Document:

Exhibit 4.5

Exhibit 4.5

REGISTRATION RIGHTS AGREEMENT

Dated as of February 17, 2011

by and among

CAMBIUM LEARNING GROUP, INC.,

THE GUARANTORS LISTED ON SCHEDULE I HERETO

and

BARCLAYS CAPITAL INC.

BMO CAPITAL MARKETS CORP.

 

 

 

This Registration Rights Agreement (this “Agreement”) is made and entered into as of February
17, 2011, by and among Cambium Learning Group, Inc., a Delaware corporation (the “Company”), the
guarantors listed on Schedule I hereto (the “Guarantors”) and Barclays Capital Inc. and BMO Capital
Markets Corp., as representatives (the “Representatives”) of the several initial purchasers named
in Schedule I attached to the Purchase Agreement (as defined below (each such initial purchaser, an
“Initial Purchaser” and, together, the “Initial Purchasers”), each of whom has agreed to purchase
the Company’s 9.75% Senior Secured Notes due 2017 (the “Initial Notes”) fully and unconditionally
guaranteed by the Guarantors (the “Guarantees”) pursuant to the Purchase Agreement (as defined
below). The Initial Notes and the Guarantees attached thereto are herein collectively referred to
as the “Initial Securities.”

This Agreement is made pursuant to the Purchase Agreement, dated February 14, 2011 (the
“Purchase Agreement”), by and among the Company, the Guarantors and the Representatives, on behalf
of themselves and the Initial Purchasers, which provides for the sale by the Company to the Initial
Purchasers of $175,000,000 aggregate principal amount of the Initial Notes. In order to induce the
Initial Purchasers to purchase the Initial Notes, the Company and the Guarantors have agreed to
provide the registration rights set forth in this Agreement. The execution and delivery of this
Agreement is a condition to the obligations of the Initial Purchasers set forth in Section 7 of the
Purchase Agreement. Capitalized terms used herein and not otherwise defined shall have the meaning
assigned to them in the Indenture, dated as of February 17, 2011 among the Company, the Guarantors
and Wells Fargo, N.A., as trustee and collateral agent, relating to the Initial Securities and the
Exchange Securities (the “Indenture”).

The parties hereby agree as follows:

SECTION 1. DEFINITIONS

As used in this Agreement, the following capitalized terms shall have the following meanings:

Act: The Securities Act of 1933, as amended, and the rules and regulations of the Commission
promulgated thereunder.

Additional Interest: As defined is Section 5 hereof.

Affiliate: As defined in Rule 144 of the Act.

Broker-Dealer: Any broker or dealer registered under the Exchange Act.

Business Day: Any day other than a Saturday, a Sunday or a day on which banking institutions
in the City of New York or at a place of payment are authorized by law, regulation or executive
order to remain closed.

Closing Date: The date hereof.

Commission: The Securities and Exchange Commission.

 

 

 

Consummate: An Exchange Offer shall be deemed “Consummated” for purposes of this Agreement
upon the occurrence of (a) the filing and effectiveness under the Act of the Exchange Offer
Registration Statement relating to the Exchange Securities to be issued in the Exchange Offer, (b)
the maintenance of such Exchange Offer Registration Statement continuously effective and the
keeping of the Exchange Offer open for a period not less than the period required pursuant to
Section 3(b) hereof, and (c) the delivery by the Company to the Registrar under the Indenture of
Exchange Securities in the same aggregate principal amount as the aggregate principal amount of
Initial Securities tendered by Holders thereof pursuant to the Exchange Offer.

Consummation Deadline: As defined in Section 3(b) hereof.

Effectiveness Deadline: As defined in Sections 3(a) and 4(a) hereof.

Exchange Act: The Securities Exchange Act of 1934, as amended, and the rules and regulations
of the Commission promulgated thereunder.

Exchange Securities: The Company’s 9.75% Senior Secured Notes due 2017 to be issued pursuant
to the Indenture of the same series under the Indentures as the Initial Notes and related
Guarantees attached thereto in exchange for Transfer Restricted Securities: (i) in the Exchange
Offer or (ii) as contemplated by Section 4 hereof.

Exchange Offer: The exchange offer by the Company of Exchange Securities (which shall be
registered pursuant to the Exchange Offer Registration Statement) for the Initial Securities that
are Transfer Restricted Securities pursuant to Section 3 hereof.

Exchange Offer Registration Statement: The Registration Statement relating to the Exchange
Offer, including the related Prospectus.

Filing Deadline: As defined in Sections 3(a) and 4(a) hereof.

Free Writing Prospectus: Each offer to sell or solicitation of an offer to buy the Initial
Securities or the Exchange Securities that would constitute a “free writing prospectus” as defined
in Rule 405 under the Securities Act, prepared by or on behalf of the Company or used or referred
to by the Company in connection with the sale of the Initial Securities or the Exchange Securities.

Holders: As defined in Section 2 hereof.

Interest Payment Date: As defined in the Initial Securities and Exchange Securities.

Prospectus: The prospectus included in a Registration Statement at the time such Registration
Statement is declared effective, as amended or supplemented by any prospectus supplement and by all
other amendments thereto, including post-effective amendments, and all material incorporated by
reference into such Prospectus.

Recommencement Date: As defined in Section 6(d) hereof.

 

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Registration Default: As defined in Section 5 hereof.

Registration Statement: Any registration statement of the Company and the Guarantors relating
to (a) an offering of Exchange Securities pursuant to an Exchange Offer or (b) the registration for
resale of Transfer Restricted Securities pursuant to the Shelf Registration Statement, in each
case, (i) that is filed pursuant to the provisions of this Agreement, (ii) including the Prospectus
included therein, and (iii) including all amendments and supplements thereto (including
post-effective amendments) and all exhibits and material incorporated by reference therein.

Rule 144: Rule 144 promulgated under the Act.

Shelf Registration Statement: As defined in Section 4 hereof.

Suspension Rights: As defined in Section 6(c)(i) hereof.

Suspension Notice: As defined in Section 6(d) hereof.

TIA: The Trust Indenture Act of 1939 (15 U.S.C. Section 77aaa-77bbbb) as in effect on the
date of the Indenture.

Transfer Restricted Securities: Each Initial Security until the earliest to occur of (a) the
date on which such Initial Security has been exchanged in the Exchange Offer by a Person other than
a Broker-Dealer for an Exchange Security entitled to be resold to the public by the Holder thereof
without complying with the prospectus delivery requirements of the Act, (b) following the exchange
by a Broker-Dealer in the Exchange Offer of an Initial Security for an Exchange Security, the date
on which such Exchange Security is sold to a purchaser who receives from such Broker-Dealer on or
prior to the date of such sale a copy of the Prospectus contained in the Exchange Offer
Registration Statement, (c) the date on which such Initial Security has been effectively registered
under the Act and disposed of in accordance with the Shelf Registration Statement (and the
purchasers thereof have been issued Exchange Securities), (d) the date on which such Initial
Security is distributed to the public pursuant to Rule 144 (or any similar provision then in force,
but not Rule 144A promulgated under the Act); provided, that such Initial Securities will not cease
to be Transfer Restricted Securities for purposes of the Exchange Offer by virtue of this clause
(d), or (e) the date on which such Initial Security ceases to be outstanding.

SECTION 2. HOLDERS

A Person is deemed to be a holder of Transfer Restricted Securities (each, a “Holder”)
whenever such Person owns Transfer Restricted Securities.

 

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SECTION 3. REGISTERED EXCHANGE OFFER

(a) The Company and the Guarantors shall, to the extent not prohibited by any applicable law
or Commission policy, (i) use their commercially reasonable efforts to cause the Exchange Offer
Registration Statement to be filed with the Commission on or prior to 180 days (or if the 180th day
is not a Business Day, the first Business Day thereafter) after the date hereof
(such date being the “Filing Deadline”), (ii) use their commercially reasonable efforts to
cause such Exchange Offer Registration Statement to become effective no later than 270 days (or if
the 270th day is not a Business Day, the first Business Day thereafter) after the Filing Deadline
(such date being the “Effectiveness Deadline”), (iii) in connection with the foregoing, (A) file
all pre-effective amendments to such Exchange Offer Registration Statement as may be necessary in
order to cause such Exchange Offer Registration Statement to become effective, (B) file, if
applicable, a post-effective amendment to such Exchange Offer Registration Statement as may be
necessary to keep the Exchange Offer Registration Statement effective for the applicable period in
accordance with this Section 3, and (C) cause all necessary filings, if any, in connection with the
registration and qualification of the Exchange Securities to be made under the Blue Sky laws of
such jurisdictions as are necessary to permit Consummation of the Exchange Offer, and (iv) unless
the Exchange Offer shall not be permitted by applicable law or Commission policy (after the
procedures set forth in Section 6(a)(i) below have been complied with), promptly after the
effectiveness of such Exchange Offer Registration Statement, commence and Consummate the Exchange
Offer. The Exchange Offer shall be on the appropriate form (1) selected by the Company and the
Guarantors, (2) permitting registration of the Exchange Securities to be offered in exchange for
the Initial Securities that are Transfer Restricted Securities and (3) permitting resales of
Exchange Securities by Broker-Dealers that tendered into the Exchange Offer Initial Securities that
such Broker-Dealer acquired for its own account as a result of market-making activities or other
trading activities (other than Initial Securities acquired directly from the Company or any of its
Affiliates) as contemplated by Section 3(c) below.

(b) The Company and the Guarantors shall use their commercially reasonable efforts to cause
the Exchange Offer Registration Statement to be effective continuously, and shall keep the Exchange
Offer open for a period of not less than the minimum period required under applicable federal and
state securities laws to Consummate the Exchange Offer; provided, however, that in no event shall
such period be less than 20 Business Days. The Company and the Guarantors shall cause the Exchange
Offer to comply with all applicable federal and state securities laws. No securities other than
the Exchange Securities shall be included in the Exchange Offer Registration Statement. The
Company and the Guarantors shall use their commercially reasonable efforts to cause the Exchange
Offer to be Consummated not later than sixty (60) Business Days or longer, if required by the
federal securities laws, after the date on which the Exchange Offer Registration Statement has
become effective (such 60th Business Day, or such later date required by the federal securities
laws, being the “Consummation Deadline”).

(c) The Company shall include a “Plan of Distribution” section in the Prospectus contained in
the Exchange Offer Registration Statement and indicate therein that any Broker-Dealer who holds
Transfer Restricted Securities that were acquired for the account of such Broker-Dealer as a result
of market-making activities or other trading activities (other than Initial Securities acquired
directly from the Company or any Affiliate of the Company), may exchange such Transfer Restricted
Securities pursuant to the Exchange Offer. Such “Plan of Distribution” section shall also contain
all other information with respect to such sales by such Broker-Dealers that the Commission may
require in order to permit such sales pursuant thereto, but such “Plan of Distribution” shall not
name any such Broker-Dealer or disclose the amount of Transfer Restricted Securities held by any
such Broker-Dealer, except to the extent required by the
Commission as a result of a change in policy, rules or regulations after the date of this
Agreement. See the Shearman & Sterling no-action letter (available July 2, 1993).

 

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Because such Broker-Dealer may be deemed to be an “underwriter” within the meaning of the Act
and must, therefore, deliver a prospectus meeting the requirements of the Act in connection with
its initial sale of any Exchange Securities received by such Broker-Dealer in the Exchange Offer,
the Company and Guarantors shall permit the use of the Prospectus contained in the Exchange Offer
Registration Statement by such Broker-Dealer to satisfy such prospectus delivery requirement. To
the extent necessary to ensure that the Prospectus contained in the Exchange Offer Registration
Statement is available for sales of Exchange Securities by Broker-Dealers, the Company and the
Guarantors agree to use their commercially reasonable efforts to keep the Exchange Offer
Registration Statement continuously effective, supplemented, amended and current as required by and
subject to the provisions of Sections 6(a) and (c) hereof and in conformity with the requirements
of this Agreement, the Act and the policies, rules and regulations of the Commission as announced
from time to time, for a period of 180 days from the Consummation Deadline or such shorter period
as will terminate when all Transfer Restricted Securities covered by such Registration Statement
have been sold pursuant thereto. The Company and the Guarantors shall provide sufficient copies of
the latest version of such Prospectus to such Broker-Dealers, promptly upon request, and in no
event later than two (2) Business Days after such request, at any time during such period.

SECTION 4. SHELF REGISTRATION

(a) Shelf Registration. If (i) the Company and the Guarantors are not (A) required to
file the Exchange Offer Registration Statement or (B) permitted to Consummate the Exchange Offer
because the Exchange Offer is not permitted by applicable law or Commission policy (after the
Company and the Guarantors have complied with the procedures set forth in Section 6(a)(i) below) or
(ii) any Holder notifies the Company in writing prior to the 20th Business Day following
Consummation of the Exchange Offer that (A) such Holder is prohibited by law or Commission policy
from participating in the Exchange Offer, (B) such Holder may not resell the Exchange Securities
acquired by it in the Exchange Offer to the public without delivering a prospectus and the
Prospectus contained in the Exchange Offer Registration Statement is not appropriate or available
for such resales by such Holder or (C) such Holder is a Broker-Dealer and holds Initial Securities
acquired directly from the Company or any of its Affiliates, then the Company and the Guarantors,
shall:

(x) use their commercially reasonable efforts on or prior to the date that is 120 days (or if
the 120th day is not a Business Day, the first Business Day thereafter) after the earlier of (i)
the date as of which the Company determines that the Exchange Offer Registration Statement will not
be or cannot be, as the case may be, filed as a result of clause (a)(i) above and (ii) the date on
which the Company receives the written notice specified in clause (a)(ii) above, the “Obligation
Filing Deadline”), to file a shelf registration statement pursuant to Rule 415 under the Act (which
may be an amendment to the Exchange Offer Registration Statement (the “Shelf Registration
Statement”)), covering the resale of all Transfer Restricted Securities, and

(y) subject to the Suspension Rights set forth in Section 6(c)(i) below, use their
commercially reasonable efforts to cause such Shelf Registration Statement to become effective
on or prior to the later of (a) 90 days (or if the 90th day is not a Business Day, the first
Business Day thereafter) after the Obligation Filing Deadline and (b) 90 days (or if the 90th day
is not a Business Day, the first Business Day thereafter) after the Effectiveness Deadline, if
applicable (the “Shelf Effectiveness Deadline”).

 

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If, after the Company and the Guarantors have filed an Exchange Offer Registration Statement
that satisfies the requirements of Section 3(a) above, the Company and the Guarantors are required
to file and make effective a Shelf Registration Statement solely because the Exchange Offer is not
permitted under applicable federal law (i.e., clause (a)(i)(B) above), then the filing of the
Exchange Offer Registration Statement shall be deemed to satisfy the requirements of clause (x)
above; provided that, in such event, the Company and the Guarantors shall remain obligated to meet
the Shelf Effectiveness Deadline set forth in clause (y).

To the extent necessary to ensure that the Shelf Registration Statement is available for sales
of Transfer Restricted Securities by the Holders thereof entitled to the benefit of this Section
4(a) and the other securities required to be registered therein pursuant to Section 6(b)(ii)
hereof, the Company and the Guarantors shall use their commercially reasonable efforts to keep any
Shelf Registration Statement required by this Section 4(a) continuously effective, supplemented,
amended and current as required by and subject to the provisions of Sections 6(b) and 6(c) hereof
and in conformity with the requirements of this Agreement, the Act and the policies, rules and
regulations of the Commission as announced from time to time, for a period of at least two years
(as extended pursuant to Section 6(c)(i) or 6(d)) following the Closing Date, or such shorter
period as will terminate when all Transfer Restricted Securities covered by such Shelf Registration
Statement have been sold pursuant thereto or are no longer Transfer Restricted Securities.

(b) Provision by Holders of Certain Information in Connection with the Shelf Registration
Statement. No Holder may include any of its Transfer Restricted Securities in any Shelf
Registration Statement pursuant to this Agreement unless and until such Holder furnishes to the
Company in writing, within 15 days after receipt of a request therefor, the information specified
in Item 507 or 508 of Regulation S-K, as applicable, of the Act, or other information reasonably
requested by the Company and required by Regulation S-K of the Act, for use in connection with any
Shelf Registration Statement or Prospectus or preliminary Prospectus included therein. No Holder
shall be entitled to Additional Interest pursuant to Section 5 hereof unless and until (and from
and after such time) such Holder shall have provided all such information. Each selling Holder
agrees to promptly furnish additional information required to be disclosed in order to make the
information previously furnished to the Company by such Holder not materially misleading and shall
promptly supply such other information as the Company may from time to time reasonably request.

 

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SECTION 5. ADDITIONAL INTEREST

Subject to the Suspension Rights referred to in Section 6(c)(i) below, if (i) any Registration
Statement required by this Agreement is not filed with the Commission on or prior to the applicable
Filing Deadline, (ii) any such Registration Statement has not been declared effective by the
Commission (or become effective automatically) on or prior to the Effectiveness Deadline or the
Shelf Effectiveness Deadline, as applicable, (iii) the Exchange Offer has not
been Consummated on or prior to the Consummation Deadline with respect to the Exchange Offer
Registration Statement, or (iv) any Registration Statement required by this Agreement is filed and
declared effective (or becomes automatically effective) but shall thereafter cease to be effective
or fails to be usable for its intended purpose (each such event referred to in clauses (i) through
(iv), a “Registration Default”), then the Company and the Guarantors hereby jointly and severally
agree to pay to each Holder affected thereby additional interest (“Additional Interest”) in an
amount equal to 0.25% per annum per principal amount of Transfer Restricted Securities outstanding,
thereof that the Registration Default continues for the first 90-day period immediately following
the occurrence of such Registration Default. The amount of the Additional Interest shall increase
by an additional 0.25% per annum per principal amount of Transfer Restricted Securities
outstanding, with respect to each subsequent 90-day period until all Registration Defaults have
been cured, up to a maximum amount of Additional Interest of 1.00% per annum per principal amount
of Transfer Restricted Securities outstanding; provided that the Company and the Guarantors shall
in no event be required to pay Additional Interest for more than one Registration Default at any
given time. Notwithstanding anything to the contrary set forth herein, (1) upon filing of the
Exchange Offer Registration Statement (and/or, if applicable, the Shelf Registration Statement), in
the case of clause (i) above, (2) upon the effectiveness of the Exchange Offer Registration
Statement (and/or, if applicable, the Shelf Registration Statement), in the case of clause (ii)
above, (3) upon Consummation of the Exchange Offer, in the case of clause (iii) above, or (4) upon
the filing of a post-effective amendment to the Registration Statement or an additional
Registration Statement that causes the Exchange Offer Registration Statement (and/or, if
applicable, the Shelf Registration Statement) to again be declared effective or made usable in the
case of clause (iv) above, the Additional Interest payable with respect to the Transfer Restricted
Securities as a result of such clause (i), (ii), (iii), or (iv), as applicable, shall automatically
cease.

All accrued Additional Interest shall be paid by the Company and the Guarantors (or the
Company and the Guarantors will cause the Paying Agent to make such payment on their behalf) to the
Holders entitled thereto, in the manner provided for the payment of interest in the Indenture, on
each Interest Payment Date, as more fully set forth in the Indenture, the Initial Securities and
the Exchange Securities. Notwithstanding the fact that any securities for which Additional
Interest are due cease to be Transfer Restricted Securities, all obligations of the Company and the
Guarantors to pay Additional Interest with respect to securities that accrued prior to the time
that such securities ceased to be Transfer Restricted Securities shall survive until such time as
such obligations with respect to such securities shall have been satisfied in full.

SECTION 6. REGISTRATION PROCEDURES

(a) Exchange Offer Registration Statement. In connection with the Exchange Offer, the
Company and the Guarantors shall (x) comply with all applicable provisions of Section 6(c) below,
(y) use their commercially reasonable efforts to effect such exchange and to permit the resale of
Exchange Securities by Broker-Dealers that tendered in the Exchange Offer Initial Securities that
such Broker-Dealer acquired for its own account as a result of its market-making activities or
other trading activities (other than Initial Securities acquired directly from the Company or any
of its Affiliates) being sold in accordance with the intended method or methods of distribution
thereof, and (z) comply with all of the following provisions:

 

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(i) If, following the date hereof there has been announced a change in Commission
policy with respect to exchange offers such as the Exchange Offer, that in the reasonable
opinion of counsel to the Company raises a substantial question as to whether the Exchange
Offer is permitted by applicable federal law, the Company and the Guarantors hereby agree
either to (x) seek a no-action letter or other favorable decision from the Commission
allowing the Company and the Guarantors to Consummate an Exchange Offer for such Transfer
Restricted Securities, or (y) file, in accordance with Section 4(a) hereof, a Shelf
Registration Statement to permit the registration and/or resale of the Transfer Restricted
Securities that would otherwise be covered by the Exchange Offer Registration Statement but
for the announcement of a change in Commission policy. In the case of clause (x) above, the
Company and the Guarantors hereby agree to pursue the issuance of such a decision to the
Commission staff level but shall not be required to take action not commercially reasonable
to affect a change of Commission policy. In connection with the foregoing, the Company and
the Guarantors hereby agree to take all such other actions as may be requested by the
Commission or otherwise required in connection with the issuance of such decision, including
without limitation (A) participating in telephonic conferences with the Commission, (B)
delivering to the Commission staff an analysis prepared by counsel to the Company setting
forth the legal bases, if any, upon which such counsel has concluded that such an Exchange
Offer should be permitted, and (C) diligently pursuing a resolution (which need not be
favorable) by the Commission staff.

(ii) As a condition to its participation in the Exchange Offer, each Holder (including,
without limitation, any Holder who is a Broker-Dealer) shall furnish, upon the request of
the Company, prior to the Consummation of the Exchange Offer, a written representation to
the Company and the Guarantors (which may be contained in the letter of transmittal
contemplated by the Exchange Offer Registration Statement) to the effect that (A) it is not
an Affiliate of the Company, (B) it is not engaged in, and does not intend to engage in, and
has no arrangement or understanding with any person to participate in, a distribution of the
Exchange Securities to be issued in the Exchange Offer, (C) it is acquiring the Exchange
Securities in its ordinary course of business, and (D) only if such Holder is a
Broker-Dealer that will receive Exchange Securities in exchange for Initial Securities that
such Broker-Dealer acquired for its own private account as a result of market making or
other trading activities, it will deliver a Prospectus, as required by law, in connection
with any sale of such Exchange Securities. As a condition to its participation in the
Exchange Offer each Holder using the Exchange Offer to participate in a distribution of the
Exchange Securities shall acknowledge and agree that, if the resales are of Exchange
Securities obtained by such Holder in exchange for Initial Securities acquired directly from
the Company or an Affiliate thereof, it (1) could not, under Commission policy as in effect
on the date of this Agreement, rely on the position of the Commission enunciated in
Morgan Stanley and Co., Inc. (available June 5, 1991) and Exxon Capital Holdings
Corporation (available May 13, 1988), as interpreted in the Commission’s letter to
Shearman & Sterling dated July 2, 1993, and similar no-action letters (including, if
applicable, any no-action letter obtained pursuant to clause (i) above), and (2) must comply
with the registration and prospectus delivery requirements of the Act in connection with a
secondary resale transaction and that such a secondary resale transaction must be covered by
an effective registration statement containing the
selling security holder information required by Item 507 or 508, as applicable, of
Regulation S-K.

 

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(iii) Prior to effectiveness of the Exchange Offer Registration Statement, the Company
and the Guarantors shall provide a supplemental letter to the Commission (A) stating that
the Company and the Guarantors are registering the Exchange Offer in reliance on the
position of the Commission enunciated in Exxon Capital Holdings Corporation
(available May 13, 1988), Morgan Stanley and Co., Inc. (available June 5, 1991) as
interpreted in the Commission’s letter to Shearman & Sterling dated July 2, 1993,
and, if applicable, any no-action letter obtained pursuant to clause (i) above, (B)
including a representation that the Company and Guarantor have not entered into any
arrangement or understanding with any Person to distribute the Exchange Securities to be
received in the Exchange Offer and that, to the best of the Company’s and each Guarantor’s
information and belief, each Holder participating in the Exchange Offer is acquiring the
Exchange Securities in its ordinary course of business and has no arrangement or
understanding with any Person to participate in the distribution of the Exchange Securities
received in the Exchange Offer, and (C) any other undertaking or representation required by
the Commission as set forth in any no-action letter obtained pursuant to clause (i) above,
if applicable.

(b) Shelf Registration Statement. In connection with the Shelf Registration Statement,
if any, the Company and the Guarantors shall:

(i) comply with all the provisions of Section 6(c) below and use their commercially
reasonable efforts to effect such registration to permit the sale of the Transfer Restricted
Securities being sold in accordance with the intended method or methods of distribution
thereof (as indicated in the information furnished to the Company pursuant to Section 4(b)
hereof), and pursuant thereto the Company and the Guarantors will prepare and file with the
Commission a Registration Statement relating to the registration on any appropriate form
under the Act, which form shall be available for the sale of the Transfer Restricted
Securities in accordance with the intended method or methods of distribution thereof within
the time periods and otherwise in accordance with the provisions hereof, and

(ii) issue to any Holder or purchaser of Initial Securities covered by any Shelf
Registration Statement contemplated by this Agreement, upon the request of any such Holder
or purchaser, registered Initial Securities having an aggregate principal amount equal to
the aggregate principal amount of Initial Securities in the names as such Holder or
purchaser shall designate.

 

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(c) General Provisions. In connection with any Registration Statement and any related
Prospectus required by this Agreement, the Company and the Guarantors shall:

(i) use their commercially reasonable efforts to keep such Registration Statement
continuously effective and provide all requisite financial statements for the period
specified in Section 3 or 4 of this Agreement, as applicable. Upon the occurrence of any
event that would cause any such Registration Statement or the Prospectus
contained therein (A) to contain an untrue statement of material fact or omit to state
any material fact required to be stated therein or necessary to make the statements therein
not misleading, or (B) not to be effective and usable for resale of Transfer Restricted
Securities during the period required by this Agreement, the Company and the Guarantors
shall file promptly an appropriate amendment to such Registration Statement curing such
defect, and, if Commission review is required, use their commercially reasonable efforts to
cause such amendment to be declared effective as soon as practicable. Notwithstanding the
foregoing, the Company and the Guarantors may allow the Shelf Registration Statement and the
related Prospectus to cease to remain effective and usable or may delay the filing or the
effectiveness of the Shelf Registration Statement if not then filed or effective, as
applicable (“Suspension Rights”) on no more than two occasions, for a period of 90 days in
aggregate in any twelve month period if the Company determines in good faith that it is in
the best interests of the Company or any Guarantor not to disclose the existence of or facts
surrounding any proposed or pending material corporate transaction involving the Company or
any Guarantor, as evidenced by a certificate signed by the Chief Executive Officer or any
Vice President of the Company, and the Company mails notification to the Holders within five
(5) Business Days after the Company makes such determination; provided that the two year
period referred to in the last paragraph of Section 4(a) hereof during which the Shelf
Registration Statement is required to be effective and usable shall be extended by the
number of days during which such Registration Statement was not effective or usable pursuant
to the foregoing provisions (which such extension shall be the Holders’ sole remedy for the
exercise by the Company and the Guarantors of the Suspension Rights during the time period
permitted hereunder, but only to the extent that any suspension period does not violate the
90-day period set forth above).

(ii) Subject to the Suspension Rights set forth in Section 6(c)(i) above, prepare and
file with the Commission such amendments and post-effective amendments to the applicable
Registration Statement as may be necessary to keep such Registration Statement effective for
the applicable period set forth in Section 3 or 4 hereof, as the case may be; cause the
Prospectus to be supplemented by any required Prospectus supplement, and as so supplemented
to be filed pursuant to Rule 424 under the Act, and to comply fully with Rules 424, 430A,
and 462, as applicable, under the Act in a timely manner; and comply with the provisions of
the Act with respect to the disposition of all securities covered by such Registration
Statement during the applicable period in accordance with the intended method or methods of
distribution by the sellers thereof set forth in such Registration Statement or supplement
to the Prospectus;

(iii) advise (a) each Holder whose Transfer Restricted Securities have been included in
a Shelf Registration Statement (in the case of a Shelf Registration Statement), and (b) each
Holder who has provided notice to the Company promptly and, if requested by such Holder,
confirm such advice in writing, (A) when the Prospectus or any Prospectus supplement or
post-effective amendment has been filed, and, with respect to any applicable Registration
Statement or any post-effective amendment thereto, when the same has become effective, (B)
of any request by the Commission for amendments to the Registration Statement or amendments
or supplements to the Prospectus or for additional information relating thereto, (C) of the
issuance by

 

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the Commission of any stop order
suspending the effectiveness of the Registration Statement under the Act or of the
suspension by any state securities commission of the qualification of the Transfer
Restricted Securities for offering or sale in any jurisdiction, or the initiation of any
proceeding for any of the preceding purposes, and (D) of the happening of any event that
requires the Company to make changes in the Registration Statement or the Prospectus in
order that the Registration Statement or the Prospectus, any amendment or supplement thereto
or any document incorporated by reference therein do not contain an untrue statement of
material fact nor omit to state a material fact required to be stated therein or necessary
to make the statements therein (in the case of the Prospectus, in light of the circumstances
under which they were made) not misleading. If at any time the Commission shall issue any
stop order suspending the effectiveness of the Registration Statement, or any state
securities commission or other regulatory authority shall issue an order suspending the
qualification or exemption from qualification of the Transfer Restricted Securities under
state securities or Blue Sky laws, the Company and the Guarantors shall use their
commercially reasonable efforts to obtain the withdrawal or lifting of such order at the
earliest possible time;

(iv) subject to Section 6(d), if any fact or event contemplated by Section 6(c)(iii)(D)
above shall exist or have occurred, prepare a supplement or post-effective amendment to the
Registration Statement or related Prospectus or any document incorporated therein by
reference or file any other required document so that, as thereafter delivered to the
purchasers of Transfer Restricted Securities, the Prospectus will not contain an untrue
statement of a material fact or omit to state any material fact necessary to make the
statements therein, in the light of the circumstances under which they were made, not
misleading;

(v) furnish to each Holder whose Transfer Restricted Securities have been included in a
Shelf Registration Statement (in the case of a Shelf Registration Statement) in connection
with such exchange, registration or sale, if any, before filing with the Commission, copies
of any Registration Statement or any Prospectus included therein or any amendments or
supplements to any such Registration Statement or Prospectus (including all documents
incorporated by reference after the initial filing of such Registration Statement), which
documents will be subject to the reasonable review and comment of such Holders in connection
with such sale, if any, for a period of at least three Business Days, and the Company will
not file any such Registration Statement or Prospectus or any amendment or supplement to any
such Registration Statement or Prospectus (including all such documents incorporated by
reference) to which such Holders shall reasonably object within three Business Days after
the receipt thereof. A Holder shall be deemed to have reasonably objected to such filing if
such Registration Statement, amendment, Prospectus or supplement, as applicable, as proposed
to be filed, contains an untrue statement of a material fact or omits to state any material
fact necessary to make the statements therein not misleading or fails to comply with the
applicable requirements of the Act;

 

-11-

 

(vi) promptly prior to the filing of any document that is to be incorporated by
reference into a Registration Statement or Prospectus in connection with such exchange,
registration or sale, if any, provide copies of such document to each Holder whose
Transfer Restricted Securities have been included in a Shelf Registration Statement (in
the case of a Shelf Registration Statement) in connection with such exchange, registration
or sale, if any, make the Company’s and the Guarantors’ representatives available for
discussion of such document and other customary due diligence matters, and include such
information in such document prior to the filing thereof as such Holders may reasonably
request;

(vii) if requested, make available, at reasonable times, for inspection by each Holder
whose Transfer Restricted Securities have been included in a Shelf Registration Statement
(in the case of a Shelf Registration Statement) and any attorney or accountant retained by
such Holders, all financial and other records, pertinent corporate documents of the Company
and the Guarantors reasonably requested and cause the Company’s and the Guarantors’
officers, directors and employees to supply all information reasonably requested by any such
Holder, attorney or accountant in connection with such Registration Statement or any
post-effective amendment thereto subsequent to the filing thereof and prior to its
effectiveness; provided that any Holder or representative thereof requesting or receiving
such information shall agree to be bound by reasonable confidentiality agreements and
procedures with respect thereto;

(viii) if requested by any Holders whose Transfer Restricted Securities have been
included in a Shelf Registration Statement (in the case of a Shelf Registration Statement)
in connection with such exchange, registration or sale, promptly include in any Registration
Statement or Prospectus, pursuant to a supplement or post-effective amendment if necessary,
such information as such Holders may reasonably request to have included therein, including,
without limitation, information relating to the “Plan of Distribution” of the Transfer
Restricted Securities and the use of the Registration Statement or Prospectus for market
making activities; and make all required filings of such Prospectus supplement or
post-effective amendment as soon as practicable after the Company is notified of the matters
to be included in such Prospectus supplement or post-effective amendment;

(ix) furnish to each Holder whose Transfer Restricted Securities have been included in
a Shelf Registration Statement (in the case of a Shelf Registration Statement) in connection
with such exchange, registration or sale, without charge, at least one copy of the
Registration Statement, as first filed with the Commission, and of each amendment thereto,
including all documents incorporated by reference therein and all exhibits (including
exhibits incorporated therein by reference);

(x) deliver to each Holder whose Transfer Restricted Securities have been included in a
Shelf Registration Statement (in the case of a Shelf Registration Statement) without charge,
as many copies of the Prospectus (including each preliminary prospectus) and any amendment
or supplement thereto as such Holders reasonably may request; the Company and the Guarantors
hereby consent to the use (in accordance with law and subject to Section 6(d) hereof and any
Suspension Rights) of the Prospectus and any amendment or supplement thereto by each selling
Holder in connection with the offering and the sale of the Transfer Restricted Securities
covered by the Prospectus or any amendment or supplement thereto;

 

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(xi) enter into such agreements (including an underwriting agreement), and make such
representations and warranties, and take all such other actions in connection therewith in
order to expedite or facilitate the disposition of the Transfer Restricted Securities
pursuant to any Registration Statement contemplated by this Agreement, all to such extent as
may be customarily and reasonably requested by the Initial Purchasers or, in the case of
registration for resale of Transfer Restricted Securities pursuant to the Shelf Registration
Statement, by any Holder or Holders of Transfer Restricted Securities who hold at least 50%
in aggregate principal amount of such class of Transfer Restricted Securities; provided,
that, the Company and the Guarantors shall not be required to enter into any such agreement
more than once with respect to all of the Transfer Restricted Securities and, in the case of
a Shelf Registration Statement, may delay entering into such agreement if the Board of
Directors of the Company determines in good faith that it is in the best interests of the
Company and the Guarantors not to disclose the existence of or facts surrounding any
proposed or pending material corporate transaction involving the Company and the Guarantors.
In such connection, the Company and the Guarantors shall:

(A) upon the request of any Holder, furnish (or in the case of paragraphs (2)
and (3), use their commercially reasonable efforts to cause to be furnished) to each
such Holder (in the case of the Shelf Registration Statement) and any underwriter,
upon Consummation of the Exchange Offer or the effectiveness of the Shelf
Registration Statement, as the case may be:

(1) a certificate, dated such date, signed on behalf of the Company and
each Guarantor by (x) the Chief Executive Officer or any Vice President, and
(y) a principal financial or accounting officer of the Company and such
Guarantor, confirming, as of the date thereof, such matters as such Holders
may reasonably request;

(2) an opinion, dated the date of Consummation of the Exchange Offer or
the date of effectiveness of the Shelf Registration Statement, as the case
may be, of counsel for the Company and the Guarantors in customary form and
covering such other matters as such Holder may reasonably request, and in
any event including a statement to the effect that such counsel has
participated in conferences with officers and other representatives of the
Company and the Guarantors and representatives of the independent public
accountants for the Company and the Guarantors and representatives of the
underwriters, if any, and their counsel at which the contents of the
Registration Statement and related matters were discussed and, although such
counsel need not pass upon or assume responsibility for the accuracy,
completeness or fairness of such statements (relying as to materiality to
the extent such counsel deems appropriate upon the statements of officers
and other representatives of the Company and the Guarantors and without
independent check or verification), no facts came to such counsel’s
attention that caused such counsel to believe that the applicable
Registration Statement, at the time such Registration Statement or any
post-effective amendment

 

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thereto
became effective and, in the case of
the Exchange Offer Registration Statement, as of the date of Consummation of
the Exchange Offer, contained an untrue statement of a material fact or
omitted to state a material fact required to be stated therein or necessary
to make the statements therein not misleading, or that the Prospectus
contained in such Registration Statement as of its date and, in the case of
the opinion dated the date of Consummation of the Exchange Offer, as of the
date of Consummation, contained an untrue statement of a material fact or
omitted to state a material fact necessary in order to make the statements
therein, in the light of the circumstances under which they were made, not
misleading. Such counsel may state further that such counsel assumes no
responsibility for, and has not independently verified, the accuracy,
completeness or fairness of the financial statements, schedules or other
financial data included in any Registration Statement contemplated by this
Agreement or the related Prospectus and need express no view as to the
accounting or financial records from which such financial statements,
schedules and data are derived; and

(3) a customary comfort letter, dated the date of Consummation of the
Exchange Offer, or as of the date of effectiveness of the Shelf Registration
Statement, as the case may be, from the Company’s independent accountants,
in the customary form and covering matters of the type customarily covered
in comfort letters to underwriters in connection with underwritten
offerings, and affirming the matters set forth in the comfort letters
delivered pursuant to Section 8(e) of the Purchase Agreement; and

(B) deliver such other documents and certificates as may be reasonably
requested by the selling Holders to evidence compliance with the matters covered in
clause (A) above and with any customary conditions contained in any agreement
entered into by the Company and the Guarantors pursuant to this clause (xi);

(xii) prior to any public offering of Transfer Restricted Securities, cooperate with
the selling Holders and their counsel in connection with the registration and qualification
of the Transfer Restricted Securities under the securities or Blue Sky laws of such
jurisdictions as the selling Holders may request and do any and all other acts or things
necessary or advisable to enable the disposition in such jurisdictions of the Transfer
Restricted Securities covered by the applicable Registration Statement; provided, however,
that the Company and the Guarantors shall not be required to register or qualify as a
foreign corporation where it is not now so qualified or to take any action that would
subject it to the service of process in suits or to taxation, other than as to matters and
transactions relating to the Registration Statement, in any jurisdiction where it is not now
so subject;

 

-14-

 

(xiii) in connection with any sale of Transfer Restricted Securities that will result
in such securities no longer being Transfer Restricted Securities, cooperate with the
Holders to facilitate the timely preparation and delivery of certificates representing
Transfer Restricted Securities to be sold and not bearing any restrictive legends; and to
register such Transfer Restricted Securities in such denominations and such names as the
selling Holders may request at least two Business Days prior to such sale of Transfer
Restricted Securities;

(xiv) use their commercially reasonable efforts to cause the disposition of the
Transfer Restricted Securities covered by the Registration Statement to be registered with
or approved by such other governmental agencies or authorities as may be necessary to enable
the seller or sellers thereof to consummate the disposition of such Transfer Restricted
Securities, subject to the proviso contained in clause (xii) above;

(xv) provide a CUSIP number for all Transfer Restricted Securities not later than the
effective date of a Registration Statement covering such Transfer Restricted Securities and
provide the Trustee under the Indenture with printed certificates for the Transfer
Restricted Securities which are in a form eligible for deposit with the Depository Trust
Company;

(xvi) otherwise use their commercially reasonable efforts to comply with all applicable
rules and regulations of the Commission, and make generally available to its security
holders with regard to any applicable Registration Statement, as soon as practicable, a
consolidated earnings statement meeting the requirements of Rule 158 under the Act (which
need not be audited) covering a twelve-month period beginning after the effective date of
the Registration Statement (as such term is defined in paragraph (c) of Rule 158 under the
Act);

(xvii) cause the Indenture to be qualified under the TIA not later than the effective
date of the first Registration Statement required by this Agreement and, in connection
therewith, cooperate with the Trustee and the Holders to effect such changes to the
Indenture as may be required for such Indenture to be so qualified in accordance with the
terms of the TIA; and execute and use their commercially reasonable efforts to cause the
Trustee to execute, all documents that may be required to effect such changes and all other
forms and documents required to be filed with the Commission to enable such Indenture to be
so qualified in a timely manner; and

(xviii) provide promptly to each Holder, upon request, each document filed with the
Commission pursuant to the requirements of Section 13 or Section 15(d) of the Exchange Act.

(d) Restrictions on Holders. Each Holder agrees by acquisition of a Transfer
Restricted Security that, upon receipt of the notice referred to in Section 6(c)(i) or 6(c)(iii)(C)
or any notice from the Company of the existence of any fact of the kind described in Section
6(c)(iii)(D) hereof (in each case, a “Suspension Notice”), such Holder will forthwith discontinue
disposition of Transfer Restricted Securities pursuant to the applicable Registration Statement
until (i) such Holder has received copies of the supplemented or amended Prospectus contemplated by
Section 6(c)(iv) hereof, or (ii) such Holder is advised in writing by the Company that the use of
the Prospectus may be resumed, and has received copies of any
additional or supplemental filings that are incorporated by reference in the Prospectus (in
each case, the “Recommencement Date”). Each Holder receiving a Suspension Notice hereby agrees
that it will either (i) destroy any Prospectuses, other than permanent file copies, then in such
Holder’s possession which have been replaced by the Company with more recently dated Prospectuses,
or (ii) deliver to the Company (at the Company’s expense) all copies, other than permanent file
copies, then in such Holder’s possession of the Prospectus covering such Transfer Restricted
Securities that was current at the time of receipt of the Suspension Notice. The time period
regarding the effectiveness of such Registration Statement set forth in Section 3 or 4 hereof, as
applicable, shall be extended by a number of days equal to the number of days in the period from
and including the date of delivery of the Suspension Notice to the Recommencement Date.

 

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SECTION 7. REGISTRATION EXPENSES

(a) All expenses incident to the Company’s and the Guarantors’ performance of or compliance
with this Agreement will be borne by the Company and the Guarantors, jointly and severally,
regardless of whether a Registration Statement becomes effective, including without limitation: (i)
all registration and filing fees and expenses; (ii) all fees and expenses of compliance with
federal securities and state Blue Sky or securities laws; (iii) all expenses of printing (including
printing certificates for the Exchange Securities to be issued in the Exchange Offer and printing
of Prospectuses), messenger and delivery services and telephone; (iv) all fees and disbursements of
counsel for the Company and the Guarantors and the reasonable fees and disbursements of one counsel
for all of the Holders of Transfer Restricted Securities selected by the Holders of a majority in
principal amount of Transfer Restricted Securities being registered; (v) all application and filing
fees in connection with listing the Exchange Securities on a national securities exchange or
automated quotation system pursuant to the requirements hereof; and (vi) all fees and disbursements
of independent certified public accountants of the Company and the Guarantors (including the
expenses of any special audit and comfort letters required by or incident to such performance);
provided, however, that in no event shall the Company or the Guarantors be responsible for any
underwriting discounts, commissions or fees attributable to the sale or other disposition of
Transfer Restricted Securities.

Each of the Company and the Guarantors will, in any event, bear its internal expenses
(including, without limitation, all salaries and expenses of its officers and employees performing
legal or accounting duties), the expenses of any annual audit and the fees and expenses of any
Person, including special experts, retained by the Company or the Guarantors.

(b) In connection with any Registration Statement required by this Agreement (including,
without limitation, the Exchange Offer Registration Statement and the Shelf Registration
Statement), the Company and the Guarantors, jointly and severally, will reimburse the Initial
Purchasers and the Holders of Transfer Restricted Securities who are tendering Initial Securities
in the Exchange Offer and/or selling or reselling Initial Securities or Exchange Securities
pursuant to the “Plan of Distribution” contained in the Exchange Offer Registration Statement or
the Shelf Registration Statement, as applicable, for the reasonable fees and disbursements of not
more than one counsel shall be chosen by the Holders of a majority in principal amount of the
Transfer Restricted Securities for whose benefit such Registration Statement is being prepared, if
any.

 

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SECTION 8. INDEMNIFICATION

(a) The Company and the Guarantors agree, jointly and severally, to indemnify and hold
harmless each Holder, its directors, officers and each Person, if any, who controls such Holder
(within the meaning of Section 15 of the Act or Section 20 of the Exchange Act), from and against
any and all losses, claims, damages, liabilities or judgments, (including without limitation, any
legal or other expenses reasonably incurred in connection with investigating or defending any
matter, including any action that could give rise to any such losses, claims, damages, liabilities
or judgments) caused by any untrue statement or alleged untrue statement of a material fact
contained in any Registration Statement, preliminary prospectus or Prospectus, Free Writing
Prospectus or any “issuer information” (as defined in Rule 433 of the Securities Act) filed or
required to be filed pursuant to Rule 433(d) under the Securities Act (or any amendment or
supplement thereto), or caused by any omission or alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein, in the light of the
circumstances under which they were made, not misleading, except insofar as such losses, claims,
damages, liabilities or judgments are caused by an untrue statement or omission or alleged untrue
statement or omission that is based upon information relating to any of the Holders furnished in
writing to the Company by or on behalf of any of the Holders.

(b) Each Holder agrees, severally and not jointly, to indemnify and hold harmless the Company
and the Guarantors, and their respective directors and officers, and each Person, if any, who
controls (within the meaning of Section 15 of the Act or Section 20 of the Exchange Act) the
Company, or the Guarantors to the same extent as the foregoing indemnity from the Company and the
Guarantors set forth in section (a) above, but only with reference to information relating to such
Holder furnished in writing to the Company by or on behalf of such Holder expressly for use in any
Registration Statement. In no event shall any Holder, its directors, officers or any Person who
controls such Holder be liable or responsible for any amount in excess of the amount by which the
total amount received by such Holder with respect to its sale of Transfer Restricted Securities
pursuant to a Registration Statement exceeds the sum of: (i) the amount paid by such Holder for
such Transfer Restricted Securities plus (ii) the amount of any damages that such Holder,
its directors, officers or any Person who controls such Holder has otherwise been required to pay
by reason of such untrue or alleged untrue statement or omission or alleged omission.

(c) In case any action shall be commenced involving any person in respect of which indemnity
may be sought pursuant to Section 8(a) or 8(b) (the “indemnified party”), the indemnified party
shall promptly notify the person against whom such indemnity may be sought (the “indemnifying
party”) in writing and the indemnifying party shall assume the defense of such action, including
the employment of counsel reasonably satisfactory to the indemnified party and the payment of all
fees and expenses of such counsel, as incurred (except that in the case of any action in respect of
which indemnity may be sought pursuant to both Sections 8(a) and 8(b), a Holder shall not be
required to assume the defense of such action pursuant to this Section 8(c), but may employ
separate counsel and participate in the defense thereof, but the fees and expenses of such counsel,
except as provided below, shall be at the expense of the Holder). Any indemnified party shall have
the right to employ separate counsel in any such action and participate in the defense thereof, but
the fees and expenses of such counsel shall be at the expense of the indemnified party unless (i)
the employment of such

 

-17-

 

 counsel has been specifically
authorized in writing by the indemnifying party, (ii) the indemnifying party has failed to
assume the defense of such action or employ counsel reasonably satisfactory to the indemnified
party, or (iii) the named parties to any such action (including any impleaded parties) include both
the indemnified party and the indemnifying party, and the indemnified party has been advised by
such counsel that there may be one or more legal defenses available to it which are different from
or additional to those available to the indemnifying party (in which case the indemnifying party
shall not have the right to assume the defense of such action on behalf of the indemnified party).
In any such case, the indemnifying party shall not, in connection with any one action or separate
but substantially similar or related actions in the same jurisdiction arising out of the same
general allegations or circumstances, be liable for the fees and expenses of more than one separate
firm of attorneys (in addition to any local counsel) for all indemnified parties and all such fees
and expenses shall be reimbursed as they are incurred. Such firm shall be designated in writing by
a majority of the Holders, in the case of the parties indemnified pursuant to Section 8(a), and by
the Company and Guarantors, in the case of parties indemnified pursuant to Section 8(b). The
indemnifying party shall indemnify and hold harmless the indemnified party from and against any and
all losses, claims, damages, liabilities and judgments by reason of any settlement of any action
effected with (i) its written consent, or (ii) effected without its written consent if the
settlement is entered into more than 20 Business Days after the indemnifying party received a
request from the indemnified party for reimbursement for the fees and expenses of counsel (in any
case where such fees and expenses are at the expense of the indemnifying party) and, prior to the
date of such settlement, the indemnifying party has failed to comply with such reimbursement
request. No indemnifying party shall, without the prior written consent of the indemnified party
(which consent shall not be unreasonably withheld), effect any settlement or compromise of, or
consent to the entry of judgment with respect to, any pending or threatened action in respect of
which the indemnified party is or could have been a party and indemnity or contribution may be or
could have been sought hereunder by the indemnified party, unless such settlement, compromise or
judgment (i) includes an unconditional release of the indemnified party from all liability on
claims that are or could have been the subject matter of such action, and (ii) does not include a
statement as to or an admission of fault, culpability or a failure to act, by or on behalf of the
indemnified party.

(d) To the extent that the indemnification provided for in this Section 8 is unavailable to an
indemnified party in respect of any losses, claims, damages, liabilities or judgments referred to
therein, then each indemnifying party, in lieu of indemnifying such indemnified party, shall
contribute to the amount paid or payable by such indemnified party as a result of such losses,
claims, damages, liabilities or judgments (i) in such proportion as is appropriate to reflect the
relative benefits received by the Company and the Guarantors, on the one hand, and the Holders, on
the other hand, from their sale of Transfer Restricted Securities, or (ii) if the allocation
provided by clause 8(d)(i) above is not permitted by applicable law, in such proportion as is
appropriate to reflect not only the relative benefits referred to in clause 8(d)(i) above but also
the relative fault of the Company and the Guarantors, on the one hand, and of the Holder, on the
other hand, in connection with the statements or omissions which resulted in such losses, claims,
damages, liabilities or judgments, as well as any other relevant equitable considerations. The
relative fault of the Company and the Guarantors, on the one hand, and of the Holder, on the other
hand, shall be determined by reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission or alleged omission to state a material fact relates
to information supplied by the Company or such Guarantor, on the one hand, or by
the Holder, on the other hand, and the parties’ relative intent, knowledge, access to
information and opportunity to correct or prevent such statement or omission. The amount paid or
payable by a party as a result of the losses, claims, damages, liabilities and judgments referred
to above shall be deemed to include, subject to the limitations set forth in Section 8(c) hereof,
any legal or other fees or expenses reasonably incurred by such party in connection with
investigating or defending any action or claim.

 

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The Company, the Guarantors and each Holder agree that it would not be just and equitable if
contribution pursuant to this Section 8(d) were determined by pro rata allocation (even if the
Holders were treated as one entity for such purpose) or by any other method of allocation that does
not take account of the equitable considerations referred to in the immediately preceding
paragraph. The amount paid or payable by an indemnified party as a result of the losses, claims,
damages, liabilities or judgments referred to in the immediately preceding paragraph shall be
deemed to include, subject to the limitations set forth above, any legal or other expenses
reasonably incurred by such indemnified party in connection with investigating or defending any
matter, including any action that could have given rise to such losses, claims, damages,
liabilities or judgments. Notwithstanding the provisions of this Section 8, no Holder, its
directors, its officers or any Person, if any, who controls such Holder shall be required to
contribute, in the aggregate, any amount in excess of the amount by which the total amount received
by such Holder with respect to the sale of Transfer Restricted Securities pursuant to a
Registration Statement exceeds the sum of: (i) the amount paid by such Holder for such Transfer
Restricted Securities plus (ii) the amount of any damages that such Holder has otherwise paid or
become liable to pay by reason of any untrue or alleged untrue statement or omission or alleged
omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of
the Act) shall be entitled to contribution from any person who was not guilty of such fraudulent
misrepresentation. The Holders’ obligations to contribute pursuant to this Section 8(d) are
several in proportion to the respective principal amount of Transfer Restricted Securities held by
each Holder hereunder and not joint.

SECTION 9. RULE 144A AND RULE 144

The Company and each Guarantor agrees with each Holder, for so long as any Transfer Restricted
Securities remain outstanding and during any period in which the Company or such Guarantor (i) is
not subject to Section 13 or 15(d) of the Exchange Act, to make available, upon request of any
Holder, to such Holder or beneficial owner of Transfer Restricted Securities in connection with any
sale thereof and any prospective purchaser of such Transfer Restricted Securities designated by
such Holder or beneficial owner, the information required by Rule 144A(d)(4) under the Act in order
to permit resales of such Transfer Restricted Securities pursuant to Rule 144A under the Act.

SECTION 10. MISCELLANEOUS

(a) Remedies. The Company and the Guarantors acknowledge and agree that any failure
by the Company and/or the Guarantors to comply with their respective obligations under Sections 3
and 4 hereof may result in material irreparable injury to the Initial Purchasers or the Holders for
which there is no adequate remedy at law, that it will not be possible to measure damages for such
injuries precisely and that, in the event of any such failure, the Initial
Purchasers or any Holder may obtain such relief as may be required to specifically enforce the
Company’s and the Guarantors’ obligations under Sections 3 and 4 hereof. The Company and the
Guarantors further agree to waive the defense in any action for specific performance that a remedy
at law would be adequate.

 

-19-

 

(b) Free Writing Prospectus. The Company represents, warrants and covenants that it
(including its agents and representatives) will not prepare, make, use, authorize, approve or refer
to any “written communication” (as defined in Rule 405 under the Securities Act) in connection with
the issuance and sale of the Initial Securities and the Exchange Securities, other than (i) any
communication pursuant to Rule 134, Rule 135 or Rule 135c under the Securities Act, (ii) any
document constituting an offer to sell or solicitation of an offer to buy the Initial Securities or
the Exchange Securities that falls within the exception from the definition of prospectus in
Section 2(a)(10)(a) of the Securities Act, or (iii) a prospectus satisfying the requirements of
section 10(a) of the Securities Act or of Rule 430, Rule 430A, Rule 430B, Rule 430C or Rule 431
under the Securities Act.

(c) No Inconsistent Agreements. Each of the Company and the Guarantors will not, on
or after the date of this Agreement, enter into any agreement with respect to its securities that
is inconsistent with the rights granted to the Holders in this Agreement or otherwise conflicts
with the provisions hereof. The Company and any Guarantor have not previously entered into, nor is
currently a party to, any agreement granting any registration rights with respect to its securities
to any Person that would require such securities to be included in any Registration Statement filed
hereunder. The rights granted to the Holders hereunder do not in any way conflict with and are not
inconsistent with the rights granted to the holders of the Company’s and the Guarantors’ securities
under any agreement in effect on the date hereof.

(d) Amendments and Waivers. The provisions of this Agreement may not be amended,
modified or supplemented, and waivers or consents to or departures from the provisions hereof may
not be given unless (i) in the case of Section 5 hereof and this Section 10(d)(i), the Company has
obtained the written consent of Holders of all outstanding Transfer Restricted Securities, and (ii)
in the case of all other provisions hereof, the Company has obtained the written consent of Holders
of a majority of the outstanding principal amount of Transfer Restricted Securities (excluding
Transfer Restricted Securities held by the Company or its Affiliates). Notwithstanding the
foregoing, a waiver or consent to departure from the provisions hereof that relates exclusively to
the rights of Holders whose Transfer Restricted Securities are being tendered pursuant to the
Exchange Offer, and that does not affect directly or indirectly the rights of other Holders whose
Transfer Restricted Securities are not being tendered pursuant to such Exchange Offer, may be given
by the Holders of a majority of the outstanding principal amount of Transfer Restricted Securities
subject to such Exchange Offer.

(e) Additional Guarantors. The Company shall cause any of its Restricted Subsidiaries
(as defined in the Indenture) that becomes, prior to the consummation of the Exchange Offer, a
Guarantor in accordance with the terms and provisions of the Indenture to become a party to this
Agreement as a Guarantor.

(f) Third Party Beneficiary. The Holders shall be third party beneficiaries to the
agreements made hereunder among the Company and the Guarantors, on the one hand, and the
Initial Purchasers, on the other hand, and shall have the right to enforce such agreements
directly to the extent they may reasonably deem such enforcement necessary or advisable to protect
its rights or the rights of Holders hereunder.

 

-20-

 

(g) Notices. All notices and other communications provided for or permitted hereunder
shall be made in writing by hand-delivery, first-class mail (registered or certified, return
receipt requested), telex, telecopier or air courier guaranteeing overnight delivery:

(i) if to a Holder, at the address set forth on the records of the Registrar under the
Indenture, with a copy to the Registrar under the Indenture; and

(ii) if to the Company or the Guarantors:

Cambium Learning Group, Inc.

17855 N. Dallas Pkwy, Suite 400

Dallas, Texas 75287

Attention: Todd W. Buchardt, General Counsel

Fax: (214) 424-6425

With a copy to:

Lowenstein Sandler PC

1251 Avenue of the Americas

New York, New York 10020

Attention: Steve E. Siesser

Fax: (973) 597-2507

All such notices and communications shall be deemed to have been duly given: at the time
delivered by hand, if personally delivered; five (5) Business Days after being deposited in the
mail, postage prepaid, if mailed; when receipt acknowledged, if telecopied; and on the next
Business Day, if timely delivered to an air courier guaranteeing overnight delivery.

Copies of all such notices, demands or other communications shall be concurrently delivered by
the Person giving the same to the Trustee at the address specified in the Indenture.

(h) Successors and Assigns. This Agreement shall inure to the benefit of and be
binding upon the successors and assigns of each of the parties, including without limitation and
without the need for an express assignment, subsequent Holders; provided that nothing herein shall
be deemed to permit any assignment, transfer or other disposition of Transfer Restricted Securities
in violation of the terms hereof or of the Purchase Agreement or the Indenture. If any transferee
of any Holder shall acquire Transfer Restricted Securities in any manner, whether by operation of
law or otherwise, such Transfer Restricted Securities shall be held subject to all of the terms of
this Agreement, and by taking and holding such Transfer Restricted Securities such Person shall be
conclusively deemed to have agreed to be bound by and to perform all of the terms and provisions of
this Agreement, including the restrictions on resale set forth in this Agreement and, if
applicable, the Purchase Agreement, and such Person shall be entitled to receive the benefits
hereof.

 

-21-

 

(i) Counterparts. This Agreement may be executed in any number of counterparts and by
the parties hereto in separate counterparts, each of which when so executed shall be deemed to be
an original and all of which taken together shall constitute one and the same agreement.

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

(k) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO THE CONFLICT OF LAW RULES THEREOF.

(l) Severability. In the event that any one or more of the provisions contained
herein, or the application thereof in any circumstance, is held invalid, illegal or unenforceable,
the validity, legality and enforceability of any such provision in every other respect and of the
remaining provisions contained herein shall not be affected or impaired thereby.

(m) Entire Agreement. This Agreement is intended by the parties as a final expression
of their agreement and intended to be a complete and exclusive statement of the agreement and
understanding of the parties hereto in respect of the subject matter contained herein. There are
no restrictions, promises, warranties or undertakings, other than those set forth or referred to
herein with respect to the registration rights granted with respect to the Transfer Restricted
Securities. This Agreement supersedes all prior agreements and understandings between the parties
with respect to such subject matter.

(Signature Page Follows.)

 

-22-

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written
above.

	 	 	 	 	 	 	 
	 	 	CAMBIUM LEARNING GROUP, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	VSS-CAMBIUM HOLDINGS II CORP.	 	 
	 	 	VSS-CAMBIUM HOLDINGS, LLC	 	 
	 	 	VSS-CAMBIUM HOLDINGS IV, LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	CAMBIUM LEARNING, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	KURZWEIL/INTELLITOOLS, INC.	 	 
	 	 	CAMBIUM EDUCATION, INC.	 	 
	 	 	LAZEL, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

 

S-1

 

	 	 	 	 	 	 	 
	 	 	BARCLAYS CAPITAL INC.	 	 
	 	 	BMO CAPITAL MARKETS CORP.	 	 
	 	 	As representatives of the several Initial Purchasers	 	 
	 	 	named in Schedule 1 of the Purchase Agreement	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	BARCLAYS CAPITAL INC.	 	 
	 
	 	 	 	 	 	 
	 
	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	BMO CAPITAL MARKETS CORP.	 	 
	 
	 	 	 	 	 	 
	 
	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

 

S-2

 

SCHEDULE I

VSS-Cambium Holdings II Corp.

VSS-Cambium Holdings, LLC

VSS-Cambium Holdings IV, LLC

Cambium Learning, Inc.

Kurzweil/Intellitools, Inc.

Cambium Education, Inc.

LAZEL, Inc.Exhibit 10.1

Exhibit
10.1

GLOBAL DEFENSE TECHNOLOGY & SYSTEMS, INC.

March 3, 2011

Global Strategies Group Holding S.A.

15 Boulevard Franklin D. Roosevelt

L-2450 Luxembourg

Attn: Damian Perl

Dear Damian:

Reference is made to that certain Agreement and Plan of Merger (the “Merger Agreement”),
dated as of March 2, 2011, among Sentinel Acquisition Holdings Inc., a Delaware corporation
(“Parent”), Sentinel Acquisition Corporation, a Delaware corporation and a direct wholly owned
subsidiary of Parent (“Merger Sub”), and Global Defense Technology & Systems, Inc., a Delaware
corporation (the “Company”). Capitalized terms used but not otherwise defined herein shall have
the meanings set forth in the Merger Agreement.

	 	1.	 	The Company hereby confirms that following the completion of the Transactions, the
agreements between us listed on Annex A attached hereto shall remain in full force
and effect. The Company agrees to team with Global Strategies Group Holding S.A.
(“Holding”) in connection with next recompete under the Reconstruction Security Supports
Services (RSSS) under Army Corps of Engineers Contract #W917PM-08-D-0001.
	 
	 	2.	 	Upon the consummation of the Transactions, the Company hereby agrees to continue with
the bids and proposals and oral and written teaming arrangements set forth in Annex B.
	 
	 	3.	 	Promptly after the execution of the Merger Agreement, the Company will initiate a
rebranding of its corporate name and logo, marketing materials and business operations.
The rebranding effort will be made effective as of the Closing Date. From and after the
Closing Date, the Company will not use the acronym “GTEC’ in its corporate name and log,
marketing materials or business operations.
	 
	 	4.	 	Reference is made to the Trademark License Agreement (the “License Agreement”),
made as of September 29, 2009, by and between Holding and the Company. The undersigned
agree that the License Agreement shall terminate on the Closing Date. Holding and the
Company agree that the Company shall cease use of the Marks (as defined in the License
Agreement) on the Closing Date. With respect to any Government Contract entered into using
a name included in the Marks, promptly after the Closing Date, the Company shall apply for
a name change for all such Government Contracts pursuant to FAR 42.12. The Company will
use its reasonable efforts to promptly obtain all such name changes.
	 
	 	5.	 	The Company shall consult with the Stockholder before issuing, and provide the
Stockholder a reasonable opportunity to review and comment upon, any press release or
similar written public statements by the Company with respect to the Merger Agreement, the
Offer and the Merger; and the Company shall not issue any such press release or make any
such public statement prior to such consultation, except as may be required by applicable
Law, court process or obligations pursuant to any listing agreement with any national
securities exchange or national securities quotation system.

 

 

 

*************

In the event the Merger Agreement is terminated, this letter agreement shall terminate and be of no
further force and effect.

This letter agreement shall be governed by and construed in accordance with the laws of the State
of Delaware, without regard to the principles of conflicts or choice of law thereof or of any other
jurisdiction. No modification of this letter agreement or waiver of the terms and conditions
hereof shall be binding upon any party unless approved in writing by each party. This letter
agreement shall inure to the benefit of the parties hereto and their successors and assigns. This
letter agreement may be executed in counterparts, each of which shall be deemed to be an original
and shall constitute the same agreement.
If you are in agreement with the foregoing, please indicate your acceptance by signing below and
returning an executed copy of this letter.

	 	 	 	 	 
	 	Sincerely,

GLOBAL DEFENSE TECHNOLOGY & SYSTEMS, INC.

 
	 	By:  	/s/ John Hillen	 
	 	Name:  	John Hillen	 
	 	Title:  	President and CEO	 
	 

	 	 	 	 	 
	Acknowledged and Agreed:

GLOBAL STRATEGIES GROUP HOLDING, S.A.

 	 	 
	By:  	/s/ Damian Perl	 	 
	Name:  	Damian Perl	 	 	 
	Title:  	Director	 	 	 

 

2

 

	 	 	 	 	 

ANNEX A

	•	 	Reconstruction Security Supports Services (RSSS) under Army Corps of Engineers Contract
#W917PM-08-D-0001
	 
	•	 	Subcontract No. TAC-2117-08-03-001 Dated 12/13/09 between GSG (IS) and TAC
	 
	•	 	Services Agreement, dated as of June 17, 2009, between GSG Holding (United Kingdom)
Limited and Contego Newco Company
	 
	•	 	Preferred Supplier Services Framework Agreement, dated as of June 24, 2009, between
Global Strategies Group (North America) Inc. (“GNA”) and Global Strategies Group
(Middle East) FZE
	 
	•	 	Subcontract No. GMS-2117-08-02-001, dated as of December 13, 2008, by and between Global
Strategies Group (Integrated Security) Inc. and Global Strategies Group (North America)
Inc.

 

3

 

ANNEX B

	•	 	CBRNE (GIS sub to the Company)
	 
	•	 	CNTPO II (Company sub to GIS)
	 
	•	 	Teaming Agreement for the C-IED contract under BAE
	 
	•	 	WPS (Company sub to GIS)

 

4

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