Document:

Exhibit
4.4

EQUIFAX INC.

DIRECTOR DEFERRED COMPENSATION PLAN

 

As
Amended and Restated Effective November 21, 2006

Equifax Inc., a Georgia corporation (the “Company”),
hereby establishes this Director Deferred Compensation Plan (the “Plan”),
effective January 1, 2003 and as hereby amended and restated as of November 21,
2006, for the purpose of attracting high quality outside directors and
promoting in its directors increased efficiency and an interest in the
successful operation and performance of the Company.

ARTICLE
1  Definitions

1.1 Account shall
mean the Participant’s Stock Equivalents account(s) established pursuant to
Article 3 of the Plan.

1.2 Administrator shall
mean the person or persons appointed by the Board of Directors of the Company
to administer the Plan pursuant to Article 10 of the Plan.

1.3 Beneficiary shall
mean the person(s) or entity designated as such in accordance with Article 9 of
the Plan.

1.4  Change in Control shall mean either:

(a) Voting Stock Accumulations. The
accumulation by any Person of Beneficial Ownership of twenty percent (20%) or
more of the combined voting power of the Company’s Voting Stock; provided that
for purposes of this subparagraph (a), a Change in Control will not be deemed
to have occurred if the accumulation of twenty percent (20%) or more of the
voting power of the Company’s Voting Stock results from any acquisition of
Voting Stock (i) directly from the Company that is approved by the Incumbent
Board, (ii) by the Company, (iii) by any employee benefit plan (or related
trust) sponsored or maintained by the Company or any Subsidiary, or (iv) by any
Person pursuant to a Business Combination that complies with all of the
provisions of clauses (i), (ii) and (iii) of subparagraph (b); or

(b) Business Combinations. Consummation of a
Business Combination, unless, immediately following that Business Combination,
(i) all or substantially all of the Persons who were the beneficial owners of
Voting Stock of the Company immediately prior to that Business Combination
beneficially own, directly or indirectly, more than sixty-six and two-thirds
percent (66-2/3%) of the then outstanding shares of common stock and the
combined voting power of the then outstanding voting securities entitled to
vote generally in the election of Directors of the entity resulting from that
Business Combination (including, without limitation, an entity that as a result
of that transaction owns the Company or all or substantially all of the Company’s
assets either directly or through one or more subsidiaries) in substantially
the same proportions relative to each other as their ownership, immediately
prior to that Business Combination,

of the Voting Stock of the Company, (ii) no Person
(other than the Company, that entity resulting from that Business Combination,
or any employee benefit plan (or related trust) sponsored or maintained by the
Company, any Eighty Percent (80%) Subsidiary or that entity resulting from that
Business Combination) beneficially owns, directly or indirectly, twenty percent
(20%) or more of the then outstanding shares of common stock of the entity
resulting from that Business Combination or the combined voting power of the
then outstanding voting securities entitled to vote generally in the election
of directors of that entity, and (iii) at least a majority of the members of
the Board of Directors of the entity resulting from that Business Combination
were members of the Incumbent Board at the time of the execution of the initial
agreement or of the action of the Board providing for that Business
Combination; or

(c) Sale of Assets. A sale or other disposition
of all or substantially all of the assets of the Company; or

(d) Liquidations or Dissolutions. Approval by
the shareholders of the Company of a complete liquidation or dissolution of the
Company, except pursuant to a Business Combination that complies with all of
the provisions of clauses (i), (ii) and (iii) of subparagraph (b).

(e) Definitions. For purposes of this paragraph
defining Change in Control, the following definitions shall apply:

(i) Beneficial Ownership shall mean beneficial
ownership as that term is used in Rule 13d-3 promulgated under the Exchange
Act.

(ii) Business Combination shall mean a
reorganization, merger or consolidation of the Company.

(iii) Eighty Percent (80%) Subsidiary shall mean
an entity in which the Company directly or indirectly beneficially owns eighty
percent (80%) or more of the outstanding Voting Stock.

(iv) Exchange Act shall mean the Securities
Exchange Act of 1934, including amendments, or successor statutes of similar
intent.

(v) Incumbent Board shall mean a Board of
Directors at least a majority of whom consist of individuals who either are (a)
members of the Company’s Board of Directors as of the effective date of this
Plan or (b) members who become members of the Company’s Board of Directors
subsequent to the effective date of this Plan whose election, or nomination for
election by the Company’s shareholders, was approved by a vote of at least
two-thirds (2/3) of the directors then comprising the Incumbent Board (either
by a specific vote or by approval of the proxy statement of the Company in
which that person is named as a nominee for director, without objection to that
nomination), but excluding, for that

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purpose, any individual
whose initial assumption of office occurs as a result of an actual or
threatened election contest (within the meaning of Rule 14a-11 of the Exchange
Act) with respect to the election or removal of directors or other actual or
threatened solicitation of proxies or consents by or on behalf of a Person
other than the Board of Directors.

(vi) Person shall mean any individual, entity
or group (within the meaning of Section 13(d)(3) or 14 (d)(2) of the Exchange
Act).

 (vii) Voting
Stock shall mean the then outstanding securities of an entity
entitled to vote generally in the election of members of that entity’s Board of
Directors.

1.5  Common Stock shall mean the common voting
stock of the Company.

1.6 Compensation shall
mean the retainer and meeting fees payable to the Participant by the Company
for the Plan Year before reductions for contributions to or deferrals under any
deferred compensation or benefit plans sponsored by the Company.

1.7  Company shall mean Equifax Inc.

1.8 Eligible
Director shall mean a member of the Board of Directors of the
Company who is not an employee of the Company or such other independent
contractor as may be designated by the Administrator to be eligible to
participate in the Plan.

1.9 Financial
Hardship shall mean an unexpected need for distributions arising
from illness, casualty loss, sudden financial reversal, or other such
unforeseeable occurrence which is not covered by insurance and which is
determined to qualify as a Financial Hardship by the Administrator. Cash needs
arising from foreseeable events such as the purchase of a residence or
education expenses for children shall not, alone, be considered a Financial
Hardship.

1.10 Market Price shall mean the
closing price of the Common Stock on the New York Stock Exchange on the
applicable date.

1.11 Participant shall
mean an Eligible Director who has elected to participate and has completed a
Participant Election Form pursuant to Article 2 of the Plan.

1.12 Participant
Election Form shall mean the written agreement to make a deferral
submitted by the Participant to the Administrator on a timely basis pursuant to
Article 2 of the Plan. The Participant Election Form may take the form of an
electronic communication followed by appropriate written confirmation according
to specifications established by the Administrator.

1.13 Plan Year shall
mean the calendar year.

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1.14 Retirement
shall mean Termination of Service.

1.15 Scheduled
Withdrawal shall mean the distribution elected by the Participant
pursuant to Article 5 of the Plan.

1.16 Settlement Date
shall mean the date by which a full Account distribution shall be
made or the date by which installment distributions shall commence. Unless
otherwise specified, the Settlement Date shall be the later of the last day of
January of the Plan Year following the year in which the event triggering the distributions
occurs, or ninety (90) days following such event. In the case of death, the
event triggering distribution shall be deemed to occur upon the date the
Administrator is provided with the documentation reasonably necessary to
establish the fact of the Participant’s death.

1.17   Stock Equivalent shall mean a measure of value equal to one
share of the Company’s Common Stock.

1.18 Termination of
Service shall mean the date of the cessation of the Participant’s
service as a member of the Board of Directors of the Company for any reason
whatsoever, whether voluntary or involuntary, including as a result of the
Participant’s death or disability.

1.19 Unscheduled
Withdrawal shall mean a distribution elected by the Participant
pursuant to Article 6 of the Plan.

1.20 Withdrawal
Penalty shall mean the ten percent (10%) penalty deducted from an Account(s)
as a result of an Unscheduled Withdrawal pursuant to Article 6 of the Plan, or
a change in the scheduled distribution date within thirteen (13) months prior
to Retirement as provided in Article 4.1 of the Plan.

ARTICLE 2  Participation

2.1 Elective Deferral. For each Plan Year a
Participant may elect to defer any whole percentage between five percent (5%)
and one hundred percent (100%) of Compensation earned by the Participant during
the Plan Year. The foregoing limits shall be interpreted and applied by the
Administrator in its complete and sole discretion and the Administrator may
further limit the minimum or maximum amount deferred by any Participant or
group of Participants, or waive the foregoing limits for any Participant or
group of Participants, for any reason.

2.2 Participant Election Form. In order to make
a deferral, an Eligible Director must submit a Participant Election Form to the
Administrator during the enrollment period established by the Administrator
prior to the beginning of the period during which the Compensation is earned,
except that with respect to the first Plan Year, the Participant shall submit a
Participant Election Form within thirty (30) days of adoption of the Plan by
the Board of Directors of the Company. The Administrator may establish a
special enrollment period for Eligible Directors hired during a Plan Year to
allow deferrals of

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Compensation earned during the balance of such Plan
Year after such enrollment period. The Participant shall be required to submit
a new Participant Election Form on a timely basis in order to change the
Participant’s deferral election for a subsequent Plan Year. If no Participant
Election Form is filed during the prescribed enrollment period, the Participant’s
election for the prior Plan Year shall continue in force for the next Plan
Year.

2.3 Election Irrevocable Except on Change in
Control. The election to defer Compensation shall be irrevocable except as
provided in Article 4 in the event of disability or Article 7 in the case of a
Financial Hardship. Notwithstanding the foregoing, in the event of a Change in
Control, a Participant may elect within ninety (90) days following such Change
in Control to discontinue all deferrals under the Plan for the calendar months
following the month in which such election is made. If the Participant elects
to discontinue deferrals under the Plan, the Participant shall forfeit the
right to make deferrals for the balance of the Plan Year in which such election
occurs and for the entire next following Plan Year.

ARTICLE 3 Participant Accounts

3.1 Participant Accounts.
Solely for recordkeeping purposes up to three (3) Accounts (a Retirement
Account and two Scheduled Withdrawal Accounts) shall be maintained for each
Participant.  In accordance with the Participant
Election Form, anyCompensation
earned by a Participant during a fiscal quarter shall be credited to the
Account of such Participant, on the last business day of such fiscal quarter,
in the form of Stock Equivalents.  The
number of Stock Equivalents, or fractions thereof, to be credited to a
Participant’s Account shall be determined by dividing the amount of Deferred Compensation
to be allocated to such Account by the Market Price of the Common Stock on the
last business day of the applicable fiscal quarter.   Account(s) will not be credited with cash
dividends paid on shares of Common Stock. 
Nothing in this Section or otherwise in the Plan, however, will require
the Company to actually invest any amounts credited to a Participant’s  Account(s) in shares of Common Stock or
otherwise, and, if the Company elects to invest funds in such manner, the
Participant shall have no more right to such investments than any other
unsecured general creditor.

3.2 Vesting. A Participant shall at all times
be 100% vested in the amountscredited to
his or her Account(s).

3.3 Rollovers From
Prior Plan; Conversion of Accounts to Stock Equivalents. (a) Rollovers from Equifax Deferred Compensation Plan.The Administrator may direct that amounts previously
credited to the old Equifax Deferred Compensation Plan on behalf of any
Participant be rolled into a Retirement Account established under this Plan.  The number of Stock Equivalents, or fractions
thereof, to be credited to a Participant’s Retirement Account shall be
determined by dividing the amount of previously deferred compensation to be
allocated to such Retirement Account by the Market Price of the Common Stock on
the last business day of the applicable fiscal quarter.  (b) Conversion of Account
Balances as of November 21, 2006. 
Account balances established by

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Participants under the Plan and in existence as of
November 21, 2006 shall be converted into Stock Equivalents as of November 21,
2006 by dividing the amount of previously deferred compensation to be allocated
to any such Account(s) by the Market Price of the Common Stock on November 21,
2006.

3.4  Share
Adjustments.  In the event of any
stock dividend or stock split, recapitalization, merger, consolidation,
spin-off, extraordinary dividends, combinations or exchange of shares or other
similar event, the value of the Stock Equivalents credited to a Participant’s
Account shall be appropriately adjusted so that the proportionate interest of
the Participant shall be maintained as before the occurrence of such
event.  The adjustment to each Stock
Equivalent shall be made to the same extent as if such Stock Equivalents were
issued and outstanding shares of Common Stock. 
Such adjustments shall be made by the Board and shall be conclusive and
binding for all purposes of the Plan.

3.5 Statement of Account. The Administrator
shall provide each Participant with statements at least quarterly setting forth
the Stock Equivalents credited to a Participant’s Account(s) as of the end of
each quarter.

ARTICLE
4  Distribution of Accounts

4.1 Distribution Upon Retirement. In the event
of the Participant’s Retirement, the Company shall make a distribution of
Participant’s Account(s) in a single lump sum or, if Participant makes a timely
election prior to Retirement to have the Account balance distributed in
substantially level annual installments, over a specified period of not more
than fifteen (15) years as provided in Section 5.1 or otherwise under the Plan.  Distributions shall begin on the Settlement
Date following Retirement.  Participants
may elect to change the distribution date at any time prior to Retirement by
submitting to the Administrator the form provided for such purpose but
elections shall not be effective unless made no less than thirteen (13)
calendar months prior to Retirement.

4.2 Distribution in the Event of Death.  In the event of the Participant’s death prior
to receiving the entire amount of his or her Account(s), the unpaid balance shall
be distributed as provided in Article 9. 
Distributions subsequent to the death of a Participant shall be made in
a lump sum.

4.3 Distribution in the Event of Disability. In
the event of the Participant’s Termination of Service by reason of a physical
or mental disability which prevents the Participant from performing the normal
duties of a member of the Board of Directors of the Company for a period of at
least one hundred eighty (180) consecutive days, deferral elections shall cease
and for purposes of distribution of Accounts pursuant to the Plan, such
disability shall be treated as a Retirement entitling the Participant to
receive a distribution of his or her Account(s). The determination of disability
shall be in the complete and sole discretion of the Administrator.

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4.4  Form of
Distribution.  All distributions of Account
balances pursuant to any provision of the Plan shall be made in the form of
shares of Common Stock.  At the time of
any distribution, each Stock Equivalent in a Participant’s Account to be
distributed shall be converted into one share of Common Stock and such share
shall be distributed to the Participant. 
Any fraction of a Stock Equivalent shall be rounded to a whole share of
Common Stock.

ARTICLE 5  Scheduled Withdrawal

5.1 Election. The Participant may make an
election on the Participant Election Form at the time of making a deferral to
take a Scheduled Withdrawal from the  Account established by the Participant for
such purpose. The Participant may elect to receive the Scheduled Withdrawal in
any Plan Year on or after the third Plan Year following the enrollment period
in which such Scheduled Withdrawal is elected and may elect to have the
Scheduled Withdrawal distributed in a single lump sum or in annual installments
over a period of up to fifteen (15) years. The Participant may elect to make
additional deferrals into such Scheduled Withdrawal Account in subsequent
Participant Election Forms but may not elect another Scheduled Withdrawal date
for such Account until all of the amounts in the original Scheduled Withdrawal Account
have been distributed. The Participant may establish up to two (2) separate
Scheduled Withdrawal Accounts with different Scheduled Withdrawal dates but shall
not establish a third such Account until all of the funds in one of the first
two Scheduled Withdrawal Accounts have been distributed. The Scheduled
Withdrawal date for a Scheduled Withdrawal Account shall be irrevocable, except
that a Participant may petition to the Administrator once no less than thirteen
(13) months prior to the date originally elected for the Scheduled Withdrawal
to defer (but not accelerate) the Scheduled Withdrawal date and/or to change
the date of distribution of the Scheduled Withdrawal.

5.2 Timing of Scheduled Withdrawal. The
Scheduled Withdrawal distribution shall be distributed by the Company to the
Participant no later than the last day of January of the Plan Year elected by
the Participant in the Participant Election Form unless preceded by Termination
of Service. In the event of Termination of Service prior to the date elected
for the Scheduled Withdrawal, the Scheduled Withdrawal shall be distributed as provided
in Article 4 of the Plan. In the event such Termination of Service is as a
result of the Participant’s death, the Scheduled Withdrawal shall be distributed
as provided in Section 4.2 of the Plan.

ARTICLE 6  Unscheduled Withdrawal

6.1 Election. A Participant (or, after the
Participant’s death, a Beneficiary) may take an Unscheduled Withdrawal from an
Account at any time. The Unscheduled Withdrawal shall be made no later than the
last day of the month following the month in which the Unscheduled Withdrawal
is requested. After an Unscheduled Withdrawal, a Participant’s deferrals shall
cease and the Participant shall not be allowed to make a new deferral election
until the enrollment period next following one full calendar year from the date
of

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the Unscheduled Withdrawal. Only one Unscheduled
Withdrawal shall be permitted in each Plan Year.

6.2 Withdrawal Penalty. There shall be a
Withdrawal Penalty deducted from the Account prior to an Unscheduled Withdrawal
from such Account equal to ten percent (10%) of the Unscheduled Withdrawal.

6.3 Minimum Withdrawal. The minimum Unscheduled
Withdrawal shall be twenty-five percent (25%) of the balance of the specified Account.

ARTICLE 7  Financial Hardship Distribution

7.1 Financial Hardship Distribution. Upon a
finding that the Participant (or, after the Participant’s death, a Beneficiary)
has suffered a Financial Hardship, the Administrator may in its sole
discretion, accelerate distributions of a Participant’s  Account(s) or approve reduction or cessation
of current deferrals under the Plan in the amount reasonably necessary to alleviate
such Financial Hardship. In the event of a distribution from the Plan based on
Financial Hardship, a Participant’s deferrals shall cease and the Participant
shall not be allowed to make a new deferral election until the enrollment
period next following one full calendar year from the date of such
distribution.

ARTICLE 8  Amendment and Termination of Plan

8.1 Amendment or Termination of Plan. The
Company may, at any time, direct the Administrator to amend or terminate the
Plan, except that no such amendment or termination may reduce a Participant’s Account
balance. If the Company terminates the Plan, the date of such termination shall
be treated as a Termination of Service and the Company shall distribute Participant’s
Account in a single lump sum on the last day of the month following the month
in which termination of the Plan occurs.

ARTICLE 9  Beneficiaries

9.1 Beneficiary Designation. The Participant
shall have the right, at any time, to designate any person or persons as
Beneficiary (both primary and contingent) to whom an Account distribution under
the Plan shall be made in the event of the Participant’s death. The designation
by a married Participant of a primary Beneficiary other than the Participant’s
spouse shall require consent of such spouse. The Beneficiary designation shall
be effective when it is submitted in writing to and acknowledged by the
Administrator during the Participant’s lifetime on a form prescribed by the
Administrator.

9.2 Revision of Designation. The submission of
a new Beneficiary designation shall cancel all prior Beneficiary designations.
Any marriage (other than a common law marriage) or finalized divorce of a
Participant subsequent to the date of a Beneficiary designation shall revoke
such designation, unless in the case of divorce the previous spouse was not
designated as a Beneficiary and unless in the case of marriage the Participant’s
new spouse has previously been designated as the sole primary Beneficiary.

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9.3 Successor Beneficiary. If all primary
Beneficiaries die prior to complete distribution of Accounts provided in
Article 5, the Stock Equivalents remaining in Participant’s Account(s) shall be
distributed to the contingent Beneficiary elected by the Participant in a lump
sum no later than the last day of the month following the month in which the
last remaining primary Beneficiary’s death is established.

9.4 Absence of Valid Designation. If a
Participant fails to designate a Beneficiary as provided above, or if the
Beneficiary designation is revoked by marriage, divorce, or otherwise without
execution of a new designation, or if every person designated as Beneficiary
predeceases the Participant or dies prior to complete distribution of the
Participant’s Account(s), then the Administrator shall direct the distribution
of such Account(s) to the Participant’s spouse, if the Participant was married
on the date of death, or, if the Participant was not married on death, to the
Participant’s estate.

ARTICLE
10  Administration/Claims Procedures

10.1 Administration. The Plan shall be
administered by the Administrator, which shall have the exclusive right and
full discretion (i) to interpret the Plan, (ii) to decide any and all matters
arising hereunder (including the right to remedy possible ambiguities,
inconsistencies, or admissions), (iii) to make, amend and rescind such rules as
it deems necessary for the proper administration of the Plan and (iv) to make
all other determinations necessary or advisable for the administration of the
Plan, including determinations regarding eligibility for distribution of
Accounts under the Plan. All interpretations of the Administrator with respect
to any matter hereunder shall be final, conclusive and binding on all persons
affected thereby. No member of the Administrator shall be liable for any
determination, decision, or action made in good faith with respect to the Plan.
The Company will indemnify and hold harmless the members of the Administrator
from and against any and all liabilities, costs, and expenses incurred by such
persons as a result of any act, or omission, in connection with the performance
of such persons’ duties, responsibilities, and obligations under the Plan,
other than such liabilities, costs, and expenses as may result from the bad
faith, willful misconduct, or criminal acts of such persons.

10.2 Claims Procedure. Any Participant, former
Participant or Beneficiary may file a written claim with the Administrator
setting forth the nature of the claim, the amount thereof, and the basis for
claiming entitlement to such amount. The Administrator shall determine the
validity of the claim and communicate a decision to the claimant promptly.
Every claim which is denied shall be denied by written notice setting forth the
specific reason or reasons for the denial, an explanation of the procedure for
further reviewing the denial of the claim.

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ARTICLE
11  Conditions Related to Accounts

11.1 Nonassignability. A Participant’s Account(s)
shall not be subject to sale, alienation, assignment, transfer, pledge or
hypothecation by the Participant or any Beneficiary and any attempt to sale,
alienate, assign, transfer, pledge or hypothecate an Account balance shall be
null and void. Account balances shall be exempt from the claims of creditors or
other claimants of the Participant or Beneficiary and from all orders, decrees,
levies, garnishment or executions to the fullest extent allowed by law.

11.2 No Right to Company Assets.  The Participant and any Beneficiary shall be
no more than unsecured general creditors of the Company with no special or
prior right to any assets of the Company for payment of any obligations
hereunder. At its discretion, the Company may establish one or more grantor
trusts holding shares of Common Stock for the purpose of providing for
distributions under the Plan. Such trust or trusts may be irrevocable, but the
assets thereof shall be subject to the claims of the Company’s creditors. Account
balances distributed to the Participant from any such trust or trusts shall be
considered distributed by the Company for purposes of meeting the obligations
of the Company under the Plan.

11.3 Securities Law Compliance.  Notwithstanding anything contained herein,
the Company shall not be obligated to honor any election or make any
distribution under this Plan or to sell, issue or effect any transfer of any
Common Stock unless such distribution, sale, issuance or transfer is at such
time effectively (i) registered or exempt from registration under the
Securities Act of 1933, as amended (the “Act”) and (ii) qualified or exempt
from qualification under the applicable state securities laws. As a condition
to make any election or receive any distribution under this Plan, the
Participant or other payee shall make such representations as may be deemed
appropriate by counsel to the Company for the Company to use any available
exemption from registration under the Act or qualification under any applicable
state securities law.

11.4 Withholding. The Company shall deduct from
all distributions under the Plan any taxes required to be withheld by federal,
state or local governments.

11.5 Assumptions and Methodology. To the extent
required, the Administrator shall establish the assumptions and method of
calculation used in determining the Market Value of Common Stock, or any other
amounts required to be calculated under the terms of the Plan. The
Administrator shall also establish reasonable procedures regarding the form and
timing of installment distributions. Any installment distributions shall be
calculated by equally dividing the number of  Stock Equivalents credited to the Participant’s
Account by the number of installment distributions elected and rounding down to
the nearest whole share until the final installment, which shall include the
full balance remaining in the Participant’s Account with any fractional share
rounded to a whole share.

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ARTICLE
12  Miscellaneous

12.1 Successors of the Company. The rights and
obligations of the Company under the Plan shall inure to the benefit of, and
shall be binding upon, the successors and assigns of the Company.

12.2 Continued Service Not Guaranteed. Nothing
contained in the Plan or any action taken hereunder shall be construed as
giving any Participant any right to continued service with the Company, nor as
a limitation on the right of the Company to terminate the service of any
Participant at any time.

12.3 Gender, Singular and Plural. All pronouns
and any variations thereof shall be deemed to refer to the masculine, feminine,
or neuter, as the identity of the person or persons may require. As the context
may require, the singular may be read as the plural and the plural as the
singular.

12.4 Captions. The captions of the articles,
paragraphs and sections of the Plan are for convenience only and shall not
control or affect the meaning or construction of any of its provisions.

12.5 Validity. In the event any provision of
the Plan is held invalid, void or unenforceable, the same shall not affect, in
any respect whatsoever, the validity of any other provisions of the Plan.

12.6 Waiver of Breach. The waiver by the
Company of any breach of any provision of the Plan shall not operate or be
construed as a waiver of any subsequent breach by that Participant or any other
Participant.

12.7 Notice. Any notice or filing required or
permitted to be given to the Company or the Participant under this Plan shall
be sufficient if in writing and hand-delivered, or sent by registered or
certified mail, in the case of the Company, to the principal office of the
Company, directed to the attention of the Administrator, and in the case of the
Participant, to the last known address of the Participant indicated on the
records of the Company. Such notice shall be deemed given as of the date of
delivery or, if delivery is made by mail, as of the date shown on the postmark
on the receipt for registration or certification. Notices to the Company may be
permitted by electronic communication according to specifications established
by the Administrator.

12.8 Errors in Account Statement or Distributions.
In the event an error is made in an Account statement, such error shall be
corrected as soon as is practical following the date such error is discovered.
In the event of an error in a distribution, the Participant’s Account(s) shall,
as soon as is practical after discovery of such error, be adjusted to reflect
such under or over payment and, if possible, the next distribution shall be
adjusted upward or downward to correct such prior error. If the remaining
balance of a Participant’s Account(s) is insufficient to cover an erroneous excess
distribution, the Company may, at its discretion, offset other amounts payable
to the Participant from the Company (including but not limited to salary, bonuses,
expense reimbursements,

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severance benefits or other compensation or benefit
arrangements, to the extent allowed by law) to recoup the amount of such excess
distribution(s).

12.9 Applicable Law. Any provision of, or legal
issue relating to, this Plan shall be governed by the laws of the State of
Georgia, without regard to conflict of law provisions.

* * * * *

 12EXHIBIT 10.1

AMENDMENT AND RESTATEMENT AGREEMENT dated as of January 24, 2007
(this “Agreement”), among SCIENTIFIC GAMES CORPORATION (the “Borrower”),
the LENDERS party hereto and JPMORGAN CHASE BANK, N.A., as administrative agent
(the “Administrative Agent”), under the Credit Agreement dated as of
December 23, 2004, as amended and restated as of July 7, 2006, as amended (as
in effect on the date hereof, the “Existing Credit Agreement”), among
the Borrower, the lenders party thereto and the Administrative Agent.

WHEREAS the Borrower has requested, and the
Restatement Lenders and the Administrative Agent have agreed, upon the terms
and subject to the conditions set forth herein, that (a) the
Tranche E Term Lenders referred to below extend credit in the form of
Tranche E Term Loans on the Restatement Effective Date in an aggregate
principal amount equal to $200,000,000, and (b) the Existing Credit
Agreement be amended and restated as provided herein.

NOW, THEREFORE, the Borrower, the Restatement Lenders
and the Administrative Agent hereby agree as follows:

SECTION 1.  Defined Terms.  Capitalized terms used but not defined herein
shall have the meanings assigned to such terms in the Amended Credit Agreement
(as defined in Section 4 below).  As used
in this Agreement,  (a) “Restatement
Lenders” means, at any time, (i) the Tranche E Term Lenders (as
defined in Section 3 below) and (ii) the Required Lenders under (and as
defined in) the Existing Credit Agreement and (b) “Consenting Lenders” means
Lenders executing this Agreement that are not Tranche E Lenders.

SECTION 2.  Restatement Effective Date.  (a) 
The transactions provided for in Sections 3 and 4 hereof shall be
consummated at a closing to be held on the Restatement Effective Date at the
offices of Cravath, Swaine & Moore LLP, or at such other time and place as
the parties hereto shall agree upon.

(b)  The “Restatement
Effective Date” shall be specified by the Borrower, and shall be a date,
not later than January 26, 2007, as of which all the conditions set forth or
referred to in Section 5 hereof shall have been satisfied.  The Borrower, by giving not less than one
Business Day’s written notice, (i) shall propose a date as the Restatement
Effective Date to the Administrative Agent and (ii) may change a previously
proposed date for the Restatement Effective Date.  The Administrative Agent shall notify the
Restatement Lenders of the proposed date. 
This Agreement shall terminate at 5:00 p.m., New York City time, on
January 26, 2007, if the Restatement Effective Date shall not have occurred at
or prior to such time.

SECTION 3.  Tranche E Term Loans.  (a) 
Subject to the terms and conditions set forth herein, each Person
identified on Schedule 2.1E hereto as a Tranche

E Term Lender (a “Tranche E Term Lender”) agrees to
make a Tranche E Term Loan (a “Tranche E Term Loan”) to the Borrower on
the Restatement Effective Date in an aggregate principal amount not exceeding
its Tranche E Term Commitment.  A
Tranche E Term Lender’s “Tranche E Term Commitment” means
its commitment to make Tranche E Term Loans hereunder, expressed as an amount
representing the maximum aggregate principal amount of Tranche E Term Loans to
be made by such Tranche E Term Lender, as set forth in Schedule 2.1E
hereto.  The Tranche E Term Commitments are
several and no Tranche E Term Lender will be responsible for any other Tranche
E Term Lender’s failure to make Tranche E Term Loans.  The Tranche E Term Loans shall be made in the
manner contemplated by paragraphs (c) and (d) of this Section.

(b)  Each Lender under the
Existing Credit Agreement that executes this Agreement specifically in the
capacity of a Consenting Lender on a signature page hereto which does not have
a Tranche E Term Commitment set forth on Schedule 2.1E hereto shall be deemed
on the Restatement Effective Date to have consented to this Agreement but shall
not have any commitment to make Tranche E Term Loans.

(c)  The Tranche E Term Loans to
be made by each Tranche E Term Lender on the Restatement Effective Date shall
be made by transferring funds to the Administrative Agent, in the manner
contemplated by Section 2.2 of the Amended Credit Agreement, in an amount
equal to such Tranche E Term Lender’s Tranche E Term Commitment.

(d)  Tranche E Term Loans shall
be made on the Restatement Effective Date as Base Rate Loans or, if the
Borrower shall have delivered an irrevocable written request to such effect to
the Administrative Agent at least three Business Days prior to the Restatement
Effective Date, Eurocurrency Loans (with respect to any such request for
Eurocurrency Loans, it is understood and agreed that in the event the Tranche E
Term Loans are not borrowed on the Restatement Effective Date, the Borrower
shall compensate each Tranche E Term Lender for any loss, cost or expense
incurred by such Tranche E Term Lender in respect of such event to the same
extent as if such Tranche E Term Lender were entitled to compensation therefor
pursuant to Section 4.11 of the Existing Credit Agreement).  The provisions of Sections 2.2 and 4 of
the Amended Credit Agreement shall apply for all purposes of making the Tranche
E Term Loans, except as otherwise provided herein.

(e)  The Borrower hereby
irrevocably authorizes and directs the Administrative Agent on the Restatement
Effective Date to apply the proceeds of the Tranche E Term Loans to prepay,
pursuant to Section 4.1(a) of the Existing Credit Agreement, Revolving
Loans outstanding as of such date, with such prepayment to be applied, first,
to prepay Dollar Revolving Loans and, second, Multicurrency Revolving Loans
denominated in Dollars, unless otherwise directed by the Borrower by notice to
the Administrative Agent prior to such prepayment and the balance, if any, of
the proceeds shall be applied as directed by the Borrower.  On the Restatement Effective Date, the
Borrower shall pay the accrued and unpaid interest on any Revolving Loan that
is a Eurocurrency Loan so prepaid and any other amounts (including amounts
under 

 2
 

Section 4.11
of the Existing Credit Agreement) owing in respect of such Revolving Loans.

(f)  Unless the Administrative
Agent shall have received notice from a Tranche E Term Lender prior to the
Restatement Effective Date that such Tranche E Term Lender will not make
available to the Administrative Agent such Tranche E Term  Lender’s share of such Tranche E Term Loan,
the Administrative Agent may assume that such Tranche E Term Lender has made
such share available on such date in accordance with this Section and may, in
reliance upon such assumption, make available to the Borrower a corresponding
amount.  In such event, if any Tranche E
Term Lender has in fact defaulted in making its share of such Tranche E Term
Loan, then the applicable Tranche E Term Lender and the Borrower severally
agree to pay to the Administrative Agent forthwith on demand such defaulted
amount (to the extent so advanced by the Administrative Agent on behalf of such
defaulting Tranche E Term Lender), together with interest on such amount at the
interest rate applicable to such Loans from the Restatement Effective Date to
the date of payment.  Upon any such
payment by the Borrower, the Borrower shall have the right, at the defaulting
Tranche E Term Lender’s expense, upon notice to the defaulting Tranche E Term
Lender and to the Administrative Agent, to require such defaulting Tranche E
Term Lender to transfer and assign without recourse (in accordance with and
subject to the restrictions contained in Section 11.6 of the Amended
Credit Agreement) all its interests, rights and obligations as a Tranche E Term
Lender under the Amended Credit Agreement to another financial institution
which shall assume such interests, rights and obligations, provided that
(i) no such assignment shall conflict with any law, rule or regulation or
order of any Governmental Authority and (ii) the assignee shall pay, in
immediately available funds on the date of such assignment, (A) to the
Administrative Agent, (1) the outstanding principal of, and interest
accrued to the date of payment on, the defaulted amount of the Tranche E Term
Loans advanced by the Administrative Agent on the defaulting Tranche E Term
Lender’s behalf under the Amended Credit Agreement that was not paid by the
Borrower to the Administrative Agent pursuant to the preceding sentence and
(2) all other amounts accrued for the Administrative Agent’s account or
owed to it under the Amended Credit Agreement in respect of such defaulted
amount of Tranche E Term Loans and (B) to the Borrower, the outstanding
principal of, and interest accrued to the date of payment on, the defaulted
amount of the Tranche E Term Loans that the Borrower paid to the Administrative
Agent pursuant to the preceding sentence.

 3
 

SECTION 4.  Amendment and Restatement of the Existing
Credit Agreement; Loans and Letters of Credit; Amendment of Security Documents.  (a) 
Effective on the Restatement Effective Date (i) the Existing Credit
Agreement (excluding the annexes, schedules and exhibits thereto that are not
attached as part of Exhibit A hereto) is hereby amended and restated to read in
its entirety as set forth in Exhibit A hereto (the “Amended Credit Agreement”)
and (ii) Schedule 2.1E hereto shall be deemed to be Schedule 2.1E to the
Amended Credit Agreement,.  From and
after the effectiveness of such amendment and restatement, the terms “Agreement”,
“this Agreement”, “herein”, “hereinafter”, “hereto”, “hereof” and words of
similar import, as used in the Amended Credit Agreement, shall, unless the
context otherwise requires, refer to the Amended Credit Agreement, and the term
“Credit Agreement”, as used in the other Loan Documents, shall mean the Amended
Credit Agreement.

(b)  All Dollar Revolving
Commitments and Multicurrency Revolving Commitments in effect under the
Existing Credit Agreement on the Restatement Effective Date shall continue in
effect under the Amended Credit Agreement, and all Dollar Revolving Loans,
Multicurrency Revolving Loans, Swingline Loans, Dollar Letters of Credit,
Multicurrency Letters of Credit, Tranche C Term Loans and Tranche D Term Loans
outstanding under the Existing Credit Agreement on the Restatement Effective
Date (other than Revolving Loans prepaid with the proceeds of Tranche E Term
Loans) shall continue to be outstanding under the Amended Credit Agreement, and
on and after the Restatement Effective Date, the terms of the Amended Credit
Agreement will govern the rights and obligations of the Borrower, the Lenders,
the applicable Issuing Lenders and the Administrative Agent with respect
thereto.

(c)  The amendment and
restatement of the Existing Credit Agreement as contemplated hereby shall not
be construed to discharge or otherwise affect any obligations of the Borrower
accrued or otherwise owing under the Existing Credit Agreement that have not
been paid, it being understood that such obligations will constitute
obligations under the Amended Credit Agreement.

(d)  The parties thereto that are
Lenders under, and as defined in, the Existing Credit Agreement hereby waive
any requirement under the Existing Credit Agreement of notice of prepayment of
Revolving Loans under the Existing Credit Agreement provided for herein.

(e)  The Restatement Lenders
hereby consent to any amendment of the Security Documents that the
Administrative Agent determines to be necessary or appropriate to implement the
provisions of this Agreement.

SECTION 5.  Conditions.  The consummation of the transactions set
forth in Sections 3 and 4 of this Agreement shall be subject to the
satisfaction of the following conditions precedent:

(a)  The Administrative Agent (or
its counsel) shall have received from each of the Borrower and the Restatement
Lenders either (i) a counterpart of this Agreement signed on behalf of
such party or (ii) written evidence satisfactory to the

 4
 

Administrative
Agent (which may include facsimile transmission of a signed signature page of this
Agreement) that such party has signed a counterpart of this Agreement.

(b)  The Administrative Agent
shall have received the following executed legal opinions:

(i)  the legal opinion of Kramer Levin Naftalis
& Frankel LLP, counsel for the Borrower and its Subsidiaries, substantially
in the form of Exhibit B-1 hereto; and

(ii)  the
legal opinion of Ira Raphaelson, Vice President, General Counsel and Secretary
of the Borrower and its Subsidiaries, substantially in the form of Exhibit B-2
hereto.

Each such legal opinion shall cover such other matters
incident to the transactions contemplated by this Agreement as the
Administrative Agent may reasonably require.

(c)  The Administrative Agent
shall have received such documents and certificates as the Administrative Agent
or its counsel may reasonably request relating to the organization, existence
and good standing of each Loan Party, the authorization of the Restatement
Transactions and any other legal matters relating to the Loan Parties, the Loan
Documents or the Restatement Transactions, all in form and substance reasonably
satisfactory to the Administrative Agent and its counsel.

(d)  Each of the conditions set
forth in Section 6.2 of the Amended Credit Agreement shall be satisfied,
and the Administrative Agent shall have received a certificate, dated the
Restatement Effective Date and signed by the Borrower, confirming satisfaction
of the conditions set forth in paragraphs (a) and (b) of Section 6.2
of the Amended Credit Agreement.

(e)  The Administrative Agent
shall have received all fees and other amounts due and payable in connection
with this Agreement on or prior to the Restatement Effective Date, including,
to the extent invoiced on or prior to the Restatement Effective Date,
reimbursement or payment of all expenses (including fees, charges and
disbursements of counsel) required to be reimbursed or paid by the Borrower.

(f)  The Administrative Agent
shall have received a completed Perfection Certificate dated the Restatement
Effective Date and signed by an executive officer or financial officer of the
Borrower, together with all attachments contemplated thereby.

(g)  To the extent not previously
received, the Administrative Agent shall have received (i) the certificates
representing the shares of Capital Stock pledged pursuant to the Guarantee and
Collateral Agreement, together with an undated stock power for each such
certificate executed in blank by a duly authorized officer of the pledgor
thereof and (ii) each promissory note (if any) pledged to the Administrative
Agent pursuant to the Guarantee and Collateral Agreement endorsed (without
recourse) in blank (or accompanied by an undated executed transfer form in
blank) by the pledgor

 5
 

thereof or
such other action is taken with respect to Pledged Stock of Foreign
Subsidiaries as specified in the Guarantee and Collateral Agreement.

(h)  To the extent not previously
received, the Administrative Agent shall have received each document (including
any Uniform Commercial Code financing statement) required by the Security
Documents or under law or reasonably requested by the Administrative Agent to
be filed, registered or recorded in order to create in favor of the
Administrative Agent, for the benefit of the Lenders, a perfected Lien on the
Collateral described therein prior and superior in right to any other Person
(other than with respect to Liens expressly permitted by Section 8.3 of the
Amended Credit Agreement), and each such document shall be in proper form for
filing, registration or recordation.

(i)  The Administrative
Agent shall have received such amendments to each Mortgage with respect to each
Mortgaged Property as the Administrative Agent shall determine to be necessary
or desirable in order to secure the additional extensions of credit
contemplated by this Agreement, as well as endorsements to existing Title
Policies insuring the Lien of each such Mortgage as so amended remains a valid
first Lien on the Mortgaged Property described therein.

(j)  The Administrative Agent
shall have received a Reaffirmation Agreement substantially in the form of
Exhibit C hereto, executed and delivered by each Loan Party.

(k)  The Administrative Agent
shall have received insurance certificates satisfying the requirements of
Section 5.3(b) of the Guarantee and Collateral Agreement.

(l)  The Borrower shall have made
arrangements satisfactory to the Administrative Agent for the prepayment of “Revolving
Loans” outstanding under (and as defined in) the Existing Credit Agreement in
an aggregate principal amount equal to the lesser of (i) the aggregate
outstanding amount of the Revolving Loans or (ii) the proceeds of the Tranche E
Term Loans, and all accrued interest and other amounts payable in connection
therewith, substantially simultaneously with the borrowing of the Tranche E
Term Loans on the Restatement Effective Date.

(m)  Each Lender shall have
received all documentation and other information required by bank regulatory
authorities under applicable “know-your-customer” and anti-money laundering
rules and regulations, including, without limitation, the United States PATRIOT
Act, to the extent reasonably requested through the Administrative Agent within
a reasonable period of time prior to the Restatement Effective Date.

The Administrative Agent shall notify the Borrower and
the Restatement Lenders of the Restatement Effective Date, and such notice
shall be conclusive and binding. 
Notwithstanding the foregoing, the consummation of the transactions set
forth in Sections 3 and 4 of this Agreement shall not become effective
unless each of the foregoing conditions is satisfied at or prior to 5:00 p.m.,
New York City time, on

 6
 

January 26, 2007
(and, in the event such conditions are not so satisfied or waived, this
Agreement shall terminate at such time).

SECTION 6.  Effectiveness; Counterparts; Amendments.  This Agreement shall become effective when
copies hereof which, when taken together, bear the signatures of the Borrower,
the Administrative Agent and the Restatement Lenders shall have been received
by the Administrative Agent.  This
Agreement may not be amended nor may any provision hereof be waived except
pursuant to a writing signed by the Borrower, the Administrative Agent and the
Restatement Lenders.  This Agreement may
be executed in two or more counterparts, each of which shall constitute an
original but all of which when taken together shall constitute a single
contract.  Delivery of an executed
counterpart of a signature page of this Agreement by facsimile or other
electronic transmission shall be effective as delivery of a manually executed
counterpart of this Agreement.

SECTION 7.  No Novation.  This Agreement shall not extinguish the Loans
outstanding under the Existing Credit Agreement, except to the extent actually
prepaid as provided herein.  The
provisions of Sections 4.9, 4.10, 4.11 and 11.5 of the Existing Credit
Agreement will continue to be effective as to all matters arising out of or in
any way related to facts or events existing or occurring prior to the
Restatement Effective Date.  This
Agreement shall be a Loan Document for all purposes.

SECTION 8.  Notices.  All notices hereunder shall be given in
accordance with the provisions of Section 11.2 of the Amended Credit
Agreement.

SECTION 9.  Applicable Law; Waiver of Jury Trial.  (A)  THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.

(B) 
EACH PARTY HERETO HEREBY AGREES AS SET FORTH IN SECTION 11.16 OF
THE AMENDED CREDIT AGREEMENT AS IF SUCH SECTION WERE SET FORTH IN FULL HEREIN.

SECTION 10.  Headings.  The Section headings used herein are for
convenience of reference only, are not part of this Agreement and are not to
affect the construction of, or to be taken into consideration in interpreting,
this Agreement.

 7
 

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 written above.

	
  SCIENTIFIC GAMES CORPORATION,

  
	
   

  
	
  By

  	
   

  	
   

  
	
   

  
	
   

  	
   

  
	
  Name:

  	
   

  
	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
						

 

 8
 

 

	
  JPMORGAN CHASE BANK, N.A.,
  as Administrative Agent,

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  
	
  Name:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
   

  

 

 9
 

 

	
  

  	
   

  	
  SIGNATURE PAGE TO THE AMENDMENT

  
	
   

  	
   

  	
  AND RESTATEMENT AGREEMENT AMONG

  
	
   

  	
   

  	
  SCIENTIFIC GAMES CORPORATION, THE LENDERS

  
	
   

  	
   

  	
  PARTY THERETO AND JPMORGAN CHASE BANK,

  
	
   

  	
   

  	
  N.A., AS ADMINISTRATIVE AGENT,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Institution:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Executing solely as a Consenting Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  
	
   

  	
   

  
	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Executing as a Tranche E Term Lender

  
	
   

  	
   

  	
   

  
	
  

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  
	
   

  	
   

  
	
   

  	
  Title:

  
								

 

 10

SCHEDULES AND EXHIBITS

	
  Schedules

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Schedule 2.1E

  	
   

  	
  Tranche E Term Commitments

  
	
   

  	
   

  	
   

  
	
  Exhibits

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Exhibit A

  	
   

  	
  Amended and Restated Credit Agreement

  
	
  Exhibit B-1

  	
   

  	
  Form of Opinion of Kramer Levin Naftalis &
  Frankel LLP

  
	
  Exhibit B-2

  	
   

  	
  Form of Opinion of Ira Raphaelson

  
	
  Exhibit C

  	
   

  	
  Form of Reaffirmation Agreement

  

 

EXHIBIT A

 

$750,000,000

AMENDED
AND RESTATED CREDIT AGREEMENT

Dated
as of

December 23,
2004,

as
Amended and Restated as of January 24, 2007,

among

SCIENTIFIC
GAMES CORPORATION,

as Borrower,

The
Several Lenders

from Time to Time Parties Hereto,

and

JPMORGAN CHASE BANK, N.A.,

as Administrative Agent

 

 

J.P. MORGAN SECURITIES INC.,

as Sole Lead Arranger and Bookrunner

for
the Tranche E Term Loans

 

[CS&M No.
6701-464]

TABLE OF CONTENTS

	
  

  	
   

  	
   

  	
   

  	
  Page

  
	
  Section 1.

  	
   

  	
  DEFINITIONS

  	
   

  	
  1

  
	
   1.1.

  	
   

  	
  Defined Terms

  	
   

  	
  1

  
	
   1.2.

  	
   

  	
  Other Definitional Provisions

  	
   

  	
  33

  
	
   1.3.

  	
   

  	
  Currency Conversion

  	
   

  	
  33

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 2.

  	
   

  	
  AMOUNT AND TERMS OF AND TERM LOANS

  	
   

  	
  34

  
	
   2.1.

  	
   

  	
  Tranche E Term Commitments; Tranche C Term Loans and
  Tranche D Term Loans

  	
   

  	
  34

  
	
   2.2.

  	
   

  	
  Procedure for Tranche E Term Loan Borrowing

  	
   

  	
  34

  
	
   2.3.

  	
   

  	
  Repayment of Term Loans

  	
   

  	
  34

  
	
   2.4.

  	
   

  	
  Incremental Term Loans

  	
   

  	
  35

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 3.

  	
   

  	
  AMOUNT AND TERMS OF REVOLVING COMMITMENTS

  	
   

  	
  36

  
	
   3.1.

  	
   

  	
  Revolving Commitments

  	
   

  	
  36

  
	
   3.2.

  	
   

  	
  Procedure for Revolving Loan Borrowing

  	
   

  	
  37

  
	
   3.3.

  	
   

  	
  Swingline Commitment

  	
   

  	
  38

  
	
   3.4.

  	
   

  	
  Procedure for Swingline Borrowing; Refunding of
  Swingline Loans

  	
   

  	
  38

  
	
   3.5.

  	
   

  	
  Commitment Fees, etc

  	
   

  	
  40

  
	
   3.6.

  	
   

  	
  Termination or Reduction of Revolving Commitments

  	
   

  	
  40

  
	
   3.7.

  	
   

  	
  L/C Commitment

  	
   

  	
  40

  
	
   3.8.

  	
   

  	
  Procedure for Issuance of Letters of Credit

  	
   

  	
  41

  
	
   3.9.

  	
   

  	
  Fees and Other Charges

  	
   

  	
  41

  
	
   3.10.

  	
   

  	
  L/C Participations

  	
   

  	
  42

  
	
   3.11.

  	
   

  	
  Reimbursement Obligation of the Borrower

  	
   

  	
  43

  
	
   3.12.

  	
   

  	
  Obligations Absolute

  	
   

  	
  44

  
	
   3.13.

  	
   

  	
  Letter of Credit Payments

  	
   

  	
  45

  
	
   3.14.

  	
   

  	
  Applications

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 4.

  	
   

  	
  GENERAL PROVISIONS APPLICABLE TO LOANS AND LETTERS
  OF CREDIT

  	
   

  	
  45

  
	
   4.1.

  	
   

  	
  Optional Prepayments

  	
   

  	
  45

  
	
   4.2.

  	
   

  	
  Mandatory Prepayments

  	
   

  	
  46

  
	
   4.3.

  	
   

  	
  Conversion and Continuation Options

  	
   

  	
  47

  
	
   4.4.

  	
   

  	
  Limitations on Eurocurrency Tranches

  	
   

  	
  48

  
	
   4.5.

  	
   

  	
  Interest Rates and Payment Dates

  	
   

  	
  48

  
	
   4.6.

  	
   

  	
  Computation of Interest and Fees

  	
   

  	
  49

  
	
   4.7.

  	
   

  	
  Inability to Determine Interest Rate

  	
   

  	
  49

  
	
   4.8.

  	
   

  	
  Pro Rata Treatment and Payments

  	
   

  	
  50

  
	
   4.9.

  	
   

  	
  Requirements of Law

  	
   

  	
  52

  
	
   4.10.

  	
   

  	
  Taxes

  	
   

  	
  55

  

 

 ii
 

 

	
   4.11.

  	
   

  	
  Indemnity

  	
   

  	
  57

  
	
   4.12.

  	
   

  	
  Change of Lending Office

  	
   

  	
  57

  
	
   4.13.

  	
   

  	
  Replacement of Lenders

  	
   

  	
  58

  
	
   4.14.

  	
   

  	
  Evidence of Debt

  	
   

  	
  58

  
	
   4.15.

  	
   

  	
  Illegality

  	
   

  	
  59

  
	
   4.16.

  	
   

  	
  Foreign Currency Exchange Rate

  	
   

  	
  59

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 5.

  	
   

  	
  REPRESENTATIONS AND WARRANTIES

  	
   

  	
  60

  
	
   5.1.

  	
   

  	
  Financial Condition

  	
   

  	
  60

  
	
   5.2.

  	
   

  	
  No Change

  	
   

  	
  60

  
	
   5.3.

  	
   

  	
  Corporate Existence; Compliance with Law

  	
   

  	
  60

  
	
   5.4.

  	
   

  	
  Power; Authorization; Enforceable Obligations

  	
   

  	
  60

  
	
   5.5.

  	
   

  	
  No Legal Bar

  	
   

  	
  61

  
	
   5.6.

  	
   

  	
  Litigation

  	
   

  	
  61

  
	
   5.7.

  	
   

  	
  No Default

  	
   

  	
  61

  
	
   5.8.

  	
   

  	
  Ownership of Property; Liens

  	
   

  	
  61

  
	
   5.9.

  	
   

  	
  Intellectual Property

  	
   

  	
  61

  
	
   5.10.

  	
   

  	
  Taxes

  	
   

  	
  62

  
	
   5.11.

  	
   

  	
  Federal Regulations

  	
   

  	
  62

  
	
   5.12.

  	
   

  	
  Labor Matters

  	
   

  	
  62

  
	
   5.13.

  	
   

  	
  ERISA

  	
   

  	
  62

  
	
   5.14.

  	
   

  	
  Investment Company Act; Public Utility Holding
  Company Act; Other Regulations

  	
   

  	
  63

  
	
   5.15.

  	
   

  	
  Subsidiaries

  	
   

  	
  63

  
	
   5.16.

  	
   

  	
  [Reserved]

  	
   

  	
  63

  
	
   5.17.

  	
   

  	
  Environmental Matters

  	
   

  	
  63

  
	
   5.18.

  	
   

  	
  Accuracy of Information, etc

  	
   

  	
  64

  
	
   5.19.

  	
   

  	
  Security Documents

  	
   

  	
  64

  
	
   5.20.

  	
   

  	
  Solvency

  	
   

  	
  65

  
	
   5.21.

  	
   

  	
  Senior Indebtedness

  	
   

  	
  65

  
	
   5.22.

  	
   

  	
  Regulation H

  	
   

  	
  65

  
	
   5.23.

  	
   

  	
  Material Contracts

  	
   

  	
  65

  
	
   5.24.

  	
   

  	
  Insurance

  	
   

  	
  66

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 6.

  	
   

  	
  CONDITIONS PRECEDENT

  	
   

  	
  66

  
	
   6.1.

  	
   

  	
  Conditions to Initial Extension of Credit

  	
   

  	
  66

  
	
   6.2.

  	
   

  	
  Conditions to Each Extension of Credit

  	
   

  	
  66

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 7.

  	
   

  	
  AFFIRMATIVE COVENANTS

  	
   

  	
  66

  
	
   7.1.

  	
   

  	
  Financial Statements

  	
   

  	
  67

  
	
   7.2.

  	
   

  	
  Certificates; Other Information

  	
   

  	
  67

  
	
   7.3.

  	
   

  	
  Payment of Obligations

  	
   

  	
  68

  
	
   7.4.

  	
   

  	
  Maintenance of Existence; Compliance

  	
   

  	
  68

  
	
   7.5.

  	
   

  	
  Maintenance of Property; Insurance

  	
   

  	
  69

  
	
   7.6.

  	
   

  	
  Inspection of Property; Books and Records;
  Discussions

  	
   

  	
  69

  

 

 iii
 

 

	
   7.7.

  	
   

  	
  Notices

  	
   

  	
  69

  
	
   7.8.

  	
   

  	
  Environmental Laws

  	
   

  	
  70

  
	
   7.9.

  	
   

  	
  Additional Collateral, etc

  	
   

  	
  71

  
	
   7.10.

  	
   

  	
  Further Assurances

  	
   

  	
  73

  
	
   7.11.

  	
   

  	
  Use of Proceeds

  	
   

  	
  73

  
	
   7.12.

  	
   

  	
  [Intentionally Omitted]

  	
   

  	
  74

  
	
   7.13.

  	
   

  	
  Acknowledgement and Consent

  	
   

  	
  74

  
	
   7.14.

  	
   

  	
  Lease Amendment

  	
   

  	
  74

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 8.

  	
   

  	
  NEGATIVE COVENANTS

  	
   

  	
  74

  
	
   8.1.

  	
   

  	
  Financial Condition Covenants.

  	
   

  	
  74

  
	
   8.2.

  	
   

  	
  Indebtedness

  	
   

  	
  75

  
	
   8.3.

  	
   

  	
  Liens

  	
   

  	
  76

  
	
   8.4.

  	
   

  	
  Fundamental Changes

  	
   

  	
  78

  
	
   8.5.

  	
   

  	
  Disposition of Property

  	
   

  	
  79

  
	
   8.6.

  	
   

  	
  Restricted Payments

  	
   

  	
  80

  
	
   8.7.

  	
   

  	
  Payment Blockage Notice

  	
   

  	
  81

  
	
   8.8.

  	
   

  	
  Investments

  	
   

  	
  81

  
	
   8.9.

  	
   

  	
  Payments and Modifications of Certain Debt
  Instruments

  	
   

  	
  83

  
	
   8.10.

  	
   

  	
  Transactions with Affiliates

  	
   

  	
  84

  
	
   8.11.

  	
   

  	
  Sales and Leasebacks

  	
   

  	
  84

  
	
   8.12.

  	
   

  	
  Changes in Fiscal Periods

  	
   

  	
  85

  
	
   8.13.

  	
   

  	
  Negative Pledge Clauses

  	
   

  	
  85

  
	
   8.14.

  	
   

  	
  Clauses Restricting Subsidiary Distributions

  	
   

  	
  85

  
	
   8.15.

  	
   

  	
  Lines of Business

  	
   

  	
  85

  
	
   8.16.

  	
   

  	
  Hedge Agreements

  	
   

  	
  85

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 9.

  	
   

  	
  EVENTS OF DEFAULT

  	
   

  	
  86

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 10.

  	
   

  	
  THE AGENTS

  	
   

  	
  89

  
	
   10.1.

  	
   

  	
  Appointment

  	
   

  	
  89

  
	
   10.2.

  	
   

  	
  Delegation of Duties

  	
   

  	
  90

  
	
   10.3.

  	
   

  	
  Exculpatory Provisions

  	
   

  	
  90

  
	
   10.4.

  	
   

  	
  Reliance by Agents

  	
   

  	
  91

  
	
   10.5.

  	
   

  	
  Notice of Default

  	
   

  	
  91

  
	
   10.6.

  	
   

  	
  Non-Reliance on Agents and Other Lenders

  	
   

  	
  91

  
	
   10.7.

  	
   

  	
  Indemnification

  	
   

  	
  92

  
	
   10.8.

  	
   

  	
  Agent in Its Individual Capacity

  	
   

  	
  92

  
	
   10.9.

  	
   

  	
  Successor Administrative Agent

  	
   

  	
  92

  
	
   10.10.

  	
   

  	
  Agents Generally

  	
   

  	
  93

  
	
   10.11.

  	
   

  	
  Lead Arrangers and Syndication Agent

  	
   

  	
  93

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 11.

  	
   

  	
  MISCELLANEOUS

  	
   

  	
  93

  
	
   11.1.

  	
   

  	
  Amendments and Waivers

  	
   

  	
  93

  
	
   11.2.

  	
   

  	
  Notices

  	
   

  	
  95

  

 

 iv
 

 

	
   11.3.

  	
   

  	
  No Waiver; Cumulative Remedies

  	
   

  	
  97

  
	
   11.4.

  	
   

  	
  Survival

  	
   

  	
  97

  
	
   11.5.

  	
   

  	
  Payment of Expenses and Taxes

  	
   

  	
  97

  
	
   11.6.

  	
   

  	
  Successors and Assigns

  	
   

  	
  99

  
	
   11.7.

  	
   

  	
  Adjustments; Set-off

  	
   

  	
  102

  
	
   11.8.

  	
   

  	
  Counterparts

  	
   

  	
  103

  
	
   11.9.

  	
   

  	
  Severability

  	
   

  	
  103

  
	
   11.10.

  	
   

  	
  Integration

  	
   

  	
  103

  
	
   11.11.

  	
   

  	
  GOVERNING LAW

  	
   

  	
  103

  
	
   11.12.

  	
   

  	
  Submission To Jurisdiction; Waivers

  	
   

  	
  103

  
	
   11.13.

  	
   

  	
  Acknowledgments

  	
   

  	
  104

  
	
   11.14.

  	
   

  	
  Releases of Guarantees and Liens

  	
   

  	
  104

  
	
   11.15.

  	
   

  	
  Confidentiality

  	
   

  	
  105

  
	
   11.16.

  	
   

  	
  WAIVERS OF JURY TRIAL

  	
   

  	
  105

  
	
   11.17.

  	
   

  	
  [Reserved]

  	
   

  	
  105

  
	
   11.18.

  	
   

  	
  Conversion of Currencies

  	
   

  	
  105

  
	
   11.19.

  	
   

  	
  Interest Rate Limitation

  	
   

  	
  106

  

 

	
  ANNEXES:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  A

  	
  Pricing Grid

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  SCHEDULES:

  	
   

  	
   

  	
   

  	
   

  
						

 

	
  1.1(a)

  	
   

  	
  Mortgaged Property

  	
   

  	
   

  
	
  1.1(b)

  	
   

  	
  Specified Hedge Agreements

  	
   

  	
   

  
	
  1.1(c)

  	
   

  	
  Transfer Transactions

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  2.1

  	
   

  	
  Commitments

  	
   

  	
   

  
	
  2.1A

  	
   

  	
  Tranche C Term Commitments

  	
   

  	
   

  
	
  2.1B

  	
   

  	
  Incremental Multicurrency Revolving Commitments

  	
   

  	
   

  
	
  2.1C

  	
   

  	
  Pro Forma Multicurrency Revolving Commitments

  	
   

  	
   

  
	
  2.1D

  	
   

  	
  Tranche D Term Commitments

  	
   

  	
   

  
	
  2.1E

  	
   

  	
  Tranche E Term Commitments

  	
   

  	
   

  
	
  3.7

  	
   

  	
  Existing Letters of Credit

  	
   

  	
   

  
	
  5.4

  	
   

  	
  Consents, Authorization, Filings and Notices

  	
   

  	
   

  
	
  5.6

  	
   

  	
  Litigation

  	
   

  	
   

  
	
  5.15(a)

  	
   

  	
  Subsidiaries

  	
   

  	
   

  
	
  5.15(b)

  	
   

  	
  Outstanding Equity Commitments

  	
   

  	
   

  
	
  5.19(a)

  	
   

  	
  UCC Filing Jurisdictions

  	
   

  	
   

  
	
  5.19(b)

  	
   

  	
  Mortgage Filing Jurisdictions

  	
   

  	
   

  
	
  5.22

  	
   

  	
  Regulation H

  	
   

  	
   

  
	
  5.23

  	
   

  	
  Material Contracts

  	
   

  	
   

  
	
  5.24

  	
   

  	
  Insurance

  	
   

  	
   

  
	
  8.2(d)

  	
   

  	
  Existing Indebtedness

  	
   

  	
   

  
	
  8.3(l)

  	
   

  	
  Existing Liens

  	
   

  	
   

  
	
  8.5

  	
   

  	
  2006 JV Contribution

  	
   

  	
   

  

 

 v
 

 

	
  8.8(f)

  	
   

  	
  Existing Investments

  	
   

  	
   

  
	
  8.13(c)

  	
   

  	
  Specified Contracts – Negative Pledge

  	
   

  	
   

  
	
  8.13(d)

  	
   

  	
  Specified Contracts – Prohibition of Assignment

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBITS:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  A

  	
   

  	
  Form of Guarantee and Collateral Agreement

  	
   

  	
   

  
	
  B

  	
   

  	
  Form of Compliance Certificate

  	
   

  	
   

  
	
  C

  	
   

  	
  Form of Closing Certificate

  	
   

  	
   

  
	
  D

  	
   

  	
  Form of Mortgage

  	
   

  	
   

  
	
  E

  	
   

  	
  Form of Assignment and Assumption

  	
   

  	
   

  
	
  F-1

  	
   

  	
  Form of Legal Opinion of Kramer Levin Naftalis &
  Frankel LLP

  	
   

  	
   

  
	
  F-2

  	
   

  	
  Form of Legal Opinion of Martin E. Schloss

  	
   

  	
   

  
	
  G

  	
   

  	
  Form of Exemption Certificate

  	
   

  	
   

  

 

 vi

AMENDED AND RESTATED CREDIT AGREEMENT, dated as of
December 23, 2004, as amended and restated as of January 24, 2007, among
SCIENTIFIC GAMES CORPORATION, a Delaware corporation, the several banks and
other financial institutions or entities from time to time parties to this
Agreement, and JPMORGAN CHASE BANK, N.A., as administrative agent.

WHEREAS, the Borrower, certain lenders party thereto
and the Administrative Agent are parties to the Credit Agreement dated as of
December 23, 2004 (as amended and in effect immediately prior to the First
Restatement Effective Date (as defined herein), the “2004 Credit Agreement”),
as amended and restated pursuant to the First Amendment and Restatement
Agreement (as defined herein) and subsequently amended and restated pursuant to
the Amendment and Restatement Agreement dated as of July 7, 2006 (the “Second
Amendment and Restatement Agreement”), as amended (as in effect immediately
prior to the Restatement Effective Date (as defined herein), the “Existing
Credit Agreement”);

WHEREAS, the Borrower and the Administrative Agent are
parties to an Amendment and Restatement Agreement with the Restatement Lenders
(as defined therein) dated as of January 24, 2007 (the “Amendment and
Restatement Agreement”); and

WHEREAS, subject to the satisfaction of the conditions
set forth in the Amendment and Restatement Agreement, the Existing Credit
Agreement shall be amended and restated as provided herein.

NOW, THEREFORE, the parties hereto agree as follows:

SECTION 1.   DEFINITIONS

1.1  Defined
Terms.  As used in this Agreement, the
terms listed in this Section 1.1 shall have the respective meanings set
forth in this Section 1.1.

“Adjustment Date”:  as defined in the Pricing Grid.

“Administrative Agent”:  JPMorgan Chase Bank, N.A., in its capacity as
administrative agent for the Lenders hereunder.

“Administrative Questionnaire” shall mean an
Administrative Questionnaire in a form supplied by the Administrative Agent.

“Affected Foreign Currency”:  as defined in Section 4.7(c).

“Affiliate”: 
as to any Person, any other Person that, directly or indirectly, is in
control of, is controlled by, or is under common control with, such
Person.  For purposes of this definition,
“control” (including, with correlative meanings, the terms “controlling”, “controlled
by” and “under common control with”), as applied to any Person, means the
possession, directly or indirectly, of the power to direct or cause the
direction of the management and policies of that Person, whether through the
ownership of voting securities or by contract or otherwise.

“Agents”: 
the collective reference to the Syndication Agent and the Administrative
Agent, which term shall include, for purposes of Section 10 only, the
Issuing Lender.

“Aggregate Exposure”:  with respect to any Lender at any time, the
sum of (a) the aggregate then unpaid principal amount of such Lender’s
Term Loans, (b) the amount of such Lender’s Revolving Commitments then in
effect and (c) if the Revolving Commitments of a Class have been
terminated, the amount of such Lender’s Revolving Extensions of Credit of such
Class then outstanding.

“Aggregate Exposure Percentage”:  with respect to any Lender at any time, the
ratio (expressed as a percentage) of such Lender’s Aggregate Exposure at such
time to the Aggregate Exposure of all Lenders at such time.

“Agreement”: 
this Credit Agreement.

“Agreement Currency”:  as defined in Section 11.18(b).

“Amendment and 
Restatement Agreement”:  as
defined in the recitals hereto.

“Applicable Creditor”:  as defined in Section 11.18(b).

“Applicable Margin”:  with respect to any Loan, a rate per annum
equal to the rate determined pursuant to the Pricing Grid.

“Application”: 
an application, in such form as an Issuing Lender may specify from time
to time, requesting such Issuing Lender to open a Letter of Credit.

“Approved Fund”:  with respect to any Lender that is a fund
that invests in commercial loans, any other fund that invests in commercial
loans and is managed or advised by the same investment advisor as such Lender
or by an Affiliate of such investment advisor.

“Asset Sale”: 
any Disposition of Property or series of related Dispositions of
Property (excluding any such Disposition permitted by clause (a), (b), (c)
or (d) of Section 8.5) that yields Net Cash Proceeds to any Group Member
(valued at the initial principal amount thereof in the case of non-cash
proceeds consisting of notes or other debt securities and valued at fair market
value in the case of other non-cash proceeds) in excess of $5,000,000.

“Assignee”: 
as defined in Section 11.6.

“Assignment and Assumption”:  an Assignment and Assumption, substantially
in the form of Exhibit E.

“Available Revolving Commitment”:  as to any Revolving Lender under either
Revolving Facility at any time, an amount equal to the excess, if any, of
(a) such Lender’s Revolving Commitment under such Revolving Facility then
in effect over (b) such Lender’s Revolving Extensions of Credit
under such Revolving Facility then outstanding; provided that, in

 2
 

calculating any Dollar
Revolving Lender’s Revolving Extensions of Credit under the Dollar Revolving
Facility for the purpose of determining such Lender’s Available Revolving
Commitment under the Dollar Revolving Facility pursuant to Section 3.5,
the aggregate principal amount of Swingline Loans then outstanding shall be
deemed to be zero.

“Base Rate”: 
for any day, a rate per annum (rounded upwards, if necessary, to the
next 1/16 of 1%) equal to the greater of (a) the Prime Rate in effect on
such day and (b) the Federal Funds Effective Rate in effect on such day plus
0.50%.  For purposes hereof, “Prime
Rate” shall mean the rate of interest per annum publicly announced from
time to time by the Reference Lender as its prime rate in effect at its
principal office in New York City.  Any
change in the Base Rate due to a change in the Prime Rate or the Federal Funds
Effective Rate shall be effective as of the opening of business on the
effective day of such change in the Prime Rate or the Federal Funds Effective
Rate, respectively.

“Base Rate Loans”:  Loans the rate of interest applicable to
which is based upon the Base Rate.

“Benefitted Lender”:  as defined in Section 11.7(a).

“Board”: 
the Board of Governors of the Federal Reserve System of the United
States (or any successor).

“Borrower”: 
Scientific Games Corporation, a Delaware corporation.

“Borrowing Date”:  any Business Day specified by the Borrower as
a date on which the Borrower requests the relevant Lenders to make Loans
hereunder.

“Business”: 
as defined in Section 5.17(b).

“Business Day”: 
a day other than a Saturday, Sunday or other day on which commercial
banks in New York City are authorized or required by law to close; provided
that (a) when used in connection with a Eurocurrency Loan, the term “Business
Day” shall also exclude any day on which banks are not open for dealings in
deposits in the applicable currency in the London interbank market,
(b) when used in connection with a Multicurrency Revolving Loan
denominated in a Foreign Currency, the term “Business Day” shall also exclude
any day on which banks in (i) the jurisdiction of the account to which the
proceeds of such Loan are to be disbursed and (ii) the jurisdiction in
which payments of principal of and interest on such Loan are to made are
authorized or required by law to close and (c) when used in connection with any Loan denominated in Euro,
the term “Business Day” shall also exclude any day on which the Trans-European
Automated Real-Time Gross Settlement Express Transfer System (TARGET) (or, if
such clearing system ceases to be operative, such other clearing system (if
any) determined by the Administrative Agent to be a suitable replacement) is
not open for settlement of payment in Euro.

“Calculation Date”:  with respect to each Foreign Currency, the
fifteenth and last day of each calendar month (or, if such day is not a
Business Day, the next succeeding Business

 3
 

Day), provided
that the second Business Day preceding each Borrowing Date with respect to any
Multicurrency Revolving Loans denominated in a Foreign Currency shall also be a
“Calculation Date” with respect to such Foreign Currency.

“Capital Expenditures”:  for any period, with respect to any Person,
the aggregate of all expenditures by such Person and its Subsidiaries for
(a) the acquisition or leasing (pursuant to a capital lease) of fixed or
capital assets or additions to equipment (including replacements, capitalized
repairs and improvements during such period) that should be capitalized under
GAAP on a consolidated balance sheet of such Person and its Subsidiaries, (b) the
purchase or development of computer software or systems to the extent such
expenditures are capitalized on the consolidated balance sheet of the Borrower
and its Subsidiaries in conformity with GAAP and (c) deferred installation
costs; provided that Capital Expenditures shall not include expenditures
recorded as consideration paid in connection with acquisitions permitted by
Section 8.8(k) or any other related expenditure made substantially
contemporaneously therewith.

“Capital Lease Obligations”:  as to any Person, the obligations of such
Person to pay rent or other amounts under any lease of (or other arrangement
conveying the right to use) real or personal property, or a combination
thereof, which obligations are required to be classified and accounted for as
capital leases on a balance sheet of such Person under GAAP and, for the
purposes of this Agreement, the amount of such obligations at any time shall be
the capitalized amount thereof at such time determined in accordance with GAAP.

“Capital Stock”:  any and all shares, interests, participations
or other equivalents (however designated) of capital stock of a corporation,
any and all equivalent ownership interests in a Person (other than a
corporation) and any and all warrants, rights or options to purchase any of the
foregoing.

“Cash Collateral Account”:  as defined in Section 4.2(e).

“Cash Equivalents”:  (a) marketable direct obligations issued
by, or unconditionally guaranteed by, the United States government or issued by
any agency thereof and backed by the full faith and credit of the United
States, in each case maturing within one year from the date of acquisition;
(b) certificates of deposit, time deposits, eurodollar time deposits or
overnight bank deposits having maturities of six months or less from the date
of acquisition issued by any Lender or by any commercial bank organized under
the laws of the United States or any state thereof having combined capital and
surplus of not less than $500,000,000; (c) commercial paper of an issuer
rated at least A-1 by Standard & Poor’s Ratings Services (“S&P”)
or P-1 by Moody’s Investors Service, Inc. (“Moody’s”), or carrying an
equivalent rating by a nationally recognized rating agency, if both of the two
named rating agencies cease publishing ratings of commercial paper issuers
generally, and maturing within six months from the date of acquisition;
(d) repurchase obligations of any Lender or of any commercial bank
satisfying the requirements of clause (b) of this definition, having a
term of not more than 30 days, with respect to securities issued or fully
guaranteed or insured by the United States government; (e) securities with
maturities of one year or less from the date of acquisition issued or fully
guaranteed by any state, commonwealth or territory of the United States, by any
political subdivision or taxing authority of any such state, commonwealth or
territory or by any

 4
 

foreign government, the
securities of which state, commonwealth, territory, political subdivision,
taxing authority or foreign government (as the case may be) are rated at least
A by S&P or A by Moody’s; (f) securities with maturities of six months
or less from the date of acquisition backed by standby letters of credit issued
by any Lender or any commercial bank satisfying the requirements of
clause (b) of this definition; (g) shares of Dollar denominated money
market mutual or similar funds which invest exclusively in assets satisfying
the requirements of clauses (a) through (f) of this definition or money
market funds that (i) comply with the criteria set forth in Securities and
Exchange Conversion Rule 2a-7 under the Investment Company Act of 1940,
(ii) are rated AAA by S&P and Aaa by Moody’s and (iii) have
portfolio assets of at least $5,000,000,000; or (h) in the case of
Subsidiaries doing business outside of the United States, substantially similar
investments to those set forth in clauses (a) through (g) above
denominated in foreign currencies; provided that references to the
United States shall be deemed to mean foreign countries having a sovereign
rating of A or better from either S&P or Moody’s.

“Charges”: 
as defined in Section 11.19.

“Class”: 
(a) when used in reference to any Loan or borrowing, refers to
whether such Loan, or the Loans constituting such borrowing, are Dollar Revolving
Loans, Multicurrency Revolving Loans, Tranche C Term Loans, Tranche D Term
Loans, Tranche E Term Loans or Swingline Loans, (b) when used in
reference to any Commitment, refers to whether such Commitment is a Dollar
Revolving Commitment, Multicurrency Revolving Commitment, Tranche C Term
Commitment, Tranche D Term Commitment or Tranche E Term Commitment
and (c) when used in reference to any Lender refers to whether such Lender is a
Dollar Revolving Lender, Multicurrency Revolving Lender, Tranche C Term Lender,
Tranche D Term Lender or Tranche E Term Lender.

“Code”: 
the Internal Revenue Code of 1986, as amended from time to time.

“Collateral”: 
all Property of the Loan Parties, now owned or hereafter acquired, upon
which a Lien is purported to be created by any Security Document.

“Commitment”: 
a Tranche C Term Commitment, a Tranche D Term Commitment, a
Tranche E Term Commitment or a Revolving Commitment.

“Commitment Fee Rate”:  0.50% per annum.

“Commonly Controlled Entity”:  an entity, whether or not incorporated, that
is under common control with the Borrower within the meaning of
Section 4001 of ERISA or is part of a group that includes the Borrower and
that is treated as a single employer under Section 414 of the Code.

“Compliance Certificate”:  a certificate duly executed by a Responsible
Officer substantially in the form of Exhibit B.

“Conduit Lender”:  any special purpose entity organized and
administered by any Lender for the purpose of making Loans otherwise required
to be made by such Lender and

 5
 

designated by such Lender
in a written instrument, subject to the consent of the Administrative Agent and
the Borrower (which consent shall not be unreasonably withheld); provided,
that the designation by any Lender of a Conduit Lender shall not relieve the
designating Lender of any of its obligations to fund a Loan under this
Agreement if, for any reason, its Conduit Lender fails to fund any such Loan,
and the designating Lender (and not the Conduit Lender) shall have the sole
right and responsibility to deliver all consents and waivers required or
requested under this Agreement with respect to its Conduit Lender, and provided,
further, that no Conduit Lender shall (a) be entitled to receive
any greater amount pursuant to Section 4.9, 4.10, 4.11 or 11.5 than the
designating Lender would have been entitled to receive in respect of the
extensions of credit made by such Conduit Lender or (b) be deemed to have
any Commitment.

“Confidential Information Memorandum”:  the Confidential Information Memorandum dated
January 2007 and furnished to the Lenders.

“Consolidated EBITDA”:  for any period, Consolidated Net Income for
such period plus, without duplication and to the extent reflected as a
charge in the statement of such Consolidated Net Income for such period, the
sum of (a) income tax expense, (b) interest expense, amortization or
write-off of debt discount and debt issuance costs and commissions, discounts
and other fees and charges associated with Indebtedness (including the Loans),
(c) depreciation and amortization expense, (d) amortization of
intangibles (including, but not limited to, goodwill) and organization costs,
(e) the earnout payments with respect to the Global Draw Acquisition, the Games
Media Acquisition and the Printpool Honsel Acquisition, (f) in the case of the
fiscal quarters ended December 31, 2005 and March 31, 2006, the non-cash
expense to discontinue the Supplemental Executive Retirement Plan in amounts
not exceeding $12,400,000 and $314,000, respectively, (g) any
extraordinary charges or losses determined in accordance with GAAP, (h)
non-cash stock-based compensation expenses, (i) in the case of the fiscal
quarter ended March 31, 2006, acquisition-related or unusual expenses incurred
by Global Draw, Ltd in an aggregate amount not exceeding the Dollar Equivalent
of British Pounds Sterling 4,000,000, (j) the non-cash portion of any
non-recurring write-offs or write-downs as required in accordance with  GAAP; provided that such amounts do
not include (i) write-offs or write-downs of accounts receivable or inventory
and (ii) any write-off or write-down to the extent it is in respect of cash
payments to be made in a future period and (k) in the case of the fiscal
quarters ended December 31, 2006 and March 31, 2007, cash severance expenses
and restructuring charges in an aggregate amount not exceeding $18,000,000 and minus,
to the extent included in the statement of such Consolidated Net Income for
such period, the sum of (a) interest income and (b) any extraordinary
income or gains determined in accordance with GAAP.  For the purposes of calculating Consolidated
EBITDA for any period of four consecutive fiscal quarters (each, a “Reference
Period”) pursuant to any determination of the Consolidated Leverage Ratio
and the Consolidated Senior Debt Ratio, (i) if at any time during such
Reference Period the Borrower or any Subsidiary shall have made any Material
Disposition, the Consolidated EBITDA for such Reference Period shall be reduced
by an amount equal to the Consolidated EBITDA (if positive) attributable to the
property that is the subject of such Material Disposition for such Reference
Period or increased by an amount equal to the Consolidated EBITDA (if negative)
attributable thereto for such Reference Period and (ii) if during such
Reference Period the Borrower or any Subsidiary shall have made a Material

 6
 

Acquisition, Consolidated
EBITDA for such Reference Period shall be calculated after giving pro forma
effect thereto as if such Material Acquisition occurred on the first day of
such Reference Period; provided that in the case of the EssNet
Acquisition and the Racing Venue Acquisition, in lieu of the foregoing
adjustment in clause (ii) such acquisitions shall be deemed to have
increased Consolidated EBITDA by $2,200,000 (in the case of the EssNet Acquisition)
or $300,000 (in the case of the Racing Venue Acquisition) for each fiscal
quarter included in any such Reference Period referred to in clause (ii).

 “Consolidated
Interest Coverage Ratio”:  for any
period, the ratio of (a) Consolidated EBITDA for such period to (b)
Consolidated Interest Expense for such period.

“Consolidated Interest Expense”:  for any period, total cash interest expense
(including that attributable to Capital Lease Obligations) of the Borrower and
its Subsidiaries for such period with respect to all outstanding Indebtedness
of the Borrower and its Subsidiaries (including all commissions, discounts and
other fees and charges owed with respect to letters of credit and bankers’
acceptance financing and net costs under Hedge Agreements in respect of
interest rates to the extent such net costs are allocable to such period in
accordance with GAAP and excluding (a) any fees paid in connection with the
EssNet Acquisition and the 2006 Acquisitions and (b) fees and expenses incurred
in connection with the negotiation, preparation and execution of the Amendment
and Restatement Agreement and this Agreement to the extent such fees are not
capitalized and are treated as interest expense in accordance with GAAP).

“Consolidated Leverage Ratio”:  as of the last day of any period, the ratio of
(a) Consolidated Total Debt on such day to (b) Consolidated EBITDA for the
period of four consecutive fiscal quarters then ended.

“Consolidated Net Income”:  for any period, the consolidated net income
(or loss) of the Borrower and its Subsidiaries, determined on a consolidated
basis in accordance with GAAP, provided that there shall be excluded
(a) the income (or deficit) of any Person accrued prior to the date it
becomes a Subsidiary of the Borrower or is merged into or consolidated with the
Borrower or any of its Subsidiaries, (b) the income (or deficit) of any
Person (other than a Subsidiary of the Borrower) in which the Borrower or any
of its Subsidiaries has an ownership interest, except to the extent that any
such income is actually received by the Borrower or such Subsidiary in the form
of dividends or similar distributions and (c) the undistributed earnings
of any Subsidiary of the Borrower to the extent that the declaration or payment
of dividends or similar distributions by such Subsidiary is not at the time
permitted by the terms of any Contractual Obligation (other than under any Loan
Document) or Requirement of Law applicable to such Subsidiary.

“Consolidated Senior Debt”:  all Consolidated Total Debt other than the
Senior Subordinated Securities.

“Consolidated Senior Debt Ratio”:  as of the last day of any period, the ratio
of (a) Consolidated Senior Debt on such day to (b) Consolidated
EBITDA for the period of four consecutive fiscal quarters then ended.

 7
 

“Consolidated Total Debt”:  at any date, the aggregate principal amount
of all Indebtedness of the Borrower and its Subsidiaries at such date,
determined on a consolidated basis and required to be reflected on the Borrower’s
balance sheet in accordance with GAAP.

“Continuing Directors”:  the directors of the Borrower on the
Effective Date and each other director, if, in each case, such other director’s
nomination for election to the board of directors of the Borrower is
recommended by a majority of the then Continuing Directors.

“Contractual Obligation”:  as to any Person, any provision of any
security issued by such Person or of any agreement, instrument or other
undertaking to which such Person is a party or by which it or any of its
property is bound.

“Conversion Date”:  any date on which either (a) an Event of
Default under Section 9(f) has occurred or (b) the Commitments shall
have been terminated prior to the Revolving Termination Date and/or the Loans
shall have been declared immediately due and payable, in either case pursuant
to Section 9.

 “Convertible
Debentures Options Transactions”: 
collectively, the transactions in connection with the issuance of the
Convertible Senior Subordinated Debentures contemplated by (i) the letter
agreements dated as of December 1, 2004, between the Borrower and each of J.P.
Morgan Securities Inc., as agent for JPMorgan Chase Bank, N.A., London Branch,
and Bear, Stearns International Limited; (ii) the ISDA confirmations to be
entered into on or about the Effective Date between the Borrower and each of
J.P. Morgan Securities Inc., as agent for JPMorgan Chase Bank, N.A., London
Branch, and Bear, Stearns International Limited and the related deemed 2002
ISDA Master Agreements as referred to therein; (iii) any arrangements
substantially the same as those referred to above that are entered into in
connection with the exercise of the underwriters’ “green shoe” option in
respect of the offering of the Convertible Senior Subordinated Debentures; and
(iv) any other documents relating to the matters referenced in clauses (i),
(ii) or (iii) above.

“Convertible Senior Subordinated Debentures”:  the unsecured Convertible Senior Subordinated
Debentures due 2024 of the Borrower to be issued on or about the Effective Date
in an aggregate principal amount of $250,000,000 plus any amounts issued in
connection with the exercise of any “green shoe” option granted to the
underwriters thereof in connection with the initial issuance.

“Default”: 
any of the events specified in Section 9, whether or not any
requirement for the giving of notice, the lapse of time, or both, has been
satisfied.

“Disposition”: 
with respect to any Property, any sale, lease, sale and leaseback,
assignment, conveyance, transfer or other disposition thereof.  The terms “Dispose” and “Disposed
of” shall have correlative meanings.

“Dollar Equivalent”:  at any time as to any amount denominated in a
Foreign Currency, the equivalent amount in Dollars as determined by the
Administrative Agent at such

 8
 

time on the basis of the
Exchange Rate for the purchase of Dollars with such Foreign Currency on the
most recent Calculation Date for such Foreign Currency.

“Dollar L/C Obligations”:  at any time, an amount equal to the sum of
(a) the aggregate then undrawn and unexpired amount of the then
outstanding Dollar Letters of Credit and (b) the aggregate amount of
drawings under Dollar Letters of Credit that have not then been reimbursed
pursuant to Section 3.11.

“Dollar Letters of Credit”:  as defined in Section 3.7(a).

“Dollar Revolving Commitment”:  as to any Lender, the obligation of such
Lender, if any, to make Dollar Revolving Loans and participate in Swingline
Loans and Dollar Letters of Credit in an aggregate principal and/or face amount
not to exceed the amount set forth under the heading “Dollar Revolving
Commitment” with respect to such Lender on Schedule 2.1 or in the
Assignment and Assumption pursuant to which such Lender became a party to this
Agreement, as the same may be changed from time to time pursuant to the terms
hereof.  The original aggregate amount of
the Dollar Revolving Commitments is $200,000,000.

“Dollar Revolving Extensions of Credit”:  as to any Dollar Revolving Lender at any
time, an amount equal to the sum of (a) the aggregate principal amount of
Dollar Revolving Loans held by such Lender then outstanding, (b) such
Lender’s Dollar Revolving Percentage of the Dollar L/C Obligations then
outstanding and (c) such Lender’s Dollar Revolving Percentage of the
aggregate principal amount of Swingline Loans then outstanding.

“Dollar Revolving Facility”:  the credit facility represented by the Dollar
Revolving Commitments and Dollar Revolving Extensions of Credit.

“Dollar Revolving Lender”:  each Lender that has a Dollar Revolving
Commitment or any Dollar Revolving Extensions of Credit.

“Dollar Revolving Loans”:  as defined in Section 3.1(a).

“Dollar Revolving Percentage”:  as to any Dollar Revolving Lender at any
time, the percentage which such Lender’s Dollar Revolving Commitment then
constitutes of the Total Dollar Revolving Commitments (or, at any time after
the Dollar Revolving Commitments shall have expired or terminated, the
percentage which such Lender’s Dollar Revolving Extensions of Credit then
outstanding constitutes of the Total Dollar Revolving Extensions of Credit then
outstanding of all Dollar Revolving Lenders).

“Dollars” and “$”:  dollars in lawful currency of the United
States.

“Domestic Subsidiary”:  any Subsidiary of the Borrower organized
under the laws of any jurisdiction within the United States; provided
that any such Subsidiary that is directly owned by a Foreign Subsidiary shall
be deemed not to be a “Domestic Subsidiary” (and thus shall be deemed to be a
Foreign Subsidiary) if and for so long as, in the Borrower’s reasonable
judgment, there would be any adverse tax consequences to, or otherwise
financially

 9
 

disadvantageous for, the
Borrower and its Subsidiaries if such Subsidiary were to be treated as a “Domestic
Subsidiary” under the Loan Documents.

“Effective Date”:  December 23, 2004, the date on which the
conditions specified in Section 6.1 of the 2004 Credit Agreement were
satisfied.

“Environmental Laws”:  any and all laws, rules, orders, regulations,
statutes, ordinances, codes, decrees, binding agreement, judgments, or
requirements of any Governmental Authority or other Requirements of Law
(including common law) regulating, relating to, or imposing liability or
standards of conduct concerning pollution or protection of human health or the
environment, as have been, are now, or may at any time hereafter be in effect.

“ERISA”: 
the Employee Retirement Income Security Act of 1974, as amended from
time to time.

“EssNet Acquisition”:  the purchase by the Borrower of the lottery
business of EssNet AB on March 22, 2006 pursuant to an Asset Purchase Agreement
dated as of January 20, 2006.

“Eurocurrency Base Rate”:  with respect to each day during each Interest
Period pertaining to a Eurocurrency Loan, the rate per annum determined on the
basis of the rate for deposits in Dollars (or, in the case of a Eurocurrency
Loan that is a Multicurrency Revolving Loan denominated in a Foreign Currency,
the applicable Foreign Currency) for a period equal to such Interest Period
commencing on the first day of such Interest Period appearing on Page 3750
(or on the Page for the applicable Foreign Currency) of the Telerate screen as
of 11:00 A.M., London time, two Business Days prior to the beginning of
such Interest Period (or, in the case of Eurocurrency Loans denominated in
British Pounds Sterling, the relevant Page of the Telerate screen as of
11:00 A.M., London time, on the first day of such Interest Period).  In the event that such rate does not appear
on Page 3750 (or on the Page for the applicable Foreign Currency) of the
Telerate screen (or otherwise on such screen), the “Eurocurrency Base Rate”
shall be determined by reference to such other comparable publicly available
service for displaying Eurocurrency rates as may be selected by the
Administrative Agent or, in the absence of such availability, by reference to
the rate at which the Administrative Agent is offered Dollar deposits (or, in
the case of a Eurocurrency Loan that is a Multicurrency Revolving Loan
denominated in a Foreign Currency, deposits in the applicable Foreign Currency)
at or about 11:00 A.M., local time, two Business Days prior to the
beginning of such Interest Period in the interbank eurocurrency market where
its eurocurrency and foreign currency and exchange operations are then being
conducted for delivery on the first day of such Interest Period for the number
of days comprised therein.

“Eurocurrency Loans”:  Loans the rate of interest applicable to
which is based upon the Eurocurrency Rate.

“Eurocurrency Rate”:  with respect to each day during each Interest
Period pertaining to a Eurocurrency Loan, a rate per annum determined for such
day in accordance with the following formula (rounded upward to the nearest
1/100th of 1%):

 10
 

 

	
  

  	
  Eurocurrency Base Rate

  	
   

  
	
   

  	
  1.00 - Eurocurrency Reserve Requirements

  	
   

  

 

“Eurocurrency Reserve Requirements”:  for any day as applied to a Eurocurrency
Loan, the aggregate (without duplication) of the maximum rates (expressed as a
decimal fraction) of reserve requirements in effect on such day (including any
special, supplemental, marginal or emergency reserves) under any regulations of
the Board or other Governmental Authority having jurisdiction with respect
thereto dealing with reserve requirements prescribed for eurocurrency funding
(currently referred to as “Eurocurrency liabilities” in Regulation D of
the Board) maintained by a member bank of the Federal Reserve System.  Such reserve requirements shall include those
imposed pursuant to Regulation D. Eurocurrency Loans shall be deemed to
constitute eurocurrency funding and to be subject to such reserve requirements
without benefit of or credit for proration, exemptions or offsets that may be
available from time to time to any Lender under such Regulation D or any
comparable regulation. The Eurocurrency Reserve Requirements shall be adjusted
automatically on and as of the effective date of any change in any reserve
requirement.

“Eurocurrency Tranche”:  with respect to any Facility, the collective
reference to Eurocurrency Loans in the same currency under such Facility the
then current Interest Periods with respect to all of which begin on the same
date and end on the same later date (whether or not such Loans shall originally
have been made on the same day).

“Event of Default”:  any of the events specified in
Section 9, provided that any requirement for the giving of notice,
the lapse of time, or both, has been satisfied.

 “Exchange
Rate”:  on any day, with respect to
any currency (the “specified currency”), the rate at which such
specified currency may be exchanged into any other relevant currency (the “exchange
currency”), as set forth at approximately 11:00 A.M., London time, on
such date on the Reuters World Currency Page for such currency.  In the event that such rate does not appear
on any Reuters World Currency Page, the Exchange Rate shall be determined by
reference to such other publicly available service for displaying exchange
rates as may be agreed upon by the Administrative Agent and the Borrower, or,
in the absence of such agreement, such Exchange Rate shall instead be the
arithmetic average of the spot rates of exchange of the Administrative Agent in
the market where its foreign currency exchange operations in respect of such
specified currency are then being conducted, at or about 10:00 A.M., local
time, on such date for the purchase of such exchange currency with the relevant
specified currency for delivery two Business Days later; provided that
if at the time of any such determination, for any reason, no such spot rate is
being quoted, the Administrative Agent, after consultation with the Borrower,
may use any reasonable method it deems appropriate to determine such rate, and
such determination shall be presumed correct absent manifest error.

“Excluded Indebtedness”:  all Indebtedness permitted by
clauses (a), (b), (c), (d), (e), (f), (g), (h), (i), (j), (k),  (l) and (m) of Section 8.2.

“Existing Credit Agreement”:  as defined in the recitals hereto.

 11
 

“Existing Letters of Credit”:  the letters of credit listed on
Schedule 3.7 that are outstanding on the Restatement Effective Date.

“Existing Subordinated Notes”:  the unsecured Senior Subordinated Notes due
2010 of the Borrower issued on August 14, 2000 pursuant to the indenture dated
as of August 14, 2000, as amended and supplemented.

 “Expenditure
Use Amounts”:  at any date, the
amount equal to the sum of all amounts utilized by the Borrower and its
Subsidiaries on and after the Effective Date to make Restricted Payments or to
pay, prepay, repurchase or redeem or otherwise optionally or voluntarily
defease or segregate funds with respect to Senior Subordinated Securities, in
each case in reliance on the Permitted Expenditure Amount.

“Facility”: 
each of (a) the Tranche C Term Commitments and the Tranche C Term
Loans made thereunder (the “Tranche C Term Facility”), (b) the
Tranche D Term Commitments and the Tranche D Term Loans made
thereunder (the “Tranche D Term Facility”), (c) the
Tranche E Term Commitments and the Tranche E Term Loans made
thereunder (the “Tranche E Term Facility”), (d) the Dollar
Revolving Facility and (e) the Multicurrency Revolving Facility.

“Federal Funds Effective Rate”:  for any day, the weighted average of the
rates on overnight federal funds transactions with members of the Federal
Reserve System arranged by federal funds brokers, as published on the next
succeeding Business Day by the Federal Reserve Bank of New York, or, if such
rate is not so published for any day that is a Business Day, the average of the
quotations for the day of such transactions received by the Reference Lender
from three federal funds brokers of recognized standing selected by such
Reference Lender.

“Fee Payment Date”:  the last day of each March, June, September
and December and the last day of the Revolving Commitment Period (or, in
respect of either Class of Revolving Commitments, on such earlier date as the
Revolving Commitments of such Class shall terminate as provided herein).

“First Amendment and Restatement Agreement”:  the Amendment and Restatement Agreement dated
as of March 31, 2006, to the 2004 Credit Agreement, among the Borrower, the
lenders party thereto and Administrative Agent.

“First Restatement Effective Date”:  April 3, 2006, the date on which the
conditions specified in Section 6 of the First Amendment and Restatement
Agreement were satisfied.

 “Foreign
Currency”:  (a) with respect to
any Multicurrency Revolving Loan or Multicurrency Revolving Letter of Credit,
each of British Pounds Sterling, Euro and any other currency approved by the
Multicurrency Revolving Lenders or the relevant Issuing Lender, as applicable,
and the Administrative Agent, provided that the Eurocurrency Base Rate
applicable to Multicurrency Revolving Loans denominated in a Foreign Currency
approved after the Effective Date may be amended as agreed by the Multicurrency
Revolving Lenders, the

 12
 

Administrative Agent and
the Borrower and (b) solely with respect to any Multicurrency Revolving
Letter of Credit issued by JPMorgan Chase Bank, N.A., each of British Pounds
Sterling, Euro and Canadian Dollars, and, to the extent available, Chilean
Pesos, Swiss Francs, New Israeli Shekels, Turkish Liras and Indian Rupees.

“Foreign Currency Equivalent”:  at any time as to any amount denominated in
Dollars, the equivalent amount in the relevant Foreign Currency or Currencies
as determined by the Administrative Agent at such time on the basis of the
Exchange Rate for the purchase of such Foreign Currency or Currencies with
Dollars on the date of determination thereof.

“Foreign Holdco”:  as defined in Section 8.8(j).

“Foreign Holdco Subsidiary”:  as defined in Section 8.8(j).

“Foreign Subsidiary”:  any Subsidiary of the Borrower that is not a
Domestic Subsidiary.

“Funding Office”:  the office of the Administrative Agent
specified in Section 11.2, or such other office as may be specified from
time to time by the Administrative Agent as its funding office by written
notice to the Borrower and the Lenders.

“GAAP”: 
generally accepted accounting principles in the United States as in
effect from time to time.  In the event
that any Accounting Change (as defined below) shall occur and such change
results in a change in the method of calculation of financial covenants,
standards or terms in this Agreement, then, at any time, the Borrower (by
notice to the Administrative Agent) may, or the Administrative Agent, the
Syndication Agent or the Required Lenders (in each case, by notice to the
Borrower) may, elect to require negotiations in order to amend such provisions
of this Agreement so as to equitably reflect such Accounting Changes with the
desired result that the criteria for evaluating the Borrower’s financial
condition shall be the same after such Accounting Changes as if such Accounting
Changes had not been made.  In the event
of any such election, then, until such time as such an amendment shall have
been executed and delivered by the Borrower, Administrative Agent and the
Required Lenders (or the electing party has rescinded its election), all
financial covenants, standards and terms in this Agreement shall continue to be
calculated or construed as if such Accounting Changes had not occurred.  “Accounting Changes” refers to
(a) changes in accounting principles required by the promulgation of any
rule, regulation, pronouncement or opinion by the Financial Accounting
Standards Board, the Emerging Issues Task Force or, if applicable, the SEC or
(b) changes in the application of GAAP from the application used in preparation
of the Borrower’s audited financial statements for its fiscal year ended
December 31, 2005.

“Games Media Acquisition”:  the purchase of Games Media Limited, a
supplier of amusement and gaming terminals and content, and certain related
companies by the Borrower or a Subsidiary pursuant to a stock purchase
agreement for  an initial consideration
not exceeding £10,200,000 plus (a) working capital adjustments, (b) future earnout
payments and (c) other payments pursuant to such stock purchase agreement
subject to a maximum amount to be agreed upon.

 13
 

“Gaming Approval”:  any and all approvals, authorizations,
consents, rulings, orders or directives of any Governmental Authority
(i) necessary, as of the Effective Date, to enable the Group Members to
engage in the lottery, gambling, horse racing or gaming business or otherwise
continue to conduct its business as it is conducted on the Effective Date,
(ii) that regulates gaming in any jurisdiction in which the Group Members
conduct gaming activities and has jurisdiction over such persons (including any
successors to any of them) or (iii) necessary, as of the Effective Date,
to accomplish the transactions contemplated hereby.

“Gaming Authority”:  as to any Person, any governmental agency,
authority, board, bureau, commission, department, office or instrumentality
with regulatory, licensing or permitting authority or jurisdiction over any
gaming business or enterprise or any Gaming Facility, or with regulatory,
licensing or permitting authority or jurisdiction over any gaming operation (or
proposed gaming operation) owned, managed or operated by any Group Member.

“Gaming Facility”:  as to any Person, any lottery operation,
gaming establishment and other property or assets directly ancillary thereto or
used in connection therewith, including, without limitation, any casinos,
hotels, resorts, race tracks, off-track wagering sites and other recreation and
entertainment facilities owned, managed or operated by any Group Member.

“Gaming Laws”: 
as to any Person, (a) constitutions, treaties, statutes or laws
governing Gaming Facilities (including, without limitation, pari-mutuel race
tracks) and rules, regulations, codes and ordinances of, and all administrative
or judicial orders or decrees or other laws pursuant to which, any Gaming
Authority possesses regulatory, licensing or permit authority over gambling,
gaming or Gaming Facility activities conducted by any Group Member within its
jurisdiction, (b) Gaming Approvals and (c) orders, decisions,
determinations, judgments, awards and decrees of any Gaming Authority.

“Global Draw Acquisition”:  the purchase of Global Draw, Ltd, a supplier
of fixed odds betting terminals and systems, and interactive betting systems,
and certain related companies from Walter Grubmueller and other parties.

“Governmental Authority”:  any nation or government, any state or other
political subdivision thereof, any agency, authority, instrumentality,
regulatory body, court, central bank or other entity exercising executive,
legislative, judicial, taxing, regulatory or administrative functions of or
pertaining to government, any securities exchange and any self-regulatory
organization (including the National Association of Insurance Commissioners).

“Group Members”:  the collective reference to the Borrower and
its Subsidiaries.

“Guarantee and Collateral Agreement”:  the Guarantee and Collateral Agreement
executed and delivered by the Borrower and each Subsidiary Guarantor, substantially
in the form of Exhibit A.

“Guarantee Obligation”:  as to any Person (the “guaranteeing person”),
any obligation of (a) the guaranteeing person or (b) another Person
(including any bank under any letter of credit) to induce the creation of which
the guaranteeing person has issued a

 14
 

reimbursement,
counterindemnity or similar obligation, in either case guaranteeing or in
effect guaranteeing any Indebtedness, leases, dividends or other obligations
(the “primary obligations”) of any other third Person (the “primary
obligor”) in any manner, whether directly or indirectly, including any
obligation of the guaranteeing person, whether or not contingent, (i) to
purchase any such primary obligation or any property constituting direct or
indirect security therefor, (ii) to advance or supply funds (1) for
the purchase or payment of any such primary obligation or (2) to maintain
working capital or equity capital of the primary obligor or otherwise to
maintain the net worth or solvency of the primary obligor, (iii) to
purchase property, securities or services primarily for the purpose of assuring
the owner of any such primary obligation of the ability of the primary obligor
to make payment of such primary obligation or (iv) otherwise to assure or
hold harmless the owner of any such primary obligation against loss in respect
thereof; provided, however, that the term Guarantee Obligation
shall not include endorsements of instruments for deposit or collection in the
ordinary course of business.  The amount
of any Guarantee Obligation of any guaranteeing person shall be deemed to be
the lower of (a) an amount equal to the stated or determinable amount of
the primary obligation in respect of which such Guarantee Obligation is made
and (b) the maximum amount for which such guaranteeing person may be
liable pursuant to the terms of the instrument embodying such Guarantee
Obligation, unless such primary obligation and the maximum amount for which
such guaranteeing person may be liable are not stated or determinable, in which
case the amount of such Guarantee Obligation shall be such guaranteeing person’s
maximum reasonably anticipated liability in respect thereof as determined by
the Borrower in good faith.

“Hedge Agreements”:  any agreement with respect to any swap, forward,
future or derivative transaction or option or similar agreement involving, or
settled by reference to, one or more rates, currencies, commodities, equity or
debt instruments or securities, or economic, financial or pricing indices or
measures of economic, financial or pricing risk or value or any similar
transaction or any combination of these transactions; provided that no
phantom stock or similar plan providing for payments only on account of
services provided by current or former directors, officers, employees or
consultants of the Borrower or the Subsidiaries shall be a Hedge Agreement.

“Indebtedness”: 
of any Person at any date, without duplication, (a) all
indebtedness of such Person for borrowed money, (b) all obligations of
such Person for the deferred purchase price of property or services (other than
current trade payables incurred in the ordinary course of such Person’s
business), (c) all obligations of such Person evidenced by notes, bonds,
debentures or other similar instruments, (d) all indebtedness created or
arising under any conditional sale or other title retention agreement with
respect to property acquired by such Person (even though the rights and
remedies of the seller or lender under such agreement in the event of default
are limited to repossession or sale of such property), (e) all Capital
Lease Obligations of such Person, (f) all obligations of such Person,
contingent or otherwise, as an account party or applicant under or in respect
of acceptances, letters of credit, surety bonds or similar arrangements,
(g) the liquidation value of all mandatorily redeemable preferred Capital
Stock of such Person, (h) all Guarantee Obligations of such Person in
respect of obligations of the kind referred to in clauses (a) through (g)
above and (i) all obligations of the kind referred to in clauses (a)
through (h) above secured by (or for which the holder of such obligation has an

 15

existing right,
contingent or otherwise, to be secured by) any Lien on Property (including
accounts and contract rights) owned by such Person, whether or not such Person
has assumed or become liable for the payment of such obligation.  The Indebtedness of any Person shall include
the Indebtedness of any other entity (including any partnership in which such
Person is a general partner) to the extent such Person is liable therefor as a
result of such Person’s ownership interest in or other relationship with such
entity, except to the extent the terms of such Indebtedness expressly provide
that such Person is not liable therefor.

“Indemnified Liabilities”:  as defined in Section 11.5.

“Indemnitee”: 
as defined in Section 11.5.

“Ineligible Assignee”:  any Person that is (a) to the extent
required under applicable Gaming Laws, a Person who is not registered or
licensed with, approved, qualified or found suitable by, or has been
disapproved, denied a license, qualification or approval or found unsuitable
(whichever may be required under applicable Gaming Laws) or (b) a
competitor of the Borrower or an affiliate or related entity of any such
competitor.

“Insolvency”: 
with respect to any Multiemployer Plan, the condition that such Plan is
insolvent within the meaning of Section 4245 of ERISA.

“Insolvent”: 
pertaining to a condition of Insolvency.

“Intellectual Property”:  the collective reference to all rights,
priorities and privileges relating to intellectual property, whether arising
under United States, multinational or foreign laws or otherwise, including
copyrights, copyright licenses, patents, patent licenses, trademarks, trademark
licenses, technology, know-how and processes, and all rights to sue at law or
in equity for any infringement or other impairment thereof, including the right
to receive all proceeds and damages therefrom.

“Interest Payment Date”:  (a) as to any Base Rate Loan (other than
a Swingline Loan), the last day of each March, June, September and December to
occur while such Loan is outstanding and the final maturity date of such Loan,
(b) as to any Eurocurrency Loan having an Interest Period of three months
or less, the last day of such Interest Period, (c) as to any Eurocurrency
Loan having an Interest Period longer than three months, each day that is three
months, or a whole multiple thereof, after the first day of such Interest
Period and the last day of such Interest Period, (d) as to any Loan (other
than any Dollar Revolving Loan that is a Base Rate Loan and is prepaid prior to
the end of the Revolving Commitment Period), the date of any repayment or
prepayment made in respect thereof and (e) as to any Swingline Loan, the
day that such Loan is required to be repaid.

“Interest Period”:  as to any Eurocurrency Loan,
(a) initially, the period commencing on the borrowing or conversion date,
as the case may be, with respect to such Eurocurrency Loan and ending one, two,
three or six months thereafter, or, if available from all participating
Lenders, nine or 12 months thereafter, as selected by the Borrower in its
notice of borrowing or notice of conversion, as the case may be, given with
respect thereto; and 

 16
 

(b) thereafter, each
period commencing on the last day of the next preceding Interest Period
applicable to such Eurocurrency Loan and ending one, two, three or six months
thereafter, or, if available from all participating Lenders, nine or 12 months
thereafter, as selected by the Borrower by irrevocable notice to the
Administrative Agent not later than 11:00 A.M., New York City time, three
Business Days prior to the last day of the then current Interest Period with
respect thereto; provided that all of the foregoing provisions relating
to Interest Periods are subject to the following:

(i)       if any Interest Period would otherwise
end on a day that is not a Business Day, such Interest Period shall be extended
to the next succeeding Business Day unless the result of such extension would
be to carry such Interest Period into another calendar month in which event
such Interest Period shall end on the immediately preceding Business Day;

(ii)      the Borrower may not select an Interest
Period under a particular Facility that would extend beyond the Revolving
Termination Date (in the case of a Revolving Facility) or beyond the date final
payment is due on the Tranche C Term Loans, the Tranche D Term Loans or the
Tranche E Term Loans, as the case may be; and

(iii)     any Interest Period that begins on the last
Business Day of a calendar month (or on a day for which there is no numerically
corresponding day in the calendar month at the end of such Interest Period)
shall end on the last Business Day of a calendar month.

“Investments”: 
as defined in Section 8.8.

“Issuing Lender”:  JPMorgan Chase Bank, N.A., in its capacity as
issuer of Letters of Credit hereunder, The Bank of New York, in its capacity as
issuer of the Existing Letters of Credit, and their respective successors or
any other Revolving Lender under the relevant Revolving Facility from time to
time designated by the Borrower as an Issuing Lender under such Revolving
Facility with the consent of such Revolving Lender and the Administrative
Agent.  An Issuing Lender may, in its
discretion, arrange for one or more Letters of Credit to be issued by
Affiliates of such Issuing Lender, in which case the term “Issuing Lender”
shall include any such Affiliate with respect to Letters of Credit issued by
such Affiliate.

“Judgment Currency”:  as defined in Section 11.18(b).

“L/C Commitment”:  $200,000,000.

“L/C Disbursement”:  the amount of a drawing under a Letter of Credit
that has not then been reimbursed pursuant to Section 3.11.

“L/C Fee Payment Date”:  the last day of each March, June, September
and December and the last day of the Revolving Commitment Period.

“L/C Obligations”:  Dollar L/C Obligations and Multicurrency L/C
Obligations.

“L/C Participants”:  with respect to any Letter of Credit issued
under a Revolving Facility or L/C Disbursement thereunder, the collective
reference to all the Revolving Lenders 

 17
 

under such Revolving
Facility other than the Issuing Lender that issued such Letter of Credit (in
the event such Issuing Lender is a Revolving Lender).

“Lead Arranger”:  J.P. Morgan Securities Inc., in its capacity
as lead arranger and bookrunner for each Facility.

“Lender Affiliate”:  (a) any Affiliate of any Lender,
(b) any Person that is administered or managed by any Lender and that is
engaged in making, purchasing, holding or otherwise investing in commercial
loans and similar extensions of credit in the ordinary course of its business
and (c) with respect to any Lender which is a fund that invests in
commercial loans and similar extensions of credit, any other fund that invests
in commercial loans and similar extensions of credit and is managed or advised
by the same investment advisor as such Lender or by an Affiliate of such Lender
or investment advisor.

“Lenders”: 
the Persons listed on Schedule 2.1, 2.1A, 2.1C, 2.1D or 2.1E and
any other Person that shall have become a party hereto pursuant to an
Assignment and Assumption, other than any such Person that ceases to be a party
hereto pursuant to an Assignment and Assumption; provided that, unless
the context otherwise requires, each reference herein to the Lenders shall be
deemed to include any Swingline Lender, Issuing Lender or Conduit Lender.

“Letter of Credit”:  a Dollar Letter of Credit or a Multicurrency
Letter of Credit.

“Lien”: 
any mortgage, pledge, hypothecation, assignment, deposit arrangement,
encumbrance, lien (statutory or other), charge or other security interest or
any preference, priority or other security agreement or preferential
arrangement of any kind or nature whatsoever (including any conditional sale or
other title retention agreement and any capital lease having substantially the
same economic effect as any of the foregoing).

“Loan”: 
any loan made by any Lender pursuant to this Agreement.

“Loan Documents”:  this Agreement, the Security Documents, the
Notes and the Amendment and Restatement Agreement.

“Loan Parties”: 
each Group Member that is a party to a Loan Document.

“Majority Facility Lenders”:  with respect to any Facility, the holders of
more than 50% of the aggregate unpaid principal amount of the Tranche C Term
Loans, Tranche D Term Loans, Tranche E Term Loans or the Total
Revolving Extensions of Credit, as the case may be, outstanding under such
Facility (or, in the case of a Revolving Facility, prior to any termination of
the Revolving Commitments thereunder, the holders of more than 50% of the Total
Revolving Commitments thereunder).

“Material Acquisition”:  any acquisition of property or series of
related acquisitions of property that (a) constitutes assets comprising
all or substantially all of an operating unit of a business or constitutes all
or substantially all of the common stock of a Person and (b) involves the
payment of consideration by the Borrower and its Subsidiaries in excess of 

 18
 

$5,000,000, and in any
event shall include the EssNet Acquisition and the Racing Venue Acquisition.

“Material Adverse Effect”:  a material adverse effect on (a) the
business, assets, property, condition (financial or otherwise), results of
operations or prospects of the Borrower and its Subsidiaries, taken as a whole
or (b) the validity or enforceability of this Agreement or any of the
other Loan Documents or the rights or remedies of the Agents or the Lenders
hereunder or thereunder.

“Material Contract”:  each contract of the Group Members described
on Schedule 5.23.

“Material Disposition”:  any Disposition of property or series of
related Dispositions of property that yields gross proceeds to the Borrower or
any of its Subsidiaries in excess of $5,000,000.

“Material Indebtedness”:  Indebtedness (other than the Loans and
Letters of Credit), or obligations in respect of one or more Hedge Agreements,
of the Borrower or any Subsidiary in an aggregate principal amount exceeding
$5,000,000.  For purposes of determining
Material Indebtedness, the “principal amount” of the obligations of the
Borrower or any Subsidiary in respect of any Hedge Agreement at any time shall
be the maximum aggregate amount (giving effect to any netting agreements) that
the Borrower or such Subsidiary would be required to pay if such Hedge
Agreement were terminated at such time.

“Materials of Environmental Concern”:  any gasoline or petroleum (including crude
oil or any fraction thereof) or petroleum products, asbestos or
asbestos-containing material, polychlorinated biphenyls, urea-formaldehyde
insulation, any hazardous or toxic substances, materials or wastes, defined as
such or regulated pursuant to any applicable Environmental Laws, and any other
substances that could reasonably be expected to result in liability under any
applicable Environmental Laws.

“Maximum Rate”: 
as defined in Section 11.19.

“Mortgaged Properties”:  the real properties listed on
Schedule 1.1(a), as to which the Administrative Agent for the benefit of
the Lenders shall be granted a Lien pursuant to the Mortgages.

“Mortgages”: 
each of the mortgages and deeds of trust, as applicable, made by any
Loan Party in favor of, or for the benefit of, the Administrative Agent for the
benefit of the Lenders, substantially in the form of Exhibit D (with such
changes thereto as shall be advisable under the law of the jurisdiction in
which such mortgage or deed of trust is to be recorded).

“Multicurrency L/C Obligations”:  at any time, an amount equal to the sum of
(a) the aggregate then undrawn and unexpired amount of the then
outstanding Multicurrency Letters of Credit (including the Dollar Equivalent of
Multicurrency Letters of Credit issued in Foreign Currencies) and (b) the
aggregate amount of drawings under Multicurrency Letters of 

 19
 

Credit (including the
Dollar Equivalent of Multicurrency Letters of Credit issued in Foreign
Currencies to the extent such amounts have not been converted to Dollars in
accordance with the terms hereof) that have not then been reimbursed pursuant
to Section 3.11.

“Multicurrency Letters of Credit”:  as defined in Section 3.7(a).

“Multicurrency Revolving Commitment”:  as to any Multicurrency Revolving Lender, the
obligation of such Lender, if any, to make Multicurrency Revolving Loans and
participate in Multicurrency Letters of Credit in an aggregate principal and/or
face amount (based on Dollar Equivalents, in the case of amounts denominated in
Foreign Currencies) not to exceed the amount set forth under the heading “Multicurrency
Revolving Commitment” with respect to such Lender on Schedule 2.1 or in
the Assignment and Assumption pursuant to which such Lender became a party to
this Agreement, as the same may be changed from time to time pursuant to the
terms hereof.  The aggregate amount of
the Multicurrency Revolving Commitments on the Restatement Effective Date is
$100,000,000.

“Multicurrency Revolving Extensions of Credit”:  as to any Multicurrency Revolving Lender at
any time, an amount equal to the sum of (a) the aggregate principal amount
of all Multicurrency Revolving Loans denominated in Dollars held by such Lender
then outstanding, (b) such Lender’s Multicurrency Revolving Percentage of
the Multicurrency L/C Obligations then outstanding and (c) such Lender’s
Multicurrency Revolving Percentage of the Dollar Equivalent of the aggregate
principal amount of Multicurrency Revolving Loans denominated in Foreign
Currencies then outstanding.

“Multicurrency Revolving Facility”:  the credit facility represented by the
Multicurrency Revolving Commitments and the Multicurrency Revolving Extensions
of Credit.

“Multicurrency Revolving Lender”:  each Lender that has a Multicurrency
Revolving Commitment or any Multicurrency Revolving Extensions of Credit.

“Multicurrency Revolving Loans”:  as defined in Section 3.1(a).

“Multicurrency Revolving Percentage”:  as to any Multicurrency Revolving Lender at
any time, the percentage which such Lender’s Multicurrency Revolving Commitment
then constitutes of the Total Multicurrency Revolving Commitments (or, at any
time after the Multicurrency Revolving Commitments shall have expired or
terminated, the percentage which the aggregate principal amount of such Lender’s
Multicurrency Revolving Extensions of Credit then outstanding constitutes of
the Total Multicurrency Revolving Extensions of Credit then outstanding of all
Multicurrency Revolving Lenders).

“Multiemployer Plan”:  a Plan that is a multiemployer plan as
defined in Section 4001(a)(3) of ERISA.

“Net Cash Proceeds”:  (a) in connection with any Asset Sale or
any Recovery Event, the proceeds thereof in the form of cash and Cash
Equivalents (including any such proceeds received by way of deferred payment of
principal pursuant to a note or installment 

 20
 

receivable or purchase
price adjustment receivable or by the Disposition of any non-cash consideration
received in connection therewith or otherwise, but only as and when received)
of such Asset Sale or Recovery Event, net of attorneys’ fees, accountants’ fees,
investment banking fees, brokers’ fees, amounts required to be applied to the
repayment of Indebtedness secured by a Lien expressly permitted hereunder on
any asset that is the subject of such Asset Sale or Recovery Event (other than
any Lien pursuant to a Security Document) and other customary fees and expenses
actually incurred in connection therewith and net of taxes paid or reasonably
estimated to be payable as a result thereof (after taking into account any
available tax credits or deductions and any tax sharing arrangements) and
(b) in connection with any issuance or sale of Capital Stock or any
incurrence of Indebtedness, the cash proceeds received from such issuance or
incurrence, net of attorneys’ fees, investment banking fees, accountants’ fees,
underwriting discounts and commissions and other customary fees and expenses
actually incurred in connection therewith.

“New Co-Operative Services Contract”:  any new contract relating to the
establishment and operation of a co-operative service instant ticket lottery
with a customer for whom neither the Borrower nor any of its Subsidiaries
operated a co-operative service instant ticket lottery on or prior to the date
such contract is entered into or any new contract relating to a co-operative
service instant ticket lottery with an existing customer of the Borrower or any
of its Subsidiaries that was entered into in accordance with normal
jurisdictional laws regarding “request for proposal” procedures, provided
that such contract shall cease to be a New Co-Operative Services Contract on
the date on which the Borrower or such Subsidiary commences “commercial
operations” under such contract.

“New On-Line Contract”:  any new contract relating to the
establishment and operation of an on-line lottery system with a customer for
whom neither the Borrower nor any of its Subsidiaries operated an on-line
lottery system on or prior to the date such contract is entered into or any new
contract relating to an on-line lottery system with an existing customer of the
Borrower or any of its Subsidiaries that was entered into in accordance with
normal jurisdictional laws regarding “request for proposal” procedures; provided
that, such contract shall cease to be a New On-Line Contract on the date on
which the Borrower or such Subsidiary commences “commercial operations” under
such contract.

“New Pari-Mutuel Contract”:  a new contract relating to the establishment
and operation of a pari-mutuel wagering system at a horse track, dog track or
off-track betting facility where neither the Borrower nor any of its
Subsidiaries previously operated a pari-mutuel wagering system, provided
that such contract shall cease to be a New Pari-Mutuel Contract on the date on
which the Borrower or such Subsidiary commences “commercial operations” under
such contract.

“Non-Excluded Taxes”:  as defined in Section 4.10(a).

“Non-Guarantor Subsidiary”:  any Subsidiary that is not a Subsidiary
Guarantor.

“Non-U.S. Lender”:  as defined in Section 4.10(d).

 21
 

“Notes”: 
the collective reference to any promissory note evidencing Loans.

“Obligations”: 
the unpaid principal of and interest on (including interest accruing
after the maturity of the Loans and Reimbursement Obligations and interest
accruing after the filing of any petition in bankruptcy, or the commencement of
any insolvency, reorganization or like proceeding, relating to the Borrower,
whether or not a claim for post-filing or post-petition interest is allowed in
such proceeding) the Loans and all other obligations and liabilities of the
Borrower to any Agent or to any Lender (or, in the case of Specified Hedge
Agreements, any affiliate of any Lender or any counterparty to a Specified
Hedge Agreement set forth on Schedule 1.1(b)), whether direct or indirect,
absolute or contingent, due or to become due, or now existing or hereafter
incurred, which may arise under, out of, or in connection with, this Agreement,
any other Loan Document, the Letters of Credit, any Specified Hedge Agreement
or any other document made, delivered or given in connection herewith or
therewith, whether on account of principal, interest, reimbursement
obligations, fees, indemnities, costs, expenses (including all fees, charges
and disbursements of counsel to any Agent or to any Lender that are required to
be paid by the Borrower pursuant to this Agreement) or otherwise; provided
that (i) obligations of the Borrower or any Subsidiary under any Specified
Hedge Agreement shall be secured and guaranteed pursuant to the Security
Documents only to the extent that, and for so long as, the other Obligations
are so secured and guaranteed and (ii) any release of Collateral or
Subsidiary Guarantors effected in the manner permitted by this Agreement shall
not require the consent of holders of obligations under Specified Hedge
Agreements.

“Other Taxes”: 
any and all present or future stamp or documentary taxes or any other
excise or property taxes, charges or similar levies arising from any payment
made hereunder or from the execution, delivery or enforcement of, or otherwise
with respect to, this Agreement or any other Loan Document.

“Participant”: 
as defined in Section 11.6(c).

“PBGC”: 
the Pension Benefit Guaranty Corporation established pursuant to
Subtitle A of Title IV of ERISA (or any successor).

“Perfection Certificate”:  as defined in the Guarantee and Collateral
Agreement.

“Permitted Acquisition”:  as to any Person, (a) the acquisition by
such Person of the Capital Stock of another Person which is primarily engaged
in the same or related line of business of the Borrower and its Subsidiaries
(or any other Person that is engaged in a business that is a reasonable
extension of the business of the Borrower and its Subsidiaries and that
utilizes the same or similar technology as that used by the Borrower and its
Subsidiaries immediately prior to such acquisition) so long as following such
acquisition such other Person becomes a Subsidiary of such Person or
(b) the acquisition by such Person of all or substantially all of the
assets of another Person or all or substantially all of the assets constituting
a division or business unit of another Person.

“Permitted Additional Senior Indebtedness”:  Indebtedness in respect of unsecured debt
issued by the Borrower; provided that (a) such Indebtedness matures no
earlier 

 22
 

than, and does not
require any scheduled payment of principal, mandatory prepayment or redemption
of principal prior to, June 30, 2010 (except for up to $5,000,000 of principal
payments during any year, in the aggregate for all such Indebtedness, with
carry forwards to the extent such $5,000,000 allowed amount is not used in any
year), (b) the other terms of such Indebtedness, taken as a whole, are no less
favorable to the Borrower and the Lenders in any material respect than those of
senior unsecured debt securities issued in the capital markets by similarly
rated issuers, (c) such Indebtedness is not subject to any Guarantee Obligation
by any Person that is not a Subsidiary Guarantor (and any such Guarantee
Obligation shall provide for release thereof if the Guarantee Obligation of the
applicable Subsidiary in respect of the Obligations is released), (d) at the
time of and after giving effect to the incurrence of such Indebtedness, no
Default or Event of Default has occurred and is continuing, (e) the Borrower
shall be in compliance with the covenants set forth in Section 8.1 as of
the last day of the most recently ended fiscal quarter of the Borrower for
which financial statements are available at the time of issuance of such
Indebtedness, determined on a pro forma basis as though (i) such issuance of
Indebtedness, and any other incurrence or repayment of long-term Indebtedness
subsequent to the end of such fiscal quarter, had occurred on the last day of
such fiscal quarter, for purposes Sections 8.1(a) and (c), (ii) such
issuance of Indebtedness, and any other issuance of Permitted Additional Senior
Indebtedness or Permitted Additional Subordinated Debt issued subsequent to the
end of such fiscal quarter (and any repayment of Indebtedness refinanced with
the proceeds of such issuance), had occurred on the first day of the period of
four consecutive fiscal quarters ended on the last day of such fiscal quarter,
for purposes of Section 8.1(d), and (iii) any Material Acquisition,
Material Disposition, New On-Line Contract, New Co-Operative Services Contract
or New Pari-Mutuel Contract made or entered into (or being made or entered into
in connection with such issuance of Indebtedness) subsequent to the end of such
fiscal quarter had been made or entered into on the first day of the period of four
consecutive fiscal quarters ended on the last day of such fiscal quarter, for
purposes of calculating Consolidated EBITDA, and (f) the Borrower shall
have delivered to the Administrative Agent, at least five Business Days prior
to the issuance of such Indebtedness, a description of the terms and conditions
of such Indebtedness and calculations demonstrating compliance with
clause (d) above, in each case certified by a financial officer of the
Borrower.

“Permitted Additional Subordinated Debt”:  Indebtedness in respect of unsecured
subordinated debt issued by the Borrower; provided that (a) such
subordinated Indebtedness matures no earlier than, and does not require any
scheduled payment of principal prior to, the scheduled maturity of the Senior
Subordinated Notes, (b) the terms and conditions of such subordinated
Indebtedness (other than interest rates and redemption premiums, which shall be
based on market conditions at the time of issuance), including, without
limitation, the subordination provisions thereof, shall be no less favorable to
the Lenders and the Loan Parties than those of the Senior Subordinated Notes,
(c) such Indebtedness shall not be subject to any Guarantee Obligation other
than Guarantee Obligations of Subsidiary Guarantors that are subordinated to
the same extent as the obligations of the Borrower in respect of such
Indebtedness, (d) the Borrower shall be in compliance with the covenants set
forth in Section 8.1 as of the last day of the most recently ended fiscal
quarter of the Borrower for which financial statements are available at the
time of issuance of such Indebtedness, determined on a pro forma basis as
though (i) such issuance of subordinated Indebtedness, and any other incurrence
or 

 23
 

repayment of long-term
Indebtedness subsequent to the end of such fiscal quarter, had occurred on the
last day of such fiscal quarter, for purposes Sections 8.1(a) and (c),
(ii) such issuance of subordinated Indebtedness, and any other issuance of
Permitted Additional Subordinated Debt or Permitted Additional Senior
Indebtedness issued subsequent to the end of such fiscal quarter (and any
repayment of Indebtedness refinanced with the proceeds of such issuance), had
occurred on the first day of the period of four consecutive fiscal quarters
ended on the last day of such fiscal quarter, for purposes of
Section 8.1(d), and (iii) any Material Acquisition, Material Disposition,
New On-Line Contract, New Co-Operative Services Contract or New Pari-Mutuel
Contract made or entered into (or being made or entered into in connection with
such issuance of subordinated Indebtedness) subsequent to the end of such
fiscal quarter had been made or entered into on the first day of the period of
four consecutive fiscal quarters ended on the last day of such fiscal quarter,
for purposes of calculating Consolidated EBITDA, and (e) the Borrower
shall have delivered to the Administrative Agent, at least five Business Days
prior to the issuance of such subordinated Indebtedness, a description of the
terms and conditions of such subordinated Indebtedness and calculations
demonstrating compliance with clause (d) above, in each case certified by
a financial officer of the Borrower.

“Permitted Expenditure Amount”:  at any date, the amount equal to (a) the sum
of (i) (A) 50% of the amount of Consolidated Net Income for each
quarterly period ended after the Effective Date for which financial statements
have been delivered pursuant to Section 7.1 to the extent the Consolidated Net
Income for such period is positive less (B) 100% of the amount of
Consolidated Net Income for each quarterly period ended after the Effective
Date for which financial statements have been delivered pursuant to
Section 7.1 to the extent the Consolidated Net Income for such period is
negative (in no event shall the amount in this clause (i) be less than
zero); (ii) 100% of the Net Cash Proceeds received by the Borrower from
the sale of Capital Stock of the Borrower (other than to a Group Member) during
the period beginning on the Effective Date and ending on such date; and
(iii) $5,000,000, minus (b) the aggregate amount of
Expenditure Use Amounts as of such date. 
For purposes of this definition, Consolidated Net Income for any period
shall be adjusted to add back (to the extent otherwise deducted and without duplication)
(1) in the case of the fiscal quarters ended December 31, 2005 and March 31,
2006, the non-cash expense to discontinue the Supplemental Executive Retirement
Plan in amounts not exceeding $12,400,000 and $314,000, respectively, (2)
non-cash stock-based compensation expenses and (3) in the case of the fiscal
quarter ended March 31, 2006, acquisition-related or unusual expenses incurred
by Global Draw, Ltd in an aggregate amount not exceeding the Dollar Equivalent
of British Pounds Sterling 4,000,000.

“Person”: 
an individual, partnership, corporation, limited liability company,
business trust, joint stock company, trust, unincorporated association, joint
venture, Governmental Authority or other entity of whatever nature.

“Peru Investments”:  Investments by the Borrower to International
Lotto Corporation and Scientific Games del Peru, s.R.L. listed on Schedule
8.8(j).

“Plan”: 
at a particular time, any employee benefit plan that is covered by ERISA
and in respect of which the Borrower or a Commonly Controlled Entity is (or, if
such plan were 

 24
 

terminated at such time,
would under Section 4069 of ERISA be deemed to be) an “employer” as
defined in Section 3(5) of ERISA.

“Pricing Grid”: 
the pricing grid attached to this Agreement as Annex A.

“Printpool Honsel Acquisition”: the acquisition
of the shares of Printpool Honsel GmbH and certain related companies by
Scientific Games Germany GmbH pursuant to the Public Deed dated October 5, 2004
for total consideration of up to €22,500,000 plus additional amounts related to
certain balance sheet adjustments and interest.

“Prior Credit Agreement”:  the Amended and Restated Credit Agreement,
dated as of November 6, 2003 (as amended, supplemented or otherwise modified
prior to the Effective Date), among the Borrower, the several banks and other
financial institutions from time to time parties thereto, Bear, Stearns &
Co. Inc., as sole lead arranger and sole bookrunner, Deutsche Bank Securities
Inc. and Credit Suisse First Boston, as co-arrangers and co-documentation
agents, Bear Stearns Corporate Lending Inc., as syndication agent, and The Bank
of New York, as administrative agent.

“Projections”: 
as defined in Section 7.2(c).

“Property”: 
any right or interest in or to property of any kind whatsoever, whether
real, personal or mixed and whether tangible or intangible, including, without
limitation, Capital Stock.

“Racing Venue Acquisition”:  the purchase of assets by the Borrower of a
domestic parimutuel business (identified to the Administrative Agent prior to
the First Restatement Effective Date) from a limited partnership on terms and
conditions satisfactory to the Borrower.

“Recovery Event”:  any settlement of or payment in respect of
any property or casualty insurance claim or any condemnation proceeding
relating to any asset of any Group Member.

“Reference Lender”:  JPMorgan Chase Bank, N.A.

“Refunded Swingline Loans”:  as defined in Section 3.4.

“Refunding Date”:  as defined in Section 3.4.

“Register”: 
as defined in Section 11.6.

“Regulation U”: 
Regulation U of the Board as in effect from time to time.

“Reimbursement Obligation”:  the obligation of the Borrower to reimburse
each Issuing Lender pursuant to Section 3.11 for amounts drawn under
Letters of Credit issued by such Issuing Lender.

 25
 

“Reinvestment Deferred Amount”:  with respect to any Reinvestment Event, the
aggregate Net Cash Proceeds received by any Group Member in connection
therewith that are not applied to prepay the Term Loans pursuant to
Section 4.2(c) as a result of the delivery of a Reinvestment Notice.

“Reinvestment Event”:  any Asset Sale or Recovery Event in respect
of which the Borrower has delivered a Reinvestment Notice.

“Reinvestment Notice”:  a written notice executed by a Responsible
Officer stating that no Event of Default has occurred and is continuing and
that the Borrower (directly or indirectly through a Subsidiary) intends and
expects to use all or a specified portion of the Net Cash Proceeds of an Asset
Sale or Recovery Event to make a Permitted Acquisition or to acquire or repair
fixed or capital assets or develop software useful in its business, provided
that the cost of any such software development is capitalized on the Borrower’s
balance sheet in accordance with GAAP.

“Reinvestment Prepayment Amount”:  with respect to any Reinvestment Event, the
Reinvestment Deferred Amount relating thereto less any amount expended prior to
the relevant Reinvestment Prepayment Date to make a Permitted Acquisition or to
acquire or repair fixed or capital assets or develop software useful in its
business, provided that the cost of any such software development is
capitalized on the Borrower’s balance sheet in accordance with GAAP.

“Reinvestment Prepayment Date”:  with respect to any Reinvestment Event, the
earlier of (a) the date occurring twelve months after such Reinvestment
Event and (b) the date on which the Borrower shall have determined not to,
or shall have otherwise ceased to, acquire or repair fixed or capital assets or
develop software useful in its business or make a Permitted Acquisition with
all or any portion of the relevant Reinvestment Deferred Amount.

“Related Parties”:  with respect to any specified Person, such
Person’s Affiliates and the respective directors, officers, employees, agents,
and advisors and trustees of such Person and such Person’s Affiliates.

“Reorganization”:  with respect to any Multiemployer Plan, the
condition that such plan is in reorganization within the meaning of
Section 4241 of ERISA.

“Reportable Event”:  any of the events set forth in
Section 4043(c) of ERISA, other than those events as to which the
30 day notice period is waived under subsections .27, .28, .29, .30,
..31, .32, .34 or .35 of PBGC Reg. § 4043.

“Required Lenders”:  at any time, the holders of more than 50% of
the sum of (a) the aggregate unpaid principal amount of the Tranche C Term
Loans then outstanding, (b) the aggregate unpaid principal amount of the
Tranche D Term Loans then outstanding, (c) the aggregate unpaid principal
amount of the Tranche E Term Loans then outstanding and  (d) the Total Revolving Commitments then
in effect (or, if the Revolving Commitments under a 

 26
 

Revolving Facility have
been terminated, the Total Revolving Extensions of Credit under such Revolving
Facility then outstanding).

“Requirement of Law”:  as to any Person, the Certificate of
Incorporation and By-Laws or other organizational or governing documents
of such Person, and any law, treaty, rule or regulation or determination of an
arbitrator or a court or other Governmental Authority, in each case applicable
to or binding upon such Person or any of its property or to which such Person
or any of its property is subject.

“Reset Date”: 
as defined in Section 4.16(a).

“Responsible Officer”:  the chief executive officer, president,
general counsel, chief financial officer, 
treasurer or chief accounting officer of the Borrower, but in any event,
with respect to financial matters, the chief financial officer, treasurer or
chief accounting officer of the Borrower.

“Restatement Effective Date”:  as defined in the Amendment and Restatement
Agreement.

“Restatement Transactions”:  collectively: 
(a) the execution, delivery and performance by the Borrower of the
Amendment and Restatement Agreement and the consummation of the transactions
contemplated thereby, including the borrowing of the Tranche E Term Loans
and the application of the proceeds thereof and (b) the transactions
referred to in clauses (c), (d) and (f) of the definition of “Transactions”.

“Restricted Payment”:  any dividend or other distribution (whether
in cash, securities or other property) with respect to any Capital Stock of the
Borrower or any Subsidiary, or any payment (whether in cash, securities or
other property), including any sinking fund or similar deposit, on account of the
purchase, redemption, retirement, acquisition, cancellation or termination of
any such Capital Stock of the Borrower or any Subsidiary or any option, warrant
or other right to acquire any such Capital Stock of the Borrower or any
Subsidiary.

“Revolving Commitment”:  a Dollar Revolving Commitment or a
Multicurrency Revolving Commitment.

“Revolving Commitment Period”:  the period from and including the Effective
Date to the Revolving Termination Date.

“Revolving Extensions of Credit”:  Dollar Revolving Extensions of Credit or
Multicurrency Revolving Extensions of Credit (or both), as applicable.

“Revolving Facility”:  the Dollar Revolving Facility or the
Multicurrency Revolving Facility.

“Revolving Lender”:  a Dollar Revolving Lender or a Multicurrency
Revolving Lender.

 27
 

“Revolving Loan”:  a Dollar Revolving Loan or a Multicurrency
Revolving Loan.

“Revolving Percentage”:  a Dollar Revolving Percentage or a
Multicurrency Revolving Percentage, as applicable.

“Revolving Termination Date”:  December 23, 2009.

“SEC”: 
the Securities and Exchange Commission, any successor thereto and any
analogous Governmental Authority.

“Second Amendment and Restatement Agreement”:  as defined in the recitals hereto.

“Second Restatement Effective Date”:  July 7, 2006, the date on which the
conditions specified in Section 5 of the Second Amendment and Restatement
Agreement were satisfied.

“Secured Surety Bond”: as defined in
Section 8.3(q).

“Security Documents”:  the collective reference to the Guarantee and
Collateral Agreement, the Mortgages and all other security documents hereafter
delivered to the Administrative Agent granting a Lien on any property of any
Person to secure the obligations and liabilities of any Loan Party under any
Loan Document.

“Senior Subordinated Notes”:  the unsecured Senior Subordinated Notes due
2012 of the Borrower to be issued on or about the Effective Date in an
aggregate principal amount of $200,000,000.

“Senior Subordinated Securities”:  (a) the Existing Subordinated Notes,
(b) the Senior Subordinated Notes, (c) the Convertible Senior Subordinated
Debentures and (d) any Permitted Additional Subordinated Debt.

“Senior Subordinated Securities Indentures”:  the indentures entered into by the Borrower
and certain of its Subsidiaries in connection with the issuance of the Senior
Subordinated Securities, together with all instruments and other agreements
entered into by the Borrower or such Subsidiaries in connection therewith.

“Single Employer Plan”:  any Plan that is covered by Title IV of
ERISA, but that is not a Multiemployer Plan.

“Solvent”: 
when used with respect to any Person, means that, as of any date of
determination, (a) the amount of the “present fair saleable value” of the
assets of such Person will, as of such date, exceed the amount of all “liabilities
of such Person, contingent or otherwise”, as of such date, as such quoted terms
are determined in accordance with applicable federal and state laws governing
determinations of the insolvency of debtors, (b) the present fair saleable
value of the assets of such Person will, as of such date, be greater than the
amount that will be required to pay the liability of such Person on its debts
as such debts become absolute and 

 28
 

matured, (c) such
Person will not have, as of such date, an unreasonably small amount of capital
with which to conduct its business, and (d) such Person will be able to
pay its debts as they mature.  For
purposes of this definition, (i) ”debt” means liability on a “claim”, and
(ii) ”claim” means any (x) right to payment, whether or not such a
right is reduced to judgment, liquidated, unliquidated, fixed, contingent,
matured, unmatured, disputed, undisputed, legal, equitable, secured or
unsecured or (y) right to an equitable remedy for breach of performance if
such breach gives rise to a right to payment, whether or not such right to an
equitable remedy is reduced to judgment, fixed, contingent, matured or
unmatured, disputed, undisputed, secured or unsecured.

“Specified Change of Control”:  a “Change of Control” (or any other
defined term having a similar purpose) as defined in any of the Senior
Subordinated Securities Indentures.

“Specified Hedge Agreement”:  any Hedge Agreement (a) entered into by
(i) the Borrower or any of its Subsidiaries and (ii) any Person that
was a Lender or any affiliate thereof at the time such Hedge Agreement was
entered into, as counterparty and (b) that has been designated by such
Person or affiliate, as the case may be, and the Borrower, by notice to the
Administrative Agent, as a Specified Hedge Agreement, and any other Hedge
Agreements listed on Schedule 1.1(b) without giving effect to any
extension of the termination or maturity date thereof.  The designation of any Hedge Agreement as a
Specified Hedge Agreement shall not create in favor of the Agent, such Person
or affiliate thereof that is a party thereto any rights in connection with the
management or release of any Collateral or of the obligations of any Subsidiary
Guarantor under the Guarantee and Collateral Agreement.

“Subject Properties”:  as defined in Section 5.17(a).

“Subsidiary”: 
as to any Person, (a) a corporation, partnership, limited liability
company or other entity of which shares of stock or other ownership interests
having ordinary voting power (other than stock or such other ownership interests
having such power only by reason of the happening of a contingency) to elect a
majority of the board of directors or other managers of such corporation,
partnership or other entity are at the time owned, or the management of which
is otherwise controlled, directly or indirectly through one or more
intermediaries, or both, by such Person and (b) any other Person the accounts
of which are required to be consolidated with those of such Person in such
Person’s consolidated financial statements in accordance with GAAP if prepared
at the date of determination.  Unless
otherwise qualified, all references to a “Subsidiary” or to “Subsidiaries” in
this Agreement shall refer to a direct or indirect Subsidiary or Subsidiaries
of the Borrower.

“Subsidiary Guarantor”:  a Subsidiary that (i) is a Domestic
Subsidiary that is a Wholly Owned Subsidiary, (ii) provides a guarantee of any
Indebtedness of the Borrower (other than the Loans) or any other Subsidiary
Guarantor that is a Domestic Subsidiary if the aggregate principal amount of
all such Indebtedness of the Borrower and such Subsidiary Guarantors guaranteed
by such Subsidiary exceeds $5,000,000, or (iii) becomes a party to the
Loan Documents pursuant to Section 7.9(c).

 29

“Swingline Commitment”:  the obligation of the Swingline Lender to
make Swingline Loans pursuant to Section 3.3 in an aggregate principal
amount at any one time outstanding not to exceed $20,000,000.

“Swingline Lender”:  JPMorgan Chase Bank, N.A., in its capacity as
the lender of Swingline Loans.

“Swingline Loans”:  as defined in Section 3.3.

“Swingline Participation Amount”:  as defined in Section 3.4.

“Syndication Agent”:  Bear Stearns Corporate Lending Inc., in its
capacity as syndication agent for each Facility.

“Tender Offer”: 
the offer to repurchase and related consent solicitation in respect of
the Existing Subordinated Notes pursuant to the terms of the Offer to Purchase
and Solicitation of Consents dated November 24, 2004.

“Term Loan Maturity Date”:  December 23, 2009.

“Term Loan”: 
a Tranche C Term Loan, a Tranche D Term Loan or a Tranche E
Term Loan.

“Title Policy”: 
with respect to each Mortgaged Property, a mortgagee’s title insurance
policy (or policies) or marked up unconditional binder for such insurance.

“Total Dollar Revolving Commitments”:  at any time, the aggregate amount of the
Dollar Revolving Commitments of all the Dollar Revolving Lenders.

“Total Dollar Revolving Extensions of Credit”:  at any time, the aggregate amount of the
Dollar Revolving Extensions of Credit of the Dollar Revolving Lenders
outstanding at such time.

“Total Multicurrency Revolving Commitments”:  at any time, the aggregate amount of the
Multicurrency Revolving Commitments of all the Multicurrency Revolving Lenders.

“Total Multicurrency Revolving Extensions of Credit”:  at any time, the aggregate amount of the
Multicurrency Revolving Extensions of Credit of the Multicurrency Revolving
Lenders outstanding at such time.

“Total Revolving Commitments”:  the Total Dollar Revolving Commitments or
Total Multicurrency Revolving Commitments (or both), as the context requires.

“Total Revolving Extensions of Credit”:  at any time, the Total Dollar Revolving
Extensions of Credit or the Total Multicurrency Revolving Extensions of Credit
(or both), as the context requires.

 30
 

“Tranche C Term Commitment”:  as to any Lender, the obligation of such
Lender, if any, to make a Tranche C Term Loan to the Borrower hereunder in a
principal amount not to exceed the amount set forth under the heading “Tranche C
Term Commitment” with respect to such Lender on Schedule 2.1A.  The original aggregate amount of the Tranche
C Term Commitments is $100,000,000.

“Tranche C Term Lender”:  each Lender that has a Tranche C Term
Commitment or that holds a Tranche C Term Loan.

“Tranche C Term Loan”:  a Loan made on the First Restatement
Effective Date pursuant to Section 2.1 of the 2004 Credit Agreement, as
amended as of the First Restatement Effective Date.

“Tranche C Term Percentage”:  as to any Lender, the percentage which the
aggregate principal amount of such Lender’s Tranche C Term Loans then
outstanding constitutes of the aggregate principal amount of the Tranche C Term
Loans then outstanding.

“Tranche D Term Commitment”:  as defined in Section 3 of the Second
Amendment and Restatement Agreement.

“Tranche D Term Lender”:  each Lender that has a Tranche D Term
Commitment or that holds a Tranche D Term Loan.

“Tranche D Term Loan”:  a Loan made on the Second Restatement
Effective Date pursuant to the Second Amendment and Restatement Agreement.

“Tranche D Term Percentage”:  as to any Tranche D Term Lender at any
time, the percentage which such Lender’s Tranche D Term Commitment then
constitutes of the aggregate Tranche D Term Commitments (or, at any time
after the borrowing of the Tranche D Term Loans, the percentage which the
aggregate principal amount of such Lender’s Tranche D Term Loans then
outstanding constitutes of the aggregate principal amount of the Tranche D
Term Loans then outstanding).

“Tranche E Term Commitment”:  as defined in Section 3 of the Amendment and
Restatement Agreement.

“Tranche E Term Lender”:  each Lender that has a Tranche E Term
Commitment or that holds a Tranche E Term Loan.

“Tranche E Term Loan”:  a Loan made on the Restatement Effective Date
pursuant to the Amendment and Restatement Agreement.

“Tranche E Term Percentage”:  as to any Tranche E Term Lender at any
time, the percentage which such Lender’s Tranche E Term Commitment then
constitutes of the aggregate Tranche E Term Commitments (or, at any time
after the borrowing of the Tranche E Term Loans, the percentage which the
aggregate principal amount of such Lender’s Tranche E Term 

 31
 

Loans then outstanding
constitutes of the aggregate principal amount of the Tranche E Term Loans
then outstanding).

“Transactions”: 
collectively, (a) the issuance of the Senior Subordinated Notes,
(b) the issuance of the Convertible Senior Subordinated Debentures,
(c) the execution, delivery and performance by each Loan Party of the Loan
Documents to which it is or is to be a party, (d) the borrowing of Loans and
the use of the proceeds thereof, including the repayment in full of all
obligations under and termination of the Prior Credit Agreement on the
Effective Date, (e) the consummation of the Tender Offer, (f) the issuance
of Letters of Credit, (g) the consummation of the Convertible Debentures
Options Transactions, (h) the consummation of the transactions contemplated by
any of the foregoing and (i) the payment of fees and expenses in connection
with the foregoing.

“Transfer Transactions”:  collectively, (a) the transfer by
Scientific Games Online Entertainment Systems, Inc., a Delaware corporation and
a Subsidiary Guarantor (“OES”), to Scientific Games Holdings Limited, a
company limited by shares registered in Ireland and a Non-Guarantor Subsidiary
(“SGHL”), of 100% of its ownership in the foreign contracts and
intellectual property described on Schedule 1.1(c) in exchange for a promissory
note issued by SGHL (the “Initial Note”); (b) after the completion of
the transaction described in clause (a) of this definition, the transfer by
SGHL to Scientific Games Worldwide Limited, a company limited by shares
registered in Ireland and a Non-Guarantor Subsidiary (“SGWL”), of the
foreign contracts described on Schedule 1.1(c) as a result of which the Initial
Note will be cancelled and exchanged for promissory notes issued by SGHL and
SGWL in favor of OES in an aggregate principal amount of $1,500,000; (c) the
transfer by the Borrower to SGHL of 100% of the issued and outstanding Capital
Stock of Scientific Games Chile Limitada, a Chilean limited company and a
Non-Guarantor Subsidiary (“SG Chile”); and (d) the distribution by
Scientific Games Finance Corporation, a Delaware corporation and Subsidiary
Guarantor (“SGFC”), to the Borrower of the promissory notes issued by SG
Chile described on Schedule 1.1(c), which promissory notes the Borrower will
subsequently transfer to SGHL.

“Transferee”: 
any Assignee or Participant.

“2004 Credit Agreement”:  as defined in the recitals hereto.

“2006 Acquisitions”: the Global Draw
Acquisition and the Racing Venue Acquisition.

“2006 JV Contribution”:  the contribution by the Borrower and certain
Subsidiaries of the assets and stock described on Schedule 8.5 to the joint
venture described on such Schedule in exchange for a minority equity interest
in such joint venture.

 “Type”:  as to any Loan, its nature as a Base Rate
Loan or a Eurocurrency Loan.

“United States”:  the United States of America.

 32
 

“Wholly Owned
Subsidiary”:  as to any Person, any
other Person all of the Capital Stock of which (other than directors’
qualifying shares required by law) is owned by such Person directly and/or
through other Wholly Owned Subsidiaries.

1.2  Other
Definitional Provisions.  (a)  Unless otherwise specified therein, all terms
defined in this Agreement shall have the defined meanings when used in the
other Loan Documents or any certificate or other document made or delivered
pursuant hereto or thereto.

(b)  As used herein and in the other Loan
Documents, and any certificate or other document made or delivered pursuant
hereto or thereto, (i) all terms of an accounting or financial nature, to
the extent not defined, shall have the respective meanings given to them under
GAAP, (ii) the words “include”, “includes” and “including” shall be deemed
to be followed by the phrase “without limitation”, (iii) the word “incur”
shall be construed to mean incur, create, issue, assume, become liable in
respect of or suffer to exist (and the words “incurred” and “incurrence” shall
have correlative meanings), (iv) the words “asset” and “property” shall be
construed to have the same meaning and effect and to refer to any and all
tangible and intangible assets and properties, including cash, Capital Stock,
securities, revenues, accounts, leasehold interests and contract rights,
(v) the word “will” shall be construed to have the same meaning and effect
as the word “shall” and (vi) references to agreements or other Contractual
Obligations shall, unless otherwise specified, be deemed to refer to such
agreements or Contractual Obligations as amended, supplemented, restated or
otherwise modified from time to time (subject to any applicable restrictions
hereunder).

(c)  The
words “hereof”, “herein” and “hereunder” and words of similar import when used
in this Agreement shall refer to this Agreement as a whole and not to any
particular provision of this Agreement, and Section, Schedule and Exhibit
references are to this Agreement unless otherwise specified.

(d)  The
meanings given to terms defined herein shall be equally applicable to both the
singular and plural forms of such terms. 
Whenever the context may require, any pronoun shall include the
corresponding masculine, feminine and neutral forms.

(e)  Any
reference to any Person shall be construed to include such Person’s successors
and assigns.

1.3  Currency
Conversion.  (a)  If more than one currency or currency unit
are at the same time recognized by the central bank of any country as the
lawful currency of that country, then (i) any reference in the Loan
Documents to, and any obligations arising under the Loan Documents in, the
currency of that country shall be translated into or paid in the currency or
currency unit of that country designated by the Administrative Agent and
(ii) any translation from one currency or currency unit to another shall
be at the official rate of exchange recognized by the central bank for
conversion of that currency or currency unit into the other, rounded up or down
by the Administrative Agent as it deems appropriate.

(b)  If
a change in any currency of a country occurs, this Agreement shall be amended
(and each party hereto agrees to enter into any supplemental agreement
necessary to

 33
 

effect any such amendment) to the extent that the Administrative Agent
determines such amendment to be necessary to reflect the change in currency and
to put the Lenders in the same position, so far as possible, that they would
have been in if no change in currency had occurred.

SECTION 2.  AMOUNT AND TERMS OF AND TERM LOANS

2.1  Tranche
E Term Commitments; Tranche C Term Loans and Tranche D Term Loans.  (a) 
The Tranche C Term Loans and the Tranche D Term Loans that are
outstanding under the Existing Credit Agreement on the Restatement Effective Date
remain outstanding hereunder.  The
Tranche C Term Commitments and the Tranche D Term Commitments have
terminated.  The Tranche C Term
Loans and the Tranche D Term Loans may from time to time be Eurocurrency
Loans or Base Rate Loans, as determined by the Borrower and notified to the
Administrative Agent in accordance with Section 4.3.

(b)  The
Tranche E Term Loans made pursuant to the Amendment and Restatement
Agreement remain outstanding hereunder. 
The Tranche E Term Commitments have terminated.  The Tranche E Term Loans may from time
to time be Eurocurrency Loans or Base Rate Loans, as determined by the Borrower
and notified to the Administrative Agent in accordance with Section 4.3.

2.2  Procedure
for Tranche E Term Loan Borrowing.  The Borrower shall give the
Administrative Agent irrevocable notice (which notice must be received by the
Administrative Agent prior to 12:00 Noon, New York City time, (a) one
Business Day prior to the requested Borrowing Date, if all requested Loans are
to be made as Base Rate Loans, for (b) three Business Days prior to the
requested Borrowing Date, if any of the requested Loans are to be Eurocurrency
Loans) requesting that the Tranche E Term Lenders make the Tranche E Term Loans
and specifying (i) the amount and Type of Tranche E Term Loans to be
borrowed, (ii) the requested Borrowing Date and (iii) in the case of
Eurocurrency Loans, the length of the Interest Period therefor.  Upon receipt of such notice the
Administrative Agent shall promptly notify each Tranche E Term Lender
thereof.  Not later than 12:00 Noon,
New York City time, on the requested Borrowing Date each Tranche E Term Lender
shall make available to the Administrative Agent at the Funding Office an
amount in immediately available funds equal to the Tranche E Term Loan or
Tranche E Term Loans to be made by such Lender. 
The Administrative Agent shall credit the account of the Borrower on the
books of such office of the Administrative Agent with the aggregate of the amounts
made available to the Administrative Agent by the Tranche E Term Lenders in
immediately available funds.

2.3  Repayment of Term Loans.

(a)  The
Tranche C Term Loan of each Lender shall be repaid by the Borrower in
quarterly installments on March 31, June 30, September 30 and
December 31 of each year, commencing on the first such date that occurs
after the Borrowing Date for the Tranche C Term Loans, each of which shall
be in an amount equal to the product of (i) such Lender’s Tranche C
Term Percentage multiplied by (ii) an amount equal to the aggregate
amount of Tranche C Term Loans made on the Borrowing Date therefor multiplied
by (iii) 0.25%; provided that the last such 

 34
 

installment shall be due on the Term Loan Maturity Date in an amount
equal to the remaining principal amount of Tranche C Term Loans.

(b)  The
Tranche D Term Loan of each Lender shall be repaid by the Borrower in
quarterly installments on March 31, June 30, September 30 and
December 31 of each year, commencing on the first such date that occurs
after the Borrowing Date for the Tranche D Term Loans, each of which shall
be in an amount equal to the product of (i) such Lender’s Tranche D
Term Percentage multiplied by (ii) an amount equal to the aggregate
amount of Tranche D Term Loans made on the Borrowing Date therefor multiplied
by (iii) 0.25%; provided that the last such installment shall be
due on the Term Loan Maturity Date in an amount equal to the remaining
principal amount of Tranche D Term Loans.

(c)  The
Tranche E Term Loan of each Lender shall be repaid by the Borrower in
quarterly installments on March 31, June 30, September 30 and
December 31 of each year, commencing on the first such date that occurs
after the Borrowing Date for the Tranche E Term Loans, each of which shall
be in an amount equal to the product of (i) such Lender’s Tranche E
Term Percentage multiplied by (ii) an amount equal to the aggregate
amount of Tranche E Term Loans made on the Borrowing Date therefor multiplied
by (iii) 0.25%; provided that the last such installment shall be
due on the Term Loan Maturity Date in an amount equal to the remaining
principal amount of Tranche E Term Loans.

2.4  Incremental
Term Loans.  The Borrower may at any
time or from time to time, by notice to the Administrative Agent (whereupon the
Administrative Agent shall promptly deliver a copy to each of the Lenders),
request one or more additional tranches of term loans (the “Incremental Term
Loans”); provided that (i) both at the time of any such request and
upon the effectiveness of any Incremental Term Loan Amendment referred to
below, no Default or Event of Default shall exist and, at the time that any
such Incremental Term Loan is made (and after giving effect thereto), no
Default or Event of Default shall exist and (ii) the Borrower shall be in
compliance with Section 8.1 and the Consolidated Senior Debt Ratio and the
Consolidated Leverage Ratio shall be at least 0.25 below the then current level
required by Section 8.1, determined on a pro forma basis as if such
Incremental Term Loans had been outstanding on the last day of the most recent
fiscal quarter for testing compliance therewith (and, as applicable, as if such
Incremental Term Loans had been outstanding during the period of four
consecutive fiscal quarters then ended). 
Each tranche of Incremental Term Loans shall be in an aggregate
principal amount that is not less than $25,000,000 (or, if less, the remaining
unused amount of the total Incremental Term Loans permitted hereby).  The Incremental Term Loans (a) shall be in an
aggregate principal amount not exceeding $100,000,000, (b) shall rank pari
passu in right of payment and of security with the Revolving Loans and
the Term Loans, (c) shall not mature earlier than the Term Loan Maturity Date
(but may, subject to clause (d) below, have amortization prior to such date),
(d) shall not have a weighted average life that is shorter than the remaining
weighted average life of the Term Loans, and (e) except as set forth above,
shall be treated substantially the same as (and in any event no more favorably
than) the Term Loans (in each case, including with respect to mandatory and
voluntary prepayments); provided that (i) the terms and conditions
applicable to Incremental Term Loans maturing after the Term Loan Maturity Date
may provide for material additional or different financial or other covenants
or 

 35
 

prepayment requirements applicable only during periods after the Term
Loan Maturity Date and (ii) the Incremental Term Loans may be priced
differently than the Term Loans.  Each
notice shall set forth the requested amount and proposed terms of the relevant
Incremental Term Loans.  Each existing
Lender shall be afforded the opportunity, but shall not be required, to provide
a ratable share (including a share of any Incremental Term Loans not subscribed
to by other existing Lenders) of any Incremental Term Loans.  In the event that existing Lenders provide
commitments in an aggregate amount less than the total amount of the
Incremental Term Loans requested by the Borrower, the Borrower may arrange for
one or more banks or other financial institutions (any such bank or other
financial institution being called an “Additional Lender”) to extend
commitments to provide Incremental Term Loans in an aggregate amount equal to
the unsubscribed amount.  Commitments in
respect of Incremental Term Loans shall become Commitments under this Agreement
pursuant to an amendment (an “Incremental Term Loan Amendment”) to this
Agreement and, as appropriate, the other Loan Documents, executed by the
Borrower, each Lender agreeing to provide such Commitment, if any, each
Additional Lender, if any, and the Administrative Agent.  The Incremental Term Loan Amendment may,
without the consent of any other Lenders, effect such amendments to this
Agreement and the other Loan Documents as may be necessary or appropriate, in
the reasonable opinion of the Administrative Agent, to effect the provisions of
this Section.  The effectiveness of any
Incremental Term Loan Amendment shall be subject to the satisfaction on the
date thereof of each of the conditions set forth in Section 6.2 (it being
understood that all references to the date of “any extension of credit” in such
Section 6.2 shall be deemed to refer to the effective date of such
Incremental Term Loan Amendment) and such other conditions as the parties
thereto shall agree.  No Lender shall be
obligated to provide any Incremental Term Loans, unless it so agrees.

SECTION 3.  AMOUNT AND TERMS OF REVOLVING COMMITMENTS

3.1  Revolving
Commitments.  (a)   Subject to the terms and conditions hereof,
each Dollar Revolving Lender severally agrees to make revolving credit loans
denominated in Dollars (“Dollar Revolving Loans”) to the Borrower from
time to time during the Revolving Commitment Period in an aggregate principal
amount at any one time outstanding which, when added to such Lender’s Dollar
Revolving Percentage of the sum of (i) the Dollar L/C Obligations then
outstanding and (ii) the aggregate principal amount of the Swingline Loans then
outstanding, does not exceed the amount of such Lender’s Dollar Revolving
Commitment.  Subject to the terms and
conditions hereof, each Multicurrency Revolving Lender severally agrees to make
revolving credit loans denominated in Dollars or a Foreign Currency (“Multicurrency
Revolving Loans”) to the Borrower from time to time during the Revolving
Commitment Period in an aggregate principal amount at any one time outstanding
which, when added to such Lender’s Multicurrency Revolving Percentage of the
Multicurrency L/C Obligations then outstanding, does not exceed the amount of
such Lender’s Multicurrency Revolving Commitment. Notwithstanding anything to
the contrary contained in this Agreement, in no event may Revolving Loans be
borrowed under a Revolving Facility if, after giving effect thereto (and to any
concurrent repayment or prepayment of Revolving Loans), the Total Revolving
Extensions of Credit under such Revolving Facility would exceed the Total
Revolving Commitments at such time under such Revolving Facility.  During the Revolving Commitment Period, the
Borrower may use the Revolving Commitments by borrowing, prepaying and 

 36
 

reborrowing the Revolving Loans under the relevant Revolving Facility,
in whole or in part, all in accordance with the terms and conditions hereof.
The Revolving Loans may from time to time be Eurocurrency Loans or Base Rate
Loans, as determined by the Borrower and notified to the Administrative Agent
in accordance with Sections 3.2 and 4.3; provided that Multicurrency
Revolving Loans denominated in a Foreign Currency may only be Eurocurrency
Loans.

(b)   The Borrower shall repay all outstanding
Revolving Loans on the Revolving Termination Date.

3.2  Procedure
for Revolving Loan Borrowing.  (a)  The Borrower may borrow under
Section 3.1 during the Revolving Commitment Period on any Business Day, provided
that the Borrower shall give the Administrative Agent irrevocable notice (a “Borrowing
Request”)  by telephone (which notice
must be received by the Administrative Agent prior to 12:00 Noon, New York City
time (or, in the case of a Multicurrency Revolving Loan denominated in a
Foreign Currency, 12:00 Noon, London time), (a) three Business Days prior
to the requested Borrowing Date, in the case of Eurocurrency Loans, or (b) one
Business Day prior to the requested Borrowing Date, in the case of Base Rate
Loans), specifying (i) whether the requested borrowing is a borrowing under the
Dollar Revolving Facility or the Multicurrency Revolving Facility, provided
that Revolving Loans denominated in a Foreign Currency may only be borrowed
under the Multicurrency Revolving Facility, (ii) the amount and Type of
Revolving Loans to be borrowed, (iii) the requested Borrowing Date, (iv) in the
case of Eurocurrency Loans, the respective amounts of each such Type of
Revolving Loan, the respective currency therefor and the respective lengths of
the initial Interest Period therefor, and (v) the location and number of the
Borrower’s account to which funds are to be distributed. Such telephonic
request shall be confirmed promptly by hand delivery or telecopy to the
Administrative Agent of a written Borrowing Request in a form approved by the
Administrative Agent and signed by the Borrower.

(b)   Each borrowing under a Revolving Facility
shall be in an amount equal to (x) in the case of Base Rate Loans, $1,000,000
or a whole multiple of $100,000 in excess thereof (or, if the then aggregate
Available Revolving Commitments under the relevant Revolving Facility are less
than $100,000, such lesser amount), (y) in the case of Eurocurrency Loans
denominated in Dollars, $3,000,000 or a whole multiple of $500,000 in excess
thereof or (z) in the case of Multicurrency Revolving Loans denominated in a
Foreign Currency, the Foreign Currency Equivalent of $3,000,000 or a whole
multiple of $1,000,000 in excess thereof; provided that the Swingline
Lender may request, on behalf of the Borrower, borrowings under the Dollar
Revolving Commitments that are Base Rate Loans in other amounts pursuant to
Section 3.4.

(c)   Upon receipt of any such Borrowing Request
from the Borrower, the Administrative Agent shall promptly notify each
applicable Revolving Lender of the requested currency and aggregate amount (in
both the requested currency and Dollars) of such borrowing.  Each Revolving Lender will make the amount of
its pro rata share of each such borrowing, which shall be based on its
Revolving Percentage under the relevant Revolving Facility, as applicable,
available to the Administrative Agent for the account of the Borrower
(i) in the case of Dollars, at the Funding Office prior to 12:00 Noon, New
York City time, on the Borrowing 

 37
 

Date requested by the Borrower in funds immediately available to the
Administrative Agent or (ii) in the case of a Foreign Currency, by wire
transfer prior to 11:00 A.M., London time, on the Borrowing Date requested by
the Borrower to the account of the Administrative Agent most recently
designated by it for such purposes by notice to the Multicurrency Revolving
Lenders in immediately available funds. 
Such borrowing will then be made available to the Borrower by the
Administrative Agent crediting the account of the Borrower, (i) in the
case of Dollars, on the books of such Funding Office, or (ii) in the case of a
Foreign Currency, in accordance with instructions provided by the Borrower, in
each case with the aggregate of the amounts made available to the
Administrative Agent by the Revolving Lenders and in like funds as received by
the Administrative Agent.

3.3  Swingline
Commitment.  (a)  Subject to the terms and conditions hereof,
the Swingline Lender agrees to make a portion of the credit otherwise available
to the Borrower under the Dollar Revolving Commitments from time to time during
the Revolving Commitment Period by making swing line loans denominated in
Dollars (“Swingline Loans”) to the Borrower; provided that
(i) the aggregate principal amount of Swingline Loans outstanding at any
time shall not exceed the Swingline Commitment then in effect (notwithstanding
that the Swingline Loans outstanding at any time, when aggregated with the
Swingline Lender’s other outstanding Dollar Revolving Extensions of Credit
hereunder, may exceed the Swingline Commitment then in effect), (ii) the
Borrower shall not request, and the Swingline Lender shall not make, any
Swingline Loan if, after giving effect to the making of such Swingline Loan,
the aggregate amount of the Available Revolving Commitments under the Dollar
Revolving Facility would be less than zero and (iii) the Swingline Lender
shall not be required to make a Swingline Loan to refinance an existing Swingline
Loan.  During the Revolving Commitment
Period, the Borrower may use the Swingline Commitment by borrowing, repaying
and reborrowing, all in accordance with the terms and conditions hereof.  Swingline Loans shall be Base Rate Loans
only.

(b)  The
Borrower shall repay to the Swingline Lender the then unpaid principal amount
of each Swingline Loan on the earlier of the Revolving Termination Date and the
30th day after such Swingline Loan is made; provided that, during each
calendar month, there shall be at least two consecutive Business Days during
which the outstanding balance of the Swingline Loans shall be zero.

3.4  Procedure
for Swingline Borrowing; Refunding of Swingline Loans.  (a)  
Whenever the Borrower desires that the Swingline Lender make Swingline
Loans it shall give the Swingline Lender irrevocable telephonic notice
confirmed promptly in writing (which telephonic notice must be received by the
Swingline Lender not later than 1:00 P.M., New York City time, on the
proposed Borrowing Date), specifying (i) the amount to be borrowed and
(ii) the requested Borrowing Date (which shall be a Business Day during
the Revolving Commitment Period).  Each
borrowing under the Swingline Commitment shall be in an amount equal to
$250,000 or a whole multiple of $100,000 in excess thereof.  Not later than 3:00 P.M., New York City
time, on the Borrowing Date specified in a notice in respect of Swingline
Loans, the Swingline Lender shall make available to the Administrative Agent at
the Funding Office an amount in immediately available funds equal to the amount
of the Swingline Loan to be made by the Swingline Lender.  The Administrative Agent shall make the
proceeds of such Swingline 

 38
 

Loan available to the Borrower on such Borrowing Date by depositing
such proceeds in the account of the Borrower with the Administrative Agent on
such Borrowing Date in immediately available funds.

(b)   The Swingline Lender, at any time and from
time to time in its sole and absolute discretion may, on behalf of the Borrower
(which hereby irrevocably directs the Swingline Lender to act on its behalf),
on one Business Day’s notice given by the Swingline Lender no later than
12:00 Noon, New York City time, request each Dollar Revolving Lender to
make, and each Dollar Revolving Lender hereby agrees to make, a Dollar
Revolving Loan, in an amount equal to such Lender’s Dollar Revolving Percentage
of the aggregate amount of the Swingline Loans (the “Refunded Swingline
Loans”) outstanding on the date of such notice, to repay the Swingline
Lender.  Each Dollar Revolving Lender
shall make the amount of such Dollar Revolving Loan available to the
Administrative Agent at the Funding Office in immediately available funds, not
later than 10:00 A.M., New York City time, one Business Day after the date
of such notice.  The proceeds of such
Dollar Revolving Loans shall be immediately made available by the
Administrative Agent to the Swingline Lender for application by the Swingline
Lender to the repayment of the Refunded Swingline Loans.  The Borrower irrevocably authorizes the
Swingline Lender to charge the Borrower’s accounts with the Administrative
Agent (up to the amount available in each such account) in order to immediately
pay the amount of such Refunded Swingline Loans to the extent amounts received
from the Dollar Revolving Lenders are not sufficient to repay in full such
Refunded Swingline Loans.

(c)   If prior to the time a Dollar Revolving Loan
would have otherwise been made pursuant to Section 3.4(b), one of the
events described in Section 9(f) shall have occurred and be continuing
with respect to the Borrower or if for any other reason, as determined by the
Swingline Lender in its sole discretion, Dollar Revolving Loans may not be made
as contemplated by Section 3.4(b), each Dollar Revolving Lender shall, on
the date such Dollar Revolving Loan was to have been made pursuant to the
notice referred to in Section 3.4(b) (the “Refunding Date”),
purchase for cash an undivided participating interest in the then outstanding
Swingline Loans by paying to the Swingline Lender an amount (the “Swingline
Participation Amount”) equal to (i) such Lender’s Dollar Revolving
Percentage times (ii) the sum of the aggregate principal amount of
Swingline Loans then outstanding that were to have been repaid with such Dollar
Revolving Loans.

(d)   Whenever, at any time after the Swingline
Lender has received from any Dollar Revolving Lender such Lender’s Swingline
Participation Amount, the Swingline Lender receives any payment on account of
the Swingline Loans, the Swingline Lender will distribute to such Lender its
Swingline Participation 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 and, in the case of principal
and interest payments, to reflect such Lender’s pro rata portion
of such payment if such payment is not sufficient to pay the principal of and
interest on all Swingline Loans then due); provided, however,
that in the event that such payment received by the Swingline Lender is
required to be returned, such Dollar Revolving Lender will return to the
Swingline Lender any portion thereof previously distributed to it by the
Swingline Lender.

 39
 

(e)   Each Dollar Revolving Lender’s obligation to
make the Loans referred to in Section 3.4(b) and to purchase participating
interests pursuant to Section 3.4(c) shall be absolute and unconditional
and shall not be affected by any circumstance, including (i) any setoff,
counterclaim, recoupment, defense or other right that such Dollar Revolving
Lender or the Borrower may have against the Swingline Lender, the Borrower or
any other Person for any reason whatsoever; (ii) the occurrence or
continuance of a Default or an Event of Default or the failure to satisfy any
of the other conditions specified in Section 6; (iii) any adverse
change in the condition (financial or otherwise) of the Borrower; (iv) any
breach of this Agreement or any other Loan Document by the Borrower, any other
Loan Party or any other Revolving Lender; or (v) any other circumstance,
happening or event whatsoever, whether or not similar to any of the foregoing.

3.5  Commitment
Fees, etc.  (a)   The Borrower agrees to pay to the
Administrative Agent for the account of each Revolving Lender a commitment fee
for the period from and including the Effective Date to the last day of the
Revolving Commitment Period, computed at the Commitment Fee Rate on the average
daily amount of the Available Revolving Commitment of such Lender under each
Revolving Facility during the period for which payment is made, payable
quarterly in arrears on each Fee Payment Date, commencing on the first of such
dates to occur after the date hereof.

(b)   The Borrower agrees to pay to the
Administrative Agent the fees in the amounts and on the dates previously agreed
to in writing by the Borrower and the Administrative Agent.

3.6  Termination
or Reduction of Revolving Commitments.  The Borrower shall have
the right, upon not less than three Business Days’ notice to the Administrative
Agent, to terminate the Revolving Commitments under either Revolving Facility
or, from time to time, to reduce the amount of the Revolving Commitments under
either Revolving Facility; provided that no such termination or
reduction of Revolving Commitments under either Revolving Facility shall be
permitted if, after giving effect thereto and to any prepayments of the
Revolving Loans or Swingline Loans made on the effective date thereof, the
Total Revolving Extensions of Credit under such Revolving Facility would exceed
the Total Revolving Commitments under such Revolving Facility.  Any such reduction shall be in an amount
equal to $1,000,000, or a whole multiple thereof, and shall reduce permanently
the Revolving Commitments under the relevant Revolving Facility then in effect.

3.7  L/C
Commitment.  (a)   Subject to the terms and conditions hereof,
each Issuing Lender (in reliance on the agreements set forth in
Section 3.10(a) of the Revolving Lenders under the relevant Revolving Facility),
agrees to issue letters of credit under the Dollar Revolving Facility (“Dollar
Letters of Credit”) and letters of credit under the Multicurrency Revolving
Facility (“Multicurrency Letters of Credit”), in each case for the
account of the Borrower on any Business Day during the Revolving Commitment
Period in such form as may be approved from time to time by such Issuing
Lender; provided that no Issuing Lender shall have any obligation to
issue any Letter of Credit under a Revolving Facility if, after giving effect
to such issuance, (i) the total L/C Obligations would exceed the L/C Commitment
or (ii) the aggregate amount of the Available Revolving Commitments under such
Revolving Facility 

 40
 

would be less than zero.  Each
Dollar Letter of Credit shall be denominated in Dollars and each Multicurrency
Letter of Credit shall be denominated in Dollars or a Foreign Currency.  Each Letter of Credit shall expire no later
than the earlier of (x) the first anniversary of its date of issuance and (y)
the date that is five Business Days prior to the Revolving Termination Date
(the “Required Expiry Date”); provided that any Letter of Credit
with a one-year term may provide for the renewal thereof for additional
one-year periods (which shall in no event extend beyond the Required Expiry
Date).  An Issuing Lender may, in its
sole discretion, extend a Letter of Credit beyond the Required Expiry Date, provided
that (i) each L/C Participant’s interest in the Issuing Lender’s obligations
and rights under and in respect of such Letter of Credit shall terminate at the
close of business on the Required Expiry Date (except with respect to demands
for drawings thereunder submitted prior to that time) and (ii) such Issuing
Lender may, as condition to extending such Letter of Credit, require additional
fees or collateral.

(b)   No Issuing Lender shall at any time be
obligated to issue any Letter of Credit hereunder if such issuance would
conflict with, or cause such Issuing Lender or any L/C Participant to exceed
any limits imposed by, any applicable Requirement of Law.

(c)   The Existing Letters of Credit outstanding on
the Restatement Effective Date shall constitute Letters of Credit hereunder.

3.8  Procedure
for Issuance of Letters of Credit.  The Borrower may from time to
time request that an Issuing Lender issue a Dollar Letter of Credit or a
Multicurrency Letter of Credit by delivering to such Issuing Lender at its
address for notices specified herein an Application therefor, completed to the
satisfaction of such Issuing Lender, and such other certificates, documents and
other papers and information as such Issuing Lender may request.  Upon receipt of any Application, an Issuing
Lender will notify the Administrative Agent of (i) whether the Application is
with respect to a Dollar Letter of Credit or Multicurrency Letter of Credit and
(ii) the amount, currency, requested expiration and beneficiary of the
requested Letter of Credit. Upon receipt of confirmation from the
Administrative Agent that after giving effect to the requested issuance, the
Available Revolving Commitments under the relevant Revolving Facility would not
be less than zero, such Issuing Lender will process such Application and the
certificates, documents and other papers and information delivered to it in connection
therewith in accordance with its customary procedures and shall promptly issue
the Letter of Credit requested thereby (but in no event shall such Issuing
Lender be required to issue any Letter of Credit earlier than three Business
Days after its receipt of the Application therefor and all such other
certificates, documents and other papers and information relating thereto) by
issuing the original of such Letter of Credit to the beneficiary thereof or as
otherwise may be agreed to by such Issuing Lender and the Borrower.  Each Issuing Lender shall furnish a copy of
such Letter of Credit to the Borrower (with a copy to the Administrative Agent)
promptly following the issuance thereof. 
Each Issuing Lender shall promptly furnish to the Administrative Agent,
which shall in turn promptly furnish to the Lenders, notice of the issuance of
each Letter of Credit issued by such Issuing Lender (including the amount and
currency thereof).

3.9  Fees
and Other Charges.  (a)   The Borrower will pay a fee on all
outstanding Letters of Credit under each Revolving Facility (determined based
upon Dollar Equivalents in the case of Multicurrency Letters of Credit issued
in Foreign Currencies) at a per annum rate 

 41
 

equal to the Applicable Margin then in effect with respect to
Eurocurrency Loans under such Revolving Facility, shared ratably among the
Revolving Lenders under such Revolving Facility.  Such fees shall be payable quarterly in
arrears on each L/C Fee Payment Date after the issuance date.  In addition, the Borrower shall pay to the
relevant Issuing Lender for its own account a fronting fee on the undrawn and
unexpired amount of each Letter of Credit as agreed by the Borrower and the
Issuing Lender, payable quarterly in arrears on each L/C Fee Payment Date after
the issuance date.

(b)   In addition to the foregoing fees, the
Borrower shall pay or reimburse each Issuing Lender for such normal and
customary costs and expenses as are incurred or charged by such Issuing Lender
in issuing, negotiating, effecting payment under, amending or otherwise
administering any Letter of Credit to the extent that the fees and expenses
associated with the issuance of such Letter of Credit exceed the fronting fee
therefor as specified in Section 3.9(a).

3.10  L/C
Participations.  (a)   Each Issuing Lender irrevocably agrees to
grant and hereby grants to each L/C Participant, and, to induce such Issuing
Lender to issue or maintain Letters of Credit hereunder, each L/C Participant
irrevocably agrees to accept and purchase and hereby accepts and purchases from
such Issuing Lender, on the terms and conditions set forth below, for such L/C
Participant’s own account and risk an undivided interest equal to (i) such
L/C Participant’s Dollar Revolving Percentage in each Issuing Lender’s obligations
and rights under and in respect of each Dollar Letter of Credit issued by such
Issuing Lender hereunder and the amount of each draft paid by such Issuing
Lender thereunder and (ii) such L/C Participant’s Multicurrency Revolving
Percentage in each Issuing Lender’s obligations and rights under and in respect
of each Multicurrency Letter of Credit issued by such Issuing Lender hereunder
and the amount of each draft paid by such Issuing Lender thereunder.  Each L/C Participant in respect of a Letter
of Credit unconditionally and irrevocably agrees with the Issuing Lender in
respect of such Letter of Credit that, if a draft is paid under such Letter of
Credit for which such Issuing Lender is not reimbursed in full by the Borrower
in accordance with the terms of this Agreement, such L/C Participant shall pay
to the Administrative Agent upon demand of such Issuing Lender an amount equal
to such L/C Participant’s Revolving Percentage under the relevant Revolving
Facility of the amount of such draft, or any part thereof, that is not so
reimbursed; provided that the related Reimbursement Obligation with
respect to a Multicurrency Letter of Credit denominated in a Foreign Currency
may be converted to Dollars pursuant to Section 3.11.  The Administrative Agent shall promptly
forward such amounts to the relevant Issuing Lender.

(b)   If any amount required to be paid by any L/C
Participant to the Administrative Agent for the account of an Issuing Lender
pursuant to Section 3.10(a) in respect of any unreimbursed portion of any
payment made by such Issuing Lender under any Letter of Credit is paid to the
Administrative Agent for the account of such Issuing Lender within three
Business Days after the date such payment is due, such L/C Participant shall
pay to the Administrative Agent for the account of such Issuing Lender on
demand an amount equal to the product of (i) such amount times
(ii) the daily average Federal Funds Effective Rate during the period from
and including the date such payment is required to the date on which such
payment is immediately available to such Issuing Lender times
(iii) a fraction the numerator of which is the number of days that elapse
during such period and the denominator of which is 360.  If any 

 42
 

such amount required to be paid by any L/C Participant pursuant to
Section 3.10(a) is not made available to the Administrative Agent for the
account of the relevant Issuing Lender by such L/C Participant within three
Business Days after the date such payment is due, such Issuing Lender shall be
entitled to recover from such L/C Participant, on demand, such amount with
interest thereon calculated from such due date at the rate per annum applicable
to Base Rate Loans under the relevant Revolving Facility.  A certificate of such Issuing Lender submitted
to any L/C Participant with respect to any amounts owing under this Section
shall be conclusive in the absence of manifest error.

(c)   Whenever, at any time after an Issuing Lender
has made payment under any Letter of Credit and has received from any L/C
Participant its pro rata share of such payment in accordance with
Section 3.10(a), the Administrative Agent or such Issuing Lender receives
any payment related to such Letter of Credit (whether directly from the
Borrower or otherwise, including proceeds of Collateral applied thereto by such
Issuing Lender), or any payment of interest on account thereof, the
Administrative Agent or such Issuing Lender, as the case may be, will
distribute to such L/C Participant its pro rata share thereof; provided,
however, that in the event that any such payment received by
Administrative Agent or such Issuing Lender, as the case may be, shall be
required to be returned by the Administrative Agent or such Issuing Lender,
such L/C Participant shall return to the Administrative Agent for the account
of such Issuing Lender the portion thereof previously distributed by the
Administrative Agent or such Issuing Lender, as the case may be, to it.

(d)   Each L/C Participant’s obligation to purchase
participating interests pursuant to Section 3.10(b) shall be absolute and
unconditional and shall not be affected by any circumstance, including
(i) any setoff, counterclaim, recoupment, defense or other right that such
L/C Participant or the Borrower may have against any Issuing Lender, the
Borrower or any other Person for any reason whatsoever; (ii) the
occurrence or continuance of a Default or an Event of Default or the failure to
satisfy any of the other conditions specified in Section 6; (iii) any
adverse change in the condition (financial or otherwise) of the Borrower;
(iv) any breach of this Agreement or any other Loan Document by the
Borrower, any other Loan Party or any other L/C Participant; or (v) any
other circumstance, happening or event whatsoever, whether or not similar to
any of the foregoing.

3.11  Reimbursement
Obligation of the Borrower.  The Borrower agrees to reimburse
each Issuing Lender on the Business Day next succeeding the Business Day on
which such Issuing Lender notifies the Borrower of the date and amount of a
draft presented under any Letter of Credit and paid by such Issuing Lender for
the amount of such draft so paid and any taxes, fees, charges or other
reasonable costs or expenses incurred by such Issuing Lender in connection with
such payment.  Each such payment shall be
made to the relevant Issuing Lender in Dollars and in immediately available
funds, provided that (a) the Borrower may, at its option, elect by
notice to such Issuing Lender immediately following receipt of notice of such
draft, to reimburse a draft paid in a Foreign Currency in the same Foreign
Currency and (b) if the Borrower does not make such election, or if
(notwithstanding such election) the Borrower does not in fact reimburse any
such draft made in a Foreign Currency on or prior to the date required pursuant
to the first sentence of this Section 3.11, then such Issuing Lender shall
convert such

 43

Reimbursement Obligation into Dollars at the rate of exchange then
available to such Issuing Lender in the interbank market where its foreign
currency exchange operations in respect of such Foreign Currency are then being
conducted and the Borrower shall thereafter be required to reimburse such
Issuing Lender in Dollars for such Reimbursement Obligation (in the amount so
converted).  Interest shall be payable on
any such amounts denominated in Dollars from the date on which the relevant
draft is paid until the relevant Issuing Lender receives payment in full at the
rate set forth in (i) until the Business Day next succeeding the date of
the relevant notice, Section 4.5(b) with respect to Base Rate Loans under
the relevant Revolving Facility and (ii) thereafter,
Section 4.5(c).  Interest shall be
payable on any such amounts denominated in a Foreign Currency from the date on
which the relevant draft is paid until the relevant Issuing Lender receives
payment in full or conversion to Dollars as provided herein (i) until the
Business Day next succeeding the date of the relevant notice, at the rate
determined by the relevant Issuing Lender as its cost of funding such payment
plus the Applicable Margin with respect to Eurocurrency Loans under the
relevant Revolving Facility and (ii) thereafter, the rate set forth in
Section 4.5(c).  Each drawing under
any Dollar Letter of Credit shall (unless an event of the type described in
clause (i) or (ii) of Section 9(f) shall have occurred and be
continuing with respect to the Borrower, in which case the procedures specified
in Section 3.10 for funding by L/C Participants shall apply) constitute a
request by the Borrower to the Administrative Agent for a borrowing pursuant to
Section 3.2 of Base Rate Loans under the Dollar Revolving Facility (or, at
the option of the Administrative Agent and the Swingline Lender in their sole
discretion, a borrowing pursuant to Section 3.4 of Swingline Loans) in the
amount of such drawing except that, in such event, Borrower is not deemed to
have given any representations and warranties pursuant to
Section 6.2.  Except in the case of
a drawing denominated in a Foreign Currency that the Borrower elects to
reimburse, and in fact reimburses, in such Foreign Currency as provided above,
each drawing under any Multicurrency Letter of Credit shall (unless an event of
the type described in clause (i) or (ii) of Section 9(f) shall have
occurred and be continuing with respect to the Borrower, in which case the
procedures specified in Section 3.10 for funding by L/C Participants shall
apply), constitute a request by the Borrower to the Administrative Agent for a
borrowing pursuant to Section 3.2 of Base Rate Loans under the
Multicurrency Revolving Facility denominated in Dollars in the amount of such
drawing (or, in the case of a drawing denominated in a Foreign Currency, the
amount in Dollars into which the Reimbursement Obligation was converted) except
that, in either such event, the Borrower is not deemed to have given any
representations and warranties pursuant to Section 6.2.  The Borrowing Date with respect to such
borrowing shall be the first date on which a borrowing of Revolving Loans (or,
if applicable, Swingline Loans) could be made pursuant to Section 3.2 (or,
if applicable, Section 3.4), if the Administrative Agent had received a
notice of such borrowing at the time the Administrative Agent receives notice
from such Issuing Lender of such drawing under such Letter of Credit.

3.12  Obligations
Absolute.  The Borrower’s obligations under Section 3.11
shall be absolute and unconditional under any and all circumstances and
irrespective of any setoff, counterclaim or defense to payment that the
Borrower may have or have had against any Issuing Lender, any beneficiary of a
Letter of Credit or any other Person. 
The Borrower also agrees with each Issuing Lender that such Issuing
Lender not shall be responsible for, and the Borrower’s Reimbursement
Obligations under Section 3.11 shall not be affected by, among other
things, the 

 44
 

validity or genuineness of documents or of any endorsements thereon,
even though such documents shall in fact prove to be invalid, fraudulent or
forged, or any dispute between or among the Borrower and any beneficiary of any
Letter of Credit or any other party to which such Letter of Credit may be
transferred or any claims whatsoever of the Borrower against any beneficiary of
such Letter of Credit or any such transferee. 
No Issuing Lender shall be liable for any error, omission, interruption
or delay in transmission, dispatch or delivery of any message or advice,
however transmitted, in connection with any Letter of Credit, except for errors
or omissions found by a final and nonappealable decision of a court of
competent jurisdiction to have resulted from the gross negligence or willful
misconduct of such Issuing Lender.  The
Borrower agrees that any action taken or omitted by an Issuing Lender under or
in connection with any Letter of Credit or the related drafts or documents, if
done in the absence of gross negligence or willful misconduct and in accordance
with the standards of care specified in the Uniform Commercial Code of the
State of New York and UCP 500, shall be binding on the Borrower and shall
not result in any liability of such Issuing Lender to the Borrower.

3.13  Letter
of Credit Payments.  If any draft shall be presented for payment
under any Letter of Credit, the relevant Issuing Lender shall promptly notify
the Borrower of the date and amount thereof. 
The responsibility of the relevant Issuing Lender to the Borrower in
connection with any draft presented for payment under any Letter of Credit
issued by such Issuing Lender shall, in addition to any payment obligation
expressly provided for in such Letter of Credit, be limited to determining in
compliance with UCP 500 that the documents (including each draft)
delivered under such Letter of Credit in connection with such presentment are
substantially in conformity with the requirements of such Letter of Credit.

3.14  Applications.  To
the extent that any provision of any Application related to any Letter of
Credit is inconsistent with the provisions of this Section 3, the
provisions of this Section 3 shall apply.

SECTION 4.   GENERAL PROVISIONS APPLICABLE TO LOANS AND
LETTERS OF CREDIT

4.1  Optional
Prepayments.  (a)   The Borrower may at any time and from time
to time prepay the Loans (other than Multicurrency Revolving Loans denominated
in a Foreign Currency) under the relevant Facility, in whole or in part,
without premium or penalty, upon irrevocable notice delivered to the
Administrative Agent at least three Business Days prior thereto in the case of
Eurocurrency Loans denominated in Dollars and at least one Business Day prior
thereto in the case of Base Rate Loans, which notice shall specify the date and
amount of prepayment and whether the prepayment is of Eurocurrency Loans
denominated in Dollars or Base Rate Loans; provided that (i) in the
event of any prepayment of Term Loans made at a time when Term Loans of more
than one Class remain outstanding, the Borrower shall select Term Loans to be
prepaid so that the aggregate amount of such prepayment is allocated among the
Tranche C Term Loans, the Tranche D Term Loans and the Tranche E
Term Loans pro rata based on the aggregate principal amount of outstanding Term
Loans of each such Class, and (ii) if a Eurocurrency Loan denominated in
Dollars is prepaid on any day other than the last day of the Interest Period
applicable thereto, the Borrower shall also pay any amounts owing pursuant to
Section 4.11.  Upon receipt of any
such notice the Administrative Agent shall promptly notify

 45
 

each relevant Lender thereof.  If
any such notice is given, the amount specified in such notice shall be due and
payable on the date specified therein, together with (except in the case of
Dollar Revolving Loans that are Base Rate Loans and are prepaid prior to the
end of the Revolving Commitment Period) accrued interest to such date on the
amount prepaid.  Partial prepayments of
Term Loans and Revolving Loans denominated in Dollars shall be in an aggregate
principal amount of $1,000,000 or a whole multiple thereof.  Partial prepayments of Swingline Loans shall
be in an aggregate principal amount of $100,000 or a whole multiple thereof.

(b)   The Borrower may at any time and from time to
time prepay Multicurrency Revolving Loans denominated in a Foreign Currency, in
whole or in part, without premium or penalty except as specified in
Section 4.11, upon irrevocable notice (which notice must be received by
the Administrative Agent prior to 11:00 A.M., New York City time, three
Business Days before the date of prepayment) specifying the date and amount of
prepayment.  If any such notice is given,
the amount specified in such notice shall be due and payable on the date
specified therein, together with any amounts payable pursuant to
Section 4.11 and accrued interest to such date on the amount prepaid.  Partial prepayments of Multicurrency
Revolving Loans denominated in a Foreign Currency shall be in a minimum
principal amount equal to the Foreign Currency Equivalent of $1,000,000 in the
relevant Foreign Currency or a multiple of the Foreign Currency Equivalent of
$100,000 in the relevant Foreign Currency in excess thereof.

4.2  Mandatory
Prepayments.  (a)   [Intentionally Omitted.]

(b)   If any Indebtedness shall be incurred by any
Group Member (other than Excluded Indebtedness), an amount equal to 100% of the
Net Cash Proceeds thereof shall be applied no later than one Business Day
following the date of such incurrence toward the prepayment of the Term Loans
as set forth in Section 4.2(d).

(c)   If on any date any Group Member shall receive
Net Cash Proceeds from any Asset Sale or Recovery Event then, unless a
Reinvestment Notice shall be delivered in respect thereof, such Net Cash
Proceeds shall be applied no later than one Business Day following such date
toward the prepayment of the Term Loans as set forth in Section 4.2(d); provided,
that, notwithstanding the foregoing, (i) the aggregate Net Cash Proceeds
of Asset Sales and Recovery Events that may be excluded from the foregoing
requirement pursuant to a Reinvestment Notice shall not exceed $80,000,000 in
any fiscal year of the Borrower and (ii) on each Reinvestment Prepayment
Date, an amount equal to the Reinvestment Prepayment Amount with respect to the
relevant Reinvestment Event shall be applied toward the prepayment of the Term
Loans as set forth in Section 4.2(d).

(d)   Amounts to be applied in connection with
prepayments of Term Loans made pursuant to Section 4.2 shall be applied to
the prepayment of the Term Loans of the relevant Class in accordance with
Section 4.8(b); provided that, in the event of any prepayment of
Term Loans made at a time when Term Loans of more than one Class remain
outstanding, the Borrower shall select Term Loans to be prepaid so that the
aggregate amount of such prepayment is allocated among the Tranche C Term
Loans, the Tranche D Term Loans and the Tranche E Term Loans pro rata
based on the aggregate principal amount of outstanding Loans of each such
Class.  The application of any prepayment
pursuant to Section 4.2 shall be made, first, to Base 

 46
 

Rate Loans under the relevant Facility and, second, to
Eurocurrency Loans under such Facility. 
Each prepayment of the Loans under Section 4.2 shall be accompanied
by accrued interest to the date of such prepayment on the amount prepaid.

(e)   If, on any Calculation Date, the Total
Multicurrency Revolving Extensions of Credit exceed an amount equal to 105% of
the Total Multicurrency Revolving Commitments on such date, the Borrower shall,
without notice or demand, immediately repay such of the outstanding
Multicurrency Revolving Loans in an aggregate principal amount such that, after
giving effect thereto, the Total Multicurrency Revolving Extensions of Credit
do not exceed the Total Multicurrency Revolving Commitments, together with
interest accrued to the date of such payment or prepayment on the principal so
prepaid if required hereby and any amounts payable under Section 4.11 in
connection therewith.  After prepaying
any Multicurrency Revolving Loans denominated in Dollars, the Borrower may in
lieu of prepaying Multicurrency Revolving Loans denominated in a Foreign
Currency in order to comply with this paragraph deposit amounts in the relevant
Foreign Currency or Foreign Currencies in a Cash Collateral Account in
accordance with the next succeeding sentence equal to the aggregate principal
amount of Multicurrency Revolving Loans denominated in a Foreign Currency
required to be prepaid.  To the extent
that after giving effect to any prepayment of Multicurrency Revolving Loans
required by this paragraph, the Total Multicurrency Revolving Extensions of
Credit at such time exceed the Total Multicurrency Revolving Commitments at
such time, the Borrower shall, without notice or demand, immediately deposit in
a Cash Collateral Account upon terms reasonably satisfactory to the
Administrative Agent an amount equal to the amount by which Total Multicurrency
Revolving Extensions of Credit exceed the Total Multicurrency Revolving Commitments.  The Administrative Agent shall apply any cash
deposited in the Cash Collateral Account (to the extent thereof) to pay any
Reimbursement Obligations which are or become due thereafter and/or to repay
Multicurrency Revolving Loans denominated in a Foreign Currency at the end of
the Interest Periods therefor; provided that (x) the Administrative
Agent shall release to the Borrower from time to time such portion of the
amount on deposit in the Cash Collateral Account to the extent such amount is not
required to be so deposited in order for the Borrower to be in compliance with
this paragraph and (y) the Administrative Agent may so apply such cash at
any time after the occurrence and during the continuation of an Event of
Default.  “Cash Collateral Account”
means an account specifically established by the Borrower with the
Administrative Agent for purposes of this Section 4.2 and hereby pledged
to the Administrative Agent and over which the Administrative Agent shall have
exclusive dominion and control, including the right of withdrawal for
application in accordance with this Section 4.2.

4.3  Conversion
and Continuation Options.  (a)   The Borrower may elect from time to time to
convert Eurocurrency Loans denominated in Dollars to Base Rate Loans by giving
the Administrative Agent at least two Business Days’ prior irrevocable notice
of such election, provided that any such conversion of Eurocurrency
Loans denominated in Dollars may only be made on the last day of an Interest
Period with respect thereto.  The
Borrower may elect from time to time to convert Base Rate Loans to Eurocurrency
Loans denominated in Dollars by giving the Administrative Agent at least three
Business Days’ prior irrevocable notice of such election (which notice shall
specify the length of the initial Interest Period therefor), provided
that no Base Rate Loan under a particular Facility may be converted into a
Eurocurrency Loan 

 47
 

denominated in Dollars when any Event of Default has occurred and is
continuing and the Administrative Agent or the Majority Facility Lenders in
respect of such Facility have determined in its or their sole discretion not to
permit such conversions.  Upon receipt of
any such notice the Administrative Agent shall promptly notify each relevant
Lender thereof.  Notwithstanding the
foregoing, the Borrower may not elect to convert the currency in which any Loan
is denominated.

(b)   Any Eurocurrency Loan may be continued as such
upon the expiration of the then current Interest Period with respect thereto by
the Borrower giving irrevocable notice to the Administrative Agent, in
accordance with the applicable provisions of the term “Interest Period” set
forth in Section 1.1, of the length of the next Interest Period to be
applicable to such Loans, provided that no Eurocurrency Loan denominated
in Dollars under a particular Facility may be continued as such when any Event
of Default has occurred and is continuing and the Administrative Agent has or
the Majority Facility Lenders in respect of such Facility have determined in
its or their sole discretion not to permit such continuations, and provided,
further, that if the Borrower shall fail to give any required notice as
described above in this paragraph or if such continuation is not permitted
pursuant to the preceding proviso such Eurocurrency Loans denominated in
Dollars shall be automatically converted to Base Rate Loans on the last day of
such then expiring Interest Period and, if the Borrower shall fail to give such
notice of continuation of a Multicurrency Revolving Loan denominated in a
Foreign Currency, such Multicurrency Revolving Loan denominated in a Foreign
Currency shall be automatically continued for an Interest Period of one
month.  Upon receipt of any such notice
the Administrative Agent shall promptly notify each relevant Lender thereof.

4.4  Limitations
on Eurocurrency Tranches.  Notwithstanding anything to the
contrary in this Agreement, all borrowings, conversions and continuations of
Eurocurrency Loans hereunder and all selections of Interest Periods hereunder
shall be in such amounts and be made pursuant to such elections so that,
(a) after giving effect thereto, the aggregate principal amount of the
Eurocurrency Loans comprising each Eurocurrency Tranche shall be equal to
$3,000,000 or a whole multiple of $1,000,000 in excess thereof and (b) no
more than fifteen Eurocurrency Tranches shall be outstanding at any one time.

4.5  Interest
Rates and Payment Dates.  (a)   Each Eurocurrency Loan shall bear interest
for each day during each Interest Period with respect thereto at a rate per
annum equal to the Eurocurrency Rate determined for such day plus the
Applicable Margin.

(b)   Each Base Rate Loan shall bear interest at a
rate per annum equal to the Base Rate plus the Applicable Margin.

(c)  (i) If all or a portion of the
principal amount of any Loan or Reimbursement Obligation shall not be paid when
due (whether at the stated maturity, by acceleration or otherwise), such
overdue amount shall bear interest at a rate per annum equal to (x) in the
case of the Loans, the rate that would otherwise be applicable thereto pursuant
to the foregoing provisions of this Section plus 2% or (y) in the
case of Reimbursement Obligations, the rate applicable to Base Rate Loans under
the relevant Revolving Facility plus 2%, and (ii) if all or a
portion of any interest payable on any Loan or Reimbursement Obligation or any
fee or other 

 48
 

amount payable hereunder shall not be paid when due (whether at the
stated maturity, by acceleration or otherwise), such overdue amount shall bear
interest at a rate per annum equal to (A) the rate then applicable to Base
Rate Loans under the relevant Facility plus 2% (or, in the case of any
such other amounts that do not relate to a particular Facility, the rate then
applicable to Base Rate Loans under the relevant Revolving Facility plus
2%), in the case of amounts that are owing in Dollars, or (B)(I) the
Eurocurrency Rate in respect of the relevant Foreign Currency plus
(II) 2%, in the case of amounts owing that are denominated in Foreign
Currencies, in each case, with respect to clauses (i) and (ii) above, from
the date of such non-payment until such amount is paid in full (after as
well as before judgment).

(d)   Interest shall be payable in arrears on each
Interest Payment Date, provided that interest accruing pursuant to
paragraph (c) of this Section shall be payable from time to time on
demand.

4.6  Computation
of Interest and Fees.  (a)   Interest and fees payable pursuant hereto
shall be calculated on the basis of a 360-day year for the actual days elapsed,
except that, with respect to Base Rate Loans the rate of interest on which is
calculated on the basis of the Prime Rate, the interest thereon shall be
calculated on the basis of a 365- (or 366-, as the case may be) day year for
the actual days elapsed.  The
Administrative Agent shall as soon as practicable notify the Borrower and the
relevant Lenders of each determination of a Eurocurrency Rate.  Any change in the interest rate on a Loan
resulting from a change in the Base Rate or the Eurocurrency Reserve
Requirements shall become effective as of the opening of business on the day on
which such change becomes effective.  The
Administrative Agent shall as soon as practicable notify the Borrower and the
relevant Lenders of the effective date and the amount of each such change in
interest rate.

(b)   Each determination of an interest rate by the
Administrative Agent pursuant to any provision of this Agreement shall be
conclusive and binding on the Borrower and the Lenders in the absence of
manifest error.  The Administrative Agent
shall, at the request of the Borrower, deliver to the Borrower a statement
showing the quotations used by the Administrative Agent in determining any interest
rate pursuant to Section 4.5(a).

4.7  Inability
to Determine Interest Rate.  If prior to the first day of any
Interest Period:

(a) the
Administrative Agent shall have determined (which determination shall be
conclusive and binding upon the Borrower absent manifest error) that, by reason
of circumstances affecting the relevant market, adequate and reasonable means
do not exist for ascertaining the Eurocurrency Rate for such Interest Period in
respect of Loans denominated in Dollars, or

(b) the
Administrative Agent shall have received notice from the Majority Facility
Lenders in respect of the relevant Facility that the Eurocurrency Rate
determined or to be determined for such Interest Period will not adequately and
fairly reflect the cost to such Lenders (as conclusively certified by such
Lenders) of making or maintaining their affected Loans during such Interest
Period, or

 49
 

(c) the
Administrative Agent shall have determined (which determination shall be
conclusive and binding upon the Borrower, absent manifest error) that, by
reason of circumstances affecting the relevant market, adequate and reasonable
means do not exist for ascertaining the Eurocurrency Rate for such Interest
Period in respect of any Foreign Currency (any such Foreign Currency is
referred to as an “Affected Foreign Currency”),

the Administrative Agent shall give telecopy or
telephonic notice thereof to the Borrower and the relevant Lenders as soon as
practicable thereafter.  If such notice
is given (x) pursuant to clause (a) or (b) of this Section 4.7
in respect of Eurocurrency Loans denominated in Dollars, then (i) any
Eurocurrency Loans denominated in Dollars under the relevant Facility requested
to be made on the first day of such Interest Period shall be made as Base Rate
Loans, (ii) any Loans under the relevant Facility that were to have been
converted on the first day of such Interest Period to Eurocurrency Loans
denominated in Dollars shall be continued as Base Rate Loans and (iii) any
outstanding Eurocurrency Loans denominated in Dollars under the relevant Facility
shall be converted, on the last day of the then-current Interest Period, to
Base Rate Loans and (y) in respect of any Multicurrency Revolving Loans
denominated in a Foreign Currency, then (i) any Multicurrency Revolving
Loans in an Affected Foreign Currency requested to be made on the first day of
such Interest Period shall not be made and (ii) any outstanding
Multicurrency Revolving Loans denominated in an Affected Foreign Currency shall
be due and payable on the first day of such Interest Period.  Until such notice has been withdrawn by the
Administrative Agent, no further Eurocurrency Loans denominated in Dollars
under the relevant Facility or Multicurrency Revolving Loans denominated in a
Foreign Currency in an Affected Foreign Currency shall be made or continued as
such, nor shall the Borrower have the right to convert Loans under the relevant
Facility to Eurocurrency Loans.

4.8  Pro
Rata Treatment and Payments.  (a)   Each borrowing by the Borrower from the
Lenders hereunder, each payment by the Borrower on account of any commitment
fee and any reduction of the Commitments of the Lenders shall be made pro
rata according to the respective Tranche C Term Percentages,
Tranche D Term Percentages, Tranche E Term Percentages, Dollar
Revolving Percentages or Multicurrency Revolving Percentages, as the case may
be, of the relevant Lenders.

(b)   Each payment (including each prepayment) by
the Borrower on account of principal of and interest on the Term Loans of any
Class shall be made pro rata according to the respective
outstanding principal amounts of the Term Loans of such Class then held by the
Lenders of such Class.  The amount of
each principal prepayment of the Term Loans of any Class shall be applied to
reduce the then remaining installments of the Term Loans of such Class 

 50
 

pro rata based upon the then remaining
principal amount thereof.  Amounts repaid
or prepaid on account of the Term Loans of any Class may not be reborrowed.

(c)   Each payment (including each prepayment) by
the Borrower on account of principal of and interest on the Revolving Loans
under a Revolving Facility shall be made pro rata according to
the respective outstanding principal amounts of the Revolving Loans under such
Revolving Facility then held by the Revolving Lenders under such Revolving
Facility.  Each payment in respect of
Reimbursement Obligations in respect of any Letter of Credit shall be made to
the Issuing Lender that issued such Letter of Credit.

(d)   All payments (including prepayments) to be
made by the Borrower hereunder, whether on account of principal, interest, fees
or otherwise, shall be made without setoff or counterclaim and shall be made
prior to 12:00 Noon, New York City time, on the due date thereof to the
Administrative Agent, for the account of the Lenders, at the Funding Office, in
Dollars and in immediately available funds, except payments to be made directly
to an Issuing Lender or Swingline Lender as expressly provided herein and
except that payments pursuant to Sections 4.9, 4.10, 4.11 and 11.5 shall be
made directly to the Persons entitled thereto; provided that payments
made in a Foreign Currency shall be made prior to 12:00 Noon, local time in the
place of payment, on the due date thereof to the Administrative Agent at the
office of the Administrative Agent designated by the Administrative Agent from
time to time for payments made in such Foreign Currency.  All payments to be made by the Borrower
hereunder shall be made in Dollars; provided that (i) payments in
respect of the principal of or interest on any Multicurrency Revolving Loan
denominated in a Foreign Currency shall be made in such Foreign Currency,
(ii) any amounts payable under Section 4.9 or 4.11 in respect of any
Multicurrency Revolving Loan or Multicurrency Letter of Credit denominated in a
Foreign Currency shall be payable in such Foreign Currency if the certificate
submitted by the applicable Lender or Issuing Lender in respect of such amount
specifies such amount in such Foreign Currency and (iii) payments in
respect of Multicurrency Letters of Credit and Multicurrency L/C Obligations
denominated in a Foreign Currency may be made in such Foreign Currency to the
extent permitted by, and shall be made to the extent required by, the
applicable provisions of this Agreement. 
The Administrative Agent shall distribute such payments received by it
for the account of any other Person to the appropriate recipient promptly upon
receipt in like funds as received.  If
any payment hereunder (other than payments on the Eurocurrency Loans) becomes due
and payable on a day other than a Business Day, such payment shall be extended
to the next succeeding Business Day.  If
any payment on a Eurocurrency Loan becomes due and payable on a day other than
a Business Day, the maturity thereof shall be extended to the next succeeding
Business Day unless the result of such extension would be to extend such
payment into another calendar month, in which event such payment shall be made
on the immediately preceding Business Day. 
In the case of any extension of any payment of principal pursuant to the
preceding two sentences, interest thereon shall be payable at the then
applicable rate during such extension.

(e)   The failure of any Lender to make any Loan
required to be made by it shall not relieve any other Lender of its obligations
hereunder; provided that the Commitments of the Lenders are several and
no Lender shall be responsible for any other Lender’s failure to make 

 51
 

Loans as required.  Unless the
Administrative Agent shall have been notified in writing by any Lender prior to
a borrowing that such Lender will not make the amount that would constitute its
share of such borrowing available to the Administrative Agent, the
Administrative Agent may assume that such Lender is making such amount
available to the Administrative Agent, and the Administrative Agent may, in
reliance upon such assumption, make available to the Borrower a corresponding
amount.  If such amount is not made
available to the Administrative Agent by the required time on the Borrowing
Date therefor, such Lender shall pay to the Administrative Agent, on demand,
such amount with interest thereon (i) in the case of Loans denominated in
Dollars, at the greater of (A) a rate equal to the daily average Federal
Funds Effective Rate and (B) a rate determined by the Administrative Agent
in accordance with banking industry rates on interbank compensation for the
period until such Lender makes such amount immediately available to the
Administrative Agent and (ii) in the case of Multicurrency Revolving Loans
denominated in a Foreign Currency, at a rate per annum reasonably determined by
the Administrative Agent to be the cost to it of funding such amount for the
period until such Lender makes such amount immediately available to the
Administrative Agent.  A certificate of
the Administrative Agent submitted to any Lender with respect to any amounts
owing under this paragraph shall be conclusive in the absence of manifest
error.  If such Lender’s share of such
borrowing is not made available to the Administrative Agent by such Lender
within three Business Days of such Borrowing Date, the Administrative Agent
shall also be entitled to recover such amount with interest thereon at the rate
per annum applicable to Base Rate Loans under the relevant Facility (or with
respect to Multicurrency Revolving Loans denominated in a Foreign Currency, at
a rate per annum reasonably determined by the Administrative Agent to be the
cost to it of funding such amount), on demand, from the Borrower.

(f)   Unless the Administrative Agent shall have
been notified in writing by the Borrower prior to the date of any payment due
to be made by the Borrower hereunder that the Borrower will not make such
payment to the Administrative Agent, the Administrative Agent may assume that
the Borrower is making such payment, and the Administrative Agent may, but
shall not be required to, in reliance upon such assumption, make available to
the Lenders under the relevant Facility or the Issuing Lender their respective pro
rata shares of a corresponding amount. 
If such payment is not made to the Administrative Agent by the Borrower
within three Business Days after such due date, the Administrative Agent shall
be entitled to recover, on demand, from each Lender to which any amount which
was made available pursuant to the preceding sentence, such amount with
interest thereon (i) in the case of Loans denominated in Dollars, at the
greater of (A) the rate per annum equal to the daily average Federal Funds
Effective Rate and (B) a rate determined by the Administrative Agent in
accordance with banking industry rates on interbank compensation and
(ii) in the case of Multicurrency Revolving Loans denominated in a Foreign
Currency, at a rate per annum reasonably determined by the Administrative Agent
to be the cost to it of funding such amount. 
Nothing herein shall be deemed to limit the rights of the Administrative
Agent or any Lender against the Borrower.

4.9  Requirements
of Law.  (a)   If the adoption of or any change in any
Requirement of Law or in the interpretation or application thereof or
compliance by any Lender or any Issuing Lender with any request or directive
(whether or not having the force of law) from any central bank or other
Governmental Authority made subsequent to the Effective Date:

 52
 

(i) shall
impose, modify or hold applicable any reserve, special deposit, compulsory loan
or similar requirement against assets held by, deposits or other liabilities in
or for the account of, advances, loans or other extensions of credit by, or any
other acquisition of funds by, any office of such Lender or Issuing Lender that
is not otherwise included in the determination of the Eurocurrency Rate
hereunder; or

(ii) shall
impose on such Lender or Issuing Lender any other condition;

and the result of any of the foregoing is to increase
the cost to such Lender or Issuing Lender, by an amount that such Lender or
Issuing Lender deems to be material, of making, converting into, continuing or
maintaining Eurocurrency Loans or issuing, maintaining or participating in
Letters of Credit, or to reduce any amount receivable hereunder in respect
thereof, then, in any such case, the Borrower shall promptly pay such Lender or
Issuing Lender, upon its demand, any additional amounts necessary to compensate
such Lender or Issuing Lender for such increased cost or reduced amount
received or receivable.  If any Lender or
Issuing Lender becomes entitled to claim any additional amounts pursuant to
this paragraph, it shall promptly notify the Borrower (with a copy to the
Administrative Agent) of the event by reason of which it has become so
entitled.

(b)   If any Lender or Issuing Lender shall have
determined that the adoption of or any change in any Requirement of Law
regarding capital adequacy or in the interpretation or application thereof or
compliance by such Lender or Issuing Lender or any corporation controlling such
Lender or Issuing Lender with any request or directive regarding capital
adequacy (whether or not having the force of law) from any Governmental
Authority made subsequent to the Effective Date shall have the effect of
reducing the rate of return on such Lender’s or Issuing Lender’s or such
corporation’s capital as a consequence of its obligations hereunder or under or
in respect of any Letter of Credit to a level below that which such Lender or
Issuing Lender or such corporation could have achieved but for such adoption,
change or compliance (taking into consideration such Lender’s or Issuing
Lender’s or such corporation’s policies with respect to capital adequacy) by an
amount deemed by such Lender or Issuing Lender to be material, then from time
to time, after submission by such Lender or Issuing Lender to the Borrower
(with a copy to the Administrative Agent) of a written request therefor, the
Borrower shall pay to such Lender or Issuing Lender such additional amount or
amounts as will compensate such Lender or Issuing Lender or such corporation
for such reduction.  Failure or delay on
the part of any Lender or Issuing Lender to demand compensation pursuant to
this Section shall not constitute a waiver of such Lender’s or Issuing Lender’s
right to demand such compensation; provided that the Borrower shall not
be required to compensate a Lender or Issuing Lender pursuant to this paragraph
for any amounts incurred more than six months prior to the date that such
Lender or Issuing Lender notifies the Borrower of such Lender’s or Issuing
Lender’s intention to claim compensation therefor; and provided, further,
that, if the 

 53
 

circumstances giving rise to such claim have a retroactive effect, then
such six-month period shall be extended to include the period of such
retroactive effect.

(c)   If any Governmental Authority of the
jurisdiction of any Foreign Currency (or any other jurisdiction in which the
funding operations of any Multicurrency Revolving Lender shall be conducted
with respect to such Foreign Currency) shall have in effect any reserve, liquid
asset or similar requirement with respect to any category of deposits or
liabilities customarily used to fund loans in such Foreign Currency, or by
reference to which interest rates applicable to loans in such Foreign Currency
are determined, and the result of such requirement shall be to increase the
cost to any Multicurrency Revolving Lender of making or maintaining any Multicurrency
Revolving Loan in such Foreign Currency, and such Multicurrency Revolving
Lender shall deliver to the Borrower a notice requesting compensation under
this paragraph, then the Borrower will pay to such Multicurrency Revolving
Lender on each Interest Payment Date with respect to each Multicurrency
Revolving Loan in such affected Foreign Currency an amount that will compensate
such Multicurrency Revolving Lender for such additional cost.

(d)   A certificate as to any additional amounts
payable pursuant to this Section submitted by any Lender or Issuing Lender to
the Borrower (with a copy to the Administrative Agent) setting forth the basis
of calculation of such additional amounts shall be conclusive in the absence of
manifest error.  The obligations of the
Borrower pursuant to this Section shall survive the termination of this
Agreement and the payment of the Loans and all other amounts payable hereunder.

(e)   Notwithstanding any other provision of this
Agreement, if, (i)(A) the adoption of any law, rule or regulation after
the Effective Date, (B) any change in any law, rule or regulation or in
the interpretation or application thereof by any Governmental Authority after
the Effective Date or (C) compliance by any Multicurrency Revolving Lender
with any request, guideline or directive (whether or not having the force of
law) of any Governmental Authority made or issued after the Effective Date,
shall make it unlawful for any such Multicurrency Revolving Lender to make or
maintain any Multicurrency Revolving Loan denominated in a Foreign Currency or
to give effect to its obligations as contemplated hereby with respect to any
Multicurrency Revolving Loan denominated in a Foreign Currency, or
(ii) there shall have occurred any change in national or international
financial, political or economic conditions (including the imposition of or any
change in exchange controls, but excluding conditions otherwise covered by this
Section 4.9) which would make it impracticable for any Multicurrency
Revolving Lenders to make or maintain Multicurrency Revolving Loans denominated
in the relevant Foreign Currency after the Effective Date to, or for the
account of, the Borrower, then:

(i) by written
notice to the Borrower and to the Administrative Agent, such Multicurrency
Revolving Lender or Multicurrency Revolving Lenders may declare that
Multicurrency Revolving Loans denominated in the affected Foreign Currency will
not thereafter (for the duration of such unlawfulness) be made by such
Multicurrency Revolving Lender or Multicurrency Revolving Lenders hereunder (or
be continued for additional Interest Periods), whereupon any request for a
Multicurrency Revolving Loan denominated in such Foreign Currency or to
continue a Multicurrency Revolving Loan denominated in such Foreign Currency,
as the case may be, for an additional Interest 

 54
 

Period shall,
as to such Multicurrency Revolving Lender or Multicurrency Revolving Lenders
only, be of no force and effect, unless such declaration shall be subsequently
withdrawn; and

(ii) all
outstanding Multicurrency Revolving Loans denominated in the affected Foreign
Currency made by such Multicurrency Revolving Lender or Multicurrency Revolving
Lenders shall be repaid on the last day of the then current Interest Period
with respect thereto or, if earlier, the date on which the applicable notice
becomes effective.

(f)   For purposes of Section 4.9(e), a notice
to the Borrower by any Multicurrency Revolving Lender shall be effective as to
each Multicurrency Revolving Loan denominated in the affected Foreign Currency
made by such Multicurrency Revolving Lender, if lawful, on the last day of the
Interest Period currently applicable to such Multicurrency Revolving Loan
denominated in a Foreign Currency; in all other cases such notice shall be effective
on the date of receipt thereof by the Borrower.

4.10  Taxes.  (a)  
Any and all payments made by or on behalf of the Borrower under this
Agreement shall be made free and clear of, and without deduction or withholding
for or on account of, any present or future income, stamp or other taxes,
levies, imposts, duties, charges, fees, deductions or withholdings, now or
hereafter imposed, levied, collected, withheld or assessed by any Governmental
Authority, excluding net income taxes and franchise taxes (imposed in lieu of
net income taxes) imposed on any Agent or any Lender as a result of a present
or former connection between such Agent or such Lender and the jurisdiction of
the Governmental Authority imposing such tax or any political subdivision or
taxing authority thereof or therein (other than any such connection arising
solely from such Agent or such Lender having executed, delivered or performed
its obligations or received a payment under, or enforced, this Agreement or any
other Loan Document).  If any such
non-excluded taxes, levies, imposts, duties, charges, fees, deductions or
withholdings (“Non-Excluded Taxes”) or Other Taxes are required to be
withheld from any amounts payable to any Agent or any Lender hereunder, the
amounts so payable to such Agent or such Lender shall be increased to the
extent necessary to yield to such Agent or such Lender (after payment of all
Non-Excluded Taxes and Other Taxes) interest or any such other amounts payable
hereunder at the rates or in the amounts specified in this Agreement, provided,
however, that the Borrower shall not be required to increase any such
amounts payable to any Lender with respect to any Non-Excluded Taxes
(i) that are attributable to such Lender’s failure to comply with the
requirements of paragraph (d) or (e) of this Section or (ii) that are
United States withholding taxes imposed on amounts payable to such Lender at
the time such Lender becomes a party to this Agreement or designates a new
lending office, except to the extent that such Lender’s assignor (if any) was
entitled, at the time of assignment, to receive additional amounts from the
Borrower with respect to such Non-Excluded Taxes pursuant to this paragraph.

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

(c)   Whenever any Non-Excluded Taxes or Other Taxes
are payable by the Borrower, as promptly as possible thereafter the Borrower
shall send to the Administrative Agent 

 55
 

for its own account or for the account of the relevant Agent or Lender,
as the case may be, a certified copy of an original official receipt received
by the Borrower showing payment thereof. 
If the Borrower fails to pay any Non-Excluded Taxes or Other Taxes when
due to the appropriate taxing authority or fails to remit to the Administrative
Agent the required receipts or other required documentary evidence, the
Borrower shall indemnify the Agents and the Lenders for any incremental taxes,
interest or penalties that may become payable by any Agent or any Lender as a
result of any such failure.

(d)   Each Lender (or Transferee) that is not a
“U.S. Person” as defined in Section 7701(a)(30) of the Code (a “Non-U.S.
Lender”) shall deliver to the Borrower and the Administrative Agent (or, in
the case of a Participant, to the Lender from which the related participation
shall have been purchased) two copies of either U.S. Internal Revenue Service
Form W-8BEN or Form W-8ECI, or, in the case of a Non-U.S. Lender claiming
exemption from U.S. federal withholding tax under Section 871(h) or 881(c)
of the Code with respect to payments of “portfolio interest”, a statement
substantially in the form of Exhibit G and a Form W-8BEN, or any
subsequent versions thereof or successors thereto, properly completed and duly
executed by such Non-U.S. Lender claiming complete exemption from, or a
reduced rate of, U.S. federal withholding tax on all payments by the Borrower
under this Agreement and the other Loan Documents.  Such forms shall be delivered by each Non-U.S.
Lender on or before the date it becomes a party to this Agreement (or, in the
case of any Participant, on or before the date such Participant purchases the
related participation).  In addition,
each Non-U.S. Lender shall deliver such forms promptly upon the
obsolescence or invalidity of any form previously delivered by such Non-U.S.
Lender.  Each Non-U.S. Lender shall
promptly notify the Borrower at any time it determines that it is no longer in
a position to provide any previously delivered certificate to the Borrower (or
any other form of certification adopted by the U.S. taxing authorities for such
purpose).  Notwithstanding any other
provision of this paragraph, a Non-U.S. Lender shall not be required to
deliver any form pursuant to this paragraph that such Non-U.S. Lender is
not legally able to deliver.

(e)   Each Lender (or Transferee) that is entitled
to an exemption from or reduction of non-U.S. withholding tax under the law of
the jurisdiction in which the Borrower is located, or any treaty to which such
jurisdiction is a party, with respect to payments under this Agreement shall
deliver to the Borrower (with a copy to the Administrative Agent), at the time
or times prescribed by applicable law or reasonably requested by the Borrower,
such properly completed and executed documentation prescribed by applicable law
as will permit such payments to be made without withholding or at a reduced
rate, provided that such Lender is legally entitled to complete, execute
and deliver such documentation and in such Lender’s judgment such completion,
execution or submission would not materially prejudice the legal position of
such Lender.

(f)   The agreements in this Section 4.10 shall
survive the termination of this Agreement and the payment of the Loans and all
other amounts payable hereunder.

(g)   If any Lender or the Administrative Agent
determines, in its sole discretion, that it has received a refund attributable
to any Non-Excluded Taxes or Other Taxes paid by the Borrower or for which the
Lender or the Administrative Agent has received payment from the 

 56
 

Borrower hereunder, such Lender or the Administrative Agent, within
30 days of such receipt, shall deliver to the Borrower the amount of such
refund without interest (other than any interest paid by the relevant
Governmental Authority with respect to such refund); provided, however,
that the Borrower agrees to repay the amount paid over to the Borrower (plus
any penalties, interest or other charges imposed by the relevant Governmental
Authority) to such Lender or the Administrative Agent in the event that such
Lender or the Administrative Agent is required to repay such refund to such
Governmental Authority.  In addition,
upon a written request by the Borrower, any Lender and the Administrative Agent
shall timely execute and deliver to the Borrower such certificates, forms or
other documents which can be reasonably furnished consistent with the facts to
assist the Borrower in applying for refunds of Non-Excluded Taxes or Other
Taxes remitted hereunder, unless to do so will unduly prejudice or cause undue
hardship to such Lender or the Administrative Agent (as determined in the sole
discretion of such Lender or the Administrative Agent).  This paragraph shall not be construed to
require any Lender or the Administrative Agent to make available its tax
returns (or any other information relating to its Taxes that it deems
confidential) to the Borrower or any other Person.

4.11  Indemnity.  The
Borrower agrees to indemnify each Lender and to hold each Lender harmless from
any loss or expense that such Lender may sustain or incur as a consequence of
(a) default by the Borrower in making a borrowing of, conversion into or
continuation of Eurocurrency Loans after the Borrower has given a notice requesting
the same in accordance with the provisions of this Agreement, (b) default
by the Borrower in making any prepayment of or conversion from Eurocurrency
Loans after the Borrower has given a notice thereof in accordance with the
provisions of this Agreement or (c) the making of a prepayment of
Eurocurrency Loans or the conversion of Eurocurrency Loans, in each case, on a
day that is not the last day of an Interest Period with respect thereto.  Such indemnification may include an amount
equal to the excess, if any, of (i) the amount of interest that would have
accrued on the amount so prepaid, or not so borrowed, converted or continued,
for the period from the date of such prepayment or of such failure to borrow,
convert or continue to the last day of such Interest Period (or, in the case of
a failure to borrow, convert or continue, the Interest Period that would have
commenced on the date of such failure) in each case at the applicable rate of
interest for such Loans provided for herein (excluding, however, the Applicable
Margin included therein, if any) over (ii) the amount of interest (as
reasonably determined by such Lender) that would have accrued to such Lender on
such amount by placing such amount on deposit for a comparable period with
leading banks in the interbank Eurocurrency market.  A certificate as to any amounts payable
pursuant to this Section submitted to the Borrower by any Lender shall be
conclusive in the absence of manifest error. 
This covenant shall survive the termination of this Agreement and the
payment of the Loans and all other amounts payable hereunder.

4.12  Change
of Lending Office.  Each Lender agrees that, upon the occurrence
of any event giving rise to the operation of Section 4.9, 4.10(a) or
4.10(b) with respect to such Lender, it will, if requested by the Borrower, use
reasonable efforts (subject to overall policy considerations of such Lender) to
designate another lending office for any Loans affected by such event with the
object of avoiding the consequences of such event; provided that such
designation is made on terms that, in the sole judgment of such Lender, cause
such Lender and its lending office(s) to suffer no economic, legal or
regulatory disadvantage, and provided, 

 57

further, that nothing in this Section shall
affect or postpone any of the obligations of the Borrower or the rights of any
Lender pursuant to Section 4.9, 4.10(a) or 4.10(b).

4.13  Replacement
of Lenders.  The Borrower shall be permitted to replace any Lender
that (a) requests reimbursement for amounts owing pursuant to
Section 4.9, 4.10(a) or 4.10(b) or (b) defaults in its obligation to
make Loans hereunder, with a replacement financial institution; provided
that (i) such replacement does not conflict with any Requirement of Law,
(ii) no Event of Default shall have occurred and be continuing at the time
of such replacement, (iii) prior to any such replacement, such Lender
shall have taken no action under Section 4.12 so as to eliminate the
continued need for payment of amounts owing pursuant to Section 4.9,
4.10(a) or 4.10(b), (iv) the replacement financial institution shall
purchase, at par, all Loans and other amounts owing to such replaced Lender on
or prior to the date of replacement, (v) the Borrower shall be liable to
such replaced Lender under Section 4.11 if any Eurocurrency Loan owing to
such replaced Lender shall be purchased other than on the last day of the
Interest Period relating thereto, (vi) the replacement financial
institution, if not already a Lender, shall be reasonably satisfactory to the
Administrative Agent and (if the replaced Lender was a Revolving Lender) each
Issuing Lender and (if the replaced Lender was a Dollar Revolving Lender) the
Swingline Lender, (vii) the replaced Lender shall be obligated to make
such replacement in accordance with the provisions of Section 11.6,
(viii) until such time as such replacement shall be consummated, the
Borrower shall pay all additional amounts (if any) required pursuant to Section 4.9,
4.10(a) or 4.10(b), as the case may be, and (ix) any such replacement
shall not be deemed to be a waiver of any rights that the Borrower, the
Administrative Agent or any other Lender shall have against the replaced
Lender.

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

(b)   The Administrative Agent, on behalf of the
Borrower, shall maintain the Register pursuant to Section 11.6, and a
subaccount therein for each Lender, in which shall be recorded (i) the
amount of each Loan made hereunder and any Note evidencing such Loan, the Type
of such Loan and each Interest Period applicable thereto, (ii) the amount
of any principal or interest due and payable or to become due and payable from
the Borrower to each Lender hereunder and (iii) both the amount of any sum
received by the Administrative Agent hereunder from the Borrower and each
Lender’s share thereof.

(c)   The entries made in the Register and the
accounts of each Lender maintained pursuant to Section 4.14(a) shall, to
the extent permitted by applicable law, be prima facie evidence
of the existence and amounts of the obligations of the Borrower therein
recorded; provided, however, that the failure of any Lender or
the Administrative Agent to maintain the Register or any such account, or any
error therein, shall not in any manner affect the obligation of the Borrower to
repay (with applicable interest) the Loans made to the Borrower by such Lender
in accordance with the terms of this Agreement.

 58
 

(d)   The Borrower agrees that, upon the request by
any Lender (through the Administrative Agent), the Borrower will prepare,
execute and deliver to such Lender a promissory note of the Borrower payable to
the order of such Lender (or if requested by such Lender, to such Lender and
its registered assigns) and in a form approved by the Administrative Agent,
evidencing Loans made by such Lender.

4.15  Illegality.  Notwithstanding
any other provision herein, if the adoption of or any change in any Requirement
of Law or in the interpretation or application thereof shall make it unlawful
for any Lender to make or maintain Eurocurrency Loans as contemplated by this
Agreement, (a) the commitment of such Lender hereunder to make
Eurocurrency Loans, continue Eurocurrency Loans as such and convert Base Rate
Loans to Eurocurrency Loans shall forthwith be canceled and (b) such
Lender’s Loans then outstanding as Eurocurrency Loans, if any, shall be
converted automatically to Base Rate Loans (or, in the case of Multicurrency
Revolving Loans denominated in a Foreign Currency, be repaid) on the respective
last days of the then current Interest Periods with respect to such Loans or
within such earlier period as required by law. 
If any such conversion of a Eurocurrency Loan occurs on a day which is
not the last day of the then current Interest Period with respect thereto, the
Borrower shall pay to such Lender such amounts, if any, as may be required
pursuant to Section 4.11.

4.16  Foreign
Currency Exchange Rate.  (a)  No later than 1:00 P.M., London time, on
each Calculation Date with respect to a Foreign Currency, the Administrative
Agent shall determine the Exchange Rate as of such Calculation Date with
respect to such Foreign Currency, provided that, upon receipt of a
Borrowing Request pursuant to Section 3.2 for a borrowing of a
Multicurrency Revolving Loan denominated in a Foreign Currency or a request for
a Letter of Credit denominated in a Foreign Currency pursuant to
Section 3.8, the Administrative Agent shall determine the Exchange Rate
with respect to the relevant Foreign Currency in accordance with the foregoing
(it being acknowledged and agreed that the Administrative Agent shall use such
Exchange Rate for the purposes of determining compliance with
Section 3.1(a) or 3.7(a), as applicable, with respect to such Borrowing
Request or Application).  The Exchange
Rates so determined shall become effective on the first Business Day
immediately following the relevant Calculation Date (a “Reset Date”),
shall remain effective until the next succeeding Reset Date and shall for all
purposes of this Agreement (other than Section 4.7, 11.18 or any other
provision expressly requiring the use of a current Exchange Rate) be the
Exchange Rates employed in converting any amounts between Dollars and Foreign
Currencies.

(b)   No later than 5:00 P.M., London time, on
each Reset Date and each Borrowing Date with respect to Multicurrency Revolving
Loans denominated in a Foreign Currency, the Administrative Agent shall
determine the aggregate amount of the Dollar Equivalents of the principal
amounts of the Multicurrency Revolving Loans denominated in a Foreign Currency
then outstanding (after giving effect to any Multicurrency Revolving Loans
denominated in a Foreign Currency to be made or repaid on such date and the
aggregate amount of the L/C Obligations then outstanding).

(c)   The Administrative Agent shall promptly notify
the Borrower of each determination of an Exchange Rate hereunder.

 59
 

SECTION 5.   REPRESENTATIONS AND WARRANTIES

To induce the Agents and the Lenders to enter into
this Agreement and to make the Loans and issue or participate in the Letters of
Credit, the Borrower hereby represents and warrants to each Agent and each
Lender that:

5.1  Financial
Condition.  The audited consolidated balance sheet of the
Borrower and its consolidated Subsidiaries as at December 31, 2005, and
the related consolidated statements of income and of cash flows for the fiscal
year ended on such date, reported on by and accompanied by an unqualified report
from Deloitte & Touche LLP, present fairly the consolidated financial
condition of the Borrower and its consolidated Subsidiaries as at such date,
and the consolidated results of its operations and its consolidated cash flows
for the fiscal year then ended.  The
unaudited consolidated balance sheet of the Borrower and its consolidated
Subsidiaries as at September 30, 2006, and the related unaudited consolidated
statements of income and cash flows for the nine-month period ended on such
date, present fairly the consolidated financial condition of the Borrower and
its consolidated Subsidiaries as at such date, and the consolidated results of
its operations and its consolidated cash flows for the nine-month period then
ended (subject to normal year-end audit adjustments).  All such financial statements, including the
related schedules and notes thereto, have been prepared in accordance with GAAP
applied consistently throughout the periods involved (except as approved by the
aforementioned firm of accountants and disclosed therein).  No Group Member has any material Guarantee
Obligations, contingent liabilities and liabilities for taxes, or any long-term
leases or unusual forward or long-term commitments, including any
interest rate or foreign currency swap or exchange transaction or other
obligation in respect of derivatives, that are not reflected in the most recent
financial statements referred to in this paragraph or disclosed in this
Section 5..

5.2  No
Change.  Since December 31, 2005, there has been no development
or event that has had or could reasonably be expected to have a Material
Adverse Effect.

5.3  Corporate
Existence; Compliance with Law.  Each Group Member (a) is
duly organized, validly existing and in good standing under the laws of the
jurisdiction of its organization, (b) has the power and authority, and the
legal right, to own and operate its property, to lease the property it operates
as lessee and to conduct the business in which it is currently engaged,
(c) is duly qualified as a foreign corporation and in good standing under
the laws of each jurisdiction where its ownership, lease or operation of
property or the conduct of its business requires such qualification, except to
the extent that the failure to so qualify could not, individually or in the
aggregate, reasonably be expected to have a Material Adverse Effect and
(d) is in compliance with all Requirements of Law except to the extent
that the failure to comply therewith could not, in the aggregate, reasonably be
expected to have a Material Adverse Effect.

5.4  Power;
Authorization; Enforceable Obligations.  Each Loan Party has the
power and authority, and the legal right, to make, deliver and perform the Loan
Documents to which it is a party and, in the case of the Borrower, to obtain
extensions of credit hereunder.  Each
Loan Party has taken all necessary organizational action to authorize the
execution, delivery and performance of the Loan Documents to which it is a
party and, in the case of the Borrower, to authorize the extensions of credit
on the terms and conditions of this Agreement.

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No consent or authorization of, filing with, notice to or other act by
or in respect of, any Governmental Authority or any other Person is required in
connection with the extensions of credit hereunder or with the execution,
delivery, performance, validity or enforceability of this Agreement or any of
the other Loan Documents, except (i) consents, authorizations, filings and
notices described in Schedule 5.4, which consents, authorizations, filings
and notices have been obtained or made and are in full force and effect and
(ii) the filings referred to in Section 5.19.  Each Loan Document has been duly executed and
delivered on behalf of each Loan Party party thereto.  This Agreement constitutes, and each other
Loan Document upon execution will constitute, a legal, valid and binding
obligation of each Loan Party party thereto, enforceable against each such Loan
Party in accordance with its terms, except as enforceability may be limited by
applicable bankruptcy, insolvency, reorganization, moratorium or similar laws
affecting the enforcement of creditors’ rights generally and by general
equitable principles (whether enforcement is sought by proceedings in equity or
at law).

5.5  No
Legal Bar.  The execution, delivery and performance of this
Agreement and the other Loan Documents, the issuance of Letters of Credit, the
borrowings hereunder and the use of the proceeds thereof will not violate any
Requirement of Law or any Contractual Obligation of any Group Member and will
not result in, or require, the creation or imposition of any Lien on any of
their respective properties or revenues pursuant to any Requirement of Law or
any such Contractual Obligation (other than the Liens created by the Security
Documents).  No Requirement of Law or
Contractual Obligation applicable to the Borrower or any of its Subsidiaries
could reasonably be expected to have a Material Adverse Effect.

5.6  Litigation.  Except
as described on Schedule 5.6, no litigation, investigation or proceeding
of or before any arbitrator or Governmental Authority is pending or, to the
knowledge of the Borrower, threatened by or against any Group Member or against
any of their respective properties or revenues (a) with respect to any of the
Loan Documents or any of the transactions contemplated hereby or thereby, or
(b) that could reasonably be expected to have a Material Adverse Effect.

5.7  No
Default.  No Group Member is in default under or with respect to
any of its Contractual Obligations in any respect that could reasonably be
expected to have a Material Adverse Effect. 
No Default or Event of Default has occurred and is continuing.

5.8  Ownership
of Property; Liens.  Each Group Member has title in fee simple
to, or a valid leasehold interest in, all its real property material to its
business, and, to its knowledge, good title to, or a valid leasehold interest
in, all its other property, and none of such property is subject to any Lien
except as permitted by Section 8.3, and as set forth on Schedule B to
each Title Policy.

5.9  Intellectual
Property.  Each Group Member owns, or is licensed to use, all
material Intellectual Property necessary for the conduct of its business as
currently conducted.  No claim has been
asserted and is pending by any Person challenging or questioning the use of any
Intellectual Property or the validity or effectiveness of any Intellectual
Property, nor does the Borrower know of any valid basis for any such claim,
except such claims that, individually or in the aggregate, could not reasonably
be expected to have a Material Adverse Effect. 
To the

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knowledge of the Borrower, the use of Intellectual Property by each
Group Member does not infringe on the rights of any Person in any material
respect.

5.10  Taxes.  Each
Group Member has filed or caused to be filed all Federal, state and other
material tax returns that are required to be filed and has paid all taxes shown
to be due and payable on said returns or on any assessments made against it or
any of its property and all other taxes, fees or other charges imposed on it or
any of its property by any Governmental Authority which have become due and
payable (other than any taxes the amount or validity of which are currently
being contested in good faith by appropriate proceedings and with respect to
which reserves in conformity with GAAP have been provided on the books of the
relevant Group Member); no tax Lien has been filed, and, to the knowledge of
the Borrower, no claim is being asserted, with respect to any such tax, fee or
other charge.

5.11  Federal
Regulations.  No part of the proceeds of any Loans, and no other
extensions of credit hereunder, will be used for “buying” or “carrying” any “margin
stock” within the respective meanings of each of the quoted terms under
Regulation U as now and from time to time hereafter in effect or for any
purpose that violates the provisions of the Regulations of the Board.  If requested by any Lender or the
Administrative Agent, the Borrower will furnish to the Administrative Agent and
each Lender a statement to the foregoing effect in conformity with the
requirements of FR Form G-3 or FR Form U-1, as applicable, referred
to in Regulation U.

5.12  Labor
Matters.  Except as, in the aggregate, could not reasonably be expected
to have a Material Adverse Effect: 
(a) there are no strikes or other labor disputes against any Group
Member pending or, to the knowledge of the Borrower, threatened; (b) hours
worked by and payment made to employees each Group Member have not been in
violation of the Fair Labor Standards Act or any other applicable Requirement
of Law dealing with such matters; and (c) all payments due from any Group
Member on account of employee health and welfare insurance have been paid or
accrued as a liability on the books of the relevant Group Member.

5.13  ERISA.  Except
as, in the aggregate, could not reasonably be expected to have a Material
Adverse Effect:  (a) neither a Reportable
Event nor an “accumulated funding deficiency” (within the meaning of Section 412
of the Code or Section 302 of ERISA) has occurred during the five-year
period prior to the date on which this representation is made or deemed made
with respect to any Plan, and each Plan has complied in all material respects
with the applicable provisions of ERISA and the Code; (b) no termination of a
Single Employer Plan has occurred, and no Lien in favor of the PBGC or a Plan
has arisen, during such five-year period that would result in a material
liability; (c) the present value of all accrued benefits under each Single
Employer Plan (based on those assumptions used to fund such Plans) did not, as
of the last annual valuation date prior to the date on which this
representation is made or deemed made, exceed the value of the assets of such
Plan allocable to such accrued benefits by a material amount in relation to the
business of the Borrower; (d) neither the Borrower nor any Commonly Controlled
Entity has had a complete or partial withdrawal from any Multiemployer Plan
that has resulted or could reasonably be expected to result in a material
liability under ERISA; and (e) no such Multiemployer Plan is in Reorganization
or Insolvent.

 62
 

5.14  Investment
Company Act; Public Utility Holding Company Act; Other Regulations.  No
Loan Party is (a) an “investment company”, or a company “controlled” by an “investment
company”, within the meaning of the Investment Company Act of 1940, as amended
or (b) a “holding company” as defined in, or subject to regulation under,
the Public Utility Holding Company Act of 1935. 
No Loan Party is subject to regulation under any Requirement of Law
(other than Regulation X of the Board) that limits its ability to incur
Indebtedness.

5.15  Subsidiaries.  Except
as disclosed to the Administrative Agent by the Borrower in writing from time
to time after the Restatement Effective Date, (a) Schedule 5.15(a)
sets forth the name and jurisdiction of incorporation of each Subsidiary and,
as to each such Subsidiary, the percentage of each class of Capital Stock owned
by any Loan Party and (b) there are no outstanding subscriptions, options,
warrants, calls, rights or other agreements or commitments (other than stock
options or other equity granted to employees, directors or other persons and
directors’ qualifying shares) of any nature relating to any Capital Stock of
the Borrower or any Subsidiary, except as created by the Loan Documents or, as
of the Restatement Effective Date, except as disclosed on
Schedule 5.15(b).

5.16 
[Reserved]

5.17  Environmental
Matters.  Except as, in the aggregate, could not reasonably be
expected to have a Material Adverse Effect:

(a) the
facilities and properties currently owned, leased or operated by any Group
Member (the “Subject Properties”) and, to the knowledge of the Borrower,
the facilities and properties formerly owned, leased or operated by any Group
Member do not contain, and have not previously contained, any Materials of
Environmental Concern in amounts or concentrations or under circumstances that
constitute or constituted a violation of, or could reasonably be expected to
give rise to liability under, any applicable Environmental Law;

(b) no Group
Member has received any written notice of, or is aware of, any violation,
alleged violation or non-compliance, request for information, claim or demand
liability or potential liability arising under or relating to any Environmental
Laws involving any Group Member (the “Business”), nor does the Borrower
have knowledge or reason to believe that any such notice will be received or is
being threatened;

(c) Materials
of Environmental Concern have not been transported or disposed of from the
Subject Properties in violation of, or in a manner or to a location that could
reasonably be expected to give rise to liability under, any applicable
Environmental Law, nor have any Materials of Environmental Concern been
generated, treated, stored or disposed of at, on or under any of the Subject
Properties in violation of, or in a manner that could reasonably be expected to
give rise to liability under, any applicable Environmental Law;

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(d) no
judicial proceeding or governmental or administrative action is pending or, to
the knowledge of the Borrower, threatened, under any Environmental Law nor are
there any consent decrees or other decrees, consent orders, administrative
orders or other orders, or other administrative or judicial requirements
outstanding under any Environmental Law in either case, as to which any Group
Member is or, to the knowledge of the Borrower, will be named as a party;

(e) there has
been no release or threat of release of Materials of Environmental Concern at
or from the Subject Properties, or arising from or related to the operations of
any Group Member in connection with the Subject Properties or otherwise in
connection with the Business, in violation of or in amounts or in a manner that
could reasonably be expected to give rise to liability under any applicable
Environmental Laws;

(f) the
Subject Properties and all operations at the Subject Properties are in
compliance, and have in the last five years been in compliance, with all
applicable Environmental Laws, and there is no violation of any applicable
Environmental Law with respect to the Subject Properties or the Business; and

(g) no Group
Member has assumed or retained any liability of any other Person under
Environmental Laws.

5.18  Accuracy
of Information, etc.    No
statement or information contained in this Agreement, any other Loan Document,
the Confidential Information Memorandum or any other document, certificate or
statement furnished by or on behalf of any Loan Party to the Administrative
Agent or the Lenders, or any of them, for use in connection with the
transactions contemplated by this Agreement or the other Loan Documents,
contained as of the date such statement, information, document or certificate
was so furnished (or, in the case of the Confidential Information Memorandum,
as of the date of this Agreement), any untrue statement of a material fact or
omitted to state a material fact necessary to make the statements contained
herein or therein not misleading.  The
projections contained in the materials referenced above are based upon good
faith estimates and assumptions believed by management of the Borrower to be
reasonable at the time made, it being recognized by the Lenders that such
financial information as it relates to future events is not to be viewed as
fact and that actual results during the period or periods covered by such
financial information may differ from the projected results set forth therein
by a material amount.  There is no fact
known to any Loan Party that could reasonably be expected to have a Material
Adverse Effect that has not been expressly disclosed herein, in the other Loan
Documents, in the Confidential Information Memorandum or in any other
documents, certificates and statements furnished to the Administrative Agent
and the Lenders for use in connection with the transactions contemplated hereby
and by the other Loan Documents.

5.19  Security
Documents.  (a)   The Guarantee and Collateral Agreement is
effective to create in favor of the Administrative Agent, for the benefit of
the Lenders, a legal, valid and enforceable security interest in the Collateral
described therein and proceeds thereof. 
In the case of the Pledged Stock described in the Guarantee and
Collateral Agreement, when stock certificates representing such Pledged Stock
have been delivered to the Administrative Agent, together with proper
endorsements executed in blank and such other action has been

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taken with respect to Pledged Stock of Foreign Subsidiaries as
specified in the Guarantee and Collateral Agreement, and in the case of the
other Collateral described in the Guarantee and Collateral Agreement, when
financing statements specified on Schedule 5.19(a) have been filed in the
offices specified on Schedule 5.19(a), the Guarantee and Collateral
Agreement constitutes a fully perfected Lien on, and security interest in, all
right, title and interest of the Loan Parties in such Collateral and the
proceeds thereof, as security for the Obligations (as defined in the Guarantee
and Collateral Agreement), in each case prior and superior in right to any
other Person (except, in the case of Collateral other than Pledged Stock, Liens
permitted by Section 8.3).

(b)   Each Mortgage is effective to create in favor
of the Administrative Agent, for the benefit of the Lenders (as defined in the
Guarantee and Collateral Agreement), a legal, valid and enforceable Lien on the
Mortgaged Properties described therein and proceeds thereof, and when the
Mortgages are filed in the offices specified on Schedule 5.19(b), such
Mortgages shall constitute a fully perfected Lien on, and security interest in,
all right, title and interest of the Loan Parties in such Mortgaged Properties
and the proceeds thereof, as security for the Obligations (as defined in the
relevant Mortgage), in each case prior and superior in right to any other
Person, subject to the exceptions set forth on Schedule B to the applicable
Title Policy and the Liens permitted under Section 8.3.  Schedule 1.1(a) lists each parcel of
real property in the United States owned in fee simple by the Borrower or any
of its Subsidiaries as of the Effective Date.

5.20  Solvency.  Each
Loan Party is, and after giving effect to the Restatement Transactions and the
incurrence of all Indebtedness and obligations being incurred in connection
herewith and therewith will be and will continue to be, Solvent.

5.21  Senior
Indebtedness.  The Obligations (x) constitute “Senior Debt”
and “Designated Senior Debt” of the Borrower under and as defined in each
Senior Subordinated Securities Indenture and (y) are the only existing “Designated
Senior Debt” under each Senior Subordinated Securities Indenture.  The obligations of each Subsidiary Guarantor
under the Guarantee and Collateral Agreement constitute “Guarantor Senior
Debt” of such Subsidiary Guarantor under and as defined in each Senior
Subordinated Securities Indenture.

5.22  Regulation H.  As
of the Restatement Effective Date, except as specified on Schedule 5.22,
no Mortgage encumbers improved real property that is located in an area that
has been identified by the Secretary of Housing and Urban Development as an
area having special flood hazards and in which flood insurance has been made available
under the National Flood Insurance Act of 1968.

5.23  Material
Contracts.  (a)   As of the Restatement Effective Date,
(i) each Material Contract is in full force and effect and is a legal,
valid and binding obligation of each party thereto enforceable in accordance
with its terms and (ii) no Group Member is in default of any material
provision of any Material Contract.

(b)   To the best knowledge of the Borrower,
(i) there has been no default, breach or other violation of any Material
Contract and (ii) no Governmental Authority has any basis for terminating
any Material Contract other than customary termination provisions relating to

 65
 

convenience and other similar provisions, except, in each case, as
could not reasonably be expected to have a Material Adverse Effect.

(c)   To the best knowledge of the Borrower, no
Governmental Authority has delivered notice of or otherwise demonstrated its
intention to exercise its option to terminate a Material Contract on the basis
of clause (b)(ii) above between itself and any of the Group Members,
except for any such terminations that, in the aggregate, could not reasonably
be expected to have a Material Adverse Effect.

(d)   Schedule 5.23 sets forth each material
contract between any Group Member and any Governmental Authority in effect on
the Effective Date.

5.24  Insurance.  Schedule 5.24
sets forth a description of all material insurance maintained by or on behalf
of the Borrower and the Subsidiary Guarantors as of the Effective Date.  As of the Restatement Effective Date, all
premiums due and payable in respect of such insurance have been paid.  The Borrower reasonably believes that the
insurance maintained by or on behalf of the Borrower and its Subsidiaries is
adequate.

SECTION 6.   CONDITIONS PRECEDENT

6.1  Conditions
to Initial Extension of Credit.  [Intentionally Omitted].

6.2  Conditions
to Each Extension of Credit.  The agreement of each Lender to
make any extension of credit requested to be made by it on any date (including
its initial extension of credit) is subject to the satisfaction of the
following conditions precedent:

(a)   Representations and Warranties.  Each of the representations and warranties
made by any Loan Party in or pursuant to the Loan Documents shall be true and
correct on and as of such date as if made on and as of such date.

(b)   No Default.  No Default or Event of Default shall have
occurred and be continuing on such date or after giving effect to the
extensions of credit requested to be made on such date.

Each borrowing by and issuance of a Letter of Credit
for the account of the Borrower hereunder shall constitute a representation and
warranty by the Borrower as of the date of such extension of credit that the
conditions contained in this Section 6.2 have been satisfied.

SECTION 7.   AFFIRMATIVE COVENANTS

The Borrower hereby agrees that, so long as the
Commitments remain in effect, any Letter of Credit remains outstanding or any
Loan or other amount is owing to any Lender or Agent hereunder, the Borrower
shall and shall cause each of its Subsidiaries to:

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7.1  Financial
Statements.  Furnish to the Administrative Agent for distribution
to each Lender:

(a) as soon as
available, but in any event within 90 days after the end of each fiscal
year of the Borrower, a copy of the audited consolidated balance sheet of the
Borrower and its consolidated Subsidiaries as at the end of such year and the
related audited consolidated statements of income and of cash flows for such
year, setting forth in each case in comparative form the figures for the
previous year, reported on without a “going concern” or like qualification or
exception, or qualification arising out of the scope of the audit, by Deloitte
& Touche LLP or other independent certified public accountants of
nationally recognized standing; and

(b) as soon as
available, but in any event not later than 45 days after the end of each
of the first three quarterly periods of each fiscal year of the Borrower, the
unaudited consolidated balance sheet of the Borrower and its consolidated
Subsidiaries as at the end of such quarter and the related unaudited
consolidated statements of income and of cash flows for such quarter and the
portion of the fiscal year through the end of such quarter, setting forth in
each case in comparative form the figures for the previous year, certified by a
Responsible Officer as being fairly stated in all material respects (subject to
normal year-end audit adjustments).

All such financial statements shall be complete and
correct in all material respects and shall be prepared in reasonable detail and
in accordance with GAAP.

7.2  Certificates;
Other Information.  Furnish to the Administrative Agent for
distribution to each Lender (or, in the case of clause (h), to the
relevant Lender):

(a)
concurrently with the delivery of the financial statements referred to in
Section 7.1(a), a certificate of the independent certified public
accountants reporting on such financial statements stating that in making the
examination necessary therefor no knowledge was obtained of any Default or
Event of Default, except as specified in such certificate;

(b)
concurrently with the delivery of any financial statements pursuant to
Section 7.1, (i) a certificate of a Responsible Officer stating that,
to the best of each such Responsible Officer’s knowledge, each Loan Party
during such period has observed or performed all of its covenants and other
agreements, and satisfied every condition, contained in this Agreement and the
other Loan Documents to which it is a party to be observed, performed or
satisfied by it, and that such Responsible Officer has obtained no knowledge of
any Default or Event of Default except as specified in such certificate and
(ii) a Compliance Certificate containing all information and calculations necessary
for determining, on a consolidated basis, compliance by all Group Members with
the provisions of this Agreement referred to therein as of the last day of the
fiscal quarter or fiscal year of the Borrower, as the case may be, and, if
applicable, for determining the Applicable Margins;

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(c) as soon as
available, and in any event no later than 45 days after the end of each
fiscal year of the Borrower, a detailed consolidated budget for the following
fiscal year (including a projected consolidated balance sheet of the Borrower
and its Subsidiaries as of the end of the following fiscal year, the related
consolidated statements of projected cash flow, projected changes in financial
position and projected income and a description of the underlying assumptions applicable
thereto) (collectively, the “Projections”), which Projections shall in
each case be accompanied by a certificate of a Responsible Officer stating that
such Projections are based on reasonable estimates, information and assumptions
and that such Responsible Officer has no reason to believe that such
Projections are incorrect in any material respect in light of the circumstances
under which such estimates and assumptions were made;

(d) if at any
time the Borrower is not required to file periodic reports with the SEC
pursuant to Section 13 or 15(d) of the Exchange Act, within 90 days
after the end of each fiscal year of the Borrower and within 45 days after
the end of each other fiscal quarter of the Borrower, a narrative discussion and
analysis of the financial condition and results of operations of the Borrower
and its Subsidiaries for such fiscal quarter and for the period from the
beginning of the then current fiscal year to the end of such fiscal quarter, as
compared to the comparable periods of the previous year;

(e) no later
than ten Business Days prior to the effectiveness thereof, copies of
substantially final drafts of any proposed amendment, supplement, waiver or
other modification with respect to any Senior Subordinated Securities Indenture;

(f) within
five days after the same are sent, copies of all financial statements and
reports that the Borrower sends to the holders of any class of its debt
securities or public equity securities and, within five days after the same are
filed, copies of all financial statements and reports the Borrower may make to,
or file with, the SEC;

(g) if any
Subsidiary organized under the laws of any jurisdiction within the United
States becomes directly owned by a Foreign Subsidiary, prompt notice thereof,
including whether such Subsidiary is to be treated as a Foreign Subsidiary in
accordance with the proviso to the definition of the term “Domestic Subsidiary”;
and

(h) promptly,
such additional financial and other information as any Lender through the
Administrative Agent may from time to time reasonably request.

7.3  Payment
of Obligations.  Pay, discharge or otherwise satisfy at or before
maturity or before they become delinquent, as the case may be, all its material
obligations of whatever nature (including, for the avoidance of doubt, any tax
obligations), except where the amount or validity thereof is currently being
contested in good faith by appropriate proceedings and reserves in conformity
with GAAP with respect thereto have been provided on the books of the relevant
Group Member.

7.4  Maintenance
of Existence; Compliance.  (a)  (i)  Preserve, renew and keep in
full force and effect its corporate existence and (ii) take all reasonable
action to maintain all

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rights, privileges and franchises necessary or desirable in the normal
conduct of its business, except, in each case, as otherwise permitted by
Section 8.4 and except, in the case of clause (ii) above, to the
extent that failure to do so could not reasonably be expected to have a Material
Adverse Effect; and (b) comply with all Contractual Obligations and
Requirements of Law except to the extent that failure to comply therewith could
not, in the aggregate, reasonably be expected to have a Material Adverse
Effect.

7.5  Maintenance
of Property; Insurance.  (a)   Keep all Property material to the conduct of
its business in good working order and condition, ordinary wear and tear
excepted and (b) maintain with financially sound and reputable insurance
companies insurance on all its property in at least such amounts and against at
least such risks (but including in any event public liability, product
liability and business interruption) as are usually insured against in the same
general area by companies engaged in the same or a similar business.

7.6  Inspection
of Property; Books and Records; Discussions.  (a)  
Keep proper books of records and account in which full, true and correct
entries in conformity with GAAP and all material Requirements of Law shall be
made of all dealings and transactions in relation to its business and
activities and (b) permit representatives of any Lender to visit and
inspect any of its properties and examine and make abstracts from any of its
books and records at any reasonable time during regular business hours upon
reasonable notice and as often as may reasonably be desired and to discuss the
business, operations, properties and financial and other condition of the Group
Members with responsible officers of the Group Members and with their
independent certified public accountants; provided that, so long as no
Default or Event of Default has occurred and is continuing, such visits,
inspections and examinations by any such Lender shall be coordinated through
the Administrative Agent and shall not exceed two visits each year.

7.7  Notices.  Promptly
give notice to the Administrative Agent and each Lender of:

(a) the
occurrence of any Default or Event of Default;

(b) any
(i) default or event of default under any Contractual Obligation of any
Group Member of which any Group Member has knowledge or notice or
(ii) litigation, request for information, investigation or proceeding that
may exist at any time between any Group Member and any Governmental Authority
of which any Group Member has knowledge or notice, which in either case, if not
cured or if adversely determined, as the case may be, could reasonably be
expected to have a Material Adverse Effect;

(c) any
litigation or proceeding affecting any Group Member of which any Group Member
has knowledge or notice (i) in which the amount involved is $2,000,000 or
more and not covered by insurance, (ii) in which injunctive or similar
relief is sought, which, if adversely determined, could reasonably be expected
to have a Material Adverse Effect or (iii) which relates to any Loan
Document;

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(d) the
following events, as soon as possible and in any event within 30 days
after the Borrower knows thereof: 
(i) the occurrence of any Reportable Event with respect to any
Single Employer Plan or a Multiemployer Plan, a failure to make any required
contribution to a Plan, the creation of any Lien in favor of the PBGC or a Plan
or any withdrawal from, or the termination, Reorganization or Insolvency of,
any Multiemployer Plan, in each case, if the Borrower would reasonably be
expected to incur any material liabilities as a result of such event or
(ii) the institution of proceedings or the taking of any other action by
the PBGC or the Borrower or any Commonly Controlled Entity or any Multiemployer
Plan with respect to the withdrawal from, or the termination, Reorganization or
Insolvency of, any Plan if the Borrower could reasonably be expected to incur
any material liabilities as a result of any such event; and

(e) any
development or event that has had or could reasonably be expected to have a
Material Adverse Effect.

Each notice pursuant to this Section 7.7 shall be
accompanied by a statement of a Responsible Officer setting forth details of
the occurrence referred to therein and stating what action the Borrower or the
relevant Subsidiary proposes to take with respect thereto.

7.8  Environmental
Laws.  (a)   Comply in all material respects with, and
use reasonable efforts to ensure compliance in all material respects by all
tenants and subtenants, if any, with, all applicable Environmental Laws, and to
obtain and comply in all material respects with and maintain, and use
reasonable efforts to ensure that all tenants and subtenants obtain and comply
in all material respects with and maintain, any and all licenses, approvals,
notifications, registrations or permits required by applicable Environmental
Laws.

(b)   Conduct and complete all investigations,
studies, sampling and testing, and all response, monitoring, remedial, removal
and other actions required under applicable Environmental Laws and promptly
comply in all respects with all orders and directives of all Governmental
Authorities regarding Environmental Laws; provided, however, that
the Borrower shall not be deemed in violation of this clause (b) if it
promptly challenges any such order or directive of any Governmental Authorities
in a manner consistent with Environmental Laws and pursues such challenge or
challenges diligently and the pendency of such challenges, in the aggregate,
could not reasonably be expected to have a Material Adverse Effect.

(c)   Generate, use, treat, store, release, dispose
of, and otherwise manage Materials of Environmental Concern in a manner that
would not reasonably be expected to result in a material liability to, or to
materially affect any real property owned, leased or operated by, any Group
Member; and take reasonable efforts to prevent any other person from
generating, using, treating, storing, releasing, disposing of, or otherwise
managing Hazardous Materials in a manner that could reasonably be expected to
result in a material liability to, or materially affect any real property owned
or operated by, any Group Member or any offsite location to which any Group
Member sent Materials of Environmental Concern for disposal or treatment.

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7.9  Additional
Collateral, etc.  (a)   With respect to any property acquired after
the Effective Date by the Borrower or any Subsidiary Guarantor (other than
(x) any property described in paragraph (b), (c), (d), or (e) below,
and (y) any property subject to a Lien expressly permitted by
Section 8.3(m) or 8.3(p) as to which the Administrative Agent, for the
benefit of the Lenders, does not have a perfected Lien, promptly
(i) execute and deliver to the Administrative Agent such amendments to the
Guarantee and Collateral Agreement or such other documents as the
Administrative Agent reasonably deems necessary or advisable to grant to the
Administrative Agent, for the benefit of the Lenders, a security interest in
such property and (ii) take all actions necessary or advisable to grant to
the Administrative Agent, for the benefit of the Lenders, a perfected first
priority security interest in such property, including the filing of Uniform
Commercial Code financing statements in such jurisdictions reasonably as may be
required by the Guarantee and Collateral Agreement or by law or as may be
requested by the Administrative Agent.

(b)   With respect to any fee interest in any real
property having a value (together with improvements thereof) of at least
$500,000 acquired after the Effective Date by the Borrower or any Subsidiary
Guarantor (other than any such real property subject to a Lien expressly
permitted by Section 8.3(m)), including any such real property owned by a
new Subsidiary at the time it becomes subject to the requirements of
Section 7.9(c) below, promptly (i) execute and deliver a first
priority Mortgage, in favor of the Administrative Agent, for the benefit of the
Lenders, covering such real property, (ii) if requested by the
Administrative Agent, provide the Lenders with (x) title insurance
covering such real property in an amount at least equal to the purchase price
of such real property (or such other amount as shall be reasonably specified by
the Administrative Agent) as well as a current ALTA survey thereof, together
with a surveyor’s certificate and (y) any consents or estoppels reasonably
deemed necessary or advisable by the Administrative Agent in connection with
such Mortgage, each of the foregoing in form and substance reasonably
satisfactory to the Administrative Agent and (iii) if requested by the
Administrative Agent, deliver to the Administrative Agent legal opinions
relating to the matters described above, which opinions shall be in form and
substance, and from counsel, reasonably satisfactory to the Administrative
Agent.

(c)   With respect to any new Subsidiary (other than
a Foreign Subsidiary or a non-Wholly Owned Subsidiary) created or acquired
after the Effective Date (which, for the purposes of this paragraph (c),
shall include (A) any existing Subsidiary that ceases to be a Foreign
Subsidiary, (B) any non-Wholly Owned Subsidiary that becomes a Wholly
Owned Subsidiary and (C) any Foreign Subsidiary or non-Wholly Owned
Subsidiary that provides a guarantee of any Indebtedness (other than the Loans)
of the Borrower or any Subsidiary Guarantor that is a Domestic Subsidiary if
the aggregate principal amount of all such Indebtedness of the Borrower and
such Subsidiary Guarantors guaranteed by such Subsidiary exceeds $5,000,000),
promptly (i) execute and deliver to the Administrative Agent such
amendments or supplements to the Guarantee and Collateral Agreement as the
Administrative Agent deems necessary or advisable to grant to the
Administrative Agent, for the benefit of the Lenders, a perfected first priority
security interest in the Capital Stock of such new Subsidiary that is owned by
the Borrower or any Subsidiary Guarantor, (ii) deliver to the
Administrative Agent the certificates representing such Capital Stock, together
with undated stock powers, in

 71

blank, executed and delivered by a duly authorized officer of the
relevant Group Member or take such other action with respect to Pledged Stock
of Foreign Subsidiaries necessary to perfect the first priority security
interest of the Administrative Agent in such Pledged Stock, (iii) cause
such new Subsidiary (A) to become a party to the Guarantee and Collateral
Agreement, (B) to take such actions necessary or advisable to grant to the
Administrative Agent for the benefit of the Lenders a perfected first priority
security interest in the Collateral described in the Guarantee and Collateral
Agreement owned by such new Subsidiary, including the filing of Uniform
Commercial Code financing statements in such jurisdictions as may be required
by the Guarantee and Collateral Agreement or by law or as may be requested by
the Administrative Agent and (C) to deliver to the Administrative Agent a
certificate of such Subsidiary, substantially in the form of Exhibit C,
with appropriate insertions and attachments, and (iv) if requested by the
Administrative Agent, deliver to the Administrative Agent legal opinions
relating to the matters described above, which opinions shall be in form and
substance, and from counsel, reasonably satisfactory to the Administrative
Agent.

(d)   With respect to any Domestic Subsidiary that
does not become a Subsidiary Guarantor pursuant to Section 7.9(c), promptly
(i) execute and deliver to the Administrative Agent such amendments or
supplements to the Guarantee and Collateral Agreement as the Administrative
Agent deems necessary or advisable to grant to the Administrative Agent, for
the benefit of the Lenders, a perfected first priority security interest in the
Capital Stock of such Subsidiary that is owned by the Borrower or any
Subsidiary Guarantor, (ii) deliver to the Administrative Agent the
certificates representing such Capital Stock, together with undated stock
powers, in blank, executed and delivered by a duly authorized officer of the
relevant Group Member, as the case may be, and take such other action as may be
necessary or, in the opinion of the Administrative Agent, desirable to perfect
the Administrative Agent’s security interest therein, and (iii) if
requested by the Administrative Agent, deliver to the Administrative Agent
legal opinions relating to the matters described above, which opinions shall be
in form and substance, and from counsel, reasonably satisfactory to the
Administrative Agent.

(e)   With respect to any Foreign Subsidiary,
promptly (i) execute and deliver to the Administrative Agent such
amendments or supplements to the Guarantee and Collateral Agreement as the
Administrative Agent deems necessary or advisable to grant to the
Administrative Agent, for the benefit of the Lenders, a perfected first
priority security interest in the Capital Stock of such Subsidiary that is
directly owned by the Borrower or any Subsidiary Guarantor (provided
that in no event shall more than 65% of the total outstanding voting Capital
Stock of any such Subsidiary be required to be so pledged), (ii) deliver
to the Administrative Agent the certificates representing such Capital Stock,
together with undated stock powers, in blank, executed and delivered by a duly
authorized officer of the Borrower or relevant Subsidiary Guarantor, or take
such other action with respect to Pledged Stock of Foreign Subsidiaries
necessary to perfect the first priority security interest of the Administrative
Agent in such Pledged Stock, as the case may be, and take such other action as
may be necessary or, in the reasonable opinion of the Administrative Agent,
desirable to perfect the Administrative Agent’s security interest therein, and
(iii) if requested by the Administrative Agent, deliver to the
Administrative Agent legal opinions relating to the matters described above,
which opinions

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shall be in form and substance, and from counsel, reasonably
satisfactory to the Administrative Agent.

(f)   With respect to any Intellectual Property,
acquired by the Borrower or any Subsidiary Guarantor that is not identified on
the Perfection Certificate delivered on the Effective Date, promptly
(i) notify the Administrative Agent of such Intellectual Property,
(ii) execute and deliver to the Administrative Agent such amendments or
supplements to the Guarantee and Collateral Agreement or such other documents
as shall be necessary or as the Administrative Agent reasonably requests to
grant to the Administrative Agent, for the benefit of the Lenders, a security
interest in such Intellectual Property and (iii) take all actions necessary
or reasonably requested by the Administrative Agent to perfect a first priority
security interest in such Intellectual Property.

7.10  Further
Assurances.  From time to time execute and deliver, or cause to
be executed and delivered, such additional instruments, certificates or
documents, and take all such actions, as the Administrative Agent may
reasonably request for the purposes of implementing or effectuating the
provisions of this Agreement and the other Loan Documents, or of more fully
perfecting or renewing the rights of the Administrative Agent and the Lenders
with respect to the Collateral (or with respect to any additions thereto or
replacements or proceeds thereof or with respect to any other property or
assets hereafter acquired by the Borrower or any Subsidiary which may be deemed
to be part of the Collateral) pursuant hereto or thereto.  Upon the exercise by the Administrative Agent
or any Lender of any power, right, privilege or remedy pursuant to this
Agreement or the other Loan Documents which requires any consent, approval,
recording qualification or authorization of any Governmental Authority, the
Borrower will execute and deliver, or will cause the execution and delivery of,
all applications, certifications, instruments and other documents and papers
that the Administrative Agent or such Lenders may be required to obtain from
the Borrower or any of its Subsidiaries for such governmental consent,
approval, recording, qualification or authorization.

7.11  Use
of Proceeds.  Use the proceeds of the
Loans (other than Tranche C Term Loans, the Tranche D Term Loans and the
Tranche E Term Loans), together with the proceeds of the issuance of the Senior
Subordinated Notes and the Convertible Senior Subordinated Debentures, to
finance the Tender Offer and the payments to be made in respect of the
Convertible Debentures Options Transactions, to repay amounts owing under the
Prior Credit Agreement, to pay fees and expenses related to the Transactions
and for general corporate purposes of the Borrower and its Subsidiaries,
including repurchases of the Capital Stock of the Borrower permitted pursuant
to Section 8.6(b); provided that no more than $50,000,000 of the
proceeds of the Revolving Loans shall be used to finance the Tender Offer and
the payments to be made in respect of the Convertible Debentures Options
Transactions, to repay amounts owing under the Prior Credit Agreement and to
pay fees and expenses related to the Transactions.  Use the proceeds of the Tranche C Term
Loans to finance the 2006 Acquisitions and otherwise for general corporate
purposes. Use the proceeds of the Tranche D Term Loans to repay the
Tranche B Term Loans (as defined in the 2004 Credit Agreement), to pay related
costs and expenses and for general corporate purposes, including repaying
Revolving Loans. Use the proceeds of the Tranche E Term Loans to prepay
Revolving Loans, to pay related costs and expenses and for 

 73
 

general corporate purposes.  Use
the Letters of Credit to support obligations incurred by the Borrower and its
Subsidiaries for general corporate purposes.

7.12  [Intentionally
Omitted].

7.13  Acknowledgement
and Consent.  The Borrower will use
best efforts to cause each Issuer (as defined in the Collateral and Guarantee
Agreement), if any, that is not a Loan Party to execute and deliver to the
Administrative Agent, within 30 days after the Effective Date, an
Acknowledgment and Consent in the form attached to the Guarantee and Collateral
Agreement.

7.14  Lease Amendment.  The Borrower will use commercially reasonable
efforts to deliver to the Administrative Agent, within 90 days after the
Effective Date, an amendment to the Lease Agreement dated as of August 1, 2004
by and between the Development Authority of Forsyth County and Scientific Games
International, Inc., providing the Administrative Agent with the lender
protections set forth in Section 10.3 of such Lease Agreement.

SECTION 8.   NEGATIVE COVENANTS

The Borrower hereby agrees that, so long as the
Commitments remain in effect, any Letter of Credit remains outstanding or any
Loan or other amount is owing to any Lender or Agent hereunder, the Borrower
shall not, and shall not permit any of its Subsidiaries to, directly or
indirectly:

8.1  Financial
Condition Covenants.

(a)  Consolidated
Leverage Ratio.  Permit the
Consolidated Leverage Ratio as at the last day of any fiscal quarter of the
Borrower to exceed the ratio set forth below with respect to such fiscal
quarter or with respect to the period during which such fiscal quarter ends:

	
  Fiscal Quarter Ending

  	
   

  	
  Ratio

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  December 31,
  2006

  	
   

  	
  3.75 to 1.00

  	
   

  
	
  March 31, 2007 

  	
   

  	
  4.30 to 1.00 

  	
   

  
	
  June 30, 2007
  through September 30, 2007 

  	
   

  	
  4.25 to 1.00 

  	
   

  
	
  October 1, 2007
  through September 30, 2008

  	
   

  	
  4.00 to 1.00

  	
   

  
	
  October 1, 2008 through
  September 30, 2009

  	
   

  	
  3.85 to 1.00

  	
   

  

 

(b)  [Intentionally
Omitted]

(c)  Consolidated
Senior Debt Ratio.  Permit the
Consolidated Senior Debt Ratio as at (i) the last day of the fiscal quarter of
the Borrower ended December 31, 2006 to exceed 2.50 to 1.00, (ii) the last day
of the fiscal quarter of the Borrower ending March 31, 2007 to exceed 2.6 to
1.00 and (iii) the last day of any fiscal quarter of the Borrower ended
thereafter to exceed 2.50 to 1.00.

 74
 

(d)  Consolidated
Interest Coverage Ratio.  Permit the
Consolidated Interest Coverage Ratio for any period of four consecutive fiscal
quarters of the Borrower to be less than 3.50 to 1.00.

8.2  Indebtedness.  Create,
issue, incur, assume, become liable in respect of or suffer to exist any
Indebtedness, except:

(a)
Indebtedness of any Loan Party pursuant to any Loan Document;

(b)
Indebtedness (i) of the Borrower to any Subsidiary, (ii) of any
Subsidiary Guarantor to the Borrower or any other Subsidiary, (iii) of any
Non-Guarantor Subsidiary to any other Non-Guarantor Subsidiary and
(iv) subject to Section 8.8(j), of any Non-Guarantor Subsidiary to
the Borrower or any Subsidiary Guarantor;

(c) Guarantee
Obligations incurred in the ordinary course of business by the Borrower or any
of its Subsidiaries of obligations of the Borrower, any Subsidiary Guarantor
and, subject to Section 8.8(j), of any Non-Guarantor Subsidiary;

(d)
Indebtedness outstanding on the Second Restatement Effective Date and listed on
Schedule 8.2(d) and any refinancings, refundings, renewals or extensions
thereof (without increasing the principal amount thereof, shortening the
maturity thereof or decreasing the weighted average life thereof);

(e)
Indebtedness of the Borrower or any Subsidiary incurred to finance the
acquisition, construction or improvement by it of any fixed or capital assets
in the ordinary course of business, including Capital Lease Obligations and any
Indebtedness assumed in connection with the acquisition of any such assets or
secured by a Lien on any such assets prior to the acquisition thereof, and
extensions, renewals and replacements of any such Indebtedness that do not
increase the outstanding principal amount thereof or result in an earlier
maturity date or decreased weighted average life thereof; provided that
(A) such Indebtedness is incurred prior to or within 90 days after such
acquisition or the completion of such construction or improvement and (B) the
aggregate principal amount of Indebtedness permitted by this clause 8.2(e)
shall not exceed $50,000,000 at any time outstanding;

(f)
(i) Indebtedness of the Borrower in respect of (x) the Senior
Subordinated Notes in an aggregate principal amount not to exceed the principal
amount thereof initially issued less the principal amount thereof repurchased or
redeemed in accordance with this Agreement, (y) the Convertible Senior
Subordinated Debentures in an aggregate principal amount not to exceed the
principal amount thereof initially issued (including pursuant to any exercise
of the “green shoe” option granted to the underwriters thereof in connection
with such initial issuance) less the principal amount thereof repurchased or
redeemed in accordance with this Agreement and (z) the Existing
Subordinated Notes in an aggregate principal amount not to exceed the aggregate
principal amount outstanding after giving effect to the repurchase pursuant to
the Tender Offer on the Effective Date less the principal amount thereof
subsequently repurchased or redeemed in accordance

 75
 

with this
Agreement and (ii) Guarantee Obligations of any Subsidiary Guarantor in
respect of such Indebtedness, provided that such Guarantee Obligations
are subordinated to the same extent as the obligations of the Borrower in
respect of the related Senior Subordinated Securities;

(g) additional
Indebtedness of the Borrower or any of the Subsidiary Guarantors in an
aggregate principal amount (for the Borrower and all Subsidiary Guarantors) not
to exceed $50,000,000 at any one time outstanding;

(h) additional
Indebtedness of Non-Guarantor Subsidiaries in an aggregate principal amount
(for all such Subsidiaries) not to exceed $50,000,000 at any one time
outstanding, provided that, any such Indebtedness is non-recourse to the
Borrower and the Subsidiary Guarantors;

(i)
Indebtedness consisting of indemnities relating to surety bonds issued in the
ordinary course of business;

(j)
obligations pursuant to the “earnout” provisions in respect of the Global Draw
Acquisition and the Racing Venue Acquisition;

(k)
obligations pursuant to the escrow and post-closing adjustment provisions in
respect of the EssNet Acquisition;

(l) Permitted
Additional Subordinated Debt; and

(m) Permitted
Additional Senior Indebtedness.

8.3  Liens.  Create,
incur, assume or suffer to exist any Lien upon any of its property, whether now
owned or hereafter acquired, except for:

(a) Liens for
taxes, assessments, governmental charges or claims not yet due or that are
being contested in good faith by appropriate proceedings, provided that
adequate reserves with respect thereto are maintained on the books of the
Borrower or its Subsidiaries, as the case may be, in conformity with GAAP;

(b) carriers’,
warehousemen’s, mechanics’, materialmen’s, repairmen’s, statutory bank liens,
rights of set-off or other like Liens arising in the ordinary course of
business that are not overdue for a period of more than 30 days or that
are being contested in good faith by appropriate proceedings;

(c) pledges or
deposits in connection with workers’ compensation, unemployment insurance and
other social security legislation and letters of credit issued in lieu of such
deposits in the ordinary course of business;

(d) deposits
to secure the performance of bids, trade contracts (other than for borrowed
money), leases, statutory obligations, surety and appeal bonds, performance
bonds and other obligations of a like nature incurred in the ordinary course of
business;

 76
 

(e) easements,
rights-of-way, restrictions and other similar encumbrances incurred in the
ordinary course of business that, in the aggregate, are not substantial in
amount and that do not in any case materially detract from the value of the
property subject thereto or materially interfere with the ordinary conduct of
the business of the Borrower or any of its Subsidiaries;

(f) attachment
or judgment Liens not constituting an Event of Default under Section 9; provided
that such Lien is released within 60 days after the entry thereof;

(g) Liens in
favor of customs and revenue authorities to secure payment of customs duties in
connection with the importation of goods that are not overdue for a period of
more than 30 days or that are being contested in good faith by appropriate
proceedings; provided that, such Liens do not encumber any property
other than the goods subject to such customs duties;

(h) zoning or
similar laws or rights reserved to or vested in any Governmental Authority to
control or regulate the use of any real property;

(i) Liens
securing obligations (other than obligations representing Indebtedness for
borrowed money) under operating, reciprocal easement or similar agreements
entered into in the ordinary course of business of the Borrower and its
Subsidiaries;

(j) licenses
of Intellectual Property granted by the Borrower or any of its Subsidiaries
which do not interfere in any material respect with the ordinary conduct of the
business of the Borrower or such Subsidiary;

(k) Liens
securing Indebtedness of any Non-Guarantor Subsidiary permitted by
Section 8.2(b)(iii) and Section 8.2(h), to the extent such Lien does
not at any time encumber any property other than the property of such
Non-Guarantor Subsidiary;

(l) Liens in
existence on the Effective Date listed on Schedule 8.3(l), securing
Indebtedness permitted by Section 8.2(d), provided that no such
Lien is spread to cover any additional property after the Effective Date and
that the amount of Indebtedness secured thereby is not increased;

(m) Liens on
fixed or capital assets acquired, constructed or improved by the Borrower or
any Subsidiary in the ordinary course of business; provided that
(i) such security interests secure Indebtedness permitted by
Section 8.2(e), (ii) such security interests and the Indebtedness
secured thereby are incurred prior to or within 90 days after such acquisition
or the completion of such construction or improvement, and (iii) such
security interests shall not apply to any other property or assets of the
Borrower or any Subsidiary;

(n) Liens
created pursuant to the Security Documents;

 77
 

(o) any
interest or title of a lessor under any lease entered into by the Borrower or
any other Subsidiary in the ordinary course of its business and covering only
the assets so leased;

(p) Liens
securing Indebtedness of the Borrower or any Subsidiary Guarantors incurred
pursuant to Section 8.2(g) so long as neither (i) the aggregate
outstanding principal amount of the obligations secured thereby nor
(ii) the aggregate fair market value (determined as of the date such Lien
is incurred) of the assets subject thereto exceeds (as to the Borrower and all
Subsidiaries) $35,000,000 at any one time;

(q) Liens in
favor of surety bond providers securing performance and indemnity obligations
of the Group Members to such providers in connection with surety bonds issued
in the ordinary course of business to support performance obligations (not
including Indebtedness) of such Group Members under contracts entered into in
the ordinary course of business (any such surety bond, a “Secured Surety
Bond”), provided that, (i) to the extent that any such Lien becomes
secured and perfected on a first priority basis, the Borrower or any of its
Subsidiaries shall cause, within 75 days after the date that is the earlier of
(A) the date that the Borrower or any of its Subsidiaries becomes aware of a
default under a contract in respect of which a Secured Surety Bond has been
issued or (B) the date that the Borrower or any of its Subsidiaries becomes
aware that such Lien has become so perfected, either (x) such Lien to be
released or terminated or (y) such Lien to be junior to the Liens created
pursuant to the Security Documents on terms and conditions reasonably
satisfactory to the Administrative Agent and (ii) the terms of any such Lien
shall provide, at the time provision is made for the granting of such Lien,
that such Lien shall only become effective upon the occurrence of a default in
respect of the related contract for which a Secured Surety Bond has been issued
or a bankruptcy or similar event with respect to the relevant Group Members;
and

(r) any Lien
existing on any property or asset prior to the acquisition thereof by the
Borrower or any Subsidiary or existing on any property or asset of any Person
that becomes a Subsidiary after the date hereof prior to the time such Person
becomes a Subsidiary; provided that (i) such Lien is not created in
contemplation of or in connection with such acquisition or such Person becoming
a Subsidiary, as the case may be, (ii) such Lien shall not apply to any other
property or assets of the Borrower or any Subsidiary, (iii) such Lien does not
secure Indebtedness, and (iv) such Lien shall secure only those obligations
which it secures on the date of such acquisition or the date such Person
becomes a Subsidiary, as the case may be.

8.4  Fundamental
Changes.  Enter into any merger, consolidation or amalgamation,
or liquidate, wind up or dissolve itself (or suffer any liquidation or
dissolution), or Dispose of all or substantially all of its property or
business, except that:

(a) any
Subsidiary of the Borrower may be merged or consolidated with or into the Borrower
(provided that the Borrower shall be the continuing or surviving Person)
or with or into any Subsidiary Guarantor (provided that the Subsidiary
Guarantor shall be the continuing or surviving corporation) or, subject to Section 8.8(j),
with or into any

 78
 

Foreign
Subsidiary or Non-Guarantor Subsidiary; notwithstanding the foregoing, any
Non-Guarantor Subsidiary may be merged or consolidated with another
Non-Guarantor Subsidiary without limitation;

(b) the
Borrower or any Subsidiary of the Borrower may Dispose of any or all of its
assets (upon voluntary liquidation or otherwise) to the Borrower or any
Subsidiary Guarantor or, subject to Section 8.8(j), any Non-Guarantor
Subsidiary; notwithstanding the foregoing, any Non-Guarantor Subsidiary may Dispose
of any or all of its assets (upon voluntary liquidation or otherwise) to
another Non-Guarantor Subsidiary without limitation; and

(c) any
Subsidiary may liquidate, wind up or dissolve after the Disposition of all of
its assets as set forth in Section 8.4(b).

8.5  Disposition
of Property.  Dispose of any of its Property, whether now owned
or hereafter acquired, or, in the case of any Subsidiary, issue or sell any
shares of such Subsidiary’s Capital Stock to any Person, except:

(a)
Dispositions of obsolete or worn out Property in the ordinary course of
business;

(b)
Dispositions of inventory in the ordinary course of business;

(c)
Dispositions permitted by Section 8.4(b);

(d) the sale
or issuance of any Subsidiary’s Capital Stock to the Borrower or any Subsidiary
Guarantor;

(e)
(i) Dispositions of other Property (other than any sale of less than all
of the Capital Stock of any Subsidiary then owned by the Group Members) or
(ii) Dispositions of minority interests in joint ventures or any
Non-Guarantor Subsidiary, having a fair market value not to exceed $40,000,000
in the aggregate for any fiscal year of the Borrower, provided that
(A) the aggregate amount of all such Dispositions shall not exceed
$125,000,000 during the period commencing on the Effective Date through the
term of this Agreement, (B) the consideration received in any such
Disposition shall be in an amount at least equal to the fair market value of
such Property, (C) at least 75% of the consideration received in any such
Disposition shall be in cash, provided that (1) the amount of such
consideration required to be paid in cash may be reduced to 50% so long as the
remaining portion of such consideration is comprised of debt or equity
securities of the acquiring Person and (2) Dispositions of other Property for
an amount of up to $2,000,000 in any fiscal year shall not be subject to this
clause (C), and (D) the Net Cash Proceeds of any such Dispositions,
other than the 2006 JV Contribution, shall be applied to prepay Term Loans to the
extent required pursuant to Section 4.2(c);

 79
 

(f) the sale
or issuance of any Non-Guarantor Subsidiary’s Capital Stock to any other
Non-Guarantor Subsidiary in compliance with any other applicable requirements
of this Agreement (including, to the extent applicable, Sections 8.8 and
8.10);

(g)
Dispositions pursuant to the Transfer Transactions; and

(h) the 2006
JV Contribution for consideration consisting of a minority equity interest in
the joint venture described on Schedule 8.5.

8.6  Restricted
Payments.  Declare or make any Restricted Payment, except that:

(a) any
Subsidiary may make Restricted Payments to the Borrower or any Subsidiary
Guarantor;

(b) the
Borrower may repurchase (x) shares of its Capital Stock to the extent that
such repurchase is deemed to occur upon the exercise of stock options to
acquire the Borrower’s common stock or similar arrangements to acquire common
stock; provided that such repurchased Capital Stock represent a portion
of the exercise price thereof and provided, further, that no cash
is expended (or obligation to expend cash, other than with respect to related
withholding taxes, is incurred) by the Borrower or any of its Subsidiaries
pursuant to this clause (x), (y) shares of the Borrower’s Capital
Stock held by directors, executive officers, members of management or employees
of the Borrower or any of its Subsidiaries upon the death, disability,
retirement or termination of employment of such directors, executive officers,
members of management or employees, so long as (1) immediately prior to
and after giving effect to such repurchase, no Default or Event of Default
shall have occurred or is continuing and (2) the aggregate amount of cash
expended by the Borrower pursuant to this clause (y) does not exceed
$5,000,000 in any fiscal year of the Borrower and (z) shares of the Borrower’s
or any of its Subsidiary’s Capital Stock, so long as (1) immediately prior to,
and after giving effect to such repurchase, no Default or Event of Default
shall have occurred or is continuing, (2) after giving effect to such
repurchase (and any other such repurchases since the last day of the most
recently ended fiscal quarter) and any Indebtedness incurred in connection
therewith, the Borrower is in compliance with Section 8.1 (determined on a
pro forma basis as if such repurchases had occurred, and any such Indebtedness
had been incurred, on the last day of the most recent fiscal quarter or, for
purposes of Section 8.1(b), on the first day of the most recently ended
period of four consecutive fiscal quarters), (3) at the time of the repurchase
(and after giving effect thereto), there shall be remaining at least
$15,000,000 of Available Revolving Commitments and (4) the aggregate amount
expended for repurchases pursuant to this clause (z) shall not exceed
$200,000,000 in the aggregate during the period commencing on the Effective
Date through the term of this Agreement;

(c) the
Borrower may make Restricted Payments pursuant to and in accordance with the
Convertible Debentures Options Transactions;

 80
 

(d) any
Subsidiary may make Restricted Payments ratably with respect to its Capital
Stock; and

(e) the
Borrower may make dividend payments payable solely in its Capital Stock.

8.7  Payment
Blockage Notice.  Give any notice to block or prohibit payments
in respect of any Senior Subordinated Securities pursuant to the subordination
provisions thereof, except with the prior written consent of the Required
Lenders.

8.8  Investments.  Make
any advance, loan, extension of credit (by way of guaranty or otherwise) or
capital contribution to, or purchase any Capital Stock, bonds, notes,
debentures or other debt securities of, or any assets constituting a business
unit of, or make any other investment in, any Person (all of the foregoing, “Investments”),
except:

(a) extensions
of trade credit in the ordinary course of business;

(b)
(i) Investments in Cash Equivalents and (ii) other Investments in
Foreign Currencies held in the ordinary course of business in the aggregate
amount not to exceed the Dollar Equivalent of $5,000,000 at any time, which
Investments would otherwise constitute Cash Equivalents but for the sovereign
debt rating of the country issuing such Foreign Currency;

(c) Guarantee
Obligations permitted by Section 8.2;

(d) loans and
advances to employees of any Group Member of the Borrower in the ordinary
course of business (including for travel, entertainment and relocation
expenses) in an aggregate amount for all Group Members not to exceed $2,000,000
at any one time outstanding;

(e)
Investments consisting of Capital Expenditures otherwise permitted by this
Agreement;

(f)
Investments outstanding on the Second Restatement Effective Date and listed on
Schedule 8.8(f);

(g)
Investments consisting of non-cash consideration received by the Borrower and
its Subsidiaries in connection with any Disposition of assets permitted under
Section 8.5(e) in an aggregate amount not to exceed $25,000,000 at any one
time outstanding (determined without regard to any write-downs or write-offs
thereof);

(h)
Investments in assets useful in the business of the Borrower and its
Subsidiaries (of the type described in the definition of the term Reinvestment
Notice) made by the Borrower or any of its Subsidiaries with the proceeds of
any Reinvestment Deferred Amount, subject to the limitations in
clauses (j) and (k) in the case of any such Investment in or by a
Non-Guarantor Subsidiary with any such proceeds received by the Borrower or a
Subsidiary Guarantor;

 81
 

(i)
intercompany Investments by any Group Member in the Borrower or any Person
that, prior to such Investment, is a Subsidiary Guarantor; provided that
such Investments shall be subordinated to the Obligations in a manner
reasonably satisfactory to the Administrative Agent;

(j)
intercompany Investments by the Borrower or any of its Subsidiaries in any
Person, that, prior to such Investment, is a Non-Guarantor Subsidiary
(including, without limitation, Guarantee Obligations with respect to
obligations of any such Non-Guarantor Subsidiary, loans made to any such
Non-Guarantor Subsidiary and Investments resulting from mergers with or sales
of assets to any such Non-Guarantor Subsidiary); provided that the
aggregate amount of all such Investments (including, without limitation, all
such Guarantee Obligations) made by the Borrower and the Subsidiary Guarantors
(excluding those permitted by clause (k) below) valued at cost without
giving effect to any write-down or write-off of any such Investments, shall not
exceed at any time outstanding during the term of this Agreement the sum of (i)
$150,000,000, plus (ii) the amount of such Investments made
pursuant to the 2006 Acquisitions, the EssNet Acquisition and the Games Media
Acquisition, plus (iii) the amount of intercompany loans made to
Scientific Games Chile Limitada previously scheduled as Indebtedness to third
parties on Schedule 8.2(d), plus (iv) the amount of such
Investments made pursuant to the sale of any of Scientific Games Chile
Limitada, Scientific Games Latino America S.A. and their respective
subsidiaries to a Non-Guarantor Subsidiary, plus (v) the Peru
Investments, plus (vi) the amount of Capital Stock issued by the
Borrower in exchange for such Investment, plus (vii) the amount of
Capital Stock of the Borrower and Permitted Additional Subordinated Debt issued
to finance such Investment;

(k)
Investments consisting of acquisitions of Capital Stock or assets pursuant to a
Permitted Acquisition; provided that (i) the aggregate amount of all
such Investments in Non-Guarantor Subsidiaries (excluding those (1)
attributable to consummation of the 2006 Acquisitions, the EssNet Acquisition
and the Games Media Acquisition, (2) made with Capital Stock of the Borrower
and (3) financed with the issuance of Capital Stock of the Borrower or
Permitted Additional Subordinated Debt) shall not exceed $200,000,000 at any
time during the period commencing on the Restatement Effective Date through the
term of this Agreement, and (ii) (A) immediately prior to and after
giving effect to any such Investment, no Default or Event of Default shall have
occurred or is continuing, (B) after giving effect (determined on a pro
forma basis as if such Investment had occurred on the last day of the most
recent fiscal quarter or, for purposes of Section 8.1(b), on the first day
of the most recently ended period of four consecutive fiscal quarters) to such
Investment, and all other such Investments made since the end of the most
recently ended fiscal quarter, and any Indebtedness incurred in connection
therewith, the Borrower is in compliance with Section 8.1 and (C) at
the time of such Investment (and after giving effect thereto), there shall be
remaining at least $15,000,000 of Available Revolving Commitments;

(l)
Investments in joint ventures (other than pursuant to Section 8.8(j)) in
an aggregate amount not to exceed $50,000,000;

 82
 

(m) minority
Investments in the securities of any trade creditor, wholesaler, supplier or
customer received pursuant to any plan of reorganization or similar arrangement
of such trade creditor, wholesaler, supplier or customer, as applicable;

(n) in
addition to Investments otherwise expressly permitted by this Section,
Investments by the Borrower or any of its Subsidiaries in an aggregate amount
(valued at cost, without giving effect to any write-down or write-off of any
such Investments) not to exceed $15,000,000 during the period commencing on the
Restatement Effective Date through the term of this Agreement;

(o)
Investments that will fund Supplemental Executive Retirement Plan liabilities
as approved by the board of directors of the Borrower;

(p)
intercompany Investments pursuant to the Transfer Transactions;

(q)
Investments made by a deferred compensation plan for employees of the Borrower
and its Subsidiaries, to the extent funded by contributions to such plan and
permitted by the terms thereof; and

(r) the 2006
JV Contribution.

8.9  Payments
and Modifications of Certain Debt Instruments.  (a) 
(i)  Make or offer to make any optional or voluntary payment,
prepayment, repurchase or redemption of or otherwise optionally or voluntarily
defease or segregate funds with respect to the Permitted Additional Senior
Indebtedness or Senior Subordinated Securities, except Existing Subordinated
Notes (either pursuant to the Tender Offer or after the consummation of the
Tender Offer); provided that the Borrower may make or offer to make a
payment, prepayment, repurchase or redemption of or otherwise optionally or
voluntarily defease or segregate funds with respect to (i) the Permitted
Additional Senior Indebtedness to the extent permitted in clause (a) of the
definition of the term “Permitted Additional Senior Indebtedness” or (ii) the
Permitted Additional Senior Indebtedness or the Senior Subordinated Securities
in an aggregate principal amount not to exceed an amount equal to the then unused
Permitted Expenditure Amount at such time (after giving effect to any
concurrent uses thereof) so long as (x) no Default or Event of Default
shall have occurred and be continuing or would result therefrom, (y) after
giving effect to such payment, prepayment, repurchase or redemption or such
optional or voluntary defeasance or segregation of funds, as applicable, and
any related incurrence of Indebtedness, the Consolidated Senior Debt Ratio on a
pro forma basis would be at least 0.50 below the then current level required by
Section 8.1(c) as of the end of the most recently ended fiscal quarter of the
Borrower (determined as if all such payments, prepayments, repurchases or
redemptions or such optional or voluntary defeasance or segregation of funds and
related incurrences of Indebtedness since the last day of such most recently
ended fiscal quarter had occurred on the last day of such most recently ended
fiscal quarter) and (z) at the time of such payment, prepayment,
repurchase or redemption or such optional or voluntary defeasance or
segregation of funds (and after giving effect thereto), as applicable, there
shall be remaining at least $15,000,000 of Available Revolving Commitments,
(ii) amend, modify, waive or otherwise change, or consent or agree to any
amendment, modification, waiver or other change to, any of

 83
 

the terms of the Permitted Additional Senior Indebtedness or the Senior
Subordinated Securities (other than any such amendment, modification, waiver or
other change that (A) would extend the maturity or reduce the amount of
any payment of principal thereof or reduce the rate or extend any date for
payment of interest thereon or would eliminate any covenant or make any
covenant less restrictive and (B) does not involve the payment of a consent
fee) or (iii) designate any Indebtedness (other than obligations of the
Loan Parties pursuant to the Loan Documents) as “Designated Senior Debt”
(or any other defined term having a similar purpose) for the purposes of any
Senior Subordinated Securities Indenture.

(b)  Make
any cash payment in respect of the principal amount of any Convertible Senior
Subordinated Debentures that are converted, unless (i) immediately prior
to and after giving effect to any such cash payment, no Default or Event of
Default shall have occurred or is continuing, (ii) after giving effect
(determined on a pro forma basis as if such payment had occurred on the last
day of the most recent fiscal quarter or, for purposes of Section 8.1(b),
on the first day of the most recently ended period of four consecutive fiscal
quarters) to such cash payment, the Borrower is in compliance with
Section 8.1 and (iii) at the time of such cash payment (and after
giving effect thereto), there shall be remaining at least $15,000,000 of Available
Revolving Commitments.

8.10  Transactions
with Affiliates.  Enter into any transaction, including any
purchase, sale, lease or exchange of property, the rendering of any service or
the payment of any management, advisory or similar fees, with any Affiliate (other
than the Borrower or any Subsidiary Guarantor) unless such transaction is
(a) otherwise not prohibited by this Agreement, (b) in the ordinary
course of business of the relevant Group Member, and (c) upon fair and
reasonable terms no less favorable to the relevant Group Member, than it would
obtain in a comparable arm’s length transaction with a Person that is not an
Affiliate; provided, however, that the provisions of clauses (b)
and (c) of this Section 8.10 shall not apply to any transaction (i) between
a Non-Guarantor Subsidiary and any other Non-Guarantor Subsidiary and (ii)
between a Subsidiary Guarantor and any Non-Guarantor Subsidiary to the extent
such transaction is no less favorable to such Subsidiary Guarantor than it
would obtain in a comparable arm’s length transaction with a Person that is not
an Affiliate.

8.11  Sales
and Leasebacks.  Enter into any arrangement with any Person
providing for the leasing by any Group Member of real or personal property that
has been or is to be sold or transferred by such Group Member to such Person or
to any other Person to whom funds have been or are to be advanced by such
Person on the security of such property or rental obligations of such Group
Member, other than any such arrangement that (i) if such arrangement is a
Capital Lease Obligation, is permitted pursuant to Section 8.2(e),
(ii) the consideration received from such arrangement is (A) solely cash
consideration to the extent of the fair market value of any Collateral so sold
or transferred, as determined in good faith by the Borrower’s board of
directors and (B) at least 75% in cash consideration to the extent of the fair
market value of the property (other than Collateral) so sold or transferred, as
determined in good faith by the Borrower’s board of directors, provided
that prior consent of the board of directors shall be obtained if such fair
market value was determined to be in excess of $1,000,000 and (iii) the
Net Cash Proceeds

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derived from such arrangement shall be applied toward the prepayment of
the Term Loans as set forth in Section 4.2(c), without giving any
Reinvestment Notice.

8.12  Changes
in Fiscal Periods.  Permit the fiscal year of the Borrower to end
on a day other than December 31 or change the Borrower’s method of
determining fiscal quarters.

8.13  Negative
Pledge Clauses.  Enter into or suffer to exist or become
effective any agreement that prohibits or limits the ability of any Group
Member to create, incur, assume or suffer to exist any Lien upon any of its
property or revenues, whether now owned or hereafter acquired, to secure its
obligations under the Loan Documents to which it is a party other than
(a) this Agreement and the other Loan Documents, (b) any agreements
governing any Liens or Capital Lease Obligations otherwise permitted under
Sections 8.3(l), (m) and (o), provided that, in each case, any
prohibition or limitation shall only be effective against the assets financed
thereby, (c) to the extent existing on the Effective Date, contracts with
customers prohibiting Liens on any equipment used in the performance of any
such contracts set forth on Schedule 8.13(c), (d) to the extent existing
on the Effective Date, contracts with customers prohibiting the assignment of
such contracts or proceeds owing thereunder set forth on Schedule 8.13(d) and
(e) to the extent contracts of the type described in clause (c) or
(d) hereof are entered into after the Effective Date, any such contracts (and
any renewals thereof) so long as the aggregate value of the assets subject to
such prohibitions, in each case as set forth on the most recent consolidated
balance sheet of the Borrower and its consolidated Subsidiaries in accordance
with GAAP, shall not exceed 5% of the aggregate value of all assets set forth
on the most recent consolidated balance sheet of the Borrower and its
consolidated Subsidiaries in accordance with GAAP.

8.14  Clauses
Restricting Subsidiary Distributions.  Enter into or suffer to
exist or become effective any consensual encumbrance or restriction on the
ability of any Subsidiary of the Borrower to (a) make Restricted Payments
in respect of any Capital Stock of such Subsidiary held by, or pay any
Indebtedness owed to, the Borrower or any other Subsidiary of the Borrower,
(b) make loans or advances to, or other Investments in, the Borrower or
any other Subsidiary of the Borrower or (c) transfer any of its assets to
the Borrower or any other Subsidiary of the Borrower, except for such
encumbrances or restrictions existing under or by reason of (i) any restrictions
existing under the Loan Documents and (ii) any restrictions with respect
to a Subsidiary imposed pursuant to an agreement that has been entered into in
connection with the Disposition of all or substantially all of the Capital
Stock or assets of such Subsidiary.

8.15  Lines
of Business.  Enter into any business, either directly or through
any Subsidiary, except for those businesses in which the Borrower and its
Subsidiaries are engaged on the date of this Agreement or that are reasonably
related thereto and business utilizing the same or similar technology.

8.16  Hedge
Agreements.  Enter into any Hedge Agreement, except
(a) Hedge Agreements entered into by the Borrower to hedge or mitigate
risks to which the Borrower or any Subsidiary has actual exposure (other than
those in respect of Capital Stock or the Senior Subordinated Securities),
(b) Hedge Agreements entered into in order to effectively cap, collar or
exchange interest or currency rates (from fixed to floating rates, from one
floating rate to another

 85

floating rate or otherwise) with respect to any interest-bearing
liability or investment of the Borrower or any Subsidiary (including any Senior
Subordinated Securities); provided that, at the time of and after giving
effect to any such Hedge Agreement, at least 40% of Consolidated Total Debt
will be comprised of Indebtedness effectively bearing interest at a fixed rate
(taking into account the effect of all Hedge Agreements, whether fixed to
floating or floating to fixed), (c) the Convertible Debentures Options
Transactions and (d) other Hedge Agreements entered into to hedge or
mitigate risks to which the Borrower or any Subsidiary has exposure that do not
involve any risk of payment required to be made by the Borrower or any
Subsidiary (other than any up-front payment made at the time such Hedge
Agreement is entered into).

SECTION 9.   EVENTS OF DEFAULT

If any of the following events shall occur and be
continuing:

(a) the Borrower shall fail to pay any principal of any Loan or
Reimbursement Obligation when due in accordance with the terms hereof; or the
Borrower shall fail to pay any interest on any Loan or Reimbursement
Obligation, or any other amount payable hereunder or under any other Loan
Document, within five days after any such interest or other amount becomes due
in accordance with the terms hereof; or

(b) any representation or warranty made or deemed made by any Loan
Party herein or in any other Loan Document or that is contained in any
certificate, document or financial or other statement furnished by it at any
time under or in connection with this Agreement or any such other Loan Document
shall prove to have been inaccurate in any material respect on or as of the
date made or deemed made; or

(c) (i)  any Loan Party shall default in the observance or
performance of any agreement contained in clause (i) or (ii) of
Section 7.4(a) (with respect to the Borrower only), Section 7.7(a),
Section 7.11 or Section 8 of this Agreement or Sections 5.5 or
5.7(b) of the Guarantee and Collateral Agreement or (ii) an “Event of
Default” under and as defined in any Mortgage shall have occurred and be
continuing; or

(d) any Loan Party shall default in the observance or performance of
any other agreement contained in this Agreement or any other Loan Document
(other than as provided in paragraphs (a) through (c) of this Section),
and such default shall continue unremedied for a period of 30 days after
notice to the Borrower from the Administrative Agent or the Required Lenders;
or

(e) any Group Member (i) defaults in making any payment of any
principal of any Material Indebtedness (including any Guarantee Obligation, but
excluding the Loans) on the scheduled or original due date with respect
thereto; or (ii) defaults in making any payment of any interest on any Material
Indebtedness beyond the period of grace, if any, provided in the instrument or
agreement under which such Material Indebtedness was created; or
(iii) defaults in the observance or performance of any other agreement or
condition relating to any Material Indebtedness or contained in any instrument
or agreement evidencing, securing or relating thereto, or any other event shall
occur or

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condition exist, the effect of which default or other event or
condition is to cause, or to permit the holder or beneficiary of Material
Indebtedness (or a trustee or agent on behalf of such holder or beneficiary) to
cause, with the giving of notice if required, Material Indebtedness to become
due prior to its stated maturity or to become subject to a mandatory offer to
purchase by the obligor thereunder or (in the case of any Material Indebtedness
constituting a Guarantee Obligation) to become payable; or

(f) (i) any Group Member shall commence any case, proceeding or
other action (A) under any existing or future law of any jurisdiction,
domestic or foreign, relating to bankruptcy, insolvency, reorganization or
relief of debtors, seeking to have an order for relief entered with respect to
it, or seeking to adjudicate it a bankrupt or insolvent, or seeking
reorganization, arrangement, adjustment, winding-up, liquidation,
dissolution, composition or other relief with respect to it or its debts, or
(B) seeking appointment of a receiver, trustee, custodian, conservator or
other similar official for it or for all or any substantial part of its assets,
or any Group Member shall make a general assignment for the benefit of its
creditors; or (ii) there shall be commenced against any Group Member any
case, proceeding or other action of a nature referred to in clause (i)
above that (A) results in the entry of an order for relief or any such
adjudication or appointment or (B) remains undismissed, undischarged or
unbonded for a period of 60 days; or (iii) there shall be commenced
against any Group Member any case, proceeding or other action seeking issuance
of a warrant of attachment, execution, distraint or similar process against all
or any substantial part of its assets that results in the entry of an order for
any such relief that shall not have been vacated, discharged, or stayed or bonded
pending appeal within 60 days from the entry thereof; or (iv) any
Group Member shall take any action in furtherance of, or indicating its consent
to, approval of, or acquiescence in, any of the acts set forth in
clause (i), (ii), or (iii) above; or (v) any Group Member shall
generally not, or shall be unable to, or shall admit in writing its inability
to, pay its debts as they become due; or

(g) (i) any Person shall engage in any “prohibited transaction”
(as defined in Section 406 of ERISA or Section 4975 of the Code)
involving any Plan, (ii) any “accumulated funding deficiency” (as defined
in Section 302 of ERISA), whether or not waived, shall exist with respect
to any Plan or any Lien in favor of the PBGC or a Plan shall arise on the
assets of the Borrower or any Commonly Controlled Entity, (iii) a
Reportable Event shall occur with respect to, or proceedings shall commence to
have a trustee appointed, or a trustee shall be appointed, to administer or to
terminate, any Single Employer Plan, which Reportable Event or commencement of
proceedings or appointment of a trustee is, in the reasonable opinion of the
Required Lenders, likely to result in the termination of such Plan for purposes
of Title IV of ERISA, (iv) any Single Employer Plan shall terminate
for purposes of Title IV of ERISA, or (v) the Borrower or any
Commonly Controlled Entity shall, or in the reasonable opinion of the Required
Lenders is likely to, incur any liability in connection with a withdrawal from,
or the Insolvency or Reorganization of, a Multiemployer Plan; and in each case
in clauses (i) through (v) above, such event or condition, together with
all other such events or

 87
 

conditions, if any, would, in the reasonable judgment of the Required
Lenders, reasonably be expected to have a Material Adverse Effect; or

(h) one or more judgments or decrees shall be entered against any Group
Member involving in the aggregate a liability (not paid or fully covered by
insurance as to which the relevant insurance company has acknowledged coverage)
of $2,000,000 or more, and all such judgments or decrees shall not have been
vacated, discharged, stayed or bonded pending appeal within 30 days from
the entry thereof; or

(i) any of the Security Documents shall cease, for any reason, to be in
full force and effect, or any Loan Party or any Affiliate of any Loan Party
shall so assert, or any Lien created by any of the Security Documents shall
cease to be enforceable and of the same effect and priority purported to be
created thereby; or

(j) the guarantee contained in Section 2 of the Guarantee and
Collateral Agreement shall cease, for any reason, to be in full force and
effect or any Loan Party or any Affiliate of any Loan Party shall so assert; or

(k) (i) any “person” or “group” (as such terms are used in Sections 13(d)
and 14(d) of the Securities Exchange Act of 1934, as amended (the “Exchange
Act”)) shall become, or obtain rights (whether by means or warrants,
options or otherwise) to become, the “beneficial owner” (as defined in
Rules 13(d)-3 and 13(d)-5 under the Exchange Act), directly or
indirectly, of more than 35% of the outstanding common stock of the Borrower;
(ii) the board of directors of the Borrower shall cease to consist of a
majority of Continuing Directors; or (iii) a Specified Change of Control
shall occur; or

(l) any Senior Subordinated Securities or the guarantees thereof shall
cease, for any reason, to be validly subordinated to the Obligations, as
provided in any Senior Subordinated Securities Indenture, or any Loan Party,
any Affiliate of any Loan Party, the trustee in respect of such Senior
Subordinated Securities or the holders of at least 25% in aggregate principal
amount of such Senior Subordinated Securities shall so assert in writing; or

(m) any Group Member defaults in the observation or performance of any
agreement or condition contained in one or more contracts with respect to which
Secured Surety Bonds have been issued resulting in a notice or notices of
claims submitted under the Secured Surety Bonds and the aggregate amount of
such claims exceed $20,000,000 at any time outstanding and such defaults shall
either (x) be continuing for a period of 60 days or more or (y) have
resulted in the provider of the relevant Secured Surety Bonds taking any
enforcement action in respect of the Lien securing such Secured Surety Bond;

then, and in any such event, (A) if such event is
an Event of Default specified in clause (i) or (ii) of paragraph (f)
above with respect to the Borrower, automatically the Commitments shall
immediately terminate and the Loans hereunder (with accrued interest thereon)
and all other amounts owing under this

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Agreement and the other Loan Documents (including all
amounts of L/C Obligations, whether or not the beneficiaries of the then
outstanding Letters of Credit shall have presented the documents required
thereunder) shall immediately become due and payable, and (B) if such
event is any other Event of Default, either or both of the following actions
may be taken:  (i) with the consent
of the Required Lenders, the Administrative Agent may, or upon the request of
the Required Lenders, the Administrative Agent shall, by notice to the Borrower
declare the Revolving Commitments to be terminated forthwith, whereupon the
Revolving Commitments shall immediately terminate; and (ii) with the
consent of the Required Lenders, the Administrative Agent may, or upon the
request of the Required Lenders, the Administrative Agent shall, by notice to
the Borrower, declare the Loans hereunder (with accrued interest thereon) and all
other amounts owing under this Agreement and the other Loan Documents
(including all amounts of L/C Obligations, whether or not the beneficiaries of
the then outstanding Letters of Credit shall have presented the documents
required thereunder) to be due and payable forthwith, whereupon the same shall
immediately become due and payable.  With
respect to all Letters of Credit with respect to which presentment for honor
shall not have occurred at the time of an acceleration pursuant to this
paragraph, the Borrower shall at such time deposit in a cash collateral account
opened by the Administrative Agent an amount equal to the aggregate then
undrawn and unexpired amount of such Letters of Credit.  Amounts held in such cash collateral account
shall be applied by the Administrative Agent to the payment of drafts drawn
under such Letters of Credit, and the unused portion thereof after all such
Letters of Credit shall have expired or been fully drawn upon, if any, shall be
applied to repay other obligations of the Borrower hereunder and under the
other Loan Documents.  After all such
Letters of Credit shall have expired or been fully drawn upon, all
Reimbursement Obligations shall have been satisfied and all other obligations
of the Borrower hereunder and under the other Loan Documents shall have been
paid in full, the balance, if any, in such cash collateral account shall be
returned to the Borrower (or such other Person as may be lawfully entitled
thereto).  Except as expressly provided
above in this Section, presentment, demand, protest and all other notices of
any kind are hereby expressly waived by the Borrower.

SECTION 10.   THE AGENTS

10.1  Appointment.  (a)  
Each Lender and Issuing Lender hereby irrevocably designates and
appoints each Agent as the agent of such Lender under this Agreement and the

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other Loan Documents, and each such Lender irrevocably authorizes such
Agent, in such capacity, to take such action on its behalf under the provisions
of this Agreement and the other Loan Documents and to exercise such powers and
perform such duties as are delegated to such Agent by the terms of this
Agreement and the other Loan Documents, together with such actions and powers
as are reasonably incidental thereto. 
Notwithstanding any provision to the contrary elsewhere in this
Agreement, no Agent shall have any duties or responsibilities, except those
expressly set forth herein, or any fiduciary relationship with any Lender, and
no implied covenants, functions, responsibilities, duties, obligations or
liabilities shall be read into this Agreement or any other Loan Document or
otherwise exist against any Agent.

(b)   The Issuing Lender shall act on behalf of the
Revolving Lenders with respect to Letters of Credit issued or made under this
Agreement and the documents associated therewith.  It is understood and agreed that the Issuing
Lender (i) shall have all of the benefits and immunities (x) provided
to the Agents in this Section 10 with respect to acts taken or omissions
suffered by the Issuing Lender in connection with Letters of Credit issued or
made under this Agreement and the documents associated therewith as fully as if
the term “Agents”, as used in this Section 10, included the Issuing Lender
with respect to such acts or omissions and (y) as additionally provided in
this Agreement and (ii) shall have all of the benefits of the provisions
of Section 10.7 as fully as if the term “Agents”, as used in
Section 10.7, included the Issuing Lender.

10.2  Delegation
of Duties.  Each Agent may execute any of its duties under this
Agreement and the other Loan Documents by or through agents or attorneys-in-fact
and shall be entitled to advice of counsel concerning all matters pertaining to
such duties.  Each Agent and any such
agent or attorney-in-fact may perform any and all of its duties and exercise
its rights and powers through their respective Related Parties.  No Agent shall be responsible for the
negligence or misconduct of any agents or attorneys-in-fact
selected by it with reasonable care.

10.3  Exculpatory
Provisions.  Neither any Agent nor any of their respective
Related Parties shall be (i) liable for any action lawfully taken or
omitted to be taken by it or such Person under or in connection with this
Agreement or any other Loan Document (except to the extent that any of the
foregoing are found by a final and nonappealable decision of a court of
competent jurisdiction to have resulted from its or such Person’s own gross
negligence or willful misconduct) or (ii) responsible in any manner to any
of the Lenders for any recitals, statements, representations or warranties made
by any Loan Party or any officer thereof contained in this Agreement or any
other Loan Document or in any certificate, report, statement or other document
referred to or provided for in, or received by the Agents under or in
connection with, this Agreement or any other Loan Document or for the value,
validity, effectiveness, genuineness, enforceability or sufficiency of this
Agreement or any other Loan Document or for any failure of any Loan Party a
party thereto to perform its obligations hereunder or thereunder.  The Agents shall not be under any obligation
to any Lender to ascertain or to inquire as to the observance or performance of
any of the agreements contained in, or conditions of, this Agreement or any
other Loan Document, or to inspect the properties, books or records of any Loan
Party.

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10.4  Reliance
by Agents.  Each Agent shall be entitled to rely, and shall be
fully protected in relying, upon any instrument, writing, resolution, notice,
consent, certificate, affidavit, letter, telecopy, telex or teletype message,
statement, order or other document or conversation believed by it to be genuine
and correct and to have been signed, sent or made by the proper Person or
Persons and upon advice and statements of legal counsel (including counsel to
the Borrower), independent accountants and other experts selected by such
Agent.  The Administrative Agent may deem
and treat the payee of any Note as the owner thereof for all purposes unless a
written notice of assignment, negotiation or transfer thereof shall have been
filed with the Administrative Agent. 
Each Agent shall be fully justified in failing or refusing to take any
action under this Agreement or any other Loan Document unless it shall first
receive such advice or concurrence of the Required Lenders (or, if so specified
by this Agreement, all Lenders) as it deems appropriate or it shall first be
indemnified to its satisfaction by the Lenders against any and all liability
and expense that may be incurred by it by reason of taking or continuing to
take any such action.  The Agents shall
in all cases be fully protected in acting, or in refraining from acting, under
this Agreement and the other Loan Documents in accordance with a request of the
Required Lenders (or, if so specified by this Agreement, all Lenders), and such
request and any action taken or failure to act pursuant thereto shall be
binding upon all the Lenders and all future holders of the Loans.

10.5  Notice
of Default.  No Agent shall be deemed to have knowledge or notice
of the occurrence of any Default or Event of Default hereunder unless such
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.”  In the
event that the Administrative Agent receives such a notice, the Administrative
Agent shall give notice thereof to the Lenders. 
The Administrative Agent shall take such action with respect to such
Default or Event of Default as shall be reasonably directed by the Required
Lenders (or, if so specified by this Agreement, all Lenders or any other
instructing group of Lenders specified by this Agreement); 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.

10.6  Non-Reliance
on Agents and Other Lenders.  Each Lender expressly acknowledges
that neither the Agents nor any of their respective Related Parties have made
any representations or warranties to it and that no act by any Agent hereafter
taken, including any review of the affairs of a Loan Party or any affiliate of
a Loan Party, shall be deemed to constitute any representation or warranty by
any Agent to any Lender.  Each Lender
represents to the Agents that it has, independently and without reliance upon
any Agent or any other Lender, and based on such documents and information as
it has deemed appropriate, made its own appraisal of and investigation into the
business, operations, property, financial and other condition and creditworthiness
of the Loan Parties and their affiliates and made its own decision to make its
Loans hereunder and enter into this Agreement. 
Each Lender also represents that it will, independently and without
reliance upon any Agent or any other Lender, and based on such documents and
information as it shall deem appropriate at the time, continue to make its own
credit analysis, appraisals and decisions in taking or not taking action under
this Agreement and

 91
 

the other Loan Documents, and to make such investigation as it deems
necessary to inform itself as to the business, operations, property, financial
and other condition and creditworthiness of the Loan Parties and their
affiliates.  Except for notices, reports
and other documents expressly required to be furnished to the Lenders by the
Administrative Agent hereunder, the Administrative Agent shall not have any
duty or responsibility to provide any Lender with any credit or other
information concerning the business, operations, property, condition (financial
or otherwise), prospects or creditworthiness of any Loan Party or any affiliate
of a Loan Party that may come into the possession of the Administrative Agent
or any of its Related Parties.

10.7  Indemnification.  The
Lenders agree to indemnify each Agent in its capacity as such (to the extent
not reimbursed by the Borrower and without limiting the obligation of the
Borrower to do so), ratably according to their respective Aggregate Exposure
Percentages in effect on the date on which indemnification is sought under this
Section (or, if indemnification is sought after the date upon which the
Commitments shall have terminated and the Loans shall have been paid in full,
ratably in accordance with such Aggregate Exposure Percentages immediately
prior to such date), from and against any and all liabilities, obligations,
losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements of any kind whatsoever that may at any time (whether before or
after the payment of the Loans) be imposed on, incurred by or asserted against
such Agent in any way relating to or arising out of, the Commitments, this
Agreement, any of the other Loan Documents or any documents contemplated by or
referred to herein or therein or the transactions contemplated hereby or
thereby or any action taken or omitted by such Agent under or in connection
with any of the foregoing; provided that no Lender shall be liable for
the payment of any portion of such liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements that are
found by a final and nonappealable decision of a court of competent
jurisdiction to have resulted from such Agent’s gross negligence, bad faith or
willful misconduct.  The agreements in
this Section shall survive the payment of the Loans and all other amounts
payable hereunder.

10.8  Agent
in Its Individual Capacity.  Each Agent and its affiliates may
make loans to, accept deposits from and generally engage in any kind of
business with any Loan Party as though such Agent were not an Agent.  With respect to its Loans made or renewed by
it and with respect to any Letter of Credit issued or participated in by it,
each Agent shall have the same rights and powers under this Agreement and the
other Loan Documents as any Lender and may exercise the same as though it were
not an Agent, and the terms “Lender” and “Lenders” shall include each Agent in
its individual capacity.

10.9  Successor
Administrative Agent.  The Administrative Agent may resign as
Administrative Agent at any time upon notice to the Lenders, the Issuing
Lenders and the Borrower and may be removed at any time by the Required
Lenders. Upon the resignation or removal of the Administrative Agent under this
Agreement and the other Loan Documents, the Required Lenders shall appoint a
successor agent for the Lenders, which successor agent shall (unless an Event
of Default under Section 9(a) or Section 9(f) with respect to the
Borrower shall have occurred and be continuing) be subject to approval by the
Borrower (which approval shall not be unreasonably withheld or delayed),
whereupon such successor agent shall succeed to the

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rights, powers and duties of the Administrative Agent, and the term “Administrative
Agent” shall mean such successor agent effective upon such appointment and
approval, and the former Administrative Agent’s rights, powers and duties as
Administrative Agent shall be terminated, without any other or further act or
deed on the part of such former Administrative Agent or any of the parties to
this Agreement or any holders of the Loans. 
If no successor agent has accepted appointment as Administrative Agent
by the date that is 30 days following a retiring Administrative Agent’s notice
of resignation, the retiring Administrative Agent may, on behalf of the Lenders
and the Issuing Lenders, appoint a successor agent, which agent shall be a bank
organized and doing business under the laws of the United States or any state
thereof, subject to supervision or examination by any federal or state
authority and having a total shareholder equity aggregating at least
$1,000,000,000 or an Affiliate of any such bank.  Upon the acceptance of its appointment as
Administrative Agent hereunder by a successor, such successor shall succeed to
and become vested with all the rights, powers, privileges and duties of the
retiring Administrative Agent, and the retiring Administrative Agent shall be
discharged from its duties and obligations hereunder.  The fees payable by the Borrower to a
successor Administrative Agent shall be the same as those payable to its
predecessor unless otherwise agreed between the Borrower and such
successor.  After any retiring
Administrative Agent’s resignation or removal as Administrative Agent, the
provisions of this Section 10 and Section 11.5 shall inure to its
benefit and the benefit of its agents and their respective Related Parties as
to any actions taken or omitted to be taken by any of them while it was acting
under this Agreement and the other Loan Documents.

10.10  Agents
Generally.  Except as expressly set forth herein, no Agent shall
have any duties or responsibilities hereunder in its capacity as such.

10.11  Lead
Arrangers and Syndication Agent.  Each of the Lead Arrangers and
the Syndication Agent, in its capacity as such, shall have no duties or
responsibilities, and shall incur no liability, under this Agreement and other
Loan Documents.

SECTION 11.   MISCELLANEOUS

11.1  Amendments
and Waivers.  Neither this Agreement, any other Loan Document,
nor any terms hereof or thereof may be amended, supplemented or modified except
in accordance with the provisions of Section 2.4 or this Section 11.1; provided
that Incremental Term Loan Amendments pursuant to and in compliance with
Section 2.4 shall not be subject to this Section 11.1. The Required
Lenders and each Loan Party party to the relevant Loan Document may, or, with
the written consent of the Required Lenders, the Administrative Agent and each
Loan Party party to the relevant Loan Document may, from time to time,
(a) enter into written amendments, consents, supplements or modifications
hereto and to the other Loan Documents for the purpose of adding any provisions
to this Agreement or the other Loan Documents or changing in any manner the
rights of the Lenders or of the Loan Parties hereunder or thereunder or
(b) waive, on such terms and conditions as the Required Lenders or the
Administrative Agent, as the case may be, may specify in such instrument, any
of the requirements of this Agreement or the other Loan Documents or any
Default or Event of Default and its consequences; provided, however,
that no such waiver and no such amendment, supplement or modification shall
(i) forgive the principal amount of any Loan or L/C

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Disbursement or extend the final scheduled date of maturity of any
Loan, extend the scheduled date of any amortization payment in respect of any
Term Loan, extend the required date of reimbursement of any L/C Disbursement,
reduce the stated rate of any interest or fee payable hereunder (except (x) in
connection with the waiver of applicability of any post-default increase in
interest rates, which waiver shall be effective with the consent of the
Majority Facility Lenders of each adversely affected Facility and (y) that
any amendment or modification of defined terms used in the financial covenants
in this Agreement shall not constitute a reduction in the rate of interest or
fees for purposes of this clause (i)) or extend the scheduled date of any
payment thereof, or increase the amount or extend the expiration date of any
Lender’s Revolving Commitment under either Revolving Facility, in each case
without the written consent of each Lender directly affected thereby;
(ii) eliminate or reduce the voting rights of any Lender under this
Section 11.1 without the written consent of such Lender; (iii) reduce
any percentage specified in the definition of Required Lenders or any other
provision of any Loan Document specifying the number or percentage of Lenders
required to waive, modify or amend any rights thereunder or make any
determination or grant any consent thereunder, consent to the assignment or
transfer by the Borrower of any of its rights and obligations under this
Agreement and the other Loan Documents, release all or substantially all of the
Collateral or release any material guarantee under the Guarantee and Collateral
Agreement or limit the applicable Loan Party’s liability in respect of such
guarantee, in each case without the written consent of all Lenders;
(iv) amend, modify or waive any condition precedent to any extension of
credit under a Revolving Facility set forth in Section 6.2 (including in
connection with any waiver of an existing Default or Event of Default) without
the written consent of the Majority Facility Lenders with respect to such
Revolving Facility; (v) amend, modify or waive any provision of
Section 4.8 without the written consent of the Majority Facility Lenders
in respect of each Facility adversely affected thereby; (vi) reduce the
amount of Net Cash Proceeds required to be applied to prepay Term Loans under
this Agreement without the written consent of the Majority Facility Lenders
with respect to the Tranche C Term Loan Facility, the Majority Facility Lenders
with respect to the Tranche D Term Loan Facility and the Majority Facility
Lenders with respect to the Tranche E Term Loan Facility;
(vii) reduce the percentage specified in the definition of Majority
Facility Lenders with respect to any Facility without the written consent of
all Lenders under such Facility; (viii) amend, modify or waive any
provision of Section 10 without the written consent of each Agent
adversely affected thereby; (ix) amend, modify or waive any provision of
Section 3.3 or 3.4 without the written consent of the Swingline Lender;
(x) change any provisions of any Loan Document in a manner that by its
terms adversely affects the rights in respect of payments due to Lenders
holding Loans of any Class differently than those holding Loans of any other
Class, without the written consent of Lenders holding a majority in interest of
the outstanding Loans and unused Commitments of each affected Class; provided,
further, that any waiver, amendment or modification of this Agreement
that by its terms affects the rights or duties under this Agreement of one
Class of Lenders (but not other Classes) may be effected by an agreement or
agreements in writing entered into by the Borrower and requisite percentage in
interest of the affected Class of Lenders that would be required to consent
thereto under this Section if such Class of Lenders were the only Class of
Lenders hereunder at the time; or (xi) amend, modify or waive any
provision of Sections 3.7 to 3.14 without the written consent of each
Issuing Lender.  Any such waiver and any
such amendment, supplement or modification shall apply equally to each of the
Lenders and shall be binding upon the Loan Parties, the

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Lenders, the Agents and all future holders of the Loans; provided
that no such agreement shall amend, modify or otherwise affect the rights or
duties of the Administrative Agent, the Issuing Lender or the Swingline Lender
without the prior written consent of the Administrative Agent, the Issuing
Lender or the Swingline Lender, as the case may be.  In the case of any waiver, the Loan Parties,
the Lenders and the Agents shall be restored to their former positions and
rights hereunder and under the other Loan Documents, and any Default or Event
of Default waived shall be deemed to be cured and not continuing; but no such
waiver shall extend to any subsequent or other Default or Event of Default, or
impair any right consequent thereon. 
Notwithstanding the foregoing, any provision of this Agreement may be
amended by an agreement in writing entered into by the Borrower, the Required
Lenders and the Administrative Agent (and, if their rights or obligations are
affected thereby, each Issuing Lender and the Swingline Lender) if (i) by the
terms of such agreement the Commitment of each Lender not consenting to the
amendment provided for therein shall terminate upon the effectiveness of such
amendment and (ii) at the time such amendment becomes effective, each Lender
not consenting thereto receives payment in full of the principal of and
interest accrued on each Loan made by it and all other amounts owing to it or
accrued for its account under this Agreement.

Notwithstanding the foregoing, this Agreement may be
amended (or amended and restated) with the written consent of the Required
Lenders, the Administrative Agent and the Borrower (a) to add one or more
additional credit facilities to this Agreement and to permit the extensions of
credit from time to time outstanding thereunder and the accrued interest and
fees in respect thereof to share ratably in the benefits of this Agreement and
the other Loan Documents with the Term Loans and Revolving Extensions of Credit
and the accrued interest and fees in respect thereof and (b) to include
appropriately the Lenders holding such credit facilities in any determination
of the Required Lenders and Majority Facility Lenders.

In addition, notwithstanding the foregoing, this
Agreement may be amended with the written consent of the Administrative Agent,
the Borrower and the Lenders providing the relevant Replacement Term Loans (as
defined below) to permit the refinancing of all outstanding Tranche C Term
Loans, Tranche D Term Loans or Tranche E Term Loans (“Refinanced
Term Loans”) with a replacement term loan tranche hereunder (“Replacement
Term Loans”), provided that (a) the aggregate principal amount
of such Replacement Term Loans shall not exceed the aggregate principal amount
of such Refinanced Term Loans, (b) the Applicable Margin for such
Replacement Term Loans shall not be higher than the Applicable Margin for such
Refinanced Term Loans, (c) the weighted average life to maturity of such
Replacement Term Loans shall not be shorter than the weighted average life to
maturity of such Refinanced Term Loans at the time of such refinancing and
(d) all other terms applicable to such Replacement Term Loans shall be
substantially identical to, or less favorable to the Lenders providing such
Replacement Term Loans than, those applicable to such Refinanced Term Loans,
except to the extent necessary to provide for covenants and other terms
applicable to any period after the latest final maturity of the Tranche C
Term Loans, Tranche D Term Loans or Tranche E Term Loans, as
applicable, in effect immediately prior to such refinancing.

11.2  Notices.  (a) 
Except in the case of notices and other communications expressly
permitted to be given by telephone (and subject to paragraph (b) below), all
notices,

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requests and demands to or upon the respective parties hereto to be
effective shall be in writing (including by telecopy), and, unless otherwise
expressly provided herein, shall be deemed to have been duly given or made when
delivered, or three Business Days after being deposited in the mail, postage
prepaid, or, in the case of telecopy notice, when received, addressed as
follows in the case of the Borrower and the Agents, and as set forth in an
Administrative Questionnaire delivered to the Administrative Agent in the case
of the Lenders, or to such other address as may be hereafter notified by the
respective parties hereto:

(i) to the
Borrower at 750 Lexington Avenue, New York, NY 10022, Attention of Robert C.
Becker (Telecopy No. (212) 754-2372);

(ii) if to the
Administrative Agent, to JPMorgan Chase Bank, N.A., 1111 Fannin, 10th Floor,
Houston, TX 77002, Attention of Loan and Agency Services Group (Telecopy No.
(713) 750-2892), with a copy to JPMorgan Chase Bank, N.A., 277 Park Avenue, 3rd
Floor, New York, NY 10172, Attention of Donald Shokrian (Telecopy No. (646)
534-0574);

(iii) if to
JPMorgan Chase Bank, N.A., as Issuing Lender, to 270 Park Avenue, 15th Floor,
New York, NY 10017, Attention of David Gugliotta (Telecopy No. (212) 270-3513),
with a copy to JPMorgan Chase Bank, N.A., 277 Park Avenue, 3rd Floor, New York,
New York 10172, Attention of Donald Shokrian (Telecopy No. (646) 534-0574);

(iv) if to the
Swingline Lender, to JPMorgan Chase Bank, N.A., 1111 Fannin, 10th Floor,
Houston, TX 77002, Attention of Loan and Agency Services Group (Telecopy No.
(713) 750-2892), with a copy to JPMorgan Chase Bank, N.A., 277 Park Avenue, 3rd
Floor, New York, NY 10172, Attention of Donald Shokrian (Telecopy No. (646)
534-0574); and; and

(v) if to any
other Lender or Issuing Lender, to it at its address (or telecopy number) set
forth in its Administrative Questionnaire;

provided that any notice, request or
demand to or upon any Agent, the Issuing Lender or the Lenders shall not be
effective until received.

(b)   Notices and other communications to the
Lenders hereunder may be delivered or furnished by electronic communications
pursuant to procedures approved by the Administrative Agent; provided
that the foregoing shall not apply to notices pursuant to Sections 2, 3 and 4
unless otherwise agreed by the Administrative Agent and the applicable
Lender.  The Administrative Agent or the
Borrower may, in their discretion, agree to accept notices and other
communications to it hereunder by electronic communications pursuant to
procedures approved by it; provided that approval of such procedures may
be limited to particular notices or communications.

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11.3  No
Waiver; Cumulative Remedies.  No failure to exercise and no delay
in exercising, on the part of any Agent or any Lender, any right, remedy, power
or privilege hereunder or under the other Loan Documents shall operate as a
waiver thereof; nor shall any single or partial exercise of any right, remedy,
power or privilege hereunder preclude any other or further exercise thereof or
the exercise of any other right, remedy, power or privilege.  The rights, remedies, powers and privileges
herein provided are cumulative and not exclusive of any rights, remedies,
powers and privileges that would otherwise be provided by law.  No waiver of any provision of any Loan
Document or consent to any departure by any Loan Party therefrom shall in any
event be effective unless the same shall be permitted by Section 11.1, and
then such waiver or consent shall be effective only in the specific instance
and for the purpose for which given. 
Without limiting the generality of the foregoing, the making of a Loan
or issuance of a Letter of Credit shall not be construed as a waiver of any
Default, regardless of whether the Administrative Agent, any Lender or any
Issuing Lender may have had notice or knowledge of such Default at the time.

11.4  Survival.  All
representations and warranties made by the Loan Parties in the Loan Documents
and in the certificates or other instruments delivered in connection with or
pursuant to this Agreement or any other Loan Document shall be considered to
have been relied upon by the other parties hereto and shall survive the
execution and delivery of the Loan Documents and the making of any Loans and
issuance of any Letters of Credit, regardless of any investigation made by any
such other party or on its behalf and notwithstanding that the Administrative
Agent, any Issuing Lender or any Lender may have had notice or knowledge of any
Default or incorrect representation or warranty at the time any credit is
extended hereunder, and shall continue in full force and effect as long as the
principal of or any accrued interest on any Loan or any fee or any other amount
payable under this Agreement is outstanding and unpaid or any Letter of Credit
is outstanding and so long as the Commitments have not expired or
terminated.  The provisions of Sections
4.9, 4.10, 4.11 and 11.5 and 11.12(e) and Section 10 shall survive and
remain in full force and effect regardless of the consummation of the
transactions contemplated hereby, the repayment of the Loans, the expiration or
termination of the Letters of Credit and the Commitments or the termination of
this Agreement or any provision hereof.

11.5  Payment
of Expenses and Taxes.  The Borrower agrees (a) to pay or
reimburse the Syndication Agent, the Administrative Agent and the Lead
Arrangers for all their respective reasonable out-of-pocket costs
and expenses incurred in connection with the development, preparation and
execution of, and any amendment, supplement or modification to, this Agreement
and the other Loan Documents and any other documents prepared in connection
herewith or therewith, and the consummation and administration of the
transactions contemplated hereby and thereby, including the reasonable fees and
disbursements of counsel to such Agent and filing and recording fees and
expenses, with statements with respect to the foregoing to be submitted to the
Borrower prior to the Effective Date or Restatement Effective Date (in the case
of amounts to be paid on the Effective Date or Restatement Effective Date, as
applicable) and from time to time thereafter (not less frequently than
quarterly, if accrued and unbilled fees exceed $15,000) as such Agent shall
deem appropriate, (b) to pay or reimburse each Lender, Issuing Lender and
Agent for all its costs and reasonable expenses incurred in

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connection with the enforcement or preservation of any rights under
this Agreement, the other Loan Documents and any such other documents,
including the fees and disbursements of counsel (including the allocated fees
and expenses of in-house counsel) to each Lender and Issuing Lender and of
counsel to such Agent, provided that, the fees and disbursements of
counsel to any such Lender shall only be paid or reimbursed to the extent
incurred in connection with a Default or an Event of Default, (c) to pay,
indemnify, and hold each Lender, Issuing Lender and Agent harmless from, any
and all recording and filing fees and any and all liabilities with respect to,
or resulting from any delay in paying, stamp, excise and other taxes, if any,
that may be payable or determined to be payable in connection with the
execution and delivery of, or consummation or administration of any of the
transactions contemplated by, or any amendment, supplement or modification of,
or any waiver or consent under or in respect of, this Agreement, the other Loan
Documents and any such other documents, (d) to pay or reimburse each
Issuing Lender for all its reasonable out-of-pocket costs and expenses incurred
in connection with the conversion of any Multicurrency Letter of Credit
denominated in a Foreign Currency pursuant to the terms of this Agreement, and
(e) to pay, indemnify, and hold each Lender, Issuing Lender and Agent and
their respective officers, directors, employees, affiliates, agents, trustees,
advisors and controlling persons (each, an “Indemnitee”) harmless from
and against any and all other liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements of any
kind or nature whatsoever with respect to the execution, delivery, enforcement,
performance and administration of this Agreement, the other Loan Documents and any
such other documents, including any of the foregoing relating to the use of
proceeds of the Loans or the violation of, noncompliance with or liability
under, any Environmental Law applicable to the operations or current or former
properties of any Group Member or any of the Properties and the reasonable fees
and expenses of legal counsel in connection with claims, actions or proceedings
by any Indemnitee against any Loan Party under any Loan Document (all the
foregoing in this clause (e), collectively, the “Indemnified
Liabilities”), provided that the Borrower shall have no obligation
hereunder to any Indemnitee with respect to Indemnified Liabilities to the
extent such Indemnified Liabilities are found by a final and nonappealable
decision of a court of competent jurisdiction to have resulted from the gross
negligence, bad faith or willful misconduct of such Indemnitee.  Without limiting the foregoing, and to the
extent permitted by applicable law, the Borrower agrees not to assert and to
cause its Subsidiaries not to assert, and hereby waives and agrees to cause its
Subsidiaries to waive, all rights for contribution or any other rights of
recovery with respect to all claims, demands, penalties, fines, liabilities,
settlements, damages, costs and expenses of whatever kind or nature, arising
under or related to Environmental Laws, that any of them may have by statute or
otherwise against any Indemnitee, except to the extent resulting from the gross
negligence, bad faith or willful misconduct of such Indemnitee.  All amounts due under this Section 11.5
shall be payable not later than ten days after written demand therefor.  Statements payable by the Borrower pursuant
to this Section 11.5 shall be submitted to Robert C. Becker (Telephone
No.:  (212) 754-2233 and Telecopy
No:  (212) 754-2372), at the address of
the Borrower set forth in Section 11.2, or to such other Person or address
as may be hereafter designated by the Borrower in a written notice to the
Administrative Agent.  The agreements in
this Section 11.5 shall survive repayment of the Loans and all other
amounts payable hereunder.

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11.6  Successors
and Assigns.  (a)   The provisions of this Agreement shall be
binding upon and inure to the benefit of the parties hereto and their
respective successors and assigns permitted hereby (including any Affiliate of
any Issuing Lender that issues any Letter of Credit), except that (i) the
Borrower may not assign or otherwise transfer any of its rights or obligations
hereunder without the prior written consent of each Lender (and any attempted
assignment or transfer by the Borrower without such consent shall be null and
void) and (ii) no Lender may assign or otherwise transfer its rights or
obligations hereunder except in accordance with this Section.  Nothing in this Agreement, expressed or
implied, shall be construed to confer upon any Person (other than the parties
hereto, their respective successors and assigns permitted hereby (including any
Affiliate of any Issuing Lender that issues any Letter of Credit), Participants
(to the extent provided in paragraph (c) of this Section) and, to the
extent expressly contemplated hereby, the Related Parties of each of the
Administrative Agent, the Issuing Lenders and the Lenders) any legal or
equitable right, remedy or claim under or by reason of this Agreement.

(b)  (i)  Subject
to the conditions set forth in paragraph (b)(ii) below, any Lender may assign
to one or more assignees all or a portion of its rights and obligations under
this Agreement (including all or a portion of its Commitment and the Loans at
the time owing to it) with the prior written consent (such consent not to be
unreasonably withheld or delayed) of:

(A)  the Borrower; provided that no consent
of the Borrower shall be required for an assignment to a Lender, an Affiliate
of a Lender, an Approved Fund or, if an Event of Default has occurred and is
continuing, any other assignee;

(B)  the Administrative Agent; provided
that no consent of the Administrative Agent shall be required for an assignment
of all or any portion of a Term Loan to a Lender, an Affiliate of a Lender or
an Approved Fund; and

(C)  each Issuing Lender and Swingline Lender; provided
that no consent of any Issuing Lender or Swingline Lender shall be required for
an assignment of all or any portion of a Term Loan.

(ii) Assignments shall be subject to the
following additional conditions:

(A)  no assignment may be made to an Ineligible
Assignee;

(B)  except in the case of an assignment to a
Lender or an Affiliate of a Lender or an Approved Fund or an assignment of the
entire remaining amount of the assigning Lender’s Commitment or Loans of any
Class, the amount of the Commitment or Loans of the assigning Lender subject to
each such assignment (determined as of the date the Assignment and Assumption
with respect to such assignment is delivered to the Administrative Agent) shall
not be less than $5,000,000 or, in the case of Term Loans, $1,000,000, unless
the Borrower and the Administrative Agent otherwise consent; provided
that no such consent of the Borrower shall be required if an Event of Default
has occurred and is continuing and Approved Funds shall be aggregated for
purposes of determining compliance with such minimum assignment amount;

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(C)  each partial assignment shall be made as an
assignment of a proportionate part of all the assigning Lender’s rights and
obligations under this Agreement, except that this clause (C) shall not be
construed to prohibit the assignment of a proportionate part of all the
assigning Lender’s rights and obligations in respect of one Facility;

(D)  the parties to each assignment shall execute
and deliver to the Administrative Agent an Assignment and Assumption, together
with a processing and recordation fee of $3,500 to be paid by the assignor or
assignee; provided that only one such fee shall be payable in connection
with simultaneous assignments to or by two or more related Approved Funds; and

(E)  the assignee, if it shall not be a Lender,
shall deliver to the Administrative Agent an Administrative Questionnaire.

(F)  in the case of an assignment by a Lender to a
CLO (as defined below) managed or administered by such Lender or an Affiliate
of such Lender, the assigning Lender shall retain the sole right to approve any
amendment, modification or waiver of any provision of this Agreement and the
other Loan Documents, provided that the Assignment and Assumption
between such Lender and such CLO may provide that such Lender will not, without
the consent of such CLO, agree to any amendment, modification or waiver that
(1) requires the consent of each Lender directly affected thereby pursuant
to the proviso to the second sentence of Section 11.1 and (2) directly
affects such CLO.

For purposes of this Section 11.6, the terms “Approved
Fund” and “CLO” have the following meanings:

“Approved Fund” means any Person (other than a natural
person) that is engaged in making, purchasing, holding or investing in bank
loans and similar extensions of credit in the ordinary course and that is
administered or managed by, or has as its principal investment advisor, a
Lender, an Affiliate of a Lender or an entity or an Affiliate of an entity that
administers or manages a Lender or is the principal investment advisor of a
Lender.

“CLO” means any entity (whether a corporation,
partnership, trust or otherwise) that is engaged in making, purchasing, holding
or otherwise investing in bank loans and similar extensions of credit in the
ordinary course of its business and is administered or managed by a Lender or
an affiliate of such Lender.

(iii) Subject to acceptance and recording
thereof pursuant to paragraph (b)(iv) of this Section, from and after the
effective date specified in each Assignment and Assumption the assignee
thereunder shall be a party hereto and, to the extent of the interest assigned
by such Assignment and Assumption, have the rights and obligations of a Lender
under this Agreement, and the assigning Lender thereunder shall, to the extent
of the interest assigned by such Assignment and Assumption, be released from
its obligations under this Agreement (and, in the case of an Assignment and
Assumption covering all of the assigning Lender’s rights and obligations under
this Agreement, such Lender shall cease to be a party hereto but shall continue
to be entitled to the benefits of Sections 4.9, 4.10, 4.11, 11.5 and
11.12(e)).  Any assignment or 

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transfer by a Lender of rights or obligations under this Agreement that
does not comply with this Section 11.6 shall be treated for purposes of
this Agreement as a sale by such Lender of a participation in such rights and
obligations in accordance with paragraph (c) of this Section.

(iv) The Administrative Agent, acting for
this purpose as an agent of the Borrower, shall maintain at one of its offices
in The City of New York a copy of each Assignment and Assumption delivered to
it and a register for the recordation of the names and addresses of the
Lenders, and the Commitment of, and principal amount of the Loans and L/C
Obligations owing to, each Lender pursuant to the terms hereof from time to
time (the “Register”).  The
entries in the Register shall be conclusive, and each of the Borrower, the
Administrative Agent, the Issuing Lender and the Lenders may treat each Person
whose name is recorded in the Register pursuant to the terms hereof as a Lender
hereunder for all purposes of this Agreement, notwithstanding notice to the
contrary.  The Register shall be
available for inspection by the Borrower, any Issuing Lender and any Lender, at
any reasonable time and from time to time upon reasonable prior notice.

(v) Upon its receipt of a duly completed
Assignment and Assumption executed by an assigning Lender and an assignee, the
assignee’s completed Administrative Questionnaire (unless the assignee shall
already be a Lender hereunder), the processing and recordation fee referred to
in paragraph (b) of this Section and any written consent to such
assignment required by paragraph (b) of this Section, the Administrative
Agent shall accept such Assignment and Assumption and record the information
contained therein in the Register.  No
assignment shall be effective for purposes of this Agreement unless it has been
recorded in the Register as provided in this paragraph.

(c)  (i)  Any Lender may, without the consent of the
Borrower, the Administrative Agent, the Issuing Lenders or the Swingline
Lender, sell participations to one or more banks or other entities (a “Participant”)
in all or a portion of such Lender’s rights and obligations under this Agreement
(including all or a portion of its Commitment and the Loans owing to it); provided
that (A) such Lender’s obligations under this Agreement shall remain unchanged,
(B) such Lender shall remain solely responsible to the other parties hereto for
the performance of such obligations and (C) the Borrower, the Administrative
Agent, the Issuing Lenders and the other Lenders shall continue to deal solely
and directly with such Lender in connection with such Lender’s rights and
obligations under this Agreement.  Any
agreement or instrument pursuant to which a Lender sells such a participation
shall provide that such Lender shall retain the sole right to enforce the Loan
Documents and to approve any amendment, modification or waiver of any provision
of the Loan Documents; provided that such agreement or instrument may
provide that such Lender will not, without the consent of the Participant,
agree to any amendment, modification or waiver (1) that requires the consent of
each Lender directly affected thereby pursuant to the proviso to the second
sentence of Section 11.1  and (2)
directly affects such Participant. 
Subject to paragraph (c)(ii) of this Section, the Borrower agrees
that each Participant shall be entitled to the benefits of Sections 4.9, 4.10
and 4.11 to the same extent as if it were a Lender and had acquired its
interest by assignment pursuant to paragraph (c)(ii) of this Section.  To the extent permitted by law, each
Participant also shall be 

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entitled to the benefits of Section 11.7 as though it were a
Lender, provided such Participant agrees to be subject to Section 11.7(a)
as though it were a Lender.

(ii) A Participant shall not be entitled to
receive any greater payment under Section 4.9 or 4.11 than the applicable
Lender would have been entitled to receive with respect to the participation
sold to such Participant, unless the sale of the participation to such
Participant is made with the applicable Borrower’s prior written consent.  A Participant that would be a Non-U.S. Lender
if it were a Lender shall not be entitled to the benefits of Section 4.11
unless the applicable Borrower is notified of the participation sold to such
Participant and such Participant agrees, for the benefit of such Borrower, to
comply with Section 4.10(a) as though it were a Lender.

(d)   Any Lender may, without the consent of the
Borrower or the Administrative Agent, at any time pledge or assign a security
interest in all or any portion of its rights under this Agreement to secure
obligations of such Lender, including any pledge or assignment to secure
obligations to a Federal Reserve Bank, and this Section shall not apply to any
such pledge or assignment of a security interest; provided that no such
pledge or assignment of a security interest shall release a Lender from any of
its obligations hereunder or substitute any such pledgee or assignee for such
Lender as a party hereto.

(e)   Notwithstanding the foregoing, any Conduit
Lender may assign any or all of the Loans it may have funded hereunder to its
designating Lender without the consent of the Borrower or the Administrative
Agent and without regard to the limitations set forth in
Section 11.6(b).  The Borrower, each
Lender and each Agent hereby confirms that it will not institute against a
Conduit Lender or join any other Person in instituting against a Conduit Lender
any bankruptcy, reorganization, arrangement, insolvency or liquidation
proceeding under any state bankruptcy or similar law, for one year and one day
after the payment in full of the latest maturing commercial paper note issued
by such Conduit Lender; provided, however, that each Lender
designating any Conduit Lender hereby agrees to indemnify, save and hold
harmless each other party hereto for any loss, cost, damage or expense arising
out of its inability to institute such a proceeding against such Conduit Lender
during such period of forbearance.

11.7  Adjustments;
Set-off.  (a)   Except to the extent that this Agreement
expressly provides for payments to be allocated to a particular Lender or to
the Lenders under a particular Facility, if any Lender (a “Benefitted Lender”)
shall, at any time after the Loans and other amounts payable hereunder shall
immediately become due and payable pursuant to Section 9, receive any
payment of all or part of the Obligations owing to it, or receive any
collateral in respect thereof (whether voluntarily or involuntarily, by set-off,
pursuant to events or proceedings of the nature referred to in
Section 9(f), or otherwise), in a greater proportion than any such payment
to or collateral received by any other Lender, if any, in respect of the
Obligations owing to such other Lender, such Benefitted Lender shall purchase
for cash from the other Lenders a participating interest in such portion of the
Obligations owing to each such other Lender, or shall provide such other
Lenders with the benefits of any such collateral, as shall be necessary to
cause such Benefitted Lender to share the excess payment or benefits of such
collateral ratably with each of the Lenders; provided, however,
that if all or any portion of such excess payment or benefits is thereafter
recovered from such Benefitted Lender, such purchase 

 102
 

shall be rescinded, and the purchase price and benefits returned, to
the extent of such recovery, but without interest.

(b)   In addition to any rights and remedies of the
Lenders provided by law, each Lender shall have the right, without prior notice
to the Borrower, any such notice being expressly waived by the Borrower to the
extent permitted by applicable law, upon any amount becoming due and payable by
the Borrower hereunder (whether at the stated maturity, by acceleration or
otherwise), to set off and appropriate and apply against such amount any and
all deposits (general or special, time or demand, provisional or final), in any
currency, and any other credits, indebtedness or claims, in any currency, in
each case whether direct or indirect, absolute or contingent, matured or
unmatured, at any time held or owing by such Lender or any branch or agency
thereof to or for the credit or the account of the Borrower.  Each Lender agrees promptly to notify the
Borrower and the Administrative Agent after any such setoff and application
made by such Lender, provided that the failure to give such notice shall
not affect the validity of such setoff and application.

11.8  Counterparts.  This
Agreement may be executed by one or more of the parties to this Agreement on
any number of separate counterparts, and all of said counterparts taken
together shall be deemed to constitute one and the same instrument.  Delivery of an executed signature page of
this Agreement by facsimile transmission shall be effective as delivery of a
manually executed counterpart hereof.  A
set of the copies of this Agreement signed by all the parties shall be lodged
with the Borrower and the Administrative Agent.

11.9  Severability.  Any
provision of this Agreement that is prohibited or unenforceable in any
jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such prohibition or unenforceability without invalidating the remaining
provisions hereof, and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction.

11.10  Integration.  This
Agreement and the other Loan Documents represent the entire agreement of the
Borrower, the Agents and the Lenders with respect to the subject matter hereof
and thereof, and there are no promises, undertakings, representations or
warranties by any Agent or any Lender relative to subject matter hereof not
expressly set forth or referred to herein or in the other Loan Documents.

11.11  GOVERNING LAW.  THIS
AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER THIS AGREEMENT
SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW
OF THE STATE OF NEW YORK.

11.12  Submission
To Jurisdiction; Waivers.  The Borrower hereby irrevocably and
unconditionally:

(a) submits
for itself and its property in any legal action or proceeding relating to this
Agreement and the other Loan Documents to which it is a party, or for
recognition and enforcement of any judgment in respect thereof, to the non-exclusive
general 

 103
 

jurisdiction
of the courts of the State of New York, the courts of the United States for the
Southern District of New York, and appellate courts from any thereof;

(b) consents
that any such action or proceeding may be brought in such courts and waives any
objection that it may now or hereafter have to the venue of any such action or
proceeding in any such court or that such action or proceeding was brought in
an inconvenient court and agrees not to plead or claim the same;

(c) agrees
that service of process in any such action or proceeding may be effected by
mailing a copy thereof by registered or certified mail (or any substantially
similar form of mail), postage prepaid, to the Borrower at its address set
forth in Section 11.2 or at such other address of which the Administrative
Agent shall have been notified pursuant thereto;

(d) agrees
that nothing herein shall affect the right to effect service of process in any
other manner permitted by law or shall limit the right to sue in any other
jurisdiction; and

(e) waives, to
the maximum extent not prohibited by law, any right it may have to claim or
recover in any legal action or proceeding referred to in this Section any
special, exemplary, punitive or consequential damages.

11.13  Acknowledgments.  The
Borrower hereby acknowledges that:

(a) it has
been advised by counsel in the negotiation, execution and delivery of this
Agreement and the other Loan Documents;

(b) no Agent,
Issuing Lender or Lender has any fiduciary relationship with or duty to the
Borrower arising out of or in connection with this Agreement or any of the
other Loan Documents, and the relationship between the Agents, the Issuing
Lender and Lenders, on one hand, and the Borrower, on the other hand, in
connection herewith or therewith is solely that of debtor and creditor; and

(c) no joint
venture is created hereby or by the other Loan Documents or otherwise exists by
virtue of the transactions contemplated hereby among the Lenders or among the
Borrower and the Lenders.

11.14  Releases
of Guarantees and Liens.  (a)  Notwithstanding anything to the contrary
contained herein or in any other Loan Document, the Administrative Agent is
hereby irrevocably authorized by each Lender (without requirement of notice to
or consent of any Lender except as expressly required by Section 11.1) to
take any action requested by the Borrower having the effect of releasing any
Collateral or guarantee obligations (i) to the extent necessary to permit
consummation of any transaction not prohibited by any Loan Document or that has
been consented to in accordance with Section 11.1 or (ii) under the
circumstances described in paragraph (b) below.

 104
 

(b)   At such time as the Loans, the Reimbursement
Obligations and the other obligations under the Loan Documents (other than
obligations under or in respect of Hedge Agreements) shall have been paid in
full, the Commitments have been terminated and no Letters of Credit shall be
outstanding, the Collateral shall be released from the Liens created by the
Security Documents, and the Security Documents and all obligations (other than
those expressly stated to survive such termination) of the Administrative Agent
and each Loan Party under the Security Documents shall terminate, all without
delivery of any instrument or performance of any act by any Person.

11.15  Confidentiality.  Each
Agent, Issuing Lender and Lender agrees to keep confidential all non-public
information provided to it by any Loan Party pursuant to this Agreement that is
designated by such Loan Party as confidential; provided that nothing
herein shall prevent any Agent, Issuing Lender or any Lender from disclosing
any such information (a) to any Agent, any other Lender or any Lender
Affiliate, (b) subject to an agreement to comply with the provisions of
this Section, to any pledgee referred to in Section 11.6(d) or any actual or
prospective Transferee or any direct or indirect counterparty to any Hedge
Agreement (or any professional advisor to such counterparty), (c) to its
employees, directors, agents, attorneys, accountants and other professional
advisors or those of any of its affiliates, (d) upon the request or demand
of any Governmental Authority, (e) in response to any order of any court
or other Governmental Authority or as may otherwise be required pursuant to any
Requirement of Law, (f) if requested or required to do so in connection
with any litigation or similar proceeding, (g) that has been publicly
disclosed, (h) to the National Association of Insurance Commissioners or
any similar organization or any nationally recognized rating agency that
requires access to information about a Lender’s investment portfolio in
connection with ratings issued with respect to such Lender, or (i) in
connection with the exercise of any remedy hereunder or under any other Loan
Document.  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.

11.16  WAIVERS OF JURY TRIAL.  THE BORROWER, THE AGENTS AND THE LENDERS HEREBY
IRREVOCABLY AND UNCONDITIONALLY WAIVE TRIAL BY JURY IN ANY LEGAL ACTION OR
PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT AND FOR ANY
COUNTERCLAIM THEREIN.

11.17 
[Reserved]

11.18  Conversion
of Currencies.  (a)  If, for the purpose of obtaining judgment in
any court, it is necessary to convert a sum owing hereunder in one currency
into another currency, each party hereto agrees, to the fullest extent that it
may effectively do so, that the rate of exchange used shall be that at which,
in accordance with normal banking procedures in the relevant jurisdiction, the
first currency could be purchased with such other currency on the Business Day
immediately preceding the day on which final judgment is given.

 105
 

(b)   The obligations of the Borrower in respect of
any sum due to any party hereto or any holder of the obligations owing
hereunder (the “Applicable Creditor”) shall, notwithstanding any judgment
in a currency (the “Judgment Currency”) other than the currency in which
such sum is stated to be due hereunder (the “Agreement Currency”), be
discharged only to the extent that, on the Business Day following receipt by
the Applicable Creditor of any sum adjudged to be so due in the Judgment
Currency, the Applicable Creditor may in accordance with normal banking
procedures in the relevant jurisdiction purchase the Agreement Currency with
the Judgment Currency; if the amount of the Agreement Currency so purchased is
less than the sum originally due to the Applicable Creditor in the Agreement
Currency, the Borrower agrees, as a separate obligation and notwithstanding any
such judgment, to indemnify the Applicable Creditor against such loss.  The obligations of the Borrower contained in
this Section 11.18 shall survive the termination of this Agreement and the
payment of all other amounts owing hereunder.

11.19  Interest
Rate Limitation.  Notwithstanding anything herein to the
contrary, if at any time the interest rate applicable to any Loan, together
with all fees, charges and other amounts which are treated as interest on such
Loan under applicable law (collectively the “Charges”), shall exceed the
maximum lawful rate (the “Maximum Rate”) which may be contracted for,
charged, taken, received or reserved by the Lender holding such Loan in
accordance with applicable law, the rate of interest payable in respect of such
Loan hereunder, together with all Charges payable in respect thereof, shall be
limited to the Maximum Rate and, to the extent lawful, the interest and Charges
that would have been payable in respect of such Loan but were not payable as a
result of the operation of this Section shall be cumulated and the interest and
Charges payable to such Lender in respect of other Loans or periods shall be
increased (but not above the Maximum Rate therefor) until such cumulated
amount, together with interest thereon at the Federal Funds Effective Rate to
the date of repayment, shall have been received by such Lender.

 106

Annex A

PRICING GRID FOR REVOLVING LOANS

	
  Pricing Level

  	
   

  	
  Applicable Margin 

  for Eurocurrency 

  Loans

  	
   

  	
  Applicable Margin 

  for Base Rate Loans

  	
   

  
	
  I

  	
   

  	
   

  	
  2.25

  	
  %

  	
  1.25

  	
  %

  
	
  II

  	
   

  	
   

  	
  2.00

  	
  %

  	
  1.00

  	
  %

  
	
  III

  	
   

  	
   

  	
  1.75

  	
  %

  	
  0.75

  	
  %

  
	
  IV

  	
   

  	
   

  	
  1.50

  	
  %

  	
  0.50

  	
  %

  
	
  V

  	
   

  	
   

  	
  1.25

  	
  %

  	
  0.25

  	
  %

  

 

PRICING GRID FOR
TRANCHE C TERM LOANS, TRANCHE D TERM LOANS AND TRANCHE E TERM LOANS

	
  Pricing Level

  	
   

  	
  Applicable Margin 

  for Eurocurrency Loans

  	
   

  	
  Applicable Margin 

  for Base Rate Loans

  	
   

  
	
  I

  	
   

  	
   

  	
  1.75

  	
  %

  	
  0.75

  	
  %

  
	
  II

  	
   

  	
   

  	
  1.50

  	
  %

  	
  0.50

  	
  %

  
	
  III

  	
   

  	
   

  	
  1.25

  	
  %

  	
  0.25

  	
  %

  
	
  IV

  	
   

  	
   

  	
  1.00

  	
  %

  	
  0.00

  	
  %

  
	
  V

  	
   

  	
   

  	
  0.75

  	
  %

  	
  0.00

  	
  %

  

 

The Applicable Margin
shall be adjusted, on and after the first Adjustment Date (as defined below)
occurring after the Restatement Effective Date, based on changes in the
Consolidated Leverage Ratio, with such adjustments to become effective on the
date (the “Adjustment Date”) that is three Business Days after the date
on which the relevant financial statements are delivered to the Lenders
pursuant to Section 7.1 and to remain in effect until the next adjustment
to be effected pursuant to this paragraph. 
If any financial statements referred to above are not delivered within
the time periods specified in Section 7.1, then, until the date that is
three Business Days after the date on which such financial statements are
delivered, the highest rate set forth in each column of the Pricing Grid shall
apply.  On each Adjustment Date, the
Applicable Margin shall be adjusted to be equal to the Applicable Margins opposite
the Pricing Level determined to exist on such Adjustment Date 

from the financial
statements relating to such Adjustment Date. 
For the purposes of the Applicable Margin for the Tranche C Term Loans,
Tranche D Term Loans and Revolving Loans, prior to the date on which the financial
statements specified in Section 7.1 for the fiscal quarter ended December 31,
2006 are delivered, the Applicable Margin shall be determined by reference to
Pricing Level III.  For purposes of
the Applicable Margin for the Tranche E Loans, prior to the date on which the
financial statements specified in Section 7.1 for the fiscal quarter ended
December 31, 2006 are delivered, the Applicable Margin shall be determined by
reference to Pricing Level II.

As used herein, the following rules shall govern the
determination of Pricing Levels on each Adjustment Date:

“Pricing Level I”  shall exist on an Adjustment Date if the
Consolidated Leverage Ratio for the relevant period is greater than or equal to
4.00 to 1.00.

“Pricing Level II”  shall exist on an Adjustment Date if the
Consolidated Leverage Ratio for the relevant period is less than 4.00 to 1.00 but greater than or equal to 3.25 to 1.00.

“Pricing Level III”  shall exist on an Adjustment Date if the
Consolidated Leverage Ratio for the relevant period is less than 3.25 to 1.00 but greater than or equal to 2.50 to 1.00.

“Pricing Level IV”  shall exist on an Adjustment Date if the
Consolidated Leverage Ratio for the relevant period is less than 2.50 to 1.00 but greater than or equal to 2.00 to 1.00.

“Pricing Level “V”  shall exist on an Adjustment Date if the
Consolidated Leverage Ratio for the relevant period is less than 2.00 to 1.00.

 108

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