus McKinnon Benelux, B.V. The Netherlands 100                               100                               100         Columbus McKinnon Iberica S.L.U. Spain 5,000                             5,000                             100         Columbus McKinnon Hungary KFT. Hungary 500                               500                               100         Columbus McKinnon Italia S.R.L. Italy 100                               100                               100         Pfaff Beteiligungs GmbH Germany 27                                 27                                 100         Columbus McKinnon Russia LLC Russia 1                                   1                                   100         Columbus McKinnon Kaldirma ESTV, Ltd Turkey 10,000                           10,000                           100         Columbus McKinnon Industrial Products ME FZE Dubai 1                                   1                                   100         Columbus McKinnon Polska Sp.z.o.o. Poland 300                               300                               100         Columbus McKinnon Switzerland AG Switzerland 150                               150                               100         Columbus McKinnon Ireland Ltd. Ireland 1,000                             1,000                             100         STB Stahlhammer Bommern GmbH Germany 6                                   6                                   100   Columbus McKinnon Pty. Ltd.         Yale Engineering Products (Pty.) Ltd. South Africa 1,000                             100                               100         Yale Lifting Solutions (Pty.) Ltd. South Africa 1,000                             100                               100         Pfaff Hoist & Rigging (Pty.) Ltd. South Africa 1,000                             120                               100   Pfaff Beteiligungs GmbH         Columbus McKinnon Engineered Products GmbH Germany 1                                   1                                   100                 Pfaff Silberblau Utilaje de Ridicat si Transportat S.R.L. Romania Dormant Dormant 100         Verkehrstechnik Beteiligungs GmbH Germany 1                                   1                                   100         Verkehrstechnik GmbH & Co. KG Germany 1                                   1                                   100   * No shares defined, but wholly owned by parent           Part (b)   NONE   No. of Shares    

 

   SCHEDULE 5.17   IDENTIFICATION NUMBERS FOR DESIGNATED BORROWERS THAT ARE   FOREIGN SUBSIDIARES   1.  Columbus McKinnon Corporation: 16-0547600   2.  Columbus McKinnon Dutch Holdings 3 B.V. (Netherlands):  N/A   3.  Columbus McKinnon EMEA GmbH (Germany):  98-1069484     

 

   SCHEDULE 5.18   INTELLECTUAL PROPERTY MATTERS    See attached.     

 

   Reg No. Trademark Name Country Date Filed Date Issued Serial No.   2,349,671 ABELL-HOWE DESIGN LOGO US 23-Nov-98 16-May-00 593,525   2,104,108 AIRSTAR US 7-Feb-96 7-Oct-97 75/055894   1,001,437 ANCHOR SLING US 12-Sep-73 14-Jan-75 73/000744   1,946,461 APOLLO US 29-Jul-94 9-Jan-96 74/555104   8190087176 APOLLO BR 17-Jan-96 28-Sep-98 8190087176   1,195,879 ASI - WORD AND ILLUSTRATION US 17-May-82 18-May-82   2,081,073 ASI - WORD AND ILLUSTRATION US 21-Jul-97 22-Jul-97   680,258 ASI & DESIGN TW 15-May-95 16-May-95   830,408 ASI & DESIGN CN 13-Apr-96 14-Apr-96   2,067,799 AUTO FLEX US 2-Jun-97 3-Jun-97   2,050,051 AUTOSHOCK US 31-Mar-97 1-Apr-97   1,351,344 AXIALVEYOR US 29-Jul-85 30-Jul-85   1,966,222 BIG ORANGE US 5-Jul-94 9-Apr-96 74/545575   478,501 BIG ORANGE MX 8-Sep-94 3-Nov-94 211412   478,508 BIG ORANGE MX 8-Sep-94 3-Nov-94 211438   634,779 BIG ORANGE AU 12-Jul-94 13-Jul-94 634779   634,780 BIG ORANGE AU 12-Jul-94 13-Jul-94 634780   924,085 BIG ORANGE US 5-Mar-71 23-Nov-71 72/385631   TMA477,392 BIG ORANGE CA 13-Sep-94 9-Jun-97 763686   1,043,969 BUDGIT US 16-Oct-75 20-Jul-76 73/066053   26,647 BUDGIT VN 6-Dec-96 25-Mar-98 31802   50623 BUDGIT VE 22-Sep-65 23-Sep-65   645,721 BUDGIT US 6-Nov-56 21-May-57 72/018857   89,967 BUDGIT MX 18-Apr-87 19-Apr-87   90,905 BUDGIT MX 8-Apr-87 9-Apr-87   920,202 BUDGIT CL 28-Jan-91 29-Jan-91   B672,651 BUDGIT GB 31-Dec-99   UCA15723 BUDGIT CA 18-May-86 19-May-86 179560   2,061,905 CADY US 26-Jan-95 13-May-97 74/626104   819008214 CADY BR 17-Jan-96 28-Jul-98 819008214   1,803,048 CLEVLOK US 24-Aug-92 9-Nov-93 74/306670   87/7300 CLEVLOK ZA 20-Sep-87 21-Sep-87   1,954,488 CM US 5-Oct-94 6-Feb-96 74/582468   2,011,421 CM GB 16-Feb-95 17-Feb-95   202,936B CM IN 8-Jun-61 5-Jul-03   22,895 CM PE 9-Nov-95 25-Jan-96 284167   230,986 CM TW 14-Apr-83 16-Dec-83  (72)14296   2503/1968   0 CM DK 23-Apr-68 20-Sep-68  1556/1968   272021 CM EUR 9-May-96 10-May-96 272021   3,214,471 CM JP 1-Jun-93 31-Oct-96    5-53566   4,004,578 CM JP 1-Jun-93 30-May-97    5-53565   47,738 CM AT 16-Apr-62 17-Apr-62 AM239/62   496,124 CM ES 16-Jul-66 13-Feb-68   496,645 CM ES 16-Jul-68 17-Jul-68   496,647 CM ES 20-Oct-68 21-Oct-68   549,425 CM MX 5-Jul-95 28-May-97 236720   650,952 CM MX 4-Jul-95 5-Jul-95 236719   705,616 CM CL 31-Dec-99 13-Oct-04 644958   708641 CM IN 5-Jul-96 13-Jun-03 708641   775,371 CM DE 12-Jan-62 13-Jan-62   818840218 CM BR 16-Oct-95 21-Jul-99 818840218   988,140 CM IT 19-Feb-62 20-Feb-62   B256,743 CM NZ 7-Dec-95 8-Dec-95   B613/93 CM ZW 15-Jul-93 16-Jul-93 613/93   B614/93 CM ZW 15-Jul-93 16-Jul-93 614/93   319,117 CM CH 19-Mar-61 20-Mar-61   657,207 CM & DESIGN MX 4-Jul-95 5-Jul-95 236711   B165,570 CM (CHAIN) AU 9-Mar-61 10-Mar-61   B165,571 CM (HOIST) AU 9-Mar-61 10-Mar-61   2,421,337 CM (LOGO) GB 8-May-06 12-Jan-07   818840226 CM (LOGO) BR 16-Oct-95 21-Jul-98 818840226   821559 CM (MOMOGRAM) GB 31-Dec-99   144,793 CM (MONOGRAM IN RECTANGLE) MX 2-Jun-68 3-Jun-68 20320   16082 CM (SCRIPT FORM) VN 9-Aug-94 10-Aug-94  N-2855/94   240,507 CM (SCRIPT FORM) NZ 30-Aug-94 31-Aug-94 240507   636,849 CM (SCRIPT) AU 4-Aug-94 5-Aug-94   680,061 CM (SCRIPT) AU 6-Dec-95 7-Dec-95   263,180 CM (STYLIZED LOGO) CN 15-Oct-85 20-Sep-86 37601   1,418,799 CM (STYLIZED) FR 10-Feb-77 11-Feb-77   90,143 CM (STYLIZED) PE 29-Nov-89 26-Mar-91 162138   B272,488 CM LATCHLOK AU 25-Sep-73 13-Feb-76   263,375 CM LOGO CA 10-Oct-80 16-Oct-81 459716   3,366,324 CM LOGO JP 1-Jun-93 12-Dec-97 5-53564   62/2672/1 CM LOGO ZA 31-Dec-99   62/2672/2 CM LOGO ZA 31-Dec-99   480,957 CM LOGO FOR HOISTS TW 22-Dec-88 1-May-90  (77)58960   Owner - COLUMBUS McKINNON CORPORATION                 

 

   357,549 CM LOGO WITH MAPLE LEAF CA 20-Apr-88 23-Jun-89 605276   819205400 CM MAX BR 17-May-96 22-Dec-98 819205400   819008192 CM PULLER BR 17-Jan-96 28-Jul-98 819008192   914,870 CM PULLER GB 22-Sep-67   UCA/35474   1 CM PULLER CA 26-Feb-49 27-Feb-49   675,918 CM RIGGER AU 23-Oct-95 6-May-97   996,577 CM RIGGER (STYLIZED) GB 7-Aug-07 8-Aug-07   821707027 COLORLINKS & DESIGN BR 30-Jun-99 16-Mar-04   657.76 COLUMBUS MCKINNON CL 31-Dec-99 20-Dec-04   712,274 COLUMBUS MCKINNON CL 20-Dec-04 21-Dec-04   2,080,570 CONCO US 20-Apr-95 22-Jul-97 74/663697   1988/07190 CRADLE GRAB ZA 18-Aug-88 19-Aug-88   S.A. 11847 CRADLE GRAB BW 26-Feb-92 27-Feb-92   1968/01868 CYCLONE ZA 1-May-68 6-May-08   239,577 CYCLONE NZ 3-Aug-94 4-Aug-94 239577   314,786 CYCLONE CH 19-Mar-61 20-Mar-61   65,207 CYCLONE US 8-Jun-07 10-Sep-07 71/027977   819008184 CYCLONE BR 17-Jan-96 28-Jul-98 819008184   A467,431 CYCLONE AU 22-Mar-02   UCA035397 CYCLONE CA 26-Dec-49 27-Dec-49 205489   1,229,259 DD US 21-Oct-81 8-Mar-83 73/333565   1,016,692 DESIGN ONLY (TRIANGLE) US 17-Jun-74 29-Jul-75 73/024353   985,302 DI & DESIGN US 8-May-72 4-Jun-74 72/423777   23,315(97) DREADNAUGHT CA 25-Feb-18 26-Feb-18   TMDA23315 DREADNAUGHT CA 31-Dec-99   1,829,208 E-Z PRO US 28-Jul-93 5-Apr-94 74/417889   2,129,385 FLEXI-FIT US 7-Feb-96 13-Jan-98 75/056028   6996140 HAMMERLOK BR 24-Jul-79 25-Jul-79   106,748 HAMMERLOK CA 9-Jun-56 24-May-57 236189   140,900 HAMMERLOK MX 12-Dec-67 13-Dec-67   15956 HAMMERLOK VN 2-Aug-94 24-Mar-95  N-2683/94   171,612 HAMMERLOK AU 14-Jan-62 15-Jan-62   1962/00066 HAMMERLOK ZA 31-Dec-99   263,166 HAMMERLOK CN 15-Oct-85 20-Sep-86 37600   302/1989SA HAMMERLOK SZ 2-Aug-89 3-Aug-89   314,783 HAMMERLOK CH 19-Mar-61 20-Mar-61   509,984 HAMMERLOK ES 7-Mar-68 8-Mar-68   622,544 HAMMERLOK JP 6-Aug-63 7-Aug-63 805   629,381 HAMMERLOK US 5-Oct-55 26-Jun-56 71/695889   700,100 HAMMERLOK TW 13-Oct-94 16-Dec-95 83063621   769,600 HAMMERLOK DE 12-Jan-62 13-Jan-62   860082(SWA HAMMERLOK NA 6-Feb-86 7-Feb-86   974,211 HAMMERLOK GB 31-Dec-99   991551 HAMMERLOK IT 30-Jan-62 31-Jan-62   S.A. 10822 HAMMERLOK BW 17-Sep-89 18-Sep-89   T00/13396Z HAMMERLOK SG 1-Aug-00 7-Jan-03   VR196500368 HAMMERLOK DK 17-Jan-62 6-Feb-65     178/62   239,573 HAMMERLOK NZ 3-Aug-94 4-Aug-94 239573   08 3 555 233 HAMMERLOK IN CLASS 6 FR 12-Feb-08 28-Feb-08   1334720 HERC-ALLOY TW 1-Nov-08   140,485 HERC-ALLOY MX 12-Dec-67 13-Dec-67 16529   15954 HERC-ALLOY VN 2-Aug-94 24-Mar-95  N-2681/94   171,613 HERC-ALLOY AU 15-Jan-62 26-Jun-63   1962/00065 HERC-ALLOY ZA 31-Dec-99   239,574 HERC-ALLOY NZ 3-Aug-94 4-Aug-94 239574   3,491,190 HERC-ALLOY US 9-May-07 26-Aug-08 77-176,646   314,784 HERC-ALLOY CH 19-Mar-61 20-Mar-61   502,480 HERC-ALLOY ES 25-Apr-66 11-Oct-67   632,854 HERC-ALLOY JP 17-Jan-62 23-Dec-63 804   772,789 HERC-ALLOY DE 12-Jan-62 13-Jan-62   860081(SWA HERC-ALLOY NA 6-Feb-86 7-Feb-86   991,550 HERC-ALLOY IT 30-Jan-62 31-Jan-62   991550 HERC-ALLOY IT 30-Jan-62 31-Jan-62   UCA039499 HERC-ALLOY CA 26-Dec-49 27-Dec-49 205487   1,604,241 HERC-ALLOY FR 31-Jan-78 1-Feb-78   301/1989SA HERC-ALLOY SZ 2-Aug-89 3-Aug-89   3797/1964   1 HERC-ALLOY DK 18-Feb-64 19-Feb-64   7,214,545 HERC-ALLOY BR 24-Aug-80 25-Aug-80   S.A. 10821 HERC-ALLOY BW 17-Sep-89 18-Sep-89   1,308,541 HERC-ALLOY (PLAIN BLOCK TYPE) GB 27-Apr-87 28-Apr-87   1,032,784 HERC-ALLOY 800 US 31-Mar-75 10-Feb-76 73/048094   759,642 HERC-ALLOY 800 TW 8-Dec-95 1-May-97 84061988   1,463,291 HEXAGON DESIGN US 20-Apr-87 3-Nov-87 73656275   112,101 HI-CAP CA 31-Dec-99   994,980 HOISTALOY US 30-Jan-74 8-Oct-74 73/012164   914,871 INSWELL GB 21-Sep-67 22-Sep-67   1,712,672 LATCHLOK FR 18-Dec-91 19-Dec-91   1,830,144 LATCHLOK US 2-Jul-93 12-Apr-94 74/408135   187,439 LATCHLOK CA 23-Feb-72 22-Dec-72 350000   991,518 LATCHLOK IT 22-Dec-11 23-Dec-11        

 

   3,374,695 LIBERATOR US 27-Jan-08 29-Jan-08   375,711 LIFTTECH LTI CA 22-Aug-88 16-Nov-90 625925   364,284 LIFTTECH LTI MX 20-Feb-04   549 LIFTTECH LTI CL 29-Sep-99 30-Sep-99 448728   1,664,123 LIFTTECH LTI (DEVICE) FR 20-Feb-89 21-Feb-89   384711 LISTER & DESIGN CA 1-Apr-91 1-May-91   863,851 LOAD LIFTER US 1-Jun-67 21-Jan-69 72/272778   779,400 LOAD LIMITER US 1-Apr-63 3-Nov-64 72/165803   997,914 LOAD SENTRY US 11-Mar-74 12-Nov-74 73/015517   2,069,265 LOADMAX GB 20-Oct-95 19-Apr-96   2,112,766 LOADMAX US 20-Oct-95 11-Nov-97 75/008771   39619508 LOADMAX DE 18-Apr-96 19-Apr-96   4,096,110 LOADMAX JP 19-Apr-96 19-Dec-97 8-43469   405,341 LOADMAX KR 18-Apr-96 18-Jun-98 15687/1996   TMA512289 LOADMAX CA 17-Apr-96 26-May-99 810,159   796 LOADMAX CL 26-Oct-07   3,822,427 LODELOK US 20-Jul-10 21-Jul-10 77-457,378   3,822,428 LODE-LOK US 20-Jul-10 21-Jul-10 77-457,405   15955 LODESTAR VN 2-Aug-94 24-Mar-95  N-2682/94   319,118 LODESTAR CH 19-Mar-61 20-Mar-61   502,481 LODESTAR ES 11-Mar-68 12-Mar-68   620,753 LODESTAR US 5-May-55 7-Feb-56 71/686887   625,343 LODESTAR CN 28-Jan-92 10-Jan-93 92004060   818840200 LODESTAR BR 16-Oct-95 14-Sep-99 818840200   914,869 LODESTAR GB 21-Sep-67 22-Sep-67   a467,429 LODESTAR AU 22-Jun-87 29-Jan-91   115,126 LODESTAR CA 18-Feb-59 28-Aug-59   239,575 LODESTAR NZ 3-Aug-94 4-Aug-94 239575   1968/01867 LODESTAR - CLASS 7 ZA 1-May-68 6-May-08   819110094 LODESTAR XL BR 31-Jan-96 15-Sep-98 819110094   314,785 METEOR CH 19-Mar-61 20-Mar-61   4,002,863 METEOR US 26-Jul-11 27-Jul-11 77700093   8354491 METEOR EUR 21-May-09   UCA/35399   1 METEOR CA 26-Feb-49 27-Feb-49   2,661,752 MISCELLANEOUS DESIGN US 22-Aug-01 17-Dec-02 76/197417   2,609,090 MISCELLANEOUS DESIGN (ORANGE) US 22-Jan-01 20-Aug-02   3,573,392 PAT-LOK US 19-Jul-07 10-Feb-09 7/233,331   3,456,101 PIGGYBACK US 4-May-07 1-Jul-08   1,939,045 POLARIS US 29-Jul-94 28-Nov-95 74/555162   819,008,168 POLARIS BR 17-Jan-96 11-Aug-98 819008168   1,711,206 POWERSTAR US 15-Nov-91 1-Sep-92 74/221861   819008133 POWERSTAR BR 17-Jan-96 11-Aug-98 819008133   1,212,172 PROBOT US 15-Sep-81 12-Oct-82 73328109   239,576 PULLER NZ 3-Aug-94 4-Aug-94   496,816 PULLER ES 31-Jan-68 1-Feb-68   B1968/01869 PULLER ZA 1-May-68 6-May-08   B467,430 PULLER AU 21-Jun-87 22-Jun-87   3,580,933 PULSE & DESIGN US 29-Jun-06 24-Feb-09 76/662,462   98 766 472 RACCORDS GAUTIER FR 28-Dec-98 4-Jun-99   1,809,912 RAILSTAR US 10-Aug-92 7-Dec-93 74/302954   819008222 RAILSTAR BR 17-Jan-96 11-Aug-98 819008222   2,111,470 REACTION ARM US 10-Apr-95 4-Nov-97 74/647832   1,212,955 RED-D-PULLER US 19-Jun-81 19-Oct-82 73/315498   987,315 REDLINE US 20-Aug-71 2-Jul-74 72/400711   1,821,012 RIGGER US 28-May-93 15-Feb-94 74/396042   819008206 RIGGER BR 17-Jan-96 25-Aug-98 819008206   195,995 RIGGER CA 14-Aug-72 7-Dec-73 356091   TMA195,995 RIGGER CA 14-Aug-72 7-Dec-73 356091   209,137 SATELLITE CA 9-Aug-74 29-Aug-75 377.817   819110078 SERIES 632 BR 31-Jan-96 15-Sep-98 819110078   120,504 SHAW-BOX CA 9-Oct-57 23-Dec-60 242670   27,487 SHAW-BOX VN 5-Dec-96 6-Dec-96  NH2296/96   50622 SHAW-BOX VE 22-Sep-65 23-Sep-65   793,956 SHAW-BOX US 29-Apr-64 10-Aug-65 72/192304   793,983 SHAW-BOX US 29-Apr-64 10-Aug-65 72/192305   89,245 SHAW-BOX MX 31-Dec-99 9-Apr-02   89,390 SHAW-BOX MX 31-Dec-99 9-Apr-02   928,393 SHAW-BOX CL 6-Aug-90 7-Aug-90 151346   2,171,788 SHOPSTAR US 16-Sep-96 7-Jul-98 75/166340   815241 SILENTSTAR EUR 30-Apr-98 1-May-98 815241   206,856 TACKLER CA 9-Aug-74 2-May-75 377816   231,940 THERMOLINK CA 1-Jan-79 1-Feb-79   136,996 TIPIT CA 20-Aug-79 21-Aug-79   1,376,914 TUGIT US 18-Jan-85 7-Jan-86 73/518214   27,488 TUGIT VN 5-Dec-96 6-Dec-96 31804   346,941 TUGIT CA 31-Dec-99   412,025 TUGIT US 25-Aug-44 13-Feb-45 71/473608   B672,652 TUGIT GB 31-Dec-99   1,711,205 VALUSTAR US 15-Nov-91 1-Sep-92 74/221860   819008141 VALUSTAR BR 17-Jan-96 25-Aug-98 819008141    

 

   1,077,743 COFFING US 30-Jan-76 22-Nov-77 73/075801   1,218,905 COFFING US 10-Aug-81 7-Dec-82 73/323403   1,514,275 COFFING FR 13-Feb-89 14-Feb-89   601,760 COFFING CL 25-Feb-91 17-May-91 95076216   870,534 COFFING DE 7-Oct-78 8-Oct-78   958,216 COFFING CN 6-Mar-97 7-Mar-97 958216   TMA317,314 COFFING CA 27-Jun-85 15-Aug-86 544803   2,080,570 CONCO US 20-Apr-95 22-Jul-97 74/663697   167,986 DN & DESIGN CA 5-Mar-85 6-Mar-85   32,397 DUFF CA 31-Dec-99   320,927 DUFF LYNX & DESIGN CA 20-Nov-86 21-Nov-86 544804   1,415,513 DUFF-NORTON AR 16-Sep-93 17-Sep-93 1753068   1,419,783 DUFF-NORTON FR 22-Jul-87 23-Jul-87 868719   177,233 DUFF-NORTON CA 29-Jul-86 30-Jul-86 328938   227,314 DUFF-NORTON MX 13-May-94 14-May-94   454,336 DUFF-NORTON JP 4-Aug-94 28-Oct-94  725131/94   56,915 DUFF-NORTON MX 24-Nov-92 25-Nov-92   610,023 DUFF-NORTON DE 12-Mar-90 13-Mar-90   677,858 DUFF-NORTON GB 14-Mar-84 15-Mar-84   818054751 DUFF-NORTON BR 9-Dec-96 10-Dec-96 818054751   847,147 DUFF-NORTON DE 11-Dec-88 12-Dec-88   87,696 DUFF-NORTON BE 23-Dec-71 24-Dec-71   90/1636 DUFF-NORTON NA 5-Dec-90 6-Dec-90   90/6260 DUFF-NORTON ZA 26-Jul-90 27-Jul-90   UCA25048 DUFF-NORTON CA 21-Aug-46 22-Aug-46 192134   413.778 DUFF-NORTON & DESIGN UY 3-Nov-90 4-Nov-90   541,411 DUFF-NORTON & DESIGN CL 23-Nov-78 24-Nov-78   958,243 DUFF-NORTON & DEVICE CN 6-Mar-97 7-Mar-97 958,243   858,808 JACTUATOR GB 9-Jan-85 10-Jan-85   895,453 LITTLE MULE US 31-Dec-68 28-Jul-70 72/315807   958,238 LITTLE MULE & LOGO CN 6-Mar-97 7-Mar-97 958,238   760,599 RAM-PAC US 2-Oct-62 26-Nov-63 72/154338   1,189,683 ROTARY UNION ES 10-Apr-87 21-Mar-88   105,542 ROTARY UNION FI 5-Nov-89 6-Nov-89    1579/87   138,595 ROTARY UNION NO 6-Apr-87 21-Sep-89 871362   152,823 ROTARY UNION CA 31-Aug-80 1-Sep-80   432,964 ROTARY UNION BE 31-Mar-87 1-Apr-87 58329   744,605 ROTARY UNION IT 15-Apr-86 27-Mar-87 33849-C/86   VA 04.595   0 ROTARY UNION DK 9-Apr-87 13-Jul-90  VA 02.313   877,850 SPRECKELS & DESIGN US 22-Nov-67 30-Sep-69 70/285381   2,160,951 STEERMAN GB 14-Mar-98 4-Dec-98   1,054,224 SUPEROID & DESIGN US 29-Sep-75 14-Dec-76 73/064335   1,162,481 TRAVELIFT US 30-Aug-79 28-Jul-81 73/229663   673,990A YALE GB 29-Oct-48 30-Oct-48   554 YALE IL 2-Oct-02 28-Nov-02   315169 YALE PY 12-Mar-88 13-Mar-88   315170 YALE PY 13-Mar-88 14-Mar-88   99/127 YALE SV 17-May-90 18-May-90   1,096,953 YALE IT 29-Aug-84 30-Aug-84   1,548,641 YALE FR 25-Jul-88 16-Feb-90 944108   1,655,182 YALE FR 10-Apr-91 11-Apr-91 279579   10,377 YALE AT 27-Feb-93 28-Feb-93   100,537 YALE BE 31-Dec-99   1090/1984   0 YALE BG 5-May-95 6-May-95   11,739 YALE GR 9-Jul-88 10-Jul-88   117,466 YALE HU 16-Sep-94 17-Feb-95   28567/94   12,846 YALE BG 20-Nov-90 21-Nov-90   1285 YALE JM 14-May-89 15-May-89   137,873 YALE PT 19-Sep-96 20-Sep-96   165,272 YALE ID 18-Jul-92 19-Jul-92   2002236 YALE EUR 15-Dec-00 4-Mar-02   171,870 YALE SE 27-Nov-79 24-Apr-90    79/6228   2,012,131 YALE AR 30-Aug-94 31-Aug-94   2,012,140 YALE AR 16-Jun-86 31-Aug-94   20,762 YALE SY 20-Dec-90 21-Dec-90   Owner - YALE INDUSTRIAL PRODUCTS, INC.        

 

   233A YALE GY 20-May-89 21-May-89   239,422 YALE IN 12-Dec-94 13-Dec-94   2543 YALE JO 27-Nov-88 28-Nov-88   2569 YALE TW 20-Jan-96 21-Jan-96   26,164 YALE ES 5-Sep-85 6-Sep-85   26,476 YALE KE 11-Sep-79 12-Sep-79   27/1923 YALE HK 31-Dec-99   28064 Z-105/81 YALE YU 31-Dec-99   29,491 YALE MA 21-Aug-79 22-Aug-79   29812 YALE AU 16-Dec-20   3,212 YALE NO 11-Feb-95 12-Feb-95   316,756 YALE JP 21-Feb-89 22-Feb-89  222179/88   316,756-1 YALE JP 21-Feb-89 22-Feb-89 222179/88   318,189 YALE CH 26-Aug-81 27-Aug-81   32,481 YALE DO 9-Jul-81 10-Jul-81   336,616 YALE CA 17-Dec-86 29-Jan-88 574815   353,566 YALE UY 21-Jun-94 22-Jun-94   40,360 YALE LK 31-Jul-89 1-Aug-89   43,914 YALE MX 24-Oct-41 25-Oct-91   43,915 YALE MX 23-Oct-41 24-Oct-91   4594/1980   1 YALE DK 18-Feb-90 19-Feb-90   46,100 YALE CR 30-May-88 31-May-88   46,310 YALE LB 21-Sep-84 22-Sep-84   478 YALE PA 24-Nov-89 25-Nov-89   48,317 YALE IL 17-Jul-86 18-Jul-86   53,291 YALE PH 17-Oct-88 19-Sep-92 65989   60061 YALE PE 15-Dec-96 16-Dec-96 286711   6062 YALE CG 27-Oct-58 2-Sep-87   62 of 1919 YALE TT 25-May-79 26-May-79   624 YALE PK 27-Sep-43 28-Sep-43   634,731 YALE DE 29-Nov-96 30-Nov-96   65,024 YALE NZ 11-Nov-94 12-Nov-94   719 YALE SG 20-Oct-92 21-Oct-92   728,544 YALE US 27-Jun-60 13-Mar-62 72/099818   73,639 YALE JP 22-Feb-89 28-Jul-95  726043/95   79/2730 YALE ZA 24-May-79 25-May-79   82642 YALE LB 25-Feb-00 26-Feb-00   83396-A YALE BO 17-Jul-80   83397-A YALE BO 17-Jul-80   84,369 YALE FI 16-Dec-80 21-Feb-83   840,431 YALE DE 12-Oct-96 13-Oct-96   857,874 YALE CL 17-Jan-89 18-Jan-89   90,841 YALE AG 28-Dec-91 29-Dec-91   918951A YALE GB 27-Dec-67 28-Dec-67   958,189 YALE CN 6-Mar-97 7-Mar-97   9786 YALE NZ 18-Jul-95 19-Jul-95   981,154 YALE CL 11-Nov-11 12-Nov-11   982,672 YALE GB 3-Nov-92 4-Nov-92   F-023822 YALE VE 26-Nov-94 27-Nov-94   IDM000052032 YALE ID 31-Dec-99 21-Apr-05   IDM000052033 YALE ID 31-Dec-99 21-Apr-05   IV/6681/2009 YALE MM 6-May-80 7-May-80   M/000719A YALE MY 21-Oct-92 23-Oct-92   S/2/0365 YALE MY 16-Jul-92 17-Jul-92   TMDA29346 YALE CA 25-Sep-21 26-Sep-21 814916   41617 YALE TH 8-Jun-95 9-Jun-95   2,604,088 YALE US 12-Feb-01 6-Aug-02 76208553   452,223 YALE UY 21-Jun-94 22-Jun-94   1598 YALE (IN ARABIC EQUIVALENT) EG 24-May-90 25-May-90   878,314 YALE INDUSTRIAL PRODUCTS, INC. US 23-Oct-67 7-Oct-69 71/283083        

 

   1,774,858 UI US 22-Sep-80 27-Oct-81 73278586   ,156,124 NIFIED 4-Apr-79 2-Jun- 12891   Owner - UNIFIED INDUSTRIES, INC.                                                                             

 

   Columbus McKinnon Corporation - Patent List   Pat. No.   App. No.   Title   Filing   Date   Issue Date   Exp.   Date   Country   14/350,175 Actuator Control   Circuit   04-Apr-2014   US   2,851,431 Actuator Control   Circuit   08-Oct-2012   Canada   12838420.3 Actuator Control   Circuit   08-Oct-2012   Europe   MXa2014-   004239   Actuator Control   Circuit   08-Oct-2012   Mexico   PCT/US12/59   218   Actuator Control   Circuit   08-Oct-2012   PCT   13/385,017 Apparatus and   Method for Producing   Crumb Rubber   27-Jan-2012   U.S.   13/385,017 Cooling Apparatus   Used in Recycling   Scrap Tires   31-Oct-2011   U.S.   7,284,743 Hoist Limiting System 03-Nov-2006 23-Oct-2007 03-Nov-   2026   U.S.   5,564,766 J-Hook for Towing   Automobiles   09-Jan-1995 15-Oct-1996 09-Jan-   2015   U.S.   2,150,761 J-Hook for Towing   Automobiles   31-May-1995 30-Mar-1999 31-May-   2015   Canada   5,997,063 J-Hook with Shank   Portion Having Oval-   Shaped Transverse   Cross-Section   04-Mar-1998 07-Dec-1999 04-Mar-   2018   U.S.   5,575,456 Lever Operated Hoist 12-Jun-1995 19-Nov-1996 12-Jun-   2015   U.S.   19545128.7 Lever Operated Hoist 04-Dec-1995 26-Aug-1999 04-Dec-   2015    Germany   2,165,258 Lever Operated Hoist 14-Dec-1995 05-Jan-1999 14-Dec-   2015    Canada   193,348 Lever Operated Hoist 15-Dec-1995 14-Sep-1999 15-Dec-   2015   Mexico   157,028 Lever Operated Hoist 24-Apr-1996 18-Feb-1999 24-Apr-   2016    Korea   2,668,203 Lever Operated Hoist 10-Jun-1996 27-Oct-1997 10-Jun-   2016    Japan   ZL96108819.   2   Lever Operated Hoist 12-Jun-1996 18-Sep-1999 12-Jun-   2016   China   D665,433 Linear Actuator 09-Oct-2011 14-Aug-2012 14-Aug-   2026   U.S.   342284 Linear Actuator 02-Apr-2012 02-May-2012 02-May-   2022   Australia   145167 Linear Actuator 04-Apr-2012 09-Apr-2012  Canada   ZL201230098   664.8   Linear Actuator 09-Apr-2012 21-Nov-2012 09-Apr-   2022   China     

 

   Pat. No.   App. No.   Title   Filing   Date   Issue Date   Exp.   Date   Country   EM00201911   7-000   Linear Actuator 02-Apr-2012 02-Apr-2012 02-Apr-   2037   Europe   1446765 Linear Actuator 06-Apr-2012 22-Jun-2012 22-Jun-   2032   Japan   7,389,634 Link Chain 22-Mar-2007 24-Jun-2008 22-Mar-   2027   U.S.   D663,913 Material Handling   Pendant   (2 Button)   11-Jul-2011 17-Jul-2012 17-Jul-   2026   U.S.   143869 Material Handling   Pendant   (2 button)   05-Jan-2012 13-Aug-2012 13-Aug-   2022   Canada   ZL201230005   774.5   Material Handling   Pendant   (2 button)   11-Jan-2012 02-Jan-2013 11-Jan-   2022   China      EM   001973165-   0001   Material Handling   Pendant   (2 button)   10-Jan-2012 10-Jan-2012 10-Jan-   2037   Europe   1,448,490 Material Handling   Pendant   (2 button)   “Remote Control for   Hoists”   10-Jan-2012 13-Jul-2012 13-Jul-   2032   Japan      D678648 Material Handling   Pendant   (6 button)   11-May-2012 19-Mar-2013 19-Mar-   2027   U.S.   148367 Material Handling   Pendant   (6 button)   07-Nov-2012   Canada   ZL201230541   441.4   Material Handling   Pendant   (6 button)   11-Jan-2012   China   EM00213188   8-001   Material Handling   Pendant   (6 button)   07-Nov-2012 07-Nov-2012 07-Nov-   2037   Europe   1,479,760 Material Handling   Pendant   (6 button)   “Remote Control for   Hoists”   09-Nov-2012   Japan   PCT/US13/25   862   Material Lifting   System and Method   13-Feb-2013   PCT   102105629 Material Lifting   System and Method   18-Feb-2013   Taiwan   14/377,544 Material Lifting   System and Method      U.S.   11201401992   4.8   Material Lifting   System and Method   13-Feb-2013   Brazil    Material Lifting   System and Method   13-Feb-2013   Canada    Material Lifting   System and Method   13-Feb-2013   China     

 

   Pat. No.   App. No.   Title   Filing   Date   Issue Date   Exp.   Date   Country   13749217.9 Material Lifting   System and Method   13-Feb-2013   Europe   MXa2014009   541   Material Lifting   System and Method   13-Feb-2013   Mexico   5,791,579 Overload Prevention   Clutch Assembly   03-Sep-1996 11-Aug-1998 03-Sep-   2016   U.S.   ZL97197584.   1   Overload Prevention   Clutch Assembly   21-Jul-1997 18-Dec-2002 21-Jul-   2017    China   3,982,590 Overload Prevention   Clutch Assembly   21-Jul-1997 13-Jul-2007 21-Jul-   2017   Japan   316 870 Overload Prevention   Clutch Assembly   02-Mar-1999 28-Nov-2001 21-Jul-   2017    Korea   1,023,105 Overload Prevention   Clutch Assembly   13-Apr-2000 22-Aug-2003 13-Apr-   2020   Hong Kong   7,213,778 Tire Size   Reduction/Wire   Separation System   07-Dec-2004 08-May-2007 10-Aug-   2025   U.S.   2005314650 Tire Size   Reduction/Wire   Separation System   15-June-2006   Australia   2005800-   42050.5   Tire Size   Reduction/Wire   Separation System      China   057 60 314.4 Tire Size   Reduction/Wire   Separation System      European   Community   2,382,677 Tire Size   Reduction/Wire   Separation System      Russia   PI10517136.   9   Tire Size   Reduction/Wire   Separation System      Brazil   4,776,628 Tire Size   Reduction/Wire   Separation System   13-Jun-2005 21-Sep-2011 13-Jun-   2025   Japan   7,823,942 Towing Accessory 28-Feb-2008 02-Nov-2010 15-May-   2029   U.S.   D712,243 Wire Rope Bundling   Clip   07-Sep-2011 02-Sep-2014 02-Sep-   2028   U.S.   144759 Wire Rope Bundling   Clip   02-Mar-2012 28-Sept-2012 28-Sept-   2012   Canada   ZL201230047   654.1   Wire Rope Bundling   Clip   06-Mar-2012 05-Sept-2012 06-Mar-   2012   China   EM00198491   5-0001   Wire Rope Bundling   Clip   02-Feb-2012 02-Feb-2012 02-Feb-   2037   Europe   1446763 Wire Rope Bundling   Clip   02-Mar-2012 22-June-2012 22-June-   2032   Japan        

 

   COPYRIGHTS   Columbus McKinnon Corp   Full Title Copyright Number Date   Coffing lever hoists & 35 other titles.  V3415D334  1998    Coffing lever hoists & 35 other titles.  V3415D335  1998    Coffing lever hoists & 35 other titles.  V3415D336  1998    Coffing lever hoists & 35 other titles. (Part   004 of 004)    V3415D337  1998    Coffing lever hoists & 36 other titles.  V3559D438  2007    Coffing lever hoists & 38 other titles.  V3498D428  2003    No titles given.  V3399P158  1997    No titles given.  V3318P185  1996        

 

      Yale Industrial Products, Inc.    Full Title Copyright Number Date   American hydraulic scissor lift service   manual & 5 other titles.    V2401P016  1988    Coffing lever hoists & 35 other titles.  V3415D334  1998    Coffing lever hoists & 35 other titles.  V3415D335  1998    Coffing lever hoists & 35 other titles.  V3415D336  1998    Coffing lever hoists & 35 other titles.  V3401D069  1997    Coffing lever hoists & 35 other titles.   (Part 004 of 004)    V3415D337  1998    Coffing lever hoists & 36 other titles.  V3559D438  2007    Coffing lever hoists & 38 other titles.  V3498D428  2003    Coffing lever hoists & 40 other titles.  V3373P110  1997    Coffing lever hoists & 41 other titles.  V3494D700  2003    Complete line of coffing hoists /   A942995 (1967)    V3491D987  2002    No titles given.  V3401D068  1997      Yale Industrial Products, Inc. - Pre-1978   Title   App. No./   Reg. No.   Coffing lever hoists A245833   Coffing electric wire rope hoist A245830   Coffing hoists--the complete line A245829   Coffing hand chain hoists A245828   Coffing hoists--the complete line catalog A245827   Coffing electric chain hoists A245826   Coffing hoist trolleys--the complete line A245825   Take it easy how to pick the right coffing hoist A532667   A complete line of coffing lever hoists A122229   A complete line of coffing lever hoists A891158     

 

   Title   App. No./   Reg. No.   Coffing coil chain electric hoists A27575   Coffing load binders, hoist binders, hoist alls, midget   pullers   A835386   A complete line of coffing hoist trolleys A860451   A complete line of coffing hoist trolleys A942994   A complete line of coffing porta-hoists A881876   A complete line of coffing power hoists A891157   Duff-Norton couplings VA0000121   150   Coffing lever hoists VA0000121   151   Coffing hand chain hoists VA0000121   152   Rotary Union rotating joints VA0000121   153   The Duff-Norton High pressure hydraulics handbook VA0000133   081   Engineering data book for use with Duff-Norton   jactuator   A245834   Duff-Norton mini-pac mechanical actuators A245832   Duff-Norton jack manual A792290   Duff-Norton jack manual A245824   Duff-Norton the world’s most complete line of lifting   jacks   A245823   Duff-Norton jactuator A245822   Duff-Norton complete line of mechanical jactuators A788803   Duff-Norton complete line of mechanical jactuators A881877   Flexible couplings for use with Duff-Norton jactuators A860450   Catalog and price list no. 607 A889818   Duff-Norton jactuators A930019   Duff-Norton jactuator A942996   American hydraulic scissor lift service manual A89512   Stand 12’ tall on the new 6-foot roll a-fold work platform A74507   New American stainless steel air film tables A74508   American stocka pallet trucks operations, maintenance A167388     

 

   Title   App. No./   Reg. No.   and spare parts list   American gravity conveyors A91475   American patch cutters and routers A74509   A complete line of coffing hoists A942995   Duff-Norton mechanical jactuators A778337           

 

   SCHEDULE 5.19   FILING JURISDICTIONS   1. Filing of a UCC Financing Statement on Form UCC-1 with the Secretary of State of the   State of New York; Debtor:  Columbus McKinnon Corporation       2. Filing of a UCC Financing Statement on Form UCC-1 with the Secretary of State of the   State of Oklahoma; Debtor:  Crane Equipment & Service, Inc.      3. Filing of a UCC Financing Statement on Form UCC-1 with the Secretary of State of the   State of Delaware; Debtor:  Yale Industrial Products, Inc.      4. Filing of a UCC Financing Statement on Form UCC-1 with the Secretary of State of the   State of Michigan; Debtor:  Unified Industries Inc.           

 

   SCHEDULE 5.20   FEE AND LEASEHOLD REAL PROPERTY ASSETS   See attached.        

 

      Columbus McKinnon   5 20  Leased Properties   Location/   Division   Occupancy/   Utilization Street City ST Zip Country Footnotes   Unified Industrial Products Manufacturing 1033 Sutton Street Howell MI 48843 USA Landlord: MK Principals Limited Partnership Term: 3/1/14-2/28/19                            Rent: Months 1-12 14,952.00 Months 13-24 15,412.00 Months 25-36 15,872   Months 37-48 16,332.00 Months 49-60 16,821.00 Monthly   Duff Norton Manufacturing 9415 Pioneer Ave         Charlotte NC 28273 USA Landlord:  Patriot Pioneer Park, LLC   Term: Sold and leased back 6/07 for 10 years.   Rent: YR1 436,500.00   YR2 445,230.00   YR3 454,134.60   YR4 463,217.29   YR5 472,481.64   YR6 481,931.27   YR7 491,569.90   YR8 501,401.30   YR9 511,429.33   YR10 521,657.92 With Empty Fields   Salem Ohio Hoist Operations Manufacturing 240 Pennsylvania Ave Salem OH 44460 USA Landlord: Sequoia Properties LLC   Term: 2/2010 thru 2/28/2015 Rent: $13,285.73 Monthly (renewable)   Note: A small portion of the attic is allocated to the landlord for record   storage     WECO Offices 520-16th Street Rock Island IL 61201 USA Landlord:   RAYMOND LOHSE., JR   Term: 7/1/2014-6/30/2017 Rent: YR1 14,556.15 YR2 15,283.96 YR3 16,048.16   Note: We have exercised our option to renew the lease for 1 additional 3 year   term which commenced July 1,2014.                                   Corporate Office Offices 140 John James Pkwy Amherst NY 14228 USA Landlord: Iskalo Office Holding II LLC        Term: Feb 2006 -2015   YR1 182,216.00   YR2 184,038.16   YR3 185,878.54   YR4 187,737.33   YR5 189,614.70   YR6 191,510.85   YR7 193,425.96   YR8 195,360.22   YR9 197,313.82   YR10 199,286.96   CM Servers Offices 350 Main St Suite 100 Buffalo NY 14202 USA Centrilogic Inc   custom cage 2527.00 plus circuits equals 7402.00   Term: 8/1/2012-8/31/15   CM LTD Edmonton Offices 10311-174  St Edmonton, Alberta CN T5S1H1 Canada Landlord: NAI Commercial Real Estate Inc. Term:12/1/14-N/A Rent: 2,362.50   CAD   CM Chain, Lexington Warehouse 12342 Bell Ranch Drive Santa Fe Springs CA 90670 USA Landlord: Prologis L.P., a Delaware limited partnership   Terms: 10/1/12 thru 11/30/17    Rent: monthly base Rent  10/1/12 - 9/30/13  14,034.00   monthly base Rent  10/1/13 - 9/30/14 14,455.00   monthly base Rent  10/1/14 - 9/30/15 14,888.00   monthly base Rent  10/1/15 - 9/30/16 15,335.00   monthly base Rent  10/1/16 - 9/30/17 15,795.00   monthly base Rent  10/1/17 -11/30/17 16,269.00   CM Atlanta Warehouse 8220 Troon Circle,    Suite 100   Austell GA 30168 USA Landlord: CRP-2 Mid- Sourth Industrial , LLC   Security Deposit $18,107.13 Per Lease Monthly term: July 1, 2013 -12mo   7,862.90   13mo-24mo $12,355.98   25mo -36mo $12,715.43   37mo - 48 mo $13,119.80   49mo - 60mo $13,524.18   61mo -67mo (July 2019) $13,928.56   CM Warehouse Warehouse 10321 Werth Drive, Unit 100 Woodridge IL 60517 USA Landlord: Gooding Rubber Inc.   Term: 3/1/14-2/28/15 Rent: 5,717.34 Monthly   Coffing Hoist Warehouse 216 Wortham St Wadesboro NC 28170 USA Landlord: Wallace Properties  Term: Month to Month Rent: 1,200 Monthly   Salem Ohio Hoist Operations Warehouse 1146 Salem Parkway West Salem OH 44459 USA Landlord: H&M Development Term: 9/1/13-8/31/16 Rent: 3,180.00 Monthly   Damascus VA Operation - CM Hoist Warehouse 4667 Hwy 91 N Mountain City TN 37683 USA Landlord: Mcguire & Cunningham Term: Month to Month Rent: 2,500.00   Monthly   CM Chain, Lexington Warehouse 9700 Ste A Wallisville Rd Houston TX 77013 USA Landlord: Warehouse Associates Term: 2/1/12-3/31/15 Rent: 15,712.50   CM Chain, Lexington Warehouse 845 Greens Parkway Houston TX 77067 USA Landlord: DCT Greens Crossing LP Term: 3/1/15-5/31/20 Rent: 9,805.15   Monthly   CM LTD Cobourg Warehouse 701 Brook Road N. Cobourg, Ontario CN K9A4W5 Canada Landlord: Lakes Terminal and Warehousing Ltd. Term: 2/1/15-2/31/16 Rent:   25,066.66 CAD    

 

      SCHEDULE 5.22   BANK ACCOUNTS    See attached.        

 

   Columbus McKinnon   SCHEDULE 5.22 Bank Accounts as of 1/23/2015   Type BANK NAME ON ACCOUNT ACCOUNT TYPE ACCOUNT #   Investment Bank of America Columbus McKinnon Corporation Money Market Investment Fund 5S1-01D73   JP Morgan Columbus McKinnon Corporation Money Market Investment Fund 5016502   M&T Columbus McKinnon Corporation Money Market Investment Fund 15004221769720   PNC Columbus McKinnon Corporation Money Market Investment Fund 435000889   PNC Columbus McKinnon Corporation Money Market Investment Fund 6004720088   Domestic Sub Checking   A/C   Bank of America Columbus McKinnon Corporation Operating Checking 3756428153    Bank of America Columbus McKinnon Corporation Controlled Disb.  ZBA linked to  A/C# 8153 3359000380   M & T Bank Columbus McKinnon Corporation Checking Credit Cards  3Delta & First Data    End of Day - ZBA TO BOA A/C 8153   8898766804   Citizens Bank Columbus McKinnon Corporation Lockbox # 536400   End of day - ZBA to BOA a/C 8153.   610171-013-4   JP Morgan Chase Columbus McKinnon Corporation Checking ZBA needed for FX Wire System 816426795   JP Morgan Chase Columbus McKinnon Corporation CIGNA Health 475739663   Bank of America Columbus McKinnon Corporation  Checking - PAYPAL Stand Alone 4427662221   Bank of America CMC Thrit 401(K)  Checking - Stand Alone 3756420041   Bank of America CMC Hourly 401(K)  Checking - Stand Alone 3756420038   Comerica Bank Unified Industrial Products Checking 1852-657392   International Bank of America Columbus McKinnon Corporation  EURO  Checking 20398013   Bank of America Columbus McKinnon Corporation  JPY   Checking 568712438018   Bank of America Columbus McKinnon Corporation GBP  Checking 600820398021   CM Insurance Bank of America CM Insurance Company, Inc. Trust Account 36-16-100-8532010   Bank of America CM Insurance Company, Inc. Money Market Reserves Institutional   Deposit account inplace of SBLC   5S1-01J66   ESOP Account Bank of America Columbus McKinnon Corporation Trust Account 36-16-100-8531874                           Bank of America Columbus McKinnon Corporation Checking 3756420481    

 

   SCHEDULE 7.01   EXISTING LIENS    Debtor: Columbus McKinnon Corporation   Secured Party Jurisdiction File Number Collateral   NMHG Financial Services, Inc. New York, SOS 200603285296387 Equipment   NMHG Financial Services, Inc. New York, SOS 201101315110151 Equipment   NMHG Financial Services, Inc. New York, SOS 200606265628144 Equipment   NMHG Financial Services, Inc. New York, SOS 201105115500762 Equipment   Makino, Inc. New York, SOS 201108248285607 Equipment   Makino, Inc. New York, SOS 2201203278105201 Equipment   Makino, Inc. New York, SOS 201303188113819 Equipment   Ellison Technologies New York, SOS 201308060446013 Equipment   Makino Inc. New York, SOS 201403318117552 Equipment   JPMorgan Chase Bank, N.A. New York, SOS 201404305437569 Accounts receivable relating   to Caterpillar, Inc.   Mazak Corporation New York, SOS 201411146208388 Equipment      Debtor: Crane Equipment & Services, Inc.   Secured Party Jurisdiction File Number Collateral   JPMorgan Chase Bank, N.A. Oklahoma,   Oklahoma   County Central   Filing   20140430020430190 Accounts receivable   relating to Caterpillar, Inc.      Debtor: Unified Industries Inc.   Secured Party Jurisdiction File Number Collateral   Deutsche Bank AG, acting by   and through its New York   Branch   Michigan,   Department of   State   20121727616 Accounts, goods and   proceeds relating to   Supplier Financing   Agreement dated   December12, 2012           

 

      Debtor: Yale Industrial Products, Inc.   Secured Party Jurisdiction File Number Collateral   Wells Fargo Financial Leasing,   Inc.   Delaware, SOS 20140759050 Equipment   JPMorgan Chase Bank, N.A. Delaware, SOS 20141828805 Certain accounts   receivable relating to   Caterpillar, Inc.     

 

   SCHEDULE 7.03   EXISTING INDEBTEDNESS AT DATE OF CLOSING   1) Columbus McKinnon Corporation 7 7/8% Senior Subordinated Notes due 2019, interest   payable semi-annually at February 1 and August 1: $150,000,000   2) Columbus McKinnon Industrial Products GmbH line of credit from Commerzbank of   EUR 1,500,000; outstanding balance of EUR 300,000 used as bank security for rent   3) Pfaff Beteiligungs GmbH (and Columbus McKinnon Engineered Products GmbH) line of   credit from HypoVereinsbank of EUR 3,000,000; outstanding balance of  1,393,855 used   for Letters of Credit and Bank Guarantees   4) Pfaff Beteiligungs GmbH (and Columbus McKinnon Engineered Products GmbH) line of   credit from Stadtsparkasse A. of EUR 5,000,000; outstanding balance of  619,169 used   for Letters of Credit and Bank Guarantees   5) Pfaff Beteiligungs GmbH (and Columbus McKinnon Engineered Products GmbH) line of   credit from Raiffeisenlandesbank Oo. of EUR 588,996; outstanding balance of  588,996   used for Letters of Credit and Bank Guarantees   6) Pfaff Beteiligungs GmbH line of credit from Winterthur AXA Versicherung of EUR   2,250,000; outstanding balance of  507,205 used for Letters of Credit and Bank   Guarantees   7) Columbus McKinnon Dutch Holdings 1 B.V. note payable to Yale Industrial Products,   Inc. of EUR 1,596,766; fully outstanding   8) Columbus McKinnon do Brasil Ltda. note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of USD 2,123,858; fully outstanding   9) Columbus McKinnon Dutch Holdings 1 B.V. note payable to Yale Industrial Products,   Inc. of EUR 4,000,000; fully outstanding   10) Columbus McKinnon Austria GmbH note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of EUR 4,000,000; fully outstanding   11) CMCO Material Handling (Pty.) Ltd. Limited note payable to Columbus McKinnon   Corporation of ZAR 7,000,000; fully outstanding   12) Columbus McKinnon Dutch Holdings 1 B.V. note payable to Yale Industrial Products,   Inc. of USD 3,000,000; fully outstanding   13) Columbus McKinnon Asia Pacific Ltd. note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of USD 3,000,000; fully outstanding   14) Columbus McKinnon EMEA GmbH note payable to Columbus McKinnon Dutch   Holdings 3 B.V. of EUR 68,000,000; fully outstanding   15) Columbus McKinnon de Uruguay, S.A. note payable to Columbus McKinnon de Mexico,   S.A. de C.V. of USD 673,000; fully outstanding   16) Columbus McKinnon de Panama, S.A. note payable to Columbus McKinnon de Mexico,   S.A. de C.V. of USD 1,122,000; fully outstanding   17) Columbus McKinnon Industrial Products GmbH note payable to Columbus McKinnon   Corporation of USD 68,000,000; 22,255,249 outstanding   18) Columbus McKinnon Asia Pacific Pte. Ltd. note payable to Columbus McKinnon   Industrial Products GmbH of EUR 6,190,000; fully outstanding   19) Columbus McKinnon Hungary Kft. note payable to Columbus McKinnon Industrial   Products GmbH of EUR 700,000; fully outstanding     

 

   20) Columbus McKinnon Iberica S.L.U. note payable to Columbus McKinnon Industrial   Products GmbH of EUR 1,000,000; fully outstanding   21) Columbus McKinnon ME Dubai note payable to Columbus McKinnon Industrial   Products GmbH of AED 800,000; fully outstanding   22) Columbus McKinnon Turkey note payable to Columbus McKinnon Industrial Products   GmbH of EUR 200,000; fully outstanding   23) Pfaff Beteiligungs GmbH note payable to Columbus McKinnon Industrial Products   GmbH of EUR 8,900,000; fully outstanding   24) Columbus McKinnon Hangzhou Industrial Co. Ltd note payable to Columbus McKinnon   Asia Pacific Ltd. (Hong Kong) USD 2,000,000; fully outstanding   25) Hangzhou LILA Lifting and Lashing Co. Ltd. note payable to Columbus McKinnon Asia   Pacific Ltd. (Hong Kong) USD 2,000,000; fully outstanding   26) Stahlhammer Bommern GmbH instruments in principal balances totaling EUR   10,559,200; outstanding EUR 4,440,679 (see attached schedule)   27) See attached Schedule 1.01 for outstanding Letters of Credit and Bank Acceptances   (certain foreign LC’s and Guarantees included as outstanding against above credit lines)    28) See attached schedule of material capital leases and real property leases           

 

   Europe- Borrwing Details   Bank / Kreditversicherung Aussteller Avalart EUR Laufzeit vorauss. Ablauf   Stadtsparkasse   International Paper Do Brasi Ltda, Brazil CMEP Anzahlungsbürgschaft 4,080 befristet 3/31/2015   Valllourec & Sumitomo, Jeceaba/Brazil CMEP Anzahlungsbürgschaft 12,286 befristet 2/28/2015   CMEP GmbH 16,366   AXA Versicherung   Konvent St. Augustin, Würzburg Hebezeuge Gewährleistungsbürgschaft 682 unbefristet 3/31/2013   Josef Meier GmbH & Co.KG, Rotthalmünster CMEP Gewährleistungsbürgschaft 729 unbefristet 6/1/2017   Forum City Mühlheim, L-Sennigerberg CMEP Gewährleistungsbürgschaft 4,233 unbefristet 5/2/2014   Stadt Augsburg - Hochbauamt CMEP Gewährleistungsbürgschaft 5,673 unbefristet 4/19/2016   Hochtief Hamburg GmbH CMEP Vertragserfüllungsbürgschaft 5,775 unbefristet 4/30/2013   Markt Scheidegg CMEP Gewährleistungsbürgschaft 952 befristet 8/1/2015   Fachmarktzentrum Proviantbach GbR CMEP Gewährleistungsbürgschaft 1,062 befristet 2/2/2018   Vertex Antennentechnik GmbH CMEP Vorauszahlungsbürgschaft 188,734 befristet 3/31/2015   Vertex Antennentechnik GmbH CMEP Vorauszahlungsbürgschaft 190,103 befristet 3/31/2015   Staatliches Bauamt Augsburg CMEP Vorauszahlungsbürgschaft 12,500 unbefristet 12/31/2014   CMEP GmbH 410,441   HypoVereinsbank   Shanghai Zhenhua Heavy Industries CMEP Gewährleistungsbürgschaft 7,022 befristet 5/27/2016   Shanghai Zhenhua Heavy Industries CMEP Gewährleistungsbürgschaft 8,618 befristet 5/27/2016   Shanghai Zhenhua Heavy Industries CMEP Gewährleistungsbürgschaft 32,826 befristet 6/28/2016   Shanghai Zhenhua Heavy Industries CMEP Gewährleistungsbürgschaft 8,475 befristet 9/5/2016   Shanghai Zhenhua Heavy Industries CMEP Gewährleistungsbürgschaft 8,400 befristet 12/2/2016   Stadt Ulm CMEP Vertragserfüllungsbürgschaft 210,335 unbefristet 9/13/2013   Shanghai Zhenhua Heavy Industries CMEP Gewährleistungsbürgschaft 9,475 befristet 9/25/2017   Shanghai Zhenhua Heavy Industries CMEP Gewährleistungsbürgschaft 8,523 befristet 9/25/2017   CMEP GmbH 293,674   Raiffeisenlandesbank Oberösterreich - RLBOÖ   Stadtsparkasse   Far East Machinery, Taiwan VKT Gewährleistungsbürgschaft 98,500 befristet 7/15/2015   Marubeni Corp., Tokyo VKT Gewährleistungsbürgschaft 152,500 befristet 4/30/2016   Vinci UK Limited VKT Retention Bond 79,033 befristet 5/12/2016   CAF, Beasain/Spain VKT Gewährleistungsbürgschaft 9,750 unbefristet 1/31/2017   Verkehrstechnik GmbH & CO KG 602,803   HypoVereinsbank   Hamburger Hochbahn VKT Vertragserfüllung 99,365 unbefristet 12/31/2014   CAF Mexico S.A., Mexico VKT Gewährleistungsbürgschaft 5,065 unbefristet 6/30/2014   CAF Mexico S.A., Mexico VKT Gewährleistungsbürgschaft 6,790 unbefristet 6/30/2014   Ansaldo STS S.p.A., Genova VKT Vertragserfüllung 227,055 unbefristet 9/30/2017   Ansaldo STS S.p.A., Genova VKT Vertragserfüllung 184,567 unbefristet 3/31/2015   Ansaldo STS S.p.A., Genova VKT Vertragserfüllung 25,380 unbefristet 9/30/2017   Ansaldo STS S.p.A., Napoli VKT Vertragserfüllung 162,388 unbefristet 12/31/2018   CAF, Beasain/Spain VKT Vertragserfüllung 12,200 unbefristet 9/30/2015   CAF, Beasain/Spain VKT Gewährleistungsbürgschaft 16,028 unbefristet 2/28/2015   CAF, Beasain/Spain VKT Gewährleistungsbürgschaft 3,066 unbefristet 2/28/2015   Eidgenöss. Steuerverwaltung Bern VKT Zahlungsgarantie 60,567 unbefristet   CAF, Beasain/Spain VKT Gewährleistungsbürgschaft 12,970 unbefristet 3/31/2016   CAF, Beasain/Spain VKT Gewährleistungsbürgschaft 13,010 unbefristet 3/31/2016   Shenzhen Metro Co. Ltd., China VKT Gewährleistungsbürgschaft 54,256 befristet 12/31/2015   CAF, Beasain/Spain VKT Anzahlungsbürgschaft 31,575 unbefristet 10/31/2016   CAF, Beasain/Spain VKT Vertragserfüllungsbürgschaft 31,575 unbefristet 10/31/2016   Schweizerische Bundesbahnen SBB VKT Anzahlungsbürgschaft 100,766 befristet 6/13/2015   Bombardier Transportation GmbH VKT Anzahlungsbürgschaft 33,558 befristet 2/27/2015   SM Besix EJD S.A., Brüssel VKT Vertragserfüllungsbürgschaft 20,000 unbefristet 6/30/2016   1,100,181   Zürich Versicherung   0   AXA Versicherung   Linz Linien GmbH, Linz VKT Haftrücklassgarantie 52,512 befristet 30.04.2015   Hamburger Hochbahn AG VKT Gewährleistungsbürgschaft 13,004 unbefristet 4/30/2015   Hamburger Hochbahn AG VKT Gewährleistungsbürgschaft 15,768 unbefristet 4/30/2015   ODIG GmbH, Eberswalde VKT Gewährleistungsbürgschaft 15,480 unbefristet 10/18/2014   96,763   Raiffeisenlandesbank Oberösterreich - RLBOÖ   SNCB sa Central Support, Bruxelles VKT Liefergarantie 35,320 unbefristet 11/16/2013   SNCB sa Central Support, Bruxelles VKT Liefergarantie 6,090 unbefristet 9/10/2013   Wiener Linien VKT Haftrücklassgarantie 4,164 unbefristet 10/18/2015   Wiener Linien VKT Haftrücklassgarantie 37,296 unbefristet 10/18/2015   SNCB SA Central Support, Bruxelles VKT Leistungsgarantie 5,510 unbefristet 11/30/2014   Kawasaki Heavy Industries Ltd. VKT Anzahlungsgarantie 284,760 befristet 9/30/2015   SBB, Bern VKT Gewährleistungsgarantie 41,602 befristet 4/30/2016   SNCF, Paris VKT Gewährleistungsgarantie 49,249 befristet 4/2/2015   SNCF, Paris VKT Gewährleistungsgarantie 6,962 befristet 6/15/2015   Jernhusen, Stockholm VKT Gewährleistungsgarantie 13,890 befristet 8/31/2015   Keolis Deutschland GmbH, Berlin VKT Gewährleistungsgarantie 5,950 befristet 12/31/2015   DB Regio AG, Stuttgart VKT Gewährleistungsgarantie 24,568 unbefristet 9/30/2015   ÖBB Technisches Services GmbH VKT Haftrücklassgarantie 3,925 befristet 6/7/2017   ÖBB Technisches Services GmbH VKT Haftrücklassgarantie 4,255 befristet 7/16/2017   Schweizerische Bundesbahnen SBB VKT Gewährleistungsgarantie 56,576 befristet 11/30/2017   S-Bahn Hamburg GmbH VKT Gewährleistungsgarantie 8,879 unbefristet 6/4/2016   588,996   3,109,224        

 

   Columbus McKinnon   Capital Leases-   Legal Capital/ Assets in   Type Entity Operating Contract Lessor /Contract-Nb. Obligation   Duff Norton Property Lease Yale Industrial Products Inc. Capital Real Estate - Duff Norton, NC Agreement- June 2007 1,479               Lease Plan CMCO Capital Car Leases Mult. 658                  Austria Car Leases CM Austria-Hebetechnik Capital Austria Car Leases Mult. 164                  S Africa Car Leases CMCO Material Handling Pty Ltd Capital S Africa Car Leases Mult. 60                       

 

   STB   Instruments   Bank Loan Type Principal Balance Oustanding   Coba Loan 220,000€            97,778€                         Coba Loan 3,000,000€          999,996€                       Coba Loan 830,000€            446,923€                       Coba Loan 390,000€            156,000€                       Volksbank Loan 750,000€            729,160€                       National Loan 2,100,000€          963,942€                       National Loan 250,000€            93,750€                         Coba Money Market 500,000€            500,000€                       Coba Revolver 1,500,000€          430,836€                       Coba CAP Fee 19,200€              19,200€                         Other Revolver 1,000,000€          3,094€                          10,559,200€        4,440,679€                      

 

   SCHEDULE 7.05   PERMITTED EXCLUSIVE LICENSES OF IP RIGHTS      Pursuant to a License and Technical Assistance Agreement, effective April 1, 1987, by and   between the Company and C.M. Industries (Pty) Limited ("McKinnon Chain"), and   subsequently modified by a letter agreement dated July 16, 1997, McKinnon Chain has been   granted the exclusive right in South Africa to make, use, sell, promote, market and maintain   products bearing the following trademarks: Here-Alloy® and Hammerlok®.   Pursuant to a Trademark License Agreement, made as of July 1, 1991, by and among the   Company, Columbus McKinnon Limited ("CM Ltd." and together with the Company, the   "Proprietors"), PWB Anchor Holdings Limited ("PWB Anchor") and certain named subsidiaries   of PWB Anchor (PWB Anchor and such subsidiaries being collectively referred to as the   "Users"), Users have been granted the exclusive right in Australia to use the following   trademarks of Proprietors on the trade mark products (as defined in the agreement):   Harnmerlok®, Herc-Alloy®, CM Latehlok®, Lodestar®, Puller®, Cyclone®, CM®, Big   Orange® and Here-Alloy 800®.     

 

   SCHEDULE 7.09   BURDENSOME AGREEMENTS      Indenture to Columbus McKinnon Corporation, as Issuer, 7 7/8% Senior Subordinated Notes due   2019    

 

      EXHIBIT A   FORM OF COMPLIANCE CERTIFICATE   Financial Statement Date: [●]   To: JPMorgan Chase Bank, N.A., as Administrative Agent    Ladies and Gentlemen:   Reference is made to that certain Credit Agreement, dated as of January 23, 2015 (as   amended, restated, extended, supplemented or otherwise modified in writing from time to time, the   “Agreement” the terms defined therein being used herein as therein defined), among COLUMBUS   MCKINNON CORPORATION (the “Parent Borrower”), COLUMBUS MCKINNON DUTCH   HOLDINGS 3 B.V. (the “Dutch Borrower”), COLUMBUS MCKINNON EMEA GMBH (the “German   Borrower” and, together with the Parent Borrower and the Dutch Borrower, the “Borrowers”), the   Lenders and the Administrative Agent.   The undersigned hereby certifies as of the date hereof that he/she is the [chief executive officer]   [chief financial officer] [treasurer] [controller] of the Company, and that, as such, he/she is authorized to   execute and deliver this Certificate to the Administrative Agent on the behalf of the Company and the   other Borrowers, and that:   [Use following paragraph 1 for fiscal year-end financial statements]   1. Attached hereto as Schedule 1 are the year-end audited financial statements   required by Section 6.01(a) of the Agreement for the fiscal year of the Company ended as of the above   date, together with the report and opinion of an independent certified public accountant required by such   section.   [Use following paragraph 1 for fiscal quarter-end financial statements]   1. Attached hereto as Schedule 1 are the unaudited financial statements required by Section   6.01(b) of the Agreement for the fiscal quarter of the Company ended as of the above date. Such   financial statements fairly present in all material respects the financial condition, results of operations   and cash flows of the Company and its Subsidiaries in accordance with GAAP as at such date and for   such period, subject only to normal year-end audit adjustments and the absence of footnotes.   2. The undersigned has reviewed and is familiar with the terms of the Agreement and has   made, or has caused to be made under his/her supervision, a detailed review of the transactions and   condition (financial or otherwise) of the Company during the accounting period covered by the attached   financial statements.   3. A review of the activities of the Loan Parties during such fiscal period has been made   under the supervision of the undersigned with a view to determining whether during such fiscal period   the Loan Parties performed and observed all of their Obligations under the Loan Documents, and      [select one:]      [to the best knowledge of the undersigned during such fiscal period, the Loan Parties performed   and observed each covenant and condition of the Loan Documents applicable to them, and no   Default has occurred and is continuing.]   --or--        

 

  2      [the following covenants or conditions have not been performed or observed and the following is a   list of each such Default and its nature and status:]      4. The representations and warranties of each Borrower contained in Article V of the   Agreement, and any representations and warranties of any Loan Party that are contained in any   document furnished at any time under or in connection with the Loan Documents, are true and   correct in all material respects on and as of the date hereof (other than to the extent any   representation and warranty is already qualified by materiality, in which case, such representation   and warranty is true and correct as of the date hereof), except to the extent that such representations   and warranties specifically refer to an earlier date, in which case they are true and correct in all   material respects as of such earlier date (other than to the extent any representation and warranty is   already qualified by materiality, in which case, such representation and warranty is true and correct   as of such earlier date), and except that for purposes of this Compliance Certificate, the   representations and warranties contained in subsections (a) and (b) of Section 5.05 of the   Agreement shall be deemed to refer to the most recent statements furnished pursuant to clauses (a)   and (b), respectively, of Section 6.01 of the Agreement, including the statements in connection with   which this Compliance Certificate is delivered.      5. The financial covenant and capital expenditure analyses and information set forth on   Schedule 2 attached hereto are true and accurate on and as of the date of this Certificate.       IN WITNESS WHEREOF, the undersigned has executed this Certificate as of _________        COLUMBUS MCKINNON CORPORATION     By:            Name:     Title:        

 

         For the Quarter/Year ended ____________________ (“Statement Date”)   SCHEDULE 21   to the Compliance Certificate   ($ in 000’s)   I. Section 7.11(a) — Minimum Fixed Charge Coverage Ratio.   A. Consolidated EBITDA for the four consecutive fiscal quarters ending on the   Statement Date (the “Subject Period”):   1. Consolidated Net Income for the Subject Period: $     2. Income tax expense for the Subject Period: $     3. Interest Expense during the Subject Period: $     4. Depreciation expenses for the Subject Period: $      5. Amortization expenses for the Subject Period: $     6. Other Non-Cash Charges accrued for the Subject Period:  $  ________________    7. Approved Restructuring Charges incurred during the   Subject Period: $     8. Premium paid on the repurchase of Senior   Subordinated Notes during the Subject Period: $     9. Non-cash losses from any Recovery Event, Disposition    or discontinued operation during the Subject Period: $     10. Non-cash losses arising from mark-to-market    hedging arrangements $     11.  Extraordinary gains during the Subject Period: $     12.  Gains from any Recovery Event, Disposition or     discontinued operation during the Subject Period: $     13. Interest and other income (excluding interest and   other income related to CM Insurance Company,   Inc.) during the Subject Period: $       14. Federal, state, local and foreign income tax credits of    the Company and its Subsidiaries for the    Subject Period: $                                                              1 In the event of an acquisition permitted by Section 7.02 of the Agreement made during any Subject Period, the   ratios calculated in this Schedule shall be calculated on a pro forma basis as if such acquisition had occurred on the   first day of such Subject Period, with such pro forma adjustments (i) as may be required or permitted to be reflected   in pro forma financial statements pursuant to Article 11 of Regulation S-X or (ii) as may otherwise be reasonably   satisfactory to the Administrative Agent.     

 

        4   15. Non-cash items increasing Consolidated Net   Income for the Subject Period (including,   without limitation, non-cash gains arising from   mark-to-market hedging arrangements): $     16. Consolidated EBITDA for the Subject Period (Line   I.A.1. plus, to the extent such item was deducted in   calculating Consolidated Net Income, (Lines I.A.2.   through I.A.10.), minus, to the extent such item was   included in calculating Consolidated Net Income,   (Lines I.A.11. through I.A.15.)): $     B. Aggregate amount of all maintenance capital expenditures   during the Subject Period: $  _________________    C. Aggregate amount paid, or required to be paid (without   duplication) in cash in respect of the current portion of all   income taxes for the Subject Period:2 $       D. Aggregate amount of all Restricted Payments (other than   Restricted Payments described in clauses (iv), (v) and (vi)   of the definition thereof) made in cash by the Company   during the Subject Period: $     E. Interest Expense for the Company and its Subsidiaries for   the Subject Period (exclusive of Interest Expense consisting   of non-cash liabilities arising from mark-to-market hedging   arrangements), minus, to the extent included therein, the   amortization of financing costs incurred in connection with   Indebtedness during the Subject Period: $ _________________    F. Aggregate amount of regularly scheduled payments of   principal in respect of Indebtedness for borrowed money   paid or required to be paid during the Subject Period   (including the principal component of any payments in   respect of Capital Lease Obligations, but excluding any   payments made in respect of the Senior Subordinated   Notes pursuant to Section 7.06(f) of the Agreement): $ _________________    G. Fixed Charge Coverage Ratio   ((Lines I.A.16. — I.B. — I.C. — I.D.) ÷ (Lines I.E. + I.F.)):     Minimum required: 1.25:1.00   II. Section 7.11 (b) — Total Leverage Ratio.   A. Total Funded Indebtedness (including L/C — BA   Obligations, other than the L/C — BA Obligations relating   to commercial Letters of Credit) of the Company and its   Subsidiaries at the Statement Date: $                                                        2  In no event shall this number be less than zero.     

 

        5   B. Indebtedness in respect of Guarantees by the Company   permitted under Section 7.03(k) of the Agreement   outstanding at the Statement Date: $     C. Unrestricted cash on hand of the Company and its   Subsidiaries at the Statement Date: $     D. Consolidated EBITDA for Subject Period (Line I.A.16. above): $     E. Total Leverage Ratio ((Lines II.A. — II.B. — II.C.) ÷ Line   II.D.): $       Maximum permitted: 3.50:1.003   III. [Section 7.11 (c) — Secured Leverage Ratio.   A. Total Funded Indebtedness (including L/C — BA   Obligations, other than the L/C — BA Obligations relating   to commercial Letters of Credit) of the Company and its   Subsidiaries secured by Liens on the assets of the Company   or any Subsidiary at the Statement Date: $     B. Indebtedness in respect of Guarantees by the Company   permitted under Section 7.03(k) of the Agreement   outstanding at the Statement Date (Line II.B. above): $     C. Unrestricted cash on hand of the Company and its   Subsidiaries at the Statement Date (Line II.C. above): $     D. Consolidated EBITDA for Subject Period (Line I.A.16. above): $     E. Total Leverage Ratio ((Lines III.A. — III.B. — III.C.) ÷ Line   III.D.): $       Maximum permitted: 3.25:1.00]4   IV.  Section 7.14 — Capital Expenditures.   A. Carry forward from previous fiscal year: $     B. [Capital expenditures reported with respect to first fiscal   quarter of such fiscal year]: $     C. [Capital expenditures reported with respect to second fiscal   quarter of such fiscal year]: $     D. [Capital expenditures reported with respect to third fiscal   quarter of such fiscal year]: $     E. [Capital expenditures reported with respect to fourth fiscal   quarter of such fiscal year]: $                                                        3  In the event of a Material Acquisition which is (1) financed with secured Indebtedness, please adjust pursuant to   clause (i) of the proviso in Section 7.11(b) or (2) financed with unsecured or subordinated Indebtedness, please   adjust pursuant to clause (ii) of the proviso in Section 7.11(b).    4 Include calculation only if Secured Leverage Ratio is required to be tested pursuant to Section 7.11(c).      

 

        6        Maximum permitted: $30,000,000.5     Compliance?: Yes / No                                                      5 In the event of a Material Acquisition, adjust pursuant to the proviso in Section 7.14.       

 

         EXHIBIT B   FORM OF   ASSIGNMENT AND ASSUMPTION     This Assignment and Assumption (the “Assignment and Assumption”) is dated as of the   Effective Date set forth below and is entered into between the Assignor named below (the “Assignor”)   and the Assignee named below (the “Assignee”).  Capitalized terms used but not defined herein shall   have the meanings given to them in the Credit Agreement identified below (as amended, the “Credit   Agreement”), receipt of a copy of which is hereby acknowledged by the Assignee.  The Standard Terms   and Conditions set forth in Annex 1 attached hereto are hereby agreed to and incorporated herein by   reference and made a part of this Assignment and Assumption as if set forth herein in full.        For an agreed consideration, the Assignor hereby irrevocably sells and assigns to the   Assignee, and the Assignee hereby irrevocably purchases and assumes from the Assignor, subject to and   in accordance with the Standard Terms and Conditions and the Credit Agreement, as of the Effective Date   inserted by the Administrative Agent below (i) all of the Assignor’s rights and obligations in its capacity   as a Lender under the Credit Agreement and any other documents or instruments delivered pursuant   thereto to the extent related to the amount and percentage interest identified below of all of such   outstanding rights and obligations of the Assignor under the respective facilities identified below   (including any letters of credit, guarantees, and swingline loans included in such facilities) and (ii) to the   extent permitted to be assigned under applicable law, all claims, suits, causes of action and any other right   of the Assignor (in its capacity as a Lender) against any Person, whether known or unknown, arising   under or in connection with the Credit Agreement, any other documents or instruments delivered pursuant   thereto or the loan transactions governed thereby or in any way based on or related to any of the   foregoing, including contract claims, tort claims, malpractice claims, statutory claims and all other claims   at law or in equity related to the rights and obligations sold and assigned pursuant to clause (i) above (the   rights and obligations sold and assigned pursuant to clauses (i) and (ii) above being referred to herein   collectively as the “Assigned Interest”).  Such sale and assignment is without recourse to the Assignor   and, except as expressly provided in this Assignment and Assumption, without representation or warranty   by the Assignor.      1. Assignor:  ______________________________      2. Assignee:  ______________________________       [and is an Affiliate/Approved Fund of [identify Lender]1]      3. Borrowers:  Columbus McKinnon Corporation and certain Subsidiaries      4. Administrative Agent: JPMorgan Chase Bank, N.A., as administrative agent under the Credit   Agreement      5. Credit Agreement: The Credit Agreement, dated as of January 23, 2015 among Columbus   McKinnon Corporation (the “Company”), Columbus McKinnon Dutch   Holdings 3 B.V. (the “Dutch Borrower”), Columbus McKinnon EMEA   GMBH (the “German Borrower” and, together with the Company and                                                      1 Select as applicable.     

 

        2   the Dutch Borrower, the “Borrowers”), the Lenders party thereto and   JPMorgan Chase Bank, N.A., as Administrative Agent      6.  Assigned Interest:       Facility Assigned2 Aggregate Amount of   Commitment/Loans for   all Lenders   Amount of   Commitment/Loans   Assigned   Percentage Assigned of   Commitment/Loans3    $ $  %    $ $  %    $ $  %         Effective Date:   ______________, 20__ [TO BE INSERTED BY ADMINISTRATIVE AGENT AND   WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE   REGISTER THEREFOR.]      The Assignee agrees to deliver to the Administrative Agent a completed 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 Company, the Loan Parties and their   Affiliates 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.      The terms set forth in this Assignment and Assumption are hereby agreed to:            ASSIGNOR            _________________________________   NAME OF ASSIGNOR               By:______________________________            Title:               ASSIGNEE      _________________________________   NAME OF ASSIGNEE               By:______________________________            Title:                                                      2 Fill in the appropriate terminology for the types of facilities under the Credit Agreement that are being      assigned   under this Assignment (e.g. “Revolving Commitment,” “Term Commitment”).   3 Set forth, to at least 9 decimals, as a percentage of the Commitment/Loans of all Lenders.     

 

        3   [Consented to]4 and Accepted:      JPMORGAN CHASE, N.A., as      Administrative Agent         By_________________________________     Title:         [Consented to:      COLUMBUS MCKINNON CORPORATION]5         By________________________________     Title:                                                                      4  To be added only if consent of the Administrative Agent is required by the terms of the Credit Agreement.   5  To be added only if consent of the Company is required by the terms of the Credit Agreement.     

 

        4      ANNEX 1         Credit Agreement, dated as of  January 23, 2015 (as amended, supplemented or otherwise modified from   time to time (the “Credit Agreement”), among Columbus McKinnon Corporation (the “Company”),   Columbus McKinnon Dutch Holdings 3 B.V. (the “Dutch Borrower”), Columbus McKinnon EMEA   GMBH (the “German Borrower” and, together with the Parent Borrower and the Dutch Borrower, the   “Borrowers”), the Lenders party thereto and JPMorgan Chase Bank, N.A., as administrative agent (in   such capacity, the “Administrative Agent”)         STANDARD TERMS AND CONDITIONS FOR   ASSIGNMENT AND ASSUMPTION        1.  Representations and Warranties.          1.1   Assignor.  The Assignor (a) represents and warrants that (i) it is the legal and   beneficial owner of the Assigned Interest, (ii) the Assigned Interest is free and clear of any lien,   encumbrance or other adverse claim and (iii) it has full power and authority, and has taken all action   necessary, to execute and deliver this Assignment and Assumption and to consummate the transactions   contemplated hereby and (b) assumes no responsibility with respect to (i) any statements, warranties or   representations made in or in connection with the Credit Agreement or any other Loan Document, (ii) the   execution, legality, validity, enforceability, genuineness, sufficiency or value of the Loan Documents or   any collateral thereunder, (iii) the financial condition of the Borrowers, any of their Subsidiaries or   Affiliates or any other Person obligated in respect of any Loan Document or (iv) the performance or   observance by the Borrowers, any of their Subsidiaries or Affiliates or any other Person of any of their   respective obligations under any Loan Document.        1.2.  Assignee.  The Assignee (a) represents and warrants that (i) it has full power and   authority, and has taken all action necessary, to execute and deliver this Assignment and Assumption and   to consummate the transactions contemplated hereby and to become a Lender under the Credit   Agreement, (ii) it satisfies the requirements, if any, specified in the Credit Agreement that are required to   be satisfied by it in order to acquire the Assigned Interest and become a Lender, (iii) from and after the   Effective Date, it shall be bound by the provisions of the Credit Agreement as a Lender thereunder and, to   the extent of the Assigned Interest, shall have the obligations of a Lender thereunder, (iv) it has received a   copy of the Credit Agreement, together with copies of the most recent financial statements delivered   pursuant to Section 6.01 thereof, and such other documents and information as it has deemed appropriate   to make its own credit analysis and decision to enter into this Assignment and Assumption and to   purchase the Assigned Interest on the basis of which it has made such analysis and decision independently   and without reliance on the Administrative Agent or any other Lender and (v) if it is a Foreign Lender,   attached to the Assignment and Assumption is any documentation required to be delivered by it pursuant   to the terms of the Credit Agreement, duly completed and executed by the Assignee and (b) agrees that (i)   it will, independently and without reliance on the Administrative Agent, the Assignor or any other   Lender, and based on such documents and information as it shall deem appropriate at the time, continue   to make its own credit decisions in taking or not taking action under the Loan Documents and (ii) it will   perform in accordance with their terms all of the obligations which by the terms of the Loan Documents   are required to be performed by it as a Lender.        

 

        5     2.   Payments.    From and after the Effective Date, the Administrative Agent shall make   all payments in respect of the Assigned Interest (including payments of principal, interest, fees and other   amounts) to the Assignor for amounts which have accrued to but excluding the Effective Date and to the   Assignee for amounts which have accrued from and after the Effective Date.        3.  General Provisions. This Assignment and Assumption shall be binding upon, and   inure to the benefit of, the parties hereto and their respective successors and assigns.  This Assignment   and Assumption may be executed in any number of counterparts, which together shall constitute one   instrument.  Delivery of an executed counterpart of a signature page of this Assignment and Assumption   by email or telecopy shall be effective as delivery of a manually executed counterpart of this Assignment   and Assumption.  This Assignment and Assumption shall be governed by, and construed in accordance   with, the law of the State of New York.     

 

         EXHIBIT C   FORM OF DESIGNATED BORROWER    REQUEST AND ASSUMPTION AGREEMENT   Date:       To: JPMorgan Chase Bank, N.A., as Administrative Agent   Ladies and Gentlemen:   This Designated Borrower Request and Assumption Agreement is made and delivered   pursuant to Section 2.25 of that certain Credit Agreement, dated as of January 23, 2015 (as amended,   restated, extended, supplemented or otherwise modified in writing from time to time, the “Credit   Agreement”), among Columbus McKinnon Corporation (the “Company”), Columbus McKinnon Dutch   Holdings 3 B.V. (the “Dutch Borrower”), Columbus McKinnon EMEA GMBH (the “German   Borrower” and, together with the Parent Borrower and the Dutch Borrower, the “Borrowers”), the   Lenders from time to time party thereto, JPMorgan Chase Bank, N.A., as Administrative Agent, and   reference is made thereto for full particulars of the matters described therein. All capitalized terms   used in this Designated Borrower Request and Assumption Agreement and not otherwise defined   herein shall have the meanings assigned to them in the Credit Agreement.    Each of     (the “Designated Borrower”) and the Company hereby   confirms, represents and warrants to the Administrative Agent and the Lenders that the Designated   Borrower is a Subsidiary of the Company.   The documents and information required to be delivered to the Administrative Agent under   Section 2.25 of the Credit Agreement will be furnished to the Administrative Agent in accordance with   the requirements of the Credit Agreement.   Complete if the Designated Borrower is a Domestic Subsidiary:  The true and correct U.S.   taxpayer identification number of the Designated Borrower is     .   Complete if the Designated Borrower is a Foreign Subsidiary: The true and correct unique   identification number that has been issued to the Designated Borrower by its jurisdiction of organization   and the name of such jurisdiction are set forth below:    Identification Number Jurisdiction of Organization              The parties hereto hereby confirm that with effect from the date of the Designated Borrower   Notice for the Designated Borrower, the Designated Borrower shall have obligations, duties and   liabilities toward each of the other parties to the Credit Agreement identical to those which the   Designated Borrower would have had if the Designated Borrower had been an original party to the   Credit Agreement as a Borrower. Effective as of the date of the Designated Borrower Notice for the   Designated Borrower, the Designated Borrower confirms its acceptance of, and consents to, all   representations and warranties, covenants, and other terms and provisions of the Credit Agreement.     

 

        2   The parties hereto hereby request that the Designated Borrower be entitled to receive Loans   under the Credit Agreement, and understand, acknowledge and agree that neither the Designated   Borrower nor the Company on its behalf shall have any right to request any Loans for its account   unless and until the date five Business Days after the effective date designated by the   Administrative Agent in a Designated Borrower Notice delivered to the Company and the Lenders   pursuant to Section 2.25 of the Credit Agreement.   This Designated Borrower Request and Assumption Agreement shall constitute a Loan   Document under the Credit Agreement.   THIS DESIGNATED BORROWER REQUEST AND ASSUMPTION AGREEMENT SHALL   BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE   OF NEW YORK   IN WITNESS WHEREOF, the parties hereto have caused this Designated Borrower Request and   Assumption Agreement to be duly executed and delivered by their proper and duly authorized officers   as of the day and year first above written.   [DESIGNATED BORROWER]         By:          Title:             COLUMBUS MCKINNON CORPORATION      By:          Title:               

 

         EXHIBIT D   FORM OF DESIGNATED BORROWER NOTICE   Date:        To: Columbus McKinnon Corporation   The Lenders party to the Credit Agreement referred to below    Ladies and Gentlemen:   This Designated Borrower Notice is made and delivered pursuant to Section 2.25 of that   certain Credit Agreement, dated as of January 23, 2015 (as amended, restated, extended,   supplemented or otherwise modified in writing from time to time, the “Credit Agreement”), among   Columbus McKinnon Corporation (the “Company”), Columbus McKinnon Dutch Holdings 3 B.V. (the   “Dutch Borrower”), Columbus McKinnon EMEA GMBH (the “German Borrower” and, together with   the Parent Borrower and the Dutch Borrower, the “Borrowers”), the Lenders from time to time party   thereto, JPMorgan Chase Bank, N.A., as Administrative Agent, and J.P. Morgan Securities LLC,   Merrill Lynch, Pierce, Fenner & Smith Incorporated and PNC Capital Markets LLC, as Joint Lead   Arrangers and Joint Book Managers, and reference is made thereto for full particulars of the matters   described therein. All capitalized terms used in this Designated Borrower Notice and not otherwise   defined herein shall have the meanings assigned to them in the Credit Agreement.      The Administrative Agent hereby notifies Company and the Lenders that effective as of   the date hereof [●] shall be a Designated Borrower and may receive Loans for its account on the terms   and conditions set forth in the Credit Agreement.      This Designated Borrower Notice shall constitute a Loan Document under the Credit Agreement.   JPMORGAN CHASE BANK, N.A.,    as Administrative Agent         By:          Title:                  

 

         EXHIBIT E-1      FORM OF   U.S. TAX COMPLIANCE CERTIFICATE   (For Foreign Lenders That Are Not Partnerships For U.S. Federal Income Tax Purposes)      Reference is made to the Credit Agreement, dated as of January 23, 2015 (as amended,   supplemented or otherwise modified from time to time (the “Credit Agreement”), among Columbus   McKinnon Corporation (the “Company”), certain Subsidiaries of the Company (together with the   Company, the “Borrowers”), the Lenders party thereto and JPMorgan Chase Bank, N.A., as   administrative agent (in such capacity, the “Administrative Agent”).  Unless otherwise defined herein,   terms defined in the Credit Agreement and used herein shall have the meanings given to them in the   Credit Agreement.   Pursuant to the provisions of Section 2.19 of the Credit Agreement, the undersigned   hereby certifies that (i) it is the sole record and beneficial owner of the Loan(s) (as well as any Note(s)   evidencing such Loan(s)) in respect of which it is providing this certificate, (ii) it is not a bank within the   meaning of Section 881(c)(3)(A) of the Code, (iii) it is not a ten percent shareholder of any of the   Borrowers within the meaning of Section 871(h)(3)(B) of the Code and (iv) it is not a controlled foreign   corporation related to any of the Borrowers as described in Section 881(c)(3)(C) of the Code.   The undersigned has furnished the Administrative Agent and the Borrower with a   certificate of its non-U.S. Person status on IRS Form W-8BEN or IRS Form W-8BEN-E.  By executing   this certificate, the undersigned agrees that (1) if the information provided on this certificate changes, the   undersigned shall promptly so inform the Borrowers and the Administrative Agent, and (2) the   undersigned shall have at all times furnished the Borrowers and the Administrative Agent with a properly   completed and currently effective certificate in either the calendar year in which each payment is to be   made to the undersigned, or in either of the two calendar years preceding such payments.          [NAME OF LENDER]      By:     Name:      Title:     Date: ________ __, 20__     

 

       EXHIBIT E-2      FORM OF    U.S. TAX COMPLIANCE CERTIFICATE   (For Foreign Participants That Are Not Partnerships For U.S. Federal Income Tax Purposes)      Reference is made to the Credit Agreement, dated as of January 23, 2015 (as amended,   supplemented or otherwise modified from time to time (the “Credit Agreement”), among Columbus   McKinnon Corporation (the “Company”), certain Subsidiaries of the Company (together with the   Company, the “Borrowers”), the Lenders party thereto and JPMorgan Chase Bank, N.A., as   administrative agent (in such capacity, the “Administrative Agent”).  Unless otherwise defined herein,   terms defined in the Credit Agreement and used herein shall have the meanings given to them in the   Credit Agreement.   Pursuant to the provisions of Section 2.19 of the Credit Agreement, the undersigned   hereby certifies that (i) it is the sole record and beneficial owner of the participation in respect of which it   is providing this certificate, (ii) it is not a bank within the meaning of Section 881(c)(3)(A) of the Code,   (iii) it is not a ten percent shareholder of any of the Borrowers within the meaning of Section 871(h)(3)(B)   of the Code, and (iv) it is not a controlled foreign corporation related to any of the Borrowers as described   in Section 881(c)(3)(C) of the Code.   The undersigned has furnished its participating Lender with a certificate of its non-U.S.   Person status on IRS Form W-8BEN or IRS Form W-8BEN-E.  By executing this certificate, the   undersigned agrees that (1) if the information provided on this certificate changes, the undersigned shall   promptly so inform such Lender in writing, and (2) the undersigned shall have at all times furnished such   Lender with a properly completed and currently effective certificate in either the calendar year in which   each payment is to be made to the undersigned, or in either of the two calendar years preceding such   payments.         [NAME OF PARTICIPANT]      By:     Name:      Title:     Date: ________ __, 20__     

 

       EXHIBIT E-3      FORM OF   U.S. TAX COMPLIANCE CERTIFICATE   (For Foreign Participants That Are Partnerships For U.S. Federal Income Tax Purposes)      Reference is made to the Credit Agreement, dated as of January 23, 2015 (as amended,   supplemented or otherwise modified from time to time (the “Credit Agreement”), among Columbus   McKinnon Corporation (the “Company”), certain Subsidiaries of the Company (together with the   Company, the “Borrowers”), the Lenders party thereto and JPMorgan Chase Bank, N.A., as   administrative agent (in such capacity, the “Administrative Agent”).  Unless otherwise defined herein,   terms defined in the Credit Agreement and used herein shall have the meanings given to them in the   Credit Agreement.   Pursuant to the provisions of Section 2.19 of the Credit Agreement, the undersigned   hereby certifies that (i) it is the sole record owner of the participation in respect of which it is providing   this certificate, (ii) its direct or indirect partners/members are the sole beneficial owners of such   participation, (iii) with respect such participation, neither the undersigned nor any of its direct or indirect   partners/members is a bank extending credit pursuant to a loan agreement entered into in the ordinary   course of its trade or business within the meaning of Section 881(c)(3)(A) of the Code, (iv) none of its   direct or indirect partners/members is a ten percent shareholder of any of the Borrowers within the   meaning of Section 871(h)(3)(B) of the Code and (v) none of its direct or indirect partners/members is a   controlled foreign corporation related to any of the Borrowers as described in Section 881(c)(3)(C) of the   Code.    The undersigned has furnished its participating Lender with IRS Form W-8IMY   accompanied by one of the following forms from each of its partners/members that is claiming the   portfolio interest exemption: (i) an IRS Form W-8BEN or IRS Form W-8BEN-E or (ii) an IRS Form W-   8IMY accompanied by an IRS Form W-8BEN or IRS Form W-8BEN-E from each of such   partner's/member's beneficial owners that is claiming the portfolio interest exemption.  By executing this   certificate, the undersigned agrees that (1) if the information provided on this certificate changes, the   undersigned shall promptly so inform such Lender and (2) the undersigned shall have at all times   furnished such Lender with a properly completed and currently effective certificate in either the calendar   year in which each payment is to be made to the undersigned, or in either of the two calendar years   preceding such payments.      [NAME OF PARTICIPANT]      By:_____________________________________     Name:      Title:     Date: ________ __, 20__     

 

       EXHIBIT E-4      FORM OF   U.S. TAX COMPLIANCE CERTIFICATE   (For Foreign Lenders That Are Partnerships For U.S. Federal Income Tax Purposes)      Reference is made to the Credit Agreement, dated as of January 23, 2015 (as amended,   supplemented or otherwise modified from time to time (the “Credit Agreement”), among Columbus   McKinnon Corporation (the “Company”), certain Subsidiaries of the Company (together with the   Company, the “Borrowers”), the Lenders party thereto and JPMorgan Chase Bank, N.A., as   administrative agent (in such capacity, the “Administrative Agent”).  Unless otherwise defined herein,   terms defined in the Credit Agreement and used herein shall have the meanings given to them in the   Credit Agreement.   Pursuant to the provisions of Section 2.19 of the Credit Agreement, the undersigned   hereby certifies that (i) it is the sole record owner of the Loan(s) (as well as any Note(s) evidencing such   Loan(s)) in respect of which it is providing this certificate, (ii) its direct or indirect partners/members are   the sole beneficial owners of such Loan(s) (as well as any Note(s) evidencing such Loan(s)), (iii) with   respect to the extension of credit pursuant to this Credit Agreement or any other Loan Document, neither   the undersigned nor any of its direct or indirect partners/members is a bank extending credit pursuant to a   loan agreement entered into in the ordinary course of its trade or business within the meaning of Section   881(c)(3)(A) of the Code, (iv) none of its direct or indirect partners/members is a ten percent shareholder   of any of the Borrowers within the meaning of Section 871(h)(3)(B) of the Code and (v) none of its direct   or indirect partners/members is a controlled foreign corporation related to any of the Borrowers as   described in Section 881(c)(3)(C) of the Code.   The undersigned has furnished the Administrative Agent and the Borrowers with IRS   Form W-8IMY accompanied by one of the following forms from each of its partners/members that is   claiming the portfolio interest exemption: (i) an IRS Form W-8BEN or IRS Form W-8BEN-E or (ii) an   IRS Form W-8IMY accompanied by an IRS Form W-8BEN or IRS Form W-8BEN-E from each of such   partner's/member's beneficial owners that is claiming the portfolio interest exemption.  By executing this   certificate, the undersigned agrees that (1) if the information provided on this certificate changes, the   undersigned shall promptly so inform the Borrowers and the Administrative Agent, and (2) the   undersigned shall have at all times furnished the Borrowers and the Administrative Agent with a properly   completed and currently effective certificate in either the calendar year in which each payment is to be   made to the undersigned, or in either of the two calendar years preceding such payments.      [NAME OF LENDER]      By: _____________________________________     Name:      Title:     Date: ________ __, 20__    

 

      EXHIBIT F-1   FORM OF   INCREASED FACILITY ACTIVATION NOTICE—INCREMENTAL TERM LOANS      To: JPMorgan Chase Bank, N.A., as Administrative Agent   under the Credit Agreement referred to below      Reference is made to the Credit Agreement, dated as of January 23, 2015 (as amended,   supplemented or modified from time to time, the “Credit Agreement”), among Columbus McKinnon   Corporation (the “Company”), certain Subsidiaries of the Company (together with the Company, the   “Borrowers”), the Lenders party thereto and JPMorgan Chase Bank, N.A., as administrative agent (the   “Administrative Agent”). Capitalized terms used but not defined herein shall have the meanings assigned   to such terms in the Credit Agreement.   This notice is an Increased Facility Activation Notice referred to in the Credit Agreement, and the   Borrower and each Lender party hereto hereby notify you that:   1. Each Lender party hereto agrees to make an Incremental Term Loan in the   amount set forth opposite such Lender’s name on the signature pages hereof under the caption   “Incremental Term Loan Amount”.      2. The Increased Facility Closing Date is ___________________.      3.   The aggregate principal amount of Incremental Term Loans contemplated hereby   is $____________.      4.  The Incremental Term Loan of each Lender party hereto shall mature in ___   consecutive installments, commencing on __________, 20__, each of which shall be in an amount equal   to (i) the percentage which the principal amount of such Lender’s Incremental Term Loan made on the   Increased Facility Closing Date constitutes of the aggregate principal amount of Incremental Term Loans   made on the Increased Facility Closing Date multiplied by (ii) the amount set forth below opposite such   installment:       Installment    Principal Amount      [Insert installment dates and amounts]      5.  The Incremental Term Maturity Date for the Incremental Term Loans   contemplated hereby is _________, 20__.      6.   The Applicable Rate for the Incremental Term Loans contemplated hereby is   ___% per annum.  [INSERT GRID IF APPLICABLE]      7.   The agreement of each Lender party hereto to make an Incremental Term Loan   on the Increased Facility Closing Date is subject to the satisfaction of the following conditions precedent:      (a)  The Administrative Agent shall have received this notice, executed and   delivered by the Borrower and each Lender party hereto.        

 

 2       2   (b)  [Insert other applicable conditions precedent, including, without limitation,   delivery of a closing certificate from the Borrower and amendments to the Security Documents   (to the extent necessary).]      (c)  After giving effect to the making of the Incremental Term Loans   contemplated hereby on the Increased Facility Closing Date, (i) each of the representations and   warranties made by any Loan Party in or pursuant to the Loan Documents or which are contained   in any document furnished at any time under or in connection herewith or therewith, shall be true   and correct in all material respects on and as of such date as if made on and as of such date (other   than to the extent any representation and warranty is already qualified by materiality, in which   case, such representation and warranty shall be true and correct as of such date), except to the   extent that such representations and warranties specifically refer to an earlier date, in which case   they shall be true and correct in all material respects as of such earlier date (other than to the   extent any representation and warranty is already qualified by materiality, in which case, such   representation and warranty shall be true and correct as of such earlier date) and (ii) no Default or   Event of Default shall have occurred and be continuing or would result from such proposed   extension of credit or from the application of the proceeds thereof.               [Signature page follows]           

 

         COLUMBUS MCKINNON CORPORATION         By:______________________________         Name:          Title:            Incremental Term Loan Amount  [NAME OF LENDER]   $      By:______________________________         Name:          Title:            CONSENTED TO:   JPMORGAN CHASE BANK, N.A.,   as Administrative Agent         By:______________________________         Name:          Title:        

 

      EXHIBIT F-2   FORM OF   INCREASED FACILITY ACTIVATION NOTICE—INCREMENTAL REVOLVING   COMMITMENTS      To: JPMorgan Chase Bank, N.A., as Administrative Agent   under the Credit Agreement referred to below      Reference is made to the Credit Agreement, dated as of January 23, 2015 (as amended,   supplemented or modified from time to time, the “Credit Agreement”), among Columbus McKinnon   Corporation (the “Company”), certain Subsidiaries of the Company (together with the Company, the   “Borrowers”), the Lenders party thereto and JPMorgan Chase Bank, N.A., as administrative agent (the   “Administrative Agent”).  Capitalized terms used but not defined herein shall have the meanings assigned   to such terms in the Credit Agreement.   This notice is an Increased Facility Activation Notice referred to in the Credit Agreement, and the   Borrower and each of the Lenders party hereto hereby notify you that:   1. Each Lender party hereto agrees to obtain a Revolving Commitment or increase   the amount of its Revolving Commitment as set forth opposite such Lender’s name on the signature pages   hereof under the caption “Incremental Revolving Commitment Amount”.      2. The Increased Facility Closing Date is ___________________.      3.   The aggregate amount of incremental Revolving Commitments contemplated   hereby is $____________.      4.   The agreement of each Lender party hereto to obtain an incremental Revolving   Commitment on the Increased Facility Closing Date is subject to the satisfaction of the following   conditions precedent:      (a)  The Administrative Agent shall have received this notice, executed and   delivered by the Borrower and each Lender party hereto.      (b)  [Insert other applicable conditions precedent, including, without limitation,   delivery of a closing certificate from the Borrower and amendments to the Security Documents   (to the extent necessary).]      (c)  (i) Each of the representations and warranties made by any Loan Party in or   pursuant to the Loan Documents or which are contained in any document furnished at any time   under or in connection herewith or therewith, shall be true and correct in all material respects on   and as of such date as if made on and as of such date (other than to the extent any representation   and warranty is already qualified by materiality, in which case, such representation and warranty   shall be true and correct as of such date), except to the extent that such representations and   warranties specifically refer to an earlier date, in which case they shall be true and correct in all   material respects as of such earlier date (other than to the extent any representation and warranty   is already qualified by materiality, in which case, such representation and warranty shall be true   and correct as of such earlier date) and (ii) no Default or Event of Default shall have occurred   and be continuing or would result from such proposed extension of credit or from the application   of the proceeds thereof.     

 

                      [Signature page follows]         

 

             COLUMBUS MCKINNON COMPANY         By:______________________________         Name:          Title:            Incremental Revolving Commitment Amount [NAME OF LENDER]   $      By:______________________________         Name:          Title:            CONSENTED TO:   JPMORGAN CHASE BANK, N.A.,   as Administrative Agent         By:______________________________         Name:          Title:           

 

      EXHIBIT F-3      FORM OF   NEW LENDER SUPPLEMENT      SUPPLEMENT, dated __________________, to the Credit Agreement, dated as of January 23,   2015 (as amended, supplemented or modified from time to time, the “Credit Agreement”), among   Columbus McKinnon Corporation (the “Company”), Columbus McKinnon Dutch Holdings 3 B.V. (the   “Dutch Borrower”), Columbus McKinnon EMEA GMBH (the “German Borrower” and, together with the   Parent Borrower and the Dutch Borrower, the “Borrowers”), the Lenders party thereto and JPMorgan   Chase Bank, N.A., as administrative agent (the “Administrative Agent”). Capitalized terms used but not   defined herein shall have the meanings assigned to such terms in the Credit Agreement.   W I T N E S S E T H:      WHEREAS, the Credit Agreement provides in Section 2.24(b) thereof that any bank, financial   institution or other entity may become a party to the Credit Agreement with the consent of the applicable   Borrower and the Administrative Agent (which consent shall not be unreasonably withheld) in connection   with a transaction described in Section 2.24(a) thereof by executing and delivering to the applicable   Borrower and the Administrative Agent a supplement to the Credit Agreement in substantially the form of   this Supplement; and   WHEREAS, the undersigned now desires to become a party to the Credit Agreement;   NOW, THEREFORE, the undersigned hereby agrees as follows:   1. The undersigned agrees to be bound by the provisions of the Credit Agreement, and   agrees that it shall, on the date this Supplement is accepted by the applicable Borrower and the   Administrative Agent, become a Lender for all purposes of the Credit Agreement to the same   extent as if originally a party thereto, with [an Incremental Term Loan] [a Revolving   Commitment] of $____________________.   2. The undersigned (a) represents and warrants that (i) it has full power and authority,   and has taken all action necessary, to execute and deliver this Supplement and to consummate the   transactions contemplated hereby and to become a Lender under the Credit Agreement, (ii) it   satisfies the requirements, if any, specified in the Credit Agreement that are required to be   satisfied by it in order to become a Lender, (iii) it has received a copy of the Credit Agreement,   together with copies of the most recent financial statements delivered pursuant to Section 6.01   thereof, and such other documents and information as it has deemed appropriate to make its own   credit analysis and decision to enter into this Supplement on the basis of which it has made such   analysis and decision independently and without reliance on the Administrative Agent or any   other Lender and (iv) if it is a Non-U.S. Lender, attached to this Supplement is any   documentation required to be delivered by it pursuant to the terms of the Credit Agreement, duly   completed and executed by the undersigned, and (b) agrees that (i) it will, independently and   without reliance on the Administrative Agent or any other Lender, and based on such documents   and information as it shall deem appropriate at the time, continue to make its own credit decisions   in taking or not taking action under the Loan Documents and (ii) it will perform in accordance   with their terms all of the obligations which by the terms of the Loan Documents are required to   be performed by it as a Lender.     

 

             3. The undersigned’s address for notices for the purposes of the Credit Agreement is as   follows:    __________________________________   __________________________________   __________________________________      IN WITNESS WHEREOF, the undersigned has caused this Supplement to be executed and   delivered by a duly authorized officer on the date first above written.      [NAME OF LENDER]         By:______________________________         Name:          Title:            Accepted this ____ day of ____________, 20__:      COLUMBUS MCKINNON CORPORATION         By:______________________________         Name:          Title:         JPMORGAN CHASE BANK, N.A.,   as Administrative Agent         By:______________________________         Name:          Title:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00239-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00239-of-00352.parquet"}]]