Document:

EX-10.28

 

FIRST LIEN CREDIT AGREEMENT,

dated as of September 5, 2006,

among

HANESBRANDS INC.,

as the Borrower,

VARIOUS FINANCIAL INSTITUTIONS AND

OTHER PERSONS FROM TIME TO TIME

PARTY HERETO,

as the Lenders,

HSBC BANK USA, NATIONAL ASSOCIATION,

LASALLE BANK NATIONAL ASSOCIATION, and

BARCLAYS BANK PLC,

as the Co-Documentation Agents,

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Co-Syndication Agents,

CITICORP USA, INC.,

as the Administrative Agent,

and

CITIBANK, N.A., as the Collateral Agent.

 

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Joint Lead Arrangers and Joint Bookrunners

*Portions of this document have been omitted pursuant to a Confidential Treatment
Request. 

 

 

TABLE
OF CONTENTS

	 	 	 	 	 
	ARTICLE I DEFINITIONS AND ACCOUNTING TERMS
	 	 	2	 
	Section 1.1 Defined Terms
	 	 	2	 
	Section 1.2 Use of Defined Terms
	 	 	37	 
	Section 1.3 Cross-References
	 	 	37	 
	Section 1.4 Accounting and Financial Determinations
	 	 	37	 
	Section 1.5 Exchange Rates; Currency Equivalents
	 	 	38	 
	Section 1.6 Computation of Dollar Amounts
	 	 	38	 
	 
	 	 	 	 
	ARTICLE II COMMITMENTS, BORROWING AND ISSUANCE PROCEDURES, NOTES AND LETTERS OF CREDIT

	 	 	38	 
	Section 2.1 Commitments
	 	 	38	 
	Section 2.2 Reduction of the Commitment Amounts
	 	 	40	 
	Section 2.3 Borrowing Procedures
	 	 	40	 
	Section 2.4 Continuation and Conversion Elections
	 	 	42	 
	Section 2.5 Funding
	 	 	43	 
	Section 2.6 Issuance Procedures
	 	 	43	 
	Section 2.7 Register; Notes
	 	 	47	 
	Section 2.8 Euro Loans
	 	 	47	 
	 
	 	 	 	 
	ARTICLE III REPAYMENTS, PREPAYMENTS, INTEREST AND FEES
	 	 	48	 
	Section 3.1 Repayments and Prepayments; Application
	 	 	48	 
	Section 3.2 Interest Provisions
	 	 	52	 
	Section 3.3 Fees
	 	 	53	 
	 
	 	 	 	 
	ARTICLE IV CERTAIN LIBO RATE AND OTHER PROVISIONS
	 	 	54	 
	Section 4.1 LIBO Rate Lending Unlawful
	 	 	54	 
	Section 4.2 Deposits Unavailable
	 	 	54	 
	Section 4.3 Increased LIBO Rate Loan Costs, etc
	 	 	54	 
	Section 4.4 Funding Losses
	 	 	55	 
	Section 4.5 Increased Capital Costs
	 	 	55	 
	Section 4.6 Taxes
	 	 	56	 
	Section 4.7 Payments, Computations; Proceeds of Collateral, etc
	 	 	58	 
	Section 4.8 Sharing of Payments
	 	 	59	 
	Section 4.9 Setoff
	 	 	60	 
	Section 4.10 Mitigation
	 	 	60	 

i

 

	 	 	 	 	 
	Section 4.11 Removal of Lenders
	 	 	60	 
	Section 4.12 Limitation on Additional Amounts, etc
	 	 	61	 
	 
	 	 	 	 
	ARTICLE V CONDITIONS TO CREDIT EXTENSIONS
	 	 	62	 
	Section 5.1 Initial Credit Extension
	 	 	62	 
	Section 5.2 All Credit Extensions
	 	 	66	 
	 
	 	 	 	 
	ARTICLE VI REPRESENTATIONS AND WARRANTIES
	 	 	66	 
	Section 6.1 Organization, etc
	 	 	66	 
	Section 6.2 Due Authorization, Non-Contravention, etc
	 	 	67	 
	Section 6.3 Government Approval, Regulation, etc
	 	 	67	 
	Section 6.4 Validity, etc
	 	 	67	 
	Section 6.5 Financial Information
	 	 	67	 
	Section 6.6 No Material Adverse Change
	 	 	68	 
	Section 6.7 Litigation, Labor Controversies, etc
	 	 	68	 
	Section 6.8 Subsidiaries
	 	 	68	 
	Section 6.9 Ownership of Properties
	 	 	68	 
	Section 6.10 Taxes
	 	 	68	 
	Section 6.11 Pension and Welfare Plans
	 	 	69	 
	Section 6.12 Environmental Warranties
	 	 	69	 
	Section 6.13 Accuracy of Information
	 	 	70	 
	Section 6.14 Regulations U and X
	 	 	70	 
	Section 6.15 Compliance with Contracts, Laws, etc
	 	 	71	 
	Section 6.16 Solvency
	 	 	71	 
	 
	 	 	 	 
	ARTICLE VII COVENANTS
	 	 	71	 
	Section 7.1 Affirmative Covenants
	 	 	71	 
	Section 7.2 Negative Covenants
	 	 	78	 
	 
	 	 	 	 
	ARTICLE VIII EVENTS OF DEFAULT
	 	 	92	 
	Section 8.1 Listing of Events of Default
	 	 	92	 
	Section 8.2 Action if Bankruptcy
	 	 	95	 
	Section 8.3 Action if Other Event of Default
	 	 	95	 
	 
	 	 	 	 
	ARTICLE IX THE ADMINISTRATIVE AGENT, THE COLLATERAL AGENT; THE LEAD ARRANGERS,
THE SYNDICATION AGENT AND THE DOCUMENTATION AGENT
	 	 	95	 
	Section 9.1 Actions
	 	 	95	 

ii

 

	 	 	 	 	 
	Section 9.2 Funding Reliance, etc
	 	 	96	 
	Section 9.3 Exculpation
	 	 	96	 
	Section 9.4 Successor
	 	 	96	 
	Section 9.5 Loans by Citibank
	 	 	97	 
	Section 9.6 Credit Decisions
	 	 	97	 
	Section 9.7 Copies, etc
	 	 	97	 
	Section 9.8 Reliance by Agents
	 	 	97	 
	Section 9.9 Defaults
	 	 	98	 
	Section 9.10 Lead Arrangers, Syndication Agents and Documentation Agents
	 	 	98	 
	Section 9.11 Posting of Approved Electronic Communications
	 	 	98	 
	 
	 	 	 	 
	ARTICLE X MISCELLANEOUS PROVISIONS
	 	 	100	 
	Section 10.1 Waivers, Amendments, etc
	 	 	100	 
	Section 10.2 Notices; Time
	 	 	101	 
	Section 10.3 Payment of Costs and Expenses
	 	 	102	 
	Section 10.4 Indemnification
	 	 	103	 
	Section 10.5 Survival
	 	 	104	 
	Section 10.6 Severability
	 	 	104	 
	Section 10.7 Headings
	 	 	104	 
	Section 10.8 Execution in Counterparts, Effectiveness, etc
	 	 	104	 
	Section 10.9 Governing Law; Entire Agreement
	 	 	105	 
	Section 10.10 Successors and Assigns
	 	 	105	 
	Section 10.11 Sale and Transfer of Credit Extensions; Participations in Credit
Extensions; Notes
	 	 	105	 
	Section 10.12 Other Transactions
	 	 	107	 
	Section 10.13 Forum Selection and Consent to Jurisdiction
	 	 	108	 
	Section 10.14 Waiver of Jury Trial
	 	 	108	 
	Section 10.15 Patriot Act
	 	 	108	 
	Section 10.16 Judgment Currency
	 	 	109	 
	Section 10.17 Counsel Representation
	 	 	109	 
	Section 10.18 Confidentiality
	 	 	109	 

	 	 	 	 	 
	SCHEDULE I
	 	—	 	Disclosure Schedule
	SCHEDULE II
	 	—	 	Percentages; LIBOR Office; Domestic Office
	SCHEDULE III
	 	—	 	Existing Letters of Credit

iii

 

	 	 	 	 	 
	EXHIBIT A-1
	 	—	 	Form of Revolving Note
	EXHIBIT A-2
	 	—	 	Form of Term A Note
	EXHIBIT A-3
	 	—	 	Form of Term B Note
	EXHIBIT A-4
	 	—	 	Form of Swing Line Note
	EXHIBIT B-1
	 	—	 	Form of Borrowing Request
	EXHIBIT B-2
	 	—	 	Form of Issuance Request
	EXHIBIT C
	 	—	 	Form of Continuation/Conversion Notice
	EXHIBIT D
	 	—	 	Form of Lender Assignment Agreement
	EXHIBIT E
	 	—	 	Form of Compliance Certificate
	EXHIBIT F
	 	—	 	Form of Guaranty
	EXHIBIT G
	 	—	 	Form of Pledge and Security Agreement
	EXHIBIT H
	 	—	 	Form of Intercreditor Agreement
	EXHIBIT I
	 	—	 	Form of Closing Date Certificate

iv

 

FIRST LIEN CREDIT AGREEMENT

     THIS FIRST LIEN CREDIT AGREEMENT, dated as of September 5, 2006, is among HANESBRANDS INC., a
Maryland corporation (the “Borrower”), the various financial institutions and other Persons
from time to time party hereto (the “Lenders”), HSBC BANK USA, NATIONAL ASSOCIATION,
LASALLE BANK NATIONAL ASSOCIATION and BARCLAYS BANK PLC, as the co-documentation agents (in such
capacities, the “Documentation Agents”), MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED
and MORGAN STANLEY SENIOR FUNDING, INC., as the co-syndication agents (in such capacities, the
“Syndication Agents”), CITICORP USA, INC., as the administrative agent (in such capacity,
the “Administrative Agent”), CITIBANK, N.A., as the collateral agent (in such capacity, the
“Collateral Agent”), and MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED and MORGAN
STANLEY SENIOR FUNDING, INC., as the joint lead arrangers and joint bookrunners (in such
capacities, the “Lead Arrangers”).

W
I T N E S S E
T H:

     WHEREAS, Sara Lee Corporation, a Maryland corporation (“Sara Lee”) intends, among
other things, to (i) transfer all the assets and certain associated liabilities it attributes to
its branded apparel Americas/Asia business (the “Contributed Business”) to the Borrower,
(ii) sell certain trademarks and other intellectual property related to the Contributed Business
(the “IP Purchase”, with such trademarks and other intellectual property being herein
collectively referred to as the “HBI IP”) to HBI Branded Apparel Limited, Inc., a Delaware
corporation and a wholly-owned Subsidiary of the Borrower (the “IP Subsidiary”), and (iii)
distribute 100% of the Borrower’s common stock to Sara Lee’s stockholders (the transfer of the
Contributed Business and such distribution being herein called the “Spin-Off”), pursuant to
which, among other things, (A) Sara Lee’s common stockholders will receive, on a pro rata basis, a
dividend of all of the issued and outstanding shares of common stock of the Borrower and (B)
concurrently with the consummation of the Spin-Off and the IP Purchase, Sara Lee will receive a
cash dividend from the Borrower in the approximate amount of $2,400,000,000 (the
“Dividend”);

     WHEREAS, for purposes of consummating the Spin-Off, the Dividend and the IP Purchase, the
Borrower and the IP Subsidiary intend to utilize the proceeds from (i) the Loans, (ii) senior
secured second lien loans in an aggregate amount of $450,000,000 (the “Second Lien Loans”)
and (iii)(A) senior unsecured notes issued by the Borrower (the “Senior Notes”) and/or (B)
unsecured increasing rate loans (the “Bridge Loans”) collectively resulting in aggregate
gross proceeds of $500,000,000; and

     WHEREAS, the Lenders and the Issuers are willing, on the terms and subject to the conditions
hereinafter set forth, to extend the Commitments, make Loans and issue (or participate in) Letters
of Credit;

     NOW, THEREFORE, the parties hereto agree as follows.

First Lien Credit Agreement

 

 

ARTICLE I

DEFINITIONS AND ACCOUNTING TERMS

     SECTION 1.1 Defined Terms. The following terms (whether or not underscored) when
used in this Agreement, including its preamble and recitals, shall, except where the context
otherwise requires, have the following meanings (such meanings to be equally applicable to the
singular and plural forms thereof):

     “Acquired Permitted Capital Expenditure Amount” is defined in clause (a) of
Section 7.2.7.

     “Administrative Agent” is defined in the preamble and includes each other
Person appointed as the successor Administrative Agent pursuant to Section 9.4.

     “Affected Lender” is defined in Section 4.11.

     “Affiliate” of any Person means any other Person which, directly or indirectly,
controls, is controlled by or is under common control with such Person. “Control” of a Person
means the power, directly or indirectly, (i) to vote 10% or more of the Capital Securities (on a
fully diluted basis) of such Person having ordinary voting power for the election of directors,
managing members or general partners (as applicable), or (ii) to direct or cause the direction of
the management and policies of such Person (whether by contract or otherwise).

     “Agents” means, as the context may require, the Administrative Agent and the
Collateral Agent, collectively, or either of them individually.

     “Agreement” means, on any date, this First Lien Credit Agreement as originally in
effect on the Closing Date and as thereafter from time to time amended, supplemented, amended and
restated or otherwise modified from time to time and in effect on such date.

     “Alternate Base Rate” means, on any date and with respect to all Base Rate Loans, a
fluctuating rate of interest per annum (rounded upward, if necessary, to the next highest 1/16 of
1%) equal to the higher of (i) the Base Rate in effect on such day, and (ii) the Federal Funds Rate
in effect on such day plus 1/2 of 1%. Changes in the rate of interest on that portion of any Loans
maintained as Base Rate Loans will take effect simultaneously with each change in the Alternate
Base Rate. The Administrative Agent will give notice promptly to the Borrower and the Lenders of
changes in the Alternate Base Rate; provided that, the failure to give such notice shall
not affect the Alternate Base Rate in effect after such change.

     “Applicable Commitment Fee Margin” means the applicable percentage set forth below
corresponding to the relevant Leverage Ratio:

First Lien Credit Agreement

2

 

	 	 	 
	 	 	Applicable Commitment
	Leverage Ratio	 	Fee Margin
	Greater than or equal to 3.75:1.00
	 	0.500%
	 	 	 
	Less than 3.75:1.00 but greater than or equal to 3.00:1.00
	 	0.375%
	 	 	 
	Less than 3.00:1.00
	 	0.250%

Notwithstanding anything to the contrary set forth in this Agreement (including the then
effective Leverage Ratio), the Applicable Commitment Fee Margin from the Closing Date through (and
including) the date of delivery of the financial statements for the second full Fiscal Quarter
ending after the Closing Date shall be 0.50%. The Leverage Ratio used to compute the Applicable
Commitment Fee Margin shall be that set forth in the Compliance Certificate most recently delivered
by the Borrower to the Administrative Agent. Changes in the Applicable Commitment Fee Margin
resulting from a change in the Leverage Ratio shall become effective upon delivery by the Borrower
to the Administrative Agent of a new Compliance Certificate pursuant to clause (c) of
Section 7.1.1. If the Borrower fails to deliver a Compliance Certificate on or before the
date required pursuant to clause (c) of Section 7.1.1, the Applicable Commitment
Fee Margin from and including the day after such required date of delivery to but not including the
date the Borrower delivers to the Administrative Agent a Compliance Certificate shall equal the
highest Applicable Commitment Fee Margin set forth above.

     “Applicable Margin” means (i) in the case of Term B Loans maintained as (A) LIBO Rate
Loans, a percentage per annum equal to 2.25% and (B) Base Rate Loans, a percentage per annum equal
to 1.25%, and (ii) in the case of Term A Loans and Revolving Loans, the applicable percentage set
forth below corresponding to the relevant Leverage Ratio:

	 	 	 	 	 
	 	 	Applicable Margin
	 	 	LIBO Rate	 	Base Rate
	Leverage Ratio	 	Loans	 	Loans
	Greater than or equal to 4.00:1.00
	 	1.75%
	 	0.75%
	 	 	 	 	 
	Less than 4.00:1.00 but greater than or equal to 3.25:1.00
	 	1.50%
	 	0.50%
	 	 	 	 	 
	Less than 3.25:1.00 but greater than or equal to 2.50:1.00
	 	1.25%
	 	0.25%
	 	 	 	 	 
	Less than 2.50:1.00
	 	1.00%
	 	0.00%

Notwithstanding anything to the contrary set forth in this Agreement (including the then
effective Leverage Ratio), the Applicable Margin for all Term A Loans and Revolving Loans from the
Closing Date through (and including) the date of delivery of the financial statements for the
second full Fiscal Quarter ending after Closing Date shall be (A) 1.75%, in the case of LIBO Rate
Loans, and (B) 0.75%, in the case of Base Rate Loans. The Leverage Ratio used to

First Lien Credit Agreement

3

 

compute the
Applicable Margin shall be the Leverage Ratio set forth in the Compliance Certificate most recently
delivered by the Borrower to the Administrative Agent. Changes in the Applicable Margin resulting
from a change in the Leverage Ratio shall become effective upon delivery by the Borrower to the
Administrative Agent of a new Compliance Certificate pursuant
to clause (c) of Section 7.1.1. If the Borrower fails to deliver a Compliance
Certificate on or before the date required pursuant to clause (c) of Section 7.1.1,
the Applicable Margin from and including the day after such required date of delivery to but not
including the date the Borrower delivers to the Administrative Agent a Compliance Certificate shall
equal the highest Applicable Margin set forth above.

     “Applicable Percentage” means, at any time of determination, (i) with respect to a
mandatory prepayment in respect of Net Equity Proceeds pursuant to clause (e) of
Section 3.1.1, (A) 50.0%, if the Leverage Ratio set forth in the Compliance Certificate
most recently delivered by the Borrower to the Administrative Agent was greater than or equal to
3.75:1, (B) 25.0%, if the Leverage Ratio set forth in such Compliance Certificate was less than
3.75:1 but greater than or equal to 3.00:1, and (C) 0%, if the Leverage Ratio set forth in such
Compliance Certificate was less than 3.00:1, and (ii) with respect to a mandatory prepayment in
respect of Excess Cash Flow pursuant to clause (g) of Section 3.1.1, (A) 50.0%, if
the Leverage Ratio set forth in the Compliance Certificate most recently delivered by the Borrower
to the Administrative Agent was greater than or equal to 3.75:1, (B) 25.0%, if the Leverage Ratio
set forth in such Compliance Certificate was less than 3.75:1 but greater than or equal to 3.00:1,
and (C) 0%, if the Leverage Ratio set forth in such Compliance Certificate was less than 3.00:1.

     “Approved Foreign Bank” is defined in the definition of “Cash Equivalent Investment”.

     “Approved Fund” means any Person (other than a natural Person) that (i) is engaged in
making, purchasing, holding or otherwise investing in commercial loans and similar extensions of
credit in the ordinary course, and (ii) is administered or managed by a Lender, an Affiliate of a
Lender or a Person or an Affiliate of a Person that administers or manages a Lender.

     “Authorized Officer” means, relative to any Obligor, the chief executive officer,
president, chief financial officer, treasurer, assistant treasurer, secretary, assistant secretary
and those of its other officers, general partners or managing members (as applicable), in each case
whose signatures and incumbency shall have been certified to the Agents, the Lenders and the
Issuers pursuant to Section 5.1.1.

     “Available” means, in respect of Euros and any Lender at any time of determination,
that Euros are, at such time, readily available to such Lender as deposits in the London or other
applicable interbank market in the relevant amount and for the relevant term, is freely convertible
into Dollars and is freely transferable for the purposes of this Agreement, but if, notwithstanding
that each of the foregoing tests is satisfied:

     (a) Euros are, under the then current legislation or regulations of the applicable
country (or under the policy of the central bank of such country) or the F.R.S. Board, not
permitted to be used for the purposes of this Agreement; or

First Lien Credit Agreement

4

 

     (b) there are regulatory or legal reasons which make it illegal or impermissible for a
Lender to make a LIBO Rate denominated in Euros available as determined by such Lender in its
sole discretion;

then Euros may be treated by any Lender as not being Available.

     “Base Rate” means, at any time, the rate published in the Wall Street Journal as the
“prime rate”(or equivalent) at such time.

     “Base Rate Loan” means a Loan denominated in Dollars bearing interest at a fluctuating
rate determined by reference to the Alternate Base Rate.

     “Borrower” is defined in the preamble.

     “Borrowing” means the Loans of the same type and, in the case of LIBO Rate Loans,
having the same Interest Period made by all Lenders required to make such Loans on the same
Business Day and pursuant to the same Borrowing Request in accordance with Section 2.3.

     “Borrowing Request” means a Loan request and certificate duly executed by an
Authorized Officer of the Borrower substantially in the form of Exhibit B-1 hereto.

     “Branded Apparel Business” means, collectively, the HBI IP and the Contributed
Business.

     “Bridge Loan Administrative Agent” means the “Administrative Agent” pursuant to, and
as defined in, the Bridge Loan Documents, and any successor thereto.

     “Bridge Loan Credit Agreement” means the Bridge Loan Credit Agreement, dated as of the
Closing Date, among the Borrower, the lenders from time to time party thereto and the Bridge Loan
Administrative Agent, as the same may be amended, supplemented, amended and restated or otherwise
modified from time to time in accordance with this Agreement.

     “Bridge Loan Documents” means the Bridge Loan Credit Agreement and the related
guarantees, notes and other agreements and instruments entered into in connection with the Bridge
Loan Credit Agreement, in each case as the same may be amended, supplemented, amended and restated
or otherwise modified from time to time in accordance with this Agreement.

     “Bridge Loans” is defined in the second recital.

     “Business Day” means (i) any day which is neither a Saturday or Sunday nor a legal
holiday on which banks are authorized or required to be closed in New York, New York, (ii) relative
to the making, continuing, prepaying or repaying of any LIBO Rate Loans, any day which is a
Business Day described in clause (i) above and (A) on which dealings in the relevant
Currency are carried on in the London interbank eurodollar market and (B) in the case of LIBO Rate
Loans denominated in Euros, on which banks in the applicable country are not authorized or required
to be closed and (iii) for purposes of Section 2.1.2 any day which is neither a Saturday or
Sunday nor a legal holiday where the relevant Issuer is located (and, if such Issuer is

First Lien Credit Agreement

5

 

located in
Hong Kong, excluding any day upon which a Typhoon Number 8 signal or black rainstorm warning is
hoisted before 12:00 noon (Hong Kong time)).

     “CapEx Pull Forward Amount” is defined in clause (b) of Section 7.2.7.

     “Capital Expenditures” means, for any period, the aggregate amount of (i) all
expenditures of the Borrower and its Subsidiaries for fixed or capital assets made during such
period which, in accordance with GAAP, would be classified as capital expenditures and (ii)
Capitalized Lease Liabilities incurred by the Borrower and its Subsidiaries during such period;
provided that Capital Expenditures shall not include any such expenditures which constitute
any of the following, without duplication: (a) a Permitted Acquisition, (b) to the extent permitted
by this Agreement, capital expenditures consisting of Net Disposition Proceeds or Net Casualty
Proceeds not otherwise required to be used to repay the Loans, (c) capital expenditures made
utilizing Excluded Equity Proceeds, (d) imputed interest capitalized during such period incurred in
connection with Capitalized Lease Liabilities not paid or payable in cash and (e) any capital
expenditure made in connection with the Transaction as a result of the Borrower or any Subsidiary
buying assets from Sara Lee. For the avoidance of doubt (x) to the extent that any item is
classified under clause (i) of this definition and later classified under clause
(ii) of this definition or could be classified under either clause, it will only be required to
be counted once for purposes hereunder and (y) in the event the Borrower or any Subsidiary owns an
asset that was not used and is now being reused, no portion of the unused asset shall be considered
Capital Expenditures hereunder; provided that any expenditure necessary in order to permit
such asset to be reused shall be included as a Capital Expenditure during the period that such
expenditure actually is made.

     “Capital Securities” means, with respect to any Person, all shares, interests,
participations or other equivalents (however designated, whether voting or non-voting) of such
Person’s capital, whether now outstanding or issued after the Closing Date.

     “Capitalized Lease Liabilities” means, with respect to any Person, all monetary
obligations of such Person and its Subsidiaries under any leasing or similar arrangement which, in
accordance with GAAP, should be classified as capitalized leases, and for purposes of each Loan
Document the amount of such obligations shall be the capitalized amount thereof, determined in
accordance with GAAP, and the stated maturity thereof shall be the date of the last payment of rent
or any other amount due under such lease prior to the first date upon which such lease may be
terminated by the lessee without payment of a premium or a penalty.

     “Cash Collateralize” means, with respect to a Letter of Credit, the deposit of
immediately available funds into a cash collateral account maintained with (or on behalf of) the
Administrative Agent on terms reasonably satisfactory to the Administrative Agent in an amount
equal to the Stated Amount of such Letter of Credit.

     “Cash Equivalent Investment” means, at any time:

     (a) any direct obligation of (or unconditionally guaranteed by) the United States or a
State thereof (or any agency or political subdivision thereof, to the extent such

First Lien Credit Agreement

6

 

obligations
are supported by the full faith and credit of the United States or a State thereof) maturing
not more than one year after such time;

     (b) commercial paper maturing not more than 270 days from the date of issue, which is
issued by (i) a corporation (other than an Affiliate of any Obligor) organized under the laws
of any State of the United States or of the District of Columbia and rated
A-1 or higher by S&P or P-1 or higher by Moody’s, or (ii) any Lender (or its holding
company);

     (c) any certificate of deposit, time deposit or bankers acceptance, maturing not more
than one year after its date of issuance, which is issued by either (i) any bank organized
under the laws of the United States (or any State thereof) and which has (A) a credit rating
of A2 or higher from Moody’s or A or higher from S&P and (B) a combined capital and surplus
greater than $500,000,000, or (ii) any Lender;

     (d) any repurchase agreement having a term of 30 days or less entered into with any
Lender or any commercial banking institution satisfying the criteria set forth in clause
(c)(i) which (i) is secured by a fully perfected security interest in any obligation of
the type described in clause (a), and (ii) has a market value at the time such
repurchase agreement is entered into of not less than 100% of the repurchase obligation of
such commercial banking institution thereunder;

     (e) with respect to any Foreign Subsidiary, non-Dollar denominated (i) certificates of
deposit of, bankers acceptances of, or time deposits with, any commercial bank which is
organized and existing under the laws of the country in which such Person maintains its chief
executive office or principal place of business or is organized provided such country is a
member of the Organization for Economic Cooperation and Development, and which has a
short-term commercial paper rating from S&P of at least “A-1” or the equivalent thereof or
from Moody’s of at least “P-1” or the equivalent thereof (any such bank being an “Approved
Foreign Bank”) and maturing within one year of the date of acquisition and (ii)
equivalents of demand deposit accounts which are maintained with an Approved Foreign Bank; or

     (f) readily marketable obligations issued or directly and fully guaranteed or insured by
the government or any agency or instrumentality of any member nation of the European Union
whose legal tender is the Euro and which are denominated in Euros or any other foreign
currency comparable in credit quality and tenor to those referred to above and customarily
used by corporations for cash management purposes in any jurisdiction outside the United
States to the extent reasonably required in connection with any business conducted by any
Foreign Subsidiary organized in such jurisdiction, having (i) one of the three highest ratings
from either Moody’s or S&P and (ii) maturities of not more than one year from the date of
acquisition thereof; provided that the full faith and credit of any such member nation
of the European Union is pledged in support thereof.

     “Cash Management Obligations” means, with respect to the Borrower or any of its
Subsidiaries, any direct or indirect liability, contingent or otherwise, of such Person in respect
of cash management services (including treasury, depository, overdraft (daylight and temporary),

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credit or debit card, electronic funds transfer and other cash management arrangements) provided
after the Closing Date by a Person who is (or was at the time such Cash Management Obligations were
incurred) the Administrative Agent, any Lender or any Affiliate thereof, including obligations for
the payment of fees, interest, charges, expenses, attorneys’ fees and disbursements in connection
therewith to the extent provided for in the documents evidencing such cash management services.

     “Cash Restructuring Charges” is defined in the definition of “EBITDA.”

     “Cash Spin-Off Charges” is defined in the definition of “EBITDA.”

     “Casualty Event” means the damage, destruction or condemnation, as the case may be, of
property of any Person or any of its Subsidiaries.

     “CERCLA” means the Comprehensive Environmental Response, Compensation and Liability
Act of 1980, as amended.

     “CERCLIS” means the Comprehensive Environmental Response Compensation Liability
Information System List.

     “Change in Control” means

     (a) any person or group (within the meaning of Sections 13(d) and 14(d) under the
Exchange Act) shall become the ultimate “beneficial owner” (as defined in Rules 13d-3 and
13d-5 under the Exchange Act), directly or indirectly, of Capital Securities representing more
than 35% of the Capital Securities of the Borrower on a fully diluted basis;

     (b) during any period of 24 consecutive months, individuals who at the beginning of such
period constituted the Board of Directors of the Borrower (together with any new directors
whose election to such Board or whose nomination for election by the stockholders of the
Borrower was approved by a vote of a majority of the directors then still in office who were
either directors at the beginning of such period or whose election or nomination for election
was previously so approved) cease for any reason to constitute a majority of the Board of
Directors of the Borrower then in office; or

     (c) the occurrence of any “Change of Control” (or similar term) under (and as defined in)
any Second Lien Loan Document, Bridge Loan Document or Senior Note Document.

     “Citibank” means, as the context may require, Citicorp USA and CitiNA, collectively,
or either of them, individually.

     “Citicorp USA” means Citicorp USA, Inc., in its individual capacity, and any successor
thereto by merger, consolidation or otherwise.

     “CitiNA” means Citibank, N.A., in its individual capacity, and any successor thereto
by merger, consolidation or otherwise.

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     “Closing Date Certificate” means the closing date certificate executed and delivered
by an Authorized Officer of the Borrower substantially in the form of Exhibit I hereto.

     “Closing Date” means the date of the initial Credit Extension hereunder.

     “Code” means the Internal Revenue Code of 1986, and the regulations thereunder, in
each case as amended, reformed or otherwise modified from time to time.

     “Collateral Agent” is defined in the preamble and includes each other Person
appointed as successor Collateral Agent pursuant to Section 9.4.

     “Commercial Letter of Credit” means any Letter of Credit issued for the purpose of
providing the primary payment mechanism in connection with the purchase of any materials, goods or
services by the Borrower or any Subsidiary in the ordinary course of business of the Borrower or
such Subsidiary.

     “Commitment” means, as the context may require, the Term A Loan Commitment, the Term B
Loan Commitment, the Revolving Loan Commitment, the Euro Loan Commitment, the Letter of Credit
Commitment or the Swing Line Loan Commitment.

     “Commitment Amount” means, as the context may require, the Term A Loan Commitment
Amount, the Term B Loan Commitment Amount, the Revolving Loan Commitment Amount, the Euro Loan
Commitment Amount, the Letter of Credit Commitment Amount or the Swing Line Loan Commitment Amount.

     “Commitment Termination Date” means, as the context may require, the Term A Loan
Commitment Termination Date, the Term B Loan Commitment Termination Date or the Revolving Loan
Commitment Termination Date.

     “Commitment Termination Event” means

     (a) the occurrence of any Event of Default with respect to the Borrower described in
clauses (a) through (d) of Section 8.1.9; or

     (b) the occurrence and continuance of any other Event of Default and either (i) the
declaration of all or any portion of the Loans to be due and payable pursuant to Section
8.3, or (ii) the giving of notice by the Administrative Agent, acting at the direction of
the Required Lenders, to the Borrower that the Commitments have been terminated.

     “Communications” is defined in clause (a) of Section 9.11.

     “Compliance Certificate” means a certificate duly completed and executed by an
Authorized Officer of the Borrower, substantially in the form of Exhibit E hereto.

     “Contingent Liability” means any agreement, undertaking or arrangement by which any
Person guarantees, endorses or otherwise becomes or is contingently liable upon (by direct or
indirect agreement, contingent or otherwise, to provide funds for payment, to supply funds to, or

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otherwise to invest in, a debtor, or otherwise to assure a creditor against loss) the Indebtedness
of any other Person (other than by endorsements of instruments in the course of collection), or
guarantees the payment of dividends or other distributions upon the Capital Securities of any other
Person. The amount of any Person’s obligation under any
Contingent Liability shall (subject to any limitation with respect thereto) be deemed to be the outstanding principal
amount of the debt, obligation or other liability guaranteed thereby.

     “Continuation/Conversion Notice” means a notice of continuation or conversion and
certificate duly executed by an Authorized Officer of the Borrower, substantially in the form of
Exhibit C hereto.

     “Contributed Business” is defined in the first recital.

     “Controlled Group” means all members of a controlled group of corporations and all
members of a controlled group of trades or businesses (whether or not incorporated) under common
control which, together with the Borrower, are treated as a single employer under Section 414(b) or
414(c) of the Code or Section 4001 of ERISA.

     “Copyright Security Agreement” means any Copyright Security Agreement executed and
delivered by any Obligor in substantially the form of Exhibit C to the Security Agreement, as
amended, supplemented, amended and restated or otherwise modified from time to time.

     “Credit Extension” means, as the context may require,

     (a) the making of a Loan by a Lender; or

     (b) the issuance of any Letter of Credit, any amendment to or modification of any Letter
of Credit that increases the face amount thereof, or the extension of any Stated Expiry Date
of any existing Letter of Credit, by an Issuer.

     “Currency” and “Currencies” means Dollars and Euros.

     “Default” means any Event of Default or any condition, occurrence or event which,
after notice or lapse of time or both, would constitute an Event of Default.

     “Defaulting Lender” means any Lender that (i) refuses (which refusal has not been
retracted prior to an Eligible Assignee agreeing to replace such Lender as a “Lender” hereunder) or
has failed to make available its portion of any Borrowing or to fund its portion of any
unreimbursed obligation under Section 2.6.1 or (ii) has notified in writing the Borrower or
the Administrative Agent that such Lender does not intend to comply with its obligations under
Section 2.1.

     “Disbursement” is defined in Section 2.6.2.

     “Disbursement Date” is defined in Section 2.6.2.

     “Disclosure Schedule” means the Disclosure Schedule attached hereto as Schedule
I, as it may be amended, supplemented, amended and restated or otherwise modified from time to
time

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by the Borrower with the written consent of, in the case of non-material modification, the
Administrative Agent and, in the case of material modifications the Required Lenders.

     “Disposition” (or similar words such as “Dispose”) means any sale, transfer,
lease (as lessor), contribution or other conveyance (including by way of merger) of, or the
granting of options, warrants or other rights to, any of the Borrower’s or its Subsidiaries’ assets
(including accounts receivable and Capital Securities of Subsidiaries) to any other Person in a
single transaction or series of transactions other than (i) to another Obligor, (ii) by a Foreign
Subsidiary to any other Foreign Subsidiary or (iii) by a Receivables Subsidiary to any other
Person.

     “Dividend” is defined in the first recital.

     “Documentation Agents” is defined in the preamble.

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

     “Dollar Equivalent” means, as of any date of determination, (i) as to any amount
denominated in Dollars, such amount in Dollars, and (ii) as to any amount denominated in Euros, the
equivalent amount thereof in Dollars as determined by the Administrative Agent on the basis of the
Spot Rate for the purchase of Dollars with Euros.

     “Domestic Office” means the office of a Lender designated as its “Domestic Office” on
Schedule II hereto or in a Lender Assignment Agreement, or such other office within the
United States as may be designated from time to time by notice from such Lender to the
Administrative Agent and the Borrower.

     “EBITDA” means, for any applicable period, the sum of

     (a) Net Income, plus

     (b) to the extent deducted in determining Net Income, the sum of (i) amounts attributable
to amortization (including amortization of goodwill and other intangible assets), (ii)
Federal, state, local and foreign income withholding, franchise, state single business unitary
and similar Tax expense, (iii) Interest Expense, (iv) depreciation of assets, (v) all non-cash
charges, including all non-cash charges associated with announced restructurings, whether
announced previously or in the future (such non-cash restructuring charges being “Non-Cash
Restructuring Charges”), (vi) net cash charges associated with or related to any
contemplated restructurings (such cost restructuring charges being “Cash Restructuring
Charges”) in an aggregate amount not to exceed, in any Fiscal Year, the Permitted Cash
Restructuring Charge Amount for such Fiscal Year, (vii) net cash restructuring charges
associated with or related to the Spin-Off (such cost restructuring charges being “Cash
Spin-Off Charges”) in an aggregate amount not to exceed, in any Fiscal Year, the Permitted
Cash Spin-Off Charge Amount for such Fiscal Year, (viii) all amounts in respect of
extraordinary losses, (ix) non-cash compensation expense, or other non-cash expenses or
charges, arising from the sale of stock, the granting of stock options, the granting of stock
appreciation rights and similar arrangements (including any repricing, amendment,
modification, substitution or change of any such stock, stock option, stock appreciation
rights or similar arrangements), (x)

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any financial advisory fees, accounting fees, legal fees
and other similar advisory and consulting fees, cash charges in respect of strategic market
reviews, management bonuses and early retirement of Indebtedness, and related out-of-pocket
expenses incurred by the
Borrower or any of its Subsidiaries as a result of the Transaction, including fees and
expenses in connection with the issuance, redemption or exchange of the Bridge Loans, all
determined in accordance with GAAP, (xi) non-cash or unrealized losses on agreements with
respect to Hedging Obligations and (xii) to the extent non-recurring and not capitalized, any
financial advisory fees, accounting fees, legal fees and similar advisory and consulting fees
and related costs and expenses of the Borrower and its Subsidiaries incurred as a result of
Permitted Acquisitions, Investments, Dispositions permitted hereunder and the issuance of
Capital Securities or Indebtedness permitted hereunder, all determined in accordance with GAAP
and in each case eliminating any increase or decrease in income resulting from non-cash
accounting adjustments made in connection with the related Permitted Acquisition or
Dispositions, (xiii) to the extent the related loss in not added back pursuant to clause
(c), all proceeds of business interruption insurance policies, (xiv) expenses incurred by
the Borrower or any Subsidiary to the extent reimbursed in cash by a third party, and (xv)
extraordinary, unusual or non-recurring cash charges not to exceed $10,000,000 in any Fiscal
Year, minus

     (c) to the extent included in determining such Net Income, the sum of (i) all amounts in
respect of extraordinary gains or extraordinary losses, (ii) non-cash gains on agreements with
respect to Hedging Obligations, (iii) reversals (in whole or in part) of any restructuring
charges previously treated as Non-Cash Restructuring Charges in any prior period and (iv)
non-cash items increasing such Net Income for such period, other than (A) the accrual of
revenue consistent with past practice and (B) the reversal in such period of an accrual of, or
cash reserve for, cash expenses in a prior period, to the extent such accrual or reserve did
not increase EBITDA in a prior period.

     “Eligible Assignee” means (i) in the case of an assignment of a Term B Loan, (A) a
Lender, (B) an Affiliate of a Lender, (C) an Approved Fund or (D) any other Person (other than an
Ineligible Assignee), and (ii) in the case of any assignment of the Revolving Loan Commitment,
Revolving Loans or Term A Loans, (A) a Lender, (B) an Affiliate of a Lender or (C) any other Person
(other than an Ineligible Assignee) approved by the Borrower (such approval of the Borrower not to
be unreasonably withheld or delayed) unless an Event of Default has occurred and is continuing.

     “EMU” means Economic and Monetary Union as contemplated in the Treaty on European
Union.

     “EMU Legislation” means legislative measures of the European Council (including
European Council regulations) for the introduction of, changeover to or operation of a single or
unified European currency (whether known as the Euro or otherwise), being in part the
implementation of the third stage of EMU.

     “Environmental Laws” means all applicable federal, state or local statutes, laws,
ordinances, codes, rules, regulations and legally binding guidelines (including consent decrees

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and administrative orders) relating to protection of public health and safety from environmental
hazards and protection of the environment.

     “Equity Equivalents” means with respect to any Person any rights, warrants, options,
convertible securities, exchangeable securities, indebtedness or other rights, in each case
exercisable for or convertible or exchangeable into, directly or indirectly, Capital Securities of
such Person or securities exercisable for or convertible or exchangeable into Capital Securities of
such Person, whether at the time of issuance or upon the passage of time or the occurrence of some
future event.

     “ERISA” means the Employee Retirement Income Security Act of 1974, as amended, and any
successor statute thereto of similar import, together with the regulations thereunder, in each case
as in effect from time to time. References to Sections of ERISA also refer to any successor
Sections thereto.

     “Euro Equivalent” means, with respect to any amount denominated in Dollars, the
equivalent amount thereof in Euros as determined by the Administrative Agent at such time on the
basis of the Spot Rate (determined in respect of the most recent Revaluation Date) for the purchase
of Euros with Dollars.

     “Euro Loan” means any Revolving Loan denominated in Euros.

     “Euro Loan Commitment” means, relative to any Lender, such Lender’s obligation (if
any) to make Euro Loans pursuant to clause (a) of Section 2.1.1.

     “Euro Loan Commitment Amount” means, on any date, a maximum amount equal to the Euro
Equivalent of $50,000,000, as such amount may be permanently reduced by Section 2.2.

     “European TM SPV” means Playtex Bath LLC, a Delaware limited liability company.

     “Euros” means the single currency of Participating Member States of the European
Union.

     “Event of Default” is defined in Section 8.1.

     “Excess Cash Flow” means, for any Fiscal Year, the excess (if any), of

     (a) EBITDA for such Fiscal Year

     minus

     (b) the sum (for such Fiscal Year) of (i) Interest Expense actually paid in cash by the
Borrower and its Subsidiaries, (ii) scheduled principal repayments with respect to the
permanent reduction of Indebtedness, to the extent actually made and permitted to be made
hereunder, (iii) all Federal, state, local and foreign income withholding, franchise, state
single business unitary and similar Taxes actually paid in cash or payable (only to the extent
related to Taxes associated with such Fiscal Year) by the Borrower and its Subsidiaries, (iv)
Capital Expenditures to the extent (x) actually made by the Borrower and its Subsidiaries in
such Fiscal Year or (y) committed to be made by the Borrower

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13

 

and its Subsidiaries and that are
permitted to be carried forward to the next succeeding Fiscal Year pursuant to Section
7.2.7; provided that the amounts deducted from Excess Cash
Flow pursuant to preceding clause (y) shall not thereafter be deducted in the
determination of Excess Cash Flow for the Fiscal Year during which such payments were actually
made, (v) the portion of the purchase price paid in cash with respect to Permitted
Acquisitions to the extent such Permitted Acquisition was made in connection with the
Borrower’s offshore migration of its supply chain, (vi) cash Investments permitted to be made
in Foreign Supply Chain Entities, (vii) to the extent permitted to be included in the
calculation of EBITDA for such Fiscal Year, the amount of Cash Restructuring Charges and Cash
Spin-Off Charges actually so included in such calculation and (viii) without duplication to
any amounts deducted in preceding clauses (i) through (vii), all items added back to
EBITDA pursuant to clause (b) of the definition thereof that represent amounts
actually paid in cash.

     “Exemption Certificate” is defined in clause (e) of Section 4.6.

     “Exchange Act” means the Securities Exchange Act of 1934, as amended.

     “Existing Letters of Credit” means each of the Letters of Credit issued by an Issuer
and outstanding on the Closing Date, as listed on Schedule III hereto.

     “Excluded Contracts” means the intellectual property rights, licenses, leases and
other agreements set forth in Item 1.2 of the Disclosure Schedule.

     “Excluded Equity Proceeds Amount” means with respect to the sale or issuance of
Capital Securities of the Borrower, an amount equal to the proceeds (net of all fees, commissions,
disbursements, costs and expenses incurred in connection therewith) thereof which are utilized for
Capital Expenditures or Permitted Acquisitions less the amount of such proceeds which have
been previously used for such purposes.

     “Federal Funds Rate” means, for any period, a fluctuating interest rate per annum
equal for each day during such period to (i) 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 for such day (or, if such day is not a Business Day, for the next preceding Business Day)
by the Federal Reserve Bank of New York, or (ii) if such rate is not so published for any day which
is a Business Day, the average of the quotations for such day on such transactions received by the
Administrative Agent from three federal funds brokers of recognized standing selected by it.

     “Fee Letter” means the confidential letter, dated July 24, 2006, among Merrill Lynch,
Morgan Stanley and the Borrower.

     “Filing Agent” is defined in Section 5.1.11.

     “Filing Statements” is defined in Section 5.1.11.

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     “Fiscal Quarter” means a quarter ending on the Saturday nearest to the last day of
March, June, September or December.

     “Fiscal Year” means any period of fifty-two or fifty-three consecutive calendar weeks
ending on the Saturday nearest to the last day of June; references to a Fiscal Year with a number
corresponding to any calendar year (e.g., the “2006 Fiscal Year”) refer to the Fiscal Year
ending on the Saturday nearest to the last day of June of such calendar year; provided that
in the event that the Company gives notice to the Administrative Agent that it intends to change
its Fiscal Year, Fiscal Year will mean any period of fifty-two or fifty-three consecutive calendar
weeks or twelve consecutive calendar months ending on the date set forth in such notice.

     “Foreign Pledge Agreement” means any supplemental pledge agreement governed by the
laws of a jurisdiction other than the United States or a State thereof executed and delivered by
the Borrower or any of its Subsidiaries pursuant to the terms of this Agreement, in form and
substance reasonably satisfactory to the Lead Arrangers, as necessary under the laws of
organization or incorporation of a Foreign Subsidiary to further protect or perfect the Lien on and
security interest in any Capital Securities issued by such Foreign Subsidiary constituting
Collateral (as defined in the Security Agreement).

     “Foreign Subsidiary” means any Subsidiary that is not a U.S. Subsidiary or a
Receivables Subsidiary.

     “Foreign Supply Chain Entity” means (i) a Person listed on Item 1.1 of the
Disclosure Schedule and (ii) any other Person (a) that is not organized or incorporated under the
laws of the United States, (b) the Capital Securities of which are owned by the Borrower or any of
its Subsidiaries and another Person who is not the Borrower or any Subsidiary (other than a third
party represented by any director’s qualifying shares or investments by foreign nationals mandated
by applicable laws), (c) that is created in connection with the Borrower’s offshore migration of
its supply chain and (d) any Investments in such Person are to be made pursuant to clause
(f) of Section 7.2.5 or clause (f) of Section 7.2.2; provided
that the Borrower may, upon notice to the Administrative Agent, redesignate any Person who was,
before such redesignation, a Foreign Supply Chain Entity as a Foreign Subsidiary and at such time
such Foreign Supply Chain Entity will be treated as a Foreign Subsidiary for all purposes
hereunder.

     “Foreign Working Capital Lender” means each Person that is (or at the time such
Indebtedness was incurred, was) a Lender or an Affiliate of a Lender to whom a Foreign Subsidiary
owes Indebtedness that was permitted to be incurred pursuant to clause (n) of Section
7.2.2.

     “F.R.S. Board” means the Board of Governors of the Federal Reserve System or any
successor thereto.

     “GAAP” is defined in Section 1.4.

     “Governmental Authority” means the government of the United States, any other nation
or any political subdivision thereof, whether state or local, and any agency, authority,
instrumentality, regulatory body, court, central bank or other entity exercising executive,

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legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to
government.

     “Guaranty” means the guaranty executed and delivered by an Authorized Officer of the
Borrower and each U.S. Subsidiary pursuant to the terms of this Agreement, substantially in the
form of Exhibit F hereto, as amended, supplemented, amended and restated or otherwise
modified from time to time.

     “Hazardous Material” means (i) any “hazardous substance”, as defined by CERCLA, (ii)
any “hazardous waste”, as defined by the Resource Conservation and Recovery Act, as amended, or
(iii) any pollutant or contaminant or hazardous, dangerous or toxic chemical, material or substance
(including any petroleum product) within the meaning of any other applicable federal, state or
local law, regulation, ordinance or requirement (including consent decrees and administrative
orders) relating to or imposing liability or standards of conduct concerning any hazardous, toxic
or dangerous waste, substance or material, all as amended.

     “HBI IP” is defined in the first recital.

     “Hedging Obligations” means, with respect to any Person, all liabilities of such
Person under foreign exchange contracts, commodity hedging agreements, currency exchange
agreements, interest rate swap agreements, interest rate cap agreements and interest rate collar
agreements, and all other agreements or arrangements designed to protect such Person against
fluctuations in interest rates, currency exchange rates or commodity prices.

     “herein”, “hereof”, “hereto”, “hereunder” and similar terms
contained in any Loan Document refer to such Loan Document as a whole and not to any particular
Section, paragraph or provision of such Loan Document.

     “HSBC” means HSBC Bank USA, National Association, in its individual capacity, and any
successor thereto by merger, consolidation or otherwise.

     “Impermissible Qualification” means any qualification or exception to the opinion or
certification of any independent public accountant as to any financial statement of the Borrower
(i) which is of a “going concern” or similar nature, (ii) which relates to the limited scope in any
material respect of examination of matters relevant to such financial statement, or (iii) which
relates to the treatment or classification of any item in such financial statement (excluding
treatment or classification changes which are the result of changes in GAAP or the interpretation
of GAAP) and which, as a condition to its removal, would require an adjustment to such item the
effect of which would be to cause the Borrower to be in Default.

     “including” and “include” means including without limiting the generality of
any description preceding such term, and, for purposes of each Loan Document, the parties hereto
agree that the rule of ejusdem generis shall not be applicable to limit a general statement, which
is followed by or referable to an enumeration of specific matters, to matters similar to the
matters specifically mentioned.

     “Indebtedness” of any Person means, (i) all obligations of such Person for borrowed
money or advances and all obligations of such Person evidenced by bonds, debentures, notes or

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similar instruments, (ii) all monetary obligations, contingent or otherwise, relative to the face
amount of all letters of credit, whether or not drawn, and banker’s acceptances issued for the
account of such Person, (iii) all Capitalized Lease Liabilities of such Person, (iv) for purposes
of Section 8.1.5 only, net Hedging Obligations of such Person, (v) whether or not so
included as liabilities in accordance with GAAP, all obligations of such Person to pay the deferred
purchase price of property or services (excluding trade accounts payable and accrued expenses in
the ordinary course of business which are not overdue for a period of more than 90 days or, if
overdue for more than 90 days, as to which a dispute exists and adequate reserves in conformity
with GAAP have been established on the books of such Person), (vi) indebtedness secured by (or for
which the holder of such indebtedness has an existing right, contingent or otherwise, to be secured
by) a Lien on property owned or being acquired 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 (provided that in the event such
indebtedness is limited in recourse solely to the property subject to such Lien, for the purposes
of this Agreement the amount of such indebtedness shall not exceed the greater of the book value or
the fair market value (as determined in good faith by the Borrower’s board of directors) of the
property subject to such Lien), (vii) monetary obligations arising under Synthetic Leases, (viii)
the full outstanding balance of trade receivables, notes or other instruments sold with full
recourse (and the portion thereof subject to potential recourse, if sold with limited recourse),
other than in any such case any thereof sold solely for purposes of collection of delinquent
accounts and other than in connection with any Permitted Securitization, (ix) all obligations
(other than intercompany obligations) of such Person pursuant to any Permitted Securitization
(other than Standard Securitization Undertakings), and (x) all Contingent Liabilities of such
Person in respect of any of the foregoing. The Indebtedness of any Person shall include the
Indebtedness of any other Person (including any partnership in which such Person is a general
partner) to the extent such Person is liable therefore as a result of such Person’s ownership
interest in or other relationship with such Person, except to the extent the terms of such
Indebtedness provide that such Person is not liable therefore.

     “Indemnified Liabilities” is defined in Section 10.4.

     “Indemnified Parties” is defined in Section 10.4.

     “Ineligible Assignee” means a natural Person, the Borrower, any Affiliate of the
Borrower or any other Person taking direction from, or working in concert with, the Borrower or any
of the Borrower’s Affiliates.

     “Information” is defined in Section 10.18.

     “Interco Subordination Agreement” means a Subordination Agreement, in form and
substance satisfactory to the Lead Arrangers, executed and delivered by two or more Obligors
pursuant to the terms of this Agreement, as amended, supplemented, amended and restated or
otherwise modified from time to time.

     “Intercreditor Agreement” means the Intercreditor Agreement, dated as of the Closing
Date, executed and delivered by each Person party thereto, substantially in the form of Exhibit
H

First Lien Credit Agreement

17

 

hereto, as amended, supplemented, amended and restated or otherwise modified from time to
time.

     “Interest Coverage Ratio” means, as of the last day of any Fiscal Quarter, the ratio
computed for the period consisting of such Fiscal Quarter and each of the three immediately
preceding Fiscal Quarters of:

     (a) EBITDA (for all such Fiscal Quarters)

     to

     (b) the sum (for all such Fiscal Quarters) of Interest Expense;

provided that, for purposes of calculating (i) Interest Expense with respect to the
calculation of the Interest Coverage Ratio with respect to the four consecutive Fiscal Quarter
period ending (A) nearest to December 31, 2006, Interest Expense shall be actual Interest Expense
for the Fiscal Quarter ending nearest to December 31, 2006 multiplied by four, (B) nearest to March
31, 2007, Interest Expense shall be actual Interest Expense for the two Fiscal Quarter period
ending nearest to March 31, 2007 multiplied by two, and (C) nearest to June 30, 2007, Interest
Expense shall be actual Interest Expense for the three Fiscal Quarter period ending nearest to June
30, 2007 multiplied by one and one-third and (ii) EBITDA with respect to the calculation of the
Interest Coverage such calculation shall be made in accordance with the proviso to the definition
of “Leverage Ratio.”

     “Interest Expense” means, for any applicable period, the aggregate interest expense
(both, without duplication, when accrued or paid and net of interest income paid during such period
to the Borrower and its Subsidiaries) of the Borrower and its Subsidiaries for such applicable
period, including the portion of any payments made in respect of Capitalized Lease Liabilities
allocable to interest expense.

     “Interest Period” means, relative to any LIBO Rate Loan, the period beginning on (and
including) the date on which such LIBO Rate Loan is made or continued as, or converted into, a LIBO
Rate Loan pursuant to Sections 2.3 or 2.4 and shall end on (but exclude) the day
which numerically corresponds to such date one, two, three or six months and, if available to all
Lenders, one or two weeks or 9 or 12 months thereafter (or, if any such month has no numerically
corresponding day, on the last Business Day of such month), as the Borrower may select in its
relevant notice pursuant to Sections 2.3 or 2.4; provided that,

     (a) the Borrower shall not be permitted to select Interest Periods to be in effect at any
one time which have expiration dates occurring on more than twelve different dates; and

     (b) if such Interest Period would otherwise end on a day which is not a Business Day,
such Interest Period shall end on the next following Business Day (unless such next following
Business Day is the first Business Day of a calendar month, in which case such Interest Period
shall end on the Business Day next preceding such numerically corresponding day).

First Lien Credit Agreement

18

 

     “Investment” means, relative to any Person, (i) any loan, advance or extension of
credit made by such Person to any other Person, including the purchase by such Person of any bonds,
notes, debentures or other debt securities of any other Person, and (ii) any Capital Securities
held by such Person in any other Person. The amount of any Investment shall be the original
principal or capital amount thereof less all returns of principal or equity thereon and shall, if
made by the transfer or exchange of property other than cash, be deemed to have been made in an
original principal or capital amount equal to the fair market value of such property at the time of
such Investment.

     “IP Purchase” is defined in the first recital.

     “IP Subsidiary” is defined in the first recital.

     “ISP Rules” is defined in Section 10.9.

     “Issuance Request” means a Letter of Credit request and certificate duly executed by
an Authorized Officer of the Borrower, substantially in the form of Exhibit B-2 hereto, or
in such electronic format as an Issuer and the Administrative Agent in their discretion accept.
Each Issuance Request delivered in an electronic format shall constitute for all purposes of this
Agreement a certification by an Authorized Officer as to the matters set forth in Exhibit
B-2.

     “Issuer” means HSBC or another Lender selected by the Borrower and reasonably
acceptable to the Administrative Agent, in each case, in its capacity as an Issuer of the Letters
of Credit. At the request of HSBC and with the Borrower’s consent (not to be unreasonably withheld
or delayed), another Lender or an Affiliate of HSBC may issue one or more Letters of Credit
hereunder, in which case the term “Issuer” shall include any such Affiliate or other Lender with
respect to Letters of Credit issued by such Affiliate or such Lender.

     “Judgment Currency” is defined in Section 10.16.

     “Lead Arrangers” is defined in the preamble.

     “Lender Assignment Agreement” means an assignment agreement substantially in the form
of Exhibit D hereto.

     “Lenders” is defined in the preamble.

     “Lender’s Environmental Liability” means any and all losses, liabilities, obligations,
penalties, claims, litigation, demands, defenses, costs, judgments, suits, proceedings, damages
(including consequential damages), disbursements or expenses of any kind or nature whatsoever
(including reasonable attorneys’ fees at trial and appellate levels and experts’ fees and
disbursements and expenses incurred in investigating, defending against or prosecuting any
litigation, claim or proceeding) which may at any time be imposed upon, incurred by or asserted or
awarded against the Administrative Agent, any Lender or any Issuer or any of such Person’s
Affiliates, shareholders, directors, officers, employees, and agents in connection with or arising
from:

First Lien Credit Agreement

19

 

     (a) any Hazardous Material on, in, under or affecting all or any portion of any property
of the Borrower or any of its Subsidiaries, the groundwater thereunder, or any surrounding
areas thereof to the extent caused by Releases from the Borrower’s or any of its Subsidiaries’
or any of their respective predecessors’ properties;

     (b) any misrepresentation, inaccuracy or breach of any warranty, contained or referred to
in Section 6.12;

     (c) any violation or claim of violation by the Borrower or any of its Subsidiaries of any
Environmental Laws; or

     (d) the imposition of any lien for damages caused by or the recovery of any costs for the
cleanup, release or threatened release of Hazardous Material by the Borrower or any of its
Subsidiaries, or in connection with any property owned or formerly owned by the Borrower or
any of its Subsidiaries.

     “Letter of Credit” means a letter of credit that is a Standby Letter of Credit or
Commercial Letter of Credit. For greater certainty Letters of Credit shall include all Existing
Letters of Credit.

     “Letter of Credit Commitment” means an Issuer’s obligation to issue Letters of Credit
pursuant to Section 2.1.2.

     “Letter of Credit Commitment Amount” means, on any date, a maximum amount equal to the
Dollar Equivalent of $150,000,000, as such amount may be permanently reduced from time to time
pursuant to Section 2.2.

     “Letter of Credit Outstandings” means, on any date, an amount equal to the sum of (i)
the then aggregate amount which is undrawn and available under all issued and outstanding Letters
of Credit, and (ii) the then aggregate amount of all unpaid and outstanding Reimbursement
Obligations.

     “Leverage Ratio” means, as of the last day of any Fiscal Quarter, the ratio of

     (a) Total Debt outstanding on the last day of such Fiscal Quarter

     to

     (b) EBITDA computed for the period consisting of such Fiscal Quarter and each of the
three immediately preceding Fiscal Quarters;

provided that, for purposes of calculating the Leverage Ratio with respect to the four
consecutive Fiscal Quarter period ending (i) nearest to December 31, 2006, EBITDA shall be actual
EBITDA for the Fiscal Quarter ending nearest to December 31, 2006 multiplied by four; (ii) nearest
to March 31, 2007, EBITDA shall be actual EBITDA for the two Fiscal Quarter period ending nearest
to March 31, 2007 multiplied by two; and (iii) nearest to June 30, 2007, EBITDA shall be actual
EBITDA for the three Fiscal Quarter period ending nearest to June 30, 2007 multiplied by one and
one-third.

First Lien Credit Agreement

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     “LIBO Alternate Rate” means, with respect to any Euro Loan, relative to an interest
period of one month, that rate of interest determined by the Administrative Agent by reference to
the cost to the Administrative Agent of obtaining deposits of Euros from such sources as it may
reasonably select. The Administrative Agent shall determine the LIBO Alternate Rate for each
such interest period (which determination shall be conclusive in the absence of manifest
error), and will promptly give notice to the Borrower and the Lenders thereof.

     “LIBO Rate” means, relative to any Interest Period:

     (a) for LIBO Rate Loans denominated in Dollars, the rate of interest equal to the average
(rounded upwards, if necessary, to the nearest 1/16 of 1%) of the rates per annum at which
Dollar deposits in immediately available funds are offered to the Administrative Agent’s LIBOR
Office in the London interbank market as at or about 11:00 a.m. London, England time two
Business Days prior to the beginning of such Interest Period for delivery on the first day of
such Interest Period, and in an amount approximately equal to the amount of the Administrative
Agent’s LIBO Rate Loan and for a period approximately equal to such Interest Period; and

     (b) for LIBO Rate Loans denominated in Euros, the rate of interest equal to the average
(rounded upward, if necessary, to the next 1/16 of 1%) of the rates per annum determined by
the Administrative Agent as the rate at which Euro deposits in immediately available funds are
offered to the Administrative Agent’s LIBOR Office (or such other office as may be designated
by the Administrative Agent) to major banks in the offshore interbank market at approximately
11:00 a.m., two Business Days prior to (or on such other date as is customary in the relevant
offshore interbank market) the beginning of such Interest Period for delivery on the first day
of such Interest Period, and in an amount approximately equal to the amount of the
Administrative Agent’s LIBO Rate Loan and for a period approximately equal to such Interest
Period.

     “LIBO Rate Loan” means a Loan bearing interest, at all times during an Interest Period
applicable to such Loan, at a rate of interest determined by reference to the LIBO Rate (Reserve
Adjusted) or, if not available, the LIBO Alternate Rate.

     “LIBO Rate (Reserve Adjusted)” means, relative to any Loan to be made, continued or
maintained as, or converted into, a LIBO Rate Loan for any Interest Period, a rate per annum
(rounded upwards, if necessary, to the nearest 1/16 of 1%) determined pursuant to the following
formula:

	 	 	 	 	 	 
	LIBO Rate
	 	=
	 	LIBO Rate	 
	 
	 	 	 	 	 
	(Reserve Adjusted)
	 	 	 	1.00 — LIBOR Reserve Percentage	 

The LIBO Rate (Reserve Adjusted) for any Interest Period for LIBO Rate Loans will be determined by
the Administrative Agent on the basis of the LIBOR Reserve Percentage in effect, and the applicable
rates furnished to and received by the Administrative Agent, two Business Days before the first day
of such Interest Period.

First Lien Credit Agreement

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     “LIBOR Office” means the office of a Lender designated as its “LIBOR Office” on
Schedule II hereto or in a Lender Assignment Agreement, or such other office designated
from time to time by notice from such Lender to the Borrower and the Administrative Agent, whether
or not outside the United States, which shall be making or maintaining the LIBO Rate Loans of
such Lender.

     “LIBOR Reserve Percentage” means, relative to any Interest Period for LIBO Rate Loans,
the reserve percentage (expressed as a decimal) equal to the maximum aggregate reserve requirements
(including all basic, emergency, supplemental, marginal and other reserves and taking into account
any transitional adjustments or other scheduled changes in reserve requirements) specified under
regulations issued from time to time by the F.R.S. Board and then applicable to assets or
liabilities consisting of or including “Eurocurrency Liabilities”, as currently defined in
Regulation D of the F.R.S. Board, having a term approximately equal or comparable to such Interest
Period.

     “Lien” means any security interest, mortgage, pledge, hypothecation, assignment,
deposit arrangement, encumbrance, lien (statutory or otherwise), charge against or interest in
property, or other priority or preferential arrangement of any kind or nature whatsoever.

     “Loan Documents” means, collectively, this Agreement, the Notes, the Letters of
Credit, each Rate Protection Agreement, the Fee Letter, the Intercreditor Agreement, the Security
Agreement, each Mortgage, each Foreign Pledge Agreement, each other agreement pursuant to which the
Collateral Agent is granted by the Borrower or its Subsidiaries a Lien to secure the Obligations,
the Guaranty and each other agreement, certificate, document or instrument delivered in connection
with any Loan Document, whether or not specifically mentioned herein or therein.

     “Loans” means, as the context may require, a Revolving Loan, a Euro Loan, a Term Loan
or a Swing Line Loan of any type.

     “Material Adverse Effect” means a material adverse effect on (i) the business,
financial condition, operations, performance, or assets of the Borrower or the Borrower and its
Subsidiaries (other than a Receivables Subsidiary) taken as a whole, (ii) the rights and remedies
of any Secured Party under any Loan Document or (iii) the ability of any Obligor to perform when
due its Obligations under any Loan Document.

     “Merrill Lynch” means Merrill Lynch Capital Corporation, in its individual capacity,
and includes any successor Person thereto by merger, consolidation or otherwise.

     “Moody’s” means Moody’s Investors Service, Inc. and its successors.

     “Morgan Stanley” means Morgan Stanley Senior Funding, Inc., in its individual
capacity, and includes any successor Person thereto by merger, consolidation or otherwise.

     “Mortgage” means each mortgage, deed of trust or agreement executed and delivered by
any Obligor in favor of the Administrative Agent for the benefit of the Secured Parties pursuant to
the requirements of this Agreement in form and substance reasonably satisfactory to the Lead
Arrangers, under which a Lien is granted on such real property and fixtures described therein, in

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each case as amended, supplemented, amended and restated or otherwise modified from time to time.

     “Mortgaged Property” means each parcel of real property owned by an Obligor in the
United States on the Closing Date with a fair market value (as determined by the Borrower in good
faith) in excess of $2,000,000 on the Closing Date.

     “Net Casualty Proceeds” means, with respect to any Casualty Event, the amount of any
insurance proceeds or condemnation awards received by the Borrower or any of its U.S. Subsidiaries
in connection with such Casualty Event (net of all collection or similar expenses related thereto),
but excluding any proceeds or awards required to be paid to a creditor (other than the Lenders)
which holds a first priority Lien permitted by clause (d) of Section 7.2.3 on the
property which is the subject of such Casualty Event.

     “Net Debt Proceeds” means, with respect to the sale or issuance by the Borrower or any
of its U.S. Subsidiaries (other than a Receivables Subsidiary) of any Indebtedness to any other
Person after the Closing Date pursuant to clause (b)(ii) of Section 7.2.2 or which
is not expressly permitted by Section 7.2.2, the excess of (i) the gross cash proceeds
actually received by such Person from such sale or issuance, over (ii) all arranging or
underwriting discounts, fees, costs, expenses and commissions, and all legal, investment banking,
brokerage and accounting and other professional fees, sales commissions and disbursements and other
closing costs and expenses actually incurred in connection with such sale or issuance other than
any such fees, discounts, commissions or disbursements paid to Affiliates of the Borrower or any
such Subsidiary in connection therewith.

     “Net Disposition Proceeds” means the gross cash proceeds received by the Borrower or
its U.S. Subsidiaries from any Disposition pursuant to clauses (j) (l), (m)
or (n) of Section 7.2.11 or Section 7.2.15 and any cash payment received in
respect of promissory notes or other non-cash consideration delivered to the Borrower or its U.S.
Subsidiaries in respect thereof, minus the sum of (i) all legal, investment banking,
brokerage, accounting and other professional fees, costs, sales commissions and expenses and other
closing costs, fees and expenses incurred in connection with such Disposition, (ii) all taxes
actually paid or estimated by the Borrower to be payable in cash in connection with such
Disposition, (iii) payments made by the Borrower or its U.S. Subsidiaries to retire Indebtedness
(other than the Credit Extensions) where payment of such Indebtedness is required in connection
with such Disposition and (iv) any liability reserves established by the Borrower or such
Subsidiary in respect of such Disposition in accordance with GAAP; provided that, if the
amount of any estimated taxes pursuant to clause (ii) exceeds the amount of taxes actually
required to be paid in cash in respect of such Disposition, the aggregate amount of such excess
shall constitute Net Disposition Proceeds and to the extent any such reserves described in
clause (iv) are not fully used at the end of any applicable period for which such reserves
were established, such unused portion of such reserves shall constitute Net Disposition Proceeds.

     “Net Equity Proceeds” means with respect to the sale or issuance after the Closing
Date by the Borrower to any Person of its Capital Securities, warrants or options or the exercise
of any such warrants or options (other than such Capital Securities, warrants and options, in each
case with respect to common or ordinary equity interests, issued (i) by the Borrower pursuant to
the

First Lien Credit Agreement

23

 

Borrower’s equity incentive plans, (ii) to qualified employees, officers and directors as
compensation or to qualify employees, officers and directors as required by applicable law, (iii)
that constitute an Excluded Equity Proceeds Amount or (iv) by the Borrower to a wholly owned
Subsidiary of the Borrower), the excess of (A) the gross cash proceeds received by
such Person from such sale, exercise or issuance, over (B) the sum of (i) all arranging,
underwriting commissions and legal, investment banking, brokerage and accounting and other
professional fees, sales commissions and disbursements and other closing costs and expenses
actually incurred in connection with such sale or issuance which have not been paid to Affiliates
of the Borrower in connection therewith and (ii) all taxes actually paid or estimated by the
Borrower to be payable in cash in connection with such sale or issuance; provided that, if
the amount of any estimated taxes pursuant to clause (B)(ii) exceeds the amount of taxes
actually required to be paid in cash in respect of such sale or issuance, the aggregate amount of
such excess shall constitute Net Equity Proceeds.

     “Net Income” means, for any period, the aggregate of all amounts which would be
included as net income on the consolidated financial statements of the Borrower and its
Subsidiaries for such period; provided that, for purposes of this Agreement, the
calculation of Net Income shall not include any net income of any Foreign Supply Chain Entity,
except to the extent cash is distributed by such Foreign Supply Chain Entity during such period to
the Borrower or any other Subsidiary as a dividend or other distribution.

     “Net Receivables Proceeds” means (i) the gross amount invested (in the form of a loan,
purchased interest, or otherwise) by a Person other than the Borrower or a Subsidiary in a
Receivables Subsidiary or the Receivables or an interest in the Receivables held by a Receivables
Subsidiary in connection with a Permitted Securitization minus (ii) the sum of (a) all
reasonable and customary legal, investment banking, brokerage and accounting and other professional
fees, costs and expenses incurred in connection with such Permitted Securitization, (b) all taxes
actually paid or estimated by the Borrower to be payable in connection with such Permitted
Securitization, and (c) payments made by the Borrower or its U.S. Subsidiaries to retire
Indebtedness (other than the Credit Extensions) where payment of such Indebtedness is required in
connection with such Permitted Securitization; provided that, if the amount of any
estimated taxes pursuant to clause (ii)(b) exceeds the amount of taxes actually required to
be paid in cash in respect of such Permitted Securitization, the aggregate amount of such excess
shall constitute Net Receivables Proceeds; it being understood that the calculation of Net
Receivables Proceeds with respect to any additional or subsequent investment in connection with a
Permitted Securitization shall include only the increase in such investment over the previous
highest investment used in a prior calculation and expenses, taxes and repayments not included in a
prior calculation.

     “Non-Cash Restructuring Charges” is defined in the definition of “EBITDA”.

     “Non-Consenting Lender” is defined in Section 4.11.

     “Non Defaulting Lender” means a Lender other than a Defaulting Lender.

     “Non-Excluded Taxes” means any Taxes other than (i) net income and franchise Taxes
imposed on (or measured by) net income or net profits with respect to any Secured Party by any

First Lien Credit Agreement

24

 

Governmental Authority under the laws of which such Secured Party is organized or in which it
maintains its applicable lending office and (ii) any branch profit taxes or any similar taxes
imposed by the United States of America or any other Governmental Authority described in
clause (ii).

     “Non-U.S. Lender” means any Lender that is not a “United States person”, as defined
under Section 7701(a)(30) of the Code.

     “Note” means, as the context may require, a Revolving Note, a Term A Note, a Term B
Note or a Swing Line Note.

     “Obligations” means all obligations (monetary or otherwise, whether absolute or
contingent, matured or unmatured) of the Borrower and each other Obligor arising under or in
connection with a Loan Document, including Reimbursement Obligations and the principal of and
premium, if any, and interest (including interest accruing during the pendency of any proceeding of
the type described in Section 8.1.9, whether or not allowed in such proceeding) on the
Loans.

     “Obligor” means, as the context may require, the Borrower, each Subsidiary Guarantor
and each other Person (other than a Secured Party) obligated (other than Persons solely consenting
to or acknowledging such document) under any Loan Document.

     “OFAC” is defined in Section 6.15.

     “Organic Document” means, relative to any Obligor, as applicable, its articles or
certificate of incorporation, by-laws, certificate of partnership, partnership agreement,
certificate of formation, limited liability agreement, operating agreement and all shareholder
agreements, voting trusts and similar arrangements applicable to any of such Obligor’s Capital
Securities.

     “Original Currency” is defined in Section 10.16.

     “Other Taxes” means any and all stamp, documentary or similar Taxes, or any other
excise or property Taxes or similar levies that arise on account of any payment made or required to
be made under any Loan Document or from the execution, delivery, registration, recording or
enforcement of any Loan Document.

     “Participant” is defined in clause (e) of Section 10.11.

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

     “Patent Security Agreement” means any Patent Security Agreement executed and delivered
by any Obligor in substantially the form of Exhibit A to the Security Agreement, as amended,
supplemented, amended and restated or otherwise modified from time to time.

     “Patriot Act” means the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law
October 26, 2001)), as amended and supplemented from time to time.

First Lien Credit Agreement

25

 

     “Patriot Act Disclosures” means all documentation and other information available to
the Borrower or its Subsidiaries which a Lender, if subject to the Patriot Act, is required to
provide pursuant to the applicable section of the Patriot Act and which required documentation and
information the Administrative Agent or any Lender reasonably requests in order to comply with
their ongoing obligations under applicable “know your customer” and anti-money laundering rules and
regulations, including the Patriot Act.

     “PBGC” means the Pension Benefit Guaranty Corporation and any Person succeeding to any
or all of its functions under ERISA.

     “Pension Plan” means a “pension plan”, as such term is defined in Section 3(2) of
ERISA, which is subject to Title IV of ERISA (other than a multiemployer plan as defined in Section
4001(a)(3) of ERISA), and to which the Borrower or any corporation, trade or business that is,
along with the Borrower, a member of a Controlled Group, may have liability, including any
liability by reason of having been a substantial employer within the meaning of Section 4063 of
ERISA at any time during the preceding five years, or by reason of being deemed to be a
contributing sponsor under Section 4069 of ERISA.

     “Percentage” means, as the context may require, any Lender’s Revolving Loan
Percentage, Term A Percentage or Term B Percentage.

     “Permitted Acquisition” means an acquisition (whether pursuant to an acquisition of a
majority of the Capital Securities of a target or all or substantially all of a target’s assets) by
the Borrower or any Subsidiary from any Person of a business in which the following conditions are
satisfied:

     (a) the Borrower shall have delivered a certificate certifying that before and after
giving effect to such acquisition, the representations and warranties set forth in each Loan
Document shall, in each case, be true and correct in all material respects with the same
effect as if then made (unless stated to relate solely to an earlier date, in which case such
representations and warranties shall be true and correct in all material respects as of such
earlier date) and no Default has occurred and is continuing or would result therefrom; and

     (b) the Borrower shall have delivered to the Administrative Agent a Compliance
Certificate for the period of four full Fiscal Quarters immediately preceding such acquisition
(prepared in good faith and in a manner and using such methodology which is consistent with
the most recent financial statements delivered pursuant to Section 7.1.1) giving
pro forma effect to the consummation of such acquisition and evidencing
compliance with the covenants set forth in Section 7.2.4.

     “Permitted Additional Restricted Payment” means, for any Fiscal Year set forth below,
Restricted Payments made by the Borrower in the amount set forth opposite such Fiscal Year:

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	Fiscal Year	 	Cash Amount
	2006
	 	$	20,000,000	 
	2007
	 	$	25,000,000	 
	2008
	 	$	30,000,000	 
	2009
	 	$	35,000,000	 
	2010 and thereafter
	 	$	40,000,000	 

; provided, to the extent that the amount of Permitted Additional Restricted Payments made
by the Borrower during any Fiscal Year is less than the aggregate amount permitted (including after
giving effect to this proviso) for such Fiscal Year, then such unutilized amount may be carried
forward and utilized by the Borrower to make Permitted Additional Restricted Payments in any
succeeding Fiscal Year and provided further that, to the extent (i) additional
Capital Securities are issued by the Borrower which result in the payment of Net Equity Proceeds
pursuant to Sections 3.1.1 and 3.1.2, the amounts set forth above shall be
increased by a percentage of such amounts equal to the percentage increase of additional
outstanding Capital Securities of the Borrower resulting from any such issuance by the Borrower and
(ii) for Fiscal Year 2009 and each Fiscal Year thereafter, the amounts set forth above in such
Fiscal Years shall be increased (after giving effect to any increases permitted pursuant to
preceding clause (i)) by an additional $100,000,000 so long as both before and after giving
effect to such Restricted Payment, the Leverage Ratio is less than 3.00:1.00.

     “Permitted Cash Restructuring Charge Amount” means, $120,000,000 in the aggregate for
Fiscal Year 2006 and all Fiscal Years ending after the Closing Date.

     “Permitted Cash Spin-Off Charge Amount” means, for any Fiscal Year set forth below,
the amount set forth opposite such Fiscal Year:

	 	 	 	 	 
	Fiscal Year	 	Cash Amount
	2006
	 	$	20,000,000	 
	2007
	 	$	55,000,000	 

     “Permitted Liens” is defined in Section 7.2.3.

     “Permitted Securitization” means any Disposition by the Borrower or any of its
Subsidiaries consisting of Receivables and related collateral, credit support and similar rights
and any other assets that are customarily transferred in a securitization of receivables, pursuant
to one or more securitization programs, to a Receivables Subsidiary or a Person who is not an
Affiliate of the Borrower; provided that (i) the consideration to be received by the
Borrower and its Subsidiaries other than a Receivables Subsidiary for any such Disposition consists
of cash, a promissory note or a customary contingent right to receive cash in the nature of a
“hold-back” or similar contingent right, (ii) no Default shall have occurred and be continuing or
would result therefrom, (iii) the aggregate outstanding balance of the Indebtedness in respect of
all such programs at any point in time is not in excess of $250,000,000, and (iv) the Net
Receivables Proceeds from such Disposition are applied to the extent required pursuant to
Sections 3.1.1 and 3.1.2.

     “Person” means any natural person, corporation, limited liability company,
partnership, joint venture, association, trust or unincorporated organization, Governmental
Authority or any other legal entity, whether acting in an individual, fiduciary or other capacity.

First Lien Credit Agreement

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     “Platform” is defined in clause (b) of Section 9.11.

     “Purchase Money Note” means a promissory note evidencing a line of credit, or
evidencing other Indebtedness owed to the Borrower or any Subsidiary in connection with a
Permitted Securitization, which note shall be repaid from cash available to the maker of such
note, other than amounts required to be established as reserves, amounts paid to investors in
respect of interest, principal and other amounts owing to such investors and amounts paid in
connection with the purchase of newly generated accounts receivable.

     “Quarterly Payment Date” means the last day of March, June, September and December,
or, if any such day is not a Business Day, the next succeeding Business Day.

     “Rate Protection Agreement” means, collectively, any agreement with respect to Hedging
Obligations entered into by the Borrower or any of its Subsidiaries under which the counterparty of
such agreement is (or at the time such agreement was entered into, was) a Lender or an Affiliate of
a Lender.

     “Receivable” shall mean a right to receive payment arising from a sale or lease of
goods or the performance of services by a Person pursuant to an arrangement with another Person
pursuant to which such other Person is obligated to pay for good or services under terms that
permit the purchase of such goods and services on credit and shall include, in any event, any items
of property that would be classified as an “account,” “chattel paper,” “payment intangible” or
“instrument” under the UCC and any supporting obligations.

     “Receivables Subsidiary” shall mean any wholly owned Subsidiary of the Borrower (or
another Person in which the Borrower or any Subsidiary makes an Investment and to which the
Borrower or one or more of its Subsidiaries transfer Receivables and related assets) which engages
in no activities other than in connection with the financing of Receivables and which is designated
by the Board of Directors of the applicable Subsidiary (as provided below) as a Receivables
Subsidiary and which meets the following conditions:

     (a) no portion of the Indebtedness or any other obligations (contingent or otherwise) of
such Subsidiary:

     (i) is guaranteed by the Borrower or any Subsidiary (that is not a Receivables
Subsidiary);

     (ii) is recourse to or obligates the Borrower or any Subsidiary (that is not a
Receivables Subsidiary); or

     (iii) subjects any property or assets of the Borrower or any Subsidiary (that is
not a Receivables Subsidiary), directly or indirectly, contingently or otherwise, to the
satisfaction thereof;

     (b) with which neither the Borrower nor any Subsidiary (that is not a Receivables
Subsidiary) has any material contract, agreement, arrangement or understanding (other than
Standard Securitization Undertakings); and

First Lien Credit Agreement

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     (c) to which neither the Borrower nor any Subsidiary (that is not a Receivables
Subsidiary) has any obligation to maintain or preserve such entity’s financial condition or
cause such entity to achieve certain levels of operating results.

     Any such designation by the Board of Directors of the applicable Subsidiary shall be evidenced
by a certified copy of the resolution of the Board of Directors of such Subsidiary giving effect to
such designation and an officers certificate certifying, to the best of such officer’s knowledge
and belief, that such designation complies with the foregoing conditions

     “Refunded Swing Line Loans” is defined in clause (b) of Section 2.3.2.

     “Register” is defined in clause (a) of Section 2.7.

     “Reimbursement Obligation” is defined in Section 2.6.3.

     “Release” means a “release”, as such term is defined in CERCLA.

     “Replacement Lender” is defined in Section 4.11.

     “Replacement Notice” is defined in Section 4.11.

     “Required Lenders” means, at any time, Non-Defaulting Lenders holding more than 50% of
the Total Exposure Amount of all Non-Defaulting Lenders.

     “Resource Conservation and Recovery Act” means the Resource Conservation and Recovery
Act, 42 U.S.C. Section 6901, et seq., as amended.

     “Restricted Payment” means (i) the declaration or payment of any dividend (other than
dividends payable solely in Capital Securities of the Borrower or any Subsidiary) (other than a
Receivables Subsidiary) on, or the making of any payment or distribution on account of, or setting
apart assets for a sinking or other analogous fund for the purchase, redemption, defeasance,
retirement or other acquisition of, any class of Capital Securities of the Borrower or any
Subsidiary (other than a Receivables Subsidiary) or any warrants, options or other right or
obligation to purchase or acquire any such Capital Securities, whether now or hereafter
outstanding, or (ii) the making of any other distribution in respect of such Capital Securities, in
each case either directly or indirectly, whether in cash, property or obligations of the Borrower
or any Subsidiary or otherwise.

     “Revaluation Date” means, with respect to any Credit Extension denominated in Euros,
each of the following: (i) in connection with the origination of any new Credit Extension, the
Business Day which is the earliest of the date such credit is extended or the date the applicable
rate is set; (ii) in connection with any extension or conversion or continuation of an existing
Loan, the Business Day that is the earlier of the date such Loan is extended, converted or
continued, or the date the applicable rate is set; (iii) each date a Letter of Credit is issued or
renewed pursuant to Section 2.1.2 or amended in such a way as to modify the Letter of
Credit Outstandings or (iv) the date of any reduction of any of the Revolving Commitment Amount,
the Euro Loan Commitment Amount or the Letter of Credit Commitment Amount pursuant to the

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terms of
Section 2.2. For purposes of determining availability hereunder, the rate of exchange for
Euros shall be the Spot Rate.

     “Revolving Exposure” means, relative to any Revolving Loan Lender, at any time, (i)
the Dollar Equivalent of the aggregate outstanding principal amount of all Revolving Loans of such
Lender at such time, plus (ii) such Lender’s Revolving Loan Percentage of the Dollar
Equivalent of the Letter of Credit Outstandings, plus (iii) such Lender’s Revolving Loan Percentage
of the aggregate principal amount outstanding of all Swing Line Loans at such time.

     “Revolving Loan Commitment” means, relative to any Lender, such Lender’s obligation
(if any) to make Revolving Loans pursuant to clause (a) of Section 2.1.1.

     “Revolving Loan Commitment Amount” means, on any date, $500,000,000, as such amount
may be reduced from time to time pursuant to Section 2.2.

     “Revolving Loan Commitment Termination Date” means the earliest of

     (a) October 15, 2006 (if the initial Credit Extension has not occurred on or prior to
such date);

     (b) the fifth anniversary of the Closing Date;

     (c) the date on which the Revolving Loan Commitment Amount is terminated in full or
reduced to zero pursuant to the terms of this Agreement; and

     (d) the date on which any Commitment Termination Event occurs.

Upon the occurrence of any event described in the preceding clauses (c) or (d), the
Revolving Loan Commitments shall terminate automatically and without any further action.

     “Revolving Loan Lender” is defined in clause (a) of Section 2.1.1.

     “Revolving Loans” is defined in clause (a) of Section 2.1.1.

     “Revolving Note” means a promissory note of the Borrower payable to any Revolving Loan
Lender, in the form of Exhibit A-1 hereto (as such promissory note may be amended, endorsed
or otherwise modified from time to time), evidencing the aggregate Indebtedness of the Borrower to
such Revolving Loan Lender resulting from outstanding Revolving Loans, and also means all other
promissory notes accepted from time to time in substitution therefor or renewal thereof.

     “Revolving Loan Percentage” means, relative to any Lender, the applicable percentage
relating to Revolving Loans set forth opposite its name on Schedule II hereto under the
Revolving Loan Commitment column or set forth in a Lender Assignment Agreement under the Revolving
Loan Commitment column, as such percentage may be adjusted from time to time pursuant to Lender
Assignment Agreements executed by such Lender and its assignee Lender and delivered pursuant to
Section 10.11. A Lender shall not have any Revolving Loan Commitment if its percentage
under the Revolving Loan Commitment column is zero.

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     “S&P” means Standard & Poor’s Rating Services, a division of The McGraw-Hill
Companies, Inc. and its successors.

     “Sara Lee” is defined in the first recital.

     “SEC” means the Securities and Exchange Commission.

     “Second Lien Administrative Agent” means the “Administrative Agent” pursuant to, and
as defined in, the Second Lien Loan Documents, and any successor thereto.

     “Second Lien Collateral Agent” means the “Collateral Agent” pursuant to, and as
defined in, the Second Lien Loan Documents, and any successor thereto.

     “Second Lien Credit Agreement” means the Second Lien Credit Agreement, dated as of the
Closing Date, among the IP Subsidiary, the lenders from time to time party thereto and the Second
Lien Administrative Agent, as the same may be amended, supplemented, amended and restated or
otherwise modified from time to time in accordance with this Agreement.

     “Second Lien Loan Documents” means the Second Lien Credit Agreement and the related
guarantees, pledge agreements, security agreements, mortgages, notes and other agreements and
instruments entered into in connection with the Second Lien Credit Agreement, in each case as the
same may be amended, supplemented, amended and restated or otherwise modified from time to time in
accordance with this Agreement.

     “Second Lien Loans” is defined in the second recital.

     “Secured Parties” means, collectively, the Lenders, the Issuers, the Administrative
Agent, the Collateral Agent, the Lead Arrangers, each Foreign Working Capital Lender (if
applicable), each counterparty to a Rate Protection Agreement that is (or at the time such Rate
Protection Agreement was entered into, was) a Lender or an Affiliate thereof and (in each case),
each Person to whom an Obligor owes Cash Management Obligations, each of their respective
successors, transferees and assigns.

     “Security Agreement” means the Pledge and Security Agreement executed and delivered by
each Obligor, substantially in the form of Exhibit G hereto, together with any supplemental
Foreign Pledge Agreements delivered pursuant to the terms of this Agreement, in each case as
amended, supplemented, amended and restated or otherwise modified from time to time.

     “Senior Note Documents” means the Senior Notes, the Senior Note Indenture and all
other agreements, documents and instruments executed and delivered with respect to the Senior Notes
or the Senior Note Indenture, as the same may be amended, supplemented, amended and restated or
otherwise modified from time to time in accordance with this Agreement.

     “Senior Note Indenture” means the Indenture, between the Borrower and the Person
acting as trustee thereunder (the “Senior Notes Trustee”), pursuant to which the Senior
Notes and any supplemental issuance of “senior notes” thereunder are issued, as the same may be
amended, supplemented, amended and restated or otherwise modified from time to time in accordance
with this Agreement.

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     “Senior Notes” is defined in the second recital.

     “Senior Notes Trustee” is defined in the definition of “Senior Note Indenture”.

     “Solvent” means, with respect to any Person and its Subsidiaries on a particular date,
that on such date (i) the fair value of the property (on a going-concern basis) of such Person and
its Subsidiaries on a consolidated basis is greater than the total amount of liabilities, including
contingent liabilities, of such Person and its Subsidiaries on a consolidated basis, (ii) the
present fair salable value of the assets (on a going-concern basis) of such Person and its
Subsidiaries on a consolidated basis is not less than the amount that will be required to pay the
probable liability of such Person and its Subsidiaries on a consolidated basis on its debts as they
become absolute and matured in the ordinary course of business, (iii) such Person does not intend
to, and does not believe that it or its Subsidiaries will, incur debts or liabilities beyond the
ability of such Person and its Subsidiaries to pay as such debts and liabilities mature in the
ordinary course of business (including through refinancings, asset sales and other capital market
transactions), and (iv) such Person and its Subsidiaries on a consolidated basis is not engaged in
business or a transaction, and such Person and its Subsidiaries on a consolidated basis is not
about to engage in a business or a transaction, for which the property of such Person and its
Subsidiaries on a consolidated basis would constitute an unreasonably small capital. The amount of
Contingent Liabilities at any time shall be computed as the amount that, in light of all the facts
and circumstances existing at such time, can reasonably be expected to become an actual or matured
liability.

     “Specified Default” means (i) any Default under Section 8.1.1 or Section
8.1.9 or (ii) any other Event of Default.

     “Spin-Off” is defined in the first recital.

     “Spot Rate” means the rate determined by the Administrative Agent 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. (in the applicable time zone) on the date two Business Days prior to the
date as of which the foreign exchange computation is made; provided that the Administrative
Agent may obtain such spot rate from another financial institution designated by the Administrative
Agent if the Person acting in such capacity does not have as of the date of determination a spot
buying rate for any such currency.

     “Standby Letter of Credit” means any Letter of Credit other than a Commercial Letter
of Credit.

     “Standard Securitization Undertakings” shall mean representations, warranties,
covenants and indemnities entered into by the Borrower or any Subsidiary which are reasonably
customary in a securitization of Receivables.

     “Stated Amount” means, on any date and with respect to a particular Letter of Credit,
the total amount then available to be drawn under such Letter of Credit.

     “Stated Expiry Date” is defined in Section 2.6.

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     “Stated Maturity Date” means (i) with respect to all Term A Loans, the sixth
anniversary of the Closing Date, (ii) with respect to all Term B Loans, the seventh anniversary of
the Closing Date, and (iii) with respect to all Revolving Loans, Euro Loans and Swing Line Loans,
the fifth anniversary of the Closing Date.

     “Subsidiary” means, with respect to any Person, any other Person of which more than
50% of the outstanding Voting Securities of such other Person (irrespective of whether at the time
Capital Securities of any other class or classes of such other Person shall or might have voting
power upon the occurrence of any contingency) is at the time directly or indirectly owned or
controlled by such Person, by such Person and one or more other Subsidiaries of such Person, or by
one or more other Subsidiaries of such Person. Unless the context otherwise specifically requires,
the term “Subsidiary” shall be a reference to a Subsidiary of the Borrower (other than a
Receivables Subsidiary). No Foreign Supply Chain Entity shall be considered to be a Subsidiary of
the Borrower or any Subsidiary for purposes hereof except as set forth in the definition of Foreign
Supply Chain Entity. Further, the European TM SPV shall not be considered to be a Subsidiary for
any purpose hereunder.

     “Subsidiary Guarantor” means each U.S. Subsidiary that has executed and delivered to
the Administrative Agent the Guaranty (including by means of a delivery of a supplement thereto).

     “Swing Line Lender” means, subject to the terms of this Agreement, Citicorp USA.

     “Swing Line Loan Commitment” is defined in clause (b) of Section
2.1.1.

     “Swing Line Loan Commitment Amount” means, on any date, $50,000,000, as such amount
may be reduced from time to time pursuant to Section 2.2.

     “Swing Line Loans” is defined in clause (b) of Section 2.1.1.

     “Swing Line Note” means a promissory note of the Borrower payable to the Swing Line
Lender, in the form of Exhibit A-4 hereto (as such promissory note may be amended,
restated, endorsed or otherwise modified from time to time), evidencing the aggregate Indebtedness
of the Borrower to the Swing Line Lender resulting from outstanding Swing Line Loans, and also
means all other promissory notes accepted from time to time in substitution therefor or renewal
thereof.

     “Syndication Agents” is defined in the preamble.

     “Syndication Date” means the date upon which the Lead Arrangers determine in their
sole discretion (and notify the Borrower) and in accordance with the terms of the Fee Letter that a
Successful Syndication (as defined in the Fee Letter) (and the resultant addition of Persons as
Lenders pursuant to Section 10.11) has been completed.

     “Synthetic Lease” means, as applied to any Person, any lease (including leases that
may be terminated by the lessee at any time) of any property (whether real, personal or mixed) (i)
that is not a capital lease in accordance with GAAP and (ii) in respect of which the lessee retains
or

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obtains ownership of the property so leased for federal income tax purposes, other than any such
lease under which that Person is the lessor.

     “Taxes” means all income, stamp or other taxes, duties, levies, imposts, charges,
assessments, fees, deductions or withholdings, now or hereafter imposed, levied, collected,
withheld or assessed by any Governmental Authority, and all interest, penalties or similar
liabilities with respect thereto.

     “Term A Loan Commitment” means, relative to any Lender, such Lender’s obligation (if
any) to make Term A Loans pursuant to clause (a) of Section 2.1.3.

     “Term A Loan Commitment Amount” means, on any date, $250,000,000.

     “Term A Loan Commitment Termination Date” means the earliest of

     (a) October 15, 2006 (if the Term A Loans have not been made on or prior to such date);

     (b) the Closing Date (immediately after the making of the Term A Loans on such date); and

     (c) the date on which any Commitment Termination Event occurs.

Upon the occurrence of any event described above, the Term A Loan Commitments shall terminate
automatically and without any further action.

     “Term A Loans” is defined in clause (a) of Section 2.1.3.

     “Term A Note” means a promissory note of the Borrower payable to any Lender, in the
form of Exhibit A-2 hereto (as such promissory note may be amended, endorsed or otherwise
modified from time to time), evidencing the aggregate Indebtedness of the Borrower to such Lender
resulting from outstanding Term A Loans, and also means all other promissory notes accepted from
time to time in substitution therefor or renewal thereof.

     “Term A Percentage” means, relative to any Lender, the applicable percentage relating
to Term A Loans set forth opposite its name on Schedule II hereto under the Term A Loan
Commitment column or set forth in a Lender Assignment Agreement under the Term A Loan Commitment
column, as such percentage may be adjusted from time to time pursuant to Lender Assignment
Agreements executed by such Lender and its assignee Lender and delivered pursuant to Section
10.11. A Lender shall not have any Term A Loan Commitment if its percentage under the Term A
Loan Commitment column is zero.

     “Term B Loan Commitment” means, relative to any Lender, such Lender’s obligation (if
any) to make Term B Loans pursuant to clause (b) of Section 2.1.3.

     “Term B Loan Commitment Amount” means, on any date, $1,400,000,000.

     “Term B Loan Commitment Termination Date” means the earliest of

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     (a) October 15, 2006 (if the Term B Loans have not been made on or prior to such date);
and

     (b) the Closing Date (immediately after the making of the Term B Loans on such date); and

     (c) the date on which any Commitment Termination Event occurs.

Upon the occurrence of any event described above, the Term B Loan Commitments shall terminate
automatically and without any further action.

     “Term B Loans” is defined in clause (b) of Section 2.1.3.

     “Term B Note” means a promissory note of the Borrower payable to any Lender, in the
form of Exhibit A-3 hereto (as such promissory note may be amended, endorsed or otherwise
modified from time to time), evidencing the aggregate Indebtedness of the Borrower to such Lender
resulting from outstanding Term B Loans, and also means all other promissory notes accepted from
time to time in substitution therefor or renewal thereof.

     “Term B Percentage” means, relative to any Lender, the applicable percentage relating
to Term B Loans set forth opposite its name on Schedule II hereto under the Term B Loan
Commitment column or set forth in a Lender Assignment Agreement under the Term B Loan Commitment
column, as such percentage may be adjusted from time to time pursuant to Lender Assignment
Agreements executed by such Lender and its assignee Lender and delivered pursuant to Section
10.11. A Lender shall not have any Term B Loan Commitment if its percentage under the Term B
Loan Commitment column is zero.

     “Term Loans” means, collectively, the Term A Loans and the Term B Loans.

     “Termination Date” means the date on which all Obligations have been paid in full in
cash (other than contingent indemnification obligations for which no claim has been asserted), all
Letters of Credit have been terminated or expired (or been Cash Collateralized), all Rate
Protection Agreements have been terminated and all Commitments shall have terminated.

     “Total Debt” means, on any date, the outstanding principal amount of all Indebtedness
of the Borrower and its Subsidiaries (other than a Receivables Subsidiary) of the type referred to
in clause (i) of the definition of “Indebtedness” (which, in the case of the Loans, shall
be deemed to equal the Dollar Equivalent (determined as of the most recent Revaluation Date) for
any Loans denominated in Euros), clause (ii) of the definition of “Indebtedness” (which, in
the case of Letter of Credit Outstandings, shall be deemed to equal the Dollar Equivalent
(determined as of the most recent Revaluation Date) for any Letter of Credit Outstandings
denominated in Euros), clause (iii) of the definition of “Indebtedness” and clause
(vii) of the definition of “Indebtedness”, in each case exclusive of intercompany Indebtedness
between the Borrower and its Subsidiaries and any Contingent Liability in respect of any of the
foregoing.

     “Total Exposure Amount” means, on any date of determination (and without duplication),
the Dollar Equivalent (determined as of the most recent Revaluation Date) of the

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outstanding
principal amount of all Loans, the aggregate amount of all Letter of Credit Outstandings and the
unfunded amount of the Commitments.

     “Total Revolving Loan Exposure Amount” means, on any date of determination (and
without duplication), the Dollar Equivalent (determined as of the most recent Revaluation Date) of
the outstanding principal amount of all Revolving Loans, the aggregate amount of all Letter of
Credit Outstandings and the unfunded amount of the Revolving Loan Commitments.

     “Trademark Security Agreement” means any Trademark Security Agreement executed and
delivered by any Obligor substantially in the form of Exhibit B to the Security Agreement, as
amended, supplemented, amended and restated or otherwise modified from time to time.

     “Transaction” means, collectively, (i) the consummation of the Spin-Off, (ii) the
issuance of the Dividend, (iii) the consummation of the IP Purchase, (iv) the entering into of the
Loan Documents (other than this Agreement) and the making of the Loans hereunder on the Closing
Date, (v) the entering into of the Second Lien Loan Documents and the making of the Second Lien
Loans, (vi) the receipt by the Borrower of the proceeds from the Bridge Loans and the entering into
of the Bridge Loan Documents and/or the issuance of the Senior Notes in an aggregate amount of
$500,000,000, and (vii) the payment of fees and expenses in connection and in accordance with the
foregoing.

     “Transaction Documents” means, collectively, the Second Lien Loan Documents, the
Bridge Loan Documents, the Senior Note Documents and any other material document executed or
delivered in connection with the Transaction, including any transition services agreements and tax
sharing agreements, in each case as amended, supplemented, amended and restated or otherwise
modified from time to time in accordance with Section 7.2.12.

     “Treaty on European Union” means the Treaty of Rome of March 25, 1957, as amended by
the Single European Act 1986 and the Maastricht Treaty (which was signed at Maastricht, the Kingdom
of Netherlands, on February 1, 1992 and came into force on November 1, 1993), as amended from time
to time.

     “type” means, relative to any Loan, the portion thereof, if any, being maintained as a
Base Rate Loan or a LIBO Rate Loan.

     “UCC” means the Uniform Commercial Code as in effect from time to time in the State
of New York; provided that if, with respect to any Filing Statement or by reason of any
provisions of law, the perfection or the effect of perfection or non-perfection of the security
interests granted to the Collateral Agent pursuant to the applicable Loan Document is governed by
the Uniform Commercial Code as in effect in a jurisdiction of the United States other than New
York, then “UCC” means the Uniform Commercial Code as in effect from time to time in such other
jurisdiction for purposes of the provisions of each Loan Document and any Filing Statement relating
to such perfection or effect of perfection or non-perfection.

     “United States” or “U.S.” means the United States of America, its fifty states
and the District of Columbia.

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     “U.S. Subsidiary” means any Subsidiary (other than a Receivables Subsidiary) that is
incorporated or organized under the laws of the United States.

     “Voting Securities” means, with respect to any Person, Capital Securities of any class
or kind ordinarily having the power to vote for the election of directors, managers or other voting
members of the governing body of such Person.

     “Welfare Plan” means a “welfare plan”, as such term is defined in Section 3(1) of
ERISA.

     “wholly owned Subsidiary” means any Subsidiary all of the outstanding Capital
Securities of which (other than any director’s qualifying shares or investments by foreign
nationals mandated by applicable laws) is owned directly or indirectly by the Borrower.

     SECTION 1.2 Use of Defined Terms. Unless otherwise defined or the context otherwise
requires, terms for which meanings are provided in this Agreement shall have such meanings when
used in each other Loan Document and the Disclosure Schedule.

     SECTION 1.3 Cross-References. Unless otherwise specified, references in a Loan
Document to any Article or Section are references to such Article or Section of such Loan Document,
and references in any Article, Section or definition to any clause are references to such clause of
such Article, Section or definition.

     SECTION 1.4 Accounting and Financial Determinations. (a) Unless otherwise
specified, all accounting terms used in each Loan Document shall be interpreted, and all accounting
determinations and computations thereunder (including under Section 7.2.4 and the
definitions used in such calculations) shall be made, in accordance with those generally accepted
accounting principles (“GAAP”) applied in the preparation of the financial statements
referred to in clause (a) of Section 5.1.6. Unless otherwise expressly provided,
all financial covenants and defined financial terms shall be computed on a consolidated basis for
the Borrower and its Subsidiaries, in each case without duplication.

          (b) As of any date of determination, for purposes of determining the Interest Coverage Ratio
or Leverage Ratio (and any financial calculations required to be made or included within such
ratios, or required for purposes of preparing any Compliance Certificate to be delivered pursuant
to the definition of “Permitted Acquisition”), the calculation of such ratios and other financial
calculations shall include or exclude, as the case may be, the effect of any assets or businesses
that have been acquired or Disposed of by the Borrower or any of its Subsidiaries pursuant to the
terms hereof (including through mergers or consolidations) as of such date of determination, as
determined by the Borrower on a pro forma basis in accordance with GAAP, which determination may
include one-time adjustments or reductions in costs, if any, directly attributable to any such
permitted Disposition or Permitted Acquisition, as the case may be, in each case (i) calculated in
accordance with Regulation S-X of the Securities Act of 1933, as amended from time to time, and any
successor statute, for the period of four Fiscal Quarters ended on or immediately prior to the date
of determination of any such ratios (without giving effect to any cost-savings or adjustments
relating to synergies resulting from a Permitted Acquisition except as permitted by Regulation S-X
of the Securities Act of 1933 or otherwise as

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the Administrative Agent shall otherwise agree) and
(ii) giving effect to any such Permitted Acquisition or permitted Disposition as if it had occurred
on the first day of such four Fiscal Quarter period.

     SECTION 1.5 Exchange Rates; Currency Equivalents. The Administrative Agent shall
determine the Spot Rates as of each Revaluation Date to be used for calculating the Dollar
Equivalent of Credit Extensions and amounts outstanding hereunder denominated in Euros. 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 the Borrower hereunder or calculating
financial covenants hereunder or except as otherwise expressly provided herein, the applicable
amount of any Currency for purposes of the Loan Documents shall be such Dollar Equivalent as so
reasonably determined by the Administrative Agent. Wherever in this Agreement in connection with a
Credit Extension, conversion, continuation or prepayment of a Loan, an amount, such as a required
minimum or multiple amount, is expressed in Dollars, but such Credit Extension is denominated in
Euros, such amount shall be the Euro Equivalent of such Dollars, as reasonably determined by the
Administrative Agent.

     SECTION 1.6 Computation of Dollar Amounts. References herein to minimum Dollar
amounts and integral multiples stated in Dollars, where they shall also be applicable to Euros,
shall be deemed to refer to the approximate Euro Equivalent.

ARTICLE II

COMMITMENTS, BORROWING AND ISSUANCE

PROCEDURES, NOTES AND LETTERS OF CREDIT

     SECTION 2.1 Commitments. On the terms and subject to the conditions of this
Agreement, the Lenders and the Issuers severally agree to make Credit Extensions as set forth
below.

     SECTION 2.1.1 Revolving Loan Commitment and Swing Line Loan Commitment. From time to
time on any Business Day occurring after the Closing Date but prior to the Revolving Loan
Commitment Termination Date,

     (a) each Lender that has a Revolving Loan Commitment (referred to as a “Revolving
Loan Lender”), agrees that it will make loans (relative to such Lender, its “Revolving
Loans”) to the Borrower denominated in Dollars or in Euros, in each case equal to such
Lender’s Revolving Loan Percentage of the Dollar Equivalent (determined as of the most recent
Revaluation Date) of the aggregate amount of each Borrowing of the Revolving Loans requested
by the Borrower to be made on such day; and

     (b) the Swing Line Lender agrees that it will make loans (its “Swing Line Loans”)
denominated in Dollars to the Borrower equal to the principal amount of the Swing Line Loan
requested by the Borrower to be made on such day. The commitment of the Swing Line Lender
described in this clause is herein referred to as its “Swing Line Loan Commitment”.

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On the terms and subject to the conditions hereof, the Borrower may from time to time borrow,
prepay and reborrow Revolving Loans and Swing Line Loans. No Revolving Loan Lender shall be
permitted or required to make any Revolving Loan if, after giving effect thereto, (i) the Dollar
Equivalent of such Lender’s Revolving Exposure would exceed such Lender’s Revolving Loan Percentage
of the then existing Revolving Loan Commitment Amount, (ii) the Dollar Equivalent of the aggregate
principal amount of Euro Loans, together with the Dollar Equivalent of Letters of Credit
Outstandings, would exceed the Euro Loan Commitment Amount, or (iii) the Dollar Equivalent of the
aggregate amount of Revolving Loans and Swing Line Loans outstanding together with the Dollar
Equivalent of Letters of Credit Outstandings would exceed the Revolving Loan Commitment Amount.
Furthermore, the Swing Line Lender shall not be permitted or required to make Swing Line Loans if,
after giving effect thereto, (A) the aggregate outstanding principal amount of all Swing Line Loans
would exceed the then existing Swing Line Loan Commitment Amount or (B) the sum of the aggregate
amount of all Swing Line Loans and the Dollar Equivalent of all Revolving Loans outstanding
plus the Dollar Equivalent of the aggregate amount of Letter of Credit Outstandings would
exceed the Revolving Loan Commitment Amount.

     SECTION 2.1.2 Letter of Credit Commitment. From time to time on any Business Day
occurring after the Closing Date but five Business Days prior to the Revolving Loan Commitment
Termination Date, the relevant Issuer agrees that it will (subject to the terms hereof) (i) issue
one or more Letters of Credit in Dollars or in Euros for the account of the Borrower, any
Subsidiary Guarantor or any Foreign Subsidiary in the Stated Amount requested by the Borrower on
such day, or (ii) extend the Stated Expiry Date of a Letter of Credit previously issued hereunder.
No Issuer shall be permitted or required to issue any Letter of Credit if, after giving effect
thereto, (A) the Dollar Equivalent (reasonably determined as of the most recent Revaluation Date)
of the aggregate amount of all Letter of Credit Outstandings would exceed the then existing Letter
of Credit Commitment Amount or (B) the sum of the aggregate amount of all Letter of Credit
Outstandings plus the aggregate principal amount of all Revolving Loans and Swing Line Loans then
outstanding would exceed the then existing Revolving Loan Commitment Amount.

     SECTION 2.1.3 Term Loan Commitments. In a single Borrowing (which shall be a
Business Day) occurring on or prior to the applicable Commitment Termination Date, each Lender that
has a Term A Loan Commitment or a Term B Loan Commitment, as applicable, agrees that it will

     (a) make loans (relative to such Lender, its “Term A Loans”) to the Borrower
denominated in Dollars equal to such Lender’s Term A Percentage of the aggregate amount of the
Borrowing of Term A Loans requested by the Borrower to be made on such day; and

     (b) make loans (relative to such Lender, its “Term B Loans”) to the Borrower
denominated in Dollars equal to such Lender’s Term B Percentage of the aggregate amount of the
Borrowing of Term B Loans requested by the Borrower to be made on such day.

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No Lender shall be permitted or required to make any Term Loan if, after giving effect thereto, the
aggregate outstanding principal amount of all Term A Loans or all Term B Loans (as the case may be)
(i) of all Lenders made on the Closing Date would exceed the Term A Loan Commitment Amount (in the
case of Term A Loans) or the Term B Loan Commitment Amount
(in the case of Term B Loans) or (ii) of such Lender with a Term A Loan Commitment or with a Term B
Loan Commitment, as applicable, made on the Closing Date would exceed such Lender’s Percentage of
the Term A Loan Commitment Amount (in the case of Term A Loans) or the Term B Loan Commitment
Amount (in the case of Term B Loans). No amounts paid or prepaid with respect to Term Loans may be
reborrowed.

     SECTION 2.2 Reduction of the Commitment Amounts. The Commitment Amounts are subject
to reduction from time to time as set forth below.

     SECTION 2.2.1 Optional. The Borrower may, from time to time on any Business Day
occurring after the Closing Date, voluntarily reduce any Commitment Amount on the Business Day so
specified by the Borrower; provided that, all such reductions shall require at least one
Business Day’s prior notice to the Administrative Agent and be permanent, and any partial reduction
of any Commitment Amount shall be in a minimum amount of $1,000,000 and in an integral multiple of
$500,000. Any optional or mandatory reduction of the Revolving Loan Commitment Amount pursuant to
the terms of this Agreement which reduces the Revolving Loan Commitment Amount below the sum of (i)
the Swing Line Loan Commitment Amount, (ii) the Euro Loan Commitment Amount and (iii) the Letter of
Credit Commitment Amount shall result in an automatic and corresponding reduction of the Swing Line
Loan Commitment Amount, Euro Loan Commitment Amount and/or Letter of Credit Commitment Amount (as
directed by the Borrower in a notice to the Administrative Agent delivered together with the notice
of such voluntary reduction in the Revolving Loan Commitment Amount) to an aggregate amount not in
excess of the Revolving Loan Commitment Amount, as so reduced, without any further action on the
part of the Swing Line Lender, any Revolving Loan Lender or any Issuer.

     SECTION 2.2.2 Mandatory. Following the prepayment in full of the Term Loans, the
Revolving Loan Commitment Amount shall, without any further action, automatically and permanently
be reduced on the date the Term Loans would otherwise have been required to be prepaid with any
Excess Cash Flow, Net Equity Proceeds, Net Disposition Proceeds or Net Casualty Proceeds, in each
case in an amount equal to the amount by which the Term Loans would otherwise be required to be
prepaid if Term Loans had been outstanding.

     SECTION 2.3 Borrowing Procedures. Loans (other than Swing Line Loans) shall be made
by the Lenders in accordance with Section 2.3.1, and Swing Line Loans shall be made by the
Swing Line Lender in accordance with Section 2.3.2.

     SECTION 2.3.1 Borrowing Procedure. In the case of Loans (other than Swing Line
Loans), by delivering a Borrowing Request to the Administrative Agent on or before 10:00 a.m. on a
Business Day, the Borrower may from time to time irrevocably request, on such Business Day in the
case of Base Rate Loans, on not less than three Business Days’ notice and not more than five
Business Days’ notice, in the case of LIBO Rate Loans denominated in Dollars, or on no less than
four Business Days’ and no more than ten Business Days’ notice in the case of Euro Loans, that a
Borrowing be made, in the case of LIBO Rate Loans, in a minimum amount of

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$5,000,000 (or the Euro
Equivalent thereof) and an integral multiple of $1,000,000 (or the Euros Equivalent thereof), in
the case of Base Rate Loans, in a minimum amount of $1,000,000 and an integral multiple of $500,000
or, in either case, in the unused amount of the applicable Commitment; provided that only
Base Rate Loans and LIBO Rate Loans with a one month
Interest Period may be incurred prior to the earlier to occur of (a) the 30th day
following the Closing Date and (b) the date upon which the Lead Arrangers have determined that the
Syndication Date has occurred. On the terms and subject to the conditions of this Agreement, each
Borrowing shall be comprised of the type of Loans, and shall be made on the Business Day and in the
Currency specified in such Borrowing Request. In the case of other than Swing Line Loans, on or
before 12:00 noon on such Business Day each Lender that has a Commitment to make the Loans being
requested shall deposit with the Administrative Agent same day funds in an amount equal to such
Lender’s Percentage of the requested Borrowing. Such deposit will be made to an account which the
Administrative Agent shall specify from time to time by notice to the Lenders. To the extent funds
are received from the Lenders, the Administrative Agent shall make such funds available to the
Borrower by wire transfer to the accounts the Borrower shall have specified in its Borrowing
Request. No Lender’s obligation to make any Loan shall be affected by any other Lender’s failure
to make any Loan.

     SECTION 2.3.2 Swing Line Loans; Participations, etc. (a) By telephonic notice to
the Swing Line Lender on or before 2 p.m. on a Business Day (followed (within one Business Day) by
the delivery of a confirming Borrowing Request), the Borrower may from time to time irrevocably
request that Swing Line Loans be made by the Swing Line Lender in an aggregate minimum principal
amount of $500,000 and an integral multiple of $100,000. All Swing Line Loans shall be made as
Base Rate Loans and shall not be entitled to be converted into LIBO Rate Loans. The proceeds of
each Swing Line Loan shall be made available by the Swing Line Lender to the Borrower by wire
transfer to the account the Borrower shall have specified in its notice therefor by the close of
business on the Business Day telephonic notice is received by the Swing Line Lender. Upon the
making of each Swing Line Loan, and without further action on the part of the Swing Line Lender or
any other Person, each Revolving Loan Lender (other than the Swing Line Lender) shall be deemed to
have irrevocably purchased, to the extent of its Revolving Loan Percentage, a participation
interest in such Swing Line Loan, and such Revolving Loan Lender shall, to the extent of its
Revolving Loan Percentage, be responsible for reimbursing within one Business Day the Swing Line
Lender for Swing Line Loans which have not been reimbursed by the Borrower in accordance with the
terms of this Agreement.

     (b)
If (i) any Swing Line Loan shall be outstanding for more than four Business Days, (ii) any
Swing Line Loan is or will be outstanding on a date when the Borrower requests that a Revolving
Loan be made, or (iii) any Default shall occur and be continuing, then each Revolving Loan Lender
(other than the Swing Line Lender) irrevocably agrees that it will, at the request of the Swing
Line Lender, make a Revolving Loan (which shall initially be funded as a Base Rate Loan) in an
amount equal to such Lender’s Revolving Loan Percentage of the aggregate principal amount of all
such Swing Line Loans then outstanding (such outstanding Swing Line Loans hereinafter referred to
as the “Refunded Swing Line Loans”). On or before 11:00 a.m. on the first Business Day
following receipt by each Revolving Loan Lender of a request to make Revolving Loans as provided in
the preceding sentence, each Revolving Loan Lender shall deposit in an account specified by the
Swing Line Lender the amount so requested in same day funds and such funds shall be applied by the
Swing Line Lender to repay the Refunded Swing Line Loans. At the time the Revolving Loan Lenders
make the above referenced Revolving Loans the Swing Line Lender shall be deemed to have made, in
consideration of the making of the Refunded Swing Line Loans, Revolving Loans in an amount equal to
the Swing Line Lender’s Revolving Loan Percentage of the aggregate principal amount of the Refunded
Swing

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Line Loans. Upon the making (or deemed making, in the case of the Swing Line Lender) of any
Revolving Loans pursuant to this clause, the amount so funded shall become an outstanding Revolving
Loan and shall no longer be owed as a Swing Line Loan. All interest payable with respect to any
Revolving Loans made (or deemed made, in the case of the Swing Line Lender) pursuant to this clause
shall be appropriately adjusted to reflect the period of time during which the Swing Line Lender
had outstanding Swing Line Loans in respect of which such Revolving Loans were made. Each
Revolving Loan Lender’s obligation to make the Revolving Loans referred to in this clause shall be
absolute and unconditional and shall not be affected by any circumstance, including (i) any
set-off, counterclaim, recoupment, defense or other right which such Lender may have against the
Swing Line Lender, any Obligor or any Person for any reason whatsoever; (ii) the occurrence or
continuance of any Default; (iii) any adverse change in the condition (financial or otherwise) of
any Obligor; (iv) the acceleration or maturity of any Obligations or the termination of any
Commitment after the making of any Swing Line Loan; (v) any breach of any Loan Document by any
Person; or (vi) any other circumstance, happening or event whatsoever, whether or not similar to
any of the foregoing.

     SECTION 2.4 Continuation and Conversion Elections. By delivering a
Continuation/Conversion Notice to the Administrative Agent on or before 10:00 a.m. on a Business
Day, the Borrower may from time to time irrevocably elect:

     (a) on not less than three nor more than five Business Days’ notice, (i) to convert any
Base Rate Loan into one or more LIBO Rate Loans denominated in Dollars or (ii) before the last
day of the then current Interest Period with respect thereto, to continue any LIBO Rate Loan
denominated in Dollars as a LIBO Rate Loan so denominated; and

     (b) on not less than five nor more than ten Business Days’ notice before the last day of
the then current Interest Period with respect thereto, to convert or continue any LIBO Rate
Loan denominated in Euros as a LIBO Rate Loan denominated in Euros.

provided that (i) any portion of any Loan which is continued or converted hereunder shall
be in a minimum amount of $1,000,000 and in an integral multiple amount of $1,000,000 and (ii) in
the absence of prior notice as required above (which notice may be delivered telephonically
followed by written confirmation within 24 hours thereafter by delivery of a
Continuation/Conversion Notice), with respect to any LIBO Rate Loan denominated in Dollars at least
three Business Days (or, with respect to any LIBO Rate Loan denominated in Euros, at least five
Business Days) before the last day of the then current Interest Period with respect thereto, such
LIBO Rate Loan shall, on such last day, automatically convert to a Base Rate Loan; provided
further that (A) each such conversion or continuation shall be pro rated among the
applicable outstanding Loans of all Lenders that have made such Loans, and (B) no portion of the
outstanding principal amount of any Loans may be continued as, or be converted into, LIBO Rate
Loans when any Event of Default has occurred and is continuing.

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     SECTION 2.5 Funding. Each Lender may, if it so elects, fulfill its obligation to
make, continue or convert LIBO Rate Loans hereunder by causing one of its foreign branches or
Affiliates (or an international banking facility created by such Lender) to make or maintain such
LIBO Rate Loan; provided that, such LIBO Rate Loan shall nonetheless be deemed to have been
made and to be held by such Lender, and the obligation of the Borrower to repay such LIBO Rate
Loan shall nevertheless be to such Lender for the account of such foreign branch, Affiliate or
international banking facility. Subject to Section 4.10, each Lender may, at its option,
make any Loan available to the Borrower by causing any foreign or domestic branch or Affiliate of
such Lender to make such Loan; provided that any exercise of such option shall not affect
the obligation of the Borrower to repay Loans in accordance with the terms of this Agreement.

     SECTION 2.6 Issuance Procedures. By delivering to the Administrative Agent and the
relevant Issuer an Issuance Request on or before 10:00 a.m. on a Business Day, the Borrower may
from time to time irrevocably request on not less than three nor more than ten Business Days’
notice, in the case of an initial issuance of a Letter of Credit and not less than three Business
Days’ prior notice, in the case of a request for the extension of the Stated Expiry Date of a
Standby Letter of Credit (in each case, unless a shorter notice period is agreed to by the relevant
Issuer, in its sole discretion), that an Issuer issue a Letter of Credit, or extend the Stated
Expiry Date of a Standby Letter of Credit, in such form as may be requested by the Borrower and
approved by such Issuer, solely for the purposes described in Section 7.1.7. In connection
with any Issuance Request the Borrower and/or applicable Subsidiary shall have executed and
delivered such applications, agreements and other instruments relating to such Letter of Credit as
such Issuer shall have reasonably requested consistent with its then current practices and
procedures with respect to letters of credit of the same type, provided that in the event of any
conflict between any such application, agreement or other instrument and the provisions of this
Agreement, the provisions of this Agreement shall control. Each Standby Letter of Credit shall by
its terms be stated to expire on a date (its “Stated Expiry Date”) no later than the
earlier to occur of (i) five Business Days prior to the Revolving Loan Commitment Termination Date
or (ii) unless otherwise agreed to by an Issuer, in its sole discretion, one year from the date of
its issuance (provided each Standby Letter of Credit may, with the consent of the Issuer thereof in
its sole discretion, provide for automatic renewals for one year periods (which in no event shall
extend beyond the Revolving Loan Commitment Termination Date)). Each Commercial Letter of Credit
shall by its terms be stated to expire on a date no later than the earlier to occur of (i) five
Business Days prior to the Revolving Loan Commitment Termination Date or (ii) unless otherwise
agreed to by an Issuer, in its sole discretion, 180 days from the date of its issuance. Each
Issuer will make available to the beneficiary thereof the original of the Letter of Credit which it
issues. Each Issuer shall provide periodic reporting of Letters of Credit issued by such Issuer in
a manner, and in time periods, mutually acceptable to the Administrative Agent and such Issuer.
Unless notified by the Administrative Agent in writing prior to the issuance of a Letter of Credit,
the applicable Issuer shall be entitled to assume that the conditions precedent to such issuance
have been met.

     SECTION 2.6.1 Other Lenders Participation. Upon the issuance of each Letter of
Credit, and without further action, each Revolving Loan Lender (other than the applicable Issuer)
shall be deemed to have irrevocably purchased, to the extent of its Revolving Loan Percentage, a
participation interest in such Letter of Credit (including the Contingent Liability and any
Reimbursement Obligation with respect thereto), and such Revolving Loan Lender shall, to the

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extent
of its Revolving Loan Percentage, be responsible for reimbursing the applicable Issuer for
Reimbursement Obligations which have not been reimbursed by the Borrower in accordance with
Section 2.6.3 in the applicable currency and at the times set forth in such Section (with
the terms of this Section surviving the termination of this Agreement). In addition, such
Revolving
Loan Lender shall, to the extent of its Revolving Loan Percentage, be entitled to receive a
ratable portion of the Letter of Credit fees payable pursuant to Section 3.3.3 with respect
to each Letter of Credit (other than the issuance fees payable to the Issuer of such Letter of
Credit pursuant to the last sentence of Section 3.3.3) and of interest payable pursuant to
Section 3.2 with respect to any Reimbursement Obligation accruing on and after the date
(and to the extent) such Lender funds its participation interest in such Letter of Credit. To the
extent that any Revolving Loan Lender has reimbursed any Issuer for a Disbursement, such Lender
shall be entitled to receive its ratable portion of any amounts subsequently received (from the
Borrower or otherwise) in respect of such Disbursement. Upon any change in the Revolving Loan
Commitments pursuant to an assignment under Section 10.10 of this Agreement, it is hereby
agreed that with respect to all Letter of Credit Outstandings, there shall be an automatic
adjustment to the participations hereby created to reflect the new Revolving Loan Percentage of the
assigning and assignee Revolving Loan Lenders.

     SECTION 2.6.2 Disbursements. An Issuer will notify the Borrower and the
Administrative Agent promptly of the presentment for payment of any Letter of Credit issued by such
Issuer, together with notice of the date (the “Disbursement Date”) such payment shall be
made (each such payment, a “Disbursement”). Subject to the terms and provisions of such
Letter of Credit and this Agreement, the applicable Issuer shall make such payment to the
beneficiary (or its designee) of such Letter of Credit. Not later than 1:00 p.m. on (i) a
Disbursement Date, if the Borrower shall have received notice of such Disbursement prior to 10:00
a.m. on such Disbursement Date, or (ii) the Business Day immediately following a Disbursement Date,
if such notice is received after 10:00 a.m. on such Disbursement Date, the Borrower will reimburse
such Issuer directly in full for such Disbursement. Each such reimbursement shall be made in
immediately available funds in the Currency in which such Disbursement was made together (in the
case of a reimbursement made on such immediately following Business Day, with interest thereon at a
rate per annum equal to the rate per annum then in effect for Base Rate Loans (with the then
Applicable Margin for Revolving Loans accruing on such amount) pursuant to Section 3.2 for
the period from the Disbursement Date through the date of such reimbursement, provided that if such
reimbursement is not made when due pursuant to this Section 2.6.2, then the interest rates
set forth in Section 3.2.2 shall apply. Without limiting in any way the foregoing and
notwithstanding anything to the contrary contained herein or in any separate application for any
Letter of Credit, the Borrower hereby acknowledges and agrees that it shall be obligated to
reimburse the applicable Issuer upon each Disbursement of a Letter of Credit, and it shall be
deemed to be the obligor for purposes of each such Letter of Credit issued hereunder (whether the
account party on such Letter of Credit is the Borrower or a Subsidiary). In the event that an
Issuer makes any Disbursement and the Borrower shall not have reimbursed such amount in full to
such Issuer pursuant to this Section 2.6.2, such Issuer shall promptly notify the
Administrative Agent which shall promptly notify each Revolving Loan Lender of such failure, and
each Revolving Loan Lender (other than such Issuer) shall promptly and unconditionally pay in the
Currency in which such Disbursement was made and in same day funds to the Administrative Agent for
the account of such Issuer the amount of such Revolving Loan Lender’s Revolving Loan Percentage of
such unreimbursed Disbursement. If an Issuer so notifies the Administrative

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Agent, and the
Administrative Agent so notifies the Revolving Loan Lenders prior to 2 p.m., on any Business Day,
each such Revolving Loan Lender shall make available to such Issuer such Revolving Loan Lender’s
Revolving Loan Percentage of the amount of such payment on such Business Day in same day funds (or
if such notice is received by such Revolving Loan Lenders
after 2 p.m. on the day of receipt, payment shall be made on the immediately following
Business Day). If and to the extent such Revolving Loan Lender shall not have so made its
Revolving Loan Percentage of the amount of such payment available to the applicable Issuer, such
Revolving Loan Lender agrees to pay to such Issuer forthwith on demand such amount, together with
interest thereon, for each day from such date until the date such amount is paid to the
Administrative Agent for the account of such Issuer, at the Federal Funds Rate.

     SECTION 2.6.3 Reimbursement. The obligation (a “Reimbursement Obligation”)
of the Borrower under Section 2.6.2 to reimburse an Issuer with respect to each
Disbursement (including interest thereon) and, upon the failure of the Borrower to reimburse an
Issuer, each Revolving Loan Lender’s obligation under Section 2.6.1 to reimburse an Issuer,
shall be absolute and unconditional under any and all circumstances and irrespective of (i) any
setoff, counterclaim or defense to payment which the Borrower or such Revolving Loan Lender, as the
case may be, may have or have had against such Issuer, any Lender or any other Person (including
any Subsidiary) for any reason whatsoever, including any defense based upon the failure of any
Disbursement to conform to the terms of the applicable Letter of Credit (if, in such Issuer’s good
faith opinion (absent such Issuer’s gross negligence or willful misconduct), such Disbursement is
determined to be appropriate) or any non-application or misapplication by the beneficiary of the
proceeds of such Letter of Credit; (ii) the occurrence or continuance of any Default; (iii) any
adverse change in the condition (financial or otherwise) of any Obligor; (iv) the acceleration or
maturity of any Obligations or the termination of any Commitment after the issuance of a Letter of
Credit; (v) any breach of any Loan Document by any Person; or (vi) any other circumstance,
happening or event whatsoever, whether or not similar to any of the foregoing (including any of the
events set forth in Section 2.6.5); provided that, after paying in full its
Reimbursement Obligation hereunder, nothing herein shall adversely affect the right of the Borrower
or such Lender, as the case may be, to commence any proceeding against an Issuer for any wrongful
Disbursement made by such Issuer under a Letter of Credit as a result of acts or omissions
constituting gross negligence, bad faith or willful misconduct on the part of such Issuer.

     SECTION 2.6.4 Deemed Disbursements. Upon the occurrence and during the continuation
of any Event of Default under Section 8.1.9 or upon notification by the Administrative
Agent (acting at the direction of the Required Lenders) to the Borrower of its obligations under
this Section, following the occurrence and during the continuation of any other Event of Default,

     (a) the aggregate Stated Amount of all Letters of Credit shall, without demand upon or
notice to the Borrower or any other Person, be deemed to have been paid or disbursed by the
Issuers of such Letters of Credit (notwithstanding that such amount may not in fact have been
paid or disbursed); and

     (b) the Borrower shall be immediately obligated to reimburse the Issuers for the amount
deemed to have been so paid or disbursed by such Issuers.

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Amounts payable by the Borrower pursuant to this Section shall be deposited in immediately
available funds with the Collateral Agent and held as cash collateral security for the
Reimbursement Obligations. When all Defaults giving rise to the deemed disbursements under
this Section have been cured or waived the Collateral Agent shall return to the Borrower all
amounts then on deposit with the Collateral Agent pursuant to this Section which have not been
applied to the satisfaction of the Reimbursement Obligations.

     SECTION 2.6.5 Nature of Reimbursement Obligations. The Borrower, each other Obligor
and, to the extent set forth in Section 2.6.1, each Revolving Loan Lender shall assume all
risks of the acts, omissions or misuse of any Letter of Credit by the beneficiary thereof. No
Issuer (except to the extent of its own gross negligence, bad faith or willful misconduct) shall be
responsible for:

     (a) the form, validity, sufficiency, accuracy, genuineness or legal effect of any Letter
of Credit or any document submitted by any party in connection with the application for and
issuance of a Letter of Credit, even if it should in fact prove to be in any or all respects
invalid, insufficient, inaccurate, fraudulent or forged;

     (b) the form, validity, sufficiency, accuracy, genuineness or legal effect of any
instrument transferring or assigning or purporting to transfer or assign a Letter of Credit or
the rights or benefits thereunder or the proceeds thereof in whole or in part, which may prove
to be invalid or ineffective for any reason;

     (c) failure of the beneficiary to comply fully with conditions required in order to
demand payment under a Letter of Credit;

     (d) errors, omissions, interruptions or delays in transmission or delivery of any
messages, by mail, cable, telegraph, telex or otherwise or errors in interpretation of
technical terms or any consequence arising from causes beyond the control of such Issuer; or

     (e) any loss or delay in the transmission or otherwise of any document or draft required
in order to make a Disbursement under a Letter of Credit.

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, an Issuer may, in its sole discretion, either accept and make
payment upon such documents without responsibility for further investigation 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. None of the foregoing shall affect, impair or prevent the vesting of any
of the rights or powers granted to any Issuer or any Revolving Loan Lender hereunder. In
furtherance and not in limitation or derogation of any of the foregoing, any action taken or
omitted to be taken by an Issuer in good faith (and not constituting gross negligence or willful
misconduct) shall be binding upon each Obligor and each such Secured Party, and shall not put such
Issuer under any resulting liability to any Obligor or any Secured Party, as the case may be.

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     SECTION 2.6.6 Existing Letters of Credit. On the Effective Date, all Existing
Letters of Credit shall be deemed to have been issued hereunder and shall for all purposes be
deemed to be “Letters of Credit” hereunder.

     SECTION 2.7 Register; Notes. The Register shall be maintained on the following
terms.

     (a)
The Borrower hereby designates the Administrative Agent to serve as the Borrower’s agent,
solely for the purpose of this clause, to maintain a register (the “Register”) on which the
Administrative Agent will record each Lender’s Commitment, the Loans made by each Lender and each
repayment in respect of the principal amount of the Loans, annexed to which the Administrative
Agent shall retain a copy of each Lender Assignment Agreement delivered to the Administrative Agent
pursuant to Section 10.11. Failure to make any recordation, or any error in such
recordation, shall not affect any Obligor’s Obligations. The entries in the Register shall
constitute prima facie evidence and shall be binding, in the absence of manifest error, and the
Borrower, the Administrative Agent and the Lenders shall treat each Person in whose name a Loan is
registered (or, if applicable, to which a Note has been issued) as the owner thereof for the
purposes of all Loan Documents, notwithstanding notice or any provision herein to the contrary.
Any assignment or transfer of a Commitment or the Loans made pursuant hereto shall be registered in
the Register only upon delivery to the Administrative Agent of a Lender Assignment Agreement that
has been executed by the requisite parties pursuant to Section 10.11. No assignment or
transfer of a Lender’s Commitment or Loans shall be effective unless such assignment or transfer
shall have been recorded in the Register by the Administrative Agent as provided in this Section.

     (b)
The Borrower agrees that, upon the request to the Administrative Agent by any Lender, the
Borrower will execute and deliver to such Lender a Note evidencing the Loans made by, and payable
to the order of, such Lender in a maximum principal amount equal to such Lender’s Percentage of the
original applicable Commitment Amount. The Borrower hereby irrevocably authorizes each Lender to
make (or cause to be made) appropriate notations on the grid attached to such Lender’s Note (or on
any continuation of such grid), which notations, if made, shall evidence, inter
alia, the date of, the outstanding principal amount of, and the interest rate and Interest
Period applicable to the Loans evidenced thereby. Such notations shall, to the extent not
inconsistent with notations made by the Administrative Agent in the Register, constitute prima
facie evidence and shall be binding on each Obligor absent manifest error; provided that,
the failure of any Lender to make any such notations shall not limit or otherwise affect any
Obligations of any Obligor.

     SECTION 2.8 Euro Loans.

     (a)
If the Borrower requests a Borrowing in Euros, or if pursuant to any Continuation/Conversion
Notice the Borrower elects to continue any LIBO Rate Loan denominated in Euros, the Administrative
Agent shall in the notice given to the Revolving Loan Lenders pursuant to Section 2.3 or
Section 2.4, as the case may be, give details of such request or election including, as the
case may be, the aggregate principal amount of the Borrowing in Euros to be made by each Lender
pursuant to the terms of this Agreement or the aggregate principal amount of such LIBO Rate Loans
to be continued by each Lender pursuant to the terms of this Agreement.

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     (b)
Each Lender shall be deemed to have confirmed to the Borrower and the Administrative Agent
that Euros are Available to such Lender unless no later than 9:00 a.m. on the same Business Day of
the requested Borrowing or the proposed continuation it shall have notified the Administrative
Agent that Euros are not Available.

     (c)
In the event that the Administrative Agent has received notification from any of the Lenders
that Euros are not Available, then the Administrative Agent shall notify the Borrower and the
Lenders no later than 10:00 a.m. on the same Business Day of the proposed Borrowing or proposed
continuation.

     (d)
If the Administrative Agent notifies the Borrower pursuant to clause (c) above that
any of the Lenders has notified the Administrative Agent that Euros are not Available, such
notification shall (i) in the case of such Borrowing Request, revoke such Borrowing Request and
(ii) in the case of any Continuation/Conversion Notice, such continuation/conversion with respect
thereto shall be deemed withdrawn and such Euro Loans shall be redenominated into, as directed by
the Borrower, Base Rate Loans or LIBO Rate Loans in Dollars with the Interest Period set forth in
such Continuation/Conversion Notice. The Administrative Agent will promptly notify the Borrower
and the Lenders of any such redenomination and in such notice by the Administrative Agent to each
Lender the Administrative Agent will state the aggregate Dollar Equivalent amount of the
redenominated Euro Loans as of the Revaluation Date with respect thereto and such Lender’s
Percentage thereof.

     (e)
Notwithstanding anything herein to the contrary, during the existence of an Event of Default,
upon the request of the Lenders holding in excess of 50% of the Revolving Loan Commitments, all or
any part of any outstanding Euro Loans shall be redenominated and converted into Base Rate Loans on
the last day of the Interest Period with respect to any such Euro Loans. The Administrative Agent
will promptly notify the Borrower and the Revolving Loan Lenders of any such redenomination and
conversion request.

ARTICLE III

REPAYMENTS, PREPAYMENTS, INTEREST AND FEES

     SECTION 3.1 Repayments and Prepayments; Application. The Borrower agrees that the
Loans shall be repaid and prepaid pursuant to the following terms.

     SECTION 3.1.1 Repayments and Prepayments. The Borrower shall repay in full the
unpaid principal amount of each Loan upon the applicable Stated Maturity Date therefor. Prior
thereto, payments and prepayments of the Loans shall or may be made as set forth below.

     (a)
From time to time on any Business Day, the Borrower may make a voluntary prepayment, in whole
or in part, of the outstanding principal amount of any

     (i) Loans (other than Swing Line Loans); provided that, (A) any such voluntary
prepayment of the Term Loans shall be made among Term A Loans and/or Term B Loans as directed
by the Borrower, and among Term A Loans or Term B Loans, as applicable, of the same type and,
if applicable, having the same Interest Period of all Lenders that have made such Term A Loans
or Term B Loans (applied to the remaining amortization payments for the Term A Loans or the
Term B Loans, as the case may be, in

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such amounts as the Borrower shall determine) and any
such prepayment of Revolving Loans shall be made pro rata among the Revolving
Loans of the same type and denominated in the same Currency, if applicable, having the same
Interest Period of all Lenders that have made such Revolving Loans; (B) all such voluntary
prepayments shall
require at least (1) in the case of Base Rate Loans, one but no more than five Business
Days’ prior notice to the Administrative Agent and (2) in the case of LIBO Rate Loans, three
but no more than five Business Days’ prior notice to the Administrative Agent; and (C) all
such voluntary partial prepayments shall be in an aggregate minimum amount of $1,000,000 and
an integral multiple of $500,000; and

     (ii) Swing Line Loans; provided that, (A) all such voluntary prepayments shall
require prior telephonic notice to the Swing Line Lender on or before 1:00 p.m. on the day of
such prepayment (such notice to be confirmed in writing within 24 hours thereafter); and (B)
all such voluntary partial prepayments shall be in an aggregate minimum amount of $200,000 and
an integral multiple of $100,000.

     (b)
On each date when the aggregate Revolving Exposure of all Revolving Loan Lenders exceeds the
Revolving Loan Commitment Amount (as it may be reduced from time to time pursuant to this
Agreement), the Borrower shall make a mandatory prepayment of Revolving Loans or Swing Line Loans
(or both) and, if necessary, Cash Collateralize all Letter of Credit Outstandings, in an aggregate
amount equal to such excess.

     (c)
On the Stated Maturity Date and on each Quarterly Payment Date occurring during any period set
forth below, the Borrower shall make a scheduled repayment of the aggregate outstanding principal
amount, if any, of all Term A Loans in an amount equal to the percentage of the original principal
amount of all Term A Loans set forth below opposite the Stated Maturity Date or such Quarterly
Payment Date, as applicable:

	 	 	 	 	 
	Period	 	Percentage
	December 31, 2006 through (and including) September 30,
2007

	 	 	1.25	%
	October 1, 2007 through (and including) September 30, 2008

	 	 	2.50	%
	October 1, 2008 through (and including) September 30, 2009

	 	 	3.75	%
	October 1, 2009 through (and including) September 30, 2010

	 	 	5.00	%
	October 1, 2010 through (and including) September 30, 2011

	 	 	6.25	%
	October 1, 2011 through (and including) Stated Maturity

	 	 	6.25	%
	Date for Term A Loans

	 	or the then
outstanding
principal amount of
all Term A Loans,
if different.

     (d)
On each Quarterly Payment Date (beginning with the Quarterly Payment Date on December 31,
2006), the Borrower shall make a scheduled repayment of the aggregate outstanding principal amount,
if any, of all Term B Loans in an amount equal to 0.25% of the

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original principal amount of all Term B Loans, with the remaining amount of Term B Loans due and payable in full on the Stated
Maturity Date for Term B Loans.

     (e)
Concurrently
with the receipt by the Borrower of any Net Equity Proceeds, the
Borrower shall make a mandatory prepayment of the Loans in an amount equal to the product of (i)
such Net Equity Proceeds multiplied by (ii) the Applicable Percentage, to be applied as set
forth in Section 3.1.2.

     (f)
The Borrower shall (subject to the next proviso) within 5 Business Days receipt of any Net
Disposition Proceeds or Net Casualty Proceeds, by the Borrower or any of its U.S. Subsidiaries,
deliver to the Administrative Agent a calculation of the amount of such proceeds, and, to the
extent the aggregate amount of such (i) Net Disposition Proceeds received by the Borrower and its
U.S. Subsidiaries in any period of twelve consecutive calendar months since the Closing Date
exceeds $10,000,000 and (ii) Net Casualty Proceeds received by the Borrower and its U.S.
Subsidiaries in any period of twelve consecutive calendar months since the Closing Date exceeds
$50,000,000, the Borrower shall make a mandatory prepayment of the Loans in an amount equal to 100%
of such excess Net Disposition Proceeds or Net Casualty Proceeds, as applicable; provided
that, so long as (i) no Event of Default has occurred and is continuing, such proceeds may be
retained by the Borrower and its U.S. Subsidiaries (and be excluded from the prepayment
requirements of this clause) to be invested or reinvested within one year or, subject to
immediately succeeding clause (ii), 18 months or 36 months, as applicable, to the
acquisition or construction of other assets or properties consistent with the businesses permitted
to be conducted pursuant to Section 7.2.1 (including by way of merger or Investment), and
(ii) within one year following the receipt of such Net Disposition Proceeds or Net Casualty
Proceeds, such proceeds are (A) applied or (B) committed to be, and actually are, applied within
(I) 18 months following the receipt of such Net Disposition Proceeds or (II) 36 months following
the receipt of such Net Casualty Proceeds, in each case to such acquisition or construction plan.
The amount of such Net Disposition Proceeds or Net Casualty Proceeds unused or uncommitted after
such one year, 18 months or 36 months, as applicable, period shall be applied to prepay the Loans
as set forth in Section 3.1.2. At any time after receipt of any such Net Casualty Proceeds
in excess of $25,000,000 but prior to the application thereof to such mandatory prepayment or the
acquisition of other assets or properties as described above, upon the request by the
Administrative Agent (acting at the direction of the Required Lenders) to the Borrower, the
Borrower shall deposit an amount equal to such excess Net Casualty Proceeds into a cash collateral
account maintained with (and subject to documentation reasonably satisfactory to) the Collateral
Agent for the benefit of the Secured Parties (and over which the Collateral Agent shall have a
first priority perfected Lien) pending application as a prepayment or to be released as requested
by the Borrower in respect of such acquisition. Amounts deposited in such cash collateral account
shall be invested in Cash Equivalent Investments, as directed by the Borrower.

     (g)
Within 100 days after the close of each Fiscal Year (beginning with the Fiscal Year ending
2007) the Borrower shall make a mandatory prepayment of the Loans in an amount equal to the product
of (i) the Excess Cash Flow (if any) for such Fiscal Year multiplied by (ii) the Applicable
Percentage minus (iii) the aggregate amount of all voluntary prepayments of Loans (but
including Revolving Loans and Swing Line Loans only to the extent of a corresponding reduction of
the Revolving Loan Commitment Amount pursuant to Section 2.2.1) made during such Fiscal
Year, to be applied as set forth in Section 3.1.2;

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     (h)
Concurrently with the receipt by the Borrower or any of its U.S. Subsidiaries of any Net Debt
Proceeds, the Borrower shall make a mandatory prepayment of the Loans in an amount equal to 100% of
such Net Debt Proceeds, to be applied as set forth in Section 3.1.2.

     (i) Concurrently with the receipt by the Borrower or any of its U.S. Subsidiaries of any Net
Receivables Proceeds, the Borrower shall make a mandatory prepayment of the Term Loans in
an amount equal to 100% of such Net Receivables Proceeds, to be applied as set forth in
Section 3.1.2.

     (j) Immediately upon any acceleration of the Stated Maturity Date of any Loans pursuant to
Section 8.2 or Section 8.3, the Borrower shall repay all the Loans, unless,
pursuant to Section 8.3, only a portion of all the Loans is so accelerated (in which case
the portion so accelerated shall be so repaid).

Each prepayment of any Loans made pursuant to this Section shall be without premium or penalty,
except as may be required by Section 4.4.

     SECTION 3.1.2 Application. Amounts prepaid pursuant to Section 3.1.1 shall
be applied as set forth in this Section.

     (a) Subject to clause (b), each prepayment or repayment of the principal of the Loans
shall be applied, to the extent of such prepayment or repayment, first, to the principal
amount thereof being maintained as Base Rate Loans, and second, subject to the terms of
Section 4.4, to the principal amount thereof being maintained as LIBO Rate Loans.

     (b) Each prepayment of the Loans made pursuant to clauses (e), (f), (g),
(h) and (i) of Section 3.1.1 shall be applied (i) first,
pro rata to a mandatory prepayment of the outstanding principal amount of all Term
Loans (with the amount of such prepayment of the Term Loans being applied (A) first to the
remaining Term A Loan or Term B Loan, as the case may be, to reduce in direct order of maturity the
amortization payments that are due and payable within 24 calendar months from the date of such
prepayment, and (B) second, to the extent in excess of the amounts to be applied pursuant
to the preceding clause (A), to reduce the then remaining Term Loan amortization payments
on a pro rata basis), and (ii) second, once all Term Loans have been repaid
in full, to the repayment of any outstanding Revolving Loans and a reduction of the Revolving Loan
Commitment Amount in accordance with Section 2.2.2; provided that, so long as, and
to the extent, Term A Loans are outstanding and subject to the terms set forth in the immediately
succeeding clause (c), each Lender with Term B Loans entitled to receive any mandatory
prepayment of its Loans under this clause may waive its right to receive any such mandatory
prepayment, and the aggregate amount of such prepayments so waived shall be applied as a mandatory
prepayment of Term A Loans for application in accordance with this clause.

     (c) So long as the Administrative Agent has received prior written notice from the Borrower of a
mandatory prepayment pursuant to clauses (e), (f), (g), (h) and
(i) of Section 3.1.1, the Administrative Agent shall provide notice of such
mandatory prepayment to the Lenders with Term Loans. Unless the Administrative Agent shall
otherwise so provide, in the event a Lender with Term B Loan does not notify the Administrative
Agent in writing of its waiver of the right

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to receive its pro rata share of such mandatory
prepayment within two Business Days of the providing of such notice by the Administrative Agent,
unless otherwise determined by the Administrative Agent, such Lender shall be irrevocably deemed
not to have waived its rights to receive its applicable pro rata share of such mandatory
prepayment. It is understood and agreed by the Borrower that, notwithstanding receipt by the
Administrative Agent of any such mandatory prepayment, the Term Loans shall not be deemed repaid,
unless otherwise consented
to by the Administrative Agent, until five Business Days have elapsed from the delivery to the
Administrative Agent of the notice described above in this clause (c).

     SECTION 3.2 Interest Provisions. Interest on the outstanding principal amount of the
Loans shall accrue and be payable in accordance with the terms set forth below.

     SECTION 3.2.1 Rates. Subject to Section 2.3.2, pursuant to an appropriately
delivered Borrowing Request or Continuation/Conversion Notice, the Borrower may elect that the
Loans comprising a Borrowing accrue interest at a rate per annum:

     (a) on that portion maintained from time to time as a Base Rate Loan, equal to the sum of
the Alternate Base Rate from time to time in effect plus the Applicable Margin;
provided that, Swing Line Loans shall always accrue interest at the Alternate Base
Rate plus the then effective Applicable Margin for Revolving Loans maintained as Base
Rate Loans; and

     (b) on that portion maintained as a LIBO Rate Loan, during each Interest Period
applicable thereto, equal to the sum of the LIBO Rate (Reserve Adjusted) or the LIBO Alternate
Rate, as the case may be, applicable to the Currency in which such Loans are denominated for
such Interest Period plus the Applicable Margin.

All LIBO Rate Loans shall bear interest from and including the first day of the applicable Interest
Period to (but not including) the last day of such Interest Period at the interest rate determined
as applicable to such LIBO Rate Loan.

     SECTION 3.2.2 Post-Default Rates. After the occurrence and during the continuance of
an Event of Default, the Borrower shall pay (in the applicable Currency or the Dollar Equivalent of
Euros, as the Borrower shall determine), but only to the extent permitted by law, interest (after
as well as before judgment) on all outstanding Obligations at a rate per annum equal to (a) in the
case of principal on any Loan, the rate of interest that otherwise would be applicable to such Loan
plus 2% per annum; and (b) in the case of overdue interest, fees, and other monetary
Obligations, the Alternate Base Rate from time to time in effect, plus the Applicable Margin for
Term B Loans accruing interest at the Alternate Base Rate, plus 2% per annum.

     SECTION 3.2.3 Payment Dates. Interest accrued on each Loan shall be payable, without
duplication:

     (a) on the Stated Maturity Date therefor;

     (b) on the date of any payment or prepayment, in whole or in part, of principal
outstanding on such Loan on the principal amount so paid or prepaid;

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     (c) with respect to Base Rate Loans, on each Quarterly Payment Date occurring after the
Closing Date;

     (d) with respect to LIBO Rate Loans, on the last day of each applicable Interest Period
(and, if such Interest Period shall exceed three months, on the date
occurring on each three-month interval occurring after the first day of such Interest
Period);

     (e) with respect to any Base Rate Loans converted into LIBO Rate Loans on a day when
interest would not otherwise have been payable pursuant to clause (c), on the date of
such conversion; and

     (f) on that portion of any Loans the Stated Maturity Date of which is accelerated
pursuant to Section 8.2 or Section 8.3, immediately upon such acceleration.

Interest accrued on Loans or other monetary Obligations after the date such amount is due and
payable (whether on the Stated Maturity Date, upon acceleration or otherwise) shall be payable upon
demand.

     SECTION 3.3 Fees. The Borrower agrees to pay the fees set forth below. All such
fees shall be non-refundable when earned and paid.

     SECTION 3.3.1 Commitment Fee. The Borrower agrees to pay to the Administrative Agent
for the account of each Non-Defaulting Lender, for the period (including any portion thereof when
its Revolving Loan Commitments are suspended by reason of the Borrower’s inability to satisfy any
condition of Article V) commencing on the Closing Date and continuing through the Revolving
Loan Commitment Termination Date, a commitment fee in an amount equal to the Applicable Commitment
Fee Margin, in each case on such Revolving Loan Lender’s Revolving Loan Percentage of the sum of
the average daily unused portion of the Revolving Loan Commitment Amount (net of Letter of Credit
Outstandings). All commitment fees payable pursuant to this Section shall be calculated on a year
comprised of 360 days and payable by the Borrower in arrears on each Quarterly Payment Date,
commencing with the first Quarterly Payment Date following the Closing Date, and on the Revolving
Loan Commitment Termination Date. The making of Swing Line Loans shall not constitute usage of the
Revolving Loan Commitment with respect to the calculation of commitment fees to be paid by the
Borrower to the Revolving Loan Lenders.

     SECTION 3.3.2 Administrative Agent, Collateral Agent and Lead Arrangers’ Fees. The
Borrower agrees to pay to each of the Agents and each Lead Arranger, for its own account, the fees
in the amounts and on the dates set forth in the Fee Letter or in such other fee letter(s)
negotiated by the parties thereto.

     SECTION 3.3.3 Letter of Credit Fee. The Borrower agrees to pay to the Administrative
Agent, for the pro rata account of the applicable Issuer and each Revolving Loan
Lender, a Letter of Credit fee in a per annum amount equal to the then effective Applicable Margin
for Revolving Loans maintained as LIBO Rate Loans, multiplied by the Stated Amount of each such
Letter of Credit, such fees being payable quarterly in arrears on each Quarterly Payment Date
following the date of issuance of each Letter of Credit and on the Revolving Loan Commitment

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Termination Date. The Borrower further agrees to pay to the applicable Issuer an issuance fee and
such other reasonable fees and charges in connection with the issuance, negotiation, settlement,
amendment and processing of each Letter of Credit as specified in the fee letter between the
Borrower and HSBC or as otherwise agreed to by the Borrower and such Issuer.

ARTICLE IV

CERTAIN LIBO RATE AND OTHER PROVISIONS

     SECTION 4.1 LIBO Rate Lending Unlawful. If any Lender shall determine (which
determination shall, upon notice thereof to the Borrower and the Administrative Agent, constitute
prima facie evidence thereof and shall be binding on the Borrower absent manifest error) that the
introduction of or any change in or in the interpretation of any law makes it unlawful, or any
Governmental Authority asserts that it is unlawful, for such Lender to make or continue any Loan
as, or to convert any Loan into, a LIBO Rate Loan, the obligations of such Lender to make, continue
or convert any such LIBO Rate Loan shall, upon such determination, forthwith be suspended until
such Lender shall notify the Administrative Agent that the circumstances causing such suspension no
longer exist, and all (i) outstanding LIBO Rate Loans denominated in Dollars payable to such Lender
shall automatically convert into Base Rate Loans at the end of the then current Interest Periods
with respect thereto or sooner, if required by such law or assertion and (ii) all LIBO Rate Loans
denominated in Euros shall automatically become due and payable at the end of the then current
Interest Periods with respect thereto or sooner, if required by applicable law.

     SECTION 4.2 Deposits Unavailable. If the Administrative Agent shall have determined
that

     (a) Dollar deposits in the relevant amount and for the relevant Interest Period are not
available to it in its relevant market; or

     (b) by reason of circumstances affecting it’s relevant market, adequate means do not
exist for ascertaining the interest rate applicable hereunder to LIBO Rate Loans denominated
in any Currency;

then, upon notice from the Administrative Agent to the Borrower and the Lenders, the obligations of
all Lenders under Section 2.3 and Section 2.4 to make or continue any Loans as, or
to convert any Loans into, LIBO Rate Loans denominated in such Currency shall forthwith be
suspended until the Administrative Agent shall notify the Borrower and the Lenders that the
circumstances causing such suspension no longer exist.

     SECTION 4.3 Increased LIBO Rate Loan Costs, etc. The Borrower agrees to reimburse
each Lender and each Issuer for any increase in the cost to such Lender or Issuer of, or any
reduction in the amount of any sum receivable by such Secured Party in respect of, such Secured
Party’s Commitments and the making of Credit Extensions hereunder (including the making, continuing
or maintaining (or of its obligation to make or continue) any Loans as, or of converting (or of its
obligation to convert) any Loans into, LIBO Rate Loans) that arise in connection with any change
in, or the introduction, adoption, effectiveness, interpretation, reinterpretation or phase-in
after the Closing Date of, any law or regulation, directive, guideline,

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decision or request
(whether or not having the force of law) of any Governmental Authority, except for such changes
with respect to increased capital costs and Taxes which are governed by Sections 4.5 and
4.6, respectively. Each affected Secured Party shall promptly notify the Administrative
Agent and the Borrower in writing of the occurrence of any such event, stating the reasons therefor
and the additional amount required fully to compensate such Secured Party
for such increased cost or reduced amount. Such additional amounts shall be payable by the
Borrower directly to such Secured Party within five Business Days of its receipt of such notice,
and such notice shall, in the absence of manifest error, constitute prima facie evidence thereof
and shall be binding on the Borrower.

     SECTION 4.4 Funding Losses. In the event any Lender shall incur any actual loss or
expense (including any actual loss or expense incurred by reason of the liquidation or reemployment
of deposits or other funds acquired by such Lender (if any) to make or continue any portion of the
principal amount of any Loan as, or to convert any portion of the principal amount of any Loan
into, a LIBO Rate Loan) as a result of

     (a) any conversion or repayment or prepayment of the principal amount of any LIBO Rate
Loan on a date other than the scheduled last day of the Interest Period applicable thereto,
whether pursuant to Article III or otherwise;

     (b) any Loans not being made continued or converted as LIBO Rate Loans in accordance with
the Borrowing Request or other notice therefor;

     (c) any Loans not being continued as, or converted into, LIBO Rate Loans in accordance
with the Continuation/Conversion Notice therefor; or

     (d) the assignment of any LIBO Rate Loan other than on the last day of an Interest Period
therefor as a result of a request by the Borrower pursuant to Section 4.11;

then, upon the written notice of such Lender to the Borrower (with a copy to the Administrative
Agent), the Borrower shall, within five days of its receipt thereof, pay directly to such Lender
such amount as will (in the reasonable determination of such Lender) reimburse such Lender for such
actual loss or expense. Such written notice shall, in the absence of manifest error, constitute
prima facie evidence thereof and shall be binding on the Borrower.

     SECTION 4.5 Increased Capital Costs. If any change in, or the introduction,
adoption, effectiveness, interpretation, reinterpretation or phase-in of, any law or regulation,
directive, guideline, decision or request (whether or not having the force of law) of any
Governmental Authority after the Closing Date affects or would affect the amount of capital
required or expected to be maintained by any Secured Party or any Person controlling such Secured
Party, and such Secured Party determines (in good faith but in its sole and absolute discretion)
that as a result thereof the rate of return on its or such controlling Person’s capital as a
consequence of the Commitments or the Credit Extensions made, or the Letters of Credit participated
in, by such Secured Party is reduced to a level below that which such Secured Party or such
controlling Person could have achieved but for the occurrence of any such circumstance, then upon
notice (together with reasonably detailed supporting documentation) from time to time by such
Secured Party to the Borrower, the Borrower shall within five Business Days following receipt of
such

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notice pay directly to such Secured Party additional amounts sufficient to compensate such
Secured Party or such controlling Person for such reduction in rate of return. A statement in
reasonable detail of such Secured Party as to any such additional amount or amounts shall, in the
absence of manifest error, constitute prima facie evidence thereof and shall be binding on the
Borrower. In determining such amount, such Secured Party may use any method of averaging and
attribution that it (in its sole and absolute discretion) shall deem applicable.

     SECTION 4.6 Taxes. The Borrower covenants and agrees as follows with respect to
Taxes.

     (a) Any and all payments by the Borrower under each Loan Document shall be made without setoff,
counterclaim or other defense, and free and clear of, and without deduction or withholding for or
on account of, any Taxes. In the event that any Taxes are imposed and required to be deducted or
withheld from any payment required to be made by any Obligor to or on behalf of any Secured Party
under any Loan Document, then:

     (i) subject to clause (f), if such Taxes are Non-Excluded Taxes, the amount of
such payment shall be increased as may be necessary so that such payment is made, after
withholding or deduction for or on account of such Taxes, in an amount that is not less than
the amount provided for in such Loan Document; and

     (ii) the Borrower shall withhold the full amount of such Taxes from such payment (as
increased pursuant to clause (a)(i)) and shall pay such amount to the Governmental
Authority imposing such Taxes in accordance with applicable law.

     (b) In addition, the Borrower shall pay all Other Taxes imposed to the relevant Governmental
Authority imposing such Other Taxes in accordance with applicable law.

     (c) Upon the written request of the Administrative Agent, as promptly as practicable after the
payment of any Taxes or Other Taxes, and in any event within 45 days of any such written request,
the Borrower shall furnish to the Administrative Agent a copy of an official receipt (or a
certified copy thereof) evidencing the payment of such Taxes or Other Taxes. The Administrative
Agent shall make copies thereof available to any Lender upon request therefor.

     (d) Subject to clause (f), the Borrower shall indemnify each Secured Party for any
Non-Excluded Taxes and Other Taxes levied, imposed or assessed on (and whether or not paid directly
by) such Secured Party whether or not such Non-Excluded Taxes or Other Taxes are correctly or
legally asserted by the relevant Governmental Authority; provided that if the Borrower
reasonably believes that such Taxes were not correctly or legally asserted, such Secured Party will
use reasonable efforts to cooperate with the Borrower to obtain a refund of such Taxes so long as
such efforts would not, in the sole determination of such Secured Party, result in any additional
costs, expenses or risks or be otherwise disadvantageous to it. Promptly upon having knowledge
that any such Non-Excluded Taxes or Other Taxes have been levied, imposed or assessed, and promptly
upon notice thereof by any Secured Party, the Borrower shall pay such Non-Excluded Taxes or Other
Taxes directly to the relevant Governmental Authority (provided that, no Secured Party
shall be under any obligation to provide any such notice to the Borrower). In addition, the
Borrower shall indemnify each Secured Party for any incremental

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Taxes that may become payable by
such Secured Party as a result of any failure of the Borrower to pay any Taxes when due to the
appropriate Governmental Authority or to deliver to the Administrative Agent, pursuant to
clause (c), documentation evidencing the payment of Taxes or Other Taxes (other than
incidental taxes resulting directly as a result of the willful misconduct or
gross negligence of the Administrative Agent or a respective Secured Party); provided
that if the Secured Party or Administrative Agent, as applicable, fails to give notice to the
Borrower of the imposition of any Non-Excluded Taxes or Other Taxes within 120 days following its
receipt of actual written notice of the imposition of such Non-Excluded Taxes or Other Taxes, there
will be no obligation for the Borrower to pay interest or penalties attributable to the period
beginning after such 120th day and ending seven days after the Borrower receives notice from the
Secured Party or the Administrative Agent as applicable. With respect to indemnification for
Non-Excluded Taxes and Other Taxes actually paid by any Secured Party or the indemnification
provided in the immediately preceding sentence, such indemnification shall be made within 30 days
after the date such Secured Party makes written demand therefor (together with supporting
documentation in reasonable detail). The Borrower acknowledges that any payment made to any
Secured Party or to any Governmental Authority in respect of the indemnification obligations of the
Borrower provided in this clause shall constitute a payment in respect of which the provisions of
clause (a) and this clause shall apply.

     (e) Each Non-U.S. Lender, on or prior to the date on which such Non-U.S. Lender becomes a Lender
hereunder (and from time to time thereafter upon the request of the Borrower or the Administrative
Agent, but only for so long as such non-U.S. Lender is legally entitled to do so), shall deliver to
the Borrower and the Administrative Agent either (i) two duly completed copies of either (x)
Internal Revenue Service Form W-8BEN claiming eligibility of the Non-U.S. Lender for benefits of an
income tax treaty to which the United States is a party or (y) Internal Revenue Service Form
W-8ECI, or in either case an applicable successor form; or (ii) in the case of a Non-U.S. Lender
that is not legally entitled to deliver either form listed in clause (e)(i), (x) a
certificate to the effect that such Non-U.S. Lender is not (A) a “bank” within the meaning of
Section 881(c)(3)(A) of the Code, (B) a “10 percent shareholder” of the Borrower within the meaning
of Section 881(c)(3)(B) of the Code, or (C) a controlled foreign corporation receiving interest
from a related person within the meaning of Section 881(c)(3)(C) of the Code (referred to as an
“Exemption Certificate”) and (y) two duly completed copies of Internal Revenue Service Form
W-8BEN or applicable successor form.

     (f) The Borrower shall not be obligated to pay any additional amounts to any Lender pursuant to
clause (a)(i), or to indemnify any Lender pursuant to clause (d), in respect of
United States federal withholding taxes to the extent imposed as a result of (i) the failure of
such Lender to deliver to the Borrower the form or forms and/or an Exemption Certificate, as
applicable to such Lender, pursuant to clause (e), (ii) such form or forms and/or Exemption
Certificate not establishing a complete exemption from U.S. federal withholding tax or the
information or certifications made therein by the Lender being untrue or inaccurate on the date
delivered in any material respect, or (iii) the Lender designating a successor lending office at
which it maintains its Loans which has the effect of causing such Lender to become obligated for
tax payments in excess of those in effect immediately prior to such designation; provided
that the Borrower shall be obligated to pay additional amounts to any such Lender pursuant to
clause (a)(i) and to indemnify any such Lender pursuant to clause (d), in respect
of United States federal withholding taxes if (i) any such failure to deliver a form or forms or an
Exemption Certificate or

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the failure of such form or forms or Exemption Certificate to establish a
complete exemption from U.S. federal withholding tax or inaccuracy or untruth contained therein
resulted from a change in any applicable statute, treaty, regulation or other applicable law or any
interpretation of any of the foregoing occurring after the Closing Date, which change rendered such
Lender no
longer legally entitled to deliver such form or forms or Exemption Certificate or otherwise
ineligible for a complete exemption from U.S. federal withholding tax, or rendered the information
or certifications made in such form or forms or Exemption Certificate untrue or inaccurate in a
material respect, (ii) the redesignation of the Lender’s lending office was made at the request of
the Borrower or (iii) the obligation to pay any additional amounts to any such Lender pursuant to
clause (a)(i) or to indemnify any such Lender pursuant to clause (d) is with
respect to an Eligible Assignee that becomes an assignee Lender as a result of an assignment made
at the request of the Borrower.

     (g) If the Administrative Agent or a Lender determines in its sole, good faith discretion that
amounts recovered or refunded are a recovery or refund of any Non-Excluded Taxes or Other Taxes as
to which it has been indemnified by the Borrower pursuant to clause (d), or to which the
Borrower has paid additional amounts pursuant to clause (a)(i), it shall pay over such
refund to the Borrower (but only to the extent of indemnity payments made, or additional amounts
paid, by the Borrower under this Section 4.6 with respect to the Non-Excluded Taxes or
Other Taxes that give rise to such refund), net of all reasonable out-of-pocket expenses of the
Administrative Agent or such Lender and without interest (other than any interest paid by the
relevant Governmental Authority with respect to such refund); provided that in no event
will any Lender be required to pay an amount to the Borrower that would place such Lender in a less
favorable net after-tax position than such Lender would have been in if the additional amounts
giving rise to such refund of any Non-Excluded Taxes or Other Taxes had never been paid, and
provided further that the Borrower, upon the written request of the Administrative
Agent or such Lender, agrees to repay the amount paid over to the Borrower (plus any penalties,
interest, or other charges imposed by the relevant Governmental Authority unless the Governmental
Authority assessed such penalties, interest, or other charges due to the gross negligence or
willful misconduct of the Administrative Agent or such Lender) to the Administrative Agent or such
Lender in the event the Administrative Agent or such Lender is required to repay such refund to the
Governmental Authority. Nothing in this Section 4.6(g) shall require any Lender to make
available its tax returns or any other information related to its taxes that it deems confidential.

     SECTION 4.7 Payments, Computations; Proceeds of Collateral, etc. (a) Unless
otherwise expressly provided in a Loan Document, all payments by the Borrower pursuant to each Loan
Document shall be made by the Borrower to the Administrative Agent for the pro rata
account of the Secured Parties entitled to receive such payment. All payments shall be made
without setoff, deduction or counterclaim not later than 11:00 a.m. on the date due in same day or
immediately available funds, in the applicable Currency, to such account as the Administrative
Agent (or in the case of a reimbursement obligation, the applicable Issuer) shall specify from time
to time by notice to the Borrower. Funds received after that time shall be deemed to have been
received by the Administrative Agent on the next succeeding Business Day. The Administrative Agent
shall promptly remit in same day funds to each Secured Party its share, if any, of such payments
received by the Administrative Agent for the account of such Secured Party. All interest
(including interest on LIBO Rate Loans) and fees shall be computed on the basis of the actual
number of days (including the first day but excluding the last day)

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occurring during the period for
which such interest or fee is payable over a year comprised of 360 days (or, in the case of
interest on a Base Rate Loan (calculated at other than the Federal Funds Rate), 365 days or, if
appropriate, 366 days). Payments due on other than a Business Day
shall be made on the next succeeding Business Day and such extension of time shall be included
in computing interest and fees in connection with that payment.

     (b) All amounts received as a result of the exercise of remedies under the Loan Documents
(including from the proceeds of collateral securing the Obligations) or under applicable law shall
be applied upon receipt to the Obligations as follows: (i) first, to the payment of all Obligations
owing to the Agents, in their capacity as Agents (including the fees and expenses of counsel to the
Agents), (ii) second, after payment in full in cash of the amounts specified in clause
(b)(i), to the ratable payment of all interest (including interest accruing after the
commencement of a proceeding in bankruptcy, insolvency or similar law, whether or not permitted as
a claim under such law) and fees owing under the Loan Documents, and all costs and expenses owing
to the Secured Parties pursuant to the terms of the Loan Documents, until paid in full in cash,
(iii) third, after payment in full in cash of the amounts specified in clauses (b)(i) and
(b)(ii), to the ratable payment of the principal amount of the Loans then outstanding, the
aggregate Reimbursement Obligations then owing, the Cash Collateralization for contingent
liabilities under Letter of Credit Outstandings and amounts owing to Secured Parties under Rate
Protection Agreements, (iv) fourth, after payment in full in cash of the amounts specified in
clauses (b)(i) through (b)(iii), to the ratable payment of all other Obligations
owing to the Secured Parties, and (v) fifth, after payment in full in cash of the amounts specified
in clauses (b)(i) through (b)(iv), and following the Termination Date, to each
applicable Obligor or any other Person lawfully entitled to receive such surplus. For purposes of
clause (b)(iii), the “amounts owing” at any time to any Secured Party with respect to a
Rate Protection Agreement to which such Secured Party is a party shall be determined at such time
by the terms of such Rate Protection Agreement or, if not set forth therein, in accordance with the
customary methods of calculating credit exposure under similar arrangements by the counterparty to
such arrangements, taking into account potential interest rate (or, if applicable, currency or
commodities) movements and the respective termination provisions and notional principal amount and
term of such Rate Protection Agreement.

     SECTION 4.8 Sharing of Payments. If any Secured Party shall obtain any payment or
other recovery (whether voluntary, involuntary, by application of setoff or otherwise) on account
of any Credit Extension or Reimbursement Obligation (other than pursuant to the terms of
Sections 4.3, 4.4, 4.5 or 4.6) in excess of its pro
rata share of payments obtained by all Secured Parties, such Secured Party shall purchase
(in Dollars) from the other Secured Parties such participations in Credit Extensions made by them
as shall be necessary to cause such purchasing Secured Party to share the excess payment or other
recovery ratably (to the extent such other Secured Parties were entitled to receive a portion of
such payment or recovery) with each of them; provided that, if all or any portion of the
excess payment or other recovery is thereafter recovered from such purchasing Secured Party, the
purchase shall be rescinded and each Secured Party which has sold a participation to the purchasing
Secured Party shall repay to the purchasing Secured Party the purchase price to the ratable extent
of such recovery together with an amount equal to such selling Secured Party’s ratable share
(according to the proportion of (a) the amount of such selling Secured Party’s required repayment
to the purchasing Secured Party to (b) total amount so

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recovered from the purchasing
Secured Party) of any interest or other amount paid or payable by the purchasing Secured Party in
respect of the total amount so recovered. The Borrower agrees that any Secured Party purchasing a
participation from another Secured Party pursuant to this Section may, to the fullest extent
permitted by law, exercise all its rights of payment (including pursuant to Section 4.9)
with respect to such participation as fully
as if such Secured Party were the direct creditor of the Borrower in the amount of such
participation. If under any applicable bankruptcy, insolvency or other similar law any Secured
Party receives a secured claim in lieu of a setoff to which this Section applies, such Secured
Party shall, to the extent practicable, exercise its rights in respect of such secured claim in a
manner consistent with the rights of the Secured Parties entitled under this Section to share in
the benefits of any recovery on such secured claim.

     SECTION 4.9 Setoff. Each Secured Party shall, upon the occurrence and during the
continuance of any Event of Default described in clauses (a) through (d) of
Section 8.1.9 or, with the consent of the Required Lenders, upon the occurrence and during
the continuance of any other Event of Default, have the right to appropriate and apply to the
payment of the Obligations owing to it (if then due and payable), and (as security for such
Obligations) the Borrower hereby grants to each Secured Party a continuing security interest in,
any and all balances, credits, deposits, accounts or moneys of the Borrower then or thereafter
maintained with such Secured Party (other than payroll, trust or tax accounts); provided
that, any such appropriation and application shall be subject to the provisions of Section
4.8. Each Secured Party agrees promptly to notify the Borrower and the Administrative Agent
after any such appropriation and application made by such Secured Party; provided that, the
failure to give such notice shall not affect the validity of such setoff and application. The
rights of each Secured Party under this Section are in addition to other rights and remedies
(including other rights of setoff under applicable law or otherwise) which such Secured Party may
have.

     SECTION 4.10 Mitigation. Each Lender agrees that if it makes any demand for payment
under Sections 4.3 or 4.6, it will use reasonable efforts (consistent with its
internal policy and legal and regulatory restrictions and so long as such efforts would not be
disadvantageous to it, as determined in its sole discretion) to designate a different lending
office if the making of such a designation would reduce or obviate the need for the Borrower to
make payments under Section 4.3 or 4.6.

     SECTION 4.11 Removal of Lenders. If any Lender (an “Affected Lender”) (i)
fails to consent to an election, consent, amendment, waiver or other modification to this Agreement
or other Loan Document (a “Non-Consenting Lender”) that requires the consent of a greater
percentage of the Lenders than the Required Lenders and such election, consent, amendment, waiver
or other modification is otherwise consented to by Non-Defaulting Lenders holding more than 66 and
2/3% of the Total Exposure Amount of all Non-Defaulting Lenders, (ii) makes a demand upon the
Borrower for (or if the Borrower is otherwise required to pay) amounts pursuant to Section
4.3, 4.5 or 4.6, or gives notice pursuant to Section 4.1 requiring a
conversion of such Affected Lender’s LIBO Rate Loans to Base Rate Loans or any change in the basis
upon which interest is to accrue in respect of such Affected Lender’s LIBO Rate Loans or suspending
such Lender’s obligation to make Loans as, or to convert Loans into, LIBO Rate Loans or, (iii)
becomes a Defaulting Lender the Borrower may, at its sole cost and expense, within 90 days of
receipt by the Borrower of such demand or notice (or the occurrence of such other event causing
Borrower to be required to pay such compensation) or within 90 days of such Lender becoming a
Non-Consenting Lender or a Defaulting Lender, as the case may be, give notice (a “Replacement
Notice”)

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in writing to the Administrative Agent and such Affected Lender of its intention to
cause such Affected Lender to sell all or any portion of its Loans, Commitments and/or Notes to
another financial institution or other Person (a “Replacement Lender”) designated in such
Replacement Notice; provided that no Replacement Notice may be given by the Borrower
if (A) such replacement conflicts with any applicable law or regulation or (B) prior to any such
replacement, such Lender shall have taken any necessary action under Section 4.5 or
4.6 (if applicable) so as to eliminate the continued need for payment of amounts owing
pursuant to Section 4.5 or 4.6 and withdrew its request for compensation under
Section 4.3, 4.5 or 4.6 . If the Administrative Agent shall, in the
exercise of its reasonable discretion and within 30 days of its receipt of such Replacement Notice,
notify the Borrower and such Affected Lender in writing that the Replacement Lender is reasonably
satisfactory to the Administrative Agent (such consent not being required where the Replacement
Lender is already a Lender), then such Affected Lender shall, subject to the payment of any amounts
due pursuant to Section 4.4, assign, in accordance with Section 10.11, the portion
of its Commitments, Loans, Notes (if any) and other rights and obligations under this Agreement and
all other Loan Documents (including Reimbursement Obligations, if applicable) designated in the
replacement notice to such Replacement Lender; provided that (A) such assignment shall be
without recourse, representation or warranty and shall be on terms and conditions reasonably
satisfactory to such Affected Lender and such Replacement Lender, and (B) the purchase price paid
by such Replacement Lender shall be in the amount of such Affected Lender’s Loans designated in the
Replacement Notice and/or its Percentage of outstanding Reimbursement Obligations, as applicable,
together with all accrued and unpaid interest and fees in respect thereof, plus all other amounts
(including the amounts demanded and unreimbursed under Sections 4.3, 4.5 and
4.6), owing to such Affected Lender hereunder. Upon the effective date of an assignment
described above, the Replacement Lender shall become a “Lender” for all purposes under the Loan
Documents. Each Lender hereby grants to the Administrative Agent an irrevocable power of attorney
(which power is coupled with an interest) to execute and deliver, on behalf of such Lender as
assignor, any assignment agreement necessary to effectuate any assignment of such Lender’s
interests hereunder in the circumstances contemplated by this Section.

     SECTION 4.12 Limitation on Additional Amounts, etc. Notwithstanding anything to the
contrary contained in Sections 4.3 or 4.5  of this Agreement, unless a Lender gives
notice to the Borrower that it is obligated to pay an amount under any such Section within 90 days
after the later of (i) the date the Lender incurs the respective increased costs, loss, expense or
liability, reduction in amounts received or receivable or reduction in return on capital or (ii)
the date such Lender has actual knowledge of its incurrence of their respective increased costs,
loss, expense or liability, reductions in amounts received or receivable or reduction in return on
capital, then such Lender shall only be entitled to be compensated for such amount by the Borrower
pursuant to Sections 4.3 or 4.5, as the case may be, to the extent the costs, loss,
expense or liability, reduction in amounts received or receivable or reduction in return on capital
are incurred or suffered on or after the date which occurs 90 days prior to such Lender giving
notice to the Borrower that it is obligated to pay the respective amounts pursuant to Sections
4.3 or 4.5, as the case may be. This Section shall have no applicability to any
Section of this Agreement other than Sections 4.3 and 4.5.

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ARTICLE V

CONDITIONS TO CREDIT EXTENSIONS

     SECTION 5.1 Initial Credit Extension. Subject to Section 7.1.11, the
obligations of the Lenders and, if applicable, an Issuer to make the initial Credit Extension shall
be subject to the
prior or concurrent satisfaction (or waiver) in all material respects of each of the
conditions precedent set forth in this Article.

     SECTION 5.1.1 Resolutions, etc. The Lead Arrangers shall have received from each
Obligor, as applicable, (i) a copy of a good standing certificate, dated a date reasonably close to
the Closing Date, for each such Obligor from its jurisdiction of organization and (ii) a
certificate, dated as of the Closing Date, duly executed and delivered by such Obligor’s Secretary
or Assistant Secretary, managing member or general partner, as applicable, as to

     (a) resolutions of each such Obligor’s Board of Directors (or other managing body, in the
case of other than a corporation) then in full force and effect authorizing, to the extent
relevant, all aspects of the Transaction applicable to such Obligor and the execution,
delivery and performance of each Loan Document to be executed by such Obligor and the
transactions contemplated hereby and thereby;

     (b) the incumbency and signatures of those of its officers, managing member or general
partner, as applicable, authorized to act with respect to each Loan Document to be executed by
such Obligor; and

     (c) the full force and validity of each Organic Document of such Obligor and copies
thereof;

upon which certificates each Secured Party may conclusively rely until it shall have received a
further certificate of the Secretary, Assistant Secretary, managing member or general partner, as
applicable, of any such Obligor canceling or amending the prior certificate of such Obligor.

     SECTION 5.1.2 Closing Date Certificate. The Lead Arrangers shall have received the
Closing Date Certificate, dated as of the Closing Date and duly executed and delivered by an
Authorized Officer of the Borrower, in which certificate the Borrower shall agree and acknowledge
and certify that the statements made therein are, true and correct representations and warranties
of the Borrower as of such date, and, at the time each such certificate is delivered, such
statements shall in fact be true and correct. All documents and agreements (including Transaction
Documents) required to be appended to the Closing Date Certificate shall be in form and substance
reasonably satisfactory to the Lead Arrangers, shall have been executed and delivered by the
requisite parties, and shall be in full force and effect.

     SECTION 5.1.3 Consummation of Transaction. The Lead Arrangers shall have received
evidence reasonably satisfactory to it that all actions necessary to consummate the Transaction
(other than the entering into of the Senior Note Documents and the issuance of the Senior Notes)
shall have been taken in accordance in all material respects with all applicable law and in
accordance with the terms of each applicable Transaction Document, without amendment or waiver of
any material provision thereof, unless approved by the Lead Arrangers in their reasonable
discretion.

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     SECTION 5.1.4 PATRIOT Act Disclosures. Within five Business Days’ prior to the
Closing Date, the Lenders or the Lead Arrangers shall have received copies of all PATRIOT Act
Disclosures as reasonably requested by the Lenders or the Lead Arrangers.

     SECTION 5.1.5 Delivery of Notes. The Administrative Agent shall have received, for
the account of each Lender that has requested a Note, such Lender’s Notes duly executed and
delivered by an Authorized Officer of the Borrower.

     SECTION 5.1.6 Financial Information, etc. The Lead Arrangers shall have received,

     (a) audited consolidated balance sheets and related statements of income, stockholders’
equity and cash flows of (i) the Borrower and its Subsidiaries as at July 2, 2003, July 2,
2004 and July 2, 2005;

     (b) unaudited consolidated balance sheets and related statements of income, stockholders’
equity and cash flows for the 39-week period ended April 1, 2006;

     (c) a pro forma consolidated balance sheet and related pro forma consolidated statements
of income and cash flows as of and for the twelve-month period ending at the most recent
Fiscal Quarter ending at least 45 days prior to the Closing Date, prepared after giving effect
to the Transaction as if the Transaction had occurred as of such date (in the case of such
balance sheet) or at the beginning of such period (in the case of such other financial
statements), in each case which financial statements shall not be materially inconsistent with
the financial statements or forecasts previously provided to the Lenders; and

     (d) detailed projected financial statements of the Borrower and its Subsidiaries for the
seven Fiscal Years ended after the Closing Date, which projections shall include quarterly
projections for the first two Fiscal Years after the Closing Date.

     SECTION 5.1.7 Compliance Certificate. The Lead Arrangers shall have received an
initial Compliance Certificate on a pro forma basis as if the Transaction had been
consummated and the initial Credit Extension had been made as of April 1, 2006 and as to such items
therein as the Lead Arrangers reasonably request, dated the date of the initial Credit Extension,
duly executed (and with all schedules thereto duly completed) and delivered by the chief financial
or accounting Authorized Officer of the Borrower which Compliance Certificate shall set forth such
items therein as the Lead Arrangers may reasonably request, including demonstrating that the
Borrower’s pro forma Leverage Ratio is not greater than 4.80:1.00.

     SECTION 5.1.8 Guaranty. The Lead Arrangers shall have received counterparts of the
Guaranty, dated as of the Closing Date, duly executed and delivered by an Authorized Officer of
each U.S. Subsidiary.

     SECTION 5.1.9 Security Agreement; Intercreditor Agreement.

     (a) The Lead Arrangers shall have received executed counterparts of the Security Agreement, dated
as of the Closing Date, duly executed, authorized or delivered by each Obligor, as applicable,
together with

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     (i) certificates (in the case of Capital Securities that are securities (as defined in
the UCC)) evidencing all of the issued and outstanding Capital Securities owned by each
Obligor in its U.S. Subsidiaries and, subject to Section 7.1.11, 65% of the issued and
outstanding Voting Securities (to the extent certificated and permitted by applicable law
to be removed from any particular jurisdiction) of each Foreign Subsidiary (together with all
the issued and outstanding non-voting Capital Securities (to the extent certificated and
permitted by applicable law to be removed from any particular jurisdiction) of such Foreign
Subsidiary) directly owned by each Obligor, which certificates in each case shall be
accompanied by undated instruments of transfer duly executed in blank, or, if any Capital
Securities (in the case of Capital Securities that are uncertificated securities (as defined
in the UCC)), confirmation and evidence reasonably satisfactory to the Lead Arrangers that the
security interest therein has been transferred to and perfected by the Collateral Agent for
the benefit of the Secured Parties in accordance with Articles 8 and 9 of the UCC and all U.S.
laws otherwise applicable to the perfection of the pledge of such Capital Securities;

     (ii) Filing Statements suitable in form and naming each Obligor as a debtor and the
Collateral Agent as the secured party, or other similar instruments or documents to be filed
under the UCC of all jurisdictions as may be necessary or, in the opinion of the Lead
Arrangers, desirable to perfect the security interests of the Collateral Agent pursuant to the
Security Agreement;

     (iii) UCC Form UCC-3 termination statements, if any, necessary to release all Liens and
other rights of any Person in any collateral described in any security agreement previously
granted by any Person, together with such other UCC Form UCC-3 termination statements as the
Lead Arrangers may reasonably request from such Obligors; and

     (iv) certified copies of UCC Requests for Information or Copies (Form UCC-11), or a
similar search report certified by a party reasonably acceptable to the Lead Arrangers, dated
a date reasonably near to the Closing Date, listing all effective financing statements which
name any Obligor (under its present legal name) as the debtor, together with copies of such
financing statements (none of which shall evidence a Lien on any collateral described in any
Loan Document, other than a Permitted Lien).

     (b) The Lead Arrangers shall have received the Intercreditor Agreement, executed and delivered by
the Second Lien Collateral Agent.

     SECTION 5.1.10 Intellectual Property Security Agreements. The Administrative Agent
shall have received a Patent Security Agreement, a Copyright Security Agreement and a Trademark
Security Agreement, as applicable, each dated as of the Closing Date, duly executed and delivered
by each Obligor that, pursuant to the Security Agreement, is required to provide such intellectual
property security agreements to the Collateral Agent.

     SECTION 5.1.11 Filing Agent, etc. All Uniform Commercial Code financing statements
or other similar financing statements and Uniform Commercial Code (Form UCC-3) termination
statements (collectively, the “Filing Statements”) required pursuant to the Loan Documents
shall

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have been delivered by counsel to the Lead Arrangers to CT Corporation System or another
similar filing service company acceptable to the Lead Arrangers (the “Filing Agent”). The
Filing Agent shall have acknowledged in a writing satisfactory to the Lead Arrangers and their
counsel
(i) the Filing Agent’s receipt of all Filing Statements, (ii) that the Filing Statements
required pursuant to the Loan Documents, have either been submitted for filing in the appropriate
filing offices or will be submitted for filing in the appropriate offices within ten days following
the Closing Date and (iii) that the Filing Agent will notify the Agents and their counsel of the
results of such submissions and will provide recorded copies of the same within 30 days following
the Closing Date.

     SECTION 5.1.12 Insurance. The Lead Arrangers and the Collateral Agent shall have
received, certificates of insurance in form and substance reasonably satisfactory to the Lead
Arrangers, evidencing coverage required to be maintained pursuant to each Loan Document and naming
the Collateral Agent as loss payee or additional insured, as applicable.

     SECTION 5.1.13 Opinions of Counsel. The Lead Arrangers shall have received opinions,
dated the Closing Date and addressed to the Lead Arrangers, the Agents and all Lenders, from

     (a) Kirkland & Ellis LLP, counsel to the Obligors, in form and substance reasonably
satisfactory to the Lead Arrangers; and

     (b) Maryland counsel to the Borrower, in form and substance, and from counsel, reasonably
satisfactory to the Lead Arrangers.

     SECTION 5.1.14 Closing Fees, Expenses, etc. The Lead Arrangers shall have received
for its own account, or for the account of each Lender, as the case may be, all fees, costs and
expenses due and payable pursuant to Sections 3.3 and, if then invoiced, 10.3.

     SECTION 5.1.15 Form 10. The financial information concerning the Branded Apparel
Business and the Borrower and its Subsidiaries and the management, corporate and legal structure of
the Borrower and each of the Subsidiary Guarantors contained in the Borrower’s Form 10 filed with
the Securities and Exchange Commission in connection with the Spin-Off, including all amendments
and modifications thereto, shall be consistent in all material respects with the information
previously provided to the Lead Arrangers and the other Lenders.

     SECTION 5.1.16 Litigation. There shall exist no action, suit, investigation or other
proceeding pending or threatened in writing in any court or before any arbitrator or governmental
or regulatory agency or authority that could reasonably be expected to have a Material Adverse
Effect.

     SECTION 5.1.17 Approval. All material and necessary governmental and third party
consents and approvals shall have been obtained (without the imposition of any material and adverse
conditions that are not reasonably acceptable to the Lenders) and shall remain in effect and all
applicable waiting periods shall have expired without any material and adverse action being taken
by any competent authority. The Lead Arrangers shall be reasonably satisfied that the Spin-Off is
to be consummated and the Dividend issued, in each case in accordance with applicable laws and
governmental regulations.

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     SECTION 5.1.18 Debt Rating. The Borrower shall have obtained a senior secured debt
rating (of any level) in respect of the Loans from each of S&P and Moody’s, which ratings (of any
level) shall remain in effect on the Closing Date.

     SECTION 5.1.19 Satisfactory Legal Form. All documents executed or submitted pursuant
hereto by or on behalf of any Obligor on or before the Closing Date shall be reasonably
satisfactory in form and substance to the Lead Arrangers, and the Lead Arrangers shall have
received all information, approvals, opinions, documents or instruments as the Lead Arrangers or
their counsel may reasonably request.

     SECTION 5.2 All Credit Extensions. The obligation of each Lender and each Issuer to
make any Credit Extension shall be subject to the satisfaction of each of the conditions precedent
set forth below.

     SECTION 5.2.1 Compliance with Warranties, No Default, etc. Both before and after
giving effect to any Credit Extension (but, if any Default of the nature referred to in Section
8.1.5 shall have occurred with respect to any other Indebtedness, without giving effect to the
application, directly or indirectly, of the proceeds thereof) the following statements shall be
true and correct:

     (a) the representations and warranties set forth in each Loan Document shall, in each
case, be true and correct in all material respects with the same effect as if then made
(unless stated to relate solely to an earlier date, in which case such representations and
warranties shall be true and correct in all material respects as of such earlier date); and

     (b) no Default shall have then occurred and be continuing.

     SECTION 5.2.2 Credit Extension Request, etc. Subject to Section 2.3.2, the
Administrative Agent shall have received a Borrowing Request if Loans are being requested, or an
Issuance Request if a Letter of Credit is being requested or extended. Each of the delivery of a
Borrowing Request or Issuance Request and the acceptance by the Borrower of the proceeds of such
Credit Extension shall constitute a representation and warranty by the Borrower that on the date of
such Credit Extension (both immediately before and after giving effect to such Credit Extension and
the application of the proceeds thereof) the statements made in Section 5.2.1 are true and
correct.

ARTICLE VI

REPRESENTATIONS AND WARRANTIES

     In order to induce the Secured Parties to enter into this Agreement and to make Credit
Extensions hereunder, the Borrower represents and warrants to each Secured Party, after giving
effect to the consummation of the IP Purchase and the Spin Off, as set forth in this Article.

     SECTION 6.1 Organization, etc. Each Obligor (i) is validly organized and existing
and in good standing under the laws of the state or jurisdiction of its incorporation or
organization, (ii) is duly qualified to do business and is in good standing as a foreign entity in
each jurisdiction where the nature of its business requires such qualification, except where the
failure to be so

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qualified or in good standing could not reasonably be expected to have a Material Adverse
Effect and (iii) has full organizational power and authority and holds all requisite governmental
licenses, permits and other approvals to enter into and perform its Obligations under each Loan
Document to which it is a party, and except to the extent the failure to do so could not reasonably
be expected to have a Material Adverse Effect, to (a) own and hold under lease its property and (b)
to conduct its business substantially as currently conducted by it.

     SECTION 6.2 Due Authorization, Non-Contravention, etc. The execution, delivery and
performance by each Obligor of each Loan Document executed or to be executed by it, each Obligor’s
participation in the consummation of all aspects of the Transaction, and the execution, delivery
and performance by the Borrower or (if applicable) any Obligor of the agreements executed and
delivered by it in connection with the Transaction are in each case within such Person’s powers,
have been duly authorized by all necessary action, and do not

     (a) contravene any (i) Obligor’s Organic Documents, (ii) court decree or order binding on
or affecting any Obligor or (iii) law or governmental regulation binding on or affecting any
Obligor; or

     (b) result in (i) or require the creation or imposition of, any Lien on any Obligor’s
properties (except as permitted by this Agreement) or (ii) a default under any material
contractual restriction binding on or affecting any Obligor.

     SECTION 6.3 Government Approval, Regulation, etc. No authorization or approval or
other action by, and no notice to or filing with, any Governmental Authority or other Person (other
than those that have been, or on the Closing Date will be, duly obtained or made and which are, or
on the Closing Date will be, in full force and effect) is required for the consummation of the
Transaction or the due execution, delivery or performance by any Obligor of any Loan Document to
which it is a party, or for the due execution, delivery and/or performance of Transaction
Documents, in each case by the parties thereto or the consummation of the Transaction. Neither the
Borrower nor any of its Subsidiaries is an “investment company” within the meaning of the
Investment Company Act of 1940, as amended.

     SECTION 6.4 Validity, etc. Each Obligor has duly executed and delivered each of the
Loan Documents and each of the Transaction Documents to which it is a party, and each Loan Document
and each Transaction Document to which any Obligor is a party constitutes the legal, valid and
binding obligations of such Obligor, enforceable against such Obligor in accordance with their
respective terms (except, in any case, as such enforceability may be limited by applicable
bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights generally and by
principles of equity).

     SECTION 6.5 Financial Information. The financial statements of the Borrower and its
Subsidiaries furnished to the Administrative Agent and each Lender pursuant to Section
5.1.6 (other than forecasts, projections, budgets and forward-looking information) have been
prepared in accordance with GAAP consistently applied (except where specifically so noted on such
financial statements), and present fairly in all material respects the consolidated financial
condition of the Persons covered thereby as at the dates thereof and the results of their
operations for the periods then ended. All balance sheets, all statements of income and of cash
flow and all

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other financial information of each of the Borrower and its Subsidiaries furnished pursuant to
Section 7.1.1 have been and will for periods following the Closing Date be prepared in
accordance with GAAP consistently applied with the financial statements delivered pursuant to
Section 5.1.6, and do or will present fairly in all material respects the consolidated
financial condition of the Persons covered thereby as at the dates thereof and the results of their
operations for the periods then ended. Notwithstanding anything contained herein to the contrary,
it is hereby acknowledged and agreed by the Administrative Agent, each Lead Arranger and each
Lender that (i) any financial or business projections furnished to the Administrative Agent, any
Lead Arranger or any Lender by the Borrower or any of its Subsidiaries under any Loan Document are
subject to significant uncertainties and contingencies, which may be beyond the Borrower’s and/or
its Subsidiaries’ control, (ii) no assurance is given by any of the Borrower or its Subsidiaries
that the results forecast in any such projections will be realized and (iii) the actual results may
differ from the forecast results set forth in such projections and such differences may be
material.

     SECTION 6.6 No Material Adverse Change. There has been no material adverse change in
the business, financial condition, operations, performance or assets of the Borrower and its
Subsidiaries, taken as a whole, since July 2, 2005.

     SECTION 6.7 Litigation, Labor Controversies, etc. There is no pending or, to the
knowledge of the Borrower or any of its Subsidiaries, threatened (in writing) litigation, action,
proceeding, labor controversy or investigation:

     (a) affecting the Borrower any of its Subsidiaries or any other Obligor, or any of their
respective properties, businesses, assets or revenues, which could reasonably be expected to
have a Material Adverse Effect; or

     (b) which purports to affect the legality, validity or enforceability of any Loan
Document, the Transaction Documents or the Transaction.

     SECTION 6.8 Subsidiaries. The Borrower has no Subsidiaries, except those
Subsidiaries which are (a) identified in Item 6.8 of the Disclosure Schedule, (b) permitted
to have been organized or acquired in accordance with Sections 7.2.5 or 7.2.10 or
(c) a Foreign Supply Chain Entity that has been redesignated as a Foreign Subsidiary.

     SECTION 6.9 Ownership of Properties. The Borrower and each of its Subsidiaries
(other than a Receivables Subsidiary) owns (a) in the case of owned real property, good and legal
title to, (b) in the case of owned personal property, good and valid title to, and (c) in the case
of leased real or personal property, valid and enforceable (subject to bankruptcy, insolvency,
reorganization or similar laws) leasehold interests (as the case may be) in, all of its properties
and assets, tangible and intangible, of any nature whatsoever, free and clear in each case of all
Liens or claims, except for Permitted Liens. Set forth in Item 6.9 of the Disclosure
Schedule is a true and complete list of each Mortgaged Property.

     SECTION 6.10 Taxes. The Borrower and each of its Subsidiaries has filed all material
tax returns and reports required by law to have been filed by it and has paid all Taxes thereby
shown to be due and owing, except any such Taxes which are being diligently contested in good

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faith by appropriate proceedings and for which adequate reserves in accordance with GAAP shall
have been set aside on its books or except to the extent such failure could not reasonably be
expected to result in a Material Adverse Effect.

     SECTION 6.11 Pension and Welfare Plans. During the twelve-consecutive-month period
prior to the Closing Date and prior to the date of any Credit Extension hereunder, no steps have
been taken to terminate any Pension Plan which has caused or could reasonably be expected to cause
Borrower or any Subsidiary to incur any liability, and no contribution failure has occurred with
respect to any Pension Plan sufficient to give rise to a Lien under Section 302(f) of ERISA with
respect to any assets of Borrower or any Subsidiary. No condition exists or event or transaction
has occurred with respect to any Pension Plan which might result in the incurrence by the Borrower
of any material liability, fine or penalty.

     SECTION 6.12 Environmental Warranties.

     (a) All facilities and property (including underlying groundwater) owned or leased by the
Borrower or any of its Subsidiaries have been, and continue to be, owned or leased by the
Borrower and its Subsidiaries in compliance with all Environmental Laws, except for any such
noncompliance which could not reasonably be expected to have a Material Adverse Effect;

     (b) there have been no past, and there are no pending or, to the Borrower’s knowledge
(after due inquiry), threatened (in writing) (i) claims, complaints, notices or requests for
information received by the Borrower or any of its Subsidiaries with respect to any alleged
violation of any Environmental Law, or (ii) complaints, notices or inquiries to the Borrower
or any of its Subsidiaries regarding potential liability under any Environmental Law except
for claims, complaints, notices, requests for information or inquiries with respect to
violations of or potential liability under any Environmental Laws that could not reasonably be
expected to have a Material Adverse Effect;

     (c) there have been no Releases of Hazardous Materials at, on or under any property now
or previously owned, operated or leased by the Borrower or any of its Subsidiaries that have
had, or could reasonably be expected to have, a Material Adverse Effect;

     (d) the Borrower and its Subsidiaries have been issued and are in compliance with all
permits, certificates, approvals, licenses and other authorizations relating to environmental
matters, except for any such non-issuance or any such noncompliance which could not reasonably
be expected to have a Material Adverse Effect;

     (e) no property now or, to the Borrower’s knowledge (after due inquiry), previously
owned, operated or leased by the Borrower or any of its Subsidiaries is listed or proposed for
listing (with respect to owned, operated property only) on the National Priorities List
pursuant to CERCLA, on the CERCLIS or on any similar state list of sites requiring
investigation or clean-up, which listing could reasonably be expected to have a Material
Adverse Effect;

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     (f) there are no underground storage tanks, active or abandoned, including petroleum
storage tanks, on or under any property now or previously owned, operated or leased by the
Borrower or any of its Subsidiaries that, singly or in the aggregate, have, or could
reasonably be expected to have, a Material Adverse Effect;

     (g) neither the Borrower nor any Subsidiary has directly transported or directly arranged
for the transportation of any Hazardous Material to any location which is listed or proposed
for listing on the National Priorities List pursuant to CERCLA, on the CERCLIS or on any
similar state list or which is the subject of federal, state or local enforcement actions or
other investigations which could reasonably be expected to lead to material claims against the
Borrower or such Subsidiary for any remedial work, damage to natural resources or personal
injury, including claims under CERCLA which, if adversely resolved could, in any of the
foregoing cases, reasonably be expected to have a Material Adverse Effect;

     (h) there are no polychlorinated biphenyls or friable asbestos present at any property
now or previously owned, operated or leased by the Borrower or any Subsidiary that, singly or
in the aggregate, have, or could reasonably be expected to have, a Material Adverse Effect;
and

     (i) no conditions exist at, on or under any property now or, to the knowledge of the
Borrower (after due inquiry), previously owned, operated or leased by the Borrower which, with
the passage of time, or the giving of notice or both, would give rise to liability under any
Environmental Law, except for such liability that could not reasonably be expected to have a
Material Adverse Effect.

     SECTION 6.13 Accuracy of Information. None of the factual information (other than
projections, forecasts, budgets and forward-looking information) heretofore or contemporaneously
furnished in writing to any Secured Party by or on behalf of any Obligor in connection with any
Loan Document or any transaction contemplated hereby (including the Transaction) (taken as a whole)
contains any untrue statement of a material fact, or omits to state any material fact necessary to
make any such information not materially misleading as of the date such information was furnished;
provided, however (i) any financial or business projections furnished to the
Administrative Agent, any Lead Arranger or any Lender by the Borrower or any of its Subsidiaries
under any Loan Document are subject to significant uncertainties and contingencies, which may be
beyond the Borrower’s and/or its Subsidiaries’ control, (ii) no assurance is given by any of the
Borrower or its Subsidiaries that the results forecast in any such projections will be realized and
(iii) the actual results may differ from the forecast results set forth in such projections and
such differences may be material.

     SECTION 6.14 Regulations U and X. No Obligor is engaged in the business of extending
credit for the purpose of buying or carrying margin stock, and no proceeds of any Credit Extensions
will be used to purchase or carry margin stock or otherwise for a purpose which violates, or would
be inconsistent with, F.R.S. Board Regulation U or Regulation X. Terms for which meanings are
provided in F.R.S. Board Regulation U or Regulation X or any regulations substituted therefor, as
from time to time in effect, are used in this Section with such meanings.

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     SECTION 6.15 Compliance with Contracts, Laws, etc. The Borrower and each of its
Subsidiaries have performed their obligations under agreements to which the Borrower or a
Subsidiary is a party and have complied with all applicable laws, rules, regulations and orders
except were the failure to do so could not reasonably be expected to have a Material Adverse
Effect. The Borrower and each of its Subsidiaries (a) are not listed on the “Specially Designated
Nationals and Blocked Person List” maintained by the Office of Foreign Assets Control
(“OFAC”), the Department of the Treasury, or included in any executive orders relating
thereto and (b) have used the proceeds of the Credit Extensions without violating in any material
respect any of the foreign asset control regulations of OFAC or any enabling statute or executive
order relating thereto having the force of law.

     SECTION 6.16 Solvency. The Borrower and its Subsidiaries (taken as a whole), both
before and after giving effect to any Credit Extensions, are Solvent.

ARTICLE VII

COVENANTS

     SECTION 7.1 Affirmative Covenants. The Borrower agrees with each Lender, each Issuer
and each Agent that until the Termination Date has occurred, the Borrower will, and will cause its
Subsidiaries to, perform or cause to be performed the obligations set forth below.

     SECTION 7.1.1 Financial Information, Reports, Notices, etc. The Borrower will
furnish each Lender and the Administrative Agent copies of the following financial statements,
reports, notices and information:

     (a) within the earlier of (i) 45 days after the end of each of the first three Fiscal
Quarters of each Fiscal Year and (ii) so long as the Borrower is a public reporting company at
such time, such earlier date as the SEC requires the filing of such information (or if the
Borrower is required to file such information on a Form 10-Q with the SEC, promptly following
such filing), an unaudited consolidated balance sheet of the Borrower and its Subsidiaries as
of the end of such Fiscal Quarter and consolidated statements of income and cash flow of the
Borrower and its Subsidiaries for such Fiscal Quarter and for the period commencing at the end
of the previous Fiscal Year and ending with the end of such Fiscal Quarter, and including (in
each case), in comparative form, the figures for the corresponding Fiscal Quarter in, and year
to date portion of, the immediately preceding Fiscal Year, certified as complete and correct
in all material respects (subject to audit, normal year-end adjustments and the absence of
footnote disclosure) by the chief financial officer, chief executive officer, president,
treasurer or assistant treasurer of the Borrower;

     (b) within the earlier of (i) 90 days after the end of each Fiscal Year and (ii) so long
as the Borrower is a public reporting company at such time, such earlier date as the SEC
requires the filing of such information (or if the Borrower is required to file such
information on a Form 10-K with the SEC, promptly following such filing), (i) a copy of the
consolidated balance sheet of the Borrower and its Subsidiaries, and the related consolidated
statements of income and cash flow of the Borrower and its Subsidiaries for such Fiscal Year,
setting forth in comparative form the figures for the immediately

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preceding Fiscal Year, audited (without any Impermissible Qualification) by
Pricewaterhouse Coopers LLP or such other independent public accountants selected by the
Borrower and reasonably acceptable to the Administrative Agent, which shall include a
calculation of the financial covenants set forth in Section 7.2.4 and stating that, in
performing the examination necessary to deliver the audited financial statements of the
Borrower, no knowledge was obtained of any Event of Default with respect to financial matters
and (ii) a consolidated budget (within level of detail comparable to the quarterly financial
statements delivered pursuant to clause (a)) for the following Fiscal Year including a
projected consolidated balance sheet and related statements of projected operations and cash
flows as of the end of and for such following Fiscal Year;

     (c) concurrently with the delivery of the financial information pursuant to clauses
(a) and (b), a Compliance Certificate, executed by the chief financial officer,
chief executive officer, president, treasurer or assistant treasurer of the Borrower, (i)
showing compliance with the financial covenants set forth in Section 7.2.4 and stating
that no Default has occurred and is continuing (or, if a Default has occurred, specifying the
details of such Default and the action that the Borrower or an Obligor has taken or proposes
to take with respect thereto), (ii) stating that no Subsidiary has been formed or acquired
since the delivery of the last Compliance Certificate (or, if a Subsidiary has been formed or
acquired since the delivery of the last Compliance Certificate, a statement that such
Subsidiary has complied with Section 7.1.8 if applicable) and (iii) in the case of a
Compliance Certificate delivered concurrently with the financial information pursuant to
clause (b), a calculation of Excess Cash Flow;

     (d) as soon as possible and in any event within three Business Days after the Borrower or
any other Obligor obtains knowledge of the occurrence of a Default, a statement of an
Authorized Officer on behalf of the Borrower setting forth details of such Default and the
action which the Borrower or such Obligor has taken and proposes to take with respect thereto;

     (e) as soon as possible and in any event within three Business Days after the Borrower or
any other Obligor obtains knowledge of (i) the commencement of any litigation, action,
proceeding or labor controversy of the type and materiality described in Section 6.7
or (ii) any other event, change or circumstance that has had, or could reasonably be expected
to have, a Material Adverse Effect, notice thereof and, to the extent the Administrative Agent
requests, copies of all documentation relating thereto, if any;

     (f) within three Business Days after the sending or filing thereof, copies of all
reports, notices, prospectuses and registration statements which any Obligor files with the
SEC or any national securities exchange; provided that such delivery shall be deemed
to have been made upon delivery of notice to the Administrative Agent that such statements or
reports are available on the Internet via the EDGAR system of the SEC;

     (g) promptly upon becoming aware of (i) the institution of any steps by any Person to
terminate any Pension Plan, (ii) the failure to make a required contribution to any Pension
Plan if such failure is sufficient to give rise to a Lien under Section 302(f) of

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ERISA, (iii) the taking of any action with respect to a Pension Plan which could result
in the requirement that any Obligor furnish a bond or other security to the PBGC or such
Pension Plan, or (iv) the occurrence of any event with respect to any Pension Plan which could
reasonably be expected to result in the incurrence by any Obligor of any material liability,
fine or penalty, notice thereof and copies of all documentation relating thereto;

     (h) promptly upon receipt thereof, copies of all final “management letters” submitted to
the Borrower or any other Obligor by the independent public accountants referred to in
clause (b) in connection with each audit made by such accountants;

     (i) promptly following the mailing or receipt of any notice or report (other than
identical reports or notices delivered hereunder) delivered under the terms of the Second Lien
Loan Documents, or the Bridge Loan Documents, or the Senior Note Documents, copies of such
notice or report;

     (j) all PATRIOT Act Disclosures, to the extent reasonably requested by the Administrative
Agent or any Lender; and

     (k) such other financial and other information as any Lender or Issuer through the
Administrative Agent may from time to time reasonably request (including information and
reports in such detail as the Administrative Agent may request with respect to the terms of
and information provided pursuant to the Compliance Certificate).

Information required to be delivered pursuant to clauses (a) and (b) of
Section 7.1.1 shall be deemed to have been delivered to the Administrative Agent on
the date on which the Borrower provides written notice to the Administrative Agent that such
information is available on the Internet via the EDGAR system of the SEC (to the extent such
information is available as described in such notice). Information required to be delivered
pursuant to this Section 7.1.1 may also be delivered by electronic communication
pursuant to procedures approved by the Administrative Agent pursuant to Section 9.11.

     SECTION 7.1.2 Maintenance of Existence; Material Obligations; Compliance with Contracts,
Laws, etc. The Borrower will, and will cause each of its Subsidiaries to, preserve and
maintain its legal existence, rights (charter and statutory), franchises, permits, licenses and
approvals (in each case, except as otherwise permitted by Section 7.2.10), perform in all
respects their obligations, including obligations under agreements to which the Borrower or a
Subsidiary is a party, and comply in all respects with all applicable laws, rules, regulations and
orders, including the payment (before the same become delinquent), of all obligations, including
all Taxes imposed upon the Borrower or its Subsidiaries or upon their property except to the extent
being diligently contested in good faith by appropriate proceedings and for which adequate reserves
in accordance with GAAP have been set aside on the books of the Borrower or its Subsidiaries, as
applicable except, in each case, where the failure to do so could not reasonably be expected to
have a Material Adverse Effect.

     SECTION 7.1.3 Maintenance of Properties. Except to the extent that the failure to do
so could not reasonably be expected to have a Material Adverse Effect the Borrower will, and will

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cause each of its Subsidiaries to, maintain, preserve, protect and keep its and their
respective properties in good repair, working order and condition (ordinary wear and tear, casualty
and condemnation excepted), and make necessary repairs, renewals and replacements so that the
business carried on by the Borrower and its Subsidiaries may be properly conducted at all times,
unless the Borrower or such Subsidiary determines in good faith that the continued maintenance of
such property is no longer economically desirable, necessary or useful to the business of the
Borrower or any of its Subsidiaries or the Disposition of such property is otherwise permitted by
Sections 7.2.10 or 7.2.11.

     SECTION 7.1.4 Insurance. The Borrower will, and will cause each of its Subsidiaries
to maintain:

     (a) insurance on its property with financially sound and reputable insurance companies
against loss and damage in at least the amounts (and with only those deductibles) customarily
maintained, and against such risks as are typically insured against in the same general area,
by Persons of comparable size engaged in the same or similar business as the Borrower and its
Subsidiaries; and

     (b) all worker’s compensation, employer’s liability insurance or similar insurance as may
be required under the laws of any state or jurisdiction in which it may be engaged in
business.

Without limiting the foregoing, all insurance policies required pursuant to this Section shall (i)
name the Collateral Agent on behalf of the Secured Parties as mortgagee (in the case of property
insurance) or additional insured (in the case of liability insurance), as applicable, and provide
that no cancellation or modification of the policies will be made without thirty days’ prior
written notice to the Collateral Agent and (ii) without duplication, be in addition to any
requirements to maintain specific types of insurance contained in the other Loan Documents.

     SECTION 7.1.5 Books and Records. The Borrower will, and will cause each of its
Subsidiaries to, keep books and records in accordance with GAAP which accurately reflect in all
material respects all of its business affairs and transactions and permit each Secured Party or any
of their respective representatives, at reasonable times during normal business hours and intervals
upon reasonable notice to the Borrower and except after the occurrence and during the continuance
of an Event of Default not more frequently than once per Fiscal Year, to visit each Obligor’s
offices, to discuss such Obligor’s financial matters with its officers and employees, and its
independent public accountants (provided that management of the Borrower shall be notified
and allowed to be present at all such meetings and the Borrower hereby authorizes such independent
public accountant to discuss each Obligor’s financial matters with each Secured Party or their
representatives) and to examine (and photocopy extracts from) any of its books and records. The
Borrower shall pay any reasonable fees of such independent public accountant incurred in connection
with any Secured Party’s exercise of its rights pursuant to this Section.

     SECTION 7.1.6 Environmental Law Covenant. The Borrower will, and will cause each of
its Subsidiaries to:

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     (a) use and operate all of its and their facilities and properties in compliance with all
Environmental Laws, keep all permits, approvals, certificates, licenses and other
authorizations required under Environmental Laws in effect and remain in compliance therewith,
and handle all Hazardous Materials in compliance with all applicable Environmental Laws, in
each case except where failure to do so could not reasonably be expected to have a Material
Adverse Effect; and

     (b) promptly notify the Administrative Agent and provide copies upon receipt of all
written claims, complaints, notices or inquiries relating to the condition of its facilities
and properties in respect of, or as to compliance with, Environmental Laws, the subject matter
of which could reasonably be expected to have a Material Adverse Effect, and shall promptly
resolve any non-compliance with Environmental Laws (except as could not reasonably be expected
to have a Material Adverse Effect) and keep its property free of any Lien imposed by any
Environmental Law.

     SECTION 7.1.7 Use of Proceeds. The Borrower will apply the proceeds of the Credit
Extensions as follows:

     (a) to finance, in part, the Transaction including the Dividend, and to pay the fees,
costs and expenses related to the Transaction;

     (b) for working capital and general corporate purposes of the Borrower and the Subsidiary
Guarantors; and

     (c) for issuing Letters of Credit for the account of the Borrower and the Subsidiary
Guarantors for purposes referred to in clause (b) above.

     SECTION 7.1.8 Future Guarantors, Security, etc. Subject to Section 7.1.11,
the Borrower will, and will cause each U.S. Subsidiary to, execute any documents, authorize the
filing of Filing Statements, execute agreements and instruments, and take all commercially
reasonable further action (including filing Mortgages to the extent required hereby) that may be
required under applicable law, or that the Administrative Agent may reasonably request, in order to
effectuate the transactions contemplated by the Loan Documents and in order to grant, preserve,
protect and perfect the validity and first priority (subject to Permitted Liens) of the Liens
created or intended to be created by the Loan Documents. The Borrower will cause any subsequently
acquired or organized U.S. Subsidiary to execute a supplement (in form and substance reasonably
satisfactory to the Administrative Agent) to the Guaranty and each other applicable Loan Document
in favor of the Secured Parties. In addition, from time to time, the Borrower will, at its own
cost and expense, promptly secure the Obligations by pledging or creating, or causing to be pledged
or created, perfected Liens with respect to such of its assets and properties as the Administrative
Agent or the Required Lenders shall designate, it being agreed that it is the intent of the parties
that the Obligations shall be secured by, among other things, substantially all the assets of the
Borrower and its U.S. Subsidiaries and personal property acquired subsequent to the Closing Date;
provided that (a) neither the Borrower nor its U.S. Subsidiaries shall be required to
pledge more than 65% of the Voting Securities of any Foreign Subsidiary that is directly owned by
any Obligor, (b) neither the Borrower nor any U.S. Subsidiary shall be required to create or
perfect any security interest in any leased real property

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or any owned real property with a fair market value (as determined by the Borrower in good
faith) less than $2,000,000, (c) to the extent the Organic Documents of a Foreign Supply Chain
Entity (regardless of a redesignation as a Foreign Subsidiary) prohibit the creation or perfection
of a security interest in the Capital Securities of such Foreign Supply Chain Entity, no Obligor
will be required to create or perfect a security interest in such Capital Securities and (d) the
Borrower will not be required to execute and deliver any Foreign Pledge Agreement with respect to
any Foreign Subsidiary (i) whose assets are valued (as reasonably determined by the Borrower) at
less than $25,000,000 or (ii) if the Borrower and the Administrative Agent reasonably determine
that it is commercially impractical to deliver a Foreign Pledge Agreement in such jurisdiction.
Such Liens will be created under the Loan Documents in form and substance reasonably satisfactory
to the Agents, and the Borrower shall deliver or cause to be delivered to the Agents all such
instruments and documents (including legal opinions, title insurance policies and lien searches) as
the Administrative Agent shall reasonably request to evidence compliance with this Section.

     SECTION 7.1.9 Rate Protection Agreements. Within 60 days following the Closing Date,
the Borrower and/or the IP Subsidiary will enter into interest rate swap, cap, collar or similar
arrangements with a Lender, Second Lien Lender or any other Person reasonably acceptable to the
Lenders designed to protect the Borrower and/or the IP Subsidiary against fluctuations in interest
rates for a period of at least three years from the Closing Date, in an amount that would cause not
less than 50% of the Indebtedness outstanding under the Loan Documents, the Second Lien Loan
Documents, the Bridge Loan Documents and the Senior Note Documents to bear interest at a fixed
rate.

     SECTION 7.1.10 Maintenance of Ratings. The Borrower will use its commercially
reasonable efforts to cause a senior secured credit rating with respect to the Loans from each of
S&P and Moody’s to be available at all times until the Stated Maturity Date for the Term B Loans.

     SECTION 7.1.11 Post-Closing Obligations.

     (a) Foreign Pledge Agreements. Within 90 days after the Closing Date (or such
later dates from time to time as consented to by the Administrative Agent in its reasonable
discretion), all Foreign Pledge Agreements shall have been duly executed and delivered by all
parties thereto and shall remain in full force and effect, and all Liens granted to the
Collateral Agent thereunder shall be duly perfected to provide the Collateral Agent with a
security interest in and Lien on all collateral granted thereunder free and clear of other
Liens, except to the extent reasonably consented to by the Administrative Agent;
provided that the Administrative Agent may waive the requirement to perfect a pledge
on the Capital Securities of any Foreign Subsidiary otherwise required to be pledged hereunder
if they determine, in their reasonable discretion, that the value of the assets owned by such
Foreign Subsidiary or the EBITDA generated by such Foreign Subsidiary, is immaterial when
taken as a whole.

     (b) Mortgages. Subject to the limitation in clause (d) of Section
7.1.8, within 90 days after the Closing Date (or such later dates from time to time as
consented to by the Administrative Agent in its reasonable discretion), the Agents shall have
received

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counterparts of each Mortgage with respect to a Mortgaged Property, duly executed and
delivered by the applicable Obligor, together with:

     (i) evidence of the completion (or reasonably satisfactory arrangements for the
completion) of all recordings and filings of each Mortgage as necessary to create a
valid, perfected first priority (subject to Permitted Liens) Lien against the properties
purported to be covered thereby;

     (ii) mortgagee’s title insurance policies in favor of the Collateral Agent for the
benefit of the Secured Parties in amounts not exceeding the fair market value of the
insured property and in form and substance and issued by insurers, reasonably
satisfactory to the Lead Arrangers, with respect to the property purported to be covered
by each Mortgage, insuring that title to such property is marketable and that the
interests created by each Mortgage constitute valid first Liens thereon (subject to
Permitted Liens), and, if required by the Lead Arrangers and if available, shall include
revolving credit endorsement, comprehensive endorsement, variable rate endorsement,
access and utilities endorsements, mechanic’s lien endorsement and such other
endorsements as the Lead Arrangers shall reasonably request and shall be accompanied by
evidence of the payment in full of all premiums thereon; and

     (iii) mortgage releases releasing any mortgage in favor of any other Person on any
Mortgaged Property.

     (c) Excluded Contracts. The Borrower agrees to use commercially reasonable
efforts to cause the Excluded Contracts to become owned by the Borrower or the applicable
Subsidiary within 180 days of the Closing Date.

     (d) Foreign Stock Certificates. Within 10 Business Days following the Closing
Date (or such later dates from time to time as consented to by the Administrative Agent in its
reasonable discretion), the Borrower agrees to deliver certificates (in each case accompanied
by undated instruments of transfer duly executed in blank) evidencing, 65% of the issued and
outstanding Voting Securities (to the extent certificated and permitted by applicable law to
be removed from any particular jurisdiction) of each Foreign Subsidiary (together with all the
issued and outstanding non-voting Capital Securities (to the extent certificated and permitted
by applicable law to be removed from any particular jurisdiction) of such Foreign Subsidiary)
directly owned by each Obligor to the extent not previously delivered, together with a revised
Schedule I to the Security Agreement accurately reflecting the newly delivered certificates.

     (e) Spin-Off Related Transfers. Within 180 days following the Closing Date (or
such later dates from time to time as consented to by the Administrative Agent in its
reasonable discretion), the Borrower will (i) cause Hanesbrands Philippines, Inc.; HBI
Sourcing Asia Limited; Sara Lee Apparel International (Shanghai) Co. Ltd. (to be renamed
Hanesbrands International (Shanghai) Co. Ltd.); Sara Lee Apparel India Private Limited (to be
renamed Hanesbrands India Private Limited); and SL Sourcing India Private Ltd. (to be renamed
HBI Sourcing India Private Ltd.) to become Subsidiaries of

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the Borrower, (ii) own 50% of the issued and outstanding Capital Securities of Playtex
Marketing Corporation and (iii) consummate the transfer of assets relating to the Branded
Apparel Business from SL Hong Kong Ltd., Sara Lee Philippines Inc. and Hanesbrands Philippines
Inc. to Subsidiaries of the Borrower. The Borrower represents and warrants that the fair
market value of the assets to be transferred pursuant to this clause have a fair market value
of less than $6,500,000.

     (f) NT Investment Company, Inc. Within three Business Days following the Closing
Date, the Borrower shall cause NT Investment Company, Inc. to be in good standing (and deliver
to the Administrative Agent a copy of the good standing certificate) in the State of Delaware.

     SECTION 7.2 Negative Covenants. The Borrower covenants and agrees with each Lender,
each Issuer and each Agent that until the Termination Date has occurred, the Borrower will, and
will cause its Subsidiaries to, perform or cause to be performed the obligations set forth below.

     SECTION 7.2.1 Business Activities; Accounting Policies. The Borrower will not, and
will not permit any of its Subsidiaries to, (a) engage in any business activity except those
business activities engaged in on the date of this Agreement and activities reasonably related,
supportive, complementary, ancillary or incidental thereto or reasonable extensions thereof or (b)
change its accounting policies or financial reporting practices from such policies and practices in
effect of the Closing Date, including any change to the ending dates with respect to the Borrower
and its Subsidiaries’ Fiscal Year (except to the extent set forth in the definition thereof) or
Fiscal Quarters.

     SECTION 7.2.2 Indebtedness. The Borrower will not, and will not permit any of its
Subsidiaries to, create, incur, assume or permit to exist any Indebtedness, other than:

     (a) Indebtedness in respect of the Obligations;

     (b) unsecured Indebtedness of the Obligors (i) under the Senior Note Documents and the
Bridge Loan Documents in an aggregate principal amount not to exceed $500,000,000, as such
amount is reduced on or after the Closing Date in accordance with the terms hereof and (ii)
under senior notes whether issued pursuant to a supplement to the Senior Note Indenture or any
other senior note indenture, the terms of which are reasonably satisfactory to the
Administrative Agent, so long as (x) the aggregate principal amount thereunder does not exceed
$500,000,000 and (y) the proceeds therefor are applied to repay Loans in accordance with
clause (h) of Section 3.1.1;

     (c) Indebtedness existing as of the Closing Date which is identified in Item
7.2.2(c) of the Disclosure Schedule, and refinancings, refundings, reallocations, renewals
or extensions of such Indebtedness in a principal amount not in excess of that which is
outstanding on the Closing Date (as such amount has been reduced following the Closing Date);

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     (d) unsecured Indebtedness (i) incurred in the ordinary course of business of the
Borrower and its Subsidiaries (including open accounts extended by suppliers on normal trade
terms in connection with purchases of goods and services which are not overdue for a period of
more than 90 days or, if overdue for more than 90 days, as to which a dispute exists and
adequate reserves in conformity with GAAP have been established on the books of the Borrower
or such Subsidiary) and (ii) in respect of performance, surety or appeal bonds provided in the
ordinary course of business, but excluding (in each case), Indebtedness incurred through the
borrowing of money or Contingent Liabilities of borrowed money;

     (e) Indebtedness (i) in respect of industrial revenue bonds or other similar governmental
or municipal bonds, (ii) evidencing the deferred purchase price of newly acquired property or
incurred to finance the acquisition of equipment of the Borrower and its Subsidiaries
(pursuant to purchase money mortgages or otherwise, whether owed to the seller or a third
party) used in the ordinary course of business of the Borrower and its Subsidiaries
(provided that, such Indebtedness is incurred within 270 days of the acquisition of
such property) and (iii) in respect of Capitalized Lease Liabilities; provided that,
the aggregate amount of all Indebtedness outstanding pursuant to this clause shall not at any
time exceed $150,000,000;

     (f) Indebtedness of (i) an Obligor owing to any other Obligor and of (ii) any Subsidiary
(other than a Receivables Subsidiary) that is not a Subsidiary Guarantor or any Foreign Supply
Chain Entity owing to an Obligor, which Indebtedness (A) shall, if payable to the Borrower or
a Subsidiary Guarantor, not be discharged for any consideration other than payment in full or
in part in cash or through the conversion of such Indebtedness to equity (provided
that only the amount repaid in part shall be discharged); and (B) shall not (when aggregated
with the amount of Investments made by the Borrower and the Subsidiary Guarantors in
Subsidiaries which are not Subsidiary Guarantors and in Foreign Supply Chain Entities under
clause (e)(i) of Section 7.2.5 and Indebtedness converted to equity pursuant
to clause (f)(ii)(A)), exceed $275,000,000 at any one time outstanding;

     (g) unsecured Indebtedness (not evidenced by a note or other instrument) of an Obligor
owing to a Subsidiary that is not a Subsidiary Guarantor and has previously executed and
delivered to the Administrative Agent the Interco Subordination Agreement;

     (h) Indebtedness of the Obligors incurred pursuant to the terms of the Second Lien Loan
Documents in a principal amount not to exceed $450,000,000, as such amount is reduced on or
after the Closing Date in accordance with the terms hereof;

     (i) Indebtedness of a Person existing at the time such Person became a Subsidiary of the
Borrower, but only if such Indebtedness was not created or incurred in contemplation of such
Person becoming a Subsidiary and the aggregate outstanding amount of all Indebtedness existing
pursuant to this clause does not exceed $100,000,000 at any time;

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     (j) Indebtedness incurred pursuant to a Permitted Securitization and Standard
Securitization Undertakings;

     (k) unsecured Indebtedness of the Borrower and its Subsidiaries incurred to (i) finance
Permitted Acquisitions (including obligations of the Borrower and its Subsidiaries under
indemnification, adjustment of purchase price, earn-out, incentive, non-compete, consulting,
deferred compensation or other similar arrangements incurred by such Person in connection
therewith) or (ii) refinance any other Indebtedness permitted to be incurred under clauses
(a), (b), (e), (i) and (n) of this Section 7.2.2;

     (l) Indebtedness in respect of Hedging Obligations entered into in the ordinary course of
business and not for speculative purposes;

     (m) Indebtedness of any Foreign Subsidiary owing to any other Foreign Subsidiary;

     (n) Indebtedness (whether unsecured or secured by Liens) of Foreign Subsidiaries in an
aggregate outstanding principal amount not to exceed $150,000,000 at any one time outstanding
and Contingent Liabilities of any Obligor in respect thereof;

     (o) Indebtedness incurred in the ordinary course of business in connection with cash
pooling arrangements, cash management and other Indebtedness incurred in the ordinary course
of business in respect of netting services, overdraft protections and similar arrangements in
each case in connection with cash management and deposit accounts;

     (p) Indebtedness consisting of the financing of insurance premiums in the ordinary course
of business;

     (q) unsecured Indebtedness of Borrower and its Subsidiaries representing the obligation
of such Person to make payments with respect to the cancellation or repurchase of Capital
Securities of officers, employees or directors (or their estates) of the Borrower or such
Subsidiaries; and

     (r) other Indebtedness of the Borrower and its Subsidiaries (other than Indebtedness of
Foreign Subsidiaries owing to the Borrower or Subsidiary Guarantors or of a Receivables
Subsidiary) in an aggregate amount at any time outstanding not to exceed $100,000,000;

provided that, no Indebtedness otherwise permitted by clauses (c), (e),
(f)(ii), (i), (k) or (r) shall be assumed, created or otherwise
incurred if an Event of Default has occurred and is then continuing.

     SECTION 7.2.3 Liens. The Borrower will not, and will not permit any of its
Subsidiaries to, create, incur, assume or permit to exist any Lien upon any of its property
(including Capital Securities of any Person), revenues or assets, whether now owned or hereafter
acquired, except the following (collectively “Permitted Liens”):

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     (a) Liens securing payment of the Obligations;

     (b) Liens in connection with a Permitted Securitization;

     (c) Liens existing as of the Closing Date and disclosed in Item 7.2.3(c) of the
Disclosure Schedule securing Indebtedness described in clause (c) of Section
7.2.2, and refinancings, refundings, reallocations, renewals or extensions of such
Indebtedness; provided that, no such Lien shall encumber any additional property
(except for accessions to such property and the products and proceeds thereof) and the amount
of Indebtedness secured by such Lien is not increased from that existing on the Closing Date;

     (d) Liens securing Indebtedness of the type permitted under clause (e) of
Section 7.2.2; provided that, (i) such Lien is granted within 270 days after
such Indebtedness is incurred, (ii) the Indebtedness secured thereby does not exceed the
lesser of the cost or the fair market value of the applicable property, improvements or
equipment at the time of such acquisition (or construction) and (iii) such Lien secures only
the assets that are the subject of the Indebtedness referred to in such clause;

     (e) Liens securing Indebtedness permitted by clause (i) of Section 7.2.2;
provided that, such Liens existed prior to such Person becoming a Subsidiary, were not
created in anticipation thereof and attach only to specific tangible assets of such Person;

     (f) Liens in favor of carriers, warehousemen, mechanics, repairmen, materialmen, customs
and revenue authorities and landlords and other similar statutory Liens and Liens in favor of
suppliers (including sellers of goods pursuant to customary reservations or retention of
title, in each case) granted in the ordinary course of business for amounts not overdue for a
period of more than 60 days or are being diligently contested in good faith by appropriate
proceedings and for which adequate reserves in accordance with GAAP shall have been set aside
on its books or with respect to which the failure to make payment could not reasonably be
expected to have a Material Adverse Effect;

     (g) (i) Liens incurred or deposits made in the ordinary course of business in connection
with worker’s compensation, unemployment insurance or other forms of governmental insurance or
benefits, or to secure performance of tenders, statutory obligations, bids, leases, trade
contracts or other similar obligations (other than for borrowed money) entered into in the
ordinary course of business or to secure obligations on surety and appeal bonds or performance
bonds, performance and completion guarantees and other obligations of a like nature (including
those to secure health, safety and environmental obligations) incurred in the ordinary course
of business and (ii) obligations in respect of letters of credit or bank guarantees that have
been posted to support payment of the items set forth in the immediately preceding clause
(i);

     (h) judgment Liens that are being appealed in good faith or with respect to which
execution has been stayed or the payment of which is covered in full (subject to a customary
deductible) by insurance maintained with responsible insurance companies and which do not
otherwise result in an Event of Default under Section 8.1.6;

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     (i) easements, rights-of-way, covenants, conditions, building codes, restrictions,
reservations, minor defects or irregularities in title and other similar encumbrances and
matters that would be disavowed by a full survey of real property not interfering in any
material respect with the value or use of the affected or encumbered real property to which
such Lien is attached;

     (j) Liens securing Indebtedness permitted by clause (h) (subject to the
Intercreditor Agreement) or (n) of Section 7.2.2;

     (k) Liens arising solely by virtue of any statutory or common law provision relating to
banker’s liens, rights of set-off or similar rights and remedies as to deposit accounts or
other funds maintained with a creditor depository institution and Liens attaching to commodity
trading accounts or other commodities brokerage accounts incurred in the ordinary course of
business;

     (l) (i) licenses, sublicenses, leases or subleases granted to third Persons in the
ordinary course of business not interfering in any material respect with the business of the
Borrower or any of its Subsidiaries, (ii) other agreements with respect to the use and
occupancy of real property entered into in the ordinary course of business or in connection
with a Disposition permitted under the Loan Documents or (iii) the rights reserved or vested
in any Person by the terms of any lease, license, franchise, grant or permit held by Borrower
or any of its Subsidiaries or by a statutory provision, to terminate any such lease, license,
franchise, grant or permit, or to require annual or periodic payments as a condition to the
continuance thereof;

     (m) Liens on the property of the Borrower or any of its Subsidiaries securing (i) the
non-delinquent performance of bids, trade contracts (other than for borrowed money), leases,
licenses and statutory obligations, (ii) Contingent Obligations on surety and appeal bonds,
and (iii) other non-delinquent obligations of a like nature; in each case, incurred in the
ordinary course of business;

     (n) Liens on Receivables transferred to a Receivables Subsidiary under a Permitted
Securitization;

     (o) Liens upon specific items or inventory or other goods and proceeds of the Borrower or
any of its Subsidiaries securing such Person’s obligations in respect of bankers’ acceptances
or documentary letters of credit issued or created for the account of such Person to
facilitate the shipment or storage of such inventory or other goods;

     (p) Liens (i) (A) on advances of cash or Cash Equivalent Investments in favor of the
seller of any property to be acquired in an Investment permitted pursuant to Section
7.2.5 to be applied against the purchase price for such Investment and (B) consisting of
an agreement to Dispose of any property in a Disposition permitted under Section
7.2.11, in each case under this clause (i), solely to the extent such Investment
or Disposition, as the case may be, would have been permitted on the date of the creation of
such Lien and (ii) on earnest money deposits of cash or Cash Equivalent Investments

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made by the Borrower or any of its Subsidiaries in connection with any letter of
intent or purchase agreement permitted hereunder;

     (q) Liens arising from precautionary Uniform Commercial Code financing statement
filings (or similar filings under other applicable Law) regarding leases entered into by the
Borrower or any of its Subsidiaries in the ordinary course of business;

     (r) Liens (i) arising out of conditional sale, title retention, consignment or similar
arrangements for sale of goods (including under Article 2 of the UCC) and Liens that are
contractual rights of set-off relating to purchase orders and other similar agreements
entered into by the Borrower or any of its Subsidiaries and (ii) relating to the
establishment of depository relations with banks not given in connection with the issuance
of Indebtedness and (iii) relating to pooled deposit or sweep accounts of the Borrower or
any Subsidiary to permit satisfaction of overdraft or similar obligations in each case in
the ordinary course of business and not prohibited by this Agreement;

     (s) other Liens securing Indebtedness or other obligations permitted under this
Agreement and outstanding in an aggregate principal amount not to exceed $75,000,000;

     (t) ground leases in respect of real property on which facilities owned or leased by
the Borrower or any of its Subsidiaries are located or any Liens senior to any lease,
sub-lease or other agreement under which the Borrower or any of its Subsidiaries uses or
occupies any real property;

     (u) Liens constituting security given to a public or private utility or any
Governmental Authority as required in the ordinary course of business;

     (v) pledges or deposits of cash and Cash Equivalent Investments securing deductibles,
self-insurance, co-payment, co-insurance, retentions and similar obligations to providers of
insurance in the ordinary course of business;

     (w) Liens on (A) incurred premiums, dividends and rebates which may become payable
under insurance policies and loss payments which reduce the incurred premiums on such
insurance policies and (B) rights which may arise under State insurance guarantee funds
relating to any such insurance policy, in each case securing Indebtedness permitted to be
incurred pursuant to clause (p) of Section 7.2.2; and

     (x) Liens for Taxes not at the time delinquent or thereafter payable without penalty or
being diligently contested in good faith by appropriate proceedings and for which adequate
reserves in accordance with GAAP shall have been set aside on its books or with respect to
which the failure to make payment could not reasonably be expected to have a Material
Adverse Effect.

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     SECTION 7.2.4 Financial Condition and Operations. The Borrower will not permit any
of the events set forth below to occur.

     (a) The Borrower will not permit the Leverage Ratio as of the last day of any Fiscal Quarter
occurring during any period set forth below to be greater than the ratio set forth opposite such
period:

	 	 	 	 	 
	Period	 	Leverage Ratio
	Each Fiscal Quarter ending between December 15, 2006 and
April 15, 2007
	 	 	5.50:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between April 16, 2007 and July
15, 2007
	 	 	5.00:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between July 16, 2007 and
October 15, 2007
	 	 	4.75:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between October 16, 2007 and
April 15, 2008
	 	 	4.50:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between April 16, 2008 and July
15, 2008
	 	 	4.25:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between July 16, 2008 and
October 15, 2008
	 	 	4.00:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between October 16, 2008 and
April 15, 2009
	 	 	3.75:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between April 16, 2009 and July
15, 2009
	 	 	3.50:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between July 16, 2009 and
October 15, 2009
	 	 	3.25:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter thereafter
	 	 	3.00:1.00	 

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     (b) The Borrower will not permit the Interest Coverage Ratio as of the last day of any Fiscal
Quarter occurring during any period set forth below to be less than the ratio set forth opposite
such period:

	 	 	 	 	 
	Period	 	Interest Coverage Ratio
	Each Fiscal Quarter ending between December 15,
2006 and July 15, 2007
	 	 	2.00:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between July 16, 2007
and January 15, 2008
	 	 	2.25:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between January 16,
2008 and October 15, 2008
	 	 	2.50:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between October 16,
2008 and April 15, 2009
	 	 	2.75:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter ending between April 16, 2009
and October 15, 2009
	 	 	3.00:1.00	 
	 
	 	 	 	 
	Each Fiscal Quarter thereafter
	 	 	3.25:1.00	 

     SECTION 7.2.5 Investments. The Borrower will not, and will not permit any of its
Subsidiaries to, purchase, make, incur, assume or permit to exist any Investment in any other
Person, except:

     (a) Investments existing on the Closing Date and identified in Item 7.2.5(a) of
the Disclosure Schedule;

     (b) Cash Equivalent Investments;

     (c) Investments received in connection with the bankruptcy or reorganization of, or
settlement of delinquent accounts and disputes with, customers and suppliers, in each case
in the ordinary course of business;

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     (d) Investments consisting of any deferred portion (including promissory notes and
non-cash consideration) of the sales price received by the Borrower or any Subsidiary in
connection with any Disposition permitted under Section 7.2.11;

     (e) Investments by way of contributions to capital or purchases of Capital Securities
(i) by the Borrower in any Subsidiaries or by any Subsidiary in other Subsidiaries or by the
Borrower or any Subsidiary in any Foreign Supply Chain Entity; provided that, the
aggregate amount of intercompany loans made pursuant to clause (f)(ii) of
Section 7.2.2, Indebtedness converted into equity pursuant to clause
(f)(ii)(A) of Section 7.2.2 and Investments under this clause made by the
Borrower and Subsidiary Guarantors in (x) Subsidiaries that are not Subsidiary Guarantors or
(y) any Foreign Supply Chain Entity shall not exceed the amount set forth in clause
(f)(ii) of Section 7.2.2 at any one time outstanding, or (ii) by any Subsidiary
in the Borrower;

     (f) Investments constituting (i) accounts receivable arising or acquired, (ii) trade
debt granted, or (iii) deposits made in connection with the purchase price of goods or
services, in each case in the ordinary course of business;

     (g) Investments by way of the acquisition of Capital Securities or the purchase or
other acquisition of all or substantially all of the assets or business of any Person, or of
assets constituting a business unit, or line of business or division of, such Person, in
each case constituting Permitted Acquisitions in an amount, when aggregated with the amount
expended under clause (b) of Section 7.2.10, does not exceed the amount set
forth in clause (b) of Section 7.2.10 in any Fiscal Year;

     (h) Investments constituting Capital Expenditures permitted pursuant to Section
7.2.7;

     (i) Investments in a Receivables Subsidiary or any Investment by a Receivables
Subsidiary in any other Person under a Permitted Securitization; provided that any
Investment in a Receivables Subsidiary is in the form of a Purchase Money Note, contribution
of additional receivables and related assets or any equity interests;

     (j) Investments constituting loans or advances to officers, directors or employees made
in the ordinary course of business (including for travel, entertainment and relocation
expenses) in an aggregate amount not to exceed $10,000,000;

     (k) Investments by any Foreign Subsidiary in any other Foreign Subsidiary;

     (l) Investments in the ordinary course of business consisting of (i) endorsements for
collection or deposit, (ii) customary arrangements with customers or (iii) Hedging
Obligations not for speculative purposes;

     (m) advances of payroll payments to employees in the ordinary course of business; and

     (n) other Investments in an amount not to exceed $100,000,000 over the term of this
Agreement;

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provided that (I) any Investment which when made complies with the requirements of the
definition of the term “Cash Equivalent Investment” may continue to be held notwithstanding that
such Investment if made thereafter would not comply with such requirements; and (II) no Investment
otherwise permitted by clauses (e)(i) (to the extent such Investment relates to an
Investment in a Foreign Subsidiary or a Foreign Supply Chain Entity), (g) or (n)
shall be permitted to be made if any Event of Default has occurred and is continuing.

     SECTION 7.2.6 Restricted Payments, etc. The Borrower will not, and will not permit
any of its Subsidiaries (other than a Receivables Subsidiary) to, declare or make a Restricted
Payment, or make any deposit for any Restricted Payment, other than (a) Restricted Payments made by
Subsidiaries to the Borrower or wholly owned Subsidiaries, (b) the Dividend, (c) cashless exercises
of stock options, (d) cash payments by Borrower in lieu of the issuance of fractional shares upon
exercise or conversion of Equity Equivalents, (e) Restricted Payments in
connection with the share repurchases required by the employee stock ownership programs or
required under employee agreements, (f) so long as (i) no Specified Default has occurred and is
continuing or would result therefrom, and (ii) both before and after giving effect to such
Restricted Payment, the Borrower is in pro forma compliance with Section 7.2.4, Permitted
Additional Restricted Payments and (g) Restricted Payments made by a Foreign Supply Chain Entity
that has been redesignated as a Foreign Subsidiary, to the Persons owning such Foreign Subsidiary’s
Capital Securities.

     SECTION 7.2.7 Capital Expenditures.

(a)     Subject (in the case of Capitalized Lease Liabilities), to clause (e) of
Section 7.2.2, the Borrower will not, and will not permit any of its Subsidiaries
to, make or commit to make Capital Expenditures except Capital Expenditures in an aggregate
amount not to exceed $130,000,000 in any Fiscal Year; provided that, to the extent
that the amount of Capital Expenditures made by the Borrower and its Subsidiaries during any
Fiscal Year is less than the aggregate amount permitted (including after giving effect to
this proviso) for such Fiscal Year, then such unutilized amount may be carried forward and
utilized by the Borrower and its Subsidiaries to make Capital Expenditures in any succeeding
Fiscal Year. Notwithstanding anything to the contrary with respect to any Fiscal Year of
the Borrower during which a Permitted Acquisition is consummated and for each Fiscal Year
subsequent thereto, the amount of Capital Expenditures permitted under the preceding
sentence applicable to each such Fiscal Year shall be increased by an amount equal to 5% of
the purchase price of each Permitted Acquisition (the “Acquired Permitted Capital
Expenditure Amount”); provided, however, with respect to the Fiscal Year
during which any such Permitted Acquisition occurs, the amount of additional Capital
Expenditures permitted as a result of this sentence shall be an amount equal to the product
of (x) the Acquired Permitted Capital Expenditure Amount and (y) a fraction, the numerator
of which is the number of days remaining in such Fiscal Year after the date such Permitted
Acquisition is consummated and the denominator of which is the actual number of days in such
Fiscal Year.

(b)     Notwithstanding anything to the contrary contained in clause (a) above, for any
Fiscal Year, the amount of Capital Expenditures that would otherwise be permitted in such
Fiscal Year pursuant to this Section 7.2.7 (including as a result of the
carry-forward

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described in the proviso to the first sentence of clause (a) above)
may be increased by an amount not to exceed $10,000,000 (the “CapEx Pull-Forward
Amount”). The actual CapEx Pull-Forward Amount in respect of any such Fiscal Year shall
reduce, on a dollar-for-dollar basis, the amount of Capital Expenditures that would have
been permitted to be made in the immediately succeeding Fiscal Year (provided that
the Borrower and its Subsidiaries may apply the CapEx Pull-Forward Amount in such
immediately succeeding Fiscal Year).

     SECTION 7.2.8 Payments With Respect to Certain Indebtedness. The Borrower will not,
and will not permit any of its Subsidiaries to,

     (a) make any payment or prepayment of principal of, or premium or interest on, any
Indebtedness incurred under the Second Lien Loan Documents, the Bridge Loan
Documents or the Senior Note Documents (including any redemption or retirement thereof)
(i) other than on (or after) the stated, scheduled date for payment of interest set forth in
the applicable Second Lien Loan Documents, Bridge Loan Documents or Senior Note Documents,
respectively, or (ii) which would violate the terms of this Agreement, the Intercreditor
Agreement or the applicable Second Lien Loan Documents, Bridge Loan Documents or Senior Note
Documents;

     (b) except as otherwise permitted by clause (a) above, prior to the Termination
Date, redeem, retire, purchase, defease or otherwise acquire any Indebtedness under the
Second Lien Loan Documents, the Bridge Loan Documents or the Senior Note Documents (other
than with proceeds from the issuance of the Borrower’s Capital Securities (to the extent not
otherwise required to be used to repay Loans pursuant to clause (e) of Section
3.1.1) permitted to be used to redeem Senior Notes in accordance with the terms of the
Senior Note Documents);

     (c) make any deposit (including the payment of amounts into a sinking fund or other
similar fund) for any of the foregoing purposes; or

     (d) make any payment or prepayment of principal of, or premium or interest on, any
Indebtedness that is by its express written terms subordinated to the payment of the
Obligations at any time when an Event of Default has occurred and is continuing.

Notwithstanding anything to the contrary contained in this Section, the Borrower shall be permitted
to refinance, in whole or in part, the Indebtedness under the Bridge Loan Documentation with the
proceeds from the issuance of Senior Notes.

     SECTION 7.2.9 Issuance of Capital Securities. The Borrower will not permit any of
its Subsidiaries (other than a Receivables Subsidiary and any Foreign Supply Chain Entity that has
been redesignated as a Foreign Subsidiary) to issue any Capital Securities (whether for value or
otherwise) to any Person other than to the Borrower or another wholly owned Subsidiary (other than
any director’s qualifying shares or investments by foreign nationals mandated by applicable laws).

     SECTION 7.2.10 Consolidation, Merger; Permitted Acquisitions, etc. The Borrower will
not, and will not permit any of its Subsidiaries to, liquidate or dissolve, consolidate with, or

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merge into or with, any other Person, or purchase or otherwise acquire all or substantially all of
the assets of any Person (or any division or line of business thereof), except

     (a) any Subsidiary may liquidate or dissolve voluntarily into, and may merge with and
into, the Borrower or any other Subsidiary (provided that a Subsidiary Guarantor may
only liquidate or dissolve into, or merge with and into, the Borrower or another Subsidiary
Guarantor), and the assets or Capital Securities of any Subsidiary may be purchased or
otherwise acquired by the Borrower or any other Subsidiary (provided that the assets
or Capital Securities of any Subsidiary Guarantor may only be purchased or otherwise
acquired by the Borrower or another Subsidiary Guarantor); provided,
further, that in no event shall any Subsidiary consolidate with or merge with and
into any other Subsidiary unless after giving effect thereto, the Collateral Agent shall
have a
perfected pledge of, and security interest in and to, at least the same percentage of
the issued and outstanding interests of Capital Securities (on a fully diluted basis) and
other assets of the surviving Person as the Collateral Agent had immediately prior to such
merger or consolidation in form and substance reasonably satisfactory to the Agents,
pursuant to such documentation and opinions as shall be necessary in the opinion of the
Agents to create, perfect or maintain the collateral position of the Secured Parties
therein; and

     (b) so long as no Event of Default has occurred and is continuing or would occur after
giving effect thereto, the Borrower or any of its Subsidiaries may purchase the Capital
Securities, all or substantially all of the assets of any Person (or any division or line of
business thereof), or acquire such Person by merger, in each case, if such purchase or
acquisition constitutes a Permitted Acquisition, and the amount expended in connection with
such transaction, when aggregated with the amount expended under clause (g) of
Section 7.2.5, does not exceed $100,000,000 per Fiscal Year plus the amount of Net
Disposition Proceeds the Borrower is not required to repay pursuant to Section 3.1.1
and not otherwise reinvested hereunder (so long as such proceeds are actually used for such
purpose) and the Excluded Equity Proceeds Amount (so long as such proceeds are actually used
for such purpose); provided that any Capital Securities of the Borrower issued to
the seller in connection with any Permitted Acquisition shall not result in a deduction of
amounts available to consummate Permitted Acquisitions hereunder.

     SECTION 7.2.11 Permitted Dispositions. The Borrower will not, and will not permit
any of its Subsidiaries to, Dispose of any of the Borrower’s or such Subsidiaries’ assets
(including accounts receivable and Capital Securities of Subsidiaries) to any Person in one
transaction or series of transactions unless such Disposition is:

     (a) inventory or obsolete, no longer used or useful, damaged, worn out or surplus
property Disposed of in the ordinary course of its business (including, the abandonment of
intellectual property which is obsolete, no longer used or useful or that in the Borrower’s
good faith judgment is no longer material in the conduct of the Borrower and is
Subsidiaries’ business taken as a whole):

     (b) permitted by Section 7.2.10;

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     (c) accounts receivable or any related asset Disposed of pursuant to a Permitted
Securitization;

     (d) of property to the extent that (i) such property is exchanged for credit against
the purchase price of similar replacement property or (ii) the proceeds of such Disposition
are promptly applied to the purchase price of such replacement property;

     (e) of property by the Borrower or any Subsidiary; provided that if the
transferor of such property is an Obligor (i) the transferee must be an Obligor or (ii) to
the extent such transaction constitutes an Investment such transaction is permitted under
Section 7.2.5;

     (f) of cash or Cash Equivalent Investments;

     (g) of accounts receivable in connection with compromise, write down or collection
thereof in the ordinary course of business;

     (h) constituting leases, subleases, licenses or sublicenses of property (including
intellectual property) in the ordinary course of business and which do not materially
interfere with the business of the Borrower and its Subsidiaries;

     (i) constituting a transfer of property subject to a Casualty Event (i) upon receipt of
Net Casualty Proceeds of such Casualty Event or (ii) to a Governmental Authority as a result
of condemnation;

     (j) sales of a non-core assets acquired in connection with a Permitted Acquisition
which are not used or useful or are duplicative in the business of the Borrower or its
Subsidiaries;

     (k) a grant of options to purchase, lease or acquire real or personal property in the
ordinary course of business, so long as the Disposition resulting from the exercise of such
option would otherwise be permitted under this Section 7.2.11;

     (l) Dispositions of Investments in Foreign Supply Chain Entities (or a Foreign Supply
Chain Entity that has been redesignated as a Foreign Subsidiary), to the extent required by,
or made pursuant to buy/sell arrangements between the Foreign Supply Chain Entity parties
forth in, the contracts applicable to such Foreign Supply Chain Entity (or a Foreign Supply
Chain Entity that has been redesignated as a Foreign Subsidiary);

     (m) Dispositions of the property described on Item 7.2.11(m) of the Disclosure
Schedule; or

     (n) a Disposition of assets not otherwise permitted pursuant to preceding clauses
(a)-(m) and (i) is for fair market value and the consideration received
consists of no less than 75% in cash and Cash Equivalent Investments, (ii) the Net
Disposition Proceeds received from such Disposition, together with the Net Disposition
Proceeds of all other assets Disposed of pursuant to this clause since the Closing Date,
does not

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exceed (individually or in the aggregate) $100,000,000 and (iii) the Net
Disposition Proceeds from such Disposition are applied pursuant to Sections 3.1.1
and 3.1.2.

     SECTION 7.2.12 Modification of Certain Agreements. The Borrower will not, and will
not permit any of its Subsidiaries to, consent to any amendment, supplement, waiver or other
modification of, or enter into any forbearance from exercising any rights with respect to the terms
or provisions contained in,

     (a) the Second Lien Loan Documents, except in accordance with the Intercreditor
Agreement;

     (b) any of the other Transaction Documents other than any amendment, supplement, waiver
or modification which would not be materially adverse to the Secured Parties; or

     (c) the Organic Documents of the Borrower or any of its Subsidiaries (other than a
Receivables Subsidiary) other than any amendment, supplement, waiver or modification which
would not be materially adverse to the Secured Parties.

     SECTION 7.2.13 Transactions with Affiliates. The Borrower will not, and will not
permit any of its Subsidiaries to, enter into or cause or permit to exist any arrangement,
transaction or contract (including for the purchase, lease or exchange of property or the rendering
of services) with any of its other Affiliates, unless such arrangement, transaction or contract is
on fair and reasonable terms no less favorable to the Borrower or such Subsidiary than it could
obtain in an arm’s-length transaction with a Person that is not an Affiliate other than
arrangements, transactions or contracts (a) between or among the Borrower and any Subsidiaries, (b)
in connection with the cash management of the Borrower and its Subsidiaries in the ordinary course
of business, (c) in connection with a Permitted Securitization including Standard Securitization
Undertakings or (d) that is a Transaction Document.

     SECTION 7.2.14 Restrictive Agreements, etc. The Borrower will not, and will not
permit any of its Subsidiaries (other than a Receivables Subsidiary) to, enter into any agreement
prohibiting

     (a) the creation or assumption of any Lien upon its properties, revenues or assets,
whether now owned or hereafter acquired;

     (b) the ability of any Obligor to amend or otherwise modify any Loan Document; or

     (c) the ability of any Subsidiary (other than a Receivables Subsidiary) to make any
payments, directly or indirectly, to the Borrower, including by way of dividends, advances,
repayments of loans, reimbursements of management and other intercompany charges, expenses
and accruals or other returns on investments.

The foregoing prohibitions shall not apply to restrictions contained (i) in any Loan Document or in
any Second Lien Loan Document (subject to the terms of the Intercreditor Agreement), (iii) in the
cases of clause (a) and (c), in any Bridge Loan Document or Senior Note Document,
(iv) in

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the case of clause (a), any agreement governing any Indebtedness permitted by
clause (n) of Section 7.2.2 as to the assets financed with the proceeds of such
Indebtedness, (v) in the case of clauses (a) and (c), any agreement of a Foreign
Subsidiary governing the Indebtedness permitted to be incurred or permitted to exist hereunder,
(vi) with respect to any Receivables Subsidiary, in the case of clauses (a) and
(c), the documentation governing any Securitization permitted hereunder, (vii) solely with
respect to clause (a), any arrangement or agreement arising in connection with a
Disposition permitted under this Agreement (but then only with respect to the assets being so
Disposed), (viii) solely with respect to clause (a) and (c), are already binding on
a Subsidiary when it is acquired, (ix) solely with respect to clause (a), customary
restrictions in
leases, subleases, licenses and sublicenses and (x) solely with respect to clause (a) and
(c), any agreement of a Foreign Supply Chain Entity that was redesignated as a Foreign
Subsidiary.

     SECTION 7.2.15 Sale and Leaseback. The Borrower will not, and will not permit any of
its Subsidiaries to, directly or indirectly enter into any agreement or arrangement providing for
the sale or transfer by it of any property (now owned or hereafter acquired) to a Person and the
subsequent lease or rental of such property or other similar property from such Person, except for
agreements and arrangements with respect to property the fair market value (as determined in good
faith by the Board of Directors of the Borrower) of which does not exceed $100,000,000 in the
aggregate following the Closing Date and the Net Disposition Proceeds of which are applied pursuant
to Sections 3.1.1 and 3.1.2.

     SECTION 7.2.16 Investments in European TM SPV. Notwithstanding anything else set
forth herein, the Borrower will not, and will not permit any of its Subsidiaries to make any
additional Investment in European TM SPV or transfer any of their respective assets to European TM
SPV.

ARTICLE VIII

EVENTS OF DEFAULT

     SECTION 8.1 Listing of Events of Default. Each of the following events or
occurrences described in this Article shall constitute an “Event of Default”.

     SECTION 8.1.1 Non-Payment of Obligations. The Borrower shall default in the payment
or prepayment when due of

     (a) any principal of any Loan, or any Reimbursement Obligation or any deposit of cash
for collateral purposes pursuant to Section 2.6.4;

     (b) any interest on any Loan or any fee described in Article III, and such
default shall continue unremedied for a period of three days after such interest or fee was
due; or

     (c) any other monetary Obligation, and such default shall continue unremedied for a
period of 10 Business Days after such amount was due.

     SECTION 8.1.2 Breach of Warranty. Any representation or warranty of any Obligor made
or deemed to be made in any Loan Document (including any certificates delivered

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pursuant to
Article V) is or shall be incorrect in any material respect when made or deemed to have
been made.

     SECTION 8.1.3 Non-Performance of Certain Covenants and Obligations. The Borrower
shall default in the due performance or observance of any of its obligations under Section
7.1.1, Section 7.1.7, Section 7.1.11 or Section 7.2.

     SECTION 8.1.4 Non-Performance of Other Covenants and Obligations. Any Obligor shall
default in the due performance and observance of any other agreement contained in any Loan Document
executed by it, and such default shall continue unremedied for a period of
30 days after the earlier to occur of (a) notice thereof given to the Borrower by any Agent or
any Lender or (b) the date on which any Obligor has knowledge of such default.

     SECTION 8.1.5 Default on Other Indebtedness. A default shall occur in the payment of
any amount when due (subject to any applicable grace period), whether by acceleration or otherwise,
of any principal or stated amount of, or interest or fees on, any Indebtedness (other than
Indebtedness described in Section 8.1.1) of the Borrower or any of its Subsidiaries (other
than a Receivables Subsidiary) or any other Obligor having a principal or stated amount,
individually or in the aggregate, in excess of $50,000,000, or a default shall occur in the
performance or observance of any obligation or condition with respect to such Indebtedness if the
effect of such default is to accelerate the maturity of any such Indebtedness or such default shall
continue unremedied for any applicable period of time sufficient to permit the holder or holders of
such Indebtedness, or any trustee or agent for such holders, to cause or declare such Indebtedness
to become due and payable or to require such Indebtedness to be prepaid, redeemed, purchased or
defeased, or require an offer to purchase or defease such Indebtedness to be made, prior to its
expressed maturity.

     SECTION 8.1.6 Judgments. Any (a) judgment or order for the payment of money
individually or in the aggregate in excess of $50,000,000 (exclusive of any amounts fully covered
by insurance (less any applicable deductible) or an indemnity by any other third party Person and
as to which the insurer or such Person has acknowledged its responsibility to cover such judgment
or order not denied in writing) shall be rendered against the Borrower or any of its Subsidiaries
(other than a Receivables Subsidiary) and such judgment shall not have been vacated or discharged
or stayed or bonded pending appeal within 45 days after the entry thereof or enforcement
proceedings shall have been commenced by any creditor upon such judgment or order or (b)
non-monetary judgment or order that has had, or could reasonably be expected to have, a Material
Adverse Effect.

     SECTION 8.1.7 Pension Plans. Any of the following events shall occur with respect to
any Pension Plan

     (a) the institution of any steps by the Borrower, any member of its Controlled Group or
any other Person to terminate a Pension Plan if, as a result of such termination, the
Borrower or any such member could be required to make a contribution to such Pension Plan,
or could reasonably expect to incur a liability or obligation to such Pension Plan, in
excess of $50,000,000; or

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     (b) a contribution failure occurs with respect to any Pension Plan sufficient to give
rise to a Lien under Section 302(f) of ERISA.

     SECTION 8.1.8 Change in Control. Any Change in Control shall occur.

     SECTION 8.1.9 Bankruptcy, Insolvency, etc. The Borrower, any of its Subsidiaries
(other than a Receivables Subsidiary) or any other Obligor shall

     (a) become insolvent or generally fail to pay, or admit in writing its inability or
unwillingness generally to pay, debts as they become due;

     (b) apply for, consent to, or acquiesce in the appointment of a trustee, receiver,
sequestrator or other custodian for any substantial part of the property of any thereof, or
make a general assignment for the benefit of creditors;

     (c) in the absence of such application, consent or acquiescence in or permit or suffer
to exist the appointment of a trustee, receiver, sequestrator or other custodian for a
substantial part of the property of any thereof, and such trustee, receiver, sequestrator or
other custodian shall not be discharged, stayed, vacated or bonded pending appeal within 60
days; provided that, the Borrower, each Subsidiary and each other Obligor hereby
expressly authorizes each Secured Party to appear in any court conducting any relevant
proceeding during such 60-day period to preserve, protect and defend their rights under the
Loan Documents;

     (d) permit or suffer to exist the commencement of any bankruptcy, reorganization, debt
arrangement or other case or proceeding under any bankruptcy or insolvency law or any
dissolution, winding up or liquidation proceeding, in respect thereof, and, if any such case
or proceeding is not commenced by the Borrower, any Subsidiary or any Obligor, such case or
proceeding shall be consented to or acquiesced in by the Borrower, such Subsidiary or such
Obligor, as the case may be, or shall result in the entry of an order for relief or shall
remain for 60 days undismissed, undischarged, unstayed or unbonded pending appeal;
provided that, the Borrower, each Subsidiary and each Obligor hereby expressly
authorizes each Secured Party to appear in any court conducting any such case or proceeding
during such 60-day period to preserve, protect and defend their rights under the Loan
Documents; or

     (e) take any action authorizing, or in furtherance of, any of the foregoing.

     SECTION 8.1.10 Impairment of Security, etc. Any Loan Document or any Lien granted
thereunder (effecting a material portion of the Collateral, taken as a whole) shall (except in
accordance with its terms), in whole or in part, terminate, cease to be effective or cease to be
the legally valid, binding and enforceable obligation of any Obligor party thereto (other than
pursuant to a failure of the Administrative Agent, any collateral agent appointed by the
Administrative Agent or the Lenders to take any action within the sole control of such Person); any
Obligor or any other party shall, directly or indirectly, contest in any manner such effectiveness,
validity, binding nature or enforceability; or, except as permitted under any Loan Document, any
Lien securing any Obligation shall, in whole or in part, cease to be a perfected first priority
Lien or any Obligor shall so assert (other than, in each case, pursuant to a failure of

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the
Administrative Agent, any collateral agent appointed by the Administrative Agent or the Lenders to
take any action within the sole control of such Person).

     SECTION 8.2 Action if Bankruptcy. If any Event of Default described in clauses
(a) through (d) of Section 8.1.9 with respect to the Borrower shall occur, the
Commitments (if not theretofore terminated) shall automatically terminate and the outstanding
principal amount of all outstanding Loans and all other Obligations (including Reimbursement
Obligations) shall automatically be and become immediately due and payable, without notice or
demand to any Person and each Obligor shall automatically and immediately be obligated to Cash
Collateralize all Letter of Credit Outstandings.

     SECTION 8.3 Action if Other Event of Default. If any Event of Default (other than
any Event of Default described in clauses (a) through (d) of Section 8.1.9
with respect to the Borrower) shall occur for any reason, whether voluntary or involuntary, and be
continuing, the Administrative Agent, upon the direction of the Required Lenders, shall by notice
to the Borrower declare all or any portion of the outstanding principal amount of the Loans and
other Obligations (including Reimbursement Obligations) to be due and payable and/or the
Commitments (if not theretofore terminated) to be terminated, whereupon the full unpaid amount of
such Loans and other Obligations which shall be so declared due and payable shall be and become
immediately due and payable, without further notice, demand or presentment, and/or, as the case may
be, the Commitments shall terminate and the Borrower shall automatically and immediately be
obligated to Cash Collateralize all Letter of Credit Outstandings.

ARTICLE IX

THE ADMINISTRATIVE AGENT, THE COLLATERAL AGENT; THE LEAD ARRANGERS,
 THE SYNDICATION AGENT AND THE
DOCUMENTATION AGENT

     SECTION 9.1 Actions. Each Lender hereby appoints Citicorp USA as its Administrative
Agent and CitiNA, as its collateral agent, under and for purposes of each Loan Document. Each
Lender authorizes each Agent to act on behalf of such Lender under each Loan Document and, in the
absence of other written instructions from the Required Lenders received from time to time by such
Agent (with respect to which each Agent agrees that it will comply, except as otherwise provided in
this Section or as otherwise advised by counsel in order to avoid contravention of applicable law),
to exercise such powers hereunder and thereunder as are specifically delegated to or required of
such Agent by the terms hereof and thereof, together with such powers as may be incidental thereto
(including the release of Liens on assets Disposed of in accordance with the terms of the Loan
Documents). Each Lender hereby indemnifies (which indemnity shall survive any termination of this
Agreement) each Agent, pro rata according to such Lender’s proportionate Total
Exposure Amount, from and against any and all liabilities, obligations, losses, damages, claims,
costs or expenses of any kind or nature whatsoever which may at any time be imposed on, incurred
by, or asserted against, such Agent in any way relating to or arising out of any Loan Document
(including reasonable attorneys’ fees and expenses), and as to which such Agent is not reimbursed
by the Borrower (and without limiting its obligation to do so); provided that no Lender
shall be liable for the payment of any portion of such liabilities, obligations, losses, damages,
claims, costs or expenses which are determined by a court of competent jurisdiction in a final
proceeding to have resulted from such Agent’s gross negligence or willful misconduct. No Agent
shall be required to take any action under any Loan Document,

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or to prosecute or defend any suit in
respect of any Loan Document, unless it is indemnified hereunder to its reasonable satisfaction.
If any indemnity in favor of any Agent shall be or become, in such Agent’s determination,
inadequate, such Agent may call for additional indemnification from the Lenders and cease to do the
acts indemnified against hereunder until such additional indemnity is given.

     SECTION 9.2 Funding Reliance, etc. Unless the Administrative Agent shall have been
notified in writing by any Lender by 3:00 p.m. on the Business Day prior to a Borrowing that such
Lender will not make available the amount which would constitute its Percentage of such Borrowing
on the date specified therefor, the Administrative Agent may assume that such Lender has made such
amount available to the Administrative Agent and, in reliance upon such
assumption, make available to the Borrower a corresponding amount. If and to the extent that
such Lender shall not have made such amount available to the Administrative Agent, such Lender and
the Borrower severally agree to repay the Administrative Agent forthwith on demand such
corresponding amount together with interest thereon, for each day from the date the Administrative
Agent made such amount available to the Borrower to the date such amount is repaid to the
Administrative Agent, at the interest rate applicable at the time to Loans comprising such
Borrowing (in the case of the Borrower) and (in the case of a Lender), at the Federal Funds Rate
(for the first two Business Days after which such amount has not been repaid), and thereafter at
the interest rate applicable to Loans comprising such Borrowing.

     SECTION 9.3 Exculpation. Neither any Lead Arranger, any Agent nor any of its
directors, officers, employees, agents or Affiliates shall be liable to any Secured Party for any
action taken or omitted to be taken by it under any Loan Document, or in connection therewith,
except for its own willful misconduct or gross negligence, nor responsible for any recitals or
warranties herein or therein, nor for the effectiveness, enforceability, validity or due execution
of any Loan Document, or the validity, genuineness, enforceability, existence, value or sufficiency
of any collateral security, nor to make any inquiry respecting the performance by any Obligor of
its Obligations. Any such inquiry which may be made by a Lead Arranger or an Agent shall not
obligate it to make any further inquiry or to take any action. Each Lead Arranger and each Agent
shall be entitled to rely upon advice of counsel concerning legal matters and upon any notice,
consent, certificate, statement or writing which such Lead Arranger or such Agent believes to be
genuine and to have been presented by a proper Person.

     SECTION 9.4 Successor. Any Agent may resign as such at any time upon at least 30
days’ prior notice to the Borrower and all Lenders. If any Agent at any time shall resign, the
Required Lenders may appoint (subject to, so long as no Event of Default has occurred and is
continuing, the reasonable consent of the Borrower not to be unreasonably withheld or delayed)
another Lender as such Person’s successor Agent which shall thereupon become the applicable Agent
hereunder. If no successor Agent shall have been so appointed by the Required Lenders (and
consented to by the Borrower), and shall have accepted such appointment, within 30 days after the
retiring such Agent’s giving notice of resignation, then the retiring Agent may, on behalf of the
Lenders, appoint a successor Agent, which shall be one of the Lenders or a commercial banking
institution organized under the laws of the United States (or any State thereof) or a United States
branch or agency of a commercial banking institution, and having a combined capital and surplus of
at least $250,000,000; provided that, if, such retiring Agent is unable to find a
commercial banking institution which is willing to accept such appointment and

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which meets the
qualifications set forth in above, the retiring Agent’s resignation shall nevertheless thereupon
become effective and the Lenders shall assume and perform all of the duties of such Agent hereunder
until such time, if any, as the Required Lenders appoint a successor as provided for above. Upon
the acceptance of any appointment as an Agent hereunder by any successor Agent, such successor
Agent shall be entitled to receive from the retiring Agent such documents of transfer and
assignment as such successor Agent may reasonably request, and shall thereupon succeed to and
become vested with all rights, powers, privileges and duties of the retiring Agent, and the
retiring Agent shall be discharged from its duties and obligations under the Loan Documents. After
any retiring Agent’s resignation hereunder as an Agent, the provisions of this Article shall inure
to its benefit as to any actions
taken or omitted to be taken by it while it was an Agent under the Loan Documents, and
Section 10.3 and Section 10.4 shall continue to inure to its benefit.

     SECTION 9.5 Loans by Citibank. Citibank shall have the same rights and powers with
respect to (a) the Credit Extensions made by it or any of its Affiliates, and (b) the Notes held by
it or any of its Affiliates as any other Lender and may exercise the same as if it were not an
Agent. Citibank and its Affiliates may accept deposits from, lend money to, and generally engage
in any kind of business with the Borrower or any Subsidiary or Affiliate of the Borrower as if
Citibank were not an Agent hereunder.

     SECTION 9.6 Credit Decisions. Each Lender acknowledges that it has, independently of
the Administrative Agent and each other Lender, and based on such Lender’s review of the financial
information of the Borrower, the Loan Documents (the terms and provisions of which being
satisfactory to such Lender) and such other documents, information and investigations as such
Lender has deemed appropriate, made its own credit decision to extend its Commitments. Each Lender
also acknowledges that it will, independently of the Administrative Agent and each other Lender,
and based on such other documents, information and investigations as it shall deem appropriate at
any time, continue to make its own credit decisions as to exercising or not exercising from time to
time any rights and privileges available to it under the Loan Documents.

     SECTION 9.7 Copies, etc. Each Agent shall give prompt notice to each Lender of each
notice or request required or permitted to be given to such Agent by the Borrower pursuant to the
terms of the Loan Documents (unless concurrently delivered to the Lenders by the Borrower). Each
Agent will distribute to each Lender each document or instrument received for its account and
copies of all other communications received by such Agent from the Borrower for distribution to the
Lenders by such Agent in accordance with the terms of the Loan Documents. No Agent shall, except
as expressly set forth in the Loan Documents, have any duty to disclose, and shall not be liable
for the failure to disclose, any information relating to the Borrower or any of its Affiliates that
is communicated to or obtained by any Agent or any of its Affiliates in any capacity.

     SECTION 9.8 Reliance by Agents. The Agents shall be entitled to rely upon any
certification, notice or other communication (including any thereof by telephone, telecopy,
telegram or cable) believed by it to be genuine and correct and to have been signed or sent by or
on behalf of the proper Person, and upon advice and statements of legal counsel, independent
accountants and other experts selected by such Agent. As to any matters not expressly provided for
by the Loan Documents, the Agents shall in all cases be fully protected in acting, or in

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refraining
from acting, thereunder in accordance with instructions given by the Required Lenders or all of the
Lenders as is required in such circumstance, and such instructions of such Lenders and any action
taken or failure to act pursuant thereto shall be binding on all Secured Parties. For purposes of
applying amounts in accordance with this Section, the Agents shall be entitled to rely upon any
Secured Party that has entered into a Rate Protection Agreement with any Obligor for a
determination (which such Secured Party agrees to provide or cause to be provided upon request of
any Agent) of the outstanding Obligations owed to such Secured Party under any Rate Protection
Agreement. Unless it has actual knowledge evidenced by way of written notice from any such Secured
Party and the Borrower to the contrary, the Agents, in acting in such capacity under the Loan
Documents, shall be entitled to assume that no Rate Protection Agreements or
Obligations in respect thereof are in existence or outstanding between any Secured Party and
any Obligor.

     SECTION 9.9 Defaults. The Administrative Agent shall not be deemed to have knowledge
or notice of the occurrence of a Default (other than a Default under Section 8.1.1) unless
the Administrative Agent has received a written notice from a Lender or the Borrower specifying
such Default and stating that such notice is a “Notice of Default”. In the event that the
Administrative Agent receives such a notice of the occurrence of a Default, the Administrative
Agent shall give prompt notice thereof to the Lenders. The Administrative Agent shall (subject to
Section 10.1) take such action with respect to such Default as shall be directed by the
Required 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 as it shall deem advisable
in the best interest of the Secured Parties except to the extent that this Agreement expressly
requires that such action be taken, or not be taken, only with the consent or upon the
authorization of the Required Lenders or all Lenders.

     SECTION 9.10 Lead Arrangers, Syndication Agents and Documentation Agents.
Notwithstanding anything else to the contrary contained in this Agreement or any other Loan
Document, the Lead Arrangers, the Syndication Agents and the Documentation Agents, in their
respective capacities as such, each in such capacity, shall have no duties or responsibilities
under this Agreement or any other Loan Document nor any fiduciary relationship with any Lender, and
no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read
into this Agreement or otherwise exist against such Person in such capacity. Each Lead Arranger
shall at all times have the right to receive current copies of the Register and any other
information relating to the Lenders and the Loans that they may request from the Administrative
Agent. Each Lead Arranger shall at all times have the right to receive a current copy of the
Register and any other information relating to the Lenders and the Loans that they may request from
the Administrative Agent.

     SECTION 9.11 Posting of Approved Electronic Communications.

     (a) The Borrower hereby agrees, unless directed otherwise by the Administrative Agent
or unless the electronic mail address referred to below has not been provided by the
Administrative Agent to the Borrower, that it will, or will cause its Subsidiaries to,
provide to the Administrative Agent all information, documents and other materials that it
is obligated to furnish to the Administrative Agent pursuant to the Loan

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Documents or to the
Lenders under Section 7.1.1, including all notices, requests, financial statements,
financial and other reports, certificates and other information materials, but excluding any
such communication that (i) is or relates to a Borrowing Request, a Continuation/Conversion
Notice or an Issuance Request, (ii) relates to the payment of any principal or other amount
due under this Agreement prior to the scheduled date therefor and (iii) provides notice of
any Default (all such non-excluded communications being referred to herein collectively as
“Communications”), by transmitting the Communications in an electronic/soft medium
that is properly identified in a format reasonably acceptable to the Administrative Agent to
an electronic mail address as directed by the Administrative Agent; provided for the
avoidance of doubt the
items described in clauses (i) and (iii) above may be delivered via
facsimile transmissions. In addition, the Borrower agrees, and agrees to cause its
Subsidiaries, to continue to provide the Communications to the Administrative Agent or the
Lenders, as the case may be, in the manner specified in the Loan Documents but only to the
extent requested by the Administrative Agent.

     (b) The Borrower further agrees that the Administrative Agent may make the
Communications available to the Lenders by posting the Communications on Intralinks or a
substantially similar secure electronic transmission system (the “Platform”).

     (c) THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE”. THE INDEMNIFIED PARTIES DO
NOT WARRANT THE ACCURACY OR COMPLETENESS OF THE COMMUNICATIONS OR THE ADEQUACY OF THE
PLATFORM AND EXPRESSLY DISCLAIM LIABILITY FOR ERRORS OR OMISSIONS IN THE COMMUNICATIONS. NO
WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF
MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR
FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS IS MADE BY THE INDEMNIFIED PARTIES IN CONNECTION
WITH THE COMMUNICATIONS OR THE PLATFORM. IN NO EVENT SHALL ANY PARTY HERETO HAVE ANY
LIABILITY TO ANY OBLIGOR, ANY LENDER OR ANY OTHER PERSON FOR DAMAGES OF ANY KIND, WHETHER OR
NOT BASED ON STRICT LIABILITY AND INCLUDING DIRECT OR INDIRECT, SPECIAL, INCIDENTAL OR
CONSEQUENTIAL DAMAGES, LOSSES OR EXPENSES (WHETHER IN TORT, CONTRACT OR OTHERWISE) ARISING
OUT OF ANY OBLIGOR’S OR THE ADMINISTRATIVE AGENT’S TRANSMISSION OF COMMUNICATIONS THROUGH
THE INTERNET, EXCEPT TO THE EXTENT THE LIABILITY OF SUCH PERSON IS FOUND IN A FINAL RULING
BY A COURT OF COMPETENT JURISDICTION TO HAVE RESULTED PRIMARILY FROM SUCH INDEMNIFIED
PARTY’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT.

     (d) The Administrative Agent agrees that the receipt of the Communications by the
Administrative Agent at the e-mail address set forth on Schedule II shall constitute
effective delivery of the Communications to the Administrative Agent for purposes of the
Loan Documents. Each Lender agrees that receipt of notice to it (as provided in the next
sentence) specifying that the Communications have been posted to the Platform shall

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constitute effective delivery of the Communications to such Lender for purposes of the Loan
Documents. Each Lender agrees to notify the Administrative Agent in writing (including by
electronic communication) from time to time of such Lender’s e-mail address to which the
foregoing notice may be sent by electronic transmission and that the foregoing notice may be
sent to such e-mail address.

     (e) Nothing herein shall prejudice the right of any Agent or any Lender to give any
notice or other communication pursuant to any Loan Document in any other manner specified in
such Loan Document.

ARTICLE X

MISCELLANEOUS PROVISIONS

     SECTION 10.1 Waivers, Amendments, etc. The provisions of each Loan Document (other
than Rate Protection Agreements, Letters of Credit or the Fee Letter, which shall be modified only
in accordance with their respective terms) may from time to time be amended, modified or waived, if
such amendment, modification or waiver is in writing and consented to by the Borrower and the
Required Lenders; provided that, no such amendment, modification or waiver shall:

     (a) modify Section 4.7, Section 4.8 (as it relates to sharing of
payments) or this Section, in each case, without the consent of all Lenders;

     (b) increase the aggregate amount of any Loans required to be made by a Lender pursuant
to its Commitments, extend the final Commitment Termination Date of Loans made (or
participated in) by a Lender or extend the final Stated Maturity Date for any Lender’s Loan,
in each case without the consent of such Lender (it being agreed, however, that any vote to
rescind any acceleration made pursuant to Section 8.2 and Section 8.3 of
amounts owing with respect to the Loans and other Obligations shall only require the vote of
the Required Lenders);

     (c) reduce (by way of forgiveness), the principal amount of or reduce the rate of
interest on any Lender’s Loan, reduce any fees described in Article III payable to
any Lender or extend the date on which interest, principal or fees are payable in respect of
such Lender’s Loans, in each case without the consent of such Lender (provided that,
the vote of Required Lenders shall be sufficient to waive the payment, or reduce the
increased portion, of interest accruing under Section 3.2.2 and such waiver shall
not constitute a reduction of the rate of interest hereunder);

     (d) reduce the percentage set forth in the definition of “Required Lenders” or modify
any requirement hereunder that any particular action be taken by all Lenders without the
consent of all Lenders;

     (e) increase the Stated Amount of any Letter of Credit unless consented to by the
Issuer of such Letter of Credit;

     (f) except as otherwise expressly provided in a Loan Document, release (i) the Borrower
from its Obligations under the Loan Documents or any Subsidiary

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Guarantor from its
obligations under the Guaranty or (ii) all or substantially all of the collateral under the
Loan Documents, in each case without the consent of all Lenders; or

     (g) affect adversely the interests, rights or obligations of the Administrative Agent
(in its capacity as the Administrative Agent), the Collateral Agent (in its capacity as the
Collateral Agent) any Issuer (in its capacity as Issuer), or the Swing Line Lender (in its
capacity as Swing Line Lender) unless consented to by such Agent or such Issuer, as the case
may be.

No failure or delay on the part of any Secured Party in exercising any power or right under any
Loan Document shall operate as a waiver thereof, nor shall any single or partial exercise of any
such power or right preclude any other or further exercise thereof or the exercise of any other
power or right. No notice to or demand on any Obligor in any case shall entitle it to any notice
or demand in similar or other circumstances. No waiver or approval by any Secured Party under any
Loan Document shall, except as may be otherwise stated in such waiver or approval, be applicable to
subsequent transactions. No waiver or approval hereunder shall require any similar or dissimilar
waiver or approval thereafter to be granted hereunder.

Notwithstanding the foregoing, this Agreement may be amended (or amended and restated) with the
written consent of the Required Lenders, and the Borrower (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 ratably in the benefits of
this Agreement and the other Loan Documents with the Obligations and (b) to include appropriately
the Lenders holding such credit facilities in any determination of the Required Lenders.

Further, notwithstanding anything to the contrary contained in Section 10.1, if within
sixty days following the Closing Date, the Administrative Agent and the Borrower shall have jointly
identified an obvious error or any error or omission of a technical or immaterial nature, in each
case, in any provision of the Loan Documents, then the Administrative Agent and the Borrower shall
be permitted to amend such provision and such amendment shall become effective without any further
action or consent of any other party to any Loan Document if the same is not objected to in writing
by the Required Lenders within five Business Days following receipt of notice thereof.

     SECTION 10.2 Notices; Time. All notices and other communications provided under each
Loan Document shall be in writing or by facsimile (except to the extent provided below in this
Section 10.2 with respect to Issuance Requests and financial information) and addressed,
delivered or transmitted, if to the Borrower, an Agent, a Lender or an Issuer, to the applicable
Person at its address or facsimile number set forth on the signature pages hereto, Schedule
II hereto or set forth in the Lender Assignment Agreement, or at such other address or
facsimile number as may be designated by such party in a notice to the other parties. Any notice,
if mailed and properly addressed with postage prepaid or if properly addressed and sent by pre-paid
courier service, shall be deemed given when received; any notice, if transmitted by facsimile,
shall be deemed given when the confirmation of transmission thereof is received by the transmitter.
Except as set forth in Section 9.11 and below, electronic mail and Internet and intranet
websites may be used only to distribute routine communications by the Administrative

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Agent to the
Lender, such as financial statements and other information as provided in Section 7.1.1 ,
for the distribution and execution of Loan Documents for execution by the parties thereto and (to
the extent provided herein, for the delivery of each Issuance Request) and may not be used for any
other purpose. Notwithstanding the foregoing, the parties hereto agree that delivery of an
executed counterpart of a signature page to this Agreement and each other Loan Document by
facsimile (or other electronic) transmission shall be effective as delivery of an original executed
counterpart of this Agreement or such other Loan Document. Unless otherwise indicated, all
references to the time of a day in a Loan Document shall refer to New York time.

     SECTION 10.3 Payment of Costs and Expenses. The Borrower agrees to pay within 20
days of demand (to the extent invoiced together with reasonably detailed supporting documentation)
all reasonable out-of-pocket expenses of each Lead Arranger and each Agent (including the
reasonable fees and reasonable out-of-pocket expenses of Mayer, Brown, Rowe & Maw LLP, counsel to
the Lead Arrangers and Agents and of local counsel, if any, who may be retained by or on behalf of
the Lead Arrangers and Agents) and each Issuer in connection with

     (a) the negotiation, preparation, execution and delivery of each Loan Document,
including schedules and exhibits, and any amendments, waivers, consents, supplements or
other modifications to any Loan Document as may from time to time hereafter be required,
whether or not the transactions contemplated hereby are consummated; and

     (b) the filing or recording of any Loan Document (including any Filing Statements) and
all amendments, supplements, amendment and restatements and other modifications to any
thereof, searches made following the Closing Date in jurisdictions where Filing Statements
(or other documents evidencing Liens in favor of the Secured Parties) have been recorded and
any and all other documents or instruments of further assurance required to be filed or
recorded by the terms of any Loan Document; and

     (c) the preparation and review of the form of any document or instrument relevant to
any Loan Document.

The Borrower further agrees to pay, and to save each Secured Party harmless from all liability for,
any stamp or other taxes which may be payable in connection with the execution or delivery of each
Loan Document, the Credit Extensions or the issuance of the Notes. The Borrower also agrees to
reimburse the Agents and the Secured Parties upon demand for all reasonable out-of-pocket expenses
(including reasonable attorneys’ fees and legal out of pocket expenses of counsel to the Agents and
the Secured Parties) incurred by the Agents and the Secured Parties in connection with (A) the
negotiation of any restructuring or “work-out” with the Borrower, whether or not consummated, of
any Obligations and (B) the enforcement of any Obligations; provided that the Borrower
shall not be required to reimburse the legal fees and expenses of more than one outside counsel (in
addition to any local counsel) for all Persons indemnified under this Section 10.3 unless,
as reasonably determined by such Person seeking indemnification hereunder or its counsel,
representation of all such indemnified persons by the same counsel would be inappropriate due to
actual or potential differing interests between them.

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     SECTION 10.4 Indemnification. In consideration of the execution and delivery of this
Agreement by each Secured Party, the Borrower hereby indemnifies, exonerates and holds each Secured
Party, each Syndication Agent, each Documentation Agent and each of their respective officers,
directors, employees, agents, trustees, fund advisors and Affiliates (collectively, the
“Indemnified Parties”) free and harmless from and against any and all actions, causes of
action, suits, losses, costs, liabilities and damages, and expenses incurred in connection
therewith (irrespective of whether any such Indemnified Party is a party to the action for which
indemnification hereunder is sought), including reasonable attorneys’ fees and disbursements,
whether incurred in connection with actions between or among the parties hereto or the parties
hereto and third parties (collectively, the “Indemnified Liabilities”), incurred by
the Indemnified Parties or any of them as a result of, or arising out of, or relating to

     (a) any transaction financed or to be financed in whole or in part, directly or
indirectly, with the proceeds of any Credit Extension, including all Indemnified Liabilities
arising in connection with the Transaction;

     (b) the entering into and performance of any Loan Document by any of the Indemnified
Parties (including any action brought by or on behalf of the Borrower as the result of any
determination by the Required Lenders pursuant to Article V not to fund any Credit
Extension, provided that, any such action is resolved in favor of such Indemnified
Party);

     (c) any investigation, litigation or proceeding related to any acquisition or proposed
acquisition by any Obligor or any Subsidiary thereof of all or any portion of the Capital
Securities or assets of any Person, whether or not an Indemnified Party is party thereto;

     (d) any investigation, litigation or proceeding related to any environmental cleanup,
audit, compliance or other matter relating to the protection of the environment or the
Release by any Obligor or any Subsidiary thereof of any Hazardous Material;

     (e) the presence on or under, or the escape, seepage, leakage, spillage, discharge,
emission, discharging or releases from, any real property owned or operated by any Obligor
or any Subsidiary thereof of any Hazardous Material (including any losses, liabilities,
damages, injuries, costs, expenses or claims asserted or arising under any Environmental
Law), regardless of whether caused by, or within the control of, such Obligor or Subsidiary;
or

     (f) each Lender’s Environmental Liability (the indemnification herein shall survive
repayment of the Obligations and any transfer of the property of any Obligor or its
Subsidiaries by foreclosure or by a deed in lieu of foreclosure for any Lender’s
Environmental Liability, regardless of whether caused by, or within the control of, such
Obligor or such Subsidiary);

except for (i) Indemnified Liabilities arising for the account of any Indemnified Party by reason
of any Indemnified Party’s gross negligence, bad faith or willful misconduct as finally determined
by a court of competent jurisdiction, (ii) Indemnified Liabilities arising out of any

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action, suit,
proceeding or claim against an Indemnified Party by any other Indemnified Party not involving the
Borrower or any of its Subsidiaries. The Borrower shall not be required to reimburse the legal
fees and expenses of more than one outside counsel for all Indemnified Parties with respect to any
matter for which indemnification is sought unless, as reasonably determined by any such Indemnified
Party or its counsel, representation of all such Indemnified Parties would create an actual
conflict of interest. Each Obligor and its successors and assigns hereby waive, release and agree
not to make any claim or bring any cost recovery action against, any Indemnified Party under CERCLA
or any state equivalent, or any similar law now existing or hereafter enacted. It is expressly
understood and agreed that to the extent that any
Indemnified Party is strictly liable under any Environmental Laws, each Obligor’s obligation to
such Indemnified Party under this indemnity shall likewise be without regard to fault on the part
of any Obligor with respect to the violation or condition which results in liability of an
Indemnified Party. If and to the extent that the foregoing undertaking may be unenforceable for
any reason, each Obligor agrees to make the maximum contribution to the payment and satisfaction of
each of the Indemnified Liabilities which is permissible under applicable law. To the extent that
the Borrower fails to pay an amount required to be paid by it to an Issuer under Section
10.3 or 10.4, each Revolving Loan Lender severally agrees to pay to such Issuer such
Revolving Loan Lender’s Revolving Loan Percentage (determined as of the time that the applicable
unreimbursed expense or indemnity payment is sought) of such unpaid amount, provided that such
unreimbursed expense or indemnified loss, claim, damage, liability or related expense, as the case
may be, was incurred by or asserted against such Issuer in its capacity as such.

     SECTION 10.5 Survival. The obligations of the Borrower under Sections 4.3,
4.4, 4.5, 4.6, 10.3 and 10.4, and the obligations of the
Lenders under Section 9.1, shall in each case survive any assignment from one Lender to
another (in the case of Sections 10.3 and 10.4) and the occurrence of the
Termination Date. The representations and warranties made by each Obligor in each Loan Document
shall survive the execution and delivery of such Loan Document.

     SECTION 10.6 Severability. Any provision of any Loan Document which is prohibited or
unenforceable in any jurisdiction shall, as to such provision and such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the remaining provisions
of such Loan Document or affecting the validity or enforceability of such provision in any other
jurisdiction.

     SECTION 10.7 Headings. The various headings of each Loan Document are inserted for
convenience only and shall not affect the meaning or interpretation of such Loan Document or any
provisions thereof.

     SECTION 10.8 Execution in Counterparts, Effectiveness, etc. This Agreement may be
executed by the parties hereto in several counterparts, each of which shall be an original and all
of which shall constitute together but one and the same agreement. This Agreement shall become
effective when counterparts hereof executed on behalf of the Borrower, each Agent and each Lender
(or notice thereof satisfactory to the Administrative Agent), shall have been received by the
Administrative Agent.

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     SECTION 10.9 Governing Law; Entire Agreement. EACH LOAN DOCUMENT (OTHER THAN THE
LETTERS OF CREDIT, TO THE EXTENT SPECIFIED BELOW AND EXCEPT AS OTHERWISE EXPRESSLY SET FORTH IN A
LOAN DOCUMENT) WILL EACH BE DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF
THE STATE OF NEW YORK (INCLUDING FOR SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL
OBLIGATIONS LAW OF THE STATE OF NEW YORK). EACH LETTER OF CREDIT SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OR RULES DESIGNATED IN SUCH LETTER OF CREDIT, OR IF NO LAWS
OR RULES ARE DESIGNATED, THE
INTERNATIONAL STANDBY PRACTICES (ISP98—INTERNATIONAL CHAMBER OF COMMERCE PUBLICATION NUMBER
590 (THE “ISP RULES”)) AND, AS TO MATTERS NOT GOVERNED BY THE ISP RULES, THE INTERNAL LAWS
OF THE STATE OF NEW YORK. The Loan Documents constitute the entire understanding among the parties
hereto with respect to the subject matter thereof and supersede any prior agreements, written or
oral, with respect thereto.

     SECTION 10.10 Successors and Assigns. This Agreement shall be binding upon and shall
inure to the benefit of the parties hereto and their respective successors and assigns;
provided that, the Borrower may not assign or transfer its rights or obligations hereunder
without the consent of all Lenders. Each Affiliate of HSBC or any other Lender that has issued a
Letter of Credit hereunder shall be an express third party beneficiary of this Agreement and
entitled to enforce its rights hereunder (and under any other applicable Loan Documents) to the
same extent as if an Issuer party hereto.

     SECTION 10.11 Sale and Transfer of Credit Extensions; Participations in Credit
Extensions; Notes. Each Lender may assign, or sell participations in, its Loans, Letters of
Credit and Commitments to one or more other Persons in accordance with the terms set forth below.

     (a)
Subject to clause (b), any Lender may assign to one or more Eligible Assignees all or
a portion of its rights and obligations under the Loan Documents (including all or a portion of its
Commitments and the Loans at the time owing to it); provided that:

     (i) except in the case of (A) an assignment of the entire remaining amount of the
assigning Lender’s Commitments and the Loans at the time owing to it or (B) an assignment to
a Lender, an Affiliate of a Lender or an Approved Fund with respect to a Lender, the
aggregate amount of the Commitments (which for this purpose includes Loans outstanding
thereunder) or principal outstanding balance of the Loans of the assigning Lender subject to
each such assignment (determined as of the date the Lender Assignment Agreement with respect
to such assignment is delivered to the Administrative Agent) shall not be less than
$1,000,000, unless the Administrative Agent and the Borrower, otherwise consent (which
consent shall not be unreasonably withheld or delayed);

     (ii) each partial assignment shall be made as an assignment of a proportionate part of
all the assigning Lender’s rights and obligations under this Agreement with respect to the
Loans and the Commitments assigned except that this clause (a)(ii) shall not
prohibit any Lender from assigning all or a portion of its rights and obligations

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among
separate tranches of Revolving Loans and Term Loans on a non-pro rata basis;
and

     (iii) the parties to each assignment shall execute and deliver to the Administrative
Agent a Lender Assignment Agreement, together with, if the Eligible Assignee is not already
Lender, administrative details information with respect to such Eligible Assignee and
applicable tax forms.

     (b)
Any assignment proposed pursuant to clause (a) to any Person (other than a Lender, an
Approved Fund or an Affiliate of any Lender) shall be subject to the prior written approval of (i)
the Administrative Agent (not to be unreasonably withheld or delayed) and (ii) in the case of any
assignment of any Revolving Loan Commitment, the Swing Line Lender and each Issuer (in each case
not to be unreasonably withheld or delayed). If the consent of the Borrower to an assignment or to
an Eligible Assignee is required hereunder (including a consent to an assignment which does not
meet the minimum assignment thresholds specified in this Section), the Borrower shall be deemed to
have given its consent seven Business Days after the date notice thereof has been delivered by the
assigning Lender (through the Administrative Agent) to the Borrower, unless such consent is
expressly refused by the Borrower prior to such seventh Business Day.

     (c) Subject to acceptance and recording thereof by the Administrative Agent pursuant to clause
(d), from and after the effective date specified in each Lender Assignment Agreement, (i) the
Eligible Assignee thereunder shall (if not already a Lender) be a party hereto and, to the extent
of the interest assigned by such Lender Assignment Agreement, have the rights and obligations of a
Lender under the Loan Documents, and (ii) the assigning Lender thereunder shall (subject to
Section 10.5) be released from its obligations under the Loan Documents, to the extent of
the interest assigned by such Lender Assignment Agreement (and, in the case of a Lender Assignment
Agreement covering all of the assigning Lender’s rights and obligations under the Loan Documents,
such Lender shall cease to be a party hereto, but shall (as to matters arising prior to the
effectiveness of the Lender Assignment Agreement) continue to be entitled to the benefits of any
provisions of the Loan Documents which by their terms survive the termination of this Agreement).
Any assignment or transfer by a Lender of rights or obligations under this Agreement that does not
comply with the terms of this Section shall be treated for purposes of the Loan Documents as a sale
by such Lender of a participation in such rights and obligations in accordance with clause
(e).

     (d) The Administrative Agent shall record each assignment made in accordance with this Section in
the Register pursuant to clause (a) of Section 2.7. The Register shall be
available for inspection by the Borrower and any Lender, at any reasonable time upon reasonable
prior notice to the Administrative Agent.

     (e) Any Lender may, without the consent of, or notice to, any Person, sell participations to one
or more Persons (other than individuals) (a “Participant”) in all or a portion of such
Lender’s rights or obligations under the Loan Documents (including all or a portion of its
Commitments or the Loans owing to it); provided that, (i) such Lender’s obligations under
the Loan Documents shall remain unchanged, (ii) such Lender shall remain solely responsible to the
other parties hereto for the performance of such obligations and (iii) the Borrower, the
Administrative Agent

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and the other Lenders shall continue to deal solely and directly with such
Lender in connection with such Lender’s rights and obligations under the Loan Documents. Any
agreement or instrument pursuant to which a Lender sells a participation shall provide that such
Lender shall retain the sole right to enforce the rights and remedies of a Lender under the Loan
Documents and to approve any amendment, modification or waiver of any provision of the Loan
Documents; provided that, such agreement or instrument may provide that such Lender will
not, without the consent of the Participant, take any action of the type described in clauses
(a) through (d) or clause (f) of Section 10.1 with respect to
Obligations participated in by that Participant. Subject
to clause (f), the Borrower agrees that each Participant shall be entitled to the
benefits of Sections 4.3, 4.4, 4.5, 4.6, 7.1.1,
10.3 and 10.4 to the same extent as if it were a Lender and had acquired its
interest by assignment pursuant to clause (c). To the extent permitted by law, each
Participant also shall be entitled to the benefits of Section 4.9 as though it were a
Lender, but only if such Participant agrees to be subject to Section 4.8 as though it were
a Lender.

     (f) A Participant shall not be entitled to receive any greater payment under Section 4.3,
4.4, 4.5, 4.6, 10.3 or 10.4 than the applicable Lender
would have been entitled to receive with respect to the participation sold to such Participant,
unless the sale of the participation to such Participant is made with the Borrower’s prior written
consent. A Participant that would be a Non-U.S. Lender if it were a Lender shall not be entitled
to the benefits of Section 4.6 unless the Borrower is notified of the participation sold to
such Participant and such Participant agrees, for the benefit of the Borrower, to comply with the
requirements set forth in Section 4.6 as though it were a Lender. Any Lender that sells a
participating interest in any Loan, Commitment or other interest to a Participant under this
Section shall indemnify and hold harmless the Borrower and the Administrative Agent from and
against any taxes, penalties, interest or other costs or losses (including reasonable attorneys’
fees and expenses) incurred or payable by the Borrower or the Administrative Agent as a result of
the failure of the Borrower or the Administrative Agent to comply with its obligations to deduct or
withhold any Taxes from any payments made pursuant to this Agreement to such Lender or the
Administrative Agent, as the case may be, which Taxes would not have been incurred or payable if
such Participant had been a Non-U.S. Lender that was entitled to deliver to the Borrower, the
Administrative Agent or such Lender, and did in fact so deliver, a duly completed and valid Form
W-8BEN or W-8ECI (or applicable successor form) entitling such Participant to receive payments
under this Agreement without deduction or withholding of any United States federal taxes.

     (g) Any Lender may, without the consent of any other Person, 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;
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.

     SECTION 10.12 Other Transactions. Nothing contained herein shall preclude any Agent,
any Issuer or any other Lender from engaging in any transaction, in addition to those contemplated
by the Loan Documents, with the Borrower or any of its Affiliates in which the Borrower or such
Affiliate is not restricted hereby from engaging with any other Person.

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     SECTION 10.13 Forum Selection and Consent to Jurisdiction. ANY LITIGATION BASED
HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, ANY LOAN DOCUMENT, OR ANY COURSE OF
CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE AGENTS, THE
LENDERS, ANY ISSUER OR THE BORROWER IN CONNECTION HEREWITH OR THEREWITH MAY BE BROUGHT AND
MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK OR IN THE UNITED STATES DISTRICT COURT FOR THE
SOUTHERN DISTRICT OF NEW YORK; PROVIDED THAT, ANY SUIT SEEKING ENFORCEMENT AGAINST ANY
COLLATERAL OR OTHER PROPERTY MAY BE BROUGHT, AT THE
COLLATERAL AGENT’S OPTION, IN THE COURTS OF ANY JURISDICTION WHERE SUCH COLLATERAL OR OTHER
PROPERTY MAY BE FOUND. THE BORROWER IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY REGISTERED
MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW YORK AT THE
ADDRESS FOR NOTICES SPECIFIED IN SECTION 10.2. EACH PERSON PARTY HERETO HEREBY EXPRESSLY
AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY HAVE OR
HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT IN ANY SUCH COURT REFERRED
TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. TO THE
EXTENT THAT ANY PERSON PARTY HERETO HAS OR HEREAFTER MAY ACQUIRE 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 OR OTHERWISE) WITH RESPECT TO ITSELF OR ITS PROPERTY, SUCH
PERSON HEREBY IRREVOCABLY WAIVES TO THE FULLEST EXTENT PERMITTED BY LAW SUCH IMMUNITY IN RESPECT OF
ITS OBLIGATIONS UNDER THE LOAN DOCUMENTS.

     SECTION 10.14 Waiver of Jury Trial. EACH AGENT, EACH LENDER, EACH ISSUER AND THE
BORROWER HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE TO THE FULLEST EXTENT PERMITTED BY
LAW ANY RIGHTS THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, OR
ARISING OUT OF, UNDER, OR IN CONNECTION WITH, EACH LOAN DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE
OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF SUCH AGENT, SUCH LENDER, SUCH ISSUER
OR THE BORROWER IN CONNECTION THEREWITH. THE BORROWER ACKNOWLEDGES AND AGREES THAT IT HAS RECEIVED
FULL AND SUFFICIENT CONSIDERATION FOR THIS PROVISION (AND EACH OTHER PROVISION OF EACH OTHER LOAN
DOCUMENT TO WHICH IT IS A PARTY) AND THAT THIS PROVISION IS A MATERIAL INDUCEMENT FOR EACH AGENT,
EACH LENDER AND EACH ISSUER ENTERING INTO THE LOAN DOCUMENTS.

     SECTION 10.15 Patriot Act. Each Lender that is subject to Section 326 of the Patriot
Act and/or the Agents and/or the Lead Arrangers (each of the foregoing acting for themselves and
not acting on behalf of any of the Lenders) hereby notify the Borrower that pursuant to the
requirements of the Patriot Act, it is required to obtain, verify and record information that
identifies the Borrower, which information includes the name and address of the Borrower and

First Lien Credit Agreement

108

 

other
information that will allow such Lender, the Agents or the Lead Arrangers, as the case may be, to
identify the Borrower in accordance with the Patriot Act.

     SECTION 10.16 Judgment Currency. The Obligations of each Obligor in respect of any
sum due to any Secured Party under or in respect of any Loan Document shall, notwithstanding any
judgment in a currency (the “Judgment Currency”) other than the currency in which such sum
was originally denominated (the “Original Currency”), be discharged only to the extent that
on the Business Day following receipt by such Secured Party or any sum adjudged to be so due in the
Judgment Currency, such Secured Party, in accordance with normal banking procedures, purchases the
Original Currency with the Judgment Currency. If the amount of Original
Currency so purchased is less than the sum originally due to such Secured Party, the Borrower
agrees, as a separate obligation and notwithstanding any such judgment, to indemnify such Lender,
such Secured Party, as the case may be, against such loss, and if the amount of Original Currency
so purchased exceeds the sum originally due to such Secured Party, as the case may be, such Secured
Party, as the case may be, agrees to remit such excess to the Borrower.

     SECTION 10.17 Counsel Representation. EACH PARTY HERETO ACKNOWLEDGES AND AGREES THAT
IT HAS BEEN REPRESENTED BY COMPETENT COUNSEL IN THE NEGOTIATION OF THIS AGREEMENT, AND THAT ANY
RULE OR CONSTRUCTION OF LAW ENABLING SUCH PERSON TO ASSERT THAT ANY AMBIGUITIES OR INCONSISTENCIES
IN THE DRAFTING OR PREPARATION OF THE TERMS OF THIS AGREEMENT SHOULD DIMINISH ANY RIGHTS OR
REMEDIES OF ANY OTHER PERSON ARE HEREBY WAIVED.

     SECTION 10.18 Confidentiality. Each Secured Party agrees to maintain the
confidentiality of the Information (as defined below), except that Information may be disclosed (a)
to its Affiliates and to its and its Affiliates’ respective partners, directors, officers,
employees, agents, advisors and representatives (it being understood that the Persons to whom such
disclosure is made will be informed of the confidential nature of such Information and instructed
to keep such Information confidential), (b) to the extent requested by any regulatory authority
purporting to have jurisdiction over it (including any self-regulatory authority, such as the
National Association of Insurance Commissioners), (c) to the extent required by applicable laws or
regulations or by any subpoena or similar legal process (provided that except to the extent
prohibited by such subpoena or similar legal process, such Secured Party shall notify the Borrower
of such request or disclosure), (d) to any other party hereto, (e) to the extent reasonably
necessary, in connection with the exercise of any remedies hereunder or under any other Loan
Document or any action or proceeding relating to this Agreement or any other Loan Document or the
enforcement of rights hereunder or thereunder, (f) subject to an agreement containing provisions
substantially the same as those of this Section, to (i) any assignee of or Participant in, or any
prospective assignee of or Participant in, any of its rights or obligations under this Agreement or
(ii) any actual or prospective counterparty (or its advisors) to any swap or derivative transaction
relating to the Borrower and its obligations, (g) with the written consent of the Borrower or (h)
to the extent such Information (i) becomes publicly available other than as a result of a breach of
this Section (or any other confidentiality obligation owed to the Borrower or any Subsidiary or
their Affiliates) or (ii) becomes available to any Secured Party or any of their respective
Affiliates on a nonconfidential basis from a source other than the Borrower or any Subsidiary and
not in violation of any confidentiality obligation owed to the Borrower or any

First Lien Credit Agreement

109

 

Subsidiary by any
Secured Party or any Affiliate thereof. For purposes of this Section, “Information” means
all information received from the Borrower or any Subsidiary relating to the Borrower or any
Subsidiary or any of their respective businesses, other than any such information that is available
to any Secured Party on a nonconfidential basis prior to disclosure by the Borrower or any
Subsidiary. Any Person required to maintain the confidentiality of Information as provided in this
Section shall be considered to have complied with its obligation to do so if such Person has
exercised the same degree of care to maintain the confidentiality of such Information as such
Person would accord to its own confidential information and in accordance with applicable law.

First Lien Credit Agreement

110

 

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their
respective officers thereunto duly authorized as of the day and year first above written.

	 	 	 	 	 
	 	HANESBRANDS INC.

 	 
	 	By:  	/s/ Richard Moss
 	 
	 	 	Name:  	Richard Moss 	 
	 	 	Title:  	Treasurer 	 
	 

	 	 	 	 	 
	 

	 	Address:
	 	1000 East Hanes Mills Road
	 

	 	 	 	Winston-Salem, NC 27105
	 
	 	 	 	 
	 	 	Facsimile No.: 336-519-5212
	 	 	Attention: Treasurer

First Lien Credit Agreement

111

 

	 	 	 	 	 
	 	CITICORP USA, INC.,

Individually and as the Administrative Agent and as a
Lender

 	 
	 	By:  	/s/ John Coons
 	 
	 	 	Name:  	John Coons 	 
	 	 	Title:  	Managing Director 	 
	 

First Lien Credit Agreement

112

 

	 	 	 	 	 
	 	CITIBANK, N.A.,

       as Collateral Agent

 	 
	 	By:  	/s/ Patricia Gallagher
 	 
	 	 	Name:  	Patricia Gallagher 	 
	 	 	Title:  	Vice President 	 
	 

First Lien Credit Agreement

113

 

	 	 	 	 	 
	 	MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED,

       as Co-Syndication Agent and Joint Lead Arranger

 	 
	 	By:  	/s/ Nancy Meadows
 	 
	 	 	Name:  	Nancy Meadows 	 
	 	 	Title:  	Vice President 	 
	 
	 	MERRILL LYNCH CAPITAL CORPORATION,

as a Lender

 	 
	 	By:  	/s/ Nancy Meadows
 	 
	 	 	Name:  	Nancy Meadows 	 
	 	 	Title:  	Vice President 	 
	 

First Lien Credit Agreement

114

 

	 	 	 	 	 
	 	MORGAN STANLEY SENIOR
FUNDING, INC.,

       Individually, as Co-Syndication Agent,

       Joint Lead Arranger and as a Lender

 	 
	 	By:  	/s/ Jaap L. Tonckens
 	 
	 	 	Name:  	Jaap L. Tonckens 	 
	 	 	Title:  	Vice President 	 
	 

First Lien Credit Agreement

115

 

	 	 	 	 	 
	 	HSBC BANK USA, NATIONAL ASSOCIATION,

       as Co-Documentation Agent, an Issuer and as a
Lender

 	 
	 	By:  	/s/ Robert J. Devir
 	 
	 	 	Name:  	Robert J. Devir 	 
	 	 	Title:  	Senior Vice President 	 
	 

First Lien Credit Agreement

116

 

	 	 	 	 	 
	 	LASALLE BANK NATIONAL ASSOCIATION,

       as Co-Documentation Agent and as a Lender

 	 
	 	By:  	/s/ Terrence Wervel
 	 
	 	 	Name:  	Terrence Wervel 	 
	 	 	Title:  	Senior Vice President 	 
	 

First Lien Credit Agreement

117

 

	 	 	 	 	 
	 	BARCLAYS BANK PLC,

        as Co-Documentation Agent and as a Lender

 	 
	 	By:  	/s/  David Barton
 	 
	 	 	Name:  	David Barton 	 
	 	 	Title:  	Associate Director 	 
	 

First Lien Credit Agreement

118

 

	 	 	 	 	 
	 	BAYERISCHE LANDESBANK, NEW YORK BRANCH,

       as a Lender

 	 
	 	By:  	/s/ Stuart Schulman
 	 
	 	 	Name:  	Stuart Schulman 	 
	 	 	Title:  	Senior Vice President 	 
	 
	 	 	 
	 	By:  	                 /s/ Norman McCleve
 	 
	 	 	Name:  	Norman McCleve 	 
	 	 	Title:  	First Vice President 	 
	 

First Lien Credit Agreement

119

 

	 	 	 	 	 
	 	BNP PARIBAS,

       as a Lender

 	 
	 	By:  	/s/ Nuala Marley
 	 
	 	 	Name:  	Nuala Marley 	 
	 	 	Title:  	Managing Director 	 
	 
	 	 	 
	 	By:  	                        /s/ Angela B. Arnold
 	 
	 	 	Name:  	Angela B. Arnold 	 
	 	 	Title:  	Director 	 
	 

First Lien Credit Agreement

120

 

	 	 	 	 	 
	 	BRANCH BANKING & TRUST COMPANY,

       as a Lender

 	 
	 	By:  	/s/ Michael P. Gwyn
 	 
	 	 	Name:  	Michael P. Gwyn 	 
	 	 	Title:  	Senior Vice President 	 
	 

First Lien Credit Agreement

121

 

	 	 	 	 	 
	 	COMMERZBANK AG, NEW YORK AND GRAND CAYMAN BRANCHES,

       as a Lender

 	 
	 	By:  	/s/ Maritine I. Medora
 	 
	 	 	Name:  	Maritine I. Medora 	 
	 	 	Title:  	Senior Vice President 	 
	 
	 	 	 
	 	By:  	                 /s/ Charles W. Polet
 	 
	 	 	Name:  	Charles W. Polet 	 
	 	 	Title:  	Assistant Treasurer 	 
	 

First Lien Credit Agreement

122

 

	 	 	 	 	 
	 	ISRAEL DISCOUNT BANK OF NEW YORK,

       as a Lender

 	 
	 	By:  	/s/ Andy Balita
 	 
	 	 	Name:  	Andy Balita 	 
	 	 	Title:  	First Vice President 	 
	 
	 	 	 
	 	By:  	                                              /s/ Ronald Bongiovanni
 	 
	 	 	Name:  	Ronald Bongiovanni 	 
	 	 	Title:  	Senior Vice President 	 
	 

First Lien Credit Agreement

123

 

	 	 	 	 	 
	 	JPMORGAN CHASE BANK, N.A.,

       as a Lender

 	 
	 	By:  	/s/ James A Knight
 	 
	 	 	Name:  	James A. Knight 	 
	 	 	Title:  	Vice President 	 
	 

First Lien Credit Agreement

124

 

	 	 	 	 	 
	 	MIZUHO CORPORATE BANK, LTD.,

        as a Lender

 	 
	 	By:  	/s/ Makoto Murata
 	 
	 	 	Name:  	Makoto Murata 	 
	 	 	Title:  	Deputy General Manager 	 
	 

First Lien Credit Agreement

125

 

	 	 	 	 	 
	 	NATIONAL CITY BANK,

        as a Lender

 	 
	 	By:  	/s/ Michael S. Pearl
 	 
	 	 	Name:  	Michael S. Pearl 	 
	 	 	Title:  	Account Officer 	 
	 

First Lien Credit Agreement

126

 

	 	 	 	 	 
	 	NORTH FORK BUSINESS CAPITAL CORP.,

       as a Lender

 	 
	 	By:  	/s/ Ron Walker
 	 
	 	 	Name:  	Ron Walker 	 
	 	 	Title:  	Vice President 	 
	 

First Lien Credit Agreement

127

 

	 	 	 	 	 
	 	SUMITOMO MITSUI BANKING CORPORATION, NEW YORK,

        as a Lender

 	 
	 	By:  	/s/  Shigeru Tsuru
 	 
	 	 	Name:  	Shigeru Tsuru 	 
	 	 	Title:  	Joint General Manager 	 
	 

First Lien Credit Agreement

128

 

	 	 	 	 	 
	 	THE NORTHERN TRUST COMPANY,

        as a Lender

 	 
	 	By:  	/s/ Peter J. Hallan
 	 
	 	 	Name:  	Peter J. Hallan 	 
	 	 	Title:  	Vice President 	 
	 

First Lien Credit Agreement

129

 

	 	 	 	 	 
	 	THE ROYAL BANK OF SCOTLAND, PLC

       as a Lender

 	 
	 	By:  	/s/ Belinda Wheeler
 	 
	 	 	Name:  	Belinda Wheeler 	 
	 	 	Title:  	Senior Vice President

      Global Banking & Markets 	 
	 

First Lien Credit Agreement

130

 

	 	 	 	 	 
	 	UNITED OVERSEAS BANK LIMITED, NEW YORK AGENCY,

        as a Lender

 	 
	 	By:  	/s/ George Lim / Mario Sheng
 	 
	 	 	Name:  	George Lim/Mario Sheng 	 
	 	 	Title:  	FVP & GM / AVP 	 
	 

First Lien Credit Agreement

131

 

SCHEDULE I

DISCLOSURE SCHEDULES

TO

FIRST LIEN CREDIT AGREEMENT

dated as of September 5, 2006,

among

HANESBRANDS INC.,

as the Borrower,

VARIOUS FINANCIAL INSTITUTIONS AND

OTHER PERSONS FROM TIME TO TIME

PARTY HERETO,

as the Lenders,

HSBC BANK USA, NATIONAL ASSOCIATION,

LASALLE BANK NATIONAL ASSOCIATION, and

BARCLAYS BANK PLC,

as the Co-Documentation Agents,

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Co-Syndication Agents,

CITICORP USA, INC.,

as the Administrative Agent,

and

CITIBANK, N.A., as the Collateral Agent.

 

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Joint Lead Arrangers and Joint Bookrunners

First Lien Credit Agreement

 

 

	 	 	 
	SCHEDULE I
	 	 
	 
	 	 
	ITEM 1.1.

	 	Foreign Supply Chain Entities
	ITEM 1.2.

	 	Excluded Contracts
	ITEM 6.8.

	 	Existing Subsidiaries
	ITEM 6.9.

	 	Mortgaged Property
	ITEM 7.2.2(c)

	 	Ongoing Indebtedness
	ITEM 7.2.3(c)

	 	Ongoing Liens
	ITEM 7.2.5(a)

	 	Ongoing Investments
	ITEM 7.2.11(m)

	 	Permitted Dispositions
	 
	 	 
	SCHEDULE II

	 	Percentages, Libor Office, Domestic Office
	 
	 	 
	SCHEDULE III

	 	Existing Letters of Credit

First Lien Credit Agreement

 

 

ITEM 1.1. Foreign Supply Chain Entities

     None.

First Lien Credit Agreement

 

 

ITEM 1.2. Excluded Contracts

	 	 	 	 	 
	Vendor	 	Nature of Agreement
	1.

	 	[*****]
	 	Trademark License Agmt. [*****]
	2.

	 	[*****]
	 	Trademark License Agmt. [*****]
	3.

	 	[*****]
	 	Trademark License Agmt. [*****]
	4.

	 	[*****]
	 	Trademark License Agmt. [*****]
	5.

	 	[*****]
	 	Trademark License Agmt. [*****]
	6.

	 	[*****]
	 	Trademark License Agmt. [*****]
	7.

	 	[*****]
	 	Trademark License Agmt. [*****]
	8.

	 	[*****]
	 	License Agmt.
	9.

	 	[*****]
	 	Trademark License Agmt. [*****]
	10.

	 	[*****]
	 	License Agmt. [*****]
	11.

	 	[*****]
	 	Trademark License Agreement [*****]
	12.

	 	[*****]	 	 
	13.

	 	[*****]
	 	IT Agreement — software license and maintenance
	14.

	 	[*****]
	 	IT Agreement — software license and maintenance
	15.

	 	[*****]
	 	IT Agreement — supply chain software license and maintenance
	16.

	 	[*****]
	 	Compensation/Benefits Agreement
	17.

	 	[*****]
	 	Real Property Lease [*****]
	18.

	 	[*****]
	 	Supplier Services [*****]
	19.

	 	[*****]
	 	Supplier Goods [*****]
	20.

	 	[*****]
	 	Real Property Lease [*****]
	21.

	 	[*****]
	 	Real Property Lease [*****]
	22.

	 	[*****]
	 	Real Property Lease [*****]
	23.

	 	[*****]
	 	Real Property Lease [*****]
	24.

	 	[*****]
	 	Real Property Lease [*****]
	25.

	 	[*****]
	 	Real Property Lease [*****]
	26.

	 	[*****]
	 	Real Property Lease [*****]
	27.

	 	[*****]
	 	Real Property Lease
	28.

	 	[*****]
	 	Real Property Lease
	29.

	 	[*****]
	 	Real Property Lease [*****]

First Lien Credit Agreement

 

 

ITEM 6.8. Existing Subsidiaries

Domestic Subsidiaries

BA International, L.L.C.

Caribesock, Inc.

Caribetex, Inc.

CASA International, LLC

Ceibena Del, Inc.

Hanes Menswear, LLC

Hanes Puerto Rico, Inc.

Hanesbrands Direct, LLC

Hanesbrands Distribution, Inc.

HbI International, LLC

HBI Branded Apparel Enterprises, LLC

HBI Branded Apparel Limited, Inc.

HBI Sourcing, LLC

Inner Self LLC

Jasper-Costa Rica, L.L.C.

National Textiles, L.L.C.

NT Investment Company, Inc.

Playtex Dorado, LLC

Playtex Industries, Inc.

Seamless Textiles, LLC

UPCR, Inc.

UPEL, Inc.

Foreign Subsidiaries

Allende Internacional S. de R.L. de C.V.

Bali Domincana, Inc.

Bali Dominicana Textiles, S.A.

Bal-Mex S. de R.L de C.V.

Canadelle Holdings Corporation Ltd.

Canadelle LP

Cartex Manufacturera S. A.

Caysock, Inc.

Caytex, Inc.

Caywear, Inc.

Ceiba Industrial, S. de R.L.

Champion Products S. de R.L. de C.V.

Choloma, Inc.

Confecciones Atlantida S. de R.L.

Confecciones de Nueva Rosita S. de R.L. de C.V.

Confecciones El Pedregal Inc.

Confecciones El Pedregal S.A. de C.V.

Confecciones Jiboa S.A. de C.V.

Confecciones La Caleta, Inc.

Confecciones La Herradura S.A. de C.V.

Confecciones La Libertad, S.A. de C.V.

DFK International Ltd.

Dos Rios Enterprises, Inc.

Hanes Caribe, Inc.

Hanes Choloma, S. de R. L.

Hanes Colombia, S.A.

Hanes de Centro America S.A.

First Lien Credit Agreement

 

 

Foreign Subsidiaries

Hanes de El Salvador, S.A. de C.V.

Hanes de Honduras S. de R.L. de C.V.

Hanes Dominican, Inc.

Hanes Panama Ltd.

Hanes Brands Incorporated de Costa Rica, S.A.

Hanesbrands Argentina S.A.

Hanesbrands Brasil Textil Ltda.

Hanesbrands Dominicana, Inc.

Hanesbrands (HK) Limited

HBI Alpha Holdings, Inc.

HBI Beta Holdings, Inc.

HBI Compania de Servicios, S.A. de C.V.

HBI Servicios Administrativos de Costa Rica, S.A.

HBI Socks de Honduras, S. de R.L. de C.V.

Indumentaria Andina S.A.

Industria Textileras del Este, S. de R.L.

Industrias Internacionales de San Pedro S. de R.L. de C.V.

J.E. Morgan de Honduras, S.A.

Jasper Honduras, S.A.

Jogbra Honduras, S.A.

Madero Internacional S. de R.L. de C.V.

Manufacturera Ceibena S. de R.L.

Manufacturera Comalapa S.A. de C.V.

Manufacturera de Cartago, S.R.L.

Manufacturera San Pedro Sula, S. de R.L.

Monclova Internacional S. de R.L. de C.V.

PT SL Sourcing Indonesia (to be named PT HBI Sourcing Indonesia)

PTX (D.R.), Inc.

Rinplay S. de R.L. de C.V.

Santiago Internacional Textil Limitada (in liquidation)

Sara Lee of Canada NSULC (to be renamed Hanesbrands Canada NSULC)

Sara Lee Intimates, S. de R.L. (to be renamed Confecciones del Valle, S. de R.L. de C.V.)

Sara Lee Japan Ltd. (to be renamed Hanesbrands Japan Inc.)

Sara Lee Knit Products Mexico S.A. de C.V. (to be renamed Inmobilaria Rinplay S. de R.L. de C.V.)

Sara Lee Moda Femenina, S.A. de C.V. (to be renamed Servicios Rinplay, S. de R.L de C.V.)

Sara Lee Printables GmbH (to be renamed HBI Europe GmbH)

Servicios de Soporte Intimate Apparel, S de RL

Socks Dominicana S.A.

Texlee El Salvador, S.A. de C.V.

The Harwood Honduras Companies, S. de R.L.

TOS Dominicana, Inc.

HBI Sourcing Asia Limited*

Sara Lee Apparel International (Shanghai) Co. Ltd. (to be renamed
Hanesbrands International (Shanghai) Co. Ltd.)*

Sara Lee Apparel India Private Limited (to be renamed Hanesbrands India Private Limited)*

SL Sourcing India Private Ltd. (to be renamed HBI Sourcing India Private Ltd.)*

Hanesbrands (Thailand) Ltd.*

Hanesbrands Philippines Inc.*

 

			
	*	 	These companies are Foreign Subsidiaries subject to the completion of the post closing
obligations set forth in Section 7.1.11 of the Credit Agreement.

First Lien Credit Agreement

 

 

ITEM 6.9. Mortgaged Property

	 	 	 	 	 
	 	 	 	 	Estimated
	Facility Name	 	Address	 	Value
	 
	 	Cline & Clark Rd	 	 
	Clarksville
	 	Clarksville, AR	 	$2.4 million
	 
	 	401 Hanes Mill Rd	 	 
	Weeks
	 	W-S, NC	 	$15.1 million
	 
	 	700 South Stratford Road	 	 
	Stratford Rd.
	 	W-S, NC	 	$5.7 million
	 
	 	219 Commerce Blvd	 	 
	Commerce (Cleveland)
	 	Kings Mountain, NC	 	$11.0 million
	 
	 	Gant Road	 	 
	Eden
	 	Eden, North Carolina	 	$3.0 million
	 
	 	1000 Hanes Mill Road	 	 
	Oak Summit
	 	W-S, NC	 	$70.2 million
	 
	 	705 Canterbury Rd	 	 
	Canterbury
	 	Gastonia, NC	 	$2.1 million
	 
	 	2655 Annapolis	 	 
	Annapolis
	 	W-S, NC	 	$7.9 million
	 
	 	700 North Main Street	 	 
	Kernersville
	 	Kernersville, NC	 	$3.9 million
	 
	 	18400 Fieldcrest Road	 	 
	Laurel Hill
	 	Laurel Hill, NC	 	$4.6 million
	 
	 	2652 Dalrymple Street	 	 
	Sanford
	 	Sanford, NC	 	$2.4 million
	 
	 	2016 Cornatzer Road	 	 
	Advance
	 	Advance NC	 	$2.1 million
	 
	 	328 Crawford Rd	 	 
	Crawford
	 	Statesville, NC	 	$2.6 million
	 
	 	480, W. Hanes Mill Road	 	 
	480 Office
	 	Winston-Salem, NC	 	$3.3 million
	 
	 	143 Mahonoy Ave	 	 
	Tamaqua Hometown DC
	 	Tamaqua, PA	 	$3.8 million
	 
	 	380 Beaver Creek Road	 	 
	Martinsville VSC
	 	Martinsville, VA	 	$3.7 million
	 
	 	521 Northridge Park Dr.	 	 
	Northridge
	 	Rural Hall, NC	 	$14.8 million

First Lien Credit Agreement

 

 

ITEM 7.2.2(c) Ongoing Indebtedness

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HANESBRANDS INC. - CAPITAL LEASE LISTING	 
	 	 	 	 	 	 	 	 	FY06	 	 	 	 
	Lease #	 	 	 	Interest	 	 	Principal	 	 	Total	 
	BALI95
	 	Xerox	 	 	182.68	 	 	 	5,985.32	 	 	 	6,168.00	 
	BALI138
	 	Pitney Bowes	 	 	175.11	 	 	 	2,176.89	 	 	 	2,352.00	 
	BALI139
	 	Pitney Bowes	 	 	175.32	 	 	 	2,176.67	 	 	 	2,351.99	 
	BALI140
	 	Pitney Bowes	 	 	 	 	 	 	 	 	 	 	4,680.00	 
	BALI147
	 	Carolina Tractor	 	 	2,599.99	 	 	 	4,263.05	 	 	 	6,863.04	 
	BALI148
	 	Carolina Tractor	 	 	2,625.05	 	 	 	4,305.67	 	 	 	6,930.72	 
	BALI150
	 	Carolina Tractor	 	 	2,294.59	 	 	 	4,169.45	 	 	 	6,464.04	 
	BALI151
	 	Carolina Tractor	 	 	125.38	 	 	 	3,894.62	 	 	 	4,020.00	 
	BALI152
	 	Konica	 	 	4.71	 	 	 	515.29	 	 	 	520.00	 
	BALI153
	 	Bassett Office Supply	 	 	648.80	 	 	 	4,262.33	 	 	 	4,911.13	 
	BALI157
	 	Konica	 	 	11.37	 	 	 	1,296.63	 	 	 	1,308.00	 
	BALI160
	 	De Lage Landem Financial Services	 	 	625.71	 	 	 	3,907.65	 	 	 	4,533.36	 
	PLAY115
	 	Citi Capital	 	 	1,922.30	 	 	 	9,177.70	 	 	 	11,100.00	 
	US97
	 	Citi Capital	 	 	478.71	 	 	 	8,993.65	 	 	 	9,472.36	 
	727
	 	Pitney Bowes	 	 	11.98	 	 	 	180.52	 	 	 	192.50	 
	729
	 	Xerox	 	 	419.87	 	 	 	6,856.19	 	 	 	7,276.06	 
	738
	 	Gill Security Systems	 	 	0.00	 	 	 	0.00	 	 	 	3,000.00	 
	739
	 	Gill Security Systems	 	 	0.00	 	 	 	0.00	 	 	 	2,160.00	 
	2 trailers
	 	Salem Leasing	 	 	171.50	 	 	 	3,428.50	 	 	 	3,600.00	 
	OB40
	 	Outerbanks land and building	 	 	30,244.38	 	 	 	183,702.54	 	 	 	213,946.92	 
	13639 tr
	 	Salem Leasing	 	 	17,235.75	 	 	 	344,564.25	 	 	 	361,800.00	 
	4400 tr
	 	Salem Leasing	 	 	11,703.39	 	 	 	3,686.61	 	 	 	15,390.00	 
	4750 tr
	 	Salem Leasing	 	 	2,950.22	 	 	 	1,389.78	 	 	 	4,340.00	 
	7399 tr
	 	Salem Leasing	 	 	1,939.46	 	 	 	2,380.54	 	 	 	4,320.00	 
	9904 tr
	 	Salem Leasing	 	 	9,658.89	 	 	 	29,221.11	 	 	 	38,880.00	 
	11887 tr
	 	Salem Leasing	 	 	886.36	 	 	 	7,753.64	 	 	 	8,640.00	 
	6
	 	Simplex Grinnell	 	 	174.31	 	 	 	4,853.69	 	 	 	5,028.00	 
	7
	 	Telimagine, Inc.	 	 	2,552.32	 	 	 	17,355.68	 	 	 	19,908.00	 
	7420 tr
	 	Salem Leasing	 	 	29,330.28	 	 	 	121,869.72	 	 	 	151,200.00	 
	15201 tr
	 	Salem Leasing	 	 	202.78	 	 	 	7,097.22	 	 	 	7,300.00	 
	82638 tr
	 	Salem Leasing	 	 	5,882.15	 	 	 	13,041.85	 	 	 	18,924.00	 
	13639 tr
	 	Salem Leasing	 	 	14,320.25	 	 	 	286,279.75	 	 	 	300,600.00	 
	13639 tr
	 	Salem Leasing	 	 	1,886.50	 	 	 	37,713.50	 	 	 	39,600.00	 
	3121
	 	Highwoods Realty Ltd Partnership	 	 	77,175.96	 	 	 	319,286.05	 	 	 	396,462.00	 

First Lien Credit Agreement

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HANESBRANDS INC. - CAPITAL LEASE LISTING	 
	 	 	 	 	 	 	 	 	FY06	 	 	 	 
	Lease #	 	 	 	Interest	 	 	Principal	 	 	Total	 
	3129
	 	Zona Franca De Exportacion el Pedregal	 	 	13,442.26	 	 	 	200,973.74	 	 	 	214,416.00	 
	13639 tr
	 	Salem Leasing	 	 	16,635.50	 	 	 	332,564.50	 	 	 	349,200.00	 
	86728 tr
	 	Salem Leasing	 	 	5,749.89	 	 	 	16,762.11	 	 	 	22,512.00	 
	1
	 	Xerox	 	 	267.00	 	 	 	681.00	 	 	 	948.00	 
	2
	 	Xerox	 	 	351.79	 	 	 	596.21	 	 	 	948.00	 
	3
	 	Xerox	 	 	142.82	 	 	 	1,045.18	 	 	 	1,188.00	 
	4
	 	Xerox	 	 	226.26	 	 	 	3,061.74	 	 	 	3,288.00	 
	5
	 	Xerox	 	 	2,316.96	 	 	 	29,651.04	 	 	 	31,968.00	 
	6
	 	Xerox	 	 	93.04	 	 	 	1,682.96	 	 	 	1,776.00	 
	7
	 	Xerox	 	 	937.40	 	 	 	17,062.60	 	 	 	18,000.00	 
	8
	 	Xerox	 	 	1,059.04	 	 	 	5,324.96	 	 	 	6,384.00	 
	9
	 	Xerox	 	 	180.87	 	 	 	2,447.13	 	 	 	2,628.00	 
	10
	 	Xerox	 	 	2,824.29	 	 	 	38,215.71	 	 	 	41,040.00	 
	11
	 	Xerox	 	 	215.38	 	 	 	4,123.34	 	 	 	4,338.72	 
	12
	 	Xerox	 	 	1,498.80	 	 	 	28,693.80	 	 	 	30,192.60	 
	13
	 	Xerox	 	 	692.60	 	 	 	13,259.32	 	 	 	13,951.92	 
	14
	 	Xerox	 	 	1,356.00	 	 	 	19,158.00	 	 	 	20,514.00	 
	15
	 	Xerox	 	 	3,390.00	 	 	 	64,990.00	 	 	 	68,380.00	 
	16
	 	Xerox	 	 	1,244.16	 	 	 	19,270.08	 	 	 	20,514.24	 
	17
	 	Xerox	 	 	335.50	 	 	 	6,422.66	 	 	 	6,758.16	 
	18
	 	Xerox	 	 	4,478.32	 	 	 	6,237.68	 	 	 	10,716.00	 
	19
	 	Xerox	 	 	3,256.65	 	 	 	8,035.35	 	 	 	11,292.00	 
	20
	 	Xerox	 	 	580.00	 	 	 	8,576.00	 	 	 	9,156.00	 
	21
	 	Xerox	 	 	530.00	 	 	 	8,626.00	 	 	 	9,156.00	 
	22
	 	Xerox	 	 	920.56	 	 	 	8,815.72	 	 	 	9,736.28	 
	23
	 	Xerox	 	 	1,261.96	 	 	 	24,159.08	 	 	 	25,421.04	 
	IBM
	 	IBM	 	 	156,321.59	 	 	 	369,278.41	 	 	 	525,600.00	 
	PHH Leases
	 	PHH - automobiles from SLC	 	 	104,574.00	 	 	 	1,207,923.00	 	 	 	1,312,497.00	 
	TOTAL
	 	 	 	 	 	 	 	 	 	 	 	 	4,446,762.08	 

First Lien Credit Agreement

 

 

ITEM 7.2.3(c) Ongoing Liens

	1.	 	Lien on the shares of SN Fibers (an Israeli company owned by HBI International, LLC)
pursuant to the SN Fibers Memorandum of Articles.
	 
	2.	 	Mortages as listed below1

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	4185 W. 5th Street
Lumberton
North Carolina

               Robeson

               County

	 	Robeson County
Committee of 100,
Inc., a NC
non-profit
corporation
	 	Sara Lee

Corporation, a

Maryland

corporation

(formerly SL Outer

Banks, LLC)
	 	North Carolina Deed of Trust recorded
in Book 623, Page 37 dated 3/26/87
executed by Robeson County Committee of
100, Inc. 

Loan Amount — $115,170.00
	 	Douglas B. Mills,
Nicky D. Carter,
(Successor Trustee)
and John C. Hasty,
Trustees of the
Cape Fear
Construction
Company, Inc.
	933 Meacham Road 

Statesville 

North Carolina

               Iredell

               County

	 	Flexnit Company,
Inc., a Delaware
Corporation
	 	Bali Company, a

Delaware

corporation

(Dissolved)
	 	Deed of Trust dated 12/27/1974 recorded
in Book 447, Page 200 (missing pages
3-7)

and

Deed of Trust and Security Agreement
dated 12/26/ 1979 recorded in Book 509,
Page 436 (missing pages 438 and
440-451)

Loan Amount – originally secured
$1,7000,000 and then modified to secure
up to $4,000,000
	 	Irving Trust

Company, a New York

Corporation
	645 West Pine Street 

Mount Airy 

North Carolina

                Surry 

               County

	 	The Surry County
Industrial
Facilities and
Pollution Control
Financing Authority
	 	The Surry County
Industrial
Facilities and
Pollution Control
Financing Authority
	 	Deed of Trust dated 4/1/1979 and
recorded in Book 348, Page 606

Loan Amount secured — $4,000,000
	 	Prudential

Reinsurance

Company, a Delaware

corporation
	143 Mahanoy Avenue

	 	Schuylkill County
	 	Greater Tamaqua
	 	Supplemental Mortgage recorded in

Mortgage Book
	 	American Bank

 

			
	1	 	Please note that for all mortgages listed,
there is no outstanding indebtedness in connection with the mortgage, however a
mortgage release has not been recorded. These releases are a post-closing
item.

	 	 	 	 	First Lien Credit Agreement

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	Tamaqua 

Pennsylvania

               Schuylkill 

               County

	 	Industrial

Development

Authority
	 	Industrial
Development
Enterprises
(originally leased
to J.E. Morgan
Knitting Mills,
Inc.)
	 	34-P, Page 782, dated

10/24/1984

Loan Amount secured originally $650,000
	 	and
Trust Co. of PA.
	480 Hanes Mill Road
Winston-Salem, NC 27105
(336) 714-8400

Forsyth County

	 	National Textiles,

LLC
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	1. Deed of Trust, Security
Agreement, Financing Statement and
Assignment of Rents and Leases from
National Textiles, L.L.C., a Delaware
limited liability company, to The
Fidelity Company, Trustee for The First
National Bank of Chicago, dated as of
December 22, 1997 and recorded December
23, 1997 in Book 1978, Page 3969,
Forsyth County Registry, securing an
original amount of 210,000,000.00.
(Also covers additional property)

2. Deed of Trust Modification
and Reaffirmation Agreement by and
between National Textiles, L.L.C., a
Delaware limited liability company, and
Bank One, NA f/k/a The First National
Bank of Chicago, dated as of December
22, 2000 and recorded January 16, 2001
in Book 2150, Page 2439, Forsyth County
Registry, regarding the Deed of Trust
recorded in Book 1978, Page 3969,
Forsyth County Registry.

Loan Amount $210,000,000 but linked to
$300,000,000 

Loan matures 6/22/2007
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

	 	 	 	 	First Lien Credit Agreement

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	308 East Thom Street 

China Grove, NC 2802

Rowan County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a
Delaware limited
liability company
	 	Deed of trust, security Agreement,
Financing Statement and Assignment of
Rents and Leases recorded in Book 879,
Page 692, dated 4/28/2000 as modified
by that Deed of Trust Modification and
reaffirmation recorded in Book 898,
Page 124, dated 12/22/2000

Loan Amount secured– up to $300,000,000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

	 	 	 	 	First Lien Credit Agreement

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	6295 Clementine Dr. #4
Clemmons, NC 27012

               Forsyth 

               County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	1.      Deed of Trust, Security
Agreement, Financing Statement and
Assignment of Rents and Leases from
National Textiles, L.L.C., a Delaware
limited liability company, to The
Fidelity Company, Trustee for The First
National Bank of Chicago, dated as of
December 22, 1997 and recorded December
23, 1997 in Book 1978, Page 3969,
Forsyth County Registry, securing an
original amount of 210,000,000.00.
(Also covers additional property)

2.      Deed of Trust Modification
and Reaffirmation Agreement by and
between National Textiles, L.L.C., a
Delaware limited liability company, and
Bank One, NA f/k/a The First National
Bank of Chicago, dated as of December
22, 2000 and recorded January 16, 2001
in Book 2150, Page 2439, Forsyth County
Registry, regarding the Deed of Trust
recorded in Book 1978, Page 3969,
Forsyth County Registry.

Loan Amount $210,000,000 but linked to
$300,000,000 

Loan matures 6/22/2007

	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	136 Gant Road
Eden, NC 27288-7935
(336) 635-1354

               Rockingham 

               County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement and Assignment of
Rents and Leases recorded in Book 972,
Page 2267, dated 12/22/1997 

Loan amount secured – up to $300,000,000

	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	328 Gant Road 

Eden, NC 27288-7935

	 	Eden Yarns, Inc.,
a Delaware
	 	Sara Lee

Corporation, a
	 	Deed of Trust recorded in Book 804,
Page 1004, dated 11/30/1987 as modified
by that;
	 	1. Wachovia Bank

	 	 	 	 	First Lien Credit Agreement

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	

               Rockingham 

               County

	 	corporation
	 	Maryland

corporation
	 	

First Amendment to Deed of Trust,
Assignment of rents and security
Agreement recorded in Book 842, Page
44, dated 12/31/1987 as modified by
that;

Amendment to Deed of Trust recorded in
Book 836, Page 1533, dated 5/15/1990 as
modified by that;

Third Amendment to deed of Trust
recorded in Book 842, Page 66, dated
10/24/1990 as modified by that;

Fourth Amendment to Deed of Trust
recorded in Book 871, Page 2321, dated
9/17/1992 as modified by that;

Fifth Amendment to Deed of Trust
recorded in Book 906, Page 1959, dated
7/27/1994 as modified by that;

Sixth Amendment to Deed of Trust
recorded in Book 941, Page 1268, dated
7/23/1996 as modified by that;

Seventh Amendment to Deed of Trust
recorded in Book 989, Page 1624, dated
7/29/1998

Loan amount secured — $66,000,000
($33,000,000 to Wachovia Bank and
$33,000,000 to Suntrust Bank)

matures 11/30/2009
	 	of North Carolina

2. Suntrust Bank
	1311 West Main Street 

Forest City, NC 28043

               Rutherford 

               County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement and Assignment of
Rents and Leases recorded in Book 524,
Page 383 as modified by that;

Deed of Trust Modification and
Reaffirmation Agreement recorded in
Book 768, Page 334, dated 12/22/2000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

	 	 	 	 	First Lien Credit Agreement

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	 

	 	 	 	 	 	

Loan amount secured $210,000,000.00,
but linked to $300,000,000 in future
advance section. 

	 	 
	1012 Glendale Drive 

Galax, VA 24333

               Carroll County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust Security Agreement,
Financing Statement and Assignment of
Rents and Leases, dated December 22,
1997, recorded on December 23, 1997 in
Book 523, Page 283, Clerk’s Office of
Carroll County, Virginia;

This is a credit line deed of trust in
the amount of $2,250,000.00, but linked
to secure the $210,000,000 in the
recitals
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	501 Brown Street
(P.O. Box 12500)
Gastonia, NC 28053

                Gaston County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust Security Agreement,
Financing Statement and Assignment of
Rents and Leases, recorded in Book
3091, Page 284, dated 5/30/2000

Loan Amount $210,000,000 but linked to
$300,000,000

	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	1925 West Poplar Street 

Gastonia, NC 28052

                Gaston County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement, and Assignment of
Rents and Leases recorded in Book 3079,
Page 737, dated 4/28/2000

Loan Amount $210,000,000 but linked to
$300,000,000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	100 Reep Drive 

Morganton, NC 28655

                Burke 

               County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a
Delaware limited
liability company
	 	Deed of Trust, Security Agreement,
Financing Statement, and Assignment of
Rents and Leases recorded in Book 892,
Page 1011, dated 12/22/1997 as modified
by

that;

Deed of Trust Modification and
Reaffirmation Agreement Book 979, Page
557, dated 12/22/2000

Matures 6/22/2007
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

	 	 	 	 	First Lien Credit Agreement

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	 

	 	 	 	 	 	Loan Amount — $210,000,000.00 but
secures up to $300,000,000 in future
advances section	 	 
	3916 Highway 421 South
Mountain City, TN 37683
(423) 727-5270

               Johnson Co

	 	National Textiles,

LLC
	 	The Industrial
Development Board
of the County of
Johnson County,
Tennessee, a
Tennessee public,
not-for-profit
corporation
	 	Leasehold Deed of Trust, Security
Agreement, Financing Statement and
Assignment of Rents and Leases dated
12/22/1997

TD Book 135, Page 578 as modified
byLeasehold Deed of trust Modification
and Reaffirmation Agreement dated
12/22/2000

TD Book 157, Page 288

First National Bank of Chicago 

Loan Amount — $15,418,929.00 but linked
to $300,000,000 in the recitals
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	815 John Beck Dockins 

Road 

               Rabun County

	 	National Textiles,

LLC
	 	Development
Authority of Rabun
County, Georgia, a
public body
corporate and
politic of the
State of Georgia
	 	Deed to Secure debt, Security
Agreement, and Assignment of Rents and
Leases from National Textiles, LLC (as
grantor) and Development Authority of
Rabun County, Georgia (solely for
purpose of consenting), recorded in
Book O-17/1, dated 12/22/1997, as
modified by that
Deed to Secure Debt Modification and
Reaffirmation Agreement
Agreement recorded in Book K-20/306,
dated 12/22/2000

Loan Amount - $8,500,000.00

matures 6/22/2007
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	2652 Dalrymple Street
Sanford, NC 27330

               Lee Co.

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement, and Assignment of
Rents and Leases recorded in Book 625,
Page 330, dated 12/22/1997

Loan Amount — $210,000,000.00 but
secures up to $300,000,000 in future
advances section
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

	3.	 	Equipment Leases as listed below

	 	 	 	 	First Lien Credit Agreement

 

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 		 		 	 	 		 	 
	Debtor	 	Jurisdiction	 	Filing Type	 	Through Date	 	Secured Party	 	File Number and Date	 	Collateral Description
	National Textiles, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105

	 	Secretary of State,
Delaware
	 	UCC
	 	8/4/2006
	 	LaSalle National Leasing

Corporation

One West Pennsylvania Avenue

Towson, MD 21204
	 	2031537-8

1/14/2002
	 	Leased equipment
pursuant to Master
Lease Agreement dated
6/13/2001.
	National Textiles, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105

Additional Debtors:
National Textiles
Services I, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105

National Textiles
Services II, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105

National Textiles
Services III, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105

	 	Secretary of State,
Delaware
	 	UCC
	 	8/4/2006
	 	LaSalle National Leasing

Corporation

One West Pennsylvania Avenue

Towson, MD 21204
	 	3055776-2

3/7/2003
	 	Leased manufacturing
equipment.

	 	 	 	 	First Lien Credit Agreement

 

ITEM 7.2.5(a) Ongoing Investments

	1.	 	Subsidiaries as listed in ITEM 6.8 above along with the below listed companies.

(a) SN Fibers (49% interest)

(b) Playtex Marketing Corporation (50% interest)*

* This company is an investment subject to the completion of the post closing obligations set
forth in Section 7.1.11 of the Credit Agreement.

	2.	 	Deposit and Securities accounts

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands PR Checks
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands Direct Deposit
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	HanesbrandsTravel Adv. E-cash
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands PR E-cash
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands PR funding
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands AP Checks
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Tax Clearing
	 	Clearing
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands AP ACH
	 	Clearing
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Master
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Casualwear Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Direct Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Eden Yarns Inc. Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Leggs Products Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Playtex Apparel Note
	 	Concentration
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Outer Banks LLC Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Sock Company Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Printables Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Jogbra Inc Notes
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Champion Products Inc Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	JE Morgan (Harwood Companies) Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Host Apparel Note Account Harwood Industries
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Knit Products Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	The Harwood Companies Note Account
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Pacific Rim Note C/O

Hanesbrands Export
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HBI LEASING WYOMING INC
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	CAYWEAR
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	ROOT CONSULTING INC UPEL
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY CUSTOMER EFT RECEIPTS
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY REFUNDS GUARANTEE

DISBURSEMENTS
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY CONCENTRATION
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY CONCENTRATION
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	PLAYTEX DORADO HANESBRANDS INC
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Parent

	 	Chase
	 	BALI FDN INC
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	PLAYTEX CONCENTRATION(HANESBRANDS INTIMATES

& HOSIERY CON ACCT P)
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS INTIMATES & HOSIERY CO-OP

ADVERTISING
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS PRINTABLES CONCENTRATION
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS SPORTSWEAR
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	CHAMPION CUSTOMS
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS KNIT PRODUCTS HANES MENSWEAR

ACCT
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS UNDERWEAR GENERAL ACCOUNT
	 	General
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS UNDERWEAR CUSTOMS ACH
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HARWOOD COMPANIES, INC
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS UNDERWEAR/CASUALWEAR LOCKBOX
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	HANEBRANDS SOCK
	 	Lock Box
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	JE Morgan
	 	Depository
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	JE Morgan
	 	Depository
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	Export
	 	Depository
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	Outer Banks
	 	Lock Box
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	BA International LLC

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Caribesock, Inc.

	 	Chase
	 	Caribesock, Inc.
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Caribetex, Inc.

	 	Chase
	 	Caribetex
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	CASA International, LLC

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Ceibena Del Inc.

	 	Chase
	 	CEIBENA DEL INC
	 	Other
	 	[*****]
	Ceibena Del Inc.

	 	Chase
	 	MANUFACTURERS CEIBENA
	 	General
	 	[*****]
	Ceibena Del Inc.

	 	Banco Mercantil
	 	Manufacturera Ceibena
	 	Operating
	 	[*****]
	Ceibena Del Inc.

	 	Banco Mercantil
	 	Manufacturera Ceibena
	 	Operating
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Concentration
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Business Checking
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Business Checking
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Business Checking
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	General
	 	[*****]
	Hanes Menswear, LLC

	 	Chase
	 	Hanes Menswear
	 	General
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanes Puerto Rico, Inc.

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Chase
	 	Direct Note
	 	Concentration
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Costumer Refund
	 	Disbursement — non
payroll
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Costumer Refund
	 	Disbursement — non
payroll
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Security Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Alliance Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	American National
Bank of TX
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Americana Community

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Amsouth Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	BancorpSouth
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	BancorpSouth
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Clarendon
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Bank of New York
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Ocean City
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Odessa
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Petaluma
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of the Cascades
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of the West
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	BB&T
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Borrego Springs Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Centura Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Centura Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Chittenden Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Citizens Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Citizens Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Citizens National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	City National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	City National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Columbia State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Commerce Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Community Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Community Bank of
Homestead
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Community National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Compass Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Covenant Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Dalton Whitfield

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	F&M Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Farmers Bank & Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Farmers Trust &

Savings
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Farmers Trust &

Savings
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First American Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank of
Douglas City
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank of the
Lake
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	First Banking Center
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Century
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Citizens
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of (unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[***** ]
	Hanesbrands Direct, LLC

	 	First National Bank
of (unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of Gwinnett
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of NE
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of Olathe
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of TX
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First State Bank of
Gainesville
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Frost National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Gibsland Bank and
Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Glens Falls

National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Harris Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	HSBC Bank USA
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Huntington National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Irwin Union Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Legacy Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Legacy Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	M&T Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	McIntosh State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Mid State Bank and
Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Montgomery Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Five Star Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National Penn
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Old Second National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Ozark Mountain Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Ozark Mountain Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Park Avenue Bank

(GA, FL)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Pinnacle Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	PNC Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	PNC Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Premier Bank

(Missouri)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Premier Banks

(Minnesota)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Queenstown Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Regions Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Regions Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Security National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Security State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Skagit State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Skagit State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Sky Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Somerset Trust Co
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	South Carolina Bank
and Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Southeastern Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Southeastern Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Susquehanna Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Trustmark National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Tuscola National
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	US Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	US Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	US Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Washington Mutual
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Washington Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wells Fargo
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wilmington Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wilson Bank & Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wrentham

Cooperative Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI Branded Apparel

Enterprises. LLC

	 	None	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Distribution, Inc.

	 	Chase
	 	Hanesbrands Distribution
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI Branded Apparel Limited Inc

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI International, LLC
	 	Chase
	 	HBI International LLC
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI Sourcing, LLC
	 	Chase
	 	HBI Sourcing LLC
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Inner Self, LLC
	 	Chase
	 	Inner Self, LLC
	 	General
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Jasper-Costa Rica, L.L.C.

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES NOTE
	 	Concentration
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES A/P
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES HOURLY PAYROLL
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES SALARY PAYROLL
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES MEDICAL/DENTAL
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	EDEN YARNS NOTE
	 	Concentration
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	NT Investment Company

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Playtex Dorado, LLC

	 	BANCO POPULAR
	 	PLAYTEX DORADO CORPORATION
	 	Business Checking
	 	[*****]
	Playtex Dorado, LLC

	 	BANCO POPULAR
	 	PLAYTEX DORADO CORPORATION
	 	Business Checking
	 	[*****]
	Playtex Dorado, LLC

	 	Chase
	 	PLAYTEX DORADO CORPORATION
	 	Depository
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Playtex Industries Inc

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Seamless Textiles LLC

	 	Banco Popular
	 	SEAMLESS TEXTILES, INC.
	 	Business Checking
	 	[*****]
	Seamless Textiles LLC

	 	Banco Popular
	 	SEAMLESS TEXTILES, INC.
	 	Business Checking
	 	[*****]
	Seamless Textiles LLC

	 	Chase
	 	SEAMLESS TEXTILES, INC.
	 	Depository
	 	[*****]
	Seamless Textiles LLC

	 	Banco Popular
	 	Seamless MMIA Short Term
	 	Cert of Deposit
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	UPCR Inc

	 	CHASE
	 	UPCR INC
	 	General
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	UPEL Inc

	 	CHASE
	 	UPEL Inc
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	BA International, L.L.C.
	 	 	 	 	 	 	 	 
	Caribesock, Inc.
	 	 	 	 	 	 	 	 
	Caribetex, Inc.
	 	 	 	 	 	 	 	 
	CASA International, LLC
	 	 	 	 	 	 	 	 
	Ceibena Del, Inc.
	 	 	 	 	 	 	 	 
	Hanes Menswear, LLC
	 	 	 	 	 	 	 	 
	Hanes Puerto Rico, Inc.
	 	 	 	 	 	 	 	 
	Hanesbrands Direct, LLC
	 	 	 	 	 	 	 	 
	Hanesbrands Distribution, Inc.
	 	 	 	 	 	 	 	 
	HBI Branded Apparel 

Enterprises, LLC
	 	 	 	 	 	 	 	 
	HBI Branded Apparel Limited,
Inc.
	 	 	 	 	 	 	 	 
	HbI International, LLC
	 	 	 	 	 	 	 	 
	HBI Sourcing, LLC
	 	 	 	 	 	 	 	 
	Inner Self LLC
	 	 	 	 	 	 	 	 
	National Textiles, L.L.C.
	 	 	 	 	 	 	 	 
	NT Investment Company, Inc.
	 	 	 	 	 	 	 	 
	Playtex Dorado, LLC
	 	 	 	 	 	 	 	 
	Playtex Industries, Inc.
	 	 	 	 	 	 	 	 
	Seamless Textiles, LLC
	 	 	 	 	 	 	 	 
	UPCR, Inc.
	 	 	 	 	 	 	 	 
	UPEL, Inc.
	 	 	 	 	 	 	 	 

 

 

ITEM 7.2.11(m) Permitted Dispositions

	 	 	 
	Location of property	 	Description
	[*****]

	 	Approximately 4.93 acres [*****]
	[*****]

	 	Approximately 54,524 square foot building located on
approximately 5.47 acres
	[*****]

	 	Property currently leased to third party
	[*****]

	 	[*****]
	[*****]

	 	Approximately 267 acres [*****]
	[*****]

	 	Approximately 173,805 square foot building
	[*****]

	 	Approximately 28,000 square foot building
	[*****]

	 	Several buildings aggregating approximately 47,802 square feet
	[*****]

	 	Approximately 43,859 square foot building
	[*****]

	 	Approximately 56,505 square foot building
	[*****]

	 	Approximately 148,477 square foot building
	[*****]

	 	Approximately 48,653 square foot building
	[*****]

	 	Approximately 24,326 square foot building
	[*****]

	 	Approximately 97,546 square foot building
	[*****]

	 	Approximately 22,539 square foot building located on
approximately 112,816 square feet of land
	[*****]

	 	Approximately 603,338 square foot building located on
approximately 13.9 acres

 

 

SCHEDULE II

PERCENTAGES;

LIBOR OFFICE;

DOMESTIC OFFICE

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	NAME AND	 	 	 	 	 	 	 	 	 	 
	NOTICE	 	 	 	 	 	 	 	 	 	 
	ADDRESS OF	 	 	 	 	 	REVOLVING LOAN	 	TERM A	 	TERM B
	LENDER	 	LIBOR OFFICE	 	DOMESTIC OFFICE	 	COMMITMENT	 	COMMITMENT	 	COMMITMENT
	Merrill Lynch

Capital

Corporation

	 	Merrill Lynch Capital

Corporation

4 World Financial Center

22nd Floor

New York, NY 10080

Attn: Nancy Meadows

Tel: (212) 449-2879

Fax: (212) 738-1186

Email:

Nancy_Meadows@ml.com
	 	Merrill Lynch Capital Corporation

4 World Financial Center

22nd Floor

New York, NY 10080

Attn: Nancy Meadows

Tel: (212) 449-2879

Fax: (212) 738-1186

Email: Nancy_Meadows@ml.com
	 	 	11.6548	%	 	 	4.8096	%	 	 	50.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Morgan Stanley

Senior Funding,

Inc.

	 	Morgan Stanley Senior

Funding, Inc.

1585 Broadway

New York, NY 10036
	 	Morgan Stanley Senior Funding,

Inc.

1585 Broadway

New York, NY 10036
	 	 	11.6548	%	 	 	4.8096	%	 	 	50.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	LaSalle Bank

National

Association

Barclays Bank

PLC

	 	To be provided.
	 	To be provided.
	 	 	8.9726

8.9726	%

%	 	 	8.7452

8.7452	%

%	 	 	0.0000

0.0000	%

%

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	NAME AND	 	 	 	 	 	 	 	 	 	 
	NOTICE	 	 	 	 	 	 	 	 	 	 
	ADDRESS OF	 	 	 	 	 	REVOLVING LOAN	 	TERM A	 	TERM B
	LENDER	 	LIBOR OFFICE	 	DOMESTIC OFFICE	 	COMMITMENT	 	COMMITMENT	 	COMMITMENT
	HSBC Bank

UCA, National

Association

	 	To be provided.
	 	To be provided.
	 	 	8.9726	%	 	 	8.7452	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Citicorp USA,

Inc. 

	 	To be provided.
	 	To be provided.
	 	 	8.9726	%	 	 	8.7452	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	The Northern

Trust Company

	 	To be provided.
	 	To be provided.
	 	 	1.8000	%	 	 	2.4000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Branch Banking

& Trust

Company

	 	Branch Banking & Trust

Company

110 South Stratford Road

Winston Salem, NC 27104

Attn: Michael P. Gwyn

Tel: (336) 733-1119

Fax: (336) 733-1134

Email: mgwyn@bbandt.com
	 	Branch Banking & Trust Company

110 South Stratford Road

Winston Salem, NC 27104

Attn: Michael P. Gwyn

Tel: (336) 733-1119

Fax: (336) 733-1134

Email: mgwyn@bbandt.com
	 	 	6.0000	%	 	 	8.0000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	National City

Bank 

	 	To be provided.
	 	To be provided.
	 	 	1.5000	%	 	 	2.0000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	The Royal Bank

of Scotland plc

	 	The Royal Bank of Scotland

101 Park Avenue, 6th Floor

New York, NY 10178

Attn: Charlotte Sohn

101 Park Avenue, 12th Floor

New York, NY 10178

Tel: (212) 401-3703 

Fax: (212) 401-3456 

Email: Charlotte.Sohn@rbos.com

	 	The Royal Bank of Scotland

101 Park Avenue, 6th Floor

New York, NY 10178

Attn: Charlotte Sohn

101 Park Avenue, 12th Floor

New York, NY 10178

Tel: (212) 401-3703

Fax: (212) 401-3456

Email: Charlotte.Sohn@rbos.com
	 	 	6.0000	%	 	 	8.0000	%	 	 	0.0000	%

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	NAME AND	 	 	 	 	 	 	 	 	 	 
	NOTICE	 	 	 	 	 	 	 	 	 	 
	ADDRESS OF	 	 	 	 	 	REVOLVING LOAN	 	TERM A	 	TERM B
	LENDER	 	LIBOR OFFICE	 	DOMESTIC OFFICE	 	COMMITMENT	 	COMMITMENT	 	COMMITMENT
	Commerzbank

AG, New York

and Grand 

Cayman 

Branches

	 	Commberzbank AG, New

York and Grand Cayman

Branches

2 World Financial Center 

New York, NY 10281

Attn: Marianne Medora 

Tel: (212) 266-7326

Fax: (212) 266-7374
Email: mmedora@cbkna.com
	 	Commberzbank AG, New York and Grand Cayman

Branches

2 World Financial Center

New York, NY 10281

Attn: Marianne Medora

Tel: (212) 266-7326

Fax: (212) 266-7374

Email: mmedora@cbkna.com
	 	 	1.2000	%	 	 	1.6000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	JPMorgan Chase

Bank, N.A.

	 	JPMorgan Chase Bank, N.A.

1 Chase Manhattan Plaza

14th Floor

New York, NY 10005 

Tel: (212) 552-0789 

Fax: (212) 383-0698 

Email: virginia.r.conway@

jpmorgan.com
	 	JPMorgan Chase Bank, N.A.

1 Chase Manhattan Plaza

14th Floor

New York, NY 10005

Tel: (212) 552-0789

Fax: (212) 383-0698

Email: virginia.r.conway@

jpmorgan.com
	 	 	3.0000	%	 	 	0.0000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	United Overseas

Bank Limited,

New York

Agency

	 	To be provided.
	 	To be provided.
	 	 	3.0000	%	 	 	4.0000	%	 	 	0.0000	%

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	NAME AND	 	 	 	 	 	 	 	 	 	 
	NOTICE	 	 	 	 	 	 	 	 	 	 
	ADDRESS OF	 	 	 	 	 	REVOLVING LOAN	 	TERM A	 	TERM B
	LENDER	 	LIBOR OFFICE	 	DOMESTIC OFFICE	 	COMMITMENT	 	COMMITMENT	 	COMMITMENT
	Sumitomo Mitsui

Banking

Corporation, New

York

	 	To be provided.
	 	To be provided.
	 	 	6.0000	%	 	 	8.0000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Israel Discount

Bank of New

York

	 	To be provided.
	 	To be provided.
	 	 	1.5000	%	 	 	3.0000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	BNP Paribas

	 	BNP Paribas

787 Seventh Avenue 

New York, NY 10019

Attn: Simone Vinocour

Tel: 212-841-2205

Fax: 212-841-3049 

Email:simone.vinocour@

americas.bnpparibas.com
	 	BNP Paribas

787 Seventh Avenue

New York, NY 10019

Attn: Simone Vinocour

Tel: 212-841-2205

Fax: 212-841-3049

Email:simone.vinocour@

americas.bnpparibas.com
	 	 	3.0000	%	 	 	4.0000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Mizuho

Corporate Bank,

Ltd.

	 	To be provided.

	 	To be provided.
	 	 	3.0000	%	 	 	4.0000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	North Fork

Business Capital

Corp.

	 	North Fork Business Capital

Corp.

275 Broadhollow Road 

Melville, New York 11747

Attn: Jose L. Gutierrez

Tel: (631) 531-2781

Fax: (631) 501-5524
	 	North Fork Business Capital Corp.

275 Broadhollow Road

Melville, New York 11747

Attn: Jose L. Gutierrez

Tel: (631) 531-2781

Fax: (631) 501-5524
	 	 	0.0000	%	 	 	4.0000	%	 	 	0.0000	%

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	NAME AND	 	 	 	 	 	 	 	 	 	 
	NOTICE	 	 	 	 	 	 	 	 	 	 
	ADDRESS OF	 	 	 	 	 	REVOLVING LOAN	 	TERM A	 	TERM B
	LENDER	 	LIBOR OFFICE	 	DOMESTIC OFFICE	 	COMMITMENT	 	COMMITMENT	 	COMMITMENT
	Banco Bilbao

Vizcaya

Argentaria S.A.

	 	To be provided.
	 	To be provided.
	 	 	1.8000	%	 	 	2.4000	%	 	 	0.0000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Bayerische

Landesbank, New
York Branch

	 	To be provided.
	 	To be provided.
	 	 	3.0000	%	 	 	4.0000	%	 	 	0.0000	%

NOTICE ADDRESS FOR ADMINISTRATIVE AGENT:

Citicorp USA, Inc.

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

NOTICE ADDRESS FOR THE BORROWER: 

Hanesbrands Inc.

1000 East Hanes Mill Rd

Winston Salem, NC 27105

Attn: General Counsel

 

 

SCHEDULE III

Existing Letters of Credit

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	DFK INTERNATIONAL LIMITED

	 	HKH254935
	 	 	20060719	 	 	USD
	 	 	60,124.49	 	 	 	20060828	 
	DFK INTERNATIONAL LIMITED

	 	HKH255059
	 	 	20060814	 	 	USD
	 	 	78,540.00	 	 	 	20060916	 
	DFK INTERNATIONAL LIMITED

	 	HKH255100
	 	 	20060824	 	 	USD
	 	 	36,844.50	 	 	 	20060923	 
	DFK INTERNATIONAL LIMITED

	 	HKH255058
	 	 	20060814	 	 	USD
	 	 	84,464.10	 	 	 	20060928	 
	DFK INTERNATIONAL LIMITED

	 	HKH255112
	 	 	20060829	 	 	USD
	 	 	45,570.00	 	 	 	20060930	 
	DFK INTERNATIONAL LIMITED

	 	HKH254940
	 	 	20060720	 	 	USD
	 	 	262,462.03	 	 	 	20061016	 
	DFK INTERNATIONAL LIMITED

	 	HKH255120
	 	 	20060830	 	 	USD
	 	 	168,968.63	 	 	 	20061109	 
	SARA LEE PRINTABLES GMBH

	 	HKH705166
	 	 	20060213	 	 	USD
	 	 	1,359.71	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705199
	 	 	20060601	 	 	USD
	 	 	106,362.81	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705173
	 	 	20060216	 	 	USD
	 	 	72,066.67	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705174
	 	 	20060302	 	 	USD
	 	 	10,332.16	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705177
	 	 	20060314	 	 	USD
	 	 	29,242.62	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705181
	 	 	20060321	 	 	USD
	 	 	14,322.83	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705198
	 	 	20060601	 	 	USD
	 	 	23,495.91	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705195
	 	 	20060519	 	 	USD
	 	 	6,371.57	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705194
	 	 	20060519	 	 	USD
	 	 	6,944.72	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705192
	 	 	20060517	 	 	USD
	 	 	26,601.47	 	 	 	20060830	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE PRINTABLES GMBH

	 	HKH705193
	 	 	20060517	 	 	USD
	 	 	39,156.00	 	 	 	20060830	 
	SARA LEE PRINTABLES GMBH

	 	HKH705200
	 	 	20060601	 	 	USD
	 	 	63,054.96	 	 	 	20060920	 
	SARA LEE PRINTABLES GMBH

	 	HKH705191
	 	 	20060427	 	 	USD
	 	 	95,588.70	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705196
	 	 	20060523	 	 	USD
	 	 	235,403.51	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705188
	 	 	20060420	 	 	USD
	 	 	16,176.12	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705183
	 	 	20060413	 	 	USD
	 	 	447,104.76	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705182
	 	 	20060413	 	 	USD
	 	 	78,759.93	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705172
	 	 	20060216	 	 	USD
	 	 	12,911.56	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705204
	 	 	20060620	 	 	USD
	 	 	80,983.36	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705205
	 	 	20060620	 	 	USD
	 	 	881,820.72	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705206
	 	 	20060620	 	 	USD
	 	 	649,516.99	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705207
	 	 	20060620	 	 	USD
	 	 	513,687.78	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705208
	 	 	20060620	 	 	USD
	 	 	180,848.64	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705209
	 	 	20060622	 	 	USD
	 	 	46,981.44	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705210
	 	 	20060622	 	 	USD
	 	 	123,078.00	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705211
	 	 	20060628	 	 	USD
	 	 	187,666.29	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705212
	 	 	20060628	 	 	USD
	 	 	273,957.60	 	 	 	20060930	 
	SARA LEE PRINTABLES GMBH

	 	HKH705213
	 	 	20060707	 	 	USD
	 	 	56,376.18	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705223
	 	 	20060721	 	 	USD
	 	 	293,224.60	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705215
	 	 	20060714	 	 	USD
	 	 	725,338.99	 	 	 	20061030	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE PRINTABLES GMBH

	 	HKH705216
	 	 	20060714	 	 	USD
	 	 	730,421.54	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705217
	 	 	20060721	 	 	USD
	 	 	279,970.32	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705218
	 	 	20060721	 	 	USD
	 	 	730,690.41	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705219
	 	 	20060721	 	 	USD
	 	 	343,921.34	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705220
	 	 	20060721	 	 	USD
	 	 	78,985.62	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705221
	 	 	20060721	 	 	USD
	 	 	46,256.24	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705222
	 	 	20060721	 	 	USD
	 	 	68,709.72	 	 	 	20061030	 
	SARA LEE PRINTABLES GMBH

	 	HKH705214
	 	 	20060707	 	 	USD
	 	 	142,701.30	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705235
	 	 	20060815	 	 	USD
	 	 	807,790.20	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705234
	 	 	20060815	 	 	USD
	 	 	428,685.96	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705226
	 	 	20060815	 	 	USD
	 	 	332,868.44	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705227
	 	 	20060815	 	 	USD
	 	 	337,013.07	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705228
	 	 	20060815	 	 	USD
	 	 	118,847.04	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705229
	 	 	20060815	 	 	USD
	 	 	11,642.40	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705230
	 	 	20060815	 	 	USD
	 	 	795,656.74	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705231
	 	 	20060815	 	 	USD
	 	 	65,175.71	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705232
	 	 	20060815	 	 	USD
	 	 	88,288.52	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705233
	 	 	20060815	 	 	USD
	 	 	78,008.99	 	 	 	20061130	 
	SARA LEE PRINTABLES GMBH

	 	HKH705236
	 	 	20060825	 	 	USD
	 	 	21,197.21	 	 	 	20061210	 
	SARA LEE PRINTABLES GMBH

	 	HKH705224
	 	 	20060807	 	 	USD
	 	 	557,884.11	 	 	 	20061215	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE PRINTABLES GMBH

	 	HKH705225
	 	 	20060811	 	 	USD
	 	 	2,367,240.96	 	 	 	20070530	 
	CANADELLE A DIVISION OF THE

	 	HKH692114
	 	 	20060327	 	 	USD
	 	 	889.07	 	 	 	20060825	 
	CANADELLE A DIVISION OF THE

	 	HKH692120
	 	 	20060404	 	 	USD
	 	 	299.38	 	 	 	20060905	 
	CANADELLE A DIVISION OF THE

	 	HKH692122
	 	 	20060421	 	 	USD
	 	 	292.57	 	 	 	20060908	 
	CANADELLE A DIVISION OF THE

	 	HKH692146
	 	 	20060801	 	 	USD
	 	 	10,758.14	 	 	 	20060915	 
	CANADELLE A DIVISION OF THE

	 	HKH692125
	 	 	20060525	 	 	USD
	 	 	10,898.92	 	 	 	20060915	 
	CANADELLE A DIVISION OF THE

	 	HKH692123
	 	 	20060508	 	 	USD
	 	 	13,571.90	 	 	 	20060915	 
	CANADELLE A DIVISION OF THE

	 	HKH685496
	 	 	20051212	 	 	USD
	 	 	43,810.64	 	 	 	20060915	 
	CANADELLE A DIVISION OF THE

	 	HKH685493
	 	 	20051125	 	 	USD
	 	 	62,883.97	 	 	 	20060915	 
	CANADELLE A DIVISION OF THE

	 	HKH692137
	 	 	20060630	 	 	USD
	 	 	180,869.92	 	 	 	20060922	 
	CANADELLE A DIVISION OF THE

	 	HKH692130
	 	 	20060605	 	 	USD
	 	 	82,116.24	 	 	 	20060922	 
	CANADELLE A DIVISION OF THE

	 	HKH692145
	 	 	20060725	 	 	USD
	 	 	28,953.30	 	 	 	20060922	 
	CANADELLE A DIVISION OF THE

	 	HKH692126
	 	 	20060525	 	 	USD
	 	 	16,091.98	 	 	 	20061006	 
	CANADELLE A DIVISION OF THE

	 	HKH692147
	 	 	20060801	 	 	USD
	 	 	95,256.41	 	 	 	20061020	 
	CANADELLE A DIVISION OF THE

	 	HKH692102
	 	 	20060203	 	 	USD
	 	 	106,577.81	 	 	 	20061020	 
	CANADELLE A DIVISION OF THE

	 	HKH692135
	 	 	20060609	 	 	USD
	 	 	12,283.99	 	 	 	20061020	 
	CANADELLE A DIVISION OF THE

	 	HKH692134
	 	 	20060609	 	 	USD
	 	 	18,911.91	 	 	 	20061020	 
	CANADELLE A DIVISION OF THE

	 	HKH692155
	 	 	20060821	 	 	USD
	 	 	4,264.20	 	 	 	20061023	 
	CANADELLE A DIVISION OF THE

	 	HKH692138
	 	 	20060703	 	 	USD
	 	 	7,679.27	 	 	 	20061110	 
	CANADELLE A DIVISION OF THE

	 	HKH692139
	 	 	20060703	 	 	USD
	 	 	8,004.95	 	 	 	20061117	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	CANADELLE A DIVISION OF THE

	 	HKH692152
	 	 	20060821	 	 	USD
	 	 	47,146.48	 	 	 	20061117	 
	CANADELLE A DIVISION OF THE

	 	HKH692124
	 	 	20060508	 	 	USD
	 	 	110,372.95	 	 	 	20061117	 
	CANADELLE A DIVISION OF THE

	 	HKH692133
	 	 	20060609	 	 	USD
	 	 	129,474.09	 	 	 	20061117	 
	CANADELLE A DIVISION OF THE

	 	HKH692143
	 	 	20060725	 	 	USD
	 	 	92,966.04	 	 	 	20061117	 
	CANADELLE A DIVISION OF THE

	 	HKH692142
	 	 	20060725	 	 	USD
	 	 	3,933.45	 	 	 	20061208	 
	CANADELLE A DIVISION OF THE

	 	HKH692140
	 	 	20060703	 	 	USD
	 	 	5,141.76	 	 	 	20061221	 
	CANADELLE A DIVISION OF THE

	 	HKH692150
	 	 	20060814	 	 	USD
	 	 	58,349.09	 	 	 	20061222	 
	CANADELLE A DIVISION OF THE

	 	HKH692149
	 	 	20060814	 	 	USD
	 	 	28,530.84	 	 	 	20061222	 
	CANADELLE A DIVISION OF THE

	 	HKH692141
	 	 	20060725	 	 	USD
	 	 	21,789.69	 	 	 	20061222	 
	CANADELLE A DIVISION OF THE

	 	HKH692153
	 	 	20060821	 	 	USD
	 	 	32,612.60	 	 	 	20061222	 
	CANADELLE A DIVISION OF THE

	 	HKH692154
	 	 	20060821	 	 	USD
	 	 	126,163.16	 	 	 	20061222	 
	CANADELLE A DIVISION OF THE

	 	HKH692151
	 	 	20060821	 	 	USD
	 	 	24,511.73	 	 	 	20061222	 
	CANADELLE A DIVISION OF THE

	 	HKH692144
	 	 	20060725	 	 	USD
	 	 	50,585.88	 	 	 	20061222	 
	CANADELLE A DIVISION OF THE

	 	HKH692148
	 	 	20060807	 	 	USD
	 	 	5,870.51	 	 	 	20061229	 
	CANADELLE A DIVISION OF THE

	 	HKH692156
	 	 	20060821	 	 	USD
	 	 	10,044.97	 	 	 	20070105	 
	CHAMPION ATHLETICWEAR

	 	HKH691324
	 	 	20060613	 	 	USD
	 	 	15,230.90	 	 	 	20060823	 
	CHAMPION ATHLETICWEAR

	 	HKH691244
	 	 	20060411	 	 	USD
	 	 	217.06	 	 	 	20060823	 
	CHAMPION ATHLETICWEAR

	 	HKH691423
	 	 	20060718	 	 	USD
	 	 	535,381.11	 	 	 	20060824	 
	CHAMPION ATHLETICWEAR

	 	HKH691402
	 	 	20060711	 	 	USD
	 	 	90,756.63	 	 	 	20060824	 
	CHAMPION ATHLETICWEAR

	 	HKH691449
	 	 	20060807	 	 	USD
	 	 	590,748.45	 	 	 	20060824	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	CHAMPION ATHLETICWEAR

	 	HKH691392
	 	 	20060704	 	 	USD
	 	 	56,813.61	 	 	 	20060824	 
	CHAMPION ATHLETICWEAR

	 	HKH691448
	 	 	20060807	 	 	USD
	 	 	167,556.10	 	 	 	20060824	 
	CHAMPION ATHLETICWEAR

	 	HKH691427
	 	 	20060721	 	 	USD
	 	 	599,994.50	 	 	 	20060824	 
	CHAMPION ATHLETICWEAR

	 	HKH691383
	 	 	20060704	 	 	USD
	 	 	356,707.45	 	 	 	20060825	 
	CHAMPION ATHLETICWEAR

	 	HKH691311
	 	 	20060601	 	 	USD
	 	 	11,547.47	 	 	 	20060825	 
	CHAMPION ATHLETICWEAR

	 	HKH691259
	 	 	20060424	 	 	USD
	 	 	10,606.95	 	 	 	20060825	 
	CHAMPION ATHLETICWEAR

	 	HKH691341
	 	 	20060615	 	 	USD
	 	 	5,555.88	 	 	 	20060825	 
	CHAMPION ATHLETICWEAR

	 	HKH691243
	 	 	20060411	 	 	USD
	 	 	414,517.32	 	 	 	20060825	 
	CHAMPION ATHLETICWEAR

	 	HKH691384
	 	 	20060704	 	 	USD
	 	 	63,002.57	 	 	 	20060826	 
	CHAMPION ATHLETICWEAR

	 	HKH691406
	 	 	20060712	 	 	USD
	 	 	2,287.80	 	 	 	20060826	 
	CHAMPION ATHLETICWEAR

	 	HKH691304
	 	 	20060526	 	 	USD
	 	 	391.38	 	 	 	20060826	 
	CHAMPION ATHLETICWEAR

	 	HKH691381
	 	 	20060704	 	 	USD
	 	 	444,433.28	 	 	 	20060826	 
	CHAMPION ATHLETICWEAR

	 	HKH691380
	 	 	20060704	 	 	USD
	 	 	134,924.20	 	 	 	20060826	 
	CHAMPION ATHLETICWEAR

	 	HKH691436
	 	 	20060727	 	 	USD
	 	 	20,755.56	 	 	 	20060826	 
	CHAMPION ATHLETICWEAR

	 	HKH691385
	 	 	20060704	 	 	USD
	 	 	11,262.70	 	 	 	20060828	 
	CHAMPION ATHLETICWEAR

	 	HKH691350
	 	 	20060621	 	 	USD
	 	 	15,706.94	 	 	 	20060828	 
	CHAMPION ATHLETICWEAR

	 	HKH691416
	 	 	20060714	 	 	USD
	 	 	638,919.58	 	 	 	20060828	 
	CHAMPION ATHLETICWEAR

	 	HKH691415
	 	 	20060714	 	 	USD
	 	 	4,158.22	 	 	 	20060830	 
	CHAMPION ATHLETICWEAR

	 	HKH691428
	 	 	20060721	 	 	USD
	 	 	608,481.44	 	 	 	20060831	 
	CHAMPION ATHLETICWEAR

	 	HKH691412
	 	 	20060714	 	 	USD
	 	 	678,840.50	 	 	 	20060831	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	CHAMPION ATHLETICWEAR

	 	HKH691407
	 	 	20060712	 	 	USD
	 	 	342,445.41	 	 	 	20060831	 
	CHAMPION ATHLETICWEAR

	 	HKH691444
	 	 	20060807	 	 	USD
	 	 	452,867.31	 	 	 	20060831	 
	CHAMPION ATHLETICWEAR

	 	HKH691312
	 	 	20060601	 	 	USD
	 	 	19,849.14	 	 	 	20060901	 
	CHAMPION ATHLETICWEAR

	 	HKH691303
	 	 	20060526	 	 	USD
	 	 	10,659.45	 	 	 	20060901	 
	CHAMPION ATHLETICWEAR

	 	HKH691267
	 	 	20060425	 	 	USD
	 	 	(155.65	)	 	 	20060901	 
	CHAMPION ATHLETICWEAR

	 	HKH691457
	 	 	20060816	 	 	USD
	 	 	21,030.54	 	 	 	20060902	 
	CHAMPION ATHLETICWEAR

	 	HKH691458
	 	 	20060816	 	 	USD
	 	 	122,927.62	 	 	 	20060902	 
	CHAMPION ATHLETICWEAR

	 	HKH691287
	 	 	20060516	 	 	USD
	 	 	83,446.69	 	 	 	20060902	 
	CHAMPION ATHLETICWEAR

	 	HKH691285
	 	 	20060516	 	 	USD
	 	 	10,837.87	 	 	 	20060902	 
	CHAMPION ATHLETICWEAR

	 	HKH691349
	 	 	20060621	 	 	USD
	 	 	18,796.37	 	 	 	20060904	 
	CHAMPION ATHLETICWEAR

	 	HKH691389
	 	 	20060704	 	 	USD
	 	 	167,774.06	 	 	 	20060906	 
	CHAMPION ATHLETICWEAR

	 	HKH691390
	 	 	20060704	 	 	USD
	 	 	204,829.41	 	 	 	20060906	 
	CHAMPION ATHLETICWEAR

	 	HKH691442
	 	 	20060804	 	 	USD
	 	 	735,990.00	 	 	 	20060907	 
	CHAMPION ATHLETICWEAR

	 	HKH691429
	 	 	20060720	 	 	USD
	 	 	660,782.66	 	 	 	20060907	 
	CHAMPION ATHLETICWEAR

	 	HKH691374
	 	 	20060703	 	 	USD
	 	 	330,196.25	 	 	 	20060907	 
	CHAMPION ATHLETICWEAR

	 	HKH691306
	 	 	20060529	 	 	USD
	 	 	368,342.83	 	 	 	20060907	 
	CHAMPION ATHLETICWEAR

	 	HKH691470
	 	 	20060822	 	 	USD
	 	 	113,648.22	 	 	 	20060910	 
	CHAMPION ATHLETICWEAR

	 	HKH691443
	 	 	20060807	 	 	USD
	 	 	729,817.96	 	 	 	20060910	 
	CHAMPION ATHLETICWEAR

	 	HKH691445
	 	 	20060807	 	 	USD
	 	 	331,042.82	 	 	 	20060910	 
	CHAMPION ATHLETICWEAR

	 	HKH691411
	 	 	20060714	 	 	USD
	 	 	8,180.95	 	 	 	20060911	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	CHAMPION ATHLETICWEAR

	 	HKH691450
	 	 	20060807	 	 	USD
	 	 	733,286.66	 	 	 	20060914	 
	CHAMPION ATHLETICWEAR

	 	HKH691413
	 	 	20060714	 	 	USD
	 	 	696,668.14	 	 	 	20060914	 
	CHAMPION ATHLETICWEAR

	 	HKH691302
	 	 	20060526	 	 	USD
	 	 	1,270.20	 	 	 	20060915	 
	CHAMPION ATHLETICWEAR

	 	HKH691286
	 	 	20060516	 	 	USD
	 	 	65,826.27	 	 	 	20060916	 
	CHAMPION ATHLETICWEAR

	 	HKH691277
	 	 	20060508	 	 	USD
	 	 	4,550.51	 	 	 	20060917	 
	CHAMPION ATHLETICWEAR

	 	HKH691459
	 	 	20060816	 	 	USD
	 	 	49,304.79	 	 	 	20060918	 
	CHAMPION ATHLETICWEAR

	 	HKH691319
	 	 	20060606	 	 	USD
	 	 	34,949.01	 	 	 	20060918	 
	CHAMPION ATHLETICWEAR

	 	HKH691373
	 	 	20060703	 	 	USD
	 	 	164,935.59	 	 	 	20060920	 
	CHAMPION ATHLETICWEAR

	 	HKH691417
	 	 	20060714	 	 	USD
	 	 	145,197.31	 	 	 	20060920	 
	CHAMPION ATHLETICWEAR

	 	HKH691465
	 	 	20060821	 	 	USD
	 	 	656,835.97	 	 	 	20060921	 
	CHAMPION ATHLETICWEAR

	 	HKH691478
	 	 	20060831	 	 	USD
	 	 	61,199.80	 	 	 	20060921	 
	CHAMPION ATHLETICWEAR

	 	HKH691456
	 	 	20060815	 	 	USD
	 	 	35,754.39	 	 	 	20060921	 
	CHAMPION ATHLETICWEAR

	 	HKH691441
	 	 	20060804	 	 	USD
	 	 	665,962.51	 	 	 	20060922	 
	CHAMPION ATHLETICWEAR

	 	HKH691331
	 	 	20060613	 	 	USD
	 	 	85,041.82	 	 	 	20060922	 
	CHAMPION ATHLETICWEAR

	 	HKH691473
	 	 	20060823	 	 	USD
	 	 	118,997.96	 	 	 	20060923	 
	CHAMPION ATHLETICWEAR

	 	HKH691378
	 	 	20060704	 	 	USD
	 	 	105,761.23	 	 	 	20060923	 
	CHAMPION ATHLETICWEAR

	 	HKH691394
	 	 	20060705	 	 	USD
	 	 	453,528.63	 	 	 	20060923	 
	CHAMPION ATHLETICWEAR

	 	HKH691472
	 	 	20060824	 	 	USD
	 	 	276,673.45	 	 	 	20060923	 
	CHAMPION ATHLETICWEAR

	 	HKH691372
	 	 	20060704	 	 	USD
	 	 	162,724.64	 	 	 	20060923	 
	CHAMPION ATHLETICWEAR

	 	HKH691439
	 	 	20060727	 	 	USD
	 	 	52,900.80	 	 	 	20060925	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	CHAMPION ATHLETICWEAR

	 	HKH691352
	 	 	20060621	 	 	USD
	 	 	8,349.78	 	 	 	20060926	 
	CHAMPION ATHLETICWEAR

	 	HKH691453
	 	 	20060808	 	 	USD
	 	 	46,201.68	 	 	 	20060928	 
	CHAMPION ATHLETICWEAR

	 	HKH691464
	 	 	20060821	 	 	USD
	 	 	649,099.97	 	 	 	20060928	 
	CHAMPION ATHLETICWEAR

	 	HKH691463
	 	 	20060821	 	 	USD
	 	 	698,467.13	 	 	 	20060928	 
	CHAMPION ATHLETICWEAR

	 	HKH691419
	 	 	20060718	 	 	USD
	 	 	299,935.30	 	 	 	20060928	 
	CHAMPION ATHLETICWEAR

	 	HKH691288
	 	 	20060516	 	 	USD
	 	 	82,161.86	 	 	 	20060929	 
	CHAMPION ATHLETICWEAR

	 	HKH691468
	 	 	20060821	 	 	USD
	 	 	180,473.18	 	 	 	20060930	 
	CHAMPION ATHLETICWEAR

	 	HKH691371
	 	 	20060703	 	 	USD
	 	 	148,751.98	 	 	 	20060930	 
	CHAMPION ATHLETICWEAR

	 	HKH691477
	 	 	20060831	 	 	USD
	 	 	347,494.30	 	 	 	20061001	 
	CHAMPION ATHLETICWEAR

	 	HKH691309
	 	 	20060529	 	 	USD
	 	 	1,784,033.64	 	 	 	20061005	 
	CHAMPION ATHLETICWEAR

	 	HKH691451
	 	 	20060807	 	 	USD
	 	 	269,049.39	 	 	 	20061005	 
	CHAMPION ATHLETICWEAR

	 	HKH691479
	 	 	20060831	 	 	USD
	 	 	70,405.03	 	 	 	20061007	 
	CHAMPION ATHLETICWEAR

	 	HKH691401
	 	 	20060711	 	 	USD
	 	 	102.77	 	 	 	20061007	 
	CHAMPION ATHLETICWEAR

	 	HKH691425
	 	 	20060720	 	 	USD
	 	 	566,923.97	 	 	 	20061008	 
	CHAMPION ATHLETICWEAR

	 	HKH691424
	 	 	20060720	 	 	USD
	 	 	487,217.39	 	 	 	20061008	 
	CHAMPION ATHLETICWEAR

	 	HKH691452
	 	 	20060808	 	 	USD
	 	 	5,049.92	 	 	 	20061009	 
	CHAMPION ATHLETICWEAR

	 	HKH691481
	 	 	20060831	 	 	USD
	 	 	232,397.05	 	 	 	20061011	 
	CHAMPION ATHLETICWEAR

	 	HKH691354
	 	 	20060626	 	 	USD
	 	 	303,053.73	 	 	 	20061014	 
	CHAMPION ATHLETICWEAR

	 	HKH691355
	 	 	20060626	 	 	USD
	 	 	127,918.50	 	 	 	20061014	 
	CHAMPION ATHLETICWEAR

	 	HKH691399
	 	 	20060711	 	 	USD
	 	 	57,071.68	 	 	 	20061014	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	CHAMPION ATHLETICWEAR

	 	HKH691422
	 	 	20060718	 	 	USD
	 	 	607,392.17	 	 	 	20061015	 
	CHAMPION ATHLETICWEAR

	 	HKH691434
	 	 	20060720	 	 	USD
	 	 	574,087.64	 	 	 	20061015	 
	CHAMPION ATHLETICWEAR

	 	HKH691421
	 	 	20060718	 	 	USD
	 	 	513,071.04	 	 	 	20061015	 
	CHAMPION ATHLETICWEAR

	 	HKH691454
	 	 	20060815	 	 	USD
	 	 	275,631.17	 	 	 	20061017	 
	CHAMPION ATHLETICWEAR

	 	HKH691420
	 	 	20060718	 	 	USD
	 	 	75,089.20	 	 	 	20061017	 
	CHAMPION ATHLETICWEAR

	 	HKH691455
	 	 	20060815	 	 	USD
	 	 	251,340.11	 	 	 	20061022	 
	CHAMPION ATHLETICWEAR

	 	HKH691474
	 	 	20060825	 	 	USD
	 	 	128,108.47	 	 	 	20061026	 
	CHAMPION ATHLETICWEAR

	 	HKH691430
	 	 	20060720	 	 	USD
	 	 	23,533.44	 	 	 	20061028	 
	CHAMPION ATHLETICWEAR

	 	HKH691440
	 	 	20060804	 	 	USD
	 	 	18,947.88	 	 	 	20061028	 
	CHAMPION ATHLETICWEAR

	 	HKH691467
	 	 	20060822	 	 	USD
	 	 	123,487.52	 	 	 	20061030	 
	CHAMPION ATHLETICWEAR

	 	HKH691471
	 	 	20060822	 	 	USD
	 	 	92,700.00	 	 	 	20061104	 
	CHAMPION ATHLETICWEAR

	 	HKH691356
	 	 	20060626	 	 	USD
	 	 	188,547.97	 	 	 	20061111	 
	CHAMPION ATHLETICWEAR

	 	HKH691461
	 	 	20060816	 	 	USD
	 	 	488,251.89	 	 	 	20061112	 
	CHAMPION ATHLETICWEAR

	 	HKH691462
	 	 	20060816	 	 	USD
	 	 	318,767.80	 	 	 	20061112	 
	CHAMPION ATHLETICWEAR

	 	HKH691366
	 	 	20060630	 	 	USD
	 	 	24,843.60	 	 	 	20061114	 
	CHAMPION ATHLETICWEAR

	 	HKH691398
	 	 	20060711	 	 	USD
	 	 	25,340.47	 	 	 	20061114	 
	CHAMPION ATHLETICWEAR

	 	HKH691460
	 	 	20060816	 	 	USD
	 	 	428,581.02	 	 	 	20061118	 
	CHAMPION ATHLETICWEAR

	 	HKH691409
	 	 	20060714	 	 	USD
	 	 	24,843.60	 	 	 	20061202	 
	CHAMPION ATHLETICWEAR

	 	HKH691446
	 	 	20060807	 	 	USD
	 	 	444,861.49	 	 	 	20061209	 
	CHAMPION ATHLETICWEAR

	 	HKH691476
	 	 	20060831	 	 	USD
	 	 	140,162.40	 	 	 	20061215	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	CHAMPION ATHLETICWEAR

	 	HKH691480
	 	 	20060831	 	 	USD
	 	 	42,475.26	 	 	 	20061224	 
	CHAMPION ATHLETICWEAR

	 	HKH691466
	 	 	20060821	 	 	USD
	 	 	17,407.33	 	 	 	20061230	 
	CHAMPION ATHLETICWEAR

	 	HKH691447
	 	 	20060807	 	 	USD
	 	 	258,316.09	 	 	 	20061230	 
	CHAMPION ATHLETICWEAR

	 	HKH691475
	 	 	20060825	 	 	USD
	 	 	67,222.58	 	 	 	20070106	 
	CHAMPION JOGBRA

	 	HKH682730
	 	 	20060725	 	 	USD
	 	 	26,324.33	 	 	 	20060916	 
	CHAMPION JOGBRA

	 	HKH682729
	 	 	20060630	 	 	USD
	 	 	269,222.54	 	 	 	20061105	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684146
	 	 	20060502	 	 	USD
	 	 	25,105.15	 	 	 	20060920	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684149
	 	 	20060522	 	 	USD
	 	 	18,288.47	 	 	 	20060922	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684148
	 	 	20060516	 	 	USD
	 	 	18,231.00	 	 	 	20060922	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684152
	 	 	20060613	 	 	USD
	 	 	318,190.06	 	 	 	20060928	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684153
	 	 	20060613	 	 	USD
	 	 	561,488.10	 	 	 	20061005	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684155
	 	 	20060704	 	 	USD
	 	 	270,951.96	 	 	 	20061015	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684160
	 	 	20060807	 	 	USD
	 	 	580,179.02	 	 	 	20061025	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684151
	 	 	20060613	 	 	USD
	 	 	47,255.37	 	 	 	20061105	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684157
	 	 	20060718	 	 	USD
	 	 	222,965.87	 	 	 	20061109	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684158
	 	 	20060726	 	 	USD
	 	 	26,574.00	 	 	 	20061120	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684159
	 	 	20060727	 	 	USD
	 	 	37,762.89	 	 	 	20061205	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684163
	 	 	20060831	 	 	USD
	 	 	527,097.02	 	 	 	20061210	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684161
	 	 	20060811	 	 	USD
	 	 	60,873.00	 	 	 	20061225	 
	HANES PRINTABLES, OUTER BANKS 

GROUP

	 	HKH684162
	 	 	20060816	 	 	USD
	 	 	33,897.92	 	 	 	20061225	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688544
	 	 	20060502	 	 	USD
	 	 	7,938.11	 	 	 	20060830	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688553
	 	 	20060804	 	 	USD
	 	 	108,579.44	 	 	 	20060830	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688539
	 	 	20060307	 	 	USD
	 	 	208,752.52	 	 	 	20060901	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688540
	 	 	20060307	 	 	USD
	 	 	257,575.48	 	 	 	20060901	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688551
	 	 	20060623	 	 	USD
	 	 	112,051.82	 	 	 	20060915	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688547
	 	 	20060605	 	 	USD
	 	 	28.81	 	 	 	20060915	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688555
	 	 	20060831	 	 	USD
	 	 	26,442.84	 	 	 	20061001	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688552
	 	 	20060714	 	 	USD
	 	 	78,048.19	 	 	 	20061022	 
	J.E. MORGAN KNITTING MILLS INC.

	 	HKH688554
	 	 	20060824	 	 	USD
	 	 	20,637.03	 	 	 	20061022	 
	SARA LEE CASUALWEAR

	 	HKH680244
	 	 	20060519	 	 	USD
	 	 	1,822,383.63	 	 	 	20060904	 
	SARA LEE CASUALWEAR

	 	HKH680248
	 	 	20060512	 	 	USD
	 	 	175,257.11	 	 	 	20060910	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE CASUALWEAR

	 	HKH680245
	 	 	20060515	 	 	USD
	 	 	1,353,619.00	 	 	 	20060910	 
	SARA LEE CASUALWEAR

	 	HKH680246
	 	 	20060512	 	 	USD
	 	 	1,315,824.59	 	 	 	20060918	 
	SARA LEE CASUALWEAR

	 	HKH680254
	 	 	20060630	 	 	USD
	 	 	32,120.55	 	 	 	20060919	 
	SARA LEE CASUALWEAR

	 	HKH680250
	 	 	20060606	 	 	USD
	 	 	58,073.78	 	 	 	20060920	 
	SARA LEE CASUALWEAR

	 	HKH691300
	 	 	20060621	 	 	USD
	 	 	282,873.53	 	 	 	20060922	 
	SARA LEE CASUALWEAR

	 	HKH680255
	 	 	20060727	 	 	USD
	 	 	158,724.65	 	 	 	20060923	 
	SARA LEE CASUALWEAR

	 	HKH691400
	 	 	20060727	 	 	USD
	 	 	30,815.79	 	 	 	20060930	 
	SARA LEE CASUALWEAR

	 	HKH691437
	 	 	20060823	 	 	USD
	 	 	60,764.48	 	 	 	20060930	 
	SARA LEE CASUALWEAR

	 	HKH691339
	 	 	20060713	 	 	USD
	 	 	59,626.91	 	 	 	20061006	 
	SARA LEE CASUALWEAR

	 	HKH680253
	 	 	20060630	 	 	USD
	 	 	1,468,979.82	 	 	 	20061017	 
	SARA LEE CASUALWEAR

	 	HKH680247
	 	 	20060515	 	 	USD
	 	 	1,670,602.32	 	 	 	20061023	 
	SARA LEE CASUALWEAR

	 	HKH680252
	 	 	20060630	 	 	USD
	 	 	2,129,501.93	 	 	 	20061024	 
	SARA LEE CASUALWEAR

	 	HKH680243
	 	 	20060512	 	 	USD
	 	 	912,620.38	 	 	 	20061106	 
	SARA LEE HOSIERY

	 	HKH681369
	 	 	20060612	 	 	USD
	 	 	687.42	 	 	 	20060830	 
	SARA LEE HOSIERY

	 	HKH681371
	 	 	20060613	 	 	USD
	 	 	3,621.78	 	 	 	20060907	 
	SARA LEE HOSIERY

	 	HKH681364
	 	 	20060418	 	 	USD
	 	 	7,797.55	 	 	 	20060914	 
	SARA LEE HOSIERY

	 	HKH681370
	 	 	20060613	 	 	USD
	 	 	77,140.35	 	 	 	20060914	 
	SARA LEE HOSIERY

	 	HKH681368
	 	 	20060612	 	 	USD
	 	 	2,164.50	 	 	 	20060928	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689496
	 	 	20060410	 	 	USD
	 	 	60,255.51	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689497
	 	 	20060410	 	 	USD
	 	 	166,831.35	 	 	 	20060831	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689499
	 	 	20060410	 	 	USD
	 	 	211,935.60	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689500
	 	 	20060410	 	 	USD
	 	 	202,640.52	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689501
	 	 	20060410	 	 	USD
	 	 	664.91	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689502
	 	 	20060410	 	 	USD
	 	 	184.79	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689503
	 	 	20060411	 	 	USD
	 	 	23,633.75	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689504
	 	 	20060410	 	 	USD
	 	 	2,036.08	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689506
	 	 	20060410	 	 	USD
	 	 	40,541.52	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689507
	 	 	20060410	 	 	USD
	 	 	23,711.23	 	 	 	20060831	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689495
	 	 	20060410	 	 	USD
	 	 	4,741.95	 	 	 	20060902	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689508
	 	 	20060511	 	 	USD
	 	 	19,770.46	 	 	 	20060904	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689505
	 	 	20060410	 	 	USD
	 	 	189,189.43	 	 	 	20060928	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689518
	 	 	20060511	 	 	USD
	 	 	504,625.53	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689519
	 	 	20060511	 	 	USD
	 	 	25,782.45	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689520
	 	 	20060511	 	 	USD
	 	 	43,906.09	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689521
	 	 	20060511	 	 	USD
	 	 	7,558.64	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689509
	 	 	20060511	 	 	USD
	 	 	284,763.52	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689510
	 	 	20060511	 	 	USD
	 	 	3,996.89	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689511
	 	 	20060511	 	 	USD
	 	 	2,373.58	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689512
	 	 	20060511	 	 	USD
	 	 	267,122.25	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689513
	 	 	20060511	 	 	USD
	 	 	348,147.31	 	 	 	20060930	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689514
	 	 	20060511	 	 	USD
	 	 	7,779.92	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689515
	 	 	20060511	 	 	USD
	 	 	12,400.78	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689516
	 	 	20060511	 	 	USD
	 	 	55,319.23	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689517
	 	 	20060511	 	 	USD
	 	 	3,303.39	 	 	 	20060930	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689522
	 	 	20060612	 	 	USD
	 	 	521,741.93	 	 	 	20061002	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689523
	 	 	20060612	 	 	USD
	 	 	14,607.69	 	 	 	20061002	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689534
	 	 	20060612	 	 	USD
	 	 	303,450.80	 	 	 	20061002	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689537
	 	 	20060707	 	 	USD
	 	 	100,709.28	 	 	 	20061025	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689554
	 	 	20060711	 	 	USD
	 	 	185,890.69	 	 	 	20061026	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689539
	 	 	20060711	 	 	USD
	 	 	36,404.58	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689540
	 	 	20060711	 	 	USD
	 	 	973,509.16	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689541
	 	 	20060711	 	 	USD
	 	 	305,174.16	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689542
	 	 	20060711	 	 	USD
	 	 	8,343.00	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689543
	 	 	20060814	 	 	USD
	 	 	58,241.56	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689544
	 	 	20060711	 	 	USD
	 	 	3,950,148.22	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689545
	 	 	20060711	 	 	USD
	 	 	1,208,184.03	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689546
	 	 	20060711	 	 	USD
	 	 	52,261.79	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689547
	 	 	20060711	 	 	USD
	 	 	1,263,968.09	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689548
	 	 	20060711	 	 	USD
	 	 	1,598,046.07	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689549
	 	 	20060711	 	 	USD
	 	 	82,038.49	 	 	 	20061030	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689550
	 	 	20060711	 	 	USD
	 	 	411,097.06	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689551
	 	 	20060711	 	 	USD
	 	 	596,514.21	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689552
	 	 	20060711	 	 	USD
	 	 	295,685.35	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689553
	 	 	20060711	 	 	USD
	 	 	559,054.25	 	 	 	20061030	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689529
	 	 	20060612	 	 	USD
	 	 	61,099.06	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689524
	 	 	20060612	 	 	USD
	 	 	81,082.84	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689525
	 	 	20060612	 	 	USD
	 	 	828,630.00	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689526
	 	 	20060612	 	 	USD
	 	 	24,102.00	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689527
	 	 	20060612	 	 	USD
	 	 	1,950,309.96	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689528
	 	 	20060612	 	 	USD
	 	 	799,577.19	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689536
	 	 	20060612	 	 	USD
	 	 	16,974.36	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689530
	 	 	20060612	 	 	USD
	 	 	235,981.69	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689531
	 	 	20060612	 	 	USD
	 	 	439,687.27	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689532
	 	 	20060612	 	 	USD
	 	 	60,821.09	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689533
	 	 	20060612	 	 	USD
	 	 	319,956.32	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689538
	 	 	20060612	 	 	USD
	 	 	299,074.77	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689535
	 	 	20060612	 	 	USD
	 	 	246,933.53	 	 	 	20061102	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689569
	 	 	20060809	 	 	USD
	 	 	454,894.72	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689555
	 	 	20060809	 	 	USD
	 	 	154,258.18	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689556
	 	 	20060809	 	 	USD
	 	 	115,367.75	 	 	 	20061204	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689557
	 	 	20060810	 	 	USD
	 	 	56,641.18	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689558
	 	 	20060809	 	 	USD
	 	 	1,242,315.96	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689559
	 	 	20060809	 	 	USD
	 	 	1,632,435.40	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689560
	 	 	20060809	 	 	USD
	 	 	161,858.40	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689561
	 	 	20060809	 	 	USD
	 	 	237,720.13	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689562
	 	 	20060809	 	 	USD
	 	 	464,936.85	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689563
	 	 	20060809	 	 	USD
	 	 	18,490.56	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689564
	 	 	20060809	 	 	USD
	 	 	1,032,667.99	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689565
	 	 	20060809	 	 	USD
	 	 	495,260.46	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689566
	 	 	20060809	 	 	USD
	 	 	379,632.52	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689567
	 	 	20060809	 	 	USD
	 	 	52,060.32	 	 	 	20061204	 
	SARA LEE INTIMATES AND HOSIERY

	 	HKH689568
	 	 	20060809	 	 	USD
	 	 	109,701.18	 	 	 	20061204	 
	SARA LEE UNDERWEAR

	 	HKH682031
	 	 	20060719	 	 	USD
	 	 	33,623.84	 	 	 	20060827	 
	SARA LEE UNDERWEAR

	 	HKH682029
	 	 	20060719	 	 	USD
	 	 	1,650.49	 	 	 	20060827	 
	SARA LEE UNDERWEAR

	 	HKH681954
	 	 	20060510	 	 	USD
	 	 	406,784.52	 	 	 	20060827	 
	SARA LEE UNDERWEAR

	 	HKH681965
	 	 	20060522	 	 	USD
	 	 	52,600.80	 	 	 	20060830	 
	SARA LEE UNDERWEAR

	 	HKH681938
	 	 	20060427	 	 	USD
	 	 	58,765.58	 	 	 	20060830	 
	SARA LEE UNDERWEAR

	 	HKH682014
	 	 	20060626	 	 	USD
	 	 	15,965.91	 	 	 	20060831	 
	SARA LEE UNDERWEAR

	 	HKH681994
	 	 	20060613	 	 	USD
	 	 	27,903.75	 	 	 	20060904	 
	SARA LEE UNDERWEAR

	 	HKH681976
	 	 	20060602	 	 	USD
	 	 	660,541.27	 	 	 	20060905	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE UNDERWEAR

	 	HKH682053
	 	 	20060807	 	 	USD
	 	 	136,223.93	 	 	 	20060907	 
	SARA LEE UNDERWEAR

	 	HKH681988
	 	 	20060613	 	 	USD
	 	 	545,081.24	 	 	 	20060909	 
	SARA LEE UNDERWEAR

	 	HKH681987
	 	 	20060613	 	 	USD
	 	 	131,056.14	 	 	 	20060909	 
	SARA LEE UNDERWEAR

	 	HKH682001
	 	 	20060711	 	 	USD
	 	 	54,652.72	 	 	 	20060909	 
	SARA LEE UNDERWEAR

	 	HKH682074
	 	 	20060815	 	 	USD
	 	 	73,812.10	 	 	 	20060910	 
	SARA LEE UNDERWEAR

	 	HKH682073
	 	 	20060815	 	 	USD
	 	 	90,762.05	 	 	 	20060910	 
	SARA LEE UNDERWEAR

	 	HKH682043
	 	 	20060719	 	 	USD
	 	 	59,317.30	 	 	 	20060913	 
	SARA LEE UNDERWEAR

	 	HKH682008
	 	 	20060623	 	 	USD
	 	 	187,445.80	 	 	 	20060913	 
	SARA LEE UNDERWEAR

	 	HKH682011
	 	 	20060623	 	 	USD
	 	 	44,414.98	 	 	 	20060913	 
	SARA LEE UNDERWEAR

	 	HKH681993
	 	 	20060613	 	 	USD
	 	 	16,240.80	 	 	 	20060913	 
	SARA LEE UNDERWEAR

	 	HKH682013
	 	 	20060623	 	 	USD
	 	 	241,568.57	 	 	 	20060913	 
	SARA LEE UNDERWEAR

	 	HKH682006
	 	 	20060623	 	 	USD
	 	 	40,937.46	 	 	 	20060914	 
	SARA LEE UNDERWEAR

	 	HKH681983
	 	 	20060605	 	 	USD
	 	 	36,125.68	 	 	 	20060916	 
	SARA LEE UNDERWEAR

	 	HKH682032
	 	 	20060719	 	 	USD
	 	 	162,197.87	 	 	 	20060917	 
	SARA LEE UNDERWEAR

	 	HKH682065
	 	 	20060814	 	 	USD
	 	 	87,300.99	 	 	 	20060917	 
	SARA LEE UNDERWEAR

	 	HKH681997
	 	 	20060619	 	 	USD
	 	 	127,664.00	 	 	 	20060919	 
	SARA LEE UNDERWEAR

	 	HKH682066
	 	 	20060814	 	 	USD
	 	 	346,212.48	 	 	 	20060924	 
	SARA LEE UNDERWEAR

	 	HKH681996
	 	 	20060613	 	 	USD
	 	 	74,294.39	 	 	 	20060924	 
	SARA LEE UNDERWEAR

	 	HKH682067
	 	 	20060814	 	 	USD
	 	 	184,689.36	 	 	 	20060924	 
	SARA LEE UNDERWEAR

	 	HKH681992
	 	 	20060613	 	 	USD
	 	 	243,607.93	 	 	 	20060925	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE UNDERWEAR

	 	HKH682035
	 	 	20060719	 	 	USD
	 	 	355,747.25	 	 	 	20060925	 
	SARA LEE UNDERWEAR

	 	HKH681961
	 	 	20060522	 	 	USD
	 	 	311,080.00	 	 	 	20060926	 
	SARA LEE UNDERWEAR

	 	HKH682012
	 	 	20060623	 	 	USD
	 	 	36,790.87	 	 	 	20060927	 
	SARA LEE UNDERWEAR

	 	HKH682039
	 	 	20060719	 	 	USD
	 	 	240,876.15	 	 	 	20060930	 
	SARA LEE UNDERWEAR

	 	HKH682062
	 	 	20060809	 	 	USD
	 	 	68,882.00	 	 	 	20060930	 
	SARA LEE UNDERWEAR

	 	HKH682077
	 	 	20060821	 	 	USD
	 	 	100,713.98	 	 	 	20061001	 
	SARA LEE UNDERWEAR

	 	HKH682076
	 	 	20060821	 	 	USD
	 	 	105,420.67	 	 	 	20061001	 
	SARA LEE UNDERWEAR

	 	HKH682078
	 	 	20060821	 	 	USD
	 	 	57,155.90	 	 	 	20061001	 
	SARA LEE UNDERWEAR

	 	HKH682093
	 	 	20060831	 	 	USD
	 	 	119,388.96	 	 	 	20061008	 
	SARA LEE UNDERWEAR

	 	HKH682094
	 	 	20060831	 	 	USD
	 	 	123,075.65	 	 	 	20061008	 
	SARA LEE UNDERWEAR

	 	HKH682034
	 	 	20060719	 	 	USD
	 	 	277,783.13	 	 	 	20061010	 
	SARA LEE UNDERWEAR

	 	HKH682018
	 	 	20060703	 	 	USD
	 	 	65,513.45	 	 	 	20061010	 
	SARA LEE UNDERWEAR

	 	HKH682042
	 	 	20060719	 	 	USD
	 	 	389,891.61	 	 	 	20061011	 
	SARA LEE UNDERWEAR

	 	HKH682070
	 	 	20060815	 	 	USD
	 	 	248,434.55	 	 	 	20061011	 
	SARA LEE UNDERWEAR

	 	HKH682057
	 	 	20060804	 	 	USD
	 	 	62,453.75	 	 	 	20061011	 
	SARA LEE UNDERWEAR

	 	HKH682037
	 	 	20060719	 	 	USD
	 	 	191,893.39	 	 	 	20061011	 
	SARA LEE UNDERWEAR

	 	HKH682055
	 	 	20060804	 	 	USD
	 	 	539,138.00	 	 	 	20061011	 
	SARA LEE UNDERWEAR

	 	HKH682040
	 	 	20060719	 	 	USD
	 	 	91,289.90	 	 	 	20061011	 
	SARA LEE UNDERWEAR

	 	HKH682060
	 	 	20060804	 	 	USD
	 	 	378,578.30	 	 	 	20061011	 
	SARA LEE UNDERWEAR

	 	HKH682036
	 	 	20060719	 	 	USD
	 	 	49,025.40	 	 	 	20061011	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE UNDERWEAR

	 	HKH682051
	 	 	20060728	 	 	USD
	 	 	235,016.31	 	 	 	20061014	 
	SARA LEE UNDERWEAR

	 	HKH682019
	 	 	20060703	 	 	USD
	 	 	33,936.00	 	 	 	20061015	 
	SARA LEE UNDERWEAR

	 	HKH682007
	 	 	20060623	 	 	USD
	 	 	344,935.98	 	 	 	20061015	 
	SARA LEE UNDERWEAR

	 	HKH682026
	 	 	20060719	 	 	USD
	 	 	33,936.00	 	 	 	20061015	 
	SARA LEE UNDERWEAR

	 	HKH682085
	 	 	20060824	 	 	USD
	 	 	79,378.43	 	 	 	20061015	 
	SARA LEE UNDERWEAR

	 	HKH682010
	 	 	20060623	 	 	USD
	 	 	259,840.43	 	 	 	20061019	 
	SARA LEE UNDERWEAR

	 	HKH682095
	 	 	20060831	 	 	USD
	 	 	56,764.02	 	 	 	20061022	 
	SARA LEE UNDERWEAR

	 	HKH682052
	 	 	20060807	 	 	USD
	 	 	522,063.14	 	 	 	20061025	 
	SARA LEE UNDERWEAR

	 	HKH682041
	 	 	20060719	 	 	USD
	 	 	106,134.84	 	 	 	20061027	 
	SARA LEE UNDERWEAR

	 	HKH682023
	 	 	20060707	 	 	USD
	 	 	300,170.71	 	 	 	20061030	 
	SARA LEE UNDERWEAR

	 	HKH682021
	 	 	20060707	 	 	USD
	 	 	418,498.51	 	 	 	20061030	 
	SARA LEE UNDERWEAR

	 	HKH682020
	 	 	20060707	 	 	USD
	 	 	488,772.21	 	 	 	20061030	 
	SARA LEE UNDERWEAR

	 	HKH682027
	 	 	20060719	 	 	USD
	 	 	111,820.64	 	 	 	20061030	 
	SARA LEE UNDERWEAR

	 	HKH682024
	 	 	20060707	 	 	USD
	 	 	469,981.60	 	 	 	20061030	 
	SARA LEE UNDERWEAR

	 	HKH682033
	 	 	20060719	 	 	USD
	 	 	144,213.91	 	 	 	20061104	 
	SARA LEE UNDERWEAR

	 	HKH681803
	 	 	20051115	 	 	USD
	 	 	1,467.04	 	 	 	20061104	 
	SARA LEE UNDERWEAR

	 	HKH682069
	 	 	20060815	 	 	USD
	 	 	245,869.35	 	 	 	20061108	 
	SARA LEE UNDERWEAR

	 	HKH682091
	 	 	20060829	 	 	USD
	 	 	234,825.00	 	 	 	20061108	 
	SARA LEE UNDERWEAR

	 	HKH682081
	 	 	20060824	 	 	USD
	 	 	242,779.72	 	 	 	20061108	 
	SARA LEE UNDERWEAR

	 	HKH682068
	 	 	20060815	 	 	USD
	 	 	53,610.80	 	 	 	20061108	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE UNDERWEAR

	 	HKH682083
	 	 	20060824	 	 	USD
	 	 	418,792.82	 	 	 	20061108	 
	SARA LEE UNDERWEAR

	 	HKH682092
	 	 	20060829	 	 	USD
	 	 	6,590.25	 	 	 	20061111	 
	SARA LEE UNDERWEAR

	 	HKH682090
	 	 	20060829	 	 	USD
	 	 	351,609.89	 	 	 	20061111	 
	SARA LEE UNDERWEAR

	 	HKH682088
	 	 	20060829	 	 	USD
	 	 	553,908.60	 	 	 	20061111	 
	SARA LEE UNDERWEAR

	 	HKH682059
	 	 	20060804	 	 	USD
	 	 	46,413.54	 	 	 	20061114	 
	SARA LEE UNDERWEAR

	 	HKH682058
	 	 	20060804	 	 	USD
	 	 	119,360.97	 	 	 	20061114	 
	SARA LEE UNDERWEAR

	 	HKH682048
	 	 	20060728	 	 	USD
	 	 	385,076.16	 	 	 	20061114	 
	SARA LEE UNDERWEAR

	 	HKH682049
	 	 	20060728	 	 	USD
	 	 	453,635.36	 	 	 	20061114	 
	SARA LEE UNDERWEAR

	 	HKH682075
	 	 	20060821	 	 	USD
	 	 	468,416.05	 	 	 	20061115	 
	SARA LEE UNDERWEAR

	 	HKH682072
	 	 	20060815	 	 	USD
	 	 	366,772.92	 	 	 	20061115	 
	SARA LEE UNDERWEAR

	 	HKH682086
	 	 	20060824	 	 	USD
	 	 	27,955.14	 	 	 	20061115	 
	SARA LEE UNDERWEAR

	 	HKH682063
	 	 	20060809	 	 	USD
	 	 	10,049.00	 	 	 	20061115	 
	SARA LEE UNDERWEAR

	 	HKH682054
	 	 	20060804	 	 	USD
	 	 	325,453.41	 	 	 	20061116	 
	SARA LEE UNDERWEAR

	 	HKH682038
	 	 	20060719	 	 	USD
	 	 	201,776.29	 	 	 	20061118	 
	SARA LEE UNDERWEAR

	 	HKH682084
	 	 	20060824	 	 	USD
	 	 	550,937.63	 	 	 	20061119	 
	SARA LEE UNDERWEAR

	 	HKH682082
	 	 	20060824	 	 	USD
	 	 	223,011.64	 	 	 	20061125	 
	SARA LEE UNDERWEAR

	 	HKH682071
	 	 	20060815	 	 	USD
	 	 	318,683.28	 	 	 	20061126	 
	SARA LEE UNDERWEAR

	 	HKH682064
	 	 	20060809	 	 	USD
	 	 	30,722.38	 	 	 	20061126	 
	SARA LEE UNDERWEAR

	 	HKH682047
	 	 	20060728	 	 	USD
	 	 	688,626.16	 	 	 	20061130	 
	SARA LEE UNDERWEAR

	 	HKH682056
	 	 	20060804	 	 	USD
	 	 	210,188.07	 	 	 	20061203	 

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HSBC Bank	 	 	 	 	 	 	 	 
	Applicant Name	 	DC number	 	Issue date	 	DC outstanding amount	 	Expiry date
	SARA LEE UNDERWEAR

	 	HKH682096
	 	 	20060831	 	 	USD
	 	 	103,488.64	 	 	 	20061212	 
	SARA LEE UNDERWEAR

	 	HKH682089
	 	 	20060829	 	 	USD
	 	 	430,184.25	 	 	 	20061215	 
	SARA LEE UNDERWEAR

	 	HKH682044
	 	 	20060728	 	 	USD
	 	 	385,076.16	 	 	 	20061215	 
	SARA LEE UNDERWEAR

	 	HKH682045
	 	 	20060731	 	 	USD
	 	 	453,635.36	 	 	 	20061215	 
	SARA LEE UNDERWEAR

	 	HKH682098
	 	 	20060831	 	 	USD
	 	 	43,777.44	 	 	 	20061217	 
	SARA LEE UNDERWEAR

	 	HKH682080
	 	 	20060824	 	 	USD
	 	 	185,232.99	 	 	 	20061219	 
	SARA LEE UNDERWEAR

	 	HKH682087
	 	 	20060829	 	 	USD
	 	 	525,769.14	 	 	 	20061225	 
	SARA LEE UNDERWEAR

	 	HKH682046
	 	 	20060728	 	 	USD
	 	 	535,161.51	 	 	 	20061230	 
	SARA LEE UNDERWEAR

	 	HKH682097
	 	 	20060831	 	 	USD
	 	 	219,281.71	 	 	 	20061230	 
	SARA LEE UNDERWEAR

	 	HKH682050
	 	 	20060728	 	 	USD
	 	 	453,635.36	 	 	 	20061230	 
	SARA LEE UNDERWEAR

	 	HKH682079
	 	 	20060824	 	 	USD
	 	 	162,862.50	 	 	 	20070109	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	Beneficiary

	Hanesbrands Inc.

	 	 	 	 	20070701	 	 	USD
	 	 	5,000,000.00	 	 	National Union

Insurance

	JP Morgan
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	HBI JE Morgan

	 	628808
	 	 	20070630	 	 	USD
	 	 	700,000.00	 	 	Safety National

Casualty

	HBI JE Morgan

	 	635146
	 	 	20070631	 	 	USD
	 	 	3,000,000.00	 	 	Bureau of Workers

Comp

	National Textiles

	 	636174
	 	 	20070110	 	 	USD
	 	 	658,000.00	 	 	Royal Indemnity Co

	National Textiles

	 	635186
	 	 	20061130	 	 	USD
	 	 	2,650,000.00	 	 	Travelers Indemnity

Co

 

 

EXHIBIT A-1

[FORM OF] REVOLVING NOTE

			
	$                    
	 	[DATE]

     FOR VALUE RECEIVED, HANESBRANDS INC., a Maryland corporation (the “Borrower”),
promises to pay to the order of [Name of Lender] (the “Lender”) on the Stated Maturity Date
the principal sum of up to [                                        ] ($[                    ]) or, if less, the aggregate
unpaid principal amount of all Revolving Loans shown on the schedule attached hereto (and any
continuation thereof) made (or continued) by the Lender pursuant to that certain First Lien Credit
Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and restated or
otherwise modified from time to time, the “Credit Agreement”), among the Borrower, the
Lenders, HSBC Bank USA, National Association, LaSalle Bank National Association and Barclays Bank
PLC, as the Co-Documentation Agents, Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan
Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp USA, Inc., as the
Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead arrangers and joint
bookrunners (in such capacities, the “Lead Arrangers”). Terms used in this Revolving Note,
unless otherwise defined herein, have the meanings provided in the Credit Agreement.

     The Borrower also promises to pay interest on the unpaid principal amount hereof from time to
time outstanding from the date hereof until maturity (whether by acceleration or otherwise) and,
after maturity, until paid, at the rates per annum and on the dates specified in the Credit
Agreement.

     Payments of both principal and interest are to be made pursuant to the terms of the Credit
Agreement.

     This Revolving Note is one of the Revolving Notes referred to in, and evidences Indebtedness
incurred under, the Credit Agreement, to which reference is made for a description of the security
for this Revolving Note and for a statement of the terms and conditions on which the Borrower is
permitted and required to make prepayments and repayments of principal of the Indebtedness
evidenced by this Revolving Note and on which such Indebtedness may be declared to be immediately
due and payable.

     All parties hereto, to the extent permitted by applicable law, whether as makers, endorsers or
otherwise, severally waive presentment for payment, demand, protest and notice of dishonor.

Revolving Note (First Lien)

 

 

     THIS REVOLVING NOTE HAS BEEN DELIVERED IN NEW YORK, NEW YORK AND SHALL BE DEEMED TO BE A
CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH
PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).

	 	 	 	 	 
	 	HANESBRANDS INC.

 	 
	 	By:  	_________________________________
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

Revolving Note (First Lien)

-2-

 

REVOLVING LOANS AND PRINCIPAL PAYMENTS

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Amount of	 	 	 	 	 	 	Amount of Principal	 	 	Unpaid Principal	 	 	 	 	 	 	 	 
	 	 	Loan Made	 	 	 	 	 	 	Repaid	 	 	Balance	 	 	 	 	 	 	 	 
	 	 	Alternate	 	 	LIBO	 	 	Interest	 	 	Alternate	 	 	LIBO	 	 	Alternate	 	 	LIBO	 	 	 	 	 	 	Notation	 
	Date	 	Base Rate	 	 	Rate	 	 	Period	 	 	Base Rate	 	 	Rate	 	 	Base Rate	 	 	Rate	 	 	Total	 	 	Made By	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Revolving Note (First Lien)

 

 

EXHIBIT A-2

[FORM OF] FIRST LIEN TERM A NOTE

			
	 	 	 
	$                    
	 	[DATE]

     FOR VALUE RECEIVED, HANESBRANDS INC., a Maryland corporation (the “Borrower”),
promises to pay to the order of [NAME OF LENDER] (the “Lender”) on the Stated Maturity Date
the principal sum of                     DOLLARS ($                    ) or, if less, the aggregate unpaid
principal amount of all Term A Loans shown on the schedule attached hereto (and any continuation
thereof) made (or continued) by the Lender pursuant to that certain First Lien Credit Agreement,
dated as of September 5, 2006 (as amended, supplemented, amended and restated or otherwise modified
from time to time, the “Credit Agreement”), among the Borrower, the Lenders, HSBC Bank USA,
National Association, LaSalle Bank National Association and Barclays Bank PLC, as the
Co-Documentation Agents, Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley
Senior Funding, Inc., as the Co-Syndication Agents, Citicorp USA, Inc., as the Administrative
Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch Pierce, Fenner & Smith
Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead arrangers and joint
bookrunners (in such capacities, the “Lead Arrangers”). Terms used in this First Lien Term A Note,
unless otherwise defined herein, have the meanings provided in the Credit Agreement.

     The Borrower also promises to pay interest on the unpaid principal amount hereof from time to
time outstanding from the date hereof until maturity (whether by acceleration or otherwise) and,
after maturity, until paid, at the rates per annum and on the dates specified in the Credit
Agreement.

     Payments of both principal and interest are to be made pursuant to the terms of the Credit
Agreement.

     This First Lien Term A Note is one of the Term A Notes referred to in, and evidences
Indebtedness incurred under, the Credit Agreement, to which reference is made for a description of
the security for this First Lien Term A Note and for a statement of the terms and conditions on
which the Borrower is permitted and required to make prepayments and repayments of principal of the
Indebtedness evidenced by this First Lien Term A Note and on which such Indebtedness may be
declared to be immediately due and payable.

     All parties hereto, to the extent permitted by applicable law, whether as makers, endorsers,
or otherwise, severally waive presentment for payment, demand, protest and notice of dishonor.

Term A Note (First Lien)

 

 

     THIS FIRST LIEN TERM A NOTE HAS BEEN DELIVERED IN NEW YORK, NEW YORK AND SHALL BE DEEMED TO BE
A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR
SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).

	 	 	 	 	 	 	 
	 	 	HANESBRANDS INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

Term A Note (First Lien)

-2-

 

TERM A LOANS AND PRINCIPAL PAYMENTS

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Amount of Term A	 	 	 	 	 	 	Amount of Principal	 	 	Unpaid Principal	 	 	 	 	 	 	 	 
	 	 	Loan Made	 	 	 	 	 	 	Repaid	 	 	Balance	 	 	 	 	 	 	 	 
	 	 	Alternate	 	 	LIBO	 	 	Interest	 	 	Alternate	 	 	LIBO	 	 	Alternate	 	 	LIBO	 	 	 	 	 	 	Notation	 
	Date	 	Base Rate	 	 	Rate	 	 	Period	 	 	Base Rate	 	 	Rate	 	 	Base Rate	 	 	Rate	 	 	Total	 	 	Made By	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Term A Note (First Lien)

 

 

EXHIBIT A-3

[FORM OF] FIRST LIEN TERM B NOTE

			
	$                    
	 	[DATE]

     FOR VALUE RECEIVED, HANESBRANDS INC., a Maryland corporation (the “Borrower”),
promises to pay to the order of [NAME OF LENDER] (the “Lender”) on the Stated Maturity Date
the principal sum of                      DOLLARS ($                    ) or, if less, the aggregate unpaid
principal amount of all Term B Loans shown on the schedule attached hereto (and any continuation
thereof) made (or continued) by the Lender pursuant to that certain First Lien Credit Agreement,
dated as of September 5, 2006 (as amended, supplemented, amended and restated or otherwise modified
from time to time, the “Credit Agreement”), among the Borrower, the Lenders, HSBC Bank USA,
National Association, LaSalle Bank National Association and Barclays Bank PLC, as the
Co-Documentation Agents, Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley
Senior Funding, Inc., as the Co-Syndication Agents, Citicorp USA, Inc., as the Administrative
Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch Pierce, Fenner & Smith
Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead arrangers and joint
bookrunners (in such capacities, the “Lead Arrangers”). Terms used in this First Lien Term B Note,
unless otherwise defined herein, have the meanings provided in the Credit Agreement.

     The Borrower also promises to pay interest on the unpaid principal amount hereof from time to
time outstanding from the date hereof until maturity (whether by acceleration or otherwise) and,
after maturity, until paid, at the rates per annum and on the dates specified in the Credit
Agreement.

     Payments of both principal and interest are to be made pursuant to the terms of the Credit
Agreement.

     This First Lien Term B Note is one of the Term B Notes referred to in, and evidences
Indebtedness incurred under, the Credit Agreement, to which reference is made for a description of
the security for this First Lien Term B Note and for a statement of the terms and conditions on
which the Borrower is permitted and required to make prepayments and repayments of principal of the
Indebtedness evidenced by this First Lien Term B Note and on which such Indebtedness may be
declared to be immediately due and payable.

     All parties hereto, to the extent permitted by applicable law, whether as makers, endorsers,
or otherwise, severally waive presentment for payment, demand, protest and notice of dishonor.

 

 

     THIS FIRST LIEN TERM B NOTE HAS BEEN DELIVERED IN NEW YORK, NEW YORK AND SHALL BE DEEMED TO BE
A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR
SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).

	 	 	 	 	 	 	 
	 	 	HANESBRANDS INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

Term B Note (First Lien)

-2-

 

TERM B LOANS AND PRINCIPAL PAYMENTS

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Amount of Term B	 	 	 	 	 	 	Amount of Principal	 	 	Unpaid Principal	 	 	 	 	 	 	 	 
	 	 	Loan Made	 	 	 	 	 	 	Repaid	 	 	Balance	 	 	 	 	 	 	 	 
	 	 	Alternate	 	 	LIBO	 	 	Interest	 	 	Alternate	 	 	LIBO	 	 	Alternate	 	 	LIBO	 	 	 	 	 	 	Notation	 
	Date	 	Base Rate	 	 	Rate	 	 	Period	 	 	Base Rate	 	 	Rate	 	 	Base Rate	 	 	Rate	 	 	Total	 	 	Made By	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Term B Note (First Lien)

 

 

EXHIBIT A-4

[FORM OF] FIRST LIEN SWING LINE NOTE

			
	$                    
	 	[DATE]

     FOR VALUE RECEIVED, the undersigned, HANESBRANDS INC., a Maryland corporation (the
“Borrower”), promises to pay to the order of [NAME OF LENDER] (the “Lender”) on the
Stated Maturity Date for Swing Line Loans the principal sum of                      DOLLARS
($                    ) or, if less, the aggregate unpaid principal amount of all Swing Line Loans made by
the Lender pursuant to the First Lien Credit Agreement, dated as of September 5, 2006 (as amended,
supplemented, amended and restated, or otherwise modified from time to time, the “Credit
Agreement”), among the Borrower, the Lenders, HSBC Bank USA, National Association, LaSalle Bank
National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents,
Citicorp USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and
Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the
joint lead arrangers and joint bookrunners (in such capacities, the “Lead Arrangers”). Terms used
in this Swing Line Note, unless otherwise defined herein, have the meanings provided in the Credit
Agreement.

     The Borrower also promises to pay interest on the unpaid principal amount hereof from time to
time outstanding from the date hereof until maturity (whether by acceleration or otherwise) and,
after maturity, until paid, at the rates per annum and on the dates specified in the Credit
Agreement.

     Payments of both principal and interest are to be made pursuant to the terms of the Credit
Agreement.

     This Swing Line Note is the Swing Line Note referred to in, and evidences Indebtedness
incurred under, the Credit Agreement, to which reference is made for a description of the security
for this Swing Line Note and for a statement of the terms and conditions on which the Borrower is
permitted and required to make prepayments and repayments of principal of the Indebtedness
evidenced by this Swing Line Note and on which such Indebtedness may be declared to be immediately
due and payable.

     All parties hereto, to the extent permitted by applicable law, whether as makers, endorsers,
or otherwise, severally waive presentment for payment, demand, protest and notice of dishonor.

Swing Line Note (First Line)

 

 

     THIS SWING LINE NOTE HAS BEEN DELIVERED IN NEW YORK, NEW YORK AND SHALL BE DEEMED TO BE A
CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK.

	 	 	 	 	 	 	 
	 	 	HANESBRANDS INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

Swing Line Note (First Line)

	 	 	 	 	 

-2-

 

	 	 	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 

SWING LINE LOANS AND PRINCIPAL PAYMENTS

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Amount of Swing	 	 	Amount of Principal	 	 	Outstanding	 	 	 	 
	Date	 	Line Loan	 	 	Payment	 	 	Principal Balance	 	 	Notation Made By	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Swing Line Note (First Line)

-3-

 

EXHIBIT B-1

[FORM OF] BORROWING REQUEST

Citicorp USA, Inc.,

  as Administrative Agent

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

HANESBRANDS INC.

Ladies and Gentlemen:

     This Borrowing Request is delivered to you pursuant to Section 2.3 of the First Lien Credit
Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and restated or
otherwise modified from time to time, the “Credit Agreement”), among Hanesbrands Inc. (the
“Borrower”), the Lenders, HSBC Bank USA, National Association, LaSalle Bank National
Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp
USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead
arrangers and joint bookrunners (in such capacities, the “Lead Arrangers”). Terms used
herein, unless otherwise defined herein, have the meanings provided in the Credit Agreement.

     The Borrower hereby requests that a [Revolving Loan] [Term A Loan] [Term B Loan] [Swing Line
Loan] be made in the aggregate principal amount of [$                    ] [€                    ] on
                     ___, ___as a [Base Rate Loan] [LIBO Rate Loan having an Interest Period of ___
[months] [weeks]].

     The Borrower hereby acknowledges that, pursuant to Section 5.2.2 of the Credit Agreement, each
of the delivery of this Borrowing Request and the acceptance by the Borrower of the proceeds of the
Loans requested hereby constitutes a representation and warranty by the Borrower that, on the date
of the making of such Loans, and both before and after giving effect thereto, all statements set
forth in Section 5.2.1 of the Credit Agreement are true and correct.

     The Borrower agrees that if prior to the time of the Borrowing requested hereby any matter
certified to herein by it will not be true and correct to the extent set forth in Section 5.2.1 of
the Credit Agreement at such time as if then made, it will promptly so notify the Administrative
Agent. Except to the extent, if any, that prior to the time of the Borrowing

Borrowing Request (First Lien)

 

 

requested hereby the Administrative Agent shall receive written notice to the contrary from
the Borrower, each matter certified to herein shall be deemed once again to be certified as true
and correct to the extent set forth in Section 5.2.1 of the Credit Agreement at the date of such
Borrowing as if then made.

     Please wire transfer the proceeds of the Borrowing to the accounts of the following persons at
the financial institutions indicated respectively:

	 	 	 	 	 	 	 	 	 	 	 	 	 
		 	 	Person to be Paid	 	 	Name, Address, etc.	 
	Amount to be Transferred	 	 	Name	 	 	 	Account No.	 	 	 	Of Transferee Lender	 
	$                    
	 	 	                    	 	 	 	                    	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	 	 	Attention:                     
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	$                    
	 	 	                    	 	 	 	                    	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	 	 	Attention:                     
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	$                    
	 	 	                    	 	 	 	                    	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	 	 	Attention:                     
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Balance of such proceeds
	 	The Borrower	 	 	 	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	 	 	 	                                        	 
	 
	 	 	 	 	 	 	 	Attention:                     

Borrowing Request (First Lien)

-2-

 

     IN WITNESS WHEREOF, the Borrower has caused this Borrowing Request to be executed and
delivered, and the certifications and warranties contained herein to be made, by its duly
Authorized Officer, solely in such capacity and not as an individual,
this ___ day of
                    , ___.

	 	 	 	 	 	 	 
	 	 	HANESBRANDS INC.
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Borrowing Request (First Lien)

 

 

EXHIBIT B-2

[FORM OF] ISSUANCE REQUEST

Citicorp USA, Inc.,

  as the Administrative Agent

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

[HSBC,

  as the Issuer

Address

Attention:

Fax:

Phone:

Email:]

[NAME OF ANY ADDITIONAL ISSUER,

as an Issuer

Address

Attention:

Fax:

Phone:

Email:]

HANESBRANDS INC.

Ladies and Gentlemen:

     This Issuance Request is delivered to you pursuant to Section 2.6 of that certain First Lien
Credit Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and restated or
otherwise modified from time to time, the “Credit Agreement”), among Hanesbrands Inc. (the
“Borrower”), the Lenders, HSBC Bank USA, National Association, LaSalle Bank National
Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp
USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch
Pierce, Fenner & Smith Incorporated and Morgan

Issuance Request

 

 

Stanley Senior Funding, Inc., as the joint lead arrangers and joint bookrunners (in such
capacities, the “Lead Arrangers”). Terms used herein, unless otherwise defined herein, have the
meanings provided in the Credit Agreement.

     The Borrower hereby requests that on                      ___, ___ (the “Date of
Issuance”)1 [HSBC Bank USA, National Association] (the “Issuer”) [issue a
[Standby] [Commercial] Letter of Credit in the initial Stated Amount of $                     with a Stated
Expiry Date (as defined therein) of                      ___, ___] [extend the Stated Expiry
Date2, 3 (as defined under Letter of Credit No. ___, issued on                      ___, ___,
in the initial Stated Amount of $                    ) to a revised Stated Expiry Date (as defined therein)
of                      ___, ___].

     The beneficiary of the requested Letter of Credit will be                                         , and such
Letter of Credit will be in support of                                         .

     The Borrower hereby acknowledges that, pursuant to Section 5.2.2 of the Credit Agreement, each
of the delivery of this Issuance Request and the acceptance by the Borrower of the [issuance]
[extension] of the Letter of Credit requested hereby constitutes a representation and warranty by
the Borrower that, on the date of such [issuance] [extension], and both before and after giving
effect thereto, all statements set forth in Section 5.2.1 of the Credit Agreement are true and
correct in all material respects (unless stated to relate solely to an earlier date, in which case
such representations and warranties shall be true and correct in all material respects as of such
earlier date).

     The Borrower agrees that if prior to the time of the [issuance] [extension] of the Letter of
Credit requested hereby any matter certified to herein by it will not be true and correct in all
material respects at such time as if then made, it will promptly so notify the Administrative
Agent. Except to the extent, if any, that prior to the time of the [issuance] [extension] of the
Letter of Credit requested hereby the Administrative Agent shall receive written notice to the
contrary from the Borrower, each matter certified to herein shall be deemed once again to be
certified as true and correct in all material respects at the date of such [issuance] [extension]
as if then made.

 

			
	1	 	Insert date of Issuance Request which shall
be on or before 10:00 a.m. on a Business Day, not less than three nor more than
ten Business Days’ notice, in the case of an initial issuance of a Letter
of Credit and not less than three Business Days’ prior notice, in the
case of a request for the extension of the Stated Expiry Date of a Standby
Letter of Credit (in each case, unless a shorter notice period is agreed to by
the relevant Issuer, in its sole discretion)
	 
	2	 	Each Standby Letter of Credit shall by its
terms be stated to expire no later than the earlier to occur of (i) five
Business Days prior to the Revolving Loan Commitment Termination Date or (ii)
unless otherwise agreed to by the Issuer, in its sole discretion, one year from
the date of issuance (provided that each Standby Letter of Credit may, with the
consent of the Issuer in its sole discretion, provide for automatic renewals
for one year periods (which in no event shall extend beyond the Revolving Loan
Commitment Termination Date).
	 
	3	 	Each Commercial Letter of Credit shall by its
terms be stated to expire on a date no later than the earlier to occur of (i)
five Business Days prior to the Revolving Loan Commitment Termination Date or
(ii) unless otherwise agreed to by the Issuer, in its sole discretion, 180 days
from the date of its issuance.

Issuance Request

-2-

 

     IN WITNESS WHEREOF, the Borrower has caused this Issuance Request to be executed and
delivered, and the certifications and warranties contained herein to be made, by its duly
Authorized Officer, solely in such capacity and not as an individual, this ___ day of
                    , ___.

	 	 	 	 	 	 	 
	 	 	HANESBRANDS INC.
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Issuance Request

-3-

 

EXHIBIT C

CONTINUATION/CONVERSION NOTICE

Citicorp USA, Inc.,

  as Administrative Agent

2 Penns Way

Suite 100

New Castle, DE 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

HANESBRANDS INC.

Ladies and Gentlemen:

     This Continuation/Conversion Notice is delivered to you pursuant to Section 2.4 of the First
Lien Credit Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Credit Agreement”), among
Hanesbrands Inc., a Maryland corporation (the “Borrower”), the Lenders, HSBC Bank USA,
National Association, LaSalle Bank National Association and Barclays Bank PLC, as the
Co-Documentation Agents, Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley
Senior Funding, Inc., as the Co-Syndication Agents, Citicorp USA, Inc., as the Administrative
Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch Pierce, Fenner & Smith
Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead arrangers and joint
bookrunners (in such capacities, the “Lead Arrangers”). Terms used herein, unless
otherwise defined herein, have the meanings provided in the Credit Agreement.

     The Borrower hereby requests that on                      ___, ___1,

     (1) $                     2 of the presently outstanding principal amount of the [Revolving
Loans] [Term A Loans] [Term B Loans] originally made on                      ___, ___, presently being
maintained as [Base Rate Loans] [LIBO Rate Loans],

 

			
	1	 	Insert date of Continuation/Conversion Notice
which shall be on or before 10:00 a.m. on a Business Day (i) and not less than
three nor more than five Business Days’ notice, (A) to convert any Base
Rate Loan into one or more LIBO Rate Loans denominated in Dollars or (B) before
the last day of the then current Interest Period with respect thereto, to
continue any LIBO Rate Loan denominated in Dollars as a LIBO Rate Loan so
denominated; and (ii) on not less than five nor more than ten Business
Days’ notice before the last day of the then current Interest Period with
respect thereto, to convert or continue any LIBO Rate Loan denominated in Euros
as a LIBO Rate Loan denominated in Euros; provided  that in the absence
of prior notice as required above (which notice may be delivered telephonically
followed by written confirmation within 24 hours thereafter by delivery of a
Continuation/Conversion Notice), with respect to any LIBO Rate Loan denominated
in Dollars at least three Business Days (or, with respect to any LIBO Rate Loan
denominated in Euros, at least five Business Days) before the last day of the
then current Interest Period with respect thereto, such LIBO Rate Loan shall,
on such last day, automatically convert to a Base Rate Loan.
	 
	2	 	Minimum of $1,000,000 and integral multiples of $1,000,000.

Continuation/Conversion Notice (First Lien)

 

 

     (2) be [converted into] [continued as],

     (3) [LIBO Rate Loans having an Interest Period of ___ [ weeks] [months]]3 [Base
Rate Loans].

     [The undersigned hereby certifies that no Event of Default has occurred and is continuing on
the date of the proposed [conversion] [continuation]]4

 

			
	3	 	Insert appropriate interest rate option and,
if applicable, the number of weeks (one or two) if available, or months (one,
two, three or six, or if available nine or twelve) with respect to LIBO Rate
Loans.
	 
	4	 	Insert this sentence only in the event of a
conversion from a Base Rate Loan to a LIBO Rate Loan or a continuation of a
LIBO Rate Loan.

Continuation/Conversion Notice (First Lien)

-2-

 

     IN WITNESS WHEREOF, the Borrower has caused this Continuation/Conversion Notice to be executed
and delivered by its duly Authorized Officer, solely in such capacity and not as an individual,
this ___ day of                     , ___.

	 	 	 	 	 	 	 
	 	 	HANESBRANDS INC.
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Continuation/Conversion Notice (First Lien)

-3-

 

EXHIBIT D

[FORM OF] LENDER ASSIGNMENT AGREEMENT

                     ___, _____

			
	To:	 	HANESBRANDS INC.,

as the Borrower

1000 East Hanes Mill Rd

Winston Salem, NC 27105

Attn: General Counsel

			
		 	CITICORP USA, INC.,

as the Administrative Agent

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

HANESBRANDS INC.

Gentlemen and Ladies:

     This Lender Assignment Agreement (this “Assignment and Acceptance”) is dated as of the
Effective Date set forth below and is entered into by and between [Insert name of Assignor] (the
“Assignor”) and [Insert name of Assignee] (the “Assignee”). Capitalized terms used
but not defined herein shall have the meanings given to them in the Credit Agreement identified
below, receipt of a copy of which is hereby acknowledged by the Assignee. The Standard Terms and
Conditions set forth in Annex 1 attached hereto (the “Standard Terms and
Conditions”) are hereby agreed to be incorporated herein by reference and made a part of this
Assignment and Acceptance.

     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 (as defined below) as contemplated below (i)
all of the Assignor’s rights, benefits, obligations, liabilities and indemnities in its capacity as
a Lender under (and in connection with) the Credit Agreement and any other Loan Documents 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
without limitation any Letter of Credit Outstandings and Swing Line Loans) and (ii) to the extent
permitted to be assigned under applicable law, all claims, suits, causes of

Lender Assignment Agreement (First Lien)

1

 

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, the other Loan
Documents or in any way based on or related to any of the foregoing, including, but not limited to,
contract claims, tort claims, malpractice claims, statutory claims and all other claims at law or
in equity related to the rights and obligations sold and assigned pursuant to clause (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 Acceptance,
without representation or warranty by the Assignor.

     This Assignment and Acceptance shall be effective as of the Effective Date [upon the written
consent of the Administrative
Agent]1 [, each Issuer, the Swing Line Lender]2
[and the Borrower (as defined below); provided that the Borrower shall be deemed to have
given its consent seven Business Days after the date notice thereof has been delivered by the
Assignor (through the Administrative Agent) to the Borrower, unless such consent is expressly
refused by the Borrower prior to such seventh Business
Day]3 being subscribed in the
space indicated below.

	 	 	 	 	 
	1.

	 	Assignor:	 	 
	 

	 	 	 	 
	 

	 	 	 	 
	2.

	 	Assignee:	 	 
	 

	 	 	 	 
	 

	 	 	 	[and is an Affiliate/Approved
Fund of [identify Lender]4]
	 

	 	 	 	 
	3.

	 	Borrower:
	 	HANESBRANDS INC. (the “Borrower”)
	 

	 	 	 	 
	4.

	 	Administrative Agent:
	 	CITICORP USA, INC., as the administrative agent under the Credit
Agreement (the “Administrative Agent”)
	 

	 	 	 	 
	5.

	 	Credit Agreement:
	 	The First Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from
time to time, the “Credit Agreement”), among the Borrower, the Lenders,
HSBC Bank USA, National Association, LaSalle Bank National Association
and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding,
Inc., as the Co-Syndication Agents, Citicorp USA, Inc., as the
Administrative Agent, Citibank, N.A., as the Collateral Agent, and
Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley

 

			
	1	 	Administrative Agent consent required for
assignments (i) to an Eligible Assignee that is not a Lender, an Approved Fund
or an Affiliate of a Lender and (ii) pursuant to clause (a)(i) of Section 10.11
of the Credit Agreement.
	 
	2	 	Consent of each Issuer and the Swing Line
Lender is required for assignments of Revolving Loan Commitments to an Eligible
Assignee that is not a Lender, an Approved Fund or an Affiliate of a Lender.
	 
	3	 	Borrower consent required (i) pursuant to
clause (a)(i) of Section 10.11 of the Credit Agreement and (ii) so long as no
Event of Default has occurred and is continuing, for assignments of Revolving
Loan Commitments, Revolving Loans and Term A Loans to an Eligible Assignee that
is not a Lender, an Approved Fund or an Affiliate of a Lender.
	 
	4	 	Select as applicable.

Lender Assignment Agreement (First Lien)

2

 

	 	 	 	 	 
	

	 	
	 	Senior Funding, Inc., as the joint lead arrangers and joint

bookrunners (in such capacities, the “Lead Arrangers”).

	6.	 	Assigned Interest:

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Aggregate Amount of	 	 	Amount of	 	 	Percentage	 
	 	 	Commitment/Loans	 	 	Commitment/Loans	 	 	Assigned of	 
	Facility Assigned	 	for all Lenders	 	 	Assigned	 	 	Commitment/Loans	 
	[Revolving Loan
Commitment/Revolving
Loans]
	 	$	 	 	 	$	 	 	 	 	%	 
	[Term A Loan]
	 	$	 	 	 	$	 	 	 	 	%	 
	[Term B Loan]
	 	$	 	 	 	$	 	 	 	 	%	 

			
	 	 	 
	Effective Date:
	 	[MONTH] ___, 20___

Lender Assignment Agreement (First Lien)

3

 

     The terms set forth in this Assignment and Acceptance are hereby agreed to as of the Effective
Date:

	 	 	 	 	 
	 	ASSIGNOR

[NAME OF ASSIGNOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	ASSIGNEE

[NAME OF ASSIGNEE]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

Lender Assignment Agreement (First Lien)

4

 

[Consented to and] Accepted:

CITICORP USA, INC.,

as the Administrative Agent [and the Swing Line Lender]

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Name:
	 	 
	 

	 	Title:	 	 

[Consented to:

HANESBRANDS INC.,

as the Borrower

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Name:
	 	 
	 

	 	Title:]	 	 

[Consented to:

HSBC Bank USA, National Association,

as an Issuer

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Name:
	 	 
	 

	 	Title:	 	 

[NAME OF ANY ADDITIONAL ISSUER],

as an Issuer

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Name:
	 	 
	 

	 	Title:]	 	 

Lender Assignment Agreement (First Lien)

5

 

ANNEX 1

STANDARD TERMS AND CONDITIONS FOR

ASSIGNMENT AND ACCEPTANCE

          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 Acceptance and to consummate the
transactions contemplated hereby; and (b) except as provided in clause (a) above, 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 Borrower or any of its Subsidiaries or Affiliates
or any other Person obligated in respect of any Loan Document or (iv) the performance or observance
by the Borrower or any of its 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
Acceptance and to consummate the transactions contemplated hereby and to become a Lender under the
Credit Agreement, (ii) it is an Eligible Assignee under the Credit Agreement (subject to receipt of
such consents as may be required under the Credit Agreement), (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 5.1.6 or 7.1.1 thereof, as applicable, 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 Acceptance 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 Non-U.S. Lender, attached to this
Assignment and Acceptance 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 Collateral 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.

          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

Lender Assignment Agreement (First Lien)

6

 

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 Acceptance shall be binding upon, and
inure to the benefit of, the parties hereto and their respective successors and assigns. This
Assignment and Acceptance 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 Acceptance by telecopy or facsimile (or other electronic) transmission shall be
effective as delivery of a manually executed counterpart of this Assignment and Acceptance. This
Assignment and Acceptance shall be deemed to be a contract made under, governed by, and construed
in accordance with, the laws of the State of New York (including for such purposes Sections 5-1401
and 5-1402 of the General Obligations Law of the State of New York) without regard to conflicts of
laws principles.

Lender Assignment Agreement (First Lien)

7

 

EXHIBIT E

COMPLIANCE CERTIFICATE (FIRST LIEN)

HANESBRANDS INC.

     This Compliance Certificate is delivered pursuant to clause (c) of Section 7.1.1 of the First
Lien Credit Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Credit Agreement”), among
Hanesbrands Inc. (the “Borrower”), the Lenders, HSBC Bank USA, National Association,
LaSalle Bank National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill
Lynch, Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the
Co-Syndication Agents, Citicorp USA, Inc., as the Administrative Agent, Citibank, N.A., as the
Collateral Agent, and Merrill Lynch, Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior
Funding, Inc., as the joint lead arrangers and joint bookrunners (in such capacities, the “Lead
Arrangers”). Terms used herein that are defined in the Credit Agreement, unless otherwise
defined herein, have the meanings provided (or incorporated by reference) in the Credit Agreement.

     The Borrower hereby certifies, represents and warrants as follows in respect of the period
(the “Computation Period”) commencing on                      ___, ___ and ending on                      ___, ___
(such latter date being the “Computation Date”) and with respect to the Computation Date:

          1. Defaults. As of the Computation Date, no Default had occurred and was continuing.
1

          2. Financial Covenants.

               a. Leverage Ratio. The Leverage Ratio on the Computation Date was                     , as
computed on Attachment 1 hereto. The maximum Leverage Ratio permitted pursuant to clause
(a) of Section 7.2.4 of the Credit Agreement on the Computation Date was                     .

               b. Interest Coverage Ratio. The Interest Coverage Ratio for the Computation Period
was                     , as computed on Attachment 2 hereto. The minimum Interest Coverage Ratio
permitted pursuant to clause (b) of Section 7.2.4 of the Credit Agreement for the Computation
Period was                     .

          3. 2[Excess Cash Flow: The Excess Cash Flow was $                    , as
computed on Attachment 3 hereto.] Such amount multiplied by the Applicable
Percentage (which is ___% based on the Leverage Ratio set forth above) is $                    . Such amount
minus the

 

			
	1	 	If a Default has occurred, specify the
details of such default and the action that the Borrower or other Obligor has
taken or proposes to take with respect thereto.
	 
	2	 	Use in the case of a Compliance Certificate
delivered concurrently with the financial information pursuant to clause (b) of
Section 7.1.1 of the Credit Agreement if applicable.

1

 

aggregate amount of all voluntary prepayments of Loans (but including Revolving Loans and Swing
Line Loans only to the extent there was a corresponding reduction of the Revolving Loan Commitment
Amount pursuant to Section 2.2.1 of the Credit Agreement) made during the Computation Period (which
was $                    ) is equal to $                    . As a result, 3[we are required to make a mandatory
prepayment in such amount] 4[we are not required to make a mandatory prepayment of
Excess Cash Flow]

          4. Subsidiaries: Except as set forth below, no Subsidiary has been formed or acquired
since the delivery of the last Compliance Certificate. The formation and/or acquisition of such
Subsidiary was in compliance with Section 7.1.8 of the Credit Agreement.

     [Insert names of any new entities.]

          5. Neither the Borrower nor any Obligor has changed its legal name or jurisdiction of
organization, during the Computation Period, except as indicated on Attachment 4 hereto.

 

			
	3	 	Use if amount is positive.
	 
	4	 	Use if amount is zero or less.

2

 

     IN WITNESS WHEREOF, the Borrower has caused this Compliance Certificate to be executed and
delivered, and the certification and warranties contained herein to be made, by the treasurer,
chief financial or accounting Authorized Officer of the Borrower, solely in such capacity and not
as an individual, as of ___, 200_.

	 	 	 	 	 	 	 
	 	 	HANESBRANDS INC.
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

3

 

Attachment 1

(to __/__/__ Compliance

Certificate)

LEVERAGE RATIO

on ___________

(the “Computation Date”)

Leverage Ratio:

	 	 	 	 	 	 	 
	1.	 	Total Debt: on the Computation Date, in each case exclusive
of intercompany Indebtedness between the Borrower and its
Subsidiaries and any Contingent Liability in respect of any of
the following, the outstanding principal amount of all
Indebtedness of the Borrower and its Subsidiaries (other than a
Receivables Subsidiary), comprised of:	 	 
	 

	 	 	 	 	 	 
	 

	 	(a)
	 	all obligations of such Person for borrowed
money or advances and all obligations of such
Person evidenced by bonds, debentures, notes or
similar instruments1
	 	$                    
	 

	 	 	 	 	 	 
	 

	 	(b)
	 	all monetary obligations, contingent or
otherwise, relative to the face amount of all
letters of credit, whether or not drawn, and
banker’s acceptances issued for the account of such
Person2
	 	$                    
	 

	 	 	 	 	 	 
	 

	 	(c)
	 	all Capitalized Lease Liabilities of such
Person
	 	$                    
	 

	 	 	 	 	 	 
	 

	 	(d)
	 	monetary obligations arising under
Synthetic Leases
	 	$                    
	 

	 	 	 	 	 	 
	 

	 	(e)
	 	TOTAL DEBT: The sum of Item 1(a) through 1(d)
	 	$                    
	 

	 	 	 	 	 	 
	2.	 	Net Income (the aggregate of all amounts which would be
included as net income on the consolidated financial statements
of the Borrower and its Subsidiaries for the Computation
Period)3	 	$                    
	 

	 	 	 	 	 	 
	3.	 	to the extent deducted in determining Net Income, amounts	 	 

 

			
	1	 	In the case of the Loans, this amount shall
be deemed to equal the Dollar Equivalent (determined as of the most recent
Revaluation Date) for any Loans denominated in Euros.
	 
	2	 	In the case of Letter of Credit
Outstandings, this amount shall be deemed to equal the Dollar Equivalent
(determined as of the most recent Revaluation Date) for any Letter of Credit
Outstandings denominated in Euros.
	 
	3	 	The calculation of Net Income shall not
include any net income of any Foreign Supply Chain Entity, except to the extent
cash is distributed by such Foreign Supply Chain Entity during such period to
the Borrower or any other Subsidiary as a dividend or other distribution.

1

 

	 	 	 	 	 
	 

	 	attributable to amortization (including amortization of
goodwill and other intangible assets)
	 	$                    
	 

	 	 	 	 
	4.

	 	to the extent deducted in determining Net Income, Federal, state, local
and foreign income withholding, franchise, state single business unitary
and similar Tax expense
	 	$                    
	 

	 	 	 	 
	5.

	 	to the extent deducted in determining Net Income, Interest Expense (the
aggregate interest expense (both, without duplication, when accrued or
paid and net of interest income paid during such period to the Borrower
and its Subsidiaries) of the Borrower and its Subsidiaries for such
applicable period, including the portion of any payments made in respect
of Capitalized Lease Liabilities allocable to interest expense)
	 	$                    
	 

	 	 	 	 
	6.

	 	to the extent deducted in determining Net Income, depreciation of assets
	 	$                    
	 

	 	 	 	 
	7.

	 	to the extent deducted in
determining Net Income, all non-cash charges, including all non-cash
charges associated with announced restructurings, whether announced previously or in the future
	 	$                    
	 

	 	 	 	 
	8.

	 	to the extent deducted in determining Net Income, net cash charges
associated with or related to any contemplated restructurings in an
aggregate amount not to exceed, in any Fiscal Year, the Permitted Cash
Restructuring Charge4 Amount for such Fiscal Year
	 	$                    
	 

	 	 	 	 
	9.

	 	to the extent deducted in determining Net Income, net cash restructuring
charges associated with or related to the Spin-Off in an aggregate amount
not to exceed, in any Fiscal Year, the Permitted Cash Spin-Off Charge
Amount for such Fiscal Year5
	 	$                    
	 

	 	 	 	 
	10.

	 	to the extent deducted in determining Net Income, all amounts in respect
of extraordinary losses
	 	$                    
	 

	 	 	 	 
	11.

	 	to the extent deducted in determining Net Income, non-cash compensation
expense, or other non-cash expenses or charges, arising from the sale of
stock, the granting of stock options, the granting of stock appreciation
rights and similar arrangements (including any repricing, amendment,
modification, substitution or change of any such stock, stock option,
stock appreciation rights or similar arrangements)
	 	$                    

 

			
	4	 	The Permitted Cash Restructuring Charge
Amount shall be $120,000,000 in the aggregate for the Fiscal Year 2006 and all
Fiscal Years ending after the Closing Date.
	 
	5	 	The Permitted Cash Spin-Off Charge Amount
for the Fiscal Year 2006 shall be $20,000,000 and for the Fiscal Year 2007
shall be $55,000,000.

2

 

	 	 	 	 	 
	12.

	 	to the extent included in determining Net Income, any financial advisory
fees, accounting fees, legal fees and other similar advisory and
consulting fees, cash charges in respect of strategic market reviews,
management bonuses and early retirement of Indebtedness, and related
out-of-pocket expenses incurred by the Borrower or any of its
Subsidiaries as a result of the Transaction, including fees and expenses
in connection with the issuance, redemption or exchange of the Bridge
Loans, all determined in accordance with GAAP	 	$                    
	 

	 	 	 	 
	13.

	 	to the extent included in determining Net Income, non-cash or unrealized
losses on agreements with respect to Hedging Obligations
	 	$                    
	 

	 	 	 	 
	14.

	 	to the extent included in determining Net Income and to the extent
non-recurring and not capitalized, any financial advisory fees,
accounting fees, legal fees and similar advisory and consulting fees and
related costs and expenses of the Borrower and its Subsidiaries incurred
as a result of Permitted Acquisitions, Investments, Dispositions
permitted under the Credit Agreement and the issuance of Capital
Securities or Indebtedness permitted under the Credit Agreement, all
determined in accordance with GAAP and in each case eliminating any
increase or decrease in income resulting from non-cash accounting
adjustments made in connection with the related Permitted Acquisition or
Dispositions
	 	$                    
	 

	 	 	 	 
	15.

	 	to the extent included in determining Net Income, and to the extent the
related loss in not added back pursuant to Item 21, all proceeds of
business interruption insurance policies
	 	$                    
	 

	 	 	 	 
	16.

	 	to the extent included in determining Net Income, expenses incurred by
the Borrower or any Subsidiary to the extent reimbursed in cash by a
third party	 	$                    
	 

	 	 	 	 
	17.

	 	to the extent included in determining Net Income, extraordinary, unusual
or non-recurring cash charges not to exceed $10,000,000 in any Fiscal Year
	 	$                    
	 

	 	 	 	 
	18.

	 	to the extent included in determining Net Income, all amounts in
respect of extraordinary gains or extraordinary losses
	 	$                    
	 

	 	 	 	 
	19.

	 	to the extent included in determining Net Income, non-cash gains on
agreements with respect to Hedging Obligations
	 	$                    
	 

	 	 	 	 
	20.

	 	to the extent included in determining Net Income, reversals (in whole
or in part) of any restructuring charges previously treated as Non-Cash
Restructuring Charges in any prior period
	 	$                    

3

 

	 	 	 	 	 
	21.

	 	to the extent included in determining Net Income,
non-cash items increasing such Net Income for such period,
other than (A) the accrual of revenue consistent with past
practice and (B) the reversal in such period of an accrual of,
or cash reserve for, cash expenses in a prior period, to the
extent such accrual or reserve did not increase EBITDA in a
prior period.
	 	$                    
	 

	 	 	 	 
	22.

	 	EBITDA6: The sum of Items 2
through 17 minus Items 18 through 21
	 	$                    
	 

	 	 	 	 
	23.

	 	LEVERAGE RATIO: ratio of Item 1 to Item 22
	 	:1

 

			
	6	 	For purposes of calculating the Leverage
Ratio with respect to the four consecutive Fiscal Quarter period ending (i)
nearest to December 31, 2006, EBITDA shall be actual EBITDA for the Fiscal
Quarter ending nearest to December 31, 2006 multiplied by four; (ii) nearest to
March 31, 2007, EBITDA shall be actual EBITDA for the two Fiscal Quarter period
ending nearest to March 31, 2007 multiplied by two; and (iii) nearest to June
30, 2007, EBITDA shall be actual EBITDA for the three Fiscal Quarter period
ending nearest to June 30, 2007 multiplied by one and one-third.

4

 

Attachment 2

(to __/__/__ Compliance

Certificate)

INTEREST COVERAGE RATIO

on ___________

(the “Computation Date”)

Interest Coverage Ratio:

	 	 	 	 	 
	1.

	 	EBITDA (see Item 22 of Attachment 1)
	 	$                    
	 

	 	 	 	 
	2.

	 	Interest Expense of the Borrower and its Subsidiaries (see
Item 5 of Attachment
1)1
	 	$                    
	 

	 	 	 	 
	3.

	 	INTEREST COVERAGE RATIO: ratio of Item 1 to Item 2
	 	:1

 

			
	1	 	For purposes of calculating Interest Expense
with respect to the calculation of the Interest Coverage Ratio with respect to
the four consecutive Fiscal Quarter period ending (i) nearest to December 31,
2006, Interest Expense shall be actual Interest Expense for the Fiscal Quarter
ending nearest to December 31, 2006 multiplied by four; (ii) nearest to March
31, 2007, Interest Expense shall be actual Interest Expense for the two Fiscal
Quarter period ending nearest to March 31, 2007 multiplied by two; and (iii)
nearest to June 30, 2007, Interest Expense shall be actual Interest Expense for
the three Fiscal Quarter period ending nearest to June 30, 2007 multiplied by
one and one-third.

 

 

Attachment 3

(to __/__/__ Compliance

Certificate)

EXCESS CASH FLOW1

on the Computation Date

	 	 	 	 	 
	1. EBITDA (see Item 22 of Attachment 1)
	 	$	                    	 
	 
	 	 	 	 
	2. Interest Expense actually paid in cash by the Borrower and its
Subsidiaries
	 	$	                    	 
	 
	 	 	 	 
	3. scheduled principal repayments with respect to the permanent
reduction of Indebtedness, to the extent actually made and
permitted to be made under the Credit Agreement
	 	$	                    	 
	 
	 	 	 	 
	4. all Federal, state, local and foreign income withholding,
franchise, state single business unitary and similar Taxes
actually paid in cash or payable (only to the extent related
to Taxes associated with such Fiscal Year) by the Borrower and
its Subsidiaries
	 	$	                    	 
	 
	 	 	 	 
	5. Capital Expenditures to the extent (x) actually made by the
Borrower and its Subsidiaries in such Fiscal Year or (y)
committed to be made by the Borrower and its Subsidiaries and
that are permitted to be carried forward to the next
succeeding Fiscal Year pursuant to Section 7.2.7 of the Credit
Agreement2
	 	$	                    	 
	 
	 	 	 	 
	6. the portion of the purchase price paid in cash with respect to
Permitted Acquisitions to the extent such Permitted
Acquisition was made in connection with the Borrower’s
offshore migration of its supply chain
	 	$	                    	 
	 
	 	 	 	 
	7. cash Investments permitted to be made in Foreign Supply Chain
Entities
	 	$	                    	 
	 
	 	 	 	 
	8. to the extent permitted to be included in the calculation of
EBITDA for such Fiscal Year, the amount of Cash Restructuring
Charges and Cash Spin-Off Charges actually so included in such
calculation
	 	$	                    	 
	 
	 	 	 	 
	9. without duplication to any amounts deducted in preceding Item 2
	 	 	 	 

 

			
	1	 	Use in the case of a Compliance Certificate
delivered concurrently with the financial information pursuant to clause (b) of
Section 7.1.1 of the Credit Agreement.
	 
	2	 	The amounts deducted from Excess Cash Flow
pursuant to clause (y) of Item 5 shall not thereafter be
deducted in the determination of Excess Cash Flow for the Fiscal Year during
which such payments were actually made.

 

 

	 	 	 	 	 
	through Item 8, all items added back to EBITDA pursuant to
clause (b) of the definition of EBITDA in the Credit Agreement
that represent amounts actually paid in cash
	 	$	                    	 
	 
	 	 	 	 
	10. The sum of Items 2 through 9
	 	$	                    	 
	 
	 	 	 	 
	11. EXCESS CASH FLOW: Item 1 less Item 10
	 	$	                    	 

2

 

Attachment 4

(to __/__/__ Compliance

Certificate)

CHANGE OF LEGAL NAME OR JURISDICTION OF INCORPORATION

	 	 	 	 	 
	 	 	New Legal Name or Jurisdiction of	 
	Name of Borrower or Other Obligor	 	Incorporation	 
	 
	 	 	 	 
	 
	 	 	 
	 
	 	 	 	 
	 
	 	 	 
	 
	 	 	 	 
	 
	 	 	 

 

 

EXHIBIT F

GUARANTY

     This GUARANTY (as amended, supplemented, amended and restated or otherwise modified from time
to time, this “Guaranty”), dated as of September 5, 2006, is made by HANESBRANDS INC., a
Maryland corporation (the “Borrower”) and each U.S. Subsidiary of the Borrower, from time
to time party to this Guaranty (each individually, a “Subsidiary Guarantor” and, together
with the Borrower, each individually, a “Guarantor” and collectively, the
“Guarantors”), in favor of CITICORP USA, INC., as administrative agent (together with its
successor(s) thereto in such capacity, the “Administrative Agent”) for each of the Secured
Parties (capitalized terms used herein have the meanings set forth in or incorporated by reference
in Article I).

W I T N E S S E T H:

     WHEREAS, pursuant to a First Lien Credit Agreement, dated as of September 5, 2006 (as amended,
supplemented, amended and restated or otherwise modified from time to time, the “Credit
Agreement”), among the Borrower, the Lenders, HSBC Bank USA, National Association, LaSalle Bank
National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents,
Citicorp USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and
Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the
joint lead arrangers and joint bookrunners (in such capacities, the “Lead Arrangers”), the
Lenders and Issuers have extended Commitments to make Credit Extensions to the Borrower; and

     WHEREAS, as a condition precedent to the making of the Credit Extensions under the Credit
Agreement, each Guarantor is required to execute and deliver this Guaranty;

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, each Guarantor agrees, for the benefit of each Secured Party, as follows:

ARTICLE I

DEFINITIONS

     SECTION 1.1. Certain Terms. The following terms (whether or not underscored) when
used in this Guaranty, including its preamble and recitals, shall have the following meanings (such
definitions to be equally applicable to the singular and plural forms thereof):

     “Administrative Agent” is defined in the preamble.

     “Borrower” is defined in the preamble.

     “Credit Agreement” is defined in the first recital.

Guaranty (First Lien)

 

 

Guaranty (First Lien)

     “Guarantor” and “Guarantors” are defined in the preamble.

     “Guaranty” is defined in the preamble.

     “Non-USD Currency” means a currency other than U.S. Dollars.

     “Secured Obligations” means, collectively, the Obligations, the Cash Management
Obligations and all Indebtedness of the Borrower and its Subsidiaries permitted under clause (n) of
Section 7.2.2 of the Credit Agreement owing to a Foreign Working Capital Lender.

     SECTION 1.2. Credit Agreement Definitions. Unless otherwise defined herein or the
context otherwise requires, terms used in this Guaranty, including its preamble and recitals, have
the meanings provided in the Credit Agreement.

ARTICLE II

GUARANTY PROVISIONS

     SECTION 2.1. Guaranty. Each Guarantor hereby jointly and severally absolutely,
unconditionally and irrevocably

     (a) guarantees the full and punctual payment when due, whether at stated maturity, by
required prepayment, declaration, acceleration, demand or otherwise, of all Secured
Obligations of the Borrower and its Subsidiaries now or hereafter existing, whether for
principal, interest (including interest accruing at the then applicable rate provided in the
Credit Agreement after the occurrence of any Event of Default set forth in Section 8.1.9 of
the Credit Agreement, whether or not a claim for post-filing or post-petition interest is
allowed under applicable law following the institution of a proceeding under bankruptcy,
insolvency or similar laws), fees, Reimbursement Obligations, expenses or otherwise
(including all such amounts which would become due but for the operation of the automatic
stay under Section 362(a) of the United States Bankruptcy Code, 11 U.S.C. §362(a), and the
operation of Sections 502(b) and 506(b) of the United States Bankruptcy Code, 11 U.S.C.
§502(b) and §506(b)); and

     (b) indemnifies and holds harmless each Secured Party for any and all costs and
reasonable out-of-pocket expenses (including reasonable attorneys’ fees) incurred by such
Secured Party in enforcing any rights under this Guaranty (in each case to the same extent
the Secured Parties are indemnified and held harmless pursuant to Sections 10.3 and
10.4 of the Credit Agreement);

provided, however, that each Guarantor shall only be liable under this Guaranty for
the maximum amount of such liability that can be hereby incurred without rendering this Guaranty,
as it relates to such Guarantor, voidable under applicable law relating to fraudulent conveyance or
fraudulent transfer, and not for any greater amount. This Guaranty constitutes a guaranty of
payment when due and not of collection, and each Guarantor specifically agrees that to the extent
permitted by applicable law it shall not be necessary or required that any Secured Party exercise
any right, assert any claim or demand or enforce any remedy whatsoever against the Borrower or

Guaranty
(First Lien)

2

 

any of its Subsidiaries or any other Person before or as a condition to the obligations of such
Guarantor hereunder.

     SECTION 2.2. Reinstatement, etc. Each Guarantor hereby jointly and severally agrees
that this Guaranty shall continue to be effective or be reinstated, as the case may be, if at any
time any payment (in whole or in part) of any of the Secured Obligations is invalidated, declared
to be fraudulent or preferential, set aside, rescinded or must otherwise be restored by any Secured
Party, including upon the occurrence of any Default set forth in Section 8.1.9 of the Credit
Agreement or otherwise, all as though such payment had not been made.

     SECTION 2.3. Guaranty Absolute, etc. To the extent permitted by applicable law, this
Guaranty shall in all respects be a continuing, absolute, unconditional and irrevocable guaranty of
payment, and shall remain in full force and effect until the Termination Date has occurred. Each
Guarantor jointly and severally guarantees that the Secured Obligations will be paid strictly in
accordance with the terms of each Loan Document or other applicable agreement under which they
arise, regardless of any law, regulation or order now or hereafter in effect in any jurisdiction
affecting any of such terms or the rights of any Secured Party with respect thereto. The liability
of each Guarantor under this Guaranty shall be joint and several, absolute, unconditional and
irrevocable to the extent permitted by applicable law irrespective of:

     (a) any lack of validity, legality or enforceability of any Loan Document or other
applicable agreement under which such Secured Obligations arise;

     (b) the failure of any Secured Party

     (i) to assert any claim or demand or to enforce any right or remedy against
the Borrower or any of its Subsidiaries or any other Person (including any other
guarantor) under the provisions of any Loan Document or other applicable agreement
under which such Secured Obligations arise or otherwise, or

     (ii) to exercise any right or remedy against any other guarantor (including
any Guarantor) of, or collateral securing, any Secured Obligations;

     (c) any change in the time, manner or place of payment of, or in any other term of,
all or any part of the Secured Obligations, or any other extension, compromise or renewal of
any Secured Obligation;

     (d) any reduction, limitation, impairment or termination of any Secured Obligations
for any reason (other than the occurrence of the Termination Date), including any claim of
waiver, release, surrender, alteration or compromise, and shall not be subject to (and each
Guarantor hereby waives to the extent permitted by law, any right to or claim of) any
defense or setoff, counterclaim, recoupment or termination whatsoever by reason of the
invalidity, illegality, nongenuineness, irregularity, compromise, unenforceability of, or
any other event or occurrence affecting, any Secured Obligations or otherwise (other than
the occurrence of the Termination Date);

Guaranty
(First Lien)

3

 

     (e) any amendment to, rescission, waiver, or other modification of, or any consent to
or departure from, any of the terms of any Loan Document or other applicable agreement under
which such Secured Obligations arise;

     (f) any addition, exchange or release of any collateral or of any Person that is (or
will become) a guarantor (including a Guarantor hereunder) of the Secured Obligations, or
any surrender or non-perfection of any collateral, or any amendment to or waiver or release
or addition to, or consent to or departure from, any other guaranty held by any Secured
Party securing any of the Secured Obligations;

     (g) any law, regulation, decree or order of any jurisdiction, or any other event,
affecting any term of any Secured Obligation or any Secured Party’s rights with respect
thereto, including (i) the application of any such law, regulation, decree or order,
including any prior approval, which would prevent the exchange of Non-USD Currency for
Dollars or the remittance of funds outside of such jurisdiction or the unavailability of
Dollars in any legal exchange market in such jurisdiction in accordance with normal
commercial practice, (ii) a declaration of banking moratorium or any suspension of payments
by banks in such jurisdiction or the imposition by such jurisdiction or any Governmental
Authority thereof of any moratorium on, the required rescheduling or restructuring of, or
required approval of payments on, any indebtedness in such jurisdiction, (iii) any
expropriation, confiscation, nationalization or requisition by such country or any
Governmental Authority that directly or indirectly deprives any Guarantor of any assets or
their use or of the ability to operate its business or a material part thereof, or (iv) any
war (whether or not declared), insurrection, revolution, hostile act, civil strife or
similar events occurring in such jurisdiction which has the same effect as the events
described in clause (i), (ii) or (iii) above (in each of the cases
contemplated in clauses (i) through (iv) above, to the extent occurring or
existing on or at any time after the date of this Guaranty); or

     (h) any other circumstance which might otherwise constitute a defense available to, or
a legal or equitable discharge of, the Borrower or any of its Subsidiaries, any surety or
any guarantor (other than payment or performance of the Secured Obligations, in each case in
full and, with respect to payments, in cash).

     SECTION 2.4. Setoff. Each Secured Party shall, upon the occurrence and during the
continuance of any Event of Default described in clauses (a) through (d) of
Section 8.1.9 of the Credit Agreement or, with the consent of the Required Lenders, upon
the occurrence and during the continuance of any other Event of Default, have the right to
appropriate and apply to the payment of the Secured Obligations owing to it (if then due and
payable), any and all balances, credits, deposits, accounts or moneys of such Guarantor then or
thereafter maintained with such Secured Party (other than payroll, trust or tax accounts);
provided that, any such appropriation and application shall be subject to the provisions of
Section 4.8 of the Credit Agreement. Each Secured Party agrees promptly to notify the applicable
Guarantor and the Administrative Agent after any such appropriation and application made by such
Secured Party; provided that, the failure to give such notice shall not affect the validity
of such setoff and application. The rights of each Secured Party under this Section are in
addition to other rights and remedies (including other rights of setoff under applicable law or
otherwise) which such Secured Party may have.

Guaranty
(First Lien)

4

 

     SECTION 2.5. Waiver, etc. Each Guarantor hereby waives, to the extent permitted by
law, promptness, diligence, notice of acceptance and any other notice with respect to any of the
Secured Obligations and this Guaranty and any requirement that any Secured Party protect, secure,
perfect or insure any Lien, or any property subject thereto, or exhaust any right or take any
action against the Borrower or any of its Subsidiaries or any other Person (including any other
guarantor) or entity or any collateral securing the Secured Obligations, as the case may be.

     SECTION 2.6. Postponement of Subrogation, etc. Each Guarantor agrees that it will,
to the extent permitted by law, not exercise any rights which it may acquire by way of rights of
subrogation under any Loan Document or other applicable agreement under which such Secured
Obligations arise to which it is a party, nor shall any Guarantor seek any contribution or
reimbursement from the Borrower or any of its Subsidiaries in respect of any payment made under any
Loan Document or other applicable agreement under which such Secured Obligations arise or
otherwise, until following the Termination Date. Any amount paid to any Guarantor on account of
any such subrogation rights prior to the Termination Date shall be held in trust for the benefit of
the Secured Parties and shall immediately be paid and turned over to the Administrative Agent for
the benefit of the Secured Parties in the exact form received by such Guarantor (duly endorsed in
favor of the Administrative Agent, if required), to be credited and applied against the outstanding
Secured Obligations, in accordance with Section 2.7; provided, however,
that if any Guarantor has made payment to the Secured Parties of all or any part of the Secured
Obligations and the Termination Date has occurred, then at such Guarantor’s request, the
Administrative Agent (on behalf of the Secured Parties) will, at the expense of such Guarantor,
execute and deliver to such Guarantor appropriate documents (without recourse and without
representation or warranty) necessary to evidence the transfer by subrogation to such Guarantor of
an interest in the Secured Obligations resulting from such payment. In furtherance of the
foregoing, at all times prior to the Termination Date, each Guarantor shall refrain from taking any
action or commencing any proceeding against the Borrower or any of its Subsidiaries (or its
successors or assigns, whether in connection with a bankruptcy proceeding or otherwise) to recover
any amounts in respect of payments made under this Guaranty to any Secured Party other than as
required by applicable law to preserve such rights.

     SECTION 2.7. Payments; Application. Each Guarantor hereby agrees with each Secured
Party as follows to the extent permitted by applicable law:

     (a) Each Guarantor agrees that all payments made by such Guarantor hereunder will be
made in the applicable Currency to the Administrative Agent, without set-off, counterclaim
or other defense (other than the defense of payment or performance) and in accordance with
Sections 4.6 and 4.7 of the Credit Agreement, free and clear of and without deduction for
any Taxes, each Guarantor hereby agreeing to comply with and be bound by the provisions of
Sections 4.6 and 4.7 of the Credit Agreement in respect of all payments made by it hereunder
and the provisions of which Sections are hereby incorporated into and made a part of this
Guaranty by this reference as if set forth herein; provided, that references to the
“Borrower” in such Sections shall also be deemed to be references to each Subsidiary
Guarantor, and references to “this Agreement” in such Sections shall be deemed to be
references to this Guaranty.

Guaranty
(First Lien)

5

 

     (b) All payments made hereunder shall be applied upon receipt as set forth in Section
4.7 of the Credit Agreement.

     SECTION 2.8. Place and Currency of Payment. If any Secured Obligation is payable in
Dollars, such Guarantor will make payment hereunder to the Administrative Agent in Dollars at 399
Park Avenue, New York, New York. If any Secured Obligation is payable in a Non-USD Currency and/or
at a place other than the United States, and such payment is not made as and when agreed, such
Guarantor will, at the Administrative Agent’s option, either (a) make payment in such Non-USD
Currency and at the place where such Secured Obligation is payable, or (b) pay the Administrative
Agent in Dollars at 399 Park Avenue, New York, New York. In the event of a payment pursuant to
clause (a) above, such Guarantor will pay the Administrative Agent the equivalent of the
amount of such Secured Obligation in Dollars calculated at Spot Rate; provided,
however, that the foregoing provisions of this sentence shall not apply to any payments
hereunder in respect of Secured Obligations that have been re-denominated into a Non-USD Currency
as a result of the application of any law, order, decree or regulation in any jurisdiction other
than the United States, which Secured Obligations shall, for purposes of this Guaranty, be deemed
to remain denominated in Dollars and payable to Administrative Agent in accordance with the first
sentence of this Section 2.8.

ARTICLE III

REPRESENTATIONS AND WARRANTIES

     In order to induce the Secured Parties to enter into the Credit Agreement and make Credit
Extensions thereunder, and to induce Secured Parties to enter into Rate Protection Agreements, each
Guarantor represents and warrants to each Secured Party as set forth below.

     SECTION 3.1. Credit Agreement Representations and Warranties. The representations
and warranties contained in Article VI of the Credit Agreement, insofar as the representations and
warranties contained therein are applicable to any Guarantor and its properties, are true and
correct in all material respects, each such representation and warranty set forth in such Article
(insofar as applicable as aforesaid) and all other terms of the Credit Agreement to which reference
is made therein, together with all related definitions and ancillary provisions, being hereby
incorporated into this Guaranty by this reference as though specifically set forth in this Article.

     SECTION 3.2. Financial Condition, etc. Each Guarantor has knowledge of each other
Obligor’s financial condition and affairs and that it has adequate means to obtain from each such
Obligor on an ongoing basis information relating thereto and to such Obligor’s ability to pay and
perform the Secured Obligations, and agrees to assume the responsibility for keeping, and to keep,
so informed for so long as this Guaranty is in effect. Each Guarantor acknowledges and agrees that
the Secured Parties shall have no obligation to investigate the financial condition or affairs of
any Obligor for the benefit of such Guarantor nor to advise such Guarantor of any fact respecting,
or any change in, the financial condition or affairs of any other Obligor that might become known
to any Secured Party at any time, whether or not such Secured Party knows or believes or has reason
to know or believe that any such fact or change is unknown to such Guarantor, or might (or does)
materially increase the risk of such Guarantor as guarantor, or

Guaranty
(First Lien)

6

 

might (or would) affect the willingness of such Guarantor to continue as a guarantor of the
Secured Obligations.

     SECTION 3.3. Best Interests. It is in the best interests of each Guarantor (other
than the Borrower) to execute this Guaranty inasmuch as such Guarantor will, as a result of being a
Subsidiary of the Borrower, derive substantial direct and indirect benefits from the Credit
Extensions made from time to time to the Borrower by the Lenders and the Issuers pursuant to the
Credit Agreement and the execution and delivery of Rate Protection Agreements between the Borrower,
other Obligors and certain Secured Parties, and each Guarantor agrees that the Secured Parties are
relying on this representation in agreeing to make Credit Extensions to the Borrower.

ARTICLE IV

COVENANTS, ETC.

     Each Guarantor covenants and agrees that, at all times prior to the Termination Date, it will
perform, comply with and be bound by all of the agreements to which it is a party, covenants and
obligations contained in the Credit Agreement which are applicable to such Guarantor or its
properties, each such agreement, covenant and obligation contained in the Credit Agreement and all
other terms of the Credit Agreement to which reference is made in this Article, together with all
related definitions and ancillary provisions, being hereby incorporated into this Guaranty by this
reference as though specifically set forth in this Article.

ARTICLE V

MISCELLANEOUS PROVISIONS

     SECTION 5.1. Loan Document. This Guaranty is a Loan Document executed pursuant to
the Credit Agreement and shall (unless otherwise expressly indicated herein) be construed,
administered and applied in accordance with the terms and provisions thereof, including Article X
thereof.

     SECTION 5.2. Binding on Successors, Transferees and Assigns; Assignment. This
Guaranty shall remain in full force and effect until the Termination Date has occurred, shall be
jointly and severally binding upon each Guarantor and its successors, transferees and assigns and
shall inure to the benefit of and be enforceable by each Secured Party and its successors,
transferees and permitted assigns; provided, however, that no Guarantor may (unless
otherwise permitted under the terms of the Credit Agreement) assign any of its obligations
hereunder without the prior written consent of all Lenders.

     SECTION 5.3. Amendments, etc. No amendment to or waiver of any provision of this
Guaranty, nor consent to any departure by any Guarantor from its obligations under this Guaranty,
shall in any event be effective unless the same shall be in writing and signed by the
Administrative Agent (on behalf of the Lenders or the Required Lenders, as the case may be,
pursuant to Section 10.1 of the Credit Agreement) and then such waiver or consent shall be
effective only in the specific instance and for the specific purpose for which given.

Guaranty
(First Lien)

7

 

     SECTION 5.4. Notices. All notices and other communications provided for hereunder
shall be in writing or by facsimile and addressed, delivered or transmitted to the appropriate
party at the address or facsimile number of such party (in the case of any Subsidiary Guarantor, in
care of the Borrower) set forth on Schedule II to the Credit Agreement or at such other address or
facsimile number as may be designated by such party in a notice to the other party. Any notice, if
mailed and properly addressed with postage prepaid or if properly addressed and sent by pre-paid
courier service, shall be deemed given when received; any such notice, if transmitted by facsimile,
shall be deemed given when the confirmation of transmission thereof is received by the transmitter.

     SECTION 5.5. Additional Guarantors. Upon the execution and delivery by any other
Person of a supplement in the form of Annex I hereto, such Person shall become a
“Guarantor” hereunder with the same force and effect as if it were originally a party to this
Guaranty and named as a “Guarantor” hereunder. The execution and delivery of such supplement shall
not require the consent of any other Guarantor hereunder (except to the extent a consent has been
obtained), and the rights and obligations of each Guarantor hereunder shall remain in full force
and effect notwithstanding the addition of any new Guarantor as a party to this Guaranty.

     SECTION 5.6. Release of Guarantor. Upon the occurrence of the Termination Date, this
Guaranty and all obligations of each Guarantor hereunder shall terminate, without delivery of any
instrument or performance of any act by any party. In addition, at the request of the Borrower,
and at the sole expense of the Borrower, a Subsidiary Guarantor shall be automatically released
from its obligations hereunder in the event that the Capital Securities of such Subsidiary
Guarantor are Disposed of in a transaction permitted by the Credit Agreement; provided,
that the Borrower shall have delivered to the Administrative Agent, prior to the date of the
proposed release, a written request for release identifying the relevant Subsidiary Guarantor. The
Administrative Agent agrees to deliver to the Borrower, at the Borrower’s sole expense, such
documents as the Borrower may reasonably request to evidence such termination and release.

     SECTION 5.7. No Waiver; Remedies. In addition to, and not in limitation of,
Sections 2.3 and 2.5, no failure on the part of any Secured Party to exercise, and
no delay in exercising, any right hereunder shall operate as a waiver thereof, nor shall any single
or partial exercise of any right hereunder preclude any other or further exercise thereof or the
exercise of any other right. The remedies herein provided are cumulative and not exclusive of any
remedies provided by law.

     SECTION 5.8. Section Captions. Section captions used in this Guaranty are for
convenience of reference only, and shall not affect the construction of this Guaranty.

     SECTION 5.9. Severability. Wherever possible each provision of this Guaranty shall
be interpreted in such manner as to be effective and valid under applicable law, but if any
provision of this Guaranty shall be prohibited by or invalid under such law, such provision shall
be ineffective to the extent of such prohibition or invalidity, without invalidating the remainder
of such provision or the remaining provisions of this Guaranty.

     SECTION 5.10. Judgment Currency. The Secured Obligations of each Guarantor in
respect of any sum due to any Secured Party under or in respect of this Guaranty shall,

Guaranty
(First Lien)

8

 

notwithstanding any judgment in a currency (the “Judgment Currency”) other than the
currency in which such sum was originally denominated (the “Original Currency”), be
discharged only to the extent that on the Business Day following receipt by such Secured Party of
any sum adjudged to be so due in the Judgment Currency, such Secured Party, in accordance with
normal banking procedures, purchases the Original Currency with the Judgment Currency. If the
amount of Original Currency so purchased is less than the sum originally due to such Secured Party,
such Guarantor agrees, as a separate obligation and notwithstanding any such judgment, to indemnify
such Secured Party against such loss, and if the amount of Original Currency so purchased exceeds
the sum originally due to such Secured Party, such Secured Party agrees to remit such excess to
such Guarantor.

     SECTION 5.11. Governing Law, Entire Agreement, etc. THIS GUARANTY WILL BE DEEMED TO
BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR
SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).
This Guaranty and the other Loan Documents constitute the entire understanding among the parties
hereto with respect to the subject matter hereof and thereof and supersede any prior agreements,
written or oral, with respect thereto.

     SECTION 5.12. Forum Selection and Consent to Jurisdiction. ANY LITIGATION BASED
HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, ANY LOAN DOCUMENT, OR ANY COURSE OF
CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE ADMINISTRATIVE
AGENT, THE LENDERS, THE ISSUER OR ANY GUARANTOR IN CONNECTION HEREWITH OR THEREWITH MAY BE BROUGHT
AND MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK OR IN THE UNITED STATES DISTRICT COURT FOR
THE SOUTHERN DISTRICT OF NEW YORK; PROVIDED, HOWEVER, THAT ANY SUIT SEEKING
ENFORCEMENT AGAINST ANY COLLATERAL OR OTHER PROPERTY MAY BE BROUGHT, AT THE ADMINISTRATIVE AGENT’S
OPTION, IN THE COURTS OF ANY JURISDICTION WHERE SUCH COLLATERAL OR OTHER PROPERTY MAY BE FOUND.
EACH GUARANTOR IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY REGISTERED MAIL, POSTAGE PREPAID,
OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW YORK AT THE ADDRESS FOR NOTICES SPECIFIED
FOR THE BORROWER IN SECTION 10.2 OF THE CREDIT AGREEMENT. EACH GUARANTOR HEREBY EXPRESSLY AND
IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY HAVE OR
HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT IN ANY SUCH COURT REFERRED
TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. TO THE
EXTENT THAT ANY GUARANTOR HAS OR HEREAFTER MAY ACQUIRE 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 OR OTHERWISE) WITH RESPECT TO ITSELF OR ITS PROPERTY, SUCH GUARANTOR
HEREBY IRREVOCABLY WAIVES TO THE FULLEST EXTENT PERMITTED BY LAW SUCH IMMUNITY IN RESPECT OF ITS
OBLIGATIONS UNDER THE LOAN DOCUMENTS.

Guaranty
(First Lien)

9

 

     SECTION 5.13. Waiver of Jury Trial. THE ADMINISTRATIVE AGENT (ON BEHALF OF ITSELF
AND EACH OTHER SECURED PARTY) AND EACH GUARANTOR HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY
WAIVE TO THE FULLEST EXTENT PERMITTED BY LAW ANY RIGHTS THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT
OF ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, EACH LOAN
DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR
ACTIONS OF THE ADMINISTRATIVE AGENT, SUCH LENDER, THE ISSUER OR SUCH GUARANTOR IN CONNECTION
THEREWITH. EACH GUARANTOR ACKNOWLEDGES AND AGREES THAT IT HAS RECEIVED FULL AND SUFFICIENT
CONSIDERATION FOR THIS PROVISION (AND EACH OTHER PROVISION OF EACH OTHER LOAN DOCUMENT TO WHICH IT
IS A PARTY) AND THAT THIS PROVISION IS A MATERIAL INDUCEMENT FOR THE ADMINISTRATIVE AGENT, EACH
LENDER AND THE ISSUER ENTERING INTO THE LOAN DOCUMENTS.

     SECTION 5.14. Counterparts. This Guaranty may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Guaranty by facsimile (or other electronic transmission) shall be effective
as delivery of a manually executed counterpart of this Guaranty.

Guaranty
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10

 

     IN WITNESS WHEREOF, each Guarantor has caused this Guaranty to be duly executed and delivered
by its Authorized Officer, solely in such capacity and not as an individual, as of the date first
above written.

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	HANESBRANDS INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HBI BRANDED APPAREL LIMITED, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HANESBRANDS DIRECT, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	UPEL, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	CARIBETEX, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	SEAMLESS TEXTILES, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Guaranty
(First Lien)

11

 

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	BA INTERNATIONAL, L.L.C.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HBI INTERNATIONAL, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HBI BRANDED APPAREL ENTERPRISES, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	CASA INTERNATIONAL, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	UPCR, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HBI SOURCING, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	CEIBENA DEL, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Guaranty
(First Lien)

12

 

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	NT INVESTMENT COMPANY, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HANESBRANDS DISTRIBUTION, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	CARIBESOCK, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	NATIONAL TEXTILES, L.L.C.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 	 	HANES PUERTO RICO, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	PLAYTEX INDUSTRIES, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	INNER SELF LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Guaranty
(First Lien)

13

 

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	PLAYTEX DORADO, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HANES MENSWEAR, LLC	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Guaranty
(First Lien)

14

 

ACCEPTED AND AGREED FOR ITSELF

AND ON BEHALF OF THE SECURED PARTIES:

CITICORP USA, INC.,

      as Administrative Agent

	 	 	 	 	 
	 

	 	 	 	 
	By:
	 	 	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 

Guaranty
(First Lien)

15

 

ANNEX I to

the Guaranty

     THIS SUPPLEMENT, dated as of                     
                    ,
                     (this “Supplement”), is to the
Guaranty, dated as of September 5, 2006 (as amended, supplemented, amended and restated or
otherwise modified from time to time, the “Guaranty”), among the Guarantors (such
capitalized term, and other terms used in this Supplement, to have the meanings set forth or
incorporated by reference in Article I of the Guaranty) from time to time party thereto, in favor
of CITICORP USA, INC., as administrative agent (together with its successor(s) thereto in such
capacity, the “Administrative Agent”) for each of the Secured Parties.

W
I T N E S S E T H :

     WHEREAS, pursuant to the provisions of Section 5.5 of the Guaranty, each of the undersigned is
becoming a Subsidiary Guarantor under the Guaranty; and

     WHEREAS, each of the undersigned desires to become a “Guarantor” under the Guaranty in order
to induce the Secured Parties to continue to extend Credit Extensions under the Credit Agreement;

     NOW, THEREFORE, in consideration of the premises, and for other consideration (the receipt and
sufficiency of which is hereby acknowledged), each of the undersigned agrees, for the benefit of
each Secured Party, as follows.

     SECTION 1. Party to Guaranty, etc. In accordance with the terms of the Guaranty, by
its signature below, each of the undersigned hereby irrevocably agrees to become a Subsidiary
Guarantor under the Guaranty with the same force and effect as if it were an original signatory
thereto and each of the undersigned hereby (a) agrees to be bound by and comply with all of the
terms and provisions of the Guaranty applicable to it as a Subsidiary Guarantor and (b) represents
and warrants that the representations and warranties made by it as a Subsidiary Guarantor
thereunder are true and correct in all material respects as of the date hereof. In furtherance of
the foregoing, each reference to a “Guarantor” and/or “Guarantors” in the Guaranty shall be deemed
to include each of the undersigned.

     SECTION 2. Representations. Each of the undersigned hereby represents and warrants
that this Supplement has been duly authorized, executed and delivered by it and that this
Supplement and the Guaranty constitute the legal, valid and binding obligation of each of the
undersigned, enforceable (except, in any case, as such enforceability may be limited by applicable
bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights generally and by
principles of equity) against it in accordance with its terms.

     SECTION 3. Full Force of Guaranty. Except as expressly supplemented hereby, the
Guaranty shall remain in full force and effect in accordance with its terms.

     SECTION 4. Severability. Wherever possible each provision of this Supplement shall
be interpreted in such manner as to be effective and valid under applicable law, but if any
provision of this Supplement shall be prohibited by or invalid under such law, such provision

Guaranty
(First Lien)

 

 

shall be ineffective to the extent of such prohibition or invalidity, without invalidating the
remainder of such provision or the remaining provisions of this Supplement or the Guaranty.

     SECTION 5. Indemnity; Fees and Expenses, etc. Without limiting the provisions of any
other Loan Document, each of the undersigned agrees to reimburse the Administrative Agent for its
reasonable out-of-pocket expenses incurred in connection with this Supplement, including reasonable
attorney’s fees and out-of-pocket expenses of the Administrative Agent’s counsel.

     SECTION 6. Governing Law, Entire Agreement, etc. THIS SUPPLEMENT WILL BE DEEMED TO
BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR
SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).
This Supplement and the other Loan Documents constitute the entire understanding among the parties
hereto with respect to the subject matter hereof and thereof and supersede any prior agreements,
written or oral, with respect thereto.

     SECTION
7. Counterparts. This Supplement may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Supplement by facsimile (or other electronic transmission) shall be
effective as delivery of a manually executed counterpart of this Supplement.

Guaranty
(First Lien)

Annex I - 2

 

 

     IN WITNESS WHEREOF, each of the undersigned has caused this Supplement to be duly executed and
delivered by its Authorized Officer as of the date first above written.

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	[NAME OF ADDITIONAL SUBSIDIARY]	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	[NAME OF ADDITIONAL SUBSIDIARY]	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	[NAME OF ADDITIONAL SUBSIDIARY]	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

ACCEPTED AND AGREED FOR ITSELF

AND ON BEHALF OF THE SECURED PARTIES:

CITICORP USA, INC.,

      as Administrative Agent

	 	 	 	 	 
	 

	 	 	 	 
	By:
	 	 	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 

Guaranty
(First Lien)

Annex I
- 3

 

 

EXHIBIT G

EXECUTION COPY

PLEDGE AND SECURITY AGREEMENT

     This PLEDGE AND SECURITY AGREEMENT, dated as of September 5, 2006 (as amended, supplemented,
amended and restated or otherwise modified from time to time, this “Security Agreement”),
is made by HANESBRANDS INC., a Maryland corporation (the “Borrower”), and each Subsidiary
Guarantor (terms used in the preamble and the recitals have the definitions set forth in or
incorporated by reference in Article I) from time to time a party to this Security
Agreement (each individually a “Grantor” and collectively, the “Grantors”), in
favor of CITIBANK, N.A., a national banking association organized under the laws of the United
States, as the collateral agent (together with its successor(s) thereto in such capacity, the
“Collateral Agent”) for each of the Secured Parties and CITICORP USA, INC., as the
administrative agent (together with its successor(s) thereto in such capacity, the
“Administrative Agent”) for each of the Secured Parties.

W
I T N E S S E T H :

     WHEREAS, pursuant to a First Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from time to time, the
“Credit Agreement”), among the Borrower, the Lenders, HSBC Bank USA, National Association,
LaSalle Bank National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill
Lynch, Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the
Co-Syndication Agents, the Administrative Agent, the Collateral Agent, and Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead Arrangers
and Joint Bookrunners, the Lenders and the Issuers have extended Commitments to make Credit
Extensions to the Borrower; and

     WHEREAS, as a condition precedent to the making of the Credit Extensions under the Credit
Agreement, each Grantor is required to execute and deliver this Security Agreement;

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, each Grantor agrees, for the benefit of each Secured Party, as follows:

ARTICLE I

DEFINITIONS

     SECTION 1.1. Certain Terms. The following terms (whether or not underscored) when
used in this Security Agreement, including its preamble and recitals, shall have the following
meanings (such definitions to be equally applicable to the singular and plural forms thereof):

     “Administrative Agent” is defined in the preamble.

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     “Borrower” is defined in the preamble.

     “Collateral” is defined in Section 2.1.

     “Collateral Account” is defined in clause (b) of Section 4.3.

     “Collateral Agent” is defined in the preamble.

     “Computer Hardware and Software Collateral” means all of the Grantors’ right, title
and interest in and to:

     (a) all computer and other electronic data processing hardware, integrated computer systems,
central processing units, memory units, display terminals, printers, features, computer elements,
card readers, tape drives, hard and soft disk drives, cables, electrical supply hardware,
generators, power equalizers, accessories and all peripheral devices and other related computer
hardware, including all operating system software, utilities and application programs in whatsoever
form;

     (b) all software programs (including both source code, object code and all related
applications and data files), designed for use on the computers and electronic data processing
hardware described in clause (a) above;

     (c) all firmware associated therewith;

     (d) all documentation (including flow charts, logic diagrams, manuals, guides, specifications,
training materials, charts and pseudo codes) with respect to such hardware, software and firmware
described in the preceding clauses (a) through (c); and

     (e) all rights with respect to all of the foregoing, including copyrights, licenses, options,
warranties, service contracts, program services, test rights, maintenance rights, support rights,
improvement rights, renewal rights and indemnifications and any substitutions, replacements,
improvements, error corrections, updates, additions or model conversions of any of the foregoing;

     provided that the foregoing shall not include Excluded Collateral.

     “Control Agreement” means an authenticated record in form and substance reasonably
satisfactory to the Collateral Agent, that provides for the Collateral Agent to have “control” (as
defined in the UCC) over certain Collateral as provided herein.

     “Copyright Collateral” means all of the Grantors’ right, title and interest in and to:

     (a) all U.S. copyrights, registered or unregistered and whether published or unpublished, now
or hereafter in force including copyrights registered or applied for in the United States Copyright
Office, and registrations and recordings thereof and all applications for registration thereof,
whether pending or in preparation and all extensions and renewals of the foregoing
(“Copyrights”), including the Copyrights which are the subject of a registration or
application referred to in Item A of Schedule V;

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     (b) all express or implied Copyright licenses and other agreements for the grant by or to such
Grantor of any right to use any items of the type referred to in clause (a) above (each a
“Copyright License”), including each Copyright License referred to in Item B of
Schedule V;

     (c) the right to sue for past, present and future infringements of any of the Copyrights owned
by such Grantor, and for breach or enforcement of any Copyright License; and

     (d) all proceeds of, and rights associated with, the foregoing (including Proceeds, licenses,
royalties, income, payments, claims, damages and proceeds of infringement suits);

     provided that the foregoing shall not include Excluded Collateral.

     “Credit Agreement” is defined in the first recital.

     “Distributions” means all dividends paid on Capital Securities, liquidating dividends
paid on Capital Securities, shares (or other designations) of Capital Securities resulting from (or
in connection with the exercise of) stock splits, reclassifications, warrants, options, non cash
dividends, mergers, consolidations, and all other distributions on or with respect to any Capital
Securities constituting Collateral.

     “Excluded Accounts” means payroll accounts, petty cash accounts, pension fund
accounts, 401(k) accounts, zero-balance accounts and other accounts that any Grantor may hold in
trust for others.

     “Excluded Collateral” is defined in Section 2.1.

     “General Intangibles” means all “general intangibles” and all “payment intangibles”,
each as defined in the UCC, and shall include all interest rate or currency protection or hedging
arrangements, all tax refunds, all licenses, permits, concessions and authorizations and all
Intellectual Property Collateral (in each case, regardless of whether characterized as general
intangibles under the UCC).

     “Grantor” and “Grantors” are defined in the preamble.

     “Intellectual Property” means Trademarks, Patents, Copyrights, Trade Secrets and all
other similar types of intellectual property under any law, statutory provision or common law
doctrine in the United States.

     “Intellectual Property Collateral” means, collectively, the Computer Hardware and
Software Collateral, the Copyright Collateral, the Patent Collateral, the Trademark Collateral and
the Trade Secrets Collateral.

     “Owned Intellectual Property Collateral” means all Intellectual Property Collateral
that is owned by the Grantors.

     “Patent Collateral” means all of the Grantors’ right, title and interest in and to:

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     (a) inventions and discoveries, whether patentable or not, all letters patent and
applications for United States letters patent, including all United States patent
applications in preparation for filing, including all reissues, divisions, continuations,
continuations in part, extensions, renewals and reexaminations of any of the foregoing,
including all patents issued by, or patent applications filed with, the United States Patent
and Trademark Office (“Patents”), including each Patent and Patent application
referred to in Item A of Schedule III;

     (b) all Patent licenses, and other agreements for the grant by or to such Grantor of
any right to use any items of the type referred to in clause (a) above (each a
“Patent License”), including each Patent License referred to in Item B of
Schedule III;

     (c) the right to sue third parties for past, present and future infringements of any
Patent or Patent application, and for breach or enforcement of any Patent License; and

     (d) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits);

     provided that the foregoing shall not include Excluded Collateral.

     “Permitted Liens” means all Liens permitted by Section 7.2.3 of the Credit Agreement
or any other Loan Document.

     “Secured Obligations” means, collectively, the Obligations, the Cash Management
Obligations and all Indebtedness of any Foreign Subsidiary or Obligor, as applicable, permitted
under clause (n) of Section 7.2.2 of the Credit Agreement owing to a Foreign Working Capital
Lender.

     “Securities Act” is defined in clause (a) of Section 6.2.

     “Security Agreement” is defined in the preamble.

     “Trademark Collateral” means all of the Grantors’ right, title and interest in and to:

     (a) (i) all United States trademarks, trade names, corporate names, company names,
business names, fictitious business names, trade styles, service marks, certification marks,
collective marks, logos and other source or business identifiers, and all goodwill of the
business associated therewith, now existing or hereafter adopted or acquired, whether
currently in use or not, all registrations and recordings thereof and all applications in
connection therewith, whether pending or in preparation for filing, including registrations,
recordings and applications in the United States Patent and
Trademark Office, and all common law rights relating to the foregoing, and (ii) the
right to obtain all reissues, extensions or renewals of the foregoing (collectively referred
to as “Trademarks”), including those Trademarks referred to in Item A of
Schedule IV;

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     (b) all Trademark licenses and other agreements for the grant by or to such Grantor of
any right to use any Trademark (each a “Trademark License”), including each
Trademark License referred to in Item B of Schedule IV; and

     (c) all of the goodwill of the business connected with the use of, and symbolized by
the Trademarks described in clause (a) and, to the extent applicable, clause
(b);

     (d) the right to sue third parties for past, present and future infringements or
dilution of the Trademarks described in clause (a) and, to the extent applicable,
clause (b) or for any injury to the goodwill associated with the use of any such
Trademark or for breach or enforcement of any Trademark License; and

     (e) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits);

     provided that the foregoing shall not include Excluded Collateral.

     “Trade Secrets Collateral” means all of the Grantors’ right, title and interest
throughout the world in and to (a) all common law and statutory trade secrets and all other
confidential, proprietary or useful information and all know how (collectively referred to as
“Trade Secrets”) obtained by or used in or contemplated at any time for use in the business
of a Grantor, whether or not such Trade Secret has been reduced to a writing or other tangible
form, including all Documents and things embodying, incorporating or referring in any way to such
Trade Secret, (b) all Trade Secret licenses and other agreements for the grant by or to such
Grantor of any right to use any Trade Secret (each a “Trade Secret License”) including the
right to sue for and to enjoin and to collect damages for the actual or threatened misappropriation
of any Trade Secret and for the breach or enforcement of any such Trade Secret License, and (d) all
proceeds of, and rights associated with, the foregoing (including Proceeds, licenses, royalties,
income, payments, claims, damages and proceeds of infringement suits);

     provided that the foregoing shall not include Excluded Collateral.

     SECTION 1.2.  Credit Agreement Definitions. Unless otherwise defined herein or the
context otherwise requires, terms used in this Security Agreement, including its preamble and
recitals, have the meanings provided in the Credit Agreement.

     SECTION 1.3. UCC Definitions. When used herein the terms Account, Certificate of
Title, Certificated Securities, Chattel Paper, Commercial Tort Claim, Commodity Account, Commodity
Contract, Deposit Account, Document, Electronic Chattel Paper, Equipment, Goods, Instrument,
Inventory, Investment Property, Letter-of-Credit Rights, Payment Intangibles, Proceeds, Promissory
Notes, Securities Account, Security Entitlement, Supporting Obligations
and Uncertificated Securities have the meaning provided in Article 8 or Article 9, as
applicable, of the UCC. Letters of Credit has the meaning provided in Section 5-102 of the UCC.

ARTICLE II

SECURITY INTEREST

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     SECTION 2.1. Grant of Security Interest. Each Grantor hereby grants to the
Collateral Agent, for its benefit and the ratable benefit of each other Secured Party, a continuing
security interest in all of such Grantor’s right, title and interest in and to the following
property, whether now or hereafter existing, owned or acquired by such Grantor, and wherever
located, (collectively, the “Collateral”):

     (a) Accounts;

     (b) Chattel Paper;

     (c) Commercial Tort Claims listed on Item I of Schedule II (as such schedule may be amended or
supplemented from time to time);

     (d) Deposit Accounts;

     (e) Documents;

     (f) General Intangibles;

     (g) Goods;

     (h) Instruments;

     (i) Investment Property;

     (j) Letter-of-Credit Rights and Letters of Credit;

     (k) Supporting Obligations;

     (l) all books, records, writings, databases, information and other property relating to, used
or useful in connection with, evidencing, embodying, incorporating or referring to, any of the
foregoing in this Section;

     (m) all Proceeds and products of the foregoing and, to the extent not otherwise included, all
payments under insurance (whether or not the Collateral Agent is the loss payee thereof); and

     (n) all other property and rights of every kind and description and interests therein.

Notwithstanding the foregoing, the term “Collateral” shall not include the following
(collectively, the “Excluded Collateral”):

     (i) such Grantor’s real property interests (including fee real estate, leasehold
interests and fixtures);

     (ii) any General Intangibles, healthcare insurance receivables or other rights arising
under any contracts, instruments, licenses or other documents as to which the grant of a
security interest would (A) constitute a violation of a valid and enforceable

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restriction in
favor of a third party on such grant, unless any required consent shall have been obtained,
(B) give any other party to such contract, instrument, license or other document the right
to terminate its obligations thereunder, or (C) otherwise cause such Grantor to lose
material rights thereunder;

     (iii) Investment Property consisting of Capital Securities of a direct Foreign
Subsidiary of such Grantor, in excess of 65% of the total combined voting power of all
Capital Securities of each such direct Foreign Subsidiary, except that such 65% limitation
shall not apply to a direct Foreign Subsidiary that (x) is treated as a partnership under
the Code or (y) is not treated as an entity that is separate from (A) such Grantor; (B) any
Person that is treated as a partnership under the Code or (C) any “United States person” (as
defined in Section 7701(a)(30) of the Code);

     (iv) any Investment Property (other than Equity Interests of a Subsidiary) of any of
the Grantors to the extent that applicable law or the organizational documents or other
applicable agreements among the investors of such Person with respect to any such Investment
Property (A) does not permit the grant of a security interest in such interest or an
assignment of such interest or requires the consent of any third party to permit such grant
of a security interest or assignment or (B) would, following the grant of a security
interest or assignment hereunder, would cause any other Person (other than the Borrower or
any of its Subsidiaries) to have the right to purchase such Investment Property;

     (v) any real or personal property, the granting of a security interest in which would
be void or illegal under any applicable governmental law, rule or regulation, or pursuant
thereto would result in, or permit the termination of, such asset;

     (vi) any real or personal property subject to a Permitted Lien (other than Liens in
favor of the Collateral Agent) to the extent that the grant of other Liens on such asset (A)
would result in a breach or violation of, or constitute a default under, the agreement or
instrument governing such Permitted Lien, (B) would result in the loss of use of such asset,
(C) would permit the holder of such Permitted Lien to terminate such Grantor’s use of such
asset or (D) would otherwise result in a loss of material rights of such Grantor in such
asset;

     (vii) any Excluded Accounts;

     (viii) any Excluded Contracts to the extent any third party consent required to grant a
security interest in such rights, contracts, licenses, leases and other agreements has not
been obtained by the applicable Grantor; provided that any such rights, contracts, licenses,
leases and other agreements shall constitute Collateral and a security interest
shall attach immediately to any such rights, contracts, licenses, leases and other
agreements at the time the applicable Grantor obtains the applicable required consent; or

     (ix) any applications for United States trademark registration pursuant to IS U.S.L.
§1051(b) (i.e., an intent-to-use application), until such time as such registration is
granted or, if earlier, the date of first use of the trademark, at which point such
application or registration shall constitute Collateral.

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     SECTION 2.2. Security for Secured Obligations. This Security Agreement and the
Collateral in which the Collateral Agent for the benefit of the Secured Parties is granted a
security interest hereunder by the Grantors secure the payment and performance of all of the
Secured Obligations.

     SECTION 2.3. Grantors Remain Liable. Anything herein to the contrary
notwithstanding, to the extent permitted by applicable law:

     (a) the Grantors will remain liable under the contracts and agreements included in the
Collateral to the extent set forth therein, and will perform all of their duties and
obligations under such contracts and agreements to the same extent as if this Security
Agreement had not been executed;

     (b) the exercise by the Collateral Agent of any of its rights hereunder will not
release any Grantor from any of its duties or obligations under any such contracts or
agreements included in the Collateral; and

     (c) no Secured Party will have any obligation or liability under any contracts or
agreements included in the Collateral by reason of this Security Agreement, nor will any
Secured Party be obligated to perform any of the obligations or duties of any Grantor
thereunder or to take any action to collect or enforce any claim for payment assigned
hereunder.

     SECTION 2.4. Distributions on Pledged Shares. In the event that any Distribution
with respect to any Capital Securities pledged hereunder is permitted to be paid (in accordance
with Section 7.2.6 of the Credit Agreement), such Distribution or payment may be paid directly to
the applicable Grantor. If any Distribution is made in contravention of Section 7.2.6 of the
Credit Agreement, such Grantor shall hold the same segregated and for the benefit of the Collateral
Agent until paid to the Collateral Agent in accordance with Section 4.1.5.

     SECTION 2.5. Security Interest Absolute, etc. To the extent permitted by applicable
law, this Security Agreement shall in all respects be a continuing, absolute, unconditional and
irrevocable grant of security interest, and shall remain in full force and effect until the
Termination Date. To the extent permitted by applicable law, all rights of the Secured Parties and
the security interests granted to the Collateral Agent (for its benefit and the ratable benefit of
each other Secured Party) hereunder, and all obligations of the Grantors hereunder, shall, in each
case, be absolute, unconditional and irrevocable irrespective of:

     (a) any lack of validity, legality or enforceability of any Loan Document or other
applicable agreement under which such Secured Obligations arise;

     (b) the failure of any Secured Party (i) to assert any claim or demand or to enforce
any right or remedy against the Borrower or any of its Subsidiaries or any other Person
(including any other Grantor) under the provisions of any Loan Document or other applicable
agreement under which such Secured Obligations arise or otherwise, or (ii) to exercise any
right or remedy against any other guarantor (including any other Grantor) of, or Collateral
securing, any Secured Obligations;

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     (c) any change in the time, manner or place of payment of, or in any other term of, all
or any part of the Secured Obligations, or any other extension, compromise or renewal of any
Secured Obligations;

     (d) any reduction, limitation, impairment or termination of any Secured Obligations for
any reason (other than the occurrence of the Termination Date), including any claim of
waiver, release, surrender, alteration or compromise, and shall not be subject to (and each
Grantor hereby waives (to the extent permitted by law) any right to or claim of) any defense
or setoff, counterclaim, recoupment or termination whatsoever by reason of the invalidity,
illegality, nongenuineness, irregularity, compromise, unenforceability of, or any other
event or occurrence affecting, any Secured Obligations or otherwise;

     (e) any amendment to, rescission, waiver, or other modification of, or any consent to
or departure from, any of the terms of any Loan Document or other applicable agreement under
which such Secured Obligations arise;

     (f) any addition, exchange or release of any Collateral or of any Person that is (or
will become) a Grantor (including the Grantors hereunder) of the Secured Obligations, or any
surrender or non-perfection of any Collateral, or any amendment to or waiver or release or
addition to, or consent to or departure from, any other guaranty held by any Secured Party
securing any of the Secured Obligations; or

     (g) any other circumstance (other than payment or performance of the Secured
Obligations, in each case in full and, with respect to payments, in cash) which might
otherwise constitute a defense available to, or a legal or equitable discharge of, the
Borrower or any of its Subsidiaries, any surety or any guarantor.

     SECTION 2.6. Postponement of Subrogation. Each Grantor agrees that it will not
exercise any rights against another Grantor which it may acquire by way of rights of subrogation
under any Loan Document or other applicable agreement under which such Secured Obligations arise to
which it is a party until the Termination Date. No Grantor shall seek any contribution or
reimbursement from the Borrower or any of its Subsidiaries, in respect of any payment made under
any Loan Document or other applicable agreement under which such Secured Obligations arise or
otherwise, until following the Termination Date. Any amount paid to such Grantor on account of any
such subrogation rights prior to the Termination Date shall be held in trust for the benefit of the
Secured Parties and shall immediately be paid and turned over to the Collateral Agent for the
benefit of the Secured Parties in the exact form received by such Grantor (duly endorsed in favor
of the Collateral Agent, if required), to be credited and applied against the outstanding Secured
Obligations in accordance with Section 6.1; provided that if such Grantor
has made payment to the Secured Parties of all or any part of the Secured Obligations and the
Termination Date has occurred, then upon such Grantor’s notice to the Collateral Agent of such
payment and request, the Collateral Agent (on behalf of the Secured Parties) will, at the expense
of such Grantor, execute and deliver to such Grantor appropriate documents (without recourse and
without representation or warranty) necessary to evidence the transfer by subrogation to such
Grantor of an interest in the Secured Obligations resulting from such payment. In furtherance of
the foregoing, at all times prior to the Termination Date, such Grantor shall refrain from taking

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any action or commencing any proceeding against the Borrower or any of its Subsidiaries (or its
successors or assigns, whether in connection with a bankruptcy proceeding or otherwise) to recover
any amounts in respect of payments made under this Security Agreement to any Secured Party.

ARTICLE III

REPRESENTATIONS AND WARRANTIES

     In order to induce the Secured Parties to enter into the Credit Agreement and make Credit
Extensions thereunder, and to induce the Secured Parties to enter into Rate Protection Agreements,
after giving effect to the consummation of the IP Purchase and the Spin-Off, the Grantors represent
and warrant to each Secured Party as set forth below.

     SECTION 3.1. As to Capital Securities of the Subsidiaries, Investment Property.

     (a) With respect to any direct U.S. Subsidiary of any Grantor that is

     (i) a corporation, business trust, joint stock company or similar Person, all
Capital Securities issued by such Subsidiary is duly authorized and validly issued,
fully paid and non assessable; and

     (ii) a partnership or limited liability company, no Capital Securities issued
by such Subsidiary (A) is dealt in or traded on securities exchanges or in
securities markets, (B) expressly provides that such Capital Securities is a
security governed by Article 8 of the UCC or (C) is held in a Securities Account,
except, with respect to this clause (a)(ii), Capital Securities (x) for
which the Administrative Agent or the Collateral Agent is the registered owner or
(y) with respect to which the issuer has agreed in an authenticated record with such
Grantor and the Collateral Agent (at the written instruction of the Administrative
Agent) to comply with any written instructions of the Collateral Agent (at the
written instruction of the Administrative Agent) without the consent of such
Grantor; provided that the Grantor shall have the right to provide
instructions to such issuer until such issuer receives notice of sole control from
the Collateral Agent (at the written instruction of the Administrative Agent) during
the continuance of an Event of Default; provided further that upon
the cure or waiver of all Events of Default, the Grantor shall have the right to
give instructions to the issuer.

     (b) Subject to Section 7.1.11 of the Credit Agreement, each Grantor has delivered all
Certificated Securities constituting Collateral held by such Grantor on the
Closing Date to the Collateral Agent, together with duly executed undated blank stock
powers, or other equivalent instruments of transfer reasonably acceptable to the Collateral
Agent.

     (c) With respect to Uncertificated Securities constituting Collateral owned by any
Grantor (other than any Capital Securities in a Foreign Subsidiary which are
uncertificated), such Grantor has caused the issuer thereof either to (i) register the

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Collateral Agent as the registered owner of such security or (ii) agree in an authenticated
record with such Grantor and the Collateral Agent that such issuer will comply with
instructions with respect to such security originated by the Collateral Agent without
further consent of such Grantor.

     (d) Subject to the permitted update to Schedule I pursuant to Section 7.1.11 of
the Credit Agreement, as of the Closing Date, the percentage of the issued and outstanding
Capital Securities of each Subsidiary pledged by each Grantor hereunder is as set forth on
Schedule I.

     SECTION 3.2. Grantor Name, Location, etc.

     (a) As of the Closing Date, the jurisdiction in which each Grantor is located for
purposes of Sections 9–301 and 9–307 of the UCC is set forth in Item A of
Schedule II.

     (b) As of the Closing Date, each Grantor’s organizational identification number is set
forth in Item B of Schedule II.

     (c) During the four months preceding the date hereof, no Grantor has been known by any
legal name different from the one set forth on the signature page hereto, nor has such
Grantor been the subject of any merger or other corporate reorganization, except as set
forth in Item C of Schedule II hereto.

     (d) As of the Closing Date, each Grantor’s federal taxpayer identification number is
(and, during the four months preceding the date hereof, such Grantor has not had a federal
taxpayer identification number different from that) set forth in Item D of
Schedule II hereto.

     (e) As of the Closing Date, no Grantor is a party to any federal, state or local
government contract with a value individually in excess of $2,000,000, except as set forth
in Item E of Schedule II hereto.

     (f) As of the Closing Date, no Grantor maintains any Deposit Accounts (other than
Excluded Accounts), Securities Accounts or Commodity Accounts with any Person, in each case,
except as set forth on Item F of Schedule II.

     (g) As of the Closing Date, no Grantor is the beneficiary of any Letters of Credit,
except as set forth on Item G of Schedule II.

     (h) As of the Closing Date, no Grantor has Commercial Tort Claims (x) in which a suit
has been filed by such Grantor and (y) where the amount of damages reasonably expected to be
claimed individually exceeds $2,000,000, except as set forth on Item H of
Schedule II.

(i) As of the Closing Date, the name set forth on the signature page attached
hereto is the true and correct legal name (as defined in the UCC) of each Grantor.

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     SECTION 3.3. Ownership, No Liens, etc. Each Grantor owns its Collateral free and
clear of any Lien, except for any security interest (a) created by this Security Agreement and (b)
in the case of Collateral other than Certificated Securities, a Permitted Lien. No effective UCC
financing statement or other filing similar in effect covering all or any part of the Collateral is
on file in any recording office, except those filed in favor of the Collateral Agent relating to
this Security Agreement, Permitted Liens, filings which have not been authorized by the applicable
Grantor or as to which a duly authorized termination statement relating to such UCC financing
statement or other instrument has been delivered to the Collateral Agent on the Closing Date.

     SECTION 3.4. Possession of Inventory, Control; etc.

     (a) Each Grantor has, and agrees that it will maintain, exclusive possession of its
Documents, Instruments, Promissory Notes (not otherwise delivered to the Collateral Agent),
Goods, Equipment and Inventory maintained in the U.S., other than (i) Equipment and
Inventory in transit or out for repair or refurbishing in the ordinary course of business,
(ii) Equipment and Inventory that is in the possession or control of a consignee,
warehouseman, bailee agent or other Person (other than an Affiliate of such Grantor) located
in the United States in the ordinary course of business; provided that, to the extent the
fair market value (as determined in good faith by an Authorized Officer of the applicable
Grantor) in any U.S. location exceeds $5,000,000 and following notice from the Collateral
Agent (at the request of the Required Lenders) following the occurrence and during the
continuance of an Event of Default such Grantor shall promptly notify such Persons of the
security interest created in favor of the Secured Parties pursuant to this Security
Agreement, and such Grantor shall use commercially reasonable efforts to cause such party to
authenticate a record acknowledging that it holds possession of such Collateral for the
Secured Parties’ benefit and waives or subordinates any Lien held by it against such
Collateral, (iii) Instruments or Promissory Notes that have been delivered to the Collateral
Agent pursuant to Section 3.5 or are not otherwise required to be delivered
hereunder and (iv) such other Documents, Instruments, Promissory Notes, Goods, Equipment and
Inventory with a fair market value (as determined in good faith by an Authorized Officer of
the applicable Grantor) of $2,000,000 in the aggregate. To each Grantor’s knowledge as of
the date hereof, in the case of Equipment or Inventory described in clause (ii)
above, no lessor or warehouseman of any premises or warehouse upon or in which such
Equipment or Inventory is located has (i) issued any warehouse receipt or other receipt in
the nature of a warehouse receipt in respect of any such Equipment or Inventory, (ii) issued
any Document for any such Equipment or Inventory, (iii) received notification of any Secured
Party’s interest (other than the security interest granted hereunder) in any such
Equipment or Inventory or (iv) any Lien on any such Equipment or Inventory (other than
Permitted Liens).

     (b) Each Grantor is the sole entitlement holder of its Accounts and no other Person
(other than the Collateral Agent pursuant to this Security Agreement or any other Person
with respect to Permitted Liens) has control or possession of, or any other interest in, any
of its Accounts or any other securities or property credited thereto.

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     SECTION 3.5. Negotiable Documents, Instruments and Chattel Paper. Each Grantor has
delivered to the Collateral Agent possession of all originals of all Documents, Instruments,
Promissory Notes, and tangible Chattel Paper with an individual fair market value (as determined in
good faith by an Authorized Officer of the applicable Grantor) of at least $2,000,000 owned or held
by the Grantor on the Closing Date.

     SECTION 3.6. Intellectual Property Collateral.

     (a) In respect of the Intellectual Property Collateral as of the Closing Date:

     (i) set forth in Item A of Schedule III hereto is a complete
and accurate list of all issued and applied-for U.S. Patents owned by the Grantors
and set forth in Item B of Schedule III hereto is a complete and
accurate list of all Patent Licenses;

     (ii) set forth in Item A of Schedule IV hereto is a complete
and accurate list all U.S. registered and applied-for U.S. Trademarks owned by the
Grantors, including those that are registered, or for which an application for
registration has been made, with the United States Patent and Trademark Office and
set forth in Item B of Schedule IV hereto is a complete and accurate
list all Trademark Licenses; and

     (iii) set forth in Item A of Schedule V hereto is a complete and
accurate list of all registered and applied-for U.S. Copyrights owned by the
Grantors, and set forth in Item B of Schedule V hereto is a complete
and accurate list of all Copyright Licenses and a complete and accurate list of all
Copyright Licenses that are exclusive licenses granted to the Grantors in respect of
any Copyright that is registered with the United States Copyright Office.

     (b) Except as disclosed on Schedules III through V, in respect of each
Grantor:

     (i) the Owned Intellectual Property Collateral is valid, subsisting, unexpired
and enforceable (except, in any case, as such enforceability may be limited by
applicable bankruptcy, insolvency, reorganization or similar laws affecting
creditors’ rights generally and by principles of equity) and has not been abandoned
or adjudged invalid or unenforceable (except, in any case, as such enforceability
may be limited by applicable bankruptcy, insolvency, reorganization or similar laws
affecting creditors’ rights generally and by principles of equity), in whole or in
part, except where the loss or expiration of
such Owned Intellectual Property Collateral would not be expected to have a
Material Adverse Effect;

     (ii) such Grantor is the sole and exclusive owner of the entire and
unencumbered right, title and interest in and to the Owned Intellectual Property
Collateral (except for the Permitted Liens) and (A) as of the Closing Date, no
written claim, and (B) following the Closing Date, no written claim which has a
reasonable likelihood of an adverse determination and if adversely determined

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against any Grantor would reasonably be expect to have Material Adverse Effect, in
each case has been made that such Grantor is or may be, in conflict with,
infringing, misappropriating, diluting, misusing or otherwise violating any of the
rights of any third party or that challenges the ownership, use, protectability,
registerability, validity, enforceability of any Owned Intellectual Property
Collateral or, to such Grantor’s knowledge, any other Intellectual Property
Collateral and, to such Grantor’s knowledge neither such Grantor nor the
Intellectual Property Collateral conflict with, infringe, misappropriate or dilute
or otherwise violate the rights of any third party;

     (iii) such Grantor has made all necessary filings and recordations to protect
its interest in any Owned Intellectual Property Collateral that is material to the
operations or business of such Grantor, including recordations of all of its
interests in the Patent Collateral, the Trademark Collateral and the Copyright
Collateral in the United States Patent and Trademark Office, the United States
Copyright Office and any patent, trademark or copyright office anywhere in the
world, as appropriate, and has used proper statutory notice, as applicable, in
connection with its use of any Patent, Trademark or Copyright;

     (iv) such Grantor has taken all commercially reasonable steps to safeguard its
Trade Secrets and to its knowledge (A) none of the Trade Secrets of such Grantor has
been used, divulged, disclosed or appropriated for the benefit of any other Person
other than such Grantor which could reasonably be expected to result in a Material
Adverse Effect; (B) no employee, independent contractor or agent of such Grantor has
misappropriated any Trade Secrets of any other Person in the course of the
performance of his or her duties as an employee, independent contractor or agent of
such Grantor which could reasonably be expected to result in a Material Adverse
Effect; and (C) no employee, independent contractor or agent of such Grantor is in
default or breach of any term of any employment agreement, non-disclosure agreement,
assignment of inventions agreement or similar agreement or contract relating in any
way to the protection, ownership, development, use or transfer of such Grantor’s
Intellectual Property Collateral, which could reasonably be expected to result in a
Material Adverse Effect;

     (v) no action by such Grantor is currently pending or threatened in writing
which asserts that any third party is infringing, misappropriating, diluting,
misusing or voiding any Owned Intellectual Property Collateral and, to such
Grantor’s knowledge, no third party is infringing upon, misappropriating, diluting,
misusing or voiding any Intellectual Property owned or used by such
Grantor in any material respect, or any of its respective licensees, in each
case except as would not have a Material Adverse Effect;

     (vi) no settlement or consents, covenants not to sue, nonassertion assurances,
or releases have been entered into by such Grantor or to which such Grantor is bound
that adversely affects its rights to own or use any material Intellectual Property
Collateral;

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     (vii) except for the Permitted Liens, such Grantor has not made a previous
assignment, sale, transfer or agreement constituting a present or future assignment,
sale or transfer of any Intellectual Property Collateral for purposes of granting a
security interest or as collateral that has not been terminated or released;

     (viii) such Grantor has executed and delivered to the Collateral Agent,
Intellectual Property Collateral security agreements for all Copyrights, Patents and
Trademarks owned by such Grantor that constitute Collateral, including all
Copyrights, Patents and Trademarks on Schedules III, IV or V
(as such schedules may be amended or supplemented from time to time);

     (ix) such Grantor uses adequate standards of quality in the manufacture,
distribution, and sale of all products sold and in the provision of all services
rendered under or in connection with any Trademarks and has taken all commercially
reasonable action necessary to ensure that all licensees of any Trademarks owned by
such Grantor use such adequate standards of quality, in each case except as would
not have a Material Adverse Effect;

     (x) the consummation of the transactions contemplated by the Credit Agreement
and this Security Agreement will not result in the termination or material
impairment of any of the Intellectual Property Collateral necessary for the conduct
of such Grantor’s business;

     (xi) all employees, independent contractors and agents who have contributed to
the creation or development of any Owned Intellectual Property Collateral have been
a party to an enforceable assignment agreement with such Grantor in accordance with
applicable laws, according and granting exclusive ownership of such Owned
Intellectual Property Collateral to such Grantor, in each case except as could not
reasonably be expected to have a Material Adverse Effect; and

     (xii) such Grantor owns directly or is entitled to use by license or otherwise,
all Intellectual Property Collateral with respect to any of the foregoing reasonably
necessary for such Grantor’s business, in each case except as could not reasonably
be expected to have a Material Adverse Effect.

     Notwithstanding anything contained herein to the contrary, it is understood and agreed that
(A) after the consummation of the IP Purchase, the Grantors shall be the owners of all the rights,
title and interests in, to and under the Intellectual Property Collateral and (B)the Grantors’
interests in such Intellectual Property Collateral will not be recorded at the applicable
filing offices as of the Closing Date, but shall be filed in such filing offices no later than five
Business Days following the Closing Date.

     SECTION 3.7. Validity, etc.

     (a) This Security Agreement creates a valid security interest in the Collateral
securing the payment of the Secured Obligations.

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     (b) Each Grantor has filed or caused to be filed all UCC-1 financing statements listing
the Collateral Agent as “Secured Party” in the filing office for each Grantor’s
jurisdiction of organization listed in Item A of Schedule II (collectively,
the “Filing Statements”) (or has authorized the Administrative Agent to file the
Filing Statements suitable for timely and proper filing in such offices) and has taken all
other:

     (i) actions necessary to obtain control of the Collateral (to the extent
required herein or in the Credit Agreement) as provided in Sections 9-104, 9-105,
9-106 and 9-107 of the UCC; and

     (ii) actions necessary to perfect the Collateral Agent’s security interest with
respect to any Collateral with a fair market value (as determined in good faith by
an Authorized Officer of the applicable Grantor) individually valued in excess of
$75,000 evidenced by a Certificate of Title.

     (c) Upon the filing of the Filing Statements with the appropriate agencies therefor the
security interests created under this Security Agreement shall constitute a perfected
security interest in the Collateral described on such Filing Statements in favor of the
Collateral Agent on behalf of the Secured Parties to the extent that a security interest
therein may be perfected by filing pursuant to the relevant UCC, prior to all other Liens,
except for Permitted Liens.

     SECTION 3.8. Authorization, Approval, etc. Except as have been obtained or made and
are in full force and effect, no authorization, approval or other action by, and no notice to or
filing with, any Governmental Authority or any other third party is required either

     (a) for the grant by the Grantors of the security interest granted hereby or for the
execution, delivery and performance of this Security Agreement by the Grantors;

     (b) for the perfection or maintenance of the security interests hereunder including the
first priority (subject to Permitted Liens) nature of such security interest to the extent
each Grantor is required to perfect a security interest hereunder in such Collateral (except
with respect to the Filing Statements or, with respect to Owned Intellectual Property
Collateral, the recordation of any agreements with the United States Patent and Trademark
Office or the United States Copyright Office) or the exercise by the Collateral Agent of its
rights and remedies hereunder; or

     (c) for the exercise by the Collateral Agent of the voting or other rights provided for
in this Security Agreement, or, except (i) with respect to any securities
issued by a Subsidiary of the Grantors, as may be required in connection with a
disposition of such securities by laws affecting the offering and sale of securities
generally, the remedies in respect of the Collateral pursuant to this Security Agreement,
(ii) any “change of control” or similar filings required by state licensing agencies and
(iii) with respect to any interest in a limited liability company, as may be required to
become a member and/or vote such interest.

     SECTION 3.9.  Best Interests. It is in the best interests of each Grantor (other than
the Borrower) to execute this Security Agreement inasmuch as such Grantor will, as a result of
being

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a Subsidiary of the Borrower, derive substantial direct and indirect benefits from the Credit
Extensions made from time to time to the Borrower by the Lenders and the Issuer pursuant to the
Credit Agreement, and each Grantor acknowledges that the Secured Parties are relying on this
representation in agreeing to make such Credit Extensions pursuant to the Credit Agreement to the
Borrower.

ARTICLE IV

COVENANTS

     Each Grantor covenants and agrees that, until the Termination Date, such Grantor will perform,
comply with and be bound by the obligations set forth below.

     SECTION 4.1.  As to Investment Property, etc.

     SECTION 4.1.1. Capital Securities of Subsidiaries. No Grantor will allow any of its
U.S. Subsidiaries:

     (a) that is a corporation, business trust, joint stock company or similar Person, after
the date hereof to issue Uncertificated Securities;

     (b) that is a partnership or limited liability company, to (i) issue Capital Securities
that are to be dealt in or traded on securities exchanges or in securities markets, (ii)
expressly provide in its Organic Documents that its Capital Securities are securities
governed by Article 8 of the UCC unless such Capital Securities have been delivered to the
Collateral Agent on the Closing Date or, to the extent such Organic Documents are modified
to provide that such Capital Securities are securities governed by Article 8 of the UCC such
Capital Securities, together with duly executed undated blank instruments of transfer
reasonably acceptable to the Collateral Agent, are delivered to the Collateral Agent on or
prior to the date of such modification, or (iii) place such Subsidiary’s Capital Securities
in a Securities Account unless such Securities Account is subject to a Control Agreement;
and

     (c) to issue Capital Securities in addition to or in substitution for the Capital
Securities pledged hereunder, except to such Grantor (and such Capital Securities are
immediately pledged and delivered to the Collateral Agent pursuant to the terms of this
Security Agreement).

     SECTION 4.1.2. Investment Property (other than Certificated Securities).

     (a) Other than Excluded Accounts, with respect to any Deposit Accounts, Securities
Accounts, Commodity Accounts, Commodity Contracts or Security Entitlements constituting
Investment Property owned or held by any Grantor with an intermediary who is not a Secured
Party, such Grantor will, upon notice from the Collateral Agent (at the request of the
Required Lenders) following the occurrence and during the continuance of an Event of
Default, take commercially reasonable efforts to cause the intermediary maintaining such
Investment Property to execute a Control Agreement relating to such Investment Property
pursuant to which such intermediary agrees to comply with the Collateral Agent’s
instructions with respect to such Investment

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Property upon the Collateral Agent’s notice of
sole control following the occurrence and during the continuance of an Event of Default;
provided that the Administrative Agent agrees to instruct the Collateral Agent to
promptly rescind such notice upon the cure or waiver of all Events of Default.

     (b) With respect to any Uncertificated Securities (other than Uncertificated Securities
credited to a Securities Account and any Capital Securities in a Foreign Subsidiary which
are uncertificated) constituting Investment Property owned or held by any Grantor, such
Grantor will take commercially reasonable efforts to cause the issuer of such securities to
either (i) register the Collateral Agent as the registered owner thereof on the books and
records of the issuer or (ii) execute a Control Agreement relating to such Investment
Property pursuant to which the issuer agrees to comply with the Collateral Agent’s
instructions with respect to such Uncertificated Securities upon notice of sole control
following the occurrence and during the continuance of an Event of Default; provided that
the Administrative Agent agrees to instruct the Collateral Agent to promptly rescind such
notice upon the cure or waiver of all Events of Default.

     SECTION 4.1.3. Certificated Securities (Stock Powers). Subject to Section 7.1.11 of
the Credit Agreement and applicable local law regarding the retention of certificates representing
Equity Interests in the appropriate jurisdiction, each Grantor agrees that all Certificated
Securities, including the Capital Securities delivered by such Grantor pursuant to this Security
Agreement, will be accompanied by duly executed undated blank stock powers, or other equivalent
instruments of transfer reasonably acceptable to the Collateral Agent.

     SECTION 4.1.4. Continuous Pledge. Subject to Section 7.1.11 of the Credit Agreement
and applicable local law regarding the retention of certificates representing Equity Interests in
the appropriate jurisdiction, each Grantor will (subject to the terms of the Credit Agreement and
the requirements hereunder) deliver to the Collateral Agent and at all times keep pledged to the
Collateral Agent pursuant hereto, on a first priority, perfected basis (subject to Permitted Liens)
in accordance with all applicable U.S. laws, all Investment Property, all Dividends and
Distributions with respect thereto, all Payment Intangibles to the extent they are evidenced by a
Document, Instrument, Promissory Note or Chattel Paper, and all interest and principal with respect
to such Payment Intangibles, and all Proceeds and rights from time to time received by or
distributable to such Grantor in respect of any of the foregoing, in each case to the extent such
asset constitutes Collateral. Each Grantor agrees that it will, promptly following receipt
thereof, deliver to the Collateral Agent possession of all originals of negotiable Documents,
Instruments, Promissory Notes and Chattel Paper that it acquires following the Closing Date to the
extent otherwise required hereunder.

     SECTION 4.1.5. Voting Rights; Dividends, etc. Each Grantor agrees promptly upon
receipt of notice from the Administrative Agent of the Administrative Agent’s or Collateral Agent’s
intent to seek remedies under this Section 4.1.5 after the occurrence and continuance of a
Specified Default:

     (a) so long as such Specified Default shall continue, to deliver (properly endorsed
where required hereby or requested by the Administrative Agent) to the Collateral Agent all
Dividends and Distributions with respect to Investment Property

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constituting Collateral, all
interest, principal, other cash payments on Payment Intangibles, and all Proceeds of the
Collateral, in each case thereafter received by such Grantor, all of which shall be held by
the Collateral Agent as additional Collateral; and

     (b) with respect to Collateral consisting of general partner interests or limited
liability company interests, upon the occurrence and continuance of a Specified Default and
so long as the Collateral Agent has notified such Grantor of the Collateral Agent’s
intention to exercise its voting power (pursuant to the written direction of the
Administrative Agent) under this clause,

     (i) that the Collateral Agent may exercise (to the exclusion of such Grantor)
the voting power and all other incidental rights of ownership with respect to any
Investment Property constituting Collateral and such Grantor hereby grants the
Collateral Agent an irrevocable proxy, exercisable under such circumstances, to vote
such Investment Property; and

     (ii) to promptly deliver to the Collateral Agent such additional proxies and
other documents as may be necessary to allow the Collateral Agent to exercise such
voting power.

All dividends, Distributions, interest, principal, cash payments, Payment Intangibles and Proceeds
that may at any time and from time to time be held by such Grantor, but which such Grantor is then
obligated to deliver to the Collateral Agent, shall, until delivery to the Collateral Agent, be
held by such Grantor separate and apart from its other property for the benefit of the Collateral
Agent. The Collateral Agent agrees that unless a Specified Default shall have occurred and be
continuing and the Collateral Agent shall have given the notice referred to in clause (b),
such Grantor will have the exclusive voting power with respect to any Investment Property
constituting Collateral and the Collateral Agent will, upon the written request of such Grantor,
promptly deliver such proxies and other documents, if any, as shall be reasonably requested by such
Grantor which are necessary to allow such Grantor to exercise that voting power; provided
that no vote shall be cast, or consent, waiver, or ratification given, or action taken by such
Grantor that would impair any such Collateral (except to the extent expressly permitted by the
Credit Agreement) or be inconsistent with or violate any provision of any Loan Document. After any
and all Events of Default have been cured or waived, (i) each Grantor shall have the right to
exercise the voting, managerial and other consensual rights and powers that it would otherwise be
entitled to pursuant to this Section 4.1.5 and receive the payments, proceeds, dividends,
distributions, monies, compensation, property, assets, instruments or rights which it would be
authorized to receive and retain pursuant to this Section 4.1.5 and (ii) within ten
Business Days after notice of such cure or waiver, the Collateral Agent shall repay and deliver to
each Grantor all cash and monies that such Grantor is entitled to retain pursuant to this Section
4.1.5 which was not applied in repayment of the Secured Obligations.

     SECTION 4.2. Change of Name, etc. No Grantor will change its legal name, place of
incorporation or organization, federal taxpayer identification number or organizational
identification number except upon 15 days’ prior written notice to the Collateral Agent.

     SECTION 4.3.  As to Accounts.

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     (a) Each Grantor shall have the right to collect all Accounts so long as (i) no
Specified Default shall have occurred and be continuing and (ii) notice pursuant to clause
(b) has not been delivered.

     (b) Upon (i) the occurrence and continuance of a Specified Default and (ii) the
delivery of notice by the Collateral Agent (at the direction of the Administrative Agent) to
each Grantor, all Proceeds of Collateral received by such Grantor shall be delivered in kind
to the Collateral Agent for deposit in a Deposit Account of such Grantor maintained with the
Collateral Agent (together with any other Accounts pursuant to which any portion of the
Collateral is deposited with the Collateral Agent, the “Collateral Accounts”), and
such Grantor shall not commingle any such Proceeds, and shall hold separate and apart from
all other property, all such Proceeds for the benefit of the Collateral Agent until delivery
thereof is made to the Collateral Agent.

     (c) Following the delivery of notice pursuant to clause (b)(ii), the Collateral
Agent shall apply any amount in the Collateral Account in accordance with Section 4.7 of the
Credit Agreement.

     (d) With respect to each of the Collateral Accounts, it is hereby confirmed and agreed
that (i) deposits in such Collateral Account are subject to a security interest as
contemplated hereby, (ii) such Collateral Account shall be under the control of the
Collateral Agent and (iii) the Collateral Agent shall have the sole right of withdrawal over
such Collateral Account.

     SECTION 4.4. As to Grantors Use of Collateral.

     (a) Subject to clause (b), each Grantor (i) may in the ordinary course of its
business, at its own expense, subject to Section 7.2.11 of the Credit Agreement, dispose of
and use any Collateral, (ii) subject to the applicable terms of the Credit Agreement, will,
at its own expense, endeavor to collect, as and when due, all amounts due with respect to
any of the Collateral, including the taking of such action with respect to such collection
as the Collateral Agent may reasonably request following the occurrence and continuance of a
Specified Default or, in the absence of such request, as such Grantor may deem advisable,
and (iii) may grant, in the ordinary course of business, to any party obligated on any of
the Collateral, any rebate, refund, set off or allowance to which such party may be lawfully
entitled or which may lawfully be allowed by such Grantor.

     (b) At any time following the occurrence and during the continuance of a Specified
Default, whether before or after the maturity of any of the Secured Obligations,
the Collateral Agent may, acting at the direction of the Required Lenders, (i) revoke
any or all of the rights of each Grantor set forth in clause (a), (ii) with two Business
Days prior notice to the applicable Grantor, notify any parties obligated on any of the
Collateral to make payment to the Collateral Agent of any amounts due or to become due
thereunder and (iii) with two Business Days prior notice to the applicable Grantor, enforce
collection of any of the Collateral by suit or otherwise and surrender, release, or exchange
all or any part thereof, or compromise or extend or renew for any period

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     (whether or not
longer than the original period) any indebtedness thereunder or evidenced thereby.

     (c) Upon the reasonable request of the Administrative Agent following the occurrence
and during the continuance of a Specified Default, each Grantor will, at its own expense,
promptly notify any parties obligated on any of the Collateral to make payment to the
Collateral Agent of any amounts due or to become due thereunder.

     (d) At any time following the occurrence and during the continuation of a Specified
Default, the Collateral Agent may endorse, in the name of such Grantor, any item, howsoever
received by the Collateral Agent, representing any payment on or other Proceeds of any of
the Collateral.

     SECTION 4.5.  As to Intellectual Property Collateral. Each Grantor covenants and
agrees to comply with the following provisions as such provisions relate to any Intellectual
Property Collateral (except for the tangible components of the Computer Hardware and Software
Collateral) material to the operations or business of such Grantor:

     (a) such Grantor will not, and will not knowingly permit any third party or licensee
to, (i) do or permit any act or knowingly omit to do any act whereby any of the Patent
Collateral may lapse or become abandoned or dedicated to the public or unenforceable except
upon expiration of the end of an unrenewable term of a registration thereof or as otherwise
permitted by the Credit Agreement, (ii) fail to maintain as in the past the quality of
products and services offered under the Trademark Collateral, (iii) fail to employ the
Trademark Collateral registered with any federal or state or foreign authority with an
appropriate notice of such registration, (iv) do or permit any act or knowingly omit to do
any act whereby any of the Trademark Collateral may lapse or become invalid or
unenforceable, or (v) do or permit any act or knowingly omit to do any act whereby any of
the Copyright Collateral or any of the Trade Secrets Collateral may lapse or become invalid
or unenforceable or placed in the public domain except upon expiration of the end of an
unrenewable term of a registration thereof, unless, in the case of any of the foregoing
requirements in clauses (i) through (v), (x) such Grantor shall reasonably
and in good faith determine that any of such Intellectual Property Collateral is of
negligible economic value to such Grantor or (y) the loss of such Intellectual Property
Collateral would not have a Material Adverse Effect;

     (b) such Grantor shall not permit any third party or licensee to adopt or use any other
Trademark which is confusingly similar or a colorable imitation of any of the Trademark
Collateral unless, (x) such Grantor shall reasonably and in good faith determine that any of
such Intellectual Property Collateral is of negligible economic
value to such Grantor or (y) the loss of such Intellectual Property Collateral would
not have a Material Adverse Effect;

     (c) unless otherwise permitted by the Credit Agreement, such Grantor shall promptly
notify the Collateral Agent if it knows that any application or registration relating to any
material item of the Intellectual Property Collateral (except for the tangible components of
the Computer Hardware and Software Collateral) has a

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reasonable likelihood of becoming
abandoned or dedicated to the public or placed in the public domain or invalid or
unenforceable, or of any adverse determination (including the institution of, or any such
determination or development in, any proceeding in the United States Patent and Trademark
Office, the United States Copyright Office) regarding such Grantor’s ownership of any
Intellectual Property Collateral, its right to register the same or to keep and maintain and
enforce the same;

     (d) concurrently with the delivery of a Compliance Certificate pursuant to clause (c)
of Section 7.1.1 of the Credit Agreement, each Grantor that has, since the date the
Compliance Certificate was last delivered, (i) filed an application for the registration of
any Patent or Trademark with the United States Patent and Trademark Office or (ii) received,
as owner or exclusive licensee, a Copyright registration with the United States Copyright,
in each case to the extent such Intellectual Property constitutes Collateral, shall inform
the Administrative Agent, and upon request of the Administrative Agent, promptly execute and
deliver an Intellectual Property Security Agreement substantially in the form set forth as
Exhibits A, B and C hereto and other documents as the Administrative Agent may reasonably
request to evidence the Collateral Agent’s security interest in such Intellectual Property
Collateral;

     (e) such Grantor will take all commercially reasonable steps, including in any
proceeding before the United States Patent and Trademark Office the United States Copyright
Office, to maintain and pursue any application (and to obtain the relevant registration)
filed with respect to, and to maintain any registration of, the Owned Intellectual Property
Collateral, including the filing of applications for renewal, affidavits of use, affidavits
of incontestability and opposition, interference and cancellation proceedings and the
payment of fees and taxes (except to the extent that dedication, abandonment or invalidation
is permitted under the Credit Agreement or under the foregoing clause (a) or
(b)); and

     (f) concurrently with the delivery of a Compliance Certificate pursuant to clause (c)
of Section 7.1.1 of the Credit Agreement, each Grantor that has obtained, since the date the
Compliance Certificate was last delivered, an ownership interest in any Patent, Copyright or
Trademark, in each case to the extent such Intellectual Property constitutes Collateral,
shall execute and deliver to the Collateral Agent a Patent Security Agreement, Copyright
Security Agreement or a Trademark Security Agreement in the form of Exhibit A, Exhibit B or
Exhibit C, as applicable, and in each case such Grantor shall execute and deliver to the
Collateral Agent any other document required to acknowledge or register, record or perfect
the Collateral Agent’s security interest in any part of such item of Intellectual Property
unless such Grantor shall otherwise determine
in good faith using its commercially reasonable business judgment that any such
Intellectual Property is not material.

     SECTION 4.6. As to Letter-of-Credit Rights.

     (a) Each Grantor, by granting a security interest in its Letter-of-Credit Rights to the
Collateral Agent, intends to (and hereby does) collaterally assign to the Collateral Agent its
rights (including its contingent rights ) to the Proceeds of all individual Letter-of-Credit

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Rights in excess of $2,000,000 of which it is or hereafter becomes a beneficiary or assignee.
Such Grantor will promptly use its commercially reasonable efforts to cause the issuer of each
such Letter of Credit and each nominated person (if any) with respect thereto to consent to
such assignment of the Proceeds thereof in a consent agreement in form and substance
reasonably satisfactory to the Collateral Agent and deliver written evidence of such consent
to the Collateral Agent.

     (b) Upon the occurrence and during the continuance of a Specified Default, such Grantor
will, promptly upon request by the Administrative Agent, (i) notify (and such Grantor hereby
authorizes the Administrative Agent to notify) the issuer and each nominated person with
respect to each of the Letters of Credit that the Proceeds thereof have been assigned to the
Collateral Agent hereunder and any payments due or to become due in respect thereof are to be
made directly to the Collateral Agent and (ii) use commercially reasonable effort to arrange
for the Collateral Agent to become the transferee beneficiary Letter of Credit.

     SECTION 4.7.  As to Commercial Tort Claims. Each Grantor covenants and agrees that,
until the occurrence of the Termination Date, with respect to any Commercial Tort Claim in excess
of $2,000,000 individually hereafter arising, it shall promptly deliver to the Collateral Agent a
revised Item H of Schedule II identifying such new Commercial Tort Claims.

     SECTION 4.8.  Electronic Chattel Paper and Transferable Records. If any Grantor at
any time holds or acquires an interest in any electronic chattel paper or any “transferable
record,” as that term is defined in Section 201 of the U.S. Federal Electronic Signatures in Global
and National Commerce Act, or in Section 16 of the U.S. Uniform Electronic Transactions Act as in
effect in any relevant jurisdiction, with a value in excess of $2,000,000, such Grantor shall
promptly notify the Administrative Agent thereof and, at the reasonable request of the
Administrative Agent, shall take such action as the Administrative Agent may request to vest in the
Collateral Agent control under Section 9-105 of the UCC of such electronic chattel paper or control
under Section 201 of the Federal Electronic Signatures in Global and National Commerce Act or, as
the case may be, Section 16 of the Uniform Electronic Transactions Act, as so in effect in such
jurisdiction, of such transferable record. The Collateral Agent agrees with such Grantor that the
Collateral Agent will allow, pursuant to procedures reasonably satisfactory to the Collateral Agent
and so long as such procedures will not result in the Collateral Agent’s loss of control, the
Grantor to make alterations to the electronic chattel paper or transferable record permitted under
Section 9-105 of the UCC or, as the case may be, Section 201 of the U.S. Federal Electronic
Signatures in Global and National Commerce Act or Section 16 of the U.S. Uniform Electronic
Transactions Act for a party in control to allow without loss of control, unless an Event of
Default has occurred and is continuing or would occur after taking into
account any action by such Grantor with respect to such electronic chattel paper or
transferable record.

     SECTION 4.9. Further Assurances, etc. Each Grantor agrees that, from time to time at
its own expense, it will promptly execute and deliver all further instruments and documents, and
take all further action, that is necessary, in order to perfect, preserve and protect any security
interest granted or purported to be granted hereby or to enable the Collateral Agent to exercise

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and enforce its rights and remedies hereunder with respect to any Collateral. Without limiting the
generality of the foregoing, such Grantor will

     (a) from time to time upon the reasonable request of the Administrative Agent or the
Collateral Agent, (i) promptly deliver to the Collateral Agent such stock powers,
instruments and similar documents, reasonably satisfactory in form and substance to the
Administrative Agent, with respect to such Collateral as the Administrative Agent may
request and (ii) after the occurrence and during the continuance of any Specified Default,
transfer any securities constituting Collateral into the name of any nominee designated by
the Collateral Agent; if any Collateral shall be evidenced by an Instrument, negotiable
Document, Promissory Note or tangible Chattel Paper and such Collateral, individually, has a
fair market value (as determined in good faith by an Authorized Officer of the applicable
Grantor) in excess of $2,000,000, promptly deliver and pledge to the Collateral Agent
hereunder such Instrument, negotiable Document, Promissory Note or tangible Chattel Paper
duly endorsed and accompanied by duly executed instruments of transfer or assignment, all in
form and substance reasonably satisfactory to the Collateral Agent;

     (b) file (and hereby authorize the Administrative Agent to file) such Filing Statements
or continuation statements, or amendments thereto, and such other instruments or notices
(including any assignment of claim form under or pursuant to the federal assignment of
claims statute, 31 U.S.C. § 3726, any successor or amended version thereof or any regulation
promulgated under or pursuant to any version thereof), as shall be necessary that the
Administrative Agent may reasonably request in order to perfect and preserve the security
interests and other rights granted or purported to be granted to the Collateral Agent
hereby;

     (c) promptly deliver to the Collateral Agent and at all times keep pledged to the
Collateral Agent pursuant hereto, on a first priority, perfected basis (subject to Permitted
Liens), at the request of the Administrative Agent, all Investment Property constituting
Collateral, all Dividends and Distributions with respect thereto, and all interest and
principal with respect to Promissory Notes, and all Proceeds and rights from time to time
received by or distributable to such Grantor in respect of any of the foregoing Collateral;

     (d) not take or omit to take any action the taking or the omission of which would
result in any impairment or alteration of any obligation of the maker of any Payment
Intangible or other Instrument constituting Collateral, except as provided in Section
4.4 or in the Credit Agreement;

     (e) upon the reasonable request of the Administrative Agent, place a legend reasonably
acceptable to the Administrative Agent indicating that the Collateral Agent has a security
interest in any tangible Chattel Paper;

     (f) furnish to the Collateral Agent, from time to time at the Administrative Agent’s
reasonable request, statements and schedules further identifying and describing

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the
Collateral and such other reports in connection with the Collateral as the Administrative
Agent may reasonably request, all in reasonable detail; and

     (g) comply with the reasonable requests of the Collateral Agent and the Administrative
Agent in accordance with this Security Agreement in order to enable the Collateral Agent to
have and maintain control over the Collateral consisting of Investment Property, Deposit
Accounts, Letter-of-Credit-Rights and Electronic Chattel Paper to the extent required
herein.

     With respect to the foregoing and the grant of the security interest hereunder, each Grantor
hereby authorizes the Administrative Agent or Collateral Agent to file one or more financing or
continuation statements, and amendments thereto, relative to all or any part of the Collateral; and
to make all relevant filings with the United States Patent and Trademark Office and the United
States Copyright Office in respect of the Intellectual Property Collateral, in each case naming the
Collateral Agent as “Secured Party” (or other similar term). Each Grantor agrees that a carbon,
photographic or other reproduction of this Security Agreement or any UCC financing statement
covering the Collateral or any part thereof shall be sufficient as a UCC financing statement where
permitted by law. Each Grantor hereby authorizes the Administrative Agent to file financing
statements describing as the collateral covered thereby “all of the debtor’s personal property or
assets”, “all assets”, “all personal property” or words to that effect, notwithstanding that such
wording may be broader in scope than the Collateral described in this Security Agreement.

     SECTION 4.10. Deposit Accounts. Promptly following the occurrence and during the
continuance of a Specified Default, at the request of the Collateral Agent (at the direction of the
Administrative Agent), such Grantor will maintain all of its Deposit Accounts only with the
Collateral Agent or with any depositary institution that has entered into a Control Agreement in
favor of the Collateral Agent. Such Control Agreements shall permit the Collateral Agent (at the
written instructions of the Administrative Agent) to deliver a notice of sole exclusive control
during the continuance of an Event of Default. To the extent the Collateral Agent (at the written
instructions of the Administrative Agent) has delivered a notice of sole control with respect to
any such Deposit Accounts pursuant to a Control Agreement, the Administrative Agent agrees promptly
to notify (no later than 2 Business Days) all such depository banks that the notice of exclusive
control has been rescinded and the applicable Grantor shall have the right to withdraw funds from
such Deposit Account(s) following the cure or waiver of all Specified Defaults.

ARTICLE V

THE COLLATERAL AGENT

     SECTION 5.1. Collateral Agent Appointed Attorney in Fact. Until the Termination
Date, each Grantor hereby irrevocably appoints the Collateral Agent as its attorney in fact, with
full authority in the place and stead of such Grantor and in the name of such Grantor or
otherwise, from time to time as directed by the Administrative Agent, following the occurrence and
during the continuance of a Specified Default, to take any action and to execute any instrument
which is necessary to accomplish the purposes of this Security Agreement, including:

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     (a) with two Business Days prior notice to the applicable Grantor, to ask, demand,
collect, sue for, recover, compromise, receive and give acquittance and receipts for moneys
due and to become due under or in respect of any of the Collateral;

     (b) to receive, endorse, and collect any drafts or other Instruments, Documents and
Chattel Paper, in connection with clause (a) above;

     (c) to file any claims or take any action or institute any proceedings which the
Administrative Agent may deem necessary or desirable for the collection of any of the
Collateral or otherwise to enforce the rights of the Collateral Agent with respect to any of
the Collateral; and

     (d) to perform the affirmative obligations of such Grantor hereunder.

          Each Grantor hereby acknowledges, consents and agrees that the power of attorney granted
pursuant to this Section is irrevocable and coupled with an interest.

     SECTION 5.2. Collateral Agent May Perform. If any Grantor fails to perform any
agreement contained herein and the Administrative Agent provides prior notice to such Grantor of
such failure, within three days of such notice, the Grantor shall perform, cause to be performed or
agree to perform (and thereafter actually perform within seven days after such notice) such
agreement, the Collateral Agent may (but shall have not obligation to) itself perform, or cause
performance of, such agreement, and the expenses of the Collateral Agent incurred in connection
therewith shall be payable by such Grantor pursuant to Section 10.3 of the Credit Agreement.

     SECTION 5.3. Collateral Agent Has No Duty. The powers conferred on the Collateral
Agent hereunder are solely to protect its interest (on behalf of the Secured Parties) in the
Collateral and shall not impose any duty on it to exercise any such powers. Except for reasonable
care of any Collateral in its possession, the accounting for moneys actually received by it
hereunder and, except to the extent of the gross negligence, bad faith or willful misconduct of the
Collateral Agent or any of its respective officers, directors, employees or agents, the Collateral
Agent shall have no duty as to any Collateral or responsibility for

     (a) ascertaining or taking action with respect to calls, conversions, exchanges,
maturities, tenders or other matters relative to any Investment Property, whether or not the
Collateral Agent has or is deemed to have knowledge of such matters, or

     (b) taking any necessary steps to preserve rights against prior parties or any other
rights pertaining to any Collateral.

     SECTION 5.4. Reasonable Care. The Collateral Agent is required to exercise
reasonable care in the custody and preservation of any of the Collateral in its possession;
provided that the Collateral Agent shall be deemed to have exercised reasonable care
in the custody and preservation of any of the Collateral, if (i) such Collateral is accorded
treatment substantially equal to that which the Collateral Agent accords its own property or (ii)
it takes such action for that purpose as each Grantor reasonably requests in writing at times other
than upon the occurrence and during the continuance of any Specified Default, but failure of the

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Collateral Agent to comply with any such request at any time shall not in itself be deemed a
failure to exercise reasonable care.

     SECTION 5.5. Liability.

     (a) No provision of this Security Agreement shall require the Collateral Agent to
expend or risk its own funds or otherwise incur any financial liability in the performance
of any of its duties hereunder, or in the exercise of any of its rights or powers and the
Collateral Agent shall not be liable or responsible for any loss or diminution in the value
of any of the Collateral.

     (b) In no event shall the Collateral Agent be responsible or liable for special,
indirect, or consequential loss or damage of any kind whatsoever (including, but not limited
to, loss of profit) irrespective of whether the Collateral Agent has been advised of the
likelihood of such loss or damage and regardless of the form of action.

     SECTION 5.6. Force Majeure. In no event shall the Collateral Agent be responsible
or liable for any failure or delay in the performance of its obligations hereunder arising out of
or caused by, directly or indirectly, forces beyond its control, including, without limitation,
strikes, work stoppages, accidents, acts of war or terrorism, civil or military disturbances,
nuclear or natural catastrophes or acts of God, and interruptions, loss or malfunctions of
utilities, communications or computer (software and hardware) services; it being understood that
the Collateral Agent shall use reasonable efforts which are consistent with accepted practices in
the banking industry to resume performance as soon as practicable under the circumstances.

ARTICLE VI

REMEDIES

     SECTION 6.1. Certain Remedies. If any Specified Default shall have occurred and be
continuing and the Administrative Agent shall have given written notice to the relevant Grantor of
the Collateral Agent’s intent to exercise its corresponding rights pursuant to this Section:

     (a) The Collateral Agent may exercise in respect of the Collateral, in addition to
other rights and remedies provided for herein or otherwise available to it, all the rights
and remedies of a Secured Party on default under the UCC (whether or not the UCC applies to
the affected Collateral) and also may to the extent permitted by applicable law:

     (i) take possession of any Collateral not already in its possession without
demand and without legal process;

     (ii) require each Grantor to, and each Grantor hereby agrees that it will, at
its expense and upon request of the Collateral Agent forthwith, assemble all or part
of the Collateral as directed by the Collateral Agent and make it
available to the Collateral Agent at a place to be designated by the Collateral
Agent that is reasonably convenient to both parties;

     (iii) enter onto the property where any Collateral is located and take
possession thereof without demand and without legal process; and

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     (iv) without notice except as specified below and to the extent permitted by
applicable law, lease, or license, sell or otherwise dispose of the Collateral or
any part thereof in one or more parcels at public or private sale, at any of the
Collateral Agent’s offices or elsewhere, for cash, on credit or for future delivery,
and upon such other terms as the Collateral Agent, at the direction of the
Administrative Agent, may deem commercially reasonable. Each Grantor agrees that,
to the extent notice of sale shall be required by law, at least ten days’ prior
notice to such Grantor of the time and place of any public sale or the time after
which any private sale is to be made shall constitute reasonable notification. The
Collateral Agent shall not be obligated to make any sale of Collateral regardless of
notice of sale having been given. The Collateral Agent may adjourn any public or
private sale from time to time by announcement at the time and place fixed therefor,
and such sale may, without further notice, be made at the time and place to which it
was so adjourned.

     (b) All cash Proceeds received by the Collateral Agent in respect of any sale of,
collection from, or other realization upon, all or any part of the Collateral shall be
applied by the Collateral Agent in accordance with Section 4.7 of the Credit Agreement.

     (c) The Collateral Agent may

     (i) transfer all or any part of the Collateral into the name of the Collateral
Agent or its nominee, with or without disclosing that such Collateral is subject to
the Lien hereunder;

     (ii) with two Business Days prior notice to the applicable Grantor, notify the
parties obligated on any of the Collateral to make payment to the Collateral Agent
of any amount due or to become due thereunder;

     (iii) withdraw, or cause or direct the withdrawal, of all funds with respect to
the Collateral Account to repay the Secured Obligations or otherwise apply such
funds in accordance with Section 4.7 of the Credit Agreement;

     (iv) enforce collection of any of the Collateral by suit or otherwise, and
surrender, release or exchange all or any part thereof, or compromise or extend or
renew for any period (whether or not longer than the original period) any
obligations of any nature of any party with respect thereto;

     (v) endorse any checks, drafts, or other writings in any Grantor’s name to
allow collection of the Collateral;

     (vi) take control of any Proceeds of the Collateral; and

     (vii) execute (in the name, place and stead of any Grantor) endorsements,
assignments, stock powers and other instruments of conveyance or transfer with
respect to all or any of the Collateral;

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     (d) Without limiting the foregoing, in respect of the Intellectual Property Collateral:

     (i) upon the request of the Administrative Agent, such Grantor shall execute
and deliver to the Collateral Agent an assignment or assignments of the Intellectual
Property Collateral, subject (in the case of any licenses thereunder) to any valid
and enforceable requirements to obtain consents from any third parties, and such
other documents as are necessary or appropriate to carry out the intent and purposes
hereof;

     (ii) the Administrative Agent shall have the right, in its sole discretion,
(which right shall take precedence over any right or action of any Grantor) to file
applications and maintain registrations for the protection of the Intellectual
Property Collateral and/or bring suit in the name of such Grantor, the Collateral
Agent or any Secured Party to enforce the Intellectual Property Collateral and any
licenses thereunder and, upon the request of the Administrative Agent, such Grantor
shall use all commercially reasonable efforts to assist with such filing or
enforcement (including the execution of relevant documents); and

     (iii) in the event that the Collateral Agent elects not to make any filing or
bring any suit as set forth in clause (ii), such Grantor shall, upon the request of
Collateral Agent, use all commercially reasonable efforts, whether through making
appropriate filings or bringing suit or otherwise, to protect, enforce and prevent
the infringement, misappropriation, dilution, unauthorized use or other violation of
the Intellectual Property Collateral.

     Notwithstanding the foregoing provisions of this Section 6.1, for the purposes of this
Section 6.1, “Collateral” and “Intellectual Property Collateral” shall include any “intent
to use” trademark application only to the extent (i) that the business of such Grantor, or portion
thereof, to which that mark pertains is also included in the Collateral and (ii) that such business
is ongoing and existing.

     SECTION 6.2. Securities Laws. If the Collateral Agent, at the direction of the
Administrative Agent, shall determine to exercise its right to sell all or any of the Collateral
that are Capital Securities pursuant to Section 6.1, each Grantor agrees that, upon request
of the Administrative Agent, each Grantor will, at its own expense:

     (a) use commercially reasonable efforts to execute and deliver, and cause (or, with
respect to any issuer which is not a Subsidiary of such Grantor, use its commercially
reasonable efforts to cause) each issuer of the Collateral contemplated to be sold and the
directors and officers thereof to execute and deliver, all such instruments and documents,
and do or cause to be done all such other acts and things, as may be necessary or, in the
opinion of the Administrative Agent, advisable to register such Collateral under the
provisions of the Securities Act of 1933, as from time to time amended (the “Securities
Act”), and use commercially reasonable efforts to cause the registration statement relating
thereto to become effective and to remain effective for such period as prospectuses are
required by law to be furnished, and to make all amendments and

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supplements thereto and to
the related prospectus which, in the opinion of the Administrative Agent, are necessary or
advisable, all in conformity with the requirements of the Securities Act and the rules and
regulations of the SEC applicable thereto;

     (b) use its commercially reasonable efforts to exempt the Collateral under the state
securities or “Blue Sky” laws and to obtain all necessary governmental approvals for the
sale of the Collateral, as requested by the Administrative Agent;

     (c) cause (or, with respect to any issuer that is not a Subsidiary of such Grantor, use
its commercially reasonable efforts to cause) each such issuer to make available to its
security holders, as soon as practicable, an earnings statement that will satisfy the
provisions of Section 11(a) of the Securities Act; and

     (d) do or use commercially reasonable efforts to cause to be done all such other acts
and things as may be necessary to make such sale of the Collateral or any part thereof valid
and binding and in compliance with applicable law.

     Each Grantor acknowledges the impossibility of ascertaining the amount of damages that would
be suffered by the Collateral Agent or the Secured Parties by reason of the failure by such Grantor
to perform any of the covenants contained in this Section and consequently agrees that, if such
Grantor shall fail to perform any of such covenants, it shall pay, as liquidated damages and not as
a penalty, an amount equal to the value (as determined by the Collateral Agent) of such Collateral
on the date the Collateral Agent shall demand compliance with this Section.

     SECTION 6.3. Compliance with Restrictions. Each Grantor agrees that in any sale of
any of the Collateral whenever a Specified Default shall have occurred and be continuing, the
Collateral Agent is hereby authorized to comply with any limitation or restriction in connection
with such sale as it may be advised by counsel is necessary in order to avoid any violation of
applicable law (including compliance with such procedures as may restrict the number of prospective
bidders and purchasers, require that such prospective bidders and purchasers have certain
qualifications, and restrict such prospective bidders and purchasers to Persons who will represent
and agree that they are purchasing for their own account for investment and not with a view to the
distribution or resale of such Collateral), or in order to obtain any required approval of the sale
or of the purchaser by any Governmental Authority or official, and such Grantor further agrees that
such compliance shall not result in such sale being considered or deemed not to have been made in a
commercially reasonable manner, nor shall the Collateral Agent be liable nor accountable to such
Grantor for any discount allowed by the reason of the fact that such Collateral is sold in
compliance with any such limitation or restriction.

     SECTION 6.4. Protection of Collateral. The Collateral Agent may from time to time, at the
direction of the Administrative Agent, perform any act which any Grantor fails, within three days
following the request by the Collateral Agent, to perform or agree to perform (and thereafter
actually perform within seven days following notice of requested performance) (it
being understood that no such request need be given after the occurrence and during the
continuance of a Specified Default) and the Collateral Agent may from time to time take any other
action which the Administrative Agent deems necessary for the maintenance, preservation or
protection of any of the Collateral or of its security interest therein.

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ARTICLE VII

MISCELLANEOUS PROVISIONS

     SECTION 7.1. Loan Document. This Security Agreement is a Loan Document executed
pursuant to the Credit Agreement and shall (unless otherwise expressly indicated herein) be
construed, administered and applied in accordance with the terms and provisions thereof, including
Article X thereof.

     SECTION 7.2.  Binding on Successors, Transferees and Assigns; Assignment. This
Security Agreement shall remain in full force and effect until the Termination Date has occurred,
shall be binding upon the Grantors and their successors, transferees and assigns and shall inure to
the benefit of and be enforceable by each Secured Party and its successors, transferees and
assigns; provided that no Grantor may (unless otherwise permitted under the terms of the
Credit Agreement or this Security Agreement) assign any of its obligations hereunder without the
prior written consent of all Lenders.

     SECTION 7.3. Amendments, etc. No amendment to or waiver of any provision of this
Security Agreement, nor consent to any departure by any Grantor from its obligations under this
Security Agreement, shall in any event be effective unless the same shall be in writing and signed
by the Collateral Agent (at the direction of the Administrative Agent) and the Administrative Agent
(on behalf of the Lenders or the Required Lenders, as the case may be, pursuant to Section 10.1 of
the Credit Agreement) and the Grantors and then such waiver or consent shall be effective only in
the specific instance and for the specific purpose for which given.

     SECTION 7.4. Notices. All notices and other communications provided for hereunder
shall be in writing or by facsimile and addressed, delivered or transmitted to the appropriate
party at the address or facsimile number of such party specified in the Credit Agreement or at such
other address or facsimile number as may be designated by such party in a notice to the other
party. Any notice or other communication, if mailed and properly addressed with postage prepaid or
if properly addressed and sent by pre-paid courier service, shall be deemed given when received;
any such notice or other communication, if transmitted by facsimile, shall be deemed given when
transmitted and electronically confirmed.

     SECTION 7.5. Release of Liens. Upon (a) the Disposition of Collateral in accordance
with the Credit Agreement or (b) the occurrence of the Termination Date, the security interests
granted herein shall automatically terminate with respect to (i) such Collateral (in the case of
clause (a)) or (ii) all Collateral (in the case of clause (b)). Upon any such Disposition
or termination, the Collateral Agent will, at the Grantors’ sole expense, promptly deliver to the
Grantors, without any representations, warranties or recourse of any kind whatsoever, all
Collateral held by the Collateral Agent hereunder, and execute and deliver to the Grantors such
documents as the Grantors shall reasonably request to evidence such termination.

     SECTION 7.6. Additional Grantors. Upon the execution and delivery by any other
Person of a supplement in the form of Annex I hereto, such U.S. Person shall become a “Grantor”
hereunder with the same force and effect as if it were originally a party to this Security
Agreement and named as a “Grantor” hereunder. The execution and delivery of such

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supplement shall
not require the consent of any other Grantor hereunder (except to the extent already obtained), and
the rights and obligations of each Grantor hereunder shall remain in full force and effect
notwithstanding the addition of any new Grantor as a party to this Security Agreement.

     SECTION 7.7. No Waiver; Remedies. In addition to, and not in limitation of
Section 2.4, no failure on the part of any Secured Party to exercise, and no delay in
exercising, any right hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise of any right hereunder preclude any other or further exercise thereof or the exercise of
any other right. The remedies herein provided are cumulative and not exclusive of any remedies
provided by law.

     SECTION 7.8. Headings. The various headings of this Security Agreement are inserted
for convenience only and shall not affect the meaning or interpretation of this Security Agreement
or any provisions thereof.

     SECTION 7.9. Severability. Any provision of this Security Agreement which is
prohibited or unenforceable in any jurisdiction shall, as to such provision and such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without invalidating the
remaining provisions of this Security Agreement or affecting the validity or enforceability of such
provision in any other jurisdiction.

     SECTION 7.10. Governing Law, Entire Agreement, etc. THIS SECURITY AGREEMENT SHALL BE
DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK
(INCLUDING FOR SUCH PURPOSE SECTIONS 5 1401 AND 5 1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE
OF NEW YORK), EXCEPT TO THE EXTENT THAT THE PERFECTION, EFFECT OF PERFECTION OR NONPERFECTION, AND
PRIORITY OF THE SECURITY INTEREST HEREUNDER, OR REMEDIES HEREUNDER, IN RESPECT OF ANY PARTICULAR
COLLATERAL ARE GOVERNED BY THE LAWS OF A JURISDICTION OTHER THAN THE STATE OF NEW YORK. This
Security Agreement and the other Loan Documents constitute the entire understanding among the
parties hereto with respect to the subject matter hereof and thereof and supersede any prior
agreements, written or oral, with respect thereto.

     SECTION 7.11. Counterparts. This Security Agreement may be executed by the parties
hereto in several counterparts, each of which shall be deemed to be an original and all of which
shall constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Security Agreement by facsimile (or other electronic) transmission shall be
effective as delivery of a manually executed counterpart of this Security Agreement.

     SECTION 7.12.  Foreign Pledge Agreements. Without limiting any of the rights,
remedies, privileges or benefits provided hereunder to the Collateral Agent for its benefit and the
ratable benefit of the other Secured Parties, each Grantor and the Collateral Agent hereby agree
that the terms and provisions of this Security Agreement in respect of any Collateral subject
to the pledge or other Lien of a Foreign Pledge Agreement are, and shall be deemed to be,
supplemental and in addition to the rights, remedies, privileges and benefits provided to the
Collateral Agent and the other Secured Parties under such Foreign Pledge Agreement and under

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applicable law to the extent consistent with applicable law; provided that, in the event that the
terms of this Security Agreement conflict or are inconsistent with the applicable Foreign Pledge
Agreement or applicable law governing such Foreign Pledge Agreement, (i) to the extent that the
provisions of such Foreign Pledge Agreement or applicable foreign law are, under applicable foreign
law, necessary for the creation, perfection or priority of the security interests in the Collateral
subject to such Foreign Pledge Agreement, the terms of such Foreign Pledge Agreement or such
applicable law shall be controlling and (ii) otherwise, the terms hereof shall be controlling.

     IN WITNESS WHEREOF, each of the parties hereto has caused this Security Agreement to be duly
executed and delivered by its Authorized Officer, solely in such capacity and not as an individual,
as of the date first above written.

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	HANESBRANDS INC.	 	 
	 
	 	 	 	 	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	HBI BRANDED APPAREL LIMITED, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	HANESBRANDS DIRECT, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	UPEL, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 

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	 	 	CARIBETEX, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	SEAMLESS TEXTILES, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	BA INTERNATIONAL, L.L.C.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	HBI INTERNATIONAL, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	HBI BRANDED APPAREL ENTERPRISES, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	CASA INTERNATIONAL, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 

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	 	 	UPCR, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	HBI SOURCING, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	CEIBENA DEL, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	NT INVESTMENT COMPANY, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	HANESBRANDS DISTRIBUTION, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 

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	 	 	CARIBESOCK, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	NATIONAL TEXTILES, L.L.C.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	HANES PUERTO RICO, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	PLAYTEX INDUSTRIES, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	INNER SELF LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	PLAYTEX DORADO, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 

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	 	 	HANES MENSWEAR, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	CITIBANK, N.A.,	 	 
	 
	 	 	 	 	 	 
	 	 	as Collateral Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	CITICORP USA, INC.	 	 
	 
	 	 	 	 	 	 
	 	 	as Administrative Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	Title:	 	 	 	 

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SCHEDULE I

to Security Agreement

Name of Grantor:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Common Stock	 
	 	 	 	 	 	 	 	 	 	 	Authorized	 	 	Outstanding	 	 	 	 
	Issuer (corporate)	 	Cert. #	 	 	# of Shares	 	 	Shares	 	 	Shares	 	 	% of Shares Pledged	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

	 	 	 	 	 	 	 	 	 
	 	 	Limited Liability Company Interests	 
	 	 	% of Limited Liability	 	 	Type of Limited Liability	 
	Issuer (limited liability company)	 	Company Interests Pledged	 	 	Company Interests Pledged	 
	 
	 	 	 	 	 	 	 	 

	 	 	 	 	 	 	 	 	 
	 	 	Partnership Interests	 
	 	 	% of Partnership	 	 	% of Partnership	 
	Issuer (partnership)	 	Interests Owned	 	 	Interests Pledged	 
	 
	 	 	 	 	 	 	 	 

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SCHEDULE II

to Security Agreement

Item A. Location of each Grantor.

	 	 	 
	Name of Grantor:

	 	Location for purposes of UCC:
	 
	 	 
	[GRANTOR]
	 	 

Item B. Organizational identification number.

	 
	Name of Grantor:

	 

	[GRANTOR]

Item C. Merger or other corporate reorganization.

	 	 	 
	Name of Grantor:

	 	Merger or other corporate
reorganization:
	 
	 	 
	[GRANTOR]
	 	 

Item D. Taxpayer ID numbers.

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	Name of Grantor:

	 	Taxpayer ID numbers:
	 
	 	 
	[GRANTOR]
	 	 

Item E. Government Contracts.

	 	 	 
	Name of Grantor:

	 	Description of Contract:
	 
	 	 
	[GRANTOR]
	 	 

Item F. Deposit Accounts and Securities Accounts.

	 	 	 
	Name of Grantor:

	 	Description of Deposit Accounts and Securities Accounts:
	 
	 	 
	[GRANTOR]
	 	 

Item G. Letter of Credit Rights.

	 	 	 
	Name of Grantor:

	 	Description of Letter of Credit Rights:
	 
	 	 
	[GRANTOR]
	 	 

Item H. Commercial Tort Claims.

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	Name of
Grantor:

	 	Description of Commercial Tort Claims:
	 
	 	 
	[GRANTOR]
	 	 

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SCHEDULE III

to Security Agreement

Item A. Patents

ISSUED PATENTS

	 	 	 
	PATENT NO.	 	ISSUE DATE	 	 	TITLE

Pending Patent Applications

	 	 	 
	SERIAL NO.	 	FILING DATE	 	 	TITLE

Item B. Patent Licenses

	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	 	Expiration
	PATENT	 	LICENSOR	 	 	LICENSEE	 	 	DATE	 	 	DATE

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SCHEDULE IV

to Security Agreement

Item A. Trademarks

Registered Trademarks

	 	 	 
	TRADEMARK	 	REGISTRATION NO.	 	 	REGISTRATION DATE

Pending Trademark Applications

	 	 	 
	TRADEMARK	 	SERIAL NO.	 	 	FILING DATE

Item B. Trademark Licenses

	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	 	Expiration
	TRADEMARK	 	LICENSOR	 	 	LICENSEE	 	 	DATE	 	 	DATE

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SCHEDULE V

to Security Agreement

Item A. Copyrights/Mask Works

Registered Copyrights/Mask Works

	 	 	 
	 	 	REGISTRATION DATE	 	 	 
	REGISTRATION NO.	 	TITLE	 	 	AUTHOR(S)

Copyright/Mask Work Pending Registration Applications

          SERIAL NO.

Item B. Copyright/Mask Work Licenses (including an all exclusive Copyright Licenses for
U.S. registered Copyrights)

	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	 	Expiration
	Copyright	 	Licensor	 	 	Licensee	 	 	Date	 	 	Date

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EXHIBIT A

to Security Agreement

PATENT SECURITY AGREEMENT (FIRST LIEN)

     This
PATENT SECURITY AGREEMENT, dated as of                      ___, 200___ (this “Agreement”), is
made by [NAME OF GRANTOR], a                                           (the “Grantor”), in favor of CITIBANK, N.A.,
as the collateral agent (together with its successor(s) thereto in such capacity, the
“Collateral Agent”) for each of the Secured Parties.

W
I T N E S S E
T H:

     WHEREAS, pursuant to a First Lien Credit Agreement, dated as of September 5, 2006 (as amended,
supplemented, amended and restated or otherwise modified from time to time, the “Credit
Agreement”), among the Borrower, the Lenders, HSBC Bank USA, National Association, LaSalle Bank
National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents,
Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead Arrangers
and Joint Bookrunners, the Lenders and the Issuers have extended Commitments to make Credit
Extensions to the Borrower;

     WHEREAS, in connection with the Credit Agreement, the Grantor has executed and delivered a
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”);

     WHEREAS, pursuant to the Credit Agreement and pursuant to Section 4.5 of the Security
Agreement, the Grantor is required to execute and deliver this Agreement and to grant to the
Collateral Agent a continuing security interest in all of the Patent Collateral (as defined below)
to secure all Secured Obligations; and

     WHEREAS, the Grantor has duly authorized the execution, delivery and performance of this
Agreement; and

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Grantor agrees, for the benefit of each Secured Party, as follows:

     SECTION
1. Definitions. Unless otherwise defined herein or the context otherwise requires, terms
used in this Agreement, including its preamble and recitals, have the meanings provided (or
incorporated by reference) in the Security Agreement.

     SECTION 2. Grant of Security Interest. The Grantor hereby grants to the Collateral Agent, for
its benefit and the ratable benefit of each other Secured Party, a continuing security interest in
all of

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the Grantor’s right, title and interest, whether now or hereafter existing or acquired by the
Grantor, in and to the following (“Patent Collateral”):

     (a)
inventions and discoveries, whether patentable or not, all letters patent and
applications for letters patent, including all patent applications in preparation for
filing, including all reissues, divisions, continuations, continuations-in-part, extensions,
renewals and reexaminations of any of the foregoing, including all patents issued by, or
patent applications filed with, the United States Patent and Trademark Office
(“Patents”), including each Patent and Patent application referred to in Item
A of Schedule I;

     (b)
all United States Patent licenses, and other agreements for the grant by or to the
Grantor of any right to use any items of the type referred to in clause (a) above
(each a “Patent License”), including each Patent License referred to in Item
B of Schedule I;

     (c)
the right to sue third parties for past, present and future infringements of any Patent
or Patent application, and for breach or enforcement of any Patent License; and

     (d)
all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits).

     Notwithstanding the foregoing, Patent Collateral shall not include any Excluded Collateral.

     SECTION 3. Security Agreement. This Agreement has been executed and delivered by the Grantor for
the purpose of registering the security interest of the Collateral Agent in the Patent Collateral
with the United States Patent and Trademark Office. The security interest granted hereby has been
granted as a supplement to, and not in limitation of, the security interest granted to the
Collateral Agent for its benefit and the ratable benefit of each other Secured Party under the
Security Agreement. The Security Agreement (and all rights and remedies of the Collateral Agent
and each Secured Party thereunder) shall remain in full force and effect in accordance with its
terms.

     SECTION 4. Release of Liens. Upon (i) the Disposition of Patent Collateral in accordance with
the Credit Agreement or (ii) the occurrence of the Termination Date, the security interests granted
herein shall automatically terminate with respect to (A) such Patent Collateral (in the case of
clause (i)) or (B) all Patent Collateral (in the case of clause (ii)). Upon any
such Disposition or termination, the Collateral Agent will, at the Grantor’s sole expense, deliver
to the Grantor, without any representations, warranties or recourse of any kind whatsoever, all
Patent Collateral held by the Collateral Agent hereunder, and execute and deliver to the Grantor
such Documents as the Grantor shall reasonably request to evidence such termination.

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     SECTION 5. Acknowledgment. The Grantor does hereby further acknowledge and affirm that the
rights and remedies of the Collateral Agent with respect to the security interest in the Patent
Collateral granted hereby are more fully set forth in the Security Agreement, the terms and
provisions of which (including the remedies provided for therein) are incorporated by reference
herein as if fully set forth herein.

     SECTION 6. Loan Document. This Agreement is a Loan Document executed pursuant to the Credit
Agreement and shall (unless otherwise expressly indicated herein) be construed, administered and
applied in accordance with the terms and provisions thereof, including Article X thereof.

     SECTION 7. Counterparts. This Agreement may be executed by the parties hereto in several
counterparts, each of which shall be deemed to be an original and all of which shall constitute
together but one and the same agreement. Delivery of an executed counterpart of a signature page
to this Agreement by facsimile (or other electronic) transmission shall be effective as delivery of
a manually executed counterpart of this Agreement.

*   *   *   *   *

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     IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed
and delivered by its Authorized Officer, solely in such capacity and not as an individual, as of
the date first above written.

	 	 	 	 	 
	 	[NAME OF GRANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CITIBANK, N.A.,

as Collateral Agent

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

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SCHEDULE I

to Patent Security Agreement

Item A. Patents

Issued Patents

	 	 	 
	Patent No.	 	Issue Date	 	 	Title

Pending Patent Applications

	 	 	 
	Serial No.	 	Filing Date	 	 	Title

Item B. Patent Licenses

	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	 	Expiration
	Patent	 	Licensor	 	 	Licensee	 	 	Date	 	 	Date

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EXHIBIT B

to Security Agreement

TRADEMARK SECURITY AGREEMENT (FIRST LIEN)

     This
TRADEMARK SECURITY AGREEMENT, dated as of                      ___, 200___ (this “Agreement”),
is made by [NAME OF GRANTOR], a                                           (the “Grantor”), in favor of CITIBANK,
N.A., as the collateral agent (together with its successor(s) thereto in such capacity, the
“Collateral Agent”) for each of the Secured Parties.

W
I T N E S S E
T H:

     WHEREAS, pursuant to a First Lien Credit Agreement, dated as of September 5, 2006 (as amended,
supplemented, amended and restated or otherwise modified from time to time, the “Credit
Agreement”), among the Borrower, the Lenders, HSBC Bank USA, National Association, LaSalle Bank
National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents,
Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead Arrangers
and Joint Bookrunners, the Lenders and the Issuers have extended Commitments to make Credit
Extensions to the Borrower;

     WHEREAS, in connection with the Credit Agreement, the Grantor has executed and delivered a
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”);

     WHEREAS, pursuant to the Credit Agreement and pursuant to Section 4.5 of the Security
Agreement, the Grantor is required to execute and deliver this Agreement and to grant to the
Collateral Agent a continuing security interest in all of the Trademark Collateral (as defined
below) to secure all Secured Obligations; and

     WHEREAS, the Grantor has duly authorized the execution, delivery and performance of this
Agreement; and

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Grantor agrees, for the benefit of each Secured Party, as follows:

     SECTION 1. Definitions. Unless otherwise defined herein or the context otherwise requires, terms
used in this Agreement, including its preamble and recitals, have the meanings provided (or
incorporated by reference) in the Security Agreement.

     SECTION 2. Grant of Security Interest. The Grantor hereby grants to the Collateral Agent, for
its benefit and the ratable benefit of each other Secured Party, a continuing security interest in
all of

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the Grantor’s right, title and interest, whether now or hereafter existing or acquired by the
Grantor, in and to the following (the “Trademark Collateral”):

     (a) (i) all United States trademarks, trade names, corporate names, company names,
business names, fictitious business names, trade styles, service marks, certification marks,
collective marks, logos and other source or business identifiers, and all goodwill of the
business associated therewith, now existing or hereafter adopted or acquired, whether
currently in use or not, all registrations and recordings thereof and all applications in
connection therewith, whether pending or in preparation for filing, including registrations,
recordings and applications (except for any such applications filed pursuant to 15 U.S.C. §
1051(b)) in the United States Patent and Trademark Office, and all common-law rights
relating to the foregoing, and (ii) the right to obtain all reissues, extensions or renewals
of the foregoing (collectively referred to as “Trademarks”), including those
Trademarks referred to in Item A of Schedule I;

     (b) all Trademark licenses and other agreements for the grant by or to the Grantor of
any right to use any Trademark (each a “Trademark License”), including each
Trademark License referred to in Item B of Schedule I;

     (c) all of the goodwill of the business connected with the use of, and symbolized by
the Trademarks described in clause (a) and, to the extent applicable, clause
(b);

     (d) the right to sue third parties for past, present and future infringements or
dilution of the Trademarks described in clause (a) and, to the extent applicable,
clause (b) or for any injury to the goodwill associated with the use of any such
Trademark or for breach or enforcement of any Trademark License; and

     (e) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits).

     Notwithstanding the foregoing, Trademark Collateral shall not include any Excluded Collateral.

     SECTION 3. Security Agreement. This Agreement has been executed and delivered by the Grantor for
the purpose of registering the security interest of the Collateral Agent in the Trademark
Collateral with the United States Patent and Trademark Office. The security interest granted
hereby has been granted as a supplement to, and not in limitation of, the security interest granted
to the Collateral Agent for its benefit and the ratable benefit of each other Secured Party under
the Security Agreement. The Security Agreement (and all rights and remedies of the Collateral
Agent and each Secured Party thereunder) shall remain in full force and effect in accordance with
its terms.

     SECTION 4. Release of Liens. Upon (i) the Disposition of Trademark Collateral in accordance with
the Credit Agreement or (ii) the occurrence of the Termination Date, the security interests granted
herein shall automatically terminate with respect to (A) such Trademark Collateral (in the case of
clause (i)) or (B) all Trademark Collateral (in the case of clause (ii)). Upon any
such

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Disposition or termination, the Collateral Agent will, at the Grantor’s sole expense, deliver
to the Grantor, without any representations, warranties or recourse of any kind whatsoever, all
Trademark Collateral held by the Collateral Agent hereunder, and execute and deliver to the Grantor
such Documents as the Grantor shall reasonably request to evidence such termination.

     SECTION 5. Acknowledgment. The Grantor does hereby further acknowledge and affirm that the
rights and remedies of the Collateral Agent with respect to the security interest in the Trademark
Collateral granted hereby are more fully set forth in the Security Agreement, the terms and
provisions of which (including the remedies provided for therein) are incorporated by reference
herein as if fully set forth herein.

     SECTION 6. Loan Document. This Agreement is a Loan Document executed pursuant to the Credit
Agreement and shall (unless otherwise expressly indicated herein) be construed, administered and
applied in accordance with the terms and provisions thereof, including Article X thereof.

     SECTION 7. Counterparts. This Agreement may be executed by the parties hereto in several
counterparts, each of which shall be deemed to be an original and all of which shall constitute
together but one and the same agreement. Delivery of an executed counterpart of a signature page
to this Agreement by facsimile (or other electronic) transmission shall be effective as delivery of
a manually executed counterpart of this Agreement.

*   *   *   *   *

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     IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed
and delivered by Authorized Officer, solely in such capacity and not as an individual, as of the
date first above written.

	 	 	 	 	 
	 	[NAME OF GRANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CITIBANK, N.A.,

as Collateral Agent

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

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SCHEDULE I

to Trademark Security Agreement

 Item A. Trademarks

Registered Trademarks

	 	 	 
	Trademark	 	Registration No.	 	 	Registration Date

Pending Trademark Applications

	 	 	 
	Trademark	 	Serial No.	 	 	Filing Date

Item B. Trademark Licenses

	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	 	Expiration
	Trademark	 	Licensor	 	 	Licensee	 	 	Date	 	 	Date

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EXHIBIT C

to Security Agreement

COPYRIGHT SECURITY AGREEMENT (FIRST LIEN)

     This
COPYRIGHT SECURITY AGREEMENT, dated as of                      ___, 200___ (this “Agreement”),
is made by [NAME OF GRANTOR], a                                           (the “Grantor”), in favor of CITIBANK,
N.A., as the collateral agent (together with its successor(s) thereto in such capacity, the
“Collateral Agent”) for each of the Secured Parties.

W
I T N E S S E
T H:

     WHEREAS, pursuant to a First Lien Credit Agreement, dated as of September 5, 2006 (as amended,
supplemented, amended and restated or otherwise modified from time to time, the “Credit
Agreement”), among the Borrower, the Lenders, HSBC Bank USA, National Association, LaSalle Bank
National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents,
Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead Arrangers
and Joint Bookrunners, the Lenders and the Issuers have extended Commitments to make Credit
Extensions to the Borrower;

     WHEREAS, in connection with the Credit Agreement, the Grantor has executed and delivered a
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”);

     WHEREAS, pursuant to the Credit Agreement and pursuant to Section 4.5 of the Security
Agreement, the Grantor is required to execute and deliver this Agreement and to grant to the
Collateral Agent a continuing security interest in all of the Copyright Collateral (as defined
below) to secure all Secured Obligations; and

     WHEREAS, the Grantor has duly authorized the execution, delivery and performance of this
Agreement; and

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Grantor agrees, for the benefit of each Secured Party, as follows:

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     SECTION 1. Definitions. Unless otherwise defined herein or the context otherwise requires, terms
used in this Agreement, including its preamble and recitals, have the meanings provided (or
incorporated by reference) in the Security Agreement.

     SECTION 2. Grant of Security Interest. The Grantor hereby grants to the Collateral Agent, for
its benefit and the ratable benefit of each other Secured Party, a continuing security interest in
all of the Grantor’s right, title and interest, whether now or hereafter existing or acquired by
the Grantor, in and to the following (the “Copyright Collateral”):

     (a) all United States copyrights, registered or unregistered and whether published or
unpublished, now or hereafter in force including copyrights registered or applied for in the
United States Copyright Office, and registrations and recordings thereof and all
applications for registration thereof, whether pending or in preparation and all extensions
and renewals of the foregoing (“Copyrights”), including the Copyrights which are the
subject of a registration or application referred to in Item A of Schedule
I;

     (b) all express or implied Copyright licenses and other agreements for the grant by or
to the Grantor of any right to use any items of the type referred to in clause (a) above
(each a “Copyright License”), including each Copyright License referred to in
Item B of Schedule I;

     (c) the right to sue for past, present and future infringements of any of the
Copyrights owned by the Grantor, and for breach or enforcement of any Copyright License and
all extensions and renewals of any thereof; and

     (d) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits).

     Notwithstanding the foregoing, Copyright Collateral shall not include any Excluded Collateral.

     SECTION 3. Security Agreement. This Agreement has been executed and delivered by the Grantor for
the purpose of registering the security interest of the Collateral Agent in the Copyright
Collateral with the United States Copyright Office. The security interest granted hereby has been
granted as a supplement to, and not in limitation of, the security interest granted to the
Collateral Agent for its benefit and the ratable benefit of each other Secured Party under the
Security Agreement. The Security Agreement (and all rights and remedies of the Collateral Agent
and each Secured Party thereunder) shall remain in full force and effect in accordance with its
terms.

     SECTION
4. Release of Liens. Upon (i) the Disposition of Copyright Collateral in accordance with
the Credit Agreement or (ii) the occurrence of the Termination Date, the security interests granted
herein shall automatically terminate with respect to (A) such Copyright Collateral (in the case of
clause (i)) or (B) all Copyright Collateral (in the case of clause (ii)). Upon any
such Disposition or termination, the Collateral Agent will, at the Grantor’s sole expense, deliver
to the Grantor, without any representations, warranties or recourse of any kind whatsoever, all

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Copyright Collateral held by the Collateral Agent hereunder, and execute and deliver to the
Grantor such Documents as the Grantor shall reasonably request to evidence such termination.

     SECTION 5. Acknowledgment. The Grantor does hereby further acknowledge and affirm that the
rights and remedies of the Collateral Agent with respect to the security interest in the Copyright
Collateral granted hereby are more fully set forth in the Security Agreement, the terms and
provisions of which (including the remedies provided for therein) are incorporated by reference
herein as if fully set forth herein.

     SECTION 6. Loan Document. This Agreement is a Loan Document executed pursuant to the Credit
Agreement and shall (unless otherwise expressly indicated herein) be construed, administered and
applied in accordance with the terms and provisions thereof, including Article X thereof.

     SECTION 7. Counterparts. This Agreement may be executed by the parties hereto in several
counterparts, each of which shall be deemed to be an original and all of which shall constitute
together but one and the same agreement. Delivery of an executed counterpart of a signature page
to this Agreement by facsimile (or other electronic) transmission shall be effective as delivery of
a manually executed counterpart of this Agreement.

*   *   *   *   *

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     IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed
and delivered by its Authorized Officer, solely in such capacity and not as an individual, as of
the date first above written.

	 	 	 	 	 
	 	[NAME OF GRANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CITIBANK, N.A.,

as Collateral Agent

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

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SCHEDULE I

to Copyright Security Agreement

Item A. Copyrights/Mask Works

Registered Copyrights/Mask Works

	 	 	 
	Registration No.	 	Registration Date	 	 	Title

Item B. Copyright/Mask Work Licenses (including an all exclusive Copyright Licenses for U.S.
registered Copyrights)

	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	 	Expiration
	Copyright	 	Licensor	 	 	Licensee	 	 	Date	 	 	Date

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ANNEX I

to Security Agreement

SUPPLEMENT TO

PLEDGE AND SECURITY AGREEMENT (FIRST LIEN)

     This SUPPLEMENT, dated as of                                          ___,
                     (this “Supplement”), is to the
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”), among the
Grantors (such term, and other terms used in this Supplement, to have the meanings set forth in or
incorporated by reference in Article I of the Security Agreement) from time to time party thereto,
in favor of CITIBANK, N.A., as the collateral agent (together with its successor(s) thereto in such
capacity, the “Collateral Agent”) for each of the Secured Parties.

W I T N E S S E T H
:

     WHEREAS, pursuant to a First Lien Credit Agreement, dated as of September 5, 2006 (as amended,
supplemented, amended and restated or otherwise modified from time to time, the “Credit
Agreement”), among the Borrower, the Lenders, HSBC Bank USA, National Association, LaSalle Bank
National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents,
Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead Arrangers
and Joint Bookrunners, the Lenders and the Issuers have extended Commitments to make Credit
Extensions to the Borrower; and

     WHEREAS, pursuant to the provisions of Section 7.6 of the Security Agreement, each of the
undersigned is becoming a Grantor under the Security Agreement; and

     WHEREAS, each of the undersigned desires to become a “Grantor” under the Security Agreement in
order to induce the Secured Parties to continue to extend Loans and issue Letters of Credit under
the Credit Agreement;

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, each of the undersigned agrees, for the benefit of each Secured Party, as
follows.

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     SECTION 1. Party to Security Agreement, etc. In accordance with the terms of the Security
Agreement, by its signature below each of the undersigned hereby irrevocably agrees to become a
Grantor under the Security Agreement with the same force and effect as if it were an original
signatory thereto and each of the undersigned hereby (a) agrees to be bound by and comply with all
of the terms and provisions of the Security Agreement applicable to it as a Grantor and (b)
represents and warrants that the representations and warranties made by it as a Grantor thereunder
are true and correct in all material respects as of the date hereof, unless stated to relate solely
to an earlier date, in which case such representations and warranties shall be true and correct in
all material respects as of such earlier date. In furtherance of the foregoing, each reference to
a “Grantor” and/or “Grantors” in the Security Agreement shall be deemed to include each of the
undersigned.

     SECTION 2. Representations. Each of the undersigned Grantor hereby represents and warrants that
this Supplement has been duly authorized, executed and delivered by it and that this Supplement and
the Security Agreement constitute the legal, valid and binding obligation of each of the
undersigned, enforceable (except, in any case, as such enforceability may be limited by applicable
bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights generally and by
principles of equity) against it in accordance with its terms.

     SECTION 3. Full Force of Security Agreement. Except as expressly supplemented hereby, the
Security Agreement shall remain in full force and effect in accordance with its terms.

     SECTION 4. Severability. Wherever possible each provision of this Supplement shall be
interpreted in such manner as to be effective and valid under applicable law, but if any provision
of this Supplement shall be prohibited by or invalid under such law, such provision shall be
ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of
such provision or the remaining provisions of this Supplement or the Security Agreement.

     SECTION 5. Governing Law, Entire Agreement, etc. THIS SUPPLEMENT SHALL BE DEEMED TO BE A
CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH
PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK). This
Supplement and the other Loan Documents constitute the entire understanding among the parties
hereto with respect to the subject matter thereof and supersede any prior agreements, written or
oral, with respect thereto.

     SECTION 6. Counterparts. This Supplement may be executed by the parties hereto in several
counterparts, each of which shall be deemed to be an original and all of which shall constitute
together but one and the same agreement. Delivery of an executed counterpart of a signature page
to this Supplement by facsimile (or other electronic) transmission shall be effective as delivery
of a manually executed counterpart of this Supplement.

*   *   *   *   *

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Annex I - 2

 

     IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed
and delivered by its Authorized Officer, solely in such capacity and not as an individual, as of
the date first above written.

	 	 	 	 	 
	 	[NAME OF ADDITIONAL SUBSIDIARY]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	[NAME OF ADDITIONAL SUBSIDIARY]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

ACCEPTED AND AGREED FOR ITSELF

AND ON BEHALF OF THE SECURED PARTIES:

	 	 	 	 
	CITIBANK, N.A., 

as Collateral Agent

	 	 	 	 
	By:  	 	 
	 	Name:  	 	 
	 	Title:  	 	 

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[COPY SCHEDULES FROM SECURITY AGREEMENT]

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Annex I - 4

 

EXHIBIT H

INTERCREDITOR AGREEMENT

     This INTERCREDITOR AGREEMENT, dated as of September 5, 2006, is entered into among CITIBANK,
N.A., as First Lien Agent (as defined below), CITIBANK, N.A., as Second Lien Agent (as defined
below), CITIBANK, N.A., as Control Agent (as defined below), the First Lien Borrower, the First
Lien Guarantors, the Second Lien Borrower and the Second Lien Guarantors (each as defined below)
from time to time a party hereto.

W I T N E S S E T H

     WHEREAS, concurrently with the execution and delivery of this Agreement, the First Lien
Borrower, certain financial institutions and other Persons (as defined below) as lenders (together
with their respective successors and assigns, the “First Lien Lenders”), and Citicorp USA,
Inc., as administrative agent for such First Lien Lenders, are entering into a Credit Agreement,
dated as of the date hereof (as such agreement may be amended, supplemented, amended and restated
or otherwise modified from time to time, the “Initial First Lien Financing Agreement”),
pursuant to which such First Lien Lenders have agreed to make loans and extensions of credit to the
First Lien Borrower;

     WHEREAS, concurrently with the execution and delivery of this Agreement, the Second Lien
Borrower, certain financial institutions and other Persons (as defined below) as lenders (together
with their respective successors and assigns, the “Second Lien Lenders”), and Citicorp USA,
Inc., as administrative agent for such Second Lien Lenders, are entering into a Credit Agreement,
dated as of the date hereof (as such agreement may be amended, supplemented, amended and restated
or otherwise modified from time to time, the “Initial Second Lien Financing Agreement”),
pursuant to which such Second Lien Lenders have agreed to make loans to the Second Lien Borrower;

     WHEREAS, the First Lien Borrower and the First Lien Guarantors have granted to the First Lien
Agent security interests in the Common Collateral as security for the prompt payment and
performance of the First Lien Obligations;

     WHEREAS, the Second Lien Borrower and the Second Lien Guarantors have granted to the Second
Lien Agent security interests in the Common Collateral as security for the prompt payment and
performance of the Second Lien Obligations; and

     WHEREAS, the First Lien Agent on behalf of itself and the First Lien Lenders and the Second
Lien Agent on behalf of itself and the Second Lien Lenders, and by their acknowledgment hereof, the
First Lien Borrower, the First Lien Guarantors, the Second Lien Borrower and the Second Lien
Guarantors, have agreed to, among other things, the relative priority of Liens on the Common
Collateral as provided herein.

     NOW, THEREFORE, in consideration of the foregoing, the mutual covenants and obligations herein
set forth and for other good and valuable consideration, the adequacy and receipt of which are hereby acknowledged, and in reliance upon the representations, warranties

Intercreditor Agreement

- 1 -

 

and covenants herein contained, the parties hereto, intending to be legally bound, hereby agree as
follows:

ARTICLE I

DEFINITIONS

     SECTION 1.1. Defined Terms. As used in this Agreement, the following terms shall
have the following meanings:

     “Affiliate” means, with respect to any Person, another Person that directly, or
indirectly through one or more intermediaries, Controls or is Controlled by or is under common
Control with the Person specified. “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. Without limiting the generality of the
foregoing, a Person shall be deemed to be Controlled by another Person if such other Person
possesses, directly or indirectly, power to vote 10% or more of the securities having ordinary
voting power for the election of directors, managing general partners or the equivalent.

     “Agreement” means this Intercreditor Agreement, as the same may be amended, restated,
supplemented or otherwise modified from time to time.

     “Cash Management Obligations” means, with respect to the Borrower or any of its
Subsidiaries, any direct or indirect liability, contingent or otherwise, of such Person in respect
of cash management services (including treasury, depository, overdraft (daylight and temporary),
credit or debit card, electronic funds transfer and other cash management arrangements) provided
after the Closing Date by a Person who is (or was at the time such Cash Management Obligations were
incurred) the First Lien Administrative Agent, any First Lien Lender or any Affiliate thereof,
including obligations for the payment of fees, interest, charges, expenses, attorneys’ fees and
disbursements in connection therewith to the extent provided for in the documents evidencing such
cash management services.

     “Bankruptcy Code” means Title 11 of the United States Code (11 U.S.C. 101 et seq.), as
amended from time to time.

     “Borrowers” means the First Lien Borrower and the Second Lien Borrower.

     “Capital Securities” means, with respect to any Person, all shares, interests,
participations or other equivalents (however designated, whether voting or non-voting) of such
Person’s capital, whether now outstanding or issued after the date hereof.

     “Capitalized Lease Liabilities” means, with respect to any Person, all monetary
obligations of such Person and its Subsidiaries under any leasing or similar arrangement which, in
accordance with GAAP, should be classified as capitalized leases, and for purposes of each Loan
Document the amount of such obligations shall be the capitalized amount thereof, determined in
accordance with GAAP, and the stated maturity thereof shall be the date of the last
payment of rent or any other amount due under such lease prior to the first date upon which
such lease may be terminated by the lessee without payment of a premium or a penalty.

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     “Common Collateral” means any and all of the assets and property of any Borrower or
any Guarantor, now owned or hereafter acquired, whether real, personal or mixed, in or upon which a
Lien is granted or purported to be granted to the First Lien Agent pursuant to the First Lien
Documents and the Second Lien Agent pursuant to the Second Lien Documents.

     “Comparable Second Lien Collateral Document” means in relation to any Common
Collateral subject to any First Lien Collateral Document, any Second Lien Collateral Document(s)
which create a security interest in the same Common Collateral, granted by the same Borrower or
same Guarantor.

     “Contingent Liability” means any agreement, undertaking or arrangement by which any
Person guarantees, endorses or otherwise becomes or is contingently liable upon (by direct or
indirect agreement, contingent or otherwise, to provide funds for payment, to supply funds to, or
otherwise to invest in, a debtor, or otherwise to assure a creditor against loss) the Indebtedness
of any other Person (other than by endorsements of instruments in the course of collection), or
guarantees the payment of dividends or other distributions upon the Capital Securities of any other
Person. The amount of any Person’s obligation under any Contingent Liability shall (subject to any
limitation set with respect thereto) be deemed to be the outstanding principal amount of the debt,
obligation or other liability guaranteed thereby.

     “Control Agent” is defined in clause (a) of Section 5.5.

     “Control Collateral” means any Common Collateral consisting of any Certificated
Security, Investment Property, Deposit Account, cash and any other Collateral as to which a Lien
may be perfected through possession or control by the secured party, or any agent therefor.

     “Controlled Account” means any deposit accounts of the Borrowers or Guarantors subject
to Liens under the terms of the First Lien Collateral Documents or the Second Lien Collateral
Documents.

     “DIP Financing” is defined in Section 6.1.

     “Discharge of First Lien Obligations” means (subject to reinstatement in accordance
with Section 6.5), the first date upon which each of the following has occurred: (i) the
payment in full in cash of all First Lien Obligations (other than contingent obligations or
indemnification obligations for which no claim has been asserted); (ii) the termination of all
Hedging Obligations or the cash collateralization (or collateralization with other letters of
credit) of all First Lien Obligations, in a manner satisfactory to the applicable Hedging
Obligation counterparty owed such obligation; (iii) the expiration, termination or cash
collateralization (or collateralization with other letters of credit), in a manner satisfactory to
the First Lien Agent, of all Letters of Credit (as defined in the First Lien Financing Agreement);
(iv) the termination of all commitments to extend credit under the First Lien Financing Agreement;
and (v) the delivery by the First Lien Agent to the Second Lien Agent of a written notice
confirming that the conditions set forth in clauses (i), (ii), (iii) and
(iv) have been satisfied.

     “First Lien Administrative Agent” means the “Administrative Agent” under, and as
defined in, the First Lien Financing Agreement.

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     “First Lien Agent” means Citibank, N.A., in its capacity as collateral agent under the
First Lien Collateral Documents, and any successor thereto exercising substantially the same rights
and powers.

     “First Lien Borrower” means Hanesbrands Inc., a Maryland corporation, as borrower
under the First Lien Financing Agreement.

     “First Lien Collateral” means all of the assets and properties of the First Lien
Borrower or any First Lien Guarantor, now owned or hereafter acquired, whether real, personal or
mixed, in or upon which a Lien is granted or purported to be granted to the First Lien Lenders or
the First Lien Agent as security for any First Lien Obligation pursuant to the First Lien
Documents.

     “First Lien Collateral Documents” means, collectively, the security agreements, pledge
agreements, collateral assignments, control agreements, mortgages, deeds of trust and other
documents or agreements, if any, providing for grants or transfers for security executed and
delivered by the First Lien Borrower, any First Lien Guarantor or any of their respective
Subsidiaries creating a Lien upon property owned or to be acquired by the First Lien Borrower, such
First Lien Guarantor or such Subsidiary in favor of any holder of First Lien Obligations or the
First Lien Agent, in each case as security for any First Lien Obligations.

     “First Lien Documents” means, collectively, the First Lien Financing Agreement, the
First Lien Collateral Documents, all Hedge Agreements evidencing Hedging Obligations and all
agreements evidencing Cash Management Obligations that, in each case, constitute First Lien
Obligations and all other agreements, documents and instruments executed or delivered pursuant to
or in connection with any of the foregoing at any time evidencing any First Lien Obligations.

     “First Lien Financing Agreement” means, collectively, (i) the Initial First Lien
Financing Agreement, and (ii) any other credit agreement, loan agreement, note agreement,
promissory note, indenture or other agreement or instrument evidencing or governing the terms of
any Indebtedness or other financial accommodation that has been incurred to extend, increase
(subject to the limitations set forth herein), replace, refinance or refund in whole or in part the
Indebtedness and other obligations outstanding under the Initial First Lien Financing Agreement or
any other agreement or instrument referred to in this clause unless such agreement or instrument
expressly provides that it is not intended to be and is not a First Lien Financing Agreement;
provided, that if and to the extent that any amendment, modification, increase,
replacement, refinancing or refunding of the Initial First Lien Financing Agreement or any other
agreement referred to in this clause (in each case other than a DIP Financing provided in
accordance with Section 6) provides for revolving credit commitments, revolving credit
loans, term loans, bonds, debentures, notes or similar instruments having a principal amount in
excess of the Maximum First Lien Principal Debt Amount, then only that portion of such principal
amount in excess of the Maximum First Lien Principal Debt Amount shall not
constitute First Lien Obligations for purposes of this Agreement. Any reference to the First
Lien Financing Agreement hereunder shall be deemed a reference to any First Lien Financing
Agreement then in existence.

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     “First Lien Guarantor” means each Person that is (or hereafter becomes) a guarantor of
the First Lien Obligations pursuant to the First Lien Documents. Upon becoming a guarantor
thereunder such Person shall automatically be deemed to be a First Lien Guarantor for all purposes
hereunder.

     “First Lien Lenders” is defined in the recitals and in addition shall include the
First Lien Agent and any Person from time to time holding (or committed to provide) First Lien
Obligations.

     “First Lien Obligations” means, collectively, (i) subject, in the case of principal
only, to the proviso in the definition of First Lien Financing Agreement, all Indebtedness
outstanding under or with respect to one or more of the First Lien Documents, and (ii) all other
Obligations owing by the First Lien Borrower or any First Lien Guarantor under or with respect to
the First Lien Financing Agreement or any other First Lien Document, including all claims under the
First Lien Documents for interest, fees, expense reimbursements, indemnification and other similar
claims, and all claims with respect to Cash Management Obligations and Hedging Obligations (other
than those owing to the Second Lien Agent). First Lien Obligations shall include all interest
accrued or accruing (or which would accrue absent the commencement of an Insolvency or Liquidation
Proceeding) after the commencement of an Insolvency or Liquidation Proceeding in accordance with
and at the rate specified in the First Lien Financing Agreement, whether or not the claim for such
interest is allowed or allowable in any Insolvency or Liquidation Proceeding. To the extent any
payment with respect to the First Lien Obligations (whether by or on behalf of the First Lien
Borrower or any First Lien Guarantor, as proceeds of security, enforcement of any right of setoff
or otherwise) is declared to be a fraudulent conveyance or a preference or in any respect set aside
or required to be paid to a debtor in possession, the Second Lien Agent, a receiver or similar
Person, then the Obligation or part thereof originally intended to be satisfied shall be deemed to
be reinstated and outstanding as if such payment had not occurred, all as more fully set forth in
Section 6.5.

     “First Lien Required Lenders” means with respect to any amendment or modification of
the First Lien Financing Agreement or this Agreement, or any termination or waiver of any provision
of the First Lien Financing Agreement or this Agreement, or any consent or departure by the First
Lien Borrower or the First Lien Guarantors, as the case may be, therefrom (in each case exclusive
of any such modification, waiver, consent, etc., which is permitted to be effected by the First
Lien Administrative Agent and the First Lien Borrower without further approval or consent of any
First Lien Lenders), those First Lien Lenders, the approval of which is required pursuant to the
First Lien Financing Agreement to approve such amendment or modification, termination or waiver or
consent or departure.

     “GAAP” means United States generally accepted accounting principles and policies as in
effect from time to time.

     “Guarantors” means the First Lien Guarantors and the Second Lien Guarantors.

     “Governmental Authority” means the government of the United States, any other nation
or any political subdivision thereof, whether state or local, and any agency, authority,

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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.

     “Hedge Agreement” means any interest rate, foreign currency, commodity or equity swap,
collar, cap, floor or forward rate agreement, or other agreement or arrangement designed to protect
against fluctuations in interest rates or currency, commodity or equity values (including any
option with respect to any of the foregoing and any combination of the foregoing agreements or
arrangements), and any confirmation executed in connection with any such agreement or arrangement.

     “Hedging Obligations” means obligations of any Borrower, any Guarantor or any of their
respective Subsidiaries under any Hedge Agreement entered into with any counterparty that is (or at
the time of its delivery, was) the First Lien Agent, a First Lien Lender or an Affiliate of the
First Lien Agent or any First Lien Lender.

     “including” means “including, without limitation”.

     “Indebtedness” of any Person means, (i) all obligations of such Person for borrowed
money or advances and all obligations of such Person evidenced by bonds, debentures, notes or
similar instruments, (ii) all monetary obligations, contingent or otherwise, relative to the face
amount of all letters of credit, whether or not drawn, and banker’s acceptances issued for the
account of such Person, (iii) all Capitalized Lease Liabilities of such Person, (iv) whether or not
so included as liabilities in accordance with GAAP, all obligations of such Person to pay the
deferred purchase price of property or services (excluding trade accounts payable and accrued
expenses in the ordinary course of business which are not overdue for a period of more than 90 days
or, if overdue for more than 90 days, as to which a dispute exists and adequate reserves in
conformity with GAAP have been established on the books of such Person), (v) indebtedness secured
by (or for which the holder of such indebtedness has an existing right, contingent or otherwise, to
be secured by) a Lien on property owned or being acquired 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 (provided
that in the event such indebtedness is limited in recourse solely to the property subject to such
Lien, for the purposes of this Agreement the amount of such indebtedness shall not exceed the
greater of the book value or the fair market value (as determined in good faith by such Person’s
board of directors or other managing body) of the property subject to such Lien), (vi) monetary
obligations arising under Synthetic Leases, (vii) the full outstanding balance of trade
receivables, notes or other instruments sold with full recourse (and the portion thereof subject to
potential recourse, if sold with limited recourse), other than in any such case any thereof sold
solely for purposes of collection of delinquent accounts and other than in connection with any
Permitted Securitization (as defined in the First Lien Financing Agreement and the Second Lien
Financing Agreement), (viii) all obligations (other than intercompany obligations) of such Person
pursuant to any Permitted Securitization (other than
Standard Securitization Undertakings (as defined in the First Lien Financing Agreement and the
Second Lien Financing Agreement)), and (ix) all Contingent Liabilities of such Person in respect of
any of the foregoing. The Indebtedness of any Person shall include the Indebtedness of any other
Person (including any partnership in which such Person is a general partner) to the extent

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such
Person is liable therefore as a result of such Person’s ownership interest in or other relationship
with such Person, except to the extent the terms of such Indebtedness provide that such Person is
not liable therefore.

     “Initial First Lien Financing Agreement” is defined in the recitals.

     “Initial Second Lien Financing Agreement” is defined in the recitals.

     “Insolvency or Liquidation Proceeding” means (i) any voluntary or involuntary case or
proceeding under the Bankruptcy Code with respect to any Borrower or any Guarantor, (ii) any other
voluntary or involuntary insolvency, reorganization or bankruptcy case or proceeding, or any
receivership, liquidation, reorganization or other similar case or proceeding with respect to any
Borrower or any Guarantor or with respect to any of their respective assets, (iii) any liquidation,
dissolution, reorganization or winding up of any Borrower or any Guarantor whether voluntary or
involuntary and whether or not involving insolvency or bankruptcy, or (iv) any assignment for the
benefit of creditors or any other marshalling of assets and liabilities of any Borrower or any
Guarantor.

     “Lien” means any mortgage, pledge, hypothecation, assignment, 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, and any financing lease having
substantially the same economic effect as any of the foregoing).

     “Maximum First Lien Principal Debt Amount” means $2,600,000,000.

     “Obligations” means any principal, interest, penalties, fees, indemnities,
reimbursement obligations, guarantee obligations, costs, expenses (including fees and disbursements
of counsel), damages and other liabilities and obligations, whether direct or indirect, absolute or
contingent, due or to become due, or now existing or hereafter incurred, which may arise under, out
of, or in connection with the documentation governing, or made, delivered or given in connection
with, any Indebtedness (including interest accruing at the then applicable rate provided in such
documentation after the maturity of such Indebtedness and interest accruing at the then applicable
rate provided in such documentation after the commencement of an Insolvency or Liquidation
Proceeding (or which would, absent the commencement of an Insolvency or Liquidation proceeding,
accrue)), relating to any Borrower or any Guarantor, whether or not a claim for such post-filing or
post-petition interest is allowed or allowable in such Insolvency or Liquidation Proceeding.

     “Person” means any natural person, corporation, limited liability company,
partnership, joint venture, association, trust or unincorporated organization, Governmental
Authority or any other legal entity, whether acting in an individual, fiduciary or other capacity.

     “Recovery” is defined in Section 6.5.

     “Second Lien Administrative Agent” means the “Administrative Agent” under, and as
defined in, the Second Lien Financing Agreement.

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     “Second Lien Agent” means Citibank, N.A., in its capacity as collateral agent under
the Second Lien Collateral Documents, and any successor thereto exercising substantially the same
rights and powers.

     “Second Lien Borrower” means HBI Branded Apparel Limited, Inc., a Delaware
corporation, as borrower under the Second Lien Financing Agreement.

     “Second Lien Collateral” means all of the assets and properties of the Second Lien
Borrower or any Second Lien Guarantor, now owned or hereafter acquired, whether real, personal or
mixed, in or upon which a Lien is granted or purported to be granted to the Second Lien Agent or
the Second Lien Lenders as security for any Second Lien Obligation pursuant to the Second Lien
Documents.

     “Second Lien Collateral Documents” means, collectively, the security agreements,
pledge agreements, collateral assignments, control agreements, mortgages, deeds of trust and other
documents or agreements, if any, providing for grants or transfers for security executed and
delivered by the Second Lien Borrower, any Second Lien Guarantor or any of their respective
Subsidiaries creating a Lien upon property owned or to be acquired by the Second Lien Borrower,
such Second Lien Guarantor or such Subsidiary in favor of any holder of Second Lien Obligations or
the Second Lien Agent, in each case as security for any Second Lien Obligations.

     “Second Lien Documents” means, collectively, the Second Lien Financing Agreement, the
Second Lien Collateral Documents and any other related document or instrument executed or delivered
pursuant to any of the foregoing at any time or otherwise evidencing any Second Lien Obligations.

     “Second Lien Enforcement Date” means the date which is 180 days following the date
upon which the First Lien Agent receives a notice from the Second Lien Agent certifying that (i) an
Event of Default (under and as defined in the Second Lien Financing Agreement) has occurred and is
continuing, and (ii) Second Lien Lenders holding the requisite amount of Second Lien Obligations
(or the Second Lien Agent on their behalf) have declared the Second Lien Obligations to be due and
payable prior to their stated maturity in accordance with the Second Lien Financing Agreement;
provided, that the Second Lien Enforcement Date shall be stayed and shall not occur and
shall be deemed not to have occurred (w) at any time the First Lien Agent or the First Lien Lenders
have commenced, and are diligently pursuing, any enforcement action with respect to the Common
Collateral, (x) the First Lien Agent (or the First Lien Lenders holding the requisite amount of
First Lien Obligations) has declared the First Lien Obligations to be due and payable prior to
their stated maturity, (y) at any time any Borrower or any Guarantor is then a debtor under or with
respect to (or otherwise subject to) any Insolvency or Liquidation Proceeding or (z) if the
acceleration of the Second Lien Obligations is rescinded in accordance with the terms of the Second
Lien Financing Agreement.

     “Second Lien Financing Agreement” means, collectively, (i) the Initial Second Lien
Financing Agreement, and (ii) any other credit agreement, loan agreement, note agreement,
promissory note, indenture, or other agreement or instrument evidencing or

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governing the terms of
any Indebtedness or other financial accommodation that has been incurred to extend, increase
(subject to the limitations set forth herein), replace, refinance or refund in whole or in part the
Indebtedness and other obligations outstanding under the Initial Second Lien Financing Agreement or
other agreement or instrument referred to in this clause. Any reference to the Second Lien
Financing Agreement hereunder shall be deemed a reference to any Second Lien Financing Agreement
then in existence.

     “Second Lien Guarantor” means each Person that is (or hereafter becomes) a guarantor
of the Second Lien Obligations pursuant to the Second Lien Documents. Upon becoming a guarantor
thereunder such Person shall automatically be deemed to be a Second Lien Guarantor for all purposes
hereunder.

     “Second Lien Lender” is defined in the recitals and in addition shall include any
Person holding Second Lien Obligations.

     “Second Lien Obligations” means, collectively, (i) all Indebtedness outstanding under
or with respect to the Second Lien Documents, and (ii) all other Obligations owing by the Second
Lien Borrower or any Second Lien Guarantor under or with respect to the Second Lien Financing
Agreement or any other Second Lien Documents, including all claims under the Second Lien Documents
for interest, fees, expense reimbursements, indemnification and other similar claims. Second Lien
Obligations shall include all interest accrued or accruing (or which would, absent the commencement
of an Insolvency or Liquidation Proceeding, accrue) after the commencement of an Insolvency or
Liquidation Proceeding in accordance with and at the rate specified in the Second Lien Financing
Agreement whether or not the claim for such interest is allowed as a claim in such Insolvency or
Liquidation Proceeding. To the extent any payment with respect to the Second Lien Obligations
(whether by or on behalf of the Second Lien Borrower or any Second Lien Guarantor, as proceeds of
security, enforcement of any right of setoff or otherwise) is declared to be a fraudulent
conveyance or a preference in any respect, set aside or required to be paid to a debtor in
possession, First Lien Agent, receiver or similar Person, then the Obligation or part thereof
originally intended to be satisfied shall be deemed to be reinstated and outstanding as if such
payment had not occurred.

     “Second Lien Required Lenders” means with respect to any amendment or modification of
the Second Lien Financing Agreement or this Agreement, or any termination or waiver of any
provision of the Second Lien Financing Agreement or this Agreement, or any consent or departure by
the Second Lien Borrower or the Second Lien Guarantors, as the case may be, therefrom (in each case
exclusive of any such modification, waiver, consent, etc., which is permitted to be effected by the
Second Lien Administrative Agent and the Second Lien Borrower without further approval or consent
of any Second Lien Lenders), those Second Lien Lenders, the approval of which is required pursuant
to the Second Lien Financing Agreement to approve such amendment or modification, termination or
waiver or consent or departure.

     “Second Lien Security Agreement” means, collectively, the security agreements, pledge
agreements or similar collateral documents by which the Second Lien Agent obtains a Lien or
security interest in the Common Collateral for the benefit of the Second Lien Lenders.

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     “Subsidiary” means, with respect to any Person, any other Person of which more than
50% of the outstanding Voting Securities of such other Person (irrespective of whether at the time
Capital Securities of any other class or classes of such other Person shall or might have voting
power upon the occurrence of any contingency) is at the time directly or indirectly owned or
controlled by such Person, by such Person and one or more other Subsidiaries of such Person, or by
one or more other Subsidiaries of such Person.

     “Synthetic Lease” means, as applied to any Person, any lease (including leases that
may be terminated by the lessee at any time) of any property (whether real, personal or mixed) (i)
that is not a capital lease in accordance with GAAP and (ii) in respect of which the lessee retains
or obtains ownership of the property so leased for federal income tax purposes, other than any such
lease under which that Person is the lessor.

     “Uniform Commercial Code” or “UCC” means the Uniform Commercial Code as in effect from
time to time in the State of New York or any other applicable jurisdiction.

     “United States” means the United States of America, its fifty states and the District
of Columbia.

     “Voting Securities” means, with respect to any Person, Capital Securities of any class
or kind ordinarily having the power to vote for the election of directors, managers or other voting
members of the governing body of such Person.

     SECTION 1.2. UCC Defined Terms. In addition, the following terms which are defined
in the Uniform Commercial Code are used herein as so defined: Certificated Security, Deposit
Account, Instrument and Investment Property.

     SECTION 1.3. Definitions (Generally). The definitions of terms herein shall apply
equally to the singular and plural forms of the terms defined. 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 this
Agreement) herein shall be construed as referring to such agreement, instrument or other document
as from time to time amended, extended, supplemented, restated, replaced or otherwise modified
(subject to any restrictions on such amendments, extensions, supplements, restatements,
replacements or modifications set forth herein), (ii) any reference herein to any Person shall be
construed to include such Person’s successors and assigns, (iii) the words “herein,” “hereof” and
“hereunder,” and words of similar import, shall be construed to refer to this Agreement in its
entirety and not to any particular provision thereof, (iv) all references herein to Sections shall
be construed to refer to Sections of this Agreement, (v) 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 contracts, and (vi) any reference
to any law, rule, regulation, statute, code,
ordinance or treaty shall include any statutory or regulatory provisions consolidating,
amending, replacing, supplementing or interpreting any of the foregoing.

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ARTICLE II

LIEN PRIORITIES

     SECTION 2.1. Lien Priority.

     (a) Priority. Notwithstanding (i) the date, time, method, manner or order of
grant, attachment or perfection (or failure to perfect) of any Liens granted to the Second
Lien Agent or the Second Lien Lenders on all or any portion of the Common Collateral or of
any Liens granted to the First Lien Agent or the First Lien Lenders on all or any portion of
the Common Collateral, and regardless of how such Lien was acquired (whether by grant,
statute, operation of law, subrogation or otherwise), (ii) the order or time of filing or
recordation of any document or instrument for perfecting the Liens in favor of the First
Lien Agent or the Second Lien Agent (or any First Lien Lender or Second Lien Lender) in any
Common Collateral, (iii) any provision of the UCC, the Bankruptcy Code or any applicable
law, the First Lien Documents or the Second Lien Documents, (iv) whether the First Lien
Agent or the Second Lien Agent, in each case, either directly or through agents, holds
possession of, or has control over, all or any part of the Common Collateral, (v) the fact
that any Liens in favor of the First Lien Agent or the First Lien Lenders securing any of
the First Lien Obligations are (A) subordinated to any Lien securing any obligation of any
Borrower or any Guarantor other than the First Lien Obligations or (B) otherwise
subordinated, voided, avoided, invalidated, or lapsed, or (vi) any other circumstance
whatsoever, the Second Lien Agent, on behalf of itself and the Second Lien Lenders, hereby
agrees that: (x) any Lien on any Common Collateral securing the First Lien Obligations now
or hereafter held by the First Lien Agent or the First Lien Lenders shall be senior in
priority to all Liens on any Common Collateral securing the Second Lien Obligations; and (y)
any Lien on any Common Collateral now or hereafter held by the Second Lien Agent or the
Second Lien Lenders shall be and are expressly junior and subordinate in priority to any and
all Liens on any Common Collateral securing the First Lien Obligations.

     (b) Effect of Perfection or Failure to Perfect. Notwithstanding any failure
by the First Lien Agent, any First Lien Lender, the Second Lien Agent or any Second Lien
Lender to perfect its security interests in any Common Collateral or any avoidance,
invalidation or subordination by any third party or court of the security interests in any
Common Collateral granted to any such Person, the priority and rights as between the First
Lien Agent and the First Lien Lenders on the one hand and the Second Lien Agent and the
Second Lien Lenders on the other hand with respect to any Common Collateral shall be as set
forth in this Agreement.

     (c) Nature of First Lien Obligations. The Second Lien Agent on behalf of
itself and the Second Lien Lenders acknowledges that a portion of the First Lien Obligations
are revolving in nature and that the amount thereof that may be outstanding at any time or
from time to time may be increased or reduced and subsequently reborrowed, and that the
terms of the First Lien Obligations may be modified, extended or amended from
time to time, and (subject to the proviso in the definition of First Lien Financing
Agreement) the aggregate amount of the First Lien Obligations may be increased, replaced or
refinanced, in each event, without notice to or consent by the Second Lien

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Agent or any
Second Lien Lender and without affecting the provisions hereof. The lien priorities
provided in this Section shall not be altered or otherwise affected by any such amendment,
modification, supplement, extension, repayment, reborrowing, increase, replacement, renewal,
restatement or refinancing of either the First Lien Obligations or the Second Lien
Obligations, or any portion thereof.

     SECTION 2.2. Prohibition on Contesting Liens. The Second Lien Agent, for itself and
on behalf of each Second Lien Lender, and the First Lien Agent, for itself and on behalf of each
First Lien Lender, each agrees that it shall not (and hereby waives any right to) directly or
indirectly contest or support any other Person in contesting, or objecting to, in any proceeding
(including any Insolvency or Liquidation Proceeding), the priority, perfection, validity or
enforceability of any Lien in any Common Collateral granted to the other, or the provisions of this
Agreement.

     SECTION 2.3. No New Liens.

     (a) Limitation on other Collateral for First Lien Lenders. So long as any
Second Lien Obligations remain outstanding, and subject to Section 6 hereof, (i) the
First Lien Agent agrees that, after the date hereof, neither the First Lien Agent nor any
First Lien Lender shall acquire or hold any Lien (other than cash collateralization of any
First Lien Obligation consisting of letters of credit, Hedging Obligations or Bank Product
Obligations) on any assets of any Borrower, any Guarantor or any of their respective
Subsidiaries securing any First Lien Obligations which assets are not also subject to the
second-priority Lien of the Second Lien Agent under the Second Lien Documents, and (ii) each
Borrower and each Guarantor agrees not to grant any Lien on any of its assets, or permit any
of its Subsidiaries to grant a Lien (other than cash collateralization of any First Lien
Obligation consisting of letters of credit, Hedging Obligations or Bank Product Obligations)
on any of its assets, in favor of the First Lien Agent or the First Lien Lenders securing
the First Lien Obligations unless it, or such Subsidiary, has granted a similar Lien on such
assets in favor of the Second Lien Agent or the Second Lien Lenders securing the Second Lien
Obligations. If the First Lien Agent or any First Lien Lender shall acquire any Lien (other
than cash collateralization of any First Lien Obligation consisting of letters of credit,
Hedging Obligations or Bank Product Obligations) on any assets of any Borrower, any
Guarantor or any of their respective Subsidiaries securing any First Lien Obligations which
assets are not also subject to the second-priority Lien of the Second Lien Agent under the
Second Lien Documents, then the First Lien Agent (or the relevant First Lien Lender), shall,
without the need for any further consent of any other Person and notwithstanding anything to
the contrary in any other First Lien Document (A) be deemed to hold and have held such Lien
for the benefit of the Second Lien Agent as security for the Second Lien Obligations subject
to the priorities and other terms set forth herein or (B) release such Lien.

     (b) Limitation on other Collateral for Second Lien Lenders. Until the date
upon which the Discharge of First Lien Obligations shall have occurred, (i) the Second
Lien Agent agrees that, after the date hereof, neither the Second Lien Agent nor any
Second Lien Lender shall acquire or hold any Lien on any assets of any Borrower, any
Guarantor or any of their respective Subsidiaries securing any Second Lien

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Obligations which
assets are not also subject to the first-priority Lien of the First Lien Agent securing the
First Lien Obligations, and (ii) each Borrower and each Guarantor agrees not to grant any
Lien on any of its assets, or permit any of its Subsidiaries to grant a Lien on any of its
assets, in favor of the Second Lien Agent or the Second Lien Lenders securing the Second
Lien Obligations unless it, or such Subsidiary, has granted a similar Lien on such assets in
favor of the First Lien Agent or the First Lien Lenders. If the Second Lien Agent or any
Second Lien Lender shall acquire any Lien on any assets of any Borrower, any Guarantor or
any of their respective Subsidiaries securing any Second Lien Obligations which assets are
not also subject to the first-priority Lien of the First Lien Agent securing the First Lien
Obligations, then the Second Lien Agent (or the relevant Second Lien Lender), shall, without
the need for any further consent of any other Person and notwithstanding anything to the
contrary in any other Second Lien Document (A) be deemed to hold and have held such Lien for
the benefit of the First Lien Agent as security for the First Lien Obligations subject to
the priorities and other terms set forth herein or (B) release such Lien.

     SECTION 2.4. Similar Liens and Agreements. The parties hereto agree that it is their
intention that the First Lien Collateral and the Second Lien Collateral be identical. In
furtherance of the foregoing, the parties hereto agree:

     (a) upon request of the First Lien Agent or the Second Lien Agent, to cooperate in
good faith (and to direct their counsel and agents to cooperate in good faith) from time to
time in order to determine the specific items included in the First Lien Collateral and the
Second Lien Collateral and the steps taken to perfect their respective Liens thereon and the
identity of the respective grantors with respect thereto; and

     (b) that the terms and provisions contained in the documents and agreements creating
or evidencing the First Lien Collateral and the Second Lien Collateral shall be in all
material respects be the same forms of documents other than with respect to the priority of
the Liens thereunder.

ARTICLE III

ENFORCEMENT, STANDSTILL, WAIVERS

     SECTION 3.1. Standstill and Waivers. Until the earlier of (i) the date upon which
the Discharge of First Lien Obligations shall have occurred, whether or not any Insolvency or
Liquidation Proceeding has been commenced by or against any Borrower, any Guarantor or any of their
respective Subsidiaries, or (ii) the Second Lien Enforcement Date, neither the Second Lien Agent
nor the Second Lien Lenders:

     (a) will oppose, object to or contest in any manner, any foreclosure, sale, lease,
exchange, transfer or other disposition of any Common Collateral by the First Lien Agent or
any First Lien Lender, or any other exercise of any rights or remedies by or on behalf of
the First Lien Agent or any First Lien Lender in respect of any Common Collateral,
including the commencement or prosecution of any enforcement action under applicable
law or the First Lien Documents;

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     (b) shall have any right to (1) direct either the First Lien Agent or any First Lien
Lender to exercise any right, remedy or power with respect to any Common Collateral or
pursuant to the First Lien Documents or (2) contest or object to the exercise by the First
Lien Agent or any First Lien Lender of any right, remedy or power with respect to any Common
Collateral or pursuant to the First Lien Documents or to the timing or manner in which any
such right is exercised or not exercised (and, to the extent they may have any such right
described in this clause, whether as a junior lien creditor or otherwise, they hereby
irrevocably waive such right);

     (c) will institute any suit or other proceeding or assert in any suit, Insolvency or
Liquidation Proceeding or other proceeding any claim against the First Lien Agent or any
First Lien Lender seeking damages from or other relief by way of specific performance,
instructions or otherwise, with respect to, and none of the First Lien Agent nor any First
Lien Lender shall be liable for, any action taken or omitted to be taken by the First Lien
Agent or any First Lien Lender with respect to any Common Collateral or pursuant to the
First Lien Documents; provided, that this provision shall not prevent the Second
Lien Agent on behalf of the Second Lien Lenders from asserting claims against the First Lien
Agent for damages arising from its gross negligence or willful misconduct in performing its
duties and obligations hereunder;

     (d) will take, receive or accept any Common Collateral or any proceeds of any Common
Collateral, except in accordance with the provisions of this Agreement;

     (e) will commence judicial or nonjudicial foreclosure proceedings with respect to,
seek to have a trustee, receiver, liquidator or similar official appointed for or over,
attempt any action to take possession of any Common Collateral, exercise any right, remedy
or power with respect to, or otherwise take any action to enforce their interest in or
realize upon, any Common Collateral or pursuant to the Second Lien Documents; or

     (f) will seek, and hereby waive any right, to have the Common Collateral or any part
thereof marshaled upon any foreclosure or other disposition of any Common Collateral.

     SECTION 3.2. Exclusive Enforcement; Nature of Rights.

     (a) Limitation on Action by Second Lien Lenders. Until the earlier of (i) the
date upon which the Discharge of First Lien Obligations shall have occurred, whether or not
any Insolvency or Liquidation Proceeding has been commenced by or against any Borrower, any
Guarantor or any of their respective Subsidiaries, or (ii) the Second Lien Enforcement Date,
the Second Lien Agent agrees, on behalf of itself and the Second Lien Lenders, that the
First Lien Agent and the First Lien Lenders shall have the exclusive right to enforce
rights, exercise remedies (including setoff) and make determinations regarding release (in
connection with any such enforcement of rights or
exercise of remedies), disposition, or restrictions with respect to any Common
Collateral without any consultation with or the consent of the Second Lien Agent or any
Second Lien Lender; provided, that in each case (subject to the provisions of
Section 6), (A)

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in any Insolvency or Liquidation Proceeding commenced by or against
the Second Lien Borrower or any Second Lien Guarantor, the Second Lien Agent may file a
claim or statement of interest with respect to the Second Lien Obligations, (B) the Second
Lien Agent may take any action (not adverse to the senior Liens on any Common Collateral
securing the First Lien Obligations or the rights of the First Lien Agent to exercise
remedies in respect thereof) in order to preserve or protect its Lien on any Common
Collateral, (C) the Second Lien Agent shall be entitled to file any necessary responsive or
defensive pleadings in opposition to any motion, claim, adversary proceeding or other
pleading made by any Person objecting to or otherwise seeking the disallowance of the claims
of the Second Lien Lenders or the Second Lien Agent, including any claims secured by any
Common Collateral, in each case in accordance with the terms of this Agreement, (D) the
Second Lien Agent and the Second Lien Lenders shall be entitled to file any pleadings,
objections, motions or agreements which assert rights or interests available to unsecured
creditors of the Second Lien Borrower and the Second Lien Guarantors arising under either
bankruptcy or non-bankruptcy law, except as specifically prohibited herein, (E) the Second
Lien Lenders and the Second Lien Agent shall be entitled to file any proof of claim and
other filings and make any agreements and motions that are, in each case, in accordance with
the terms of this Agreement, and (F) the Second Lien Lenders and the Second Lien Agent may
exercise any of their rights and remedies with respect to any Common Collateral after the
Second Lien Enforcement Date and so long as the Second Lien Enforcement Date has not been
suspended pursuant to the definition thereof.

In exercising rights and remedies with respect to any Common Collateral, the First Lien
Agent and the First Lien Lenders may enforce the provisions of the First Lien Documents and
exercise remedies thereunder, all in such order and in such manner as they may determine in
the exercise of their sole discretion. Such exercise and enforcement shall include the
rights of an agent appointed by them to sell or otherwise dispose of Common Collateral upon
foreclosure, to incur expenses in connection with such sale or disposition, and to exercise
all the rights and remedies of a secured party under the Uniform Commercial Code of any
applicable jurisdiction and of a secured creditor under bankruptcy or similar laws of any
applicable jurisdiction.

     (b) Permitted Action by Second Lien Lenders. Without limiting the generality
of the foregoing provisions of this Section, until the earlier of (i) the date upon which
the Discharge of First Lien Obligations shall have occurred, whether or not any Insolvency
or Liquidation Proceeding has been commenced by or against any Borrower, any Guarantor or
any of their respective Subsidiaries, or (ii) the Second Lien Enforcement Date, and subject
to any other rights set forth herein, the sole right of the Second Lien Agent and the Second
Lien Lenders with respect to any Common Collateral is to hold a Lien on any Common
Collateral pursuant to the Second Lien Documents for the period and to the extent granted
therein and to receive a share of the proceeds thereof, if any, as set forth herein.

     SECTION 3.3. No Additional Rights For the Borrower Hereunder. Except as provided in
Section 3.4, if the First Lien Agent or any

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First Lien Lender or Second Lien Agent or any
Second Lien Lender enforces its rights or remedies in violation of the terms of this Agreement,
neither any Borrower nor any Guarantor shall be entitled to use such violation as a defense to any
action by the First Lien Agent or any First Lien Lender or Second Lien Agent or any Second Lien
Lender, nor to assert such violation as a counterclaim or basis for set off or recoupment against
the First Lien Agent or any First Lien Lender or Second Lien Agent or any Second Lien Lender.

     SECTION 3.4. Actions Upon Breach.

     (a) If any Second Lien Lender or Second Lien Agent or First Lien Lender or First Lien
Agent, contrary to this Agreement, commences or participates in any action or proceeding
against any Borrower or any Guarantor or the Common Collateral, such Borrower or Guarantor,
with the prior written consent of the First Lien Agent or the Second Lien Agent, as
applicable, may interpose as a defense or dilatory plea the making of this Agreement, and
any First Lien Lender or the First Lien Agent or Second Lien Lender or the Second Lien
Agent, as applicable, may intervene and interpose such defense or plea in its or their name
or in the name of such Borrower or Guarantor.

     (b) Should any Second Lien Lender or the Second Lien Agent, contrary to this
Agreement, in any way take, attempt to or threaten to take any action with respect to the
Common Collateral (including, without limitation, any attempt to realize upon or enforce any
remedy with respect to this Agreement), or fail to take any action required by this
Agreement, any First Lien Lender or First Lien Agent (in its own name or in the name of the
relevant Borrower or Guarantor) or the relevant Borrower or Guarantor may obtain relief
against such Second Lien Lender or the Second Lien Agent, as applicable, by injunction,
specific performance and/or other appropriate equitable relief, it being understood and
agreed by the Second Lien Agent on behalf of each Second Lien Lender and itself that (i) the
First Lien Lenders’ or the First Lien Agent’s damages from its actions may at that time be
difficult to ascertain and may be irreparable, and (ii) each Second Lien Lender and the
Second Lien Agent waive any defense that the Borrowers or Guarantors and/or the First Lien
Lenders or the First Lien Agent cannot demonstrate damage and/or be made whole by the
awarding of damages.

     (c) Should any First Lien Lender or First Lien Agent, contrary to this Agreement, in
any way take, attempt to or threaten to take any action with respect to the Common
Collateral (including, without limitation, any attempt to realize upon or enforce any remedy
with respect to this Agreement), or fail to take any action required by this Agreement, any
Second Lien Lender or the Second Lien Agent (in its own name or in the name of the relevant
Borrower or Guarantor) or the relevant Borrower or Guarantor may obtain relief against such
First Lien Lender or the First Lien Agent, as applicable, by injunction, specific
performance and/or other appropriate equitable relief, it being understood and agreed by the
First Lien Agent on behalf of each First Lien Lender and itself that (i) the Second Lien
Lender’s and the Second Lien Agent’s damages from its actions may at that time be difficult
to ascertain and may be irreparable, and (ii) each First Lien Lender and the First Lien
Agent waive any defense that the Borrowers or
Guarantors and/or the Second Lien Lenders or the Second Lien Agent cannot demonstrate
damage and/or be made whole by the awarding of damages.

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ARTICLE IV

PAYMENTS

     SECTION 4.1. Application of Proceeds. Until the date upon which the Discharge of
First Lien Obligations shall have occurred (except as specifically provided in the First Lien
Documents and in the Second Lien Documents), the cash proceeds of Common Collateral received in
connection with the sale or disposition of, or collection on, such Common Collateral and whether or
not pursuant to any exercise of remedies or any Insolvency or Liquidation Proceeding, shall be
applied by the First Lien Agent to the First Lien Obligations and, to the extent applicable, to the
Second Lien Agent for application to the Second Lien Obligations in such order as specified in the
First Lien Documents. Upon the Discharge of First Lien Obligations, the First Lien Agent shall
deliver to the Second Lien Agent any proceeds of Common Collateral held by it in the same form as
received, with any necessary endorsements or as a court of competent jurisdiction may otherwise
direct. Upon the Discharge of the Second Lien Obligations, the Second Lien Agent shall deliver to
the applicable Borrower or Guarantor any proceeds of Common Collateral held by it in the same form
as received, with any necessary endorsements or as a court of competent jurisdiction may otherwise
direct.

     SECTION 4.2. Payments Over. Until the date upon which the Discharge of First Lien
Obligations has occurred, any Common Collateral or proceeds thereof received by the Second Lien
Agent or any Second Lien Lender in contravention of this Agreement shall be segregated and held in
trust and forthwith paid over to the First Lien Agent for the benefit of the First Lien Lenders in
the same form as received, with any necessary endorsements or as a court of competent jurisdiction
may otherwise direct. Until the date upon which the Discharge of First Lien Obligations shall have
occurred, the First Lien Agent is hereby authorized to make any such endorsements as agent for the
Second Lien Agent or such Second Lien Lender.

ARTICLE V

OTHER AGREEMENTS

     SECTION 5.1. Releases.

     (a) Until the date upon which the Discharge of First Lien Obligations shall have
occurred, if:

     (i) the First Lien Agent exercises any of its remedies in respect of any Common
Collateral in accordance with the terms of this Agreement, including any sale, lease,
exchange, transfer or other disposition of such Common Collateral;

     (ii) there occurs any sale, lease, exchange, transfer or other disposition of Common
Collateral to a Person other than a Borrower or a Guarantor in a transaction that is
permitted under the terms of the First Lien Financing Agreement and the Second Lien
Financing Agreement (whether or not in either case an event of default under, and as defined
therein, has occurred and is continuing) at the time of such transaction; or

     (iii) the Common Collateral to be released consists of the assets of a Subsidiary of a
Borrower or a Guarantor all of the Capital Securities of which is being released pursuant to
any other provision of this clause;

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and if, in connection therewith, the First Lien Agent, for itself or on behalf of any of the First
Lien Lenders, releases any of its Liens on any part of the Common Collateral, or releases any
Guarantor from its obligations under its guaranty of the First Lien Obligations (other than in
connection with the Discharge of First Lien Obligations), the Liens, if any, of the Second Lien
Agent, for itself or for the benefit of the Second Lien Lenders, on such Common Collateral, and the
obligations of such Guarantor under its guaranty of the Second Lien Obligations, shall be
automatically, unconditionally and simultaneously released with no further consent or action of any
Person, and the Second Lien Agent, for itself or on behalf of any such Second Lien Lender, promptly
shall execute and deliver to the First Lien Agent and the Borrowers such termination statements,
releases and other documents and shall take such further actions as the First Lien Agent, the
Borrowers or such Guarantor may reasonably request to effectively confirm such release.

     (b) The Second Lien Agent, for itself and on behalf of the Second Lien Lenders, hereby
irrevocably constitutes and appoints the First Lien Agent and any officer or agent of the
First Lien Agent, with full power of substitution, as its true and lawful attorney-in-fact
with full irrevocable power and authority in the place and stead of the Second Lien Agent or
such Second Lien Lender or in the First Lien Agent’s own name, from time to time, in the
First Lien Agent’s discretion, for the purpose of carrying out the terms of this Section, to
take any and all appropriate action and to execute any and all documents and instruments
which may be necessary or desirable to accomplish the purposes of this Section including,
without limitation, any financing statements, endorsements or other instruments or transfer
or release. This appointment is coupled with an interest.

     SECTION 5.2. Insurance. To the extent provided in the relevant First Lien Collateral
Documents or the Second Lien Collateral Documents, as the case may be, the First Lien Agent and the
Second Lien Agent shall be named as additional insureds and the Control Agent shall be named as
loss payee (on behalf of the First Lien Agent, the First Lien Lenders, the Second Lien Agent and
the Second Lien Lenders) under any insurance policies maintained from time to time by the Borrower
or Guarantors. Until the date upon which the Discharge of First Lien Obligations shall have
occurred, as between the First Lien Agent and the First Lien Lenders, on the one hand, and the
Second Lien Agent and the Second Lien Lenders on the other, the First Lien Agent and the First Lien
Lenders shall have the sole and exclusive right to the extent provided for in the First Lien
Documents (i) to adjust or settle any insurance policy or claim covering any Common Collateral in
the event of any loss thereunder; and (ii) to approve any award granted in any condemnation or
similar proceeding affecting any Common Collateral. Until the date upon which the Discharge of
First Lien Obligations shall have occurred, all proceeds of any such policy and any such award in
respect of any Common Collateral that are payable to the First Lien Agent and the Second Lien Agent
shall be paid to the First Lien Agent for the benefit of the First Lien Lenders to the extent
required under the First Lien Documents and, thereafter, to the Second Lien Agent for the benefit
of the Second Lien Lenders to the extent required under the applicable Second Lien Documents and
then to the applicable Borrower or Guarantor or as a court of competent jurisdiction may
otherwise direct. If the Second Lien Agent or any Second Lien Lender shall, at any time,
receive any proceeds of any such insurance policy or any such award in contravention of this
Agreement, it shall pay such proceeds over to the First Lien Agent in accordance with the terms of
Section 4.2.

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     SECTION 5.3. Amendments to Second Lien Collateral Documents.

     (a) Until the date upon which the Discharge of First Lien Obligations shall have
occurred, without the prior written consent of the First Lien Agent, no Second Lien
Collateral Document may be amended, supplemented or otherwise modified or entered into to
the extent such amendment, supplement or modification, or the terms of any new Second Lien
Financing Agreement or Second Lien Collateral Document, would contravene any of the terms of
this Agreement. The Second Lien Agent agrees that each Second Lien Collateral Document
shall include the following language:

“Notwithstanding anything herein to the contrary, the lien and security interest granted to
the Collateral Agent pursuant to this Agreement and the exercise of any right or remedy by
the Collateral Agent hereunder are subject to the provisions of the Intercreditor Agreement,
dated as of the date hereof, as the same may be amended, restated, supplemented, modified or
replaced from time to time (the “Intercreditor Agreement”) among Citibank, N.A., as
First Lien Agent, Citibank, N.A., as Second Lien Agent, Citibank, N.A., as Control Agent,
the First Lien Borrower, the First Lien Guarantors, the Second Lien Borrower and the Second
Lien Guarantors (each as defined therein) from time to time a party thereto. In the event
of any conflict between the terms of the Intercreditor Agreement and this Agreement, the
terms of the Intercreditor Agreement shall govern.”

     In addition, the Second Lien Agent agrees that each Second Lien Collateral Document under which any
Lien on real property owned by the Second Lien Borrower or any Second Lien Guarantor is granted to
secure the Second Lien Obligations covering any Common Collateral shall contain such other language
as the First Lien Agent may reasonably request to reflect the priority of the First Lien Collateral
Document covering such Common Collateral over such Second Lien Collateral Document.

     (b) Without the prior written consent of the First Lien Agent (and any required
consent of the First Lien Lenders), no Second Lien Document may be amended, supplemented or
otherwise modified to the extent such amendment, supplement or modification would (i)
increase the then outstanding aggregate principal amount of the loans under the Second Lien
Financing Agreement to an amount exceeding $450,000,000, (ii) contravene the provisions of
this Agreement, (iii) increase the “Applicable Margin” or similar component of the interest
on the loans thereunder by more than 3.0% per annum (exclusive, for the avoidance of doubt,
of any imposition of up to 2.0% of “default” interest), (iv) provide for dates for payment
of principal, interest, premium (if any) or fees which are earlier than such dates under the
Second Lien Financing Agreement, (v) provide for covenants, events of default or remedies
which are more restrictive on any Guarantor than those set forth in the Second Lien
Financing Agreement, (vi) provide for redemption, prepayment or defeasance provisions that
are
more burdensome on any Guarantor than those set forth in the Second Lien Financing
Agreement, (vii) provide for collateral securing Indebtedness thereunder which is more
extensive than the collateral provided with respect to the First Lien Financing Agreement or
(viii) increase the obligations of any Guarantor (except as set forth herein) or confer

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any
additional rights on any Second Lien Lender which could reasonably be expected to be adverse
to the First Lien Lender.

     (c) Without the prior written consent of the Second Lien Agent (and any required
consent of the Second Lien Lenders), no First Lien Document may be amended, supplemented or
otherwise modified to the extent such amendment, supplement or modification would (i)
contravene the provisions of this Agreement, (ii) increase the then outstanding aggregate
principal amount of the loans under the First Lien Financing Agreement plus, if any, any
undrawn portion of any commitment under the First Lien Financing Agreement in excess of the
Maximum First Lien Principal Amount or (iii) increase the “Applicable Margin” or similar
component of the interest of the loans thereunder by more than 3.0% per annum from the
“Applicable Margin” or similar component of the interest under the First Lien Financing
Agreement as in effect as of the date hereof (exclusive, for the avoidance of doubt, of any
imposition of up to 2.0% of “default” interest).

     SECTION 5.4. Rights as Unsecured Creditors and Judgment Creditors.

     (a) Except as otherwise expressly set forth in Section 3.1 and Section
3.2 and subject to Article VI, (i) the Second Lien Agent and the Second Lien
Lenders may exercise all rights and remedies as unsecured creditors against the Second Lien
Borrower, the Second Lien Guarantors or any of their Subsidiaries in accordance with the
terms of the Second Lien Documents and applicable law and this Agreement, and (ii) nothing
in this Agreement shall prohibit the acceleration of the obligations under the Second Lien
Documents or the receipt of the Second Lien Agent or the Second Lien Lenders of the required
payments of principal and interest and other amounts, so long as such receipt is not the
direct or indirect result of the exercise of the Second Lien Agent or any Second Lien Lender
of rights and remedies as a secured creditor or enforcement in contravention of this
Agreement of any Lien held by any of them.

     (b) In the event the Second Lien Agent or any Second Lien Lender becomes a judgment
lien creditor in respect of Common Collateral as a result of its enforcement of its rights
as an unsecured creditor, such judgment lien shall be subject to the terms of this Agreement
for all purposes and shall be junior to the Liens securing First Lien Obligations on the
same basis as the other Liens securing the Second Lien Obligations are junior to such First
Lien Obligations under this Agreement. Nothing in this Agreement modifies any rights or
remedies the First Lien Agent or the First Lien Lenders may have with respect to the First
Lien Collateral.

     SECTION 5.5. Limited Agency of Citibank, N.A. for Perfection.

     (a) The First Lien Agent, on behalf of itself and the First Lien Lenders, and the
Second Lien Agent, on behalf of itself and the Second Lien Lenders, each hereby appoint
Citibank, N.A. as its collateral agent (in such capacity, together with any successor
in such capacity appointed by the First Lien Agent and consented to by the Second Lien Agent
(such consent not to be unreasonably withheld or delayed), the “Control Agent”) for
the limited purpose of acting as the agent on behalf of the First Lien Agent (on behalf of

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itself and the First Lien Lenders) and the Second Lien Agent (on behalf of itself and the
Second Lien Lenders) with respect to the Control Collateral for purposes of perfecting the
Liens of such parties on the Control Collateral. The Control Agent accepts such appointment
and agrees to hold the Control Collateral that is part of the Common Collateral in its
possession or control (or in the possession or control of its agents or bailees) as Control
Agent for the benefit of the First Lien Agent (on behalf of itself and the First Lien
Lenders) and the Second Lien Agent (on behalf of itself and the Second Lien Lenders) and any
permitted assignee of any thereof solely for the purpose of perfecting the security interest
granted to such parties in such Control Collateral, subject to the terms and conditions of
this Section. The Control Agent, the First Lien Agent, on behalf of itself and the First
Lien Lenders, and the Second Lien Agent, on behalf of itself and the Second Lien Lenders,
each hereby agrees that the First Lien Agent shall have the sole and exclusive right and
authority to give instructions to, and otherwise direct, the Control Agent in respect of the
Control Collateral or any control agreement with respect to any Control Collateral until the
earlier of the date upon which the Discharge of First Lien Obligations shall have occurred
and the Second Lien Enforcement Date, and neither the Second Lien Agent nor any Second Lien
Lender will hinder, delay or interfere with the exercise of such rights by the First Lien
Agent in any respect. The First Lien Agent and the Second Lien Agent hereby acknowledge
that the Control Agent will obtain “control” under the UCC over each Controlled Account as
contemplated by the First Lien Collateral Documents and the Second Lien Collateral Documents
for the benefit of both the First Lien Agent (on behalf of itself and the First Lien
Lenders) and the Second Lien Agent (on behalf of itself and the Second Lien Lenders)
pursuant to the control agreements relating to each respective Controlled Account. The
Borrowers hereby agree to pay, reimburse, indemnify and hold harmless the Control Agent to
the same extent and on the same terms that the First Lien Borrower is required to do so for
the First Lien Agent in accordance with the First Lien Financing Agreement. The First Lien
Agent and the Second Lien Agent hereby also acknowledge and agree that the Control Agent, to
the extent it receives landlord lien waivers, will receive such landlord lien waivers for
the benefit of the Second Lien Agent for the benefit of Second Lien Lenders and the First
Lien Agent for the benefit of the First Lien Lenders. Except as set forth below, the
Control Agent shall have no obligation whatsoever to the Second Lien Agent or any Second
Lien Lender including any obligation to assure that the Control Collateral is genuine or
owned by any Borrower, any Guarantor or one of their respective Subsidiaries or to preserve
rights or benefits of any Second Lien Lender or the Second Lien Agent except as expressly
set forth in this Section. In acting on behalf of the Second Lien Agent and the Second Lien
Lenders, the duties or responsibilities of the Control Agent under this Section shall be
limited solely (i) to physically holding the Control Collateral delivered to the Control
Agent by the Borrowers, Guarantors or any Subsidiary of such Person as agent for the Second
Lien Agent (on behalf of itself and the Second Lien Lenders) for purposes of perfecting the
Lien held by the Second Lien
Agent (on behalf of itself and the Second Lien Lenders) and (ii) delivering such
collateral as set forth in clause (d) of Section 5.5.

     (b) The rights of the Second Lien Agent shall at all times be subject to the terms of
this Agreement and to the First Lien Agent’s rights under the First Lien Documents.

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     (c) The First Lien Agent shall not have by reason of the Second Lien Security
Agreement or this Agreement or any other document a fiduciary relationship in respect of the
Second Lien Agent or any Second Lien Lender.

     (d) Upon the Discharge of First Lien Obligations, the Control Agent shall deliver to
the Second Lien Agent the Control Collateral together with any necessary endorsements (or
otherwise allow the Second Lien Agent to obtain control of such Control Collateral) or as a
court of competent jurisdiction may otherwise direct.

     (e) Upon the Discharge of the Second Lien Obligations, the Control Agent shall deliver
to the applicable Borrower or Guarantor the Control Collateral together with any necessary
endorsements or as a court of competent jurisdiction may otherwise direct.

     SECTION 5.6. Inspection Rights. Subject to the First Lien Documents and the Second
Lien Documents, and solely between the First Lien Agent and the First Lien Lenders, on the one
hand, and the Second Lien Agent and the Second Lien Lenders, on the other hand,

     (a) the First Lien Agent and its representatives and invitees may at any time inspect,
repossess, remove and otherwise deal with the Common Collateral, and the First Lien Agent
may advertise and conduct public auctions or private sales of any Common Collateral, in each
case without notice to (except as provided in Section 7.5), the involvement of or
interference by the Second Lien Agent or any Second Lien Lender or liability to the Second
Lien Agent or any Second Lien Lender.

     (b) The Second Lien Agent may inspect the Common Collateral, in accordance with Second
Lien Documents, so long as such inspection does not interfere with the rights of the First
Lien Agent under Section 3.1 or under the First Lien Documents.

ARTICLE VI

INSOLVENCY OR LIQUIDATION PROCEEDINGS

     SECTION 6.1. Financing and Sale Issues. If any Borrower or any Guarantor shall be
subject to any Insolvency or Liquidation Proceeding and at any time prior to the Discharge of First
Lien Obligations the First Lien Agent or the First Lien Lenders shall desire to permit (or not
object to) the sale, use or lease of cash collateral or to permit (or not object to) any Borrower
to obtain financing under Section 363 or Section 364 of the Bankruptcy Code or to provide such
financing (“DIP Financing”), then, so long as the maximum amount of Indebtedness that may
be incurred in connection with such DIP Financing shall not exceed an amount equal to the Maximum
First Lien Principal Debt Amount, then the Second Lien Agent, on behalf of itself and the Second
Lien Lenders, and each Second Lien Lender by becoming a Second Lien Lender, agrees that it will
raise no objection to, nor support any other Person objecting to, such sale, use, or lease of cash
collateral or DIP Financing and will not request any form of
adequate protection or any other relief in connection therewith (except as agreed by the First
Lien Agent or to the extent expressly permitted by Section 6.3) and, to the extent the
Liens securing the First Lien Obligations are subordinate to or pari passu with such DIP Financing,
it (x) will subordinate (and will be deemed hereunder to have subordinated) the Liens securing the
Second Lien Obligations (x) to such DIP Financing with, if applicable, the same terms and

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conditions as the Liens securing the First Lien Obligations are subordinated thereto (and such
subordination will not alter in any manner the terms of this Agreement), (y) to any adequate
protection provided to the First Lien Agent and the First Lien Lenders and (z) to any “carve-out”
for professionals and United States Trustee fees agreed to by the First Lien Agent or the First
Lien Lenders, and (ii) agrees that notice received four (4) calendar days prior to the entry of an
order approving such usage of cash collateral or approving such financing shall be adequate notice.
The Second Lien Agent, on behalf of itself and the Second Lien Lenders, agrees that it will raise
no objection to or oppose a sale or other disposition of any Common Collateral free and clear of
its Liens or other claims under Section 363 of the Bankruptcy Code (or otherwise) if the First Lien
Required Lenders have consented to (or supported) such sale or disposition of such assets so long
as the respective interests of the Second Lien Lenders attach to the proceeds thereof, subject to
the terms of this Agreement.

     SECTION 6.2. Relief from the Automatic Stay. Until the date upon which the Discharge
of First Lien Obligations shall have occurred, the Second Lien Agent, on behalf of itself and the
Second Lien Lenders, agrees that none of them shall seek relief from the automatic stay or any
other stay in any Insolvency or Liquidation Proceeding in respect of any Common Collateral, without
the prior written consent of the First Lien Agent and the First Lien Required Lenders.

     SECTION 6.3. Adequate Protection. The Second Lien Agent, on behalf of itself and the
Second Lien Lenders, agrees that none of them shall object, contest, or support any other Person
objecting to or contesting, (i) any request by the First Lien Agent or the First Lien Lenders for
adequate protection or (ii) any objection by the First Lien Agent or any First Lien Lender to any
motion, relief, action or proceeding based on a claim of a lack of adequate protection or (iii) the
payment of interest, fees, expenses or other amounts to the First Lien Agent or any First Lien
Lender under Section 506(b) or 506(c) of the Bankruptcy Code or otherwise. Notwithstanding anything
contained in this Section and in Section 6.1, in any Insolvency or Liquidation Proceeding,
(x) the Second Lien Agent and the Second Lien Lenders, may seek, support, accept or retain adequate
protection (A) only if the First Lien Agent and the First Lien Lenders are granted adequate
protection that includes replacement liens on additional collateral and superpriority claims and
the First Lien Agent and the First Lien Lenders do not object to the adequate protection being
provided to the First Lien Agent and the First Lien Lenders and (B) in the form of (1) a
replacement Lien on such additional collateral, subordinated to the Liens securing the First Lien
Obligations and such DIP Financing on the same basis as the other Liens securing the Second Lien
Obligations are so subordinated to the First Lien Obligations under this Agreement and (y)
superpriority claims junior in all respects to the superpriority claims granted to the First Lien
Agent and the First Lien Lenders, and (2) in the event the Second Lien Agent, on behalf of itself
and the Second Lien Lenders, receives adequate protection, including in the form of additional
collateral, then the Second Lien Agent, on behalf of itself or any of the Second Lien Lenders,
agrees that the First Lien Agent shall have a senior Lien and claim on such adequate protection as
security for the First Lien Obligations and that any Lien on any
additional collateral securing the Second Lien Obligations shall be subordinated to the Liens
on such collateral securing the First Lien Obligations and any DIP Financing (and all Obligations
relating thereto) and any other Liens granted to the First Lien Agent and the First Lien Lenders as
adequate protection, with such subordination to be on the same terms that the other Liens securing
the Second Lien Obligations are subordinated to such First Lien Obligations

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under this Agreement.
Notwithstanding the foregoing, if the First Lien Lenders are deemed by a court of competent
jurisdiction to be fully secured on the petition date, then the Second Lien Lenders shall not be
prohibited from seeking adequate protection in the form of interest, fees or other cash payments.

     SECTION 6.4. No Waiver. Nothing contained herein shall prohibit or in any way limit
the First Lien Agent or any First Lien Lender from objecting in any Insolvency or Liquidation
Proceeding or otherwise to any action taken by the Second Lien Agent or any of the Second Lien
Lenders, including, without limitation, the seeking by the Second Lien Agent or any Second Lien
Lender of adequate protection or the asserting by the Second Lien Agent or any Second Lien Lender
of any of its rights and remedies under the Second Lien Documents or otherwise, unless, in each
case, such action is consistent with the terms of this Section 6.

     SECTION 6.5. Preference Issues. If the First Lien Agent or any First Lien Lender is
required in any Insolvency or Liquidation Proceeding or otherwise to turn over or otherwise pay to
the estate of the First Lien Borrower or any First Lien Guarantor any amount (whether received by
or on behalf of the First Lien Borrower or any First Lien Guarantor, as proceeds of security,
enforcement of any right of setoff or otherwise) (a “Recovery”), then the obligation or
part thereof originally intended to be satisfied shall be reinstated and outstanding as First Lien
Obligations as if such payment had not occurred to the extent of such Recovery and the Discharge of
First Lien Obligations shall be deemed to not have occurred. If this Agreement shall have been
terminated prior to such Recovery, this Agreement shall be reinstated in full force and effect, and
such prior termination shall not diminish, release, discharge, impair or otherwise affect the
obligations of the parties hereto from such date of reinstatement. The Second Lien Agent and the
Second Lien Lenders agree that none of them shall be entitled to benefit from any avoidance action
affecting or otherwise relating to any distribution or allocation made in accordance with this
Agreement, whether by preference or otherwise, it being understood and agreed that the benefit of
such avoidance action otherwise allocable to them shall instead be allocated and turned over for
application in accordance with the priorities set forth in this Agreement. In the event that any
such payment with respect to the First Lien Obligations results in a Discharge of First Lien
Obligations, the First Lien Agent and the First Lien Lenders agree that the Second Lien Agent and
the Second Lien Lenders shall be permitted to act hereunder as though a Discharge of First Lien
Obligations had occurred during the period from such payment until the date of such reinstatement
of the First Lien Obligations and shall have no liability to the First Lien Agent or the First Lien
Lenders for any action taken or omitted to be taken hereunder in accordance therewith, except to
the extent such act or omission is found by a final, non-appealable judgment of a court of
competent jurisdiction to arise from the gross negligence, bad faith or willful misconduct of the
Second Lien Agent or Second Lien Lenders.

     SECTION 6.6. Separate Grants of Security and Separate Classification. The Second
Lien Agent on behalf of itself and the Second Lien Lenders acknowledges and agrees that (i) the
grants of Liens pursuant to the First Lien Collateral Documents and the Second Lien Collateral
Documents constitute two separate and distinct grants of Liens and (ii) because of, among other
things, their differing rights in the Common Collateral, the Second Lien Obligations are
fundamentally different from the First Lien Obligations and must be separately classified in any
plan of reorganization proposed or adopted in an Insolvency or Liquidation Proceeding. To

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further
effectuate the intent of the parties as provided in the immediately preceding sentence, if it is
held that the claims of the First Lien Agent and the First Lien Lenders and the Second Lien Agent
and the Second Lien Lenders in respect of the Common Collateral constitute only one secured claim
(rather than separate classes of senior and junior secured claims), then the Second Lien Agent on
behalf of itself and the Second Lien Lenders hereby acknowledges and agrees that all distributions
shall be made as if there were separate classes of senior and junior secured claims against the
Borrowers and the Guarantors in respect of the Common Collateral (with the effect being that, to
the extent that the aggregate value of the Common Collateral is sufficient (for this purpose
ignoring all claims held by the Second Lien Agent and the Second Lien Lenders), the First Lien
Agent and the First Lien Lenders shall be entitled to receive, in addition to amounts distributed
to them in respect of principal, pre-petition interest and other claims, all amounts owing in
respect of post-petition interest before any distribution is made in respect of the claims held by
the Second Lien Agent and the Second Lien Lenders, with the Second Lien Agent and the Second Lien
Lenders hereby acknowledging and agreeing to turn over to the First Lien Agent and the First Lien
Lenders amounts otherwise received or receivable by them to the extent necessary to effectuate the
intent of this sentence, even if such turnover has the effect of reducing the claim or recovery of
the Second Lien Agent and the Second Lien Lenders).

     SECTION 6.7. Other Matters. To the extent that the Second Lien Agent or any Second
Lien Lender has or acquires rights under Section 363 or Section 364 of the Bankruptcy Code with
respect to any of the Common Collateral, the Second Lien Agent agrees, on behalf of itself and the
Second Lien Lenders not to assert any of such rights without the prior written consent of the First
Lien Agent; provided that if requested by the First Lien Agent, the Second Lien Agent shall timely
exercise such rights in the manner requested by the First Lien Agent, including any rights to
payments in respect of such rights.

     SECTION 6.8. Effectiveness in Insolvency or Liquidation Proceedings. This Agreement,
which the parties hereto expressly acknowledge is a “subordination agreement” under Section 510(a)
of the Bankruptcy Code, shall be effective before, during and after the commencement of an
Insolvency or Liquidation Proceeding. All references in this Agreement to any Borrower or any
Guarantor shall include such Person as a debtor-in-possession and any receiver or trustee for such
Person in any Insolvency or Liquidation Proceeding.

ARTICLE VII

RELIANCE; WAIVERS; NOTICES; ETC

     SECTION 7.1. Reliance.

     (a) The consent by the First Lien Lenders to the execution and delivery of the Second
Lien Documents and the grant to the Second Lien Agent on behalf of the Second Lien Lenders
of a Lien on the Common Collateral and all loans and other extensions of
credit made or deemed made on and after the date hereof by the First Lien Lenders to
the First Lien Borrower shall be deemed to have been given and made in reliance upon this
Agreement. The Second Lien Agent, on behalf of the Second Lien Lenders, acknowledges that
the Second Lien Lenders have, independently and without reliance on the First Lien Agent or
any First Lien Lender, and based on documents and information

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deemed by them appropriate,
made their own credit analysis and decision to enter into the Second Lien Financing
Agreement, the other Second Lien Documents, this Agreement and the transactions contemplated
hereby and thereby and they will continue to make their own credit decision in taking or not
taking any action under the Second Lien Financing Agreement, the other Second Lien Documents
or this Agreement.

     (b) The consent by the Second Lien Lenders to the execution and delivery of the First
Lien Documents and the grant to the First Lien Agent on behalf of the First Lien Lenders of
a Lien on the Common Collateral and all loans and other extensions of credit made or deemed
made on and after the date hereof by the Second Lien Lenders to the Second Lien Borrower
shall be deemed to have been given and made in reliance upon this Agreement. The First Lien
Agent, on behalf of the First Lien Lenders, acknowledges that the First Lien Lenders have,
independently and without reliance on the Second Lien Agent or any Second Lien Lender, and
based on documents and information deemed by them appropriate, made their own credit
analysis and decision to enter into the First Lien Financing Agreement, the other First Lien
Documents, this Agreement and the transactions contemplated hereby and thereby and they will
continue to make their own credit decision in taking or not taking any action under the
First Lien Financing Agreement, the other First Lien Documents or this Agreement.

     SECTION 7.2. No Warranties or Liability.

     (a) The Second Lien Agent, on behalf of itself and the Second Lien Lenders,
acknowledges and agrees that each of the First Lien Agent and the First Lien Lenders has
made no express or implied representation or warranty, including, without limitation, with
respect to the execution, validity, legality, completeness, collectibility or enforceability
of any of the First Lien Documents. The First Lien Lenders will be entitled to manage and
supervise their respective loans and extensions of credit to the First Lien Borrower in
accordance with law and as they may otherwise, in their sole discretion, deem appropriate,
and the First Lien Lenders may manage their loans and extensions of credit without regard to
any rights or interests that the Second Lien Agent or any of the Second Lien Lenders have in
the Common Collateral or otherwise, except as otherwise provided in this Agreement. Neither
the First Lien Agent nor any First Lien Lender shall have any duty to the Second Lien Agent
or any of the Second Lien Lenders to act or refrain from acting in a manner which allows, or
results in, the occurrence or continuance of an event of default or default under any
agreements with any Borrower or any Guarantor (including, without limitation, the Second
Lien Documents), regardless of any knowledge thereof which they may have or be charged with.

     (b) The First Lien Agent, on behalf of itself and the First Lien Lenders, acknowledges
and agrees that each of the Second Lien Agent and the Second Lien Lenders has made no
express or implied representation or warranty, including, without limitation, with respect
to the execution, validity, legality, completeness, collectibility or enforceability of any
of the Second Lien Documents. The Second Lien Lenders will be entitled to manage and
supervise their respective loans to the Second Lien

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Borrower in accordance with law and as
they may otherwise, in their sole discretion, deem appropriate, and the Second Lien Lenders
may manage their loans and extensions of credit without regard to any rights or interests
that the First Lien Agent or any of the First Lien Lenders have in the Common Collateral or
otherwise, except as otherwise provided in this Agreement. Neither the Second Lien Agent
nor any Second Lien Lender shall have any duty to the First Lien Agent or any of the First
Lien Lenders to act or refrain from acting in a manner which allows, or results in, the
occurrence or continuance of an event of default or default under any agreements with any
Borrower or any Guarantor (including, without limitation, the First Lien Documents),
regardless of any knowledge thereof which they may have or be charged with.

     SECTION 7.3. No Waiver of Lien Priorities.

     (a) No right of the First Lien Lenders, the First Lien Agent or any of them to enforce
any provision of this Agreement shall at any time in any way be prejudiced or impaired by
any act or failure to act on the part of the First Lien Borrower or the First Lien
Guarantors or by any act or failure to act by any First Lien Lender or the First Lien Agent,
or by any noncompliance by any Person with the terms, provisions and covenants of this
Agreement, any of the First Lien Documents or any of the Second Lien Documents, regardless
of any knowledge thereof which the First Lien Agent or the First Lien Lenders, or any of
them, may have or be otherwise charged with.

     (b) Without in any way limiting any other provision hereof, (but subject to the rights
of the First Lien Borrower and the First Lien Guarantors under the First Lien Documents and
the proviso set forth in the definition of the term “First Lien Financing Agreement”), the
First Lien Lenders, the First Lien Agent and any of them, may, at any time and from time to
time, without the consent of the Second Lien Agent or any Second Lien Lender, without
impairing or releasing the lien priorities and other benefits provided in this Agreement
(even if any right of subrogation or other right or remedy of the Second Lien Agent or any
Second Lien Lender is affected, impaired or extinguished thereby) do any one or more of the
following:

     (i) make loans and advances to the First Lien Borrower or any First Lien Guarantor or
issue, guaranty or obtain letters of credit for the account of any such Person or otherwise
extend credit to any such Person, in any amount and on any terms, whether pursuant to a
commitment or as a discretionary advance and whether or not any default or event of default
or failure of condition is then continuing;

     (ii) change the manner, place or terms of payment or change or extend the time of
payment of, or renew, exchange, amend, increase or alter, the terms of any of the First
Lien Obligations or any Lien on any First Lien Collateral or guaranty thereof or any
liability of the First Lien Borrower or any First Lien Guarantor, or any liability incurred
directly or indirectly in respect thereof (including, without limitation, any increase in or
extension of the First Lien Obligations, without any restriction as to the amount, tenor or
terms of any such increase or extension) or otherwise amend; renew, exchange, extend, modify
or supplement in any manner any Liens held by the

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First Lien Lenders, the First Lien
Obligations or any of the First Lien Documents; provided, however, nothing
herein shall prohibit the Second Lien Agent and the Second Lien Lenders from enforcing any
rights arising under the Second Lien Financing Agreement as a result of Second Lien
Borrower’s or any Second Lien Guarantors’ violation of the terms thereof including any
covenant prohibiting the amendment of certain provisions of the First Lien Financing
Agreement, subject in each case to this Agreement;

     (iii) sell, exchange, release, surrender, realize upon, enforce or otherwise deal with
in any manner and in any order any part of the First Lien Collateral or any liability of the
First Lien Borrower or any First Lien Guarantor to the First Lien Lenders or the First Lien
Agent, or any liability incurred directly or indirectly in respect thereof;

     (iv) settle or compromise any First Lien Obligation or any other liability of the First
Lien Borrower or any First Lien Guarantor or any security therefor or any liability incurred
directly or indirectly in respect thereof and apply any sums by whomsoever paid and however
realized to any liability (including, without limitation, the First Lien Obligations) in any
manner or order;

     (v) exercise or delay in or refrain from exercising any right or remedy against the
First Lien Borrower or any security or any First Lien Guarantor or any other Person, elect
any remedy and otherwise deal freely with the First Lien Borrower, any First Lien Guarantor
and the First Lien Collateral and any security and any guarantor or any liability of the
First Lien Borrower or any First Lien Guarantor to the First Lien Lenders or any liability
incurred directly or indirectly in respect thereof;

     (vi) release or discharge any First Lien Obligations or any guaranty thereof or any
agreement or obligation of the First Lien Borrower or First Lien Guarantor or any other
Person or entity with respect thereto;

     (vii) take or fail to take any Lien on any First Lien Collateral or any other
collateral security for any First Lien Obligations or take or fail to take any action which
may be necessary or appropriate to ensure than any Lien on any First Lien Collateral or any
other Lien upon any property is duly enforceable or perfected or entitled to priority as
against any other Lien or to ensure that any proceeds of any property subject to any Lien
are applied to the payment of any First Lien Obligations or any other obligation secured
thereby; or

     (viii) otherwise release, discharge or permit the lapse of any or all First Lien
Obligations or any other Liens upon any property at any time securing any First Lien
Obligations.

     (c) The Second Lien Agent, on behalf of itself and the Second Lien Lenders, also
agrees that the First Lien Lenders and the First Lien Agent shall have no liability to the
Second Lien Agent or any Second Lien Lender, and the Second Lien Agent, on behalf of itself
and the Second Lien Lenders, hereby waives any claim against any First Lien Lender or the
First Lien Agent, arising out of any and all actions which the

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First Lien Lenders or the
First Lien Agent may take or permit or omit to take with respect to: (i) the First Lien
Documents, (ii) the collection of the First Lien Obligations or (iii) the perfection,
release, failure to act upon, foreclosure upon, or sale, liquidation or other disposition
of, the First Lien Collateral; provided that notwithstanding the foregoing, the
First Lien Agent shall be liable for damages resulting from actions taken by it in violation
of any provision of this Agreement to the extent such violation is found by a final,
non-appealable judgment of a court of competent jurisdiction to arise from its gross
negligence, bad faith or willful misconduct. The Second Lien Agent, on behalf of itself and
the Second Lien Lenders, agrees that the First Lien Lenders and the First Lien Agent have no
duty to them in respect of the maintenance or preservation of the First Lien Collateral or
the First Lien Obligations.

     (d) The Second Lien Agent, on behalf of itself and the Second Lien Lenders, agrees not
to assert and hereby waives, to the fullest extent permitted by law, any right to demand,
request, plead or otherwise assert or otherwise claim the benefit of, any marshalling,
appraisal, valuation or other similar right that may otherwise be available under applicable
law or any other similar rights a junior secured creditor may have under applicable law.

     SECTION 7.4. Obligations Unconditional. All rights, interests, agreements and
obligations of the First Lien Agent and the First Lien Lenders and the Second Lien Agent and the
Second Lien Lenders, respectively, hereunder shall remain in full force and effect as set forth
herein irrespective of:

     (a) any lack of validity or enforceability of the First Lien Documents or any Second
Lien Documents;

     (b) any change in the time, manner or place of payment of, or in any other terms of,
all or any of the First Lien Obligations or Second Lien Obligations, or any amendment or
waiver or other modification, including, without limitation, any increase in the amount
thereof, whether by course of conduct or otherwise, of the terms of the First Lien Financing
Agreement or any other First Lien Document or of the terms of the Second Lien Financing
Agreement or any other Second Lien Document;

     (c) any compromise, surrender, release, non-perfection or exchange of any security
interest in any Common Collateral or any other collateral, or any amendment, waiver or other
modification, whether in writing or by course of conduct or otherwise, of all or any of the
First Lien Obligations or Second Lien Obligations or any guarantee thereof;

     (d) the commencement of any Insolvency or Liquidation Proceeding in respect of any
Borrower or any Guarantor; or

     (e) any other circumstances which otherwise might constitute a defense available to,
or a discharge of, any Borrower or any Guarantor in respect of the First Lien Obligations or
of the Second Lien Agent or any Second Lien Lender or

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Second Lien Obligations in respect of
this Agreement other than a defense of performance in full, or payment in full in cash, of
the First Lien Obligations.

     SECTION 7.5. Certain Notices.

     (a) Promptly upon the satisfaction of the conditions set forth in clauses (i), (ii),
(iii), and (iv) of the definition of Discharge of First Lien Obligations, the First Lien
Agent shall deliver the notice contemplated by clause (v) of said definition.

     (b) Promptly upon (or as soon as practicable following) the commencement by the First
Lien Agent of any enforcement action with respect to any Common Collateral (including by way
of a public or private sale of Collateral), the First Lien Agent shall notify the Second
Lien Agent of such action; provided that the failure to give any such notice shall
not result in any liability of the First Lien Agent hereunder or in the modification,
alteration, impairment, or waiver of the rights of any party hereunder.

ARTICLE VIII

MISCELLANEOUS

     SECTION 8.1. Conflicts. In the event of any conflict between the provisions of this
Agreement and the provisions of the First Lien Documents or the Second Lien Documents regarding
solely the relative rights and obligations between the First Lien Agent and the First Lien Lenders
on the one hand and the Second Lien Agent and the Second Lien Lenders on the other, respectively,
the provisions of this Agreement shall govern.

     SECTION 8.2. Waiver of Consequential Damages. No party shall be liable for any
special, indirect, consequential or punitive damages in connection with this Agreement regardless
of whether such damages were contemplated and regardless of the form of action.

     SECTION 8.3. Continuing Nature of this Agreement. This Agreement shall continue to
be effective notwithstanding the Discharge of the First Lien Obligations. This is a continuing
agreement of lien priorities and the First Lien Lenders may continue, at any time and without
notice to the Second Lien Agent or any Second Lien Lender, to extend credit and other financial
accommodations and lend monies to or for the benefit of the First Lien Borrower and First Lien
Guarantors constituting First Lien Obligations on the faith hereof. The Second Lien Agent, on
behalf of itself and the Second Lien Lenders, hereby waives any right it may have under applicable
law to revoke this Agreement or any of the provisions of this Agreement. The terms of this
Agreement shall survive, and shall continue in full force and effect, in any Insolvency or
Liquidation Proceeding.

     SECTION 8.4. Amendments; Waivers. No amendment to or waiver of any provision of this
Agreement, nor consent to any departure by any Person from its obligations under this Agreement,
shall in any event be effective unless the same shall be in writing and signed by the First Lien
Agent and the Second Lien Agent, each acting upon the direction of the First Lien Lenders or Second
Lien Lenders as set forth in the applicable Credit Agreement. Each waiver, if any, shall be a
waiver only with respect to the specific instance involved and shall in no way impair the rights of
the parties making such waiver or the obligations of the other parties to such

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party in any other
respect or at any other time. Neither any Borrower nor any Guarantor shall have any right to
amend, modify or waive any provision of this Agreement without the consent of the Second Lien Agent
then party hereto or the First Lien Agent then party hereto, as applicable, nor shall any consent
or signed writing be required of any of them to effect any amendment, modification or waiver of any
provision of this Agreement, except that no amendment, modification or waiver affecting any
obligation or right of any Borrower or any Guarantor hereunder shall be made without the written
consent of the applicable Borrower. The First Lien Agent shall give prompt notice to the First
Lien Borrower of each amendment, modification or waiver hereunder that does not require the consent
of the First Lien Borrower, but the failure to give such notice shall not affect the validity of
each such amendment, modification or waiver.

     SECTION 8.5. Information Concerning Financial Condition of the Borrowers, Guarantors and
their Subsidiaries.

     (a) The First Lien Lenders, on the one hand, and the Second Lien Lenders, on the other
hand, shall each be responsible for keeping themselves informed of (i) the financial
condition of the Borrowers, Guarantors and their Subsidiaries and all endorsers and/or
guarantors of the Second Lien Obligations or the First Lien Obligations and (ii) all other
circumstances bearing upon the risk of nonpayment of the Second Lien Obligations or the
First Lien Obligations. The First Lien Agent and the First Lien Lenders shall have no duty
to advise the Second Lien Agent or any Second Lien Lender of information known to it or them
regarding such condition or any such circumstances or otherwise. In the event the First
Lien Agent or any of the First Lien Lenders, in its or their sole discretion, undertakes at
any time or from time to time to provide any such information to the Second Lien Agent or
any Second Lien Lender, it or they shall be under no obligation (x) to provide any
additional information or to provide any such information on any subsequent occasion, (y) to
undertake any investigation or (z) to disclose any information which, pursuant to accepted
or reasonable commercial finance practices, such party wishes to maintain confidential.

     (b) The Second Lien Agent and the Second Lien Lenders shall have no duty to advise the
First Lien Agent or any First Lien Lender of information known to it or them regarding such
condition or any such circumstances or otherwise. In the event the Second Lien Agent or any
of the Second Lien Lenders, in its or their sole discretion, undertakes at any time or from
time to time to provide any such information to the First Lien Agent or any First Lien
Lender, it or they shall be under no obligation (i) to provide any additional information or
to provide any such information on any subsequent occasion, (ii) to undertake any
investigation or (iii) to disclose any
information which, pursuant to accepted or reasonable commercial finance practices,
such party wishes to maintain confidential.

     SECTION 8.6. Subrogation. The Second Lien Agent, on behalf of itself and the Second
Lien Lenders, hereby waives any rights of subrogation it may acquire as a result of any payment
hereunder until the date upon which the Discharge of First Lien Obligations shall have occurred.

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     SECTION 8.7. Application of Payments. As between the First Lien Lenders and the
Second Lien Lenders, all payments received by the First Lien Lenders may be applied, reversed and
reapplied, in whole or in part, to such part of the First Lien Obligations as the First Lien
Lenders, in their sole discretion, deem appropriate.

     SECTION 8.8. Consent to Jurisdiction; Waivers.

     (a) ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, THIS
AGREEMENT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN)
OR ACTIONS OF THE PARTIES HERETO IN CONNECTION HEREWITH MAY BE BROUGHT AND MAINTAINED IN THE
COURTS OF THE STATE OF NEW YORK OR IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN
DISTRICT OF NEW YORK. EACH PARTY HERETO IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY
REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW
YORK AT THE ADDRESS FOR NOTICES SPECIFIED IN SECTION 8.9. EACH PARTY HEREBY
EXPRESSLY AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION
WHICH IT MAY HAVE OR HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION
BROUGHT IN ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN
BROUGHT IN AN INCONVENIENT FORUM. TO THE EXTENT THAT ANY PARTY HERETO HAS OR HEREAFTER MAY
ACQUIRE 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 OR
OTHERWISE) WITH RESPECT TO ITSELF OR ITS PROPERTY, SUCH PARTY HEREBY IRREVOCABLY WAIVES TO
THE FULLEST EXTENT PERMITTED BY LAW SUCH IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER THIS
AGREEMENT.

     (b) EACH PARTY HERETO HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES TO THE
FULLEST EXTENT PERMITTED BY LAW ANY RIGHTS IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY
LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, THIS AGREEMENT, OR
ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF
ANY PARTY HERETO IN CONNECTION HEREWITH. EACH PARTY HERETO ACKNOWLEDGES AND AGREES THAT IT
HAS RECEIVED
FULL AND SUFFICIENT CONSIDERATION FOR THIS PROVISION AND THAT THIS PROVISION IS A
MATERIAL INDUCEMENT FOR THE OTHER PARTIES HERETO ENTERING INTO THIS AGREEMENT.

     SECTION 8.9. Notices; Time. All notices and other communications provided under this
Agreement shall be in writing or by facsimile and addressed, delivered or transmitted, if to the
Borrowers, the First Lien Agent, the Second Lien Agent or the Control Agent at its address or
facsimile number set forth on Schedule I hereto or at such other address or facsimile
number

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as may be designated by such party in a notice to the other parties. Any notice, if mailed
and properly addressed with postage prepaid or if properly addressed and sent by pre-paid courier
service, shall be deemed given when received. Any notice, if transmitted by facsimile, shall be
deemed given when the confirmation of transmission thereof is received by the transmitter. Except
as set forth below, electronic mail and Internet and intranet websites may be used only to
distribute routine communications among the parties and for the distribution and execution of
documentation for execution by the parties thereto, and may not be used for any other purpose.
Notwithstanding the foregoing, the parties hereto agree that delivery of an executed counterpart of
a signature page to this Agreement by facsimile (or other electronic) transmission shall be
effective as delivery of an original executed counterpart of this Agreement. Unless otherwise
indicated, all references herein to the time of a day shall refer to New York time.

     SECTION 8.10. Further Assurances. The Second Lien Agent, on behalf of itself and the
Second Lien Lenders, agrees that each of them shall take such further action and shall execute and
deliver to the First Lien Agent and the First Lien Lenders such additional documents and
instruments (in recordable form, if requested) as the First Lien Agent or the First Lien Lenders
may reasonably determine to be required or appropriate to effectuate the terms of and the lien
priorities contemplated by this Agreement; provided that any reasonable and documented
out-of-pocket costs and expenses incurred by the Second Lien Agent in connection therewith shall be
reimbursable by the Second Lien Borrower or the Second Lien Guarantors to the extent provided under
the Second Lien Documents.

     SECTION 8.11. Governing Law. THIS AGREEMENT WILL BE DEEMED TO BE A CONTRACT MADE
UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH PURPOSE
SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).

     SECTION 8.12. Binding on Successors and Assigns.

     (a) This Agreement shall be binding upon the First Lien Agent, the First Lien Lenders,
the Second Lien Agent, the Second Lien Lenders and their respective permitted successors and
assigns.

     (b) Upon a Person becoming the First Lien Agent as described in the definition of
“First Lien Agent” hereunder (other than the First Lien Agent referred to in the recitals
hereto), such new First Lien Agent shall automatically become the First Lien Agent hereunder
with all the rights and powers of such party hereunder, and bound by the provisions hereof,
without the need for any further action on the part of any party hereto.

     (c) Upon a successor administrative agent, collateral agent or trustee becoming the
Second Lien Agent under the Second Lien Financing Agreement or any Second Lien Document,
such successor automatically shall become the Second Lien Agent hereunder with all the
rights and powers of the Second Lien Agent hereunder, and bound by the provisions hereof,
without the need for any further action on the part of any party hereto.

Intercreditor Agreement

- 33 -

 

     SECTION 8.13. Specific Performance. The First Lien Agent may demand specific
performance of this Agreement. The Second Lien Agent, on behalf of itself and the Second Lien
Lenders hereby irrevocably waives any defense based on the adequacy of a remedy at law and any
other defense which might be asserted to bar the remedy of specific performance in any action which
may be brought by the First Lien Agent.

     SECTION 8.14. Section Titles; Time Periods. The various headings contained in this
Agreement are inserted for convenience only and shall not affect the meaning or interpretation of
this Agreement or any provisions hereof. In the computation of time periods, unless otherwise
specified, the word “from” means “from and including” and each of the words “to” and “until” means
“to but excluding” and the word “through” means “to and including”.

     SECTION 8.15. Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall be an original and all of which shall together constitute one and
the same document.

     SECTION 8.16. Authorization. By its signature, each Person executing this Agreement
on behalf of a party hereto represents and warrants to the other parties hereto that it is duly
authorized to execute this Agreement.

     SECTION 8.17. No Third Party Beneficiaries. This Agreement and the rights and
benefits hereof shall inure to the benefit of the First Lien Agent and the First Lien Lenders and
their respective successors (including as a result of a refinancing) and assigns and, to the extent
applicable, the Borrowers, the Guarantors, the Second Lien Agent and the Second Lien Lenders and
their respective permitted successors (including as a result of a refinancing) and assigns. No
other Person, shall have or be entitled to assert rights or benefits hereunder.

     SECTION 8.18. Effectiveness. This Agreement shall become effective when executed and
delivered by the parties hereto. This Agreement shall be effective both before and after the
commencement of any Insolvency or Liquidation Proceeding. All references to any Borrower or any
Guarantor shall include such Borrower or such Guarantor as debtor and debtor-in-possession and any
receiver or trustee for such Borrower or such Guarantor (as the case may be) in any Insolvency or
Liquidation Proceeding.

     SECTION 8.19. Rights of Agents. (a) The rights, protections, privileges and
immunities, without duplication, including rights of indemnification, compensation and
reimbursement, of the First Lien Agent, the Second Lien Agent and the Control Agent, shall be the
same as those applicable to the First Lien Agent under the Pledge and Security Agreement, dated as
of September 5, 2006, among the First Lien Borrower, the Guarantors named therein and the First
Lien Agent, and such provisions are hereby incorporated herein as if specifically set forth herein.

     (b) The parties hereto agree that whenever this Agreement requires or otherwise makes
reference to the consent, discretion, agreement, approval, judgment, or any other similar term
contemplating an act, or omission to act, by the First Lien Agent, the Second Lien Agent or the
Control Agent, such Agents will only so act, or omit to act, upon the specific written direction
of the First Lien Required Lenders, the First Lien Administrative Agent, the Second Lien Required

Intercreditor Agreement

- 34 -

 

Lenders or the Second Lien Administrative, as the case may be, and in the absence of such
direction, such Agents shall have no liability whatsoever for their failure to act.

     (c) The provisions of this Section 8.19 shall survive the termination of this Agreement.

(Signature Pages Follow)

Intercreditor Agreement

-35-

 

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first
written above.

	 	 	 	 	 
	 	CITIBANK, N.A., as First Lien Agent

388 Greenwich Street

14th Floor

New York, New York 10013

Attn: Agency & Trust

Fax: (212) 657-2762

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CITIBANK, N.A., as Second Lien Agent

388 Greenwich Street

14th Floor

New York, New York 10013

Attn: Agency & Trust

Fax: (212) 657-2762

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CITIBANK, N.A., as Control Agent

388 Greenwich Street

14th Floor

New York, New York 10013

Attn: Agency & Trust

Fax: (212) 657-2762

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

	 	 	 	 	 
	 	HANESBRANDS INC., as the First Lien Borrower
 and a Second
Lien Guarantor

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	HBI BRANDED APPAREL LIMITED, INC., as the
 Second Lien
Borrower and a First Lien Guarantor

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	Guarantors:

HANESBRANDS DIRECT, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	UPEL, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CARIBETEX, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

	 	 	 	 	 
	 	SEAMLESS TEXTILES, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	BA INTERNATIONAL, L.L.C.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	HBI INTERNATIONAL, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	HBI BRANDED APPAREL ENTERPRISES, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CASA INTERNATIONAL, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	UPCR, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

	 	 	 	 	 
	 	HBI SOURCING, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	HBI PLAYTEX BATH LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CEIBENA DEL, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	NT INVESTMENT COMPANY, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	HANESBRANDS DISTRIBUTION, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CARIBESOCK, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

	 	 	 	 	 
	 	NATIONAL TEXTILES, L.L.C

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	HANES PUERTO RICO, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	PLAYTEX INDUSTRIES, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	INNER SELF LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	PLAYTEX DORADO, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	HANES MENSWEAR, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

SCHEDULE I

Notice Information (Pursuant to Section 8.9)

NOTICE ADDRESS FOR THE BORROWERS:

Hanesbrands Inc./ HBI Branded Apparel Limited, Inc.

1000 East Hanes Mill Rd

Winston Salem, NC 27105

Attn: General Counsel

NOTICE ADDRESS FOR ADMINISTRATIVE AGENT:

Citicorp USA, Inc.

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

Intercreditor Agreement

 

 

EXHIBIT I

CLOSING DATE CERTIFICATE

HANESBRANDS INC.

September 5, 2006

     This certificate is delivered pursuant to Section 5.1.2 of the First Lien Credit Agreement,
dated as of September 5, 2006 (the “Credit Agreement”), among Hanesbrands Inc. (the
“Borrower”), the Lenders, HSBC Bank USA, National Association, LaSalle Bank National
Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch, Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp
USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead
arrangers and joint bookrunners (in such capacities, the “Lead Arrangers”). Capitalized
terms used herein that are defined in the Credit Agreement, unless otherwise defined herein, have
the meanings provided (or incorporated by reference) in the Credit Agreement.

     The undersigned Authorized Officer, solely in such capacity and not as an individual, hereby
certifies, represents and warrants that, as of the Closing Date:

     1. Consummation of Transactions. (a) All actions necessary to consummate the
Transaction (other than the entering into of the Senior Note Documents and the issuance of the
Senior Notes) have been taken in accordance in all material respects with all applicable law and in
accordance with the terms of each applicable Transaction Document, without amendment or waiver of
any material provision thereof, unless approved by the Lead Arrangers in their reasonable
discretion.

     (b) Attached hereto as Annex I are true and correct copies of the material Second
Lien Loan Documents which are in full force and effect and pursuant to which HBI Branded Apparel
Limited, Inc. will borrow $450,000,000 in loans thereunder on the Closing Date.

     (c) Attached hereto as Annex II are true and correct copies of the material Bridge
Loan Documents which are in full force and effect and pursuant to which the Borrower will borrow
$500,000,000 in loans thereunder on the Closing Date.

     2. Litigation, etc. There exists no action, suit, investigation, litigation or
proceeding pending or threatened in writing in any court or before any arbitrator or governmental
or regulatory agency or authority that could reasonably be expected to have a Material Adverse
Effect.

     3. Approval. All material and necessary governmental and third party consents and
approvals have been obtained (without the imposition of any material and adverse conditions that
are not reasonably acceptable to the Lenders) and remain in effect and all applicable waiting
periods have expired without any material and adverse action being taken by any competent
authority.

Closing Date Certificate (First Lien)

 

 

     4. Debt Ratings. The Borrower has obtained a senior secured debt rating (of any
level) in respect of the Loans from each of S&P and Moody’s and such ratings (of any level) are in
effect as of the date hereof.

     5. Form 10. The financial information concerning the Branded Apparel Business and the
Borrower and its Subsidiaries contained in the Borrower’s Form 10 filed with the Securities and
Exchange Commission in connection with the Spin-Off, including all amendments and modifications
thereto, is consistent in all material respects with the information previously provided to the
Lead Arrangers and the Lenders.

	 	6.	 	Compliance with Warranties, No Default, etc. The following statements are
true and correct as of the date hereof (after giving effect to the making of the initial
Credit Extension):

     (a) the representations and warranties set forth in each Loan Document are, in
each case, true and correct in all material respects (unless stated to relate solely
to an earlier date, in which case such representations and warranties were true and
correct in all material respects as of such earlier date); and

     (b) no Default has occurred and is continuing.

Closing Date Certificate (First Lien)

2

 

     IN WITNESS WHEREOF, the undersigned has caused this Closing Date Certificate to be
executed and delivered, and the certification, representations and warranties contained herein, by
its Authorized Officer, are made solely in such capacity and not as an individual, as of the date
first written above.

	 	 	 	 	 
	 	HANESBRANDS INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

Closing Date Certificate (First Lien)

3

 

Annex I

Material Second Lien Loan Documents

Closing Date Certificate (First Lien)

 

 

Annex II

Material Bridge Loan Documents

Closing Date Certificate (First Lien)EX-10.29

 

[EXECUTION COPY]

SECOND LIEN CREDIT AGREEMENT,

dated as of September 5, 2006,

among

HBI BRANDED APPAREL LIMITED, INC.,

as the Borrower,

HANESBRANDS INC.,

as the Company,

VARIOUS FINANCIAL INSTITUTIONS AND

OTHER PERSONS FROM TIME TO TIME

PARTY HERETO,

as the Lenders,

HSBC BANK USA, NATIONAL ASSOCIATION,

LASALLE BANK NATIONAL ASSOCIATION, and

BARCLAYS BANK PLC,

as the Co-Documentation Agents,

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Co-Syndication Agents,

CITICORP USA, INC.,

as the Administrative Agent,

and

CITIBANK, N.A., as the Collateral Agent.

 

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Joint Lead Arrangers and Joint Bookrunners

*Portions of this document have been omitted pursuant to a Confidential Treatment
Request. 

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	ARTICLE I DEFINITIONS AND ACCOUNTING TERMS	 	 	2	 
	 
	 	Section 1.1	 	Defined Terms	 	 	2	 
	 
	 	Section 1.2	 	Use of Defined Terms	 	 	28	 
	 
	 	Section 1.3	 	Cross-References	 	 	28	 
	 
	 	Section 1.4	 	Accounting and Financial Determinations	 	 	28	 
	ARTICLE II COMMITMENTS, BORROWING PROCEDURES AND NOTES	 	 	29	 
	 
	 	Section 2.1	 	Commitments	 	 	29	 
	 
	 	Section 2.2	 	Borrowing Procedures	 	 	29	 
	 
	 	Section 2.3	 	Continuation and Conversion Elections	 	 	30	 
	 
	 	Section 2.4	 	Funding	 	 	30	 
	 
	 	Section 2.5	 	Register; Notes	 	 	30	 
	ARTICLE III REPAYMENTS, PREPAYMENTS, INTEREST AND FEES	 	 	31	 
	 
	 	Section 3.1	 	Repayments and Prepayments; Application	 	 	31	 
	 
	 	Section 3.2	 	Interest Provisions	 	 	33	 
	 
	 	Section 3.3	 	Fees	 	 	34	 
	ARTICLE IV CERTAIN LIBO RATE AND OTHER PROVISIONS	 	 	34	 
	 
	 	Section 4.1	 	LIBO Rate Lending Unlawful	 	 	34	 
	 
	 	Section 4.2	 	Deposits Unavailable	 	 	35	 
	 
	 	Section 4.3	 	Increased LIBO Rate Loan Costs, etc	 	 	35	 
	 
	 	Section 4.4	 	Funding Losses	 	 	35	 
	 
	 	Section 4.5	 	Increased Capital Costs	 	 	36	 
	 
	 	Section 4.6	 	Taxes	 	 	36	 
	 
	 	Section 4.7	 	Payments, Computations; Proceeds of Collateral, etc	 	 	39	 
	 
	 	Section 4.8	 	Sharing of Payments	 	 	40	 
	 
	 	Section 4.9	 	Setoff	 	 	40	 
	 
	 	Section 4.10	 	Mitigation	 	 	41	 
	 
	 	Section 4.11	 	Removal of Lenders	 	 	41	 
	 
	 	Section 4.12	 	Limitation on Additional Amounts, etc	 	 	42	 
	ARTICLE V CONDITIONS TO LOANS	 	 	42	 
	 
	 	Section 5.1	 	Resolutions, etc	 	 	42	 
	 
	 	Section 5.2	 	Closing Date Certificate	 	 	43	 
	 
	 	Section 5.3	 	Consummation of Transaction	 	 	43	 

-i-

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	 
	 	Section 5.4	 	Patriot Act Disclosures	 	 	43	 
	 
	 	Section 5.5	 	Delivery of Notes	 	 	43	 
	 
	 	Section 5.6	 	Financial Information, etc	 	 	43	 
	 
	 	Section 5.7	 	Compliance Certificate	 	 	44	 
	 
	 	Section 5.8	 	Guaranty	 	 	44	 
	 
	 	Section 5.9	 	Security Agreement; Intercreditor Agreement	 	 	44	 
	 
	 	Section 5.10	 	Intellectual Property Security Agreements	 	 	45	 
	 
	 	Section 5.11	 	Filing Agent, etc	 	 	45	 
	 
	 	Section 5.12	 	Insurance	 	 	45	 
	 
	 	Section 5.13	 	Opinions of Counsel	 	 	46	 
	 
	 	Section 5.14	 	Closing Fees, Expenses, etc	 	 	46	 
	 
	 	Section 5.15	 	Form 10	 	 	46	 
	 
	 	Section 5.16	 	Litigation	 	 	46	 
	 
	 	Section 5.17	 	Approval	 	 	46	 
	 
	 	Section 5.18	 	Debt Rating	 	 	46	 
	 
	 	Section 5.19	 	Satisfactory Legal Form	 	 	46	 
	 
	 	Section 5.20	 	Compliance with Warranties, No Default, etc	 	 	46	 
	 
	 	Section 5.21	 	Borrowing Request, etc	 	 	47	 
	ARTICLE VI REPRESENTATIONS AND WARRANTIES	 	 	47	 
	 
	 	Section 6.1	 	Organization, etc	 	 	47	 
	 
	 	Section 6.2	 	Due Authorization, Non-Contravention, etc	 	 	47	 
	 
	 	Section 6.3	 	Government Approval, Regulation, etc	 	 	48	 
	 
	 	Section 6.4	 	Validity, etc	 	 	48	 
	 
	 	Section 6.5	 	Financial Information	 	 	48	 
	 
	 	Section 6.6	 	No Material Adverse Change	 	 	48	 
	 
	 	Section 6.7	 	Litigation, Labor Controversies, etc	 	 	49	 
	 
	 	Section 6.8	 	Subsidiaries	 	 	49	 
	 
	 	Section 6.9	 	Ownership of Properties	 	 	49	 
	 
	 	Section 6.10	 	Taxes	 	 	49	 
	 
	 	Section 6.11	 	Pension and Welfare Plans	 	 	49	 
	 
	 	Section 6.12	 	Environmental Warranties	 	 	49	 
	 
	 	Section 6.13	 	Accuracy of Information	 	 	51	 
	 
	 	Section 6.14	 	Regulations U and X	 	 	51	 

-ii-

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	 
	 	Section 6.15	 	Compliance with Contracts, Laws, etc	 	 	51	 
	 
	 	Section 6.16	 	Solvency	 	 	51	 
	ARTICLE VII COVENANTS	 	 	51	 
	 
	 	Section 7.1	 	Affirmative Covenants	 	 	51	 
	 
	 	Section 7.2	 	Negative Covenants	 	 	58	 
	ARTICLE VIII EVENTS OF DEFAULT	 	 	73	 
	 
	 	Section 8.1	 	Listing of Events of Default	 	 	73	 
	 
	 	Section 8.2	 	Action if Bankruptcy	 	 	75	 
	 
	 	Section 8.3	 	Action if Other Event of Default	 	 	75	 
	ARTICLE IX   	THE ADMINISTRATIVE AGENT, THE COLLATERAL AGENT; THE LEAD
ARRANGERS, THE SYNDICATION AGENT AND THE DOCUMENTATION AGENT	 	76	 
	 
	 	Section 9.1	 	Actions	 	 	76	 
	 
	 	Section 9.2	 	Funding Reliance, etc	 	 	76	 
	 
	 	Section 9.3	 	Exculpation	 	 	76	 
	 
	 	Section 9.4	 	Successor	 	 	77	 
	 
	 	Section 9.5	 	Loans by Citibank	 	 	77	 
	 
	 	Section 9.6	 	Credit Decisions	 	 	77	 
	 
	 	Section 9.7	 	Copies, etc	 	 	78	 
	 
	 	Section 9.8	 	Reliance by Agents	 	 	78	 
	 
	 	Section 9.9	 	Defaults	 	 	78	 
	 
	 	Section 9.10	 	Lead Arrangers, Syndication Agents and Documentation Agents	 	 	78	 
	 
	 	Section 9.11	 	Posting of Approved Electronic Communications	 	 	79	 
	ARTICLE X MISCELLANEOUS PROVISIONS	 	 	80	 
	 
	 	Section 10.1	 	Waivers, Amendments, etc	 	 	80	 
	 
	 	Section 10.2	 	Notices; Time	 	 	81	 
	 
	 	Section 10.3	 	Payment of Costs and Expenses	 	 	82	 
	 
	 	Section 10.4	 	Indemnification	 	 	83	 
	 
	 	Section 10.5	 	Survival	 	 	84	 
	 
	 	Section 10.6	 	Severability	 	 	84	 
	 
	 	Section 10.7	 	Headings	 	 	84	 
	 
	 	Section 10.8	 	Execution in Counterparts, Effectiveness, etc	 	 	84	 

-iii-

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	 
	 	Section 10.9	 	Governing Law; Entire Agreement	 	 	84	 
	 
	 	Section 10.10	 	Successors and Assigns	 	 	85	 
	 
	 	Section 10.11	 	Sale and Transfer of Loans; Participations in Loans; Notes	 	 	85	 
	 
	 	Section 10.12	 	Other Transactions	 	 	87	 
	 
	 	Section 10.13	 	Forum Selection and Consent to Jurisdiction	 	 	87	 
	 
	 	Section 10.14	 	Waiver of Jury Trial	 	 	88	 
	 
	 	Section 10.15	 	Patriot Act	 	 	88	 
	 
	 	Section 10.16	 	Counsel Representation	 	 	88	 
	 
	 	Section 10.17	 	Confidentiality	 	 	88	 
	 
	 	Section 10.18	 	Intercreditor Agreement	 	 	89	 

	 	 	 	 	 
	SCHEDULE I
	 	—	 	Disclosure Schedule
	SCHEDULE II
	 	—	 	Percentages; LIBOR Office; Domestic Office
	 
	 	 	 	 
	EXHIBIT A
	 	—	 	Form of Note
	EXHIBIT B
	 	—	 	Form of Borrowing Request
	EXHIBIT C
	 	—	 	Form of Continuation/Conversion Notice
	EXHIBIT D
	 	—	 	Form of Lender Assignment Agreement
	EXHIBIT E
	 	—	 	Form of Compliance Certificate
	EXHIBIT F
	 	—	 	Form of Guaranty
	EXHIBIT G
	 	—	 	Form of Pledge and Security Agreement
	EXHIBIT H
	 	—	 	Form of Intercreditor Agreement
	EXHIBIT I
	 	—	 	Form of Closing Date Certificate

-iv-

 

SECOND LIEN CREDIT AGREEMENT

     THIS SECOND LIEN CREDIT AGREEMENT, dated as of September 5, 2006, is among HBI BRANDED APPAREL
LIMITED, INC., a Delaware corporation (the “Borrower”), HANESBRANDS INC., a Maryland
corporation (the “Company”), the various financial institutions and other Persons from time
to time party hereto (the “Lenders”), HSBC BANK USA, NATIONAL ASSOCIATION, LASALLE BANK
NATIONAL ASSOCIATION and BARCLAYS BANK PLC, as the co-documentation agents (in such capacities, the
“Documentation Agents”), MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED (“Merrill
Lynch”) and MORGAN STANLEY SENIOR FUNDING, INC. (“Morgan Stanley”), as the
co-syndication agents (in such capacities, the “Syndication Agents”), CITICORP USA, INC.,
as the administrative agent (in such capacity, the “Administrative Agent”), CITIBANK, N.A.,
as the collateral agent (in such capacity, the “Collateral Agent”), and MERRILL LYNCH and
MORGAN STANLEY, as the joint lead arrangers and joint bookrunners (in such capacities, the
“Lead Arrangers”).

W I T N E S S E T H:

     WHEREAS, Sara Lee Corporation, a Maryland corporation (“Sara Lee”) intends, among
other things, to (i) transfer all the assets and certain associated liabilities it attributes to
its branded apparel Americas/Asia business (the “Contributed Business”) to the Company,
(ii) sell certain trademarks and other intellectual property related to the Contributed Business
(the “IP Purchase”, with such trademarks and other intellectual property being herein
collectively referred to as the “HBI IP”) to the Borrower, and (iii) distribute 100% of the
Company’s common stock to Sara Lee’s stockholders (the transfer of the Contributed Business and
such distribution being herein called the “Spin-Off”), pursuant to which, among other
things, (A) Sara Lee’s common stockholders will receive, on a pro rata basis, a dividend of all of
the issued and outstanding shares of common stock of the Company and (B) concurrently with the
consummation of the Spin-Off and the IP Purchase, Sara Lee will receive a cash dividend from the
Company in the approximate amount of $2,400,000,000 (the “Dividend”);

     WHEREAS, for purposes of consummating the Spin-Off, the Dividend and the IP Purchase, the
Borrower and the Company intend to utilize the proceeds from (i) the Loans, (ii) senior secured
first lien loans in an aggregate principal amount of $2,150,000,000 (the “First Lien
Loans”) and (iii)(A) senior unsecured notes issued by the Company (the “Senior Notes”)
and/or (B) unsecured increasing rate loans (the “Bridge Loans”) collectively resulting in
aggregate gross proceeds of $500,000,000; and

     WHEREAS, the Lenders are willing, on the terms and subject to the conditions hereinafter set
forth, to extend the Commitments and make Loans;

     NOW, THEREFORE, the parties hereto agree as follows.

 

 

ARTICLE I

DEFINITIONS AND ACCOUNTING TERMS

     SECTION 1.1 Defined Terms. The following terms (whether or not underscored) when
used in this Agreement, including its preamble and recitals, shall, except where the context
otherwise requires, have the following meanings (such meanings to be equally applicable to the
singular and plural forms thereof):

     “Acquired Permitted Capital Expenditure Amount” is defined in clause (a) of
Section 7.2.7.

     “Administrative Agent” is defined in the preamble and includes each other
Person appointed as the successor Administrative Agent pursuant to Section 9.4.

     “Affected Lender” is defined in Section 4.11.

     “Affiliate” of any Person means any other Person which, directly or indirectly,
controls, is controlled by or is under common control with such Person. “Control” of a Person
means the power, directly or indirectly, (i) to vote 10% or more of the Capital Securities (on a
fully diluted basis) of such Person having ordinary voting power for the election of directors,
managing members or general partners (as applicable), or (ii) to direct or cause the direction of
the management and policies of such Person (whether by contract or otherwise).

     “Agents” means, as the context may require, the Administrative Agent and the
Collateral Agent, collectively, or either of them individually.

     “Agreement” means, on any date, this Second Lien Credit Agreement as originally in
effect on the Closing Date and as thereafter from time to time amended, supplemented, amended and
restated or otherwise modified from time to time and in effect on such date.

     “Alternate Base Rate” means, on any date and with respect to all Base Rate Loans, a
fluctuating rate of interest per annum (rounded upward, if necessary, to the next highest 1/16 of
1%) equal to the higher of (i) the Base Rate in effect on such day, and (ii) the Federal Funds Rate
in effect on such day plus 1/2 of 1%. Changes in the rate of interest on that portion of any Loans
maintained as Base Rate Loans will take effect simultaneously with each change in the Alternate
Base Rate. The Administrative Agent will give notice promptly to the Borrower and the Lenders of
changes in the Alternate Base Rate; provided that, the failure to give such notice shall
not affect the Alternate Base Rate in effect after such change.

     “Applicable Margin” means in the case of Loans maintained as (a) LIBO Rate Loans, a
percentage per annum equal to 3.75% and (b) Base Rate Loans, a percentage per annum equal to 2.75%.

     “Applicable Percentage” means, at any time of determination, (i) with respect to a
mandatory prepayment in respect of Net Equity Proceeds pursuant to clause (c) of
Section 3.1.1, (A) 50.0%, if the Leverage Ratio set forth in the Compliance Certificate
most recently delivered by the Company to the Administrative Agent was greater than or equal to
3.75:1, (B) 25.0%, if the Leverage Ratio set forth in such Compliance Certificate was less than
3.75:1 but greater than

-2-

 

or equal to 3.00:1, and (C) 0%, if the Leverage Ratio set forth in such Compliance Certificate
was less than 3.00:1, and (ii) with respect to a mandatory prepayment in respect of Excess Cash
Flow pursuant to clause (e) of Section 3.1.1, (A) 50.0%, if the Leverage Ratio set
forth in the Compliance Certificate most recently delivered by the Company to the Administrative
Agent was greater than or equal to 3.75:1, (B) 25.0%, if the Leverage Ratio set forth in such
Compliance Certificate was less than 3.75:1 but greater than or equal to 3.00:1, and (C) 0%, if the
Leverage Ratio set forth in such Compliance Certificate was less than 3.00:1.

     “Approved Foreign Bank” is defined in the definition of “Cash Equivalent Investment”.

     “Approved Fund” means any Person (other than a natural Person) that (i) is engaged in
making, purchasing, holding or otherwise investing in commercial loans and similar extensions of
credit in the ordinary course, and (ii) is administered or managed by a Lender, an Affiliate of a
Lender or a Person or an Affiliate of a Person that administers or manages a Lender.

     “Authorized Officer” means, relative to any Obligor, the chief executive officer,
president, chief financial officer, treasurer, assistant treasurer, secretary, assistant secretary
and those of its other officers, general partners or managing members (as applicable), in each case
whose signatures and incumbency shall have been certified to the Agents and the Lenders pursuant to
Section 5.1.1.

     “Base Rate” means, at any time, the rate published in the Wall Street Journal as the
“prime rate"(or equivalent) at such time.

     “Base Rate Loan” means a Loan denominated in Dollars bearing interest at a fluctuating
rate determined by reference to the Alternate Base Rate.

     “Borrower” is defined in the preamble.

     “Borrowing” means the Loans of the same type and, in the case of LIBO Rate Loans,
having the same Interest Period made by all Lenders required to make such Loans on the same
Business Day and pursuant to the same Borrowing Request in accordance with Section 2.2.

     “Borrowing Request” means a Loan request and certificate duly executed by an
Authorized Officer of the Borrower substantially in the form of Exhibit B hereto.

     “Branded Apparel Business” means, collectively, the HBI IP and the Contributed
Business.

     “Bridge Loan Administrative Agent” means the “Administrative Agent” pursuant to, and
as defined in, the Bridge Loan Documents, and any successor thereto.

     “Bridge Loan Credit Agreement” means the Bridge Loan Credit Agreement, dated as of the
Closing Date, among the Company, the lenders from time to time party thereto and the Bridge Loan
Administrative Agent, as the same may be amended, supplemented, amended and restated or otherwise
modified from time to time in accordance with this Agreement.

-3-

 

     “Bridge Loan Documents” means the Bridge Loan Credit Agreement and the related
guarantees, notes and other agreements and instruments entered into in connection with the Bridge
Loan Credit Agreement, in each case as the same may be amended, supplemented, amended and restated
or otherwise modified from time to time in accordance with this Agreement.

     “Bridge Loans” is defined in the second recital.

     “Business Day” means (i) any day which is neither a Saturday or Sunday nor a legal
holiday on which banks are authorized or required to be closed in New York, New York and (ii)
relative to the making, continuing, prepaying or repaying of any LIBO Rate Loans, any day which is
a Business Day described in clause (i) above and on which dealings are carried on in the
London interbank eurodollar market.

     “CapEx Pull Forward Amount” is defined in clause (b) of Section 7.2.7.

     “Capital Expenditures” means, for any period, the aggregate amount of (i) all
expenditures of the Company and its Subsidiaries for fixed or capital assets made during such
period which, in accordance with GAAP, would be classified as capital expenditures and (ii)
Capitalized Lease Liabilities incurred by the Company and its Subsidiaries during such period;
provided that Capital Expenditures shall not include any such expenditures which constitute
any of the following, without duplication: (a) a Permitted Acquisition, (b) to the extent permitted
by this Agreement, capital expenditures consisting of Net Disposition Proceeds or Net Casualty
Proceeds not otherwise required to be used to repay the Loans, (c) capital expenditures made
utilizing Excluded Equity Proceeds, (d) imputed interest capitalized during such period incurred in
connection with Capitalized Lease Liabilities not paid or payable in cash and (e) any capital
expenditure made in connection with the Transaction as a result of the Company or any Subsidiary
buying assets from Sara Lee. For the avoidance of doubt (x) to the extent that any item is
classified under clause (i) of this definition and later classified under clause
(ii) of this definition or could be classified under either clause, it will only be required to
be counted once for purposes hereunder and (y) in the event the Company or any Subsidiary owns an
asset that was not used and is now being reused, no portion of the unused asset shall be considered
Capital Expenditures hereunder; provided that any expenditure necessary in order to permit
such asset to be reused shall be included as a Capital Expenditure during the period that such
expenditure actually is made.

     “Capital Securities” means, with respect to any Person, all shares, interests,
participations or other equivalents (however designated, whether voting or non-voting) of such
Person’s capital, whether now outstanding or issued after the Closing Date.

     “Capitalized Lease Liabilities” means, with respect to any Person, all monetary
obligations of such Person and its Subsidiaries under any leasing or similar arrangement which, in
accordance with GAAP, should be classified as capitalized leases, and for purposes of each Loan
Document the amount of such obligations shall be the capitalized amount thereof, determined in
accordance with GAAP, and the stated maturity thereof shall be the date of the last payment of rent
or any other amount due under such lease prior to the first date upon which such lease may be
terminated by the lessee without payment of a premium or a penalty.

-4-

 

     “Cash Equivalent Investment” means, at any time:

     (a) any direct obligation of (or unconditionally guaranteed by) the United States or a
State thereof (or any agency or political subdivision thereof, to the extent such
obligations are supported by the full faith and credit of the United States or a State
thereof) maturing not more than one year after such time;

     (b) commercial paper maturing not more than 270 days from the date of issue, which is
issued by (i) a corporation (other than an Affiliate of any Obligor) organized under the
laws of any State of the United States or of the District of Columbia and rated A-1 or
higher by S&P or P-1 or higher by Moody’s, or (ii) any Lender (or its holding company);

     (c) any certificate of deposit, time deposit or bankers acceptance, maturing not more
than one year after its date of issuance, which is issued by either (i) any bank organized
under the laws of the United States (or any State thereof) and which has (A) a credit rating
of A2 or higher from Moody’s or A or higher from S&P and (B) a combined capital and surplus
greater than $500,000,000, or (ii) any Lender;

     (d) any repurchase agreement having a term of 30 days or less entered into with any
Lender or any commercial banking institution satisfying the criteria set forth in clause
(c)(i) which (i) is secured by a fully perfected security interest in any obligation of
the type described in clause (a), and (ii) has a market value at the time such
repurchase agreement is entered into of not less than 100% of the repurchase obligation of
such commercial banking institution thereunder;

     (e) with respect to any Foreign Subsidiary, non-Dollar denominated (i) certificates of
deposit of, bankers acceptances of, or time deposits with, any commercial bank which is
organized and existing under the laws of the country in which such Person maintains its
chief executive office or principal place of business or is organized provided such country
is a member of the Organization for Economic Cooperation and Development, and which has a
short-term commercial paper rating from S&P of at least “A-1” or the equivalent thereof or
from Moody’s of at least “P-1” or the equivalent thereof (any such bank being an
“Approved Foreign Bank”) and maturing within one year of the date of acquisition and
(ii) equivalents of demand deposit accounts which are maintained with an Approved Foreign
Bank; or

     (f) readily marketable obligations issued or directly and fully guaranteed or insured
by the government or any agency or instrumentality of any member nation of the European
Union whose legal tender is the Euro and which are denominated in Euros or any other foreign
currency comparable in credit quality and tenor to those referred to above and customarily
used by corporations for cash management purposes in any jurisdiction outside the United
States to the extent reasonably required in connection with any business conducted by any
Foreign Subsidiary organized in such jurisdiction, having (i) one of the three highest
ratings from either Moody’s or S&P and (ii) maturities of not more than one year from the
date of acquisition thereof; provided that the full faith and credit of any such
member nation of the European Union is pledged in support thereof.

-5-

 

     “Cash Restructuring Charges” is defined in the definition of “EBITDA.”

     “Cash Spin-Off Charges” is defined in the definition of “EBITDA.”

     “Casualty Event” means the damage, destruction or condemnation, as the case may be, of
property of any Person or any of its Subsidiaries.

     “CERCLA” means the Comprehensive Environmental Response, Compensation and Liability
Act of 1980, as amended.

     “CERCLIS” means the Comprehensive Environmental Response Compensation Liability
Information System List.

     “Change in Control” means

     (a) any person or group (within the meaning of Sections 13(d) and 14(d) under the
Exchange Act) shall become the ultimate “beneficial owner” (as defined in Rules 13d-3 and
13d-5 under the Exchange Act), directly or indirectly, of Capital Securities representing
more than 35% of the Capital Securities of the Company on a fully diluted basis;

     (b) during any period of 24 consecutive months, individuals who at the beginning of
such period constituted the Board of Directors of the Company (together with any new
directors whose election to such Board or whose nomination for election by the stockholders
of the Company was approved by a vote of a majority of the directors then still in office
who were either directors at the beginning of such period or whose election or nomination
for election was previously so approved) cease for any reason to constitute a majority of
the Board of Directors of the Company then in office; or

     (c) the occurrence of any “Change of Control” (or similar term) under (and as defined
in) any First Lien Loan Document, Bridge Loan Document or Senior Note Document.

     “Citibank” means, as the context may require, Citicorp USA and CitiNA, collectively,
or either of them, individually.

     “Citicorp USA” means Citicorp USA, Inc., in its individual capacity, and any successor
thereto by merger, consolidation or otherwise.

     “CitiNA” means Citibank, N.A., in its individual capacity, and any successor thereto
by merger, consolidation or otherwise.

     “Closing Date Certificate” means the closing date certificate executed and delivered
by an Authorized Officer of the Borrower and the Company substantially in the form of Exhibit
I hereto.

     “Closing Date” means the date of the making of the Loans hereunder.

-6-

 

     “Code” means the Internal Revenue Code of 1986, and the regulations thereunder, in
each case as amended, reformed or otherwise modified from time to time.

     “Collateral Agent” is defined in the preamble and includes each other Person
appointed as successor Collateral Agent pursuant to Section 9.4.

     “Commitment” means, relative to any Lender, such Lender’s obligation to make Loans
pursuant to Section 2.1.1.

     “Commitment Amount” means, on any date, $450,000,000.

     “Commitment Termination Date” means the earliest of

     (a) October 15, 2006 (if the Loans have not been made on or prior to such date); and

     (b) the Closing Date (immediately after the making of the Loans on such date).

     Upon the occurrence of any event described above, the Commitments shall automatically
terminate without any further action by any party hereto.

     “Communications” is defined in clause (a) of Section 9.11.

     “Company” is defined in the preamble.

     “Compliance Certificate” means a certificate duly completed and executed by an
Authorized Officer of the Company, substantially in the form of Exhibit E hereto.

     “Contingent Liability” means any agreement, undertaking or arrangement by which any
Person guarantees, endorses or otherwise becomes or is contingently liable upon (by direct or
indirect agreement, contingent or otherwise, to provide funds for payment, to supply funds to, or
otherwise to invest in, a debtor, or otherwise to assure a creditor against loss) the Indebtedness
of any other Person (other than by endorsements of instruments in the course of collection), or
guarantees the payment of dividends or other distributions upon the Capital Securities of any other
Person. The amount of any Person’s obligation under any Contingent Liability shall (subject to any
limitation with respect thereto) be deemed to be the outstanding principal amount of the debt,
obligation or other liability guaranteed thereby.

     “Continuation/Conversion Notice” means a notice of continuation or conversion and
certificate duly executed by an Authorized Officer of the Borrower, substantially in the form of
Exhibit C hereto.

     “Contributed Business” is defined in the first recital.

     “Controlled Group” means all members of a controlled group of corporations and all
members of a controlled group of trades or businesses (whether or not incorporated) under

-7-

 

common control which, together with the Borrower, are treated as a single employer under
Section 414(b) or 414(c) of the Code or Section 4001 of ERISA.

     “Copyright Security Agreement” means any Copyright Security Agreement executed and
delivered by any Obligor in substantially the form of Exhibit C to the Security Agreement, as
amended, supplemented, amended and restated or otherwise modified from time to time.

     “Default” means any Event of Default or any condition, occurrence or event which,
after notice or lapse of time or both, would constitute an Event of Default.

     “Defaulting Lender” means any Lender that (i) refuses (which refusal has not been
retracted prior to an Eligible Assignee agreeing to replace such Lender as a “Lender” hereunder) or
has failed to make available its portion of any Borrowing or (ii) has notified in writing the
Borrower or the Administrative Agent that such Lender does not intend to comply with its
obligations under Section 2.1.

     “Disclosure Schedule” means the Disclosure Schedule attached hereto as Schedule
I, as it may be amended, supplemented, amended and restated or otherwise modified from time to
time by the Borrower with the written consent of, in the case of non-material modification, the
Administrative Agent and, in the case of material modifications the Required Lenders.

     “Disposition” (or similar words such as “Dispose”) means any sale, transfer,
lease (as lessor), contribution or other conveyance (including by way of merger) of, or the
granting of options, warrants or other rights to, any of the Company’s or its Subsidiaries’ assets
(including accounts receivable and Capital Securities of Subsidiaries) to any other Person in a
single transaction or series of transactions other than (i) to another Obligor, (ii) by a Foreign
Subsidiary to any other Foreign Subsidiary or (iii) by a Receivables Subsidiary to any other
Person.

     “Dividend” is defined in the first recital.

     “Documentation Agents” is defined in the preamble.

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

     “Domestic Office” means the office of a Lender designated as its “Domestic Office” on
Schedule II hereto or in a Lender Assignment Agreement, or such other office within the
United States as may be designated from time to time by notice from such Lender to the
Administrative Agent and the Borrower.

     “EBITDA” means, for any applicable period, the sum of

     (a) Net Income, plus

     (b) to the extent deducted in determining Net Income, the sum of (i) amounts
attributable to amortization (including amortization of goodwill and other intangible
assets), (ii) Federal, state, local and foreign income withholding, franchise, state single
business unitary and similar Tax expense, (iii) Interest Expense, (iv) depreciation of
assets, (v) all non-cash charges, including all non-cash charges associated with

-8-

 

announced restructurings, whether announced previously or in the future (such non-cash
restructuring charges being “Non-Cash Restructuring Charges”), (vi) net cash charges
associated with or related to any contemplated restructurings (such cost restructuring
charges being “Cash Restructuring Charges”) in an aggregate amount not to exceed, in
any Fiscal Year, the Permitted Cash Restructuring Charge Amount for such Fiscal Year, (vii)
net cash restructuring charges associated with or related to the Spin-Off (such cost
restructuring charges being “Cash Spin-Off Charges”) in an aggregate amount not to
exceed, in any Fiscal Year, the Permitted Cash Spin-Off Charge Amount for such Fiscal Year,
(viii) all amounts in respect of extraordinary losses, (ix) non-cash compensation expense,
or other non-cash expenses or charges, arising from the sale of stock, the granting of stock
options, the granting of stock appreciation rights and similar arrangements (including any
repricing, amendment, modification, substitution or change of any such stock, stock option,
stock appreciation rights or similar arrangements), (x) any financial advisory fees,
accounting fees, legal fees and other similar advisory and consulting fees, cash charges in
respect of strategic market reviews, management bonuses and early retirement of
Indebtedness, and related out-of-pocket expenses incurred by the Company or any of its
Subsidiaries as a result of the Transaction, including fees and expenses in connection with
the issuance, redemption or exchange of the Bridge Loans, all determined in accordance with
GAAP, (xi) non-cash or unrealized losses on agreements with respect to Hedging Obligations
and (xii) to the extent non-recurring and not capitalized, any financial advisory fees,
accounting fees, legal fees and similar advisory and consulting fees and related costs and
expenses of the Company and its Subsidiaries incurred as a result of Permitted Acquisitions,
Investments, Dispositions permitted hereunder and the issuance of Capital Securities or
Indebtedness permitted hereunder, all determined in accordance with GAAP and in each case
eliminating any increase or decrease in income resulting from non-cash accounting
adjustments made in connection with the related Permitted Acquisition or Dispositions,
(xiii) to the extent the related loss in not added back pursuant to clause (c), all
proceeds of business interruption insurance policies, (xiv) expenses incurred by the Company
or any Subsidiary to the extent reimbursed in cash by a third party, and (xv) extraordinary,
unusual or non-recurring cash charges not to exceed $10,000,000 in any Fiscal Year, minus

     (c) to the extent included in determining such Net Income, the sum of (i) all amounts
in respect of extraordinary gains or extraordinary losses, (ii) non-cash gains on agreements
with respect to Hedging Obligations, (iii) reversals (in whole or in part) of any
restructuring charges previously treated as Non-Cash Restructuring Charges in any prior
period and (iv) non-cash items increasing such Net Income for such period, other than (A)
the accrual of revenue consistent with past practice and (B) the reversal in such period of
an accrual of, or cash reserve for, cash expenses in a prior period, to the extent such
accrual or reserve did not increase EBITDA in a prior period.

     “Eligible Assignee” means (i) a Lender, (ii) an Affiliate of a Lender, (iii) an
Approved Fund or (iv) any other Person (other than an Ineligible Assignee).

     “Environmental Laws” means all applicable federal, state or local statutes, laws,
ordinances, codes, rules, regulations and legally binding guidelines (including consent decrees

-9-

 

and administrative orders) relating to protection of public health and safety from
environmental hazards and protection of the environment.

     “Equity Equivalents” means with respect to any Person any rights, warrants, options,
convertible securities, exchangeable securities, indebtedness or other rights, in each case
exercisable for or convertible or exchangeable into, directly or indirectly, Capital Securities of
such Person or securities exercisable for or convertible or exchangeable into Capital Securities of
such Person, whether at the time of issuance or upon the passage of time or the occurrence of some
future event.

     “ERISA” means the Employee Retirement Income Security Act of 1974, as amended, and any
successor statute thereto of similar import, together with the regulations thereunder, in each case
as in effect from time to time. References to Sections of ERISA also refer to any successor
Sections thereto.

     “European TM SPV” means Playtex Bath LLC, a Delaware limited liability company.

     “Event of Default” is defined in Section 8.1.

     “Excess Cash Flow” means, for any Fiscal Year, the excess (if any), of

     (a) EBITDA for such Fiscal Year

     minus

     (b) the sum (for such Fiscal Year) of (i) Interest Expense actually paid in cash by the
Company and its Subsidiaries, (ii) scheduled principal repayments with respect to the
permanent reduction of Indebtedness, to the extent actually made and permitted to be made
hereunder, (iii) all Federal, state, local and foreign income withholding, franchise, state
single business unitary and similar Taxes actually paid in cash or payable (only to the
extent related to Taxes associated with such Fiscal Year) by the Company and its
Subsidiaries, (iv) Capital Expenditures to the extent (x) actually made by the Company and
its Subsidiaries in such Fiscal Year or (y) committed to be made by the Company and its
Subsidiaries and that are permitted to be carried forward to the next succeeding Fiscal Year
pursuant to Section 7.2.7; provided that the amounts deducted from Excess
Cash Flow pursuant to preceding clause (y) shall not thereafter be deducted in the
determination of Excess Cash Flow for the Fiscal Year during which such payments were
actually made, (v) the portion of the purchase price paid in cash with respect to Permitted
Acquisitions to the extent such Permitted Acquisition was made in connection with the
Company’s offshore migration of its supply chain, (vi) cash Investments permitted to be made
in Foreign Supply Chain Entities, (vii) to the extent permitted to be included in the
calculation of EBITDA for such Fiscal Year, the amount of Cash Restructuring Charges and
Cash Spin-Off Charges actually so included in such calculation and (viii) without
duplication to any amounts deducted in preceding clauses (i) through (vii), all
items added back to EBITDA pursuant to clause (b) of the definition thereof that
represent amounts actually paid in cash.

     “Exemption Certificate” is defined in clause (e) of Section 4.6.

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     “Exchange Act” means the Securities Exchange Act of 1934, as amended.

     “Excluded Contracts” means the intellectual property rights, licenses, leases and
other agreements set forth in Item 1.2 of the Disclosure Schedule.

     “Excluded Equity Proceeds Amount” means with respect to the sale or issuance of
Capital Securities of the Company, an amount equal to the proceeds (net of all fees, commissions,
disbursements, costs and expenses incurred in connection therewith) thereof which are utilized for
Capital Expenditures or Permitted Acquisitions less the amount of such proceeds which have
been previously used for such purposes.

     “Federal Funds Rate” means, for any period, a fluctuating interest rate per annum
equal for each day during such period to (i) 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 for such day (or, if such day is not a Business Day, for the next preceding Business Day)
by the Federal Reserve Bank of New York, or (ii) if such rate is not so published for any day which
is a Business Day, the average of the quotations for such day on such transactions received by the
Administrative Agent from three federal funds brokers of recognized standing selected by it.

     “Fee Letter” means the confidential letter, dated July 24, 2006, among Merrill Lynch
Capital Corporation, Morgan Stanley and the Company.

     “Filing Agent” is defined in Section 5.1.11.

     “Filing Statements” is defined in Section 5.1.11.

     “First Lien Administrative Agent” means the “Administrative Agent” pursuant to, and as
defined in, the First Lien Loan Documents, and any successor thereto.

     “First Lien Collateral Agent” means the “Collateral Agent” pursuant to, and as defined
in, the First Lien Loan Documents, and any successor thereto.

     “First Lien Credit Agreement” means the First Lien Credit Agreement, dated as of the
Closing Date, among the Company, the lenders from time to time party thereto, the First Lien
Collateral Agent, the First Lien Administrative Agent and the various other agents and lead
arrangers party thereto, as the same may be amended, supplemented, amended and restated or
otherwise modified from time to time in accordance with this Agreement.

     “First Lien Loan Documents” means the First Lien Credit Agreement and the related
guarantees, pledge agreements, security agreements, mortgages, notes and other agreements and
instruments entered into in connection with the First Lien Credit Agreement, in each case as the
same may be amended, supplemented, amended and restated or otherwise modified from time to time in
accordance with this Agreement.

     “First Lien Loans” is defined in the second recital.

-11-

 

     “First Lien Obligations” means “Obligations” as defined in the First Lien Credit
Agreement.

     “First Lien Termination Date” means the “Termination Date” as defined in the First
Lien Credit Agreement.

     “Fiscal Quarter” means a quarter ending on the Saturday nearest to the last day of
March, June, September or December.

     “Fiscal Year” means any period of fifty-two or fifty-three consecutive calendar weeks
ending on the Saturday nearest to the last day of June; references to a Fiscal Year with a number
corresponding to any calendar year (e.g., the “2006 Fiscal Year”) refer to the Fiscal Year
ending on the Saturday nearest to the last day of June of such calendar year; provided that
in the event that the Company gives notice to the Administrative Agent that it intends to change
its Fiscal Year, Fiscal Year will mean any period of fifty-two or fifty-three consecutive calendar
weeks or twelve consecutive calendar months ending on the date set forth in such notice.

     “Foreign Pledge Agreement” means any supplemental pledge agreement governed by the
laws of a jurisdiction other than the United States or a State thereof executed and delivered by
the Company or any of its Subsidiaries pursuant to the terms of this Agreement, in form and
substance reasonably satisfactory to the Lead Arrangers, as necessary under the laws of
organization or incorporation of a Foreign Subsidiary to further protect or perfect the Lien on and
security interest in any Capital Securities issued by such Foreign Subsidiary constituting
Collateral (as defined in the Security Agreement).

     “Foreign Subsidiary” means any Subsidiary that is not a U.S. Subsidiary or a
Receivables Subsidiary.

     “Foreign Supply Chain Entity” means (i) a Person listed on Item 1.1 of the Disclosure
Schedule and (ii) any other Person (a) that is not organized or incorporated under the laws of the
United States, (b) the Capital Securities of which are owned by the Company or any of its
Subsidiaries and another Person who is not the Company or any Subsidiary (other than a third party
represented by any director’s qualifying shares or investments by foreign nationals mandated by
applicable laws), (c) that is created in connection with the Company’s offshore migration of its
supply chain and (d) any Investments in such Person are to be made pursuant to clause (e)
of Section 7.2.5 or clause (f) of Section 7.2.2; provided that the Company
may, upon notice to the Administrative Agent, redesignate any Person who was, before such
redesignation, a Foreign Supply Chain Entity as a Foreign Subsidiary and at such time such Foreign
Supply Chain Entity will be treated as a Foreign Subsidiary for all purposes hereunder.

     “F.R.S. Board” means the Board of Governors of the Federal Reserve System or any
successor thereto.

     “GAAP” is defined in Section 1.4.

     “Governmental Authority” means the government of the United States, any other nation
or any political subdivision thereof, whether state or local, and any agency, authority,
instrumentality, regulatory body, court, central bank or other entity exercising executive,

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legislative, judicial, taxing, regulatory or administrative powers or functions of or
pertaining to government.

     “Guaranty” means the guaranty executed and delivered by an Authorized Officer of the
Company and each U.S. Subsidiary (other than the Borrower) pursuant to the terms of this Agreement,
substantially in the form of Exhibit F hereto, as amended, supplemented, amended and
restated or otherwise modified from time to time.

     “Hazardous Material” means (i) any “hazardous substance”, as defined by CERCLA, (ii)
any “hazardous waste”, as defined by the Resource Conservation and Recovery Act, as amended, or
(iii) any pollutant or contaminant or hazardous, dangerous or toxic chemical, material or substance
(including any petroleum product) within the meaning of any other applicable federal, state or
local law, regulation, ordinance or requirement (including consent decrees and administrative
orders) relating to or imposing liability or standards of conduct concerning any hazardous, toxic
or dangerous waste, substance or material, all as amended.

     “HBI IP” is defined in the first recital.

     “Hedging Obligations” means, with respect to any Person, all liabilities of such
Person under foreign exchange contracts, commodity hedging agreements, currency exchange
agreements, interest rate swap agreements, interest rate cap agreements and interest rate collar
agreements, and all other agreements or arrangements designed to protect such Person against
fluctuations in interest rates, currency exchange rates or commodity prices.

     “herein”, “hereof”, “hereto”, “hereunder” and similar terms
contained in any Loan Document refer to such Loan Document as a whole and not to any particular
Section, paragraph or provision of such Loan Document.

     “Impermissible Qualification” means any qualification or exception to the opinion or
certification of any independent public accountant as to any financial statement of the Company (i)
which is of a “going concern” or similar nature, (ii) which relates to the limited scope in any
material respect of examination of matters relevant to such financial statement, or (iii) which
relates to the treatment or classification of any item in such financial statement (excluding
treatment or classification changes which are the result of changes in GAAP or the interpretation
of GAAP) and which, as a condition to its removal, would require an adjustment to such item the
effect of which would be to cause the Company to be in Default.

     “including” and “include” means including without limiting the generality of
any description preceding such term, and, for purposes of each Loan Document, the parties hereto
agree that the rule of ejusdem generis shall not be applicable to limit a general statement, which
is followed by or referable to an enumeration of specific matters, to matters similar to the
matters specifically mentioned.

     “Indebtedness” of any Person means, (i) all obligations of such Person for borrowed
money or advances and all obligations of such Person evidenced by bonds, debentures, notes or
similar instruments, (ii) all monetary obligations, contingent or otherwise, relative to the face
amount of all letters of credit, whether or not drawn, and banker’s acceptances issued for the
account of such Person, (iii) all Capitalized Lease Liabilities of such Person, (iv) for purposes
of

-13-

 

Section 8.1.5 only, net Hedging Obligations of such Person, (v) whether or not so
included as liabilities in accordance with GAAP, all obligations of such Person to pay the deferred
purchase price of property or services (excluding trade accounts payable and accrued expenses in
the ordinary course of business which are not overdue for a period of more than 90 days or, if
overdue for more than 90 days, as to which a dispute exists and adequate reserves in conformity
with GAAP have been established on the books of such Person), (vi) indebtedness secured by (or for
which the holder of such indebtedness has an existing right, contingent or otherwise, to be secured
by) a Lien on property owned or being acquired 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 (provided that in the event such
indebtedness is limited in recourse solely to the property subject to such Lien, for the purposes
of this Agreement the amount of such indebtedness shall not exceed the greater of the book value or
the fair market value (as determined in good faith by the Borrower’s board of directors) of the
property subject to such Lien), (vii) monetary obligations arising under Synthetic Leases, (viii)
the full outstanding balance of trade receivables, notes or other instruments sold with full
recourse (and the portion thereof subject to potential recourse, if sold with limited recourse),
other than in any such case any thereof sold solely for purposes of collection of delinquent
accounts and other than in connection with any Permitted Securitization, (ix) all obligations
(other than intercompany obligations) of such Person pursuant to any Permitted Securitization
(other than Standard Securitization Undertakings), and (x) all Contingent Liabilities of such
Person in respect of any of the foregoing. The Indebtedness of any Person shall include the
Indebtedness of any other Person (including any partnership in which such Person is a general
partner) to the extent such Person is liable therefore as a result of such Person’s ownership
interest in or other relationship with such Person, except to the extent the terms of such
Indebtedness provide that such Person is not liable therefore.

     “Indemnified Liabilities” is defined in Section 10.4.

     “Indemnified Parties” is defined in Section 10.4.

     “Ineligible Assignee” means a natural Person, the Company, any Affiliate of the
Borrower or any other Person taking direction from, or working in concert with, the Borrower or any
of the Borrower’s Affiliates.

     “Information” is defined in Section 10.18.

     “Interco Subordination Agreement” means a Subordination Agreement, in form and
substance satisfactory to the Lead Arrangers, executed and delivered by two or more Obligors
pursuant to the terms of this Agreement, as amended, supplemented, amended and restated or
otherwise modified from time to time.

     “Intercreditor Agreement” means the Intercreditor Agreement, dated as of the Closing
Date, executed and delivered by each Person party thereto, substantially in the form of Exhibit
H hereto, as amended, supplemented, amended and restated or otherwise modified from time to
time.

-14-

 

     “Interest Coverage Ratio” means, as of the last day of any Fiscal Quarter, the ratio
computed for the period consisting of such Fiscal Quarter and each of the three immediately
preceding Fiscal Quarters of:

     (a) EBITDA (for all such Fiscal Quarters)

     to

     (b) the sum (for all such Fiscal Quarters) of Interest Expense;

provided that, for purposes of calculating (i) Interest Expense with respect to the
calculation of the Interest Coverage Ratio with respect to the four consecutive Fiscal Quarter
period ending (A) nearest to December 31, 2006, Interest Expense shall be actual Interest Expense
for the Fiscal Quarter ending nearest to December 31, 2006 multiplied by four, (B) nearest to March
31, 2007, Interest Expense shall be actual Interest Expense for the two Fiscal Quarter period
ending nearest to March 31, 2007 multiplied by two, and (C) nearest to June 30, 2007, Interest
Expense shall be actual Interest Expense for the three Fiscal Quarter period ending nearest to June
30, 2007 multiplied by one and one-third and (ii) EBITDA with respect to the calculation of the
Interest Coverage such calculation shall be made in accordance with the proviso to the definition
of “Leverage Ratio.”

     “Interest Expense” means, for any applicable period, the aggregate interest expense
(both, without duplication, when accrued or paid and net of interest income paid during such period
to the Company and its Subsidiaries) of the Company and its Subsidiaries for such applicable
period, including the portion of any payments made in respect of Capitalized Lease Liabilities
allocable to interest expense.

     “Interest Period” means, relative to any LIBO Rate Loan, the period beginning on (and
including) the date on which such LIBO Rate Loan is made or continued as, or converted into, a LIBO
Rate Loan pursuant to Sections 2.3 or 2.4 and shall end on (but exclude) the day
which numerically corresponds to such date one, two, three or six months and, if available to all
Lenders, one or two weeks or 9 or 12 months thereafter (or, if any such month has no numerically
corresponding day, on the last Business Day of such month), as the Borrower may select in its
relevant notice pursuant to Sections 2.3 or 2.4; provided that,

     (a) the Borrower shall not be permitted to select Interest Periods to be in effect at
any one time which have expiration dates occurring on more than twelve different dates; and

     (b) if such Interest Period would otherwise end on a day which is not a Business Day,
such Interest Period shall end on the next following Business Day (unless such next
following Business Day is the first Business Day of a calendar month, in which case such
Interest Period shall end on the Business Day next preceding such numerically corresponding
day).

     “Investment” means, relative to any Person, (i) any loan, advance or extension of
credit made by such Person to any other Person, including the purchase by such Person of any bonds,
notes, debentures or other debt securities of any other Person, and (ii) any Capital Securities
held

-15-

 

by such Person in any other Person. The amount of any Investment shall be the original
principal or capital amount thereof less all returns of principal or equity thereon and shall, if
made by the transfer or exchange of property other than cash, be deemed to have been made in an
original principal or capital amount equal to the fair market value of such property at the time of
such Investment.

     “IP Purchase” is defined in the first recital.

     “Lead Arrangers” is defined in the preamble.

     “Lender Assignment Agreement” means an assignment agreement substantially in the form
of Exhibit D hereto.

     “Lenders” is defined in the preamble.

     “Lender’s Environmental Liability” means any and all losses, liabilities, obligations,
penalties, claims, litigation, demands, defenses, costs, judgments, suits, proceedings, damages
(including consequential damages), disbursements or expenses of any kind or nature whatsoever
(including reasonable attorneys’ fees at trial and appellate levels and experts’ fees and
disbursements and expenses incurred in investigating, defending against or prosecuting any
litigation, claim or proceeding) which may at any time be imposed upon, incurred by or asserted or
awarded against the Administrative Agent or any Lender or any of such Person’s Affiliates,
shareholders, directors, officers, employees, and agents in connection with or arising from:

     (a) any Hazardous Material on, in, under or affecting all or any portion of any
property of the Company or any of its Subsidiaries, the groundwater thereunder, or any
surrounding areas thereof to the extent caused by Releases from the Company’s or any of its
Subsidiaries’ or any of their respective predecessors’ properties;

     (b) any misrepresentation, inaccuracy or breach of any warranty, contained or referred
to in Section 6.12;

     (c) any violation or claim of violation by the Company or any of its Subsidiaries of
any Environmental Laws; or

     (d) the imposition of any lien for damages caused by or the recovery of any costs for
the cleanup, release or threatened release of Hazardous Material by the Company or any of
its Subsidiaries, or in connection with any property owned or formerly owned by the Company
or any of its Subsidiaries.

     “Leverage Ratio” means, as of the last day of any Fiscal Quarter, the ratio of

     (a) Total Debt outstanding on the last day of such Fiscal Quarter

     to

     (b) EBITDA computed for the period consisting of such Fiscal Quarter and each of the
three immediately preceding Fiscal Quarters;

-16-

 

provided that, for purposes of calculating the Leverage Ratio with respect to the four
consecutive Fiscal Quarter period ending (i) nearest to December 31, 2006, EBITDA shall be actual
EBITDA for the Fiscal Quarter ending nearest to December 31, 2006 multiplied by four; (ii) nearest
to March 31, 2007, EBITDA shall be actual EBITDA for the two Fiscal Quarter period ending nearest
to March 31, 2007 multiplied by two; and (iii) nearest to June 30, 2007, EBITDA shall be actual
EBITDA for the three Fiscal Quarter period ending nearest to June 30, 2007 multiplied by one and
one-third.

     “LIBO Rate” means, relative to any Interest Period, the rate of interest equal to the
average (rounded upwards, if necessary, to the nearest 1/16 of 1%) of the rates per annum at which
Dollar deposits in immediately available funds are offered to the Administrative Agent’s LIBOR
Office in the London interbank market as at or about 11:00 a.m. London, England time two Business
Days prior to the beginning of such Interest Period for delivery on the first day of such Interest
Period, and in an amount approximately equal to the amount of the Administrative Agent’s LIBO Rate
Loan and for a period approximately equal to such Interest Period.

     “LIBO Rate Loan” means a Loan bearing interest, at all times during an Interest Period
applicable to such Loan, at a rate of interest determined by reference to the LIBO Rate (Reserve
Adjusted).

     “LIBO Rate (Reserve Adjusted)” means, relative to any Loan to be made, continued or
maintained as, or converted into, a LIBO Rate Loan for any Interest Period, a rate per annum
(rounded upwards, if necessary, to the nearest 1/16 of 1%) determined pursuant to the following
formula:

	 	 	 	 	 	 	 	 	 
	 

	 	LIBO Rate
	 	=
	 	LIBO Rate	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	(Reserve Adjusted)
	 	 	 	1.00 - LIBOR Reserve Percentage
	 	 

The LIBO Rate (Reserve Adjusted) for any Interest Period for LIBO Rate Loans will be determined by
the Administrative Agent on the basis of the LIBOR Reserve Percentage in effect, and the applicable
rates furnished to and received by the Administrative Agent, two Business Days before the first day
of such Interest Period.

     “LIBOR Office” means the office of a Lender designated as its “LIBOR Office” on
Schedule II hereto or in a Lender Assignment Agreement, or such other office designated
from time to time by notice from such Lender to the Borrower and the Administrative Agent, whether
or not outside the United States, which shall be making or maintaining the LIBO Rate Loans of such
Lender.

     “LIBOR Reserve Percentage” means, relative to any Interest Period for LIBO Rate Loans,
the reserve percentage (expressed as a decimal) equal to the maximum aggregate reserve requirements
(including all basic, emergency, supplemental, marginal and other reserves and taking into account
any transitional adjustments or other scheduled changes in reserve requirements) specified under
regulations issued from time to time by the F.R.S. Board and then applicable to assets or
liabilities consisting of or including “Eurocurrency Liabilities”, as

-17-

 

currently defined in Regulation D of the F.R.S. Board, having a term approximately equal or
comparable to such Interest Period.

     “Lien” means any security interest, mortgage, pledge, hypothecation, assignment,
deposit arrangement, encumbrance, lien (statutory or otherwise), charge against or interest in
property, or other priority or preferential arrangement of any kind or nature whatsoever.

     “Loan Documents” means, collectively, this Agreement, the Notes, the Fee Letter, the
Intercreditor Agreement, the Security Agreement, each Mortgage, each Foreign Pledge Agreement, each
other agreement pursuant to which the Collateral Agent is granted by the Company or its
Subsidiaries a Lien to secure the Obligations, the Guaranty and each other agreement, certificate,
document or instrument delivered in connection with any Loan Document, whether or not specifically
mentioned herein or therein.

     “Loans” is defined in Section 2.1.1.

     “Material Adverse Effect” means a material adverse effect on (i) the business,
financial condition, operations, performance, or assets of the Company or the Company and its
Subsidiaries (other than a Receivables Subsidiary) taken as a whole, (ii) the rights and remedies
of any Secured Party under any Loan Document or (iii) the ability of any Obligor to perform when
due its Obligations under any Loan Document.

     “Merrill Lynch” is defined in the preamble and includes any successor Person
thereto by merger, consolidation or otherwise.

     “Moody’s” means Moody’s Investors Service, Inc. and its successors.

     “Morgan Stanley” is defined in the preamble and includes any successor Person
thereto by merger, consolidation or otherwise.

     “Mortgage” means each mortgage, deed of trust or agreement executed and delivered by
any Obligor in favor of the Administrative Agent for the benefit of the Secured Parties pursuant to
the requirements of this Agreement in form and substance reasonably satisfactory to the Lead
Arrangers, under which a Lien is granted on such real property and fixtures described therein, in
each case as amended, supplemented, amended and restated or otherwise modified from time to time.

     “Mortgaged Property” means each parcel of real property owned by an Obligor in the
United States on the Closing Date with a fair market value (as determined by the Company in good
faith) in excess of $2,000,000 on the Closing Date.

     “Net Casualty Proceeds” means, with respect to any Casualty Event, the amount of any
insurance proceeds or condemnation awards received by the Company or any of its U.S. Subsidiaries
in connection with such Casualty Event (net of all collection or similar expenses related thereto),
but excluding any proceeds or awards required to be paid to a creditor (other than the Lenders)
which holds a first priority Lien permitted by clause (d) of Section 7.2.3 on the
property which is the subject of such Casualty Event.

-18-

 

     “Net Debt Proceeds” means, with respect to the sale or issuance by the Company or any
of its U.S. Subsidiaries (other than a Receivables Subsidiary) of any Indebtedness to any other
Person after the Closing Date pursuant to clause (b)(ii) of Section 7.2.2 or which
is not expressly permitted by Section 7.2.2, the excess of (i) the gross cash proceeds
actually received by such Person from such sale or issuance, over (ii) all arranging or
underwriting discounts, fees, costs, expenses and commissions, and all legal, investment banking,
brokerage and accounting and other professional fees, sales commissions and disbursements and other
closing costs and expenses actually incurred in connection with such sale or issuance other than
any such fees, discounts, commissions or disbursements paid to Affiliates of the Borrower or any
such Subsidiary in connection therewith.

     “Net Disposition Proceeds” means the gross cash proceeds received by the Company or
its U.S. Subsidiaries from any Disposition pursuant to clauses (j) (l), (m)
or (n) of Section 7.2.11 or Section 7.2.15 and any cash payment received in
respect of promissory notes or other non-cash consideration delivered to the Company or its U.S.
Subsidiaries in respect thereof, minus the sum of (i) all legal, investment banking,
brokerage, accounting and other professional fees, costs, sales commissions and expenses and other
closing costs, fees and expenses incurred in connection with such Disposition, (ii) all taxes
actually paid or estimated by the Company to be payable in cash in connection with such
Disposition, (iii) payments made by the Company or its Subsidiaries to retire Indebtedness (other
than the Loans) where payment of such Indebtedness is required in connection with such Disposition
and (iv) any liability reserves established by the Company or such U.S. Subsidiary in respect of
such Disposition in accordance with GAAP; provided that, if the amount of any estimated
taxes pursuant to clause (ii) exceeds the amount of taxes actually required to be paid in
cash in respect of such Disposition, the aggregate amount of such excess shall constitute Net
Disposition Proceeds and to the extent any such reserves described in clause (iv) are not fully
used at the end of any applicable period for which such reserves were established, such unused
portion of such reserves shall constitute Net Disposition Proceeds.

     “Net Equity Proceeds” means with respect to the sale or issuance after the Closing
Date by the Company to any Person of its Capital Securities, warrants or options or the exercise of
any such warrants or options (other than such Capital Securities, warrants and options, in each
case with respect to common or ordinary equity interests, issued (i) by the Company pursuant to the
Company’s equity incentive plans, (ii) to qualified employees, officers and directors as
compensation or to qualify employees, officers and directors as required by applicable law, (iii)
that constitute an Excluded Equity Proceeds Amount or (iv) by the Company to a wholly owned
Subsidiary of the Company), the excess of (A) the gross cash proceeds received by such
Person from such sale, exercise or issuance, over (B) the sum of (i) all arranging, underwriting
commissions and legal, investment banking, brokerage and accounting and other professional fees,
sales commissions and disbursements and other closing costs and expenses actually incurred in
connection with such sale or issuance which have not been paid to Affiliates of the Company in
connection therewith and (ii) all taxes actually paid or estimated by the Company to be payable in
cash in connection with such sale or issuance; provided that, if the amount of any
estimated taxes pursuant to clause (B)(ii) exceeds the amount of taxes actually required to
be paid in cash in respect of such sale or issuance, the aggregate amount of such excess shall
constitute Net Equity Proceeds.

-19-

 

     “Net Income” means, for any period, the aggregate of all amounts which would be
included as net income on the consolidated financial statements of the Company and its Subsidiaries
for such period; provided that, for purposes of this Agreement, the calculation of Net
Income shall not include any net income of any Foreign Supply Chain Entity, except to the extent
cash is distributed by such Foreign Supply Chain Entity during such period to the Company or any
other Subsidiary as a dividend or other distribution.

     “Net Receivables Proceeds” means (i) the gross amount invested (in the form of a loan,
purchased interest, or otherwise) by a Person other than the Company or a Subsidiary in a
Receivables Subsidiary or the Receivables or an interest in the Receivables held by a Receivables
Subsidiary in connection with a Permitted Securitization minus (ii) the sum of (a) all
reasonable and customary legal, investment banking, brokerage and accounting and other professional
fees, costs and expenses incurred in connection with such Permitted Securitization, (b) all taxes
actually paid or estimated by the Company to be payable in connection with such Permitted
Securitization, and (c) payments made by the Company or its U.S. Subsidiaries to retire
Indebtedness (other than the Loans) where payment of such Indebtedness is required in connection
with such Permitted Securitization; provided that, if the amount of any estimated taxes
pursuant to clause (ii)(b) exceeds the amount of taxes actually required to be paid in cash
in respect of such Permitted Securitization, the aggregate amount of such excess shall constitute
Net Receivables Proceeds; it being understood that the calculation of Net Receivables Proceeds with
respect to any additional or subsequent investment in connection with a Permitted Securitization
shall include only the increase in such investment over the previous highest investment used in a
prior calculation and expenses, taxes and repayments not included in a prior calculation.

     “Non-Cash Restructuring Charges” is defined in the definition of “EBITDA”.

     “Non-Consenting Lender” is defined in Section 4.11.

     “Non Defaulting Lender” means a Lender other than a Defaulting Lender.

     “Non-Excluded Taxes” means any Taxes other than (i) net income and franchise Taxes
imposed on (or measured by) net income or net profits with respect to any Secured Party by any
Governmental Authority under the laws of which such Secured Party is organized or in which it
maintains its applicable lending office and (ii) any branch profit taxes or any similar taxes
imposed by the United States of America or any other Governmental Authority described in clause
(ii).

     “Non-U.S. Lender” means any Lender that is not a “United States person”, as defined
under Section 7701(a)(30) of the Code.

     “Note” means a promissory note of the Borrower payable to any Lender, in the form of
Exhibit A hereto (as such promissory note may be amended, endorsed or otherwise modified
from time to time), evidencing the aggregate Indebtedness of the Borrower to such Lender resulting
from outstanding Loans, and also means all other promissory notes accepted from time to time in
substitution therefor or renewal thereof.

-20-

 

     “Obligations” means all obligations (monetary or otherwise, whether absolute or
contingent, matured or unmatured) of the Borrower and each other Obligor arising under or in
connection with a Loan Document, including the principal of and premium, if any, and interest
(including interest accruing during the pendency of any proceeding of the type described in
Section 8.1.9, whether or not allowed in such proceeding) on the Loans.

     “Obligor” means, as the context may require, the Borrower, the Company, each
Subsidiary Guarantor and each other Person (other than a Secured Party) obligated (other than
Persons solely consenting to or acknowledging such document) under any Loan Document.

     “OFAC” is defined in Section 6.15.

     “Organic Document” means, relative to any Obligor, as applicable, its articles or
certificate of incorporation, by-laws, certificate of partnership, partnership agreement,
certificate of formation, limited liability agreement, operating agreement and all shareholder
agreements, voting trusts and similar arrangements applicable to any of such Obligor’s Capital
Securities.

     “Other Taxes” means any and all stamp, documentary or similar Taxes, or any other
excise or property Taxes or similar levies that arise on account of any payment made or required to
be made under any Loan Document or from the execution, delivery, registration, recording or
enforcement of any Loan Document.

     “Participant” is defined in clause (e) of Section 10.11.

     “Patent Security Agreement” means any Patent Security Agreement executed and delivered
by any Obligor in substantially the form of Exhibit A to the Security Agreement, as amended,
supplemented, amended and restated or otherwise modified from time to time.

     “Patriot Act” means the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law
October 26, 2001)), as amended and supplemented from time to time.

     “Patriot Act Disclosures” means all documentation and other information available to
the Borrower or its Subsidiaries which a Lender, if subject to the Patriot Act, is required to
provide pursuant to the applicable section of the Patriot Act and which required documentation and
information the Administrative Agent or any Lender reasonably requests in order to comply with
their ongoing obligations under applicable “know your customer” and anti-money laundering rules and
regulations, including the Patriot Act.

     “PBGC” means the Pension Benefit Guaranty Corporation and any Person succeeding to any
or all of its functions under ERISA.

     “Pension Plan” means a “pension plan”, as such term is defined in Section 3(2) of
ERISA, which is subject to Title IV of ERISA (other than a multiemployer plan as defined in Section
4001(a)(3) of ERISA), and to which the Company or any corporation, trade or business that is, along
with the Company, a member of a Controlled Group, may have liability, including any liability by
reason of having been a substantial employer within the meaning of Section 4063 of ERISA at any
time during the preceding five years, or by reason of being deemed to be a contributing sponsor
under Section 4069 of ERISA.

-21-

 

     “Percentage” means, relative to any Lender, the applicable percentage relating to the
Loans set forth opposite its name on Schedule II hereto under the Commitment column or set
forth in a Lender Assignment Agreement under the Commitment column, as such percentage may be
adjusted from time to time pursuant to Lender Assignment Agreements executed by such Lender and its
assignee Lender and delivered pursuant to Section 10.11. A Lender shall not have any
Commitment if its percentage under the Commitment column is zero.

     “Permitted Acquisition” means an acquisition (whether pursuant to an acquisition of a
majority of the Capital Securities of a target or all or substantially all of a target’s assets) by
the Company or any Subsidiary from any Person of a business in which the following conditions are
satisfied:

     (a) the Company shall have delivered a certificate certifying that before and after
giving effect to such acquisition, the representations and warranties set forth in each Loan
Document shall, in each case, be true and correct in all material respects with the same
effect as if then made (unless stated to relate solely to an earlier date, in which case
such representations and warranties shall be true and correct in all material respects as of
such earlier date) and no Default has occurred and is continuing or would result therefrom;
and

     (b) the Company shall have delivered to the Administrative Agent a Compliance
Certificate for the period of four full Fiscal Quarters immediately preceding such
acquisition (prepared in good faith and in a manner and using such methodology which is
consistent with the most recent financial statements delivered pursuant to Section
7.1.1) giving pro forma effect to the consummation of such acquisition
and evidencing compliance with the covenants set forth in Section 7.2.4.

     “Permitted Additional Restricted Payment” means, for any Fiscal Year set forth below,
Restricted Payments made by the Company in the amount set forth opposite such Fiscal Year:

	 	 	 	 	 
	Fiscal Year	 	Cash Amount
	2006
	 	$	24,000,000	 
	2007
	 	$	30,000,000	 
	2008
	 	$	36,000,000	 
	2009
	 	$	42,000,000	 
	2010 and thereafter
	 	$	48,000,000	 

; provided, to the extent that the amount of Permitted Additional Restricted Payments made
by the Company during any Fiscal Year is less than the aggregate amount permitted (including after
giving effect to this proviso) for such Fiscal Year, then such unutilized amount may be carried
forward and utilized by the Company to make Permitted Additional Restricted Payments in any
succeeding Fiscal Year and provided further that, to the extent (i) additional
Capital Securities are issued by the Company which result in the payment of Net Equity Proceeds
pursuant to Sections 3.1.1 and 3.1.2, the amounts set forth above shall be
increased by a percentage of such amounts equal to the percentage increase of additional
outstanding Capital Securities of the Company resulting from any such issuance by the Company and
(ii) for Fiscal Year 2009 and each Fiscal Year thereafter, the amounts set forth above in such
Fiscal Years shall be increased

-22-

 

(after giving effect to any increases permitted pursuant to preceding clause (i)) by an
additional $120,000,000 so long as both before and after giving effect to such Restricted Payment,
the Leverage Ratio is less than 3.75:1.00.

     “Permitted Cash Restructuring Charge Amount” means, $120,000,000 in the aggregate for
Fiscal Year 2006 and all Fiscal Years ending after the Closing Date.

     “Permitted Cash Spin-Off Charge Amount” means, for any Fiscal Year set forth below,
the amount set forth opposite such Fiscal Year:

	 	 	 	 	 
	Fiscal Year	 	Cash Amount
	2006
	 	$	20,000,000	 
	2007
	 	$	55,000,000	 

     “Permitted Liens” is defined in Section 7.2.3.

     “Permitted Securitization” means any Disposition by the Company or any of its
Subsidiaries consisting of Receivables and related collateral, credit support and similar rights
and any other assets that are customarily transferred in a securitization of receivables, pursuant
to one or more securitization programs, to a Receivables Subsidiary or a Person who is not an
Affiliate of the Company; provided that (i) the consideration to be received by the Company
and its Subsidiaries other than a Receivables Subsidiary for any such Disposition consists of cash,
a promissory note or a customary contingent right to receive cash in the nature of a “hold-back” or
similar contingent right, (ii) no Default shall have occurred and be continuing or would result
therefrom, (iii) the aggregate outstanding balance of the Indebtedness in respect of all such
programs at any point in time is not in excess of $250,000,000, and (iv) the Net Receivables
Proceeds from such Disposition are applied to the extent required pursuant to Sections
3.1.1 and 3.1.2.

     “Person” means any natural person, corporation, limited liability company,
partnership, joint venture, association, trust or unincorporated organization, Governmental
Authority or any other legal entity, whether acting in an individual, fiduciary or other capacity.

     “Platform” is defined in clause (b) of Section 9.11.

     “Purchase Money Note” means a promissory note evidencing a line of credit, or
evidencing other Indebtedness owed to the Company or any Subsidiary in connection with a Permitted
Securitization, which note shall be repaid from cash available to the maker of such note, other
than amounts required to be established as reserves, amounts paid to investors in respect of
interest, principal and other amounts owing to such investors and amounts paid in connection with
the purchase of newly generated accounts receivable.

     “Quarterly Payment Date” means the last day of March, June, September and December,
or, if any such day is not a Business Day, the next succeeding Business Day.

     “Receivable” shall mean a right to receive payment arising from a sale or lease of
goods or the performance of services by a Person pursuant to an arrangement with another Person

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pursuant to which such other Person is obligated to pay for good or services under terms that
permit the purchase of such goods and services on credit and shall include, in any event, any items
of property that would be classified as an “account,” “chattel paper,” “payment intangible” or
“instrument” under the UCC and any supporting obligations.

     “Receivables Subsidiary” shall mean any wholly owned Subsidiary of the Company (or
another Person in which the Company or any Subsidiary makes an Investment and to which the Company
or one or more of its Subsidiaries transfer Receivables and related assets) which engages in no
activities other than in connection with the financing of Receivables and which is designated by
the Board of Directors of the applicable Subsidiary (as provided below) as a Receivables Subsidiary
and which meets the following conditions:

     (a) no portion of the Indebtedness or any other obligations (contingent or otherwise)
of such Subsidiary:

     (i) is guaranteed by the Company or any Subsidiary (that is not a Receivables
Subsidiary);

     (ii) is recourse to or obligates the Company or any Subsidiary (that is not a
Receivables Subsidiary); or

     (iii) subjects any property or assets of the Company or any Subsidiary (that is
not a Receivables Subsidiary), directly or indirectly, contingently or otherwise, to
the satisfaction thereof;

     (b) with which neither the Company nor any Subsidiary (that is not a Receivables
Subsidiary) has any material contract, agreement, arrangement or understanding (other than
Standard Securitization Undertakings); and

     (c) to which neither the Company nor any Subsidiary (that is not a Receivables
Subsidiary) has any obligation to maintain or preserve such entity’s financial condition or
cause such entity to achieve certain levels of operating results.

     Any such designation by the Board of Directors of the applicable Subsidiary shall be evidenced
by a certified copy of the resolution of the Board of Directors of such Subsidiary giving effect to
such designation and an officers certificate certifying, to the best of such officer’s knowledge
and belief, that such designation complies with the foregoing conditions

     “Register” is defined in clause (a) of Section 2.5.

     “Release” means a “release”, as such term is defined in CERCLA.

     “Replacement Lender” is defined in Section 4.11.

     “Replacement Notice” is defined in Section 4.11.

     “Required Lenders” means, at any time, Non-Defaulting Lenders holding more than 50% of
the Total Exposure Amount of all Non-Defaulting Lenders.

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     “Resource Conservation and Recovery Act” means the Resource Conservation and Recovery
Act, 42 U.S.C. Section 6901, et seq., as amended.

     “Restricted Payment” means (i) the declaration or payment of any dividend (other than
dividends payable solely in Capital Securities of the Company or any Subsidiary) (other than a
Receivables Subsidiary) on, or the making of any payment or distribution on account of, or setting
apart assets for a sinking or other analogous fund for the purchase, redemption, defeasance,
retirement or other acquisition of, any class of Capital Securities of the Company or any
Subsidiary (other than a Receivables Subsidiary) or any warrants, options or other right or
obligation to purchase or acquire any such Capital Securities, whether now or hereafter
outstanding, or (ii) the making of any other distribution in respect of such Capital Securities, in
each case either directly or indirectly, whether in cash, property or obligations of the Company or
any Subsidiary or otherwise.

     “S&P” means Standard & Poor’s Rating Services, a division of The McGraw-Hill
Companies, Inc. and its successors.

     “Sara Lee” is defined in the first recital.

     “SEC” means the Securities and Exchange Commission.

     “Secured Parties” means, collectively, the Lenders, the Administrative Agent, the
Collateral Agent, the Lead Arrangers and each of their respective successors, transferees and
assigns.

     “Security Agreement” means the Pledge and Security Agreement executed and delivered by
each Obligor, substantially in the form of Exhibit G hereto, together with any supplemental
Foreign Pledge Agreements delivered pursuant to the terms of this Agreement, in each case as
amended, supplemented, amended and restated or otherwise modified from time to time.

     “Senior Note Documents” means the Senior Notes, the Senior Note Indenture and all
other agreements, documents and instruments executed and delivered with respect to the Senior Notes
or the Senior Note Indenture, as the same may be amended, supplemented, amended and restated or
otherwise modified from time to time in accordance with this Agreement.

     “Senior Note Indenture” means the Indenture, between the Company and the Person acting
as trustee thereunder (the “Senior Notes Trustee”), pursuant to which the Senior Notes and
any supplemental issuance of “senior notes” thereunder are issued, as the same may be amended,
supplemented, amended and restated or otherwise modified from time to time in accordance with this
Agreement.

     “Senior Notes” is defined in the second recital.

     “Senior Notes Trustee” is defined in the definition of “Senior Note Indenture”.

     “Solvent” means, with respect to any Person and its Subsidiaries on a particular date,
that on such date (i) the fair value of the property (on a going-concern basis) of such Person and
its Subsidiaries on a consolidated basis is greater than the total amount of liabilities, including

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contingent liabilities, of such Person and its Subsidiaries on a consolidated basis, (ii) the
present fair salable value of the assets (on a going-concern basis) of such Person and its
Subsidiaries on a consolidated basis is not less than the amount that will be required to pay the
probable liability of such Person and its Subsidiaries on a consolidated basis on its debts as they
become absolute and matured in the ordinary course of business, (iii) such Person does not intend
to, and does not believe that it or its Subsidiaries will, incur debts or liabilities beyond the
ability of such Person and its Subsidiaries to pay as such debts and liabilities mature in the
ordinary course of business (including through refinancings, asset sales and other capital market
transactions), and (iv) such Person and its Subsidiaries on a consolidated basis is not engaged in
business or a transaction, and such Person and its Subsidiaries on a consolidated basis is not
about to engage in a business or a transaction, for which the property of such Person and its
Subsidiaries on a consolidated basis would constitute an unreasonably small capital. The amount of
Contingent Liabilities at any time shall be computed as the amount that, in light of all the facts
and circumstances existing at such time, can reasonably be expected to become an actual or matured
liability.

     “Specified Default” means (i) any Default under Section 8.1.1 or Section
8.1.9 or (ii) any other Event of Default.

     “Spin-Off” is defined in the first recital.

     “Standard Securitization Undertakings” shall mean representations, warranties,
covenants and indemnities entered into by the Company or any Subsidiary which are reasonably
customary in a securitization of Receivables.

     “Stated Maturity Date” means the seven year and six month anniversary of the Closing
Date.

     “Subsidiary” means, with respect to any Person, any other Person of which more than
50% of the outstanding Voting Securities of such other Person (irrespective of whether at the time
Capital Securities of any other class or classes of such other Person shall or might have voting
power upon the occurrence of any contingency) is at the time directly or indirectly owned or
controlled by such Person, by such Person and one or more other Subsidiaries of such Person, or by
one or more other Subsidiaries of such Person. Unless the context otherwise specifically requires,
the term “Subsidiary” shall be a reference to a Subsidiary of the Company (other than a Receivables
Subsidiary). No Foreign Supply Chain Entity shall be considered to be a Subsidiary of the Company
or any Subsidiary for purposes hereof except as set forth in the definition of Foreign Supply Chain
Entity. Further, the European TM SPV shall not be considered to be a Subsidiary for any purpose
hereunder.

     “Subsidiary Guarantor” means each U.S. Subsidiary that has executed and delivered to
the Administrative Agent the Guaranty (including by means of a delivery of a supplement thereto).

     “Syndication Agents” is defined in the preamble.

     “Syndication Date” means the date upon which the Lead Arrangers determine in their
sole discretion (and notify the Company) and in accordance with the terms of the Fee Letter that

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a Successful Syndication (as defined in the Fee Letter) (and the resultant addition of Persons
as Lenders pursuant to Section 10.11) has been completed.

     “Synthetic Lease” means, as applied to any Person, any lease (including leases that
may be terminated by the lessee at any time) of any property (whether real, personal or mixed) (i)
that is not a capital lease in accordance with GAAP and (ii) in respect of which the lessee retains
or obtains ownership of the property so leased for federal income tax purposes, other than any such
lease under which that Person is the lessor.

     “Taxes” means all income, stamp or other taxes, duties, levies, imposts, charges,
assessments, fees, deductions or withholdings, now or hereafter imposed, levied, collected,
withheld or assessed by any Governmental Authority, and all interest, penalties or similar
liabilities with respect thereto.

     “Termination Date” means the date on which all Obligations have been paid in full in
cash (other than contingent indemnification obligations for which no claim has been asserted) and
all Commitments shall have terminated.

     “Total Debt” means, on any date, the outstanding principal amount of all Indebtedness
of the Company and its Subsidiaries (other than a Receivables Subsidiary) of the type referred to
in clause (i) of the definition of “Indebtedness”, clause (ii) of the definition of
“Indebtedness”, clause (iii) of the definition of “Indebtedness” and clause (vii)
of the definition of “Indebtedness”, in each case exclusive of intercompany Indebtedness between
the Company and its Subsidiaries and any Contingent Liability in respect of any of the foregoing.

     “Total Exposure Amount” means, on any date of determination (and without duplication),
the outstanding principal amount of all Loans.

     “Trademark Security Agreement” means any Trademark Security Agreement executed and
delivered by any Obligor substantially in the form of Exhibit B to the Security Agreement, as
amended, supplemented, amended and restated or otherwise modified from time to time.

     “Transaction” means , collectively, (i) the consummation of the Spin-Off, (ii) the
issuance of the Dividend, (iii) the consummation of the IP Purchase, (iv) the entering into of the
Loan Documents (other than this Agreement) and the making of the Loans hereunder on the Closing
Date, (v) the entering into of the First Lien Loan Documents and the making of the First Lien
Loans, (vi) the receipt by the Company of the proceeds from the Bridge Loans and the entering into
of the Bridge Loan Documents and/or the entering into of the Senior Notes Documents and the
issuance of the Senior Notes in an aggregate amount of $500,000,000, and (vii) the payment of fees
and expenses in connection and in accordance with the foregoing.

     “Transaction Documents” means, collectively, the First Lien Loan Documents, the Bridge
Loan Documents, the Senior Note Documents and any other material document executed or delivered in
connection with the Transaction, including any transition services agreements and tax sharing
agreements, in each case as amended, supplemented, amended and restated or otherwise modified from
time to time in accordance with Section 7.2.12.

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     “type” means, relative to any Loan, the portion thereof, if any, being maintained as a
Base Rate Loan or a LIBO Rate Loan.

     “UCC” means the Uniform Commercial Code as in effect from time to time in the State
of New York; provided that if, with respect to any Filing Statement or by reason of any
provisions of law, the perfection or the effect of perfection or non-perfection of the security
interests granted to the Collateral Agent pursuant to the applicable Loan Document is governed by
the Uniform Commercial Code as in effect in a jurisdiction of the United States other than New
York, then “UCC” means the Uniform Commercial Code as in effect from time to time in such other
jurisdiction for purposes of the provisions of each Loan Document and any Filing Statement relating
to such perfection or effect of perfection or non-perfection.

     “United States” or “U.S.” means the United States of America, its fifty states
and the District of Columbia.

     “U.S. Subsidiary” means any Subsidiary (other than a Receivables Subsidiary) that is
incorporated or organized under the laws of the United States.

     “Voting Securities” means, with respect to any Person, Capital Securities of any class
or kind ordinarily having the power to vote for the election of directors, managers or other voting
members of the governing body of such Person.

     “Welfare Plan” means a “welfare plan”, as such term is defined in Section 3(1) of
ERISA.

     “wholly owned Subsidiary” means any Subsidiary all of the outstanding Capital
Securities of which (other than any director’s qualifying shares or investments by foreign
nationals mandated by applicable laws) is owned directly or indirectly by the Company.

     SECTION 1.2 Use of Defined Terms. Unless otherwise defined or the context otherwise
requires, terms for which meanings are provided in this Agreement shall have such meanings when
used in each other Loan Document and the Disclosure Schedule.

     SECTION 1.3 Cross-References. Unless otherwise specified, references in a Loan
Document to any Article or Section are references to such Article or Section of such Loan Document,
and references in any Article, Section or definition to any clause are references to such clause of
such Article, Section or definition.

     SECTION 1.4 Accounting and Financial Determinations. (a) Unless otherwise
specified, all accounting terms used in each Loan Document shall be interpreted, and all accounting
determinations and computations thereunder (including under Section 7.2.4 and the
definitions used in such calculations) shall be made, in accordance with those generally accepted
accounting principles (“GAAP”) applied in the preparation of the financial statements
referred to in clause (a) of Section 5.6. Unless otherwise expressly provided, all
financial covenants and defined financial terms shall be computed on a consolidated basis for the
Company and its Subsidiaries, in each case without duplication.

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          (b) As of any date of determination, for purposes of determining the Interest Coverage Ratio
or Leverage Ratio (and any financial calculations required to be made or included within such
ratios, or required for purposes of preparing any Compliance Certificate to be delivered pursuant
to the definition of “Permitted Acquisition”), the calculation of such ratios and other financial
calculations shall include or exclude, as the case may be, the effect of any assets or businesses
that have been acquired or Disposed of by the Company or any of its Subsidiaries pursuant to the
terms hereof (including through mergers or consolidations) as of such date of determination, as
determined by the Company on a pro forma basis in accordance with GAAP, which determination may
include one-time adjustments or reductions in costs, if any, directly attributable to any such
permitted Disposition or Permitted Acquisition, as the case may be, in each case (i) calculated in
accordance with Regulation S-X of the Securities Act of 1933, as amended from time to time, and any
successor statute, for the period of four Fiscal Quarters ended on or immediately prior to the date
of determination of any such ratios (without giving effect to any cost-savings or adjustments
relating to synergies resulting from a Permitted Acquisition except as permitted by Regulation S-X
of the Securities Act of 1933 or otherwise as the Administrative Agent shall otherwise agree) and
(ii) giving effect to any such Permitted Acquisition or permitted Disposition as if it had occurred
on the first day of such four Fiscal Quarter period.

ARTICLE II

COMMITMENTS, BORROWING PROCEDURES AND NOTES

     SECTION 2.1 Commitments. On the terms and subject to the conditions of this
Agreement, the Lenders agree to make the Loans as set forth below.

     SECTION 2.1.1 Commitments. In a single Borrowing (which shall be made on a Business
Day) occurring on or prior to the Commitment Termination Date, each Lender agrees that it will make
loans (relative to such Lender, its “Loans”) to the Borrower equal to such Lender’s
Percentage of the aggregate amount of the Borrowing of Loans requested by the Borrower to be made
on such day. No Lender shall be permitted or required to make any Loan if, after giving effect
thereto, the aggregate outstanding principal amount of all Loans (i) of all Lenders made on the
Closing Date would exceed the Commitment Amount or (ii) of such Lender made on the Closing Date
would exceed such Lender’s Percentage of the Commitment Amount. No amounts paid or prepaid with
respect to Loans may be reborrowed.

     SECTION 2.2 Borrowing Procedures. Loans shall be made by the Lenders in accordance
with Section 2.1.1.

     SECTION 2.2.1 Borrowing Procedure. By delivering a Borrowing Request to the
Administrative Agent on or before 10:00 a.m. on a Business Day, the Borrower may irrevocably
request, on such Business Day in the case of Base Rate Loans, on not less than three Business Days’
notice and not more than five Business Days’ notice in the case of LIBO Rate Loans, that a
Borrowing be made in a single drawing on or prior to the Commitment Termination Date;
provided that only Base Rate Loans and LIBO Rate Loans with a one month Interest Period may
be incurred prior to the earlier to occur of (a) the 30th day following the Closing Date
and (b) the date upon which the Lead Arrangers have determined that the Syndication Date has
occurred. On or before 12:00 noon on such Business Day each Lender shall deposit with the

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Administrative Agent same day funds in an amount equal to such Lender’s Percentage of the
requested Borrowing. Such deposit will be made to an account which the Administrative Agent shall
specify from time to time by notice to the Lenders. To the extent funds are received from the
Lenders, the Administrative Agent shall make such funds available to the Borrower by wire transfer
to the accounts the Borrower shall have specified in its Borrowing Request. No Lender’s obligation
to make any Loan shall be affected by any other Lender’s failure to make any Loan.

     SECTION 2.3 Continuation and Conversion Elections. By delivering a
Continuation/Conversion Notice to the Administrative Agent on or before 10:00 a.m. on a Business
Day, the Borrower may from time to time irrevocably elect on not less than three nor more than five
Business Days’ notice before the last day of the then current Interest Period with respect thereto,
to convert any Base Rate Loan into one or more LIBO Rate Loans or to continue any LIBO Rate Loan;
provided that (i) any portion of any Loan which is continued or converted hereunder shall
be in a minimum amount of $1,000,000 and in an integral multiple amount of $1,000,000 and (ii) in
the absence of prior notice as required above (which notice may be delivered telephonically
followed by written confirmation within 24 hours thereafter by delivery of a
Continuation/Conversion Notice), with respect to any LIBO Rate Loan such LIBO Rate Loan shall, on
such last day, automatically convert to a Base Rate Loan; provided further that (A)
each such conversion or continuation shall be pro rated among the applicable outstanding Loans of
all Lenders that have made such Loans, and (B) no portion of the outstanding principal amount of
any Loans may be continued as, or be converted into, LIBO Rate Loans when any Event of Default has
occurred and is continuing.

     SECTION 2.4 Funding. Each Lender may, if it so elects, fulfill its obligation to
make, continue or convert LIBO Rate Loans hereunder by causing one of its foreign branches or
Affiliates (or an international banking facility created by such Lender) to make or maintain such
LIBO Rate Loan; provided that, such LIBO Rate Loan shall nonetheless be deemed to have been
made and to be held by such Lender, and the obligation of the Borrower to repay such LIBO Rate Loan
shall nevertheless be to such Lender for the account of such foreign branch, Affiliate or
international banking facility. Subject to Section 4.10, each Lender may, at its option,
make any Loan available to the Borrower by causing any foreign or domestic branch or Affiliate of
such Lender to make such Loan; provided that any exercise of such option shall not affect
the obligation of the Borrower to repay Loans in accordance with the terms of this Agreement.

     SECTION 2.5 Register; Notes. The Register shall be maintained on the following
terms.

     (a) The Borrower hereby designates the Administrative Agent to serve as the Borrower’s agent,
solely for the purpose of this clause, to maintain a register (the “Register”) on which the
Administrative Agent will record each Lender’s Commitment, the Loans made by each Lender and each
repayment in respect of the principal amount of the Loans, annexed to which the Administrative
Agent shall retain a copy of each Lender Assignment Agreement delivered to the Administrative Agent
pursuant to Section 10.11. Failure to make any recordation, or any error in such
recordation, shall not affect any Obligor’s Obligations. The entries in the Register shall
constitute prima facie evidence and shall be binding, in the absence of manifest error, and the
Borrower, the Administrative Agent and the Lenders shall treat each Person in whose name a Loan is
registered (or, if applicable, to which a Note has been issued) as

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the owner thereof for the
purposes of all Loan Documents, notwithstanding notice or any provision herein to the
contrary. Any assignment or transfer of a Commitment or the Loans made pursuant hereto shall be
registered in the Register only upon delivery to the Administrative Agent of a Lender Assignment
Agreement that has been executed by the requisite parties pursuant to Section 10.11. No
assignment or transfer of a Lender’s Commitment or Loans shall be effective unless such assignment
or transfer shall have been recorded in the Register by the Administrative Agent as provided in
this Section.

     (b) The Borrower agrees that, upon the request to the Administrative Agent by any Lender, the
Borrower will execute and deliver to such Lender a Note evidencing the Loans made by, and payable
to the order of, such Lender in a maximum principal amount equal to such Lender’s Percentage of the
original Commitment Amount. The Borrower hereby irrevocably authorizes each Lender to make (or
cause to be made) appropriate notations on the grid attached to such Lender’s Note (or on any
continuation of such grid), which notations, if made, shall evidence, inter alia,
the date of, the outstanding principal amount of, and the interest rate and Interest Period
applicable to the Loans evidenced thereby. Such notations shall, to the extent not inconsistent
with notations made by the Administrative Agent in the Register, constitute prima facie evidence
and shall be binding on each Obligor absent manifest error; provided that, the failure of
any Lender to make any such notations shall not limit or otherwise affect any Obligations of any
Obligor.

ARTICLE III

REPAYMENTS, PREPAYMENTS, INTEREST AND FEES

     SECTION 3.1 Repayments and Prepayments; Application. The Borrower agrees that the
Loans shall be repaid and prepaid pursuant to the following terms, subject in all cases to the
terms, conditions and restrictions set forth in the Intercreditor Agreement.

     SECTION 3.1.1 Repayments and Prepayments. The Borrower shall repay in full the
unpaid principal amount of each Loan on the Stated Maturity Date. Prior thereto, payments and
prepayments of the Loans shall or may be made as set forth below.

     (a) From time to time on any Business Day on or after the first anniversary of the Closing Date
and following the First Lien Termination Date, the Borrower may make a voluntary prepayment, in
whole or in part, of the outstanding principal amount of any Loans; provided that, the
Borrower shall have paid the following prepayment premium in connection therewith:

	 	 	 	 	 
	 	 	Prepayment Premium
	 	 	(as a percentage of the Loans
	Year	 	being prepaid)
	First anniversary of the Closing Date
through (and including) the second
anniversary of the Closing Date
	 	 	2	%
	 
	 	 	 	 
	Following the second anniversary of the
Closing Date through (and including) third
anniversary of the Closing Date
	 	 	1	%
	 
	 	 	 	 
	thereafter
	 	 	0	%

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All such voluntary prepayments shall require at least (1) in the case of Base Rate Loans, one but
no more than five Business Days’ prior notice to the Administrative Agent and (2) in the case of
LIBO Rate Loans three but no more than five Business Days’ prior notice to the Administrative
Agent; and all such voluntary partial prepayments shall be in an aggregate minimum amount of
$1,000,000 and an integral multiple of $500,000.

     (b) [Intentionally Omitted].

     (c) Following
the First Lien Termination Date, concurrently with the receipt by the
Company of any Net Equity Proceeds, the Borrower shall make a mandatory prepayment of the Loans in
an amount equal to the product of (i) such Net Equity Proceeds multiplied by (ii) the
Applicable Percentage, to be applied as set forth in Section 3.1.2.

     (d) Following the First Lien Termination Date, the Borrower shall (subject to the next proviso)
within 5 Business Days receipt of any Net Disposition Proceeds or Net Casualty Proceeds, by the
Borrower or any of its U.S. Subsidiaries, deliver to the Administrative Agent a calculation of the
amount of such proceeds, and, to the extent the aggregate amount of such (i) Net Disposition
Proceeds received by the Borrower and its U.S. Subsidiaries in any period of twelve consecutive
calendar months since the Closing Date exceeds $10,000,000 and (ii) Net Casualty Proceeds received
by the Borrower and its U.S. Subsidiaries in any period of twelve consecutive calendar months since
the Closing Date exceeds $50,000,000, the Borrower shall make a mandatory prepayment of the Loans
in an amount equal to 100% of such excess Net Disposition Proceeds or Net Casualty Proceeds, as
applicable; provided that, so long as (i) no Event of Default has occurred and is
continuing, such proceeds may be retained by the Borrower and its U.S. Subsidiaries (and be
excluded from the prepayment requirements of this clause) to be invested or reinvested within one
year or, subject to immediately succeeding clause (ii), 18 months or 36 months, as
applicable, to the acquisition or construction of other assets or properties consistent with the
businesses permitted to be conducted pursuant to Section 7.2.1 (including by way of merger
or Investment), and (ii) within one year following the receipt of such Net Disposition Proceeds or
Net Casualty Proceeds, such proceeds are (A) applied or (B) committed to be, and actually are,
applied within (I) 18 months following the receipt of such Net Disposition Proceeds or (II) 36
months following the receipt of such Net Casualty Proceeds, in each case to such acquisition or
construction plan. The amount of such Net Disposition Proceeds or Net Casualty Proceeds unused or
uncommitted after such one year, 18 months or 36 months, as applicable, period shall be applied to
prepay the Loans as set forth in Section 3.1.2. Following the First Lien Termination Date,
at any time after receipt of any such Net Casualty Proceeds in excess of $25,000,000 but prior to
the application thereof to such mandatory prepayment or the acquisition of other assets or
properties as described above, upon the request by the Administrative Agent (acting at the
direction of the Required Lenders) to the Borrower, the Borrower shall deposit an amount equal to
such excess Net Casualty Proceeds into a cash collateral account maintained with (and subject to
documentation reasonably satisfactory to) the Collateral Agent for the benefit of the Secured
Parties (and over which the Collateral Agent shall have a first priority perfected Lien) pending
application as a prepayment or to be released as

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requested by the Borrower in respect of such acquisition. Amounts deposited in such cash
collateral account shall be invested in Cash Equivalent Investments, as directed by the Borrower.

     (e) Following the First Lien Termination Date, within 100 days after the close of each Fiscal Year
(beginning with the Fiscal Year ending 2007) the Borrower shall make a mandatory prepayment of the
Loans in an amount equal to the product of (i) the Excess Cash Flow (if any) for such Fiscal Year
multiplied by (ii) the Applicable Percentage minus (iii) the aggregate amount of all
voluntary prepayments of Loans during such Fiscal Year, to be applied as set forth in Section
3.1.2;

     (f) Following the First Lien Termination Date, concurrently with the receipt by the Company or any
of its U.S. Subsidiaries of any Net Debt Proceeds, the Borrower shall make a mandatory prepayment
of the Loans in an amount equal to 100% of such Net Debt Proceeds, to be applied as set forth in
Section 3.1.2.

     (g) Following the First Lien Termination Date, concurrently with the receipt by the Company or any
of its U.S. Subsidiaries of any Net Receivables Proceeds, the Borrower shall make a mandatory
prepayment of the Loans in an amount equal to 100% of such Net Receivables Proceeds, to be applied
as set forth in Section 3.1.2.

     (h) Immediately upon any acceleration of the Stated Maturity Date of the Loans pursuant to
Section 8.2 or Section 8.3, the Borrower shall repay all the Loans, unless,
pursuant to Section 8.3, only a portion of all the Loans is so accelerated (in which case
the portion so accelerated shall be so repaid).

Each prepayment of any Loans made pursuant to this Section shall be without premium or penalty,
except as may be required by clause (a) or Section 4.4.

     SECTION 3.1.2 Application. Amounts prepaid pursuant to Section 3.1.1 shall ,
subject to the terms, conditions and restrictions set forth in the Intercreditor Agreement, be
applied to the extent of such prepayment or repayment, first, to the principal amount
thereof being maintained as Base Rate Loans, and second, subject to the terms of
Section 4.4, to the principal amount thereof being maintained as LIBO Rate Loans.

     SECTION 3.2 Interest Provisions. Interest on the outstanding principal amount of the
Loans shall accrue and be payable in accordance with the terms set forth below.

     SECTION 3.2.1 Rates. Pursuant to an appropriately delivered Borrowing Request or
Continuation/Conversion Notice, the Borrower may elect that the Loans comprising a Borrowing accrue
interest at a rate per annum:

     (a) on that portion maintained from time to time as a Base Rate Loan, equal to the sum
of the Alternate Base Rate from time to time in effect plus the Applicable Margin; and

     (b) on that portion maintained as a LIBO Rate Loan, during each Interest Period
applicable thereto, equal to the sum of the LIBO Rate (Reserve Adjusted) for such Interest
Period plus the Applicable Margin.

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All LIBO Rate Loans shall bear interest from and including the first day of the applicable Interest
Period to (but not including) the last day of such Interest Period at the interest rate determined
as applicable to such LIBO Rate Loan.

     SECTION 3.2.2 Post-Default Rates. After the occurrence and during the continuance of
an Event of Default, the Borrower shall pay, but only to the extent permitted by law, interest
(after as well as before judgment) on all outstanding Obligations at a rate per annum equal to (a)
in the case of principal on any Loan, the rate of interest that otherwise would be applicable to
such Loan plus 2% per annum; and (b) in the case of overdue interest, fees, and other
monetary Obligations, the Alternate Base Rate from time to time in effect, plus the Applicable
Margin accruing interest at the Alternate Base Rate, plus 2% per annum.

     SECTION 3.2.3 Payment Dates. Interest accrued on each Loan shall be payable, without
duplication:

     (a) on the Stated Maturity Date;

     (b) on the date of any payment or prepayment, in whole or in part, of principal
outstanding on such Loan on the principal amount so paid or prepaid;

     (c) with respect to Base Rate Loans, on each Quarterly Payment Date occurring after the
Closing Date;

     (d) with respect to LIBO Rate Loans, on the last day of each applicable Interest Period
(and, if such Interest Period shall exceed three months, on the date occurring on each
three-month interval occurring after the first day of such Interest Period);

     (e) with respect to any Base Rate Loans converted into LIBO Rate Loans on a day when
interest would not otherwise have been payable pursuant to clause (c), on the date
of such conversion; and

     (f) on that portion of any Loans the Stated Maturity Date of which is accelerated
pursuant to Section 8.2 or Section 8.3, immediately upon such acceleration.

Interest accrued on Loans or other monetary Obligations after the date such amount is due and
payable (whether on the Stated Maturity Date, upon acceleration or otherwise) shall be payable upon
demand.

     SECTION 3.3 Fees. The Borrower agrees to pay to each of the Agents and each Lead
Arranger, for its own account, the fees in the amounts and on the dates set forth in the Fee Letter
or in such other fee letter(s) negotiated by the parties thereto.

ARTICLE IV

CERTAIN LIBO RATE AND OTHER PROVISIONS

     SECTION 4.1 LIBO Rate Lending Unlawful. If any Lender shall determine (which
determination shall, upon notice thereof to the Borrower and the Administrative Agent,

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constitute prima facie evidence thereof and shall be binding on the Borrower absent manifest
error) that the introduction of or any change in or in the interpretation of any law makes it
unlawful, or any Governmental Authority asserts that it is unlawful, for such Lender to make or
continue any Loan as, or to convert any Loan into, a LIBO Rate Loan, the obligations of such Lender
to make, continue or convert any such LIBO Rate Loan shall, upon such determination, forthwith be
suspended until such Lender shall notify the Administrative Agent that the circumstances causing
such suspension no longer exist, and all outstanding LIBO Rate Loans payable to such Lender shall
automatically convert into Base Rate Loans at the end of the then current Interest Periods with
respect thereto or sooner, if required by such law or assertion.

     SECTION 4.2 Deposits Unavailable. If the Administrative Agent shall have determined
that

     (a) Dollar deposits in the relevant amount and for the relevant Interest Period are not
available to it in its relevant market; or

     (b) by reason of circumstances affecting it’s relevant market, adequate means do not
exist for ascertaining the interest rate applicable hereunder to LIBO Rate Loans;

then, upon notice from the Administrative Agent to the Borrower and the Lenders, the obligations of
all Lenders under Section 2.2 and Section 2.3 to make or continue any Loans as, or
to convert any Loans into, LIBO Rate Loans shall forthwith be suspended until the Administrative
Agent shall notify the Borrower and the Lenders that the circumstances causing such suspension no
longer exist.

     SECTION 4.3 Increased LIBO Rate Loan Costs, etc. The Borrower agrees to reimburse
each Lender for any increase in the cost to such Lender of, or any reduction in the amount of any
sum receivable by such Secured Party in respect of, such Secured Party’s Commitments and the making
of Loans hereunder (including the making, continuing or maintaining (or of its obligation to make
or continue) any Loans as, or of converting (or of its obligation to convert) any Loans into, LIBO
Rate Loans) that arise in connection with any change in, or the introduction, adoption,
effectiveness, interpretation, reinterpretation or phase-in after the Closing Date of, any law or
regulation, directive, guideline, decision or request (whether or not having the force of law) of
any Governmental Authority, except for such changes with respect to increased capital costs and
Taxes which are governed by Sections 4.5 and 4.6, respectively. Each affected
Secured Party shall promptly notify the Administrative Agent and the Borrower in writing of the
occurrence of any such event, stating the reasons therefor and the additional amount required fully
to compensate such Secured Party for such increased cost or reduced amount. Such additional
amounts shall be payable by the Borrower directly to such Secured Party within five Business Days
of its receipt of such notice, and such notice shall, in the absence of manifest error, constitute
prima facie evidence thereof and shall be binding on the Borrower.

     SECTION 4.4 Funding Losses. In the event any Lender shall incur any actual loss or
expense (including any actual loss or expense incurred by reason of the liquidation or reemployment
of deposits or other funds acquired by such Lender (if any) to make or continue any portion of the
principal amount of any Loan as, or to convert any portion of the principal amount of any Loan
into, a LIBO Rate Loan) as a result of

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     (a) any conversion or repayment or prepayment of the principal amount of any LIBO Rate
Loan on a date other than the scheduled last day of the Interest Period applicable thereto,
whether pursuant to Article III or otherwise;

     (b) any Loans not being made continued or converted as LIBO Rate Loans in accordance
with the Borrowing Request or other notice therefor;

     (c) any Loans not being continued as, or converted into, LIBO Rate Loans in accordance
with the Continuation/Conversion Notice therefor; or

     (d) the assignment of any LIBO Rate Loan other than on the last day of an Interest
Period therefor as a result of a request by the Borrower pursuant to Section 4.11.

then, upon the written notice of such Lender to the Borrower (with a copy to the Administrative
Agent), the Borrower shall, within five days of its receipt thereof, pay directly to such Lender
such amount as will (in the reasonable determination of such Lender) reimburse such Lender for such
actual loss or expense. Such written notice shall, in the absence of manifest error, constitute
prima facie evidence thereof and shall be binding on the Borrower.

     SECTION 4.5 Increased Capital Costs. If any change in, or the introduction,
adoption, effectiveness, interpretation, reinterpretation or phase-in of, any law or regulation,
directive, guideline, decision or request (whether or not having the force of law) of any
Governmental Authority after the Closing Date affects or would affect the amount of capital
required or expected to be maintained by any Secured Party or any Person controlling such Secured
Party, and such Secured Party determines (in good faith but in its sole and absolute discretion)
that as a result thereof the rate of return on its or such controlling Person’s capital as a
consequence of the Commitments or the Loans made by such Secured Party is reduced to a level below
that which such Secured Party or such controlling Person could have achieved but for the occurrence
of any such circumstance, then upon notice (together with reasonably detailed supporting
documentation) from time to time by such Secured Party to the Borrower, the Borrower shall within
five Business Days following receipt of such notice pay directly to such Secured Party additional
amounts sufficient to compensate such Secured Party or such controlling Person for such reduction
in rate of return. A statement in reasonable detail of such Secured Party as to any such
additional amount or amounts shall, in the absence of manifest error, constitute prima facie
evidence thereof and shall be binding on the Borrower. In determining such amount, such Secured
Party may use any method of averaging and attribution that it (in its sole and absolute discretion)
shall deem applicable.

     SECTION 4.6 Taxes. The Borrower covenants and agrees as follows with respect to
Taxes.

     (a) Any and all payments by the Borrower under each Loan Document shall be made without setoff,
counterclaim or other defense, and free and clear of, and without deduction or withholding for or
on account of, any Taxes. In the event that any Taxes are imposed and required to be deducted or
withheld from any payment required to be made by any Obligor to or on behalf of any Secured Party
under any Loan Document, then:

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     (i) subject to clause (f), if such Taxes are Non-Excluded Taxes, the amount of
such payment shall be increased as may be necessary so that such payment is made, after
withholding or deduction for or on account of such Taxes, in an amount that is not less than
the amount provided for in such Loan Document; and

     (ii) the Borrower shall withhold the full amount of such Taxes from such payment (as
increased pursuant to clause (a)(i)) and shall pay such amount to the Governmental
Authority imposing such Taxes in accordance with applicable law.

     (b) In addition, the Borrower shall pay all Other Taxes imposed to the relevant Governmental
Authority imposing such Other Taxes in accordance with applicable law.

     (c) Upon the written request of the Administrative Agent, as promptly as practicable after the
payment of any Taxes or Other Taxes, and in any event within 45 days of any such written request,
the Borrower shall furnish to the Administrative Agent a copy of an official receipt (or a
certified copy thereof) evidencing the payment of such Taxes or Other Taxes. The Administrative
Agent shall make copies thereof available to any Lender upon request therefor.

     (d) Subject to clause (f), the Borrower shall indemnify each Secured Party for any
Non-Excluded Taxes and Other Taxes levied, imposed or assessed on (and whether or not paid directly
by) such Secured Party whether or not such Non-Excluded Taxes or Other Taxes are correctly or
legally asserted by the relevant Governmental Authority; provided that if the Borrower
reasonably believes that such Taxes were not correctly or legally asserted, such Secured Party will
use reasonable efforts to cooperate with the Borrower to obtain a refund of such Taxes so long as
such efforts would not, in the sole determination of such Secured Party, result in any additional
costs, expenses or risks or be otherwise disadvantageous to it. Promptly upon having knowledge
that any such Non-Excluded Taxes or Other Taxes have been levied, imposed or assessed, and promptly
upon notice thereof by any Secured Party, the Borrower shall pay such Non-Excluded Taxes or Other
Taxes directly to the relevant Governmental Authority (provided that no Secured Party shall
be under any obligation to provide any such notice to the Borrower). In addition, the Borrower
shall indemnify each Secured Party for any incremental Taxes that may become payable by such
Secured Party as a result of any failure of the Borrower to pay any Taxes when due to the
appropriate Governmental Authority or to deliver to the Administrative Agent, pursuant to
clause (c), documentation evidencing the payment of Taxes or Other Taxes (other than
incidental taxes resulting directly as a result of the willful misconduct or gross negligence of
the Administrative Agent or a respective Secured Party); provided that if the Secured Party
or the Administrative Agent, as applicable, fails to give notice to the Borrower of the imposition
of any Non-Excluded Taxes or Other Taxes within 120 days following its receipt of actual written
notice of the imposition of such Non-Excluded Taxes or Other Taxes, there will be no obligation for
the Borrower to pay interest or penalties attributable to the period beginning after such 120th day
and ending seven days after the Borrower receives notice from the Secured Party or the
Administrative Agent as applicable. With respect to indemnification for Non-Excluded Taxes and
Other Taxes actually paid by any Secured Party or the indemnification provided in the immediately
preceding sentence, such indemnification shall be made within 30 days after the date such Secured
Party makes written demand therefor (together with supporting documentation in reasonable detail).
The Borrower acknowledges that any payment made to any Secured Party or to any Governmental
Authority in respect of the indemnification obligations of

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the Borrower provided in this clause shall constitute a payment in respect of which the
provisions of clause (a) and this clause shall apply.

     (e) Each Non-U.S. Lender, on or prior to the date on which such Non-U.S. Lender becomes a Lender
hereunder (and from time to time thereafter upon the request of the Borrower or the Administrative
Agent, but only for so long as such non-U.S. Lender is legally entitled to do so), shall deliver to
the Borrower and the Administrative Agent either (i) two duly completed copies of either (x)
Internal Revenue Service Form W-8BEN claiming eligibility of the Non-U.S. Lender for benefits of an
income tax treaty to which the United States is a party or (y) Internal Revenue Service Form
W-8ECI, or in either case an applicable successor form; or (ii) in the case of a Non-U.S. Lender
that is not legally entitled to deliver either form listed in clause (e)(i), (x) a
certificate to the effect that such Non-U.S. Lender is not (A) a “bank” within the meaning of
Section 881(c)(3)(A) of the Code, (B) a “10 percent shareholder” of the Borrower within the meaning
of Section 881(c)(3)(B) of the Code, or (C) a controlled foreign corporation receiving interest
from a related person within the meaning of Section 881(c)(3)(C) of the Code (referred to as an
“Exemption Certificate”) and (y) two duly completed copies of Internal Revenue Service Form
W-8BEN or applicable successor form.

     (f) The Borrower shall not be obligated to pay any additional amounts to any Lender pursuant to
clause (a)(i), or to indemnify any Lender pursuant to clause (d), in respect of
United States federal withholding taxes to the extent imposed as a result of (i) the failure of
such Lender to deliver to the Borrower the form or forms and/or an Exemption Certificate, as
applicable to such Lender, pursuant to clause (e), (ii) such form or forms and/or Exemption
Certificate not establishing a complete exemption from U.S. federal withholding tax or the
information or certifications made therein by the Lender being untrue or inaccurate on the date
delivered in any material respect, or (iii) the Lender designating a successor lending office at
which it maintains its Loans which has the effect of causing such Lender to become obligated for
tax payments in excess of those in effect immediately prior to such designation; provided
that the Borrower shall be obligated to pay additional amounts to any such Lender pursuant to
clause (a)(i) and to indemnify any such Lender pursuant to clause (d), in respect
of United States federal withholding taxes if (i) any such failure to deliver a form or forms or an
Exemption Certificate or the failure of such form or forms or Exemption Certificate to establish a
complete exemption from U.S. federal withholding tax or inaccuracy or untruth contained therein
resulted from a change in any applicable statute, treaty, regulation or other applicable law or any
interpretation of any of the foregoing occurring after the Closing Date, which change rendered such
Lender no longer legally entitled to deliver such form or forms or Exemption Certificate or
otherwise ineligible for a complete exemption from U.S. federal withholding tax, or rendered the
information or certifications made in such form or forms or Exemption Certificate untrue or
inaccurate in a material respect, (ii) the redesignation of the Lender’s lending office was made at
the request of the Borrower or (iii) the obligation to pay any additional amounts to any such
Lender pursuant to clause (a)(i) or to indemnify any such Lender pursuant to clause
(d) is with respect to an Eligible Assignee that becomes an assignee Lender as a result of an
assignment made at the request of the Borrower.

     (g) If the Administrative Agent or a Lender determines in its sole, good faith discretion that
amounts recovered or refunded are a recovery or refund of any Non-Excluded Taxes or Other Taxes as
to which it has been indemnified by the Borrower pursuant to clause (d),

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or to which the Borrower has paid additional amounts pursuant to clause (a)(i), it shall pay over
such refund to the Borrower (but only to the extent of indemnity payments made, or additional
amounts paid, by the Borrower under this Section 4.6 with respect to the Non-Excluded Taxes or
Other Taxes that give rise to such refund), net of all reasonable out-of-pocket expenses of the
Administrative Agent or such Lender and without interest (other than any interest paid by the
relevant Governmental Authority with respect to such refund); provided that in no event
will any Lender be required to pay an amount to the Borrower that would place such Lender in a less
favorable net after-tax position than such Lender would have been in if the additional amounts
giving rise to such refund of any Non-Excluded Taxes or Other Taxes had never been paid, and
provided further that the Borrower, upon the written request of the Administrative
Agent or such Lender, agrees to repay the amount paid over to the Borrower (plus any penalties,
interest, or other charges imposed by the relevant Governmental Authority unless the Governmental
Authority assessed such penalties, interest, or other charges due to the gross negligence or
willful misconduct of the Administrative Agent or such Lender) to the Administrative Agent or such
Lender in the event the Administrative Agent or such Lender is required to repay such refund to the
Governmental Authority. Nothing in this clause (g) shall require any Lender to make
available its tax returns or any other information related to its taxes that it deems confidential.

     SECTION 4.7 Payments, Computations; Proceeds of Collateral, etc. (a) Unless
otherwise expressly provided in a Loan Document, all payments by the Borrower pursuant to each Loan
Document shall be made subject to the terms, conditions and restrictions set forth in the
Intercreditor Agreement and shall be made by the Borrower to the Administrative Agent for the
pro rata account of the Secured Parties entitled to receive such payment. All
payments shall be made without setoff, deduction or counterclaim not later than 11:00 a.m. on the
date due in same day or immediately available funds, in Dollars, to such account as the
Administrative Agent shall specify from time to time by notice to the Borrower. Funds received
after that time shall be deemed to have been received by the Administrative Agent on the next
succeeding Business Day. The Administrative Agent shall promptly remit in same day funds to each
Secured Party its share, if any, of such payments received by the Administrative Agent for the
account of such Secured Party. All interest (including interest on LIBO Rate Loans) and fees shall
be computed on the basis of the actual number of days (including the first day but excluding the
last day) occurring during the period for which such interest or fee is payable over a year
comprised of 360 days (or, in the case of interest on a Base Rate Loan (calculated at other than
the Federal Funds Rate), 365 days or, if appropriate, 366 days). Payments due on other than a
Business Day shall be made on the next succeeding Business Day and such extension of time shall be
included in computing interest and fees in connection with that payment.

     (b) All amounts received as a result of the exercise of remedies under the Loan Documents
(including from the proceeds of collateral securing the Obligations) or under applicable law shall
be applied subject to the terms, conditions and restrictions set forth in the Intercreditor
Agreement; provided, that after the First Lien Termination Date, they shall be applied upon
receipt to the Obligations as follows: (i) first, to the payment of all Obligations owing to the
Agents, in their capacity as Agents (including the fees and expenses of counsel to the Agents),
(ii) second, after payment in full in cash of the amounts specified in clause (b)(i), to
the ratable payment of all interest (including interest accruing after the commencement of a
proceeding in bankruptcy, insolvency or similar law, whether or not permitted as a claim under such
law) and fees owing under the Loan Documents, and all costs and expenses owing to the

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Secured Parties pursuant to the terms of the Loan Documents, until paid in full in cash, (iii) third, after
payment in full in cash of the amounts specified in clauses (b)(i) and (b)(ii), to
the ratable payment of the principal amount of the Loans then outstanding, (iv) fourth, after
payment in full in cash of the amounts specified in clauses (b)(i) through
(b)(iii), to the ratable payment of all other Obligations owing to the Secured Parties, and
(v) fifth, after payment in full in cash of the amounts specified in clauses (b)(i) through
(b)(iv), and following the Termination Date, to each applicable Obligor or any other Person
lawfully entitled to receive such surplus.

     SECTION 4.8 Sharing of Payments. If any Secured Party shall obtain any payment or
other recovery (whether voluntary, involuntary, by application of setoff or otherwise) on account
of any Loan (other than pursuant to the terms of Sections 4.3, 4.4, 4.5 or
4.6) in excess of its pro rata share of payments obtained by all Secured
Parties, such Secured Party shall purchase from the other Secured Parties such participations in
Loans made by them as shall be necessary to cause such purchasing Secured Party to share the excess
payment or other recovery ratably (to the extent such other Secured Parties were entitled to
receive a portion of such payment or recovery) with each of them; provided that, if all or
any portion of the excess payment or other recovery is thereafter recovered from such purchasing
Secured Party, the purchase shall be rescinded and each Secured Party which has sold a
participation to the purchasing Secured Party shall repay to the purchasing Secured Party the
purchase price to the ratable extent of such recovery together with an amount equal to such selling
Secured Party’s ratable share (according to the proportion of (a) the amount of such selling
Secured Party’s required repayment to the purchasing Secured Party to (b) total amount so
recovered from the purchasing Secured Party) of any interest or other amount paid or payable by the
purchasing Secured Party in respect of the total amount so recovered. The Borrower agrees that any
Secured Party purchasing a participation from another Secured Party pursuant to this Section may,
to the fullest extent permitted by law, exercise all its rights of payment (including pursuant to
Section 4.9) with respect to such participation as fully as if such Secured Party were the
direct creditor of the Borrower in the amount of such participation. If under any applicable
bankruptcy, insolvency or other similar law any Secured Party receives a secured claim in lieu of a
setoff to which this Section applies, such Secured Party shall, to the extent practicable, exercise
its rights in respect of such secured claim in a manner consistent with the rights of the Secured
Parties entitled under this Section to share in the benefits of any recovery on such secured claim.

     SECTION 4.9 Setoff. Each Secured Party shall, subject to the terms, conditions and
restrictions of the Intercreditor Agreement, upon the occurrence and during the continuance of any
Event of Default described in clauses (a) through (d) of Section 8.1.9 or,
with the consent of the Required Lenders, upon the occurrence and during the continuance of any
other Event of Default, have the right to appropriate and apply to the payment of the Obligations
owing to it (if then due and payable), and (as security for such Obligations) the Borrower hereby
grants to each Secured Party a continuing security interest in, any and all balances, credits,
deposits, accounts or moneys of the Borrower then or thereafter maintained with such Secured Party
(other than payroll, trust or tax accounts); provided that any such appropriation and
application shall be subject to the provisions of Section 4.8. Each Secured Party agrees
promptly to notify the Borrower and the Administrative Agent after any such appropriation and
application made by such Secured Party; provided that the failure to give such notice shall
not affect the validity of such setoff and application. The rights of each Secured Party under
this Section are in addition

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to other rights and remedies (including other rights of setoff under applicable law or
otherwise) which such Secured Party may have.

     SECTION 4.10 Mitigation. Each Lender agrees that, if it makes any demand for payment
under Sections 4.3 or 4.6, it will use reasonable efforts (consistent with its internal policy and
legal and regulatory restrictions and so long as such efforts would not be disadvantageous to it,
as determined in its sole discretion) to designate a different lending office if the making of such
a designation would reduce or obviate the need for the Borrower to make payments under Section
4.3 or 4.6.

     SECTION 4.11 Removal of Lenders. If any Lender (an “Affected Lender”) (i)
fails to consent to an election, consent, amendment, waiver or other modification to this Agreement
or other Loan Document (a “Non-Consenting Lender”) that requires the consent of a greater
percentage of the Lenders than the Required Lenders and such election, consent, amendment, waiver
or other modification is otherwise consented to by Non-Defaulting Lenders holding more than 66 and
2/3% of the Total Exposure Amount of all Non-Defaulting Lenders, (ii) makes a demand upon the
Borrower for (or if the Borrower is otherwise required to pay) amounts pursuant to Section
4.3, 4.5 or 4.6, or gives notice pursuant to Section 4.1 requiring a
conversion of such Affected Lender’s LIBO Rate Loans to Base Rate Loans or any change in the basis
upon which interest is to accrue in respect of such Affected Lender’s LIBO Rate Loans or suspending
such Lender’s obligation to make Loans as, or to convert Loans into, LIBO Rate Loans or (iii)
becomes a Defaulting Lender, the Borrower may, at its sole cost and expense, within 90 days of
receipt by the Borrower of such demand or notice (or the occurrence of such other event causing
Borrower to be required to pay such compensation) or within 90 days of such Lender becoming a
Non-Consenting Lender or a Defaulting Lender, as the case may be, give notice (a “Replacement
Notice”) in writing to the Administrative Agent and such Affected Lender of its intention to
cause such Affected Lender to sell all or any portion of its Loans, Commitments and/or Notes to
another financial institution or other Person (a “Replacement Lender”) designated in such
Replacement Notice; provided that no Replacement Notice may be given by the Borrower if (A)
such replacement conflicts with any applicable law or regulation or (B) prior to any such
replacement, such Lender shall have taken any necessary action under Section 4.5 or
4.6 (if applicable) so as to eliminate the continued need for payment of amounts owing
pursuant to Section 4.5 or 4.6 and withdrew its request for compensation under
Section 4.3, 4.5 or 4.6 . If the Administrative Agent shall, in the
exercise of its reasonable discretion and within 30 days of its receipt of such Replacement Notice,
notify the Borrower and such Affected Lender in writing that the Replacement Lender is reasonably
satisfactory to the Administrative Agent (such consent not being required where the Replacement
Lender is already a Lender), then such Affected Lender shall, subject to the payment of any amounts
due pursuant to Section 4.4, assign, in accordance with Section 10.11, the portion
of its Commitments, Loans, Notes (if any) and other rights and obligations under this Agreement and
all other Loan Documents designated in the replacement notice to such Replacement Lender;
provided that (A) such assignment shall be without recourse, representation or warranty and
shall be on terms and conditions reasonably satisfactory to such Affected Lender and such
Replacement Lender, and (B) the purchase price paid by such Replacement Lender shall be in the
amount of such Affected Lender’s Loans designated in the Replacement Notice and/or its Percentage
of outstanding Reimbursement Obligations, as applicable, together with all accrued and unpaid
interest and fees in respect thereof, plus all other amounts (including the amounts demanded and
unreimbursed under

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Sections 4.3, 4.5 and 4.6), owing to such Affected Lender hereunder.
Upon the effective date of an assignment described above, the Replacement Lender shall become a
“Lender” for all purposes under the Loan Documents. Each Lender hereby grants to the
Administrative Agent an irrevocable power of attorney (which power is coupled with an interest) to
execute and deliver, on behalf of such Lender as assignor, any assignment agreement necessary to
effectuate any assignment of such Lender’s interests hereunder in the circumstances contemplated by
this Section.

     SECTION 4.12 Limitation on Additional Amounts, etc. Notwithstanding anything to the
contrary contained in Sections 4.3 or 4.5 of this Agreement, unless a Lender gives
notice to the Borrower that it is obligated to pay an amount under any such Section within 90 days
after the later of (i) the date such Lender incurs the respective increased costs, loss, expense or
liability, reduction in amounts received or receivable or reduction in return on capital or (ii)
the date such Lender has actual knowledge of its incurrence of their respective increased costs,
loss, expense or liability, reductions in amounts received or receivable or reduction in return on
capital, then such Lender shall only be entitled to be compensated for such amount by the Borrower
pursuant to Sections 4.3 or 4.5, as the case may be, to the extent the costs, loss,
expense or liability, reduction in amounts received or receivable or reduction in return on capital
are incurred or suffered on or after the date which occurs 90 days prior to such Lender giving
notice to the Borrower that it is obligated to pay the respective amounts pursuant to
Sections 4.3 or 4.5, as the case may be. This Section shall have no
applicability to any Section of this Agreement other than Sections 4.3 and 4.5.

ARTICLE V

CONDITIONS TO LOANS

Subject to Section 7.1.11, the obligations of the Lenders to make the Loans shall be
subject to the prior or concurrent satisfaction (or waiver) in all material respects of each of the
conditions precedent set forth in this Article.

     SECTION 5.1 Resolutions, etc. The Lead Arrangers shall have received from each
Obligor, as applicable, (i) a copy of a good standing certificate, dated a date reasonably close to
the Closing Date, for each such Obligor from its jurisdiction of organization and (ii) a
certificate, dated as of the Closing Date, duly executed and delivered by such Obligor’s Secretary
or Assistant Secretary, managing member or general partner, as applicable, as to

     (a) resolutions of each such Obligor’s Board of Directors (or other managing body, in
the case of a Person other than a corporation) then in full force and effect authorizing, to
the extent relevant, all aspects of the Transaction applicable to such Obligor and the
execution, delivery and performance of each Loan Document to be executed by such Obligor and
the transactions contemplated hereby and thereby;

     (b) the incumbency and signatures of those of its officers, managing member or general
partner, as applicable, authorized to act with respect to each Loan Document to be executed
by such Obligor; and

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     (c) the full force and validity of each Organic Document of such Obligor and copies
thereof;

upon which certificates each Secured Party may conclusively rely until it shall have received a
further certificate of the Secretary, Assistant Secretary, managing member or general partner, as
applicable, of any such Obligor canceling or amending the prior certificate of such Obligor.

     SECTION 5.2 Closing Date Certificate. The Lead Arrangers shall have received the
Closing Date Certificate, dated as of the Closing Date and duly executed and delivered by an
Authorized Officer of the Borrower and the Company, in which certificate the Borrower and the
Company shall agree and acknowledge and certify that the statements made therein are, true and
correct representations and warranties of the Borrower and the Company as of such date, and, at the
time each such certificate is delivered, such statements shall in fact be true and correct. All
documents and agreements (including Transaction Documents) required to be appended to the Closing
Date Certificate shall be in form and substance reasonably satisfactory to the Lead Arrangers,
shall have been executed and delivered by the requisite parties, and shall be in full force and
effect.

     SECTION 5.3 Consummation of Transaction. The Lead Arrangers shall have received
evidence reasonably satisfactory to it that all actions necessary to consummate the Transaction
(other than the entering into of the Senior Notes Documents and the issuance of the Senior Notes)
shall have been taken in accordance in all material respects with all applicable law and in
accordance with the terms of each applicable Transaction Document, without amendment or waiver of
any material provision thereof, unless approved by the Lead Arrangers in their reasonable
discretion.

     SECTION 5.4 Patriot Act Disclosures. Within five Business Days’ prior to the Closing
Date, the Lenders or the Lead Arrangers shall have received copies of all Patriot Act Disclosures
as reasonably requested by the Lenders or the Lead Arrangers.

     SECTION 5.5 Delivery of Notes. The Administrative Agent shall have received, for the
account of each Lender that has requested a Note, such Lender’s Notes duly executed and delivered
by an Authorized Officer of the Borrower.

     SECTION 5.6 Financial Information, etc. The Lead Arrangers shall have received,

     (a) audited consolidated balance sheets and related statements of income, stockholders’
equity and cash flows of (i) the Company and its Subsidiaries as at July 2, 2003, July 2,
2004 and July 2, 2005;

     (b) unaudited consolidated balance sheets and related statements of income,
stockholders’ equity and cash flows for the 39-week period ended April 1, 2006;

     (c) a pro forma consolidated balance sheet and related pro forma consolidated
statements of income and cash flows as of and for the twelve-month period ending at the most
recent Fiscal Quarter ending at least 45 days prior to the Closing Date, prepared after
giving effect to the Transaction as if the Transaction had occurred as of such date (in the
case of such balance sheet) or at the beginning of such period (in the case of such

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other financial statements), in each case which financial statements shall not be
materially inconsistent with the financial statements or forecasts previously provided to
the Lenders; and

     (d) detailed projected financial statements of the Company and its Subsidiaries for the
seven Fiscal Years ended after the Closing Date, which projections shall include quarterly
projections for the first two Fiscal Years after the Closing Date.

     SECTION 5.7 Compliance Certificate. The Lead Arrangers shall have received an
initial Compliance Certificate on a pro forma basis as if the Transaction had been
consummated and the Loans had been made as of April 1, 2006 and as to such items therein as the
Lead Arrangers reasonably request, dated the date of the Loans, duly executed (and with all
schedules thereto duly completed) and delivered by the chief financial or accounting Authorized
Officer of the Company which Compliance Certificate shall set forth such items therein as the Lead
Arrangers may reasonably request, including demonstrating that the Company’s pro forma Leverage
Ratio is not greater than 4.80:1.00.

     SECTION 5.8 Guaranty. The Lead Arrangers shall have received counterparts of the
Guaranty, dated as of the Closing Date, duly executed and delivered by an Authorized Officer of
Company and each U.S. Subsidiary (other than the Borrower).

     SECTION 5.9 Security Agreement; Intercreditor Agreement.

     (a) The Lead Arrangers shall have received executed counterparts of the Security
Agreement, dated as of the Closing Date, duly executed, authorized or delivered by each
Obligor, as applicable, together with

     (i) certificates (in the case of Capital Securities that are securities (as
defined in the UCC)) evidencing all of the issued and outstanding Capital Securities
owned by each Obligor in its U.S. Subsidiaries and, subject to Section
7.1.11, 65% of the issued and outstanding Voting Securities (to the extent
certificated and permitted by applicable law to be removed from any particular
jurisdiction) of each Foreign Subsidiary (together with all the issued and
outstanding non-voting Capital Securities (to the extent certificated and permitted
by applicable law to be removed from any particular jurisdiction) of such Foreign
Subsidiary) directly owned by each Obligor, which certificates in each case shall be
accompanied by undated instruments of transfer duly executed in blank, or, if any
Capital Securities (in the case of Capital Securities that are uncertificated
securities (as defined in the UCC)), confirmation and evidence reasonably
satisfactory to the Lead Arrangers that the security interest therein has been
transferred to and perfected by the Collateral Agent for the benefit of the Secured
Parties in accordance with Articles 8 and 9 of the UCC and all U.S. laws otherwise
applicable to the perfection of the pledge of such Capital Securities
(provided, the foregoing may be delivered to the First Lien Collateral Agent
subject to the terms, conditions and restrictions set forth in the Intercreditor
Agreement);

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     (ii) Filing Statements suitable in form and naming each Obligor as a debtor and
the Collateral Agent as the secured party, or other similar instruments or documents
to be filed under the UCC of all jurisdictions as may be necessary or, in the
opinion of the Lead Arrangers, desirable to perfect the security interests of the
Collateral Agent pursuant to the Security Agreement;

     (iii) UCC Form UCC-3 termination statements, if any, necessary to release all
Liens and other rights of any Person in any collateral described in any security
agreement previously granted by any Person, together with such other UCC Form UCC-3
termination statements as the Lead Arrangers may reasonably request from such
Obligors; and

     (iv) certified copies of UCC Requests for Information or Copies (Form UCC-11),
or a similar search report certified by a party reasonably acceptable to the Lead
Arrangers, dated a date reasonably near to the Closing Date, listing all effective
financing statements which name any Obligor (under its present legal name) as the
debtor, together with copies of such financing statements (none of which shall
evidence a Lien on any collateral described in any Loan Document, other than a
Permitted Lien).

     (b) The Lead Arrangers shall have received the Intercreditor Agreement, executed and
delivered by the First Lien Collateral Agent.

     SECTION 5.10 Intellectual Property Security Agreements. The Administrative Agent
shall have received a Patent Security Agreement, a Copyright Security Agreement and a Trademark
Security Agreement, as applicable, each dated as of the Closing Date, duly executed and delivered
by each Obligor that, pursuant to the Security Agreement, is required to provide such intellectual
property security agreements to the Collateral Agent.

     SECTION 5.11 Filing Agent, etc. All Uniform Commercial Code financing statements or
other similar financing statements and Uniform Commercial Code (Form UCC-3) termination statements
(collectively, the “Filing Statements”) required pursuant to the Loan Documents shall have
been delivered by counsel to the Lead Arrangers to CT Corporation System or another similar filing
service company acceptable to the Lead Arrangers (the “Filing Agent”). The Filing Agent
shall have acknowledged in a writing satisfactory to the Lead Arrangers and their counsel (i) the
Filing Agent’s receipt of all Filing Statements, (ii) that the Filing Statements required pursuant
to the Loan Documents, have either been submitted for filing in the appropriate filing offices or
will be submitted for filing in the appropriate offices within ten days following the Closing Date
and (iii) that the Filing Agent will notify the Agents and their counsel of the results of such
submissions and will provide recorded copies of the same within 30 days following the Closing Date.

     SECTION 5.12 Insurance. The Lead Arrangers and the Collateral Agent shall have
received, certificates of insurance in form and substance reasonably satisfactory to the Lead
Arrangers, evidencing coverage required to be maintained pursuant to each Loan Document and naming
the Collateral Agent as loss payee or additional insured, as applicable.

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     SECTION 5.13 Opinions of Counsel. The Lead Arrangers shall have received opinions,
dated the Closing Date and addressed to the Lead Arrangers, the Agents and all Lenders, from

     (a) Kirkland & Ellis LLP, counsel to the Obligors, in form and substance reasonably
satisfactory to the Lead Arrangers; and

     (b) Maryland counsel to the Company, in form and substance, and from counsel,
reasonably satisfactory to the Lead Arrangers.

     SECTION 5.14 Closing Fees, Expenses, etc. The Lead Arrangers shall have received for
its own account, or for the account of each Lender, as the case may be, all fees, costs and
expenses due and payable pursuant to Sections 3.3 and, if then invoiced, 10.3.

     SECTION 5.15 Form 10. The financial information concerning the Branded Apparel
Business, the Company, the Borrower and its Subsidiaries and the management, corporate and legal
structure of the Company, the Borrower and each of the Subsidiary Guarantors contained in the
Company’s Form 10 filed with the Securities and Exchange Commission in connection with the
Spin-Off, including all amendments and modifications thereto, shall be consistent in all material
respects with the information previously provided to the Lead Arrangers and the other Lenders.

     SECTION 5.16 Litigation. There shall exist no action, suit, investigation or other
proceeding pending or threatened in writing in any court or before any arbitrator or governmental
or regulatory agency or authority that could reasonably be expected to have a Material Adverse
Effect.

     SECTION 5.17 Approval. All material and necessary governmental and third party
consents and approvals shall have been obtained (without the imposition of any material and adverse
conditions that are not reasonably acceptable to the Lenders) and shall remain in effect and all
applicable waiting periods shall have expired without any material and adverse action being taken
by any competent authority. The Lead Arrangers shall be reasonably satisfied that the Spin-Off is
to be consummated and the Dividend issued, in each case in accordance with applicable laws and
governmental regulations.

     SECTION 5.18 Debt Rating. The Company shall have obtained a senior secured debt
rating (of any level) in respect of the Loans from each of S&P and Moody’s, which ratings (of any
level) shall remain in effect on the Closing Date.

     SECTION 5.19 Satisfactory Legal Form. All documents executed or submitted pursuant
hereto by or on behalf of any Obligor on or before the Closing Date shall be reasonably
satisfactory in form and substance to the Lead Arrangers, and the Lead Arrangers shall have
received all information, approvals, opinions, documents or instruments as the Lead Arrangers or
their counsel may reasonably request.

     SECTION 5.20 Compliance with Warranties, No Default, etc. Both before and after
giving effect to any Loan (but, if any Default of the nature referred to in Section 8.1.5
shall have occurred with respect to any other Indebtedness, without giving effect to the
application, directly or indirectly, of the proceeds thereof) the following statements shall be
true and correct:

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     (a) the representations and warranties set forth in each Loan Document shall, in each
case, be true and correct in all material respects with the same effect as if then made
(unless stated to relate solely to an earlier date, in which case such representations and
warranties shall be true and correct in all material respects as of such earlier date); and

     (b) no Default shall have then occurred and be continuing.

     SECTION 5.21 Borrowing Request, etc. The Administrative Agent shall have received a
Borrowing Request. Each of the delivery of a Borrowing Request and the acceptance by the Borrower
of the proceeds of such Loan shall constitute a representation and warranty by the Borrower that on
the date of such Loan (both immediately before and after giving effect to such Loan and the
application of the proceeds thereof) the statements made in Section 5.20 are true and
correct.

ARTICLE VI

REPRESENTATIONS AND WARRANTIES

     In order to induce the Secured Parties to enter into this Agreement and to make Loans
hereunder, the Company and the Borrower represent and warrant to each Secured Party, after giving
effect to the consummation of the IP Purchase and the Spin-Off, as set forth in this Article.

     SECTION 6.1 Organization, etc. Each Obligor (i) is validly organized and existing
and in good standing under the laws of the state or jurisdiction of its incorporation or
organization, (ii) is duly qualified to do business and is in good standing as a foreign entity in
each jurisdiction where the nature of its business requires such qualification, except where the
failure to be so qualified or in good standing could not reasonably be expected to have a Material
Adverse Effect and (iii) has full organizational power and authority and holds all requisite
governmental licenses, permits and other approvals to enter into and perform its Obligations under
each Loan Document to which it is a party, and except to the extent the failure to do so could not
reasonably be expected to have a Material Adverse Effect, to (a) own and hold under lease its
property and (b) to conduct its business substantially as currently conducted by it.

     SECTION 6.2 Due Authorization, Non-Contravention, etc. The execution, delivery and
performance by each Obligor of each Loan Document executed or to be executed by it, each Obligor’s
participation in the consummation of all aspects of the Transaction, and the execution, delivery
and performance by the Company or (if applicable) any Obligor of the agreements executed and
delivered by it in connection with the Transaction are in each case within such Person’s powers,
have been duly authorized by all necessary action, and do not

     (a) contravene any (i) Obligor’s Organic Documents, (ii) court decree or order binding
on or affecting any Obligor or (iii) law or governmental regulation binding on or affecting
any Obligor; or

     (b) result in (i) or require the creation or imposition of, any Lien on any Obligor’s
properties (except as permitted by this Agreement) or (ii) a default under any material
contractual restriction binding on or affecting any Obligor.

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     SECTION 6.3 Government Approval, Regulation, etc. No authorization or approval or
other action by, and no notice to or filing with, any Governmental Authority or other Person (other
than those that have been, or on the Closing Date will be, duly obtained or made and which are, or
on the Closing Date will be, in full force and effect) is required for the consummation of the
Transaction or the due execution, delivery or performance by any Obligor of any Loan Document to
which it is a party, or for the due execution, delivery and/or performance of Transaction
Documents, in each case by the parties thereto or the consummation of the Transaction. Neither the
Company nor any of its Subsidiaries is required to be registered as an “investment company” within
the meaning of the Investment Company Act of 1940, as amended.

     SECTION 6.4 Validity, etc. Each Obligor has duly executed and delivered each of the
Loan Documents and each of the Transaction Documents to which it is a party, and each Loan Document
and each Transaction Document to which any Obligor is a party constitutes the legal, valid and
binding obligations of such Obligor, enforceable against such Obligor in accordance with their
respective terms (except, in any case, as such enforceability may be limited by applicable
bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights generally and by
principles of equity).

     SECTION 6.5 Financial Information. The financial statements of the Company and its
Subsidiaries furnished to the Administrative Agent and each Lender pursuant to Section 5.6
(other than forecasts, projections, budgets and forward-looking information) have been prepared in
accordance with GAAP consistently applied (except where specifically so noted on such financial
statements), and present fairly in all material respects the consolidated financial condition of
the Persons covered thereby as at the dates thereof and the results of their operations for the
periods then ended. All balance sheets, all statements of income and of cash flow and all other
financial information of each of the Company and its Subsidiaries furnished pursuant to Section
7.1.1 have been and will for periods following the Closing Date be prepared in accordance with
GAAP consistently applied with the financial statements delivered pursuant to Section 5.6,
and do or will present fairly in all material respects the consolidated financial condition of the
Persons covered thereby as at the dates thereof and the results of their operations for the periods
then ended. Notwithstanding anything contained herein to the contrary, it is hereby acknowledged
and agreed by the Administrative Agent, each Lead Arranger and each Lender that (i) any financial
or business projections furnished to the Administrative Agent, any Lead Arranger or any Lender by
the Company or any of its Subsidiaries under any Loan Document are subject to significant
uncertainties and contingencies, which may be beyond the Company’s and/or its Subsidiaries’
control, (ii) no assurance is given by any of the Company or its Subsidiaries that the results
forecast in any such projections will be realized and (iii) the actual results may differ from the
forecast results set forth in such projections and such differences may be material.

     SECTION 6.6 No Material Adverse Change. There has been no material adverse change in
the business, financial condition, operations, performance or assets of the Company and its
Subsidiaries, taken as a whole, since July 2, 2005.

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     SECTION 6.7 Litigation, Labor Controversies, etc. There is no pending or, to the
knowledge of the Company or any of its Subsidiaries, threatened (in writing) litigation, action,
proceeding, labor controversy or investigation:

     (a) affecting the Company, any of its Subsidiaries or any other Obligor, or any of
their respective properties, businesses, assets or revenues, which could reasonably be
expected to have a Material Adverse Effect; or

     (b) which purports to affect the legality, validity or enforceability of any Loan
Document, the Transaction Documents or the Transaction.

     SECTION 6.8 Subsidiaries. The Company has no Subsidiaries, except those Subsidiaries
which are (a) identified in Item 6.8 of the Disclosure Schedule, (b) permitted to have been
organized or acquired in accordance with Sections 7.2.5 or 7.2.10 or (c) a Foreign
Supply Chain Entity that has been redesignated as a Foreign Subsidiary.

     SECTION 6.9 Ownership of Properties. The Company and each of its Subsidiaries (other
than a Receivables Subsidiary) owns (a) in the case of owned real property, good and legal title
to, (b) in the case of owned personal property, good and valid title to, and (c) in the case of
leased real or personal property, valid and enforceable (subject to bankruptcy, insolvency,
reorganization or similar laws) leasehold interests (as the case may be) in, all of its properties
and assets, tangible and intangible, of any nature whatsoever, free and clear in each case of all
Liens or claims, except for Permitted Liens. Set forth in Item 6.9 of the Disclosure
Schedule is a true and complete list of each Mortgaged Property.

     SECTION 6.10 Taxes. The Company and each of its Subsidiaries has filed all material
tax returns and reports required by law to have been filed by it and has paid all Taxes thereby
shown to be due and owing, except any such Taxes which are being diligently contested in good faith
by appropriate proceedings and for which adequate reserves in accordance with GAAP shall have been
set aside on its books or except to the extent such failure could not reasonably be expected to
result in a Material Adverse Effect.

     SECTION 6.11 Pension and Welfare Plans. During the twelve-consecutive-month period
prior to the Closing Date and prior to the date of any Loan hereunder, no steps have been taken to
terminate any Pension Plan which has caused or could reasonably be expected to cause Company or any
Subsidiary to incur any liability, and no contribution failure has occurred with respect to any
Pension Plan sufficient to give rise to a Lien under Section 302(f) of ERISA with respect to any
assets of Company or any Subsidiary. No condition exists or event or transaction has occurred with
respect to any Pension Plan which might result in the incurrence by the Company of any material
liability, fine or penalty.

     SECTION 6.12 Environmental Warranties.

     (a) All facilities and property (including underlying groundwater) owned or leased by
the Company or any of its Subsidiaries have been, and continue to be, owned or leased by the
Company and its Subsidiaries in compliance with all Environmental Laws, except for any such
noncompliance which could not reasonably be expected to have a Material Adverse Effect;

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     (b) there have been no past, and there are no pending or, to the Company’s knowledge
(after due inquiry), threatened (in writing) (i) claims, complaints, notices or requests for
information received by the Company or any of its Subsidiaries with respect to any alleged
violation of any Environmental Law, or (ii) complaints, notices or inquiries to the Company
or any of its Subsidiaries regarding potential liability under any Environmental Law except
for claims, complaints, notices, requests for information or inquiries with respect to
violations of or potential liability under any Environmental Laws that could not reasonably
be expected to have a Material Adverse Effect;

     (c) there have been no Releases of Hazardous Materials at, on or under any property now
or previously owned, operated or leased by the Company or any of its Subsidiaries that have
had, or could reasonably be expected to have, a Material Adverse Effect;

     (d) the Company and its Subsidiaries have been issued and are in compliance with all
permits, certificates, approvals, licenses and other authorizations relating to
environmental matters, except for any such non-issuance or any such noncompliance which
could not reasonably be expected to have a Material Adverse Effect;

     (e) no property now or, to the Company’s knowledge (after due inquiry), previously
owned, operated or leased by the Company or any of its Subsidiaries is listed or proposed
for listing (with respect to owned, operated property only) on the National Priorities List
pursuant to CERCLA, on the CERCLIS or on any similar state list of sites requiring
investigation or clean-up, which listing could reasonably be expected to have a Material
Adverse Effect;

     (f) there are no underground storage tanks, active or abandoned, including petroleum
storage tanks, on or under any property now or previously owned, operated or leased by the
Company or any of its Subsidiaries that, singly or in the aggregate, have, or could
reasonably be expected to have, a Material Adverse Effect;

     (g) neither the Company nor any Subsidiary has directly transported or directly
arranged for the transportation of any Hazardous Material to any location which is listed or
proposed for listing on the National Priorities List pursuant to CERCLA, on the CERCLIS or
on any similar state list or which is the subject of federal, state or local enforcement
actions or other investigations which could reasonably be expected to lead to material
claims against the Company or such Subsidiary for any remedial work, damage to natural
resources or personal injury, including claims under CERCLA which, if adversely resolved
could, in any of the foregoing cases, reasonably be expected to have a Material Adverse
Effect;

     (h) there are no polychlorinated biphenyls or friable asbestos present at any property
now or previously owned, operated or leased by the Company or any Subsidiary that, singly or
in the aggregate, have, or could reasonably be expected to have, a Material Adverse Effect;
and

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     (i) no conditions exist at, on or under any property now or, to the knowledge of the
Company (after due inquiry), previously owned, operated or leased by the Company which, with
the passage of time, or the giving of notice or both, would give rise to liability under any
Environmental Law, except for such liability that could not reasonably be expected to have a
Material Adverse Effect.

     SECTION 6.13 Accuracy of Information. None of the factual information (other than
projections, forecasts, budgets and forward-looking information) heretofore or contemporaneously
furnished in writing to any Secured Party by or on behalf of any Obligor in connection with any
Loan Document or any transaction contemplated hereby (including the Transaction) (taken as a whole)
contains any untrue statement of a material fact, or omits to state any material fact necessary to
make any such information not materially misleading as of the date such information was furnished;
provided however that (i) any financial or business projections furnished to the
Administrative Agent, any Lead Arranger or any Lender by the Company or any of its Subsidiaries
under any Loan Document are subject to significant uncertainties and contingencies, which may be
beyond the Company’s and/or its Subsidiaries’ control, (ii) no assurance is given by any of the
Company or its Subsidiaries that the results forecast in any such projections will be realized and
(iii) the actual results may differ from the forecast results set forth in such projections and
such differences may be material.

     SECTION 6.14 Regulations U and X. No Obligor is engaged in the business of extending
credit for the purpose of buying or carrying margin stock, and no proceeds of any Loans will be
used to purchase or carry margin stock or otherwise for a purpose which violates, or would be
inconsistent with, F.R.S. Board Regulation U or Regulation X. Terms for which meanings are
provided in F.R.S. Board Regulation U or Regulation X or any regulations substituted therefor, as
from time to time in effect, are used in this Section with such meanings.

     SECTION 6.15 Compliance with Contracts, Laws, etc. The Company and each of its
Subsidiaries have performed their obligations under agreements to which the Company or a Subsidiary
is a party and have complied with all applicable laws, rules, regulations and orders except were
the failure to do so could not reasonably be expected to have a Material Adverse Effect. The
Company and each of its Subsidiaries (a) are not listed on the “Specially Designated Nationals and
Blocked Person List” maintained by the Office of Foreign Assets Control (“OFAC”), the
Department of the Treasury, or included in any executive orders relating thereto and (b) have used
the proceeds of the Loans without violating in any material respect any of the foreign asset
control regulations of OFAC or any enabling statute or executive order relating thereto having the
force of law.

     SECTION 6.16 Solvency. The Company and its Subsidiaries (taken as a whole), both
before and after giving effect to any Loans, are Solvent.

ARTICLE VII

COVENANTS

     SECTION 7.1 Affirmative Covenants. The Company agrees with each Lender and each
Agent that until the Termination Date has occurred, the Company will, and will cause its
Subsidiaries to, perform or cause to be performed the obligations set forth below. The Borrower

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agrees with each Lender and each Agent that after giving effect to the consummation of the IP
Purchase and the Spin-Off until the Termination Date has occurred, the Borrower will perform,
comply with and be bound by all of the agreements, covenants and obligations contained in this
Article which are applicable to the Borrower or its properties.

     SECTION 7.1.1 Financial Information, Reports, Notices, etc. The Company will furnish
each Lender and the Administrative Agent copies of the following financial statements, reports,
notices and information:

     (a) within the earlier of (i) 45 days after the end of each of the first three Fiscal
Quarters of each Fiscal Year and (ii) so long as the Company is a public reporting company
at such time, such earlier date as the SEC requires the filing of such information (or if
the Company is required to file such information on a Form 10-Q with the SEC, promptly
following such filing), an unaudited consolidated balance sheet of the Company and its
Subsidiaries as of the end of such Fiscal Quarter and consolidated statements of income and
cash flow of the Company and its Subsidiaries for such Fiscal Quarter and for the period
commencing at the end of the previous Fiscal Year and ending with the end of such Fiscal
Quarter, and including (in each case), in comparative form, the figures for the
corresponding Fiscal Quarter in, and year to date portion of, the immediately preceding
Fiscal Year, certified as complete and correct in all material respects (subject to audit,
normal year-end adjustments and the absence of footnote disclosure) by the chief financial
officer, chief executive officer, president, treasurer or assistant treasurer of the
Company;

     (b) within the earlier of (i) 90 days after the end of each Fiscal Year and (ii) so
long as the Company is a public reporting company at such time, such earlier date as the SEC
requires the filing of such information (or if the Company is required to file such
information on a Form 10-K with the SEC, promptly following such filing), (i) a copy of the
consolidated balance sheet of the Company and its Subsidiaries, and the related consolidated
statements of income and cash flow of the Company and its Subsidiaries for such Fiscal Year,
setting forth in comparative form the figures for the immediately preceding Fiscal Year,
audited (without any Impermissible Qualification) by Pricewaterhouse Coopers LLP or such
other independent public accountants selected by the Company and reasonably acceptable to
the Administrative Agent, which shall include a calculation of the financial covenants set
forth in Section 7.2.4 and stating that, in performing the examination necessary to
deliver the audited financial statements of the Company, no knowledge was obtained of any
Event of Default with respect to financial matters and (ii) a consolidated budget (within
level of detail comparable to the quarterly financial statements delivered pursuant to
clause (a)) for the following Fiscal Year including a projected consolidated balance
sheet and related statements of projected operations and cash flows as of the end of and for
such following Fiscal Year;

     (c) concurrently with the delivery of the financial information pursuant to clauses
(a) and (b), a Compliance Certificate, executed by the chief financial officer,
chief executive officer, president, treasurer or assistant treasurer of the Company, (i)
showing compliance with the financial covenants set forth in Section 7.2.4 and
stating that no Default has occurred and is continuing (or, if a Default has occurred,
specifying

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the details of such Default and the action that the Company or an Obligor has taken or
proposes to take with respect thereto), (ii) stating that no Subsidiary has been formed or
acquired since the delivery of the last Compliance Certificate (or, if a Subsidiary has been
formed or acquired since the delivery of the last Compliance Certificate, a statement that
such Subsidiary has complied with Section 7.1.8 if applicable) and (iii) in the case
of a Compliance Certificate delivered concurrently with the financial information pursuant
to clause (b), a calculation of Excess Cash Flow;

     (d) as soon as possible and in any event within three Business Days after the Company
or any other Obligor obtains knowledge of the occurrence of a Default, a statement of an
Authorized Officer on behalf of the Company setting forth details of such Default and the
action which the Company or such Obligor has taken and proposes to take with respect
thereto;

     (e) as soon as possible and in any event within three Business Days after the Company
or any other Obligor obtains knowledge of (i) the commencement of any litigation, action,
proceeding or labor controversy of the type and materiality described in Section 6.7
or (ii) any other event, change or circumstance that has had, or could reasonably be
expected to have, a Material Adverse Effect, notice thereof and, to the extent the
Administrative Agent requests, copies of all documentation relating thereto, if any;

     (f) within three Business Days after the sending or filing thereof, copies of all
reports, notices, prospectuses and registration statements which any Obligor files with the
SEC or any national securities exchange; provided that such delivery shall be deemed
to have been made upon delivery of notice to the Administrative Agent that such statements
or reports are available on the Internet via the EDGAR system of the SEC;

     (g) promptly upon becoming aware of (i) the institution of any steps by any Person to
terminate any Pension Plan, (ii) the failure to make a required contribution to any Pension
Plan if such failure is sufficient to give rise to a Lien under Section 302(f) of ERISA,
(iii) the taking of any action with respect to a Pension Plan which could result in the
requirement that any Obligor furnish a bond or other security to the PBGC or such Pension
Plan, or (iv) the occurrence of any event with respect to any Pension Plan which could
reasonably be expected to result in the incurrence by any Obligor of any material liability,
fine or penalty, notice thereof and copies of all documentation relating thereto;

     (h) promptly upon receipt thereof, copies of all final “management letters” submitted
to the Company or any other Obligor by the independent public accountants referred to in
clause (b) in connection with each audit made by such accountants;

     (i) promptly following the mailing or receipt of any notice or report (other than
identical reports or notices delivered hereunder) delivered under the terms of the First
Lien Loan Documents, the Bridge Loan Documents or the Senior Note Documents, copies of such
notice or report;

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     (j) all Patriot Act Disclosures, to the extent reasonably requested by the
Administrative Agent or any Lender; and

     (k) such other financial and other information as any Lender through the Administrative
Agent may from time to time reasonably request (including information and reports in such
detail as the Administrative Agent may request with respect to the terms of and information
provided pursuant to the Compliance Certificate).

Information required to be delivered pursuant to clauses (a) and (b) of
Section 7.1.1 shall be deemed to have been delivered to the Administrative Agent on
the date on which the Company provides written notice to the Administrative Agent that such
information is available on the Internet via the EDGAR system of the SEC (to the extent such
information is available as described in such notice). Information required to be delivered
pursuant to this Section 7.1.1 may also be delivered by electronic communication
pursuant to procedures approved by the Administrative Agent pursuant to Section
9.11.

     SECTION 7.1.2 Maintenance of Existence; Material Obligations; Compliance with Contracts,
Laws, etc. The Company will, and will cause each of its Subsidiaries to, preserve and maintain
its legal existence, rights (charter and statutory), franchises, permits, licenses and approvals
(in each case, except as otherwise permitted by Section 7.2.10), perform in all respects
their obligations, including obligations under agreements to which the Company or a Subsidiary is a
party, and comply in all respects with all applicable laws, rules, regulations and orders,
including the payment (before the same become delinquent), of all obligations, including all Taxes
imposed upon the Company or its Subsidiaries or upon their property except to the extent being
diligently contested in good faith by appropriate proceedings and for which adequate reserves in
accordance with GAAP have been set aside on the books of the Company or its Subsidiaries, as
applicable except, in each case, where the failure to do so could not reasonably be expected to
have a Material Adverse Effect.

     SECTION 7.1.3 Maintenance of Properties. Except to the extent that the failure to do
so could not reasonably be expected to have a Material Adverse Effect the Company will, and will
cause each of its Subsidiaries to, maintain, preserve, protect and keep its and their respective
properties in good repair, working order and condition (ordinary wear and tear, casualty and
condemnation excepted), and make necessary repairs, renewals and replacements so that the business
carried on by the Company and its Subsidiaries may be properly conducted at all times, unless the
Company or such Subsidiary determines in good faith that the continued maintenance of such property
is no longer economically desirable, necessary or useful to the business of the Company or any of
its Subsidiaries or the Disposition of such property is otherwise permitted by Sections
7.2.10 or 7.2.11.

     SECTION 7.1.4 Insurance. The Company will, and will cause each of its Subsidiaries
to maintain:

     (a) insurance on its property with financially sound and reputable insurance companies
against loss and damage in at least the amounts (and with only those deductibles)
customarily maintained, and against such risks as are typically insured

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against in the same general area, by Persons of comparable size engaged in the same or
similar business as the Company and its Subsidiaries; and

     (b) all worker’s compensation, employer’s liability insurance or similar insurance as
may be required under the laws of any state or jurisdiction in which it may be engaged in
business.

Without limiting the foregoing, all insurance policies required pursuant to this Section shall (i)
name the Collateral Agent on behalf of the Secured Parties as mortgagee (in the case of property
insurance) or additional insured (in the case of liability insurance), as applicable, and provide
that no cancellation or modification of the policies will be made without thirty days’ prior
written notice to the Collateral Agent and (ii) without duplication, be in addition to any
requirements to maintain specific types of insurance contained in the other Loan Documents.

     SECTION 7.1.5 Books and Records. The Company will, and will cause each of its
Subsidiaries to, keep books and records in accordance with GAAP which accurately reflect in all
material respects all of its business affairs and transactions and permit each Secured Party or any
of their respective representatives, at reasonable times during normal business hours and intervals
upon reasonable notice to the Company and except after the occurrence and during the continuance of
an Event of Default not more frequently than once per Fiscal Year, to visit each Obligor’s offices,
to discuss such Obligor’s financial matters with its officers and employees, and its independent
public accountants (provided that management of the Company shall be notified and allowed
to be present at all such meetings and the Company hereby authorizes such independent public
accountant to discuss each Obligor’s financial matters with each Secured Party or their
representatives) and to examine (and photocopy extracts from) any of its books and records. The
Company shall pay any reasonable fees of such independent public accountant incurred in connection
with any Secured Party’s exercise of its rights pursuant to this Section.

     SECTION 7.1.6 Environmental Law Covenant. The Company will, and will cause each of
its Subsidiaries to:

     (a) use and operate all of its and their facilities and properties in compliance with
all Environmental Laws, keep all permits, approvals, certificates, licenses and other
authorizations required under Environmental Laws in effect and remain in compliance
therewith, and handle all Hazardous Materials in compliance with all applicable
Environmental Laws, in each case except where failure to do so could not reasonably be
expected to have a Material Adverse Effect; and

     (b) promptly notify the Administrative Agent and provide copies upon receipt of all
written claims, complaints, notices or inquiries relating to the condition of its facilities
and properties in respect of, or as to compliance with, Environmental Laws, the subject
matter of which could reasonably be expected to have a Material Adverse Effect, and shall
promptly resolve any non-compliance with Environmental Laws (except as could not reasonably
be expected to have a Material Adverse Effect) and keep its property free of any Lien
imposed by any Environmental Law.

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     SECTION 7.1.7 Use of Proceeds. The Borrower will apply the proceeds of the Loans to
finance the IP Purchase and to pay the fees, costs and expenses related to the IP Purchase.

     SECTION 7.1.8 Future Guarantors, Security, etc. Subject to Section 7.1.11,
the Company will, and will cause each U.S. Subsidiary to, execute any documents, authorize the
filing of Filing Statements, execute agreements and instruments, and take all commercially
reasonable further action (including filing Mortgages to the extent required hereby) that may be
required under applicable law, or that the Administrative Agent may reasonably request, in order to
effectuate the transactions contemplated by the Loan Documents and in order to grant, preserve,
protect and perfect the validity and first priority (subject to Permitted Liens) of the Liens
created or intended to be created by the Loan Documents. Subject to the terms, conditions and
restrictions set forth in the Intercreditor Agreement, the Company will cause any subsequently
acquired or organized U.S. Subsidiary to execute a supplement (in form and substance reasonably
satisfactory to the Administrative Agent) to the Guaranty and each other applicable Loan Document
in favor of the Secured Parties. In addition, subject to the terms, conditions and restrictions
set forth in the Intercreditor Agreement, from time to time, each of the Borrower and the Company
will, at its own cost and expense, promptly secure the Obligations by pledging or creating, or
causing to be pledged or created, perfected Liens with respect to such of its assets and properties
as the Administrative Agent or the Required Lenders shall designate, it being agreed that it is the
intent of the parties that the Obligations shall be secured by, among other things, substantially
all the assets of the Company and its U.S. Subsidiaries and personal property acquired subsequent
to the Closing Date; provided that (a) neither the Company nor its U.S. Subsidiaries shall
be required to pledge more than 65% of the Voting Securities of any Foreign Subsidiary that is
directly owned by any Obligor, (b) neither the Company nor any U.S. Subsidiary shall be required to
create or perfect any security interest in any leased real property or any owned real property with
a fair market value (as determined by the Company in good faith) less than $2,000,000, (c) to the
extent the Organic Documents of a Foreign Supply Chain Entity (regardless of a redesignation as a
Foreign Subsidiary) prohibit the creation or perfection of a security interest in the Capital
Securities of such Foreign Supply Chain Entity, no Obligor will be required to create or perfect a
security interest in such Capital Securities and (d) the Company will not be required to execute
and deliver any Foreign Pledge Agreement with respect to any Foreign Subsidiary (i) whose assets
are valued (as reasonably determined by the Company) at less than $25,000,000 or (ii) if the
Company and the Administrative Agent reasonably determine that it is commercially impractical to
deliver a Foreign Pledge Agreement in such jurisdiction. Such Liens will be created under the Loan
Documents in form and substance reasonably satisfactory to the Agents, and the Company shall
deliver or cause to be delivered to the Agents all such instruments and documents (including legal
opinions, title insurance policies and lien searches) as the Administrative Agent shall reasonably
request to evidence compliance with this Section.

     SECTION 7.1.9 Hedging Agreements. Within 60 days following the Closing Date, the
Company and/or the Borrower will enter into interest rate swap, cap, collar or similar arrangements
with a First Lien Lender, Lender or any other Person reasonably acceptable to the Lenders designed
to protect the Company and/or the Borrower against fluctuations in interest rates for a period of
at least three years from the Closing Date, in an amount that would cause not less than 50% of the
Indebtedness outstanding, under the Loan Documents, the First Lien Loan

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Documents, the Bridge Loan Documents and the Senior Note Documents to bear interest at a fixed
rate.

     SECTION 7.1.10 Maintenance of Ratings. The Borrower will use its commercially
reasonable efforts to cause a senior secured credit rating with respect to the Loans from each of
S&P and Moody’s to be available at all times until the Stated Maturity Date.

     SECTION 7.1.11 Post-Closing Obligations.

     (a) Foreign Pledge Agreements. Within 90 days after the Closing Date (or such
later dates from time to time as consented to by the Administrative Agent in its reasonable
discretion), all Foreign Pledge Agreements shall have been duly executed and delivered by
all parties thereto and shall remain in full force and effect, and all Liens granted to the
Collateral Agent thereunder shall be duly perfected to provide the Collateral Agent with a
security interest in and Lien on all collateral granted thereunder free and clear of other
Liens, except to the extent reasonably consented to by the Administrative Agent;
provided that the Administrative Agent may waive the requirement to perfect a pledge
on the Capital Securities of any Foreign Subsidiary otherwise required to be pledged
hereunder if they determine, in their reasonable discretion, that the value of the assets
owned by such Foreign Subsidiary or the EBITDA generated by such Foreign Subsidiary, is
immaterial when taken as a whole.

     (b) Mortgages. Subject to the limitation in clause (d) of Section
7.1.8, within 90 days after the Closing Date (or such later dates from time to time as
consented to by the Administrative Agent in its reasonable discretion), the Agents shall
have received counterparts of each Mortgage with respect to a Mortgaged Property, duly
executed and delivered by the applicable Obligor, together with:

     (i) evidence of the completion (or reasonably satisfactory arrangements for the
completion) of all recordings and filings of each Mortgage as necessary to create a
valid, perfected first priority (subject to Permitted Liens) Lien against the
properties purported to be covered thereby;

     (ii) mortgagee’s title insurance policies in favor of the Collateral Agent for
the benefit of the Secured Parties in amounts not exceeding the fair market value of
the insured property and in form and substance and issued by insurers, reasonably
satisfactory to the Lead Arrangers, with respect to the property purported to be
covered by each Mortgage, insuring that title to such property is marketable and
that the interests created by each Mortgage constitute valid first Liens thereon
(subject to Permitted Liens), and, if required by the Lead Arrangers and if
available, shall include revolving credit endorsement, comprehensive endorsement,
variable rate endorsement, access and utilities endorsements, mechanic’s lien
endorsement and such other endorsements as the Lead Arrangers shall reasonably
request and shall be accompanied by evidence of the payment in full of all premiums
thereon; and

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     (iii) mortgage releases releasing any mortgage in favor of any other Person on
any Mortgaged Property.

     (c) Excluded Contracts. The Company agrees to use commercially reasonable
efforts to cause the Excluded Contracts to become owned by the Company or the applicable
Subsidiary within 180 days of the Closing Date.

     (d) Foreign Stock Certificates. Within 10 Business Days following the Closing
Date (or such later dates from time to time as consented to by the Administrative Agent in
its reasonable discretion), the Company agrees to deliver certificates (in each case
accompanied by undated instruments of transfer duly executed in blank) evidencing, 65% of
the issued and outstanding Voting Securities (to the extent certificated and permitted by
applicable law to be removed from any particular jurisdiction) of each Foreign Subsidiary
(together with all the issued and outstanding non-voting Capital Securities (to the extent
certificated and permitted by applicable law to be removed from any particular jurisdiction)
of such Foreign Subsidiary) directly owned by each Obligor to the extent not previously
delivered, together with a revised Schedule I to the Security Agreement accurately
reflecting the newly delivered certificates.

     (e) Spin-Off Related Transfers. Within 180 days following the Closing Date (or
such later dates from time to time as consented to by the Administrative Agent in its
reasonable discretion), the Company will (i) cause Hanesbrands Philippines, Inc.; HBI
Sourcing Asia Limited; Sara Lee Apparel International (Shanghai) Co. Ltd. (to be renamed
Hanesbrands International (Shanghai) Co. Ltd.); Sara Lee Apparel India Private Limited (to
be renamed Hanesbrands India Private Limited); and SL Sourcing India Private Ltd. (to be
renamed HBI Sourcing India Private Ltd.) to become Subsidiaries of the Company, (ii) own 50%
of the issued and outstanding Capital Securities of Playtex Marketing Corporation and (iii)
consummate the transfer of assets relating to the Branded Apparel Business from SL Hong Kong
Ltd., Sara Lee Philippines Inc. and Hanesbrands Philippines Inc. to Subsidiaries of the
Company. The Company represents and warrants that the fair market value of the assets to be
transferred pursuant to this clause have a fair market value of less than $6,500,000.

     (f) NT Investment Company, Inc. Within three Business Days following the
Closing Date, the Company shall cause NT Investment Company, Inc. to be in good standing
(and deliver to the Administrative Agent a copy of the good standing certificate) in the
State of Delaware.

     SECTION 7.2 Negative Covenants. The Company covenants and agrees with each Lender
and each Agent that until the Termination Date has occurred, the Company will, and will cause its
Subsidiaries to, perform or cause to be performed the obligations set forth below. Subject to the
terms, conditions and restrictions set forth in the Intercreditor Agreement, the Company covenants
and agrees with each Lender and each Agent that after giving effect to the consummation of the IP
Purchase and the Spin-Off until the Termination Date has occurred, the Company will perform, comply
with and be bound by all of the agreements, covenants and obligations contained in this Article
which are applicable to the Company or its properties.

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     SECTION 7.2.1 Business Activities; Accounting Policies. The Company will not, and
will not permit any of its Subsidiaries to, (a) engage in any business activity except those
business activities engaged in on the date of this Agreement and activities reasonably related,
supportive, complementary, ancillary or incidental thereto or reasonable extensions thereof or (b)
change its accounting policies or financial reporting practices from such policies and practices in
effect of the Closing Date, including any change to the ending dates with respect to the Company
and its Subsidiaries’ Fiscal Year (except to the extent set forth in the definition thereof) or
Fiscal Quarters.

     SECTION 7.2.2 Indebtedness. The Company will not, and will not permit any of its
Subsidiaries to, create, incur, assume or permit to exist any Indebtedness, other than:

     (a) Indebtedness in respect of the Obligations;

     (b) unsecured Indebtedness of the Obligors (i) under the Senior Note Documents and the
Bridge Loan Documents in an aggregate principal amount not to exceed $500,000,000, as such
amount is reduced on or after the Closing Date in accordance with the terms hereof and (ii)
under senior notes whether issued pursuant to a supplement to the Senior Note Indenture or
any other senior note indenture, the terms of which are reasonably satisfactory to the
Administrative Agent, so long as (x) the aggregate principal amount thereunder does not
exceed $500,000,000 and (y) the proceeds therefor are applied to repay Loans in accordance
with clause (h) of Section 3.1.1;

     (c) Indebtedness existing as of the Closing Date which is identified in Item
7.2.2(c) of the Disclosure Schedule, and refinancings, refundings, reallocations,
renewals or extensions of such Indebtedness in a principal amount not in excess of that
which is outstanding on the Closing Date (as such amount has been reduced following the
Closing Date);

     (d) unsecured Indebtedness (i) incurred in the ordinary course of business of the
Company and its Subsidiaries (including open accounts extended by suppliers on normal trade
terms in connection with purchases of goods and services which are not overdue for a period
of more than 90 days or, if overdue for more than 90 days, as to which a dispute exists and
adequate reserves in conformity with GAAP have been established on the books of the Company
or such Subsidiary) and (ii) in respect of performance, surety or appeal bonds provided in
the ordinary course of business, but excluding (in each case), Indebtedness incurred through
the borrowing of money or Contingent Liabilities of borrowed money;

     (e) Indebtedness (i) in respect of industrial revenue bonds or other similar
governmental or municipal bonds, (ii) evidencing the deferred purchase price of newly
acquired property or incurred to finance the acquisition of equipment of the Company and its
Subsidiaries (pursuant to purchase money mortgages or otherwise, whether owed to the seller
or a third party) used in the ordinary course of business of the Company and its
Subsidiaries (provided that, such Indebtedness is incurred within 270 days of the
acquisition of such property) and (iii) in respect of Capitalized Lease Liabilities;
provided

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that, the aggregate amount of all Indebtedness outstanding pursuant to this clause
shall not at any time exceed $180,000,000;

     (f) Indebtedness of (i) an Obligor owing to any other Obligor and of (ii) any
Subsidiary (other than a Receivables Subsidiary and the Borrower) that is not a Subsidiary
Guarantor or any Foreign Supply Chain Entity owing to an Obligor, which Indebtedness (A)
shall, if payable to the Company, the Borrower or a Subsidiary Guarantor, not be discharged
for any consideration other than payment in full or in part in cash or through the
conversion of such Indebtedness to equity (provided that only the amount repaid in
part shall be discharged); and (B) shall not (when aggregated with the amount of Investments
made by the Company, the Borrower and the Subsidiary Guarantors in Subsidiaries which are
not Subsidiary Guarantors and in Foreign Supply Chain Entities under clause (e)(i)
of Section 7.2.5 and Indebtedness converted to equity pursuant to clause
(f)(ii)(A)), exceed $330,000,000 at any one time outstanding;

     (g) unsecured Indebtedness (not evidenced by a note or other instrument) of an Obligor
owing to a Subsidiary (other than the Borrower) that is not a Subsidiary Guarantor and has
previously executed and delivered to the Administrative Agent the Interco Subordination
Agreement;

     (h) Indebtedness of the Obligors incurred pursuant to the terms of the First Lien Loan
Documents in a principal amount not to exceed the Maximum First Lien Debt Amount (as defined
in the Intercreditor Agreement), as such amount is reduced on or after the Closing Date in
accordance with the terms hereof;

     (i) Indebtedness of a Person existing at the time such Person became a Subsidiary of
the Company, but only if such Indebtedness was not created or incurred in contemplation of
such Person becoming a Subsidiary and the aggregate outstanding amount of all Indebtedness
existing pursuant to this clause does not exceed $120,000,000 at any time;

     (j) Indebtedness incurred pursuant to a Permitted Securitization and Standard
Securitization Undertakings;

     (k) unsecured Indebtedness of the Company and its Subsidiaries incurred to (i) finance
Permitted Acquisitions (including obligations of the Company and its Subsidiaries under
indemnification, adjustment of purchase price, earn-out, incentive, non-compete, consulting,
deferred compensation or other similar arrangements incurred by such Person in connection
therewith) or (ii) refinance any other Indebtedness permitted to be incurred under
clauses (a), (b), (e), (i) and (n) of this
Section 7.2.2;

     (l) Indebtedness in respect of Hedging Obligations entered into in the ordinary course
of business and not for speculative purposes;

     (m) Indebtedness of any Foreign Subsidiary owing to any other Foreign Subsidiary;

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     (n) Indebtedness (whether unsecured or secured by Liens) of Foreign Subsidiaries in an
aggregate outstanding principal amount not to exceed $180,000,000 at any one time
outstanding and Contingent Liabilities of any Obligor in respect thereof;

     (o) Indebtedness incurred in the ordinary course of business in connection with cash
pooling arrangements, cash management and other Indebtedness incurred in the ordinary course
of business in respect of netting services, overdraft protections and similar arrangements
in each case in connection with cash management and deposit accounts;

     (p) Indebtedness consisting of the financing of insurance premiums in the ordinary
course of business;

     (q) unsecured Indebtedness of Company and its Subsidiaries representing the obligation
of such Person to make payments with respect to the cancellation or repurchase of Capital
Securities of officers, employees or directors (or their estates) of the Company or such
Subsidiaries; and

     (r) other Indebtedness of the Company and its Subsidiaries (other than Indebtedness of
Foreign Subsidiaries owing to the Company or Subsidiary Guarantors or of a Receivables
Subsidiary) in an aggregate amount at any time outstanding not to exceed $120,000,000;

provided that, no Indebtedness otherwise permitted by clauses (c), (e),
(f)(ii), (i), (k) or (r) shall be assumed, created or otherwise
incurred if an Event of Default has occurred and is then continuing.

     SECTION 7.2.3 Liens. The Company will not, and will not permit any of its
Subsidiaries to, create, incur, assume or permit to exist any Lien upon any of its property
(including Capital Securities of any Person), revenues or assets, whether now owned or hereafter
acquired, except the following (collectively “Permitted Liens”):

     (a) Liens securing payment of the Obligations;

     (b) Liens in connection with a Permitted Securitization;

     (c) Liens existing as of the Closing Date and disclosed in Item 7.2.3(c) of the
Disclosure Schedule securing Indebtedness described in clause (c) of Section
7.2.2, and refinancings, refundings, reallocations, renewals or extensions of such
Indebtedness; provided that, no such Lien shall encumber any additional property
(except for accessions to such property and the products and proceeds thereof ) and the
amount of Indebtedness secured by such Lien is not increased from that existing on the
Closing Date;

     (d) Liens securing Indebtedness of the type permitted under clause (e) of
Section 7.2.2; provided that, (i) such Lien is granted within 270 days after
such Indebtedness is incurred, (ii) the Indebtedness secured thereby does not exceed the
lesser of the cost or the fair market value of the applicable property, improvements or

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equipment at the time of such acquisition (or construction) and (iii) such Lien secures
only the assets that are the subject of the Indebtedness referred to in such clause;

     (e) Liens securing Indebtedness permitted by clause (i) of Section
7.2.2; provided that such Liens existed prior to such Person becoming a
Subsidiary, were not created in anticipation thereof and attach only to specific tangible
assets of such Person;

     (f) Liens in favor of carriers, warehousemen, mechanics, repairmen, materialmen,
customs and revenue authorities and landlords and other similar statutory Liens and Liens in
favor of suppliers (including sellers of goods pursuant to customary reservations or
retention of title, in each case) granted in the ordinary course of business for amounts not
overdue for a period of more than 60 days or are being diligently contested in good faith by
appropriate proceedings and for which adequate reserves in accordance with GAAP shall have
been set aside on its books or with respect to which the failure to make payment could not
reasonably be expected to have a Material Adverse Effect;

     (g) (i) Liens incurred or deposits made in the ordinary course of business in
connection with worker’s compensation, unemployment insurance or other forms of governmental
insurance or benefits, or to secure performance of tenders, statutory obligations, bids,
leases, trade contracts or other similar obligations (other than for borrowed money) entered
into in the ordinary course of business or to secure obligations on surety and appeal bonds
or performance bonds, performance and completion guarantees and other obligations of a like
nature (including those to secure health, safety and environmental obligations) incurred in
the ordinary course of business and (ii) obligations in respect of letters of credit or bank
guarantees that have been posted to support payment of the items set forth in the
immediately preceding clause (i);

     (h) judgment Liens that are being appealed in good faith or with respect to which
execution has been stayed or the payment of which is covered in full (subject to a customary
deductible) by insurance maintained with responsible insurance companies and which do not
otherwise result in an Event of Default under Section 8.1.6;

     (i) easements, rights-of-way, covenants, conditions, building codes, restrictions,
reservations, minor defects or irregularities in title and other similar encumbrances and
matters that would be disavowed by a full survey of real property not interfering in any
material respect with the value or use of the affected or encumbered real property to which
such Lien is attached;

     (j) Liens securing Indebtedness permitted by clause (h) (subject to the
Intercreditor Agreement) or (n) of Section 7.2.2;

     (k) Liens arising solely by virtue of any statutory or common law provision relating to
banker’s liens, rights of set-off or similar rights and remedies as to deposit accounts or
other funds maintained with a creditor depository institution and Liens attaching to
commodity trading accounts or other commodities brokerage accounts incurred in the ordinary
course of business;

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     (l) (i) licenses, sublicenses, leases or subleases granted to third Persons in the
ordinary course of business not interfering in any material respect with the business of the
Company or any of its Subsidiaries, (ii) other agreements with respect to the use and
occupancy of real property entered into in the ordinary course of business or in connection
with a Disposition permitted under the Loan Documents or (iii) the rights reserved or vested
in any Person by the terms of any lease, license, franchise, grant or permit held by Company
or any of its Subsidiaries or by a statutory provision, to terminate any such lease,
license, franchise, grant or permit, or to require annual or periodic payments as a
condition to the continuance thereof;

     (m) Liens on the property of the Company or any of its Subsidiaries securing (i) the
non-delinquent performance of bids, trade contracts (other than for borrowed money), leases,
licenses and statutory obligations, (ii) Contingent Obligations on surety and appeal bonds,
and (iii) other non-delinquent obligations of a like nature; in each case, incurred in the
ordinary course of business;

     (n) Liens on Receivables transferred to a Receivables Subsidiary under a Permitted
Securitization;

     (o) Liens upon specific items or inventory or other goods and proceeds of the Company
or any of its Subsidiaries securing such Person’s obligations in respect of bankers’
acceptances or documentary letters of credit issued or created for the account of such
Person to facilitate the shipment or storage of such inventory or other goods;

     (p) Liens (i) (A) on advances of cash or Cash Equivalent Investments in favor of the
seller of any property to be acquired in an Investment permitted pursuant to Section
7.2.5 to be applied against the purchase price for such Investment and (B) consisting of
an agreement to Dispose of any property in a Disposition permitted under Section
7.2.11, in each case under this clause (i), solely to the extent such Investment
or Disposition, as the case may be, would have been permitted on the date of the creation of
such Lien and (ii) on earnest money deposits of cash or Cash Equivalent Investments made by
the Company or any of its Subsidiaries in connection with any letter of intent or purchase
agreement permitted hereunder;

     (q) Liens arising from precautionary Uniform Commercial Code financing statement
filings (or similar filings under other applicable Law) regarding leases entered into by the
Company or any of its Subsidiaries in the ordinary course of business;

     (r) Liens (i) arising out of conditional sale, title retention, consignment or similar
arrangements for sale of goods (including under Article 2 of the UCC) and Liens that are
contractual rights of set-off relating to purchase orders and other similar agreements
entered into by the Company or any of its Subsidiaries and (ii) relating to the
establishment of depository relations with banks not given in connection with the issuance
of Indebtedness and (iii) relating to pooled deposit or sweep accounts of any
Company or any Subsidiary to permit satisfaction of overdraft or similar obligations in
each case in the ordinary course of business and not prohibited by this Agreement;

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     (s) other Liens securing Indebtedness or other obligations permitted under this
Agreement and outstanding in an aggregate principal amount not to exceed $90,000,000;

     (t) ground leases in respect of real property on which facilities owned or leased by
the Company or any of its Subsidiaries are located or any Liens senior to any lease,
sub-lease or other agreement under which the Company or any of its Subsidiaries uses or
occupies any real property;

     (u) Liens constituting security given to a public or private utility or any
Governmental Authority as required in the ordinary course of business;

     (v) pledges or deposits of cash and Cash Equivalent Investments securing deductibles,
self-insurance, co-payment, co-insurance, retentions and similar obligations to providers of
insurance in the ordinary course of business;

     (w) Liens on (A) incurred premiums, dividends and rebates which may become payable
under insurance policies and loss payments which reduce the incurred premiums on such
insurance policies and (B) rights which may arise under State insurance guarantee funds
relating to any such insurance policy, in each case securing Indebtedness permitted to be
incurred pursuant to clause (p) of Section 7.2.2; and

     (x) Liens for Taxes not at the time delinquent or thereafter payable without penalty or
being diligently contested in good faith by appropriate proceedings and for which adequate
reserves in accordance with GAAP shall have been set aside on its books or with respect to
which the failure to make payment could not reasonably be expected to have a Material
Adverse Effect.

     SECTION 7.2.4 Financial Condition and Operations. The Company will not permit any of
the events set forth below to occur.

     (a) The Company will not permit the Leverage Ratio as of the last day of any Fiscal Quarter
occurring during any period set forth below to be greater than the ratio set forth opposite such
period:

	 	 	 
	Period	 	Leverage Ratio
	Each Fiscal Quarter ending between December 15, 2006 and
April 15, 2007

	 	6.00:1.00
	 
	 	 
	Each Fiscal Quarter ending between April 16, 2007 and July
15, 2007

	 	5.50:1.00
	 
	 	 
	Each Fiscal Quarter ending between July 16, 2007 and
October 15, 2007

	 	5.25:1.00

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	Period	 	Leverage Ratio
	Each Fiscal Quarter ending between October 16, 2007 and
April 15, 2008

	 	5.00:1.00
	 
	 	 
	Each Fiscal Quarter ending between April 16, 2008 and
October 15, 2008

	 	4.75:1.00
	 
	 	 
	Each Fiscal Quarter ending between October 16, 2008 and
April 15, 2009

	 	4.50:1.00
	 
	 	 
	Each Fiscal Quarter ending between April 16, 2009 and July
15, 2009

	 	4.25:1.00
	 
	 	 
	Each Fiscal Quarter ending between July 16, 2009 and
October 15, 2009

	 	4.00:1.00
	 
	 	 
	Each Fiscal Quarter thereafter

	 	3.75:1.00

     (b) The Company will not permit the Interest Coverage Ratio as of the last day of any Fiscal
Quarter occurring during any period set forth below to be less than the ratio set forth opposite
such period:

	 	 	 
	Period	 	Interest Coverage Ratio
	Each Fiscal Quarter ending between December 15,
2006 and July 15, 2007

	 	1.50:1.00
	 
	 	 
	Each Fiscal Quarter ending between July 16, 2007
and January 15, 2008

	 	1.75:1.00
	 
	 	 
	Each Fiscal Quarter ending between January 16,
2008 and October 15, 2008

	 	2.00:1.00
	 
	 	 
	Each Fiscal Quarter ending between October 16,
2008 and April 15, 2009

	 	2.25:1.00
	 
	 	 
	Each Fiscal Quarter thereafter

	 	2.50:1.00

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     SECTION 7.2.5 Investments. The Company will not, and will not permit any of its
Subsidiaries to, purchase, make, incur, assume or permit to exist any Investment in any other
Person, except:

     (a) Investments existing on the Closing Date and identified in Item 7.2.5(a) of
the Disclosure Schedule;

     (b) Cash Equivalent Investments;

     (c) Investments received in connection with the bankruptcy or reorganization of, or
settlement of delinquent accounts and disputes with, customers and suppliers, in each case
in the ordinary course of business;

     (d) Investments consisting of any deferred portion (including promissory notes and
non-cash consideration) of the sales price received by the Company or any Subsidiary in
connection with any Disposition permitted under Section 7.2.11;

     (e) Investments by way of contributions to capital or purchases of Capital Securities
(i) by the Company in any Subsidiaries or by any Subsidiary in other Subsidiaries or by the
Company or any Subsidiary in any Foreign Supply Chain Entity; provided that, the
aggregate amount of intercompany loans made pursuant to clause (f)(ii) of
Section 7.2.2, Indebtedness converted into equity pursuant to clause
(f)(ii)(A) of Section 7.2.2 and Investments under this clause made by the
Company, the Borrower and Subsidiary Guarantors in (x) Subsidiaries that are not Subsidiary
Guarantors (other than the Borrower) or (y) any Foreign Supply Chain Entity shall not exceed
the amount set forth in clause (f)(ii) of Section 7.2.2 at any one time
outstanding, or (ii) by any Subsidiary in the Company;

     (f) Investments constituting (i) accounts receivable arising or acquired, (ii) trade
debt granted, or (iii) deposits made in connection with the purchase price of goods or
services, in each case in the ordinary course of business;

     (g) Investments by way of the acquisition of Capital Securities or the purchase or
other acquisition of all or substantially all of the assets or business of any Person, or of
assets constituting a business unit, or line of business or division of, such Person, in
each case constituting Permitted Acquisitions in an amount, when aggregated with the amount
expended under clause (b) of Section 7.2.10, does not exceed the amount set
forth in clause (b) of Section 7.2.10 in any Fiscal Year;

     (h) Investments constituting Capital Expenditures permitted pursuant to Section
7.2.7;

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     (i) Investments in a Receivables Subsidiary or any Investment by a Receivables
Subsidiary in any other Person under a Permitted Securitization; provided that any
Investment in a Receivables Subsidiary is in the form of a Purchase Money Note, contribution
of additional receivables and related assets or any equity interests;

     (j) Investments constituting loans or advances to officers, directors or employees made
in the ordinary course of business (including for travel, entertainment and relocation
expenses) in an aggregate amount not to exceed $12,000,000;

     (k) Investments by any Foreign Subsidiary in any other Foreign Subsidiary;

     (l) Investments in the ordinary course of business consisting of (i) endorsements for
collection or deposit, (ii) customary arrangements with customers or (iii) Hedging
Obligations not for speculative purposes;

     (m) advances of payroll payments to employees in the ordinary course of business; and

     (n) other Investments in an amount not to exceed $120,000,000 over the term of this
Agreement;

provided that (I) any Investment which when made complies with the requirements of the
definition of the term “Cash Equivalent Investment” may continue to be held notwithstanding that
such Investment if made thereafter would not comply with such requirements; and (II) no Investment
otherwise permitted by clauses (e)(i) (to the extent such Investment relates to an
Investment in a Foreign Subsidiary or a Foreign Supply Chain Entity), (g) or (n)
shall be permitted to be made if any Event of Default has occurred and is continuing.

     SECTION 7.2.6 Restricted Payments, etc. The Company will not, and will not permit any
of its Subsidiaries (other than a Receivables Subsidiary) to, declare or make a Restricted Payment,
or make any deposit for any Restricted Payment, other than (a) Restricted Payments made by
Subsidiaries to the Company or wholly owned Subsidiaries, (b) the Dividend, (c) cashless exercises
of stock options, (d) cash payments by Company in lieu of the issuance of fractional shares upon
exercise or conversion of Equity Equivalents, (e) Restricted Payments in connection with the share
repurchases required by the employee stock ownership programs or required under employee
agreements, (f) so long as (i) no Specified Default has occurred and is continuing or would result
therefrom, and (ii) both before and after giving effect to such Restricted Payment, the Borrower is
in pro forma compliance with Section 7.2.4, Permitted Additional Restricted Payments and
(g) Restricted Payments made by a Foreign Supply Chain Entity that has been redesignated as a
Foreign Subsidiary, to the Persons owning such Foreign Subsidiary’s Capital Securities.

     SECTION 7.2.7 Capital Expenditures.

     (a) Subject (in the case of Capitalized Lease Liabilities), to clause (e) of
Section 7.2.2, the Company will not, and will not permit any of its Subsidiaries to,
make or commit to make Capital Expenditures except Capital Expenditures in an aggregate
amount not to exceed $156,000,000 in any Fiscal Year; provided that, to the extent
that

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the amount of Capital Expenditures made by the Company and its Subsidiaries during any
Fiscal Year is less than the aggregate amount permitted (including after giving effect to
this proviso) for such Fiscal Year, then such unutilized amount may be carried forward and
utilized by the Company and its Subsidiaries to make Capital Expenditures in any succeeding
Fiscal Year. Notwithstanding anything to the contrary with respect to any Fiscal Year of
the Company during which a Permitted Acquisition is consummated and for each Fiscal Year
subsequent thereto, the amount of Capital Expenditures permitted under the preceding
sentence applicable to each such Fiscal Year shall be increased by an amount equal to 5% of
the purchase price of each Permitted Acquisition (the “Acquired Permitted Capital
Expenditure Amount”); provided, however, with respect to the Fiscal
Year during which any such Permitted Acquisition occurs, the amount of additional
Capital Expenditures permitted as a result of this sentence shall be an amount equal to the
product of (x) the Acquired Permitted Capital Expenditure Amount and (y) a fraction, the
numerator of which is the number of days remaining in such Fiscal Year after the date such
Permitted Acquisition is consummated and the denominator of which is the actual number of
days in such Fiscal Year.

     (b) Notwithstanding anything to the contrary contained in clause (a) above, for
any Fiscal Year, the amount of Capital Expenditures that would otherwise be permitted in
such Fiscal Year pursuant to this Section 7.2.7 (including as a result of the
carry-forward described in the proviso to the first sentence of clause (a) above)
may be increased by an amount not to exceed $12,000,000 (the “CapEx Pull-Forward
Amount”). The actual CapEx Pull-Forward Amount in respect of any such Fiscal Year shall
reduce, on a dollar-for-dollar basis, the amount of Capital Expenditures that would have
been permitted to be made in the immediately succeeding Fiscal Year (provided that
the Company and its Subsidiaries may apply the CapEx Pull-Forward Amount in such immediately
succeeding Fiscal Year).

     SECTION 7.2.8 Payments With Respect to Certain Indebtedness. The Company will not,
and will not permit any of its Subsidiaries to,

     (a) make any payment or prepayment of principal of, or premium or interest on, any
Indebtedness incurred under the Bridge Loan Documents or the Senior Note Documents
(including any redemption or retirement thereof) (i) other than on (or after) the stated,
scheduled date for payment of interest set forth in the applicable Bridge Loan Documents or
Senior Note Documents, respectively, or (ii) which would violate the terms of this Agreement
or the applicable Bridge Loan Documents or Senior Note Documents;

     (b) except as otherwise permitted by clause (a) above, prior to the Termination
Date, redeem, retire, purchase, defease or otherwise acquire any Indebtedness under the
Bridge Loan Documents or the Senior Note Documents (other than with proceeds from the
issuance of the Borrower’s Capital Securities (to the extent not otherwise required to be
used to repay Loans pursuant to clause (e) of Section 3.1.1) permitted to be
used to redeem Senior Notes in accordance with the terms of the Senior Note Documents);

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     (c) make any deposit (including the payment of amounts into a sinking fund or other
similar fund) for any of the foregoing purposes; or

     (d) make any payment or prepayment of principal of, or premium or interest on, any
Indebtedness that is by its express written terms subordinated to the payment of the
Obligations at any time when an Event of Default has occurred and is continuing.

Notwithstanding anything to the contrary contained in this Section, the Company shall be permitted
to refinance, in whole or in part, the Indebtedness under the Bridge Loan Documentation with the
proceeds from the issuance of Senior Notes

     SECTION 7.2.9 Issuance of Capital Securities. The Company will not permit any of its
Subsidiaries (other than a Receivables Subsidiary and any Foreign Supply Chain Entity that has been
redesignated as a Foreign Subsidiary) to issue any Capital Securities (whether for value or
otherwise) to any Person other than to the Company or another wholly owned Subsidiary (other than
any director’s qualifying shares or investments by foreign nationals mandated by applicable laws).

     SECTION 7.2.10 Consolidation, Merger; Permitted Acquisitions, etc. The Company will
not, and will not permit any of its Subsidiaries to, liquidate or dissolve, consolidate with, or
merge into or with, any other Person, or purchase or otherwise acquire all or substantially all of
the assets of any Person (or any division or line of business thereof), except

     (a) any Subsidiary may liquidate or dissolve voluntarily into, and may merge with and
into, the Company, the Borrower or any other Subsidiary (provided that a Subsidiary
Guarantor may only liquidate or dissolve into, or merge with and into, the Company or
another Subsidiary Guarantor), and the assets or Capital Securities of any Subsidiary may be
purchased or otherwise acquired by the Company, the Borrower or any other Subsidiary
(provided that the assets or Capital Securities of any Subsidiary Guarantor may only
be purchased or otherwise acquired by the Company, the Borrower or another Subsidiary
Guarantor); provided, further, that in no event shall any Subsidiary
consolidate with or merge with and into any other Subsidiary unless after giving effect
thereto, the Collateral Agent shall have a perfected pledge of, and security interest in and
to, at least the same percentage of the issued and outstanding interests of Capital
Securities (on a fully diluted basis) and other assets of the surviving Person as the
Collateral Agent had immediately prior to such merger or consolidation in form and substance
reasonably satisfactory to the Agents, pursuant to such documentation and opinions as shall
be necessary in the opinion of the Agents to create, perfect or maintain the collateral
position of the Secured Parties therein; and

     (b) so long as no Event of Default has occurred and is continuing or would occur after
giving effect thereto, the Company or any of its Subsidiaries may purchase the Capital
Securities, all or substantially all of the assets of any Person (or any division or line of
business thereof), or acquire such Person by merger, in each case, if such purchase or
acquisition constitutes a Permitted Acquisition, and the amount expended in connection with
such transaction, when aggregated with the amount expended under clause (g) of
Section 7.2.5, does not exceed $120,000,000 per Fiscal Year plus the

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amount of Net
Disposition Proceeds the Company or the Borrower is not required to repay pursuant to
Section 3.1.1 and Section 3.1.1 of the First Lien Credit Agreement and not otherwise
reinvested hereunder (so long as such proceeds are actually used for such purpose) and the
Excluded Equity Proceeds Amount (so long as such proceeds are actually used for such
purpose); provided that any Capital Securities of the Company issued to the seller
in connection with any Permitted Acquisition shall not result in a deduction of amounts
available to consummate Permitted Acquisitions hereunder.

     SECTION 7.2.11 Permitted Dispositions. The Company will not, and will not permit any
of its Subsidiaries to, Dispose of any of the Company’s or such Subsidiaries’ assets
(including accounts receivable and Capital Securities of Subsidiaries) to any Person in one
transaction or series of transactions unless such Disposition is:

     (a) inventory or obsolete, no longer used or useful, damaged, worn out or surplus
property Disposed of in the ordinary course of its business (including, the abandonment of
intellectual property which is obsolete, no longer used or useful or that in the Company’s
good faith judgment is no longer material in the conduct of the Company and its
Subsidiaries’ business taken as a whole):

     (b) permitted by Section 7.2.10;

     (c) accounts receivable or any related asset Disposed of pursuant to a Permitted
Securitization;

     (d) of property to the extent that (i) such property is exchanged for credit against
the purchase price of similar replacement property or (ii) the proceeds of such Disposition
are promptly applied to the purchase price of such replacement property;

     (e) of property by the Company, the Borrower or any other Subsidiary provided
that if the transferor of such property is an Obligor (i) the transferee must be an Obligor
or (ii) to the extent such transaction constitutes an Investment such transaction is
permitted under Section 7.2.5;

     (f) of cash or Cash Equivalent Investments;

     (g) of accounts receivable in connection with compromise, write down or collection
thereof in the ordinary course of business;

     (h) constituting leases, subleases, licenses or sublicenses of property (including
intellectual property) in the ordinary course of business and which do not materially
interfere with the business of the Company and its Subsidiaries;

     (i) constituting a transfer of property subject to a Casualty Event (i) upon receipt of
Net Casualty Proceeds of such Casualty Event or (ii) to a Governmental Authority as a result
of condemnation;

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     (j) sales of a non-core assets acquired in connection with a Permitted Acquisition
which are not used or useful or are duplicative in the business of the Company or its
Subsidiaries;

     (k) a grant of options to purchase, lease or acquire real or personal property in the
ordinary course of business, so long as the Disposition resulting from the exercise of such
option would otherwise be permitted under this Section 7.2.11;

     (l) Dispositions of Investments in Foreign Supply Chain Entities (or a Foreign Supply
Chain Entity that has been redesignated as a Foreign Subsidiary), to the extent required by,
or made pursuant to buy/sell arrangements between the Foreign Supply Chain Entity parties
forth in, the contracts applicable to such Foreign Supply
Chain Entity (or a Foreign Supply Chain Entity that has been redesignated as a Foreign
Subsidiary);

     (m) Dispositions of the property described on Item 7.2.11(m) of the Disclosure
Schedule; or

     (n) a Disposition of assets not otherwise permitted pursuant to preceding clauses
(a)-(m) and (i) is for fair market value and the consideration received
consists of no less than 75% in cash and Cash Equivalent Investments, (ii) the Net
Disposition Proceeds received from such Disposition, together with the Net Disposition
Proceeds of all other assets Disposed of pursuant to this clause since the Closing Date,
does not exceed (individually or in the aggregate) $120,000,000 and (iii) the Net
Disposition Proceeds from such Disposition are applied pursuant to Sections 3.1.1
and 3.1.2.

     SECTION 7.2.12 Modification of Certain Agreements. The Company will not, and will not
permit any of its Subsidiaries to, consent to any amendment, supplement, waiver or other
modification of, or enter into any forbearance from exercising any rights with respect to the terms
or provisions contained in,

     (a) the First Lien Loan Documents, except in accordance with the Intercreditor
Agreement;

     (b) any of the other Transaction Documents other than any amendment, supplement, waiver
or modification which would not be materially adverse to the Secured Parties; or

     (c) the Organic Documents of the Company or any of its Subsidiaries (other than a
Receivables Subsidiary) other than any amendment, supplement, waiver or modification which
would not be materially adverse to the Secured Parties.

     SECTION 7.2.13 Transactions with Affiliates. The Company will not, and will not
permit any of its Subsidiaries to, enter into or cause or permit to exist any arrangement,
transaction or contract (including for the purchase, lease or exchange of property or the rendering
of services) with any of its other Affiliates, unless such arrangement, transaction or contract is
on fair and reasonable terms no less favorable to the Company or such Subsidiary than it could
obtain in an arm’s-length transaction with a Person that is not an Affiliate other than

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arrangements, transactions or contracts (a) between or among the Company and any of its
Subsidiaries, (b) in connection with the cash management of the Company and its Subsidiaries in the
ordinary course of business, (c) in connection with a Permitted Securitization including Standard
Securitization Undertakings or (d) that is a Transaction Document.

     SECTION 7.2.14 Restrictive Agreements, etc. The Company will not, and will not permit
any of its Subsidiaries (other than a Receivables Subsidiary) to, enter into any agreement
prohibiting

     (a) the creation or assumption of any Lien upon its properties, revenues or assets,
whether now owned or hereafter acquired;

     (b) the ability of any Obligor to amend or otherwise modify any Loan Document; or

     (c) the ability of any Subsidiary (other than a Receivables Subsidiary) to make any
payments, directly or indirectly, to the Company, including by way of dividends, advances,
repayments of loans, reimbursements of management and other intercompany charges, expenses
and accruals or other returns on investments.

The foregoing prohibitions shall not apply to restrictions contained (i) in any Loan Document or in
any First Lien Loan Document (subject to the terms of the Intercreditor Agreement), (iii) in the
cases of clause (a) and (c), in any Bridge Loan Document or Senior Note Document,
(iv) in the case of clause (a), any agreement governing any Indebtedness permitted by
clause (n) of Section 7.2.2 as to the assets financed with the proceeds of such
Indebtedness, (v) in the case of clauses (a) and (c), any agreement of a Foreign
Subsidiary governing the Indebtedness permitted to be incurred or permitted to exist hereunder,
(vi) with respect to any Receivables Subsidiary, in the case of clauses (a) and
(c), the documentation governing any Securitization permitted hereunder, (vii) solely with
respect to clause (a), any arrangement or agreement arising in connection with a
Disposition permitted under this Agreement (but then only with respect to the assets being so
Disposed), (viii) solely with respect to clause (a) and (c), are already binding on
a Subsidiary when it is acquired, (ix) solely with respect to clause (a), customary
restrictions in leases, subleases, licenses and sublicenses and (x) solely with respect to
clause (a) and (c), any agreement of a Foreign Supply Chain Entity that was
redesignated as a Foreign Subsidiary.

     SECTION 7.2.15 Sale and Leaseback. The Company will not, and will not permit any of
its Subsidiaries to, directly or indirectly enter into any agreement or arrangement providing for
the sale or transfer by it of any property (now owned or hereafter acquired) to a Person and the
subsequent lease or rental of such property or other similar property from such Person, except for
agreements and arrangements with respect to property the fair market value (as determined in good
faith by the Board of Directors of the Company) of which does not exceed $120,000,000 in the
aggregate following the Closing Date and the Net Disposition Proceeds of which are applied pursuant
to Sections 3.1.1 and 3.1.2.

     SECTION 7.2.16 Investments in European TM SPV. Notwithstanding anything else set
forth herein, the Company will not, and will not permit any of its Subsidiaries to make any

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additional Investment in European TM SPV or transfer any of their respective assets to European TM
SPV.

ARTICLE VIII

EVENTS OF DEFAULT

     SECTION 8.1 Listing of Events of Default. Each of the following events or occurrences
described in this Article shall constitute an “Event of Default”.

     SECTION 8.1.1 Non-Payment of Obligations. The Borrower shall default in the payment
or prepayment when due of

     (a) any principal of any Loan;

     (b) any interest on any Loan or any fee described in Article III, and such
default shall continue unremedied for a period of three days after such interest or fee was
due; or

     (c) any other monetary Obligation, and such default shall continue unremedied for a
period of 10 Business Days after such amount was due.

     SECTION 8.1.2 Breach of Warranty. Any representation or warranty of any Obligor made
or deemed to be made in any Loan Document (including any certificates delivered pursuant to
Article V) is or shall be incorrect in any material respect when made or deemed to have
been made.

     SECTION 8.1.3 Non-Performance of Certain Covenants and Obligations. The Company shall
default in the due performance or observance of any of its obligations under Section 7.1.1,
Section 7.1.7, Section 7.1.11 or Section 7.2.

     SECTION 8.1.4 Non-Performance of Other Covenants and Obligations. Any Obligor shall
default in the due performance and observance of any other agreement contained in any Loan Document
executed by it, and such default shall continue unremedied for a period of 30 days after the
earlier to occur of (a) notice thereof given to the Company by any Agent or any Lender or (b) the
date on which any Obligor has knowledge of such default.

     SECTION 8.1.5 Default on Other Indebtedness. A default shall occur in the payment of
any amount when due (subject to any applicable grace period), whether by acceleration or otherwise,
of any principal or stated amount of, or interest or fees on, any Indebtedness (other than
Indebtedness described in Section 8.1.1) of the Company or any of its Subsidiaries (other
than a Receivables Subsidiary) or any other Obligor having a principal or stated amount,
individually or in the aggregate, in excess of $60,000,000, or a default shall occur in the
performance or observance of any obligation or condition with respect to such Indebtedness if the
effect of such default is to accelerate the maturity of any such Indebtedness or such default shall
continue unremedied for any applicable period of time sufficient to permit the holder or holders of
such Indebtedness, or any trustee or agent for such holders, to cause or declare such Indebtedness
to become due and payable or to require such Indebtedness to be prepaid, redeemed, purchased or
defeased, or require an offer to purchase or defease such Indebtedness to

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be made, prior to its
expressed maturity; provided, that a default, event or condition described in this Section
in respect of the First Lien Loan Documents shall not at any time constitute an Event of Default
(other than (i) a default, event or condition set forth in Section 8.1.1 of the First Lien Credit
Agreement which shall constitute an Event of Default unless such default, event or condition is not
cured or waived within 10 Business Days after the occurrence of such default, event or condition or
(ii) the declaration of all or any portion of such Indebtedness to be immediately due and payable
which shall constitute an immediate Event of Default).

     SECTION 8.1.6 Judgments. Any (a) judgment or order for the payment of money
individually or in the aggregate in excess of $60,000,000 (exclusive of any amounts fully covered
by insurance (less any applicable deductible) or an indemnity by any other third party Person and
as to which the insurer or such Person has acknowledged its responsibility to cover such judgment
or order not denied in writing) shall be rendered against the Company or any of
its Subsidiaries (other than a Receivables Subsidiary) and such judgment shall not have been
vacated or discharged or stayed or bonded pending appeal within 45 days after the entry thereof or
enforcement proceedings shall have been commenced by any creditor upon such judgment or order or
(b) non-monetary judgment or order that has had, or could reasonably be expected to have, a
Material Adverse Effect.

     SECTION 8.1.7 Pension Plans. Any of the following events shall occur with respect to
any Pension Plan

     (a) the institution of any steps by the Company, any member of its Controlled Group or
any other Person to terminate a Pension Plan if, as a result of such termination, the
Company or any such member could be required to make a contribution to such Pension Plan, or
could reasonably expect to incur a liability or obligation to such Pension Plan, in excess
of $60,000,000; or

     (b) a contribution failure occurs with respect to any Pension Plan sufficient to give
rise to a Lien under section 302(f) of ERISA.

     SECTION 8.1.8 Change in Control. Any Change in Control shall occur.

     SECTION 8.1.9 Bankruptcy, Insolvency, etc. The Company, any of its Subsidiaries
(other than a Receivables Subsidiary) or any other Obligor shall

     (a) become insolvent or generally fail to pay, or admit in writing its inability or
unwillingness generally to pay, debts as they become due;

     (b) apply for, consent to, or acquiesce in the appointment of a trustee, receiver,
sequestrator or other custodian for any substantial part of the property of any thereof, or
make a general assignment for the benefit of creditors;

     (c) in the absence of such application, consent or acquiescence in or permit or suffer
to exist the appointment of a trustee, receiver, sequestrator or other custodian for a
substantial part of the property of any thereof, and such trustee, receiver, sequestrator or
other custodian shall not be discharged, stayed, vacated or bonded pending appeal within 60
days; provided that, the Borrower, each Subsidiary and each other Obligor hereby

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expressly authorizes each Secured Party to appear in any court conducting any relevant
proceeding during such 60-day period to preserve, protect and defend their rights under the
Loan Documents;

     (d) permit or suffer to exist the commencement of any bankruptcy, reorganization, debt
arrangement or other case or proceeding under any bankruptcy or insolvency law or any
dissolution, winding up or liquidation proceeding, in respect thereof, and, if any such case
or proceeding is not commenced by the Borrower, any Subsidiary or any Obligor, such case or
proceeding shall be consented to or acquiesced in by the Borrower, such Subsidiary or such
Obligor, as the case may be, or shall result in the entry of an order for relief or shall
remain for 60 days undismissed, undischarged, unstayed or unbonded pending appeal;
provided that, the Borrower, each Subsidiary and each Obligor hereby expressly
authorizes each Secured Party to appear in any court
conducting any such case or proceeding during such 60-day period to preserve, protect
and defend their rights under the Loan Documents; or

     (e) take any action authorizing, or in furtherance of, any of the foregoing.

     SECTION 8.1.10 Impairment of Security, etc. Any Loan Document or any Lien granted
thereunder (effecting a material portion of the Collateral, taken as a whole) shall (except in
accordance with its terms), in whole or in part, terminate, cease to be effective or cease to be
the legally valid, binding and enforceable obligation of any Obligor party thereto (other than
pursuant to a failure of the Administrative Agent, any collateral agent appointed by the
Administrative Agent or the Lenders to take any action within the sole control of such Person); any
Obligor or any other party shall, directly or indirectly, contest in any manner such effectiveness,
validity, binding nature or enforceability; or, except as permitted under any Loan Document, any
Lien securing any Obligation shall, in whole or in part, cease to be a perfected first priority
Lien or any Obligor shall so assert (other than, in each case, pursuant to a failure of the
Administrative Agent, any collateral agent appointed by the Administrative Agent or the Lenders to
take any action within the sole control of such Person).

     SECTION 8.2 Action if Bankruptcy. If any Event of Default described in clauses
(a) through (d) of Section 8.1.9 with respect to the Borrower shall occur, the
Commitment (if not theretofore terminated) shall automatically terminate and the outstanding
principal amount of all outstanding Loans and all other Obligations shall automatically be and
become immediately due and payable, without notice or demand to any Person.

     SECTION 8.3 Action if Other Event of Default. If any Event of Default (other than any
Event of Default described in clauses (a) through (d) of Section 8.1.9 with
respect to the Borrower) shall occur for any reason, whether voluntary or involuntary, and be
continuing, the Administrative Agent, upon the direction of the Required Lenders, shall by notice
to the Borrower declare all or any portion of the outstanding principal amount of the Loans and
other Obligations to be due and payable and/or the Commitment (if not theretofore terminated) to be
terminated, whereupon the full unpaid amount of such Loans and other Obligations which shall be so
declared due and payable shall be and become immediately due and payable, without further notice,
demand or presentment.

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ARTICLE IX

THE ADMINISTRATIVE AGENT, THE COLLATERAL AGENT; THE LEAD

ARRANGERS, THE SYNDICATION AGENT AND THE DOCUMENTATION AGENT

     SECTION 9.1 Actions. Each Lender hereby appoints Citicorp USA as its Administrative
Agent and CitiNA, as its collateral agent, under and for purposes of each Loan Document. Each
Lender authorizes each Agent to act on behalf of such Lender under each Loan Document and, in the
absence of other written instructions from the Required Lenders received from time to time by such
Agent (with respect to which each Agent agrees that it will comply, except as otherwise provided in
this Section or as otherwise advised by counsel in order to avoid contravention of applicable
law), to exercise such powers hereunder and thereunder as are specifically delegated to or required
of such Agent by the terms hereof and thereof, together with such powers as may be incidental
thereto (including the release of Liens on assets Disposed of in accordance with the terms of the Loan Documents). Each Lender hereby indemnifies (which
indemnity shall survive any termination of this Agreement) each Agent, pro rata
according to such Lender’s proportionate Total Exposure Amount, from and against any and all
liabilities, obligations, losses, damages, claims, costs or expenses of any kind or nature
whatsoever which may at any time be imposed on, incurred by, or asserted against, such Agent in any
way relating to or arising out of any Loan Document (including reasonable attorneys’ fees and
expenses), and as to which such Agent is not reimbursed by the Borrower (and without limiting its
obligation to do so); provided that no Lender shall be liable for the payment of any
portion of such liabilities, obligations, losses, damages, claims, costs or expenses which are
determined by a court of competent jurisdiction in a final proceeding to have resulted from such
Agent’s gross negligence or willful misconduct. No Agent shall be required to take any action
under any Loan Document, or to prosecute or defend any suit in respect of any Loan Document, unless
it is indemnified hereunder to its reasonable satisfaction. If any indemnity in favor of any Agent
shall be or become, in such Agent’s determination, inadequate, such Agent may call for additional
indemnification from the Lenders and cease to do the acts indemnified against hereunder until such
additional indemnity is given.

     SECTION 9.2 Funding Reliance, etc. Unless the Administrative Agent shall have been
notified in writing by any Lender by 3:00 p.m. on the Business Day prior to a Borrowing that such
Lender will not make available the amount which would constitute its Percentage of such Borrowing
on the date specified therefor, the Administrative Agent may assume that such Lender has made such
amount available to the Administrative Agent and, in reliance upon such assumption, make available
to the Borrower a corresponding amount. If and to the extent that such Lender shall not have made
such amount available to the Administrative Agent, such Lender and the Borrower severally agree to
repay the Administrative Agent forthwith on demand such corresponding amount together with interest
thereon, for each day from the date the Administrative Agent made such amount available to the
Borrower to the date such amount is repaid to the Administrative Agent, at the interest rate
applicable at the time to Loans comprising such Borrowing (in the case of the Borrower) and (in the
case of a Lender), at the Federal Funds Rate (for the first two Business Days after which such
amount has not been repaid), and thereafter at the interest rate applicable to Loans comprising
such Borrowing.

     SECTION 9.3 Exculpation. Neither any Lead Arranger, any Agent nor any of its
directors, officers, employees, agents or Affiliates shall be liable to any Secured Party for any

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action taken or omitted to be taken by it under any Loan Document, or in connection therewith,
except for its own willful misconduct or gross negligence, nor responsible for any recitals or
warranties herein or therein, nor for the effectiveness, enforceability, validity or due execution
of any Loan Document, or the validity, genuineness, enforceability, existence, value or sufficiency
of any collateral security, nor to make any inquiry respecting the performance by any Obligor of
its Obligations. Any such inquiry which may be made by a Lead Arranger or an Agent shall not
obligate it to make any further inquiry or to take any action. Each Lead Arranger and each Agent
shall be entitled to rely upon advice of counsel concerning legal matters and upon any notice,
consent, certificate, statement or writing which such Lead Arranger or such Agent believes to be
genuine and to have been presented by a proper Person.

     SECTION 9.4 Successor. Any Agent may resign as such at any time upon at least 30
days’ prior notice to the Borrower and all Lenders. If any Agent at any time shall resign, the
Required Lenders may appoint (subject to, so long as no Event of Default has occurred and is
continuing, the reasonable consent of the Borrower not to be unreasonably withheld or delayed)
another Lender as such Person’s successor Agent which shall thereupon become the applicable Agent
hereunder. If no successor Agent shall have been so appointed by the Required Lenders (and
consented to by the Borrower), and shall have accepted such appointment, within 30 days after the
retiring such Agent’s giving notice of resignation, then the retiring Agent may, on behalf of the
Lenders, appoint a successor Agent, which shall be one of the Lenders or a commercial banking
institution organized under the laws of the United States (or any State thereof) or a United States
branch or agency of a commercial banking institution, and having a combined capital and surplus of
at least $250,000,000; provided that, if such retiring Agent is unable to find a commercial
banking institution which is willing to accept such appointment and which meets the qualifications
set forth in above, the retiring Agent’s resignation shall nevertheless thereupon become effective
and the Lenders shall assume and perform all of the duties of such Agent hereunder until such time,
if any, as the Required Lenders appoint a successor as provided for above. Upon the acceptance of
any appointment as an Agent hereunder by any successor Agent, such successor Agent shall be
entitled to receive from the retiring Agent such documents of transfer and assignment as such
successor Agent may reasonably request, and shall thereupon succeed to and become vested with all
rights, powers, privileges and duties of the retiring Agent, and the retiring Agent shall be
discharged from its duties and obligations under the Loan Documents. After any retiring Agent’s
resignation hereunder as an Agent, the provisions of this Article shall inure to its benefit as to
any actions taken or omitted to be taken by it while it was an Agent under the Loan Documents, and
Section 10.3 and Section 10.4 shall continue to inure to its benefit.

     SECTION 9.5 Loans by Citibank. Citibank shall have the same rights and powers with
respect to (a) the Loans made by it or any of its Affiliates, and (b) the Notes held by it or any
of its Affiliates as any other Lender and may exercise the same as if it were not an Agent.
Citibank and its Affiliates may accept deposits from, lend money to, and generally engage in any
kind of business with the Borrower or any Subsidiary or Affiliate of the Borrower as if Citibank
were not an Agent hereunder.

     SECTION 9.6 Credit Decisions. Each Lender acknowledges that it has, independently of
the Administrative Agent and each other Lender, and based on such Lender’s review of the financial
information of the Borrower, the Company, the Loan Documents (the terms and

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provisions of which
being satisfactory to such Lender) and such other documents, information and investigations as such
Lender has deemed appropriate, made its own credit decision to extend its Commitment. Each Lender
also acknowledges that it will, independently of the Administrative Agent and each other Lender,
and based on such other documents, information and investigations as it shall deem appropriate at
any time, continue to make its own credit decisions as to exercising or not exercising from time to
time any rights and privileges available to it under the Loan Documents.

     SECTION 9.7 Copies, etc. Each Agent shall give prompt notice to each Lender of each
notice or request required or permitted to be given to such Agent by the Borrower or the Company
pursuant to the terms of the Loan Documents (unless concurrently delivered to the Lenders by the
Borrower or the Company). Each Agent will distribute to each Lender each document or instrument
received for its account and copies of all other communications received
by such Agent from the Borrower or the Company for distribution to the Lenders by such Agent
in accordance with the terms of the Loan Documents. No Agent shall, except as expressly set forth
in the Loan Documents, have any duty to disclose, and shall not be liable for the failure to
disclose, any information relating to the Borrower or the Company or any of its Affiliates that is
communicated to or obtained by any Agent or any of its Affiliates in any capacity.

     SECTION 9.8 Reliance by Agents. The Agents shall be entitled to rely upon any
certification, notice or other communication (including any thereof by telephone, telecopy,
telegram or cable) believed by it to be genuine and correct and to have been signed or sent by or
on behalf of the proper Person, and upon advice and statements of legal counsel, independent
accountants and other experts selected by such Agent. As to any matters not expressly provided for
by the Loan Documents, the Agents shall in all cases be fully protected in acting, or in refraining
from acting, thereunder in accordance with instructions given by the Required Lenders or all of the
Lenders as is required in such circumstance, and such instructions of such Lenders and any action
taken or failure to act pursuant thereto shall be binding on all Secured Parties.

     SECTION 9.9 Defaults. The Administrative Agent shall not be deemed to have knowledge
or notice of the occurrence of a Default (other than a Default under Section 8.1.1) unless
the Administrative Agent has received a written notice from a Lender or the Borrower or the Company
specifying such Default and stating that such notice is a “Notice of Default”. In the event that
the Administrative Agent receives such a notice of the occurrence of a Default, the Administrative
Agent shall give prompt notice thereof to the Lenders. The Administrative Agent shall (subject to
Section 10.1 and the Intercreditor Agreement) take such action with respect to such Default
as shall be directed by the Required Lenders; provided that, subject to the terms,
conditions and restrictions set forth in the Intercreditor Agreement, 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 as it shall deem advisable in the best interest of the Secured Parties except to the extent
that this Agreement expressly requires that such action be taken, or not be taken, only with the
consent or upon the authorization of the Required Lenders or all Lenders.

     SECTION 9.10 Lead Arrangers, Syndication Agents and Documentation Agents.
Notwithstanding anything else to the contrary contained in this Agreement or any other Loan
Document, the Lead Arrangers, the Syndication Agents and the Documentation Agents, in their

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respective capacities as such, each in such capacity, shall have no duties or responsibilities
under this Agreement or any other Loan Document nor any fiduciary relationship with any Lender, and
no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read
into this Agreement or otherwise exist against such Person in such capacity. Each Lead Arranger
shall at all times have the right to receive current copies of the Register and any other
information relating to the Lenders and the Loans that they may request from the Administrative
Agent. Each Lead Arranger shall at all times have the right to receive a current copy of the
Register and any other information relating to the Lenders and the Loans that they may request from
the Administrative Agent.

     SECTION 9.11 Posting of Approved Electronic Communications.

     (a) The Company hereby agrees, unless directed otherwise by the Administrative Agent or
unless the electronic mail address referred to below has not been provided by the
Administrative Agent to the Company, that it will, or will cause its Subsidiaries to,
provide to the Administrative Agent all information, documents and other materials that it
is obligated to furnish to the Administrative Agent pursuant to the Loan Documents or to the
Lenders under Section 7.1.1, including all notices, requests, financial statements,
financial and other reports, certificates and other information materials, but excluding any
such communication that (i) is or relates to a Borrowing Request, a Continuation/Conversion
Notice or an Issuance Request, (ii) relates to the payment of any principal or other amount
due under this Agreement prior to the scheduled date therefor and (iii) provides notice of
any Default (all such non-excluded communications being referred to herein collectively as
“Communications”), by transmitting the Communications in an electronic/soft medium
that is properly identified in a format reasonably acceptable to the Administrative Agent to
an electronic mail address as directed by the Administrative Agent; provided for the
avoidance of doubt the items described in clauses (i) and (iii) above may be
delivered via facsimile transmissions. In addition, the Company agrees, and agrees to cause
its Subsidiaries, to continue to provide the Communications to the Administrative Agent or
the Lenders, as the case may be, in the manner specified in the Loan Documents but only to
the extent requested by the Administrative Agent.

     (b) The Company further agrees that the Administrative Agent may make the
Communications available to the Lenders by posting the Communications on Intralinks or a
substantially similar secure electronic transmission system (the “Platform”).

     (c) THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE”. THE INDEMNIFIED PARTIES DO
NOT WARRANT THE ACCURACY OR COMPLETENESS OF THE COMMUNICATIONS OR THE ADEQUACY OF THE
PLATFORM AND EXPRESSLY DISCLAIM LIABILITY FOR ERRORS OR OMISSIONS IN THE COMMUNICATIONS. NO
WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF
MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR
FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS IS MADE BY THE INDEMNIFIED PARTIES IN CONNECTION
WITH THE COMMUNICATIONS OR THE PLATFORM. IN NO

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EVENT SHALL ANY PARTY HERETO HAVE ANY
LIABILITY TO ANY OBLIGOR, ANY LENDER OR ANY OTHER PERSON FOR DAMAGES OF ANY KIND, WHETHER OR
NOT BASED ON STRICT LIABILITY AND INCLUDING DIRECT OR INDIRECT, SPECIAL, INCIDENTAL OR
CONSEQUENTIAL DAMAGES, LOSSES OR EXPENSES (WHETHER IN TORT, CONTRACT OR OTHERWISE) ARISING
OUT OF ANY OBLIGOR’S OR THE ADMINISTRATIVE AGENT’S TRANSMISSION OF COMMUNICATIONS THROUGH
THE INTERNET, EXCEPT TO THE EXTENT THE LIABILITY OF SUCH PERSON IS FOUND IN A FINAL RULING
BY A COURT OF COMPETENT JURISDICTION TO HAVE RESULTED PRIMARILY FROM SUCH INDEMNIFIED
PARTY’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT.

     (d) The Administrative Agent agrees that the receipt of the Communications by the
Administrative Agent at the e-mail address set forth on Schedule II shall constitute
effective delivery of the Communications to the Administrative Agent for purposes of the
Loan Documents. Each Lender agrees that receipt of notice to it (as provided in the next
sentence) specifying that the Communications have been posted to the Platform shall
constitute effective delivery of the Communications to such Lender for purposes of the Loan
Documents. Each Lender agrees to notify the Administrative Agent in writing (including by
electronic communication) from time to time of such Lender’s e-mail address to which the
foregoing notice may be sent by electronic transmission and that the foregoing notice may be
sent to such e-mail address.

     (e) Nothing herein shall prejudice the right of any Agent or any Lender to give any
notice or other communication pursuant to any Loan Document in any other manner specified in
such Loan Document.

ARTICLE X

MISCELLANEOUS PROVISIONS

     SECTION 10.1 Waivers, Amendments, etc. The provisions of each Loan Document (other
than the Fee Letter, which shall be modified only in accordance with their respective terms) may
from time to time be amended, modified or waived, if such amendment, modification or waiver is in
writing and consented to by the Borrower and the Required Lenders; provided that, no such
amendment, modification or waiver shall:

     (a) modify Section 4.7, Section 4.8 (as it relates to sharing of
payments) or this Section, in each case, without the consent of all Lenders;

     (b) increase the aggregate amount of any Loans required to be made by a Lender pursuant
to its Commitments, extend the Commitment Termination Date of Loans made (or participated
in) by a Lender or extend the final Stated Maturity Date for any Lender’s Loan, in each case
without the consent of such Lender (it being agreed, however, that any vote to rescind any
acceleration made pursuant to Section 8.2 and Section 8.3 of amounts owing
with respect to the Loans and other Obligations shall only require the vote of the Required
Lenders);

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     (c) reduce (by way of forgiveness), the principal amount of or reduce the rate of
interest on any Lender’s Loan, reduce any prepayment premium or fees described in
Article III payable to any Lender or extend the date on which interest or fees are
payable in respect of such Lender’s Loans, in each case without the consent of such Lender
(provided that, the vote of Required Lenders shall be sufficient to waive the
payment, or reduce the increased portion, of interest accruing under Section 3.2.2
and such waiver shall not constitute a reduction of the rate of interest hereunder);

     (d) reduce the percentage set forth in the definition of “Required Lenders” or modify
any requirement hereunder that any particular action be taken by all Lenders without the
consent of all Lenders;

     (e) except as otherwise expressly provided in a Loan Document, release (i) the Borrower
or the Company from their respective Obligations under the Loan Documents or any Subsidiary
Guarantor from its obligations under the Guaranty or (ii) all or substantially all of the
collateral under the Loan Documents, in each case without the consent of all Lenders; or

     (f) affect adversely the interests, rights or obligations of the Administrative Agent
(in its capacity as the Administrative Agent) or the Collateral Agent (in its capacity as
the Collateral Agent) unless consented to by such Agent.

No failure or delay on the part of any Secured Party in exercising any power or right under any
Loan Document shall operate as a waiver thereof, nor shall any single or partial exercise of any
such power or right preclude any other or further exercise thereof or the exercise of any other
power or right. No notice to or demand on any Obligor in any case shall entitle it to any notice
or demand in similar or other circumstances. No waiver or approval by any Secured Party under any
Loan Document shall, except as may be otherwise stated in such waiver or approval, be applicable to
subsequent transactions. No waiver or approval hereunder shall require any similar or dissimilar
waiver or approval thereafter to be granted hereunder.

Notwithstanding anything to the contrary contained in Section 10.1, if within sixty days
following the Closing Date, the Administrative Agent and the Company shall have jointly identified
an obvious error or any error or omission of a technical or immaterial nature, in each case, in any
provision of the Loan Documents, then the Administrative Agent and the Company shall be permitted
to amend such provision and such amendment shall become effective without any further action or
consent of any other party to any Loan Document if the same is not objected to in writing by the
Required Lenders within five Business Days following receipt of notice thereof.

     SECTION 10.2 Notices; Time. All notices and other communications provided under each
Loan Document shall be in writing or by facsimile (except to the extent provided below in this
Section 10.2 with respect to financial information) and addressed, delivered or
transmitted, if to the Borrower, the Company, an Agent or a Lender, to the applicable Person at its
address or facsimile number set forth on the signature pages hereto, Schedule II hereto or
set forth in the Lender Assignment Agreement, or at such other address or facsimile number as may
be designated by such party in a notice to the other parties. Any notice, if mailed and properly
addressed with postage prepaid or if properly

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addressed and sent by pre-paid courier service, shall
be deemed given when received; any notice, if transmitted by facsimile, shall be deemed given when
the confirmation of transmission thereof is received by the transmitter. Except as set forth in
Section 9.11 and below, electronic mail and Internet and intranet websites may be used only
to distribute routine communications by the Administrative Agent to the Lenders, such as financial
statements and other information as provided in Section 7.1.1 and for the distribution and
execution of Loan Documents for execution by the parties thereto, and may not be used for any other
purpose. Notwithstanding the foregoing, the parties hereto agree that delivery of an executed
counterpart of a signature page to this Agreement and each other Loan Document by facsimile (or
other electronic) transmission shall be effective as delivery of an original executed counterpart
of this Agreement or such other Loan Document. Unless otherwise indicated, all references to the
time of a day in a Loan Document shall refer to New York time.

     SECTION 10.3 Payment of Costs and Expenses. The Borrower agrees to pay within 20 days
of demand (to the extent invoiced together with reasonably detailed supporting documentation) all
reasonable out-of-pocket expenses of each Lead Arranger and each Agent (including the reasonable
fees and reasonable out-of-pocket expenses of Mayer, Brown, Rowe & Maw LLP, counsel to the Lead
Arrangers and Agents and of local counsel, if any, who may be retained by or on behalf of the Lead
Arrangers and Agents) in connection with

     (a) the negotiation, preparation, execution and delivery of each Loan Document,
including schedules and exhibits, and any amendments, waivers, consents, supplements or
other modifications to any Loan Document as may from time to time hereafter be required,
whether or not the transactions contemplated hereby are consummated; and

     (b) the filing or recording of any Loan Document (including any Filing Statements) and
all amendments, supplements, amendment and restatements and other modifications to any
thereof, searches made following the Closing Date in jurisdictions where Filing Statements
(or other documents evidencing Liens in favor of the Secured Parties) have been recorded and
any and all other documents or instruments of further assurance required to be filed or
recorded by the terms of any Loan Document; and

     (c) the preparation and review of the form of any document or instrument relevant to
any Loan Document.

The Borrower further agrees to pay, and to save each Secured Party harmless from all liability for,
any stamp or other taxes which may be payable in connection with the execution or delivery of each
Loan Document, the Loans or the issuance of the Notes. The Borrower also agrees to reimburse the
Agents and the Secured Parties upon demand for all reasonable out-of-pocket expenses (including
reasonable attorneys’ fees and legal out-of-pocket expenses of counsel to the Agents and the
Secured Parties) incurred by the Agents and the Secured Parties in connection with (A) the
negotiation of any restructuring or “work-out” with the Borrower, whether or not consummated, of
any Obligations and (B) the enforcement of any Obligations; provided that the Borrower
shall not be required to reimburse the legal fees and expenses of more than one outside counsel (in
addition to any local counsel) for all Persons indemnified under this Section 10.3 unless,
as reasonably determined by such Person seeking indemnification hereunder or its

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counsel, representation of all such indemnified persons by the same counsel would be inappropriate due to
actual or potential differing interests between them.

     SECTION 10.4 Indemnification. In consideration of the execution and delivery of this
Agreement by each Secured Party, the Borrower hereby indemnifies, exonerates and holds each Secured
Party, each Syndication Agent, each Documentation Agent and each of their respective officers,
directors, employees, agents, trustees, fund advisors and Affiliates (collectively, the
“Indemnified Parties”) free and harmless from and against any and all actions, causes of
action, suits, losses, costs, liabilities and damages, and expenses incurred in connection
therewith (irrespective of whether any such Indemnified Party is a party to the action for which
indemnification hereunder is sought), including reasonable attorneys’ fees and disbursements,
whether incurred in connection with actions between or among the parties hereto or the parties
hereto and third parties (collectively, the “Indemnified Liabilities”), incurred by
the Indemnified Parties or any of them as a result of, or arising out of, or relating to

     (a) any transaction financed or to be financed in whole or in part, directly or
indirectly, with the proceeds of any Loan, including all Indemnified Liabilities arising in
connection with the Transaction;

     (b) the entering into and performance of any Loan Document by any of the Indemnified
Parties (including any action brought by or on behalf of the Borrower or the Company as the
result of any determination by the Required Lenders pursuant to Article V not to
fund any Loan, provided that, any such action is resolved in favor of such
Indemnified Party);

     (c) any investigation, litigation or proceeding related to any acquisition or proposed
acquisition by any Obligor or any Subsidiary thereof of all or any portion of the Capital
Securities or assets of any Person, whether or not an Indemnified Party is party thereto;

     (d) any investigation, litigation or proceeding related to any environmental cleanup,
audit, compliance or other matter relating to the protection of the environment or the
Release by any Obligor or any Subsidiary thereof of any Hazardous Material;

     (e) the presence on or under, or the escape, seepage, leakage, spillage, discharge,
emission, discharging or releases from, any real property owned or operated by any Obligor
or any Subsidiary thereof of any Hazardous Material (including any losses, liabilities,
damages, injuries, costs, expenses or claims asserted or arising under any Environmental
Law), regardless of whether caused by, or within the control of, such Obligor or Subsidiary;
or

     (f) each Lender’s Environmental Liability (the indemnification herein shall survive
repayment of the Obligations and any transfer of the property of any Obligor or its
Subsidiaries by foreclosure or by a deed in lieu of foreclosure for any Lender’s
Environmental Liability, regardless of whether caused by, or within the control of, such
Obligor or such Subsidiary);

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except for (i) Indemnified Liabilities arising for the account of any Indemnified Party by reason
of any Indemnified Party’s gross negligence, bad faith or willful misconduct as finally determined
by a court of competent jurisdiction, (ii) Indemnified Liabilities arising out of any action, suit,
proceeding or claim against an Indemnified Party by any other Indemnified Party not involving the
Borrower or any of its Subsidiaries. The Borrower shall not be required to reimburse the legal
fees and expenses of more than one outside counsel for all Indemnified Parties with respect to any
matter for which indemnification is sought unless, as reasonably determined by any such Indemnified
Party or its counsel, representation of all such Indemnified Parties would create an actual
conflict of interest. Each Obligor and its successors and assigns hereby waive, release and agree
not to make any claim or bring any cost recovery action against, any Indemnified Party under CERCLA
or any state equivalent, or any similar law now existing or hereafter enacted. It is expressly
understood and agreed that to the extent that any
Indemnified Party is strictly liable under any Environmental Laws, each Obligor’s obligation to
such Indemnified Party under this indemnity shall likewise be without regard to fault on the part
of any Obligor with respect to the violation or condition which results in liability of an
Indemnified Party. If and to the extent that the foregoing undertaking may be unenforceable for
any reason, each Obligor agrees to make the maximum contribution to the payment and satisfaction of
each of the Indemnified Liabilities which is permissible under applicable law.

     SECTION 10.5 Survival. The obligations of the Company under Sections 4.3,
4.4, 4.5, 4.6, 10.3 and 10.4, and the obligations of the
Lenders under Section 9.1, shall in each case survive any assignment from one Lender to
another (in the case of Sections 10.3 and 10.4) and the occurrence of the
Termination Date. The representations and warranties made by each Obligor in each Loan Document
shall survive the execution and delivery of such Loan Document.

     SECTION 10.6 Severability. Any provision of any Loan Document which is prohibited or
unenforceable in any jurisdiction shall, as to such provision and such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the remaining provisions
of such Loan Document or affecting the validity or enforceability of such provision in any other
jurisdiction.

     SECTION 10.7 Headings. The various headings of each Loan Document are inserted for
convenience only and shall not affect the meaning or interpretation of such Loan Document or any
provisions thereof.

     SECTION 10.8 Execution in Counterparts, Effectiveness, etc. This Agreement may be
executed by the parties hereto in several counterparts, each of which shall be an original and all
of which shall constitute together but one and the same agreement. This Agreement shall become
effective when counterparts hereof executed on behalf of the Borrower, each Agent and each Lender
(or notice thereof satisfactory to the Administrative Agent), shall have been received by the
Administrative Agent.

     SECTION 10.9 Governing Law; Entire Agreement. EACH LOAN DOCUMENT WILL EACH BE DEEMED
TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING
FOR SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE

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OF NEW YORK). The Loan Documents constitute the entire understanding among the parties hereto with
respect to the subject matter thereof and supersede any prior agreements, written or oral, with
respect thereto.

     SECTION 10.10 Successors and Assigns. This Agreement shall be binding upon and shall
inure to the benefit of the parties hereto and their respective successors and assigns;
provided that, neither the Company nor the Borrower may assign or transfer its rights or
obligations hereunder without the consent of all Lenders.

     SECTION 10.11 Sale and Transfer of Loans; Participations in Loans; Notes. Each Lender
may assign, or sell participations in, its Loans, Letters of Credit and Commitments to one or more
other Persons in accordance with the terms set forth below.

     (a) Subject to clause (b), any Lender may assign to one or more Eligible Assignees all
or a portion of its rights and obligations under the Loan Documents (including all or a portion of
its Commitments and the Loans at the time owing to it); provided that:

     (i) except in the case of (A) an assignment of the entire remaining amount of the
assigning Lender’s Commitments and the Loans at the time owing to it or (B) an assignment to
a Lender, an Affiliate of a Lender or an Approved Fund with respect to a Lender, the
aggregate amount of the Commitments (which for this purpose includes Loans outstanding
thereunder) or principal outstanding balance of the Loans of the assigning Lender subject to
each such assignment (determined as of the date the Lender Assignment Agreement with respect
to such assignment is delivered to the Administrative Agent) shall not be less than
$1,000,000, unless the Administrative Agent and the Borrower, otherwise consent (which
consent shall not be unreasonably withheld or delayed);

     (ii) each partial assignment shall be made as an assignment of a proportionate part of
all the assigning Lender’s rights and obligations under this Agreement with respect to the
Loans and the Commitments assigned; and

     (iii) the parties to each assignment shall execute and deliver to the Administrative
Agent a Lender Assignment Agreement, together with, if the Eligible Assignee is not already
Lender, administrative details information with respect to such Eligible Assignee and
applicable tax forms.

     (b) Any assignment proposed pursuant to clause (a) to any Person (other than a Lender,
an Approved Fund or an Affiliate of any Lender) shall be subject to the prior written approval of
the Administrative Agent (not to be unreasonably withheld or delayed).

     (c) Subject to acceptance and recording thereof by the Administrative Agent pursuant to
clause (d), from and after the effective date specified in each Lender Assignment
Agreement, (i) the Eligible Assignee thereunder shall (if not already a Lender) be a party hereto
and, to the extent of the interest assigned by such Lender Assignment Agreement, have the rights
and obligations of a Lender under the Loan Documents, and (ii) the assigning Lender thereunder
shall (subject to Section 10.5) be released from its obligations under the Loan Documents,
to the extent of the interest assigned by such Lender Assignment Agreement (and, in the case of a

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Lender Assignment Agreement covering all of the assigning Lender’s rights and obligations under the
Loan Documents, such Lender shall cease to be a party hereto, but shall (as to matters arising
prior to the effectiveness of the Lender Assignment Agreement) continue to be entitled to the
benefits of any provisions of the Loan Documents which by their terms survive the termination of
this Agreement). Any assignment or transfer by a Lender of rights or obligations under this
Agreement that does not comply with the terms of this Section shall be treated for purposes of the
Loan Documents as a sale by such Lender of a participation in such rights and obligations in
accordance with clause (e).

     (d) The Administrative Agent shall record each assignment made in accordance with this Section
in the Register pursuant to clause (a) of Section 2.5. The Register shall be
available
for inspection by the Borrower and any Lender, at any reasonable time upon reasonable prior
notice to the Administrative Agent.

     (e) Any Lender may, without the consent of, or notice to, any Person, sell participations to
one or more Persons (other than individuals) (a “Participant”) in all or a portion of such
Lender’s rights or obligations under the Loan Documents (including all or a portion of its
Commitments or the Loans owing to it); provided that, (i) such Lender’s obligations under
the Loan Documents 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 Borrower,
the Administrative Agent and the other Lenders shall continue to deal solely and directly with such
Lender in connection with such Lender’s rights and obligations under the Loan Documents. Any
agreement or instrument pursuant to which a Lender sells a participation shall provide that such
Lender shall retain the sole right to enforce the rights and remedies of a Lender under the Loan
Documents and to approve any amendment, modification or waiver of any provision of the Loan
Documents; provided that, such agreement or instrument may provide that such Lender will
not, without the consent of the Participant, take any action of the type described in clauses
(a) through (d) or clause (f) of Section 10.1 with respect to
Obligations participated in by that Participant. Subject to clause (f), the Company and
the Borrower agree that each Participant shall be entitled to the benefits of Sections 4.3,
4.4, 4.5, 4.6, 7.1.1, 10.3 and 10.4 to the same
extent as if it were a Lender and had acquired its interest by assignment pursuant to clause
(c). To the extent permitted by law, each Participant also shall be entitled to the benefits
of Section 4.9 as though it were a Lender, but only if such Participant agrees to be
subject to Section 4.8 as though it were a Lender.

     (f) A Participant shall not be entitled to receive any greater payment under Section
4.3, 4.4, 4.5, 4.6, 10.3 or 10.4 than the applicable
Lender would have been entitled to receive with respect to the participation sold to such
Participant, unless the sale of the participation to such Participant is made with the Borrower’s
prior written consent. A Participant that would be a Non-U.S. Lender if it were a Lender shall not
be entitled to the benefits of Section 4.6 unless the Borrower is notified of the
participation sold to such Participant and such Participant agrees, for the benefit of the
Borrower, to comply with the requirements set forth in Section 4.6 as though it were a
Lender. Any Lender that sells a participating interest in any Loan, Commitment or other interest
to a Participant under this Section shall indemnify and hold harmless the Borrower and the
Administrative Agent from and against any taxes, penalties, interest or other costs or losses
(including reasonable attorneys’ fees and expenses) incurred or payable by the Borrower or the
Administrative Agent as a result of the

-86-

 

failure of the Borrower or the Administrative Agent to
comply with its obligations to deduct or withhold any Taxes from any payments made pursuant to this
Agreement to such Lender or the Administrative Agent, as the case may be, which Taxes would not
have been incurred or payable if such Participant had been a Non-U.S. Lender that was entitled to
deliver to the Borrower, the Administrative Agent or such Lender, and did in fact so deliver, a
duly completed and valid Form W-8BEN or W-8ECI (or applicable successor form) entitling such
Participant to receive payments under this Agreement without deduction or withholding of any United
States federal taxes.

     (g) Any Lender may, without the consent of any other Person, 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; 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.

     SECTION 10.12 Other Transactions. Nothing contained herein shall preclude any Agent
or any other Lender from engaging in any transaction, in addition to those contemplated by the Loan
Documents, with the Company, the Borrower or any of its Affiliates in which the Borrower or such
Affiliate is not restricted hereby from engaging with any other Person.

     SECTION 10.13 Forum Selection and Consent to Jurisdiction. ANY LITIGATION BASED
HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, ANY LOAN DOCUMENT, OR ANY COURSE OF
CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE AGENTS, THE
LENDERS, THE COMPANY OR THE BORROWER IN CONNECTION HEREWITH OR THEREWITH MAY BE BROUGHT AND
MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK OR IN THE UNITED STATES DISTRICT COURT FOR THE
SOUTHERN DISTRICT OF NEW YORK; PROVIDED THAT, ANY SUIT SEEKING ENFORCEMENT AGAINST ANY
COLLATERAL OR OTHER PROPERTY MAY BE BROUGHT, AT THE COLLATERAL AGENT’S OPTION, IN THE COURTS OF ANY
JURISDICTION WHERE SUCH COLLATERAL OR OTHER PROPERTY MAY BE FOUND. THE COMPANY AND THE BORROWER
IRREVOCABLY CONSENT TO THE SERVICE OF PROCESS BY REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL
SERVICE WITHIN OR WITHOUT THE STATE OF NEW YORK AT THE ADDRESS FOR NOTICES SPECIFIED IN SECTION
10.2. EACH PERSON PARTY HERETO HEREBY EXPRESSLY AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT
PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY HAVE OR HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF
ANY SUCH LITIGATION BROUGHT IN ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH
LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. TO THE EXTENT THAT ANY PERSON PARTY HERETO
HAS OR HEREAFTER MAY ACQUIRE 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 OR
OTHERWISE) WITH RESPECT TO ITSELF OR ITS PROPERTY, SUCH PERSON HEREBY IRREVOCABLY WAIVES TO THE
FULLEST EXTENT PERMITTED

-87-

 

BY LAW SUCH IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER THE LOAN
DOCUMENTS.

     SECTION 10.14 Waiver of Jury Trial. EACH AGENT, EACH LENDER, THE COMPANY AND THE
BORROWER HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE TO THE FULLEST EXTENT PERMITTED BY
LAW ANY RIGHTS THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, OR
ARISING OUT OF, UNDER, OR IN CONNECTION WITH, EACH LOAN DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE
OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF SUCH AGENT, SUCH LENDER, THE COMPANY
OR THE BORROWER IN CONNECTION THEREWITH. THE COMPANY, THE BORROWER ACKNOWLEDGES AND AGREES THAT IT
HAS
RECEIVED FULL AND SUFFICIENT CONSIDERATION FOR THIS PROVISION (AND EACH OTHER PROVISION OF
EACH OTHER LOAN DOCUMENT TO WHICH IT IS A PARTY) AND THAT THIS PROVISION IS A MATERIAL INDUCEMENT
FOR EACH AGENT AND EACH LENDER ENTERING INTO THE LOAN DOCUMENTS.

     SECTION 10.15 Patriot Act. Each Lender that is subject to Section 326 of the Patriot
Act and/or the Agents and/or the Lead Arrangers (each of the foregoing acting for themselves and
not acting on behalf of any of the Lenders) hereby notify the Borrower that pursuant to the
requirements of the Patriot Act, it is required to obtain, verify and record information that
identifies the Borrower, which information includes the name and address of the Borrower and other
information that will allow such Lender, the Agents or the Lead Arrangers, as the case may be, to
identify the Borrower in accordance with the Patriot Act.

     SECTION 10.16 Counsel Representation. EACH PARTY HERETO ACKNOWLEDGES AND AGREES THAT
IT HAS BEEN REPRESENTED BY COMPETENT COUNSEL IN THE NEGOTIATION OF THIS AGREEMENT, AND THAT ANY
RULE OR CONSTRUCTION OF LAW ENABLING SUCH PERSON TO ASSERT THAT ANY AMBIGUITIES OR INCONSISTENCIES
IN THE DRAFTING OR PREPARATION OF THE TERMS OF THIS AGREEMENT SHOULD DIMINISH ANY RIGHTS OR
REMEDIES OF ANY OTHER PERSON ARE HEREBY WAIVED.

     SECTION 10.17 Confidentiality. Each Secured Party agrees to maintain the
confidentiality of the Information (as defined below), except that Information may be disclosed (a)
to its Affiliates and to its and its Affiliates’ respective partners, directors, officers,
employees, agents, advisors and representatives (it being understood that the Persons to whom such
disclosure is made will be informed of the confidential nature of such Information and instructed
to keep such Information confidential), (b) to the extent requested by any regulatory authority
purporting to have jurisdiction over it (including any self-regulatory authority, such as the
National Association of Insurance Commissioners), (c) to the extent required by applicable laws or
regulations or by any subpoena or similar legal process (provided that except to the extent
prohibited by such subpoena or similar legal process, such Secured Party shall notify the Company
and the Borrower of such request or disclosure), (d) to any other party hereto, (e) to the extent
reasonably necessary, in connection with the exercise of any remedies hereunder or under any other
Loan Document or any action or proceeding relating to this Agreement or any other Loan Document or
the enforcement of rights hereunder or thereunder, (f) subject to an

-88-

 

agreement containing provisions substantially the same as those of this Section, to (i) any assignee of or Participant
in, or any prospective assignee of or Participant in, any of its rights or obligations under this
Agreement or (ii) any actual or prospective counterparty (or its advisors) to any swap or
derivative transaction relating to the Borrower and its obligations, (g) with the written consent
of the Borrower or (h) to the extent such Information (i) becomes publicly available other than as
a result of a breach of this Section (or any other confidentiality obligation owed to the Company
or any Subsidiary or their Affiliates) or (ii) becomes available to any Secured Party or any of
their respective Affiliates on a nonconfidential basis from a source other than the Company or any
Subsidiary and not in violation of any confidentiality obligation owed to the Company or any
Subsidiary by any Secured Party or any Affiliate thereof. For purposes of this Section,
“Information” means all information received from the Company or any Subsidiary relating to
the Company or any Subsidiary or any of their respective businesses, other than any
such information that is available to any Secured Party on a nonconfidential basis prior to
disclosure by the Company or any Subsidiary. Any Person required to maintain the confidentiality
of Information as provided in this Section shall be considered to have complied with its obligation
to do so if such Person has exercised the same degree of care to maintain the confidentiality of
such Information as such Person would accord to its own confidential information and in accordance
with applicable law.

     SECTION 10.18 Intercreditor Agreement. (a) Each Lender hereby irrevocably appoints,
designates and authorizes the Administrative Agent and the Collateral Agent to enter into the
Intercreditor Agreement on its behalf and to take such action on its behalf under the provisions
thereof. Each Lender further agrees to be bound by the terms and conditions of the Intercreditor
Agreement and agrees that it shall not take any action that is prohibited by or inconsistent with
the terms of the Intercreditor Agreement. Each Lender hereby agrees that the terms, conditions and
provisions contained in this Agreement are subject to the Intercreditor Agreement. The Liens and
security interests securing the Indebtedness and other obligations incurred or arising under or
evidenced by this instrument and the rights and obligations evidenced hereby with respect to such
liens are subordinate, in the manner and to the extent set forth in Intercreditor Agreement, to the
Liens and security interests securing the First Lien Obligations and to the Liens and security
interests securing Indebtedness refinancing the First Lien Obligations as permitted by the
Intercreditor Agreement; and each holder of the Obligations, by its acceptance hereof, irrevocably
agrees to be bound by the terms, conditions and provisions of the Intercreditor Agreement.

     (b) The delivery of any Collateral (as defined in any Loan Document) or any certificates,
titles, Instruments, Chattel Paper or Documents evidencing or in connection with such Collateral to
the First Lien Collateral Agent under and in accordance with the First Lien Loan Documents, the
granting of “control” over Collateral, the execution and delivery of control agreements and/or the
assignment of any Collateral (as defined in any Loan Document) to the First Lien Collateral Agent
under and in accordance with the First Lien Loan Documents shall constitute compliance by the
Obligors with the provisions of this Agreement or any other Loan Document which require delivery,
possession, control and/or assignment of certain types of Collateral (as defined in any Loan
Document) by the Collateral Agent or delivery of control agreements to the Collateral Agent so long
as such First Lien Loan Documents are in full force and effect, the First Lien Termination Date has
not occurred, and the Obligors are in compliance with the applicable provisions thereof with
respect to such Collateral. From and after the First

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Lien Termination Date, where this Agreement refers to any provision of the First Lien Credit Agreement or any action or delivery required by
such provision, such reference shall be deemed to be a reference to such provision as in effect
immediately prior to the First Lien Termination Date except that such action or delivery shall be
made to or for the benefit of the Collateral Agent rather than the Collateral Agent and the First
Lien Collateral Agent collectively. Capitalized terms used in this clause (b) not
otherwise defined in this Agreement shall have the meanings provided in the UCC.

-90-

 

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their
respective officers thereunto duly authorized as of the day and year first above written.

	 	 	 	 	 	 	 
	 	 	HBI BRANDED APPAREL LIMITED, INC.

     as the Borrower	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	     /s/ Richard Moss	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: Richard Moss	 	 
	 

	 	 	 	Title: Treasurer	 	 
	 
	 	 	 	 	 	 
	 	 	Address: 1000 East Hanes Mill Road	 	 
	 

	 	 	 	       Winston Salem, NC 27105	 	 
	 	 	Facsimile No.: (336) 519-5212	 	 
	 
	 	 	 	 	 	 
	 	 	Attention: Treasurer	 	 
	 
	 	 	 	 	 	 
	 	 	HANESBRANDS INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	     /s/ Richard Moss	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: Richard Moss

Title: Treasurer	 	 
	 
	 	 	 	 	 	 
	 	 	Address:	 	 
	 
	 	 	 	 	 	 
	 	 	Facsimile No.: (336) 519-5212	 	 
	 
	 	 	 	 	 	 
	 	 	Attention: Treasurer	 	 

-91-

 

	 	 	 	 	 	 	 
	 	 	CITICORP USA, INC.,

     Individually and as the Administrative Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	     /s/ John Coons	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: John Coons

Title:	 	 
	 
	 	 	 	 	 	 
	 	 	Address: 233 S. Wacker Drive	 	 
	 

	 	 	 	       86th Floor	 	 
	 

	 	 	 	       Chicago, IL 60606	 	 
	 
	 	 	 	 	 	 
	 	 	Facsimile No.: (312) 281-9078	 	 
	 
	 	 	 	 	 	 
	 	 	Attention:	 	 
	 
	 	 	 	 	 	 
	 	 	CITIBANK, N.A.,

      as Collateral Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	      /s/ Patricia Gallagher	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: Patricia Gallagher

Title: Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	Address: 388 Greenwich St. 14th Floor	 	 
	 

	 	 	 	New York, NY 10013	 	 
	 
	 	 	 	 	 	 
	 	 	Facsimile No.: (212) 816-5530	 	 
	 
	 	 	 	 	 	 
	 	 	Attention: Patricia Gallagher	 	 
	 
	 	 	 	 	 	 
	 	 	MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED,

      as Co-Syndication Agent and Joint Lead Arranger	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	     /s/ Nancy Meadows	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: Nancy Meadows	 	 
	 

	 	 	 	Title: Vice President	 	 

-92-

 

	 	 	 	 	 	 	 
	 	 	MERRILL LYNCH CAPITAL CORPORATION,

      as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	     /s/ Nancy Meadows	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: Nancy Meadows	 	 
	 

	 	 	 	Title: Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	MORGAN STANLEY SENIOR FUNDING, INC.,

     Individually and as Co-Syndication Agent
and 
           Joint Lead Arranger	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	     /s/
Jaap L. Tonckens	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: Jaap L. Tonckens	 	 
	 

	 	 	 	Title: Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	HSBC BANK USA, NATIONAL ASSOCIATION,

     as Co-Documentation Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	     	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	LASALLE BANK NATIONAL ASSOCIATION,

      as Co-Documentation Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	BARCLAYS BANK PLC,

     as Co-Documentation Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

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DISCLOSURE SCHEDULES

TO

SECOND LIEN CREDIT AGREEMENT

dated as of September 5, 2006,

among

HBI BRANDED APPAREL LIMITED, INC.,

as the Borrower,

HANESBRANDS INC.,

as the Company,

VARIOUS FINANCIAL INSTITUTIONS AND

OTHER PERSONS FROM TIME TO TIME

PARTY HERETO,

as the Lenders,

HSBC BANK USA, NATIONAL ASSOCIATION,

LASALLE BANK NATIONAL ASSOCIATION, and

BARCLAYS BANK PLC,

as the Co-Documentation Agents,

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Co-Syndication Agents,

CITICORP USA, INC.,

as the Administrative Agent,

and

CITIBANK, N.A., as the Collateral Agent.

 

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

and

MORGAN STANLEY SENIOR FUNDING, INC.,

as the Joint Lead Arrangers and Joint Bookrunners

 

	 	 	 
	SCHEDULE I
	 	 
	 
	 	 
	ITEM 1.1.

	 	Foreign Supply Chain Entities
	ITEM 1.2.

	 	Excluded Contracts
	ITEM 6.8.

	 	Existing Subsidiaries
	ITEM 6.9.

	 	Mortgaged Property
	ITEM 7.2.2(c)

	 	Ongoing Indebtedness
	ITEM 7.2.3(c)

	 	Ongoing Liens
	ITEM 7.2.5(a)

	 	Ongoing Investments
	ITEM 7.2.11(m)

	 	Permitted Dispositions
	 
	 	 
	SCHEDULE II

	 	Percentages, Libor Office, Domestic Office
	 
	 	 

 

 

ITEM 1.1. Foreign Supply Chain Entities

None.

 

 

ITEM 1.2. Excluded Contracts

	 	 	 	 	 
	Vendor	 	Nature of Agreement
	1.

	 	[*****]
	 	Trademark License Agmt. [*****]
	2.

	 	[*****]
	 	Trademark License Agmt. [*****]
	3.

	 	[*****]
	 	Trademark License Agmt. [*****]
	4.

	 	[*****]
	 	Trademark License Agmt. [*****]
	5.

	 	[*****]
	 	Trademark License Agmt. [*****]
	6.

	 	[*****]
	 	Trademark License Agmt. [*****]
	7.

	 	[*****]
	 	Trademark License Agmt. [*****]
	8.

	 	[*****]
	 	License Agmt.
	9.

	 	[*****]
	 	Trademark License Agmt. [*****]
	10.

	 	[*****]
	 	License Agmt. [*****]
	11.

	 	[*****]
	 	Trademark License Agreement [*****]
	12.

	 	[*****]	 	 
	13.

	 	[*****]
	 	IT Agreement – software license and maintenance
	14.

	 	[*****]
	 	IT Agreement – software license and maintenance
	15.

	 	[*****]
	 	IT Agreement – supply chain software license and maintenance
	16.

	 	[*****]
	 	Compensation/Benefits Agreement
	17.

	 	[*****]
	 	Real Property Lease [*****]
	18.

	 	[*****]
	 	Supplier Services [*****]
	19.

	 	[*****]
	 	Supplier Goods-materials
	20.

	 	[*****]
	 	Real Property Lease [*****]
	21.

	 	[*****]
	 	Real Property Lease [*****]
	22.

	 	[*****]
	 	Real Property Lease [*****]
	23.

	 	[*****]
	 	Real Property Lease [*****]
	24.

	 	[*****]
	 	Real Property Lease [*****]
	25.

	 	[*****]
	 	Real Property Lease [*****]
	26.

	 	[*****]
	 	Real Property Lease [*****]
	27.

	 	[*****]
	 	Real Property Lease
	28.

	 	[*****]
	 	Real Property Lease
	29.

	 	[*****]
	 	Real Property Lease [*****]

 

 

ITEM 6.8. Existing Subsidiaries

	 
	Domestic Subsidiaries
	BA International, L.L.C.

	Caribesock, Inc.

	Caribetex, Inc.

	CASA International, LLC

	Ceibena Del, Inc.

	Hanes Menswear, LLC

	Hanes Puerto Rico, Inc.

	Hanesbrands Direct, LLC

	Hanesbrands Distribution, Inc.

	HbI International, LLC

	HBI Branded Apparel Enterprises, LLC

	HBI Branded Apparel Limited, Inc.

	HBI Sourcing, LLC

	Inner Self LLC

	Jasper-Costa Rica, L.L.C.

	National Textiles, L.L.C.

	NT Investment Company, Inc.

	Playtex Dorado, LLC

	Playtex Industries, Inc.

	Seamless Textiles, LLC

	UPCR, Inc.

	UPEL, Inc.

	 
	Foreign Subsidiaries
	Allende Internacional S. de R.L. de C.V.

	Bali Domincana, Inc.

	Bali Dominicana Textiles, S.A.

	Bal-Mex S. de R.L de C.V.

	Canadelle Holdings Corporation Ltd.

	Canadelle LP

	Cartex Manufacturera S. A.

	Caysock, Inc.

	Caytex, Inc.

	Caywear, Inc.

	Ceiba Industrial, S. de R.L.

	Champion Products S. de R.L. de C.V.

	Choloma, Inc.

	Confecciones Atlantida S. de R.L.

	Confecciones de Nueva Rosita S. de R.L. de C.V.

	Confecciones El Pedregal Inc.

	Confecciones El Pedregal S.A. de C.V.

	Confecciones Jiboa S.A. de C.V.

	Confecciones La Caleta, Inc.

	Confecciones La Herradura S.A. de C.V.

	Confecciones La Libertad, S.A. de C.V.

	DFK International Ltd.

	Dos Rios Enterprises, Inc.

	Hanes Caribe, Inc.

	Hanes Choloma, S. de R. L.

	Hanes Colombia, S.A.

 

 

	 
	Foreign Subsidiaries
	Hanes de Centro America S.A.

	Hanes de El Salvador, S.A. de C.V.

	Hanes de Honduras S. de R.L. de C.V.

	Hanes Dominican, Inc.

	Hanes Panama Ltd.

	Hanes Brands Incorporated de Costa Rica, S.A.

	Hanesbrands Argentina S.A.

	Hanesbrands Brasil Textil Ltda.

	Hanesbrands Dominicana, Inc.

	Hanesbrands (HK) Limited

	HBI Alpha Holdings, Inc.

	HBI Beta Holdings, Inc.

	HBI Compania de Servicios, S.A. de C.V.

	HBI Servicios Administrativos de Costa Rica, S.A.

	HBI Socks de Honduras, S. de R.L. de C.V.

	Indumentaria Andina S.A.

	Industria Textileras del Este, S. de R.L.

	Industrias Internacionales de San Pedro S. de R.L. de C.V.

	J.E. Morgan de Honduras, S.A.

	Jasper Honduras, S.A.

	Jogbra Honduras, S.A.

	Madero Internacional S. de R.L. de C.V.

	Manufacturera Ceibena S. de R.L.

	Manufacturera Comalapa S.A. de C.V.

	Manufacturera de Cartago, S.R.L.

	Manufacturera San Pedro Sula, S. de R.L.

	Monclova Internacional S. de R.L. de C.V.

	PT SL Sourcing Indonesia (to be named PT HBI Sourcing Indonesia)

	PTX (D.R.), Inc.

	Rinplay S. de R.L. de C.V.

	Santiago Internacional Textil Limitada (in liquidation)

	Sara Lee of Canada NSULC (to be renamed Hanesbrands Canada NSULC)

	Sara Lee Intimates, S. de R.L. (to be renamed Confecciones del Valle, S. de R.L. de C.V.)

	Sara Lee Japan Ltd. (to be renamed Hanesbrands Japan Inc.)

	Sara Lee Knit Products Mexico S.A. de C.V. (to be renamed Inmobilaria Rinplay S. de R.L. de C.V.)

	Sara Lee Moda Femenina, S.A. de C.V. (to be renamed Servicios Rinplay, S. de R.L de C.V.)

	Sara Lee Printables GmbH (to be renamed HBI Europe GmbH)

	Servicios de Soporte Intimate Apparel, S de RL

	Socks Dominicana S.A.

	Texlee El Salvador, S.A. de C.V.

	The Harwood Honduras Companies, S. de R.L.

	TOS Dominicana, Inc.

	HBI Sourcing Asia Limited*

	Sara Lee Apparel International (Shanghai) Co. Ltd. (to be renamed Hanesbrands International
(Shanghai) Co. Ltd.)*

	Sara Lee Apparel India Private Limited (to be renamed Hanesbrands India Private Limited)*

	SL Sourcing India Private Ltd. (to be renamed HBI Sourcing India Private Ltd.)*

	Hanesbrands (Thailand) Ltd.*

	Hanesbrands Philippines Inc.*

 

* These companies are Foreign Subsidiaries subject to the completion of the post closing
obligations set forth in Section 7.1.11 of the Credit Agreement.

 

 

ITEM 6.9. Mortgaged Property

	 	 	 	 	 
	 	 	 	 	Estimated
	Facility Name	 	Address	 	Value
	Clarksville

	 	Cline & Clark Rd

Clarksville, AR
	 	$2.4 million
	 
	 	 	 	 
	Weeks

	 	401 Hanes Mill Rd

W-S, NC
	 	$15.1 million
	 
	 	 	 	 
	Stratford Rd.

	 	700 South Stratford Road

W-S, NC
	 	$5.7 million
	 
	 	 	 	 
	Commerce (Cleveland)

	 	219 Commerce Blvd

Kings Mountain, NC
	 	$11.0 million
	 
	 	 	 	 
	Eden

	 	Gant Road

Eden, North Carolina
	 	$3.0 million
	 
	 	 	 	 
	Oak Summit

	 	1000 Hanes Mill Road

W-S, NC
	 	$70.2 million
	 
	 	 	 	 
	Canterbury

	 	705 Canterbury Rd

Gastonia, NC
	 	$2.1 million
	 
	 	 	 	 
	Annapolis

	 	2655 Annapolis

W-S, NC
	 	$7.9 million
	 
	 	 	 	 
	Kernersville

	 	700 North Main Street

Kernersville, NC
	 	$3.9 million
	 
	 	 	 	 
	Laurel Hill

	 	18400 Fieldcrest Road

Laurel Hill, NC
	 	$4.6 million
	 
	 	 	 	 
	Sanford

	 	2652 Dalrymple Street

Sanford, NC
	 	$2.4 million
	 
	 	 	 	 
	Advance

	 	2016 Cornatzer Road

Advance NC
	 	$2.1 million
	 
	 	 	 	 
	Crawford

	 	328 Crawford Rd

Statesville, NC
	 	$2.6 million
	 
	 	 	 	 
	480 Office

	 	480, W. Hanes Mill Road
Winston-Salem, NC
	 	$3.3 million
	 
	 	 	 	 
	Tamaqua Hometown DC

	 	143 Mahonoy Ave

Tamaqua, PA
	 	$3.8 million
	 
	 	 	 	 
	Martinsville VSC

	 	380 Beaver Creek Road

Martinsville, VA
	 	$3.7 million
	 
	 	 	 	 
	Northridge

	 	521 Northridge Park Dr. 

Rural Hall, NC
	 	$14.8 million

 

 

ITEM 7.2.2(c) Ongoing Indebtedness

HANESBRANDS INC. — CAPITAL LEASE LISTING

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	FY06	 	 
	Lease #	 	 	 	Interest	 	Principal	 	Total
	BALI95

	 	Xerox
	 	 	182.68	 	 	 	5,985.32	 	 	 	6,168.00	 
	BALI138

	 	Pitney Bowes
	 	 	175.11	 	 	 	2,176.89	 	 	 	2,352.00	 
	BALI139

	 	Pitney Bowes
	 	 	175.32	 	 	 	2,176.67	 	 	 	2,351.99	 
	BALI140

	 	Pitney Bowes
	 	 	 	 	 	 	 	 	 	 	4,680.00	 
	BALI147

	 	Carolina Tractor
	 	 	2,599.99	 	 	 	4,263.05	 	 	 	6,863.04	 
	BALI148

	 	Carolina Tractor
	 	 	2,625.05	 	 	 	4,305.67	 	 	 	6,930.72	 
	BALI150

	 	Carolina Tractor
	 	 	2,294.59	 	 	 	4,169.45	 	 	 	6,464.04	 
	BALI151

	 	Carolina Tractor
	 	 	125.38	 	 	 	3,894.62	 	 	 	4,020.00	 
	BALI152

	 	Konica
	 	 	4.71	 	 	 	515.29	 	 	 	520.00	 
	BALI153

	 	Bassett Office Supply
	 	 	648.80	 	 	 	4,262.33	 	 	 	4,911.13	 
	BALI157

	 	Konica
	 	 	11.37	 	 	 	1,296.63	 	 	 	1,308.00	 
	BALI160

	 	De Lage Landem Financial Services
	 	 	625.71	 	 	 	3,907.65	 	 	 	4,533.36	 
	PLAY115

	 	Citi Capital
	 	 	1,922.30	 	 	 	9,177.70	 	 	 	11,100.00	 
	US97

	 	Citi Capital
	 	 	478.71	 	 	 	8,993.65	 	 	 	9,472.36	 
	727

	 	Pitney Bowes
	 	 	11.98	 	 	 	180.52	 	 	 	192.50	 
	729

	 	Xerox
	 	 	419.87	 	 	 	6,856.19	 	 	 	7,276.06	 
	738

	 	Gill Security Systems
	 	 	0.00	 	 	 	0.00	 	 	 	3,000.00	 
	739

	 	Gill Security Systems
	 	 	0.00	 	 	 	0.00	 	 	 	2,160.00	 
	2 trailers

	 	Salem Leasing
	 	 	171.50	 	 	 	3,428.50	 	 	 	3,600.00	 
	OB40

	 	Outerbanks land and building
	 	 	30,244.38	 	 	 	183,702.54	 	 	 	213,946.92	 
	13639 tr

	 	Salem Leasing
	 	 	17,235.75	 	 	 	344,564.25	 	 	 	361,800.00	 
	4400 tr

	 	Salem Leasing
	 	 	11,703.39	 	 	 	3,686.61	 	 	 	15,390.00	 
	4750 tr

	 	Salem Leasing
	 	 	2,950.22	 	 	 	1,389.78	 	 	 	4,340.00	 
	7399 tr

	 	Salem Leasing
	 	 	1,939.46	 	 	 	2,380.54	 	 	 	4,320.00	 
	9904 tr

	 	Salem Leasing
	 	 	9,658.89	 	 	 	29,221.11	 	 	 	38,880.00	 
	11887 tr

	 	Salem Leasing
	 	 	886.36	 	 	 	7,753.64	 	 	 	8,640.00	 
	6

	 	Simplex Grinnell
	 	 	174.31	 	 	 	4,853.69	 	 	 	5,028.00	 
	7

	 	Telimagine, Inc.
	 	 	2,552.32	 	 	 	17,355.68	 	 	 	19,908.00	 
	7420 tr

	 	Salem Leasing
	 	 	29,330.28	 	 	 	121,869.72	 	 	 	151,200.00	 
	15201 tr

	 	Salem Leasing
	 	 	202.78	 	 	 	7,097.22	 	 	 	7,300.00	 
	82638 tr

	 	Salem Leasing
	 	 	5,882.15	 	 	 	13,041.85	 	 	 	18,924.00	 
	13639 tr

	 	Salem Leasing
	 	 	14,320.25	 	 	 	286,279.75	 	 	 	300,600.00	 
	13639 tr

	 	Salem Leasing
	 	 	1,886.50	 	 	 	37,713.50	 	 	 	39,600.00	 
	3121

	 	Highwoods Realty Ltd Partnership
	 	 	77,175.96	 	 	 	319,286.05	 	 	 	396,462.00	 

 

 

HANESBRANDS INC. — CAPITAL LEASE LISTING

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	FY06	 	 
	Lease #	 	 	 	Interest	 	Principal	 	Total
	3129

	 	Zona Franca De Exportacion el Pedregal
	 	 	13,442.26	 	 	 	200,973.74	 	 	 	214,416.00	 
	13639 tr

	 	Salem Leasing
	 	 	16,635.50	 	 	 	332,564.50	 	 	 	349,200.00	 
	86728 tr

	 	Salem Leasing
	 	 	5,749.89	 	 	 	16,762.11	 	 	 	22,512.00	 
	1

	 	Xerox
	 	 	267.00	 	 	 	681.00	 	 	 	948.00	 
	2

	 	Xerox
	 	 	351.79	 	 	 	596.21	 	 	 	948.00	 
	3

	 	Xerox
	 	 	142.82	 	 	 	1,045.18	 	 	 	1,188.00	 
	4

	 	Xerox
	 	 	226.26	 	 	 	3,061.74	 	 	 	3,288.00	 
	5

	 	Xerox
	 	 	2,316.96	 	 	 	29,651.04	 	 	 	31,968.00	 
	6

	 	Xerox
	 	 	93.04	 	 	 	1,682.96	 	 	 	1,776.00	 
	7

	 	Xerox
	 	 	937.40	 	 	 	17,062.60	 	 	 	18,000.00	 
	8

	 	Xerox
	 	 	1,059.04	 	 	 	5,324.96	 	 	 	6,384.00	 
	9

	 	Xerox
	 	 	180.87	 	 	 	2,447.13	 	 	 	2,628.00	 
	10

	 	Xerox
	 	 	2,824.29	 	 	 	38,215.71	 	 	 	41,040.00	 
	11

	 	Xerox
	 	 	215.38	 	 	 	4,123.34	 	 	 	4,338.72	 
	12

	 	Xerox
	 	 	1,498.80	 	 	 	28,693.80	 	 	 	30,192.60	 
	13

	 	Xerox
	 	 	692.60	 	 	 	13,259.32	 	 	 	13,951.92	 
	14

	 	Xerox
	 	 	1,356.00	 	 	 	19,158.00	 	 	 	20,514.00	 
	15

	 	Xerox
	 	 	3,390.00	 	 	 	64,990.00	 	 	 	68,380.00	 
	16

	 	Xerox
	 	 	1,244.16	 	 	 	19,270.08	 	 	 	20,514.24	 
	17

	 	Xerox
	 	 	335.50	 	 	 	6,422.66	 	 	 	6,758.16	 
	18

	 	Xerox
	 	 	4,478.32	 	 	 	6,237.68	 	 	 	10,716.00	 
	19

	 	Xerox
	 	 	3,256.65	 	 	 	8,035.35	 	 	 	11,292.00	 
	20

	 	Xerox
	 	 	580.00	 	 	 	8,576.00	 	 	 	9,156.00	 
	21

	 	Xerox
	 	 	530.00	 	 	 	8,626.00	 	 	 	9,156.00	 
	22

	 	Xerox
	 	 	920.56	 	 	 	8,815.72	 	 	 	9,736.28	 
	23

	 	Xerox
	 	 	1,261.96	 	 	 	24,159.08	 	 	 	25,421.04	 
	IBM

	 	IBM
	 	 	156,321.59	 	 	 	369,278.41	 	 	 	525,600.00	 
	PHH Leases

	 	PHH — automobiles from SLC
	 	 	104,574.00	 	 	 	1,207,923.00	 	 	 	1,312,497.00	 
	TOTAL

	 	 	 	 	 	 	 	 	 	 	 	 	4,446,762.08	 

 

 

ITEM 7.2.3(c) Ongoing Liens

1. Lien on the shares of SN Fibers (an Israeli company owned by HBI International, LLC) pursuant
to the SN Fibers Memorandum of Articles.

2. Mortgages as listed below1

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	 	 	 	 	 	 	 	 	Douglas B. Mills,
	4185 W. 5th Street
Lumberton 

North Carolina

                   Robeson

                     County

	 	Robeson County
Committee of 100,
Inc., a NC
non-profit
corporation
	 	Sara Lee

Corporation, a

Maryland

corporation

(formerly SL Outer

Banks, LLC)
	 	North Carolina Deed of Trust recorded
in Book 623, Page 37 dated 3/26/87
executed by Robeson County Committee of
100, Inc.

Loan Amount — $115,170.00
	 	Nicky D. Carter,
(Successor Trustee)
and John C. Hasty,
Trustees of the
Cape Fear
Construction
Company, Inc.
	 
	 	 	 	 	 	 	 	 
	933 Meacham Road 

Statesville 

North Carolina

                   Iredell 

                 County

	 	Flexnit Company,
Inc., a Delaware
Corporation
	 	Bali Company, a

Delaware

corporation

(Dissolved)
	 	Deed of Trust dated 12/27/1974 recorded
in Book 447, Page 200 (missing pages
3-7).

and

Deed of Trust and Security Agreement
dated 12/26/ 1979 recorded in Book 509,
Page 436 (missing pages 438 and
440-451)

Loan Amount — originally secured
$1,7000,000 and then modified to secure
up to $4,000,000
	 	Irving Trust

Company, a New York

Corporation
	 
	 	 	 	 	 	 	 	 
	645 West Pine Street 

Mount Airy 

North Carolina

                   Surry 

                 County

	 	The Surry County
Industrial
Facilities and
Pollution Control
Financing Authority
	 	The Surry County
Industrial
Facilities and
Pollution Control
Financing Authority
	 	Deed of Trust dated 4/1/1979 and
recorded in Book 348, Page 606

Loan Amount secured — $4,000,000
	 	Prudential

Reinsurance

Company, a Delaware

corporation

 

			
	1	 	Please note that for all mortgages listed,
there is no outstanding indebtedness in connection with the mortgage, however a
mortgage release has not been recorded. These releases are a post-closing
item.

 

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	143 Mahanoy Avenue 

Tamaqua 

Pennsylvania

                   Schuylkill 

                       County

	 	Schuylkill County

Industrial

Development

Authority
	 	Greater Tamaqua
Industrial
Development
Enterprises
(originally leased
to J.E. Morgan
Knitting Mills,
Inc.)
	 	Supplemental Mortgage recorded in

Mortgage Book 34-P, Page 782, dated

10/24/1984

Loan Amount secured originally $650,000
	 	American Bank and
Trust Co. of PA.
	 
	 	 	 	 	 	 	 	 
	480 Hanes Mill Road
Winston-Salem, NC 27105
(336) 714-8400

Forsyth County

	 	National Textiles,

LLC
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	1. Deed of Trust, Security
Agreement, Financing Statement and
Assignment of Rents and Leases from
National Textiles, L.L.C., a Delaware
limited liability company, to The
Fidelity Company, Trustee for The First
National Bank of Chicago, dated as of
December 22, 1997 and recorded December
23, 1997 in Book 1978, Page 3969,
Forsyth County Registry, securing an
original amount of 210,000,000.00.
(Also covers additional property)

2. Deed of Trust Modification
and Reaffirmation Agreement by and
between National Textiles, L.L.C., a
Delaware limited liability company, and
Bank One, NA f/k/a The First National
Bank of Chicago, dated as of December
22, 2000 and recorded January 16, 2001
in Book 2150, Page 2439, Forsyth County
Registry, regarding the Deed of Trust
recorded in Book 1978, Page 3969,
Forsyth County Registry.

Loan Amount $210,000,000 but linked to
$300,000,000

Loan matures 6/22/2007
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

 

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	308 East Thom Street 

China Grove, NC 2802

Rowan County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a
Delaware limited
liability company
	 	Deed of trust, security Agreement,
Financing Statement and Assignment of
Rents and Leases recorded in Book 879,
Page 692, dated 4/28/2000 as modified
by that Deed of Trust Modification and
reaffirmation recorded in Book 898,
Page 124, dated 12/22/2000

Loan Amount secured— up tp $300,000,000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

 

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	6295 Clementine Dr. #4
Clemmons, NC 27012

                   Forsyth 

                   County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	1. Deed of Trust, Security
Agreement, Financing Statement and
Assignment of Rents and Leases from
National Textiles, L.L.C., a Delaware
limited liability company, to The
Fidelity Company, Trustee for The First
National Bank of Chicago, dated as of
December 22, 1997 and recorded December
23, 1997 in Book 1978, Page 3969,
Forsyth County Registry, securing an
original amount of 210,000,000.00.
(Also covers additional property)

2. Deed of Trust Modification
and Reaffirmation Agreement by and
between National Textiles, L.L.C., a
Delaware limited liability company, and
Bank One, NA f/k/a The First National
Bank of Chicago, dated as of December
22, 2000 and recorded January 16, 2001
in Book 2150, Page 2439, Forsyth County
Registry, regarding the Deed of Trust
recorded in Book 1978, Page 3969,
Forsyth County Registry.

Loan Amount $210,000,000 but linked to
$300,000,000

Loan matures 6/22/2007
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 
	 	 	 	 	 	 	 	 
	136 Gant Road
Eden,
 NC 27288-7935

(336) 635-1354

                 Rockingham

                    County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement and Assignment of
Rents and Leases recorded in Book 972,
Page 2267, dated 12/22/1997

Loan amount secured — up to $300,000,000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 
	 	 	 	 	 	 	 	 
	328 Gant Road 

Eden, NC 27288-7935

	 	Eden Yarns, Inc., a Delaware
	 	Sara Lee

Corporation, a
	 	Deed of Trust recorded in Book 804,
Page 1004, dated 11/30/1987 as modified
by that;
	 	1. Wachovia Bank

 

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	
                 Rockingham 

                     County

	 	
corporation
	 	Maryland

corporation
	 	First Amendment to Deed of Trust,
Assignment of rents and security
Agreement recorded in Book 842, Page
44, dated 12/31/1987 as modified by
that;

Amendment to Deed of Trust recorded in
Book 836, Page 1533, dated 5/15/1990 as
modified by that;

Third Amendment to deed of Trust
recorded in Book 842, Page 66, dated
10/24/1990 as modified by that;

Fourth Amendment to Deed of Trust
recorded in Book 871, Page 2321, dated
9/17/1992 as modified by that;

Fifth Amendment to Deed of Trust
recorded in Book 906, Page 1959, dated
7/27/1994 as modified by that; 

Sixth Amendment to Deed of Trust
recorded in Book 941, Page 1268, dated
7/23/1996 as modified by that;

Seventh Amendment to Deed of Trust
recorded in Book 989, Page 1624, dated
7/29/1998

Loan amount secured — $66,000,000
($33,000,000 to Wachovia Bank and$33,000,000 to Suntrust Bank)

matures 11/30/2009
	 	of North Carolina

2. Suntrust Bank
	 
	 	 	 	 	 	 	 	 
	1311 West Main Street 

Forest City, NC 28043

                  Rutherford 

                   County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement and Assignment of
Rents and Leases recorded in Book 524,
Page 383 as modified by that;

Deed of Trust Modification and
Reaffirmation Agreement recorded in
Book 768, Page 334, dated 12/22/2000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 

	 	 	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	 

	 	 	 	 	 	Loan amount secured $210,000,000.00,
but linked to $300,000,000 in future
advance section

	 	 
	 
	 	 	 	 	 	 	 	 
	1012 Glendale Drive 

Galax, VA 24333

                    Carroll County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust Security Agreement,
Financing Statement and Assignment of
Rents and Leases, dated December 22,
1997, recorded on December 23, 1997 in
Book 523, Page 283, Clerk’s Office of
Carroll County, Virginia; 

This is a credit line deed of trust in
the amount of $2,250,000.00, but linked
to secure the $210,000,000 in the
recitals
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 
	 	 	 	 	 	 	 	 
	501
Brown Street

(P.O. Box 12500)

Gastonia, NC 28053

                 Gaston County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust Security Agreement,
Financing Statement and Assignment of
Rents and Leases, recorded in Book
3091, Page 284, dated 5/30/2000 

Loan Amount $210,000,000 but linked to
$300,000,000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 
	 	 	 	 	 	 	 	 
	1925 West Poplar Street 

Gastonia, NC 28052

                   Gaston County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement, and Assignment of
Rents and Leases recorded in Book 3079,
Page 737, dated 4/28/2000

Loan Amount $210,000,000 but linked to
$300,000,000
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 
	 	 	 	 	 	 	 	 
	100 Reep Drive 

Morganton, NC 28655

                  Burke 

                  County

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a
Delaware limited
liability company
	 	Deed of Trust, Security Agreement,
Financing Statement, and Assignment of
Rents and Leases recorded in Book 892,
Page 1011, dated 12/22/1997 as modified
by that;

Deed of Trust Modification and
Reaffirmation Agreement Book 979, Page
557, dated 12/22/2000

Matures 6/22/2007

	 	Bank One, NA f/k/a
The First National
Bank of Chicago

 

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Deed of Trust Information	 	 
	Address	 	Original Borrower	 	Current Owner	 	(Date, Amount, Book and Page)	 	Name of Lender
	 

	 	 	 	 	 	Loan Amount — $210,000,000.00 but
secures up to $300,000,000 in future
advances section
	 	 
	 
	 	 	 	 	 	 	 	 
	3916 Highway 421 South
Mountain City, TN 37683
(423) 727-5270

                Johnson Co

	 	National Textiles,

LLC
	 	The Industrial
Development Board
of the County of
Johnson County,
Tennessee, a
Tennessee public,
not-for-profit
corporation
	 	Leasehold Deed of Trust, Security
Agreement, Financing Statement and
Assignment of Rents and Leases dated
12/22/1997

TD Book 135, Page 578 as modified
byLeasehold Deed of trust Modification
and Reaffirmation Agreement dated
12/22/2000

TD Book 157, Page 288

First National Bank of Chicago

Loan Amount — $15,418,929.00 but linked
to $300,000,000 in the recitals
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 
	 	 	 	 	 	 	 	 
	815 John Beck Dockins 

Road

                 Rabun County

	 	National Textiles,

LLC
	 	Development
Authority of Rabun
County, Georgia, a
public body
corporate and
politic of the
State of Georgia
	 	Deed to Secure debt, Security
Agreement, and Assignment of Rents and
Leases from National Textiles, LLC (as
grantor) and Development Authority of
Rabun County, Georgia (solely for
purpose of consenting), recorded in
Book O-17/1, dated 12/22/1997, as
modified by that

Deed to Secure Debt Modification and
Reaffirmation Agreement

Agreement recorded in Book K-20/306,
dated 12/22/2000 

Loan Amount — $8,500,000.00

matures 6/22/2007
	 	Bank One, NA f/k/a
The First National
Bank of Chicago
	 
	 	 	 	 	 	 	 	 
	2652 Dalrymple Street
Sanford, NC 27330

                   Lee Co.

	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	National Textiles,
L.L.C., a Delaware
limited liability
company
	 	Deed of Trust, Security Agreement,
Financing Statement, and Assignment of
Rents and Leases recorded in Book 625,
Page 330, dated 12/22/1997

Loan Amount — $210,000,000.00 but
secures up to $300,000,000 in future
advances section
	 	Bank One, NA f/k/a
The First National
Bank of Chicago

 

 

Equipment Leases as listed below

	 	 	 	 	 	 	 	 	 	 	 	 	 
	Debtor	 	Jurisdiction	 	Filing Type	 	Through Date	 	Secured Party	 	File Number and Date	 	Collateral Description
	National
Textiles, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105	 	Secretary of 
State, 
Delaware	 	UCC	 	8/4/2006	 	LaSalle National
Leasing
Corporation
One West Pennsylvania Avenue
Towson, MD  21204	 	2031537-8
1/14/2002	 	Leased equipment
pursuant to Master
Lease Agreement dated 6/13/2001.
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	National
Textiles, L.L.C.

480 E. Hanes Mill Road
Winston-Salem, NC 27105
	 	Secretary of State,
Delaware	 	UCC	 	8/4/2006	 	LaSalle National Leasing
Corporation
One West Pennsylvania Avenue	 	3055776-2
3/7/2003	 	Leased manufacturing
equipment.
	Additional Debtors:
	 		 	 	 	 	 	Towson, Md 21204	 		 	
	National Textiles
Services I, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105
	 	 	 	 	 	 	 		 	 	 	 
	National Textiles
Services II, L.L.C.
480 E. Hanes Mill Road
Winston-Salem, NC 27105
	 	 	 	 	 	 	 		 	 	 	 
	National Textiles
	 	 	 	 	 	 	 		 	 	 	 
	Services III, L.L.C.
	 	 	 	 	 	 	 		 	 	 	 
	480 E. Hanes Mill Road
	 		 	 	 	 	 		 		 	
	Winston-Salem, NC 27105
	 		 		 		 		 		 	

 

 

ITEM 7.2.5(a) Ongoing Investments

1. Subsidiaries as listed in ITEM 6.8 above along with the below listed companies.

	•	 	SN Fibers (49% interest)
	 
	•	 	Playtex Marketing Corporation (50% interest)*

 

* This company is an investment subject to the completion of the post closing obligations set
forth in Section 7.1.11 of the Credit Agreement.

2. Deposit and Securities accounts

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands PR Checks
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands Direct Deposit
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	HanesbrandsTravel Adv. E-cash
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands PR E-cash
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Bank of America
	 	Hanesbrands PR funding
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands AP Checks
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Tax Clearing
	 	Clearing
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands AP ACH
	 	Clearing
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Master
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Casualwear Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Direct Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Eden Yarns Inc. Note
	 	Concentration
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Parent

	 	Chase
	 	Leggs Products Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Playtex Apparel Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Outer Banks LLC Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Sock Company Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Printables Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Jogbra Inc Notes
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Champion Products Inc Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	JE Morgan (Harwood Companies) Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Host Apparel Note Account Harwood Industries
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Knit Products Note
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	The Harwood Companies Note Account
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	Hanesbrands Pacific Rim Note C/O

Hanesbrands Export
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HBI LEASING WYOMING INC
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	CAYWEAR
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	ROOT CONSULTING INC UPEL
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY CUSTOMER EFT RECEIPTS
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY REFUNDS GUARANTEE
DISBURSEMENTS
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY CONCENTRATION
	 	Concentration
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS HOSIERY CONCENTRATION
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	PLAYTEX DORADO HANESBRANDS INC
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	BALI FDN INC
	 	Business Checking
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	PLAYTEX CONCENTRATION(HANESBRANDS INTIMATES

& HOSIERY CON ACCT P)
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS INTIMATES & HOSIERY CO-OP
ADVERTISING
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS PRINTABLES CONCENTRATION
	 	Concentration
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS SPORTSWEAR
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	CHAMPION CUSTOMS
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS KNIT PRODUCTS HANES MENSWEAR
ACCT
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS UNDERWEAR GENERAL ACCOUNT
	 	General
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS UNDERWEAR CUSTOMS ACH
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HARWOOD COMPANIES, INC
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Chase
	 	HANESBRANDS UNDERWEAR/CASUALWEAR LOCKBOX
	 	Other
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	HANEBRANDS SOCK
	 	Lock Box
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	JE Morgan
	 	Depository
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	JE Morgan
	 	Depository
	 	[*****]
	Hanesbrands Parent

	 	Wachovia
	 	Export
	 	Depository
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Parent

	 	Wachovia
	 	Outer Banks
	 	Lock Box
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	BA International LLC

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Caribesock, Inc.

	 	Chase
	 	Caribesock, Inc.
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Caribetex, Inc.

	 	Chase
	 	Caribetex
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	CASA International, LLC

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Ceibena Del Inc.
Ceibena Del Inc.
Ceibena Del Inc.
Ceibena Del Inc.

	 	Chase

Chase

Banco Mercantil

Banco Mercantil
	 	CEIBENA DEL INC

MANUFACTURERS CEIBENA

Manufacturera Ceibena

Manufacturera Ceibena
	 	Other

General

Operating

Operating
	 	[*****]

[*****]

[*****]

[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Concentration
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Business Checking
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Business Checking
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	Business Checking
	 	[*****]
	Hanes Menswear, LLC

	 	Banco Popular
	 	Hanes Menswear
	 	General
	 	[*****]
	Hanes Menswear, LLC

	 	Chase
	 	Hanes Menswear
	 	General
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanes Puerto Rico, Inc.

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Chase
	 	Direct Note
	 	Concentration
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Costumer Refund
	 	Disbursement — non
payroll
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Costumer Refund
	 	Disbursement — non
payroll
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Security Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Alliance Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	American National
Bank of TX
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Americana Community

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Amsouth Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	BancorpSouth
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	BancorpSouth
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of America
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Clarendon
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Bank of New York
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Ocean City
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Odessa
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of Petaluma
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of the Cascades
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Bank of the West
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	BB&T
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Borrego Springs Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Centura Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Centura Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Chittenden Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Citizens Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Citizens Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Citizens National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	City National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	City National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Columbia State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Commerce Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Community Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Community Bank of
Homestead
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Community National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Compass Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Covenant Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Dalton Whitfield

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	F&M Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Farmers Bank & Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Farmers Trust &

Savings
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Farmers Trust &

Savings
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First American Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank of
Douglas City
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Bank of the
Lake
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	First Banking Center
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Century
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First Citizens
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of (unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[***** ]
	Hanesbrands Direct, LLC

	 	First National Bank
of (unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of Gwinnett
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of NE
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of Olathe
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First National Bank
of TX
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	First State Bank of
Gainesville
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Frost National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Gibsland Bank and
Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Glens Falls

National Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Harris Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	HSBC Bank USA
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Huntington National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Irwin Union Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	JPMorgan Chase
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Legacy Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Legacy Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	M&T Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	McIntosh State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Mid State Bank and
Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Montgomery Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Five Star Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	National City Bank

(unspec)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	National Penn
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Old Second National
Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Ozark Mountain Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Ozark Mountain Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Park Avenue Bank

(GA, FL)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Pinnacle Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	PNC Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	PNC Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Premier Bank

(Missouri)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Premier Banks

(Minnesota)
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Queenstown Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Regions Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Regions Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Security National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Security State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	Skagit State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Skagit State Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Sky Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Somerset Trust Co
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	South Carolina Bank
and Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Southeastern Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Southeastern Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	SunTrust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Susquehanna Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	TD North
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Trustmark National

Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Tuscola National
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Direct, LLC

	 	US Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	US Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	US Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wachovia
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Washington Mutual
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Washington Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wells Fargo
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wilmington Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wilson Bank & Trust
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]
	Hanesbrands Direct, LLC

	 	Wrentham

Cooperative Bank
	 	Direct Store Deposits
	 	Depository/Collection
	 	[*****]

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI Branded Apparel
Enterprises. LLC

	 	None	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Hanesbrands Distribution, Inc.

	 	Chase
	 	Hanesbrands Distribution
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI Branded Apparel Limited Inc

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI International, LLC

	 	Chase
	 	HBI International LLC
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	HBI Sourcing, LLC

	 	Chase
	 	HBI Sourcing LLC
	 	Other
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Inner Self, LLC

	 	Chase
	 	Inner Self, LLC
	 	General
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Jasper-Costa Rica, L.L.C.

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES NOTE
	 	Concentration
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES A/P
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES HOURLY PAYROLL
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES SALARY PAYROLL
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	NATIONAL TEXTILES MEDICAL/DENTAL
	 	Business Checking
	 	[*****]
	National Textiles, LLC

	 	Chase
	 	EDEN YARNS NOTE
	 	Concentration
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	NT Investment Company

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Playtex Dorado, LLC

	 	BANCO POPULAR
	 	PLAYTEX DORADO CORPORATION
	 	Business Checking
	 	[*****]
	Playtex Dorado, LLC

	 	BANCO POPULAR
	 	PLAYTEX DORADO CORPORATION
	 	Business Checking
	 	[*****]
	Playtex Dorado, LLC

	 	Chase
	 	PLAYTEX DORADO CORPORATION
	 	Depository
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Playtex Industries Inc

	 	NONE	 	 	 	 	 	 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	Seamless Textiles LLC

	 	Banco Popular
	 	SEAMLESS TEXTILES, INC.
	 	Business Checking
	 	[*****]
	Seamless Textiles LLC

	 	Banco Popular
	 	SEAMLESS TEXTILES, INC.
	 	Business Checking
	 	[*****]
	Seamless Textiles LLC

	 	Chase
	 	SEAMLESS TEXTILES, INC.
	 	Depository
	 	[*****]
	Seamless Textiles LLC

	 	Banco Popular
	 	Seamless MMIA Short Term
	 	Cert of Deposit
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	UPCR Inc

	 	CHASE
	 	UPCR INC
	 	General
	 	[*****]

 

 

	 	 	 	 	 	 	 	 	 
	Name of Grantor	 	Bank Name	 	Account Title	 	Type of Account	 	Bank Account Number
	UPEL Inc

	 	CHASE
	 	UPEL Inc
	 	Other
	 	[*****]

 

 

BA International, L.L.C.

Caribesock, Inc.

Caribetex, Inc.

CASA International, LLC

Ceibena Del, Inc.

Hanes Menswear, LLC

Hanes Puerto Rico, Inc.

Hanesbrands Direct, LLC

Hanesbrands Distribution, Inc.

HBI Branded Apparel

Enterprises, LLC

HBI Branded Apparel Limited, Inc.

HbI International, LLC

HBI Sourcing, LLC

Inner Self LLC

National Textiles, L.L.C.

NT Investment Company, Inc.

Playtex Dorado, LLC

Playtex Industries, Inc.

Seamless Textiles, LLC

UPCR, Inc.

UPEL, Inc.

 

 

ITEM 7.2.11(m) Permitted Dispositions

	 	 	 
	Location of property	 	Description
	[*****]

	 	Approximately 4.93 acres [*****]
	[*****]

	 	Approximately 54,524 square foot building located on
approximately 5.47 acres
	[*****]

	 	Property currently leased to third party
	[*****]

	 	[*****]
	[*****]

	 	Approximately 267 acres [*****]
	[*****]

	 	Approximately 173,805 square foot building
	[*****]

	 	Approximately 28,000 square foot building
	[*****]

	 	Several buildings aggregating approximately 47,802 square feet
	[*****]

	 	Approximately 43,859 square foot building
	[*****]

	 	Approximately 56,505 square foot building
	[*****]

	 	Approximately 148,477 square foot building
	[*****]

	 	Approximately 48,653 square foot building
	[*****]

	 	Approximately 24,326 square foot building
	[*****]

	 	Approximately 97,546 square foot building
	[*****]

	 	Approximately 22,539 square foot building located on
approximately 112,816 square feet of land
	[*****]

	 	Approximately 603,338 square foot building located on
approximately 13.9 acres

 

 

SCHEDULE II

PERCENTAGES;

LIBOR OFFICE;

DOMESTIC OFFICE

	 	 	 	 	 	 	 	 	 
	NAME AND NOTICE	 	 	 	 	 	 
	ADDRESS OF LENDER	 	LIBOR OFFICE	 	DOMESTIC OFFICE	 	COMMITMENT
	Merrill Lynch
Capital
 Corporation

	 	Merrill Lynch Capital

Corporation
	 	Merrill Lynch Capital

Corporation
	 	 	50	%
	 

	 	4 World Financial Center

22nd Floor
	 	4 World Financial Center

22nd Floor	 	 	 	 
	 

	 	New York, NY 10080
	 	New York, NY 10080	 	 	 	 
	 

	 	Attn: Nancy Meadows	 	 	 	 	 	 
	 

	 	Tel: (212) 449-2879
	 	Attn: Nancy Meadows	 	 	 	 
	 

	 	Fax: (212) 738-1186
	 	Tel: (212) 449-2879	 	 	 	 
	 

	 	Email:
Nancy_Meadows@ml.com
	 	Fax: (212) 738-1186	 	 	 	 
	 

	 	 	 	Email:	 	 	 	 
	 

	 	 	 	Nancy_Meadows@ml.com	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Morgan Stanley
Senior Funding,
Inc.

	 	Morgan Stanley Senior
Funding, Inc.
1585 Broadway
	 	Morgan Stanley Senior
Funding, Inc.
1585 Broadway
	 	 	50	%
	 

	 	New York, NY 10036
	 	New York, NY 10036	 	 	 	 

NOTICE ADDRESS FOR ADMINISTRATIVE AGENT:

Citicorp USA, Inc.

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

 

 

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

 

 

EXHIBIT A

[FORM OF] NOTE

     $                                                                                                                                                                                        

     FOR VALUE RECEIVED, HBI BRANDED APPAREL LIMITED, INC., a Delaware corporation (the
“Borrower”), promises to pay to the order of [NAME OF LENDER] (the “Lender”) on the
Stated Maturity Date the principal sum of                     DOLLARS ($                    ) or, if less, the
aggregate unpaid principal amount of all Loans shown on the schedule attached hereto (and any
continuation thereof) made (or continued) by the Lender pursuant to that certain Second Lien Credit
Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and restated or
otherwise modified from time to time, the “Credit Agreement”), among the Borrower,
Hanesbrands Inc. (the “Company”), the Lenders, HSBC Bank USA, National Association, LaSalle
Bank National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication
Agents, Citicorp USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent,
and Merrill Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as
the joint lead arrangers and joint bookrunners (in such capacities, the “Lead Arrangers”). Terms
used in this Note, unless otherwise defined herein, have the meanings provided in the Credit
Agreement.

     The Borrower also promises to pay interest on the unpaid principal amount hereof from time to
time outstanding from the date hereof until maturity (whether by acceleration or otherwise) and,
after maturity, until paid, at the rates per annum and on the dates specified in the Credit
Agreement.

     Payments of both principal and interest are to be made pursuant to the terms of the Credit
Agreement.

     This Note is one of the Notes referred to in, and evidences Indebtedness incurred under, the
Credit Agreement, to which reference is made for a description of the security for this Note, which
security is subject to the Intercreditor Agreement, and for a statement of the terms and conditions
on which the Borrower is permitted and required to make prepayments and repayments of principal of
the Indebtedness evidenced by this Note and on which such Indebtedness may be declared to be
immediately due and payable.

     All parties hereto, to the extent permitted by applicable law, whether as makers, endorsers,
or otherwise, severally waive presentment for payment, demand, protest and notice of dishonor.

Note (Second Lien)

1

 

     THIS NOTE HAS BEEN DELIVERED IN NEW YORK, NEW YORK AND SHALL BE DEEMED TO BE A CONTRACT MADE
UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH PURPOSE
SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).

	 	 	 	 	 	 	 
	 	 	HBI BRANDED APPAREL LIMITED, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By
	 	 
 

Name:
	 	 
	 

	 	 	 	Title:	 	 

Note (Second Lien)

2

 

LOANS AND PRINCIPAL PAYMENTS

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Amount of	 	 	 	 	 	 	Amount of Principal	 	 	Unpaid Principal	 	 	 	 	 	 	 	 
	 	 	Loan Made	 	 	 	 	 	 	Repaid	 	 	Balance	 	 	 	 	 	 	 	 
	 	 	Alternate	 	 	LIBO	 	 	Interest	 	 	Alternate	 	 	LIBO	 	 	Alternate	 	 	LIBO	 	 	 	 	 	 	Notation	 
	Date	 	Base Rate	 	 	Rate	 	 	Period	 	 	Base Rate	 	 	Rate	 	 	Base Rate	 	 	Rate	 	 	Total	 	 	Made By	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

3

 

EXHIBIT B

[FORM OF] BORROWING REQUEST

Citicorp USA, Inc.,

as Administrative Agent

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

HBI BRANDED APPAREL LIMITED, INC.

Ladies and Gentlemen:

     This Borrowing Request is delivered to you pursuant to Section 2.2.1 of the Second Lien Credit
Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and restated or
otherwise modified from time to time, the “Credit Agreement”), among HBI Branded Apparel
Limited, Inc., a Delaware corporation (the “Borrower”), Hanesbrands Inc. (the
“Company”), the Lenders, HSBC Bank USA, National Association, LaSalle Bank National
Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp
USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead
Arrangers and Joint Bookrunners. Terms used herein, unless otherwise defined herein, have the
meanings provided in the Credit Agreement.

     The Borrower hereby requests that a Loan be made in the aggregate principal amount of
$450,000,000 on September 5, 2006 as a [Base Rate Loan] [LIBO Rate Loan having an Interest Period
of one month].

     The Borrower hereby acknowledges that, pursuant to Section 5.21 of the Credit Agreement, each
of the delivery of this Borrowing Request and the acceptance by the Borrower of the proceeds of the
Loans requested hereby constitutes a representation and warranty by the Borrower that, on the date
of the making of such Loans, and both before and after giving effect thereto, all statements set
forth in Section 5.20 of the Credit Agreement are true and correct.

     The Borrower agrees that if prior to the time of the Borrowing requested hereby any matter
certified to herein by it will not be true and correct to the extent set forth in Section 5.20 of
the Credit Agreement at such time as if then made, it will promptly so notify the Administrative
Agent. Except to the extent, if any, that prior to the time of the Borrowing

Borrowing Request (Second Lien)

1

 

requested hereby the Administrative Agent shall receive written notice to the contrary from
the Borrower, each matter certified to herein shall be deemed once again to be certified as true
and correct to the extent set forth in Section 5.20 of the Credit Agreement at the date of such
Borrowing as if then made.

     Please wire transfer the proceeds of the Borrowing to the accounts of the following persons at
the financial institutions indicated respectively:

	 	 	 	 	 	 	 
	 	 	Person to be Paid	 	 
	Amount to	 	 	 	 	 	Name, Address, etc.
	be Transferred	 	Name	 	Account No.	 	Of Transferee Lender
	$                    

	 	                    
	 	                    
	 	                                        
	$                    

	 	                    
	 	                    
	 	Attention:                     
                                        
	$                    

	 	                    
	 	                    
	 	Attention:                    
                                        
	 

	 	 	 	 	 	Attention:                     
	Balance of such
proceeds

	 	The Borrower
	 	 	 	                                        
Attention:                    

Borrowing Request (Second Lien)

2

 

     IN WITNESS WHEREOF, the Borrower has caused this Borrowing Request to be executed and
delivered, and the certifications and warranties contained herein to be made, by its duly
Authorized Officer, solely in such capacity and not as an individual, this                      day of
                                        ,                    .

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	HBI BRANDED APPAREL LIMITED, INC.
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	By
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:

Borrowing Request (Second Lien)

3

 

EXHIBIT C

CONTINUATION/CONVERSION NOTICE

Citicorp USA, Inc.,

     as Administrative Agent

2 Penns Way

Suite 100

New Castle, DE 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

HBI BRANDED APPAREL LIMITED, INC.

Ladies and Gentlemen:

     This Continuation/Conversion Notice is delivered to you pursuant to Section 2.3 of the Second
Lien Credit Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Credit Agreement”), among HBI
Branded Apparel Limited, Inc., a Delaware corporation (the “Borrower”), Hanesbrands Inc.
(the “Company”), the Lenders, HSBC Bank USA, National Association, LaSalle Bank National
Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp
USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead
arrangers and joint bookrunners (in such capacities, the “Lead Arrangers”). Terms used
herein, unless otherwise defined herein, have the meanings provided in the Credit Agreement.

     The
Borrower hereby requests that on ___, ___1,

     (1)
$___2 of the presently outstanding principal amount of the
Loans originally made on ___, ___, presently being maintained as [Base            Rate
Loans] [LIBO Rate Loans],

     (2) be [converted into] [continued as],

 

			
	 1	 	Insert date of Continuation/Conversion Notice which shall be on or before 10:00 a.m. on a Business Day on not
less than three nor more than five Business Days’ notice before the last day of the then current Interest Period with
respect thereto, to convert any Base Rate Loan into one or more LIBO Rate Loans or to continue any LIBO Rate
Loan; provided in the absence of prior notice as required above (which notice may be delivered telephonically
followed by written confirmation within 24 hours thereafter by delivery of a Continuation/Conversion Notice), with
respect to any LIBO Rate Loan such LIBO Rate Loan shall, on such last day, automatically convert to a Base Rate Loan.
	 
	 2	 	Minimum of $1,000,000 and integral multiples of $1,000,000.

Contimuation/Conversion Notice (Second Lien)

1

 

     (3)      [LIBO
Rate Loans having an Interest Period of ___ [weeks] [months]]3
[Base Rate Loans].

     [The undersigned hereby certifies that no Event of Default has occurred and is
continuing on the date of the proposed [conversion]
[continuation]]4

 

			
	 3	 	Insert appropriate interest rate option and, if applicable, the number of weeks (one or two) if available, or months
(one, two, three or six, or if available nine or twelve) with respect to LIBO Rate Loans.
	 
	 4	 	Insert this sentence only in the event of a conversion from a Base Rate Loan to a LIBO Rate Loan or a continuation
of a LIBO Rate Loan.

Contimuation/Conversion Notice (Second Lien)

2

 

     IN WITNESS WHEREOF, the Borrower has caused this Continuation/Conversion Notice to be
executed and delivered by its duly Authorized Officer, solely in such capacity and not as an
individual, this ___day of ___, ___.

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	HBI BRANDED APPAREL LIMITED, INC.
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	By
	 

	 	 	 	 	 	 
	  

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:

Continuation/Conversion Notice (Second Lien)

3

 

EXHIBIT D

[FORM OF] LENDER ASSIGNMENT AGREEMENT

_____________ ___, _____

To: HBI BRANDED APPAREL LIMITED, INC.,

as the Borrower

1000 East Hanes Mill Rd

Winston Salem, NC 27105

Attn: General Counsel

CITICORP USA, INC.,

as the Administrative Agent

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

HBI BRANDED APPAREL LIMITED, INC.

Gentlemen and Ladies:

     This Lender Assignment Agreement (this “Assignment and Acceptance”) is dated as of the
Effective Date set forth below and is entered into by and between [Insert name of Assignor] (the
“Assignor”) and [Insert name of Assignee] (the “Assignee”). Capitalized terms used
but not defined herein shall have the meanings given to them in the Credit Agreement identified
below, receipt of a copy of which is hereby acknowledged by the Assignee. The Standard Terms and
Conditions set forth in Annex 1 attached hereto (the “Standard Terms and
Conditions”) are hereby agreed to be incorporated herein by reference and made a part of this
Assignment and Acceptance.

     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 (as defined below) as contemplated below (i)
all of the Assignor’s rights, benefits, obligations, liabilities and indemnities in its capacity as
a Lender under (and in connection with) the Credit Agreement and any other Loan Documents 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 facility identified below and (ii) to the extent
permitted to be assigned under applicable law, all claims, suits, causes of action

Lender Assignment Agreement (Second Lien)

1

 

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, the other Loan Documents or in any way
based on or related to any of the foregoing, including, but not limited to, contract claims, tort
claims, malpractice claims, statutory claims and all other claims at law or in equity related to
the rights and obligations sold and assigned pursuant to clause (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 Acceptance, without
representation or warranty by the Assignor.

     This Assignment and Acceptance shall be effective as of the Effective Date [upon the written
consent of the Administrative Agent [and the Borrower (as
defined
below)]1
]2
being subscribed in the space indicated below.

	 	 	 	 	 
	1.

	 	Assignor:
	 	                                        
	 
	 	 	 	 
	2.

	 	Assignee:
	 	                                        
	 
	 	 	 	[and is an Affiliate/Approved
Fund of [identify
Lender]3]
	3.

	 	Borrower:
	 	
HBI BRANDED APPAREL LIMITED, INC. (the “Borrower”)
	 
	 	 	 	 
	4.

	 	Administrative Agent:
	 	CITICORP USA, INC., as the administrative agent under the Credit Agreement
(the “Administrative Agent”)
	 
	 	 	 	 
	5.

	 	Credit Agreement:
	 	The Second Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from
time to time, the “Credit Agreement”), among the Borrower, Hanesbrands
Inc. (the “Company”), the Lenders, HSBC Bank USA, National Association,
LaSalle Bank National Association and Barclays Bank PLC, as the
Co-Documentation Agents, Merrill Lynch, Pierce, Fenner & Smith
Incorporated and Morgan Stanley Senior Funding, Inc., as the
Co-Syndication Agents, the Administrative Agent, Citibank, N.A., as the
Collateral Agent, and Merrill Lynch, Pierce, Fenner & Smith Incorporated
and Morgan Stanley Senior Funding, Inc., as the Joint Lead Arrangers and
Joint Bookrunners.
	 
	 	 	 	 
	6.

	 	Assigned Interest:	 	 

 

			
	1	 	Borrower consent required only pursuant to clause (a)(i) of Section 10.11 of the Credit Agreement.
	 
	2	 	Administrative Agent consent required for assignments (i) to an Eligible Assignee that is not a Lender, Approved
Fund or an Affiliate of a Lender and (ii) pursuant to clause (a)(i) of Section 10.11 of the Credit Agreement.
	 
	3	 	Select as applicable.

Lender Assignment Agreement (Second Lien)

2

 

	 	 	 	 	 	 	 	 	 
	Aggregate Amount of	 	Amount of Loans	 	Percentage Assigned
	Loans for all Lenders	 	Assigned	 	of Loans
	$
	 	$	 	 	 	 	%	 
	$
	 	$	 	 	 	 	%	 
	$
	 	$	 	 	 	 	%	 

			
	 
	Effective Date:
	 	[MONTH] ___, 20___

Lender Assignment Agreement (Second Lien)

3

 

     The terms set forth in this Assignment and Acceptance
are hereby agreed to as of the Effective Date:

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	ASSIGNOR

[NAME OF ASSIGNOR]
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:
	 
	 	 	 	 	 	 
	  

	 	 	 	 	 	ASSIGNEE

[NAME OF ASSIGNEE]
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:

Lender Assignment Agreement (Second Lien)

4

 

[Consented to and] Accepted:

CITICORP USA, INC.,

as the Administrative Agent

By:                                        

     Name:

     Title:

[Consented to:

HBI BRANDED APPAREL LIMITED, INC.,

as the Borrower

By:                                        

     Name:

     Title:]

Lender Assignment Agreement (Second Lien)

5

 

ANNEX 1

STANDARD TERMS AND CONDITIONS FOR

ASSIGNMENT AND ACCEPTANCE

          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 Acceptance and to consummate the
transactions contemplated hereby; and (b) except as provided in clause (a) above, 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 Borrower, the Company, or any of their respective
Subsidiaries or Affiliates or any other Person obligated in respect of any Loan Document or (iv)
the performance or observance by the Borrower, the Company, any of their respective 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
Acceptance and to consummate the transactions contemplated hereby and to become a Lender under the
Credit Agreement, (ii) it is an Eligible Assignee under the Credit Agreement (subject to receipt of
such consents as may be required under the Credit Agreement), (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 5.6 or 7.1.1 thereof, as applicable, 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 Acceptance 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, (v) without limiting the generality of the foregoing, it
has received a copy of the Intercreditor Agreement and understands that its rights under the Loan
Documents are subject to terms set forth in the Intercreditor Agreement and (vi) if it is a
Non-U.S. Lender, attached to this Assignment and Acceptance 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 Collateral 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.

Lender Assignment Agreement (Second Lien)

6

 

          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 Acceptance shall be binding upon, and inure
to the benefit of, the parties hereto and their respective successors and assigns. This Assignment
and Acceptance 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
Acceptance by telecopy or facsimile (or other electronic) transmission shall be effective as
delivery of a manually executed counterpart of this Assignment and Acceptance. This Assignment and
Acceptance shall be deemed to be a contract made under, governed by, and construed in accordance
with, the laws of the State of New York (including for such purposes Sections 5-1401 and 5-1402 of
the General Obligations Law of the State of New York) without regard to conflicts of laws
principles.

Lender Assignment Agreement (Second Lien)

7

 

EXHIBIT E

COMPLIANCE CERTIFICATE (SECOND LIEN)

HANESBRANDS INC.

HBI BRANDED APPAREL LIMITED, INC.

     This Compliance Certificate is delivered pursuant to clause (c) of Section 7.1.1 of the Second
Lien Credit Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Credit Agreement”), among HBI
Branded Apparel Limited, Inc., a Delaware corporation (the “Borrower”), Hanesbrands Inc.
(the “Company”), the Lenders, HSBC Bank USA, National Association, LaSalle Bank National
Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch, Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp
USA, Inc., as the Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead
arrangers and joint bookrunners (collectively, the “Lead Arrangers”). Terms used herein
that are defined in the Credit Agreement, unless otherwise defined herein, have the meanings
provided (or incorporated by reference) in the Credit Agreement.

     Each of the Company and the Borrower hereby certifies, represents and warrants as follows in
respect of the period (the “Computation Period”)
commencing on ___ ___, ___and
ending on ___ ___, ___(such latter date being the “Computation Date”) and with respect
to the Computation Date:

          1.      Defaults. As of the Computation Date, no Default had occurred and was continuing.
1

          2.      Financial Covenants.

               •      Leverage Ratio. The Leverage Ratio on the Computation Date was ___, as
computed on Attachment 1 hereto. The maximum Leverage Ratio permitted pursuant to clause
(a) of Section 7.2.4 of the Credit Agreement on the Computation Date was ___.

               •      Interest Coverage Ratio. The Interest Coverage Ratio for the Computation
Period was ___, as computed on Attachment 2 hereto. The minimum Interest Coverage
Ratio permitted pursuant to clause (b) of Section 7.2.4 of the Credit Agreement for the Computation
Period was ___.

 

			
	1	 	If a Default has occurred, specify the details of such default and the action that the Company or other
Obligor has taken or proposes to take with respect thereto.

Compliance Certificate (Second Lien)

1

 

          3.     
2 [Excess Cash Flow: The Excess Cash Flow was $___,
as computed on Attachment 3 hereto.] Such amount multiplied by the Applicable
Percentage (which is ___% based on the Leverage Ratio set forth above) is $___. Such amount
minus the aggregate amount of all voluntary prepayments of Loans made during the Computation Period
(which was $___) is equal to $___. As a
result,3 subject to Section
3.1.1(f) [the Borrower is required to make a mandatory prepayment in such amount]
4[the Borrower is not required to make a mandatory prepayment of Excess Cash Flow]

          4.      Subsidiaries: Except as set forth below, no Subsidiary of the Company has been
formed or acquired since the delivery of the last Compliance Certificate. The formation and/or
acquisition of such Subsidiary was in compliance with Section 7.1.8 of the Credit Agreement.

     [Insert names of any new entities.]

          5.      Neither the Borrower nor any Obligor has changed its legal name or jurisdiction of
organization, during the Computation Period, except as indicated on Attachment 4 hereto.

 

			
	2	 	Use in the case of a Compliance Certificate
delivered concurrently with the financial information pursuant to clause (b) of
Section 7.1.1 of the Credit Agreement if applicable.
	 
	3	 	Use if amount is positive.
	 
	4	 	Use if amount is zero or less.

Compliance Certificate (Second Lien)

2

 

     IN WITNESS WHEREOF, the undersigned have caused this Compliance Certificate to be executed and
delivered, and the certifications and warranties contained herein, by their respective treasurer,
chief financial or accounting Authorized Officer, in each case, are made solely in such capacity
and not as an individual, as of ___ ___, 200_.

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	HANESBRANDS INC.
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	By
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	HBI BRANDED APPAREL LIMITED, INC.
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	By
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:

Compliance Certificate (Second Lien)

3

 

Attachment 1

(to __/__/__ Compliance

Certificate)

LEVERAGE RATIO

on ___________

(the “Computation Date”)

Leverage Ratio:

	 	 	 
	1.

	 	Total Debt: on the Computation Date, in each case exclusive
of intercompany Indebtedness between the Company and its
Subsidiaries and any Contingent Liability in respect of any of
the following, the outstanding principal amount of all
Indebtedness of the Company and its Subsidiaries (other than a
Receivables Subsidiary), comprised of:.

	 	 	 	 	 	 	 
	 

	 	(a)
	 	all obligations of such Person for borrowed
money or advances and all obligations of such
Person evidenced by bonds, debentures, notes or
similar instruments
	 	                    
	 

	 	(b)
	 	all monetary obligations, contingent or
otherwise, relative to the face amount of all
letters of credit, whether or not drawn, and
banker’s acceptances issued for the account of such
Person
	 	$                    
	 

	 	(c)
	 	all Capitalized Lease Liabilities of such
Person
	 	$                    
	 

	 	(d)
	 	monetary obligations arising under Synthetic
Leases
	 	$                    
	 

	 	(e)
	 	TOTAL DEBT: The sum of Item 1(a) through 1(d)
	 	$                    

	 	 	 	 	 
	2.

	 	Net Income (the aggregate of all amounts which would be
included as net income on the consolidated financial statements
of the Company and its Subsidiaries for the Computation
Period)1 .
	 	$                    
	3.

	 	to the extent deducted in determining Net Income, amounts
attributable to amortization (including amortization of
goodwill and other intangible assets)
	 	$                    
	4.

	 	to the extent deducted in determining Net Income,
Federal, state, local and foreign income withholding,
franchise, state single business unitary and similar Tax
expense
	 	$                    

 

			
	1	 	The calculation of Net Income shall not include any net income of any Foreign Supply Chain Entity, except
to the extent cash is distributed by such Foreign Supply Chain Entity during such period to the Company or any
other Subsidiary as a dividend or other distribution.

Compliance Certificate (Second Lien)

-1-

 

	 	 	 	 	 
	5.

	 	to the extent deducted in determining Net Income, Interest
Expense (the aggregate interest expense (both, without
duplication, when accrued or paid and net of interest income
paid during such period to the Company and its Subsidiaries) of
the Company and its Subsidiaries for such applicable period,
including the portion of any payments made in respect of
Capitalized Lease Liabilities allocable to interest expense)
	 	$                    
	6.

	 	to the extent deducted in determining Net Income,
depreciation of assets
	 	$                    
	7.

	 	to the extent deducted in determining Net Income,
all non-cash charges, including all non-cash charges associated
with announced restructurings, whether announced previously or
in the future
	 	$                    
	8.

	 	to the extent deducted in determining Net Income, net cash
charges associated with or related to any contemplated
restructurings in an aggregate amount not to exceed, in any
Fiscal Year, the Permitted Cash Restructuring
Charge2 Amount for such Fiscal Year
	 	$                    
	9.

	 	to the extent deducted in determining Net Income, net cash
restructuring charges associated with or related to the
Spin-Off in an aggregate amount not to exceed, in any Fiscal
Year, the Permitted Cash Spin-Off Charge Amount for such Fiscal
Year3
	 	$                    
	10.

	 	to the extent deducted in determining Net Income, all
amounts in respect of extraordinary losses
	 	$                    
	11.

	 	to the extent deducted in determining Net Income, non-cash
compensation expense, or other non-cash expenses or charges,
arising from the sale of stock, the granting of stock options,
the granting of stock appreciation rights and similar
arrangements (including any repricing, amendment, modification,
substitution or change of any such stock, stock option, stock
appreciation rights or similar arrangements)
	 	$                    
	12.

	 	to the extent included in determining Net Income, any
financial advisory fees, accounting fees, legal fees and other
similar advisory and consulting fees, cash charges in respect
of strategic market reviews, management bonuses and early
retirement of Indebtedness, and related out-of-pocket expenses
incurred by the Company or any of its Subsidiaries as a result
of the Transaction, including fees and expenses in connection
with the issuance, redemption or exchange of the Bridge Loans,
all determined in accordance with GAAP
	 	$                    

 

			
	2	 	The Permitted Cash Restructuring Charge Amount shall be $120,000,000 in the aggregate for the Fiscal
Year 2006 and all Fiscal Years ending after the Closing Date.
	 
	3	 	The Permitted Cash Spin-Off Charge Amount for the Fiscal Year 2006 shall be $20,000,000 and for the
Fiscal Year 2007 shall be $55,000,000.

Compliance Certificate (Second Lien)

2

 

	 	 	 	 	 
	13.

	 	to the extent included in determining Net Income, non-cash
or unrealized losses on agreements with respect to Hedging
Obligations
	 	$                    
	14.

	 	to the extent included in determining Net Income and to the
extent non-recurring and not capitalized, any financial
advisory fees, accounting fees, legal fees and similar advisory
and consulting fees and related costs and expenses of the
Company and its Subsidiaries incurred as a result of Permitted
Acquisitions, Investments, Dispositions permitted under the
Credit Agreement and the issuance of Capital Securities or
Indebtedness permitted under the Credit Agreement, all
determined in accordance with GAAP and in each case eliminating
any increase or decrease in income resulting from non-cash
accounting adjustments made in connection with the related
Permitted Acquisition or Dispositions
	 	$                    
	15.

	 	to the extent included in determining Net Income,
and to the extent the related loss in not added back pursuant
to Item 21, all proceeds of business interruption insurance
policies
	 	$                    
	16.

	 	to the extent included in determining Net Income,
expenses incurred by the Company or any Subsidiary to the
extent reimbursed in cash by a third party
	 	$                    
	17.

	 	to the extent included in determining Net Income,
extraordinary, unusual or non-recurring cash charges not to
exceed $10,000,000 in any Fiscal Year
	 	$                    
	18.

	 	to the extent included in determining Net Income,
all amounts in respect of extraordinary gains or extraordinary
losses
	 	$                    
	19.

	 	to the extent included in determining Net Income,
non-cash gains on agreements with respect to Hedging
Obligations
	 	$                    
	20.

	 	to the extent included in determining Net Income,
reversals (in whole or in part) of any restructuring charges
previously treated as Non-Cash Restructuring Charges in any
prior period
	 	$                    
	21.

	 	to the extent included in determining Net Income,
non-cash items increasing such Net Income for such period,
other than (A) the accrual of revenue consistent with past
practice and (B) the reversal in such period of an accrual of,
or cash
	 	$                    

Compliance Certificate (Second Lien)

3

 

	 	 	 	 	 
	 

	 	reserve for, cash expenses in a prior period, to the
extent such accrual or reserve did not increase EBITDA in a
prior period	 	 
	22.

	 	EBITDA4: The sum of Items 2 through 17
minus Items 18 through 21
	 	$                    
	23.

	 	LEVERAGE RATIO: ratio of Item 1 to Item 22
	 	:1
	 

	 	 	 	 

 

			
	4	 	For purposes of calculating the Leverage Ratio with respect to the four consecutive Fiscal Quarter period
ending (i) nearest to December 31, 2006, EBITDA shall be actual EBITDA for the Fiscal Quarter ending nearest to
December 31, 2006 multiplied by four; (ii) nearest to March 31, 2007, EBITDA shall be actual EBITDA for the two
Fiscal Quarter period ending nearest to March 31, 2007 multiplied by two; and (iii) nearest to June 30, 2007,
EBITDA shall be actual EBITDA for the three Fiscal Quarter period ending nearest to June 30, 2007 multiplied by
one and one-third.

Compliance Certificate (Second Lien)

4

 

Attachment 2

(to __/__/__ Compliance

Certificate)

INTEREST COVERAGE RATIO

on ___________

(the “Computation Date”)

•     Interest Coverage Ratio:

	 	 	 	 	 
	1.

	 	EBITDA (see Item 22 of Attachment 1)
	 	$                    
	2.

	 	Interest Expense of the Company and its Subsidiaries (see
Item 5 of Attachment
1)1
	 	$                    
	3.

	 	INTEREST COVERAGE RATIO: ratio of Item 1 to Item 2
	 	:1
	 

	 	 	 	 

 

			
	1	 	For purposes of calculating Interest Expense with respect to the calculation of the Interest Coverage Ratio
with respect to the four consecutive Fiscal Quarter period ending (i) nearest to December 31, 2006, Interest Expense
shall be actual Interest Expense for the Fiscal Quarter ending nearest to December 31, 2006 multiplied by four; (ii)
nearest to March 31, 2007, Interest Expense shall be actual Interest Expense for the two Fiscal Quarter period
ending nearest to March 31, 2007 multiplied by two; and (iii) nearest to June 30, 2007, Interest Expense shall be
actual Interest Expense for the three Fiscal Quarter period ending nearest to June 30, 2007 multiplied by one and
one-third.

Compliance Certificate (Second Lien)

5

 

Attachment 3

(to __/__/__ Compliance

Certificate)

EXCESS
CASH FLOW1

on the Computation Date

	 	 	 	 	 
	1.

	 	EBITDA (see Item 22 of Attachment 1)
	 	$                    
	2.

	 	Interest Expense actually paid in cash by the Company and
its Subsidiaries
	 	$                    
	3.

	 	scheduled principal repayments with respect to the
permanent reduction of Indebtedness, to the extent actually
made and permitted to be made under the Credit Agreement
	 	$                    
	4.

	 	all Federal, state, local and foreign income withholding,
franchise, state single business unitary and similar Taxes
actually paid in cash or payable (only to the extent related
to Taxes associated with such Fiscal Year) by the Company and
its Subsidiaries
	 	$                    
	5.

	 	Capital Expenditures to the extent (x) actually made by the
Company and its Subsidiaries in such Fiscal Year or (y)
committed to be made by the Company and its Subsidiaries and
that are permitted to be carried forward to the next
succeeding Fiscal Year pursuant to Section 7.2.7 of the Credit
Agreement2.
	 	$                    
	6.

	 	the portion of the purchase price paid in cash with respect
to Permitted Acquisitions to the extent such Permitted
Acquisition was made in connection with the Company’s offshore
migration of its supply chain.
	 	$                    
	7.

	 	cash Investments permitted to be made in Foreign Supply
Chain Entities.
	 	$                    
	8.

	 	to the extent permitted to be included in the calculation
of EBITDA for such Fiscal Year, the amount of Cash
Restructuring Charges and Cash Spin-Off Charges actually so
included in such calculation.
	 	$                    

 

			
	1	 	Use in the case of a Compliance Certificate
delivered concurrently with the financial information pursuant to clause (b) of
Section 7.1.1 of the Credit Agreement.
	 
	2	 	The amounts deducted from Excess Cash Flow
pursuant to clause (y) of Item 5 shall not thereafter be
deducted in the determination of Excess Cash Flow for the Fiscal Year during
which such payments were actually made.

Compliance Certificate (Second Lien)

-6-

 

	 	 	 	 	 
	9.

	 	without duplication to any amounts deducted in preceding
Item 2 through Item 8, all items added back to EBITDA pursuant
to clause (b) of the definition of EBITDA in the Credit
Agreement that represent amounts actually paid in cash
	 	$                    
	10.

	 	The sum of Items 2 through 9
	 	$                    
	11.

	 	EXCESS CASH FLOW: Item 1 less Item 10
	 	$                    

Compliance Certificate (Second Lien)

-7-

 

Attachment 4

(to __/__/__ Compliance

Certificate)

CHANGE OF LEGAL NAME OR JURISDICTION OF INCORPORATION

	 	 	 	 	 
	Name of Borrower or Other Obligor	 	New Legal Name or Jurisdiction of Incorporation	 
	 
	 	 	 	 
	 
	 	 	 
	 
	 	 	 	 
	 
	 	 	 

Compliance Certificate (Second Lien)

-8-

 

EXHIBIT F

GUARANTY

THE EXERCISE BY THE ADMINISTRATIVE AGENT OR ANY OF THE SECURED PARTIES OF THEIR RIGHTS HEREUNDER IS
SUBJECT TO THE TERMS, CONDITIONS AND RESTRICTIONS OF THE
INTERCREDITOR AGREEMENT REFERRED TO IN SECTION 5.14 BELOW.

     This GUARANTY (as amended, supplemented, amended and restated or otherwise modified from time
to time, this “Guaranty”), dated as of September 5, 2006, is made by HANESBRANDS INC., a
Maryland corporation (the “Company”) and each U.S. Subsidiary of the Company other than the
Borrower (as defined below), from time to time party to this Guaranty (each individually, a
“Subsidiary Guarantor” and, together with the Company, each individually, a
“Guarantor” and collectively, the “Guarantors”), in favor of CITICORP USA, INC., as
administrative agent (together with its successor(s) thereto in such capacity, the
“Administrative Agent”) for each of the Secured Parties (capitalized terms used herein have
the meanings set forth in or incorporated by reference in Article I).

W I T N E S S E T H:

     WHEREAS, pursuant to a Second Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from time to time, the
“Credit Agreement”), among HBI Branded Apparel Limited, Inc. (the “Borrower”), the
Company, the Lenders, the Administrative Agent, Citibank, N.A., as the Collateral Agent, Merrill
Lynch Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Lead
Arrangers and Syndication Agents, and HSBC Bank USA, National Association, LaSalle Bank National
Association and Barclays Bank PLC, as the Documentation Agents, the Lenders have extended
Commitments to make Loans to the Borrower; and

     WHEREAS, as a condition precedent to the making of the Loans under the Credit Agreement, each
Guarantor is required to execute and deliver this Guaranty;

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, each Guarantor agrees, for the benefit of each Secured Party, as follows:

ARTICLE I

DEFINITIONS

     SECTION 1.1. Certain Terms. The following terms (whether or not underscored) when
used in this Guaranty, including its preamble and recitals, shall have the following meanings (such
definitions to be equally applicable to the singular and plural forms thereof):

     “Administrative Agent” is defined in the preamble.

     “Borrower” is defined in the first recital.

Guaranty (Second Lien)

 

 

     “Company” is defined in the preamble.

     “Credit Agreement” is defined in the first recital.

     “Guarantor” and “Guarantors” are defined in the preamble.

     “Guaranty” is defined in the preamble.

     SECTION 1.2. Credit Agreement Definitions. Unless otherwise defined herein or the
context otherwise requires, terms used in this Guaranty, including its preamble and recitals, have
the meanings provided in the Credit Agreement.

ARTICLE II

GUARANTY PROVISIONS

     SECTION 2.1. Guaranty. Each Guarantor hereby jointly and severally absolutely,
unconditionally and irrevocably

     (a) guarantees the full and punctual payment when due, whether at stated maturity, by
required prepayment, declaration, acceleration, demand or otherwise, of all Obligations of
each Obligor now or hereafter existing, whether for principal, interest (including interest
accruing at the then applicable rate provided in the Credit Agreement after the occurrence
of any Event of Default set forth in Section 8.1.9 of the Credit Agreement, whether or not a
claim for post-filing or post-petition interest is allowed under applicable law following
the institution of a proceeding under bankruptcy, insolvency or similar laws), fees,
expenses or otherwise (including all such amounts which would become due but for the
operation of the automatic stay under Section 362(a) of the United States Bankruptcy Code,
11 U.S.C. §362(a), and the operation of Sections 502(b) and 506(b) of the United States
Bankruptcy Code, 11 U.S.C. §502(b) and §506(b)); and

     (b) indemnifies and holds harmless each Secured Party for any and all costs and
reasonable out-of-pocket expenses (including reasonable attorneys’ fees) incurred by such
Secured Party in enforcing any rights under this Guaranty (in each case to the same extent
the Secured Parties are indemnified and held harmless pursuant to Sections 10.3 and
10.4 of the Credit Agreement);

provided, however, that each Guarantor shall only be liable under this Guaranty for
the maximum amount of such liability that can be hereby incurred without rendering this Guaranty,
as it relates to such Guarantor, voidable under applicable law relating to fraudulent conveyance or
fraudulent transfer, and not for any greater amount. This Guaranty constitutes a guaranty of
payment when due and not of collection, and each Guarantor specifically agrees that to the extent
permitted by applicable law it shall not be necessary or required that any Secured Party exercise
any right, assert any claim or demand or enforce any remedy whatsoever against any Obligor or any
other Person before or as a condition to the obligations of such Guarantor hereunder.

Guaranty (Second Lien)

2

 

     SECTION 2.2. Reinstatement, etc. Each Guarantor hereby jointly and severally agrees
that this Guaranty shall continue to be effective or be reinstated, as the case may be, if at any
time any payment (in whole or in part) of any of the Obligations is invalidated, declared to be
fraudulent or preferential, set aside, rescinded or must otherwise be restored by any Secured
Party, including upon the occurrence of any Default set forth in Section 8.1.9 of the Credit
Agreement or otherwise, all as though such payment had not been made.

     SECTION 2.3. Guaranty Absolute, etc. To the extent permitted by applicable law, this
Guaranty shall in all respects be a continuing, absolute, unconditional and irrevocable guaranty of
payment, and shall remain in full force and effect until the Termination Date has occurred. Each
Guarantor jointly and severally guarantees that the Obligations will be paid strictly in accordance
with the terms of each Loan Document, regardless of any law, regulation or order now or hereafter
in effect in any jurisdiction affecting any of such terms or the rights of any Secured Party with
respect thereto. The liability of each Guarantor under this Guaranty shall be joint and several,
absolute, unconditional and irrevocable to the extent permitted by applicable law irrespective of:

     (a) any lack of validity, legality or enforceability of any Loan Document;

     (b) the failure of any Secured Party

     (i) to assert any claim or demand or to enforce any right or remedy against any
Obligor or any other Person (including any other guarantor) under the provisions of
any Loan Document, or

     (ii) to exercise any right or remedy against any other guarantor (including any
Guarantor) of, or collateral securing, any Obligations;

     (c) any change in the time, manner or place of payment of, or in any other term of, all
or any part of the Obligations, or any other extension, compromise or renewal of any
Obligation;

     (d) any reduction, limitation, impairment or termination of any Obligations for any
reason (other than the occurrence of the Termination Date), including any claim of waiver,
release, surrender, alteration or compromise, and shall not be subject to (and each
Guarantor hereby waives to the extent permitted by law, any right to or claim of) any
defense or setoff, counterclaim, recoupment or termination whatsoever by reason of the
invalidity, illegality, nongenuineness, irregularity, compromise, unenforceability of, or
any other event or occurrence affecting, any Obligations or otherwise (other than the
occurrence of the Termination Date);

     (e) any amendment to, rescission, waiver, or other modification of, or any consent to
or departure from, any of the terms of any Loan Document;

     (f) any addition, exchange or release of any collateral or of any Person that is (or
will become) a guarantor (including a Guarantor hereunder) of the Obligations, or any
surrender or non-perfection of any collateral, or any amendment to or waiver or release or

Guaranty (Second Lien)

3

 

addition to, or consent to or departure from, any other guaranty held by any Secured
Party securing any of the Obligations; or

     (g) any other circumstance which might otherwise constitute a defense available to, or
a legal or equitable discharge of, any Obligor, any surety or any guarantor (other than
payment or performance of the Obligations, in each case in full and, with respect to
payments, in cash).

     SECTION 2.4. Setoff. Each Secured Party shall, upon the occurrence and during the
continuance of any Event of Default described in clauses (a) through (d) of
Section 8.1.9 of the Credit Agreement or, with the consent of the Required Lenders, upon
the occurrence and during the continuance of any other Event of Default (in each case, subject to
the terms and conditions of the Intercreditor Agreement), have the right to appropriate and apply
to the payment of the Obligations owing to it (if then due and payable), any and all balances,
credits, deposits, accounts or moneys of such Guarantor then or thereafter maintained with such
Secured Party (other than payroll, trust or tax accounts); provided that any such
appropriation and application shall be subject to the provisions of Section 4.8 of the Credit
Agreement. Each Secured Party agrees promptly to notify the applicable Guarantor and the
Administrative Agent after any such appropriation and application made by such Secured Party;
provided that the failure to give such notice shall not affect the validity of such setoff
and application. The rights of each Secured Party under this Section are in addition to other
rights and remedies (including other rights of setoff under applicable law or otherwise) which such
Secured Party may have.

     SECTION 2.5. Waiver, etc. Each Guarantor hereby waives, to the extent permitted by
law, promptness, diligence, notice of acceptance and any other notice with respect to any of the
Obligations and this Guaranty and any requirement that any Secured Party protect, secure, perfect
or insure any Lien, or any property subject thereto, or exhaust any right or take any action
against any Obligor or any other Person (including any other guarantor) or entity or any collateral
securing the Obligations (subject to the terms and conditions of the Intercreditor Agreement), as
the case may be.

     SECTION 2.6. Postponement of Subrogation, etc. Each Guarantor agrees that it will, to
the extent permitted by law, not exercise any rights which it may acquire by way of rights of
subrogation under any Loan Document, nor shall any Guarantor seek any contribution or reimbursement
from any Obligor in respect of any payment made under any Loan Document until following the
Termination Date. Any amount paid to any Guarantor on account of any such subrogation rights prior
to the Termination Date shall (subject to the terms of the Intercreditor Agreement) be held in
trust for the benefit of the Secured Parties and shall (subject to the terms of the Intercreditor
Agreement) immediately be paid and turned over to the Administrative Agent for the benefit of the
Secured Parties in the exact form received by such Guarantor (duly endorsed in favor of the
Administrative Agent, if required), to be credited and applied against the outstanding Obligations,
in accordance with the Intercreditor Agreement and Section 2.7; provided,
however, that if any Guarantor has made payment to the Secured Parties of all or any part
of the Obligations and the Termination Date has occurred, then at such Guarantor’s request, the
Administrative Agent (on behalf of the Secured Parties) will, at the expense of such Guarantor,
execute and deliver to such Guarantor appropriate documents (without recourse and without
representation or warranty) necessary to evidence the transfer by subrogation to such

Guaranty (Second Lien)

4

 

Guarantor of an interest in the Obligations resulting from such payment. In furtherance of
the foregoing, at all times prior to the Termination Date, each Guarantor shall refrain from taking
any action or commencing any proceeding against any Obligor (or its successors or assigns, whether
in connection with a bankruptcy proceeding or otherwise) to recover any amounts in respect of
payments made under this Guaranty to any Secured Party other than as required by applicable law to
preserve such rights.

     SECTION 2.7. Payments; Application. Subject to the terms, conditions and provisions
of the Intercreditor Agreement, each Guarantor hereby agrees with each Secured Party as follows to
the extent permitted by applicable law:

     (a) Each Guarantor agrees that all payments made by such Guarantor hereunder will be
made in Dollars to the Administrative Agent, without set-off, counterclaim or other defense
(other than the defense of payment or performance) and in accordance with Sections 4.6 and
4.7 of the Credit Agreement, free and clear of and without deduction for any Taxes, each
Guarantor hereby agreeing to comply with and be bound by the provisions of Sections 4.6 and
4.7 of the Credit Agreement in respect of all payments made by it hereunder and the
provisions of which Sections are hereby incorporated into and made a part of this Guaranty
by this reference as if set forth herein; provided, that references to the
“Borrower” in such Sections shall also be deemed to be references to each Guarantor, and
references to “this Agreement” in such Sections shall be deemed to be references to this
Guaranty.

     (b) All payments made hereunder shall be applied upon receipt as set forth in Section
4.7 of the Credit Agreement.

ARTICLE III

REPRESENTATIONS AND WARRANTIES

     In order to induce the Secured Parties to enter into the Credit Agreement and make Loans, each
Guarantor represents and warrants to each Secured Party as set forth below.

     SECTION 3.1. Credit Agreement Representations and Warranties. The representations and
warranties contained in Article VI of the Credit Agreement, insofar as the representations and
warranties contained therein are applicable to any Guarantor and its properties, are true and
correct in all material respects, each such representation and warranty set forth in such Article
(insofar as applicable as aforesaid) and all other terms of the Credit Agreement to which reference
is made therein, together with all related definitions and ancillary provisions, being hereby
incorporated into this Guaranty by this reference as though specifically set forth in this Article.

     SECTION 3.2. Financial Condition, etc. Each Guarantor has knowledge of each other
Obligor’s financial condition and affairs and that it has adequate means to obtain from each such
Obligor on an ongoing basis information relating thereto and to such Obligor’s ability to pay and
perform the Obligations, and agrees to assume the responsibility for keeping, and to keep, so
informed for so long as this Guaranty is in effect. Each Guarantor acknowledges and agrees that

Guaranty (Second Lien)

5

 

the Secured Parties shall have no obligation to investigate the financial condition or affairs
of any Obligor for the benefit of such Guarantor nor to advise such Guarantor of any fact
respecting, or any change in, the financial condition or affairs of any other Obligor that might
become known to any Secured Party at any time, whether or not such Secured Party knows or believes
or has reason to know or believe that any such fact or change is unknown to such Guarantor, or
might (or does) materially increase the risk of such Guarantor as guarantor, or might (or would)
affect the willingness of such Guarantor to continue as a guarantor of the Obligations.

     SECTION 3.3. Best Interests. It is in the best interests of each Guarantor to execute
this Guaranty inasmuch as such Guarantor will, as a result of being an Affiliate of the Borrower,
derive substantial direct and indirect benefits from the Loans made from time to time to the
Borrower by the Lenders pursuant to the Credit Agreement and each Guarantor agrees that the Secured
Parties are relying on this representation in agreeing to make Loans to the Borrower.

ARTICLE IV

COVENANTS, ETC.

     Each Guarantor covenants and agrees that, at all times prior to the Termination Date, it will
perform, comply with and be bound by all of the agreements to which it is a party, covenants and
obligations contained in the Credit Agreement which are applicable to such Guarantor or its
properties, each such agreement, covenant and obligation contained in the Credit Agreement and all
other terms of the Credit Agreement to which reference is made in this Article, together with all
related definitions and ancillary provisions, being hereby incorporated into this Guaranty by this
reference as though specifically set forth in this Article.

ARTICLE V

MISCELLANEOUS PROVISIONS

     SECTION 5.1. Loan Document. This Guaranty is a Loan Document executed pursuant to the
Credit Agreement and shall (unless otherwise expressly indicated herein) be construed, administered
and applied in accordance with the terms and provisions thereof, including Article X thereof.

     SECTION 5.2. Binding on Successors, Transferees and Assigns; Assignment. This
Guaranty shall remain in full force and effect until the Termination Date has occurred, shall be
jointly and severally binding upon each Guarantor and its successors, transferees and assigns and
shall inure to the benefit of and be enforceable by each Secured Party and its successors,
transferees and permitted assigns; provided, however, that no Guarantor may (unless
otherwise permitted under the terms of the Credit Agreement) assign any of its obligations
hereunder without the prior written consent of all Lenders.

     SECTION 5.3. Amendments, etc. No amendment to or waiver of any provision of this
Guaranty, nor consent to any departure by any Guarantor from its obligations under this Guaranty,
shall in any event be effective unless the same shall be in writing and signed by the

Guaranty (Second Lien)

6

 

Administrative Agent (on behalf of the Lenders or the Required Lenders, as the case may be,
pursuant to Section 10.1 of the Credit Agreement) and then such waiver or consent shall be
effective only in the specific instance and for the specific purpose for which given.

     SECTION 5.4. Notices. All notices and other communications provided for hereunder
shall be in writing or by facsimile and addressed, delivered or transmitted to the appropriate
party at the address or facsimile number of such party (in the case of any Subsidiary Guarantor, in
care of the Company) set forth on Schedule II to the Credit Agreement or at such other address or
facsimile number as may be designated by such party in a notice to the other party. Any notice, if
mailed and properly addressed with postage prepaid or if properly addressed and sent by pre-paid
courier service, shall be deemed given when received; any such notice, if transmitted by facsimile,
shall be deemed given when the confirmation of transmission thereof is received by the transmitter.

     SECTION 5.5. Additional Guarantors. Upon the execution and delivery by any other
Person of a supplement in the form of Annex I hereto, such Person shall become a
“Guarantor” hereunder with the same force and effect as if it were originally a party to this
Guaranty and named as a “Guarantor” hereunder. The execution and delivery of such supplement shall
not require the consent of any other Guarantor hereunder (except to the extent a consent has been
obtained), and the rights and obligations of each Guarantor hereunder shall remain in full force
and effect notwithstanding the addition of any new Guarantor as a party to this Guaranty.

     SECTION 5.6. Release of Guarantor. Upon the occurrence of the Termination Date, this
Guaranty and all obligations of each Guarantor hereunder shall terminate, without delivery of any
instrument or performance of any act by any party. In addition, at the request of the Company, and
at the sole expense of the Company, a Subsidiary Guarantor shall be automatically released from its
obligations hereunder in the event that the Capital Securities of such Subsidiary Guarantor are
Disposed of in a transaction permitted by the Credit Agreement; provided that the Company
shall have delivered to the Administrative Agent, prior to the date of the proposed release, a
written request for release identifying the relevant Subsidiary Guarantor. The Administrative
Agent agrees to deliver to the Company, at the Company’s sole expense, such documents as the
Company may reasonably request to evidence such termination and release.

     SECTION 5.7. No Waiver; Remedies. In addition to, and not in limitation of,
Sections 2.3 and 2.5, no failure on the part of any Secured Party to exercise, and
no delay in exercising, any right hereunder shall operate as a waiver thereof, nor shall any single
or partial exercise of any right hereunder preclude any other or further exercise thereof or the
exercise of any other right. The remedies herein provided are cumulative and not exclusive of any
remedies provided by law.

     SECTION 5.8. Section Captions. Section captions used in this Guaranty are for
convenience of reference only, and shall not affect the construction of this Guaranty.

     SECTION 5.9. Severability. Wherever possible each provision of this Guaranty shall be
interpreted in such manner as to be effective and valid under applicable law, but if any provision
of this Guaranty shall be prohibited by or invalid under such law, such provision shall be

Guaranty (Second Lien)

7

 

ineffective to the extent of such prohibition or invalidity, without invalidating the
remainder of such provision or the remaining provisions of this Guaranty.

     SECTION 5.10. Governing Law, Entire Agreement, etc. THIS GUARANTY WILL BE DEEMED TO
BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR
SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).
This Guaranty and the other Loan Documents constitute the entire understanding among the parties
hereto with respect to the subject matter hereof and thereof and supersede any prior agreements,
written or oral, with respect thereto.

     SECTION 5.11. Forum Selection and Consent to Jurisdiction. ANY LITIGATION BASED
HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, ANY LOAN DOCUMENT, OR ANY COURSE OF
CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE ADMINISTRATIVE
AGENT, THE LENDERS OR ANY GUARANTOR IN CONNECTION HEREWITH OR THEREWITH MAY BE BROUGHT AND
MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK OR IN THE UNITED STATES DISTRICT COURT FOR THE
SOUTHERN DISTRICT OF NEW YORK; PROVIDED, HOWEVER, THAT ANY SUIT SEEKING ENFORCEMENT
AGAINST ANY COLLATERAL OR OTHER PROPERTY MAY BE BROUGHT, AT THE ADMINISTRATIVE AGENT’S OPTION
(SUBJECT TO THE INTERCREDITOR AGREEMENT), IN THE COURTS OF ANY JURISDICTION WHERE SUCH COLLATERAL
OR OTHER PROPERTY MAY BE FOUND. EACH GUARANTOR IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY
REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW YORK AT
THE ADDRESS FOR NOTICES SPECIFIED FOR THE COMPANY IN SECTION 10.2 OF THE CREDIT AGREEMENT. EACH
GUARANTOR HEREBY EXPRESSLY AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY
OBJECTION WHICH IT MAY HAVE OR HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION
BROUGHT IN ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT
IN AN INCONVENIENT FORUM. TO THE EXTENT THAT ANY GUARANTOR HAS OR HEREAFTER MAY ACQUIRE 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 OR OTHERWISE) WITH RESPECT TO
ITSELF OR ITS PROPERTY, SUCH GUARANTOR HEREBY IRREVOCABLY WAIVES TO THE FULLEST EXTENT PERMITTED BY
LAW SUCH IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER THE LOAN DOCUMENTS.

     SECTION 5.12. Waiver of Jury Trial. THE ADMINISTRATIVE AGENT (ON BEHALF OF ITSELF AND
EACH OTHER SECURED PARTY) AND EACH GUARANTOR HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE
TO THE FULLEST EXTENT PERMITTED BY LAW ANY RIGHTS THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF
ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, EACH LOAN DOCUMENT,
OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN)

Guaranty (Second Lien)

8

 

OR ACTIONS OF THE ADMINISTRATIVE AGENT, SUCH LENDER OR SUCH GUARANTOR IN CONNECTION THEREWITH.
EACH GUARANTOR ACKNOWLEDGES AND AGREES THAT IT HAS RECEIVED FULL AND SUFFICIENT CONSIDERATION FOR
THIS PROVISION (AND EACH OTHER PROVISION OF EACH OTHER LOAN DOCUMENT TO WHICH IT IS A PARTY) AND
THAT THIS PROVISION IS A MATERIAL INDUCEMENT FOR THE ADMINISTRATIVE AGENT AND EACH LENDER ENTERING
INTO THE LOAN DOCUMENTS.

     SECTION 5.13. Counterparts. This Guaranty may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Guaranty by facsimile (or other electronic) transmission shall be effective
as delivery of a manually executed counterpart of this Guaranty.

     SECTION 5.14. Intercreditor Agreement. Notwithstanding anything herein to the
contrary, the exercise of any right or remedy by the Collateral Agent, Administrative Agent or any
Lender hereunder is subject to the terms, conditions and provisions of the Intercreditor Agreement
in all respects. In the event of any conflict between the terms of the Intercreditor Agreement and
this Guaranty, the terms of the Intercreditor Agreement shall govern and control in all respects.

Guaranty (Second Lien)

9

 

     IN WITNESS WHEREOF, each Guarantor has caused this Guaranty to be duly executed and delivered
by its Authorized Officer, solely in such capacity and not as an individual, as of the date first
above written.

	 	 	 	 	 
	 

	 	HANESBRANDS INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	HANESBRANDS DIRECT, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	UPEL, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	CARIBETEX, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	SEAMLESS TEXTILES, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:

Guaranty (Second Lien)

10

 

	 	 	 	 	 
	 

	 	BA INTERNATIONAL, L.L.C.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	HBI INTERNATIONAL, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	HBI BRANDED APPAREL ENTERPRISES, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	CASA INTERNATIONAL, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	UPCR, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:

Guaranty (Second Lien)

11

 

	 	 	 	 	 
	 

	 	HBI SOURCING, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	CEIBENA DEL, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	NT INVESTMENT COMPANY, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	HANESBRANDS DISTRIBUTION, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	CARIBESOCK, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:

Guaranty (Second Lien)

12

 

	 	 	 	 	 
	 

	 	NATIONAL TEXTILES, L.L.C.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	HANES PUERTO RICO, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	PLAYTEX INDUSTRIES, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	INNER SELF LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	 

	 	PLAYTEX DORADO, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:

Guaranty (Second Lien)

13

 

	 	 	 	 	 
	 

	 	HANES MENSWEAR, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:

Guaranty (Second Lien)

14

 

	 	 	 	 	 
	ACCEPTED AND AGREED FOR ITSELF

AND ON BEHALF OF THE SECURED PARTIES:
	 
	 	 	 	 
	CITICORP USA, INC.,

     as Administrative Agent
	 
	 	 	 	 
	By:	 	 
	 	 	 
	 	 	Name:

Title:

Guaranty (Second Lien)

15

 

ANNEX I to

the Guaranty

     THIS SUPPLEMENT, dated
as of ____________ ___,
____________ (this “Supplement”), is to the
Guaranty, dated as of September 5, 2006 (as amended, supplemented, amended and restated or
otherwise modified from time to time, the “Guaranty”), among the Guarantors (such
capitalized term, and other terms used in this Supplement, to have the meanings set forth or
incorporated by reference in Article I of the Guaranty) from time to time party thereto, in favor
of CITICORP USA, INC., as administrative agent (together with its successor(s) thereto in such
capacity, the “Administrative Agent”) for each of the Secured Parties.

W I T N E S S E T H:

     WHEREAS, pursuant to the provisions of Section 5.5 of the Guaranty, each of the undersigned is
becoming a Guarantor under the Guaranty; and

     WHEREAS, each of the undersigned desires to become a “Guarantor” under the Guaranty in order
to induce each Secured Party to continue its Loans under the Credit Agreement;

     NOW, THEREFORE, in consideration of the premises, and for other consideration (the receipt and
sufficiency of which is hereby acknowledged), each of the undersigned agrees, for the benefit of
each Secured Party, as follows.

     SECTION 1. Party to Guaranty, etc. In accordance with the terms of the Guaranty, by
its signature below, each of the undersigned hereby irrevocably agrees to become a Guarantor under
the Guaranty with the same force and effect as if it were an original signatory thereto and each of
the undersigned hereby (a) agrees to be bound by and comply with all of the terms and provisions of
the Guaranty applicable to it as a Guarantor and (b) represents and warrants that the
representations and warranties made by it as a Guarantor thereunder are true and correct in all
material respects as of the date hereof. In furtherance of the foregoing, each reference to a
“Guarantor” and/or “Guarantors” in the Guaranty shall be deemed to include each of the undersigned.

     SECTION 2. Representations. Each of the undersigned hereby represents and warrants
that this Supplement has been duly authorized, executed and delivered by it and that this
Supplement and the Guaranty constitute the legal, valid and binding obligation of each of the
undersigned, enforceable (except, in any case, as such enforceability may be limited by applicable
bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights generally and by
principles of equity) against it in accordance with its terms.

     SECTION 3. Full Force of Guaranty. Except as expressly supplemented hereby, the
Guaranty shall remain in full force and effect in accordance with its terms.

     SECTION 4. Severability. Wherever possible each provision of this Supplement shall be
interpreted in such manner as to be effective and valid under applicable law, but if any provision
of this Supplement shall be prohibited by or invalid under such law, such provision

Guaranty (Second Lien)

 

 

shall be ineffective to the extent of such prohibition or invalidity, without invalidating the
remainder of such provision or the remaining provisions of this Supplement or the Guaranty.

     SECTION 5. Indemnity; Fees and Expenses, etc. Without limiting the provisions of any
other Loan Document, each of the undersigned agrees to reimburse the Administrative Agent for its
reasonable out-of-pocket expenses incurred in connection with this Supplement, including reasonable
attorney’s fees and out-of-pocket expenses of the Administrative Agent’s counsel.

     SECTION 6. Governing Law, Entire Agreement, etc. THIS SUPPLEMENT WILL BE DEEMED TO BE
A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR
SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).
This Supplement and the other Loan Documents constitute the entire understanding among the parties
hereto with respect to the subject matter hereof and thereof and supersede any prior agreements,
written or oral, with respect thereto.

     SECTION 7. Counterparts. This Supplement may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Supplement by facsimile (or other electronic) transmission shall be
effective as delivery of a manually executed counterpart of this Supplement.

     SECTION 8. Intercreditor Agreement. Notwithstanding anything herein to the contrary,
the exercise of any right or remedy by the Collateral Agent, Administrative Agent or any Lender
hereunder or under the Guaranty, as supplemented hereby, is subject to the terms, conditions and
provisions of the Intercreditor Agreement in all respects. In the event of any conflict between
the terms of the Intercreditor Agreement and the Guaranty or this Supplement, the terms of the
Intercreditor Agreement shall govern and control.

Guaranty (Second Lien)

Annex I-2

 

     IN WITNESS WHEREOF, each of the undersigned has caused this Supplement to be duly executed and
delivered by its Authorized Officer as of the date first above written.

	 	 	 	 	 	 	 
	 

	 	 	 	[NAME OF ADDITIONAL SUBSIDIARY]
	 
	 	 	 	 	 	 
	 

	 	 	 	By:	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:

Title:
	 
	 	 	 	 	 	 
	 

	 	 	 	[NAME OF ADDITIONAL SUBSIDIARY]
	 
	 	 	 	 	 	 
	 

	 	 	 	By:	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:

Title:
	 
	 	 	 	 	 	 
	 

	 	 	 	[NAME OF ADDITIONAL SUBSIDIARY]
	 
	 	 	 	 	 	 
	 

	 	 	 	By:	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:

Title:
	 
	 	 	 	 	 	 
	ACCEPTED AND AGREED FOR ITSELF

AND ON BEHALF OF THE SECURED PARTIES:	 	 	 	 
	 
	 	 	 	 	 	 
	CITICORP USA, INC.,

     as Administrative Agent	 	 	 	 
	 
	 	 	 	 	 	 
	By:
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:

Title:	 	 	 	 

Guaranty (Second Lien)

Annex I-3

 

EXHIBIT G

EXECUTION COPY

PLEDGE AND SECURITY AGREEMENT

THE EXERCISE BY THE COLLATERAL AGENT, ADMINISTRATIVE AGENT OR ANY LENDER HEREUNDER OF ITS RIGHTS
HEREUNDER IS SUBJECT TO THE TERMS, CONDITIONS AND RESTRICTIONS IN THE INTERCREDITOR AGREEMENT
REFERRED TO IN SECTION 7.13 BELOW.

     This PLEDGE AND SECURITY AGREEMENT, dated as of September 5, 2006 (as amended, supplemented,
amended and restated or otherwise modified from time to time, this “Security Agreement”),
is made by HANESBRANDS INC., a Maryland corporation (the “Company”), HBI BRANDED APPAREL
LIMITED, INC., a Delaware corporation (the “Borrower”), and each Subsidiary Guarantor
(terms used in the preamble and the recitals have the definitions set forth in or incorporated by
reference in Article I) from time to time a party to this Security Agreement (each
individually a “Grantor” and collectively, the “Grantors”), in favor of CITIBANK,
N.A., a national banking association organized under the laws of the United States, as the
collateral agent (together with its successor(s) thereto in such capacity, the “Collateral
Agent”) for each of the Secured Parties and CITICORP USA, INC., as the administrative agent
(together with its successor(s) thereto in such capacity, the “Administrative Agent”) for
each of the Secured Parties.

W
I T N E S S E T H:

     WHEREAS, pursuant to a Second Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from time to time, the
“Credit Agreement”), among the Company, the Borrower, the Lenders, HSBC Bank USA, National
Association, LaSalle Bank National Association and Barclays Bank PLC, as the Co-Documentation
Agents, Merrill Lynch, Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc.,
as the Co-Syndication Agents, the Administrative Agent, the Collateral Agent, and Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead
Arrangers and Joint Bookrunners, the Lenders have extended Commitments to make Loans to the
Borrower;

     WHEREAS, as a condition precedent to the making of the Loans under the Credit Agreement, each
Grantor is required to execute and deliver this Security Agreement; and

     WHEREAS, the Liens granted hereunder in respect of the Collateral are subject to the terms,
conditions and provisions of the Intercreditor Agreement in all respects;

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, each Grantor agrees, for the benefit of each Secured Party, as follows:

Pledge and Security Agreement (Second Lien)

 

 

ARTICLE VII

DEFINITIONS

     SECTION 1.1. Certain Terms. The following terms (whether or not underscored) when
used in this Security Agreement, including its preamble and recitals, shall have the following
meanings (such definitions to be equally applicable to the singular and plural forms thereof):

     “Administrative Agent” is defined in the preamble.

     “Borrower” is defined in the preamble.

     “Collateral” is defined in Section 2.1.

     “Collateral Account” is defined in clause (b) of Section 4.3.

     “Collateral Agent” is defined in the preamble.

     “Company” is defined in the preamble.

     “Computer Hardware and Software Collateral” means all of the Grantors’ right, title
and interest in and to:

          (a) all computer and other electronic data processing hardware, integrated computer
systems, central processing units, memory units, display terminals, printers, features,
computer elements, card readers, tape drives, hard and soft disk drives, cables, electrical
supply hardware, generators, power equalizers, accessories and all peripheral devices and
other related computer hardware, including all operating system software, utilities and
application programs in whatsoever form;

          (b) all software programs (including both source code, object code and all related
applications and data files), designed for use on the computers and electronic data
processing hardware described in clause (a) above;

          (c) all firmware associated therewith;

          (d) all documentation (including flow charts, logic diagrams, manuals, guides,
specifications, training materials, charts and pseudo codes) with respect to such hardware,
software and firmware described in the preceding clauses (a) through (c);
and

          (e) all rights with respect to all of the foregoing, including copyrights, licenses,
options, warranties, service contracts, program services, test rights, maintenance rights,
support rights, improvement rights, renewal rights and indemnifications and any
substitutions, replacements, improvements, error corrections, updates, additions or model
conversions of any of the foregoing;

provided that the foregoing shall not include Excluded Collateral.

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3

 

     “Control Agreement” means an authenticated record in form and substance reasonably
satisfactory to the Collateral Agent, that provides for the Collateral Agent to have “control” (as
defined in the UCC) over certain Collateral as provided herein.

     “Copyright Collateral” means all of the Grantors’ right, title and interest in and to:

          (a) all U.S. copyrights, registered or unregistered and whether published or
unpublished, now or hereafter in force including copyrights registered or applied for in the
United States Copyright Office, and registrations and recordings thereof and all
applications for registration thereof, whether pending or in preparation and all extensions
and renewals of the foregoing (“Copyrights”), including the Copyrights which are the
subject of a registration or application referred to in Item A of Schedule
V;

          (b) all express or implied Copyright licenses and other agreements for the grant by or
to such Grantor of any right to use any items of the type referred to in clause (a) above
(each a “Copyright License”), including each Copyright License referred to in
Item B of Schedule V;

          (c) the right to sue for past, present and future infringements of any of the
Copyrights owned by such Grantor, and for breach or enforcement of any Copyright License;
and

          (d) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits);

provided that the foregoing shall not include Excluded Collateral.

     “Credit Agreement” is defined in the first recital.

     “Distributions” means all dividends paid on Capital Securities, liquidating dividends
paid on Capital Securities, shares (or other designations) of Capital Securities resulting from (or
in connection with the exercise of) stock splits, reclassifications, warrants, options, non-cash
dividends, mergers, consolidations, and all other distributions on or with respect to any Capital
Securities constituting Collateral.

     “Excluded Accounts” means payroll accounts, petty cash accounts, pension fund
accounts, 401(k) accounts, zero-balance accounts and other accounts that any Grantor may hold in
trust for others.

     “Excluded Collateral” is defined in Section 2.1.

     “General Intangibles” means all “general intangibles” and all “payment intangibles”,
each as defined in the UCC, and shall include all interest rate or currency protection or hedging
arrangements, all tax refunds, all licenses, permits, concessions and authorizations and all
Intellectual Property Collateral (in each case, regardless of whether characterized as general
intangibles under the UCC).

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     “Grantor” and “Grantors” are defined in the preamble.

     “Intellectual Property” means Trademarks, Patents, Copyrights, Trade Secrets and all
other similar types of intellectual property under any law, statutory provision or common law
doctrine in the United States.

     “Intellectual Property Collateral” means, collectively, the Computer Hardware and
Software Collateral, the Copyright Collateral, the Patent Collateral, the Trademark Collateral and
the Trade Secrets Collateral.

     “Owned Intellectual Property Collateral” means all Intellectual Property Collateral
that is owned by the Grantors.

     “Patent Collateral” means all of the Grantors’ right, title and interest in and to:

          (a) inventions and discoveries, whether patentable or not, all letters patent and
applications for United States letters patent, including all United States patent
applications in preparation for filing, including all reissues, divisions, continuations,
continuations-in-part, extensions, renewals and reexaminations of any of the foregoing,
including all patents issued by, or patent applications filed with, the United States Patent
and Trademark Office (“Patents”), including each Patent and Patent application
referred to in Item A of Schedule III;

          (b) all Patent licenses, and other agreements for the grant by or to such Grantor of
any right to use any items of the type referred to in clause (a) above (each a
“Patent License”), including each Patent License referred to in Item B of
Schedule III;

          (c) the right to sue third parties for past, present and future infringements of any
Patent or Patent application, and for breach or enforcement of any Patent License; and

          (d) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits);

provided that the foregoing shall not include Excluded Collateral.

     “Permitted Liens” means all Liens permitted by Section 7.2.3 of the Credit Agreement
or any other Loan Document.

     “Second-Priority” means , with respect to any Lien purported to be created in any
Collateral pursuant to any Loan Document, that such Lien is the most senior Lien to which such
Collateral is subject (other than (i) Liens created to secure the obligations under the First Lien
Loan Documents and as otherwise permitted under the Intercreditor Agreement and (ii) any other
Permitted Liens).

     “Securities Act” is defined in clause (a) of Section 6.2.

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5

 

     “Security Agreement” is defined in the preamble.

     “Trademark Collateral” means all of the Grantors’ right, title and interest in and to:

          (a) (i) all United States trademarks, trade names, corporate names, company names,
business names, fictitious business names, trade styles, service marks, certification marks,
collective marks, logos and other source or business identifiers, and all goodwill of the
business associated therewith, now existing or hereafter adopted or acquired, whether
currently in use or not, all registrations and recordings thereof and all applications in
connection therewith, whether pending or in preparation for filing, including registrations,
recordings and applications in the United States Patent and Trademark Office, and all
common-law rights relating to the foregoing, and (ii) the right to obtain all reissues,
extensions or renewals of the foregoing (collectively referred to as “Trademarks”),
including those Trademarks referred to in Item A of Schedule IV;

          (b) all Trademark licenses and other agreements for the grant by or to such Grantor of
any right to use any Trademark (each a “Trademark License”), including each
Trademark License referred to in Item B of Schedule IV; and

          (c) all of the goodwill of the business connected with the use of, and symbolized by
the Trademarks described in clause (a) and, to the extent applicable, clause
(b);

          (d) the right to sue third parties for past, present and future infringements or
dilution of the Trademarks described in clause (a) and, to the extent applicable,
clause (b) or for any injury to the goodwill associated with the use of any such
Trademark or for breach or enforcement of any Trademark License; and

          (e) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits);

provided that the foregoing shall not include Excluded Collateral.

     “Trade Secrets Collateral” means all of the Grantors’ right, title and interest
throughout the world in and to (a) all common law and statutory trade secrets and all other
confidential, proprietary or useful information and all know how (collectively referred to as
“Trade Secrets”) obtained by or used in or contemplated at any time for use in the business
of a Grantor, whether or not such Trade Secret has been reduced to a writing or other tangible
form, including all Documents and things embodying, incorporating or referring in any way to such
Trade Secret, (b) all Trade Secret licenses and other agreements for the grant by or to such
Grantor of any right to use any Trade Secret (each a “Trade Secret License”) including the
right to sue for and to enjoin and to collect damages for the actual or threatened misappropriation
of any Trade Secret and for the breach or enforcement of any such Trade Secret License, and (d) all
proceeds of, and rights associated with, the foregoing (including Proceeds, licenses, royalties,
income, payments, claims, damages and proceeds of infringement suits);

provided that the foregoing shall not include Excluded Collateral.

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6

 

     SECTION 1.2. Credit Agreement Definitions. Unless otherwise defined herein or the
context otherwise requires, terms used in this Security Agreement, including its preamble and
recitals, have the meanings provided in the Credit Agreement.

     SECTION 1.3. UCC Definitions. When used herein the terms Account, Certificate of
Title, Certificated Securities, Chattel Paper, Commercial Tort Claim, Commodity Account, Commodity
Contract, Deposit Account, Document, Electronic Chattel Paper, Equipment, Goods, Instrument,
Inventory, Investment Property, Letter-of-Credit Rights, Payment Intangibles, Proceeds, Promissory
Notes, Securities Account, Security Entitlement, Supporting Obligations and Uncertificated
Securities have the meaning provided in Article 8 or Article 9, as applicable, of the UCC. Letters
of Credit has the meaning provided in Section 5-102 of the UCC.

ARTICLE II

SECURITY INTEREST

     SECTION 2.1. Grant of Security Interest. Each Grantor hereby grants to the Collateral
Agent, for its benefit and the ratable benefit of each other Secured Party, a continuing security
interest in all of such Grantor’s right, title and interest in and to the following property,
whether now or hereafter existing, owned or acquired by such Grantor, and wherever located,
(collectively, the “Collateral”):

          (a) Accounts;

          (b) Chattel Paper;

          (c) Commercial Tort Claims listed on Item I of Schedule II (as such
schedule may be amended or supplemented from time to time);

          (d) Deposit Accounts;

          (e) Documents;

          (f) General Intangibles;

          (g) Goods;

          (h) Instruments;

          (i) Investment Property;

          (j) Letter-of-Credit Rights and Letters of Credit;

          (k) Supporting Obligations;

          (l) all books, records, writings, databases, information and other property relating
to, used or useful in connection with, evidencing, embodying, incorporating or referring to,
any of the foregoing in this Section;

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7

 

          (m) all Proceeds and products of the foregoing and, to the extent not otherwise
included, all payments under insurance (whether or not the Collateral Agent is the loss
payee thereof); and

          (n) all other property and rights of every kind and description and interests therein.

     Notwithstanding the foregoing, the term “Collateral” shall not include the following
(collectively, the “Excluded Collateral”):

               (i) such Grantor’s real property interests (including fee real estate,
leasehold interests and fixtures);

               (ii) any General Intangibles, healthcare insurance receivables or other rights
arising under any contracts, instruments, licenses or other documents as to which
the grant of a security interest would (A) constitute a violation of a valid and
enforceable restriction in favor of a third party on such grant, unless any required
consent shall have been obtained, (B) give any other party to such contract,
instrument, license or other document the right to terminate its obligations
thereunder, or (C) otherwise cause such Grantor to lose material rights thereunder;

               (iii) Investment Property consisting of Capital Securities of a direct Foreign
Subsidiary of such Grantor, in excess of 65% of the total combined voting power of
all Capital Securities of each such direct Foreign Subsidiary, except that such 65%
limitation shall not apply to a direct Foreign Subsidiary that (x) is treated as a
partnership under the Code or (y) is not treated as an entity that is separate from
(A) such Grantor; (B) any Person that is treated as a partnership under the Code or
(C) any “United States person” (as defined in Section 7701(a)(30) of the Code);

               (iv) any Investment Property (other than Equity Interests of a Subsidiary) of
any of the Grantors to the extent that applicable law or the organizational
documents or other applicable agreements among the investors of such Person with
respect to any such Investment Property (A) does not permit the grant of a security
interest in such interest or an assignment of such interest or requires the consent
of any third party to permit such grant of a security interest or assignment or (B)
would, following the grant of a security interest or assignment hereunder, would
cause any other Person (other than the Company or any of its Subsidiaries) to have
the right to purchase such Investment Property;

               (v) any real or personal property, the granting of a security interest in which
would be void or illegal under any applicable governmental law, rule or regulation,
or pursuant thereto would result in, or permit the termination of, such asset;

               (vi) any real or personal property subject to a Permitted Lien (other than
Liens in favor of the Collateral Agent) to the extent that the grant of other Liens

Pledge and Security Agreement (Second Lien)

8

 

on such asset (A) would result in a breach or violation of, or constitute a
default under, the agreement or instrument governing such Permitted Lien, (B) would
result in the loss of use of such asset, (C) would permit the holder of such
Permitted Lien to terminate such Grantor’s use of such asset or (D) would otherwise
result in a loss of material rights of such Grantor in such asset;

               (vii) any Excluded Accounts;

               (viii) any Excluded Contracts to the extent any third party consent required to
grant a security interest in such rights, contracts, licenses, leases and other
agreements has not been obtained by the applicable Grantor; provided that
any such rights, contracts, licenses, leases and other agreements shall constitute
Collateral and a security interest shall attach immediately to any such rights,
contracts, licenses, leases and other agreements at the time the applicable Grantor
obtains the applicable required consent; or

               (ix) any applications for United States trademark registration pursuant to IS
U.S.L. §1051(b) (i.e., an intent-to-use application), until such time as such
registration is granted or, if earlier, the date of first use of the trademark, at
which point such application or registration shall constitute Collateral.

     SECTION 2.2. Security for Obligations. This Security Agreement and the Collateral in
which the Collateral Agent for the benefit of the Secured Parties is granted a security interest
hereunder by the Grantors secure the payment and performance of all of the Obligations.

     SECTION 2.3. Grantors Remain Liable. Anything herein to the contrary notwithstanding,
to the extent permitted by applicable law:

          (a) the Grantors will remain liable under the contracts and agreements included in the
Collateral to the extent set forth therein, and will perform all of their duties and
obligations under such contracts and agreements to the same extent as if this Security
Agreement had not been executed;

          (b) the exercise by the Collateral Agent of any of its rights hereunder will not
release any Grantor from any of its duties or obligations under any such contracts or
agreements included in the Collateral; and

          (c) no Secured Party will have any obligation or liability under any contracts or
agreements included in the Collateral by reason of this Security Agreement, nor will any
Secured Party be obligated to perform any of the obligations or duties of any Grantor
thereunder or to take any action to collect or enforce any claim for payment assigned
hereunder.

     SECTION 2.4. Distributions on Pledged Shares. In the event that any Distribution with
respect to any Capital Securities pledged hereunder is permitted to be paid (in accordance with
Section 7.2.6 of the Credit Agreement), such Distribution or payment may be paid directly to the
applicable Grantor. If any Distribution is made in contravention of Section 7.2.6 of the Credit

Pledge and Security Agreement (Second Lien)

9

 

Agreement, such Grantor shall hold the same segregated and for the benefit of the Collateral
Agent until paid to the Collateral Agent in accordance with Section 4.1.5.

     SECTION 2.5. Security Interest Absolute, etc. To the extent permitted by applicable
law, this Security Agreement shall in all respects be a continuing, absolute, unconditional and
irrevocable grant of security interest, and shall remain in full force and effect until the
Termination Date. To the extent permitted by applicable law, all rights of the Secured Parties and
the security interests granted to the Collateral Agent (for its benefit and the ratable benefit of
each other Secured Party) hereunder, and all obligations of the Grantors hereunder, shall, in each
case, be absolute, unconditional and irrevocable irrespective of:

          (a) any lack of validity, legality or enforceability of any Loan Document or other
applicable agreement under which such Obligations arise;

          (b) the failure of any Secured Party (i) to assert any claim or demand or to enforce
any right or remedy against the Borrower or any of its Subsidiaries or any other Person
(including any other Grantor) under the provisions of any Loan Document or other applicable
agreement under which such Obligations arise or otherwise, or (ii) to exercise any right or
remedy against any other guarantor (including any other Grantor) of, or Collateral securing,
any Obligations;

          (c) any change in the time, manner or place of payment of, or in any other term of, all
or any part of the Obligations, or any other extension, compromise or renewal of any
Obligations;

          (d) any reduction, limitation, impairment or termination of any Obligations for any
reason (other than the occurrence of the Termination Date), including any claim of waiver,
release, surrender, alteration or compromise, and shall not be subject to (and each Grantor
hereby waives (to the extent permitted by law) any right to or claim of) any defense or
setoff, counterclaim, recoupment or termination whatsoever by reason of the invalidity,
illegality, nongenuineness, irregularity, compromise, unenforceability of, or any other
event or occurrence affecting, any Obligations or otherwise;

          (e) any amendment to, rescission, waiver, or other modification of, or any consent to
or departure from, any of the terms of any Loan Document or other applicable agreement under
which such Obligations arise;

          (f) any addition, exchange or release of any Collateral or of any Person that is (or
will become) a Grantor (including the Grantors hereunder) of the Obligations, or any
surrender or non-perfection of any Collateral, or any amendment to or waiver or release or
addition to, or consent to or departure from, any other guaranty held by any Party securing
any of the Obligations; or

          (g) any other circumstance (other than payment or performance of the Obligations, in
each case in full and, with respect to payments, in cash) which might otherwise constitute a
defense available to, or a legal or equitable discharge of, the Borrower or any of its
Subsidiaries, any surety or any guarantor.

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10

 

     SECTION 2.6. Postponement of Subrogation. Each Grantor agrees that it will not
exercise any rights against another Grantor which it may acquire by way of rights of subrogation
under any Loan Document or other applicable agreement under which such Obligations arise to which
it is a party until the Termination Date. No Grantor shall seek any contribution or reimbursement
from the Company or any of its Subsidiaries, in respect of any payment made under any Loan Document
or other applicable agreement under which such Obligations arise or otherwise, until following the
Termination Date. Any amount paid to such Grantor on account of any such subrogation rights prior
to the Termination Date shall be held in trust for the benefit of the Secured Parties and (subject
to the terms, conditions and restrictions of the Intercreditor Agreement) shall immediately be paid
and turned over to the Collateral Agent for the benefit of the Secured Parties in the exact form
received by such Grantor (duly endorsed in favor of the Collateral Agent, if required), to be
credited and applied against the outstanding Obligations in accordance with Section 6.1;
provided that if such Grantor has made payment to the Parties of all or any part of the
Obligations and the Termination Date has occurred, then upon such Grantor’s notice to the
Collateral Agent of such payment and request, the Collateral Agent (on behalf of the Secured
Parties) will, at the expense of such Grantor, execute and deliver to such Grantor appropriate
documents (without recourse and without representation or warranty) necessary to evidence the
transfer by subrogation to such Grantor of an interest in the Obligations resulting from such
payment. In furtherance of the foregoing, at all times prior to the Termination Date, such Grantor
shall refrain from taking any action or commencing any proceeding against the Company or any of its
Subsidiaries (or its successors or assigns, whether in connection with a bankruptcy proceeding or
otherwise) to recover any amounts in respect of payments made under this Security Agreement to any
Secured Party.

ARTICLE III

REPRESENTATIONS AND WARRANTIES

     In order to induce the Secured Parties to enter into the Credit Agreement and make Loans
thereunder, after giving effect to the consummation of the IP Purchase and the Spin-Off, the
Grantors represent and warrant to each Secured Party as set forth below.

     SECTION 3.1. As to Capital Securities of the Subsidiaries, Investment Property.

          (a) With respect to any direct U.S. Subsidiary of any Grantor that is

               (i) a corporation, business trust, joint stock company or similar Person, all
Capital Securities issued by such Subsidiary is duly authorized and validly issued,
fully paid and non-assessable; and

               (ii) a partnership or limited liability company, no Capital Securities issued
by such Subsidiary (A) is dealt in or traded on securities exchanges or in
securities markets, (B) expressly provides that such Capital Securities is a
security governed by Article 8 of the UCC or (C) is held in a Securities Account,
except, with respect to this clause (a)(ii), Capital Securities (x) for
which the Administrative Agent or the Collateral Agent is the registered owner or
(y) with respect to which the issuer has agreed in an authenticated record with such

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Grantor and the Collateral Agent (at the written instruction of the
Administrative Agent) to comply with any written instructions of the Collateral
Agent (at the written instruction of the Administrative Agent) without the consent
of such Grantor; provided that the Grantor shall have the right to provide
instructions to such issuer until such issuer receives notice of sole control from
the Collateral Agent (at the written instruction of the Administrative Agent) during
the continuance of an Event of Default; provided further that upon
the cure or waiver of all Events of Default, the Grantor shall have the right to
give instructions to the issuer.

          (b) Subject to Section 7.1.1. of the Credit Agreement, each Grantor has delivered all
Certificated Securities constituting Collateral held by such Grantor on the Closing Date to
the Collateral Agent, together with duly executed undated blank stock powers, or other
equivalent instruments of transfer reasonably acceptable to the Collateral Agent.

          (c) With respect to Uncertificated Securities constituting Collateral owned by any
Grantor (other than any Capital Securities in a Foreign Subsidiary which are
uncertificated), such Grantor has caused the issuer thereof either to (i) register the
Collateral Agent as the registered owner of such security or (ii) agree in an authenticated
record with such Grantor and the Collateral Agent that such issuer will comply with
instructions with respect to such security originated by the Collateral Agent without
further consent of such Grantor.

          Subject to the permitted update to Schedule I pursuant to Section 7.1.11 of the
Credit Agreement, as of the Closing Date, the percentage of the issued and outstanding
Capital Securities of each Subsidiary pledged by each Grantor hereunder is as set forth on
Schedule I.

         SECTION 3.2. Grantor Name, Location, etc.

          (a) As of the Closing Date, the jurisdiction in which each Grantor is located for
purposes of Sections 9-301 and 9-307 of the UCC is set forth in Item A of
Schedule II.

          (b) As of the Closing Date, each Grantor’s organizational identification number is set
forth in Item B of Schedule II.

          (c) During the four months preceding the date hereof, no Grantor has been known by any
legal name different from the one set forth on the signature page hereto, nor has such
Grantor been the subject of any merger or other corporate reorganization, except as set
forth in Item C of Schedule II hereto.

          (d) As of the Closing Date, each Grantor’s federal taxpayer identification number is
(and, during the four months preceding the date hereof, such Grantor has not had a federal
taxpayer identification number different from that) set forth in Item D of
Schedule II hereto.

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          (e) As of the Closing Date, no Grantor is a party to any federal, state or local
government contract with a value individually in excess of $2,000,000, except as set forth
in Item E of Schedule II hereto.

          (f) As of the Closing Date, no Grantor maintains any Deposit Accounts (other than
Excluded Accounts), Securities Accounts or Commodity Accounts with any Person, in each case,
except as set forth on Item F of Schedule II.

          (g) As of the Closing Date, no Grantor is the beneficiary of any Letters of Credit,
except as set forth on Item G of Schedule II.

          (h) As of the Closing Date, no Grantor has Commercial Tort Claims (x) in which a suit
has been filed by such Grantor and (y) where the amount of damages reasonably expected to be
claimed individually exceeds $2,000,000, except as set forth on Item H of
Schedule II.

          (i) As of the Closing Date, the name set forth on the signature page attached hereto is
the true and correct legal name (as defined in the UCC) of each Grantor.

          SECTION 3.3. Ownership, No Liens, etc. Each Grantor owns its Collateral free and
clear of any Lien, except for any security interest (a) created by this Security Agreement and (b)
in the case of Collateral other than Certificated Securities, a Permitted Lien. No effective UCC
financing statement or other filing similar in effect covering all or any part of the Collateral is
on file in any recording office, except those filed in favor of the Collateral Agent relating to
this Security Agreement, Permitted Liens, filings which have not been authorized by the applicable
Grantor or as to which a duly authorized termination statement relating to such UCC financing
statement or other instrument has been delivered to the Collateral Agent on the Closing Date.

          SECTION 3.4. Possession of Inventory, Control; etc.

          (a) Each Grantor has, and agrees that it will maintain, exclusive possession of its
Documents, Instruments, Promissory Notes (not otherwise delivered to the Collateral Agent),
Goods, Equipment and Inventory maintained in the U.S., other than (i) Equipment and
Inventory in transit or out for repair or refurbishing in the ordinary course of business,
(ii) Equipment and Inventory that is in the possession or control of a consignee,
warehouseman, bailee agent or other Person (other than an Affiliate of such Grantor) located
in the United States in the ordinary course of business; provided that, subject to
the terms of the Intercreditor Agreement to the extent the fair market value (as determined
in good faith by an Authorized Officer of the applicable Grantor) in any U.S. location
exceeds $5,000,000 and following notice from the Collateral Agent (at the request of the
Required Lenders) following the occurrence and during the continuance of an Event of Default
such Grantor shall promptly notify such Persons of the security interest created in favor of
the Secured Parties pursuant to this Security Agreement, and such Grantor shall use
commercially reasonable efforts to cause such party to authenticate a record acknowledging
that it holds possession of such Collateral for the Secured Parties’ benefit and waives or
subordinates any Lien held by it against such Collateral, (iii) Instruments or Promissory
Notes that have been delivered to

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the Collateral Agent pursuant to Section 3.5 or are not otherwise required to
be delivered hereunder and (iv) such other Documents, Instruments, Promissory Notes, Goods,
Equipment and Inventory with a fair market value (as determined in good faith by an
Authorized Officer of the applicable Grantor) of $2,000,000 in the aggregate. To each
Grantor’s knowledge as of the date hereof, in the case of Equipment or Inventory described
in clause (ii) above, no lessor or warehouseman of any premises or warehouse upon or
in which such Equipment or Inventory is located has (i) issued any warehouse receipt or
other receipt in the nature of a warehouse receipt in respect of any such Equipment or
Inventory, (ii) issued any Document for any such Equipment or Inventory, (iii) received
notification of any Secured Party’s interest (other than the security interest granted
hereunder) in any such Equipment or Inventory or (iv) any Lien on any such Equipment or
Inventory (other than Permitted Liens).

          (b) Each Grantor is the sole entitlement holder of its Accounts and no other Person
(other than the Collateral Agent pursuant to this Security Agreement or any other Person
with respect to Permitted Liens) has control or possession of, or any other interest in, any
of its Accounts or any other securities or property credited thereto.

     SECTION 3.5. Negotiable Documents, Instruments and Chattel Paper. Each Grantor has
delivered to the Collateral Agent possession of all originals of all Documents, Instruments,
Promissory Notes, and tangible Chattel Paper with an individual fair market value (as determined in
good faith by an Authorized Officer of the applicable Grantor) of at least $2,000,000 owned or held
by the Grantor on the Closing Date.

     SECTION 3.6. Intellectual Property Collateral.

          (a) In respect of the Intellectual Property Collateral as of the Closing Date:

               (i) set forth in Item A of Schedule III hereto is a complete
and accurate list of all issued and applied-for U.S. Patents owned by the Grantors
and set forth in Item B of Schedule III hereto is a complete and
accurate list of all Patent Licenses;

               (ii) set forth in Item A of Schedule IV hereto is a complete
and accurate list all registered and applied-for U.S. Trademarks owned by the
Grantors, including those that are registered, or for which an application for
registration has been made, with the United States Patent and Trademark Office and
set forth in Item B of Schedule IV hereto is a complete and accurate
list all Trademark Licenses; and

               (iii) set forth in Item A of Schedule V hereto is a complete
and accurate list of all registered and applied-for U.S. Copyrights owned by the
Grantors, and set forth in Item B of Schedule V hereto is a complete
and accurate list of all Copyright Licenses and a complete and accurate list of all
Copyright Licenses that are exclusive licenses granted to the Grantors in respect of
any Copyright that is registered with the United States Copyright Office.

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          (b) Except as disclosed on Schedules III through V, in respect of each
Grantor:

               (i) the Owned Intellectual Property Collateral is valid, subsisting, unexpired
and enforceable (except, in any case, as such enforceability may be limited by
applicable bankruptcy, insolvency, reorganization or similar laws affecting
creditors’ rights generally and by principles of equity) and has not been abandoned
or adjudged invalid or unenforceable (except, in any case, as such enforceability
may be limited by applicable bankruptcy, insolvency, reorganization or similar laws
affecting creditors’ rights generally and by principles of equity), in whole or in
part, except where the loss or expiration of such Owned Intellectual Property
Collateral would not be expected to have a Material Adverse Effect;

               (ii) such Grantor is the sole and exclusive owner of the entire and
unencumbered right, title and interest in and to the Owned Intellectual Property
Collateral (except for the Permitted Liens) and (A) as of the Closing Date, no
written claim, and (B) following the Closing Date, no written claim which has a
reasonable likelihood of an adverse determination and if adversely determined
against any Grantor would reasonably be expect to have Material Adverse Effect, in
each case has been made that such Grantor is or may be, in conflict with,
infringing, misappropriating, diluting, misusing or otherwise violating any of the
rights of any third party or that challenges the ownership, use, protectability,
registerability, validity, enforceability of any Owned Intellectual Property
Collateral or, to such Grantor’s knowledge, any other Intellectual Property
Collateral and, to such Grantor’s knowledge neither such Grantor nor the
Intellectual Property Collateral conflict with, infringe, misappropriate or dilute
or otherwise violate the rights of any third party;

               (iii) such Grantor has made all necessary filings and recordations to protect
its interest in any Owned Intellectual Property Collateral that is material to the
operations or business of such Grantor, including recordations of all of its
interests in the Patent Collateral, the Trademark Collateral and the Copyright
Collateral in the United States Patent and Trademark Office, the United States
Copyright Office and any patent, trademark or copyright office anywhere in the
world, as appropriate, and has used proper statutory notice, as applicable, in
connection with its use of any Patent, Trademark or Copyright;

               (iv) such Grantor has taken all commercially reasonable steps to safeguard its
Trade Secrets and to its knowledge (A) none of the Trade Secrets of such Grantor has
been used, divulged, disclosed or appropriated for the benefit of any other Person
other than such Grantor which could reasonably be expected to result in a Material
Adverse Effect; (B) no employee, independent contractor or agent of such Grantor has
misappropriated any Trade Secrets of any other Person in the course of the
performance of his or her duties as an employee, independent contractor or agent of
such Grantor which could reasonably be expected to result in a Material Adverse
Effect; and (C) no employee, independent contractor or

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agent of such Grantor is in default or breach of any term of any employment
agreement, non-disclosure agreement, assignment of inventions agreement or similar
agreement or contract relating in any way to the protection, ownership, development,
use or transfer of such Grantor’s Intellectual Property Collateral which could
reasonably be expected to result in a Material Adverse Effect;

               (v) no action by such Grantor is currently pending or threatened in writing
which asserts that any third party is infringing, misappropriating, diluting,
misusing or voiding any Owned Intellectual Property Collateral and, to such
Grantor’s knowledge, no third party is infringing upon, misappropriating, diluting,
misusing or voiding any Intellectual Property owned or used by such Grantor in any
material respect, or any of its respective licensees, in each case except as would
not have a Material Adverse Effect;

               (vi) no settlement or consents, covenants not to sue, nonassertion assurances,
or releases have been entered into by such Grantor or to which such Grantor is bound
that adversely affects its rights to own or use any material Intellectual Property
Collateral;

               (vii) except for the Permitted Liens, such Grantor has not made a previous
assignment, sale, transfer or agreement constituting a present or future assignment,
sale or transfer of any Intellectual Property Collateral for purposes of granting a
security interest or as collateral that has not been terminated or released;

               (viii) such Grantor has executed and delivered to the Collateral Agent,
Intellectual Property Collateral security agreements for all Copyrights, Patents and
Trademarks owned by such Grantor that constitute Collateral, including all
Copyrights, Patents and Trademarks on Schedules III, IV or V
(as such schedules may be amended or supplemented from time to time);

               (ix) such Grantor uses adequate standards of quality in the manufacture,
distribution, and sale of all products sold and in the provision of all services
rendered under or in connection with any Trademarks and has taken all commercially
reasonable action necessary to ensure that all licensees of any Trademarks owned by
such Grantor use such adequate standards of quality, in each case except as would
not have a Material Adverse Effect;

               (x) the consummation of the transactions contemplated by the Credit Agreement
and this Security Agreement will not result in the termination or material
impairment of any of the Intellectual Property Collateral necessary for the conduct
of such Grantor’s business;

               (xi) all employees, independent contractors and agents who have contributed to
the creation or development of any Owned Intellectual Property Collateral have been
a party to an enforceable assignment agreement with such Grantor in accordance with
applicable laws, according and granting exclusive

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ownership of such Owned Intellectual Property Collateral to such Grantor, in
each case except as could not reasonably be expected to have a Material Adverse
Effect; and

      (xii) such Grantor owns directly or is entitled to use by license or otherwise,
all Intellectual Property Collateral with respect to any of the foregoing reasonably
necessary for such Grantor’s business, in each case except as could not reasonably
be expected to have a Material Adverse Effect.

Notwithstanding anything contained herein to the contrary, it is understood and agreed that
(A) after the consummation of the IP Purchase, the Grantors shall be the owners of all the
rights, title and interests in, to and under the Intellectual Property Collateral and (B)
the Grantors’ interests in such Intellectual Property Collateral will not be recorded at the
applicable filing offices as of the Closing Date, but shall be filed in such filing offices
no later than five Business Days following the Closing Date.

     SECTION 3.7. Validity, etc.

          (a) This Security Agreement creates a valid security interest in the Collateral
securing the payment of the Obligations.

          (b) Each Grantor has filed or caused to be filed all UCC-1 financing statements listing
the Collateral Agent as “Secured Party” in the filing office for each Grantor’s jurisdiction
of organization listed in Item A of Schedule II (collectively, the
“Filing Statements”) (or has authorized the Administrative Agent to file the Filing
Statements suitable for timely and proper filing in such offices) and has taken all other:

               (i) actions necessary to obtain control of the Collateral (to the extent
required herein or in the Credit Agreement) as provided in Sections 9-104, 9-105,
9-106 and 9-107 of the UCC; and

               (ii) actions necessary to perfect the Collateral Agent’s security interest with
respect to any Collateral with a fair market value (as determined in good faith by
an Authorized Officer of the applicable Grantor) individually valued in excess of
$75,000 evidenced by a Certificate of Title.

          (c) Upon the filing of the Filing Statements with the appropriate agencies therefor the
security interests created under this Security Agreement shall constitute a perfected
security interest in the Collateral described on such Filing Statements in favor of the
Collateral Agent on behalf of the Secured Parties to the extent that a security interest
therein may be perfected by filing pursuant to the relevant UCC, prior to all other Liens,
except for Permitted Liens.

     SECTION 3.8. Authorization, Approval, etc. Except as have been obtained or made and
are in full force and effect, no authorization, approval or other action by, and no notice to or
filing with, any Governmental Authority or any other third party is required either

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          (a) for the grant by the Grantors of the security interest granted hereby or for the
execution, delivery and performance of this Security Agreement by the Grantors;

          (b) for the perfection or maintenance of the security interests hereunder including the
Second-Priority nature of such security interest to the extent each Grantor is required to
perfect a security interest hereunder in such Collateral (except with respect to the Filing
Statements or, with respect to Owned Intellectual Property Collateral, the recordation of
any agreements with the United States Patent and Trademark Office or the United States
Copyright Office) or the exercise by the Collateral Agent of its rights and remedies
hereunder; or

          (c) for the exercise by the Collateral Agent of the voting or other rights provided for
in this Security Agreement, or, except (i) with respect to any securities issued by a
Subsidiary of the Grantors, as may be required in connection with a disposition of such
securities by laws affecting the offering and sale of securities generally, the remedies in
respect of the Collateral pursuant to this Security Agreement, (ii) any “change of control”
or similar filings required by state licensing agencies and (iii) with respect to any
interest in a limited liability company, as may be required to become a member and/or vote
such interest.

          SECTION 3.9. Best Interests. It is in the best interests of each Grantor (other than
the Borrower) to execute this Security Agreement inasmuch as such Grantor will, as a result of
being an Affiliate of the Borrower, derive substantial direct and indirect benefits from the Loans
made from time to time to the Borrower by the Lenders pursuant to the Credit Agreement, and each
Grantor acknowledges that the Secured Parties are relying on this representation in agreeing to
make such Loans pursuant to the Credit Agreement to the Borrower.

ARTICLE IV

COVENANTS

         Each Grantor covenants and agrees that, until the Termination Date, such Grantor will perform,
comply with and be bound by the obligations set forth below.

         SECTION 4.1. As to Investment Property, etc.

         SECTION 4.1.1. Capital Securities of Subsidiaries. No Grantor will allow any of its
U.S. Subsidiaries:

          (a) that is a corporation, business trust, joint stock company or similar Person, after
the date hereof to issue Uncertificated Securities;

          (b) that is a partnership or limited liability company, to (i) issue Capital Securities
that are to be dealt in or traded on securities exchanges or in securities markets,
(ii) expressly provide in its Organic Documents that its Capital Securities are
securities governed by Article 8 of the UCC unless such Capital Securities have been
delivered to the Collateral Agent on the Closing Date or, to the extent such Organic
Documents are modified to provide that such Capital Securities are securities governed by
Article 8 of the UCC such Capital Securities, together with duly executed undated blank
instruments

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of transfer reasonably acceptable to the Collateral Agent, are delivered to the
Collateral Agent on or prior to the date of such modification, or (iii) subject to the terms
of the Intercreditor Agreement, place such Subsidiary’s Capital Securities in a Securities
Account unless such Securities Account is subject to a Control Agreement; and

          (c) to issue Capital Securities in addition to or in substitution for the Capital
Securities pledged hereunder, except to such Grantor (and such Capital Securities are
immediately pledged and delivered to the Collateral Agent pursuant to the terms of this
Security Agreement).

     SECTION 4.1.2. Investment Property (other than Certificated Securities).

          (a) Other than Excluded Accounts, with respect to any Deposit Accounts, Securities
Accounts, Commodity Accounts, Commodity Contracts or Security Entitlements constituting
Investment Property owned or held by any Grantor with an intermediary who is not a Secured
Party, such Grantor will, upon notice from the Collateral Agent (at the request of the
Required Lenders), and subject to the terms, conditions and provisions of the Intercreditor
Agreement, following the occurrence and during the continuance of an Event of Default, take
commercially reasonable efforts to cause the intermediary maintaining such Investment
Property to execute a Control Agreement relating to such Investment Property pursuant to
which such intermediary agrees to comply with the Collateral Agent’s instructions with
respect to such Investment Property upon the Collateral Agent’s notice of sole control
following the occurrence and during the continuance of an Event of Default; provided
that the Administrative Agent agrees to instruct the Collateral Agent to promptly rescind
such notice upon the cure or waiver of all Events of Default.

          (b) Subject to the terms, conditions and provisions of the Intercreditor Agreement,
with respect to any Uncertificated Securities (other than Uncertificated Securities credited
to a Securities Account and any Capital Securities in a Foreign Subsidiary which are
uncertificated) constituting Investment Property owned or held by any Grantor, such Grantor
will take commercially reasonable efforts to cause the issuer of such securities to either
(i) register the Collateral Agent as the registered owner thereof on the books and records
of the issuer or (ii) execute a Control Agreement relating to such Investment Property
pursuant to which the issuer agrees to comply with the Collateral Agent’s instructions with
respect to such Uncertificated Securities upon notice of sole control following the
occurrence and during the continuance of an Event of Default; provided that the
Administrative Agent agrees to instruct the Collateral Agent to promptly rescind such notice
upon the cure or waiver of all Events of Default.

     SECTION 4.1.3. Certificated Securities (Stock Powers). Subject to Section 7.1.11 of
the Credit Agreement and applicable local law regarding the retention of certificates representing
Equity Interests in the appropriate jurisdiction, each Grantor agrees that all Certificated
Securities, including the Capital Securities delivered by such Grantor pursuant to this Security
Agreement, will be accompanied by duly executed undated blank stock powers, or other equivalent
instruments of transfer reasonably acceptable to the Collateral Agent.

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     SECTION 4.1.4. Continuous Pledge. Subject to Section 7.1.11 of the Credit Agreement
and applicable local law regarding the retention of certificates representing Equity Interests in
the appropriate jurisdiction, each Grantor will (subject to the terms of the Intercreditor
Agreement and the requirements hereunder) deliver to the Collateral Agent and at all times keep
pledged to the Collateral Agent pursuant hereto, on a Second-Priority, or at all times after the
First Lien Termination Date, a first-priority, perfected basis (subject to Permitted Liens), in
each case in accordance with all applicable U.S. laws, all Investment Property, all Dividends and
Distributions with respect thereto, all Payment Intangibles to the extent they are evidenced by a
Document, Instrument, Promissory Note or Chattel Paper, and all interest and principal with respect
to such Payment Intangibles, and all Proceeds and rights from time to time received by or
distributable to such Grantor in respect of any of the foregoing, in each case to the extent such
asset constitutes Collateral. Subject to the terms, conditions and provisions of the Intercreditor
Agreement, each Grantor agrees that it will, promptly following receipt thereof, deliver to the
Collateral Agent possession of all originals of negotiable Documents, Instruments, Promissory Notes
and Chattel Paper that it acquires following the Closing Date to the extent otherwise required
hereunder.

     SECTION 4.1.5. Voting Rights; Dividends, etc. Subject to the terms, conditions and
provisions of the Intercreditor Agreement, each Grantor agrees promptly upon receipt of notice from
the Administrative Agent of the Administrative Agent’s or Collateral Agent’s intent to seek
remedies under this Section 4.1.5 after the occurrence and continuance of a Specified
Default:

          (a) so long as such Specified Default shall continue, to deliver (properly endorsed
where required hereby or requested by the Administrative Agent) to the Collateral Agent all
Dividends and Distributions with respect to Investment Property constituting Collateral, all
interest, principal, other cash payments on Payment Intangibles, and all Proceeds of the
Collateral, in each case thereafter received by such Grantor, all of which shall be held by
the Collateral Agent as additional Collateral; and

          (b) with respect to Collateral consisting of general partner interests or limited
liability company interests, upon the occurrence and continuance of a Specified Default and
so long as the Collateral Agent has notified such Grantor of the Collateral Agent’s
intention to exercise its voting power (pursuant to the written direction of the
Administrative Agent) under this clause,

               (i) that the Collateral Agent may exercise (to the exclusion of such Grantor)
the voting power and all other incidental rights of ownership with respect to any
Investment Property constituting Collateral and such Grantor hereby grants the
Collateral Agent an irrevocable proxy, exercisable under such circumstances, to vote
such Investment Property; and

               (ii) to promptly deliver to the Collateral Agent such additional proxies and
other documents as may be necessary to allow the Collateral Agent to exercise such
voting power.

Subject to the terms, conditions and provisions of the Intercreditor Agreement, all dividends,
Distributions, interest, principal, cash payments, Payment Intangibles and Proceeds that may at

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any time and from time to time be held by such Grantor, but which such Grantor is then obligated to
deliver to the Collateral Agent, shall, until delivery to the Collateral Agent, be held by such
Grantor separate and apart from its other property for the benefit of the Collateral Agent.
Subject to the terms, conditions and provisions of the Intercreditor Agreement, the Collateral
Agent agrees that unless a Specified Default shall have occurred and be continuing and the
Collateral Agent shall have given the notice referred to in clause (b), such Grantor will
have the exclusive voting power with respect to any Investment Property constituting Collateral and
the Collateral Agent will, upon the written request of such Grantor, promptly deliver such proxies
and other documents, if any, as shall be reasonably requested by such Grantor which are necessary
to allow such Grantor to exercise that voting power; provided that no vote shall be cast,
or consent, waiver, or ratification given, or action taken by such Grantor that would impair any
such Collateral (except to the extent expressly permitted by the Credit Agreement) or be
inconsistent with or violate any provision of any Loan Document. After any and all Events of
Default have been cured or waived, (i) each Grantor shall have the right to exercise the voting,
managerial and other consensual rights and powers that it would otherwise be entitled to pursuant
to this Section 4.1.5 and receive the payments, proceeds, dividends, distributions, monies,
compensation, property, assets, instruments or rights which it would be authorized to receive and
retain pursuant to this Section 4.1.5 and (ii) within ten Business Days after notice of
such cure or waiver, the Collateral Agent shall repay and deliver to each Grantor all cash and
monies that such Grantor is entitled to retain pursuant to this Section 4.1.5 which was not
applied in repayment of the Obligations.

     SECTION 4.2. Change of Name, etc. No Grantor will change its legal name, place of
incorporation or organization, federal taxpayer identification number or organizational
identification number except upon 15 days’ prior written notice to the Collateral Agent.

     SECTION 4.3. As to Accounts.

          (a) Each Grantor shall have the right to collect all Accounts so long as (i) no
Specified Default shall have occurred and be continuing and (ii) notice pursuant to
clause (b) has not been delivered.

          (b) Subject to the terms, conditions and provisions of the Intercreditor Agreement,
upon (i) the occurrence and continuance of a Specified Default and (ii) the delivery of
notice by the Collateral Agent (at the direction of the Administrative Agent) to each
Grantor, all Proceeds of Collateral received by such Grantor shall be delivered in kind to
the Collateral Agent for deposit in a Deposit Account of such Grantor maintained with the
Collateral Agent (together with any other Accounts pursuant to which any portion of the
Collateral is deposited with the Collateral Agent, the “Collateral Accounts”), and
such Grantor shall not commingle any such Proceeds, and shall hold separate and apart from
all other property, all such Proceeds for the benefit of the Collateral Agent until delivery
thereof is made to the Collateral Agent.

          (c) Following the delivery of notice pursuant to clause (b)(ii) and subject to
the terms, conditions and provisions of the Intercreditor Agreement, the Collateral Agent
shall apply any amount in the Collateral Account in accordance with Section 4.7 of the
Credit Agreement.

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          (d) With respect to each of the Collateral Accounts, it is hereby confirmed and agreed
that (i) deposits in such Collateral Account are subject to a security interest as
contemplated hereby, (ii) such Collateral Account shall be under the control of the
Collateral Agent and (iii) the Collateral Agent shall have the sole right of withdrawal over
such Collateral Account.

          SECTION 4.4. As to Grantors Use of Collateral.

          (a) Subject to clause (b), each Grantor (i) may in the ordinary course of its
business, at its own expense, subject to Section 7.2.11 of the Credit Agreement, dispose of
and use any Collateral, (ii) subject to the applicable terms of the Credit Agreement, will,
at its own expense, endeavor to collect, as and when due, all amounts due with respect to
any of the Collateral, subject to the terms, conditions and provisions of the Intercreditor
Agreement, including the taking of such action with respect to such collection as the
Collateral Agent may reasonably request following the occurrence and continuance of a
Specified Default or, in the absence of such request, as such Grantor may deem advisable,
and (iii) may grant, in the ordinary course of business, to any party obligated on any of
the Collateral, any rebate, refund, set off or allowance to which such party may be lawfully
entitled or which may lawfully be allowed by such Grantor.

          (b) At any time following the occurrence and during the continuance of a Specified
Default, whether before or after the maturity of any of the Obligations, the Collateral
Agent may (subject to the terms, conditions and provisions of the Intercreditor Agreement),
acting at the direction of the Required Lenders, (i) revoke any or all of the rights of each
Grantor set forth in clause (a), (ii) with two Business Days prior notice to the
applicable Grantor, notify any parties obligated on any of the Collateral to make payment to
the Collateral Agent of any amounts due or to become due thereunder and (iii) with two
Business Days prior notice to the applicable Grantor, enforce collection of any of the
Collateral by suit or otherwise and surrender, release, or exchange all or any part thereof,
or compromise or extend or renew for any period (whether or not longer than the original
period) any indebtedness thereunder or evidenced thereby.

          (c) Subject to the terms, conditions and provisions of the Intercreditor Agreement,
upon the reasonable request of the Administrative Agent following the occurrence and during
the continuance of a Specified Default, each Grantor will, at its own expense, promptly
notify any parties obligated on any of the Collateral to make payment to the Collateral
Agent of any amounts due or to become due thereunder.

          (d) Subject to the terms, conditions and provisions of the Intercreditor Agreement, at
any time following the occurrence and during the continuation of a Specified Default, the
Collateral Agent may endorse, in the name of such Grantor, any item, howsoever received by
the Collateral Agent, representing any payment on or other Proceeds of any of the
Collateral.

          SECTION 4.5. As to Intellectual Property Collateral. Each Grantor covenants and
agrees to comply with the following provisions as such provisions relate to any Intellectual

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Property Collateral (except for the tangible components of the Computer Hardware and Software
Collateral) material to the operations or business of such Grantor:

          (a) such Grantor will not, and will not knowingly permit any third party or licensee
to, (i) do or permit any act or knowingly omit to do any act whereby any of the Patent
Collateral may lapse or become abandoned or dedicated to the public or unenforceable except
upon expiration of the end of an unrenewable term of a registration thereof or as otherwise
permitted by the Credit Agreement, (ii) fail to maintain as in the past the quality of
products and services offered under the Trademark Collateral, (iii) fail to employ the
Trademark Collateral registered with any federal or state or foreign authority with an
appropriate notice of such registration, (iv) do or permit any act or knowingly omit to do
any act whereby any of the Trademark Collateral may lapse or become invalid or
unenforceable, or (v) do or permit any act or knowingly omit to do any act whereby any of
the Copyright Collateral or any of the Trade Secrets Collateral may lapse or become invalid
or unenforceable or placed in the public domain except upon expiration of the end of an
unrenewable term of a registration thereof, unless, in the case of any of the foregoing
requirements in clauses (i) through (v), (x) such Grantor shall reasonably
and in good faith determine that any of such Intellectual Property Collateral is of
negligible economic value to such Grantor or (y) the loss of such Intellectual Property
Collateral would not have a Material Adverse Effect;

          (b) such Grantor shall not permit any third party or licensee to adopt or use any other
Trademark which is confusingly similar or a colorable imitation of any of the Trademark
Collateral unless, (x) such Grantor shall reasonably and in good faith determine that any of
such Intellectual Property Collateral is of negligible economic value to such Grantor or (y)
the loss of such Intellectual Property Collateral would not have a Material Adverse Effect;

          (c) unless otherwise permitted by the Credit Agreement, such Grantor shall promptly
notify the Collateral Agent if it knows that any application or registration relating to any
material item of the Intellectual Property Collateral (except for the tangible components of
the Computer Hardware and Software Collateral) has a reasonable likelihood of becoming
abandoned or dedicated to the public or placed in the public domain or invalid or
unenforceable, or of any adverse determination (including the institution of, or any such
determination or development in, any proceeding in the United States Patent and Trademark
Office, the United States Copyright Office) regarding such Grantor’s ownership of any
Intellectual Property Collateral, its right to register the same or to keep and maintain and
enforce the same;

          (d) concurrently with the delivery of a Compliance Certificate pursuant to clause (c)
of Section 7.1.1 of the Credit Agreement, each Grantor that has, since the date the
Compliance Certificate was last delivered, (i) filed an application for the registration of
any Patent or Trademark with the United States Patent and Trademark Office or (ii) received,
as owner or exclusive licensee, a Copyright registration with the United States Copyright,
in each case to the extent such Intellectual Property constitutes Collateral, shall inform
the Administrative Agent, and upon request of the Administrative Agent, promptly execute and
deliver an Intellectual Property Security Agreement substantially in

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the form set forth as Exhibits A, B and C hereto and other
documents as the Administrative Agent may reasonably request to evidence the Collateral
Agent’s security interest in such Intellectual Property Collateral;

          (e) such Grantor will take all commercially reasonable steps, including in any
proceeding before the United States Patent and Trademark Office the United States Copyright
Office, to maintain and pursue any application (and to obtain the relevant registration)
filed with respect to, and to maintain any registration of, the Owned Intellectual Property
Collateral, including the filing of applications for renewal, affidavits of use, affidavits
of incontestability and opposition, interference and cancellation proceedings and the
payment of fees and taxes (except to the extent that dedication, abandonment or invalidation
is permitted under the Credit Agreement or under the foregoing clause (a) or
(b)); and

          (f) concurrently with the delivery of a Compliance Certificate pursuant to clause (c)
of Section 7.1.1 of the Credit Agreement, each Grantor that has obtained, since the date the
Compliance Certificate was last delivered, an ownership interest in any Patent, Copyright or
Trademark, in each case to the extent such Intellectual Property constitutes Collateral,
shall execute and deliver to the Collateral Agent a Patent Security Agreement, Copyright
Security Agreement or a Trademark Security Agreement in the form of Exhibit A,
Exhibit B or Exhibit C, as applicable, and in each case such Grantor shall
execute and deliver to the Collateral Agent any other document required to acknowledge or
register, record or perfect the Collateral Agent’s security interest in any part of such
item of Intellectual Property unless such Grantor shall otherwise determine in good faith
using its commercially reasonable business judgment that any such Intellectual Property is
not material.

          SECTION 4.6. As to Letter-of-Credit Rights.

          (a) Each Grantor, by granting a security interest in its Letter-of-Credit Rights to the
Collateral Agent, intends to (and hereby does) collaterally assign to the Collateral Agent,
subject to the terms, conditions and provisions of the Intercreditor Agreement, its rights
(including its contingent rights ) to the Proceeds of all individual Letter-of-Credit Rights
in excess of $2,000,000 of which it is or hereafter becomes a beneficiary or assignee. Such
Grantor will promptly use its commercially reasonable efforts to cause the issuer of each
such Letter of Credit and each nominated person (if any) with respect thereto to consent to
such assignment of the Proceeds thereof in a consent agreement in form and substance
reasonably satisfactory to the Collateral Agent and deliver written evidence of such consent
to the Collateral Agent.

          (b) Upon the occurrence and during the continuance of a Specified Default, such Grantor
will, subject to the terms, conditions and provisions of the Intercreditor Agreement,
promptly upon request by the Administrative Agent, (i) notify (and such Grantor hereby
authorizes the Administrative Agent to notify) the issuer and each nominated person with
respect to each of the Letters of Credit that the Proceeds thereof have been assigned to the
Collateral Agent hereunder and any payments due or to become due in respect thereof are to
be made directly to the Collateral Agent and (ii) use

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commercially reasonable effort to arrange for the Collateral Agent to become the
transferee beneficiary Letter of Credit.

     SECTION 4.7. As to Commercial Tort Claims. Each Grantor covenants and agrees that,
until the occurrence of the Termination Date, with respect to any Commercial Tort Claim in excess
of $2,000,000 individually hereafter arising, it shall promptly deliver to the Collateral Agent a
revised Item H of Schedule II identifying such new Commercial Tort Claims.

     SECTION 4.8. Electronic Chattel Paper and Transferable Records. If any Grantor at any
time holds or acquires an interest in any electronic chattel paper or any “transferable record,” as
that term is defined in Section 201 of the U.S. Federal Electronic Signatures in Global and
National Commerce Act, or in Section 16 of the U.S. Uniform Electronic Transactions Act as in
effect in any relevant jurisdiction, with a value in excess of $2,000,000, such Grantor shall
promptly notify the Administrative Agent thereof and, at the reasonable request of the
Administrative Agent, shall take such action as the Administrative Agent may request to vest in the
Collateral Agent control under Section 9-105 of the UCC of such electronic chattel paper or control
under Section 201 of the Federal Electronic Signatures in Global and National Commerce Act or, as
the case may be, Section 16 of the Uniform Electronic Transactions Act, as so in effect in such
jurisdiction, of such transferable record. The Collateral Agent agrees with such Grantor that the
Collateral Agent will allow, pursuant to procedures reasonably satisfactory to the Collateral Agent
and so long as such procedures will not result in the Collateral Agent’s loss of control, the
Grantor to make alterations to the electronic chattel paper or transferable record permitted under
Section 9-105 of the UCC or, as the case may be, Section 201 of the U.S. Federal Electronic
Signatures in Global and National Commerce Act or Section 16 of the U.S. Uniform Electronic
Transactions Act for a party in control to allow without loss of control, unless an Event of
Default has occurred and is continuing or would occur after taking into account any action by such
Grantor with respect to such electronic chattel paper or transferable record.

     SECTION 4.9. Further Assurances, etc. Subject to the terms, conditions and
restrictions of the Intercreditor Agreement, each Grantor agrees that, from time to time at its own
expense, it will promptly execute and deliver all further instruments and documents, and take all
further action, that is necessary, in order to perfect, preserve and protect any security interest
granted or purported to be granted hereby or to enable the Collateral Agent to exercise and enforce
its rights and remedies hereunder with respect to any Collateral. Without limiting the generality
of the foregoing, such Grantor will (subject to terms, conditions and restrictions in the
Intercreditor Agreement):

          (a) from time to time upon the reasonable request of the Administrative Agent or the
Collateral Agent, (i) promptly deliver to the Collateral Agent such stock powers,
instruments and similar documents, reasonably satisfactory in form and substance to the
Administrative Agent, with respect to such Collateral as the Administrative Agent may
request and (ii) after the occurrence and during the continuance of any Specified Default,
transfer any securities constituting Collateral into the name of any nominee designated by
the Collateral Agent; if any Collateral shall be evidenced by an Instrument, negotiable
Document, Promissory Note or tangible Chattel Paper and such Collateral, individually, has a
fair market value (as determined in good faith by an Authorized Officer of the

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applicable Grantor) in excess of $2,000,000, promptly deliver and pledge to the
Collateral Agent hereunder such Instrument, negotiable Document, Promissory Note or tangible
Chattel Paper duly endorsed and accompanied by duly executed instruments of transfer or
assignment, all in form and substance reasonably satisfactory to the Collateral Agent;

          (b) file (and hereby authorize the Administrative Agent to file) such Filing Statements
or continuation statements, or amendments thereto, and such other instruments or notices
(including any assignment of claim form under or pursuant to the federal assignment of
claims statute, 31 U.S.C. § 3726, any successor or amended version thereof or any regulation
promulgated under or pursuant to any version thereof), as shall be necessary that the
Administrative Agent may reasonably request in order to perfect and preserve the security
interests and other rights granted or purported to be granted to the Collateral Agent
hereby;

          (c) promptly deliver to the Collateral Agent and at all times keep pledged to the
Collateral Agent pursuant hereto, on a Second-Priority, or at all times after the First Lien
Termination Date, a first-priority, perfected basis (subject to Permitted Liens), at the
request of the Administrative Agent, all Investment Property constituting Collateral, all
Dividends and Distributions with respect thereto, and all interest and principal with
respect to Promissory Notes, and all Proceeds and rights from time to time received by or
distributable to such Grantor in respect of any of the foregoing Collateral;

          (d) not take or omit to take any action the taking or the omission of which would
result in any impairment or alteration of any obligation of the maker of any Payment
Intangible or other Instrument constituting Collateral, except as provided in Section
4.4 or in the Credit Agreement;

          (e) upon the reasonable request of the Administrative Agent, place a legend reasonably
acceptable to the Administrative Agent indicating that the Collateral Agent has a security
interest in any tangible Chattel Paper;

          (f) furnish to the Collateral Agent, from time to time at the Administrative Agent’s
reasonable request, statements and schedules further identifying and describing the
Collateral and such other reports in connection with the Collateral as the Administrative
Agent may reasonably request, all in reasonable detail; and

          (g) comply with the reasonable requests of the Collateral Agent and the Administrative
Agent in accordance with this Security Agreement in order to enable the Collateral Agent to
have and maintain control over the Collateral consisting of Investment Property, Deposit
Accounts, Letter-of-Credit-Rights and Electronic Chattel Paper to the extent required
herein.

With respect to the foregoing and the grant of the security interest hereunder, each Grantor hereby
authorizes the Administrative Agent or Collateral Agent to file one or more financing or
continuation statements, and amendments thereto, relative to all or any part of the Collateral; and
to make all relevant filings with the United States Patent and Trademark Office and the United

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States Copyright Office in respect of the Intellectual Property Collateral, in each case naming the
Collateral Agent as “Secured Party” (or other similar term). Each Grantor agrees that a carbon,
photographic or other reproduction of this Security Agreement or any UCC financing statement
covering the Collateral or any part thereof shall be sufficient as a UCC financing statement where
permitted by law. Each Grantor hereby authorizes the Administrative Agent to file financing
statements describing as the collateral covered thereby “all of the debtor’s personal property or
assets”, “all assets”, “all personal property” or words to that effect, notwithstanding that such
wording may be broader in scope than the Collateral described in this Security Agreement.

     SECTION 4.10. Deposit Accounts. Promptly following the occurrence and during the
continuance of a Specified Default, at the request of the Collateral Agent (at the direction of the
Administrative Agent), such Grantor will maintain all of its Deposit Accounts only with the
Collateral Agent or with any depositary institution that has entered into a Control Agreement in
favor of the Collateral Agent. Subject to the terms, conditions and restrictions in the
Intercreditor Agreement, such Control Agreements shall permit the Collateral Agent (at the written
instructions of the Administrative Agent) to deliver a notice of sole exclusive control during the
continuance of an Event of Default. Subject to the terms, conditions and restrictions in the
Intercreditor Agreement, to the extent the Collateral Agent (at the written instructions of the
Administrative Agent) has delivered a notice of sole control with respect to any such Deposit
Accounts pursuant to a Control Agreement, the Administrative Agent agrees promptly to notify (no
later than 2 Business Days) all such depository banks that the notice of exclusive control has been
rescinded and the applicable Grantor shall have the right to withdraw funds from such Deposit
Account(s) following the cure or waiver of all Specified Defaults.

ARTICLE V

THE COLLATERAL AGENT

     SECTION 5.1. Collateral Agent Appointed Attorney-in-Fact. Until the Termination Date,
each Grantor hereby irrevocably appoints the Collateral Agent as its attorney-in-fact, with full
authority in the place and stead of such Grantor and in the name of such Grantor or otherwise, from
time to time as directed by the Administrative Agent, following the occurrence and during the
continuance of a Specified Default, to take any action and to execute any instrument which is
necessary to accomplish the purposes of this Security Agreement, in each case subject to the terms,
conditions and provisions of the Intercreditor Agreement, including:

               (a) with two Business Days prior notice to the applicable Grantor, to ask,
demand, collect, sue for, recover, compromise, receive and give acquittance and
receipts for moneys due and to become due under or in respect of any of the
Collateral;

               (b) to receive, endorse, and collect any drafts or other Instruments, Documents
and Chattel Paper, in connection with clause (a) above;

               (c) to file any claims or take any action or institute any proceedings which
the Administrative Agent may deem necessary or desirable for the collection of

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                  any of the Collateral or otherwise to enforce the rights of the Collateral
Agent with respect to any of the Collateral; and

               (d) to perform the affirmative obligations of such Grantor hereunder.

Each Grantor hereby acknowledges, consents and agrees that the power of attorney granted pursuant
to this Section is irrevocable and coupled with an interest.

     SECTION 5.2. Collateral Agent May Perform. If any Grantor fails to perform any
agreement contained herein and the Administrative Agent provides prior notice to such Grantor of
such failure, within three days of such notice, the Grantor shall perform, cause to be performed or
agree to perform (and thereafter actually perform within seven days after such notice) such
agreement, the Collateral Agent may (but shall have not obligation to) itself perform, or cause
performance of, such agreement, and the expenses of the Collateral Agent incurred in connection
therewith shall be payable by such Grantor pursuant to Section 10.3 of the Credit Agreement.

     SECTION 5.3. Collateral Agent Has No Duty. The powers conferred on the Collateral
Agent hereunder are solely to protect its interest (on behalf of the Secured Parties) in the
Collateral and shall not impose any duty on it to exercise any such powers. Except for reasonable
care of any Collateral in its possession, the accounting for moneys actually received by it
hereunder and, except to the extent of the gross negligence, bad faith or willful misconduct of the
Collateral Agent or any of its respective officers, directors, employees or agents, the Collateral
Agent shall have no duty as to any Collateral or responsibility for

               (a) ascertaining or taking action with respect to calls, conversions,
exchanges, maturities, tenders or other matters relative to any Investment Property,
whether or not the Collateral Agent has or is deemed to have knowledge of such
matters, or

               (b) taking any necessary steps to preserve rights against prior parties or any
other rights pertaining to any Collateral.

     SECTION 5.4. Reasonable Care. The Collateral Agent is required to exercise reasonable
care in the custody and preservation of any of the Collateral in its possession; provided
that the Collateral Agent shall be deemed to have exercised reasonable care in the custody and
preservation of any of the Collateral, if (i) such Collateral is accorded treatment substantially
equal to that which the Collateral Agent accords its own property or (ii) it takes such action for
that purpose as each Grantor reasonably requests in writing at times other than upon the occurrence
and during the continuance of any Specified Default, but failure of the Collateral Agent to comply
with any such request at any time shall not in itself be deemed a failure to exercise reasonable
care.

     SECTION 5.5. Liability.

          (a) No provision of this Security Agreement shall require the Collateral Agent to
expend or risk its own funds or otherwise incur any financial liability in the performance
of any of its duties hereunder, or in the exercise of any of its rights or

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powers and the Collateral Agent shall not be liable or responsible for any loss or
diminution in the value of any of the Collateral.

          (b) In no event shall the Collateral Agent be responsible or liable for special,
indirect, or consequential loss or damage of any kind whatsoever (including, but not limited
to, loss of profit) irrespective of whether the Collateral Agent has been advised of the
likelihood of such loss or damage and regardless of the form of action.

     SECTION 5.6. Force Majeure. In no event shall the Collateral Agent be responsible or
liable for any failure or delay in the performance of its obligations hereunder arising out of or
caused by, directly or indirectly, forces beyond its control, including, without limitation,
strikes, work stoppages, accidents, acts of war or terrorism, civil or military disturbances,
nuclear or natural catastrophes or acts of God, and interruptions, loss or malfunctions of
utilities, communications or computer (software and hardware) services; it being understood that
the Collateral Agent shall use reasonable efforts which are consistent with accepted practices in
the banking industry to resume performance as soon as practicable under the circumstances.

ARTICLE VI

REMEDIES

     SECTION 6.1. Certain Remedies. If any Specified Default shall have occurred and be
continuing and the Administrative Agent shall have given written notice to the relevant Grantor of
the Collateral Agent’s intent to exercise its corresponding rights pursuant to this Section:

          (a) The Collateral Agent (subject to the terms, conditions and provisions of the
Intercreditor Agreement) may exercise in respect of the Collateral, in addition to other
rights and remedies provided for herein or otherwise available to it, all the rights and
remedies of a Secured Party on default under the UCC (whether or not the UCC applies to the
affected Collateral) and also may (subject to the Intercreditor Agreement) to the extent
permitted by applicable law:

               (i) take possession of any Collateral not already in its possession without
demand and without legal process;

               (ii) require each Grantor to, and each Grantor hereby agrees that it will, at
its expense and upon request of the Collateral Agent forthwith, assemble all or part
of the Collateral as directed by the Collateral Agent and make it available to the
Collateral Agent at a place to be designated by the Collateral Agent that is
reasonably convenient to both parties;

               (iii) enter onto the property where any Collateral is located and take
possession thereof without demand and without legal process; and

               (iv) without notice except as specified below and to the extent permitted by
applicable law, lease, or license, sell or otherwise dispose of the Collateral or
any part thereof in one or more parcels at public or private sale, at any of the
Collateral Agent’s offices or elsewhere, for cash, on credit or for future delivery,

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and upon such other terms as the Collateral Agent, at the direction of the
Administrative Agent, may deem commercially reasonable. Each Grantor agrees that,
to the extent notice of sale shall be required by law, at least ten days’ prior
notice to such Grantor of the time and place of any public sale or the time after
which any private sale is to be made shall constitute reasonable notification. The
Collateral Agent shall not be obligated to make any sale of Collateral regardless of
notice of sale having been given. The Collateral Agent may adjourn any public or
private sale from time to time by announcement at the time and place fixed therefor,
and such sale may, without further notice, be made at the time and place to which it
was so adjourned.

          (b) Subject to the terms, conditions and provisions of the Intercreditor Agreement, all
cash Proceeds received by the Collateral Agent in respect of any sale of, collection from,
or other realization upon, all or any part of the Collateral shall be applied by the
Collateral Agent in accordance with Section 4.7 of the Credit Agreement.

          (c) The Collateral Agent may (subject to the terms, conditions and provisions of the
Intercreditor Agreement)

               (i) transfer all or any part of the Collateral into the name of the Collateral
Agent or its nominee, with or without disclosing that such Collateral is subject to
the Lien hereunder;

               (ii) with two Business Days prior notice to the applicable Grantor, notify the
parties obligated on any of the Collateral to make payment to the Collateral Agent
of any amount due or to become due thereunder;

               (iii) withdraw, or cause or direct the withdrawal, of all funds with respect to
the Collateral Account to repay the Obligations or otherwise apply such funds in
accordance with Section 4.7 of the Credit Agreement;

               (iv) enforce collection of any of the Collateral by suit or otherwise, and
surrender, release or exchange all or any part thereof, or compromise or extend or
renew for any period (whether or not longer than the original period) any
obligations of any nature of any party with respect thereto;

               (v) endorse any checks, drafts, or other writings in any Grantor’s name to
allow collection of the Collateral;

               (vi) take control of any Proceeds of the Collateral; and

               (vii) execute (in the name, place and stead of any Grantor) endorsements,
assignments, stock powers and other instruments of conveyance or transfer with
respect to all or any of the Collateral;

          (d) Without limiting the foregoing, in respect of the Intellectual Property Collateral:

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               (i) upon the request of the Administrative Agent, such Grantor shall execute
and deliver to the Collateral Agent an assignment or assignments of the Intellectual
Property Collateral, subject (in the case of any licenses thereunder) to any valid
and enforceable requirements to obtain consents from any third parties, and such
other documents as are necessary or appropriate to carry out the intent and purposes
hereof;

               (ii) the Administrative Agent shall have the right, in its sole discretion,
(which right shall take precedence over any right or action of any Grantor) to file
applications and maintain registrations for the protection of the Intellectual
Property Collateral and/or bring suit in the name of such Grantor, the Collateral
Agent or any Secured Party to enforce the Intellectual Property Collateral and any
licenses thereunder and, upon the request of the Administrative Agent, such Grantor
shall use all commercially reasonable efforts to assist with such filing or
enforcement (including the execution of relevant documents); and

               (iii) in the event that the Collateral Agent elects not to make any filing or
bring any suit as set forth in clause (ii), such Grantor shall, upon the request of
Collateral Agent, use all commercially reasonable efforts, whether through making
appropriate filings or bringing suit or otherwise, to protect, enforce and prevent
the infringement, misappropriation, dilution, unauthorized use or other violation of
the Intellectual Property Collateral.

     Notwithstanding the foregoing provisions of this Section 6.1, for the purposes of this
Section 6.1, “Collateral” and “Intellectual Property Collateral” shall include any “intent
to use” trademark application only to the extent (i) that the business of such Grantor, or portion
thereof, to which that mark pertains is also included in the Collateral and (ii) that such business
is ongoing and existing.

     SECTION 6.2. Securities Laws. Subject to the terms, conditions and restrictions of
the Intercreditor Agreement, if the Collateral Agent, at the direction of the Administrative Agent,
shall determine to exercise its right to sell all or any of the Collateral that are Capital
Securities pursuant to Section 6.1, each Grantor agrees that, upon request of the
Administrative Agent, each Grantor will, at its own expense:

               (a) use commercially reasonable efforts to execute and deliver, and cause (or,
with respect to any issuer which is not a Subsidiary of such Grantor, use its
commercially reasonable efforts to cause) each issuer of the Collateral contemplated
to be sold and the directors and officers thereof to execute and deliver, all such
instruments and documents, and do or cause to be done all such other acts and
things, as may be necessary or, in the opinion of the Administrative Agent,
advisable to register such Collateral under the provisions of the Securities Act of
1933, as from time to time amended (the “Securities Act”), and use
commercially reasonable efforts to cause the registration statement relating thereto
to become effective and to remain effective for such period as prospectuses are
required by law to be furnished, and to make all amendments and supplements thereto
and to the related prospectus which, in the opinion of the

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Administrative Agent, are necessary or advisable, all in conformity with the
requirements of the Securities Act and the rules and regulations of the SEC
applicable thereto;

               (b) use its commercially reasonable efforts to exempt the Collateral under the
state securities or “Blue Sky” laws and to obtain all necessary governmental
approvals for the sale of the Collateral, as requested by the Administrative Agent;

               (c) cause (or, with respect to any issuer that is not a Subsidiary of such
Grantor, use its commercially reasonable efforts to cause) each such issuer to make
available to its security holders, as soon as practicable, an earnings statement
that will satisfy the provisions of Section 11(a) of the Securities Act; and

               (d) do or use commercially reasonable efforts to cause to be done all such
other acts and things as may be necessary to make such sale of the Collateral or any
part thereof valid and binding and in compliance with applicable law.

Each Grantor acknowledges the impossibility of ascertaining the amount of damages that would be
suffered by the Collateral Agent or the Secured Parties by reason of the failure by such Grantor to
perform any of the covenants contained in this Section and consequently agrees that, if such
Grantor shall fail to perform any of such covenants, it shall pay, as liquidated damages and not as
a penalty, an amount equal to the value (as determined by the Collateral Agent) of such Collateral
on the date the Collateral Agent shall demand compliance with this Section.

     SECTION 6.3. Compliance with Restrictions. Each Grantor agrees that in any sale of
any of the Collateral whenever a Specified Default shall have occurred and be continuing, the
Collateral Agent is hereby authorized to comply with any limitation or restriction in connection
with such sale as it may be advised by counsel is necessary in order to avoid any violation of
applicable law (including compliance with such procedures as may restrict the number of prospective
bidders and purchasers, require that such prospective bidders and purchasers have certain
qualifications, and restrict such prospective bidders and purchasers to Persons who will represent
and agree that they are purchasing for their own account for investment and not with a view to the
distribution or resale of such Collateral), or in order to obtain any required approval of the sale
or of the purchaser by any Governmental Authority or official, and such Grantor further agrees that
such compliance shall not result in such sale being considered or deemed not to have been made in a
commercially reasonable manner, nor shall the Collateral Agent be liable nor accountable to such
Grantor for any discount allowed by the reason of the fact that such Collateral is sold in
compliance with any such limitation or restriction.

     SECTION 6.4. Protection of Collateral. The Collateral Agent may (subject to the
terms, conditions and restrictions of the Intercreditor Agreement) from time to time, at the
direction of the Administrative Agent, perform any act which any Grantor fails, within three days
following the request by the Collateral Agent, to perform or agree to perform (and thereafter
actually perform within seven days following notice of requested performance) (it being understood
that no such request need be given after the occurrence and during the continuance of a Specified

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Default) and the Collateral Agent may (subject to the Intercreditor Agreement) from time to
time take any other action which the Administrative Agent deems necessary for the maintenance,
preservation or protection of any of the Collateral or of its security interest therein.

ARTICLE VII

MISCELLANEOUS PROVISIONS

     SECTION 7.1. Loan Document. This Security Agreement is a Loan Document executed
pursuant to the Credit Agreement and shall (unless otherwise expressly indicated herein) be
construed, administered and applied in accordance with the terms and provisions thereof, including
Article X thereof.

     SECTION 7.2. Binding on Successors, Transferees and Assigns; Assignment. This
Security Agreement shall remain in full force and effect until the Termination Date has occurred,
shall be binding upon the Grantors and their successors, transferees and assigns and shall inure to
the benefit of and be enforceable by each Secured Party and its successors, transferees and
assigns; provided that no Grantor may (unless otherwise permitted under the terms of the
Credit Agreement or this Security Agreement) assign any of its obligations hereunder without the
prior written consent of all Lenders.

     SECTION 7.3. Amendments, etc. No amendment to or waiver of any provision of this
Security Agreement, nor consent to any departure by any Grantor from its obligations under this
Security Agreement, shall in any event be effective unless the same shall be in writing and signed
by the Collateral Agent (at the direction of the Administrative Agent) and the Administrative Agent
(on behalf of the Lenders or the Required Lenders, as the case may be, pursuant to Section 10.1 of
the Credit Agreement) and the Grantors and then such waiver or consent shall be effective only in
the specific instance and for the specific purpose for which given.

     SECTION 7.4. Notices. All notices and other communications provided for hereunder
shall be in writing or by facsimile and addressed, delivered or transmitted to the appropriate
party at the address or facsimile number of such party specified in the Credit Agreement or at such
other address or facsimile number as may be designated by such party in a notice to the other
party. Any notice or other communication, if mailed and properly addressed with postage prepaid or
if properly addressed and sent by pre-paid courier service, shall be deemed given when received;
any such notice or other communication, if transmitted by facsimile, shall be deemed given when
transmitted and electronically confirmed.

     SECTION 7.5. Release of Liens. Upon (a) the Disposition of Collateral in accordance
with the Credit Agreement or (b) the occurrence of the Termination Date, the security interests
granted herein shall automatically terminate with respect to (i) such Collateral (in the case of
clause (a)) or (ii) all Collateral (in the case of clause (b)). Upon any such
Disposition or termination, the Collateral Agent will, at the Grantors’ sole expense, promptly
deliver to the Grantors, without any representations, warranties or recourse of any kind
whatsoever, all Collateral held by the Collateral Agent hereunder, and execute and deliver to the
Grantors such documents as the Grantors shall reasonably request to evidence such termination.

Pledge and Security Agreement (Second Lien)

33

 

     SECTION 7.6. Additional Grantors. Upon the execution and delivery by any other Person
of a supplement in the form of Annex I hereto, such U.S. Person shall become a “Grantor”
hereunder with the same force and effect as if it were originally a party to this Security
Agreement and named as a “Grantor” hereunder. The execution and delivery of such supplement shall
not require the consent of any other Grantor hereunder (except to the extent already obtained), and
the rights and obligations of each Grantor hereunder shall remain in full force and effect
notwithstanding the addition of any new Grantor as a party to this Security Agreement.

     SECTION 7.7. No Waiver; Remedies. In addition to, and not in limitation of
Section 2.4, no failure on the part of any Secured Party to exercise, and no delay in
exercising, any right hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise of any right hereunder preclude any other or further exercise thereof or the exercise of
any other right. The remedies herein provided are cumulative and not exclusive of any remedies
provided by law.

     SECTION 7.8. Headings. The various headings of this Security Agreement are inserted
for convenience only and shall not affect the meaning or interpretation of this Security Agreement
or any provisions thereof.

     SECTION 7.9. Severability. Any provision of this Security Agreement which is
prohibited or unenforceable in any jurisdiction shall, as to such provision and such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without invalidating the
remaining provisions of this Security Agreement or affecting the validity or enforceability of such
provision in any other jurisdiction.

     SECTION 7.10. Governing Law, Entire Agreement, etc. THIS SECURITY AGREEMENT SHALL BE
DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK
(INCLUDING FOR SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE
OF NEW YORK), EXCEPT TO THE EXTENT THAT THE PERFECTION, EFFECT OF PERFECTION OR NONPERFECTION, AND
PRIORITY OF THE SECURITY INTEREST HEREUNDER, OR REMEDIES HEREUNDER, IN RESPECT OF ANY PARTICULAR
COLLATERAL ARE GOVERNED BY THE LAWS OF A JURISDICTION OTHER THAN THE STATE OF NEW YORK. This
Security Agreement and the other Loan Documents constitute the entire understanding among the
parties hereto with respect to the subject matter hereof and thereof and supersede any prior
agreements, written or oral, with respect thereto.

     SECTION 7.11. Counterparts. This Security Agreement may be executed by the parties
hereto in several counterparts, each of which shall be deemed to be an original and all of which
shall constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Security Agreement by facsimile (or other electronic) transmission shall be
effective as delivery of a manually executed counterpart of this Security Agreement.

     SECTION 7.12. Foreign Pledge Agreements. Without limiting any of the rights,
remedies, privileges or benefits provided hereunder to the Collateral Agent for its benefit and the

Pledge and Security Agreement (Second Lien)

34

 

ratable benefit of the other Secured Parties, each Grantor and the Collateral Agent hereby
agree that the terms and provisions of this Security Agreement in respect of any Collateral subject
to the pledge or other Lien of a Foreign Pledge Agreement are, and shall be deemed to be,
supplemental and in addition to the rights, remedies, privileges and benefits provided to the
Collateral Agent and the other Secured Parties under such Foreign Pledge Agreement and under
applicable law to the extent consistent with applicable law; provided that, in the event
that the terms of this Security Agreement conflict or are inconsistent with the applicable Foreign
Pledge Agreement or applicable law governing such Foreign Pledge Agreement, (i) to the extent that
the provisions of such Foreign Pledge Agreement or applicable foreign law are, under applicable
foreign law, necessary for the creation, perfection or priority of the security interests in the
Collateral subject to such Foreign Pledge Agreement, the terms of such Foreign Pledge Agreement or
such applicable law shall be controlling and (ii) otherwise, the terms hereof shall be controlling.

     SECTION 7.13. Intercreditor Agreement. (a) Notwithstanding anything herein to the
contrary, the Lien and security interest granted to the Collateral Agent pursuant to this Security
Agreement and the exercise of any right or remedy by the Collateral Agent hereunder is subject to
the terms, conditions and provisions of the Intercreditor Agreement in all respects. In the event
of any conflict between the terms of the Intercreditor Agreement and this Security Agreement, the
terms of the Intercreditor Agreement shall govern and control in all respects. The Liens and
security interests securing the Indebtedness and other obligations incurred or arising under or
evidenced by this instrument and the rights and obligations evidenced hereby with respect to such
Liens are subordinate, in the manner and to the extent set forth in Intercreditor Agreement, to the
Liens and security interests securing the First Lien Obligations and to the Liens and security
interests securing Indebtedness refinancing the First Lien Obligations as permitted by the
Intercreditor Agreement; and each holder of the Obligations, by its acceptance hereof, irrevocably
agrees to be bound by the terms, conditions and provisions of the Intercreditor Agreement.

     (b) The delivery of any Collateral or any certificates, titles, Instruments, Chattel Paper or
Documents evidencing or in connection with such Collateral to the First Lien Collateral Agent under
and in accordance with the First Lien Loan Documents, the granting of “control” over Collateral,
the execution and delivery of Control Agreements and/or the assignment of any Collateral to the
First Lien Collateral Agent under and in accordance with the First Lien Loan Documents shall
constitute compliance by the Grantor with the provisions of this Security Agreement or any other
Loan Document which require delivery, possession, control and/or assignment of certain types of
Collateral by the Collateral Agent or delivery of control agreements to the Collateral Agent so
long as such First Lien Loan Documents are in full force and effect, the First Lien Termination
Date has not occurred, and the Grantors are in compliance with the applicable provisions thereof
with respect to such Collateral. From and after the First Lien Termination Date, where this
Security Agreement refers to any provision of the First Lien Credit Agreement or any action or
delivery required by such provision, such reference shall be deemed to be a reference to such
provision as in effect immediately prior to the First Lien Termination Date except that such action
or delivery shall be made to or for the benefit of the Collateral Agent rather than the First Lien
Collateral Agent.

Pledge and Security Agreement (Second Lien)

35

 

     IN WITNESS WHEREOF, each of the parties hereto has caused this Security Agreement to be duly
executed and delivered by its Authorized Officer, solely in such capacity and not as an individual,
as of the date first above written.

	 	 	 	 	 
	 	 	HANESBRANDS INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	HBI BRANDED APPAREL LIMITED, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	HANESBRANDS DIRECT, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	UPEL, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	CARIBETEX, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:

Pledge and Security Agreement (Second Lien)

36

 

	 	 	 	 	 
	 	 	SEAMLESS TEXTILES, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	BA INTERNATIONAL, L.L.C.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 

	 	HBI INTERNATIONAL, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 

	 	HBI BRANDED APPAREL ENTERPRISES, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	CASA INTERNATIONAL, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:

Pledge and Security Agreement (Second Lien)

37

 

	 	 	 	 	 
	 	 	UPCR, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	HBI SOURCING, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	CEIBENA DEL, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	NT INVESTMENT COMPANY, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	HANESBRANDS DISTRIBUTION, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:

Pledge and Security Agreement (Second Lien)

38

 

	 	 	 	 	 
	 	 	CARIBESOCK, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	NATIONAL TEXTILES, L.L.C.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	HANES PUERTO RICO, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	PLAYTEX INDUSTRIES, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	INNER SELF LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:

Pledge and Security Agreement (Second Lien)

39

 

	 	 	 	 	 
	 	 	PLAYTEX DORADO, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	HANES MENSWEAR, LLC
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:

Pledge and Security Agreement (Second Lien)

40

 

	 	 	 	 	 
	 

	 	CITIBANK, N.A.,	 	 
	 

	 	as Collateral Agent	 	 
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 

	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 
	 
	 	 	 	 
	 

	 	CITICORP USA, INC.	 	 
	 

	 	as Administrative Agent	 	 
	 
	 

	 	By:	 	 
	 

	 	 
	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 

Pledge and Security Agreement (Second Lien)

41

 

SCHEDULE I

to Security Agreement

Name of Grantor:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Common Stock	 
	 	 	 	 	 	 	 	 	 	 	Authorized	 	 	Outstanding	 	 	 	 
	Issuer (corporate)	 	Cert. #	 	 	# of Shares	 	 	Shares	 	 	Shares	 	 	% of Shares Pledged	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

	 	 	 	 	 	 	 	 	 
	 	 	Limited Liability Company Interests	 
	Issuer (limited	 	% of Limited Liability	 	 	Type of Limited Liability	 
	liability company)	 	Company Interests Pledged	 	 	Company Interests Pledged	 
	 
	 	 	 	 	 	 	 	 

	 	 	 	 	 	 	 	 	 
	 	 	Partnership Interests	 
	 	 	% of Partnership	 	 	% of Partnership	 
	Issuer (partnership)	 	Interests Owned	 	 	Interests Pledged	 
	 
	 	 	 	 	 	 	 	 

Pledge and Security Agreement (Second Lien)

 

 

SCHEDULE II

to Security Agreement

Item A. Location of each Grantor.

	 	 	 
	Name of Grantor:

	 	Location for purposes of UCC:
	[GRANTOR]
	 	 

Item B. Organizational identification number.

Name of Grantor:

[GRANTOR]

Item C. Merger or other corporate reorganization.

	 	 	 
	Name of Grantor:

	 	Merger or other corporate reorganization:
	[GRANTOR]
	 	 

Item D. Taxpayer ID numbers.

	 	 	 
	Name of Grantor:

	 	Taxpayer ID numbers:
	[GRANTOR]
	 	 

Item E. Government Contracts.

	 	 	 
	Name of Grantor:

	 	Description of Contract:
	[GRANTOR]
	 	 

Item F. Deposit Accounts and Securities Accounts.

	 	 	 
	Name of Grantor:

	 	Description of Deposit Accounts and Securities Accounts:
	[GRANTOR]
	 	 

Item G. Letter of Credit Rights.

Pledge and Security Agreement (Second Lien)

43

 

	 	 	 
	Name of Grantor:

	 	Description of Letter of Credit Rights:
	[GRANTOR]
	 	 

Item H. Commercial Tort Claims.

	 	 	 
	Name of Grantor:

	 	Description of Commercial Tort Claims:
	[GRANTOR]
	 	 

Pledge and Security Agreement (Second Lien)

44

 

SCHEDULE III

to Security Agreement

Item A. Patents

	 	 	 	 	 	 	 	 	 
	ISSUED 
	PATENTS
	 
	PATENT NO.	 	ISSUE DATE	 	 	TITLE	 
	 
	 	 	 	 	 	 	 	 

Pending Patent Applications

	 	 	 	 	 	 	 	 	 
	SERIAL NO.	 	FILING DATE	 	 	TITLE	 
	 
	 	 	 	 	 	 	 	 

Item B. Patent Licenses

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Effective	 	 	Expiration	 
	PATENT	 	LICENSOR	 	 	LICENSEE	 	 	DATE	 	 	DATE	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Pledge and Security Agreement (Second Lien)

45

 

SCHEDULE IV

to Security Agreement

Item A. Trademarks

	 	 	 	 	 	 	 	 	 
	REGISTERED
TRADEMARKS	 
	 
	TRADEMARK	 	REGISTRATION NO.	 	 	REGISTRATION DATE	 
	 
	 	 	 	 	 	 	 	 

Pending Trademark Applications

	 	 	 	 	 	 	 	 	 
	TRADEMARK	 	SERIAL NO.	 	 	FILING DATE	 
	 
	 	 	 	 	 	 	 	 

Item B. Trademark Licenses

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Effective	 	 	Expiration	 
	TRADEMARK	 	LICENSOR	 	 	LICENSEE	 	 	DATE	 	 	DATE	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Pledge and Security Agreement (Second Lien)

46

 

SCHEDULE V

to Security Agreement

Item A. Copyrights/Mask Works

REGISTERED COPYRIGHTS/MASK WORKS

	 	 	 	 	 	 	 	 	 	 	 	 	 
	REGISTRATION NO.	 	REGISTRATION DATE	 	 	AUTHOR(S)	 	 	TITLE	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 

Copyright/Mask Work Pending Registration Applications

SERIAL NO.

 

 

 

 

 

 

Item B. Copyright/Mask Work Licenses (including an all exclusive Copyright Licenses for
U.S. registered Copyrights)

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Effective	 	 	Expiration	 
	Copyright	 	Licensor	 	 	Licensee	 	 	Date	 	 	Date	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Pledge and Security Agreement (Second Lien)

 

EXHIBIT A

to Security Agreement

THE EXERCISE BY THE COLLATERAL AGENT OR ANY OTHER SECURED PARTY OF THEIR RIGHTS HEREUNDER IS
SUBJECT TO THE TERMS, CONDITIONS AND RESTRICTIONS OF THE INTERCREDITOR AGREEMENT REFERRED TO IN
SECTION 7 OF THIS AGREEMENT

PATENT SECURITY AGREEMENT (SECOND LIEN)

     This PATENT SECURITY AGREEMENT, dated as of                      ___, 200___(this “Agreement”), is
made by [NAME OF GRANTOR], a                                           (the “Grantor”), in favor of CITIBANK, N.A.,
as the collateral agent (together with its successor(s) thereto in such capacity, the
“Collateral Agent”) for each of the Secured Parties.

W
I T N E S S E T H :

     WHEREAS, pursuant to a Second Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from time to time, the
“Credit Agreement”), among HBI Branded Apparel Limited, Inc., a Delaware corporation (the
“Borrower”), Hanesbrands Inc., the Lenders, HSBC Bank USA, National Association, LaSalle
Bank National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication
Agents, Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead
Arrangers and Joint Bookrunners, the Lenders have extended Commitments to make Loans to the
Borrower;

     WHEREAS, in connection with the Credit Agreement, the Grantor has executed and delivered a
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”);

     WHEREAS, pursuant to the Credit Agreement and pursuant to Section 4.5 of the Security
Agreement, the Grantor is required to execute and deliver this Agreement and to grant to the
Collateral Agent a continuing security interest in all of the Patent Collateral (as defined below)
to secure all Obligations; and

     WHEREAS, the Grantor has duly authorized the execution, delivery and performance of this
Agreement; and

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Grantor agrees, for the benefit of each Secured Party, as follows:

     SECTION 1. Definitions. Unless otherwise defined herein or the context otherwise
requires, terms used in this Agreement, including its preamble and recitals, have the meanings
provided (or incorporated by reference) in the Security Agreement.

 

 

     SECTION 2. Grant of Security Interest. The Grantor hereby grants to the Collateral
Agent, for its benefit and the ratable benefit of each other Secured Party, a continuing security
interest in all of the Grantor’s right, title and interest, whether now or hereafter existing or
acquired by the Grantor, in and to the following (“Patent Collateral”):

     (a) inventions and discoveries, whether patentable or not, all letters patent
and applications for letters patent, including all patent applications in
preparation for filing, including all reissues, divisions, continuations,
continuations-in-part, extensions, renewals and reexaminations of any of the
foregoing, including all patents issued by, or patent applications filed with, the
United States Patent and Trademark Office (“Patents”), including each Patent
and Patent application referred to in Item A of Schedule I;

     (b) all United States Patent licenses, and other agreements for the grant by or
to the Grantor of any right to use any items of the type referred to in clause
(a) above (each a “Patent License”), including each Patent License
referred to in Item B of Schedule I;

     (c) the right to sue third parties for past, present and future infringements
of any Patent or Patent application, and for breach or enforcement of any Patent
License; and

     (d) all proceeds of, and rights associated with, the foregoing (including
Proceeds, licenses, royalties, income, payments, claims, damages and proceeds of
infringement suits).

     (e) Notwithstanding the foregoing, Patent Collateral shall not include any
Excluded Collateral.

     SECTION 3. Security Agreement. This Agreement has been executed and delivered by the
Grantor for the purpose of registering the security interest of the Collateral Agent in the Patent
Collateral with the United States Patent and Trademark Office. The security interest granted
hereby has been granted as a supplement to, and not in limitation of, the security interest granted
to the Collateral Agent for its benefit and the ratable benefit of each other Secured Party under
the Security Agreement. The Security Agreement (and all rights and remedies of the Collateral
Agent and each Secured Party thereunder) shall remain in full force and effect in accordance with
its terms.

     SECTION 4. Release of Liens. Upon (i) the Disposition of Patent Collateral in
accordance with the Credit Agreement or (ii) the occurrence of the Termination Date, the security
interests granted herein shall automatically terminate with respect to (A) such Patent Collateral
(in the case of clause (i)) or (B) all Patent Collateral (in the case of clause
(ii)). Upon any such Disposition or termination, the Collateral Agent will, at the Grantor’s
sole expense, deliver to the Grantor, without any representations, warranties or recourse of any
kind whatsoever, all Patent Collateral held by the Collateral Agent hereunder, and execute and
deliver to the Grantor such Documents as the Grantor shall reasonably request to evidence such
termination.

A-2

 

     SECTION 5. Acknowledgment. The Grantor does hereby further acknowledge and affirm
that the rights and remedies of the Collateral Agent with respect to the security interest in the
Patent Collateral granted hereby are more fully set forth in the Security Agreement, the terms and
provisions of which (including the remedies provided for therein) are incorporated by reference
herein as if fully set forth herein.

     SECTION 6. Loan Document. This Agreement is a Loan Document executed pursuant to the
Credit Agreement and shall (unless otherwise expressly indicated herein) be construed, administered
and applied in accordance with the terms and provisions thereof, including Article X thereof.

     SECTION 7. Intercreditor Agreement. Notwithstanding anything herein to the contrary,
the lien and security interest granted to the Collateral Agent pursuant to this Agreement and the
exercise of any right or remedy by the Collateral Agent hereunder is subject to the terms,
conditions and provisions of the Intercreditor Agreement in all respects. In the event of any
conflict between the terms of the Intercreditor Agreement and this Agreement, the terms of the
Intercreditor Agreement shall govern and control in all respects.

     SECTION 8. Counterparts. This Agreement may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Agreement by facsimile (or other electronic) transmission shall be effective
as delivery of a manually executed counterpart of this Agreement.

* * * * *

A-3

 

     IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed
and delivered by its Authorized Officer, solely in such capacity and not as an individual, as of
the date first above written.

	 	 	 	 	 
	 	[NAME OF GRANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	CITIBANK, N.A.,

as Collateral Agent

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

A-4

 

SCHEDULE I

to Patent Security Agreement

Item A. Patents

Issued Patents

	 	 	 	 	 
	Patent No.	 	   Issue Date	 	Title
	 
	 	 	 	 

Pending Patent Applications

	 	 	 	 	 
	Serial No.	 	   Filing Date	 	Title
	 
	 	 	 	 

Item B. Patent Licenses

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	Expiration
	 	 	PATENT	 	LICENSOR	 	LICENSEE	 	DATE	 	DATE
	 
	 	 	 	 	 	 	 	 	 	 

A-5

 

EXHIBIT B

to Security Agreement

THE EXERCISE BY THE COLLATERAL AGENT OR ANY OTHER SECURED PARTY OF THEIR RIGHTS HEREUNDER IS
SUBJECT TO THE TERMS, CONDITIONS AND PROVISIONS OF THE INTERCREDITOR AGREEMENT REFERRED TO IN
SECTION 7 OF THIS AGREEMENT

TRADEMARK SECURITY AGREEMENT (SECOND LIEN)

     This TRADEMARK SECURITY AGREEMENT, dated as of                      ___, 200___(this “Agreement”),
is made by [NAME OF GRANTOR], a                                           (the “Grantor”), in favor of CITIBANK,
N.A., as the collateral agent (together with its successor(s) thereto in such capacity, the
“Collateral Agent”) for each of the Secured Parties.

W
I T N E S S E T H :

     WHEREAS, pursuant to a Second Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from time to time, the
“Credit Agreement”), among HBI Branded Apparel Limited, Inc., a Delaware corporation (the
“Borrower”), Hanesbrands Inc., the Lenders, HSBC Bank USA, National Association, LaSalle
Bank National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication
Agents, Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead
Arrangers and Joint Bookrunners, the Lenders have extended Commitments to make Loans to the
Borrower;

     WHEREAS, in connection with the Credit Agreement, the Grantor has executed and delivered a
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”);

     WHEREAS, pursuant to the Credit Agreement and pursuant to Section 4.5 of the Security
Agreement, the Grantor is required to execute and deliver this Agreement and to grant to the
Collateral Agent a continuing security interest in all of the Trademark Collateral (as defined
below) to secure all Obligations; and

     WHEREAS, the Grantor has duly authorized the execution, delivery and performance of this
Agreement; and

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Grantor agrees, for the benefit of each Secured Party, as follows:

 

 

     SECTION 1. Definitions. Unless otherwise defined herein or the context otherwise
requires, terms used in this Agreement, including its preamble and recitals, have the meanings
provided (or incorporated by reference) in the Security Agreement.

     SECTION 2. Grant of Security Interest. The Grantor hereby grants to the Collateral
Agent, for its benefit and the ratable benefit of each other Secured Party, a continuing security
interest in all of the Grantor’s right, title and interest, whether now or hereafter existing or
acquired by the Grantor, in and to the following (the “Trademark Collateral”):

     (a) (i) all United States trademarks, trade names, corporate names, company names,
business names, fictitious business names, trade styles, service marks, certification marks,
collective marks, logos and other source or business identifiers, and all goodwill of the
business associated therewith, now existing or hereafter adopted or acquired, whether
currently in use or not, all registrations and recordings thereof and all applications in
connection therewith, whether pending or in preparation for filing, including registrations,
recordings and applications (except for any such applications filed pursuant to 15 U.S.C. §
1051(b)) in the United States Patent and Trademark Office, and all common-law rights
relating to the foregoing, and (ii) the right to obtain all reissues, extensions or renewals
of the foregoing (collectively referred to as “Trademarks”), including those
Trademarks referred to in Item A of Schedule I;

     (b) all Trademark licenses and other agreements for the grant by or to the Grantor of
any right to use any Trademark (each a “Trademark License”), including each
Trademark License referred to in Item B of Schedule I;

     (c) all of the goodwill of the business connected with the use of, and symbolized by
the Trademarks described in clause (a) and, to the extent applicable, clause
(b);

     (d) the right to sue third parties for past, present and future infringements or
dilution of the Trademarks described in clause (a) and, to the extent applicable,
clause (b) or for any injury to the goodwill associated with the use of any such
Trademark or for breach or enforcement of any Trademark License; and

     (e) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits).

     Notwithstanding the foregoing, Trademark Collateral shall not include any Excluded Collateral.

     SECTION 3. Security Agreement. This Agreement has been executed and delivered by the
Grantor for the purpose of registering the security interest of the Collateral Agent in the
Trademark Collateral with the United States Patent and Trademark Office. The security interest
granted hereby has been granted as a supplement to, and not in limitation of, the security interest
granted to the Collateral Agent for its benefit and the ratable benefit of each other Secured Party
under the Security Agreement. The Security Agreement (and all rights and remedies of the

B-2

 

Collateral Agent and each Secured Party thereunder) shall remain in full force and effect in
accordance with its terms.

     SECTION 4. Release of Liens. Upon (i) the Disposition of Trademark Collateral in
accordance with the Credit Agreement or (ii) the occurrence of the Termination Date, the security
interests granted herein shall automatically terminate with respect to (A) such Trademark
Collateral (in the case of clause (i)) or (B) all Trademark Collateral (in the case of
clause (ii)). Upon any such Disposition or termination, the Collateral Agent will, at the
Grantor’s sole expense, deliver to the Grantor, without any representations, warranties or recourse
of any kind whatsoever, all Trademark Collateral held by the Collateral Agent hereunder, and
execute and deliver to the Grantor such Documents as the Grantor shall reasonably request to
evidence such termination.

     SECTION 5. Acknowledgment. The Grantor does hereby further acknowledge and affirm
that the rights and remedies of the Collateral Agent with respect to the security interest in the
Trademark Collateral granted hereby are more fully set forth in the Security Agreement, the terms
and provisions of which (including the remedies provided for therein) are incorporated by reference
herein as if fully set forth herein.

     SECTION 6. Loan Document. This Agreement is a Loan Document executed pursuant to the
Credit Agreement and shall (unless otherwise expressly indicated herein) be construed, administered
and applied in accordance with the terms and provisions thereof, including Article X thereof.

     SECTION 7. Intercreditor Agreement. Notwithstanding anything herein to the contrary,
the lien and security interest granted to the Collateral Agent pursuant to this Agreement and the
exercise of any right or remedy by the Collateral Agent hereunder is subject to the terms,
conditions and provisions of the Intercreditor Agreement in all respects. In the event of any
conflict between the terms of the Intercreditor Agreement and this Agreement, the terms of the
Intercreditor Agreement shall govern and control in all respects.

     SECTION 8. Counterparts. This Agreement may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Agreement by facsimile (or other electronic) transmission shall be effective
as delivery of a manually executed counterpart of this Agreement.

* * * * *

B-3

 

     IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed
and delivered by Authorized Officer, solely in such capacity and not as an individual, as of the
date first above written.

	 	 	 	 	 
	 	[NAME OF GRANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	CITIBANK, N.A.,

as Collateral Agent

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

B-4

 

	 	 	 	 	 

SCHEDULE I

to Trademark Security Agreement

Item A. Trademarks

Registered Trademarks

	 	 	 	 	 
	Trademark	 	Registration No.	 	Registration Date
	 
	 	 	 	 

Pending Trademark Applications

	 	 	 	 	 
	Trademark	 	Serial No.	 	Filing Date
	 
	 	 	 	 

Item B. Trademark Licenses

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	Effective	 	Expiration
	 	 	Trademark	 	Licensor	 	Licensee	 	Date	 	Date
	 
	 	 	 	 	 	 	 	 	 	 

 

 

EXHIBIT C

to Security Agreement

THE EXERCISE BY THE COLLATERAL AGENT OR ANY OTHER SECURED PARTY OF THEIR RIGHTS HEREUNDER IS
SUBJECT TO THE TERMS, CONDITIONS AND PROVISIONS OF THE INTERCREDITOR AGREEMENT REFERRED TO IN
SECTION 7 OF THIS AGREEMENT

COPYRIGHT SECURITY AGREEMENT (SECOND LIEN)

     This COPYRIGHT SECURITY AGREEMENT, dated as of                      ___, 200___(this “Agreement”),
is made by [NAME OF GRANTOR], a                                           (the “Grantor”), in favor of CITIBANK,
N.A., as the collateral agent (together with its successor(s) thereto in such capacity, the
“Collateral Agent”) for each of the Secured Parties.

W
I T N E S S E T H :

     WHEREAS, pursuant to a Second Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from time to time, the
“Credit Agreement”), among HBI Branded Apparel Limited, Inc., a Delaware corporation (the
“Borrower”), Hanesbrands Inc., the Lenders, HSBC Bank USA, National Association, LaSalle
Bank National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication
Agents, Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead
Arrangers and Joint Bookrunners, the Lenders have extended Commitments to make Loans to the
Borrower;

     WHEREAS, in connection with the Credit Agreement, the Grantor has executed and delivered a
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”);

     WHEREAS, pursuant to the Credit Agreement and pursuant to Section 4.5 of the Security
Agreement, the Grantor is required to execute and deliver this Agreement and to grant to the
Collateral Agent a continuing security interest in all of the Copyright Collateral (as defined
below) to secure all Obligations; and

     WHEREAS, the Grantor has duly authorized the execution, delivery and performance of this
Agreement; and

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Grantor agrees, for the benefit of each Secured Party, as follows:

Pledge and Security Agreement

(Second Lien)

C-1

 

     SECTION 1. Definitions. Unless otherwise defined herein or the context otherwise
requires, terms used in this Agreement, including its preamble and recitals, have the meanings
provided (or incorporated by reference) in the Security Agreement.

     SECTION 2. Grant of Security Interest. The Grantor hereby grants to the Collateral
Agent, for its benefit and the ratable benefit of each other Secured Party, a continuing security
interest in all of the Grantor’s right, title and interest, whether now or hereafter existing or
acquired by the Grantor, in and to the following (the “Copyright Collateral”):

     (a) all United States copyrights, registered or unregistered and whether published or
unpublished, now or hereafter in force including copyrights registered or applied for in the
United States Copyright Office, and registrations and recordings thereof and all
applications for registration thereof, whether pending or in preparation and all extensions
and renewals of the foregoing (“Copyrights”), including the Copyrights which are the
subject of a registration or application referred to in Item A of Schedule
I;

     (b) all express or implied Copyright licenses and other agreements for the grant by or
to the Grantor of any right to use any items of the type referred to in clause (a) above
(each a “Copyright License”), including each Copyright License referred to in
Item B of Schedule I;

     (c) the right to sue for past, present and future infringements of any of the
Copyrights owned by the Grantor, and for breach or enforcement of any Copyright License and
all extensions and renewals of any thereof; and

     (d) all proceeds of, and rights associated with, the foregoing (including Proceeds,
licenses, royalties, income, payments, claims, damages and proceeds of infringement suits).

     Notwithstanding the foregoing, Copyright Collateral shall not include any Excluded Collateral.

     SECTION 3. Security Agreement. This Agreement has been executed and delivered by the
Grantor for the purpose of registering the security interest of the Collateral Agent in the
Copyright Collateral with the United States Copyright Office. The security interest granted hereby
has been granted as a supplement to, and not in limitation of, the security interest granted to the
Collateral Agent for its benefit and the ratable benefit of each other Secured Party under the
Security Agreement. The Security Agreement (and all rights and remedies of the Collateral Agent
and each Secured Party thereunder) shall remain in full force and effect in accordance with its
terms.

     SECTION 4. Release of Liens. Upon (i) the Disposition of Copyright Collateral in
accordance with the Credit Agreement or (ii) the occurrence of the Termination Date, the security
interests granted herein shall automatically terminate with respect to (A) such Copyright
Collateral (in the case of clause (i)) or (B) all Copyright Collateral (in the case of
clause (ii)). Upon any such Disposition or termination, the Collateral Agent will, at the
Grantor’s sole expense, deliver to the Grantor, without any representations, warranties or recourse
of any kind

Pledge and Security Agreement

(Second Lien)

C-2

 

whatsoever, all Copyright Collateral held by the Collateral Agent hereunder, and execute and
deliver to the Grantor such Documents as the Grantor shall reasonably request to evidence such
termination.

     SECTION 5. Acknowledgment. The Grantor does hereby further acknowledge and affirm
that the rights and remedies of the Collateral Agent with respect to the security interest in the
Copyright Collateral granted hereby are more fully set forth in the Security Agreement, the terms
and provisions of which (including the remedies provided for therein) are incorporated by reference
herein as if fully set forth herein.

     SECTION 6. Loan Document. This Agreement is a Loan Document executed pursuant to the
Credit Agreement and shall (unless otherwise expressly indicated herein) be construed, administered
and applied in accordance with the terms and provisions thereof, including Article X thereof.

     SECTION 7. Intercreditor Agreement. Notwithstanding anything herein to the contrary,
the lien and security interest granted to the Collateral Agent pursuant to this Agreement and the
exercise of any right or remedy by the Collateral Agent hereunder is subject to the terms,
conditions and provisions of the Intercreditor Agreement in all respects. In the event of any
conflict between the terms of the Intercreditor Agreement and this Agreement, the terms of the
Intercreditor Agreement shall govern and control in all respects.

     SECTION 8. Counterparts. This Agreement may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Agreement by facsimile (or other electronic) transmission shall be effective
as delivery of a manually executed counterpart of this Agreement.

* * * * *

Pledge and Security Agreement

(Second Lien)

C-3

 

     IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed
and delivered by its Authorized Officer, solely in such capacity and not as an individual, as of
the date first above written.

	 	 	 	 	 
	 	[NAME OF GRANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	CITIBANK, N.A.,

as Collateral Agent

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

Pledge and Security Agreement

(Second Lien)

C-4

 

SCHEDULE I

to Copyright Security Agreement

Item A. Copyrights/Mask Works

Registered Copyrights/Mask Works

	 	 	 	 	 
	Registration No.	 	Registration Date	 	Title
	 
	 	 	 	 

Item B. Copyright/Mask Work Licenses (including an all exclusive Copyright Licenses for U.S. registered Copyrights)

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Effective	 	Expiration
	Copyright	 	Licensor	 	Licensee	 	Date	 	Date
	 
	 	 	 	 	 	 	 	 

Pledge and Security Agreement

(Second Lien)

C-5

 

ANNEX I

to Security Agreement

SUPPLEMENT TO

PLEDGE AND SECURITY AGREEMENT (SECOND LIEN)

     This SUPPLEMENT, dated as of                      ___,                      (this “Supplement”), is to the
Pledge and Security Agreement, dated as of September 5, 2006 (as amended, supplemented, amended and
restated or otherwise modified from time to time, the “Security Agreement”), among the
Grantors (such term, and other terms used in this Supplement, to have the meanings set forth in or
incorporated by reference in Article I of the Security Agreement) from time to time party thereto,
in favor of CITIBANK, N.A., as the collateral agent (together with its successor(s) thereto in such
capacity, the “Collateral Agent”) for each of the Secured Parties.

W
I T N E S S E T H :

     WHEREAS, pursuant to a Second Lien Credit Agreement, dated as of September 5, 2006 (as
amended, supplemented, amended and restated or otherwise modified from time to time, the
“Credit Agreement”), among HBI Branded Apparel Limited, Inc., a Delaware corporation (the
“Borrower”), Hanesbrands Inc., the Lenders, HSBC Bank USA, National Association, LaSalle
Bank National Association and Barclays Bank PLC, as the Co-Documentation Agents, Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Co-Syndication
Agents, Citicorp USA, Inc., as the Administrative Agent, the Collateral Agent, and Merrill Lynch,
Pierce, Fenner & Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the Joint Lead
Arrangers and Joint Bookrunners, the Lenders have extended Commitments to make Loans to the
Borrower; and

     WHEREAS, pursuant to the provisions of Section 7.6 of the Security Agreement, each of the
undersigned is becoming a Grantor under the Security Agreement; and

     WHEREAS, each of the undersigned desires to become a “Grantor” under the Security Agreement in
order to induce the Secured Parties to continue the Loans under the Credit Agreement;

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, each of the undersigned agrees, for the benefit of each Secured Party, as
follows.

     SECTION 1. Party to Security Agreement, etc. In accordance with the terms of the
Security Agreement, by its signature below each of the undersigned hereby irrevocably agrees to
become a Grantor under the Security Agreement with the same force and effect as if it were an
original signatory thereto and each of the undersigned hereby (a) agrees to be bound by and comply
with all of the terms and provisions of the Security Agreement applicable to it as a Grantor and
(b) represents and warrants that the representations and warranties made by it as a Grantor
thereunder are true and correct in all material respects as of the date hereof, unless stated

Pledge and Security Agreement

(Second Lien)

Annex I

 

to relate solely to an earlier date, in which case such representations and warranties shall
be true and correct in all material respects as of such earlier date. In furtherance of the
foregoing, each reference to a “Grantor” and/or “Grantors” in the Security Agreement shall be
deemed to include each of the undersigned.

     SECTION 2. Representations. Each of the undersigned Grantor hereby represents and
warrants that this Supplement has been duly authorized, executed and delivered by it and that this
Supplement and the Security Agreement constitute the legal, valid and binding obligation of each of
the undersigned, enforceable (except, in any case, as such enforceability may be limited by
applicable bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights
generally and by principles of equity) against it in accordance with its terms.

     SECTION 3. Full Force of Security Agreement. Except as expressly supplemented hereby,
the Security Agreement shall remain in full force and effect in accordance with its terms.

     SECTION 4. Severability. Wherever possible each provision of this Supplement shall be
interpreted in such manner as to be effective and valid under applicable law, but if any provision
of this Supplement shall be prohibited by or invalid under such law, such provision shall be
ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of
such provision or the remaining provisions of this Supplement or the Security Agreement.

     SECTION 5. Governing Law, Entire Agreement, etc. THIS SUPPLEMENT SHALL BE DEEMED TO
BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR
SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).
This Supplement and the other Loan Documents constitute the entire understanding among the parties
hereto with respect to the subject matter thereof and supersede any prior agreements, written or
oral, with respect thereto.

     SECTION 6. Intercreditor Agreement. Notwithstanding anything herein to the contrary,
the Lien and security interest granted to the Collateral Agent pursuant to this Supplement and the
exercise of any right or remedy by the Collateral Agent hereunder or under the Security Agreement,
as supplemented hereby, is subject to the terms, conditions and provisions of the Intercreditor
Agreement in all respects. In the event of any conflict between the terms of the Intercreditor
Agreement, the Security Agreement and this Supplement, the terms of the Intercreditor Agreement
shall govern and control in all respects.

     SECTION 7. Counterparts. This Supplement may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute together but one and the same agreement. Delivery of an executed counterpart of a
signature page to this Supplement by facsimile (or other electronic) transmission shall be
effective as delivery of a manually executed counterpart of this Supplement.

* * * * *

Pledge and Security Agreement

(Second Lien)

Annex I - 2

 

     IN WITNESS WHEREOF, each of the parties hereto has caused this Supplement to be duly executed
and delivered by its Authorized Officer, solely in such capacity and not as an individual, as of
the date first above written.

	 	 	 	 	 
	 	[NAME OF ADDITIONAL SUBSIDIARY]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	[NAME OF ADDITIONAL SUBSIDIARY]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

ACCEPTED AND AGREED FOR ITSELF

AND ON BEHALF OF THE SECURED PARTIES:

CITIBANK, N.A.,

      as Collateral Agent

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Name:
	 	 
	 

	 	Title:	 	 

Pledge and Security Agreement

(Second Lien)

Annex I - 3

 

[COPY SCHEDULES FROM SECURITY AGREEMENT]

Pledge and Security Agreement

(Second Lien)

10

 

EXHIBIT H

INTERCREDITOR AGREEMENT

     This INTERCREDITOR AGREEMENT, dated as of September 5, 2006, is entered into among CITIBANK,
N.A., as First Lien Agent (as defined below), CITIBANK, N.A., as Second Lien Agent (as defined
below), CITIBANK, N.A., as Control Agent (as defined below), the First Lien Borrower, the First
Lien Guarantors, the Second Lien Borrower and the Second Lien Guarantors (each as defined below)
from time to time a party hereto.

W I T N E S S E T H

     WHEREAS, concurrently with the execution and delivery of this Agreement, the First
Lien Borrower, certain financial institutions and other Persons (as defined below) as lenders
(together with their respective successors and assigns, the “First Lien Lenders”), and
Citicorp USA, Inc., as administrative agent for such First Lien Lenders, are entering into a Credit
Agreement, dated as of the date hereof (as such agreement may be amended, supplemented, amended and
restated or otherwise modified from time to time, the “Initial First Lien Financing
Agreement”), pursuant to which such First Lien Lenders have agreed to make loans and extensions
of credit to the First Lien Borrower;

     WHEREAS, concurrently with the execution and delivery of this Agreement, the Second
Lien Borrower, certain financial institutions and other Persons (as defined below) as lenders
(together with their respective successors and assigns, the “Second Lien Lenders”), and
Citicorp USA, Inc., as administrative agent for such Second Lien Lenders, are entering into a
Credit Agreement, dated as of the date hereof (as such agreement may be amended, supplemented,
amended and restated or otherwise modified from time to time, the “Initial Second Lien
Financing Agreement”), pursuant to which such Second Lien Lenders have agreed to make loans to
the Second Lien Borrower;

     WHEREAS, the First Lien Borrower and the First Lien Guarantors have granted to the
First Lien Agent security interests in the Common Collateral as security for the prompt payment and
performance of the First Lien Obligations;

     WHEREAS, the Second Lien Borrower and the Second Lien Guarantors have granted to the
Second Lien Agent security interests in the Common Collateral as security for the prompt payment
and performance of the Second Lien Obligations; and

     WHEREAS, the First Lien Agent on behalf of itself and the First Lien Lenders and the
Second Lien Agent on behalf of itself and the Second Lien Lenders, and by their acknowledgment
hereof, the First Lien Borrower, the First Lien Guarantors, the Second Lien Borrower and the Second
Lien Guarantors, have agreed to, among other things, the relative priority of Liens on the Common
Collateral as provided herein.

     NOW, THEREFORE, in consideration of the foregoing, the mutual covenants and
obligations herein set forth and for other good and valuable consideration, the adequacy and
receipt of which are hereby acknowledged, and in reliance upon the representations, warranties

Intercreditor
Agreement (Second Lien) 

1

 

and covenants herein contained, the parties hereto, intending to be legally bound, hereby
agree as follows:

ARTICLE I

DEFINITIONS

     SECTION 1.1. Defined Terms. As used in this Agreement, the following terms shall have
the following meanings:

     “Affiliate” means, with respect to any Person, another Person that directly, or
indirectly through one or more intermediaries, Controls or is Controlled by or is under common
Control with the Person specified. “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. Without limiting the generality of the
foregoing, a Person shall be deemed to be Controlled by another Person if such other Person
possesses, directly or indirectly, power to vote 10% or more of the securities having ordinary
voting power for the election of directors, managing general partners or the equivalent.

     “Agreement” means this Intercreditor Agreement, as the same may be amended, restated,
supplemented or otherwise modified from time to time.

     “Cash Management Obligations” means, with respect to the Borrower or any of its
Subsidiaries, any direct or indirect liability, contingent or otherwise, of such Person in respect
of cash management services (including treasury, depository, overdraft (daylight and temporary),
credit or debit card, electronic funds transfer and other cash management arrangements) provided
after the Closing Date by a Person who is (or was at the time such Cash Management Obligations were
incurred) the First Lien Administrative Agent, any First Lien Lender or any Affiliate thereof,
including obligations for the payment of fees, interest, charges, expenses, attorneys’ fees and
disbursements in connection therewith to the extent provided for in the documents evidencing such
cash management services.

     “Bankruptcy Code” means Title 11 of the United States Code (11 U.S.C. 101 et seq.), as
amended from time to time.

     “Borrowers” means the First Lien Borrower and the Second Lien Borrower.

     “Capital Securities” means, with respect to any Person, all shares, interests,
participations or other equivalents (however designated, whether voting or non-voting) of such
Person’s capital, whether now outstanding or issued after the date hereof.

     “Capitalized Lease Liabilities” means, with respect to any Person, all monetary
obligations of such Person and its Subsidiaries under any leasing or similar arrangement which, in
accordance with GAAP, should be classified as capitalized leases, and for purposes of each Loan
Document the amount of such obligations shall be the capitalized amount thereof, determined in
accordance with GAAP, and the stated maturity thereof shall be the date of the last payment of rent
or any other amount due under such lease prior to the first date upon which such lease may be
terminated by the lessee without payment of a premium or a penalty.

Intercreditor Agreement (Second Lien)

2

 

     “Common Collateral” means any and all of the assets and property of any Borrower or
any Guarantor, now owned or hereafter acquired, whether real, personal or mixed, in or upon which a
Lien is granted or purported to be granted to the First Lien Agent pursuant to the First Lien
Documents and the Second Lien Agent pursuant to the Second Lien Documents.

     “Comparable Second Lien Collateral Document” means in relation to any Common
Collateral subject to any First Lien Collateral Document, any Second Lien Collateral Document(s)
which create a security interest in the same Common Collateral, granted by the same Borrower or
same Guarantor.

     “Contingent Liability” means any agreement, undertaking or arrangement by which any
Person guarantees, endorses or otherwise becomes or is contingently liable upon (by direct or
indirect agreement, contingent or otherwise, to provide funds for payment, to supply funds to, or
otherwise to invest in, a debtor, or otherwise to assure a creditor against loss) the Indebtedness
of any other Person (other than by endorsements of instruments in the course of collection), or
guarantees the payment of dividends or other distributions upon the Capital Securities of any other
Person. The amount of any Person’s obligation under any Contingent Liability shall (subject to any
limitation set with respect thereto) be deemed to be the outstanding principal amount of the debt,
obligation or other liability guaranteed thereby.

     “Control Agent” is defined in clause (a) of Section 5.5.

     “Control Collateral” means any Common Collateral consisting of any Certificated
Security, Investment Property, Deposit Account, cash and any other Collateral as to which a Lien
may be perfected through possession or control by the secured party, or any agent therefor.

     “Controlled Account” means any deposit accounts of the Borrowers or Guarantors subject
to Liens under the terms of the First Lien Collateral Documents or the Second Lien Collateral
Documents.

     “DIP Financing” is defined in Section 6.1.

     “Discharge of First Lien Obligations” means (subject to reinstatement in accordance
with Section 6.5), the first date upon which each of the following has occurred: (i) the
payment in full in cash of all First Lien Obligations (other than contingent obligations or
indemnification obligations for which no claim has been asserted); (ii) the termination of all
Hedging Obligations or the cash collateralization (or collateralization with other letters of
credit) of all First Lien Obligations, in a manner satisfactory to the applicable Hedging
Obligation counterparty owed such obligation; (iii) the expiration, termination or cash
collateralization (or collateralization with other letters of credit), in a manner satisfactory to
the First Lien Agent, of all Letters of Credit (as defined in the First Lien Financing Agreement);
(iv) the termination of all commitments to extend credit under the First Lien Financing Agreement;
and (v) the delivery by the First Lien Agent to the Second Lien Agent of a written notice
confirming that the conditions set forth in clauses (i), (ii), (iii) and
(iv) have been satisfied.

     “First Lien Administrative Agent” means the “Administrative Agent” under, and as
defined in, the First Lien Financing Agreement.

Intercreditor Agreement (Second Lien)

3

 

     “First Lien Agent” means Citibank, N.A., in its capacity as collateral agent under the
First Lien Collateral Documents, and any successor thereto exercising substantially the same rights
and powers.

     “First Lien Borrower” means Hanesbrands Inc., a Maryland corporation, as borrower
under the First Lien Financing Agreement.

     “First Lien Collateral” means all of the assets and properties of the First Lien
Borrower or any First Lien Guarantor, now owned or hereafter acquired, whether real, personal or
mixed, in or upon which a Lien is granted or purported to be granted to the First Lien Lenders or
the First Lien Agent as security for any First Lien Obligation pursuant to the First Lien
Documents.

     “First Lien Collateral Documents” means, collectively, the security agreements, pledge
agreements, collateral assignments, control agreements, mortgages, deeds of trust and other
documents or agreements, if any, providing for grants or transfers for security executed and
delivered by the First Lien Borrower, any First Lien Guarantor or any of their respective
Subsidiaries creating a Lien upon property owned or to be acquired by the First Lien Borrower, such
First Lien Guarantor or such Subsidiary in favor of any holder of First Lien Obligations or the
First Lien Agent, in each case as security for any First Lien Obligations.

     “First Lien Documents” means, collectively, the First Lien Financing Agreement, the
First Lien Collateral Documents, all Hedge Agreements evidencing Hedging Obligations and all
agreements evidencing Cash Management Obligations that, in each case, constitute First Lien
Obligations and all other agreements, documents and instruments executed or delivered pursuant to
or in connection with any of the foregoing at any time evidencing any First Lien Obligations.

     “First Lien Financing Agreement” means, collectively, (i) the Initial First Lien
Financing Agreement, and (ii) any other credit agreement, loan agreement, note agreement,
promissory note, indenture or other agreement or instrument evidencing or governing the terms of
any Indebtedness or other financial accommodation that has been incurred to extend, increase
(subject to the limitations set forth herein), replace, refinance or refund in whole or in part the
Indebtedness and other obligations outstanding under the Initial First Lien Financing Agreement or
any other agreement or instrument referred to in this clause unless such agreement or instrument
expressly provides that it is not intended to be and is not a First Lien Financing Agreement;
provided, that if and to the extent that any amendment, modification, increase,
replacement, refinancing or refunding of the Initial First Lien Financing Agreement or any other
agreement referred to in this clause (in each case other than a DIP Financing provided in
accordance with Section 6) provides for revolving credit commitments, revolving credit
loans, term loans, bonds, debentures, notes or similar instruments having a principal amount in
excess of the Maximum First Lien Principal Debt Amount, then only that portion of such principal
amount in excess of the Maximum First Lien Principal Debt Amount shall not constitute First Lien
Obligations for purposes of this Agreement. Any reference to the First

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Lien Financing Agreement hereunder shall be deemed a reference to any First Lien Financing
Agreement then in existence.

     “First Lien Guarantor” means each Person that is (or hereafter becomes) a guarantor of
the First Lien Obligations pursuant to the First Lien Documents. Upon becoming a guarantor
thereunder such Person shall automatically be deemed to be a First Lien Guarantor for all purposes
hereunder.

     “First Lien Lenders” is defined in the recitals and in addition shall include the
First Lien Agent and any Person from time to time holding (or committed to provide) First Lien
Obligations.

     “First Lien Obligations” means, collectively, (i) subject, in the case of principal
only, to the proviso in the definition of First Lien Financing Agreement, all Indebtedness
outstanding under or with respect to one or more of the First Lien Documents, and (ii) all other
Obligations owing by the First Lien Borrower or any First Lien Guarantor under or with respect to
the First Lien Financing Agreement or any other First Lien Document, including all claims under the
First Lien Documents for interest, fees, expense reimbursements, indemnification and other similar
claims, and all claims with respect to Cash Management Obligations and Hedging Obligations (other
than those owing to the Second Lien Agent). First Lien Obligations shall include all interest
accrued or accruing (or which would accrue absent the commencement of an Insolvency or Liquidation
Proceeding) after the commencement of an Insolvency or Liquidation Proceeding in accordance with
and at the rate specified in the First Lien Financing Agreement, whether or not the claim for such
interest is allowed or allowable in any Insolvency or Liquidation Proceeding. To the extent any
payment with respect to the First Lien Obligations (whether by or on behalf of the First Lien
Borrower or any First Lien Guarantor, as proceeds of security, enforcement of any right of setoff
or otherwise) is declared to be a fraudulent conveyance or a preference or in any respect set aside
or required to be paid to a debtor in possession, the Second Lien Agent, a receiver or similar
Person, then the Obligation or part thereof originally intended to be satisfied shall be deemed to
be reinstated and outstanding as if such payment had not occurred, all as more fully set forth in
Section 6.5.

     “First Lien Required Lenders” means with respect to any amendment or modification of
the First Lien Financing Agreement or this Agreement, or any termination or waiver of any provision
of the First Lien Financing Agreement or this Agreement, or any consent or departure by the First
Lien Borrower or the First Lien Guarantors, as the case may be, therefrom (in each case exclusive
of any such modification, waiver, consent, etc., which is permitted to be effected by the First
Lien Administrative Agent and the First Lien Borrower without further approval or consent of any
First Lien Lenders), those First Lien Lenders, the approval of which is required pursuant to the
First Lien Financing Agreement to approve such amendment or modification, termination or waiver or
consent or departure.

     “GAAP” means United States generally accepted accounting principles and policies as in
effect from time to time.

     “Guarantors” means the First Lien Guarantors and the Second Lien Guarantors.

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     “Governmental Authority” means the government of the United States, any other nation
or 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.

     “Hedge Agreement” means any interest rate, foreign currency, commodity or equity swap,
collar, cap, floor or forward rate agreement, or other agreement or arrangement designed to protect
against fluctuations in interest rates or currency, commodity or equity values (including any
option with respect to any of the foregoing and any combination of the foregoing agreements or
arrangements), and any confirmation executed in connection with any such agreement or arrangement.

     “Hedging Obligations” means obligations of any Borrower, any Guarantor or any of their
respective Subsidiaries under any Hedge Agreement entered into with any counterparty that is (or at
the time of its delivery, was) the First Lien Agent, a First Lien Lender or an Affiliate of the
First Lien Agent or any First Lien Lender.

     “including” means “including, without limitation”.

     “Indebtedness” of any Person means, (i) all obligations of such Person for borrowed
money or advances and all obligations of such Person evidenced by bonds, debentures, notes or
similar instruments, (ii) all monetary obligations, contingent or otherwise, relative to the face
amount of all letters of credit, whether or not drawn, and banker’s acceptances issued for the
account of such Person, (iii) all Capitalized Lease Liabilities of such Person, (iv) whether or not
so included as liabilities in accordance with GAAP, all obligations of such Person to pay the
deferred purchase price of property or services (excluding trade accounts payable and accrued
expenses in the ordinary course of business which are not overdue for a period of more than 90 days
or, if overdue for more than 90 days, as to which a dispute exists and adequate reserves in
conformity with GAAP have been established on the books of such Person), (v) indebtedness secured
by (or for which the holder of such indebtedness has an existing right, contingent or otherwise, to
be secured by) a Lien on property owned or being acquired 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 (provided
that in the event such indebtedness is limited in recourse solely to the property subject to such
Lien, for the purposes of this Agreement the amount of such indebtedness shall not exceed the
greater of the book value or the fair market value (as determined in good faith by such Person’s
board of directors or other managing body) of the property subject to such Lien), (vi) monetary
obligations arising under Synthetic Leases, (vii) the full outstanding balance of trade
receivables, notes or other instruments sold with full recourse (and the portion thereof subject to
potential recourse, if sold with limited recourse), other than in any such case any thereof sold
solely for purposes of collection of delinquent accounts and other than in connection with any
Permitted Securitization (as defined in the First Lien Financing Agreement and the Second Lien
Financing Agreement), (viii) all obligations (other than intercompany obligations) of such Person
pursuant to any Permitted Securitization (other than Standard Securitization Undertakings (as
defined in the First Lien Financing Agreement and the Second Lien Financing Agreement)), and (ix)
all Contingent Liabilities of such Person in respect

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of any of the foregoing. The Indebtedness of any Person shall include the Indebtedness of any
other Person (including any partnership in which such Person is a general partner) to the extent
such Person is liable therefore as a result of such Person’s ownership interest in or other
relationship with such Person, except to the extent the terms of such Indebtedness provide that
such Person is not liable therefore.

     “Initial First Lien Financing Agreement” is defined in the recitals.

     “Initial Second Lien Financing Agreement” is defined in the recitals.

     “Insolvency or Liquidation Proceeding” means (i) any voluntary or involuntary case or
proceeding under the Bankruptcy Code with respect to any Borrower or any Guarantor, (ii) any other
voluntary or involuntary insolvency, reorganization or bankruptcy case or proceeding, or any
receivership, liquidation, reorganization or other similar case or proceeding with respect to any
Borrower or any Guarantor or with respect to any of their respective assets, (iii) any liquidation,
dissolution, reorganization or winding up of any Borrower or any Guarantor whether voluntary or
involuntary and whether or not involving insolvency or bankruptcy, or (iv) any assignment for the
benefit of creditors or any other marshalling of assets and liabilities of any Borrower or any
Guarantor.

     “Lien” means any mortgage, pledge, hypothecation, assignment, 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, and any financing lease having
substantially the same economic effect as any of the foregoing).

     “Maximum First Lien Principal Debt Amount” means $2,600,000,000.

     “Obligations” means any principal, interest, penalties, fees, indemnities,
reimbursement obligations, guarantee obligations, costs, expenses (including fees and disbursements
of counsel), damages and other liabilities and obligations, whether direct or indirect, absolute or
contingent, due or to become due, or now existing or hereafter incurred, which may arise under, out
of, or in connection with the documentation governing, or made, delivered or given in connection
with, any Indebtedness (including interest accruing at the then applicable rate provided in such
documentation after the maturity of such Indebtedness and interest accruing at the then applicable
rate provided in such documentation after the commencement of an Insolvency or Liquidation
Proceeding (or which would, absent the commencement of an Insolvency or Liquidation proceeding,
accrue)), relating to any Borrower or any Guarantor, whether or not a claim for such post-filing or
post-petition interest is allowed or allowable in such Insolvency or Liquidation Proceeding.

     “Person” means any natural person, corporation, limited liability company,
partnership, joint venture, association, trust or unincorporated organization, Governmental
Authority or any other legal entity, whether acting in an individual, fiduciary or other capacity.

     “Recovery” is defined in Section 6.5.

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     “Second Lien Administrative Agent” means the “Administrative Agent” under, and as
defined in, the Second Lien Financing Agreement.

     “Second Lien Agent” means Citibank, N.A., in its capacity as collateral agent under
the Second Lien Collateral Documents, and any successor thereto exercising substantially the same
rights and powers.

     “Second Lien Borrower” means HBI Branded Apparel Limited, Inc., a Delaware
corporation, as borrower under the Second Lien Financing Agreement.

     “Second Lien Collateral” means all of the assets and properties of the Second Lien
Borrower or any Second Lien Guarantor, now owned or hereafter acquired, whether real, personal or
mixed, in or upon which a Lien is granted or purported to be granted to the Second Lien Agent or
the Second Lien Lenders as security for any Second Lien Obligation pursuant to the Second Lien
Documents.

     “Second Lien Collateral Documents” means, collectively, the security agreements,
pledge agreements, collateral assignments, control agreements, mortgages, deeds of trust and other
documents or agreements, if any, providing for grants or transfers for security executed and
delivered by the Second Lien Borrower, any Second Lien Guarantor or any of their respective
Subsidiaries creating a Lien upon property owned or to be acquired by the Second Lien Borrower,
such Second Lien Guarantor or such Subsidiary in favor of any holder of Second Lien Obligations or
the Second Lien Agent, in each case as security for any Second Lien Obligations.

     “Second Lien Documents” means, collectively, the Second Lien Financing Agreement, the
Second Lien Collateral Documents and any other related document or instrument executed or delivered
pursuant to any of the foregoing at any time or otherwise evidencing any Second Lien Obligations.

     “Second Lien Enforcement Date” means the date which is 180 days following the date
upon which the First Lien Agent receives a notice from the Second Lien Agent certifying that (i) an
Event of Default (under and as defined in the Second Lien Financing Agreement) has occurred and is
continuing, and (ii) Second Lien Lenders holding the requisite amount of Second Lien Obligations
(or the Second Lien Agent on their behalf) have declared the Second Lien Obligations to be due and
payable prior to their stated maturity in accordance with the Second Lien Financing Agreement;
provided, that the Second Lien Enforcement Date shall be stayed and shall not occur and
shall be deemed not to have occurred (w) at any time the First Lien Agent or the First Lien Lenders
have commenced, and are diligently pursuing, any enforcement action with respect to the Common
Collateral, (x) the First Lien Agent (or the First Lien Lenders holding the requisite amount of
First Lien Obligations) has declared the First Lien Obligations to be due and payable prior to
their stated maturity, (y) at any time any Borrower or any Guarantor is then a debtor under or with
respect to (or otherwise subject to) any Insolvency or Liquidation Proceeding or (z) if the
acceleration of the Second Lien Obligations is rescinded in accordance with the terms of the Second
Lien Financing Agreement.

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     “Second Lien Financing Agreement” means, collectively, (i) the Initial Second Lien
Financing Agreement, and (ii) any other credit agreement, loan agreement, note agreement,
promissory note, indenture, or other agreement or instrument evidencing or governing the terms of
any Indebtedness or other financial accommodation that has been incurred to extend, increase
(subject to the limitations set forth herein), replace, refinance or refund in whole or in part the
Indebtedness and other obligations outstanding under the Initial Second Lien Financing Agreement or
other agreement or instrument referred to in this clause. Any reference to the Second Lien
Financing Agreement hereunder shall be deemed a reference to any Second Lien Financing Agreement
then in existence.

     “Second Lien Guarantor” means each Person that is (or hereafter becomes) a guarantor
of the Second Lien Obligations pursuant to the Second Lien Documents. Upon becoming a guarantor
thereunder such Person shall automatically be deemed to be a Second Lien Guarantor for all purposes
hereunder.

     “Second Lien Lender” is defined in the recitals and in addition shall include any
Person holding Second Lien Obligations.

     “Second Lien Obligations” means, collectively, (i) all Indebtedness outstanding under
or with respect to the Second Lien Documents, and (ii) all other Obligations owing by the Second
Lien Borrower or any Second Lien Guarantor under or with respect to the Second Lien Financing
Agreement or any other Second Lien Documents, including all claims under the Second Lien Documents
for interest, fees, expense reimbursements, indemnification and other similar claims. Second Lien
Obligations shall include all interest accrued or accruing (or which would, absent the commencement
of an Insolvency or Liquidation Proceeding, accrue) after the commencement of an Insolvency or
Liquidation Proceeding in accordance with and at the rate specified in the Second Lien Financing
Agreement whether or not the claim for such interest is allowed as a claim in such Insolvency or
Liquidation Proceeding. To the extent any payment with respect to the Second Lien Obligations
(whether by or on behalf of the Second Lien Borrower or any Second Lien Guarantor, as proceeds of
security, enforcement of any right of setoff or otherwise) is declared to be a fraudulent
conveyance or a preference in any respect, set aside or required to be paid to a debtor in
possession, First Lien Agent, receiver or similar Person, then the Obligation or part thereof
originally intended to be satisfied shall be deemed to be reinstated and outstanding as if such
payment had not occurred.

     “Second Lien Required Lenders” means with respect to any amendment or modification of
the Second Lien Financing Agreement or this Agreement, or any termination or waiver of any
provision of the Second Lien Financing Agreement or this Agreement, or any consent or departure by
the Second Lien Borrower or the Second Lien Guarantors, as the case may be, therefrom (in each case
exclusive of any such modification, waiver, consent, etc., which is permitted to be effected by the
Second Lien Administrative Agent and the Second Lien Borrower without further approval or consent
of any Second Lien Lenders), those Second Lien Lenders, the approval of which is required pursuant
to the Second Lien Financing Agreement to approve such amendment or modification, termination or
waiver or consent or departure.

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     “Second Lien Security Agreement” means, collectively, the security agreements, pledge
agreements or similar collateral documents by which the Second Lien Agent obtains a Lien or
security interest in the Common Collateral for the benefit of the Second Lien Lenders.

     “Subsidiary” means, with respect to any Person, any other Person of which more than
50% of the outstanding Voting Securities of such other Person (irrespective of whether at the time
Capital Securities of any other class or classes of such other Person shall or might have voting
power upon the occurrence of any contingency) is at the time directly or indirectly owned or
controlled by such Person, by such Person and one or more other Subsidiaries of such Person, or by
one or more other Subsidiaries of such Person.

     “Synthetic Lease” means, as applied to any Person, any lease (including leases that
may be terminated by the lessee at any time) of any property (whether real, personal or mixed) (i)
that is not a capital lease in accordance with GAAP and (ii) in respect of which the lessee retains
or obtains ownership of the property so leased for federal income tax purposes, other than any such
lease under which that Person is the lessor.

     “Uniform Commercial Code” or “UCC” means the Uniform Commercial Code as in effect from
time to time in the State of New York or any other applicable jurisdiction.

     “United States” means the United States of America, its fifty states and the District
of Columbia.

     “Voting Securities” means, with respect to any Person, Capital Securities of any class
or kind ordinarily having the power to vote for the election of directors, managers or other voting
members of the governing body of such Person.

     SECTION 1.2. UCC Defined Terms. In addition, the following terms which are defined in
the Uniform Commercial Code are used herein as so defined: Certificated Security, Deposit Account,
Instrument and Investment Property.

     SECTION 1.3. Definitions (Generally). The definitions of terms herein shall apply
equally to the singular and plural forms of the terms defined. 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 this
Agreement) herein shall be construed as referring to such agreement, instrument or other document
as from time to time amended, extended, supplemented, restated, replaced or otherwise modified
(subject to any restrictions on such amendments, extensions, supplements, restatements,
replacements or modifications set forth herein), (ii) any reference herein to any Person shall be
construed to include such Person’s successors and assigns, (iii) the words “herein,” “hereof” and
“hereunder,” and words of similar import, shall be construed to refer to this Agreement in its
entirety and not to any particular provision thereof, (iv) all references herein to Sections shall
be construed to refer to Sections of this Agreement, (v) 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 contracts, and (vi) any reference
to any law, rule, regulation, statute, code,

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ordinance or treaty shall include any statutory or regulatory provisions consolidating,
amending, replacing, supplementing or interpreting any of the foregoing.

ARTICLE II

LIEN PRIORITIES

     SECTION 2.1. Lien Priority.

     (a) Priority. Notwithstanding (i) the date, time, method, manner or order of
grant, attachment or perfection (or failure to perfect) of any Liens granted to the Second
Lien Agent or the Second Lien Lenders on all or any portion of the Common Collateral or of
any Liens granted to the First Lien Agent or the First Lien Lenders on all or any portion of
the Common Collateral, and regardless of how such Lien was acquired (whether by grant,
statute, operation of law, subrogation or otherwise), (ii) the order or time of filing or
recordation of any document or instrument for perfecting the Liens in favor of the First
Lien Agent or the Second Lien Agent (or any First Lien Lender or Second Lien Lender) in any
Common Collateral, (iii) any provision of the UCC, the Bankruptcy Code or any applicable
law, the First Lien Documents or the Second Lien Documents, (iv) whether the First Lien
Agent or the Second Lien Agent, in each case, either directly or through agents, holds
possession of, or has control over, all or any part of the Common Collateral, (v) the fact
that any Liens in favor of the First Lien Agent or the First Lien Lenders securing any of
the First Lien Obligations are (A) subordinated to any Lien securing any obligation of any
Borrower or any Guarantor other than the First Lien Obligations or (B) otherwise
subordinated, voided, avoided, invalidated, or lapsed, or (vi) any other circumstance
whatsoever, the Second Lien Agent, on behalf of itself and the Second Lien Lenders, hereby
agrees that: (x) any Lien on any Common Collateral securing the First Lien Obligations now
or hereafter held by the First Lien Agent or the First Lien Lenders shall be senior in
priority to all Liens on any Common Collateral securing the Second Lien Obligations; and (y)
any Lien on any Common Collateral now or hereafter held by the Second Lien Agent or the
Second Lien Lenders shall be and are expressly junior and subordinate in priority to any and
all Liens on any Common Collateral securing the First Lien Obligations.

     (b) Effect of Perfection or Failure to Perfect. Notwithstanding any failure by
the First Lien Agent, any First Lien Lender, the Second Lien Agent or any Second Lien Lender
to perfect its security interests in any Common Collateral or any avoidance, invalidation or
subordination by any third party or court of the security interests in any Common Collateral
granted to any such Person, the priority and rights as between the First Lien Agent and the
First Lien Lenders on the one hand and the Second Lien Agent and the Second Lien Lenders on
the other hand with respect to any Common Collateral shall be as set forth in this
Agreement.

     (c) Nature of First Lien Obligations. The Second Lien Agent on behalf of
itself and the Second Lien Lenders acknowledges that a portion of the First Lien Obligations
are revolving in nature and that the amount thereof that may be outstanding at any time or
from time to time may be increased or reduced and subsequently reborrowed, and that the
terms of the First Lien Obligations may be modified, extended or amended from

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time to time, and (subject to the proviso in the definition of First Lien Financing
Agreement) the aggregate amount of the First Lien Obligations may be increased, replaced or
refinanced, in each event, without notice to or consent by the Second Lien Agent or any
Second Lien Lender and without affecting the provisions hereof. The lien priorities
provided in this Section shall not be altered or otherwise affected by any such amendment,
modification, supplement, extension, repayment, reborrowing, increase, replacement, renewal,
restatement or refinancing of either the First Lien Obligations or the Second Lien
Obligations, or any portion thereof.

     SECTION 2.2. Prohibition on Contesting Liens. The Second Lien Agent, for itself and
on behalf of each Second Lien Lender, and the First Lien Agent, for itself and on behalf of each
First Lien Lender, each agrees that it shall not (and hereby waives any right to) directly or
indirectly contest or support any other Person in contesting, or objecting to, in any proceeding
(including any Insolvency or Liquidation Proceeding), the priority, perfection, validity or
enforceability of any Lien in any Common Collateral granted to the other, or the provisions of this
Agreement.

     SECTION 2.3. No New Liens.

     (a) Limitation on other Collateral for First Lien Lenders. So long as any
Second Lien Obligations remain outstanding, and subject to Section 6 hereof, (i) the
First Lien Agent agrees that, after the date hereof, neither the First Lien Agent nor any
First Lien Lender shall acquire or hold any Lien (other than cash collateralization of any
First Lien Obligation consisting of letters of credit, Hedging Obligations or Bank Product
Obligations) on any assets of any Borrower, any Guarantor or any of their respective
Subsidiaries securing any First Lien Obligations which assets are not also subject to the
second-priority Lien of the Second Lien Agent under the Second Lien Documents, and (ii) each
Borrower and each Guarantor agrees not to grant any Lien on any of its assets, or permit any
of its Subsidiaries to grant a Lien (other than cash collateralization of any First Lien
Obligation consisting of letters of credit, Hedging Obligations or Bank Product Obligations)
on any of its assets, in favor of the First Lien Agent or the First Lien Lenders securing
the First Lien Obligations unless it, or such Subsidiary, has granted a similar Lien on such
assets in favor of the Second Lien Agent or the Second Lien Lenders securing the Second Lien
Obligations. If the First Lien Agent or any First Lien Lender shall acquire any Lien (other
than cash collateralization of any First Lien Obligation consisting of letters of credit,
Hedging Obligations or Bank Product Obligations) on any assets of any Borrower, any
Guarantor or any of their respective Subsidiaries securing any First Lien Obligations which
assets are not also subject to the second-priority Lien of the Second Lien Agent under the
Second Lien Documents, then the First Lien Agent (or the relevant First Lien Lender), shall,
without the need for any further consent of any other Person and notwithstanding anything to
the contrary in any other First Lien Document (A) be deemed to hold and have held such Lien
for the benefit of the Second Lien Agent as security for the Second Lien Obligations subject
to the priorities and other terms set forth herein or (B) release such Lien.

     (b) Limitation on other Collateral for Second Lien Lenders. Until the date
upon which the Discharge of First Lien Obligations shall have occurred, (i) the Second

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Lien Agent agrees that, after the date hereof, neither the Second Lien Agent nor any
Second Lien Lender shall acquire or hold any Lien on any assets of any Borrower, any
Guarantor or any of their respective Subsidiaries securing any Second Lien Obligations which
assets are not also subject to the first-priority Lien of the First Lien Agent securing the
First Lien Obligations, and (ii) each Borrower and each Guarantor agrees not to grant any
Lien on any of its assets, or permit any of its Subsidiaries to grant a Lien on any of its
assets, in favor of the Second Lien Agent or the Second Lien Lenders securing the Second
Lien Obligations unless it, or such Subsidiary, has granted a similar Lien on such assets in
favor of the First Lien Agent or the First Lien Lenders. If the Second Lien Agent or any
Second Lien Lender shall acquire any Lien on any assets of any Borrower, any Guarantor or
any of their respective Subsidiaries securing any Second Lien Obligations which assets are
not also subject to the first-priority Lien of the First Lien Agent securing the First Lien
Obligations, then the Second Lien Agent (or the relevant Second Lien Lender), shall, without
the need for any further consent of any other Person and notwithstanding anything to the
contrary in any other Second Lien Document (A) be deemed to hold and have held such Lien for
the benefit of the First Lien Agent as security for the First Lien Obligations subject to
the priorities and other terms set forth herein or (B) release such Lien.

     SECTION 2.4. Similar Liens and Agreements. The parties hereto agree that it is their
intention that the First Lien Collateral and the Second Lien Collateral be identical. In
furtherance of the foregoing, the parties hereto agree:

     (a) upon request of the First Lien Agent or the Second Lien Agent, to cooperate in good
faith (and to direct their counsel and agents to cooperate in good faith) from time to time
in order to determine the specific items included in the First Lien Collateral and the
Second Lien Collateral and the steps taken to perfect their respective Liens thereon and the
identity of the respective grantors with respect thereto; and

     (b) that the terms and provisions contained in the documents and agreements creating or
evidencing the First Lien Collateral and the Second Lien Collateral shall be in all material
respects be the same forms of documents other than with respect to the priority of the Liens
thereunder.

ARTICLE III

ENFORCEMENT, STANDSTILL, WAIVERS

     SECTION 3.1. Standstill and Waivers. Until the earlier of (i) the date upon which the
Discharge of First Lien Obligations shall have occurred, whether or not any Insolvency or
Liquidation Proceeding has been commenced by or against any Borrower, any Guarantor or any of their
respective Subsidiaries, or (ii) the Second Lien Enforcement Date, neither the Second Lien Agent
nor the Second Lien Lenders:

     (a) will oppose, object to or contest in any manner, any foreclosure, sale, lease,
exchange, transfer or other disposition of any Common Collateral by the First Lien Agent or
any First Lien Lender, or any other exercise of any rights or remedies by or on behalf of
the First Lien Agent or any First Lien Lender in respect of any Common Collateral,

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including the commencement or prosecution of any enforcement action under applicable
law or the First Lien Documents;

     (b) shall have any right to (1) direct either the First Lien Agent or any First Lien
Lender to exercise any right, remedy or power with respect to any Common Collateral or
pursuant to the First Lien Documents or (2) contest or object to the exercise by the First
Lien Agent or any First Lien Lender of any right, remedy or power with respect to any Common
Collateral or pursuant to the First Lien Documents or to the timing or manner in which any
such right is exercised or not exercised (and, to the extent they may have any such right
described in this clause, whether as a junior lien creditor or otherwise, they hereby
irrevocably waive such right);

     (c) will institute any suit or other proceeding or assert in any suit, Insolvency or
Liquidation Proceeding or other proceeding any claim against the First Lien Agent or any
First Lien Lender seeking damages from or other relief by way of specific performance,
instructions or otherwise, with respect to, and none of the First Lien Agent nor any First
Lien Lender shall be liable for, any action taken or omitted to be taken by the First Lien
Agent or any First Lien Lender with respect to any Common Collateral or pursuant to the
First Lien Documents; provided, that this provision shall not prevent the Second
Lien Agent on behalf of the Second Lien Lenders from asserting claims against the First Lien
Agent for damages arising from its gross negligence or willful misconduct in performing its
duties and obligations hereunder;

     (d) will take, receive or accept any Common Collateral or any proceeds of any Common
Collateral, except in accordance with the provisions of this Agreement;

     (e) will commence judicial or nonjudicial foreclosure proceedings with respect to, seek
to have a trustee, receiver, liquidator or similar official appointed for or over, attempt
any action to take possession of any Common Collateral, exercise any right, remedy or power
with respect to, or otherwise take any action to enforce their interest in or realize upon,
any Common Collateral or pursuant to the Second Lien Documents; or

     (f) will seek, and hereby waive any right, to have the Common Collateral or any part
thereof marshaled upon any foreclosure or other disposition of any Common Collateral.

     SECTION 3.2. Exclusive Enforcement; Nature of Rights.

     (a) Limitation on Action by Second Lien Lenders. Until the earlier of (i) the
date upon which the Discharge of First Lien Obligations shall have occurred, whether or not
any Insolvency or Liquidation Proceeding has been commenced by or against any Borrower, any
Guarantor or any of their respective Subsidiaries, or (ii) the Second Lien Enforcement Date,
the Second Lien Agent agrees, on behalf of itself and the Second Lien Lenders, that the
First Lien Agent and the First Lien Lenders shall have the exclusive right to enforce
rights, exercise remedies (including setoff) and make determinations regarding release (in
connection with any such enforcement of rights or

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exercise of remedies), disposition, or restrictions with respect to any Common
Collateral without any consultation with or the consent of the Second Lien Agent or any
Second Lien Lender; provided, that in each case (subject to the provisions of
Section 6), (A) in any Insolvency or Liquidation Proceeding commenced by or against
the Second Lien Borrower or any Second Lien Guarantor, the Second Lien Agent may file a
claim or statement of interest with respect to the Second Lien Obligations, (B) the Second
Lien Agent may take any action (not adverse to the senior Liens on any Common Collateral
securing the First Lien Obligations or the rights of the First Lien Agent to exercise
remedies in respect thereof) in order to preserve or protect its Lien on any Common
Collateral, (C) the Second Lien Agent shall be entitled to file any necessary responsive or
defensive pleadings in opposition to any motion, claim, adversary proceeding or other
pleading made by any Person objecting to or otherwise seeking the disallowance of the claims
of the Second Lien Lenders or the Second Lien Agent, including any claims secured by any
Common Collateral, in each case in accordance with the terms of this Agreement, (D) the
Second Lien Agent and the Second Lien Lenders shall be entitled to file any pleadings,
objections, motions or agreements which assert rights or interests available to unsecured
creditors of the Second Lien Borrower and the Second Lien Guarantors arising under either
bankruptcy or non-bankruptcy law, except as specifically prohibited herein, (E) the Second
Lien Lenders and the Second Lien Agent shall be entitled to file any proof of claim and
other filings and make any agreements and motions that are, in each case, in accordance with
the terms of this Agreement, and (F) the Second Lien Lenders and the Second Lien Agent may
exercise any of their rights and remedies with respect to any Common Collateral after the
Second Lien Enforcement Date and so long as the Second Lien Enforcement Date has not been
suspended pursuant to the definition thereof.

In exercising rights and remedies with respect to any Common Collateral, the First Lien
Agent and the First Lien Lenders may enforce the provisions of the First Lien Documents and
exercise remedies thereunder, all in such order and in such manner as they may determine in
the exercise of their sole discretion. Such exercise and enforcement shall include the
rights of an agent appointed by them to sell or otherwise dispose of Common Collateral upon
foreclosure, to incur expenses in connection with such sale or disposition, and to exercise
all the rights and remedies of a secured party under the Uniform Commercial Code of any
applicable jurisdiction and of a secured creditor under bankruptcy or similar laws of any
applicable jurisdiction.

     (b) Permitted Action by Second Lien Lenders. Without limiting the generality
of the foregoing provisions of this Section, until the earlier of (i) the date upon which
the Discharge of First Lien Obligations shall have occurred, whether or not any Insolvency
or Liquidation Proceeding has been commenced by or against any Borrower, any Guarantor or
any of their respective Subsidiaries, or (ii) the Second Lien Enforcement Date, and subject
to any other rights set forth herein, the sole right of the Second Lien Agent and the Second
Lien Lenders with respect to any Common Collateral is to hold a Lien on any Common
Collateral pursuant to the Second Lien Documents for the period and to the extent granted
therein and to receive a share of the proceeds thereof, if any, as set forth herein.

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     SECTION 3.3. No Additional Rights For the Borrower Hereunder. Except as provided in
Section 3.4, if the First Lien Agent or any First Lien Lender or Second Lien Agent or any
Second Lien Lender enforces its rights or remedies in violation of the terms of this Agreement,
neither any Borrower nor any Guarantor shall be entitled to use such violation as a defense to any
action by the First Lien Agent or any First Lien Lender or Second Lien Agent or any Second Lien
Lender, nor to assert such violation as a counterclaim or basis for set off or recoupment against
the First Lien Agent or any First Lien Lender or Second Lien Agent or any Second Lien Lender.

     SECTION 3.4. Actions Upon Breach.

     (a) If any Second Lien Lender or Second Lien Agent or First Lien Lender or First Lien
Agent, contrary to this Agreement, commences or participates in any action or proceeding
against any Borrower or any Guarantor or the Common Collateral, such Borrower or Guarantor,
with the prior written consent of the First Lien Agent or the Second Lien Agent, as
applicable, may interpose as a defense or dilatory plea the making of this Agreement, and
any First Lien Lender or the First Lien Agent or Second Lien Lender or the Second Lien
Agent, as applicable, may intervene and interpose such defense or plea in its or their name
or in the name of such Borrower or Guarantor.

     (b) Should any Second Lien Lender or the Second Lien Agent, contrary to this Agreement,
in any way take, attempt to or threaten to take any action with respect to the Common
Collateral (including, without limitation, any attempt to realize upon or enforce any remedy
with respect to this Agreement), or fail to take any action required by this Agreement, any
First Lien Lender or First Lien Agent (in its own name or in the name of the relevant
Borrower or Guarantor) or the relevant Borrower or Guarantor may obtain relief against such
Second Lien Lender or the Second Lien Agent, as applicable, by injunction, specific
performance and/or other appropriate equitable relief, it being understood and agreed by the
Second Lien Agent on behalf of each Second Lien Lender and itself that (i) the First Lien
Lenders’ or the First Lien Agent’s damages from its actions may at that time be difficult to
ascertain and may be irreparable, and (ii) each Second Lien Lender and the Second Lien Agent
waive any defense that the Borrowers or Guarantors and/or the First Lien Lenders or the
First Lien Agent cannot demonstrate damage and/or be made whole by the awarding of damages.

     (c) Should any First Lien Lender or First Lien Agent, contrary to this Agreement, in
any way take, attempt to or threaten to take any action with respect to the Common
Collateral (including, without limitation, any attempt to realize upon or enforce any remedy
with respect to this Agreement), or fail to take any action required by this Agreement, any
Second Lien Lender or the Second Lien Agent (in its own name or in the name of the relevant
Borrower or Guarantor) or the relevant Borrower or Guarantor may obtain relief against such
First Lien Lender or the First Lien Agent, as applicable, by injunction, specific
performance and/or other appropriate equitable relief, it being understood and agreed by the
First Lien Agent on behalf of each First Lien Lender and itself that (i) the Second Lien
Lender’s and the Second Lien Agent’s damages from its actions may at that time be difficult
to ascertain and may be irreparable, and (ii) each First Lien Lender and the First Lien
Agent waive any defense that the Borrowers or

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Guarantors and/or the Second Lien Lenders or the Second Lien Agent cannot demonstrate
damage and/or be made whole by the awarding of damages.

ARTICLE IV

PAYMENTS

     SECTION 4.1. Application of Proceeds. Until the date upon which the Discharge of
First Lien Obligations shall have occurred (except as specifically provided in the First Lien
Documents and in the Second Lien Documents), the cash proceeds of Common Collateral received in
connection with the sale or disposition of, or collection on, such Common Collateral and whether or
not pursuant to any exercise of remedies or any Insolvency or Liquidation Proceeding, shall be
applied by the First Lien Agent to the First Lien Obligations and, to the extent applicable, to the
Second Lien Agent for application to the Second Lien Obligations in such order as specified in the
First Lien Documents. Upon the Discharge of First Lien Obligations, the First Lien Agent shall
deliver to the Second Lien Agent any proceeds of Common Collateral held by it in the same form as
received, with any necessary endorsements or as a court of competent jurisdiction may otherwise
direct. Upon the Discharge of the Second Lien Obligations, the Second Lien Agent shall deliver to
the applicable Borrower or Guarantor any proceeds of Common Collateral held by it in the same form
as received, with any necessary endorsements or as a court of competent jurisdiction may otherwise
direct.

     SECTION 4.2. Payments Over. Until the date upon which the Discharge of First Lien
Obligations has occurred, any Common Collateral or proceeds thereof received by the Second Lien
Agent or any Second Lien Lender in contravention of this Agreement shall be segregated and held in
trust and forthwith paid over to the First Lien Agent for the benefit of the First Lien Lenders in
the same form as received, with any necessary endorsements or as a court of competent jurisdiction
may otherwise direct. Until the date upon which the Discharge of First Lien Obligations shall have
occurred, the First Lien Agent is hereby authorized to make any such endorsements as agent for the
Second Lien Agent or such Second Lien Lender.

ARTICLE V

OTHER AGREEMENTS

     SECTION 5.1. Releases.

     (a) Until the date upon which the Discharge of First Lien Obligations shall have
occurred, if:

     (i) the First Lien Agent exercises any of its remedies in respect of any Common
Collateral in accordance with the terms of this Agreement, including any sale, lease,
exchange, transfer or other disposition of such Common Collateral;

     (ii) there occurs any sale, lease, exchange, transfer or other disposition of Common
Collateral to a Person other than a Borrower or a Guarantor in a transaction that is
permitted under the terms of the First Lien Financing Agreement and the Second Lien
Financing Agreement (whether or not in either case an event of default under, and as defined
therein, has occurred and is continuing) at the time of such transaction; or

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     (iii) the Common Collateral to be released consists of the assets of a Subsidiary of a
Borrower or a Guarantor all of the Capital Securities of which is being released pursuant to
any other provision of this clause;

and if, in connection therewith, the First Lien Agent, for itself or on behalf of any of the First
Lien Lenders, releases any of its Liens on any part of the Common Collateral, or releases any
Guarantor from its obligations under its guaranty of the First Lien Obligations (other than in
connection with the Discharge of First Lien Obligations), the Liens, if any, of the Second Lien
Agent, for itself or for the benefit of the Second Lien Lenders, on such Common Collateral, and the
obligations of such Guarantor under its guaranty of the Second Lien Obligations, shall be
automatically, unconditionally and simultaneously released with no further consent or action of any
Person, and the Second Lien Agent, for itself or on behalf of any such Second Lien Lender, promptly
shall execute and deliver to the First Lien Agent and the Borrowers such termination statements,
releases and other documents and shall take such further actions as the First Lien Agent, the
Borrowers or such Guarantor may reasonably request to effectively confirm such release.

     (b) The Second Lien Agent, for itself and on behalf of the Second Lien Lenders, hereby
irrevocably constitutes and appoints the First Lien Agent and any officer or agent of the
First Lien Agent, with full power of substitution, as its true and lawful attorney-in-fact
with full irrevocable power and authority in the place and stead of the Second Lien Agent or
such Second Lien Lender or in the First Lien Agent’s own name, from time to time, in the
First Lien Agent’s discretion, for the purpose of carrying out the terms of this Section, to
take any and all appropriate action and to execute any and all documents and instruments
which may be necessary or desirable to accomplish the purposes of this Section including,
without limitation, any financing statements, endorsements or other instruments or transfer
or release. This appointment is coupled with an interest.

     SECTION 5.2. Insurance. To the extent provided in the relevant First Lien Collateral
Documents or the Second Lien Collateral Documents, as the case may be, the First Lien Agent and the
Second Lien Agent shall be named as additional insureds and the Control Agent shall be named as
loss payee (on behalf of the First Lien Agent, the First Lien Lenders, the Second Lien Agent and
the Second Lien Lenders) under any insurance policies maintained from time to time by the Borrower
or Guarantors. Until the date upon which the Discharge of First Lien Obligations shall have
occurred, as between the First Lien Agent and the First Lien Lenders, on the one hand, and the
Second Lien Agent and the Second Lien Lenders on the other, the First Lien Agent and the First Lien
Lenders shall have the sole and exclusive right to the extent provided for in the First Lien
Documents (i) to adjust or settle any insurance policy or claim covering any Common Collateral in
the event of any loss thereunder; and (ii) to approve any award granted in any condemnation or
similar proceeding affecting any Common Collateral. Until the date upon which the Discharge of
First Lien Obligations shall have occurred, all proceeds of any such policy and any such award in
respect of any Common Collateral that are payable to the First Lien Agent and the Second Lien Agent
shall be paid to the First Lien Agent for the benefit of the First Lien Lenders to the extent
required under the First Lien Documents and, thereafter, to the Second Lien Agent for the benefit
of the Second Lien Lenders to the extent required under the applicable Second Lien Documents and
then to the applicable Borrower or Guarantor or as a court of competent jurisdiction may

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otherwise direct. If the Second Lien Agent or any Second Lien Lender shall, at any time,
receive any proceeds of any such insurance policy or any such award in contravention of this
Agreement, it shall pay such proceeds over to the First Lien Agent in accordance with the terms of
Section 4.2.

     SECTION 5.3. Amendments to Second Lien Collateral Documents.

     (a) Until the date upon which the Discharge of First Lien Obligations shall have
occurred, without the prior written consent of the First Lien Agent, no Second Lien
Collateral Document may be amended, supplemented or otherwise modified or entered into to
the extent such amendment, supplement or modification, or the terms of any new Second Lien
Financing Agreement or Second Lien Collateral Document, would contravene any of the terms of
this Agreement. The Second Lien Agent agrees that each Second Lien Collateral Document
shall include the following language:

“Notwithstanding anything herein to the contrary, the lien and security interest granted to
the Collateral Agent pursuant to this Agreement and the exercise of any right or remedy by
the Collateral Agent hereunder are subject to the provisions of the Intercreditor Agreement,
dated as of the date hereof, as the same may be amended, restated, supplemented, modified or
replaced from time to time (the “Intercreditor Agreement”) among Citibank, N.A., as
First Lien Agent, Citibank, N.A., as Second Lien Agent, Citibank, N.A., as Control Agent,
the First Lien Borrower, the First Lien Guarantors, the Second Lien Borrower and the Second
Lien Guarantors (each as defined therein) from time to time a party thereto. In the event
of any conflict between the terms of the Intercreditor Agreement and this Agreement, the
terms of the Intercreditor Agreement shall govern.”

In addition, the Second Lien Agent agrees that each Second Lien Collateral Document under which any
Lien on real property owned by the Second Lien Borrower or any Second Lien Guarantor is granted to
secure the Second Lien Obligations covering any Common Collateral shall contain such other language
as the First Lien Agent may reasonably request to reflect the priority of the First Lien Collateral
Document covering such Common Collateral over such Second Lien Collateral Document.

     (b) Without the prior written consent of the First Lien Agent (and any required consent
of the First Lien Lenders), no Second Lien Document may be amended, supplemented or
otherwise modified to the extent such amendment, supplement or modification would (i)
increase the then outstanding aggregate principal amount of the loans under the Second Lien
Financing Agreement to an amount exceeding $450,000,000, (ii) contravene the provisions of
this Agreement, (iii) increase the “Applicable Margin” or similar component of the interest
on the loans thereunder by more than 3.0% per annum (exclusive, for the avoidance of doubt,
of any imposition of up to 2.0% of “default” interest), (iv) provide for dates for payment
of principal, interest, premium (if any) or fees which are earlier than such dates under the
Second Lien Financing Agreement, (v) provide for covenants, events of default or remedies
which are more restrictive on any Guarantor than those set forth in the Second Lien
Financing Agreement, (vi) provide for redemption, prepayment or defeasance provisions that
are

Intercreditor Agreement (Second Lien)

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more burdensome on any Guarantor than those set forth in the Second Lien Financing
Agreement, (vii) provide for collateral securing Indebtedness thereunder which is more
extensive than the collateral provided with respect to the First Lien Financing Agreement or
(viii) increase the obligations of any Guarantor (except as set forth herein) or confer any
additional rights on any Second Lien Lender which could reasonably be expected to be adverse
to the First Lien Lender.

     (c) Without the prior written consent of the Second Lien Agent (and any required
consent of the Second Lien Lenders), no First Lien Document may be amended, supplemented or
otherwise modified to the extent such amendment, supplement or modification would (i)
contravene the provisions of this Agreement, (ii) increase the then outstanding aggregate
principal amount of the loans under the First Lien Financing Agreement plus, if any, any
undrawn portion of any commitment under the First Lien Financing Agreement in excess of the
Maximum First Lien Principal Amount or (iii) increase the “Applicable Margin” or similar
component of the interest of the loans thereunder by more than 3.0% per annum from the
“Applicable Margin” or similar component of the interest under the First Lien Financing
Agreement as in effect as of the date hereof (exclusive, for the avoidance of doubt, of any
imposition of up to 2.0% of “default” interest).

     SECTION 5.4. Rights as Unsecured Creditors and Judgment Creditors.

     (a) Except as otherwise expressly set forth in Section 3.1 and Section
3.2 and subject to Article VI, (i) the Second Lien Agent and the Second Lien
Lenders may exercise all rights and remedies as unsecured creditors against the Second Lien
Borrower, the Second Lien Guarantors or any of their Subsidiaries in accordance with the
terms of the Second Lien Documents and applicable law and this Agreement, and (ii) nothing
in this Agreement shall prohibit the acceleration of the obligations under the Second Lien
Documents or the receipt of the Second Lien Agent or the Second Lien Lenders of the required
payments of principal and interest and other amounts, so long as such receipt is not the
direct or indirect result of the exercise of the Second Lien Agent or any Second Lien Lender
of rights and remedies as a secured creditor or enforcement in contravention of this
Agreement of any Lien held by any of them.

     (b) In the event the Second Lien Agent or any Second Lien Lender becomes a judgment
lien creditor in respect of Common Collateral as a result of its enforcement of its rights
as an unsecured creditor, such judgment lien shall be subject to the terms of this Agreement
for all purposes and shall be junior to the Liens securing First Lien Obligations on the
same basis as the other Liens securing the Second Lien Obligations are junior to such First
Lien Obligations under this Agreement. Nothing in this Agreement modifies any rights or
remedies the First Lien Agent or the First Lien Lenders may have with respect to the First
Lien Collateral.

     SECTION 5.5. Limited Agency of Citibank, N.A. for Perfection.

     (a) The First Lien Agent, on behalf of itself and the First Lien Lenders, and the
Second Lien Agent, on behalf of itself and the Second Lien Lenders, each hereby appoint

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Citibank, N.A. as its collateral agent (in such capacity, together with any successor
in such capacity appointed by the First Lien Agent and consented to by the Second Lien Agent
(such consent not to be unreasonably withheld or delayed), the “Control Agent”) for
the limited purpose of acting as the agent on behalf of the First Lien Agent (on behalf of
itself and the First Lien Lenders) and the Second Lien Agent (on behalf of itself and the
Second Lien Lenders) with respect to the Control Collateral for purposes of perfecting the
Liens of such parties on the Control Collateral. The Control Agent accepts such appointment
and agrees to hold the Control Collateral that is part of the Common Collateral in its
possession or control (or in the possession or control of its agents or bailees) as Control
Agent for the benefit of the First Lien Agent (on behalf of itself and the First Lien
Lenders) and the Second Lien Agent (on behalf of itself and the Second Lien Lenders) and any
permitted assignee of any thereof solely for the purpose of perfecting the security interest
granted to such parties in such Control Collateral, subject to the terms and conditions of
this Section. The Control Agent, the First Lien Agent, on behalf of itself and the First
Lien Lenders, and the Second Lien Agent, on behalf of itself and the Second Lien Lenders,
each hereby agrees that the First Lien Agent shall have the sole and exclusive right and
authority to give instructions to, and otherwise direct, the Control Agent in respect of the
Control Collateral or any control agreement with respect to any Control Collateral until the
earlier of the date upon which the Discharge of First Lien Obligations shall have occurred
and the Second Lien Enforcement Date, and neither the Second Lien Agent nor any Second Lien
Lender will hinder, delay or interfere with the exercise of such rights by the First Lien
Agent in any respect. The First Lien Agent and the Second Lien Agent hereby acknowledge
that the Control Agent will obtain “control” under the UCC over each Controlled Account as
contemplated by the First Lien Collateral Documents and the Second Lien Collateral Documents
for the benefit of both the First Lien Agent (on behalf of itself and the First Lien
Lenders) and the Second Lien Agent (on behalf of itself and the Second Lien Lenders)
pursuant to the control agreements relating to each respective Controlled Account. The
Borrowers hereby agree to pay, reimburse, indemnify and hold harmless the Control Agent to
the same extent and on the same terms that the First Lien Borrower is required to do so for
the First Lien Agent in accordance with the First Lien Financing Agreement. The First Lien
Agent and the Second Lien Agent hereby also acknowledge and agree that the Control Agent, to
the extent it receives landlord lien waivers, will receive such landlord lien waivers for
the benefit of the Second Lien Agent for the benefit of Second Lien Lenders and the First
Lien Agent for the benefit of the First Lien Lenders. Except as set forth below, the
Control Agent shall have no obligation whatsoever to the Second Lien Agent or any Second
Lien Lender including any obligation to assure that the Control Collateral is genuine or
owned by any Borrower, any Guarantor or one of their respective Subsidiaries or to preserve
rights or benefits of any Second Lien Lender or the Second Lien Agent except as expressly
set forth in this Section. In acting on behalf of the Second Lien Agent and the Second Lien
Lenders, the duties or responsibilities of the Control Agent under this Section shall be
limited solely (i) to physically holding the Control Collateral delivered to the Control
Agent by the Borrowers, Guarantors or any Subsidiary of such Person as agent for the Second
Lien Agent (on behalf of itself and the Second Lien Lenders) for purposes of perfecting the
Lien held by the Second Lien

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Agent (on behalf of itself and the Second Lien Lenders) and (ii) delivering such
collateral as set forth in clause (d) of Section 5.5.

     (b) The rights of the Second Lien Agent shall at all times be subject to the terms of
this Agreement and to the First Lien Agent’s rights under the First Lien Documents.

     (c) The First Lien Agent shall not have by reason of the Second Lien Security Agreement
or this Agreement or any other document a fiduciary relationship in respect of the Second
Lien Agent or any Second Lien Lender.

     (d) Upon the Discharge of First Lien Obligations, the Control Agent shall deliver to
the Second Lien Agent the Control Collateral together with any necessary endorsements (or
otherwise allow the Second Lien Agent to obtain control of such Control Collateral) or as a
court of competent jurisdiction may otherwise direct.

     (e) Upon the Discharge of the Second Lien Obligations, the Control Agent shall deliver
to the applicable Borrower or Guarantor the Control Collateral together with any necessary
endorsements or as a court of competent jurisdiction may otherwise direct.

     SECTION 5.6. Inspection Rights. Subject to the First Lien Documents and the Second
Lien Documents, and solely between the First Lien Agent and the First Lien Lenders, on the one
hand, and the Second Lien Agent and the Second Lien Lenders, on the other hand,

     (a) the First Lien Agent and its representatives and invitees may at any time inspect,
repossess, remove and otherwise deal with the Common Collateral, and the First Lien Agent
may advertise and conduct public auctions or private sales of any Common Collateral, in each
case without notice to (except as provided in Section 7.5), the involvement of or
interference by the Second Lien Agent or any Second Lien Lender or liability to the Second
Lien Agent or any Second Lien Lender.

     (b) The Second Lien Agent may inspect the Common Collateral, in accordance with Second
Lien Documents, so long as such inspection does not interfere with the rights of the First
Lien Agent under Section 3.1 or under the First Lien Documents.

ARTICLE VI

INSOLVENCY OR LIQUIDATION PROCEEDINGS

     SECTION 6.1. Financing and Sale Issues. If any Borrower or any Guarantor shall be
subject to any Insolvency or Liquidation Proceeding and at any time prior to the Discharge of First
Lien Obligations the First Lien Agent or the First Lien Lenders shall desire to permit (or not
object to) the sale, use or lease of cash collateral or to permit (or not object to) any Borrower
to obtain financing under Section 363 or Section 364 of the Bankruptcy Code or to provide such
financing (“DIP Financing”), then, so long as the maximum amount of Indebtedness that may
be incurred in connection with such DIP Financing shall not exceed an amount equal to the Maximum
First Lien Principal Debt Amount, then the Second Lien Agent, on behalf of itself and the Second
Lien Lenders, and each Second Lien Lender by becoming a Second Lien Lender, agrees that it will
raise no objection to, nor support any other Person objecting to, such sale, use, or lease of cash
collateral or DIP Financing and will not request any form of

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adequate protection or any other relief in connection therewith (except as agreed by the First
Lien Agent or to the extent expressly permitted by Section 6.3) and, to the extent the
Liens securing the First Lien Obligations are subordinate to or pari passu with such DIP Financing,
it (x) will subordinate (and will be deemed hereunder to have subordinated) the Liens securing the
Second Lien Obligations (x) to such DIP Financing with, if applicable, the same terms and
conditions as the Liens securing the First Lien Obligations are subordinated thereto (and such
subordination will not alter in any manner the terms of this Agreement), (y) to any adequate
protection provided to the First Lien Agent and the First Lien Lenders and (z) to any “carve-out”
for professionals and United States Trustee fees agreed to by the First Lien Agent or the First
Lien Lenders, and (ii) agrees that notice received four (4) calendar days prior to the entry of an
order approving such usage of cash collateral or approving such financing shall be adequate notice.
The Second Lien Agent, on behalf of itself and the Second Lien Lenders, agrees that it will raise
no objection to or oppose a sale or other disposition of any Common Collateral free and clear of
its Liens or other claims under Section 363 of the Bankruptcy Code (or otherwise) if the First Lien
Required Lenders have consented to (or supported) such sale or disposition of such assets so long
as the respective interests of the Second Lien Lenders attach to the proceeds thereof, subject to
the terms of this Agreement.

     SECTION 6.2. Relief from the Automatic Stay. Until the date upon which the Discharge
of First Lien Obligations shall have occurred, the Second Lien Agent, on behalf of itself and the
Second Lien Lenders, agrees that none of them shall seek relief from the automatic stay or any
other stay in any Insolvency or Liquidation Proceeding in respect of any Common Collateral, without
the prior written consent of the First Lien Agent and the First Lien Required Lenders.

     SECTION 6.3. Adequate Protection. The Second Lien Agent, on behalf of itself and the
Second Lien Lenders, agrees that none of them shall object, contest, or support any other Person
objecting to or contesting, (i) any request by the First Lien Agent or the First Lien Lenders for
adequate protection or (ii) any objection by the First Lien Agent or any First Lien Lender to any
motion, relief, action or proceeding based on a claim of a lack of adequate protection or (iii) the
payment of interest, fees, expenses or other amounts to the First Lien Agent or any First Lien
Lender under Section 506(b) or 506(c) of the Bankruptcy Code or otherwise. Notwithstanding anything
contained in this Section and in Section 6.1, in any Insolvency or Liquidation Proceeding,
(x) the Second Lien Agent and the Second Lien Lenders, may seek, support, accept or retain adequate
protection (A) only if the First Lien Agent and the First Lien Lenders are granted adequate
protection that includes replacement liens on additional collateral and superpriority claims and
the First Lien Agent and the First Lien Lenders do not object to the adequate protection being
provided to the First Lien Agent and the First Lien Lenders and (B) in the form of (1) a
replacement Lien on such additional collateral, subordinated to the Liens securing the First Lien
Obligations and such DIP Financing on the same basis as the other Liens securing the Second Lien
Obligations are so subordinated to the First Lien Obligations under this Agreement and (y)
superpriority claims junior in all respects to the superpriority claims granted to the First Lien
Agent and the First Lien Lenders, and (2) in the event the Second Lien Agent, on behalf of itself
and the Second Lien Lenders, receives adequate protection, including in the form of additional
collateral, then the Second Lien Agent, on behalf of itself or any of the Second Lien Lenders,
agrees that the First Lien Agent shall have a senior Lien and claim on such adequate protection as
security for the First Lien Obligations and that any Lien on any

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additional collateral securing the Second Lien Obligations shall be subordinated to the Liens
on such collateral securing the First Lien Obligations and any DIP Financing (and all Obligations
relating thereto) and any other Liens granted to the First Lien Agent and the First Lien Lenders as
adequate protection, with such subordination to be on the same terms that the other Liens securing
the Second Lien Obligations are subordinated to such First Lien Obligations under this Agreement.
Notwithstanding the foregoing, if the First Lien Lenders are deemed by a court of competent
jurisdiction to be fully secured on the petition date, then the Second Lien Lenders shall not be
prohibited from seeking adequate protection in the form of interest, fees or other cash payments.

     SECTION 6.4. No Waiver. Nothing contained herein shall prohibit or in any way limit
the First Lien Agent or any First Lien Lender from objecting in any Insolvency or Liquidation
Proceeding or otherwise to any action taken by the Second Lien Agent or any of the Second Lien
Lenders, including, without limitation, the seeking by the Second Lien Agent or any Second Lien
Lender of adequate protection or the asserting by the Second Lien Agent or any Second Lien Lender
of any of its rights and remedies under the Second Lien Documents or otherwise, unless, in each
case, such action is consistent with the terms of this Section 6.

     SECTION 6.5. Preference Issues. If the First Lien Agent or any First Lien Lender is
required in any Insolvency or Liquidation Proceeding or otherwise to turn over or otherwise pay to
the estate of the First Lien Borrower or any First Lien Guarantor any amount (whether received by
or on behalf of the First Lien Borrower or any First Lien Guarantor, as proceeds of security,
enforcement of any right of setoff or otherwise) (a “Recovery”), then the obligation or
part thereof originally intended to be satisfied shall be reinstated and outstanding as First Lien
Obligations as if such payment had not occurred to the extent of such Recovery and the Discharge of
First Lien Obligations shall be deemed to not have occurred. If this Agreement shall have been
terminated prior to such Recovery, this Agreement shall be reinstated in full force and effect, and
such prior termination shall not diminish, release, discharge, impair or otherwise affect the
obligations of the parties hereto from such date of reinstatement. The Second Lien Agent and the
Second Lien Lenders agree that none of them shall be entitled to benefit from any avoidance action
affecting or otherwise relating to any distribution or allocation made in accordance with this
Agreement, whether by preference or otherwise, it being understood and agreed that the benefit of
such avoidance action otherwise allocable to them shall instead be allocated and turned over for
application in accordance with the priorities set forth in this Agreement. In the event that any
such payment with respect to the First Lien Obligations results in a Discharge of First Lien
Obligations, the First Lien Agent and the First Lien Lenders agree that the Second Lien Agent and
the Second Lien Lenders shall be permitted to act hereunder as though a Discharge of First Lien
Obligations had occurred during the period from such payment until the date of such reinstatement
of the First Lien Obligations and shall have no liability to the First Lien Agent or the First Lien
Lenders for any action taken or omitted to be taken hereunder in accordance therewith, except to
the extent such act or omission is found by a final, non-appealable judgment of a court of
competent jurisdiction to arise from the gross negligence, bad faith or willful misconduct of the
Second Lien Agent or Second Lien Lenders.

     SECTION 6.6. Separate Grants of Security and Separate Classification. The Second Lien
Agent on behalf of itself and the Second Lien Lenders acknowledges and agrees that (i) the

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grants of Liens pursuant to the First Lien Collateral Documents and the Second Lien Collateral
Documents constitute two separate and distinct grants of Liens and (ii) because of, among other
things, their differing rights in the Common Collateral, the Second Lien Obligations are
fundamentally different from the First Lien Obligations and must be separately classified in any
plan of reorganization proposed or adopted in an Insolvency or Liquidation Proceeding. To further
effectuate the intent of the parties as provided in the immediately preceding sentence, if it is
held that the claims of the First Lien Agent and the First Lien Lenders and the Second Lien Agent
and the Second Lien Lenders in respect of the Common Collateral constitute only one secured claim
(rather than separate classes of senior and junior secured claims), then the Second Lien Agent on
behalf of itself and the Second Lien Lenders hereby acknowledges and agrees that all distributions
shall be made as if there were separate classes of senior and junior secured claims against the
Borrowers and the Guarantors in respect of the Common Collateral (with the effect being that, to
the extent that the aggregate value of the Common Collateral is sufficient (for this purpose
ignoring all claims held by the Second Lien Agent and the Second Lien Lenders), the First Lien
Agent and the First Lien Lenders shall be entitled to receive, in addition to amounts distributed
to them in respect of principal, pre-petition interest and other claims, all amounts owing in
respect of post-petition interest before any distribution is made in respect of the claims held by
the Second Lien Agent and the Second Lien Lenders, with the Second Lien Agent and the Second Lien
Lenders hereby acknowledging and agreeing to turn over to the First Lien Agent and the First Lien
Lenders amounts otherwise received or receivable by them to the extent necessary to effectuate the
intent of this sentence, even if such turnover has the effect of reducing the claim or recovery of
the Second Lien Agent and the Second Lien Lenders).

     SECTION 6.7. Other Matters. To the extent that the Second Lien Agent or any Second
Lien Lender has or acquires rights under Section 363 or Section 364 of the Bankruptcy Code with
respect to any of the Common Collateral, the Second Lien Agent agrees, on behalf of itself and the
Second Lien Lenders not to assert any of such rights without the prior written consent of the First
Lien Agent; provided that if requested by the First Lien Agent, the Second Lien Agent shall timely
exercise such rights in the manner requested by the First Lien Agent, including any rights to
payments in respect of such rights.

     SECTION 6.8. Effectiveness in Insolvency or Liquidation Proceedings. This Agreement,
which the parties hereto expressly acknowledge is a “subordination agreement” under Section 510(a)
of the Bankruptcy Code, shall be effective before, during and after the commencement of an
Insolvency or Liquidation Proceeding. All references in this Agreement to any Borrower or any
Guarantor shall include such Person as a debtor-in-possession and any receiver or trustee for such
Person in any Insolvency or Liquidation Proceeding.

ARTICLE VII

RELIANCE; WAIVERS; NOTICES; ETC

     SECTION 7.1. Reliance.

     (a) The consent by the First Lien Lenders to the execution and delivery of the Second
Lien Documents and the grant to the Second Lien Agent on behalf of the Second Lien Lenders
of a Lien on the Common Collateral and all loans and other extensions of

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credit made or deemed made on and after the date hereof by the First Lien Lenders to
the First Lien Borrower shall be deemed to have been given and made in reliance upon this
Agreement. The Second Lien Agent, on behalf of the Second Lien Lenders, acknowledges that
the Second Lien Lenders have, independently and without reliance on the First Lien Agent or
any First Lien Lender, and based on documents and information deemed by them appropriate,
made their own credit analysis and decision to enter into the Second Lien Financing
Agreement, the other Second Lien Documents, this Agreement and the transactions contemplated
hereby and thereby and they will continue to make their own credit decision in taking or not
taking any action under the Second Lien Financing Agreement, the other Second Lien Documents
or this Agreement.

     (b) The consent by the Second Lien Lenders to the execution and delivery of the First
Lien Documents and the grant to the First Lien Agent on behalf of the First Lien Lenders of
a Lien on the Common Collateral and all loans and other extensions of credit made or deemed
made on and after the date hereof by the Second Lien Lenders to the Second Lien Borrower
shall be deemed to have been given and made in reliance upon this Agreement. The First Lien
Agent, on behalf of the First Lien Lenders, acknowledges that the First Lien Lenders have,
independently and without reliance on the Second Lien Agent or any Second Lien Lender, and
based on documents and information deemed by them appropriate, made their own credit
analysis and decision to enter into the First Lien Financing Agreement, the other First Lien
Documents, this Agreement and the transactions contemplated hereby and thereby and they will
continue to make their own credit decision in taking or not taking any action under the
First Lien Financing Agreement, the other First Lien Documents or this Agreement.

     SECTION 7.2. No Warranties or Liability.

     (a) The Second Lien Agent, on behalf of itself and the Second Lien Lenders,
acknowledges and agrees that each of the First Lien Agent and the First Lien Lenders has
made no express or implied representation or warranty, including, without limitation, with
respect to the execution, validity, legality, completeness, collectibility or enforceability
of any of the First Lien Documents. The First Lien Lenders will be entitled to manage and
supervise their respective loans and extensions of credit to the First Lien Borrower in
accordance with law and as they may otherwise, in their sole discretion, deem appropriate,
and the First Lien Lenders may manage their loans and extensions of credit without regard to
any rights or interests that the Second Lien Agent or any of the Second Lien Lenders have in
the Common Collateral or otherwise, except as otherwise provided in this Agreement. Neither
the First Lien Agent nor any First Lien Lender shall have any duty to the Second Lien Agent
or any of the Second Lien Lenders to act or refrain from acting in a manner which allows, or
results in, the occurrence or continuance of an event of default or default under any
agreements with any Borrower or any Guarantor (including, without limitation, the Second
Lien Documents), regardless of any knowledge thereof which they may have or be charged with.

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     (b) The First Lien Agent, on behalf of itself and the First Lien Lenders, acknowledges
and agrees that each of the Second Lien Agent and the Second Lien Lenders has made no
express or implied representation or warranty, including, without limitation, with respect
to the execution, validity, legality, completeness, collectibility or enforceability of any
of the Second Lien Documents. The Second Lien Lenders will be entitled to manage and
supervise their respective loans to the Second Lien Borrower in accordance with law and as
they may otherwise, in their sole discretion, deem appropriate, and the Second Lien Lenders
may manage their loans and extensions of credit without regard to any rights or interests
that the First Lien Agent or any of the First Lien Lenders have in the Common Collateral or
otherwise, except as otherwise provided in this Agreement. Neither the Second Lien Agent
nor any Second Lien Lender shall have any duty to the First Lien Agent or any of the First
Lien Lenders to act or refrain from acting in a manner which allows, or results in, the
occurrence or continuance of an event of default or default under any agreements with any
Borrower or any Guarantor (including, without limitation, the First Lien Documents),
regardless of any knowledge thereof which they may have or be charged with.

     SECTION 7.3. No Waiver of Lien Priorities.

     (a) No right of the First Lien Lenders, the First Lien Agent or any of them to enforce
any provision of this Agreement shall at any time in any way be prejudiced or impaired by
any act or failure to act on the part of the First Lien Borrower or the First Lien
Guarantors or by any act or failure to act by any First Lien Lender or the First Lien Agent,
or by any noncompliance by any Person with the terms, provisions and covenants of this
Agreement, any of the First Lien Documents or any of the Second Lien Documents, regardless
of any knowledge thereof which the First Lien Agent or the First Lien Lenders, or any of
them, may have or be otherwise charged with.

     (b) Without in any way limiting any other provision hereof, (but subject to the rights
of the First Lien Borrower and the First Lien Guarantors under the First Lien Documents and
the proviso set forth in the definition of the term “First Lien Financing Agreement”), the
First Lien Lenders, the First Lien Agent and any of them, may, at any time and from time to
time, without the consent of the Second Lien Agent or any Second Lien Lender, without
impairing or releasing the lien priorities and other benefits provided in this Agreement
(even if any right of subrogation or other right or remedy of the Second Lien Agent or any
Second Lien Lender is affected, impaired or extinguished thereby) do any one or more of the
following:

     (i) make loans and advances to the First Lien Borrower or any First Lien Guarantor or
issue, guaranty or obtain letters of credit for the account of any such Person or otherwise
extend credit to any such Person, in any amount and on any terms, whether pursuant to a
commitment or as a discretionary advance and whether or not any default or event of default
or failure of condition is then continuing;

     (ii) change the manner, place or terms of payment or change or extend the time of
payment of, or renew, exchange, amend, increase or alter, the terms of any of the First

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Lien Obligations or any Lien on any First Lien Collateral or guaranty thereof or any
liability of the First Lien Borrower or any First Lien Guarantor, or any liability incurred
directly or indirectly in respect thereof (including, without limitation, any increase in or
extension of the First Lien Obligations, without any restriction as to the amount, tenor or
terms of any such increase or extension) or otherwise amend; renew, exchange, extend, modify
or supplement in any manner any Liens held by the First Lien Lenders, the First Lien
Obligations or any of the First Lien Documents; provided, however, nothing
herein shall prohibit the Second Lien Agent and the Second Lien Lenders from enforcing any
rights arising under the Second Lien Financing Agreement as a result of Second Lien
Borrower’s or any Second Lien Guarantors’ violation of the terms thereof including any
covenant prohibiting the amendment of certain provisions of the First Lien Financing
Agreement, subject in each case to this Agreement;

     (iii) sell, exchange, release, surrender, realize upon, enforce or otherwise deal with
in any manner and in any order any part of the First Lien Collateral or any liability of the
First Lien Borrower or any First Lien Guarantor to the First Lien Lenders or the First Lien
Agent, or any liability incurred directly or indirectly in respect thereof;

     (iv) settle or compromise any First Lien Obligation or any other liability of the First
Lien Borrower or any First Lien Guarantor or any security therefor or any liability incurred
directly or indirectly in respect thereof and apply any sums by whomsoever paid and however
realized to any liability (including, without limitation, the First Lien Obligations) in any
manner or order;

     (v) exercise or delay in or refrain from exercising any right or remedy against the
First Lien Borrower or any security or any First Lien Guarantor or any other Person, elect
any remedy and otherwise deal freely with the First Lien Borrower, any First Lien Guarantor
and the First Lien Collateral and any security and any guarantor or any liability of the
First Lien Borrower or any First Lien Guarantor to the First Lien Lenders or any liability
incurred directly or indirectly in respect thereof;

     (vi) release or discharge any First Lien Obligations or any guaranty thereof or any
agreement or obligation of the First Lien Borrower or First Lien Guarantor or any other
Person or entity with respect thereto;

     (vii) take or fail to take any Lien on any First Lien Collateral or any other
collateral security for any First Lien Obligations or take or fail to take any action which
may be necessary or appropriate to ensure than any Lien on any First Lien Collateral or any
other Lien upon any property is duly enforceable or perfected or entitled to priority as
against any other Lien or to ensure that any proceeds of any property subject to any Lien
are applied to the payment of any First Lien Obligations or any other obligation secured
thereby; or

     (viii) otherwise release, discharge or permit the lapse of any or all First Lien
Obligations or any other Liens upon any property at any time securing any First Lien
Obligations.

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     (c) The Second Lien Agent, on behalf of itself and the Second Lien Lenders, also agrees
that the First Lien Lenders and the First Lien Agent shall have no liability to the Second
Lien Agent or any Second Lien Lender, and the Second Lien Agent, on behalf of itself and the
Second Lien Lenders, hereby waives any claim against any First Lien Lender or the First Lien
Agent, arising out of any and all actions which the First Lien Lenders or the First Lien
Agent may take or permit or omit to take with respect to: (i) the First Lien Documents, (ii)
the collection of the First Lien Obligations or (iii) the perfection, release, failure to
act upon, foreclosure upon, or sale, liquidation or other disposition of, the First Lien
Collateral; provided that notwithstanding the foregoing, the First Lien Agent shall
be liable for damages resulting from actions taken by it in violation of any provision of
this Agreement to the extent such violation is found by a final, non-appealable judgment of
a court of competent jurisdiction to arise from its gross negligence, bad faith or willful
misconduct. The Second Lien Agent, on behalf of itself and the Second Lien Lenders, agrees
that the First Lien Lenders and the First Lien Agent have no duty to them in respect of the
maintenance or preservation of the First Lien Collateral or the First Lien Obligations.

     (d) The Second Lien Agent, on behalf of itself and the Second Lien Lenders, agrees not
to assert and hereby waives, to the fullest extent permitted by law, any right to demand,
request, plead or otherwise assert or otherwise claim the benefit of, any marshalling,
appraisal, valuation or other similar right that may otherwise be available under applicable
law or any other similar rights a junior secured creditor may have under applicable law.

     SECTION 7.4. Obligations Unconditional. All rights, interests, agreements and
obligations of the First Lien Agent and the First Lien Lenders and the Second Lien Agent and the
Second Lien Lenders, respectively, hereunder shall remain in full force and effect as set forth
herein irrespective of:

     (a) any lack of validity or enforceability of the First Lien Documents or any Second
Lien Documents;

     (b) any change in the time, manner or place of payment of, or in any other terms of,
all or any of the First Lien Obligations or Second Lien Obligations, or any amendment or
waiver or other modification, including, without limitation, any increase in the amount
thereof, whether by course of conduct or otherwise, of the terms of the First Lien Financing
Agreement or any other First Lien Document or of the terms of the Second Lien Financing
Agreement or any other Second Lien Document;

     (c) any compromise, surrender, release, non-perfection or exchange of any security
interest in any Common Collateral or any other collateral, or any amendment, waiver or other
modification, whether in writing or by course of conduct or otherwise, of all or any of the
First Lien Obligations or Second Lien Obligations or any guarantee thereof;

Intercreditor Agreement (Second Lien)

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     (d) the commencement of any Insolvency or Liquidation Proceeding in respect of any
Borrower or any Guarantor; or

     (e) any other circumstances which otherwise might constitute a defense available to, or
a discharge of, any Borrower or any Guarantor in respect of the First Lien Obligations or of
the Second Lien Agent or any Second Lien Lender or Second Lien Obligations in respect of
this Agreement other than a defense of performance in full, or payment in full in cash, of
the First Lien Obligations.

     SECTION 7.5. Certain Notices.

     (a) Promptly upon the satisfaction of the conditions set forth in clauses (i), (ii),
(iii), and (iv) of the definition of Discharge of First Lien Obligations, the First Lien
Agent shall deliver the notice contemplated by clause (v) of said definition.

     (b) Promptly upon (or as soon as practicable following) the commencement by the First
Lien Agent of any enforcement action with respect to any Common Collateral (including by way
of a public or private sale of Collateral), the First Lien Agent shall notify the Second
Lien Agent of such action; provided that the failure to give any such notice shall
not result in any liability of the First Lien Agent hereunder or in the modification,
alteration, impairment, or waiver of the rights of any party hereunder.

ARTICLE VIII

MISCELLANEOUS

     SECTION 8.1. Conflicts. In the event of any conflict between the provisions of this
Agreement and the provisions of the First Lien Documents or the Second Lien Documents regarding
solely the relative rights and obligations between the First Lien Agent and the First Lien Lenders
on the one hand and the Second Lien Agent and the Second Lien Lenders on the other, respectively,
the provisions of this Agreement shall govern.

     SECTION 8.2. Waiver of Consequential Damages. No party shall be liable for any
special, indirect, consequential or punitive damages in connection with this Agreement regardless
of whether such damages were contemplated and regardless of the form of action.

     SECTION 8.3. Continuing Nature of this Agreement. This Agreement shall continue to be
effective notwithstanding the Discharge of the First Lien Obligations. This is a continuing
agreement of lien priorities and the First Lien Lenders may continue, at any time and without
notice to the Second Lien Agent or any Second Lien Lender, to extend credit and other financial
accommodations and lend monies to or for the benefit of the First Lien Borrower and First Lien
Guarantors constituting First Lien Obligations on the faith hereof. The Second Lien Agent, on
behalf of itself and the Second Lien Lenders, hereby waives any right it may have under applicable
law to revoke this Agreement or any of the provisions of this Agreement. The terms of this
Agreement shall survive, and shall continue in full force and effect, in any Insolvency or
Liquidation Proceeding.

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     SECTION 8.4. Amendments; Waivers. No amendment to or waiver of any provision of this
Agreement, nor consent to any departure by any Person from its obligations under this Agreement,
shall in any event be effective unless the same shall be in writing and signed by the First Lien
Agent and the Second Lien Agent, each acting upon the direction of the First Lien Lenders or Second
Lien Lenders as set forth in the applicable Credit Agreement. Each waiver, if any, shall be a
waiver only with respect to the specific instance involved and shall in no way impair the rights of
the parties making such waiver or the obligations of the other parties to such party in any other
respect or at any other time. Neither any Borrower nor any Guarantor shall have any right to
amend, modify or waive any provision of this Agreement without the consent of the Second Lien Agent
then party hereto or the First Lien Agent then party hereto, as applicable, nor shall any consent
or signed writing be required of any of them to effect any amendment, modification or waiver of any
provision of this Agreement, except that no amendment, modification or waiver affecting any
obligation or right of any Borrower or any Guarantor hereunder shall be made without the written
consent of the applicable Borrower. The First Lien Agent shall give prompt notice to the First
Lien Borrower of each amendment, modification or waiver hereunder that does not require the consent
of the First Lien Borrower, but the failure to give such notice shall not affect the validity of
each such amendment, modification or waiver.

     SECTION 8.5. Information Concerning Financial Condition of the Borrowers, Guarantors and
their Subsidiaries.

     (a) The First Lien Lenders, on the one hand, and the Second Lien Lenders, on the other
hand, shall each be responsible for keeping themselves informed of (i) the financial
condition of the Borrowers, Guarantors and their Subsidiaries and all endorsers and/or
guarantors of the Second Lien Obligations or the First Lien Obligations and (ii) all other
circumstances bearing upon the risk of nonpayment of the Second Lien Obligations or the
First Lien Obligations. The First Lien Agent and the First Lien Lenders shall have no duty
to advise the Second Lien Agent or any Second Lien Lender of information known to it or them
regarding such condition or any such circumstances or otherwise. In the event the First
Lien Agent or any of the First Lien Lenders, in its or their sole discretion, undertakes at
any time or from time to time to provide any such information to the Second Lien Agent or
any Second Lien Lender, it or they shall be under no obligation (x) to provide any
additional information or to provide any such information on any subsequent occasion, (y) to
undertake any investigation or (z) to disclose any information which, pursuant to accepted
or reasonable commercial finance practices, such party wishes to maintain confidential.

     (b) The Second Lien Agent and the Second Lien Lenders shall have no duty to advise the
First Lien Agent or any First Lien Lender of information known to it or them regarding such
condition or any such circumstances or otherwise. In the event the Second Lien Agent or any
of the Second Lien Lenders, in its or their sole discretion, undertakes at any time or from
time to time to provide any such information to the First Lien Agent or any First Lien
Lender, it or they shall be under no obligation (i) to provide any additional information or
to provide any such information on any subsequent occasion, (ii) to undertake any
investigation or (iii) to disclose any

Intercreditor Agreement (Second Lien)

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information which, pursuant to accepted or reasonable commercial finance practices,
such party wishes to maintain confidential.

     SECTION 8.6. Subrogation. The Second Lien Agent, on behalf of itself and the Second
Lien Lenders, hereby waives any rights of subrogation it may acquire as a result of any payment
hereunder until the date upon which the Discharge of First Lien Obligations shall have occurred.

     SECTION 8.7. Application of Payments. As between the First Lien Lenders and the
Second Lien Lenders, all payments received by the First Lien Lenders may be applied, reversed and
reapplied, in whole or in part, to such part of the First Lien Obligations as the First Lien
Lenders, in their sole discretion, deem appropriate.

     SECTION 8.8. Consent to Jurisdiction; Waivers.

     (a) ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, THIS
AGREEMENT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN)
OR ACTIONS OF THE PARTIES HERETO IN CONNECTION HEREWITH MAY BE BROUGHT AND MAINTAINED IN THE
COURTS OF THE STATE OF NEW YORK OR IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN
DISTRICT OF NEW YORK. EACH PARTY HERETO IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY
REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW
YORK AT THE ADDRESS FOR NOTICES SPECIFIED IN SECTION 8.9. EACH PARTY HEREBY
EXPRESSLY AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION
WHICH IT MAY HAVE OR HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION
BROUGHT IN ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN
BROUGHT IN AN INCONVENIENT FORUM. TO THE EXTENT THAT ANY PARTY HERETO HAS OR HEREAFTER MAY
ACQUIRE 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 OR
OTHERWISE) WITH RESPECT TO ITSELF OR ITS PROPERTY, SUCH PARTY HEREBY IRREVOCABLY WAIVES TO
THE FULLEST EXTENT PERMITTED BY LAW SUCH IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER THIS
AGREEMENT.

     (b) EACH PARTY HERETO HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES TO THE
FULLEST EXTENT PERMITTED BY LAW ANY RIGHTS IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY
LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, THIS AGREEMENT, OR
ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF
ANY PARTY HERETO IN CONNECTION HEREWITH. EACH PARTY HERETO ACKNOWLEDGES AND AGREES THAT IT
HAS RECEIVED

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FULL AND SUFFICIENT CONSIDERATION FOR THIS PROVISION AND THAT THIS PROVISION IS A
MATERIAL INDUCEMENT FOR THE OTHER PARTIES HERETO ENTERING INTO THIS AGREEMENT.

     SECTION 8.9. Notices; Time. All notices and other communications provided under this
Agreement shall be in writing or by facsimile and addressed, delivered or transmitted, if to the
Borrowers, the First Lien Agent, the Second Lien Agent or the Control Agent at its address or
facsimile number set forth on Schedule I hereto or at such other address or facsimile
number as may be designated by such party in a notice to the other parties. Any notice, if mailed
and properly addressed with postage prepaid or if properly addressed and sent by pre-paid courier
service, shall be deemed given when received. Any notice, if transmitted by facsimile, shall be
deemed given when the confirmation of transmission thereof is received by the transmitter. Except
as set forth below, electronic mail and Internet and intranet websites may be used only to
distribute routine communications among the parties and for the distribution and execution of
documentation for execution by the parties thereto, and may not be used for any other purpose.
Notwithstanding the foregoing, the parties hereto agree that delivery of an executed counterpart of
a signature page to this Agreement by facsimile (or other electronic) transmission shall be
effective as delivery of an original executed counterpart of this Agreement. Unless otherwise
indicated, all references herein to the time of a day shall refer to New York time.

     SECTION 8.10. Further Assurances. The Second Lien Agent, on behalf of itself and the
Second Lien Lenders, agrees that each of them shall take such further action and shall execute and
deliver to the First Lien Agent and the First Lien Lenders such additional documents and
instruments (in recordable form, if requested) as the First Lien Agent or the First Lien Lenders
may reasonably determine to be required or appropriate to effectuate the terms of and the lien
priorities contemplated by this Agreement; provided that any reasonable and documented
out-of-pocket costs and expenses incurred by the Second Lien Agent in connection therewith shall be
reimbursable by the Second Lien Borrower or the Second Lien Guarantors to the extent provided under
the Second Lien Documents.

     SECTION 8.11. Governing Law. THIS AGREEMENT WILL BE DEEMED TO BE A CONTRACT MADE
UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH PURPOSE
SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK).

     SECTION 8.12. Binding on Successors and Assigns.

     (a) This Agreement shall be binding upon the First Lien Agent, the First Lien Lenders,
the Second Lien Agent, the Second Lien Lenders and their respective permitted successors and
assigns.

     (b) Upon a Person becoming the First Lien Agent as described in the definition of
“First Lien Agent” hereunder (other than the First Lien Agent referred to in the recitals
hereto), such new First Lien Agent shall automatically become the First Lien Agent hereunder
with all the rights and powers of such party hereunder, and bound by the provisions hereof,
without the need for any further action on the part of any party hereto.

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     (c) Upon a successor administrative agent, collateral agent or trustee becoming the
Second Lien Agent under the Second Lien Financing Agreement or any Second Lien Document,
such successor automatically shall become the Second Lien Agent hereunder with all the
rights and powers of the Second Lien Agent hereunder, and bound by the provisions hereof,
without the need for any further action on the part of any party hereto.

     SECTION 8.13. Specific Performance. The First Lien Agent may demand specific
performance of this Agreement. The Second Lien Agent, on behalf of itself and the Second Lien
Lenders hereby irrevocably waives any defense based on the adequacy of a remedy at law and any
other defense which might be asserted to bar the remedy of specific performance in any action which
may be brought by the First Lien Agent.

     SECTION 8.14. Section Titles; Time Periods. The various headings contained in this
Agreement are inserted for convenience only and shall not affect the meaning or interpretation of
this Agreement or any provisions hereof. In the computation of time periods, unless otherwise
specified, the word “from” means “from and including” and each of the words “to” and “until” means
“to but excluding” and the word “through” means “to and including”.

     SECTION 8.15. Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall be an original and all of which shall together constitute one and
the same document.

     SECTION 8.16. Authorization. By its signature, each Person executing this Agreement
on behalf of a party hereto represents and warrants to the other parties hereto that it is duly
authorized to execute this Agreement.

     SECTION 8.17. No Third Party Beneficiaries. This Agreement and the rights and
benefits hereof shall inure to the benefit of the First Lien Agent and the First Lien Lenders and
their respective successors (including as a result of a refinancing) and assigns and, to the extent
applicable, the Borrowers, the Guarantors, the Second Lien Agent and the Second Lien Lenders and
their respective permitted successors (including as a result of a refinancing) and assigns. No
other Person, shall have or be entitled to assert rights or benefits hereunder.

     SECTION 8.18. Effectiveness. This Agreement shall become effective when executed and
delivered by the parties hereto. This Agreement shall be effective both before and after the
commencement of any Insolvency or Liquidation Proceeding. All references to any Borrower or any
Guarantor shall include such Borrower or such Guarantor as debtor and debtor-in-possession and any
receiver or trustee for such Borrower or such Guarantor (as the case may be) in any Insolvency or
Liquidation Proceeding.

     SECTION 8.19. Rights of Agents. (a) The rights, protections, privileges and
immunities, without duplication, including rights of indemnification, compensation and
reimbursement, of the First Lien Agent, the Second Lien Agent and the Control Agent, shall be the
same as those applicable to the First Lien Agent under the Pledge and Security Agreement, dated as
of September 5, 2006, among the First Lien Borrower, the Guarantors named therein and the First
Lien Agent, and such provisions are hereby incorporated herein as if specifically set forth herein.

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     (b) The parties hereto agree that whenever this Agreement requires or otherwise makes
reference to the consent, discretion, agreement, approval, judgment, or any other similar term
contemplating an act, or omission to act, by the First Lien Agent, the Second Lien Agent or the
Control Agent, such Agents will only so act, or omit to act, upon the specific written direction
of the First Lien Required Lenders, the First Lien Administrative Agent, the Second Lien Required
Lenders or the Second Lien Administrative, as the case may be, and in the absence of such
direction, such Agents shall have no liability whatsoever for their failure to act.

     (c) The provisions of this Section 8.19 shall survive the termination of this Agreement.

(Signature Pages Follow)

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     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first
written above.

CITIBANK, N.A., as First Lien Agent

388 Greenwich Street

14th Floor

New York, New York 10013

Attn: Agency & Trust

Fax: (212) 657-2762

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

CITIBANK, N.A., as Second Lien Agent

388 Greenwich Street

14th Floor

New York, New York 10013

Attn: Agency & Trust

Fax: (212) 657-2762

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

CITIBANK, N.A., as Control Agent

388 Greenwich Street

14th Floor

New York, New York 10013

Attn: Agency & Trust

Fax: (212) 657-2762

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

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36

 

HANESBRANDS INC., as the First Lien

Borrower and a Second Lien Guarantor

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

HBI BRANDED APPAREL LIMITED, INC.,

as the Second Lien Borrower and a First

Lien Guarantor

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

Guarantors:

HANESBRANDS DIRECT, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

UPEL, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

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38

 

CARIBETEX, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

SEAMLESS TEXTILES, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

BA INTERNATIONAL, L.L.C.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

HBI INTERNATIONAL, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

HBI BRANDED APPAREL ENTERPRISES, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

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39

 

CASA INTERNATIONAL, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

UPCR, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

HBI SOURCING, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

HBI PLAYTEX BATH LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

CEIBENA DEL, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

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40

 

NT INVESTMENT COMPANY, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

HANESBRANDS DISTRIBUTION, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

CARIBESOCK, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

NATIONAL TEXTILES, L.L.C.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

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41

 

HANES PUERTO RICO, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

PLAYTEX INDUSTRIES, INC.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

INNER SELF LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

PLAYTEX DORADO, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

HANES MENSWEAR, LLC

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:	 	 	 	 

Intercreditor Agreement (Second Lien)

42

 

SCHEDULE I

Notice Information (Pursuant to Section 8.9)

NOTICE ADDRESS FOR THE BORROWERS:

Hanesbrands Inc./ HBI Branded Apparel Limited, Inc.

1000 East Hanes Mill Rd

Winston Salem, NC 27105

Attn: General Counsel

NOTICE ADDRESS FOR ADMINISTRATIVE AGENT:

Citicorp USA, Inc.

2 Penns Way

Suite 100

New Castle, De 19720

Attention: Carin Seals

Fax: (302) 894-6076

Phone: (212) 994-0967

E-mail: carin.seals@citigroup.com

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EXHIBIT I

CLOSING DATE CERTIFICATE

HBI BRANDED APPAREL LIMITED, INC.

September 5, 2006

     This certificate is delivered pursuant to Section 5.2 of the Second Lien Credit Agreement,
dated as of September 5, 2006 (the “Credit Agreement”), among HBI Branded Apparel Limited,
Inc., a Delaware corporation (the “Borrower”), Hanesbrands Inc. (the “Company”),
the Lenders, HSBC Bank USA, National Association, LaSalle Bank National Association and Barclays
Bank PLC, as the Co-Documentation Agents, Merrill Lynch Pierce, Fenner & Smith Incorporated and
Morgan Stanley Senior Funding, Inc., as the Co-Syndication Agents, Citicorp USA, Inc., as the
Administrative Agent, Citibank, N.A., as the Collateral Agent, and Merrill Lynch Pierce, Fenner &
Smith Incorporated and Morgan Stanley Senior Funding, Inc., as the joint lead arrangers and joint
bookrunners (in such capacities, the “Lead Arrangers”). Capitalized terms used herein that are
defined in the Credit Agreement, unless otherwise defined herein, have the meanings provided (or
incorporated by reference) in the Credit Agreement.

     Each of the undersigned Authorized Officers, in each case, solely in such capacity and not as
an individual, hereby certifies, represents and warrants that, as of the Closing Date:

     1. Consummation of Transactions. (a) All actions necessary to consummate the
Transaction (other than the entering into of the Senior Note Documents and the issuance of the
Senior Notes) have been taken in accordance in all material respects with all applicable law and in
accordance with the terms of each applicable Transaction Document, without amendment or waiver of
any material provision thereof, unless approved by the Lead Arrangers in their reasonable
discretion.

     (b) Attached hereto as Annex I are true and correct copies of the material
First Lien Loan Documents which are in full force and effect and pursuant to which the
Company will incur
$[___]1 of credit extensions thereunder on the Closing Date.

     (c) Attached hereto as Annex II are true and correct copies of the material
Bridge Loan Documents which are in full force and effect and pursuant to which the Company
will borrow $500,000,000 in loans thereunder on the Closing Date.

     2. Litigation, etc. There exists no action, suit, investigation, litigation or
proceeding pending or threatened in writing in any court or before any arbitrator or governmental
or regulatory agency or authority that could reasonably be expected to have a Material Adverse
Effect.

     3. Approval. All material and necessary governmental and third party consents and
approvals have been obtained (without the imposition of any material and adverse conditions that

 

			
	1	 	To be confirmed.

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1

 

are not reasonably acceptable to the Lenders) and remain in effect and all applicable waiting
periods have expired without any material and adverse action being taken by any competent
authority.

     4. Debt Ratings. The Company has obtained a senior secured debt rating (of any level)
in respect of the Loans from each of S&P and Moody’s and such ratings (of any level) are in effect
as of the date hereof.

     5. Form 10. The financial information concerning the Branded Apparel Business, the
Borrower and the Company and its Subsidiaries contained in the Company’s Form 10 filed with the
Securities and Exchange Commission in connection with the Spin-Off, including all amendments and
modifications thereto, is consistent in all material respects with the information previously
provided to the Lead Arrangers and the Lenders.

	 	6.	 	Compliance with Warranties, No Default, etc. The following statements are
true and correct as of the date hereof (after giving effect to the making of the Loans):

     (a) the representations and warranties set forth in each Loan Document are, in
each case, true and correct in all material respects (unless stated to relate solely
to an earlier date, in which case such representations and warranties were true and
correct in all material respects as of such earlier date); and

     (b) no Default has occurred and is continuing.

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2

 

     IN WITNESS WHEREOF, the undersigned have caused this Closing Date Certificate to be executed
and delivered, and the certification, representations and warranties contained herein, by their
respective Authorized Officer, in each case, are made solely in such capacity and not as an
individual, as of the date first written above.

	 	 	 	 	 
	 	HBI BRANDED APPAREL LIMITED, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	HANESBRANDS INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

Closing Date Certificate (Second Lien)

3

 

Annex I

Material First Lien Loan Documents

Closing Date Certificate (Second Lien)

4

 

Annex II

Material Bridge Loan Documents

Closing Date Certificate (Second Lien)

5

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