Document:

EXHIBIT 4.2

                        MORTGAGE LOAN PURCHASE AGREEMENT

            This Mortgage Loan Purchase Agreement (the "Agreement"), dated April
27, 2007, is between Banc of America Mortgage Securities, Inc., a Delaware
corporation (the "Purchaser" or the "Company") and Bank of America, National
Association, a national banking association ("BANA" or the "Seller").

            The Purchaser and the Seller hereby recite and agree as follows:

            1. Defined Terms. Terms used without definition herein shall have
the respective meanings assigned to them in the Pooling and Servicing Agreement
dated April 27, 2007 (the "Pooling and Servicing Agreement"), among the Company,
BANA, as servicer and Wells Fargo Bank, N.A., as trustee (the "Trustee"),
relating to the issuance of the Banc of America Mortgage 2007-2 Trust, Mortgage
Pass-Through Certificates, Series 2007-2 (the "Certificates") or, if not defined
therein, in the underwriting agreement dated April 27, 2007 (the "Underwriting
Agreement"), among the Company, BANA and Banc of America Securities LLC (the
"Underwriter") or in the purchase agreement dated April 27, 2007 (the "Purchase
Agreement"), among the Company, BANA and Banc of America Securities LLC.

            2. Purchase Price; Purchase and Sale. The Seller agrees to sell, and
the Company agrees to purchase, the mortgage loans (the "Mortgage Loans"),
listed in the Mortgage Loan Schedule. The purchase price (the "Purchase Price")
for the Mortgage Loans shall consist of $[__________] payable by the Company to
the Seller on the Closing Date in immediately available funds.

            Upon payment of the Purchase Price, the Seller shall be deemed to
have transferred, assigned, set over and otherwise conveyed to the Company all
the right, title and interest of the Seller in and to the Mortgage Loans,
including all interest and principal received or receivable by the Seller on or
with respect to the Mortgage Loans after the Cut-off Date (and including
scheduled payments of principal and interest due after the Cut-off Date but
received by the Seller on or before the Cut-off Date and Principal Prepayments
received or applied on the Cut-off Date, but not including payments of principal
and interest due on the Mortgage Loans on or before the Cut-off Date), together
with all of the Seller's rights, title and interest in and to the proceeds of
any related title, hazard, primary mortgage, mortgage pool policy or other
insurance policies, but excluding any fees payable by a Mortgagor for the right
to cancel any portion of principal or interest of a BPP Mortgage Loan. The
Company hereby directs the Seller, and the Seller hereby agrees, to deliver to
the Trustee all documents, instruments and agreements required to be delivered
by the Company to the Trustee under the Pooling and Servicing Agreement and such
other documents, instruments and agreements as the Company or the Trustee shall
reasonably request.

            3. Representations and Warranties. The Seller hereby represents and
warrants to the Company that (i) the Company's representations and warranties to
the Trustee pursuant to Section 2.04 of the Pooling and Servicing Agreement
insofar as they relate to the Mortgage Loans are true and correct, as of the
date thereof, and (ii) the Seller has not dealt with any broker, investment
banker, agent or other Person (other than the Company and Banc of America
Securities LLC) who may be entitled to any commission or compensation in
connection with the sale of the Mortgage Loans. The Seller hereby agrees to cure
any breach of such representations and warranties in accordance with the terms
of the Pooling and Servicing Agreement.

            4. Repurchase or Substitution. The Seller hereby agrees to
repurchase any Mortgage Loan (i) for which any document is not delivered, as
provided in paragraph 2 above, (ii) which is found by the Trustee to be
defective in any material respect, as provided in the Pooling and Servicing
Agreement, or (iii) which is discovered at any time not to be in conformance
with the representations and warranties referred to in paragraph 3 above and
which document relating thereto the Seller does not deliver or which defect or
breach the Seller does not cure (as provided in paragraph 3 above) within 90
days after the date of notice thereof from the Trustee or the Company, at a
price equal to the then unpaid principal balance thereof, plus accrued and
unpaid interest at the applicable Mortgage Interest Rate, through the last day
of the month in which such repurchase takes place. In addition, the Seller
hereby agrees to reimburse the Purchaser for any Reimbursement Amount.
Alternatively, the Seller hereby agrees, if so requested by the Company, to
substitute for any such Mortgage Loan, a new mortgage loan having
characteristics such that the representations and warranties referred to in
paragraph 3 above would not have been incorrect (except for representations and
warranties as to the correctness of the Mortgage Loan Schedule) had such
substitute mortgage loan originally been a Mortgage Loan. The Seller further
agrees that a substituted mortgage loan will have on the date of substitution
the criteria set forth in the definition of "Substitute Mortgage Loan" in the
Pooling and Servicing Agreement. The Seller shall remit to the Company, in cash,
the difference between the unpaid principal balance of the Mortgage Loan to be
substituted and the unpaid principal balance of the substitute mortgage loan.

            5. BPP Mortgage Loans. With respect to any BPP Mortgage Loan, the
Seller hereby agrees to remit to the Trustee, on behalf of the Trust, as
assignee of the Company (a) the amount of any principal and interest due by a
Mortgagor and cancelled for any month pursuant to the terms of the related
Mortgage Note (the "Monthly Covered Amount") upon the disability or involuntary
unemployment of the related Mortgagor or (b) the outstanding principal balance
of the Mortgage Loan cancelled pursuant to the terms of the related Mortgage
Note together with accrued interest at the Mortgage Interest Rate minus the
Servicing Fee Rate to the date of cancellation (the "Total Covered Amount") upon
the accidental death of the related Mortgagor. Any Monthly Covered Amount or
Total Covered Amount payable by the Seller pursuant to this Section 5 shall be
deposited by the Seller in the Servicer Custodial Account on or prior to, in the
case of any Monthly Covered Amount, the Remittance Date relating to the
Distribution Date immediately following the Due Date as to which such Monthly
Covered Amount relates and, in the case of a Total Covered Amount, the
Remittance Date relating to the Distribution Date in the month following the
month in which the cancellation to which such Total Covered Amount relates
occurs. 6. Underwriting. The Seller hereby agrees to furnish any and all
information, documents, certificates, letters or opinions with respect to the
mortgage loans, reasonably requested by the Company in order to perform any of
its obligations or satisfy any of the conditions on its part to be performed or
satisfied pursuant to the Underwriting Agreement or the Purchase Agreement at or
prior to the Closing Date.

            7. Costs. The Company shall pay all expenses incidental to the
performance of its obligations under the Underwriting Agreement and the Purchase
Agreement, including without limitation (i) any recording fees or fees for title
policy endorsements and continuations, (ii) the expenses of preparing, printing
and reproducing the Prospectus, the Prospectus Supplement, the Underwriting
Agreement, the Private Placement Memorandum, the Purchase Agreement, the Pooling
and Servicing Agreement and the Certificates and (iii) the cost of delivering
the Certificates to the offices of Banc of America Securities LLC insured to the
satisfaction of Banc of America Securities LLC.

            8. Notices. All demands, notices and communications hereunder shall
be in writing, shall be effective only upon receipt and shall, if sent to the
Company, be addressed to it at Banc of America Mortgage Securities, Inc., 214
North Tryon Street, Charlotte, North Carolina, 28255, Attention: General Counsel
with a copy to the Chief Financial Officer, or if sent to BANA, be addressed to
it at Bank of America, National Association, 101 South Tryon Street, Charlotte,
North Carolina, 28255, Attention: General Counsel with a copy to the Treasurer.

            9. Trustee Beneficiary. The representations, warranties and
agreements made by the Seller in this Agreement are made for the benefit of, and
may be enforced by, the Trustee and the Holders of Certificates to the same
extent that the Trustee and the Holders of Certificates, respectively, have
rights against the Company under the Pooling and Servicing Agreement in respect
of representations, warranties and agreements made by the Company therein.

            10. Recharacterization. The parties to this Agreement intend the
conveyance by the Seller to the Purchaser of all of its right, title and
interest in and to the Mortgage Loans pursuant to this Agreement to constitute a
purchase and sale and not a loan. Notwithstanding the foregoing, to the extent
that such conveyance is held not to constitute a sale under applicable law, it
is intended that this Agreement shall constitute a security agreement under
applicable law and that the Seller shall be deemed to have granted to the
Purchaser a first priority security interest in all of the Seller's right, title
and interest in and to the Mortgage Loans.

            11. Miscellaneous. 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 provisions. Neither this Agreement nor any term hereof may be
changed, waived, discharged or terminated except by a writing signed by the
party against whom enforcement of such change, waiver, discharge or termination
is sought. This Agreement may not be changed in any manner which would have a
material adverse effect on Holders of Certificates without the prior written
consent of the Trustee. The Trustee shall be protected in consenting to any such
change to the same extent provided in Article IX of the Pooling and Servicing
Agreement. This Agreement may be signed in any number of counterparts, each of
which shall be deemed an original, which taken together shall constitute one and
the same instrument. This Agreement shall bind and inure to the benefit of and
be enforceable by the Company and the Seller and their respective successors and
assigns.

<PAGE>

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

                                       BANC OF AMERICA MORTGAGE
                                       SECURITIES, INC.

                                       By: /s/ Judy Lowman
                                          --------------------------------------
                                          Name:  Judy Lowman
                                          Title: Principal

                                       BANK OF AMERICA, NATIONAL
                                          ASSOCIATION

                                       By: /s/ Jill E. Payne
                                          --------------------------------------
                                          Name:  Jill E. Payne
                                          Title: PrincipalExhibit 10(a)

    Exhibit
      10(a)

     

    _____________________________________________________________________________

     

    

     

    

     

    $3,400,000,000

     

    SECOND
      AMENDED AND RESTATED FIVE-YEAR CREDIT AGREEMENT

     

    dated
      as of May 4, 2007

     

    among

     

    PPL
      ENERGY SUPPLY, LLC,

     

    THE
      LENDERS FROM TIME TO TIME PARTY HERETO,

     

    WACHOVIA
      BANK, NATIONAL ASSOCIATION,

     

    as
      Administrative Agent, Issuing Lender and Swingline Lender,

     

    BARCLAYS
      BANK PLC and CITIBANK, N.A., as Syndication Agents,

     

    WACHOVIA
      CAPITAL MARKETS, LLC

     

    and

     

    CITIGROUP
      GLOBAL MARKETS, INC.,

     

    as
      Joint Lead Arrangers,

     

    and

     

    JPMORGAN
      CHASE BANK and MORGAN STANLEY BANK,

     

    as
      Documentation Agents

     

    

     

    _____________________________________________________________________________

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    TABLE
      OF CONTENTS

     

    Page

     

    
      	
              ARTICLE
                I DEFINITIONS

            	 	
              1

            
	 	
              Section
                1.01

            	
              Definitions

            	
              1

            
	
              ARTICLE
                II THE CREDITS

            	
              18

            
	 	
              Section
                2.01

            	
              Commitments
                to Lend

            	
              19

            
	 	
              Section
                2.02

            	
              Swingline
                Loans

            	
              19

            
	 	
              Section
                2.03

            	
              Notice
                of Borrowings

            	
              20

            
	 	
              Section
                2.04

            	
              Notice
                to Lenders; Funding of Revolving Loans and Swingline Loans

            	
              21

            
	 	
              Section
                2.05

            	
              Noteless
                Agreement; Evidence of Indebtedness

            	
              22

            
	 	
              Section
                2.06

            	
              Interest
                Rates

            	
              22

            
	 	
              Section
                2.07

            	
              Fees

            	
              24

            
	 	
              Section
                2.08

            	
              Adjustments
                of Commitments

            	
              25

            
	 	
              Section
                2.09

            	
              Maturity
                of Loans; Mandatory Prepayments

            	
              28

            
	 	
              Section
                2.10

            	
              Optional
                Prepayments and Repayments

            	
              29

            
	 	
              Section
                2.11

            	
              General
                Provisions as to Payments

            	
              29

            
	 	
              Section
                2.12

            	
              Funding
                Losses

            	
              30

            
	 	
              Section
                2.13

            	
              Computation
                of Interest and Fees

            	
              30

            
	 	
              Section
                2.14

            	
              Basis
                for Determining Interest Rate Inadequate, Unfair or
                Unavailable

            	
              30

            
	 	
              Section
                2.15

            	
              Illegality

            	
              31

            
	 	
              Section
                2.16

            	
              Increased
                Cost and Reduced Return

            	
              31

            
	 	
              Section
                2.17

            	
              Taxes

            	
              32

            
	 	
              Section
                2.18

            	
              Base
                Rate Loans Substituted for Affected Euro-Dollar Loans

            	
              35

            
	 	
              Section
                2.19

            	
              Increases
                to the Revolving Commitment

            	
              35

            
	 	
              Section
                2.20

            	
              Term-Out
                Option

            	
              36

            
	
              ARTICLE
                III LETTERS OF CREDIT

            	
              37

            
	 	
              Section
                3.01

            	
              Existing
                Letters of Credit

            	
              37

            
	 	
              Section
                3.02

            	
              Additional
                Letters of Credit

            	
              37

            
	 	
              Section
                3.03

            	
              Method
                of Issuance of Letters of Credit

            	
              37

            
	 	
              Section
                3.04

            	
              Conditions
                to Issuance of Additional Letters of Credit

            	
              38

            
	 	
              Section
                3.05

            	
              Purchase
                and Sale of Letter of Credit Participations

            	
              38

            
	 	
              Section
                3.06

            	
              Drawings
                under Letters of Credit

            	
              39

            
	 	
              Section
                3.07

            	
              Reimbursement
                Obligations

            	
              39

            
	 	
              Section
                3.08

            	
              Duties
                of Issuing Lenders to Lenders; Reliance

            	
              39

            
	 	
              Section
                3.09

            	
              Obligations
                of Lenders to Reimburse Issuing Lender for Unpaid Drawings

            	
              40

            
	 	
              Section
                3.10

            	
              Funds
                Received from the Borrower in Respect of Drawn Letters of
                Credit

            	
              41

            
	 	
              Section
                3.11

            	
              Obligations
                in Respect of Letters of Credit Unconditional

            	
              41

            
	 	
              Section
                3.12

            	
              Indemnification
                in Respect of Letters of Credit

            	
              42

            
	 	
              Section
                3.13

            	
              ISP98

            	
              43

            
	
              ARTICLE
                IV CONDITIONS

            	 	
              43

            
	 	
              Section
                4.01

            	
              Conditions
                to Closing

            	
              43

            
	 	
              Section
                4.02

            	
              Conditions
                to All Credit Events

            	
              45

            
	
              ARTICLE
                V REPRESENTATIONS AND WARRANTIES

            	
              45

            
	 	
              Section
                5.01

            	
              Status

            	
              45

            
	 	
              Section
                5.02

            	
              Authority;
                No Conflict

            	
              46

            
	 	
              Section
                5.03

            	
              Legality;
                Etc.

            	
              46

            
	 	
              Section
                5.04

            	
              Financial
                Condition

            	
              46

            
	 	
              Section
                5.05

            	
              Rights
                to Properties

            	
              46

            
	 	
              Section
                5.06

            	
              Litigation

            	
              47

            
	 	
              Section
                5.07

            	
              No
                Violation

            	
              47

            
	 	
              Section
                5.08

            	
              ERISA

            	
              47

            
	 	
              Section
                5.09

            	
              Governmental
                Approvals

            	
              47

            
	 	
              Section
                5.10

            	
              Investment
                Company Act

            	
              47

            
	 	
              Section
                5.11

            	
              Restricted
                Subsidiaries, Etc.

            	
              47

            
	 	
              Section
                5.12

            	
              Tax
                Returns and Payments

            	
              48

            
	 	
              Section
                5.13

            	
              Compliance
                with Laws

            	
              48

            
	 	
              Section
                5.14

            	
              No
                Default

            	
              48

            
	 	
              Section
                5.15

            	
              Environmental
                Matters

            	
              48

            
	 	
              Section
                5.16

            	
              Guarantees

            	
              49

            
	 	
              Section
                5.17

            	
              OFAC

            	
              49

            
	
              ARTICLE
                VI COVENANTS

            	
              49

            
	 	
              Section
                6.01

            	
              Information

            	
              49

            
	 	
              Section
                6.02

            	
              Maintenance
                of Property; Insurance

            	
              52

            
	 	
              Section
                6.03

            	
              Conduct
                of Business and Maintenance of Existence

            	
              52

            
	 	
              Section
                6.04

            	
              Compliance
                with Laws, Etc.

            	
              52

            
	 	
              Section
                6.05

            	
              Books
                and Records

            	
              52

            
	 	
              Section
                6.06

            	
              Use
                of Proceeds

            	
              53

            
	 	
              Section
                6.07

            	
              Restriction
                on Liens

            	
              53

            
	 	
              Section
                6.08

            	
              Merger
                or Consolidation

            	
              55

            
	 	
              Section
                6.09

            	
              Asset
                Sales

            	
              56

            
	 	
              Section
                6.10

            	
              Restrictive
                Agreements

            	
              56

            
	 	
              Section
                6.11

            	
              Consolidated
                Debt to Consolidated Capitalization Ratio

            	
              56

            
	 	
              Section
                6.12

            	
              Indebtedness

            	
              56

            
	
              ARTICLE
                VII DEFAULTS

            	
              57

            
	 	
              Section
                7.01

            	
              Events
                of Default

            	
              57

            
	
              ARTICLE
                VIII THE AGENTS

            	
              59

            
	 	
              Section
                8.01

            	
              Appointment
                and Authorization

            	
              59

            
	 	
              Section
                8.02

            	
              Individual
                Capacity

            	
              59

            
	 	
              Section
                8.03

            	
              Delegation
                of Duties

            	
              59

            
	 	
              Section
                8.04

            	
              Reliance
                by the Administrative Agent

            	
              60

            
	 	
              Section
                8.05

            	
              Notice
                of Default

            	
              60

            
	 	
              Section
                8.06

            	
              Non-Reliance
                on the Agents and Other Lenders

            	
              60

            
	 	
              Section
                8.07

            	
              Exculpatory
                Provisions

            	
              61

            
	 	
              Section
                8.08

            	
              Indemnification

            	
              61

            
	 	
              Section
                8.09

            	
              Resignation;
                Successors

            	
              62

            
	 	
              Section
                8.10

            	
              Administrative
                Agent’s Fees

            	
              62

            
	
              ARTICLE
                IX MISCELLANEOUS

            	
              62

            
	 	
              Section
                9.01

            	
              Notices

            	
              62

            
	 	
              Section
                9.02

            	
              No
                Waivers; Non-Exclusive Remedies

            	
              64

            
	 	
              Section
                9.03

            	
              Expenses;
                Indemnification

            	
              64

            
	 	
              Section
                9.04

            	
              Sharing
                of Set-Offs

            	
              65

            
	 	
              Section
                9.05

            	
              Amendments
                and Waivers

            	
              66

            
	 	
              Section
                9.06

            	
              Successors
                and Assigns

            	
              66

            
	 	
              Section
                9.07

            	
              Governing
                Law; Submission to Jurisdiction

            	
              68

            
	 	
              Section
                9.08

            	
              Counterparts;
                Integration; Effectiveness

            	
              69

            
	 	
              Section
                9.09

            	
              Generally
                Accepted Accounting Principles

            	
              69

            
	 	
              Section
                9.10

            	
              Usage

            	
              69

            
	 	
              Section
                9.11

            	
              WAIVER
                OF JURY TRIAL

            	
              70

            
	 	
              Section
                9.12

            	
              Confidentiality

            	
              70

            
	 	
              Section
                9.13

            	
              USA
                PATRIOT Act Notice

            	
              71

            
	 	
              Section
                9.14

            	
              Effect
                of Agreement

            	
              71

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Appendices
      and Schedules:

     

    Commitment
      Appendix

     

    Schedules:

     

    Schedule
      3.01 - Existing
      Letters of Credit

    Schedule
      5.11 - Restricted
      Subsidiaries, Etc.

    Schedule
      5.16 - Guarantees
      of Foreign Subsidiary Debt

    Schedule
      6.07 - Existing
      Liens

    Schedule
      6.10 - Restrictive
      Agreements

    Schedule
      6.12 - Existing
      Debt

     

    Exhibits:

     

    Exhibit
      A-1 -  Form
      of
      Notice of Borrowing

    Exhibit
      A-2 -  Form
      of
      Notice of Conversion/Continuation

    Exhibit
      A-3  -  Form
      of
      Letter of Credit Request

    Exhibit
      A-4  -  Form
      of
      Extension Letter

    Exhibit
      B
 -  Form
      of
      Note

    Exhibit
      C
 -  Form
      of
      Assignment and Assumption Agreement

    Exhibit
      D
 - Forms
      of
      Opinion of Counsel for the Borrower

    Exhibit
      E
 - Form
      of
      Notice of Revolving Increase

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SECOND
      AMENDED AND RESTATED FIVE-YEAR CREDIT AGREEMENT (this
      “Agreement”)
      dated
      as of May 4, 2007 among PPL ENERGY SUPPLY, LLC, a Delaware limited liability
      company (the “Borrower”),
      the
      LENDERS party hereto from time to time, WACHOVIA BANK, NATIONAL ASSOCIATION,
      as
      Administrative Agent, Swingline Lender and Issuing Lender, BARCLAYS BANK PLC
      and
      CITIBANK, N.A., as Syndication Agents, WACHOVIA CAPITAL MARKETS, LLC and
      CITIGROUP GLOBAL MARKETS, INC., as Joint Lead Arrangers, and JPMORGAN CHASE
      BANK
      and MORGAN STANLEY BANK, as Documentation Agents.

     

    Pursuant
      to that certain $1,900,000,000 Amended and Restated Five-Year Credit Agreement,
      dated as of June 9, 2006 (as such agreement has been extended through the
      extension of the Revolving Termination Date (as defined therein) pursuant to
      Section 2.07(c) thereof, and as further amended, extended or otherwise modified,
      the “Existing Credit Agreement”), among the Borrower, the lenders party thereto
      (the “Existing Lenders”) and Wachovia Bank, National Association, as
      Administrative Agent and Issuing Lender, the Existing Lenders provided certain
      credit facilities to the Borrower.

     

    The
      Borrower has requested, and the Lenders (as hereinafter defined) have agreed,
      that the Existing Credit Agreement be amended and restated as set forth
      herein.

     

    ARTICLE
      I

     

    DEFINITIONS

     

    Section
      1.01  Definitions.
      All
      capitalized terms used in this Agreement or in any Appendix, Schedule or Exhibit
      hereto which are not otherwise defined herein or therein shall have the
      respective meanings set forth below.

     

    “Additional
      Commitment Lender”
shall
      have the meaning set forth in Section 2.08(c)(iii).

     

    “Additional
      Letter of Credit”
means
      any standby letter of credit issued under this Agreement by Wachovia Bank,
      National Association, as Issuing Lender, on or after the Closing
      Date.

     

    “Adjusted
      London Interbank Offered Rate”
means,
      for any Interest Period, a rate per annum equal to the quotient obtained
      (rounded upward, if necessary, to the nearest 1/100th of 1%) by dividing (i)
      the
      London Interbank Offered Rate for such Interest Period by (ii) 1.00 minus the
      Euro-Dollar Reserve Percentage.

     

    “Administrative
      Agent”
means
      Wachovia Bank, National Association, in its capacity as administrative agent
      for
      the Lenders hereunder and under the other Loan Documents, and its successor
      or
      successors in such capacity.

     

    “Administrative
      Questionnaire”
means,
      with respect to each Lender, an administrative questionnaire in the form
      provided by the Administrative Agent and submitted to the Administrative Agent
      (with a copy to the Borrower) duly completed by such Lender.

     

    “Affiliate”
means,
      with respect to any Person, any other Person who is directly or indirectly
      controlling, controlled by or under common control with such Person. A Person
      shall be deemed to control another Person if such Person possesses, directly
      or
      indirectly, the power to direct or cause the direction of the management or
      policies of the controlled Person, whether through the ownership of stock or
      its
      equivalent, by contract or otherwise.

     

    “Agent”
means
      the Administrative Agent, the Syndication Agents, the Joint Lead Arrangers
      or
      the Documentation Agents, and “Agents” means any two or more of
      them.

     

    “Agreement”
means
      this Credit Agreement, as amended, restated supplemented or modified from time
      to time.

     

    “Applicable
      Lending Office”
means,
      with respect to any Lender, (i) in the case of its Base Rate Loans, its Base
      Rate Lending Office and (ii) in the case of its Euro-Dollar Loans, its
      Euro-Dollar Lending Office.

     

    “Applicable
      Percentage”
means,
      for purposes of calculating (i) the applicable interest rate for any day for
      any
      Base Rate Loans or Euro-Dollar Loans, (ii) the applicable rate for the
      Commitment Fee for any day for purposes of Section 2.07(a) or (iii) the
      applicable rate for the Letter of Credit Fee for any day for purposes of Section
      2.07(b), the appropriate applicable percentage set forth below corresponding
      to
      the then current highest Borrower’s Ratings; provided,
      that,
      in the event that (a) the Borrower’s Ratings shall fall within different levels
      and ratings are maintained by all Rating Agencies, (i) if two applicable ratings
      are equal and higher than the third applicable rating, the higher applicable
      rating will apply, (ii) if two applicable ratings are equal and lower than
      the
      third applicable rating, the lower applicable rating will apply, (iii) if no
      applicable ratings are equal, the intermediate applicable rating will apply;
      (b)
      if the Borrower’s Ratings shall fall within different levels and ratings are
      then maintained by only two Rating Agencies, the applicable rating shall be
      based on the higher of the two applicable ratings unless one of the two
      applicable ratings is two or more levels lower than the other, in which case
      the
      applicable rating shall be determined by reference to the level one rating
      lower
      than the higher of the two applicable ratings:

     

    
      	 	
              Borrower’s
                Ratings

              (S&P
                /Moody’s /Fitch)

            	
              Applicable
                Percentage for Commitment Fees

            	
              Applicable
                Percentage for Base Rate Loans

            	
              Applicable
                Percentage for Euro-Dollar Loans and Letter of Credit
                Fees

            
	
              Category
                A

            	
              ≥
A
                from S&P / A2 from

              Moody’s
                / A from Fitch

            	
              0.050%

            	
              0.0%

            	
              0.200%

            
	
              Category
                B

            	
              A-
                from S&P / A3 from

              Moody’s/
                A- from Fitch

            	
              0.060%

            	
              0.0%

            	
              0.250%

            
	
              Category
                C

            	
              BBB+
                from S&P / Baa1 from

              Moody’s
                / BBB+ from Fitch

            	
              0.070%

            	
              0.0%

            	
              0.350%

            
	
              Category
                D

            	
              BBB
                from S&P / Baa2 from

              Moody’s
                / BBB from Fitch

            	
              0.090%

            	
              0.0%

            	
              0.450%

            
	
              Category
                E

            	
              BBB-
                from S&P / Baa3 from

              Moody’s
                / BBB- from Fitch

            	
              0.125%

            	
              0.0%

            	
              0.525%

            
	
              Category
                F

            	
              <
                BBB- from S&P / Baa3

              from
                Moody’s / BBB- from

              Fitch

            	
              0.175%

            	
              0.0%

            	
              0.700%

            

    

    

    provided,
      that if
      the Borrower exercises the Term-Out option pursuant to Section 2.20, then the
      Applicable Percentage in effect at any time for Base Rate Loans and Euro-Dollar
      Loans will be increased by 0.25% per annum.

    

    “Applicable
      Utilization Fee”
means
      on any day on which the aggregate principal amount of Loans plus the aggregate
      Letter of Credit Liabilities outstanding exceeds 50% of the aggregate
      Commitments of all Lenders, the appropriate applicable percentage set forth
      below corresponding to (a) the percentage of the aggregate of the Lenders’
Commitments outstanding represented by the aggregate Loans plus the aggregate
      Letter of Credit Liabilities outstanding on such day; provided,
      that
      the amount of outstanding Swingline Loans shall not be considered usage for
      purposes of calculating the Applicable Utilization Fee; provided further
      that,
      upon the Borrower’s exercise of the Term-Out, the Applicable Utilization Fee
      shall be calculated based on the aggregate principal amount of the Term Loans
      outstanding on such day, notwithstanding usage; and (b) the then current highest
      Borrower Rating; provided,
      that,
      in the event that (a) the Borrower’s Ratings shall fall within different levels
      and ratings are maintained by all Rating Agencies, (i) if two applicable ratings
      are equal and higher than the third applicable rating, the higher applicable
      rating will apply, (ii) if two applicable ratings are equal and lower than
      the
      third applicable rating, the lower applicable rating will apply, (iii) if no
      applicable ratings are equal, the intermediate applicable rating will apply;
      (b)
      if the Borrower’s Ratings shall fall within different levels and ratings are
      then maintained by only two Rating Agencies, the applicable rating shall be
      based on the higher of the two applicable ratings unless one of the two
      applicable ratings is two or more levels lower than the other, in which case
      the
      applicable rating shall be determined by reference to the level one rating
      lower
      than the higher of the two applicable ratings:

     

    
      	 	
              Ratings

              (S&P/
                Moody’s/ Fitch)

            	
              Usage
                > 50% of Total Commitments

            
	
              Category
                A

            	
              ≥
A
                from S&P / A2 from Moody’s / A from Fitch

            	
              0.050%

            
	
              Category
                B

            	
              A-
                from S&P / A3 from Moody’s/ A- from Fitch

            	
              0.050%

            
	
              Category
                C

            	
              BBB+
                from S&P / Baa1 from Moody’s / BBB+ from Fitch

            	
              0.050%

            
	
              Category
                D

            	
              BBB
                from S&P / Baa2 from Moody’s / BBB from Fitch

            	
              0.050%

            
	
              Category
                E

            	
              BBB-
                from S&P / Baa3 from Moody’s / BBB- from Fitch

            	
              0.100%

            
	
              Category
                F

            	
              <
                BBB- from S&P / Baa3 from Moody’s / BBB- from Fitch

            	
              0.100%

            

    

    

    “Asset
      Sale”
shall
      mean any sale of any assets, including by way of the sale by the Borrower or
      any
      of its Subsidiaries of equity interests in such Subsidiaries.

     

    “Assignee”
has
      the
      meaning set forth in Section 9.06(c).

     

    “Assignment
      and Assumption Agreement”
means
      an Assignment and Assumption Agreement, substantially in the form of attached
      Exhibit C, under which an interest of a Lender hereunder is transferred to
      an
      Eligible Assignee pursuant to Section 9.06(c).

     

    “Availability
      Period”
means
      the period from and including the Closing Date to but excluding the Revolving
      Termination Date.

     

    “Bankruptcy
      Code”
means
      the Bankruptcy Reform Act of 1978, as amended, or any successor
      statute.

     

    “Base
      Rate”
means
      for any day a rate per annum equal to the higher of (i) the Prime Rate for
      such
      day and (ii) the sum of 1/2 of 1% plus the Federal Funds Rate for such
      day.

     

    “Base
      Rate Borrowing”
means
      a
      Borrowing comprised of Base Rate Loans.

     

    “Base
      Rate Lending Office”
means,
      as to each Lender, its office located at its address set forth in its
      Administrative Questionnaire (or identified in its Administrative Questionnaire
      as its Base Rate Lending Office) or such other office as such Lender may
      hereafter designate as its Base Rate Lending Office by notice to the Borrower
      and the Administrative Agent.

     

    “Base
      Rate Loan”
means
      a
      Loan in respect of which interest is computed on the basis of the Base Rate
      plus
      the Applicable Percentage, if any, with respect to Base Rate Loans.

     

    “Borrower”
has
      the
      meaning set forth in the Recitals.

     

    “Borrower’s
      Rating”
means
      the senior unsecured long-term debt rating of the Borrower from S&P, Moody’s
      or Fitch.

     

    “Borrowing”
means
      a
      group of Loans of a single Type made by the Lenders on a single date and, in
      the
      case of a Euro-Dollar Borrowing, having a single Interest Period.

     

    “Business
      Day”
means
      any day except a Saturday, Sunday or other day on which commercial banks in
      Charlotte, North Carolina or New York, New York are authorized by law to close;
      provided,
      that,
      when used in Article III with respect to any action taken by or with respect
      to
      any Issuing Lender, the term “Business Day” shall not include any day on which
      commercial banks are authorized by law to close in the jurisdiction where the
      office at which such Issuing Lender books any Letter of Credit is located;
      and
provided,
      further,
      that
      when used with respect to any borrowing of, payment or prepayment of principal
      of or interest on, or the Interest Period for, a Euro-Dollar Loan, or a notice
      by the Borrower with respect to any such borrowing payment, prepayment or
      Interest Period, the term “Business Day” shall also mean that such day is a day
      on which commercial banks are open for international business (including
      dealings in Dollar deposits) in London.

     

    “Capital
      Lease”
means
      any lease of property which, in accordance with GAAP, should be capitalized
      on
      the lessee’s balance sheet.

     

    “Capital
      Lease Obligations”
means,
      with respect to any Person, all obligations of such Person as lessee under
      Capital Leases, in each case taken at the amount thereof accounted for as
      liabilities in accordance with GAAP.

     

    “Change
      of Control”
means
      (i) the acquisition by any Person, or two or more Persons acting in concert,
      of
      beneficial ownership (within the meaning of Rule 13d-3 of the Securities and
      Exchange Commission under the Securities Exchange Act of 1934, as amended)
      of
      25% or more of the outstanding shares of voting stock of PPL Corporation or
      its
      successors or (ii) the failure at any time of PPL Corporation or its successors
      to own 80% or more of the outstanding shares of the Voting Stock in the
      Borrower.

     

    “Closing
      Date”
means
      the date, not later than May 4, 2007, on which the Administrative Agent
      determines that the conditions specified in or pursuant to Section 4.01 have
      been satisfied.

     

    “Commitment”
means,
      with respect to any Lender, the commitment of such Lender to (i) make Loans
      under this Agreement as set forth in the Commitment Appendix, (ii) to refund
      or
      purchase participations in Swingline Loans pursuant to Section 2.02(b) and
      (iii)
      to purchase participations in Letters of Credit pursuant to Article III hereof,
      in each case as such Commitment may be reduced from time to time pursuant to
      Sections 2.08(a) or (b), 2.20 or 9.06(c) or increased from time to time pursuant
      to Sections 2.19 or 9.06(c).

     

    “Commitment
      Appendix”
means
      the Appendix attached under this Agreement identified as such.

     

    “Commitment
      Fee”
has
      the
      meaning set forth in Section 2.07(a).

     

    “Commitment
      Ratio”
shall
      mean, with respect to any Lender for its Commitment, the percentage equivalent
      of the ratio which such Lender’s portion of such Commitment bears to the
      aggregate amount of all Commitments, as the case may be (as each may be adjusted
      from time to time as provided herein); and “Commitment
      Ratios”
shall
      mean, with respect to any Commitment, the Commitment Ratios of all of the
      Lenders with respect to such Commitment.

     

    “Consolidated
      Capitalization”
shall
      mean the sum of, without duplication, (A) the Consolidated Debt (without giving
      effect to clause (b) of the definition of “Consolidated Debt”) and (B) the
      consolidated member’s equity (determined in accordance with GAAP) of the common,
      preference and preferred equityholders of the Borrower and minority interests
      recorded on the Borrower’s consolidated financial statements (excluding from
      member’s equity the balance of accumulated other comprehensive income/loss of
      the Borrower on any date of determination solely with respect to (i) the effect
      of all unrealized gains and losses reported under Financial Accounting Standards
      Board Statement No. 133 in connection with forward contracts, futures contracts
      or other derivatives or commodity hedging agreements for the future delivery
      of
      electricity or capacity and (ii) the effect of any pension and other
      post-retirement benefit liability adjustment recorded in accordance with GAAP),
      except that for purposes of calculating Consolidated Capitalization of the
      Borrower, Consolidated Debt of the Borrower shall exclude Non-Recourse Debt
      and
      Consolidated Capitalization of the Borrower shall exclude that portion of
      member’s equity attributable to assets securing Non-Recourse Debt.

     

    “Consolidated
      Debt”
means
      the consolidated Debt of the Borrower and its Consolidated Subsidiaries
      (determined in accordance with GAAP), except that for purposes of this
      definition (a) Consolidated Debt shall exclude Non-Recourse Debt of the
      Borrower and its Consolidated Subsidiaries, and (b) Consolidated Debt shall
      exclude (i) Hybrid Securities of the Borrower and its Consolidated Subsidiaries
      in an aggregate amount as shall not exceed 15% of Consolidated Capitalization
      and (ii) Equity-Linked Securities in an aggregate amount as shall not exceed
      15%
      of Consolidated Capitalization.

     

    “Consolidated
      Subsidiary”
means
      with respect to any Person at any date any Subsidiary of such Person or other
      entity the accounts of which would be consolidated with those of such Person
      in
      its consolidated financial statements if such statements were prepared as of
      such date in accordance with GAAP.

     

    “Continuing
      Lender”
means
      with respect to any event described in Section 2.08(b), a Lender which is not
      a
      Retiring Lender, and “Continuing Lenders” means any two or more of such
      Continuing Lenders.

     

    “Corporation”
means
      a
      corporation, association, company, joint stock company, limited liability
      company, partnership or business trust.

     

    “Credit
      Event”
means
      a
      Borrowing or the issuance, renewal or extension of a Letter of
      Credit.

     

    “Current
      Revolving Termination Date”
shall
      have the meaning set forth in Section 2.08(c)(i).

     

    “Debt”
of
      any
      Person means, without duplication, (i) all obligations of such Person for
      borrowed money, (ii) all obligations of such Person evidenced by bonds,
      debentures, notes or similar instruments, (iii) all Guarantees by such Person
      of
      Debt of others, (iv) all Capital Lease Obligations and Synthetic Leases of
      such
      Person, (v) all obligations of such Person in respect of Interest Rate
      Protection Agreements, foreign currency exchange agreements or other interest
      or
      exchange rate hedging arrangements (the amount of any such obligation to be
      the
      net amount that would be payable upon the acceleration, termination or
      liquidation thereof), but only to the extent that such net obligations exceed
      $75,000,000 in the aggregate and (vi) all obligations of such Person as an
      account party in respect of letters of credit and bankers’ acceptances;
provided,
      however,
      that
“Debt” of such Person does not include (a) obligations of such Person under any
      installment sale, conditional sale or title retention agreement or any other
      agreement relating to obligations for the deferred purchase price of property
      or
      services (b) obligations under agreements relating to the purchase and sale
      of
      any commodity, including any power sale or purchase agreements, any commodity
      hedge or derivative (regardless of whether any such transaction is a “financial”
or physical transaction), (c) any trade obligations or other obligations of
      such
      Person incurred in the ordinary course of business or (d) obligations of such
      Person under any lease agreement (including any lease intended as security)
      that
      is not a Capital Lease or a Synthetic Lease.

     

    “Default”
means
      any condition or event which constitutes an Event of Default or which with
      the
      giving of notice or lapse of time or both would, unless cured or waived, become
      an Event of Default.

     

    “Defaulting
      Lender”
means
      at any time any Lender with respect to which a Lender Default is in effect
      at
      such time.

     

    “Documentation
      Agents”
means
      JPMorgan Chase Bank and Morgan Stanley Bank, in their capacity as documentation
      agents for the Lenders under this Agreement and under the other Loan Documents,
      and their respective successors in such capacity.

     

    “Dollars”
and
      the
      sign “$” means lawful money of the United States of America.

     

    “Effective
      Date”
means
      the date this Agreement becomes effective in accordance with Section
      9.08.

     

    “Election
      Date”
has
      the
      meaning set forth in Section 2.08(c)(i).

     

    “Eligible
      Assignee”
means
      (i) a Lender; (ii) a commercial bank organized under the laws of the United
      States and having a combined capital and surplus of at least $100,000,000;
      (iii)
      a commercial bank organized under the laws of any other country which is a
      member of the Organization for Economic Cooperation and Development, or a
      political subdivision of any such country, and having a combined capital and
      surplus of at least $100,000,000; provided,
      that
      such bank is acting through a branch or agency located and licensed in the
      United States; or (iv) an Affiliate of a Lender that is an “accredited investor”
(as defined in Regulation D under the Securities Act of 1933, as amended);
      provided,
      that
      upon and following the occurrence of an Event of Default, an Eligible Assignee
      shall mean any Person other than the Borrower or its Affiliates.

     

    “Environmental
      Laws”
means
      any and all federal, state and local statutes, laws, regulations, ordinances,
      rules, judgments, orders, decrees, permits, concessions, grants, franchises,
      licenses or other written governmental restrictions relating to the environment
      or to emissions, discharges or releases of pollutants, contaminants, petroleum
      or petroleum products, chemicals or industrial, toxic or Hazardous Substances
      or
      wastes into the environment including, without limitation, ambient air, surface
      water, ground water, or land, or otherwise relating to the manufacture,
      processing, distribution, use, treatment, storage, disposal, transport or
      handling of pollutants, contaminants, petroleum or petroleum products, chemicals
      or industrial, toxic or Hazardous Substances or wastes.

     

    “Environmental
      Liabilities”
means
      all liabilities (including anticipated compliance costs) in connection with
      or
      relating to the business, assets, presently or previously owned, leased or
      operated property, activities (including, without limitation, off-site disposal)
      or operations of the Borrower or any of its Subsidiaries, whether vested or
      unvested, contingent or fixed, actual or potential, which arise under or relate
      to matters covered by Environmental Laws.

     

    “Equity-Linked
      Securities”
means
      any securities of the Borrower or any of its Subsidiaries which are convertible
      into, or exchangeable for, equity securities of the Borrower, such Subsidiary
      or
      PPL Corporation, including any securities issued by any of such Persons which
      are pledged to secure any obligation of any holder to purchase equity securities
      of the Borrower, any of its Subsidiaries or PPL Corporation.

     

    “ERISA”
means
      the Employee Retirement Income Security Act of 1974, as amended, or any
      successor statute.

     

    “ERISA
      Group”
means
      the Borrower and all members of a controlled group of corporations and all
      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 (c) of the Internal Revenue Code.

     

    “Euro-Dollar
      Lending Office”
means,
      as to each Lender, its office, branch or Affiliate located at its address set
      forth in its Administrative Questionnaire (or identified in its Administrative
      Questionnaire as its Euro-Dollar Lending Office) or such other office, branch
      or
      Affiliate of such Lender as it may hereafter designate as its Euro-Dollar
      Lending Office by notice to the Borrower and the Administrative
      Agent.

     

    “Euro-Dollar
      Borrowing”
means
      a
      Borrowing comprised of Euro-Dollar Loans.

     

    “Euro-Dollar
      Loan”
means
      a
      Loan in respect of which interest is computed on the basis of the Adjusted
      London Interbank Offered Rate pursuant to the applicable Notice of Borrowing
      or
      Notice of Conversion/Continuation.

     

    “Euro-Dollar
      Reserve Percentage”
of
      any
      Lender for the Interest Period of any LIBOR Rate Loan means the reserve
      percentage applicable to such Lender during such Interest Period (or if more
      than one such percentage shall be so applicable, the daily average of such
      percentages for those days in such Interest Period during which any such
      percentage shall be so applicable) under regulations issued from time to time
      by
      the Board of Governors of the Federal Reserve System (or any successor) for
      determining the maximum reserve requirement (including, without limitation,
      any
      emergency, supplemental or other marginal reserve requirement) then applicable
      to such Lender with respect to liabilities or assets consisting of or including
      “Eurocurrency Liabilities” (as defined in Regulation D). The Adjusted London
      Interbank Offered Rate shall be adjusted automatically on and as of the
      effective date of any change in the Euro-Dollar Reserve Percentage.

     

    “Event
      of Default”
has
      the
      meaning set forth in Section 7.01.

     

    “Existing
      Credit Agreement”
has
      the
      meaning set forth in the Recitals.

     

    “Existing
      Debt”
means
      the Debt outstanding on the Closing Date and listed on Schedule 6.12
      hereto.

     

    “Existing
      Lenders”
has
      the
      meaning set forth in the Recitals.

     

    “Existing
      Letters of Credit”
means
      the standby letters of credit issued before the Closing Date pursuant to the
      Existing Credit Agreement and listed in attached Schedule 3.01, and “Existing
      Letter of Credit” means any one of them.

     

    “Existing
      Revolving Loans”
has
      the
      meaning set forth in Section 4.01(f).

     

    “Extension
      Date”
means,
      in the event the Revolving Termination Date or the Current Revolving Termination
      Date, as applicable, is extended pursuant to Section 2.08(c), either (i) in
      a
      year in which the Current Revolving Termination Date does not occur, the
      anniversary of the Closing Date occurring in any such year or (ii) in the year
      in which the Current Revolving Termination Date is scheduled to occur, the
      then
      Current Revolving Termination Date.

     

    “Extension
      Letter”
means
      a
      letter from the Borrower to the Administrative Agent requesting an extension
      of
      the Revolving Termination Date substantially in the form of Exhibit A-4
      hereto.

     

    “Federal
      Funds Rate”
means
      for any day the rate per annum (rounded upward, if necessary, to the nearest
      1/100th of 1%) equal to the weighted average of the rates on overnight Federal
      funds transactions with members of the Federal Reserve System arranged by
      Federal funds brokers on such day, as published by the Federal Reserve Bank
      of
      New York on the Business Day next succeeding such day; provided,
      that
      (i) if such day is not a Business Day, the Federal Funds Rate for such day
      shall
      be such rate on such transactions on the next preceding Business Day as so
      published on the next succeeding Business Day, and (ii) if no such rate is
      so
      published on such next succeeding Business Day, the Federal Funds Rate for
      such
      day shall be the average of quotations for such day on such transactions
      received by the Administrative Agent from three federal funds brokers of
      recognized standing selected by the Administrative Agent.

     

    “Fee
      Letter”
means
      the letter designated as such dated as of April 10, 2007 by the Administrative
      Agent and Wachovia Securities, as a Joint Lead Arranger and a Joint Book
      Manager, addressed to and acknowledged and agreed to by the Borrower, as
      amended, modified or supplemented from time to time.

     

    “Fitch”
means
      Fitch, Inc. and its successors or, absent any such successor, such nationally
      recognized statistical rating organization as the Borrower and the
      Administrative Agent may select. 

     

    “Foreign
      Subsidiary”
means
      a
      Subsidiary which is not formed under the laws of the United States or any
      territory thereof.

     

    “Fronting
      Fee”
has
      the
      meaning set forth in Section 2.07(b).

     

    “GAAP”
means
      United States generally accepted accounting principles applied on a consistent
      basis.

     

    “Governmental
      Authority”
means
      any federal, state or local government, authority, agency, central bank,
      quasi-governmental authority, court or other body or entity, and any arbitrator
      with authority to bind a party at law.

     

    “Group
      of Loans”
means
      at any time a group of Loans consisting of (i) all Loans which are Base Rate
      Loans at such time or (ii) all Loans which are Euro-Dollar Loans of the same
      Type having the same Interest Period at such time; provided,
      that,
      if a Loan of any particular Lender is converted to or made as a Base Rate Loan
      pursuant to Sections 2.15 or 2.18, such Loan shall be included in the same
      Group
      or Groups of Loans from time to time as it would have been in if it had not
      been
      so converted or made.

     

    “Guarantee”
of
      or
      by any person means any obligation, contingent or otherwise, of such person
      guaranteeing or having the economic effect of guaranteeing any Debt of any
      other
      person (the “primary obligor”) in any manner, whether directly or indirectly,
      and including any obligation of such person, direct or indirect, (i) to purchase
      or pay (or advance or supply funds for the purchase or payment of) such Debt or
      to purchase (or to advance or supply funds for the purchase of) any security
      for
      payment of such Debt, (ii) to purchase or lease property, securities or services
      for the purpose of assuring the owner of such Debt of the payment of such Debt
      or (iii) to maintain working capital, equity capital or any other financial
      statement condition or liquidity of the primary obligor so as to enable the
      primary obligor to pay such Debt; provided,
      however,
      that
      the term Guarantee shall not include endorsements for collection or deposit
      in
      the ordinary course of business.

     

    “Hazardous
      Substances”
means
      any toxic, caustic or otherwise hazardous substance, including petroleum, its
      derivatives, by-products and other hydrocarbons, or any substance having any
      constituent elements displaying any of the foregoing
      characteristics.

     

    “Hybrid
      Securities”
means
      any trust preferred securities, or deferrable interest subordinated debt with
      a
      maturity of at least 20 years issued by the Borrower, or any business trusts,
      limited liability companies, limited partnerships (or similar entities)
      (i) all of the common equity, general partner or similar interests of which
      are owned (either directly or indirectly through one or more wholly owned
      Subsidiaries) at all times by the Borrower or any of its Subsidiaries, (ii)
      that
      have been formed for the purpose of issuing hybrid preferred securities and
      (iii) substantially all the assets of which consist of (A) subordinated
      debt of the Borrower or a Subsidiary of the Borrower, as the case may be, and
      (B) payments made from time to time on the subordinated debt.

     

    “Indemnitee”
has
      the
      meaning set forth in Section 9.03(b).

     

    “Interest
      Period”
means
      with respect to each Euro-Dollar Loan, a period commencing on the date of
      borrowing specified in the applicable Notice of Borrowing or on the date
      specified in the applicable Notice of Conversion/Continuation and ending one,
      two, three or six months thereafter, as the Borrower may elect in the applicable
      notice; provided,
      that:

     

    (i)  any
      Interest Period which would otherwise end on a day which is not a Business
      Day
      shall, subject to clauses (iii) and (iv) below, be extended to the next
      succeeding Business Day unless such Business Day falls in another calendar
      month, in which case such Interest Period shall end on the next preceding
      Business Day;

     

    (ii)  any
      Interest Period which begins on the last Business Day of a calendar month (or
      on
      a day for which there is no numerically corresponding day in the calendar month
      at the end of such Interest Period) shall, subject to clause (iii) below, end
      on
      the last Business Day of a calendar month;

     

    (iii)  if
      any
      Interest Period includes a date on which a payment of principal of the Loans
      is
      required (based on circumstances existing at the first day of such Interest
      Period) to be made under Section 2.09 but does not end on such date, then (x)
      the principal amount (if any) of each Euro-Dollar Loan required to be repaid
      on
      such date shall have an Interest Period ending on such date and (y) the
      remainder (if any) of each such Euro-Dollar Loan shall have an Interest Period
      determined as set forth above; and

     

    (iv)  no
      Interest Period shall end after the Termination Date.

     

    “Interest
      Rate Protection Agreements”
means
      any agreement providing for an interest rate swap, cap or collar, or any other
      financial agreement designed to protect against fluctuations in interest
      rates.

     

    “Internal
      Revenue Code”
means
      the Internal Revenue Code of 1986, as amended, or any successor
      statute.

     

    “Issuing
      Lender”
means
      (i) Wachovia Bank, National Association, in its capacity as an issuer of Letters
      of Credit under Section 3.02, and its successor or successors in such capacity,
      and (ii) each issuer of an Existing Letter of Credit.

     

    “Joint
      Lead Arrangers”
means
      Wachovia Securities and Citigroup Global Markets, Inc., in their capacities
      as
      joint lead arrangers for the Lenders hereunder and under the other Loan
      Documents, and their successors in such capacity.

     

    “Lender”
means
      each bank or other lending institution listed in the Commitment Appendix as
      having a Commitment, each Eligible Assignee that becomes a Lender pursuant
      to
      Section 9.06(c) and their respective successors and shall include, as the
      context may require, each Issuing Lender and the Swingline Lender in such
      capacity.

     

    “Lender
      Default”
means
      (i) the failure (which has not been cured) of any Lender to make available
      any
      Loan or any reimbursement for a drawing under a Letter of Credit or a refunding
      of a Swingline Loan which in either case it is obligated to make available
      under
      the terms and conditions of this Agreement or (ii) a Lender having notified
      the
      Administrative Agent and the Borrower that such Lender does not intend to comply
      with its obligations under Article II following the appointment of a receiver
      or
      conservator with respect to such Lender at the direction or request of any
      regulatory agency or authority.

     

    “Letter
      of Credit”
means
      an Existing Letter of Credit or an Additional Letter of Credit, and “Letters of
      Credit” means any combination of the foregoing.

     

    “Letter
      of Credit Commitment”
means
      the aggregate Revolving Commitment.

     

    “Letter
      of Credit Fee”
has
      the
      meaning set forth in Section 2.07(b).

     

    “Letter
      of Credit Liabilities”
means,
      for any Lender at any time, the product derived by multiplying (i) the sum,
      without duplication, of (A) the aggregate amount that is (or may thereafter
      become) available for drawing under all Letters of Credit outstanding at such
      time plus (B) the aggregate unpaid amount of all Reimbursement Obligations
      outstanding at such time by (ii) the quotient derived by dividing such Lender’s
      Revolving Commitment by the aggregate of the Revolving Commitments of all
      Revolving Lenders.

     

    “Letter
      of Credit Request”
has
      the
      meaning set forth in Section 3.03.

     

    “Lien”
means,
      with respect to any asset, any mortgage, lien, pledge, charge, security interest
      or encumbrance intended to confer or having the effect of conferring upon a
      creditor a preferential interest.

     

    “Loan”
means
      a
      Base Rate Loan or a Euro-Dollar Loan, whether such loan is a Revolving
      Loan, Term Loan or Swingline Loan,
      and
“Loans” means any combination of the foregoing.

     

    “Loan
      Documents”
means
      this Agreement and the Notes.

     

    “London
      Interbank Offered Rate”
means,
      for any Euro-Dollar Loan for any Interest Period, the interest rate for deposits
      in Dollars for a period of time comparable to such Interest Period which appears
      on Telerate Page 3750 (or any successor page) as the London interbank offered
      rate for deposits in Dollars at approximately 11:00 A.M. (London time) two
      Business Days before the first day of such Interest Period; provided,
      however,
      if more
      than one rate is specified on Telerate page 3750, the applicable rate shall
      be
      the arithmetic means of all such rates. If for any reason such rate is not
      available, the term “London Interbank Offered Rate” means for any Interest
      Period, the rate per annum appearing on Reuters Screen LIBO Page as the London
      interbank offered rate for deposits in Dollars at approximately 11:00 A.M.
      (London time) two Business Days before the first day of such Interest Period
      for
      a period of time comparable to such Interest Period; provided,
      however,
      that if
      more than one such rate is specified on Reuters Screen LIBO Page, the applicable
      rate shall be the arithmetic mean of all such rates (rounded upwards, if
      necessary, to the nearest 1/100 of 1%). If for any reason the London interbank
      offered rate is not available on either Telerate page 3750 or Reuters Screen
      LIBO Page, the term “London Interbank Offered Rate” means for any Interest
      Period, the rate per annum at which deposits in Dollars are offered to Wachovia
      Bank, National Association in the London interbank market at approximately
      11:00
      A.M. (London time) two Business Days before the first day of such Interest
      Period in an amount approximately equal to the principal amount of the
      Euro-Dollar Loan of Wachovia Bank, National Association to which such Interest
      Period is to apply and for a period of time comparable to such Interest
      Period.

     

    “Lower
      Mt. Bethel Lease Financing”
means
      the existing lease financing associated with the Lower Mount Bethel
      project.

     

    “Mandatory
      Letter of Credit Borrowing”
has
      the
      meaning set forth in Section 3.09.

     

    “Margin
      Stock”
means
      “margin stock” as such term is defined in Regulation U.

     

    “Material
      Adverse Effect”
means
      (i) any material adverse effect upon the business, assets, financial condition
      or operations of the Borrower or the Borrower and its Subsidiaries, taken as
      a
      whole; (ii) a material adverse effect on the ability of the Borrower to perform
      its obligations under this Agreement, the Notes or the other Loan Documents
      or
      (iii) a material adverse effect on the validity or enforceability of this
      Agreement, the Notes or any of the other Loan Documents.

     

    “Material
      Debt”
means
      Debt (other than the Notes) of the Borrower and/or one or more of its Restricted
      Subsidiaries in a principal or face amount exceeding $40,000,000.

     

    “Material
      Plan”
means
      at any time a Plan or Plans having aggregate Unfunded Liabilities in excess
      of
      $25,000,000.

     

    “Moody’s”
means
      Moody’s Investors Service, Inc., a Delaware corporation, and its successors or,
      absent any such successor, such nationally recognized statistical rating
      organization as the Borrower and the Administrative Agent may
      select.

     

    “Multiemployer
      Plan”
means
      at any time an employee pension benefit plan within the meaning of Section
      4001(a)(3) of ERISA to which any member of the ERISA Group is then making or
      accruing an obligation to make contributions or has within the preceding five
      plan years made contributions.

     

    “New
      Lender”
means
      with respect to any event described in Section 2.08(b), an Eligible Assignee
      which becomes a Lender hereunder as a result of such event, and “New Lenders”
means any two or more of such New Lenders.

     

    “Non-Defaulting
      Lender”
means
      each Lender other than a Defaulting Lender, and “Non-Defaulting Lenders” means
      any two or more of such Lenders.

     

    “Non-Extending
      Lender”
shall
      have the meaning set forth in Section 2.08(c)(i).

     

    “Non-Recourse
      Debt”
shall
      mean Debt that is nonrecourse to the Borrower or any Restricted
      Subsidiary.

     

    “Non-U.S.
      Lender”
has
      the
      meaning set forth in Section 2.17(e).

     

    “Note”
shall
      mean a promissory note, substantially in the form of Exhibit B hereto, issued
      at
      the request of a Lender evidencing the obligation of the Borrower to repay
      outstanding Revolving Loans, Term Loans or Swingline Loans, as
      applicable.

     

    “Notice
      of Borrowing”
has
      the
      meaning set forth in Section 2.03.

     

    “Notice
      of Conversion/Continuation”
has
      the
      meaning set forth in Section 2.06(d)(ii).

     

    “Obligations”
      means:

     

    (i) all
      principal of and interest (including, without limitation, any interest which
      accrues after the commencement of any case, proceeding or other action relating
      to the bankruptcy, insolvency or reorganization of the Borrower, whether or
      not
      allowed or allowable as a claim in any such proceeding) on any Loan, fees
      payable or Reimbursement Obligation under, or any Note issued pursuant to,
      this
      Agreement or any other Loan Document;

     

    (ii) all
      other
      amounts now or hereafter payable by the Borrower and all other obligations
      or
      liabilities now existing or hereafter arising or incurred (including, without
      limitation, any amounts which accrue after the commencement of any case,
      proceeding or other action relating to the bankruptcy, insolvency or
      reorganization of the Borrower, whether or not allowed or allowable as a claim
      in any such proceeding) on the part of the Borrower pursuant this Agreement
      or
      any other Loan Document;

     

    (iii) all
      expenses of the Agents as to which such Agents have a right to reimbursement
      under Section 9.03(a) hereof or under any other similar provision of any other
      Loan Document; and

     

    (iv) all
      amounts paid by any Indemnitee as to which such Indemnitee has the right to
      reimbursement under Section 9.03 hereof or under any other similar provision
      of
      any other Loan Document;

     

    together
      in each case with all renewals, modifications, consolidations or extensions
      thereof.

     

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

     

    “Optional
      Increase”
has
      the
      meaning set forth in Section 2.19(a).

     

    “Other
      Taxes”
has
      the
      meaning set forth in Section 2.17(b).

     

    “Participant”
has
      the
      meaning set forth in Section 9.06(b).

     

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

     

    “Permitted
      Business”
with
      respect to any Person means a business that is the same or similar to the
      business of the Borrower or any Subsidiary as of the date hereof, or any
      business reasonably related thereto.

     

    “Person”
means
      an individual, a corporation, a partnership, an association, a limited liability
      company, a trust or an unincorporated association or any other entity or
      organization, including a government or political subdivision or an agency
      or
      instrumentality thereof.

     

    “Plan”
means
      at any time an employee pension benefit plan (including a Multiemployer Plan)
      which is covered by Title IV of ERISA or subject to the minimum funding
      standards under Section 412 of the Internal Revenue Code and either (i) is
      maintained, or contributed to, by any member of the ERISA Group for employees
      of
      any member of the ERISA Group or (ii) has at any time within the preceding
      five
      years been maintained, or contributed to, by any Person which was at such time
      a
      member of the ERISA Group for employees of any Person which was at such time
      a
      member of the ERISA Group.

     

    “Prime
      Rate”
means
      the rate of interest publicly announced by Wachovia Bank, National Association
      in Charlotte, North Carolina from time to time as its Prime Rate.

     

    “Quarterly
      Date”
means
      the last Business Day of each of March, June, September and
      December.

     

    “Rating
      Agency”
means
      any of S&P, Moody’s or Fitch, and “Rating Agencies” means any two or more of
      them collectively.

     

    “Register”
has
      the
      meaning set forth in Section 9.06(e).

     

    “Regulation
      U”
means
      Regulation U of the Board of Governors of the Federal Reserve System, as
      amended, or any successor regulation.

     

    “Regulation
      X”
means
      Regulation X of the Board of Governors of the Federal Reserve System, as
      amended, or any successor regulation.

     

    “Reimbursement
      Obligations”
means
      at any time all obligations of the Borrower to reimburse the Issuing Lenders
      pursuant to Section 3.07 for amounts paid by the Issuing Lenders in respect
      of
      drawings under Letters of Credit, including any portion of any such obligation
      to which a Lender has become subrogated pursuant to Section 3.09.

     

    “Replacement
      Date”
has
      the
      meaning set forth in Section 2.08(b).

     

    “Replacement
      Lender”
has
      the
      meaning set forth in Section 2.08(b).

     

    “Required
      Lenders”
means
      at any time Non-Defaulting Lenders having at least 51% of the aggregate amount
      of the Revolving Commitments of all Non-Defaulting Lenders or, if the Revolving
      Commitments shall have been terminated, having at least 51% of the aggregate
      amount of the Revolving Outstandings of the Non-Defaulting Lenders at such
      time;
provided
      that, if
      the Borrower has exercised the Term-Out option pursuant to Section 2.20, from
      and after the effective date of such Term-Out, “Required Lenders” shall mean
      Non-Defaulting Lenders holding in the aggregate at least 51% of the aggregate
      principal amount of the Term Loans. 

     

    “Responsible
      Officer”
means,
      as to any Person, the chief executive officer, president, chief financial
      officer, controller, treasurer or assistant treasurer of such Person
or
      any
      other officer of such Person reasonably acceptable to the Administrative
      Agent.
      Any
      document delivered hereunder that is signed by a Responsible Officer of a Person
      shall be conclusively presumed to have been authorized by all necessary
      corporate, partnership and/or other action on the part of such Person and such
      Responsible Officer shall be conclusively presumed to have acted on behalf
      of
      such Person.

     

    “Restricted
      Subsidiary”
means
      each Subsidiary listed on Schedule 5.11 and each other Subsidiary designated
      by
      the Borrower as a “Restricted Subsidiary” in writing to the Administrative
      Agent; provided,
      that,
      each Restricted Subsidiary shall be a direct Wholly Owned Subsidiary of the
      Borrower or a direct Wholly Owned Subsidiary of a Restricted
      Subsidiary.

     

    “Retiring
      Lender”
means
      a
      Lender that ceases to be a Lender hereunder pursuant to the operation of Section
      2.08(b).

     

    “Revolving”
means,
      when used with respect to (i) a Lender’s Commitment, such Lender’s Commitment to
      make Revolving Loans pursuant to Section 2.01, as such Commitment may be reduced
      from time to time pursuant to Sections 2.08, 2.20 or 9.06(c) or increased from
      time to time pursuant to Sections 2.19 or 9.06(c), (ii) a Borrowing, a Borrowing
      made by the Borrower under Section 2.01, as identified in the Notice of
      Borrowing with respect thereto, a Borrowing of Revolving Loans to refund
      outstanding Swingline Loans pursuant to Section 2.02(b)(i), or a Mandatory
      Letter of Credit Borrowing, (iii) a Lender’s Commitment Ratio, the percentage
      equivalent of the ratio which any Lender’s portion of its Revolving Commitment
      bears to the amount of the aggregate Revolving Commitments of all Lenders (as
      adjusted from time to time as provided herein) and (iv) a Loan, a Loan made
      under Section 2.01; provided,
      that,
      if any such loan or loans (or portions thereof) are combined or subdivided
      pursuant to a Notice of Conversion/Continuation, the term “Revolving Loan” shall
      refer to the combined principal amount resulting from such combination or to
      each of the separate principal amounts resulting from such subdivision, as
      the
      case may be.

     

    “Revolving
      Outstandings”
means
      at any time, with respect to any Lender, the sum of (i) the aggregate principal
      amount of such Lender’s outstanding Revolving Loans plus (ii) the aggregate
      amount of such Lender’s Revolving Commitment Ratio in respect of outstanding
      Swingline Loans plus (iii) the aggregate amount of such Lender’s Revolving
      Commitment Ratio in respect of outstanding Letter of Credit
      Liabilities.

     

    “Revolving
      Outstandings Excess”
has
      the
      meaning set forth in Section 2.09.

     

    “Revolving
      Termination Date”
means
      the earliest to occur of (a) June 9, 2012 (or, if such day is not a Business
      Day, the next preceding Business Day), as extended from time to time pursuant
      to
      Section 2.08(c), (b) the date of the effectiveness of the Term-Out, pursuant
      to
      Section 2.20, and (c) such earlier date upon which the Revolving Commitments
      shall have been terminated in their entirety in accordance with this
      Agreement.

     

    “Sanctioned
      Entity”
shall
      mean (i) an agency of the government of, (ii) an organization directly or
      indirectly controlled by, or (iii) a person resident in, a country that is
      subject to a sanctions program identified on the list maintained by OFAC and
      available at http://www.treas.gov/offices/enforcement/ofac/sanctions/index.html,
      or as otherwise published from time to time as such program may be applicable
      to
      such agency, organization or person.

     

    “Sanctioned
      Person”
shall
      mean a person named on the list of Specially Designated Nationals or Blocked
      Persons maintained by OFAC available at
      http://www.treas.gov/offices/enforcement/ofac/sdn/index.html, or as otherwise
      published from time to time.

     

    “SEC”
means
      the Securities and Exchange Commission.

     

    “S&P”
means
      Standard & Poor’s Ratings Group, a division of McGraw Hill, Inc., a New York
      corporation, and its successors or, absent any such successor, such nationally
      recognized statistical rating organization as the Borrower and the
      Administrative Agent may select.

     

    “Special
      Purpose Subsidiary”
means
      any Wholly Owned Subsidiary (regardless of the form of organization) of the
      Borrower formed solely for the purpose of, and which engages in no other
      activities except those necessary for, effecting financings related to Synthetic
      Leases.

     

    “Subsidiary”
means
      any Corporation, a majority of the outstanding Voting Stock of which is owned,
      directly or indirectly, by the Borrower or one or more other Subsidiaries of
      the
      Borrower.

     

    “Swingline
      Borrowing”
means
      a
      Borrowing made by the Borrower under Section 2.02, as identified in the Notice
      of Borrowing with respect thereto.

     

    “Swingline
      Commitment”
means
      the lesser of (a) an aggregate principal amount of $200,000,000 and (b) the
      aggregate Revolving Commitments of all Lenders.

     

    “Swingline
      Lender”
means
      Wachovia Bank, National Association, in its capacity as Swingline
      Lender.

     

    “Swingline
      Loan”
      means
      any
      swingline loan made by the Swingline Lender to the Borrower pursuant to Section
      2.02, and all such swingline loans collectively as the context
      requires.

     

    “Swingline
      Termination Date”
means
      the
      first
      to occur of (a) the resignation of Wachovia as Administrative Agent in
      accordance with Section 8.09 and (b)
      the
      Revolving Termination Date.

     

    “Syndication
      Agents”
means
      Barclays Bank PLC and Citibank, N.A., in their capacities as syndication agents
      for the Lenders hereunder and under the other Loan Documents, and their
      successors in such capacities.

     

    “Synthetic
      Lease”
means
      any synthetic lease, tax retention operating lease, off-balance sheet loan
      or
      similar off-balance sheet financing product where such transaction is considered
      borrowed money indebtedness for tax purposes but is classified as an operating
      lease in accordance with GAAP.

     

    “Taxes”
has
      the
      meaning set forth in Section 2.17(a).

     

    “Term
      Loan Maturity Date”
has
      the
      meaning specified in Section 2.20(a).

     

    “Term
      Loans”
shall
      mean the term loans made by the Lenders pursuant to Section 2.20.

     

    “Term-Out”
has
      the
      meaning specified in Section 2.20(a).

     

    “Termination
      Date”
means
      the earliest to occur of (a) in the event the Term-Out option has not been
      exercised pursuant to Section 2.20, the Revolving Termination Date, (b) the
      Term
      Loan Maturity Date and (c) such earlier date upon which all Commitments shall
      have been terminated in their entirety in accordance with this
      Agreement.

     

    “Type”,
      when
      used in respect of any Loan or Borrowing, shall refer to the rate by reference
      to which interest on such Loan or on the Loans comprising such Borrowing is
      determined.

     

    “Unfunded
      Liabilities”
means,
      with respect to any Plan at any time, the amount (if any) by which (i) the
      value
      of all benefit liabilities under such Plan, determined on a plan termination
      basis using the assumptions prescribed by the PBGC for purposes of Section
      4044
      of ERISA, exceeds (ii) the fair market value of all Plan assets allocable to
      such liabilities under Title IV of ERISA (excluding any accrued but unpaid
      contributions), all determined as of the then most recent valuation date for
      such Plan, but only to the extent that such excess represents a potential
      liability of a member of the ERISA Group to the PBGC or any other Person under
      Title IV of ERISA.

     

    “United
      States”
means
      the United States of America, including the States and the District of Columbia,
      but excluding its territories and possessions.

     

    “Voting
      Stock”
means
      stock (or other interests) of a Corporation having ordinary voting power for
      the
      election of directors, managers or trustees thereof, whether at all times or
      only so long as no senior class of stock has such voting power by reason of
      any
      contingency.

     

    “Wachovia
      Securities”
means
      Wachovia Capital Markets, LLC, and its successors and assigns.

     

    “Wholly
      Owned Subsidiary”
means,
      with respect to any Person at any date, any Subsidiary of such Person all of
      the
      Voting Stock of which (except directors’ qualifying shares) are at the time
      directly or indirectly owned by such Person.

     

    ARTICLE
      II

     

    THE
      CREDITS

     

    Section
      2.01  Commitments
      to Lend.
      Each
      Lender severally agrees, on the terms and conditions set forth in this
      Agreement, to make Revolving Loans to the Borrower pursuant to this Section
      2.01
      from time to time during the Availability Period in amounts such that its
      Revolving Outstandings shall not exceed its Revolving Commitment; provided,
      that,
      immediately after giving effect to each such Revolving Loan, the aggregate
      principal amount of all outstanding Revolving Loans (after giving effect to
      any
      amount requested) shall not exceed the aggregate Revolving Commitments
less
      the sum
      of all outstanding Swingline Loans and Letter of Credit Liabilities. Each
      Revolving Borrowing (other than Mandatory Letter of Credit Borrowings) shall
      be
      in an aggregate principal amount of $10,000,000 or any larger multiple of
      $1,000,000 (except that any such Borrowing may be in the aggregate amount of
      the
      unused Revolving Commitments) and shall be made from the several Lenders ratably
      in proportion to their respective Revolving Commitments. Within the foregoing
      limits, the Borrower may borrow under this Section 2.01, repay, or, to the
      extent permitted by Section 2.10, prepay, Revolving Loans and reborrow under
      this Section 2.01.

     

    Section
      2.02  Swingline
      Loans.
      

     

    (a)  Availability.
      Subject
      to the terms and conditions of this Agreement, the Swingline Lender agrees
      to
      make Swingline Loans to the Borrower from time to time from the Closing Date
      through, but not including, the Swingline Termination Date; provided,
      that
      the aggregate principal amount of all outstanding Swingline Loans (after giving
      effect to any amount requested), shall not exceed the lesser of (i) the
      Revolving Commitment less the sum of all Revolving Outstandings and (ii) the
      Swingline Commitment; and provided further,
      that
      the Borrower shall not use the proceeds of any Swingline Loan to refinance
      any
      outstanding Swingline Loan. Each Swingline Loan shall be in an aggregate
      principal amount of $10,000,000 or any larger multiple of $1,000,000 (except
      that any such Borrowing may be in the aggregate amount of the unused Swingline
      Commitment). Within the foregoing limits, the Borrower may borrow, repay and
      reborrow Swingline Loans, in each case under this Section 2.02.

     

    (b)  Refunding.

     

    (i)  Swingline
      Loans shall be refunded by the Lenders on demand by the Swingline Lender. Such
      refundings shall be made by the Lenders in accordance with their respective
      Revolving Commitment Ratios and shall thereafter be reflected as Revolving
      Loans
      of the Lenders on the books and records of the Administrative Agent. Each Lender
      shall fund its respective Revolving Commitment Ratio of Revolving Loans as
      required to repay Swingline Loans outstanding to the Swingline Lender upon
      demand by the Swingline Lender but in no event later than 1:00 P.M. (Charlotte,
      North Carolina time) on the next succeeding Business Day after such demand
      is
      made. No Lender’s obligation to fund its respective Revolving Commitment Ratio
      of a Swingline Loan shall be affected by any other Lender’s failure to fund its
      Revolving Commitment Ratio of a Swingline Loan, nor shall any Lender’s Revolving
      Commitment Ratio be increased as a result of any such failure of any other
      Lender to fund its Revolving Commitment Ratio of a Swingline Loan.

     

    (ii)  The
      Borrower shall pay to the Swingline Lender on demand, and in no case more than
      fourteen (14) days after the date that such Swingline Loan is made, the amount
      of such Swingline Loan to the extent amounts received from the Lenders are
      not
      sufficient to repay in full the outstanding Swingline Loans requested or
      required to be refunded. In addition, the Borrower hereby authorizes the
      Administrative Agent to charge any account maintained by the Borrower with
      the
      Swingline Lender (up to the amount available therein) in order to immediately
      pay the Swingline Lender the amount of such Swingline Loans to the extent
      amounts received from the Lenders are not sufficient to repay in full the
      outstanding Swingline Loans requested or required to be refunded. If any portion
      of any such amount paid to the Swingline Lender shall be recovered by or on
      behalf of the Borrower from the Swingline Lender in bankruptcy or otherwise,
      the
      loss of the amount so recovered shall be ratably shared among all the Lenders
      in
      accordance with their respective Revolving Commitment Ratios (unless the amounts
      so recovered by or on behalf of the Borrower pertain to a Swingline Loan
      extended after the occurrence and during the continuance of an Event of Default
      of which the Administrative Agent has received notice in the manner required
      pursuant to Section 8.05 and which such Event of Default has not been waived
      by
      the Required Lenders or the Lenders, as applicable).

     

    (iii)  Each
      Lender acknowledges and agrees that its obligation to refund Swingline Loans
      (other than Swingline Loans extended after the occurrence and during the
      continuation of an Event of Default of which the Administrative Agent has
      received notice in the manner required pursuant to Section 8.05 and which such
      Event of Default has not been waived by the Required Lenders or the Lenders,
      as
      applicable) in accordance with the terms of this Section is absolute and
      unconditional and shall not be affected by any circumstance whatsoever,
      including, without limitation, non-satisfaction of the conditions set forth
      in
      Article IV. Further, each Lender agrees and acknowledges that if prior to the
      refunding of any outstanding Swingline Loans pursuant to this Section, one
      of
      the events described in Section 7.01(h) or (i) shall have occurred, each Lender
      will, on the date the applicable Revolving Loan would have been made, purchase
      an undivided participating interest in the Swingline Loan to be refunded in
      an
      amount equal to its Revolving Commitment Ratio of the aggregate amount of such
      Swingline Loan. Each Lender will immediately transfer to the Swingline Lender,
      in immediately available funds, the amount of its participation and upon receipt
      thereof the Swingline Lender will deliver to such Lender a certificate
      evidencing such participation dated the date of receipt of such funds and for
      such amount. Whenever, at any time after the Swingline Lender has received
      from
      any Lender such Lender’s participating interest in a Swingline Loan, the
      Swingline Lender receives any payment on account thereof, the Swingline Lender
      will distribute to such Lender its participating interest in such amount
      (appropriately adjusted, in the case of interest payments, to reflect the period
      of time during which such Lender’s participating interest was outstanding and
      funded). 

     

    Section
      2.03  Notice
      of Borrowings.
      The
      Borrower shall give the Administrative Agent notice substantially in the form
      of
      Exhibit A-1 hereto (a “Notice
      of Borrowing”)
      not
      later than (a) 11:30 A.M. (Charlotte, North Carolina time) on the date of each
      Base Rate Borrowing and each Swingline Borrowing and (b) 12:00 Noon (Charlotte,
      North Carolina time) on the third Business Day before each Euro-Dollar
      Borrowing, specifying:

     

    (i)  the
      date
      of such Borrowing, which shall be a Business Day;

     

    (ii)  the
      aggregate amount of such Borrowing;

     

    (iii)  whether
      such Borrowing is a Revolving Loan or a Swingline Loan;

     

    (iv)  the
      initial Type of the Loans comprising such Borrowing; and

     

    (v)  in
      the
      case of a Euro-Dollar Borrowing, the duration of the initial Interest Period
      applicable thereto, subject to the provisions of the definition of Interest
      Period.

     

    Notwithstanding
      the foregoing, no more than six (6) Groups of Euro-Dollar Loans shall be
      outstanding at any one time, and any Loans which would exceed such limitation
      shall be made as Base Rate Loans.

     

    Section
      2.04  Notice
      to Lenders; Funding of Revolving Loans
      and Swingline Loans.

     

    (a)  Notice
      to Lenders.
      Upon
      receipt of a Notice of Borrowing (other than in respect of a Borrowing of a
      Swingline Loan), the Administrative Agent shall promptly notify each Lender
      of
      such Lender’s ratable share (if any) of the Borrowing referred to in the Notice
      of Borrowing, and such Notice of Borrowing shall not thereafter be revocable
      by
      the Borrower.

     

    (b)  Funding
      of Loans.
      Not
      later than (a) 1:00 P.M. (Charlotte, North Carolina time) on the date of each
      Base Rate Borrowing and (b) 12:00 Noon (Charlotte, North Carolina time) on
      the
      date of each Euro-Dollar Borrowing, each Lender participating therein shall
      make
      available its share of such Borrowing, in Federal or other funds immediately
      available in Charlotte, North Carolina, to the Administrative Agent at its
      address referred to in Section 9.01. Unless the Administrative Agent determines
      that any applicable condition specified in Article IV has not been satisfied,
      the Administrative Agent shall apply any funds so received in respect of a
      Borrowing available to the Borrower at the Administrative Agent’s address not
      later than (a) 3:00 P.M. (Charlotte, North Carolina time) on the date of each
      Base Rate Borrowing and (b) 2:00 P.M. (Charlotte, North Carolina time) on the
      date of each Euro-Dollar Borrowing. Revolving Loans to be made for the purpose
      of refunding Swingline Loans shall be made by the Lenders as provided in Section
      2.02(b).

     

    (c)  Funding
      By the Administrative Agent in Anticipation of Amounts Due from the
      Lenders.
      Unless
      the Administrative Agent shall have received notice from a Lender prior to
      the
      date of any Borrowing (except in the case of a Base Rate Borrowing, in which
      case prior to the time of such Borrowing) that such Lender will not make
      available to the Administrative Agent such Lender’s share of such Borrowing, the
      Administrative Agent may assume that such Lender has made such share available
      to the Administrative Agent on the date of such Borrowing in accordance with
      subsection (b) of this Section, and the Administrative Agent may, in reliance
      upon such assumption, make available to the Borrower on such date a
      corresponding amount. If and to the extent that such Lender shall not have
      so
      made such share available to the Administrative Agent, such Lender and the
      Borrower severally agree to repay to the Administrative Agent forthwith on
      demand such corresponding amount, together with interest thereon for each day
      from the date such amount is made available to the Borrower until the date
      such
      amount is repaid to the Administrative Agent at (i) a rate per annum equal
      to
      the higher of the Federal Funds Rate and the interest rate applicable thereto
      pursuant to Section 2.06, in the case of the Borrower, and (ii) the Federal
      Funds Rate, in the case of such Lender. Any payment by the Borrower hereunder
      shall be without prejudice to any claim the Borrower may have against a Lender
      that shall have failed to make its share of a Borrowing available to the
      Administrative Agent. If such Lender shall repay to the Administrative Agent
      such corresponding amount, such amount so repaid shall constitute such Lender’s
      Loan included in such Borrowing for purposes of this Agreement.

     

    (d)  Obligations
      of Lenders Several.
      The
      failure of any Lender to make a Loan required to be made by it as part of any
      Borrowing hereunder shall not relieve any other Lender of its obligation, if
      any, hereunder to make any Loan on the date of such Borrowing, but no Lender
      shall be responsible for the failure of any other Lender to make the Loan to
      be
      made by such other Lender on such date of Borrowing.

     

    Section
      2.05  Noteless
      Agreement; Evidence of Indebtedness.

     

    (a)  Each
      Lender shall maintain in accordance with its usual practice an account or
      accounts evidencing the indebtedness of the Borrower to such Lender resulting
      from each Loan made by such Lender from time to time, including the amounts
      of
      principal and interest payable and paid to such Lender from time to time
      hereunder.

     

    (b)  The
      Administrative Agent shall also maintain accounts in which it will record (a)
      the amount of each Loan made hereunder, the Type thereof and the Interest Period
      with respect thereto, (b) the amount of any principal or interest due and
      payable or to become due and payable from the Borrower to each Lender hereunder
      and (c) the amount of any sum received by the Administrative Agent hereunder
      from the Borrower and each Lender’s share thereof.

     

    (c)  The
      entries maintained in the accounts maintained pursuant to paragraphs (a) and
      (b)
      above shall be prima facie evidence of the existence and amounts of the
      Obligations therein recorded; provided, however, that the failure of the
      Administrative Agent or any Lender to maintain such accounts or any error
      therein shall not in any manner affect the obligation of the Borrower to repay
      the Obligations in accordance with their terms.

     

    (d)  Any
      Lender may request that its Loans be evidenced by a Note. In such event, the
      Borrower shall prepare, execute and deliver to such Lender a Note payable to
      the
      order of such Lender. Thereafter, the Loans evidenced by such Note and interest
      thereon shall at all times (including after any assignment pursuant to Section
      9.06(c)) be represented by one or more Notes payable to the order of the payee
      named therein or any assignee pursuant to Section 9.06(c), except to the extent
      that any such Lender or assignee subsequently returns any such Note for
      cancellation and requests that such Loans once again be evidenced as described
      in paragraphs (a) and (b) above. 

     

    Section
      2.06  Interest
      Rates.

     

    (a)  Interest
      Rate Options.
      The
      Loans shall, at the option of the Borrower and except as otherwise provided
      herein, be incurred and maintained as, or converted into, one or more Base
      Rate
      Loans or Euro-Dollar Loans.

     

    (b)  Base
      Rate Loans.
      Each
      Loan which is made as, or converted into, a Base Rate Loan shall bear interest
      on the outstanding principal amount thereof, for each day from the date such
      Loan is made as, or converted into, a Base Rate Loan until it becomes due or
      is
      converted into a Loan of any other Type, at a rate per annum equal to the sum
      of
      the Base Rate for such day plus the Applicable Percentage, if any, for Base
      Rate
      Loans for such day. Such interest shall be payable quarterly in arrears on
      each
      Quarterly Date and, with respect to the principal amount of any Base Rate Loan
      converted to a Euro-Dollar Loan, on the date such Base Rate Loan is so
      converted. Any overdue principal of or interest on any Base Rate Loan shall
      bear
      interest, payable on demand, for each day until paid at a rate per annum equal
      to the sum of 2% plus the rate otherwise applicable to Base Rate Loans for
      such
      day.

     

    (c)  Euro-Dollar
      Loans.
      Each
      Euro-Dollar Loan shall bear interest on the outstanding principal amount
      thereof, for each day during the Interest Period applicable thereto, at a rate
      per annum equal to the sum of the Adjusted London Interbank Offered Rate for
      such Interest Period plus the Applicable Percentage for Euro-Dollar Loans for
      such day plus the Applicable Utilization Fee for such day, if any; provided,
      that if
      any Euro-Dollar Loan or any portion thereof shall, as a result of clause (iii)
      of the definition of Interest Period, have an Interest Period of less than
      one
      month, such portion shall bear interest during such Interest Period at the
      rate
      applicable to Base Rate Loans during such period. Such interest shall be payable
      for each Interest Period on the last day thereof and, if such Interest Period
      is
      longer than three months, at intervals of three months after the first day
      thereof. Any overdue principal of or interest on any Euro-Dollar Loan shall
      bear
      interest, payable on demand, for each day until paid at a rate per annum equal
      to the sum of 2% plus the sum of (A) the Adjusted London Interbank Offered
      Rate
      applicable to such Loan at the date such payment was due plus (B) the Applicable
      Percentage for Euro-Dollar Loans for such day plus (C) the Applicable
      Utilization Fee, if any (or, if the circumstance described in Section 2.14
      shall
      exist, at a rate per annum equal to the sum of 2% plus the rate applicable
      to
      Base Rate Loans for such day).

     

    (d)  Method
      of Electing Interest Rates.

     

    (i)  Subject
      to Section 2.06(a), the Loans included in each Borrowing shall bear interest
      initially at the type of rate specified by the Borrower in the applicable Notice
      of Borrowing. Thereafter, with respect to each Group of Loans, the Borrower
      shall have the option (A) to convert all or any part of (y) so long as no
      Default or Event of Default is in existence on the date of conversion,
      outstanding Base Rate Loans to Euro-Dollar Loans and (z) outstanding Euro-Dollar
      Loans to Base Rate Loans; provided,
      that,
      other than in the case of Swingline Loans, in each case that the amount so
      converted shall be equal to $10,000,000 or any larger multiple of $1,000,000,
      or
      (B) upon the expiration of any Interest Period applicable to outstanding
      Euro-Dollar Loans, so long as no Default or Event of Default is in existence
      on
      the date of continuation, to continue all or any portion of such Loans, other
      than in the case of Swingline Loans, equal to $10,000,000 and any larger
      multiple of $1,000,000 in excess of that amount as Euro-Dollar Loans. The
      Interest Period of any Base Rate Loan converted to a Euro-Dollar Loan pursuant
      to clause (A) above shall commence on the date of such conversion. The
      succeeding Interest Period of any Euro-Dollar Loan continued pursuant to clause
      (B) above shall commence on the last day of the Interest Period of the Loan
      so
      continued. Euro-Dollar Loans may only be converted on the last day of the then
      current Interest Period applicable thereto or on the date required pursuant
      to
      Section 2.18.

     

    (ii)  The
      Borrower shall deliver a written notice of each such conversion or continuation
      (a “Notice
      of Conversion/Continuation”)
      to the
      Administrative Agent no later than (A) 12:00 Noon (Charlotte, North Carolina
      time) at least three (3) Business Days before the date of the proposed
      conversion to, or continuation of, a Euro-Dollar Loan (other than Swingline
      Loans), (B) 11:30 A.M. (Charlotte, North Carolina time) on the date of the
      proposed conversion to, or continuation of, a Euro-Dollar Loan that is a
      Swingline Loan and (C) 11:30 A.M. (Charlotte, North Carolina time) on the day
      of
      a conversion to a Base Rate Loan. A written Notice of Conversion/Continuation
      shall be substantially in the form of Exhibit A-2 attached hereto and shall
      specify: (A) the Group of Loans (or portion thereof) to which such notice
      applies, (B) the proposed conversion/continuation date (which shall be a
      Business Day), (C) the aggregate amount of the Loans being converted/continued,
      (D) an election between the Base Rate and the Adjusted London Interbank Offered
      Rate and (E) in the case of a conversion to, or a continuation of, Euro-Dollar
      Loans, the requested Interest Period. Upon receipt of a Notice of
      Conversion/Continuation, the Administrative Agent shall give each Lender prompt
      notice of the contents thereof and such Lender’s pro rata share of all
      conversions and continuations requested therein. If no timely Notice of
      Conversion/Continuation is delivered by the Borrower as to any Euro-Dollar
      Loan,
      and such Loan is not repaid by the Borrower at the end of the applicable
      Interest Period, such Loan shall be converted automatically to a Base Rate
      Loan
      on the last day of the then applicable Interest Period.

     

    (e)  Determination
      and Notice of Interest Rates.
      The
      Administrative Agent shall determine each interest rate applicable to the Loans
      hereunder. The Administrative Agent shall give prompt notice to the Borrower
      and
      the participating Lenders of each rate of interest so determined, and its
      determination thereof shall be conclusive in the absence of manifest error.
      Any
      notice with respect to Euro-Dollar Loans shall, without the necessity of the
      Administrative Agent so stating in such notice, be subject to adjustments in
      the
      Applicable Percentage applicable to such Loans after the beginning of the
      Interest Period applicable thereto. When during an Interest Period any event
      occurs that causes an adjustment in the Applicable Percentage applicable to
      Loans to which such Interest Period is applicable, the Administrative Agent
      shall give prompt notice to the Borrower and the Lenders of such event and
      the
      adjusted rate of interest so determined for such Loans, and its determination
      thereof shall be conclusive in the absence of manifest error.

     

    Section
      2.07  Fees.

     

    (a)  Commitment
      Fees.
      The
      Borrower shall pay to the Administrative Agent for the account of each Lender
      a
      fee (the “Commitment Fee”) for each day at a rate per annum equal to the
      Applicable Percentage for the Commitment Fee for such day. The Commitment Fee
      shall accrue from and including the Effective Date to but excluding the last
      day
      of the Availability Period on the amount by which such Lender’s Revolving
      Commitment exceeds the sum of its Revolving Outstandings on such day. The
      Commitment Fee shall be payable on the last day of each of March, June,
      September and December and on the Revolving Termination Date.

     

    (b)  Letter
      of Credit Fees.
      The
      Borrower shall pay to the Administrative Agent a fee (the “Letter of Credit
      Fee”) for each day at a rate per annum equal to the Applicable Percentage for
      the Letter of Credit Fee for such day plus the Applicable Utilization Fee for
      such day, if any. The Letter of Credit Fee shall accrue from and including
      the
      Effective Date to but excluding the last day of the Availability Period on
      the
      aggregate amount available for drawing under any Letters of Credit outstanding
      on such day and shall be payable for the account of the Lenders ratably in
      proportion to their participations in such Letter(s) of Credit. In addition,
      the
      Borrower shall pay to each Issuing Lender a fee (the “Fronting Fee”) in respect
      of each Letter of Credit issued by such Issuing Lender computed at the rate
      of
      .125% per annum on the average amount available for drawing under such Letter(s)
      of Credit. Fronting Fees shall be due and payable quarterly in arrears on each
      Quarterly Date and upon the first day after the Revolving Termination Date.
      In
      addition, the Borrower agrees to pay to each Issuing Lender, upon each issuance
      of, payment under, and/or amendment of, a Letter of Credit, such amount as
      shall
      at the time of such issuance, payment or amendment be the administrative charges
      and expenses which such Issuing Lender is customarily charging for issuances
      of,
      payments under, or amendments to letters of credit issued by it.

     

    (c)  Payments.
      Except
      as otherwise provided in this Section 2.07, accrued fees under this Section
      2.07
      in respect of Loans and Letter of Credit Liabilities shall be payable quarterly
      in arrears on each Quarterly Date, on the last day of the Availability Period
      and, if later, on the date the Loans and Letter of Credit Liabilities shall
      be
      repaid in their entirety. Fees paid hereunder shall not be refundable under
      any
      circumstances.

     

    Section
      2.08  Adjustments
      of Commitments.

     

    (a)  Optional
      Termination or Reductions of Commitments (Pro-Rata).
      The
      Borrower may, upon at least three Business Days’ prior written notice to the
      Administrative Agent, permanently (i) terminate the Revolving Commitments,
      if
      there are no Revolving Outstandings at such time or (ii) ratably reduce from
      time to time by a minimum amount of $10,000,000 or any integral multiple of
      $5,000,000, the aggregate amount of the Revolving Commitments in excess of
      the
      aggregate Revolving Outstandings. Upon receipt of any such notice, the
      Administrative Agent shall promptly notify the Lenders. If the Revolving
      Commitments are terminated in their entirety, all accrued fees shall be payable
      on the effective date of such termination.

     

    (b)  Optional
      Termination of Commitments (Non-Pro-Rata).
      If (i)
      any Lender has demanded compensation or indemnification pursuant to Sections
      2.14, 2.15, 2.16 or 2.17, (ii) the obligation of any Lender to make Euro-Dollar
      Loans has been suspended pursuant to Section 2.15 or (iii) any Lender is a
      Defaulting Lender (each such Lender described in clauses (i), (ii) or (iii)
      being a “Retiring Lender”), the Borrower shall have the right, if no Default or
      Event of Default then exists, to replace such Lender with one or more Eligible
      Assignees (which may be one or more of the Continuing Lenders) (each a
“Replacement Lender” and, collectively, the “Replacement Lenders”) reasonably
      acceptable to the Administrative Agent. The replacement of a Retiring Lender
      pursuant to this Section 2.08(b) shall be effective on the tenth Business Day
      (the “Replacement Date”) following the date of notice of such replacement to the
      Retiring Lender and each Continuing Lender through the Administrative Agent,
      subject to the satisfaction of the following conditions:

     

    (i)  the
      Replacement Lender shall have satisfied the conditions to assignment and
      assumption set forth in Section 9.06(c) (with all fees payable pursuant to
      Section 9.06(c) to be paid by the Borrower) and, in connection therewith, the
      Replacement Lender(s) shall pay:

     

    (A)  to
      the
      Retiring Lender an amount equal in the aggregate to the sum of (x) the principal
      of, and all accrued but unpaid interest on, all outstanding Loans of the
      Retiring Lender, (y) all unpaid drawings that have been funded by (and not
      reimbursed to) the Retiring Lender under Section 3.10, together with all accrued
      but unpaid interest with respect thereto and (z) all accrued but unpaid fees
      owing to the Retiring Lender pursuant to Section 2.08; and

     

    (B)  to
      the
      Swingline Lender an amount equal to the aggregate amount owing by the Retiring
      Lender to the Swingline Lender in respect of all unpaid refundings of Swingline
      Loans requested by the Swingline Lender pursuant to Section 2.02(b)(i), to
      the
      extent such amount was not theretofore funded by such Retiring Lender;
      and

     

    (C)  to
      the
      Issuing Lenders an amount equal to the aggregate amount owing by the Retiring
      Lender to the Issuing Lenders as reimbursement pursuant to Section 3.09, to
      the
      extent such amount was not theretofore funded by such Retiring Lender;
      and

     

    (ii)  the
      Borrower shall have paid to the Administrative Agent for the account of the
      Retiring Lender an amount equal to all obligations owing to the Retiring Lender
      by the Borrower pursuant to this Agreement and the other Loan Documents (other
      than those obligations of the Borrower referred to in clause (i)(A)
      above).

     

    On
      the
      Replacement Date, each Replacement Lender that is a New Lender shall become
      a
      Lender hereunder, and the Retiring Lender shall cease to constitute a Lender
      hereunder; provided,
      that
      the provisions of this Agreement (including, without limitation, the provisions
      of Sections 2.12, 2.16, 2.17 and 9.03) shall continue to govern the rights
      and
      obligations of a Retiring Lender with respect to any Loans made, any Letters
      of
      Credit issued or any other actions taken by such Retiring Lender while it was
      a
      Lender.

     

    In
      lieu
      of the foregoing, upon express written consent of a majority of the Continuing
      Lenders, the Borrower shall have the right to permanently terminate the
      Revolving Commitment of a Retiring Lender in full. Upon payment by the Borrower
      to the Administrative Agent for the account of the Retiring Lender of an amount
      equal to the sum of (i) the aggregate principal amount of all Loans and Letter
      of Credit Liabilities held by the Retiring Lender and (ii) all accrued interest,
      fees and other amounts owing to the Retiring Lender hereunder, including,
      without limitation, all amounts payable by the Borrower to the Retiring Lender
      under Sections 2.12, 2.16, 2.17 or 9.03, such Retiring Lender shall cease to
      constitute a Lender hereunder; provided,
      that
      the provisions of this Agreement (including, without limitation, the provisions
      of Sections 2.12, 2.16, 2.17 and 9.03) shall continue to govern the rights
      and
      obligations of a Retiring Lender with respect to any Loans made, any Letters
      of
      Credit issued or any other actions taken by such Retiring Lender while it was
      a
      Lender.

     

    (c)  Optional
      Extensions of Commitments.

     

    (i)  The
      Borrower may, by sending an Extension Letter to the Administrative Agent (in
      which case the Administrative Agent shall promptly deliver a copy to each of
      the
      Lenders), not less than thirty (30) days and not more than sixty (60) days
      prior
      to any anniversary of the Closing Date occurring prior to the effectiveness
      of
      the Term-Out pursuant to Section 2.20, request that the Lenders extend the
      Revolving Termination Date then in effect (the “Current
      Revolving Termination Date”)
      so
      that it will occur one year after the Current Revolving Termination Date. Each
      Lender, acting in its sole discretion, shall, by notice to the Administrative
      Agent given no later than fifteen (15) days prior to any anniversary of the
      Closing Date occurring prior to the exercise of the Term-Out pursuant to Section
      2.20 (the “Election
      Date”),
      advise the Administrative Agent in writing whether or not such Lender agrees
      to
      such extension (each Lender that so advises the Administrative Agent that it
      will not extend the Current Revolving Termination Date being referred to herein
      as a “Non-Extending
      Lender”);
      provided,
      that
      any Lender that does not advise the Administrative Agent by the Election Date
      shall be deemed to be a Non-Extending Lender. The election of any Lender to
      agree to such extension shall not obligate any other Lender to
      agree.

     

    (ii)  (A)
      If
      Lenders holding Revolving Commitments that aggregate at least 51% of the
      aggregate Revolving Commitments of the Lenders on or prior to the Election
      Date
      shall not have agreed to extend the Revolving Termination Date, then the Current
      Revolving Termination Date shall not be so extended and the outstanding
      principal balance of all loans and other amounts payable hereunder shall be
      due
      and payable on the Current Revolving Termination Date. (B) If (and only if)
      Lenders holding Revolving Commitments that aggregate at least 51% of the
      aggregate Revolving Commitments of the Lenders on or prior to the Election
      Date
      shall have agreed to extend the Current Revolving Termination Date, then the
      Revolving Termination Date applicable to the Lenders that are Continuing Lenders
      shall, as of the Extension Date, be the day that is one year after the Current
      Revolving Termination Date. In the event of such extension, the Revolving
      Commitment of each Non-Extending Lender shall terminate on the Current Revolving
      Termination Date applicable to such Non-Extending Lender, all Loans and other
      amounts payable hereunder to such Non-Extending Lender shall become due and
      payable on such Current Revolving Termination Date and the aggregate Revolving
      Commitments of the Lenders hereunder shall be reduced by the aggregate Revolving
      Commitments of Non-Extending Lenders so terminated on and after such Current
      Revolving Termination Date. Each Non-Extending Lender shall be required to
      maintain its original Revolving Commitment up to the Revolving Termination
      Date,
      or Current Revolving Termination Date, as applicable, for which such
      Non-Extending Lender had previously agreed upon.

     

    (iii)  In
      the
      event that the conditions of clause (B) of paragraph (ii) above have been
      satisfied, the Borrower shall have the right on or before the Extension Date,
      at
      its own expense, to require any Non-Extending Lender to transfer and assign
      without recourse or representation (except as to title and the absence of Liens
      created by it) (in accordance with and subject to the restrictions contained
      in
      Section 9.06(c)) all its interests, rights and obligations under the Loan
      Documents (including with respect to any Letter of Credit Liabilities) to one
      or
      more Eligible Assignees (which may include any Lender) (each, an “Additional
      Commitment Lender”), provided,
      that
      (x) such Additional Commitment Lender, if not already a Lender hereunder, shall
      be subject to the approval of the Administrative Agent (not to be unreasonably
      withheld), (y) such assignment shall become effective as of the Extension Date
      and (z) the Additional Commitment Lender shall pay to such Non-Extending Lender
      in immediately available funds on the effective date of such assignment the
      principal of and interest accrued to the date of payment on the Loans made
      by
      such Non-Extending Lender hereunder and all other amounts accrued for such
      Non-Extending Lender’s account or owed to it hereunder. 

     

    (iv)  Notwithstanding
      the foregoing, no extension of the Revolving Termination Date shall become
      effective unless, on the Extension Date, the conditions set forth in Section
      4.02 shall be satisfied (with all references in such paragraphs to the making
      of
      a Loan or issuance of a Letter of Credit being deemed to be references to the
      extension of the Revolving Commitments on the Extension Date) and the
      Administrative Agent shall have received a certificate to that effect dated
      the
      Extension Date and executed by a Responsible Officer of the
      Borrower.

     

    Section
      2.09  Maturity
      of Loans; Mandatory Prepayments.

     

    (a)  Scheduled
      Repayments and Prepayments of Loans; Overline Repayments.

     

    (i)  The
      Revolving Loans shall mature on the Revolving Termination Date, and any
      Revolving Loans, Swingline Loans and Letter of Credit Liabilities then
      outstanding (together with accrued interest thereon and fees in respect thereof)
      shall be due and payable (unless such Revolving Loans and Swingline Loans are
      converted to Term Loans pursuant to Section 2.20) or, in the case of Letters
      of
      Credit, cash collateralized pursuant to Section 2.09(a)(ii), on such
      date.

     

    (ii)  If
      on any
      date the aggregate Revolving Outstandings exceed the aggregate amount of the
      Revolving Commitments (such excess, a “Revolving Outstandings Excess”), the
      Borrower shall prepay, and there shall become due and payable (together with
      accrued interest thereon) on such date, an aggregate principal amount of
      Revolving Loans and/or Swingline Loans equal to such Revolving Outstandings
      Excess. If, at a time when a Revolving Outstandings Excess exists and (x) no
      Revolving Loans or Swingline Loans are outstanding or (y) the Revolving
      Commitment has been terminated pursuant to this Agreement and, in either case,
      any Letter of Credit Liabilities remain outstanding, then, in either case,
      the
      Borrower shall cash collateralize any Letter of Credit Liabilities by depositing
      into a cash collateral account established and maintained (including the
      investments made pursuant thereto) by the Administrative Agent pursuant to
      a
      cash collateral agreement in form and substance satisfactory to the
      Administrative Agent an amount in cash equal to the then outstanding Letter
      of
      Credit Liabilities. In determining Revolving Outstandings for purposes of this
      clause (ii), Letter of Credit Liabilities shall be reduced to the extent that
      they are cash collateralized as contemplated by this Section 2.09(a)(ii).

     

    (iii)  The
      Term
      Loans shall mature on the Term Loan Maturity Date, and any Term Loans then
      outstanding (together with accrued interest thereon and fees in respect thereof)
      shall be due and payable.

     

    (b)  Applications
      of Prepayments and Reductions.

     

    (i)  Each
      prepayment of Loans pursuant to this Section 2.09 shall be applied ratably
      to
      the respective Loans of all of the Lenders.

     

    (ii)  Each
      payment of principal of the Loans shall be made together with interest accrued
      on the amount repaid to the date of payment.

     

    (iii)  Each
      payment of the Loans shall be applied to such Group or Groups of Loans as the
      Borrower may designate (or, failing such designation, as determined by the
      Administrative Agent).

     

    Section
      2.10  Optional
      Prepayments and Repayments.

     

    (a)  Prepayments
      of Loans.
      Other
      than in respect of Swingline Loans, the repayment of which is governed pursuant
      to Section 2.02(b), subject to Section 2.12, the Borrower may (i) upon at
      least one (1) Business Day’s notice to the Administrative Agent, prepay any Base
      Rate Borrowing or (ii) upon at least three (3) Business Days’ notice to the
      Administrative Agent, prepay any Euro-Dollar Borrowing, in each case in whole
      at
      any time, or from time to time in part in amounts aggregating $10,000,000 or
      any
      larger multiple of $1,000,000, by paying the principal amount to be prepaid
      together with accrued interest thereon to the date of prepayment. Each such
      optional prepayment shall be applied to prepay ratably the Loans of the several
      Lenders included in such Borrowing.

     

    (b)  Notice
      to Lenders.
      Upon
      receipt of a notice of prepayment pursuant to Section 2.10(a), the
      Administrative Agent shall promptly notify each Lender of the contents thereof
      and of such Lender’s ratable share (if any) of such prepayment, and such notice
      shall not thereafter be revocable by the Borrower.

     

    Section
      2.11  General
      Provisions as to Payments.

     

    (a)  Payments
      by the Borrower.
      The
      Borrower shall make each payment of principal of and interest on the Loans
      and
      Letter of Credit Liabilities and fees hereunder (other than fees payable
      directly to the Issuing Lenders) not later than 12:00 Noon (Charlotte, North
      Carolina time) on the date when due, without set-off, counterclaim or other
      deduction, in Federal or other funds immediately available in Charlotte, North
      Carolina, to the Administrative Agent at its address referred to in Section
      9.01. The Administrative Agent will promptly distribute to each Lender its
      ratable share of each such payment received by the Administrative Agent for
      the
      account of the Lenders. Whenever any payment of principal of or interest on
      the
      Base Rate Loans or Letter of Credit Liabilities or of fees shall be due on
      a day
      which is not a Business Day, the date for payment thereof shall be extended
      to
      the next succeeding Business Day. Whenever any payment of principal of or
      interest on the Euro-Dollar Loans shall be due on a day which is not a Business
      Day, the date for payment thereof shall be extended to the next succeeding
      Business Day unless such Business Day falls in another calendar month, in which
      case the date for payment thereof shall be the next preceding Business Day.
      If
      the date for any payment of principal is extended by operation of law or
      otherwise, interest thereon shall be payable for such extended
      time.

     

    (b)  Distributions
      by the Administrative Agent.
      Unless
      the Administrative Agent shall have received notice from the Borrower prior
      to
      the date on which any payment is due to the Lenders hereunder that the Borrower
      will not make such payment in full, the Administrative Agent may assume that
      the
      Borrower has made such payment in full to the Administrative Agent on such
      date,
      and the Administrative Agent may, in reliance upon such assumption, cause to
      be
      distributed to each Lender on such due date an amount equal to the amount then
      due such Lender. If and to the extent that the Borrower shall not have so made
      such payment, each Lender shall repay to the Administrative Agent forthwith
      on
      demand such amount distributed to such Lender together with interest thereon,
      for each day from the date such amount is distributed to such Lender until
      the
      date such Lender repays such amount to the Administrative Agent, at the Federal
      Funds Rate.

     

    Section
      2.12  Funding
      Losses.
      If the
      Borrower makes any payment of principal with respect to any Euro-Dollar Loan
      pursuant to the terms and provisions of this Agreement (any conversion of a
      Euro-Dollar Loan to a Base Rate Loan pursuant to Section 2.18 being treated
      as a
      payment of such Euro-Dollar Loan on the date of conversion for purposes of
      this
      Section 2.12) on any day other than the last day of the Interest Period
      applicable thereto, or the last day of an applicable period fixed pursuant
      to
      Section 2.06(c), or if the Borrower fails to borrow, convert or prepay any
      Euro-Dollar Loan after notice has been given in accordance with the provisions
      of this Agreement, the Borrower shall reimburse each Lender within fifteen
      (15)
      days after demand for any resulting loss or expense incurred by it (and by
      an
      existing Participant in the related Loan), including, without limitation, any
      loss incurred in obtaining, liquidating or employing deposits from third
      parties, but excluding loss of margin for the period after any such payment
      or
      failure to borrow or prepay; provided,
      that
      such Lender shall have delivered to the Borrower a certificate as to the amount
      of such loss or expense, which certificate shall be conclusive in the absence
      of
      manifest error.

     

    Section
      2.13  Computation
      of Interest and Fees.
      Interest on Loans based on the Prime Rate hereunder shall be computed on the
      basis of a year of 365 days (or 366 days in a leap year) and paid for the actual
      number of days elapsed. All other interest and fees shall be computed on the
      basis of a year of 360 days and paid for the actual number of days elapsed
      (including the first day but excluding the last day).

     

    Section
      2.14  Basis
      for Determining Interest Rate Inadequate, Unfair or
      Unavailable.
      If on
      or prior to the first day of any Interest Period for any Euro-Dollar Loan:
      (a)
      Lenders having 50% or more of the aggregate amount of the Commitments or, in
      the
      event the Term-Out has been exercised pursuant to Section 2.20, Lenders holding
      50% or more of the outstanding principal amount of the Term Loans, as the case
      may be, advise the Administrative Agent that the Adjusted London Interbank
      Offered Rate as determined by the Administrative Agent, will not adequately
      and
      fairly reflect the cost to such Lenders of funding their Euro-Dollar Loans
      for
      such Interest Period; or (b) the Administrative Agent shall determine that
      no
      reasonable means exists for determining the Adjusted London Interbank Offered
      Rate, the Administrative Agent shall forthwith give notice thereof to the
      Borrower and the Lenders, whereupon until the Administrative Agent notifies
      the
      Borrower that the circumstances giving rise to such suspension no longer exist,
      (i) the obligations of the Lenders to make Euro-Dollar Loans or to convert
      outstanding Loans into Euro-Dollar Loans shall be suspended; and (ii) each
      outstanding Euro-Dollar Loan shall be converted into a Base Rate Loan on the
      last day of the current Interest Period applicable thereto. Unless the Borrower
      notifies the Administrative Agent at least two (2) Domestic Business Days before
      the date of (or, if at the time the Borrower receives such notice the day is
      the
      date of, or the date immediately preceding, the date of such Euro-Dollar
      Borrowing, by 10:00 A.M. on the date of) any Euro-Dollar Borrowing for which
      a
      Notice of Borrowing has previously been given that it elects not to borrow
      on
      such date, such Borrowing shall instead be made as a Base Rate
      Borrowing.

     

    Section
      2.15  Illegality.
      If, on
      or after the date of this Agreement, the adoption of any applicable law, rule
      or
      regulation, or any change in any applicable law, rule or regulation, or any
      change in the interpretation or administration thereof by any Governmental
      Authority, central bank or comparable agency charged with the interpretation
      or
      administration thereof, or compliance by any Lender (or its Euro-Dollar Lending
      Office) with any request or directive (whether or not having the force of law)
      of any such authority, central bank or comparable agency shall make it unlawful
      or impossible for any Lender (or its Euro-Dollar Lending Office) to make,
      maintain or fund its Euro-Dollar Loans and such Lender shall so notify the
      Administrative Agent, the Administrative Agent shall forthwith give notice
      thereof to the other Lenders and the Borrower, whereupon until such Lender
      notifies the Borrower and the Administrative Agent that the circumstances giving
      rise to such suspension no longer exist, the obligation of such Lender to make
      Euro-Dollar Loans, or to convert outstanding Loans into Euro-Dollar Loans,
      shall
      be suspended. Before giving any notice to the Administrative Agent pursuant
      to
      this Section, such Lender shall designate a different Euro-Dollar Lending Office
      if such designation will avoid the need for giving such notice and will not,
      in
      the judgment of such Lender, be otherwise disadvantageous to such Lender. If
      such notice is given, each Euro-Dollar Loan of such Lender then outstanding
      shall be converted to a Base Rate Loan either (i) on the last day of the then
      current Interest Period applicable to such Euro-Dollar Loan if such Lender
      may
      lawfully continue to maintain and fund such Loan to such day or (ii) immediately
      if such Lender shall determine that it may not lawfully continue to maintain
      and
      fund such Loan to such day.

     

    Section
      2.16  Increased
      Cost and Reduced Return.

     

    (a)  Increased
      Costs.
      If
      after the date hereof, the adoption of any applicable law, rule or regulation,
      or any change in any applicable law, rule or regulation, or any change in the
      interpretation or administration thereof by any Governmental Authority, central
      bank or comparable agency charged with the interpretation or administration
      thereof, or compliance by any Lender (or its Applicable Lending Office) with
      any
      request or directive (whether or not having the force of law) of any such
      authority, central bank or comparable agency shall impose, modify or deem
      applicable any reserve (including, without limitation, any such requirement
      imposed by the Board of Governors of the Federal Reserve System), special
      deposit, insurance assessment or similar requirement against Letters of Credit
      issued or participated in by, assets of, deposits with or for the account of
      or
      credit extended by, any Lender (or its Applicable Lending Office) or shall
      impose on any Lender (or its Applicable Lending Office) or on the United States
      market for certificates of deposit or the London interbank market any other
      condition affecting its Euro-Dollar Loans, its Notes, its obligation to make
      Euro-Dollar Loans or its obligations hereunder in respect of Letters of Credit,
      and the result of any of the foregoing is to increase the cost to such Lender
      (or its Applicable Lending Office) of making or maintaining any Euro-Dollar
      Loan, or of issuing or participating in any Letter of Credit, or to reduce
      the
      amount of any sum received or receivable by such Lender (or its Applicable
      Lending Office) under this Agreement or under its Notes with respect thereto,
      then, within fifteen (15) days after demand by such Lender (with a copy to
      the
      Administrative Agent), the Borrower shall pay to such Lender such additional
      amount or amounts, as determined by such Lender in good faith, as will
      compensate such Lender for such increased cost or reduction, solely to the
      extent that any such additional amounts were incurred by the Lender within
      ninety (90) days of such demand.

     

    (b)  Capital
      Adequacy.
      If any
      Lender shall have determined that, after the date hereof, the adoption of any
      applicable law, rule or regulation regarding capital adequacy, or any change
      in
      any such law, rule or regulation, or any change in the interpretation or
      administration thereof by any Governmental Authority, central bank or comparable
      agency charged with the interpretation or administration thereof, or any request
      or directive regarding capital adequacy (whether or not having the force of
      law)
      of any such authority, central bank or comparable agency, has or would have
      the
      effect of reducing the rate of return on capital of such Lender (or any Person
      controlling such Lender) as a consequence of such Lender’s obligations hereunder
      to a level below that which such Lender (or any Person controlling such Lender)
      could have achieved but for such adoption, change, request or directive (taking
      into consideration its policies with respect to capital adequacy), then from
      time to time, within fifteen (15) days after demand by such Lender (with a
      copy
      to the Administrative Agent), the Borrower shall pay to such Lender such
      additional amount or amounts as will compensate such Lender (or any Person
      controlling such Lender) for such reduction, solely to the extent that any
      such
      additional amounts were incurred by the Lender within ninety (90) days of such
      demand.

     

    (c)  Notices.
      Each
      Lender will promptly notify the Borrower and the Administrative Agent of any
      event of which it has knowledge, occurring after the date hereof, that will
      entitle such Lender to compensation pursuant to this Section and will designate
      a different Applicable Lending Office if such designation will avoid the need
      for, or reduce the amount of, such compensation and will not, in the judgment
      of
      such Lender, be otherwise disadvantageous to such Lender. A certificate of
      any
      Lender claiming compensation under this Section and setting forth in reasonable
      detail the additional amount or amounts to be paid to it hereunder shall be
      conclusive in the absence of manifest error. In determining such amount, such
      Lender may use any reasonable averaging and attribution methods.

     

    Section
      2.17  Taxes.

     

    (a)  Payments
      Net of Certain Taxes.
      Any and
      all payments by the Borrower to or for the account of any Lender or any Agent
      hereunder or under any other Loan Document shall be made free and clear of
      and
      without deduction for any and all present or future taxes, duties, levies,
      imposts, deductions, charges and withholdings and all liabilities with respect
      thereto, excluding: (i) taxes imposed on or measured by the net income
      (including branch profits or similar taxes) of, and gross receipts, franchise
      or
      similar taxes imposed on, any Agent or any Lender by the jurisdiction (or
      subdivision thereof) under the laws of which such Lender or Agent is organized
      or in which its principal executive office is located or, in the case of each
      Lender, in which its Applicable Lending Office is located, and (ii) in the
      case
      of each Lender, any United States withholding tax imposed on such payments,
      but
      only to the extent that such Lender is subject to United States withholding
      tax
      at the time such Lender first becomes a party to this Agreement or changes
      its
      Applicable Lending Office (all such nonexcluded taxes, duties, levies, imposts,
      deductions, charges, withholdings and liabilities being hereinafter referred
      to
      as “Taxes”). If the Borrower shall be required by law to deduct any Taxes from
      or in respect of any sum payable hereunder or under any other Loan Document
      to
      any Lender or any Agent, (i) the sum payable shall be increased as necessary
      so
      that after making all such required deductions (including deductions applicable
      to additional sums payable under this Section 2.17(a)) such Lender or Agent
      (as
      the case may be) receives an amount equal to the sum it would have received
      had
      no such deductions been made, (ii) the Borrower shall make such deductions,
      (iii) the Borrower shall pay the full amount deducted to the relevant taxation
      authority or other authority in accordance with applicable law and (iv) the
      Borrower shall furnish to the Administrative Agent, for delivery to such Lender,
      the original or a certified copy of a receipt evidencing payment
      thereof.

     

    (b)  Other
      Taxes.
      In
      addition, the Borrower agrees to pay any and all present or future stamp or
      documentary taxes and any other excise or property taxes, or similar charges
      or
      levies, which arise from any payment made pursuant to this Agreement, any Note
      or any other Loan Document or from the execution, delivery, registration or
      enforcement of, or otherwise with respect to, this Agreement, any Note or any
      other Loan Document (collectively, “Other Taxes”).

     

    (c)  Indemnification.
      The
      Borrower agrees to indemnify each Lender and each Agent for the full amount
      of
      Taxes and Other Taxes (including, without limitation, any Taxes or Other Taxes
      imposed or asserted by any jurisdiction on amounts payable under this Section
      2.17(c)), whether or not correctly or legally asserted, paid by such Lender
      or
      Agent (as the case may be) and any liability (including penalties, interest
      and
      expenses) arising therefrom or with respect thereto as certified in good faith
      to the Borrower by each Lender or Agent seeking indemnification pursuant to
      this
      Section 2.17(c). This indemnification shall be paid within 15 days after such
      Lender or Agent (as the case may be) makes demand therefor.

     

    (d)  Refunds
      or Credits.
      If a
      Lender or Agent receives a refund, credit or other reduction from a taxation
      authority for any Taxes or Other Taxes for which it has been indemnified by
      the
      Borrower or with respect to which the Borrower has paid additional amounts
      pursuant to this Section 2.17, it shall within fifteen (15) days from the date
      of such receipt pay over the amount of such refund, credit or other reduction
      to
      the Borrower (but only to the extent of indemnity payments made or additional
      amounts paid by the Borrower under this Section 2.17 with respect to the Taxes
      or Other Taxes giving rise to such refund, credit or other reduction), net
      of
      all reasonable out-of-pocket expenses of such Lender or Agent (as the case
      may
      be) and without interest (other than interest paid by the relevant taxation
      authority with respect to such refund, credit or other reduction); provided,
      however, that the Borrower agrees to repay, upon the request of such Lender
      or
      Agent (as the case may be), the amount paid over to the Borrower (plus
      penalties, interest or other charges) to such Lender or Agent in the event
      such
      Lender or Agent is required to repay such refund or credit to such taxation
      authority.

     

    (e)  Tax
      Forms and Certificates.
      On or
      before the date it becomes a party to this Agreement, from time to time
      thereafter if reasonably requested by the Borrower, and at any time it changes
      its Applicable Lending Office, each Lender organized under the laws of a
      jurisdiction other than the United States, any State thereof or the District
      of
      Columbia (a “Non-U.S. Lender”) shall deliver to the Borrower and the
      Administrative Agent: (i) two (2) properly completed and duly executed copies
      of
      Internal Revenue Service Form W-8 BEN, or any successor form prescribed by
      the
      Internal Revenue Service, certifying that such Lender is entitled to the
      benefits under an income tax treaty to which the United States is a party which
      exempts the Lender from United States withholding tax or reduces the rate of
      withholding tax on payments of interest for the account of such Lender or (ii)
      two (2) properly completed and duly executed copies of Internal Revenue Service
      Form W-8 ECI, or any successor form prescribed by the Internal Revenue Service,
      certifying that the income receivable pursuant to this Agreement and the other
      Loan Documents is effectively connected with the conduct of a trade or business
      in the United States. In addition, each Non-U.S. Lender agrees that from time
      to
      time after the Closing Date, when a lapse in time or change in circumstances
      renders the previous certification obsolete or inaccurate in any material
      respect, it will deliver to the Borrower and the Administrative Agent two new
      accurate and complete signed originals of Internal Revenue Service Form W-8
      BEN
      or W-8 ECI, or successor forms, as the case may be, and such other forms as
      may
      be required in order to confirm or establish the entitlement of such Non-U.S.
      Lender to a continued exemption from or reduction in United States withholding
      tax with respect to payments under this Agreement and any other Loan Document,
      or it shall immediately notify the Borrower and the Administrative Agent of
      its
      inability to deliver any such Form or certificate.

     

    (f)  Exclusions.
      The
      Borrower shall not be required to indemnify any Non-U.S. Lender or Agent, or
      to
      pay any additional amount to any Non-U.S. Lender or Agent, pursuant to Section
      2.17(a), (b) or (c) in respect of Taxes or Other Taxes to the extent that the
      obligation to indemnify or pay such additional amounts would not have arisen
      but
      for the failure of such Non-U.S. Lender to comply with the provisions of
      subsection (e) above.

     

    (g)  Mitigation.
      If the
      Borrower is required to pay additional amounts to or for the account of any
      Lender pursuant to this Section 2.17, then such Lender will use reasonable
      efforts (which shall include efforts to rebook the Revolving Loans held by
      such
      Lender to a new Applicable Lending Office, or through another branch or
      affiliate of such Lender) to change the jurisdiction of its Applicable Lending
      Office if, in the good faith judgment of such Lender, such efforts (i) will
      eliminate or, if it is not possible to eliminate, reduce to the greatest extent
      possible any such additional payment which may thereafter accrue and (ii) is
      not
      otherwise disadvantageous, in the sole determination of such Lender, to such
      Lender. Any Lender claiming any indemnity payment or additional amounts payable
      pursuant to this Section shall use reasonable efforts (consistent with legal
      and
      regulatory restrictions) to file any certificate or document reasonably
      requested in writing by the Borrower or to change the jurisdiction of its
      Applicable Lending Office if the making of such a filing or change would avoid
      the need for or reduce the amount of any such indemnity payment or additional
      amounts that may thereafter accrue and would not, in the sole determination
      of
      such Lender, be otherwise disadvantageous to such Lender.

     

    (h)  Confidentiality.
      Nothing
      contained in this Section shall require any Lender or any Agent to make
      available any of its tax returns (or any other information that it deems to
      be
      confidential or proprietary).

     

    Section
      2.18  Base
      Rate Loans Substituted for Affected Euro-Dollar Loans.
      If (a)
      the obligation of any Lender to make or maintain, or to convert outstanding
      Loans to, Euro-Dollar Loans has been suspended pursuant to Section 2.15 or
      (b)
      any Lender has demanded compensation under Section 2.16(a) with respect to
      its
      Euro-Dollar Loans and, in any such case, the Borrower shall, by at least four
      Business Days’ prior notice to such Lender through the Administrative Agent,
      have elected that the provisions of this Section shall apply to such Lender,
      then, unless and until such Lender notifies the Borrower that the circumstances
      giving rise to such suspension or demand for compensation no longer
      apply:

     

    (i)  all
      Loans
      which would otherwise be made by such Lender as (or continued as or converted
      into) Euro-Dollar Loans shall instead be Base Rate Loans (on which interest
      and
      principal shall be payable contemporaneously with the related Euro-Dollar Loans
      of the other Lenders); and

     

    (ii)  after
      each of its Euro-Dollar Loans has been repaid (or converted to a Base Rate
      Loan), all payments of principal that would otherwise be applied to repay such
      Euro-Dollar Loans shall be applied to repay its Base Rate Loans
      instead.

     

    If
      such
      Lender notifies the Borrower that the circumstances giving rise to such notice
      no longer apply, the principal amount of each such Base Rate Loan shall be
      converted into a Euro-Dollar Loan on the first day of the next succeeding
      Interest Period applicable to the related Euro-Dollar Loans of the other
      Lenders.

     

    Section
      2.19  Increases
      to the Revolving Commitment.
      

     

    (a) Subject
      to the terms and conditions of this Agreement and prior to the effectiveness
      of
      the Term-Out pursuant to Section 2.20, the Borrower may, by delivering to the
      Administrative Agent and the Lenders a Notice of Revolving Increase in the
      form
      of Exhibit E, request increases to the Lenders’ Revolving Commitments (each such
      request, an “Optional
      Increase”);
      provided
      that:
      (i) the Borrower may not request any increase to the Revolving Commitments
      after
      the occurrence and during the continuance of a Default or Event of Default,
      including, without limitation, any Default that would result after giving effect
      to any Optional Increase; (ii) the Borrower may not request any increase to
      the
      Revolving Commitments on or after the date on which the Term-Out becomes
      effective; (iii) each Optional Increase shall be in a minimum principal amount
      of $50,000,000, or if less, the remaining principal amount permitted pursuant
      to
      this Section 2.19 after giving effect to any prior Optional Increases made
      under
      this Section and (iv) the sum of the principal amounts of all aggregate Optional
      Increases shall be in an aggregate principal amount of no more than $500,000,000.

    

    (b) Each
      Lender may, but shall not be obligated to, participate in any Optional Increase,
      and the decision of any Lender to commit to an Optional Increase shall be at
      such Lender’s sole discretion and shall be made in writing. The Borrower may, at
      its own expense, solicit additional Revolving Commitments from third party
      financial institutions reasonably acceptable to the Administrative Agent, the
      Swingline Lender and the Issuing Lender. Any such financial institution (if
      not
      already a Lender hereunder) shall become a party to this Agreement as a Lender,
      pursuant to a joinder agreement in form and substance reasonably satisfactory
      to
      the Administrative Agent and the Borrower.

    

    (c) As
      a
      condition precedent to the Optional Increase, the Borrower shall deliver to
      the
      Administrative Agent a certificate of the Borrower dated the effective date
      of
      the Optional Increase, signed by a Responsible Officer of the Borrower,
      certifying that: (i) the resolutions adopted by the Borrower approving or
      consenting to such Optional Increase are attached thereto and such resolutions
      are true and correct and have not been altered, amended or repealed and are
      in
      full force and effect and (ii) before and after giving effect to the Optional
      Increase, (A) the representations and warranties contained in Article V and
      the
      other Loan Documents are true and correct in all material respects on and as
      of
      the effective date of the Optional Increase, except to the extent that such
      representations and warranties specifically refer to an earlier date, in which
      case they are true and correct as of such earlier date, and (B) that no Default
      or Event of Default exists, is continuing, or would result from the Optional
      Increase.

    

    (d) Each
      Optional Increase and all Revolving Loans made in connection with such Optional
      Increase (i) shall be subject to the terms applicable to the Revolving
      Commitments and Revolving Loans in this Agreement (including, without
      limitation, the terms applicable to pricing and maturity pursuant to Sections
      2.06 and 2.09); (ii) shall for all purposes be Loans and Obligations hereunder
      and under the Loan Documents; (iii) shall if requested by the applicable Lender
      be represented by a replacement Note which shall be exchanged for the Note
      of
      any Lender committing to an increase in its Revolving Commitment; and (iv)
      shall
      rank pari passu
      with the
      other Loans for purposes of Sections 2.09 and 2.11.

    

    (e) The
      Revolving Outstandings will be reallocated by the Administrative Agent on the
      effective date of any Optional Increase among the Lenders in accordance with
      their revised Revolving Commitment Ratios, and the Borrower hereby agrees to
      pay
      any and all costs (if any) required pursuant to Section 2.12 incurred by any
      Lender in connection with the exercise of the Optional Increase.

     

    Section
      2.20  Term-Out
      Option.
      

     

    (a) Provided
      no Default or Event of Default has occurred and is continuing, the Borrower
      may,
      upon prior written notice to the Administrative Agent sent not less than thirty
      (30) days and not more than sixty (60) days prior to any Revolving Termination
      Date in effect, elect to have the entire principal balance of the Loans then
      outstanding continued as non-revolving term loans (the “Term-Out”), to a date
      that is the earlier of (i) one year after such Revolving Termination Date and
      (ii) the date of acceleration of the Loans pursuant to Section 7.01 (the “Term
      Loan Maturity Date”). As a condition precedent to the Term-Out, the Borrower
      shall deliver to the Administrative Agent a certificate of the Borrower dated
      the effective date of the Term-Out signed by a Responsible Officer of the
      Borrower, certifying that: (i) the resolutions adopted by the Borrower approving
      or consenting to such Term-Out are attached thereto and such resolutions are
      true and correct and have not been altered, amended or repealed and are in
      full
      force and effect and (ii) before and after giving effect to the Term-Out, (A)
      the representations and warranties contained in Article V and the other Loan
      Documents are true and correct in all material respects on and as of the
      effective date of the Term-Out, except to the extent that such representations
      and warranties specifically refer to an earlier date, in which case they are
      true and correct as of such earlier date and (B) that no Default or Event of
      Default exists, is continuing, or would result from the Term-Out.

    

    (b) After
      giving effect to the Term-Out, the Borrower may repay, but not reborrow, the
      Term Loans, and the Borrower may exercise the Term-Out only once during the
      term
      of this Agreement.

    

    (c) Exercise
      of the Term-Out shall result in a permanent termination of the Revolving
      Commitments. 

    

    (d) The
      Borrower hereby agrees to pay any and all costs (if any) required pursuant
      to
      Section 2.12 incurred by any Lender in connection with the exercise of the
      Term-Out.

    

     

    ARTICLE
      III

     

    LETTERS
      OF CREDIT

     

    Section
      3.01  Existing
      Letters of Credit.
      On the
      Closing Date, each Issuing Lender (as defined in the Existing Credit Agreement)
      that has issued an Existing Letter of Credit shall be deemed, without further
      action by any party to this Agreement, to have issued such Existing Letter
      of
      Credit under this Agreement pursuant to the terms and subject to the conditions
      of this Article III.

     

    Section
      3.02  Additional
      Letters of Credit.
      The
      Issuing Lender agrees, on the terms and conditions set forth in this Agreement,
      to issue Letters of Credit from time to time before the fifth day prior to
      the
      Revolving Termination Date, for the account, and upon the request, of the
      Borrower and in support of such obligations of the Borrower or any Affiliate
      of
      the Borrower (other than PPL Electric Utilities Corporation) that are reasonably
      acceptable to the Issuing Lender; provided,
      that,
      immediately after each Letter of Credit is issued, (A) the aggregate amount
      of
      the Letter of Credit Liabilities shall not exceed the Letter of Credit
      Commitment and (B) the aggregate Revolving Outstandings shall not exceed the
      aggregate amount of the Revolving Commitments.

     

    Section
      3.03  Method
      of Issuance of Letters of Credit.
      The
      Borrower shall give the Issuing Lender notice substantially in the form of
      Exhibit A-3 to this Agreement (a “Letter
      of Credit Request”)
      of the
      requested issuance or extension of a Letter of Credit prior to 1:00 P.M.
      (Charlotte, North Carolina time) on the proposed date of the issuance or
      extension of Letters of Credit (which shall be a Domestic Business Day) (or
      such
      shorter period as may be agreed by the Issuing Lender in any particular
      instance), specifying the date such Letter of Credit is to be issued or extended
      and describing the terms of such Letter of Credit and the nature of the
      transactions to be supported thereby. The extension or renewal of any Letter
      of
      Credit shall be deemed to be an issuance of such Letter of Credit, and if any
      Letter of Credit contains a provision pursuant to which it is deemed to be
      extended unless notice of termination is given by the Issuing Lender, the
      Issuing Lender shall timely give such notice of termination unless it has
      theretofore timely received a Letter of Credit Request and the other conditions
      to issuance of a Letter of Credit have theretofore been met with respect to
      such
      extension. No Letter of Credit shall have a term of more than one year;
provided,
      that no
      Letter of Credit shall have a term extending or be so extendible beyond the
      fifth Business Day before the Revolving Termination Date.

     

    Section
      3.04  Conditions
      to Issuance of Additional Letters of Credit.
      The
      issuance by the Issuing Lender of each Additional Letter of Credit shall, in
      addition to the conditions precedent set forth in Article IV, be subject to
      the
      conditions precedent that (i) such Letter of Credit shall be satisfactory in
      form and substance to the Issuing Lender, (ii) the Borrower and, if applicable,
      any such Affiliate of the Borrower, shall have executed and delivered such
      other
      instruments and agreements relating to such Letter of Credit as the Issuing
      Lender shall have reasonably requested and (iii) the Issuing Lender shall have
      confirmed on the date of (and after giving effect to) such issuance that (A)
      the
      aggregate amount of all Letter of Credit Liabilities will not exceed the Letter
      of Credit Commitment and (B) the aggregate Revolving Outstandings will not
      exceed the aggregate amount of the Revolving Commitments. Notwithstanding any
      other provision of this Section 3.04, the Issuing Lender shall not be under
      any
      obligation to issue any Additional Letter of Credit if: any order, judgment
      or
      decree of any governmental authority shall by its terms purport to enjoin or
      restrain the Issuing Lender from issuing such Additional Letter of Credit,
      or
      any requirement of law applicable to the Issuing Lender or any request or
      directive (whether or not having the force of law) from any governmental
      authority with jurisdiction over the Issuing Lender shall prohibit, or request
      that the Issuing Lender refrain from, the issuance of letters of credit
      generally or such Additional Letter of Credit in particular or shall impose
      upon
      the Issuing Lender with respect to such Additional Letter of Credit any
      restriction, reserve or capital requirement (for which the Issuing Lender is
      not
      otherwise compensated hereunder) not in effect on the Closing Date, or shall
      impose upon the Issuing Lender any unreimbursed loss, cost or expense which
      was
      not applicable on the Closing Date and which the Issuing Lender in good faith
      deems material to it.

     

    Section
      3.05  Purchase
      and Sale of Letter of Credit Participations.
      Upon
      the issuance by an Issuing Lender of a Letter of Credit, such Issuing Lender
      shall be deemed, without further action by any party hereto, to have sold to
      each Lender, and each Lender shall be deemed, without further action by any
      party hereto, to have purchased from such Issuing Lender, without recourse
      or
      warranty, an undivided participation interest in such Letter of Credit and
      the
      related Letter of Credit Liabilities in accordance with its respective Revolving
      Commitment Ratio (although the Fronting Fee payable under Section 2.07(b) shall
      be payable directly to the Administrative Agent for the account of the
      applicable Issuing Lender, and the Lenders (other than such Issuing Lender)
      shall have no right to receive any portion of any such Fronting Fee) and any
      security therefor or guaranty pertaining thereto. Upon any change in the
      Revolving Commitments pursuant to Sections 2.19, 2.20 or 9.06(c), there shall
      be
      an automatic adjustment to the participations in all outstanding Letters of
      Credit and Letter of Credit Liabilities to reflect the adjusted Revolving
      Commitments of the Lenders pursuant to Sections 2.19 or 2.20, or the adjustment
      of the Revolving Commitments of the assigning and assignee Lenders or of all
      Lenders having Revolving Commitments pursuant to Section 9.06(c), as the case
      may be.

     

    Section
      3.06  Drawings
      under Letters of Credit.
      Upon
      receipt from the beneficiary of any Letter of Credit of any notice of a drawing
      under such Letter of Credit, the applicable Issuing Lender shall determine
      in
      accordance with the terms of such Letter of Credit whether such drawing should
      be honored. If the Issuing Lender determines that any such drawing shall be
      honored, such Issuing Lender shall make available to such beneficiary in
      accordance with the terms of such Letter of Credit the amount of the drawing
      and
      shall notify the Borrower as to the amount to be paid as a result of such
      drawing and the payment date.

     

    Section
      3.07  Reimbursement
      Obligations.
      The
      Borrower shall be irrevocably and unconditionally obligated forthwith to
      reimburse the applicable Issuing Lender for any amounts paid by such Issuing
      Lender upon any drawing under any Letter of Credit, together with any and all
      reasonable charges and expenses which the Issuing Lender may pay or incur
      relative to such drawing and interest on the amount drawn at the rate applicable
      to Base Rate Loans for each day from and including the date such amount is
      drawn
      to but excluding the date such reimbursement payment is due and payable. Such
      reimbursement payment shall be due and payable (i) at or before 1:00 P.M.
      (Charlotte, North Carolina time) on the date the Issuing Lender notifies the
      Borrower of such drawing, if such notice is given at or before 10:00 A.M.
      (Charlotte, North Carolina time) on such date or (ii) at or before 10:00 A.M.
      (Charlotte, North Carolina time) on the next succeeding Business Day;
provided,
      that no
      payment otherwise required by this sentence to be made by the Borrower at or
      before 1:00 P.M. (Charlotte, North Carolina time) on any day shall be overdue
      hereunder if arrangements for such payment satisfactory to the Issuing Lender,
      in its reasonable discretion, shall have been made by the Borrower at or before
      1:00 P.M. (Charlotte, North Carolina time) on such day and such payment is
      actually made at or before 3:00 P.M. (Charlotte, North Carolina time) on such
      day. In addition, the Borrower agrees to pay to the Issuing Lender interest,
      payable on demand, on any and all amounts not paid by the Borrower to the
      Issuing Lender when due under this Section 3.07, for each day from and including
      the date when such amount becomes due to but excluding the date such amount
      is
      paid in full, whether before or after judgment, at a rate per annum equal to
      the
      sum of 2% plus the rate applicable to Base Rate Loans for such day. Each payment
      to be made by the Borrower pursuant to this Section 3.07 shall be made to the
      Issuing Lender in Federal or other funds immediately available to it at its
      address referred to Section 9.01.

     

    Section
      3.08  Duties
      of Issuing Lenders to Lenders; Reliance.
      In
      determining whether to pay under any Letter of Credit, the relevant Issuing
      Lender shall not have any obligation relative to the Lenders participating
      in
      such Letter of Credit or the related Letter of Credit Liabilities other than
      to
      determine that any document or documents required to be delivered under such
      Letter of Credit have been delivered and that they substantially comply on
      their
      face with the requirements of such Letter of Credit. Any action taken or omitted
      to be taken by an Issuing Lender under or in connection with any Letter of
      Credit shall not create for the Issuing Lender any resulting liability if taken
      or omitted in the absence of gross negligence or willful misconduct. Each
      Issuing Lender shall be entitled (but not obligated) to rely, and shall be
      fully
      protected in relying, on the representation and warranty by the Borrower set
      forth in the last sentence of Section 4.02 to establish whether the conditions
      specified in clauses (c), (d) and (e) of Section 4.02 are met in connection
      with
      any issuance or extension of a Letter of Credit. Each Issuing Lender shall
      be
      entitled to rely, and shall be fully protected in relying, upon advice and
      statements of legal counsel, independent accountants and other experts selected
      by such Issuing Lender and upon any Letter of Credit, draft, writing,
      resolution, notice, consent, certificate, affidavit, letter, cablegram,
      telegram, telecopier, telex or teletype message, statement, order or other
      document believed by it in good faith to be genuine and correct and to have
      been
      signed, sent or made by the proper Person or Persons, and may accept documents
      that appear on their face to be in order, without responsibility for further
      investigation, regardless of any notice or information to the contrary unless
      the beneficiary and the Borrower shall have notified such Issuing Lender that
      such documents do not comply with the terms and conditions of the Letter of
      Credit. Each Issuing Lender shall be fully justified in refusing to take any
      action requested of it under this Section in respect of any Letter of Credit
      unless it shall first have received such advice or concurrence of the Required
      Lenders as it reasonably deems appropriate or it shall first be indemnified
      to
      its reasonable satisfaction by the Lenders against any and all liability and
      expense which may be incurred by it by reason of taking or continuing to take,
      or omitting or continuing to omit, any such action. Notwithstanding any other
      provision of this Section, each Issuing Lender shall in all cases be fully
      protected in acting, or in refraining from acting, under this Section in respect
      of any Letter of Credit in accordance with a request of the Required Lenders,
      and such request and any action taken or failure to act pursuant hereto shall
      be
      binding upon all Lenders and all future holders of participations in such Letter
      of Credit; provided,
      that
      this sentence shall not affect any rights the Borrower may have against the
      Issuing Lender or the Lenders that make such request.

     

    Section
      3.09  Obligations
      of Lenders to Reimburse Issuing Lender for Unpaid
      Drawings.
      If any
      Issuing Lender makes any payment under any Letter of Credit and the Borrower
      shall not have reimbursed such amount in full to such Issuing Lender pursuant
      to
      Section 3.07, the Issuing Lender shall promptly notify the Administrative Agent,
      and the Administrative Agent shall promptly notify each Lender (other than
      the
      relevant Issuing Lender), and each such Lender shall promptly and
      unconditionally pay to the Administrative Agent, for the account of such Issuing
      Lender, such Lender’s share of such payment (determined in accordance with its
      respective Revolving Commitment Ratio) in Dollars in Federal or other
      immediately available funds, the aggregate of such payments relating to each
      unreimbursed amount being referred to herein as a “Mandatory
      Letter of Credit Borrowing”;
      provided,
      however,
      that no
      Lender shall be obligated to pay to the Administrative Agent its pro rata share
      of such unreimbursed amount for any wrongful payment made by the relevant
      Issuing Lender under a Letter of Credit as a result of acts or omissions
      constituting willful misconduct or gross negligence by such Issuing Lender.
      If
      the Administrative Agent so notifies a Lender prior to 11:00 A.M. (Charlotte,
      North Carolina time) on any Business Day, such Lender shall make available
      to
      the Administrative Agent at its address referred to in Section 9.01 and for
      the
      account of the relevant Issuing Lender such Lender’s pro rata share of the
      amount of such payment by 3:00 P.M. (Charlotte, North Carolina time) on the
      Business Day following such Lender’s receipt of notice from the Administrative
      Agent, together with interest on such amount for each day from and including
      the
      date of such drawing to but excluding the day such payment is due from such
      Lender at the Federal Funds Rate for such day (which funds the Administrative
      Agent shall promptly remit to such Issuing Lender). The failure of any Lender
      to
      make available to the Administrative Agent for the account of an Issuing Lender
      its pro rata share of any unreimbursed drawing under any Letter of Credit shall
      not relieve any other Lender of its obligation hereunder to make available
      to
      the Administrative Agent for the account of such Issuing Lender its pro rata
      share of any payment made under any Letter of Credit on the date required,
      as
      specified above, but no such Lender shall be responsible for the failure of
      any
      other Lender to make available to the Administrative Agent for the account
      of
      the Issuing Lender such other Lender’s pro rata share of any such payment. Upon
      payment in full of all amounts payable by a Lender under this Section 3.09,
      such
      Lender shall be subrogated to the rights of the Issuing Lender against the
      Borrower to the extent of such Lender’s pro rata share of the related Letter of
      Credit Liabilities (including interest accrued thereon). If any Lender fails
      to
      pay any amount required to be paid by it pursuant to this Section 3.09 on the
      date on which such payment is due, interest shall accrue on such Lender’s
      obligation to make such payment, for each day from and including the date such
      payment became due to but excluding the date such Lender makes such payment,
      whether before or after judgment, at a rate per annum equal to (i) for each
      day
      from the date such payment is due to the third succeeding Business Day,
      inclusive, the Federal Funds Rate for such day as determined by the relevant
      Issuing Lender and (ii) for each day thereafter, the sum of 2% plus the rate
      applicable to its Base Rate Loans for such day. Any payment made by any Lender
      after 3:00 P.M. (Charlotte, North Carolina time) on any Business Day shall
      be
      deemed for purposes of the preceding sentence to have been made on the next
      succeeding Business Day.

     

    Section
      3.10  Funds
      Received from the Borrower in Respect of Drawn Letters of
      Credit.
      Whenever an Issuing Lender receives a payment of a Reimbursement Obligation
      as
      to which the Administrative Agent has received for the account of such Issuing
      Lender any payments from the other Lenders pursuant to Section 3.09 above,
      such
      Issuing Lender shall pay the amount of such payment to the Administrative Agent,
      and the Administrative Agent shall promptly pay to each Lender which has paid
      its pro rata share thereof, in Dollars in Federal or other immediately available
      funds, an amount equal to such Lender’s pro rata share of the principal amount
      thereof and interest thereon for each day after relevant date of payment at
      the
      Federal Funds Rate.

     

    Section
      3.11  Obligations
      in Respect of Letters of Credit Unconditional.
      The
      obligations of the Borrower under Section 3.07 above shall be absolute,
      unconditional and irrevocable, and shall be performed strictly in accordance
      with the terms of this Agreement, under all circumstances whatsoever, including,
      without limitation, the following circumstances:

     

    (a)  any
      lack
      of validity or enforceability of this Agreement or any Letter of Credit or
      any
      document related hereto or thereto;

     

    (b)  any
      amendment or waiver of or any consent to departure from all or any of the
      provisions of this Agreement or any Letter of Credit or any document related
      hereto or thereto;

     

    (c)  the
      use
      which may be made of the Letter of Credit by, or any acts or omission of, a
      beneficiary of a Letter of Credit (or any Person for whom the beneficiary may
      be
      acting);

     

    (d)  the
      existence of any claim, set-off, defense or other rights that the Borrower
      may
      have at any time against a beneficiary of a Letter of Credit (or any Person
      for
      whom the beneficiary may be acting), any Issuing Lender or any other Person,
      whether in connection with this Agreement or any Letter of Credit or any
      document related hereto or thereto or any unrelated transaction;

     

    (e)  any
      statement or any other document presented under a Letter of Credit proving
      to be
      forged, fraudulent or invalid in any respect or any statement therein being
      untrue or inaccurate in any respect whatsoever;

     

    (f)  payment
      under a Letter of Credit against presentation to an Issuing Lender of a draft
      or
      certificate that does not comply with the terms of such Letter of Credit;
provided,
      that
      the relevant Issuing Lender’s determination that documents presented under such
      Letter of Credit comply with the terms thereof shall not have constituted gross
      negligence or willful misconduct of such Issuing Lender; or

     

    (g)  any
      other
      act or omission to act or delay of any kind by any Issuing Lender or any other
      Person or any other event or circumstance whatsoever that might, but for the
      provisions of this subsection (g), constitute a legal or equitable discharge
      of
      the Borrower’s obligations hereunder.

     

    Nothing
      in this Section 3.11 is intended to limit the right of the Borrower to make
      a
      claim against any Issuing Lender for damages as contemplated by the proviso
      to the
      first sentence of Section 3.12.

     

    Section
      3.12  Indemnification
      in Respect of Letters of Credit.
      The
      Borrower hereby indemnifies and holds harmless each Lender (including each
      Issuing Lender) and the Administrative Agent from and against any and all
      claims, damages, losses, liabilities, costs or expenses which such Lender or
      the
      Administrative Agent may incur by reason of or in connection with the failure
      of
      any other Lender to fulfill or comply with its obligations to such Issuing
      Lender hereunder (but nothing herein contained shall affect any rights which
      the
      Borrower may have against such defaulting Lender), and none of the Lenders
      (including any Issuing Lender) nor the Administrative Agent, their respective
      affiliates nor any of their respective officers, directors, employees or agents
      shall be liable or responsible, by reason of or in connection with the execution
      and delivery or transfer of or payment or failure to pay under any Letter of
      Credit, including, without limitation, any of the circumstances enumerated
      in
      Section 3.11, as well as (i) any error, omission, interruption or delay in
      transmission or delivery of any messages, by mail, cable, telegraph, telex
      or
      otherwise, (ii) any error in interpretation of technical terms, (iii) any loss
      or delay in the transmission of any document required in order to make a drawing
      under a Letter of Credit, (iv) any consequences arising from causes beyond
      the
      control of such indemnitee, including without limitation, any government acts,
      or (v) any other circumstances whatsoever in making or failing to make payment
      under such Letter of Credit; provided,
      that
      the Borrower shall not be required to indemnify any Issuing Lender for any
      claims, damages, losses, liabilities, costs or expenses, and the Borrower shall
      have a claim against such Issuing Lender for direct (but not consequential)
      damages suffered by it, to the extent found by a court of competent jurisdiction
      in a final, non-appealable judgment or order to have been caused by (i) the
      willful misconduct or gross negligence of the Issuing Lender in determining
      whether a request presented under any Letter of Credit issued by it complied
      with the terms of such Letter of Credit or (ii) the Issuing Lender’s failure to
      pay under any Letter of Credit issued by it after the presentation to it of
      a
      request strictly complying with the terms and conditions of such Letter of
      Credit. Nothing in this Section 3.12 is intended to limit the obligations of
      the
      Borrower under any other provision of this Agreement.

     

    Section
      3.13  ISP98.
      The
      rules of the “International Standby Practices 1998” (the “ISP98”)
      as
      published by the ICC most recently at the time of issuance of any Letter of
      Credit shall apply to such Letter of Credit unless otherwise expressly provided
      in such Letter of Credit.

     

    ARTICLE
      IV

     

    CONDITIONS

     

    Section
      4.01  Conditions
      to Closing.
      The
      obligation of each Lender to make a Loan or issue a Letter of Credit on the
      occasion of the first Credit Event hereunder is subject to the satisfaction
      of
      the following conditions:

     

    (a)  Effectiveness.
      This
      Agreement shall have become effective in accordance with Section
      9.08.

     

    (b)  Notes.
      On or
      prior to the Closing Date, the Administrative Agent shall have received a duly
      executed Note for the account of each Lender requesting delivery of a Note
      pursuant to Section 2.05.

     

    (c)  Officers’
      Certificates.
      The
      Administrative Agent shall have received a certificate dated the Closing Date
      signed on behalf of the Borrower by the Chairman of the Board, the President,
      any Vice President, the Treasurer or the Assistant Treasurer of the Borrower
      stating that (A) on the Closing Date and after giving effect to the Loans and
      Letters of Credit being made or issued on the Closing Date, no Default or Event
      of Default shall have occurred and be continuing and (B) the representations
      and
      warranties of the Borrower contained in the Loan Documents are true and correct
      on and as of the Closing Date.

     

    (d)  Proceedings.
      On the
      Closing Date, the Administrative Agent shall have received (i) a copy of the
      Borrower’s certificate of formation certified by the Secretary of State of the
      State of Delaware; (ii) a certificate of the Secretary of State of the State
      of
      Delaware, dated as of a recent date, as to the good standing of the Borrower;
      and (iii) a certificate of the Secretary or an Assistant Secretary of the
      Borrower dated the Closing Date and certifying (A) that attached thereto is
      a
      true, correct and complete copy of the limited liability company agreement
      of
      the Borrower, (B) as to the absence of dissolution or liquidation proceedings
      by
      or against the Borrower, (C) that attached thereto is a true, correct and
      complete copy of resolutions adopted by the managers of the Borrower authorizing
      the execution, delivery and performance of the Loan Documents to which the
      Borrower is a party and each other document delivered in connection herewith
      or
      therewith and that such resolutions have not been amended and are in full force
      and effect on the date of such certificate and (D) as to the incumbency and
      specimen signatures of each officer of the Borrower executing the Loan Documents
      to which the Borrower is a party or any other document delivered in connection
      herewith or therewith.

     

    (e)  Opinions
      of Counsel.
      On the
      Closing Date, the Administrative Agent shall have received from counsel to
      the
      Borrower, opinions addressed to the Administrative Agent and each Lender, dated
      the Closing Date, substantially in the form of Exhibit D-1 hereto and covering
      such additional matters incident to the transactions contemplated hereby as
      the
      Administrative Agent or the Required Lenders may reasonably
      request.

     

    (f)  Repayment
      of Existing Credit Agreement.
      (A) All
      outstanding Revolving Loans (as defined in the Existing Credit Agreement) under
      the Existing Credit Agreement (the “Existing Revolving Loans”) made by any
      Existing Lender thereunder who is not a Lender hereunder shall be repaid in
      full
      and the commitments and other obligations and rights (except as expressly set
      forth in the Existing Credit Agreement) of such Lender shall be terminated,
      (B)
      all such Existing Revolving Loans not being repaid under item (A) above, shall
      be, from and after the Closing Date, Revolving Loans hereunder and the
      Administrative Agent shall make such transfers of funds as are necessary in
      order that the outstanding balance of such Revolving Loans, together with any
      Revolving Loans funded hereunder on the Closing Date, reflect the Revolving
      Commitments of the Lenders hereunder, (C) all of the Existing Letters of Credit
      under the Existing Credit Agreement shall be, from and after the Closing Date,
      Letters of Credit hereunder, (D) all accrued but unpaid interest due on the
      Existing Revolving Loans to the Closing Date shall be paid in cash in full
      on
      the Closing Date, (E) all accrued but unpaid fees under the Existing Credit
      Agreement owing to the Administrative Agent and the Lenders under the Existing
      Credit Agreement to the Closing Date shall be paid in cash in full on the
      Closing Date and (F) all outstanding promissory notes issued by the Borrower
      to
      the Lenders under the Existing Credit Agreement shall be amended and restated
      pursuant to the terms and conditions hereunder and in the other Loan
      Documents.

     

    (g)  Financial
      Statements.
      The
      Administrative Agent and each Lender shall have received and be satisfied with
      the (i) the audited consolidated financial statements of the Borrower and its
      Consolidated Subsidiaries for the fiscal year ending December 31, 2006, audited
      by Ernst & Young, LLP, or other nationally recognized independent public
      accountants, and containing an opinion of such firm that such financial
      statements present fairly, in all material respects and in conformity with
      GAAP,
      the financial position and results of operations of the Borrower and its
      Consolidated Subsidiaries, and (ii) unaudited, consolidated, interim financial
      statements of the Borrower and its Consolidated Subsidiaries for the fiscal
      quarter ending March 31, 2007.

     

    (h)  Consents.
      All
      necessary governmental (domestic or foreign), regulatory and third party
      approvals, if any, in connection with the transactions contemplated by this
      Agreement and the other Loan Documents shall have been obtained and remain
      in
      full force and effect, in each case without any action being taken by any
      competent authority which could restrain or prevent such transaction or impose,
      in the reasonable judgment of the Administrative Agent, materially adverse
      conditions upon the consummation of such transactions.

     

    (i)  Borrower’s
      Structure.
      The
      corporate and capital structure of the Borrower and its Subsidiaries, including,
      without limitation, the Borrower’s direct or indirect ownership of the
      Restricted Subsidiaries, shall be satisfactory to the Administrative Agent
      in
      its reasonable discretion.

     

    (j)  Payment
      of Fees.
      All
      costs, fees and expenses due to the Administrative Agent, the Joint Lead
      Arrangers and the Lenders on or before the Closing Date shall have been
      paid.

     

    (k)  Counsel
      Fees.
      The
      Administrative Agent shall have received full payment from the Borrower of
      the
      fees and expenses of Kennedy Covington Lobdell & Hickman, L.L.P. described
      in Section 9.03 which are billed through the Closing Date.

     

    (l)  Other
      Materials.
      The
      Administrative Agent shall have received such other assurances, certificates,
      documents, consents or opinions as the Administrative Agent, any Issuing Lender
      or the Required Lenders may reasonably request, in each case in form and
      substance satisfactory to the Administrative Agent.

     

    Section
      4.02  Conditions
      to All Credit Events.
      The
      obligation of any Lender to make a Loan on the occasion of any Borrowing, and
      the obligation of any Issuing Lender to issue (or renew or extend the term
      of)
      any Letter of Credit, is subject to the satisfaction of the following
      conditions:

     

    (a)  the
      fact
      that the Closing Date shall have occurred;

     

    (b)  receipt
      by the Administrative Agent of a Notice of Borrowing as required by Section
      2.02, or receipt by the Issuing Lender of a Letter of Credit Request as required
      by Section 3.03;

     

    (c)  the
      fact
      that, immediately before and after giving effect to such Credit Event, no
      Default or Event of Default shall have occurred and be continuing;
      and

     

    (d)  the
      fact
      that the representations and warranties of the Borrower contained in this
      Agreement and the other Loan Documents shall be true and correct on and as
      of
      the date of such Credit Event (except for the representations in Section
      5.04(c), Section 5.06, Section 5.11 and Section 5.15, which shall be deemed
      only
      to relate to the matters referred to therein on and as of the Closing
      Date).

     

    Each
      Credit Event under this Agreement shall be deemed to be a representation and
      warranty by the Borrower on the date of such Credit Event as to the facts
      specified in clauses (c) and (d) of this Section.

     

    ARTICLE
      V

     

    REPRESENTATIONS
      AND WARRANTIES

     

    The
      Borrower represents and warrants that:

     

    Section
      5.01  Status.
      The
      Borrower is a limited liability company duly organized, validly existing and
      in
      good standing under the laws of the State of Delaware and has the limited
      liability company authority to make and perform this Agreement and each other
      Loan Document to which it is a party.

     

    Section
      5.02  Authority;
      No Conflict

     

    .
      The
      execution, delivery and performance by the Borrower of this Agreement and each
      other Loan Document to which it is a party have been duly authorized by all
      necessary limited liability company action and do not violate (i) any provision
      of law or regulation, or any decree, order, writ or judgment, (ii) any provision
      of its limited liability company agreement, or (iii) result in the breach of
      or
      constitute a default under any indenture or other agreement or instrument to
      which the Borrower is a party; provided,
      that
      any exercise of the option to increase the Revolving Commitment as contemplated
      in Section 2.19 will require further authorization of the Borrower’s Board of
      Managers.

     

    Section
      5.03  Legality;
      Etc.This
      Agreement and each other Loan Document (other than the Notes) to which the
      Borrower is a party constitute the legal, valid and binding obligations of
      the
      Borrower, and the Notes, when executed and delivered in accordance with this
      Agreement, will constitute legal, valid and binding obligations of the Borrower,
      in each case enforceable against the Borrower in accordance with their terms
      except to the extent limited by (a) bankruptcy, insolvency, fraudulent
      conveyance or reorganization laws or by other laws relating to or affecting
      the
      enforceability of creditors’ rights generally and by general equitable
      principles which may limit the right to obtain equitable remedies regardless
      of
      whether enforcement is considered in a proceeding of law or equity or (b) any
      applicable public policy on enforceability of provisions relating to
      contribution and indemnification.

     

    Section
      5.04  Financial
      Condition.

     

    (a)  Audited
      Financial Statements.
      The
      consolidated balance sheet of the Borrower and its Consolidated Subsidiaries
      as
      of December 31, 2006 and the related consolidated statements of income and
      cash
      flows for the fiscal year then ended, reported on by Ernst & Young, LLP,
      copies of which have been delivered to each of the Administrative Agent and
      the
      Lenders, fairly present, in conformity with GAAP, the consolidated financial
      position of the Borrower and its Consolidated Subsidiaries as of such date
      and
      their consolidated results of operations and cash flows for such fiscal
      year.

     

    (b)  Interim
      Financial Statements.
      The
      unaudited consolidated balance sheet of the Borrower and its Consolidated
      Subsidiaries as of March 31, 2007 and the related unaudited consolidated
      statements of income and cash flows for the three months then ended fairly
      present, in conformity with GAAP applied on a basis consistent with the
      financial statements referred to in subsection (a) of this Section, the
      consolidated financial position of the Borrower and its Consolidated
      Subsidiaries as of such date and their consolidated results of operations and
      cash flows for such three-month period (subject to normal year-end audit
      adjustments).

     

    (c)  Material
      Adverse Change.
      Since
      December 31, 2006 there has been no change in the business, assets, financial
      condition or operations of the Borrower and its Consolidated Subsidiaries,
      considered as a whole, that would materially and adversely affect the Borrower’s
      ability to perform any of its obligations under this Agreement, the Notes or
      the
      other Loan Documents.

     

    Section
      5.05  Rights
      to Properties.
      The
      Borrower and its Restricted Subsidiaries have good and valid fee, leasehold,
      easement or other right, title or interest in or to all the properties necessary
      to the conduct of their business as conducted on the date hereof and as
      presently proposed to be conducted, except to the extent the failure to have
      such rights or interests would not have a Material Adverse Effect.

     

    Section
      5.06  Litigation.
      Except
      as disclosed in or contemplated by the Borrower’s Form 10-K Report to the SEC
      for the year ended December 31, 2006 or in any subsequent Form 10-Q or 8-K
      Report or otherwise furnished in writing to the Administrative Agent, no
      litigation, arbitration or administrative proceeding against the Borrower is
      pending or, to the Borrower’s knowledge, threatened, which, if adversely
      determined, would materially and adversely affect the ability of the Borrower
      to
      perform any of its obligations under this Agreement, the Notes or the other
      Loan
      Documents. There is no litigation, arbitration or administrative proceeding
      pending or, to the knowledge of the Borrower, threatened which questions the
      validity of this Agreement or the other Loan Documents to which it is a
      party.

     

    Section
      5.07  No
      Violation.
      No part
      of the proceeds of the borrowings by hereunder will be used, directly or
      indirectly by the Borrower for the purpose of purchasing or carrying any “margin
      stock” within the meaning of Regulation U of the Board of Governors of the
      Federal Reserve System, or for any other purpose which violates, or which
      conflicts with, the provisions of Regulations U or X of said Board of Governors.
      The Borrower is not engaged principally, or as one of its important activities,
      in the business of extending credit for the purpose of purchasing or carrying
      any such “margin stock”.

     

    Section
      5.08  ERISA.
      Each
      member of the ERISA Group has fulfilled its obligations under the minimum
      funding standards of ERISA and the Internal Revenue Code with respect to each
      Material Plan and is in compliance in all material respects with the presently
      applicable provisions of ERISA and the Internal Revenue Code with respect to
      each Material Plan. No member of the ERISA Group has (i) sought a waiver of
      the
      minimum funding standard under Section 412 of the Internal Revenue Code in
      respect of any Material Plan, (ii) failed to make any contribution or payment
      to
      any Material Plan, or made any amendment to any Material Plan, which has
      resulted or could result in the imposition of a lien or the posting of a bond
      or
      other security under ERISA or the Internal Revenue Code or (iii) incurred any
      material liability under Title IV of ERISA other than a liability to the PBGC
      for premiums under Section 4007 of ERISA.

     

    Section
      5.09  Governmental
      Approvals.
      No
      authorization, consent or approval from any Governmental Authority is required
      for the execution, delivery and performance by the Borrower of this Agreement,
      the Notes and the other Loan Documents to which it is a party, except such
      authorizations, consents and approvals as have been obtained prior to the
      Closing Date and are in full force and effect.

     

    Section
      5.10  Investment
      Company Act.
      The
      Borrower is not an “investment company” within the meaning of the Investment
      Company Act of 1940, as amended.

     

    Section
      5.11  Restricted
      Subsidiaries, Etc.
      Set
      forth
      in Schedule 5.11 hereto is a complete and correct list as of the Closing Date
      of
      the Restricted Subsidiaries of the Borrower, together with, for each such
      Subsidiary, the jurisdiction of organization of such Subsidiary. Except as
      disclosed in Schedule 5.11 hereto, as of the Closing Date, (i) each such
      Subsidiary is a Wholly Owned Subsidiary of the Borrower and (ii) each such
      Subsidiary is duly organized, validly existing and in good standing under the
      laws of the jurisdiction of its organization and has all corporate or other
      organizational powers to carry on its businesses as now conducted.

     

    Section
      5.12  Tax
      Returns and Payments.
      The
      Borrower and each of its Restricted Subsidiaries has filed or caused to be
      filed
      all Federal, state, local and foreign income tax returns required to have been
      filed by it and has paid or caused to be paid all income taxes shown to be
      due
      on such returns except income taxes that are being contested in good faith
      by
      appropriate proceedings and for which the Borrower or its Restricted
      Subsidiaries, as the case may be, shall have set aside on its books appropriate
      reserves with respect thereto in accordance with GAAP or that would not
      reasonably be expected to have a Material Adverse Effect.

     

    Section
      5.13  Compliance
      with Laws.
      To the
      knowledge of the Borrower or any of its Restricted Subsidiaries, the Borrower
      and each of its Restricted Subsidiaries is in compliance with all applicable
      laws, regulations and orders of any Governmental Authority, domestic or foreign,
      in respect of the conduct of its business and the ownership of its property
      (including, without limitation, compliance with all applicable ERISA and
      Environmental Laws and the requirements of any permits issued under such
      Environmental Laws), except to the extent (a) such compliance is being contested
      in good faith by appropriate proceedings or (b) non-compliance would not
      reasonably be expected to materially and adversely affect its ability to perform
      any of its obligations under this Agreement, the Notes or any other Loan
      Document to which it is a party.

     

    Section
      5.14  No
      Default.
      No
      Default or Event of Default has occurred and is continuing.

     

    Section
      5.15  Environmental
      Matters.

     

    (a)  Except
      (i) as disclosed in or contemplated by the Borrower’s Form 10-K Report to the
      SEC for the year ended December 31, 2006 or in any subsequent Form 10-Q or 8-K
      Report or otherwise furnished to the Administrative Agent in writing, or (ii)
      to
      the extent that the liabilities of the Borrower and its Subsidiaries, taken
      as a
      whole, that relate to or could result from the matters referred to in clauses
      (i) through (iii) of this Section 5.15(a), inclusive, would not reasonably
      be
      expected to result in a Material Adverse Effect, to the Borrower’s or any of its
      Subsidiaries’ knowledge:

     

    (i)  no
      notice, notification, citation, summons, complaint or order has been issued,
      no
      complaint has been filed, no penalty has been assessed nor is any investigation
      or review pending or threatened by any governmental or other entity with respect
      to any (A) alleged violation by the Borrower or any of its Subsidiaries of
      any
      Environmental Law, (B) alleged failure by the Borrower or any of its
      Subsidiaries to have any environmental permit, certificate, license, approval,
      registration or authorization required in connection with the conduct of its
      business or (C) generation, storage, treatment, disposal, transportation or
      release of Hazardous Substances;

     

    (ii)  no
      Hazardous Substance has been released (and no written notification of such
      release has been filed) (whether or not in a reportable or threshold planning
      quantity) at, on or under any property now or previously owned, leased or
      operated by the Borrower or any of its Subsidiaries; and

     

    (iii)  no
      property now or previously owned, leased or operated by the Borrower or any
      of
      its Subsidiaries or any property to which the Borrower or any of its
      Subsidiaries has, directly or indirectly, transported or arranged for the
      transportation of any Hazardous Substances, is listed or, to the Borrower’s or
      any of its Subsidiaries’ knowledge, proposed for listing, on the National
      Priorities List promulgated pursuant to the Comprehensive Environmental
      Response, Compensation and Liability Act of 1980, as amended (“CERCLA”), on
      CERCLIS (as defined in CERCLA) or on any similar federal, state or foreign
      list
      of sites requiring investigation or clean-up.

     

    (b)  Except
      as
      disclosed in or contemplated by the Borrower’s Form 10-K Report to the SEC for
      the year ended December 31, 2006 or in any subsequent Form 10-Q or 8-K Report
      or
      otherwise furnished to the Administrative Agent in writing, to the Borrower’s or
      any of its Subsidiaries’ knowledge, there are no Environmental Liabilities that
      have resulted or could reasonably be expected to result in a Material Adverse
      Effect.

     

    (c)  For
      purposes of this Section 5.15, the terms “the Borrower” and “Subsidiary” shall
      include any business or business entity (including a corporation) which is
      a
      predecessor, in whole or in part, of the Borrower or any of its Subsidiaries
      from the time such business or business entity became a Subsidiary of PPL
      Corporation, a Pennsylvania corporation.

     

    Section
      5.16  Guarantees.
      As of
      the Closing Date, except as set forth in Schedule 5.16 hereto, the Borrower
      has
      no Guarantees of any Debt of any Foreign Subsidiary of the Borrower other than
      such Debt not in excess of $25,000,000 in the aggregate.

     

    Section
      5.17  OFAC.
      None of
      the Borrower, any Subsidiary of the Borrower or any Affiliate of the Borrower:
      (i) is a Sanctioned Person, (ii) has more than 10% of its assets in Sanctioned
      Entities, or (iii) derives more than 10% of its operating income from
      investments in, or transactions with Sanctioned Persons or Sanctioned Entities.
      The proceeds of any Loan will not be used and have not been used to fund any
      operations in, finance any investments or activities in, or make any payments
      to, a Sanctioned Person or a Sanctioned Entity.

     

    ARTICLE
      VI

     

    COVENANTS

     

    The
      Borrower agrees that so long as any Lender has any Commitment hereunder or
      any
      amount payable hereunder or under any Note or other Loan Document remains unpaid
      or any Letter of Credit Liability remains outstanding:

     

    Section
      6.01  Information.
      The
      Borrower will deliver or cause to be delivered to each of the Lenders (it being
      understood that the posting of the information required in clauses (a), (b)
      and
      (f) of this Section 6.01 on the Borrower’s website (http://www.pplweb.com) shall
      be deemed to be effective delivery to the Lenders):

     

    (a)  Annual
      Financial Statements.
      Promptly when available and in any event within ten (10) days after the date
      such information is required to be delivered to the SEC, a consolidated balance
      sheet of the Borrower and its Consolidated Subsidiaries as of the end of such
      fiscal year and the related consolidated statements of income and cash flows
      for
      such fiscal year and accompanied by an opinion thereon by independent public
      accountants of recognized national standing, which opinion shall state that
      such
      consolidated financial statements present fairly the consolidated financial
      position of the Borrower and its Consolidated Subsidiaries as of the date of
      such financial statements and the results of their operations for the period
      covered by such financial statements in conformity with GAAP applied on a
      consistent basis.

     

    (b)  Quarterly
      Financial Statements.
      Promptly when available and in any event within ten (10) days after the date
      such information is required to be delivered to the SEC, a consolidated balance
      sheet of the Borrower and its Consolidated Subsidiaries as of the end of such
      quarter and the related consolidated statements of income and cash flows for
      such fiscal quarter, all certified (subject to normal year-end audit
      adjustments) as to fairness of presentation, GAAP and consistency by any vice
      president, the treasurer or the controller of the Borrower.

     

    (c)  Officer’s
      Certificate.
      Simultaneously with the delivery of each set of financial statements referred
      to
      in subsections (a) and (b) above, a certificate of the chief accounting officer
      of the Borrower, (i) setting forth in reasonable detail the calculations
      required to establish compliance with the requirements of Section 6.11 on the
      date of such financial statements and (ii) stating whether there exists on
      the
      date of such certificate any Default or Event of Default and, if any Default
      or
      Event of Default then exists, setting forth the details thereof and the action
      which the Borrower is taking or proposes to take with respect
      thereto.

     

    (d)  Default.
      Forthwith upon acquiring knowledge of the occurrence of any (i) Default or
      (ii)
      Event of Default, in either case a certificate of a vice president or the
      treasurer of the Borrower setting forth the details thereof and the action
      which
      the Borrower is taking or proposes to take with respect thereto.

     

    (e)  Change
      in Borrower’s Ratings.
      Upon
      the chief executive officer, the president, any vice president or any senior
      financial officer of the Borrower obtaining knowledge of any change in a
      Borrower’s Rating, a notice of such Borrower’s Rating in effect after giving
      effect to such change.

     

    (f)  Securities
      Laws Filing.
      Promptly when available and in any event within ten (10) days after the date
      such information is required to be delivered to the SEC, a copy of any Form
      10-K
      Report to the SEC and a copy of any Form 10-Q Report to the SEC, and promptly
      upon the filing thereof, any other filings with the SEC.

     

    (g)  ERISA
      Matters.
      If and
      when any member of the ERISA Group: (i) gives or is required to give notice
      to
      the PBGC of any “reportable event” (as defined in Section 4043 of ERISA) with
      respect to any Material Plan which might constitute grounds for a termination
      of
      such Plan under Title IV of ERISA, or knows that the plan administrator of
      any
      Material Plan has given or is required to give notice of any such reportable
      event, a copy of the notice of such reportable event given or required to be
      given to the PBGC; (ii) receives, with respect to any Material Plan that is
      a
      Multiemployer Plan, notice of any complete or partial withdrawal liability
      under
      Title IV of ERISA, or notice that any Multiemployer Plan is in reorganization,
      is insolvent or has been terminated, a copy of such notice; (iii) receives
      notice from the PBGC under Title IV of ERISA of an intent to terminate, impose
      material liability (other than for premiums under Section 4007 of ERISA) in
      respect of, or appoint a trustee to administer any Material Plan, a copy of
      such
      notice; (iv) applies for a waiver of the minimum funding standard under Section
      412 of the Internal Revenue Code with respect to a Material Plan, a copy of
      such
      application; (v) gives notice of intent to terminate any Plan under Section
      4041(c) of ERISA, a copy of such notice and other information filed with the
      PBGC; (vi) gives notice of withdrawal from any Plan pursuant to Section 4063
      of
      ERISA; or (vii) fails to make any payment or contribution to any Plan or makes
      any amendment to any Plan which has resulted or could result in the imposition
      of a lien or the posting of a bond or other security, a copy of such notice,
      a
      certificate of the chief accounting officer of the Borrower setting forth
      details as to such occurrence and action, if any, which the Borrower or
      applicable member of the ERISA Group is required or proposes to
      take.

     

    (h)  Other
      Information.
      From
      time to time such additional financial or other information regarding the
      financial condition, results of operations, properties, assets or business
      of
      the Borrower or any of its Subsidiaries as any Lender may reasonably request.
      

     

    The
      Borrower hereby acknowledges that (a) the Administrative Agent will make
      available to the Lenders and the Issuing Lender materials and/or information
      provided by or on behalf of the Borrower hereunder (collectively, “Borrower
      Materials”) by posting the Borrower Materials on IntraLinks or another similar
      electronic system (the “Platform”) and (b) certain of the Lenders may be
“public-side” Lenders (i.e., Lenders that do not wish to receive material
      non-public information with respect to the Borrower or its securities) (each,
      a
“Public Lender”). The Borrower hereby agrees that it will use commercially
      reasonable efforts to identify that portion of the Borrower Materials that
      may
      be distributed to the Public Lenders and that (w) all such Borrower Materials
      shall be clearly and conspicuously marked “PUBLIC” which, at a minimum, shall
      mean that the word “PUBLIC” shall appear prominently on the first page thereof;
      (x) by marking Borrower Materials “PUBLIC,” the Borrower shall be deemed to have
      authorized the Administrative Agent, the Issuing Lender and the Lenders to
      treat
      such Borrower Materials as not containing any material non-public information
      (although it may be sensitive and proprietary) with respect to the Borrower
      or
      its securities for purposes of United States Federal and state securities laws
      (provided,
      however,
      that to
      the extent such Borrower Materials constitute Information (as defined below),
      they shall be treated as set forth in Section 9.12); (y) all Borrower Materials
      marked “PUBLIC” are permitted to be made available through a portion of the
      Platform designated “Public Investor;” and (z) the Administrative Agent shall be
      entitled to treat any Borrower Materials that are not marked “PUBLIC” as being
      suitable only for posting (subject to Section 9.12) on a portion of the Platform
      not designated “Public Investor.” “Information”
means
      all information received from the Borrower or any of its Subsidiaries relating
      to the Borrower or any of its Subsidiaries or any of their respective
      businesses, other than any such information that is available to the
      Administrative Agent, any Lender or the Issuing Lender on a nonconfidential
      basis prior to disclosure by the Borrower or any of its Subsidiaries;
provided
      that, in
      the case of information received from the Borrower or any of its Subsidiaries
      after the date hereof, such information is clearly identified at the time of
      delivery as confidential. 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.

     

    Section
      6.02  Maintenance
      of Property; Insurance.

     

    (a)  Maintenance
      of Properties.
      The
      Borrower will keep, and will cause each of its Restricted Subsidiaries to keep,
      all property useful and necessary in their respective businesses in good working
      order and condition, subject to ordinary wear and tear, unless the Borrower
      determines in good faith that the continued maintenance of any of such
      properties is no longer economically desirable and so long as the failure to
      so
      maintain such properties would not reasonably be expected to have a Material
      Adverse Effect.

     

    (b)  Insurance.
      The
      Borrower will maintain, or cause to be maintained, insurance with financially
      sound (determined in the reasonable judgment of the Borrower) and responsible
      companies in such amounts (and with such risk retentions) and against such
      risks
      as is usually carried by owners of similar businesses and properties in the
      same
      general areas in which the Borrower and its Restricted Subsidiaries
      operate.

     

    Section
      6.03  Conduct
      of Business and Maintenance of Existence.
      The
      Borrower will (i) continue, and will cause each of its Restricted Subsidiaries
      to continue, to engage in businesses of the same general type as now conducted
      by the Borrower and its Subsidiaries and businesses related thereto or arising
      out of such businesses, except to the extent that the failure to maintain any
      existing business would not have a Material Adverse Effect and (ii) except
      as
      otherwise permitted in Section 6.08, preserve, renew and keep in full force
      and
      effect, and will cause each of its Subsidiaries to preserve, renew and keep
      in
      full force and effect, their respective limited liability company (or other
      entity) existence and their respective rights, privileges and franchises
      necessary or material to the normal conduct of business, except, in each case,
      where the failure to do so could not reasonably be expected to have a Material
      Adverse Effect.

     

    Section
      6.04  Compliance
      with Laws, Etc.

    The
      Borrower will comply, and will cause each of its Restricted Subsidiaries to
      comply, with all applicable laws, regulations and orders of any Governmental
      Authority, domestic or foreign, in respect of the conduct of its business and
      the ownership of its property (including, without limitation, compliance with
      all applicable ERISA and Environmental Laws and the requirements of any permits
      issued under such Environmental Laws), except to the extent (a) such compliance
      is being contested in good faith by appropriate proceedings or (b)
      non-compliance could not reasonably be expected to have a Material Adverse
      Effect.

     

    Section
      6.05  Books
      and Records.
      The
      Borrower (i) will keep, and will cause each of its Restricted Subsidiaries
      to
      keep, proper books of record and account in conformity with GAAP and (ii) will
      permit representatives of the Administrative Agent and each of the Lenders
      to
      visit and inspect any of their respective properties, to examine and make copies
      from any of their respective books and records and to discuss their respective
      affairs, finances and accounts with their officers, any employees and
      independent public accountants, all at such reasonable times and as often as
      may
      reasonably be desired; provided,
      that,
      the rights created in this Section 6.05 to “visit”, “inspect”, “discuss” and
      copy shall not extend to any matters which the Borrower deems, in good faith,
      to
      be confidential, unless the Administrative Agent and any such Lender agree
      in
      writing to keep such matters confidential.

     

    Section
      6.06  Use
      of Proceeds.
      The
      proceeds of the Loans made under this Agreement will be used by the Borrower
      for
      general corporate purposes, including as a commercial paper backstop, of the
      Borrower and its Subsidiaries. The Borrower will request the issuance of Letters
      of Credit solely for general corporate purposes of the Borrower and its
      Subsidiaries. No such use of the proceeds for general corporate purposes will
      be, directly or indirectly, for the purpose, whether immediate, incidental
      or
      ultimate, of buying or carrying any Margin Stock within the meaning of
      Regulation U.

     

    Section
      6.07  Restriction
      on Liens.
      The
      Borrower will not, nor will it permit any of its Restricted Subsidiaries to,
      create, incur, assume or suffer to exist any Lien upon or with respect to any
      property or assets of any kind (real or personal, tangible or intangible) of
      the
      Borrower or any such Restricted Subsidiary (including, without limitation,
      their
      Voting Stock), except:

     

    (a)  Liens
      for
      taxes, assessments or governmental charges or levies not yet due or which are
      being contested in good faith and by appropriate proceedings and for which
      adequate reserves in accordance with GAAP shall have been set aside on its
      books;

     

    (b)  Liens
      imposed by law, such as carriers’, landlords’, warehousemen’s and mechanics’
liens and other similar liens arising in the ordinary course of business which
      secure payment of obligations not more than 45 days past due or which are being
      contested in good faith by appropriate proceedings and for which adequate
      reserves in accordance with GAAP shall have been set aside on its
      books;

     

    (c)  Liens
      arising out of pledges or deposits under worker’s compensation laws,
      unemployment insurance, old age pensions, or other social security or retirement
      benefits, or similar legislation;

     

    (d)  easements
      (including, without limitation, reciprocal easement agreements and utility
      agreements), rights-of-way, covenants, consents, reservations, encroachments,
      variances and other restrictions, charges or encumbrances (whether or not
      recorded) affecting the use of real property;

     

    (e)  Liens
      existing on the Closing Date and described in Schedule 6.07 hereto;

     

    (f)  judgment
      Liens arising from judgments which secure payment of legal obligations that
      would not constitute a Default under Section 7.01;

     

    (g)  any
      vendor’s Liens, purchase money Liens or any other Lien on any property or asset
      acquired by the Borrower or any of its Restricted Subsidiaries after the date
      hereof existing on any such property or asset at the time of acquisition thereof
      (and not created in anticipation thereof); provided,
      that,
      in any such case no such Lien shall extend to or cover any other asset of the
      Borrower or such Restricted Subsidiaries, as the case may be;

     

    (h)  Liens,
      deposits and/or similar arrangements to secure the performance of bids, tenders
      or contracts (other than contracts for borrowed money), public or statutory
      obligations, surety and appeal bonds, performance bonds and other obligations
      of
      a like nature incurred in the ordinary course of business by the Borrower or
      any
      of its Restricted Subsidiaries, including Liens to secure obligations under
      agreements relating to the purchase and sale of any commodity (including power
      purchase and sale agreements, any commodity hedge or derivative regardless
      of
      whether any such transaction is a “financial” or “physical
      transaction”);

     

    (i)  Liens
      on
      assets of the Borrower and its Restricted Subsidiaries arising out of
      obligations or duties to any municipality or public authority with respect
      to
      any franchise, grant, license, permit or certificate.

     

    (j)  rights
      reserved to or vested in any municipality or public authority to control or
      regulate any asset of the Borrower or any of its Restricted Subsidiaries or
      to
      use such asset in a manner which does not materially impair the use of such
      asset for the purposes for which it is held by the Borrower or any of its
      Restricted Subsidiaries;

     

    (k)  irregularities
      in or deficiencies of title to any asset which do not materially adversely
      affect the use of such property by the Borrower or any of its Restricted
      Subsidiaries in the normal course of its business;

     

    (l)  any
      Lien
      on any property or asset of any corporation or other entity existing at the
      time
      such corporation or entity is acquired, merged or consolidated or amalgamated
      with or into the Borrower or any of its Restricted Subsidiaries and not created
      in contemplation of such event;

     

    (m)  any
      Lien
      on any asset securing Debt incurred or assumed for the purpose of financing
      all
      or any part of the cost of acquiring, constructing or improving such asset;
      provided,
      that
      any such Lien attaches to such asset, solely to extent of the value of the
      obligation secured by such Lien, concurrently with or within 180 days after
      the
      acquisition, construction or improvement thereof:

     

    (n)  any
      Liens
      in connection with the issuance of tax-exempt industrial development or
      pollution control bonds or other similar bonds issued pursuant to Section 103(b)
      of the Internal Revenue Code of 1986, as amended, to finance all or any part
      of
      the purchase price of or the cost of constructing, equipping or improving
      property;

     

    (o)  rights
      of
      lessees arising under leases entered into by the Borrower or any of its
      Restricted Subsidiaries as lessor, in the ordinary course of
      business;

     

    (p)  any
      Liens
      on or reservations with respect to governmental and other licenses, permits,
      franchises, consents and allowances; any Liens on patents, patent licenses
      and
      other patent rights, patent applications, trade names, trademarks, copyrights,
      claims, credits, choses in action and other intangible property and general
      intangibles including, but not limited to, computer software;

     

    (q)  any
      Liens
      on automobiles, buses, trucks and other similar vehicles and movable equipment;
      marine equipment; airplanes, helicopters and other flight equipment; and parts,
      accessories and supplies used in connection with any of the
      foregoing;

     

    (r)  any
      Liens
      on furniture and furnishings; and computers and data processing, data storage,
      data transmission, telecommunications and other facilities, equipment and
      apparatus, which, in any case, are used primarily for administrative or clerical
      purposes;

     

    (s)  Liens
      securing letters of credit entered into in the ordinary course of
      business;

     

    (t)  Liens
      granted on the capital stock of Subsidiaries that are not Restricted
      Subsidiaries for the purpose of securing the obligations of such
      Subsidiaries;

     

    (u)  Liens
      in
      addition to those permitted by clauses (a) through (t) on the property or assets
      of a Special Purpose Subsidiary arising in connection with the Lower Mt. Bethel
      Lease Financing or the lease of such property or assets through one or more
      other lease financings;

     

    (v)  Liens
      by
      any Wholly Owned Subsidiary of the Borrower or any Restricted Subsidiary for
      the
      benefit of the Borrower or any such Restricted Subsidiary;

     

    (w)  Liens
      on
      property which is the subject of a Capital Lease Obligation designating the
      Borrower or any of its Restricted Subsidiaries as lessee and all right, title
      and interest of the Borrower or any of its Restricted Subsidiaries in and to
      such property and in, to and under such lease agreement, whether or not such
      lease agreement is intended as a security; provided,
      that
      the aggregate fair market value of the obligations subject to such Liens shall
      not at any time exceed $500,000,000;

     

    (x)  Liens
      on
      property which is the subject of one or more leases designating the Borrower
      or
      any of its Restricted Subsidiaries as lessee and all right, title and interest
      of the Borrower or any of its Restricted Subsidiaries in and to such property
      and in, to and under any such lease agreement, whether or not any such lease
      agreement is intended as a security;

     

    (y)  Liens
      arising out of the refinancing, extension, renewal or refunding of any Debt
      or
      other obligation secured by any Lien permitted by clauses (a) through (x) of
      this Section; provided,
      that
      such Debt or other obligation is not increased and is not secured by any
      additional assets;

     

    (z)  other
      Liens on assets or property of the Borrower or any of its Restricted
      Subsidiaries, so long as the aggregate value of the obligations secured by
      such
      Liens does not exceed the greater of $250,000,000 or 15% of the total
      consolidated assets of the Borrower and its Consolidated Subsidiaries as of
      the
      most recent fiscal quarter of the Borrower for which financial statements are
      available.

     

    Section
      6.08  Merger
      or Consolidation.
      The
      Borrower will not merge with or into or consolidate with or into any other
      corporation or entity, unless (i) immediately after giving effect thereto,
      no
      event shall occur and be continuing which constitutes a Default or Event
      Default, (ii) the surviving or resulting Person, as the case may be, assumes
      and
      agrees in writing to pay and perform all of the obligations of the Borrower
      under this Agreement, (iii) substantially all of the consolidated assets and
      consolidated revenues of the surviving or resulting person, as the case may
      be,
      are anticipated to come from the utility or energy businesses and (iv) the
      surviving or resulting person, as the case may be, has senior long-term debt
      ratings from at least two Rating Agencies that are at least equal to each
      Borrower’s Rating at the end of the fiscal quarter immediately preceding the
      effective date of such consolidation or merger. No Restricted Subsidiary will
      merge or consolidate with any other Person if such Restricted Subsidiary is
      not
      the surviving or resulting Person, unless such other Person is (a) the Borrower
      or a successor of the Borrower permitted hereunder or (b) any other Person
      which
      is a Wholly Owned Restricted Subsidiary of the Borrower or a successor of the
      Borrower permitted hereunder.

     

    Section
      6.09  Asset
      Sales.
      Except
      for the sale of assets required to be sold to conform with governmental
      requirements, the Borrower shall not, and shall not permit any of its Restricted
      Subsidiaries to, consummate any Asset Sale, if the aggregate net book value
      of
      all such Asset Sales consummated during the four calendar quarters immediately
      preceding any date of determination would exceed 25% of the total assets of
      the
      Borrower and its Consolidated Subsidiaries as of the beginning of the Borrower’s
      most recently ended full fiscal quarter; provided,
      however,
      that
      any such Asset Sale will be disregarded for purposes of the 25% limitation
      specified above: (a) if any such Asset Sale is in the ordinary course of
      business of the Borrower and its Subsidiaries; (b) if the assets subject to
      any
      such Asset Sale are worn out or are no longer useful or necessary in connection
      with the operation of the businesses of the Borrower or its Subsidiaries;
      (c) if the assets subject to any such Asset Sale are being transferred to a
      Wholly Owned Subsidiary of the Borrower; (d) if the proceeds from any such
      Asset
      Sale (i) are, within twelve (12) months of such Asset Sale, invested or
      reinvested by the Borrower or any Subsidiary in a Permitted Business, (ii)
      are
      used by the Borrower or a Subsidiary to repay Debt of the Borrower or such
      Subsidiary, or (iii) are retained by the Borrower or its Subsidiaries; or (e)
      if, prior to any such Asset Sale, at least two Rating Agencies confirm the
      then-current Borrower Ratings after giving effect to any such Asset
      Sale.

     

    Section
      6.10  Restrictive
      Agreements.
      Except
      as set forth in Schedule 6.10, the Borrower will not permit any of its
      Restricted Subsidiaries to enter into or assume any agreement prohibiting or
      otherwise restricting the ability of any Restricted Subsidiary to pay dividends
      or other distributions on its respective equity and equity equivalents to the
      Borrower or any of its Restricted Subsidiaries.

     

    Section
      6.11  Consolidated
      Debt to Consolidated Capitalization Ratio.
      The
      ratio of Consolidated Debt of the Borrower to Consolidated Capitalization of
      the
      Borrower shall not exceed 65% at any time.

     

    Section
      6.12  Indebtedness.
      The
      Borrower will not permit any of its Restricted Subsidiaries to incur, create,
      assume or permit to exist any Debt of such Restricted Subsidiaries
      except:

     

    (a)  Existing
      Debt and any extensions, renewals or refinancings thereof;

     

    (b)  Debt
      owing to the Borrower or a Wholly Owned Restricted Subsidiary;

     

    (c)  any
      Debt
      incurred in respect of the Lower Mt. Bethel Lease Financing;

     

    (d)  Non-Recourse
      Debt; and

     

    (e)  other
      Debt, the aggregate principal amount of which does not exceed $500,000,000
      at
      any time.

     

    ARTICLE
      VII

     

    DEFAULTS

     

    Section
      7.01  Events
      of Default.
      If one
      or more of the following events (each an “Event of Default”) shall have occurred
      and be continuing:

     

    (a)  the
      Borrower shall fail to pay when due any principal of the Loans or shall fail
      to
      reimburse when due any drawing under any Letter of Credit; or

     

    (b)  the
      Borrower shall fail to pay when due any interest on the Loans and Reimbursement
      Obligations, any fee or any other amount payable hereunder or under any other
      Loan Document for five (5) days following the date such payment becomes due
      hereunder; or

     

    (c)  the
      Borrower shall fail to observe or perform any covenant or agreement contained
      in
      clause (ii) of Section 6.05, or Sections 6.06, 6.08, 6.09, 6.11 or 6.12;
      or

     

    (d)  the
      Borrower shall fail to observe or perform any covenant or agreement contained
      in
      Section 6.01(d)(i) for 30 days after any such failure or in Section 6.01(d)(ii)
      for ten (10) days after any such failure; or

     

    (e)  the
      Borrower shall fail to observe or perform any covenant or agreement contained
      in
      this Agreement or any other Loan Document (other than those covered by clauses
      (a), (b), (c) or (d) above) for thirty (30) days after written notice thereof
      has been given to the defaulting party by the Administrative Agent, or at the
      request of the Required Lenders; or

     

    (f)  any
      representation, warranty or certification made by the Borrower in this Agreement
      or any other Loan Document or in any certificate, financial statement or other
      document delivered pursuant hereto or thereto shall prove to have been incorrect
      in any material respect when made or deemed made; or

     

    (g)  the
      Borrower or any Restricted Subsidiary shall (i) fail to pay any principal or
      interest, regardless of amount, due in respect of any Material Debt beyond
      any
      period of grace provided with respect thereto, or (ii) fail to observe or
      perform any other term, covenant, condition or agreement contained in any
      agreement or instrument evidencing or governing any such Material Debt beyond
      any period of grace provided with respect thereto if the effect of any failure
      referred to in this clause (ii) is to cause, or to permit the holder or holders
      of such Debt or a trustee on its or their behalf to cause, such Debt to become
      due prior to its stated maturity; or

     

    (h)  the
      Borrower or any Restricted Subsidiary of the Borrower shall commence a voluntary
      case or other proceeding seeking liquidation, reorganization or other relief
      with respect to itself or its debts under any bankruptcy, insolvency or other
      similar law now or hereafter in effect or seeking the appointment of a trustee,
      receiver, liquidator, custodian or other similar official of it or any
      substantial part of its property, or shall consent to any such relief or to
      the
      appointment of or taking possession by any such official in an involuntary
      case
      or other proceeding commenced against it, or shall make a general assignment
      for
      the benefit of creditors, or shall fail generally to pay, or shall admit in
      writing its inability to pay, its debts as they become due, or shall take any
      corporate action to authorize any of the foregoing; or

     

    (i)  an
      involuntary case or other proceeding shall be commenced against the Borrower
      or
      any Restricted Subsidiary seeking liquidation, reorganization or other relief
      with respect to it or its debts under any bankruptcy, insolvency or other
      similar law now or hereafter in effect or seeking the appointment of a trustee,
      receiver, liquidator, custodian or other similar official of it or any
      substantial part of its property, and such involuntary case or other proceeding
      shall remain undismissed and unstayed for a period of 60 days; or an order
      for
      relief shall be entered against the Borrower or any Restricted Subsidiary under
      the Bankruptcy Code; or

     

    (j)  any
      member of the ERISA Group shall fail to pay when due an amount or amounts
      aggregating in excess of $25,000,000 which it shall have become liable to pay
      under Title IV of ERISA; or notice of intent to terminate a Material Plan shall
      be filed under Title IV of ERISA by any member of the ERISA Group, any plan
      administrator or any combination of the foregoing; or the PBGC shall institute
      proceedings under Title IV of ERISA to terminate, to impose liability (other
      than for premiums under Section 4007 of ERISA) in respect of, or to cause a
      trustee to be appointed to administer any Material Plan; or a condition shall
      exist by reason of which the PBGC would be entitled to obtain a decree
      adjudicating that any Material Plan must be terminated; or there shall occur
      a
      complete or partial withdrawal from, or default, within the meaning of Section
      4219(c)(5) of ERISA, with respect to, one or more Multiemployer Plans which
      could reasonably be expected to cause one or more members of the ERISA Group
      to
      incur a current payment obligation in excess of $25,000,000; or

     

    (k)  the
      Borrower or any of its Restricted Subsidiaries shall fail within sixty (60)
      days
      to pay, bond or otherwise discharge any judgment or order for the payment of
      money in excess of $20,000,000, entered against the Borrower or any such
      Restricted Subsidiary that is not stayed on appeal or otherwise being
      appropriately contested in good faith; or

     

    (l)  a
      Change
      of Control shall have occurred;

     

    then,
      and
      in every such event, while such event is continuing, the Administrative Agent
      may (A) if requested by the Required Lenders, by notice to the Borrower
      terminate the Commitments, and the Commitments shall thereupon terminate, and
      (B) if requested by the Lenders holding more than 50% of the sum of the
      aggregate outstanding principal amount of the Loans and Letter of Credit
      Liabilities at such time, by notice to the Borrower declare the Loans and Letter
      of Credit Liabilities (together with accrued interest and accrued and unpaid
      fees thereon) to be, and the Loans and Letter of Credit Liabilities shall
      thereupon become, immediately due and payable without presentment, demand,
      protest or other notice of any kind (except as set forth in clause (A) above),
      all of which are hereby waived by the Borrower and require the Borrower to,
      and
      the Borrower shall, cash collateralize (in accordance with Section 2.09(a)(ii))
      all Letter of Credit Liabilities then outstanding; provided,
      that,
      in the case of any Default or any Event of Default specified in clause 7.01(h)
      or 7.01(i) above with respect to the Borrower, without any notice to the
      Borrower or any other act by the Administrative Agent or any Lender, the
      Commitments shall thereupon terminate and the Loans and Letter of Credit
      Liabilities (together with accrued interest and accrued and unpaid fees thereon)
      shall become immediately due and payable without presentment, demand, protest
      or
      other notice of any kind, all of which are hereby waived by the Borrower, and
      the Borrower shall cash collateralize (in accordance with Section 2.09(a)(ii))
      all Letter of Credit Liabilities then outstanding.

     

    ARTICLE
      VIII

     

    THE
      AGENTS

     

    Section
      8.01  Appointment
      and Authorization.
      Each
      Lender hereby irrevocably designates and appoints the Administrative Agent
      to
      act as specified herein and in the other Loan Documents and to take such actions
      on its behalf under the provisions of this Agreement and the other Loan
      Documents and perform such duties as are expressly delegated to the
      Administrative Agent by the terms of this Agreement and the other Loan
      Documents, together with such other powers as are reasonably incidental thereto.
      The Administrative Agent agrees to act as such upon the express conditions
      contained in this Article VIII. Notwithstanding any provision to the contrary
      elsewhere in this Agreement or in any other Loan Document, the Administrative
      Agent shall not have any duties or responsibilities, except those expressly
      set
      forth herein or in the other Loan Documents, or 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 the Administrative Agent. The provisions of this Article VIII are solely
      for the benefit of the Administrative Agent and Lenders, and no other Person
      shall have any rights as a third party beneficiary of any of the provisions
      hereof. For the sake of clarity, the Lenders hereby agree that neither the
      Syndication Agents, the Joint Lead Arrangers nor the Documentation Agents shall
      have any duties or powers with respect to this Agreement or the other Loan
      Documents.

     

    Section
      8.02  Individual
      Capacity.
      The
      Administrative Agent and its Affiliates may make loans to, accept deposits
      from
      and generally engage in any kind of business with the Borrower and its
      Affiliates as though the Administrative Agent were not an Agent. With respect
      to
      the Loans made by it and all obligations owing to it, the Administrative Agent
      shall have the same rights and powers under this Agreement as any Lender and
      may
      exercise the same as though it were not an Agent, and the terms “Required
      Lenders”, “Lender” and “Lenders” shall include the Administrative Agent in its
      individual capacity.

     

    Section
      8.03  Delegation
      of Duties.
      The
      Administrative Agent may execute any of its duties under this Agreement or
      any
      other Loan Document by or through agents or attorneys-in-fact. The
      Administrative Agent shall not be responsible for the negligence or misconduct
      of any agents or attorneys-in-fact selected by it with reasonable care except
      to
      the extent otherwise required by Section 8.07.

     

    Section
      8.04  Reliance
      by the Administrative Agent.
      The
      Administrative Agent shall be entitled to rely, and shall be fully protected
      in
      relying, upon any note, writing, resolution, notice, consent, certificate,
      affidavit, letter, telecopy or other electronic facsimile transmission, telex,
      telegram, cable, teletype, electronic transmission by modem, computer disk
      or
      any other message, statement, order or other writing or conversation believed
      by
      it to be genuine and correct and to have been signed, sent or made by the proper
      Person or Persons and upon advice and statements of legal counsel (including,
      without limitation, counsel to the Borrower), independent accountants and other
      experts selected by the Administrative Agent. The Administrative Agent shall
      be
      fully justified in failing or refusing to take any action under this Agreement
      or any other Loan Document unless it shall first receive such advice or
      concurrence of the Required Lenders, or all of the Lenders, if applicable,
      as it
      deems appropriate or it shall first be indemnified to its satisfaction by the
      Lenders against any and all liability and expense which may be incurred by
      it by
      reason of taking or continuing to take any such action. The Administrative
      Agent
      shall in all cases be fully protected in acting, or in refraining from acting,
      under this Agreement and the other Loan Documents in accordance with a request
      of the Required Lenders or all of the Lenders, if applicable, and such request
      and any action taken or failure to act pursuant thereto shall be binding upon
      all of the Lenders.

     

    Section
      8.05  Notice
      of Default.
      The
      Administrative Agent shall not be deemed to have knowledge or notice of the
      occurrence of any Default or Event of Default hereunder unless the
      Administrative Agent has received notice from a Lender or the Borrower referring
      to this Agreement, describing such Default or Event of Default and stating
      that
      such notice is a “notice of default”. If the Administrative Agent receives such
      a notice, the Administrative Agent shall give prompt notice thereof to the
      Lenders. The Administrative Agent shall take such action with respect to such
      Default or Event of Default as shall be reasonably directed by the Required
      Lenders; provided,
      that,
      unless and until the Administrative Agent shall have received such directions,
      the Administrative Agent may (but shall not be obligated to) take such action,
      or refrain from taking such action, with respect to such Default or Event of
      Default as it shall deem advisable in the best interests of the
      Lenders.

     

    Section
      8.06  Non-Reliance
      on the Agents and Other Lenders.
      Each
      Lender expressly acknowledges that no Agent or officer, director, employee,
      agent, attorney-in-fact or affiliate of any Agent has made any representations
      or warranties to it and that no act by any Agent hereafter taken, including
      any
      review of the affairs of the Borrower, shall be deemed to constitute any
      representation or warranty by such Agent to any Lender. Each Lender represents
      to the Agents that it has, independently and without reliance upon any Agent
      or
      any other Lender, and based on such documents and information as it has deemed
      appropriate, made its own appraisal of and investigation into the business,
      assets, operations, property, financial and other condition, prospects and
      creditworthiness of the Borrower and made its own decision to make its Loans
      hereunder and to enter into this Agreement. Each Lender also represents that
      it
      will, independently and without reliance upon any Agent or any other Lender,
      and
      based on such documents and information as it shall deem appropriate at the
      time, continue to make its own credit analysis, appraisals and decisions in
      taking or not taking action under this Agreement, and to make such investigation
      as it deems necessary to inform itself as to the business, assets, operations,
      property, financial and other condition, prospects and creditworthiness of
      the
      Borrower. No Agent shall have any duty or responsibility to provide any Lender
      with any credit or other information concerning the business, operations,
      assets, property, financial and other condition, prospects or creditworthiness
      of the Borrower which may come into the possession of such Agent or any of
      its
      officers, directors, employees, agents, attorneys-in-fact or
      affiliates.

     

    Section
      8.07  Exculpatory
      Provisions.
      The
      Administrative Agent shall not, and no officers, directors, employees, agents,
      attorneys-in-fact or affiliates of the Administrative Agent, shall (i) be liable
      for any action lawfully taken or omitted to be taken by it under or in
      connection with this Agreement or any other Loan Document (except for its own
      gross negligence, willful misconduct or bad faith) or (ii) be responsible in
      any
      manner to any of the Lenders for any recitals, statements, representations
      or
      warranties made by the Borrower or any of its officers contained in this
      Agreement, in any other Loan Document or in any certificate, report, statement
      or other document referred to or provided for in, or received by the
      Administrative Agent under or in connection with, this Agreement or any other
      Loan Document or for any failure of the Borrower or any of its officers to
      perform its obligations hereunder or thereunder. The Administrative Agent shall
      not be under any obligation to any Lender to ascertain or to inquire as to
      the
      observance or performance of any of the agreements contained in, or conditions
      of, this Agreement or any other Loan Document, or to inspect the properties,
      books or records of the Borrower. The Administrative Agent shall not be
      responsible to any Lender for the effectiveness, genuineness, validity,
      enforceability, collectibility or sufficiency of this Agreement or any other
      Loan Document or for any representations, warranties, recitals or statements
      made by any other Person herein or therein or made by any other Person in any
      written or oral statement or in any financial or other statements, instruments,
      reports, certificates or any other documents in connection herewith or therewith
      furnished or made by the Administrative Agent to the Lenders or by or on behalf
      of the Borrower to the Administrative Agent or any Lender or be required to
      ascertain or inquire as to the performance or observance of any of the terms,
      conditions, provisions, covenants or agreements contained herein or therein
      or
      as to the use of the proceeds of the Loans or of the existence or possible
      existence of any Default or Event of Default.

     

    Section
      8.08  Indemnification.
      To the
      extent that the Borrower for any reason fails to indefeasibly pay any amount
      required under Sections 9.03(a), (b) or (c) to be paid by it to the
      Administrative Agent (or any sub-agent thereof), the Lenders agree to indemnify
      the Administrative Agent, in its capacity as such, and hold the Administrative
      Agent, in its capacity as such, harmless ratably according to their respective
      Commitments or, in the event the Term-Out option has been exercised pursuant
      to
      Section 2.20, according to the ratio which the principal amount of Term Loans
      held by such Lender bears to the aggregate of all outstanding Term Loans, from
      and against any and all liabilities, obligations, losses, damages, penalties,
      actions, judgments, suits, costs and reasonable expenses or disbursements of
      any
      kind whatsoever which may at any time (including, without limitation, at any
      time following the full payment of the obligations of the Borrower hereunder)
      be
      imposed on, incurred by or asserted against the Administrative Agent, in its
      capacity as such, in any way relating to or arising out of this Agreement or
      any
      other Loan Document, or any documents contemplated hereby or referred to herein
      or the transactions contemplated hereby or any action taken or omitted to be
      taken by the Administrative Agent under or in connection with any of the
      foregoing, but only to the extent that any of the foregoing is not paid by
      the
      Borrower; provided,
      that no
      Lender shall be liable to the Administrative Agent for the payment of any
      portion of such liabilities, obligations, losses, damages, penalties, actions,
      judgments, suits, costs or expenses or disbursements resulting from the gross
      negligence, willful misconduct or bad faith of the Administrative Agent. If
      any
      indemnity furnished to the Administrative Agent for any purpose shall, in the
      reasonable opinion of the Administrative Agent, be insufficient or become
      impaired, the Administrative Agent may call for additional indemnity and cease,
      or not commence, to do the acts indemnified against until such additional
      indemnity is furnished. The agreement in this Section 8.08 shall survive the
      payment of all Loans, Letter of Credit Liabilities, fees and other obligations
      of the Borrower arising hereunder.

     

    Section
      8.09  Resignation;
      Successors.
      The
      Administrative Agent may resign as Administrative Agent upon twenty (20) days’
notice to the Lenders. Upon the resignation of the Administrative Agent, the
      Required Lenders shall appoint from among the Lenders a successor to the
      Administrative Agent, subject to prior approval by the Borrower (so long as
      no
      Event of Default exists) and the consent of the Required Lenders (such approval
      or consent, as the case may be, not to be unreasonably withheld), whereupon
      such
      successor Administrative Agent shall succeed to the rights, powers and duties
      of
      the retiring Administrative Agent, and the term “Administrative Agent” shall
      include such successor Administrative Agent effective upon its appointment,
      and
      the retiring Administrative Agent’s rights, powers and duties as Administrative
      Agent shall be terminated, without any other or further act or deed on the
      part
      of such former Administrative Agent or any of the parties to this Agreement
      or
      any other Loan Document. After the retiring Administrative Agent’s resignation
      hereunder as Administrative Agent, the provisions of this Article VIII shall
      inure to its benefit as to any actions taken or omitted to be taken by it while
      it was Administrative Agent under this Agreement or any other Loan Document.
      Any
      resignation by Wachovia Bank, National Association, as Administrative Agent
      pursuant to this Section shall also constitute its resignation as Issuing Lender
      and Swingline Lender. Upon the acceptance of a successor’s appointment as
      Administrative Agent hereunder, (a) such successor shall succeed to and become
      vested with all of the rights, powers, privileges and duties of the retiring
      Issuing Lender and Swingline Lender, (b) the retiring Issuing Lender and
      Swingline Lender shall be discharged from all of their respective duties and
      obligations hereunder or under the other Loan Documents, and (c) the successor
      Issuing Lender shall issue letters of credit in substitution for the Letters
      of
      Credit, if any, outstanding at the time of such succession or make other
      arrangement satisfactory to the retiring Issuing Lender to effectively assume
      the obligations of the retiring Issuing Lender with respect to such Letters
      of
      Credit.

     

    Section
      8.10  Administrative
      Agent’s Fees.
      The
      Borrower shall pay to the Administrative Agent for its own account fees in
      the
      amount and at the times agreed upon between the Borrower, the Administrative
      Agent and Wachovia Securities pursuant to the Fee Letter.

     

    ARTICLE
      IX

     

    MISCELLANEOUS

     

    Section
      9.01  Notices.
      Except
      as otherwise expressly provided herein, all notices and other communications
      hereunder shall be in writing (for purposes hereof, the term “writing” shall
      include information in electronic format such as electronic mail and internet
      web pages) or by telephone subsequently confirmed in writing; provided
      that the
      foregoing shall not apply to notices to any Lender, Swingline Lender or Issuing
      Lender pursuant to Article II or Article III, as applicable, if such Lender,
      Swingline Lender or Issuing Lender, as applicable, has notified the
      Administrative Agent that it is incapable of receiving notices under such
      Article in electronic format. Any notice shall have been duly given and shall
      be
      effective if delivered by hand delivery or sent via electronic mail, telecopy,
      recognized overnight courier service or certified or registered mail, return
      receipt requested, or posting on an internet web page, and shall be presumed
      to
      be received by a party hereto (i) on the date of delivery if delivered by hand
      or sent by electronic mail, posting on an internet web page, or telecopy, (ii)
      on the Business Day following the day on which the same has been delivered
      prepaid (or on an invoice basis) to a reputable national overnight air courier
      service or (iii) on the third Business Day following the day on which the same
      is sent by certified or registered mail, postage prepaid, in each case to the
      respective parties at the address or telecopy numbers, in the case of the
      Borrower and the Administrative Agent, set forth below, and, in the case of
      the
      Lenders, set forth on signature pages hereto, or at such other address as such
      party may specify by written notice to the other parties hereto:

     

    if
      to the
      Borrower:

     

    PPL
      Energy Supply, LLC

    Two
      North
      Ninth Street (GENTW14)

    Allentown,
      Pennsylvania 18101-1179

    Attention:
      Russell R. Clelland

    Telephone:
      610-774-5151

    Facsimile:
      610-774-5235

     

    with
      a
      copy to:

     

    PPL
      Energy Supply, LLC

    Two
      North
      Ninth Street (GENTW3)

    Allentown,
      Pennsylvania 18101-1179

    Attention:
      Michael A. McGrail, Esq.

    Telephone:
      610-774-5644

    Facsimile:
      610-774-6726

     

    if
      to the
      Administrative Agent:

     

    Wachovia
      Bank, National Association

    One
      Wachovia Center

    301
      South
      College Street - 15th
      Floor,
      NC 5562

    Charlotte,
      North Carolina 28288

    Attention:
      Rick Price

    Telephone:
      704-374-4062

    Facsimile:
      704-383-6647

     

    with
      a
      copy to:

     

    Wachovia
      Bank, National Association

    201
      South
      College Street, 23rd Floor

    Charlotte,
      North Carolina 28288

    Attention:
      Syndications Agency Services

    Telephone:
      704-383-3721

    Facsimile:
      704-383-0288

     

    with
      a
      copy to:

     

    Kennedy
      Covington Lobdell & Hickman, L.L.P.

    214
      North
      Tryon Street, Suite 4700

    Charlotte,
      North Carolina 28202

    Attention:
      Raymond S. Koloski, Esq.

    Telephone
      : 704-331-7487

    Facsimile:
      704-353-3487

     

    Section
      9.02  No
      Waivers; Non-Exclusive Remedies.
      No
      failure by any Agent or any Lender to exercise, no course of dealing with
      respect to, and no delay in exercising any right, power or privilege hereunder
      or under any Note or other Loan Document shall operate as a waiver thereof
      nor
      shall any single or partial exercise thereof preclude any other or further
      exercise thereof or the exercise of any other right, power or privilege. The
      rights and remedies provided herein and in the other Loan Documents shall be
      cumulative and not exclusive of any rights or remedies provided by
      law.

     

    Section
      9.03  Expenses;
      Indemnification.

     

    (a)  Expenses.
      The
      Borrower shall pay (i) all out-of-pocket expenses of the Agents, including
      legal
      fees and disbursements of Kennedy Covington Lobdell & Hickman, L.L.P. and
      any other local counsel retained by the Administrative Agent, in its reasonable
      discretion, in connection with the preparation, execution, delivery and
      administration of the Loan Documents, the syndication efforts of the Agents
      with
      respect thereto, any waiver or consent thereunder or any amendment thereof
      or
      any Default or alleged Default thereunder and (ii) if an Event of Default
      occurs, all reasonable out-of-pocket expenses incurred by the Agents and each
      Lender, including (without duplication) the fees and disbursements of outside
      counsel, in connection with such Event of Default and restructuring, workout,
      collection, bankruptcy, insolvency and other enforcement proceedings resulting
      therefrom; provided,
      that
      the Borrower shall not be liable for any legal fees or disbursements of any
      counsel for the Agents and the Lenders other than Kennedy Covington Lobdell
      & Hickman, L.L.P. associated with the preparation, execution and delivery of
      this Agreement and the closing documents contemplated hereby.

     

    (b)  Indemnity
      in Respect of Loan Documents.
      The
      Borrower agrees to indemnify the Agents and each Lender, their respective
      Affiliates and the respective directors, officers, trustees, agents and
      employees of the foregoing (each an “Indemnitee”) and hold each Indemnitee
      harmless from and against any and all liabilities, obligations, losses, damages,
      penalties, actions, judgments, suits, costs and expenses or disbursements of
      any
      kind whatsoever (including, without limitation, the reasonable fees and
      disbursements of counsel and any civil penalties or fines assessed by OFAC),
      which may at any time (including, without limitation, at any time following
      the
      payment of the obligations of the Borrower hereunder) be imposed on, incurred
      by
      or asserted against such Indemnitee in connection with any investigative,
      administrative or judicial proceeding (whether or not such Indemnitee shall
      be
      designated a party thereto) brought or threatened relating to or arising out
      of
      the Loan Documents or any actual or proposed use of proceeds of Loans hereunder;
      provided,
      that no
      Indemnitee shall have the right to be indemnified hereunder for such
      Indemnitee’s own gross negligence or willful misconduct as determined by a court
      of competent jurisdiction in a final, non-appealable judgment or
      order.

     

    (c)  Indemnity
      in Respect of Environmental Liabilities.
      The
      Borrower agrees to indemnify each Lender and hold each Lender harmless from
      and
      against any and all liabilities, obligations, losses, damages, penalties,
      actions, judgments, suits, costs and expenses or disbursements of any kind
      whatsoever (including, without limitation, reasonable expenses of investigation
      by engineers, environmental consultants and similar technical personnel and
      reasonable fees and disbursements of counsel) which may at any time (including,
      without limitation, at any time following the payment of the obligations of
      the
      Borrower hereunder) be imposed on, incurred by or asserted against such Lender
      in respect of or in connection with any and all Environmental Liabilities.
      Without limiting the generality of the foregoing, the Borrower hereby waives
      all
      rights of contribution or any other rights of recovery with respect to
      liabilities, obligations, losses, damages, penalties, actions, judgments, suits,
      costs and expenses and disbursements in respect of or in connection with
      Environmental Liabilities that it might have by statute or otherwise against
      any
      Lender. 

     

    (d)  Waiver
      of Damages.
      To the
      fullest extent permitted by applicable law, the Borrower shall not assert,
      and
      hereby waives, any claim against any Indemnitee, on any theory of liability,
      for
      special, indirect, consequential or punitive damages (as opposed to direct
      or
      actual damages) arising out of, in connection with, or as a result of, this
      Agreement, any other Loan Document or any agreement or instrument contemplated
      hereby, the transactions contemplated hereby or thereby, any Loan or Letter
      of
      Credit or the use of the proceeds thereof. No Indemnitee referred to in clause
      (b) above shall be liable for any damages arising from the use by unintended
      recipients of any information or other materials distributed by it through
      telecommunications, electronic or other information transmission systems in
      connection with this Agreement or the other Loan Documents or the transactions
      contemplated hereby or thereby; provided that nothing in this Section 9.03(d)
      shall relieve any Lender from its obligations under Section 9.12.

     

    Section
      9.04  Sharing
      of Set-Offs.
      Each
      Lender agrees that if it shall, by exercising any right of set-off or
      counterclaim or otherwise, receive payment of a proportion of the aggregate
      amount of principal and interest due with respect to any Loan made or Note
      held
      by it and any Letter of Credit Liabilities which is greater than the proportion
      received by any other Lender in respect of the aggregate amount of principal
      and
      interest due with respect to any Loan, Note and Letter of Credit Liabilities
      made or held by such other Lender, the Lender receiving such proportionately
      greater payment shall purchase such participations in the Loan made or Notes
      and
      Letter of Credit Liabilities held by the other Lenders, and such other
      adjustments shall be made, in each case as may be required so that all such
      payments of principal and interest with respect to the Loan made or Notes and
      Letter of Credit Liabilities made or held by the Lenders shall be shared by
      the
      Lenders pro rata; provided,
      that
      nothing in this Section shall impair the right of any Lender to exercise any
      right of set-off or counterclaim it may have for payment of indebtedness of
      the
      Borrower other than its indebtedness hereunder.

     

    Section
      9.05  Amendments
      and Waivers.
      Any
      provision of this Agreement or the Notes may be amended or waived if, but only
      if, such amendment or waiver is in writing and is signed by the Borrower and
      the
      Required Lenders (and, if the rights or duties of the Administrative Agent,
      Swingline Lender or any Issuing Lenders are affected thereby, by the
      Administrative Agent, Swingline Lender or such Issuing Lender, as relevant);
      provided,
      that no
      such amendment or waiver shall, unless signed by each Lender affected thereby,
      (i) increase or decrease the Commitment of any Lender (except for a ratable
      decrease in the Commitments of all of the Lenders) or subject any Lender to
      any
      additional obligation (it being understood that waivers or modifications of
      conditions precedent, covenants, Defaults or of mandatory reductions in the
      Commitments shall not constitute an increase of the Commitment of any Lender,
      and that an increase in the available portion of any Commitment of any Lender
      as
      in effect at any time shall not constitute an increase in such Commitment),
      (ii)
      reduce the principal of or rate of interest on any Loan (except in connection
      with a waiver of applicability of any post-default increase in interest rates)
      or the amount to be reimbursed in respect of any Letter of Credit or any
      interest thereon or any fees hereunder, (iii) postpone the date fixed for any
      payment of interest on any Loan or the amount to be reimbursed in respect of
      any
      Letter of Credit or any interest thereon or any fees hereunder or for any
      scheduled reduction or termination of any Commitment or (except as expressly
      provided in Article III) expiration date of any Letter of Credit, (iv) postpone
      or change the date fixed for any scheduled payment of principal of any Loan
      or
      (v) change the percentage of the Commitments or of the aggregate unpaid
      principal amount of the Loans and Letter of Credit Liabilities, or the number
      of
      Lenders, which shall be required for the Lenders or any of them to take any
      action under this Section or any other provision of this Agreement.

     

    Section
      9.06  Successors
      and Assigns.

     

    (a)  Successors
      and Assigns.
      The
      provisions of this Agreement shall be binding upon and inure to the benefit
      of
      the parties hereto and their respective successors and assigns, except that
      the
      Borrower may not assign or otherwise transfer any of its rights under this
      Agreement without the prior written consent of all of the Lenders, except to
      the
      extent any such assignment results from the consummation of a merger or
      consolidation permitted pursuant to Section 6.08 of this Agreement.

     

    (b)  Participations.
      Any
      Lender may at any time grant to one or more banks or other financial
      institutions or special purpose funding vehicle (each a “Participant”)
      participating interests in its Commitments and/or any or all of its Loans and
      Letter of Credit Liabilities. In the event of any such grant by a Lender of
      a
      participating interest to a Participant, whether or not upon notice to the
      Borrower and the Administrative Agent, such Lender shall remain responsible
      for
      the performance of its obligations hereunder, and the Borrower, the Issuing
      Lenders, Swingline Lender and the Administrative Agent shall continue to deal
      solely and directly with such Lender in connection with such Lender’s rights and
      obligations under this Agreement. Any agreement pursuant to which any Lender
      may
      grant such a participating interest shall provide that such Lender shall retain
      the sole right and responsibility to enforce the obligations of the Borrower
      hereunder including, without limitation, the right to approve any amendment,
      modification or waiver of any provision of this Agreement; provided,
      that
      such participation agreement may provide that such Lender will not agree to
      any
      modification, amendment or waiver of this Agreement which would (i) extend
      the
      Termination Date, reduce the rate or extend the time of payment of principal,
      interest or fees on any Loan or Letter of Credit Liability in which such
      Participant is participating (except in connection with a waiver of
      applicability of any post-default increase in interest rates) or reduce the
      principal amount thereof, or increase the amount of the Participant’s
      participation over the amount thereof then in effect (it being understood that
      a
      waiver of any Default or Event of Default or of a mandatory reduction in the
      Commitments shall not constitute a change in the terms of such participation,
      and that an increase in any Commitment or Loan or Letter of Credit Liability
      shall be permitted without the consent of any Participant if the Participant’s
      participation is not increased as a result thereof) or (ii) allow the assignment
      or transfer by the Borrower of any of its rights and obligations under this
      Agreement, without the consent of the Participant, except to the extent any
      such
      assignment results from the consummation of a merger or consolidation permitted
      pursuant to Section 6.08 of this Agreement. The Borrower agrees that each
      Participant shall, to the extent provided in its participation agreement, be
      entitled to the benefits of Article II with respect to its participating
      interest to the same extent as if it were a Lender, subject to the same
      limitations, and in no case shall any Participant be entitled to receive any
      amount payable pursuant to Article II that is greater that the amount the Lender
      granting such Participant’s participating interest would have been entitled to
      receive had such Lender not sold such participating interest. An assignment
      or
      other transfer which is not permitted by subsection (c) or (d) below shall
      be
      given effect for purposes of this Agreement only to the extent of a
      participating interest granted in accordance with this subsection
      (b).

     

    (c)  Assignments
      Generally.
      Any
      Lender may at any time assign to one or more Eligible Assignees (each, an
“Assignee”) all, or a proportionate part (equivalent to an initial amount of not
      less than $5,000,000 or any larger multiple of $1,000,000), of its rights and
      obligations under this Agreement and the Notes with respect to its Loans and,
      if
      still in existence, its Revolving Commitment, and such Assignee shall assume
      such rights and obligations, pursuant to an Assignment and Assumption Agreement
      in substantially the form of Exhibit C attached hereto executed by such Assignee
      and such transferor, with (and subject to) the consent of the Borrower, which
      shall not be unreasonably withheld, the Administrative Agent, the Swingline
      Lender and the Issuing Lenders, which consent shall not be unreasonably
      withheld; provided,
      that if
      an Assignee is an Affiliate of such transferor Lender or was a Lender
      immediately prior to such assignment, no such consent of the Borrower or the
      Administrative Agent shall be required; provided,
      further,
      that if
      at the time of such assignment a Default or an Event of Default has occurred
      and
      is continuing, no such consent of the Borrower shall be required. Upon execution
      and delivery of such instrument and payment by such Assignee to such transferor
      of an amount equal to the purchase price agreed between such transferor and
      such
      Assignee, such Assignee shall be a Lender party to this Agreement and shall
      have
      all the rights and obligations of a Lender with a Commitment, if any, as set
      forth in such instrument of assumption, and the transferor shall be released
      from its obligations hereunder to a corresponding extent, and no further consent
      or action by any party shall be required. Upon the consummation of any
      assignment pursuant to this subsection (c), the transferor, the Administrative
      Agent and the Borrower shall make appropriate arrangements so that, if required,
      a new Note is issued to the Assignee. In connection with any such assignment,
      the transferor shall pay to the Administrative Agent an administrative fee
      for
      processing such assignment in the amount of $3,500. If the Assignee is not
      incorporated under the laws of the United States or any state thereof, it shall
      deliver to the Borrower and the Administrative Agent certification as to
      exemption from deduction or withholding of any United States Taxes in accordance
      with Section 2.17.

     

    (d)  Assignments
      to Federal Reserve Banks.
      Any
      Lender may at any time assign all or any portion of its rights under this
      Agreement and its Note to a Federal Reserve Bank. No such assignment shall
      release the transferor Lender from its obligations hereunder.

     

    (e)  Register.
      The
      Borrower hereby designates the Administrative Agent to serve as the Borrower’s
      agent, solely for purposes of this subsection 9.06(e), to (i) maintain a
      register (the “Register”) on which the Administrative Agent will record the
      Commitments from time to time of each Lender, the Loans made by each Lender
      and
      each repayment in respect of the principal amount of the Loans of each Lender
      and to (ii) retain a copy of each Assignment and Assumption Agreement delivered
      to the Administrative Agent pursuant to this Section. Failure to make any such
      recordation, or any error in such recordation, shall not affect the Borrower’s
      obligation in respect of such Loans. The entries in the Register shall be
      conclusive, in the absence of manifest error, and the Borrower, the
      Administrative Agent, the Swingline Lender, the Issuing Lenders and the other
      Lenders shall treat each Person in whose name a Loan and the Note evidencing
      the
      same is registered as the owner thereof for all purposes of this Agreement,
      notwithstanding notice or any provision herein to the contrary. With respect
      to
      any Lender, the assignment or other transfer of the Commitments of such Lender
      and the rights to the principal of, and interest on, any Loan made and any
      Note
      issued pursuant to this Agreement shall not be effective until such assignment
      or other transfer is recorded on the Register and, except to the extent provided
      in this subsection 9.06(e), otherwise complies with Section 9.06, and prior
      to
      such recordation all amounts owing to the transferring Lender with respect
      to
      such Commitments, Loans and Notes shall remain owing to the transferring Lender.
      The registration of assignment or other transfer of all or part of any
      Commitments, Loans and Notes for a Lender shall be recorded by the
      Administrative Agent on the Register only upon the acceptance by the
      Administrative Agent of a properly executed and delivered Assignment and
      Assumption Agreement and payment of the administrative fee referred to in
      Section 9.06(c). The Register shall be available for inspection by each of
      the
      Borrower, the Swingline Lender and each Issuing Lender at any reasonable time
      and from time to time upon reasonable prior notice. In addition, at any time
      that a request for a consent for a material or substantive change to the Loan
      Documents is pending, any Lender wishing to consult with other Lenders in
      connection therewith may request and receive from the Administrative Agent
      a
      copy of the Register. The Borrower may not replace any Lender pursuant to
      Section 2.08(b), unless, with respect to any Notes held by such Lender, the
      requirements of subsection 9.06(c) and this subsection 9.06(e) have been
      satisfied.

     

    Section
      9.07  Governing
      Law; Submission to Jurisdiction.
      This
      Agreement and each Note shall be governed by and construed in accordance with
      the internal laws of the State of New York. The Borrower hereby submits to
      the
      nonexclusive jurisdiction of the United States District Court for the Southern
      District of New York and of any New York State court sitting in New York City
      for purposes of all legal proceedings arising out of or relating to this
      Agreement or the transactions contemplated hereby. The Borrower irrevocably
      waives, to the fullest extent permitted by law, any objection which it may
      now
      or hereafter have to the laying of the venue of any such proceeding brought
      in
      such court and any claim that any such proceeding brought in any such court
      has
      been brought in an inconvenient forum.

     

    Section
      9.08  Counterparts;
      Integration; Effectiveness.
      This
      Agreement may be signed in any number of counterparts, each of which shall
      be an
      original, with the same effect as if the signatures thereto and hereto were
      upon
      the same instrument. This Agreement, the other Loan Documents and the Fee Letter
      constitute the entire agreement and understanding among the parties hereto
      and
      supersede any and all prior agreements and understandings, oral or written,
      relating to the subject matter hereof and thereof. This Agreement shall become
      effective upon receipt by the Administrative Agent of counterparts hereof signed
      by each of the parties hereto (or, in the case of any party as to which an
      executed counterpart shall not have been received, receipt by the Administrative
      Agent in form satisfactory to it of telegraphic, telex, facsimile or other
      written confirmation from such party of execution of a counterpart hereof by
      such party).

     

    Section
      9.09  Generally
      Accepted Accounting Principles.
      Unless
      otherwise specified herein, all accounting terms used herein shall be
      interpreted, all accounting determinations hereunder shall be made and all
      financial statements required to be delivered hereunder shall be prepared in
      accordance with GAAP as in effect from time to time, applied on a basis
      consistent (except for changes concurred in by the Borrower’s independent public
      accountants) with the audited consolidated financial statements of the Borrower
      and its Consolidated Subsidiaries most recently delivered to the Lenders;
provided,
      that,
      if the Borrower notifies the Administrative Agent that the Borrower wishes
      to
      amend any covenant in Article VI to eliminate the effect of any change in GAAP
      on the operation of such covenant (or if the Administrative Agent notifies
      the
      Borrower that the Required Lenders wish to amend Article VI for such purpose),
      then the Borrower’s compliance with such covenant shall be determined on the
      basis of GAAP in effect immediately before the relevant change in GAAP became
      effective, until either such notice is withdrawn or such covenant is amended
      in
      a manner satisfactory to the Borrower and the Required Lenders.

     

    Section
      9.10  Usage.
      The
      following rules of construction and usage shall be applicable to this Agreement
      and to any instrument or agreement that is governed by or referred to in this
      Agreement.

     

    (a)  All
      terms
      defined in this Agreement shall have the defined meanings when used in any
      instrument governed hereby or referred to herein and in any certificate or
      other
      document made or delivered pursuant hereto or thereto unless otherwise defined
      therein.

     

    (b)  The
      words
“hereof”, “herein”, “hereunder” and words of similar import when used in this
      Agreement or in any instrument or agreement governed here shall be construed
      to
      refer to this Agreement or such instrument or agreement, as applicable, in
      its
      entirety and not to any particular provision or subdivision hereof or
      thereof.

     

    (c)  References
      in this Agreement to “Article”, “Section”, “Exhibit”, “Schedule” or another
      subdivision or attachment shall be construed to refer to an article, section
      or
      other subdivision of, or an exhibit, schedule or other attachment to, this
      Agreement unless the context otherwise requires; references in any instrument
      or
      agreement governed by or referred to in this Agreement to “Article”, “Section”,
“Exhibit”, “Schedule” or another subdivision or attachment shall be construed to
      refer to an article, section or other subdivision of, or an exhibit, schedule
      or
      other attachment to, such instrument or agreement unless the context otherwise
      requires.

     

    (d)  The
      definitions contained in this Agreement shall apply equally to the singular
      and
      plural forms of such terms. Whenever the context may require, any pronoun shall
      include the corresponding masculine, feminine and neuter forms. The word “will”
shall be construed to have the same meaning as the word “shall”. The term
“including” shall be construed to have the same meaning as the phrase “including
      without limitation”.

     

    (e)  Unless
      the context otherwise requires, any definition of or reference to any agreement,
      instrument, statute or document contained in this Agreement or in any agreement
      or instrument that is governed by or referred to in this Agreement shall be
      construed (i) as referring to such agreement, instrument, statute or document
      as
      the same may be amended, supplemented or otherwise modified from time to time
      (subject to any restrictions on such amendments, supplements or modifications
      set forth in this Agreement or in any agreement or instrument governed by or
      referred to in this Agreement), including (in the case of agreements or
      instruments) by waiver or consent and (in the case of statutes) by succession
      of
      comparable successor statutes and (ii) to include (in the case of agreements
      or
      instruments) references to all attachments thereto and instruments incorporated
      therein. Any reference to any Person shall be construed to include such Person’s
      successors and permitted assigns.

     

    (f)  Unless
      the context otherwise requires, whenever any statement is qualified by “to the
      best knowledge of” or “known to” (or a similar phrase) any Person that is not a
      natural person, it is intended to indicate that the senior management of such
      Person has conducted a commercially reasonable inquiry and investigation prior
      to making such statement and no member of the senior management of such Person
      (including managers, in the case of limited liability companies, and general
      partners, in the case of partnerships) has current actual knowledge of the
      inaccuracy of such statement.

     

    Section
      9.11  WAIVER
      OF JURY TRIAL.
      THE
      BORROWER HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY
      LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE
      TRANSACTIONS CONTEMPLATED HEREBY.

     

    Section
      9.12  Confidentiality.
      Each
      Lender agrees to hold all non-public information obtained pursuant to the
      requirements of this Agreement in accordance with its customary procedure for
      handling confidential information of this nature and in accordance with safe
      and
      sound banking practices; provided,
      that
      nothing herein shall prevent any Lender from disclosing such information (i)
      to
      any other Lender or to any Agent, (ii) to any other Person if reasonably
      incidental to the administration of the Loans and Letter of Credit Liabilities,
      (iii) upon the order of any court or administrative agency, (iv) to the extent
      requested by, or required to be disclosed to, any rating agency or regulatory
      agency or similar authority (including any self-regulatory authority, such
      as
      the National Association of Insurance Commissioners), (v) which had been
      publicly disclosed other than as a result of a disclosure by any Agent or any
      Lender prohibited by this Agreement, (vi) in connection with any litigation
      to
      which any Agent, any Lender or any of their respective Subsidiaries or
      Affiliates may be party, (vii) to the extent necessary in connection with the
      exercise of any remedy hereunder, (viii) to such Lender’s or Agent’s Affiliates
      and their respective directors, officers, employees and agents including legal
      counsel and independent auditors (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), (ix) with
      the
      consent of the Borrower, (x) to Gold Sheets and other similar bank trade
      publications, such information to consist solely of deal terms and other
      information customarily found in such publications and (xi) subject to
      provisions substantially similar to those contained in this Section, to any
      actual or proposed Participant or Assignee or to any actual or prospective
      counterparty (or its advisors) to any securitization, swap or derivative
      transaction relating to the Borrower’s Obligations hereunder. Notwithstanding
      the foregoing, any Agent, any Lender or Kennedy Covington Lobdell & Hickman,
      L.L.P. may circulate promotional materials and place advertisements in financial
      and other newspapers and periodicals or on a home page or similar place for
      dissemination of information on the Internet or worldwide web, in each case,
      after the closing of the transactions contemplated by this Agreement in the
      form
      of a “tombstone” or other release limited to describing the names of the
      Borrower or its Affiliates, or any of them, and the amount, type and closing
      date of such transactions, all at their sole expense.

     

    Section
      9.13  USA
      PATRIOT Act Notice.
      Each
      Lender that is subject to the Patriot Act (as hereinafter defined) and the
      Administrative Agent (for itself and not on behalf of any Lender) hereby
      notifies the Borrower that pursuant to the requirements of the USA PATRIOT
      Act
      (Title III of Pub.L. 107-56 (signed into law October 26, 2001)) (the “Patriot
      Act”), it is required to obtain, verify and record information that identifies
      the Borrower, which information includes the name and address of the Borrower
      and other information that will allow such Lender or the Administrative Agent,
      as applicable, to identify the Borrower in accordance with the Patriot
      Act.

     

    Section
      9.14  Effect
      of Agreement.
      The
      parties hereto agree that this Agreement is given as a continuation,
      modification, extension and amendment and restatement of the Existing Credit
      Agreement and shall not constitute a novation of the Existing Credit
      Agreement.

     

    

     

    [Signature
      Pages to Follow]

     

    

     

    

     

    
      
        
          

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
        

      

    

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

     

    PPL
      ENERGY SUPPLY, LLC

    

    

    By:______________________________________

    Name:
      Russell R. Clelland

    Title:
      Assistant Treasurer

    

     

    

    

    Signature
      Page to the $3,400,000,000 

    Second
      Amended and Restated Five-Year Credit Agreement for

    PPL
      Energy Supply, LLC

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    WACHOVIA
      BANK, NATIONAL ASSOCIATION,

    
      	 	 	
              as
                Administrative Agent

            

    

    

    

    By:______________________________________

    Name:

    Title:

    

    

    WACHOVIA
      BANK, NATIONAL ASSOCIATION,

    
      	 	 	
              as
                Issuing Lender

            

    

    

    

    By:______________________________________

    Name:

    Title:

    

    WACHOVIA
      BANK, NATIONAL ASSOCIATION,

    
      	 	 	
              as
                Swingline Lender

            

    

    

    

    By:______________________________________

    Name:

    Title:

    

    

    WACHOVIA
      BANK, NATIONAL ASSOCIATION, as a Lender

    

    

    By:______________________________________

    Name:

    Title:

    

    

    Signature
      Page to the $3,400,000,000 

    Second
      Amended and Restated Five-Year Credit Agreement for

    PPL
      Energy Supply, LLC

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ______________________________________,
      as a
      Lender

    (insert
      name of Lender)

    

    

    By:______________________________________

    Name:

    Title

    

    

    Second
      signature block, if required

    

    ______________________________________,
      as a
      Lender

    (insert
      name of Lender)

    

    

    By:______________________________________

    Name:

    Title

    

     

    

     

    Signature
      Page to the $3,400,000,000 

    Second
      Amended and Restated Five-Year Credit Agreement for

    PPL
      Energy Supply, LLC

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}]]