Document:

exv10w1

 

EXHIBIT 10.1

CREDIT AGREEMENT

dated as of June 29, 2005

among

POWELL INDUSTRIES, INC.,

INHOCO 3210 LIMITED,

and

SWITCHGEAR & INSTRUMENTATION PROPERTIES LTD.

collectively, as Borrowers,

and

BANK OF AMERICA, N.A.,

as Agent, Swing Line Lender and L/C Issuer,

and

THE OTHER LENDERS PARTY HERETO

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 	 	 
	Section	 	 	 	 	 	 	 	Page
	ARTICLE I. DEFINITIONS AND ACCOUNTING TERMS	 	 	1	 
	 

	 	 	1.01	 	 	Defined Terms
	 	 	1	 
	 

	 	 	1.02	 	 	Other Interpretive Provisions
	 	 	22	 
	 

	 	 	1.03	 	 	Accounting Terms
	 	 	23	 
	 

	 	 	1.04	 	 	Exchange Rates; Currency Equivalents
	 	 	23	 
	 

	 	 	1.05	 	 	Additional Alternative Currencies
	 	 	24	 
	 

	 	 	1.06	 	 	Change of Currency
	 	 	24	 
	 

	 	 	1.07	 	 	Times of Day
	 	 	25	 
	 

	 	 	1.08	 	 	Letter of Credit Amounts
	 	 	25	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE II. THE COMMITMENTS AND CREDIT EXTENSIONS	 	 	25	 
	 

	 	 	2.01	 	 	Term Facility and Revolving Facility
	 	 	25	 
	 

	 	 	2.02	 	 	Borrowings, Conversions and Continuations of Committed Loans
	 	 	26	 
	 

	 	 	2.03	 	 	Letters of Credit
	 	 	28	 
	 

	 	 	2.04	 	 	Swing Line Loans
	 	 	35	 
	 

	 	 	2.05	 	 	Prepayments
	 	 	38	 
	 

	 	 	2.06	 	 	Termination or Reduction of Commitments
	 	 	40	 
	 

	 	 	2.07	 	 	Repayment of Loans
	 	 	41	 
	 

	 	 	2.08	 	 	Interest
	 	 	41	 
	 

	 	 	2.09	 	 	Fees
	 	 	42	 
	 

	 	 	2.10	 	 	Computation of Interest and Fees
	 	 	42	 
	 

	 	 	2.11	 	 	Evidence of Debt
	 	 	42	 
	 

	 	 	2.12	 	 	Payments Generally
	 	 	43	 
	 

	 	 	2.13	 	 	Sharing of Payments
	 	 	44	 
	 

	 	 	2.14	 	 	Security and Guaranties
	 	 	45	 
	 

	 	 	2.15	 	 	Debit Account
	 	 	46	 
	 

	 	 	2.16	 	 	Increase in Commitments
	 	 	46	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE III. TAXES, YIELD PROTECTION AND ILLEGALITY	 	 	47	 
	 

	 	 	3.01	 	 	Taxes
	 	 	47	 
	 

	 	 	3.02	 	 	Illegality
	 	 	49	 
	 

	 	 	3.03	 	 	Inability to Determine Rates
	 	 	49	 
	 

	 	 	3.04	 	 	Increased Cost and Reduced Return; Capital Adequacy; Reserves on
Eurocurrency Rate Loans
	 	 	50	 
	 

	 	 	3.05	 	 	Funding Losses
	 	 	51	 
	 

	 	 	3.06	 	 	Matters Applicable to all Requests for Compensation
	 	 	51	 
	 

	 	 	3.07	 	 	Survival
	 	 	51	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE IV. CONDITIONS PRECEDENT TO CREDIT EXTENSIONS	 	 	52	 
	 

	 	 	4.01	 	 	Conditions of Initial Credit Extension
	 	 	52	 
	 

	 	 	4.02	 	 	Conditions to all Credit Extensions
	 	 	55	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE V. REPRESENTATIONS AND WARRANTIES	 	 	55	 
	 

	 	 	5.01	 	 	Existence, Qualification and Power; Compliance with Laws
	 	 	55	 
	 

	 	 	5.02	 	 	Authorization; No Contravention
	 	 	56	 
	 

	 	 	5.03	 	 	Governmental Authorization; Other Consents
	 	 	56	 
	 

	 	 	5.04	 	 	Binding Effect
	 	 	56	 
	 

	 	 	5.05	 	 	Financial Statements; No Material Adverse Effect
	 	 	56	 

 

 

	 	 	 	 	 	 	 	 	 	 	 
	Section	 	 	 	 	 	 	 	Page
	 

	 	 	5.06	 	 	Litigation
	 	 	56	 
	 

	 	 	5.07	 	 	No Default
	 	 	56	 
	 

	 	 	5.08	 	 	Ownership of Property; Liens
	 	 	57	 
	 

	 	 	5.09	 	 	Environmental Compliance
	 	 	57	 
	 

	 	 	5.10	 	 	Insurance
	 	 	57	 
	 

	 	 	5.11	 	 	Taxes
	 	 	57	 
	 

	 	 	5.12	 	 	ERISA Compliance
	 	 	57	 
	 

	 	 	5.13	 	 	Subsidiaries
	 	 	58	 
	 

	 	 	5.14	 	 	Margin Regulations; Investment Company Act; Public Utility Holding
Company Act
	 	 	58	 
	 

	 	 	5.15	 	 	Disclosure
	 	 	58	 
	 

	 	 	5.16	 	 	Compliance with Laws
	 	 	58	 
	 

	 	 	5.17	 	 	Intellectual Property; Licenses, Etc
	 	 	58	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE VI. AFFIRMATIVE COVENANTS	 	 	59	 
	 

	 	 	6.01	 	 	Financial Statements
	 	 	59	 
	 

	 	 	6.02	 	 	Certificates; Other Information
	 	 	59	 
	 

	 	 	6.03	 	 	Notices
	 	 	61	 
	 

	 	 	6.04	 	 	Payment of Obligations
	 	 	61	 
	 

	 	 	6.05	 	 	Preservation of Existence, Etc
	 	 	61	 
	 

	 	 	6.06	 	 	Maintenance of Properties
	 	 	61	 
	 

	 	 	6.07	 	 	Maintenance of Insurance
	 	 	61	 
	 

	 	 	6.08	 	 	Compliance with Laws
	 	 	62	 
	 

	 	 	6.09	 	 	Books and Records
	 	 	62	 
	 

	 	 	6.10	 	 	Inspection Rights
	 	 	62	 
	 

	 	 	6.11	 	 	Use of Proceeds
	 	 	62	 
	 

	 	 	6.12	 	 	Additional Guarantors
	 	 	62	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE VII. NEGATIVE COVENANTS	 	 	62	 
	 

	 	 	7.01	 	 	Liens
	 	 	62	 
	 

	 	 	7.02	 	 	Investments
	 	 	64	 
	 

	 	 	7.03	 	 	Indebtedness
	 	 	64	 
	 

	 	 	7.04	 	 	Fundamental Changes
	 	 	65	 
	 

	 	 	7.05	 	 	Dispositions
	 	 	65	 
	 

	 	 	7.06	 	 	Restricted Payments
	 	 	66	 
	 

	 	 	7.07	 	 	Change in Nature of Business
	 	 	66	 
	 

	 	 	7.08	 	 	Transactions with Affiliates
	 	 	66	 
	 

	 	 	7.09	 	 	Burdensome Agreements
	 	 	66	 
	 

	 	 	7.10	 	 	Use of Proceeds
	 	 	66	 
	 

	 	 	7.11	 	 	Financial Covenants
	 	 	67	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE VIII. EVENTS OF DEFAULT AND REMEDIES	 	 	68	 
	 

	 	 	8.01	 	 	Events of Default
	 	 	68	 
	 

	 	 	8.02	 	 	Remedies Upon Event of Default
	 	 	70	 
	 

	 	 	8.03	 	 	Application of Funds
	 	 	70	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE IX. ADMINISTRATIVE AGENT	 	 	71	 
	 

	 	 	9.01	 	 	Appointment and Authorization of Agent
	 	 	71	 
	 

	 	 	9.02	 	 	Delegation of Duties
	 	 	71	 
	 

	 	 	9.03	 	 	Liability of Agent
	 	 	72	 
	 

	 	 	9.04	 	 	Reliance by Agent
	 	 	72	 

ii

 

	 	 	 	 	 	 	 	 	 	 	 
	Section	 	 	 	 	 	 	 	Page
	 

	 	 	9.05	 	 	Notice of Default
	 	 	72	 
	 

	 	 	9.06	 	 	Credit Decision; Disclosure of Information by Agent
	 	 	73	 
	 

	 	 	9.07	 	 	Indemnification of Agent
	 	 	73	 
	 

	 	 	9.08	 	 	Agent in its Individual Capacity
	 	 	73	 
	 

	 	 	9.09	 	 	Successor Agent
	 	 	74	 
	 

	 	 	9.10	 	 	Agent May File Proofs of Claim
	 	 	74	 
	 

	 	 	9.11	 	 	Collateral and Guaranty Matters
	 	 	75	 
	 

	 	 	9.12	 	 	Other Agents; Arrangers and Managers
	 	 	75	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE X. MISCELLANEOUS	 	 	75	 
	 

	 	 	10.01	 	 	Amendments, Etc
	 	 	75	 
	 

	 	 	10.02	 	 	Notices and Other Communications; Facsimile Copies
	 	 	76	 
	 

	 	 	10.03	 	 	No Waiver; Cumulative Remedies
	 	 	78	 
	 

	 	 	10.04	 	 	Attorney Costs, Expenses and Taxes
	 	 	78	 
	 

	 	 	10.05	 	 	Indemnification by Borrower
	 	 	78	 
	 

	 	 	10.06	 	 	Payments Set Aside
	 	 	79	 
	 

	 	 	10.07	 	 	Successors and Assigns
	 	 	79	 
	 

	 	 	10.08	 	 	Confidentiality
	 	 	82	 
	 

	 	 	10.09	 	 	Set-off
	 	 	82	 
	 

	 	 	10.10	 	 	Interest Rate Limitation
	 	 	83	 
	 

	 	 	10.11	 	 	Counterparts
	 	 	83	 
	 

	 	 	10.12	 	 	Conflict Provisions
	 	 	83	 
	 

	 	 	10.13	 	 	Survival of Representations and Warranties
	 	 	83	 
	 

	 	 	10.14	 	 	Severability
	 	 	83	 
	 

	 	 	10.15	 	 	Tax Forms
	 	 	83	 
	 

	 	 	10.16	 	 	Replacement of Lenders
	 	 	85	 
	 

	 	 	10.17	 	 	Governing Law
	 	 	85	 
	 

	 	 	10.18	 	 	Waiver of Right to Trial by Jury
	 	 	86	 
	 

	 	 	10.19	 	 	Time of the Essence
	 	 	86	 
	 

	 	 	10.20	 	 	Joint and Several Liability; Cross-Guaranty
	 	 	86	 
	 

	 	 	10.21	 	 	Entire Agreement
	 	 	87	 
	 
	 	 	 	 	 	 	 	 	 	 
	SIGNATURES	 	 	S-1	 

iii

 

	 	 	 	 	 
	SCHEDULES
	 
	 	 	 	 
	 

	 	1.01
	 	Mandatory Costs
	 

	 	1.02
	 	Existing Letters of Credit
	 

	 	2.01
	 	Commitments and Applicable Percentages
	 

	 	5.13
	 	Subsidiaries and Other Equity Investments
	 

	 	7.01
	 	Existing Liens
	 

	 	7.03
	 	Existing Indebtedness
	 

	 	10.02
	 	Agent’s Office, Certain Addresses for Notices
	 
	 	 	 	 
	EXHIBITS
	 
	 	 	 	 
	 

	 	A-1
	 	Revolving Note
	 

	 	A-2
	 	Term Note
	 

	 	B
	 	Guaranty
	 

	 	C-1
	 	Committed Loan Notice
	 

	 	C-2
	 	Swing Line Loan Notice
	 

	 	D
	 	Compliance Certificate
	 

	 	E
	 	Pledge Agreement
	 

	 	F
	 	Assignment Agreement
	 

	 	G
	 	Opinion Matters

iv

 

CREDIT AGREEMENT

     THIS CREDIT AGREEMENT (“Agreement”) is entered into as of June 29, 2005, among POWELL
INDUSTRIES, INC., a Delaware corporation (“Parent”), Inhoco 3210 Limited, an entity organized under
the laws of England and Wales (“Inhoco”), and Switchgear & Instrumentation Properties Limited, an
entity organized under the laws of England and Wales (“SI Properties” and together with Inhoco, “UK
Borrower”), each lender from time to time party to this Agreement (collectively, “Lenders” and
individually, a “Lender”), and BANK OF AMERICA, N.A., as Agent, Swing Line Lender and L/C Issuer.

     A. Parent has requested that Lenders extend credit to Parent in the maximum principal amount
of $22,000,000 in the form of a revolving credit facility.

     B. UK Borrower has requested that Lenders extend credit to UK Borrower in the maximum
principal amount of £4,000,000 in the form of a revolving credit facility.

     C. UK Borrower has requested that Lenders make a single advance term loan to UK Borrower in
the amount of £6,000,000.

     D. Lenders are willing to extend the revolving credit and make the term loan on the terms and
conditions of this Agreement.

     In consideration of the mutual covenants and agreements set out in this Agreement, the parties
to this Agreement covenant and agree as follows:

ARTICLE I.

DEFINITIONS AND ACCOUNTING TERMS

     1.01 Defined Terms. As used in this Agreement,

     Acquisition means the direct or indirect purchase or acquisition, whether in one or more
related transactions, of all or substantially all of the capital stock of any Person or group of
Persons or all or substantially all of the assets, liabilities, and business of any Person or group
of Persons, or a business unit, division, or group of a Person.

     Administrative Questionnaire means an Administrative Questionnaire in a form supplied by
Agent.

     Affiliate means, with respect to any Person, another Person that directly, or indirectly
through one or more intermediaries, Controls or is Controlled by or is under common Control with
the Person specified. “Control” means the possession, directly or indirectly, of the power to
direct or cause the direction of the management or policies of a Person, whether through the
ability to exercise voting power, by contract or otherwise. “Controlling” and “Controlled” have
meanings correlative thereto. Without limiting the generality of the foregoing, a Person shall be
deemed to be Controlled by another Person if such other Person possesses, directly or indirectly,
power to vote 10% or more of the securities having ordinary voting power for the election of
directors, managing general partners or the equivalent. For purposes of this definition, each of
the following are “Affiliates” of the others (i) each Guarantor, and (ii) each Borrower.

     Agent means Bank of America in its capacity as administrative agent under any of the Loan
Documents, or any successor administrative agent.

1

 

     Agent’s Office means, with respect to any currency, the Agent’s address and, as appropriate,
account as set forth on Schedule 10.02 with respect to such currency, or such other address or
account with respect to such currency as the Agent may from time to time notify to the Parent and
the Lenders.

     Aggregate Commitments means the Commitments of all of the Lenders.

     Agreement means this Credit Agreement, and all schedules and exhibits to this Agreement.

     Alternative Currency means Sterling and each other currency (other than Dollars) that is
approved in accordance with Section 1.05.

     Alternative Currency Equivalent means, at any time, with respect to any amount denominated in
Dollars, the equivalent amount thereof in the applicable Alternative Currency as determined by the
Agent or the L/C Issuer, as the case may be, at such time on the basis of the Spot Rate (determined
in respect of the most recent Revaluation Date) for the purchase of such Alternative Currency with
Dollars.

     Alternative Currency Sublimit means, when determined, an amount equal to £4,000,000. The
Alternative Currency Sublimit is part of, and not in addition to, the Aggregate Commitments.

     Applicable Percentage means, with respect to each Lender at any time, (a) in respect of the
Aggregate Commitments, a fraction (expressed as a percentage, carried out to the ninth decimal
place), of the Aggregate Commitments represented by such Lender’s Commitment at such time. If the
commitment of each Lender to make Loans and the obligation of the L/C Issuer to make L/C Credit
Extensions have been terminated pursuant to Section 8.02, or if the Aggregate Commitments have
expired, then the Applicable Percentage of each Lender shall be determined based on the Applicable
Percentage of each Lender most recently in effect, giving effect to any subsequent assignments. The
initial Applicable Percentage of each Lender is set out opposite the name of such Lender on
Schedule 2.01 or in the Assignment Agreement pursuant to which such Lender becomes a party to this
Agreement, as applicable.

     Applicable Rate means, except as specified below, the following percentages per annum, based
upon the Consolidated Leverage Ratio as set out in the most recent Compliance Certificate received
by Agent pursuant to Section 6.02(b):

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Pricing	 	Consolidated Leverage	 	Eurocurrency	 	 	 	 	 	 	Letter of Credit	 	 	Commitment
	Level	 	Ratio	 	Rate +	 	Base Rate +	 	Fee	 	Fee
	1
	 	<1.25	 	1.00%	 	 	 	0	%	 	 	1.00%	 	 	 	0.20	%
	2
	 	31.25:1.00 but <1.75:1.00	 	1.25%	 	 	 	0	%	 	 	1.25%	 	 	 	0.25	%
	3
	 	31.75:1.00 but <2.25:1.00	 	1.50%	 	 	 	0	%	 	 	1.50%	 	 	 	0.25	%
	4
	 	32.25	 	1.75%	 	 	 	0.25	%	 	 	1.75%	 	 	 	0.375	%

Any increase or decrease in the Applicable Rate resulting from a change in the Consolidated
Leverage Ratio shall become effective as of the first Business Day immediately following the date a
Compliance Certificate is delivered pursuant to Section 6.02(b); provided that, if a Compliance
Certificate is not delivered when due in accordance with such Section, then Pricing Level 4 shall
apply as of the first Business Day after the date on which such Compliance Certificate was required
to have been delivered until the first Business Day after a Compliance Certificate establishing a
lower applicable Pricing Level is delivered pursuant to Section 6.02(b). Notwithstanding the foregoing but subject to the
foregoing proviso, the Letter of Credit fee from the Closing Date through the fiscal quarter ending
April 30, 2006

2

 

shall be determined based on the then applicable Letter of Credit fee minus 0.50%
and thereafter the Letter of Credit fee shall determined as set out above. The Applicable Rate
in effect on the Closing Date through Agent’s receipt of the Compliance Certificate pursuant to
Section 6.02 shall be determined based upon Pricing Level 4.

     Applicable Time means, with respect to any borrowings and payments in any Alternative
Currency, the local time in the place of settlement for such Alternative Currency as may be
determined by the Agent or the L/C Issuer, as the case may be, to be necessary for timely
settlement on the relevant date in accordance with normal banking procedures in the place of
payment.

     Assignment Agreement means an Assignment Agreement substantially in the form of Exhibit F.

     Attorney Costs means and includes all reasonable fees, expenses and disbursements of any law
firm or other external counsel and, if Agent has reasonably determined with respect to any
particular legal matter that it will be more cost effective to use internal legal counsel in lieu
of external legal counsel and Agent has notified Parent of such determination, then without
duplication, Attorney Costs shall include a reasonable allocated cost of internal legal services
performed for such particular legal matter and all reasonable expenses and disbursements directly
incurred with respect to such matter by internal counsel.

     Attributable Indebtedness means, on any date, (a) in respect of any capital lease of any
Person, the capitalized amount thereof that would appear on a balance sheet of such Person prepared
as of such date in accordance with GAAP, and (b) in respect of any Synthetic Lease Obligation, the
capitalized amount of the remaining lease payments under the relevant lease that would appear on a
balance sheet of such Person prepared as of such date in accordance with GAAP if such lease were
accounted for as a capital lease.

     AutoBorrow Agreement means the AutoBorrow Service Agreement dated on or about October 25,
2001, between Parent and Bank of America, as the same may be amended, restated or otherwise
modified from time to time.

     Available Revolving Amount means, when determined, an amount equal to the Revolving Committed
Amount minus the Outstanding Amount of all Revolving Loans, L/C Obligations, and Swing Line Loans.

     Availability Period means in respect of the Revolving Facility, the period from the Closing
Date to the earliest of (a) the Termination Date, (b) the date of termination of the Aggregate
Commitments pursuant to Section 2.06, and (c) the date of termination of the commitment of each
Lender to make Revolving Loans and of the obligation of the of the L/C Issuer to make L/C Credit
Extensions pursuant to Section 8.02.

     Bank of America means Bank of America, N.A. and its successors.

     Base Rate  means for any day a fluctuating rate per annum equal to the higher of
(a) the Federal Funds Rate plus 0.50% and (b) the rate of interest in effect for such day as
publicly announced from time to time by Bank of America as its “prime rate.” The “prime rate” is a
rate set by Bank of America based upon various factors including Bank of America’s costs and
desired return, general economic conditions and other factors, and is used as a reference point for
pricing some loans, which may be priced at, above, or below such announced rate. Any change in
such rate announced by Bank of America shall take effect at the opening of business on the day
specified in the public announcement of such change.

     Base Rate Committed Loan means a Committed Loan that bears interest based on the Base Rate.

3

 

     Base Rate Loan means a Loan that bears interest based on the Base Rate. All Base Rate Loans
shall be denominated in Dollars.

     Bonds shall mean the $8,000,000.00 Illinois Development Finance Authority Industrial
Development Revenue Bonds (Delta-Unibus, Inc. Project) Series 2001.

     Borrower means each of Parent, Inhoco and SI Properties, which are collectively, “Borrowers.”

     Borrowing means a Revolving Borrowing, a Term Borrowing, or a Swing Line Borrowing, as the
context may require.

     Business Day means any day other than a Saturday, Sunday or other day on which commercial
banks are authorized to close under the Laws of, or are in fact closed in, the state where Agent’s
Office with respect to Obligations denominated in Dollars is located and:

          (a) if such day relates to any interest rate settings as to a Eurocurrency Rate Loan
denominated in Dollars, any fundings, disbursements, settlements and payments in Dollars in
respect of any such Eurocurrency Rate Loan, or any other dealings in Dollars to be carried
out pursuant to this Agreement in respect of any such Eurocurrency Rate Loan, means any such
day on which dealings in deposits in Dollars are conducted by and between banks in the
London interbank eurodollar market;

          (b) if such day relates to any interest rate settings as to a Eurocurrency Rate Loan
denominated in Euro, any fundings, disbursements, settlements and payments in Euro in
respect of any such Eurocurrency Rate Loan, or any other dealings in Euro to be carried out
pursuant to this Agreement in respect of any such Eurocurrency Rate Loan, means a TARGET
Day;

          (c) if such day relates to any interest rate settings as to a Eurocurrency Rate Loan
denominated in a currency other than Dollars or Euro, means any such day on which dealings
in deposits in the relevant currency are conducted by and between banks in the London or
other applicable offshore interbank market for such currency; and

          (d) if such day relates to any fundings, disbursements, settlements and payments in a
currency other than Dollars or Euro in respect of a Eurocurrency Rate Loan denominated in a
currency other than Dollars or Euro, or any other dealings in any currency other than
Dollars or Euro to be carried out pursuant to this Agreement in respect of any such
Eurocurrency Rate Loan (other than any interest rate settings), means any such day on which
banks are open for foreign exchange business in the principal financial center of the
country of such currency.

     Capital Expenditure means for any Person, all expenditures for assets which, in accordance
with GAAP, are properly classified as equipment, real property, improvements, fixed assets or
similar types of capitalized assets and which would be required to be capitalized and shown on the
balance sheet of such person.

     Cash Collateralize has the meaning specified in Section 2.03(g).

     Cash Equivalents means (a) securities issued or directly and fully guaranteed or insured by
the United States of America or any agency or instrumentality thereof having maturities of not more
than twelve (12) months from the date of acquisition, (b) U.S. Dollar denominated time deposits and
certificates of deposit maturing within one (1) year from the date of acquisition thereof with
any Lender or any other financial institution whose short-term senior unsecured debt rating is at
least A-1 from S&P

4

 

or P-1 from Moody’s, (c) Eurocurrency or Euro denominated time deposits and
certificates of deposit maturing within 12 months from the date of acquisition thereof with any
Lender or any other financial institution whose short-term senior unsecured debt rating is at least
A-1 from S&P or P-1 from Moody’s, (d) commercial paper or Eurocommercial paper with a rating of at
least A-1 from S&P or P-1 from Moody’s, (e) repurchase obligations entered into with any Lender or
any other financial institution whose short-term senior unsecured debt rating is at least A-1 from
S&P or P-1 from Moody’s, which are secured by a fully perfected security interest in any obligation
of the type described in (a) above and has a market value of the time such repurchase is entered
into of not less than 100% of the repurchase obligation of such Lender or such other Person
thereunder, (f) marketable direct obligations issued by any state of the United States of America
or any political subdivision of any such state or any public instrumentality thereof maturing
within twelve (12) months from the date of acquisition thereof, and (g) money market funds which
have at least $1,000,000,000 in assets and which invest primarily in securities of the types
described in clauses (a) through (f) above.

     Change in Law means the occurrence, after the date of this Agreement, of any of the following:
(a) the adoption or taking effect of any law, rule, regulation or treaty, (b) any change in any
law, rule, regulation or treaty or in the administration, interpretation or application thereof by
any Governmental Authority or (c) the making or issuance of any request, guideline or directive
(whether or not having the force of law) by any Governmental Authority.

     Change of Control means, with respect to Parent, an event or series of events by which:

          (a) any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the
Securities Exchange Act of 1934, as amended, but excluding (i) any employee benefit plan of
such person or its subsidiaries, and any person or entity acting in its capacity as trustee,
agent or other fiduciary or administrator of any such plan, and (ii) Tom Powell and his
Affiliates) becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the
Securities Exchange Act of 1934, as amended except that a person or group shall be deemed to
have “beneficial ownership” of all securities that such person or group has the right to
acquire (such right, an “option right”), whether such right is exercisable immediately or
only after the passage of time), directly or indirectly, of 25% or more of the equity
securities of Parent entitled to vote for members of the board of directors or equivalent
governing body of Parent on a fully-diluted basis (and taking into account all such
securities that such person or group has the right to acquire pursuant to any option right);

          (b) with respect to Parent, an event or series of events by which during any period of
12 consecutive months, a majority of the members of the board of directors or other
equivalent governing body of Parent cease to be composed of individuals (i) who were members
of that board or equivalent governing body on the first day of such period, (ii) whose
election or nomination to that board or equivalent governing body was approved by
individuals referred to in clause (i) above constituting at the time of such election or
nomination at least a majority of that board or equivalent governing body or (iii) whose
election or nomination to that board or other equivalent governing body was approved by
individuals referred to in clauses (i) and (ii) above constituting at the time of such
election or nomination at least a majority of that board or equivalent governing body
(excluding, in the case of both clause (ii) and clause (iii), any individual whose initial
nomination for, or assumption of office as, a member of that board or equivalent governing
body occurs as a result of an actual or threatened solicitation of proxies or consents for
the election or removal of one or more directors by any person or group other than a
solicitation for the election of one or more directors by or on behalf of the board of
directors);

5

 

          (c) any Person or two or more Persons acting in concert (other than Tom Powell and his
Affiliates) shall have acquired by contract or otherwise, or shall have entered into a
contract or arrangement that, upon consummation thereof, will result in its or their
acquisition of the power to exercise, directly or indirectly, a controlling influence over
the management or policies of Parent, or control over the equity securities of Parent
entitled to vote for members of the board of directors or equivalent governing body of
Parent on a fully-diluted basis (and taking into account all such securities that such
Person or group has the right to acquire pursuant to any option right) representing 25% or
more of the combined voting power of such securities.

     Closing Date means the first date all the conditions precedent in Section 4.01(a) are
satisfied or waived in accordance with Section 4.01(a).

     Code means the Internal Revenue Code of 1986.

     Collateral is defined in Section 2.14.

     Commitment means, as to each Lender, its obligation to (a) make Revolving Loans to Borrowers
under the Revolving Facility, (b) make Term Loans to UK Borrower under the Term Facility, (c)
purchase participations in L/C Obligations, and (d) purchase participations in Swing Line Loans, in
an aggregate principal amount at any one time outstanding not to exceed the amount set out opposite
such Lender’s name on Schedule 2.01 or in the Assignment Agreement pursuant to which such Lender
becomes a party to this Agreement, as applicable, as such amount may be adjusted from time to time
in accordance with this Agreement.

     Committed Borrowing means a Revolving Borrowing or a Term Borrowing.

     Committed Loan means a Revolving Loan or a Term Loan.

     Committed Loan Notice means a notice of (a) in respect of the Revolving Facility, (i) a
Revolving Borrowing, (ii) a conversion of Revolving Loans from one Type to the other, or (iii) a
continuation of Eurocurrency Rate Revolving Loans, pursuant to Section 2.02(a), or (b) in respect
of the Term Facility, (i) the initial Term Borrowing, (ii) a conversion of Term Loans from one Type
to the other, or (iii) a continuation of Eurocurrency Rate Term Loans, in each case pursuant to
Section 2.02(a), and which, if in writing, shall be substantially in the form of Exhibit C-1.

     Company or Companies means, at any time, Parent and its Subsidiaries.

     Compliance Certificate means a certificate substantially in the form of Exhibit D.

     Consolidated EBITDA means, for any period, for Parent and its Subsidiaries on a consolidated
basis, an amount equal to Consolidated Net Income for such period plus the following to the extent
deducted in calculating such Consolidated Net Income: (a) Consolidated Interest Charges for such
period; (b) the amount paid or the provision for federal, state, local and foreign income taxes
payable by Parent and its Subsidiaries for such period; and (c) the following non-cash charges
deducted in determining such Consolidated Net Income: (i) depreciation and amortization expense;
(ii) charges for the write-off or write-down in the book value of goodwill, and (iii) other
non-cash charges approved by Agent.

     Consolidated Fixed Charge Coverage Ratio means, as of any date of determination, the ratio of
(a) the difference of (i) Consolidated EBITDA for the period of the four fiscal quarters most
recently ended for which Borrowers have delivered Current Financial Statements pursuant to Section
6.01(a) or (b) minus (ii) cash federal, state, local, and foreign income taxes for Parent and its

6

 

Subsidiaries for such period, minus actual cash Capital Expenditures paid during such period,
to (b) Debt Service.

     Consolidated Funded Indebtedness means, as of any date of determination, for Parent and its
Subsidiaries on a consolidated basis, the sum of (a) the outstanding principal amount of all
obligations, whether current or long-term, for borrowed money (including Obligations hereunder) and
all obligations evidenced by bonds, debentures, notes, loan agreements or other similar
instruments, plus (b) all purchase money Indebtedness, plus (c) all direct obligations under surety
bonds in respect of which demand has been made for performance by the surety, (d) all direct
obligations arising under letters of credit (including standby and commercial), bankers’
acceptances, bank guaranties, and similar instruments, plus (e) all obligations in respect of the
deferred purchase price of property or services (other than trade accounts payable in the ordinary
course of business), plus (f) Attributable Indebtedness in respect of capital leases and Synthetic
Lease Obligations, plus (g) without duplication, all Guarantees with respect to outstanding
Indebtedness of the types specified in clauses (a) through (f) above of Persons other than Parent
or any Subsidiary, and plus (h) all Indebtedness of the types referred to in clauses (a) through
(g) above of any partnership or joint venture (other than a joint venture that is itself a
corporation or limited liability company) in which Parent or a Subsidiary is a general partner or
joint venturer, unless such Indebtedness is expressly made non-recourse to Parent or such
Subsidiary.

     Consolidated Interest Charges means, for any period, for Parent and its Subsidiaries on a
consolidated basis, the sum of (a) all interest, premium payments, debt discount, fees, charges and
related expenses of Parent and its Subsidiaries in connection with borrowed money (including
capitalized interest) or in connection with the deferred purchase price of assets, in each case to
the extent treated as interest in accordance with GAAP, and reduced by amounts received pursuant to
any interest rate hedging agreements, plus (b) the portion of rent expense of Parent and its
Subsidiaries with respect to such period under capital leases, if any, that is treated as interest
in accordance with GAAP.

     Consolidated Leverage Ratio means, as of any date of determination, the ratio of (a)
Consolidated Funded Indebtedness as of such date to (b) Consolidated EBITDA for the period of the
four fiscal quarters most recently ended for which Borrowers have delivered Current Financial
Statements pursuant to Section 6.01(a) or (b).

     Consolidated Net Income means, for any period, for Parent and its Subsidiaries on a
consolidated basis, the net income of Parent and its Subsidiaries (excluding extraordinary gains
and in each case the tax effects thereon for that period.

     Consolidated Tangible Net Worth means, as of any date of determination, for Parent and its
Subsidiaries on a consolidated basis, the difference of (a) Shareholders’ Equity of Parent and its
Subsidiaries on that date minus (b) the Intangible Assets of Parent and its Subsidiaries on that
date.

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

     Control has the meaning specified in the definition of “Affiliate.”

     Credit Extension means each of the following: (a) a Borrowing; and (b) an L/C Credit
Extension.

     Current Financial Statements means, when determined, the consolidated financial statements of
Parent and its Subsidiaries most recently delivered to Agent under Section 6.01.

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     Debt Service means, when determined, the sum of the following, without duplication (a) the
principal amount of all Consolidated Funded Indebtedness having a maturity longer than one year
(other than the Term Principal Debt) and paid during the most recently completed four fiscal
quarters period, plus (b) Consolidated Interest Charges paid during the most recently completed
four fiscal quarters period, plus (c) payments made on the Term Principal Debt pursuant to Section
2.07(a) for the most recently completed four fiscal quarters period.

     Debtor Relief Laws means the Bankruptcy Code of the United States, and all other liquidation,
conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, rearrangement,
receivership, insolvency, reorganization, or similar debtor relief Laws of the United States or
other applicable jurisdictions from time to time in effect and affecting the rights of creditors
generally.

     Default means any event or condition that constitutes an Event of Default or that, with the
giving of any notice, the passage of time, or both, would be an Event of Default.

     Default Rate means an interest rate equal to the lesser of (a) the Maximum Rate and (b) the
sum of (i) the Base Rate plus (ii) the Applicable Rate, if any, applicable to Base Rate Loans plus
(iii) 2% per annum; provided that, with respect to a Eurocurrency Rate Loan, the Default Rate shall
be an interest rate equal to the interest rate (including any Applicable Rate) otherwise applicable
to such Loan plus 2% per annum, in each case to the fullest extent permitted by applicable Laws.

     Defaulting Lender means any Lender that (a) has failed to fund any portion of the Revolving
Loans, the Term Loans, participations in L/C Obligations, or participations in Swing Line Loans
required to be funded by it hereunder within 1 Business Day of the date required to be funded by it
hereunder, (b) has otherwise failed to pay over to Agent or any other Lender any other amount
required to be paid by it hereunder within 1 Business Day of the date when due, unless the subject
of a good faith dispute, or (c) has been deemed insolvent or become the subject of a Debtor Relief
Law.

     Designated Account means the deposit account identified as account no. 2552900284 with Bank of
America.

     Designated Sublimit means (a) with respect to Parent, $22,000,000, and (b) with respect to UK
Borrower, £4,000,000.

     Disposition or Dispose means the sale, transfer, license, lease or other disposition
(including any sale and leaseback transaction) of any property by any Person, including any sale,
assignment, transfer or other disposal, with or without recourse, of any notes or accounts
receivable or any rights and claims associated therewith.

     Dollar and $ mean lawful money of the United States.

     Dollar Equivalent means, at any time, (a) with respect to any amount denominated in Dollars,
such amount, and (b) with respect to any amount denominated in any Alternative Currency, the
equivalent amount thereof in Dollars as determined by the Agent or the L/C Issuer, as the case may
be, at such time on the basis of the Spot Rate (determined in respect of the most recent
Revaluation Date) for the purchase of Dollars with such Alternative Currency.

     Domestic Subsidiary means any Subsidiary that is organized under the laws of any political
subdivision of the United States.

     Eligible Assignee has the meaning specified in Section 10.07(g).

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     Eligible Cash Equivalents means, at any time, all Cash Equivalents on deposit with Agent or
any Lender which are subject to an Agency Account Agreement.

     Eligible Stocks means any common or preferred stock which (a) is not subject to statutory or
contractual restrictions on sales, transfers or dispositions, (b) is traded on a U.S. national
stock exchange or included in the National Market tier of NASDAQ and (c) is issued by a company
with a market capitalization, as of the close of the most recent trading day (excluding after hours
trading), of at least $500,000,000, and has, as of the close of the most recent trading day
(excluding after hours trading), a per share price of at least $15.00.

     Eminent Domain Event means any Governmental Authority or any Person acting under a
Governmental Authority institutes proceedings to condemn, seize or appropriate all or part of any
asset of a Company.

     Eminent Domain Proceeds means all amounts received by any Company as a result of any Eminent
Domain Event.

     EMU means the economic and monetary union in accordance with the Treaty of Rome 1957, as
amended by the Single European Act 1986, the Maastricht Treaty of 1992 and the Amsterdam Treaty of
1998.

     EMU Legislation means the legislative measures of the European Council for the introduction
of, changeover to or operation of a single or unified European currency.

     Environmental Laws means any and all Federal, state, local, and foreign statutes, laws,
regulations, ordinances, rules, judgments, orders, decrees, permits, concessions, grants,
franchises, licenses, agreements or governmental restrictions relating to pollution and the
protection of the environment or the release of any materials into the environment, including those
related to hazardous substances or wastes, air emissions and discharges to waste or public systems.

     Environmental Liability means any liability, contingent or otherwise (including any liability
for damages, costs of environmental remediation, fines, penalties or indemnities), of any Borrower,
any other Loan Party or any of their respective Subsidiaries directly or indirectly resulting from
or based upon (a) violation of any Environmental Law, (b) the generation, use, handling,
transportation, storage, treatment or disposal of any Hazardous Materials, (c) exposure to any
Hazardous Materials, (d) the release or threatened release of any Hazardous Materials into the
environment or (e) any contract, agreement or other consensual arrangement pursuant to which
liability is assumed or imposed with respect to any of the foregoing.

     Equity Interests means shares of capital stock, partnership interests, membership interests in
a limited liability company, beneficial interests in a trust or other equity ownership interests in
a Person, and any warrants, options or other rights entitling the holder thereof to purchase or
acquire any such Equity Interest.

     ERISA means the Employee Retirement Income Security Act of 1974.

     ERISA Affiliate means any trade or business (whether or not incorporated) under common control
with Borrower or an Affiliate within the meaning of Section 414(b) or (c) of the Code (and Sections
414(m) and (o) of the Code for purposes of provisions relating to Section 412 of the Code).

     ERISA Event means (a) a Reportable Event with respect to a Pension Plan; (b) a withdrawal by
any Borrower or any ERISA Affiliate from a Pension Plan subject to Section 4063 of ERISA during a

9

 

plan year in which it was a substantial employer (as defined in Section 4001(a)(2) of ERISA)
or a cessation of operations that is treated as such a withdrawal under Section 4062(e) of ERISA;
(c) a complete or partial withdrawal by any Borrower or any ERISA Affiliate from a Multiemployer
Plan or notification that a Multiemployer Plan is in reorganization; (d) the filing of a notice of
intent to terminate, the treatment of a Plan amendment as a termination under Sections 4041 or
4041A of ERISA, or the commencement of proceedings by the PBGC to terminate a Pension Plan or
Multiemployer Plan; (e) an event or condition which constitutes grounds under Section 4042 of ERISA
for the termination of, or the appointment of a trustee to administer, any Pension Plan or
Multiemployer Plan; or (f) the imposition of any liability under Title IV of ERISA, other than for
PBGC premiums due but not delinquent under Section 4007 of ERISA, upon any Borrower or any ERISA
Affiliate.

     Euro and EUR mean the lawful currency of the Participating Member States introduced in
accordance with the EMU Legislation.

     Eurocurrency Rate means, for any Interest Period with respect to a Eurocurrency Rate Loan, the
rate per annum equal to the British Bankers Association LIBOR Rate (“BBA LIBOR”), as published by
Reuters (or other commercially available source providing quotations of BBA LIBOR as designated by
Agent from time to time) at approximately 11:00 a.m., London time, 2 Business Days prior to the
commencement of such Interest Period, for deposits in the relevant currency (for delivery on the
first day of such Interest Period) with a term equivalent to such Interest Period. If such rate is
not available at such time for any reason, then the “Eurocurrency Rate” for such Interest Period
shall be the rate per annum determined by Agent to be the rate at which deposits in the relevant
currency for delivery on the first day of such Interest Period in Same Day Funds in the approximate
amount of the Eurocurrency Rate Loan being made, continued or converted by Bank of America and with
a term equivalent to such Interest Period would be offered by Bank of America’s London Branch (or
other Bank of America branch or Affiliate) to major banks in the London or other offshore interbank
market for such currency at their request at approximately 11:00 a.m. (London time) 2 Business Days
prior to the commencement of such Interest Period.

     Eurocurrency Rate Loan means a Committed Loan that bears interest at a rate based on the
Eurocurrency Rate. Eurocurrency Rate Loans may be denominated in Dollars or in an Alternative
Currency. All Committed Loans denominated in an Alternative Currency must be Eurocurrency Rate
Loans.

     Event of Default has the meaning specified in Section 8.01.

     Excluded Taxes means, with respect to the Agent, any Lender, the L/C Issuer or any other
recipient of any payment to be made by or on account of any obligation of any Borrower hereunder,
(a) taxes imposed on or measured by its overall net income (however denominated), and franchise
taxes imposed on it (in lieu of net income taxes), by the jurisdiction (or any political
subdivision thereof) under the laws of which such recipient is organized or in which its principal
office is located or, in the case of any Lender, in which its applicable Lending Office is located,
(b) any branch profits taxes imposed by the United States or any similar tax imposed by any other
jurisdiction in which such Borrower is located and (c) except as provided in the following
sentence, in the case of a Foreign Lender (other than an assignee pursuant to a request by
Borrowers under Section 10.16), any withholding tax that is imposed on amounts payable to such
Foreign Lender at the time such Foreign Lender becomes a party hereto (or designates a new Lending
Office) or is attributable to such Foreign Lender’s failure or inability (other than as a result of
a Change in Law) to comply with Section 3.01(e), except to the extent that such Foreign Lender (or
its assignor, if any) was entitled, at the time of designation of a new Lending Office (or
assignment), to receive additional amounts from the applicable Borrower with respect to such
withholding tax pursuant to Section 3.01(a). Notwithstanding anything to the contrary contained in
this definition, “Excluded Taxes”

10

 

shall not include any withholding tax imposed at any time on payments made by or on behalf of
a Foreign Obligor to any Lender hereunder or under any other Loan Document, provided that such
Lender shall have complied with the last paragraph of Section 3.01(e).

     Existing Letters of Credit means those certain letters of credit described on attached
Schedule 1.02.

     Existing Loan Agreement means that certain Amended and Restated Loan Agreement dated October
25, 2001, between Parent, as borrower, and Bank of America, as lender (as amended).

     Federal Funds Rate means, for any day, the rate per annum equal to the weighted
average of the rates on overnight Federal funds transactions with members of the Federal Reserve
System arranged by Federal funds brokers on such day, as published by the Federal Reserve Bank of
New York on the Business Day next succeeding such day; provided that (a) if such day is not a
Business Day, the Federal Funds Rate for such day shall be such rate on such transactions on the
next preceding Business Day as so published on the next succeeding Business Day, and (b) if no such
rate is so published on such next succeeding Business Day, the Federal Funds Rate for such day
shall be the average rate (rounded upward, if necessary, to a whole multiple of 1/100 of 1%)
charged to Bank of America on such day on such transactions as determined by Agent.

     Fee Letter means letter agreement, dated June 17, 2005, between the Parent and Bank of
America.

     Fiscal Year means, as to Parent and its Subsidiaries, their fiscal year ending October 31.

     Foreign Lender means, with respect to any Borrower, any Lender that is organized under the
laws of a jurisdiction other than that in which such Borrower is resident for tax purposes. For
purposes of this definition, the United States, each State thereof and the District of Columbia
shall be deemed to constitute a single jurisdiction

     Foreign Obligor means a Loan Party that is a Foreign Subsidiary.

     Foreign Subsidiary means any Subsidiary that is organized under the laws of a jurisdiction
other than the United States, a State thereof or the District of Columbia.

     FRB means the Board of Governors of the Federal Reserve System of the United States.

     Funded Indebtedness means, for any Person, the sum of, without duplication, (a) the
outstanding principal amount of all obligations, whether current or long-term, for borrowed money
and all obligations evidenced by bonds, debentures, notes, loan agreements or other similar
instruments, plus (b) the outstanding principal amount of all purchase money Indebtedness, plus (c)
all direct obligations arising under letters of credit, bankers’ acceptances, bank guaranties,
surety bonds and similar instruments, plus (d) all obligations in respect of the deferred purchase
price of property or services (other than trade accounts payable in the ordinary course of
business), plus (e) Attributable Indebtedness in respect of capital leases and Synthetic Lease
Obligations, plus (f) without duplication, all Guarantees with respect to outstanding Indebtedness
of the types specified in clauses (a) through (e) above of other Persons, and plus (g) all
Indebtedness of the types referred to in clauses (a) through (f) above of any partnership or joint
venture (other than a joint venture that is itself a corporation or limited liability company) in
which such Person is a general partner or joint venturer, unless such Indebtedness is expressly

made non-recourse to such Person.

11

 

     GAAP means generally accepted accounting principles in the United States set out in the
opinions and pronouncements of the Accounting Principles Board and the American Institute of
Certified Public Accountants and statements and pronouncements of the Financial Accounting
Standards Board or such other principles as may be approved by a significant segment of the
accounting profession in the United States, that are applicable to the circumstances as of the date
of determination, consistently applied.

     Governmental Authority means any nation or government, any state or other political
subdivision thereof, any agency, authority, instrumentality, regulatory body, court, administrative
tribunal, central bank or other entity exercising executive, legislative, judicial, taxing,
regulatory or administrative powers or functions of or pertaining to government.

     Guarantee means, as to any Person, any (a) any obligation, contingent or otherwise, of such
Person guaranteeing or having the economic effect of guaranteeing any Indebtedness or other
obligation payable or performable by another Person (the “primary obligor”) in any manner, whether
directly or indirectly, and including any obligation of such Person, direct or indirect, (i) to
purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or
other obligation, (ii) to purchase or lease property, securities or services for the purpose of
assuring the obligee in respect of such Indebtedness or other obligation of the payment or
performance of such Indebtedness or other obligation, (iii) to maintain working capital, equity
capital or any other financial statement condition or liquidity or level of income or cash flow of
the primary obligor so as to enable the primary obligor to pay such Indebtedness or other
obligation, or (iv) entered into for the purpose of assuring in any other manner the obligee in
respect of such Indebtedness or other obligation of the payment or performance thereof or to
protect such obligee against loss in respect thereof (in whole or in part), or (b) any Lien on any
assets of such Person securing any Indebtedness or other obligation of any other Person, whether or
not such Indebtedness or other obligation is assumed by such Person. The amount of any Guarantee
shall be deemed to be an amount equal to the stated or determinable amount of the related primary
obligation, or portion thereof, in respect of which such Guarantee is made or, if not stated or
determinable, the maximum reasonably anticipated liability in respect thereof as determined by the
guaranteeing Person in good faith. The term “Guarantee” as a verb has a corresponding meaning.

     Guarantor means each Subsidiary of Parent and any other Person executing a Guaranty, excluding
Foreign Subsidiaries.

     Guaranty means a guaranty in favor of Agent, for the ratable benefit of the Lenders,
substantially in the form of Exhibit B.

     Hazardous Materials means all explosive or radioactive substances or wastes and all hazardous
or toxic substances, wastes or other pollutants, including petroleum or petroleum distillates,
asbestos or asbestos-containing materials, polychlorinated biphenyls, radon gas, infectious or
medical wastes and all other substances or wastes of any nature regulated pursuant to any
Environmental Law.

     Indebtedness means, as to any Person at a particular time, without duplication, all of the
following, whether or not included as indebtedness or liabilities in accordance with GAAP:

          (a) all obligations of such Person for borrowed money and all obligations of such
Person evidenced by bonds, debentures, notes, loan agreements or other similar instruments;

          (b) all direct or contingent obligations of such Person arising under letters of credit
(including standby and commercial), bankers’ acceptances, bank guaranties, surety bonds and
similar instruments;

12

 

          (c) net obligations of such Person under any Swap Contract;

          (d) all obligations of such Person to pay the deferred purchase price of property or
services (other than trade accounts payable in the ordinary course of business);

          (e) indebtedness (excluding prepaid interest thereon) secured by a Lien on property
owned or being purchased by such Person (including indebtedness arising under conditional
sales or other title retention agreements), whether or not such indebtedness shall have been
assumed by such Person or is limited in recourse;

          (f) capital leases and Synthetic Lease Obligations; and

          (g) all Guarantees of such Person in respect of any of the foregoing.

     For all purposes hereof, the Indebtedness of any Person shall include the Indebtedness of any
partnership or joint venture (other than a joint venture that is itself a corporation or limited
liability company) in which such Person is a general partner or a joint venturer, unless such
Indebtedness is expressly made non-recourse to such Person. The amount of any net obligation under
any Swap Contract on any date shall be deemed to be the Swap Termination Value thereof as of such
date. The amount of any capital lease or Synthetic Lease Obligation as of any date shall be deemed
to be the amount of Attributable Indebtedness in respect thereof as of such date.

     Indemnified Liabilities has the meaning set out in Section 10.05.

     Indemnified Taxes means Taxes other than Excluded Taxes.

     Indemnitees has the meaning set out in Section 10.05.

     Initial Financial Statements means the unaudited consolidated balance sheet of Parent and its
Subsidiaries for the fiscal quarter ended April 30, 2005, and the related consolidated statements
of income or operations, Shareholders’ Equity and cash flows for such fiscal year of Parent and its
Subsidiaries, including the notes thereto.

     Insurance Proceeds means all cash and non-cash proceeds in respect of any insurance policy
maintained by any Company under the terms of this Agreement.

     Intangible Assets means assets that are considered to be intangible assets under GAAP,
including customer lists, goodwill, computer software, copyrights, trade names, trademarks,
patents, franchises, licenses, unamortized deferred charges, unamortized debt discount and
capitalized research and development costs.

     Interest Payment Date means, (a) as to any Loan other than a Base Rate Loan, the last day of
each Interest Period applicable to such Loan and the Maturity Date (in respect of the Term
Facility) or the Termination Date (in respect of the Revolving Facility), as applicable; provided
that, if any Interest Period for a Eurocurrency Rate Loan exceeds three months, the respective
dates that fall every three months after the beginning of such Interest Period shall also be
Interest Payment Dates; and (b) as to any Base Rate Loan (including a Swing Line Loan), the last
Business Day of each March, June, September and December and the Maturity Date (in respect of the
Term Facility) or the Termination Date (in respect of the Revolving Facility), as applicable.

13

 

     Interest Period means as to each Eurocurrency Rate Loan, the period commencing on the date
such Eurocurrency Rate Loan is disbursed, converted to, or continued as a Eurocurrency Rate Loan
and ending on the date one, two, three or six months thereafter, as selected by a Borrower in its
Loan Notice, as the case may be; provided that:

          (a) any Interest Period that would otherwise end on a day that is not a Business Day
shall be extended to the next succeeding Business Day unless, in the case of a Eurocurrency
Rate Loan, such Business Day falls in another calendar month, in which case such Interest
Period shall end on the next preceding Business Day;

          (b) any Interest Period pertaining to a Eurocurrency Rate Loan 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 the calendar month at the end of such Interest Period; and

          (c) no Interest Period shall extend beyond the Termination Date or the Maturity Date,
as applicable.

     Investment means, as to any Person, any direct or indirect acquisition or investment by such
Person, whether by means of (a) the purchase or other acquisition of capital stock or other
securities of another Person, (b) a loan, advance or capital contribution to, Guarantee or
assumption of debt of, or purchase or other acquisition of any other debt or equity participation
or interest in, another Person, including any partnership or joint venture interest in such other
Person, or (c) an Acquisition. For purposes of covenant compliance, the amount of any Investment
shall be the amount actually invested, without adjustment for subsequent increases or decreases in
the value of such Investment.

     IP Rights has the meaning set out in Section 5.18.

     IRS means the United States Internal Revenue Service.

     ISP means, with respect to any Letter of Credit, the “International Standby Practices 1998”
published by the Institute of International Banking Law & Practice (or such later version thereof
as may be in effect at the time of issuance).

     Issuer Documents means with respect to any Letter of Credit, the Letter of Credit Application,
and any other document, agreement and instrument entered into by the L/C Issuer and any Borrower
(or any Subsidiary) or in favor the L/C Issuer and relating to any such Letter of Credit.

     Laws means, collectively, all international, foreign, Federal, state and local statutes,
treaties, rules, guidelines, regulations, ordinances, codes and administrative or judicial
precedents or authorities, including the interpretation or administration thereof by any
Governmental Authority charged with the enforcement, interpretation or administration thereof, and
all applicable administrative orders, directed duties, requests, licenses, authorizations and
permits of, and agreements with, any Governmental Authority, in each case whether or not having the
force of law.

     L/C Advance means, with respect to each Lender, such Lender’s funding of its participation in
any L/C Borrowing in accordance with its Applicable Percentage. All L/C Advances shall be
denominated in Dollars.

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     L/C Borrowing means an extension of credit resulting from a drawing under any Letter of Credit
which has not been reimbursed on the date when made or refinanced as a Revolving Borrowing. All
L/C Borrowings shall be denominated in Dollars.

     L/C Credit Extension means, with respect to any Letter of Credit, the issuance thereof or
extension of the expiry date thereof, or the renewal or increase of the amount thereof.

     L/C Issuer means Bank of America in its capacity as issuer of Letters of Credit hereunder, or
any successor issuer of Letters of Credit hereunder.

     L/C Obligations means, as at any date of determination, the aggregate undrawn amount of all
outstanding Letters of Credit plus the aggregate of all Unreimbursed Amounts, including all L/C
Borrowings. For purposes of computing the amount available to be drawn under any Letter of Credit,
the amount of such Letter of Credit shall be determined in accordance with Section 1.08. For all
purposes of this Agreement, if on any date of determination a Letter of Credit has expired by its
terms but any amount may still be drawn thereunder by reason of the operation of Rule 3.14 of the
ISP, such Letter of Credit shall be deemed to be “outstanding” in the amount so remaining available
to be drawn.

     Lender has the meaning specified in the introductory paragraph to this Agreement and, as the
context requires, includes the L/C Issuer and the Swing Line Lender.

     Lending Office means, as to any Lender, the office or offices of such Lender described as such
in such Lender’s Administrative Questionnaire, or such other office or offices as a Lender may from
time to time notify Borrowers and Agent.

     Letter of Credit means any stand-by letter of credit issued hereunder and shall include the
Existing Letters of Credit.

     Letter of Credit Application means an application and agreement for the issuance or amendment
of a Letter of Credit in the form from time to time in use by the L/C Issuer.

     Letter of Credit Fee has the meaning specified in Section 2.03(i).

     Letter of Credit Sublimit means (a) with respect to Parent, $22,000,000, and (b) with respect
to UK Borrower, £4,000,000. The Letter of Credit Sublimit is part of, and not in addition to, the
Revolving Committed Amount.

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

     Liquid Assets means shall mean the following assets owned by a Loan Party (excluding assets of
any retirement plan) which (i) are not the subject of any Lien other than a Permitted Lien, or
other arrangement with any creditor to have its claim satisfied out of the asset (or proceeds
thereof) prior to the general creditors of such Loan Party may be converted to cash by sale or
other means within 30 days:

          (a) Cash or Eligible Cash Equivalents;

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          (b) Demand deposits or interest-bearing time and eurodollar deposits, certificates of
deposit or similar banking arrangements held in the United States where either (x) such
deposits or other arrangements are held with banks or other financial institutions which
have capital and surplus of not less than $500,000,000 or (y) such deposits are fully
FDIC-insured;

          (c) Direct obligations of the United States of America in the form of United States
Treasury obligations or any governmental agency or instrumentality whose obligations
constitute full faith and credit obligations of the United States of America and which are
regularly traded on a public marker or exchange;

          (d) Commercial paper rated P-1 by Moody’s Investors Services, Inc. or A-1 by Standard &
Poor’s Corporation, a division of McGraw Hill, Inc.;

          (e) Eligible Stocks, either owned directly by a Loan Party or managed on such Loan
Party’s behalf by (x) any nationally recognized investment advisor or (y) any investment
advisor who or which has assets under management in excess of $500,000,000;

          (f) Mutual funds or money market funds that invest substantially all of their assets in
instruments described above in (a), (b), (c), (d), (e) and/or (f) of this definition and
which are quoted in either the Wall Street Journal or Barron’s; and

          (g) securities with maturities of one year or less from the date of acquisition which
are issued, insured, or fully guaranteed by any state, commonwealth or territory of the
United States or by any political subdivision or taxing authority of such state,
commonwealth or territory.

     Loan means an extension of credit by a Lender to any Borrower under Article II in the form of
a Revolving Loan, a Term Loan, or a Swing Line Loan.

     Loan Documents means this Agreement, each Note, the Security Documents, each Guaranty, the
AutoBorrow Agreement, the Fee Letter, and all Swap Contracts under which any Lender or any
Affiliate of any Lender is a party.

     Loan Parties means, collectively, each Borrower and each Guarantor.

     Mandatory Cost means, with respect to any period, the percentage rate per annum determined in
accordance with Schedule 1.01.

     Material Adverse Effect means (a) a material adverse change in, or a material adverse effect
upon, the operations, business, properties, liabilities (actual or contingent), condition
(financial or otherwise) or prospects of Parent and its Subsidiaries taken as a whole; (b) a
material impairment of the ability of any Loan Party to perform its obligations under any Loan
Document to which it is a party; or (c) a material adverse effect upon the legality, validity,
binding effect or enforceability against any Loan Party of any Loan Document to which it is a
party.

     Maturity Date means the earlier of (a) December 31, 2010, or (b) the acceleration of maturity
of the Term Facility in accordance with Section 8 of this Agreement.

     Multiemployer Plan means any employee benefit plan of the type described in Section 4001(a)(3)
of ERISA, to which any Borrower or any ERISA Affiliate makes or is obligated to make contributions,
or during the preceding five plan years, has made or been obligated to make contributions.

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     Net Proceeds means (a) with respect to any Disposition of any asset by any Person, the
aggregate amount of cash and non-cash proceeds from such Disposition received by, or paid to or for
the account of, such Person, net of customary and reasonable out-of-pocket costs, fees, and
expenses (including attorneys’ fees), and (b) with respect to the issuance of equity securities,
debt securities, subordinated debt, or similar instruments, or the incurrence of Indebtedness, the
cash and non-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 with such issuance. Non-cash proceeds
include any proceeds received by way of deferred payment of principal pursuant to a note,
installment receivable, purchase price adjustment receivable, or otherwise, but only as and when
received.

     Note means, as applicable, a Revolving Note or a Term Note.

     Obligations means all advances to, and Indebtedness, liabilities, obligations, covenants and
duties of, any Loan Party arising under any Loan Document or otherwise with respect to any Loan or
Letter of Credit, whether direct or indirect (including those acquired by assumption), absolute or
contingent, due or to become due, now existing or hereafter arising and including interest and fees
that accrue after the commencement by or against any Loan Party or any Affiliate thereof of any
proceeding under any Debtor Relief Laws naming such Person as the debtor in such proceeding,
regardless of whether such interest and fees are allowed claims in such proceeding.

     Organization Documents means, (a) with respect to any corporation, the certificate or articles
of incorporation and the bylaws (or equivalent or comparable constitutive documents with respect to
any non-U.S. jurisdiction); (b) with respect to any limited liability company, the certificate or
articles of formation or organization and operating agreement; and (c) with respect to any
partnership, joint venture, trust or other form of business entity, the partnership, joint venture
or other applicable agreement of formation or organization and any agreement, instrument, filing or
notice with respect thereto filed in connection with its formation or organization with the
applicable Governmental Authority in the jurisdiction of its formation or organization and, if
applicable, any certificate or articles of formation or organization of such entity.

     Other Taxes means 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 under any
other Loan Document or from the execution, delivery or enforcement of, or otherwise with respect
to, this Agreement or any other Loan Document.

     Outstanding Amount means (a) with respect to Committed Loans on any date, the Dollar
Equivalent amount of the aggregate outstanding principal amount thereof after giving effect to any
borrowings and prepayments or repayments of Committed Loans, occurring on such date; (b) with
respect to Swing Line Loans on any date, the aggregate outstanding principal amount thereof after
giving effect to any borrowings and prepayments or repayments of such Swing Line Loans occurring on
such date; and (c) with respect to any L/C Obligations on any date, the amount Dollar Equivalent
amount of the aggregate outstanding amount of such L/C Obligations on such date after giving effect
to any L/C Credit Extension occurring on such date and any other changes in the aggregate amount of
the L/C Obligations as of such date, including as a result of any reimbursement by any Borrower of
Unreimbursed Amounts.

     Overnight Rate means, for any day, (a) with respect to any amount denominated in Dollars, the
greater of (i) the Federal Funds Rate and (ii) an overnight rate determined by the Agent, the L/C
Issuer, or the Swing Line Lender, as the case may be, in accordance with banking industry rules on
interbank compensation, and (b) with respect to any amount denominated in an Alternative Currency,
the rate of interest per annum at which overnight deposits in the applicable Alternative Currency,
in an amount

17

 

approximately equal to the amount with respect to which such rate is being determined, would
be offered for such day by a branch or Affiliate of Bank of America in the applicable offshore
interbank market for such currency to major banks in such interbank market.

     Parent is defined in the preamble this Agreement.

     Participant has the meaning specified in Section 10.07(d).

     Participating Member State means each state so described in any EMU Legislation.

     PBGC means the Pension Benefit Guaranty Corporation.

     Pension Plan means any “employee pension benefit plan” (as such term is defined in Section
3(2) of ERISA), other than a Multiemployer Plan, that is subject to Title IV of ERISA and is
sponsored or maintained by any Borrower or any ERISA Affiliate or to which any Borrower or any
ERISA Affiliate contributes or has an obligation to contribute, or in the case of a multiple
employer or other plan described in Section 4064(a) of ERISA, has made contributions at any time
during the immediately preceding six plan years.

     Permitted Liens means the Liens permitted under Section 7.01.

     Person means any natural person, corporation, limited liability company, trust, joint venture,
association, company, partnership, Governmental Authority or other entity.

     Plan means any “employee benefit plan” (as such term is defined in Section 3(3) of ERISA)
established by any Borrower or, with respect to any such plan that is subject to Section 412 of the
Code or Title IV of ERISA, any ERISA Affiliate.

     Pledge Agreement means each Pledge Agreement in substantially the form of Exhibit E.

     Register has the meaning set out in Section 10.07(c).

     Related Parties means Agent, such Person’s Affiliates and the partners, officers,
directors, employees, agents and advisors of such Person and such Person’s Affiliates.

     Reportable Event means any of the events set out in Section 4043(c) of ERISA, other than
events for which the 30-day notice period has been waived.

     Request for Credit Extension means (a) with respect to a Borrowing, conversion or continuation
of Revolving Loans or Term Loans, a Loan Notice, (b) with respect to an L/C Credit Extension, a
Letter of Credit Application, and (c) with respect to a Swing Line Loan, a Swing Line Loan Notice.

     Required Lenders means, as of any date of determination, Lenders having at least 66-2/3% of
the Aggregate Commitments or, if the commitment of each Lender to make Loans and the obligation of
the L/C Issuer to make L/C Credit Extensions have been terminated pursuant to Section 8.02, Lenders
holding in the aggregate at least 66-2/3% of the Total Outstandings (with the aggregate amount of
each Lender’s risk participation and funded participation in L/C Obligations and Swing Line Loans
being deemed “held” by such Lender for purposes of this definition); provided that, the Commitment
of, and the portion of the Total Outstandings held or deemed held by, any Defaulting Lender shall
be excluded for purposes of making a determination of Required Lenders.

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     Responsible Officer means the chief executive officer, president, chief financial officer,
treasurer of a Loan Party. Any document delivered hereunder that is signed by a Responsible
Officer of a Loan Party shall be conclusively presumed to have been authorized by all necessary
corporate, partnership and/or other action on the part of such Loan Party and such Responsible
Officer shall be conclusively presumed to have acted on behalf of such Loan Party.

     Restricted Payment means any dividend or other distribution (whether in cash, securities or
other property) with respect to any capital stock or other equity interest of Parent or any
Subsidiary, or any payment (whether in cash, securities or other property), including any sinking
fund or similar deposit, on account of the purchase, redemption, retirement, acquisition,
cancellation or termination of any such capital stock or other equity interest or of any option,
warrant or other right to acquire any such capital stock or other equity interest.

     Revaluation Date means (a) with respect to any Loan, each of the following: (i) each date of
a Borrowing of a Eurocurrency Rate Loan denominated in an Alternative Currency, (ii) each date of a
continuation of a Eurocurrency Rate Loan denominated in an Alternative Currency pursuant to Section
2.02, and (iii) such additional dates as the Agent shall determine or the Required Lenders shall
require; and (b) with respect to any Letter of Credit, each of the following: (i) each date of
issuance of a Letter of Credit denominated in an Alternative Currency, (ii) each date of an
amendment of any such Letter of Credit having the effect of increasing the amount thereof (solely
with respect to the increased amount), (iii) each date of any payment by the L/C Issuer under any
Letter of Credit denominated in an Alternative Currency, (iv) in the case of the Existing Letters
of Credit, the date that the conditions precedent in Section 4.01(c) are satisfied and (v) such
additional dates as Agent or the L/C Issuer shall determine or the Required Lenders shall
require. in the amount specified therein.

     Revolving Borrowing means a borrowing consisting of simultaneous Revolving Loans of the same
Type and, in the case of Eurocurrency Rate Loans, having the same Interest Period made by each of
the Lenders pursuant to Section 2.01.

     Revolving Committed Amount means the total of the Revolving Committed Amount set out on
Schedule 2.01.

     Revolving Facility means the revolving credit facility made available by the Lenders pursuant
to Section 2.01(b).

     Revolving Loan means a loan by a Lender under the Revolving Facility.

     Revolving Note and Revolving Notes means, that promissory note substantially in the form of
Exhibit A-1 executed by the applicable Borrower and made payable to a Lender in the original
principal amount of such Lender’s Applicable Percentage of the Revolving Committed Amount, and in
the case of the Swing Line Lender, such amount includes the Swing Line Sublimit.

     Revolving Principal Debt means, when determined, the outstanding principal balance of all
Revolving Notes.

     Same Day Funds means (a) with respect to disbursements and payments in Dollars, immediately
available funds, and (b) with respect to disbursements and payments in an Alternative Currency,
same day or other funds as may be determined by the Agent or the L/C Issuer, as the case may be, to
be customary in the place of disbursement or payment for the settlement of international banking
transactions in the relevant Alternative Currency.

19

 

     SEC means the Securities and Exchange Commission, or any Governmental Authority succeeding to
any of its principal functions.

     Security Documents means all Pledge Agreements and all documents executed in connection
therewith to create or perfect a Lien on the Collateral.

     Shareholders’ Equity means, as of any date of determination, consolidated shareholders’ equity
of Parent and its Subsidiaries as of that date determined in accordance with GAAP.

     Special Notice Currency means at any time an Alternative Currency, other than the currency of
a country that is a member of the Organization for Economic Cooperation and Development at such
time located in North America or Europe.

     Spot Rate for a currency means the rate determined by the Agent or the L/C Issuer, as
applicable, to be the rate quoted by the Person acting in such capacity as the spot rate for the
purchase by such Person of such currency with another currency through its principal foreign
exchange trading office at approximately 11:00 a.m. on the date 2 Business Days prior to the date
as of which the foreign exchange computation is made; provided that the Agent or the L/C Issuer may
obtain such spot rate from another financial institution designated by the Agent or the L/C Issuer
if the Person acting in such capacity does not have as of the date of determination a spot buying
rate for any such currency; and provided further that the L/C Issuer may use such spot rate quoted
on the date as of which the foreign exchange computation is made in the case of any Letter of
Credit denominated in an Alternative Currency.

     Sterling
and “£” means the lawful currency of the United Kingdom.

     Subject Acquisition means the Acquisition by Parent or Inhoco of all of substantially the
assets of Switchgear & Instrumentation Limited pursuant to that certain Agreement for the sale and
purchase of certain assets and the assumption of certain liabilities of Switchgear &
Instrumentation Limited between Inhoco, as buyer, and Switchgear & Instrumentation Limited, as
seller.

     Subordinated Indebtedness means Indebtedness which is contractually subordinated in right of
payment, collection, enforcement and lien rights to the prior payment in full of the Obligation on
terms satisfactory to Required Lenders, and includes Indebtedness in the form of subordinated
convertible debentures or subordinated promissory notes.

     Subsidiary of a Person means a corporation, partnership, joint venture, limited liability
company or other business entity of which a majority of the shares of securities or other interests
having ordinary voting power for the election of directors or other governing body (other than
securities or interests having such power only by reason of the happening of a contingency) are at
the time beneficially owned, or the management of which is otherwise controlled, directly, or
indirectly through one or more intermediaries, or both, by such Person. Unless otherwise
specified, all references in this Agreement to a “Subsidiary” or to “Subsidiaries” shall refer to a
Subsidiary or Subsidiaries of Borrowers.

     Swap Contract means (a) any and all rate swap transactions, basis swaps, credit derivative
transactions, forward rate transactions, commodity swaps, commodity options, forward commodity
contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or
options or forward bond or forward bond price or forward bond index transactions, interest rate
options, forward foreign exchange transactions, cap transactions, floor transactions, collar
transactions, currency swap transactions, cross-currency rate swap transactions, currency options,
spot contracts, or any other similar transactions or any combination of any of the foregoing
(including any options to enter into any of the foregoing), whether or not any such transaction is
governed by or subject to any master agreement, and

20

 

(b) any and all transactions of any kind, and the related confirmations, which are subject to
the terms and conditions of, or governed by, any form of master agreement published by the
International Swaps and Derivatives Association, Inc., any International Foreign Exchange Master
Agreement, or any other master agreement (any such master agreement, together with any related
schedules, a “Master Agreement”), including any such obligations or liabilities under any Master
Agreement, in each case to the extent any Loan Party is obligated thereon.

     Swap Termination Value means, in respect of any one or more Swap Contracts, after taking into
account the effect of any legally enforceable netting agreement relating to such Swap Contracts,
(a) for any date on or after the date such Swap Contracts have been closed out and termination
value(s) determined in accordance therewith, such termination value(s), and (b) for any date prior
to the date referenced in clause (a), the amount(s) determined as the mark-to-market value(s) for
such Swap Contracts, as determined based upon one or more mid-market or other readily available
quotations provided by any recognized dealer in such Swap Contracts (which may include a Lender or
any Affiliate of a Lender).

     Swing Line means the revolving credit facility made available by the Swing Line Lender
pursuant to Section 2.04.

     Swing Line Borrowing means a borrowing of a Swing Line Loan pursuant to Section 2.04.

     Swing Line Lender means Bank of America in its capacity as provider of Swing Line Loans, or
any successor swing line lender hereunder.

     Swing Line Loan has the meaning specified in Section 2.04(a).

     Swing Line Loan Notice means a notice of a Swing Line Borrowing pursuant to Section 2.04(b),
which, if in writing, shall be substantially in the form of Exhibit C-2.

     Swing Line Sublimit means an amount equal to the lesser of (a) $3,000,000, and (b) the
Revolving Committed Amount. The Swing Line Sublimit is part of, and not in addition to, the
Revolving Committed Amount.

     Synthetic Lease Obligation means the monetary obligation of a Person under (a) a so-called
synthetic, off-balance sheet or tax retention lease, or (b) an agreement for the use or possession
of property creating obligations that do not appear on the balance sheet of such Person but which,
upon the insolvency or bankruptcy of such Person, would be characterized as the indebtedness of
such Person (without regard to accounting treatment).

     TARGET Day means any day on which the Trans-European Automated Real-Time Gross Settlement
Express Transfer (TARGET) payment system (or, if such payment system ceases to be operative, such
other payment system (if any) determined by the Agent to be a suitable replacement) is open for the
settlement of payments in Euro.

     Tax Code means the Internal Revenue Code of 1986.

     Taxes means, for any Person, taxes, assessments or other governmental charges or levies
imposed upon that Person, its income, or any of its properties, franchises or assets.

21

 

     Term Borrowing means a borrowing consisting of simultaneous Term Loans of the same Type and,
in the case of Eurocurrency Rate Loans, having the same Interest Period made by each of the Lenders
pursuant to Section 2.01.

     Term Committed Amount means the total of the Term Committed Amount set out on Schedule 2.01.

     Term Facility is defined in Section 2.01(a).

     Term Loan means a Loan by a Lender under the Term Facility.

     Term Note and Term Notes means, that promissory note substantially in the form of Exhibit A-2
executed by UK Borrower and made payable to a Lender in the original principal amount of such
Lender’s Applicable Percentage of the Term Committed Amount.

     Term Principal Debt means, when determined, the outstanding principal balance of all Term
Notes.

     Termination Date means the earlier of (a) June 30, 2008, or (b) the effective date that the
Lenders’ commitments to make Revolving Loans and purchase participations in L/C’s and Swing Line
Loans are otherwise cancelled or terminated in accordance with Section 8 of this Agreement, or
otherwise.

     Total Outstandings means the aggregate Outstanding Amount of all Loans and all L/C
Obligations.

     Type means with respect to a Revolving Loan or the Term Loan, its character as a Base Rate
Loan or a Eurocurrency Rate Loan.

     UCC means the Uniform Commercial Code, as adopted in Texas and as amended from time to time.

     Unfunded Pension Liability means the excess of a Pension Plan’s benefit liabilities under
Section 4001(a)(16) of ERISA, over the current value of that Pension Plan’s assets, determined in
accordance with the assumptions used for funding the Pension Plan pursuant to Section 412 of the
Code for the applicable plan year.

     United States and U.S. mean the United States of America.

     Unreimbursed Amount has the meaning set out in Section 2.03(c)(i).

     1.02 Other Interpretive Provisions. With reference to this Agreement and each other Loan
Document, unless otherwise specified in this Agreement or in such other Loan Document:

          (a) The meanings of defined terms are equally applicable to the singular and plural
forms of the defined terms.

          (i) The words “herein,” “hereto,” “hereof” and “hereunder” and words of similar
import when used in any Loan Document shall refer to such Loan Document as a whole
and not to any particular provision thereof.

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          (ii) Article, Section, Exhibit and Schedule references are to the Loan Document
in which such reference appears.

          (iii) The term “including” is by way of example and not limitation.

          (iv) The term “documents” includes any and all instruments, documents,
agreements, certificates, notices, reports, financial statements and other writings,
however evidenced, whether in physical or electronic form.

          (b) In the computation of periods of time from a specified date to a later specified
date, the word “from” means “from and including;” the words “to” and “until” each mean “to
but excluding;” and the word “through” means “to and including.”

          (c) Section headings in this Agreement and in the other Loan Documents are included for
convenience of reference only and shall not affect the interpretation of this Agreement or
any other Loan Document.

     1.03 Accounting Terms.

          (a) Generally. All accounting terms not specifically or completely defined in this
Agreement shall be construed in conformity with, and all financial data (including financial
ratios and other financial calculations) required to be submitted pursuant to this Agreement
shall be prepared in conformity with, GAAP applied on a consistent basis, as in effect from
time to time, applied in a manner consistent with that used in preparing the Initial
Financial Statements and the Current Financial Statements, except as otherwise specifically
prescribed in this Agreement.

          (b) Changes in GAAP. If at any time any change in GAAP would affect the computation of
any financial ratio or requirement set out in any Loan Document, and either Borrowers or the
Required Lenders shall so request, Agent, the Lenders and Borrowers shall negotiate in good
faith to amend such ratio or requirement to preserve the original intent thereof in light of
such change in GAAP (subject to the approval of the Required Lenders); provided that, until
so amended, (i) such ratio or requirement shall continue to be computed in accordance with
GAAP prior to such change therein and (ii) Borrowers shall provide to Agent and the Lenders
financial statements and other documents required under this Agreement or as reasonably
requested hereunder setting forth a reconciliation between calculations of such ratio or
requirement made before and after giving effect to such change in GAAP.

     1.04 Exchange Rates; Currency Equivalents.

          (a) The Agent or the L/C Issuer, as applicable, shall determine the Spot Rates as of
each Revaluation Date to be used for calculating Dollar Equivalent amounts of Credit
Extensions and Outstanding Amounts denominated in Alternative Currencies. Such Spot Rates
shall become effective as of such Revaluation Date and shall be the Spot Rates employed in
converting any amounts between the applicable currencies until the next Revaluation Date to
occur. Except for purposes of financial statements delivered by Loan Parties hereunder or
calculating financial covenants hereunder or except as otherwise provided herein, the
applicable amount of any currency (other than Dollars) for purposes of the Loan Documents shall be such Dollar
Equivalent amount as so determined by the Agent or the L/C Issuer, as applicable.

          (b) Wherever in this Agreement in connection with a Committed Borrowing, conversion,
continuation or prepayment of a Eurocurrency Rate Loan or the issuance, amendment or

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extension of a Letter of Credit, an amount, such as a required minimum or multiple amount,
is expressed in Dollars, but such Committed Borrowing, Eurocurrency Rate Loan or Letter of
Credit is denominated in an Alternative Currency, such amount shall be the relevant
Alternative Currency Equivalent of such Dollar amount (rounded to the nearest unit of such
Alternative Currency, with 0.5 of a unit being rounded upward), as determined by Agent or
the L/C Issuer, as the case may be.

     1.05 Additional Alternative Currencies.

          (a) Borrowers may from time to time request that Eurocurrency Rate Loans be made and/or
Letters of Credit be issued in a currency other than those specifically listed in the
definition of “Alternative Currency;” provided that, such requested currency is a lawful
currency (other than Dollars) that is readily available and freely transferable and
convertible into Dollars. In the case of any such request with respect to the making of
Eurocurrency Rate Loans, such request shall be subject to the approval of the Agent and the
Lenders; and in the case of any such request with respect to the issuance of Letters of
Credit, such request shall be subject to the approval of the Agent and the L/C Issuer.

          (b) Any such request shall be made to the Agent not later than 11:00 a.m., 20 Business
Days prior to the date of the desired Credit Extension (or such other time or date as may be
agreed by the Agent and, in the case of any such request pertaining to Letters of Credit,
the L/C Issuer, in its or their sole discretion). In the case of any such request
pertaining to Eurocurrency Rate Loans, the Agent shall promptly notify each Lender thereof;
and in the case of any such request pertaining to Letters of Credit, the Agent shall
promptly notify the L/C Issuer thereof. Each Lender (in the case of any such request
pertaining to Eurocurrency Rate Loans) or the L/C Issuer (in the case of a request
pertaining to Letters of Credit) shall notify the Agent, not later than 11:00 a.m., 10
Business Days after receipt of such request whether it consents, in its sole discretion, to
the making of Eurocurrency Rate Loans or the issuance of Letters of Credit, as the case may
be, in such requested currency.

          (c) Any failure by a Lender or the L/C Issuer, as the case may be, to respond to such
request within the time period specified in the preceding sentence shall be deemed to be a
refusal by such Lender or the L/C Issuer, as the case may be, to permit Eurocurrency Rate
Loans to be made or Letters of Credit to be issued in such requested currency. If the Agent
and all the Lenders consent to making Eurocurrency Rate Loans in such requested currency,
the Agent shall so notify Borrower and such currency shall thereupon be deemed for all
purposes to be an Alternative Currency hereunder for purposes of any Committed Borrowings of
Eurocurrency Rate Loans; and if the Agent and the L/C Issuer consent to the issuance of
Letters of Credit in such requested currency, the Agent shall so notify Borrower and such
currency shall thereupon be deemed for all purposes to be an Alternative Currency hereunder
for purposes of any Letter of Credit issuances. If the Agent shall fail to obtain consent to
any request for an additional currency under this Section 1.05, the Agent shall promptly so
notify Borrower.

     1.06 Change of Currency

          (a) Each obligation of the Borrowers to make a payment denominated in the national
currency unit of any member state of the European Union that adopts the Euro as its lawful
currency after the date hereof shall be redenominated into Euro at the time of such adoption
(in accordance with the EMU Legislation). If, in relation to the currency of any such
member state, the basis of accrual of interest expressed in this Agreement in respect of
that currency shall be inconsistent with any convention or practice in the London interbank
market for the basis of

24

 

accrual of interest in respect of the Euro, such expressed basis
shall be replaced by such convention or practice with effect from the date on which such
member state adopts the Euro as its lawful currency; provided that if any Committed
Borrowing in the currency of such member state is outstanding immediately prior to such
date, such replacement shall take effect, with respect to such Committed Borrowing, at the
end of the then current Interest Period.

          (b) Each provision of this Agreement shall be subject to such reasonable changes of
construction as the Agent may from time to time specify to be appropriate to reflect the
adoption of the Euro by any member state of the European Union and any relevant market
conventions or practices relating to the Euro.

          (c) Each provision of this Agreement also shall be subject to such reasonable changes
of construction as the Agent may from time to time specify to be appropriate to reflect a
change in currency of any other country and any relevant market conventions or practices
relating to the change in currency.

     1.07 Times of Day. Unless otherwise specified, all references in this Agreement to times of
day shall be references to Central time (daylight or standard, as applicable).

     1.08 Letter of Credit Amounts. Unless otherwise specified herein, the amount of a Letter of
Credit at any time shall be deemed to be the Dollar Equivalent of the stated amount of such Letter
of Credit in effect at such time; provided, however, that with respect to any Letter of Credit
that, by its terms or the terms of any Issuer Document related thereto, provides for one or more
automatic increases in the stated amount thereof, the amount of such Letter of Credit shall be
deemed to be the Dollar Equivalent of the maximum stated amount of such Letter of Credit after
giving effect to all such increases, whether or not such maximum stated amount is in effect at such
time.

ARTICLE II.

THE COMMITMENTS AND CREDIT EXTENSIONS

     2.01 Term Facility and Revolving Facility.

          (a) Term Commitment. Subject to the terms and conditions of this Agreement, on the
Closing Date each Lender severally and not jointly agrees to make a Loan to UK Borrower in
Sterling in an amount equal to its Applicable Percentage of the Term Committed Amount, in a
single Base Rate Loan (subject to conversion to a Eurocurrency Rate Loan pursuant to Section
2.03) which when prepaid or repaid may not be reborrowed (the “Term Facility”). The Loan
under the Term Facility is subject to the following conditions:

          (i) The Term Borrowing must occur on the Closing Date which must be a Business
Day;

          (ii) the Term Borrowing must be in the Term Committed Amount; and

          (iii) after giving effect to the Term Loan, (1) the Total Outstandings shall
not exceed the Aggregate Commitments, (2) the aggregate Outstanding Amount of the
Committed Loans of any Lender, plus such Lender’s Applicable Percentage of the
Outstanding Amount of all L/C Obligations, plus such Lender’s Applicable Percentage
of the Outstanding Amount of all Swing Line Loans shall not exceed such Lender’s
Commitment, and (3) the Outstanding Amounts of such Lender’s Term Loans may not
exceed such Lender’s Applicable Percentage of the Term Committed Amount.

25

 

          (b) Revolving Commitment. Subject to the terms and conditions of this Agreement, each
Lender severally agrees to make one or more Revolving Loans to the Borrowers in Dollars or
in one or more Alternative Currencies from time to time, on any Business Day during the
Availability Period, in an amount not to exceed at any time outstanding the amount of such
Lender’s Commitment which, subject to the other terms and conditions of this Agreement,
Borrowers may borrow under this Section 2.01, prepay under Section 2.05, and reborrow under
this Section 2.01 (the “Revolving Facility”). Lenders’ commitments to lend under the
Revolving Facility shall expire at 1:00 p.m. on the last Business Day preceding the
Termination Date, provided that, Borrowers’ obligations and Lenders’ rights under the Loan
Documents shall continue in full force and effect until the Obligation is paid in full.
Revolving Loans under the Revolving Facility are subject to the following conditions:

          (i) each Revolving Borrowing (unless the remaining Available Revolving Amount
is less) must be in an amount not less than $500,000 or a whole multiple of $100,000
(if a Base Rate Loan) or $500,000 or a whole multiple of $100,000 (if a Eurocurrency
Rate Loan) in excess thereof;

          (ii) no Revolving Borrowing may exceed the Available Revolving Amount;

          (iii) all Revolving Loans made to Parent shall be in Dollars; and

          (iv) after giving effect to any Revolving Loan, (1) the Outstanding Amount of
all Revolving Loans, L/C Obligations, and Swing Line Loans may not exceed the
Revolving Committed Amount, (2) the Total Outstandings shall not exceed the
Aggregate Commitments, (3) the aggregate Outstanding Amount of the Committed Loans
of any Lender, plus such Lender’s Applicable Percentage of the Outstanding Amount of
all L/C Obligations, plus such Lender’s Applicable Percentage of the Outstanding
Amount of all Swing Line Loans shall not exceed such Lender’s Commitment, (4) the
aggregate Outstanding Amounts of all Revolving Loans made to UK Borrower shall not
exceed its Designated Sublimit, (5) the aggregate Outstanding Amounts of all
Revolving Loans made to Parent shall not exceed its Designated Sublimit, (6) the
aggregate Outstanding Amount of all Revolving Loans denominated in Alternative
Currencies shall not exceed the Alternative Currency Sublimit.

     2.02 Borrowings, Conversions and Continuations of Committed Loans.

          (a) Each Committed Borrowing, each conversion of Committed Loans from one Type to the
other, and each continuation of Eurocurrency Rate Loans shall be made upon Borrower’s
irrevocable notice to Agent, which may be given by telephone. Each such notice must be
received by Agent not later than 11:00 a.m. (i) 3 Business Days prior to the requested date
of any Borrowing of, conversion to or continuation of Eurocurrency Rate Loans or of any
conversion of Eurocurrency Rate Loans to Base Rate Committed Loans, (ii) 4 Business Days (or
5 Business Days in the case of a Special Notice Currency) prior to the requested
date of any Borrowing or continuation of Eurocurrency Rate Loans denominated in Alternative
Currencies, and (iii) on the requested date of any Borrowing of Base Rate Committed Loans.
Each telephonic notice by Borrower pursuant to this Section 2.02(a) must be confirmed
promptly by delivery to Agent of a written Committed Loan Notice, appropriately completed
and signed by a Responsible Officer of Borrower. Each Borrowing of, conversion to or
continuation of Eurocurrency Rate Loans shall be in a principal amount of $500,000 or a
whole multiple of $100,000 in excess thereof. Except as provided in Sections 2.03(c) and
2.04(c), each conversion to Base Rate Committed Loans shall be in a principal amount of
$500,000 or a whole multiple of $100,000 in excess thereof. Each

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Committed Loan Notice
(whether telephonic or written) shall specify (i) whether Borrower is requesting a Committed
Borrowing, a conversion of Committed Loans from one Type to the other, or a continuation of
Eurocurrency Rate Loans, (ii) the requested date of the Borrowing, conversion or
continuation, as the case may be (which shall be a Business Day), (iii) the principal amount
of Committed Loans to be borrowed, converted or continued, (iv) the Type of Committed Loans
to be borrowed or to which existing Committed Loans are to be converted, (v) if applicable,
the duration of the Interest Period with respect thereto and , (vi) the currency of the
Committed Loan to be borrower. If Borrower fails to specify a Type of Committed Loan in a
Committed Loan Notice or if Borrower fails to give a timely notice requesting a conversion
or continuation, then the applicable Committed Loans shall be made as, or converted to, Base
Rate Loans provided, however, that in each case of a failure to timely request a
continuation of Committed Loans denominated in an Alternative Currency, such Loans shall be
continued as Eurocurrency Rate Loans in their original currency with an Interest Period of
one month. Any such automatic conversion to Base Rate Loans shall be effective as of the
last day of the Interest Period then in effect with respect to the applicable Eurocurrency
Rate Loans. If Borrower requests a Borrowing of, conversion to, or continuation of
Eurocurrency Rate Loans in any such Committed Loan Notice, but fails to specify an Interest
Period, it will be deemed to have specified an Interest Period of one month. No Committed
Loan may be converted into or continued as a Committed Loan denominated in a different
currency, but instead must be prepaid in the original currency of such Committed Loan or
reborrowed in other currency.

          (b) Following receipt of a Committed Loan Notice, Agent shall promptly notify each
Lender of the amount of its Applicable Percentage of the applicable Committed Loans, and if
no timely notice of a conversion or continuation is provided by Borrower, Agent shall notify
each Lender of the details of any automatic conversion to Base Rate Loans or the
continuation of Committed Loans denominated in a currency other than Dollars, in each case
described in the preceding subsection. In the case of a Committed Borrowing, each Lender
shall make the amount of its Committed Loan available to Agent in Same Day Funds at Agent’s
Office not later than 1:00 p.m., in the case of any Committed Loan denominated in Dollars,
and not later than the Applicable Time specified by the Agent in the case of any Committed
Loan in an Alternative Currency, in each case on the Business Day specified in the
applicable Committed Loan Notice. Upon satisfaction of the applicable conditions set out in
Sections 4.02 and 4.03 (and, if such Borrowing is the initial Credit Extension, Section
4.01), Agent shall make all funds so received available to Borrower in like funds as
received by Agent either by (i) crediting the account of Borrower on the books of Bank of
America with the amount of such funds or (ii) wire transfer of such funds, in each case in
accordance with instructions provided to (and reasonably acceptable
to) Agent by Borrower; provided that, if, on the date the Committed Loan Notice with
respect to such Borrowing denominated in Dollars is given by Borrower, there are L/C
Borrowings outstanding, then the proceeds of such Borrowing shall be applied, first,
to the payment in full of any such L/C Borrowings, and, second, shall be made
available to Borrower as provided above.

          (c) Except as otherwise provided in this Agreement, a Eurocurrency Rate Loan may be
continued or converted only on the last day of an Interest Period for such Eurocurrency Rate
Loan. During the existence of a Default, no Loans may be requested as, converted to or
continued as Eurocurrency Rate Loans (whether in Dollars or any Alternative Currency)
without the consent of the Required Lenders, and the Required Lenders may demand that any or
all of the then outstanding Eurocurrency Rate Loans denominated in an Alternative Currency
be prepaid, or redenominated in Dollars in the amount of the Dollar Equivalent thereof, on
the last day of the then current Interest Period with respect thereto.

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          (d) Agent shall promptly notify Borrower and the Lenders of the interest rate
applicable to any Interest Period for Eurocurrency Rate Loans upon determination of such
interest rate. At any time that Base Rate Loans are outstanding, Agent shall notify
Borrower and the Lenders of any change in Bank of America’s prime rate used in determining
the Base Rate promptly following the public announcement of such change.

          (e) After giving effect to all Committed Borrowings, all conversions of Committed Loans
from one Type to the other, and all continuations of Committed Loans as the same Type, there
shall not be more than 5 Interest Periods in effect with respect to Committed Loans.

     2.03 Letters of Credit.

          (a) The Letter of Credit Commitment.

          (i) Subject to the terms and conditions set out in this Agreement, (A) the L/C
Issuer agrees, in reliance upon the agreements of the other Lenders set out in this
Section 2.03, (1) from time to time on any Business Day during the period from the
Closing Date until the Termination Date, to issue Letters of Credit denominated in
Dollars for the account of Parent, and denominated in Dollars or in one or more
Alternative currencies for the account of UK Borrower, and to amend Letters of
Credit previously issued by it, in accordance with clause (b) below, and (2) to
honor drafts under the Letters of Credit; and (B) the Lenders severally agree to
participate in Letters of Credit issued for the account of Borrowers and any drawing
thereunder; provided that after giving effect to any L/C Extension with respect to
any Letter of Credit, (A) the Total Outstandings shall not exceed the Aggregate
Commitments, (B) the Outstanding Amount of all Revolving Loans, L/C Obligations, and
Swing Line Loans shall not exceed the Revolving Committed Amount, (C) the aggregate
Outstanding Amount of the Committed Loans of any Lender, plus such Lender’s
Applicable Percentage of the Outstanding Amount of all L/C Obligations, plus such
Lender’s Applicable Percentage of the Outstanding Amount of all Swing Line Loans
would exceed such Lender’s Commitment, (D) the aggregate Outstanding Amount of the
Revolving Loans of any Lender, plus such Lender’s Applicable Percentage of the
Outstanding Amount of all L/C Obligations, plus such Lender’s Applicable Percentage
of the Outstanding Amount of all Swing Line Loans shall not exceed such Lender’s
Applicable Percentage of the Revolving Committed Amount, (E) the Outstanding Amount
of the L/C Obligations for Parent shall
not exceed its Letter of Credit Sublimit, (F) the Outstanding Amount of the L/C
Obligations for UK Borrower shall not exceed its Letter of Credit Sublimit. Each
request by the Borrowers for the issuance or amendment of a Letter of Credit shall
be deemed to be a representation by the Borrowers that the L/C Extension so
requested complies with the conditions set forth in the provisos to the preceding
sentence. Within the foregoing limits, and subject to the terms and conditions
hereof, Borrower’s ability to obtain Letters of Credit shall be fully revolving, and
accordingly any Borrower may, during the foregoing period, obtain Letters of Credit
to replace Letters of Credit that have expired or that have been drawn upon and
reimbursed. From and after the occurrence of the Closing Date and the satisfaction
of all conditions precedent in Section 4.01(c), all Existing Letters of Credit shall
be deemed to have been issued pursuant hereto, and shall be subject to and governed
by the terms and conditions hereof.

          (ii) The L/C Issuer shall not issue any Letter of Credit, if:

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          (1) the face amount of such requested Letter of Credit is greater than
$1,000,000, and the expiry date would occur after the Termination Date;

          (2) the face amount of such requested Letter of Credit is less than
$1,000,000, and the expiry date of such requested Letter of Credit would
occur more than 364 days after the Termination Date; and

          (3) the face amount of such requested Letter of Credit, collectively
with all Borrowers’ outstanding Letters of Credit with an expiry date after
the Termination Date, exceeds $3,000,000.

          (iii) The L/C Issuer shall not be under any obligation to issue any Letter of
Credit if:

          (1) any order, judgment or decree of any Governmental Authority or
arbitrator shall by its terms purport to enjoin or restrain the L/C Issuer
from issuing such Letter of Credit, or any Law applicable to the L/C Issuer
or any request or directive (whether or not having the force of law) from
any Governmental Authority with jurisdiction over the L/C Issuer shall
prohibit, or request that the L/C Issuer refrain from, the issuance of
letters of credit generally or such Letter of Credit in particular or shall
impose upon the L/C Issuer with respect to such Letter of Credit any
restriction, reserve or capital requirement (for which the L/C Issuer is not
otherwise compensated hereunder) not in effect on the Closing Date, or shall
impose upon the L/C Issuer any unreimbursed loss, cost or expense which was
not applicable on the Closing Date and which the L/C Issuer in good faith
deems material to it;

          (2) the issuance of such Letter of Credit would violate one or more
policies of the L/C Issuer;

          (3) except as otherwise agreed by the Agent and the L/C Issuer, such
Letter of Credit is in an initial stated amount less than $50,000.

          (4) except as otherwise agreed by the Agent and the L/C Issuer, such
Letter of Credit is to be denominated in a currency other than Dollars or an
Alternative Currency;

          (5) the L/C Issuer does not as of the issuance date of such requested
Letter of Credit issue Letters of Credit in the requested currency;

          (6) such Letter of Credit contains any provisions for automatic
reinstatement of the stated amount after any drawing thereunder; or

          (7) a default of any Lender’s obligations to fund under Section 2.03(c)
exists or any Lender is at such time a Defaulting Lender hereunder, unless
the L/C Issuer has entered into satisfactory arrangements with the Borrowers
or such Lender to eliminate the L/C Issuer’s risk with respect to such
Lender.

          (iv) The L/C Issuer shall be under no obligation to amend any Letter of Credit
if (A) the L/C Issuer would have no obligation at such time to issue such Letter of

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Credit in its amended form under the terms hereof, or (B) the beneficiary of such
Letter of Credit does not accept the proposed amendment to such Letter of Credit.

          (v) The L/C Issuer shall act on behalf of the Lenders with respect to any
Letters of Credit issued by it and the documents associated therewith, and the L/C
Issuer shall have all of the benefits and immunities (A) provided to the Agent in
Article IX with respect to any acts taken or omissions suffered by the L/C Issuer in
connection with Letters of Credit issued by it or proposed to be issued by it and
Issuer Documents pertaining to such Letters of Credit as fully as if the term
“Agent” as used in Article IX included the L/C Issuer with respect to such acts or
omissions, and (B) as additionally provided herein with respect to the L/C Issuer.

          (b) Procedures for Issuance and Amendment of Letters of Credit.

          (i) Each Letter of Credit shall be issued or amended, as the case may be, upon
the request of any Borrower delivered to the L/C Issuer (with a copy to Agent) in
the form of a Letter of Credit Application, appropriately completed and signed by a
Responsible Officer of such Borrower. Such Letter of Credit Application must be
received by the L/C Issuer and Agent not later than 11:00 a.m. at least 2 Business
Days (or such later date and time as the Agent L/C Issuer may agree in a particular
instance in their sole discretion) prior to the proposed issuance date or date of
amendment, as the case may be. In the case of a request for an initial issuance of
a Letter of Credit, such Letter of Credit Application shall specify in form and
detail satisfactory to the L/C Issuer: (A) the proposed issuance date of the
requested Letter of Credit (which shall be a Business Day); (B) the amount thereof;
(C) the expiry date thereof; (D) the name and address of the beneficiary thereof;
(E) the documents to be presented by such beneficiary in case of any drawing
thereunder; (F) the full text of any certificate to be presented by such beneficiary
in case of any drawing thereunder; and (G) such other matters as the L/C Issuer may
require. In the case of a request for an amendment of any outstanding Letter of
Credit, such Letter of Credit Application shall specify in form and detail
satisfactory to the L/C Issuer (A) the Letter of Credit to be amended; (B) the
proposed date of amendment thereof (which shall be a Business Day); (C) the nature
of the proposed amendment; and (D) such other matters as the L/C Issuer or Agent may
require.

          (ii) Promptly after receipt of any Letter of Credit Application, the L/C Issuer
will confirm with Agent (by telephone or in writing) that Agent has received a copy
of such Letter of Credit Application from Borrower and, if not, the L/C Issuer will
provide Agent with a copy thereof. Unless L/C Issuer has received written notice from
any Lender, the Agent or any Loan Party, at least one Business Day prior to the
requested date of issuance or amendment of the applicable Letter of Credit, that one
or more applicable conditions contained in Article IV shall not then be satisfied,
then, subject to the terms and conditions hereof, the L/C Issuer shall, on the
requested date, issue a Letter of Credit for the account of Borrower or enter into
the applicable amendment, as the case may be, in each case in accordance with the
L/C Issuer’s usual and customary business practices. Immediately upon the issuance
of each Letter of Credit, each Lender shall be deemed to, and hereby irrevocably and
unconditionally agrees to, purchase from the L/C Issuer a risk participation in such
Letter of Credit in an amount equal to the product of such Lender’s Applicable
Percentage times the amount of such Letter of Credit.

          (iii) Promptly after its delivery of any Letter of Credit or any amendment to a
Letter of Credit to an advising bank with respect thereto or to the beneficiary
thereof, the

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L/C Issuer will also deliver to Borrower and Agent a true and complete
copy of such Letter of Credit or amendment.

          (c) Drawings and Reimbursements; Funding of Participations.

          (i) Upon receipt from the beneficiary of any Letter of Credit of any notice of
a drawing under such Letter of Credit, the L/C Issuer shall notify Borrower and
Agent thereof. In the case of a Letter of Credit denominated in an Alternative
Currency, Borrower shall reimburse L/C Issuer in such Alternative Currency, unless
(A) L/C Issuer (at its option) shall have specified in such notice that it will
require reimbursement in Dollars, or (B) in the absence of any such requirement for
reimbursement in Dollars, Borrower shall have notified the L/C Issuer promptly
following receipt of the notice of drawing that Borrower will reimburse the L/C
Issuer in Dollars. In the case of any such reimbursement in Dollars of a drawing
under a Letter of Credit denominated in an Alternative Currency, the L/C Issuer
shall notify Borrower of the Dollar Equivalent of the amount of the drawing promptly
following the determination thereof. Not later than 11:00 a.m. on the date of any
payment by the L/C Issuer under a Letter of Credit to be reimbursed in Dollars, or
the Applicable Time on the date of any payment by the L/C Issuer under a Letter of
Credit to be reimbursed in an Alternative Currency (each such date, an “Honor
Date”), Borrower shall reimburse the L/C Issuer through Agent in an amount equal to
the amount of such drawing and in the applicable currency. If Borrower fails to so
reimburse the L/C Issuer by such time, Agent shall promptly notify each Lender of
the Honor Date, the amount of the unreimbursed drawing (expressed in Dollars in the
amount of the Dollar Equivalent thereof in the case of a Letter of Credit
denominated in an Alternative Currency) (the “Unreimbursed Amount”), and the amount
of such Lender’s Applicable Percentage thereof. In such event, Borrower shall be
deemed to have requested a Committed Borrowing of Base Rate Loans to be disbursed on
the Honor Date in an amount equal to the Unreimbursed Amount, without regard to the
minimum and multiples specified in Section 2.02 for the principal amount of Base
Rate Loans, but subject to the amount of the unutilized portion of the Aggregate
Commitments and the conditions set out in Section 4.03 (other than the delivery of a
Committed Loan Notice). Any notice given by the L/C Issuer or Agent pursuant to
this Section 2.03(c)(i) may be given by telephone if immediately confirmed in
writing; provided that, the lack of such an immediate confirmation shall not affect
the conclusiveness or binding effect of such notice.

          (ii) Each Lender shall upon any notice pursuant to Section 2.03(c)(i) make
funds available to Agent for the account of the L/C Issuer, In Dollars, at Agent’s
Office for Dollar-denominated payments in an amount equal to its Applicable
Percentage of the Unreimbursed Amount not later than 1:00 p.m. on the Business Day
specified in such notice by Agent, whereupon, subject to the provisions of Section
2.03(c)(iii), each Lender that so makes funds available shall be deemed to have made
a Base Rate Committed Loan to Borrower in such amount. Agent shall remit the funds
so received to the L/C Issuer in Dollars.

          (iii) With respect to any Unreimbursed Amount that is not fully refinanced by a
Committed Borrowing of Base Rate Loans because the conditions set out in Section
4.03 cannot be satisfied or for any other reason, Borrower shall be deemed to have
incurred from the L/C Issuer an L/C Borrowing in the amount of the Unreimbursed
Amount that is not so refinanced, which L/C Borrowing shall be due and payable on
demand (together with interest) and shall bear interest at the Default Rate. In
such event,

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each Lender’s payment to Agent for the account of the L/C Issuer
pursuant to Section 2.03(c)(ii) shall be deemed payment in respect of its
participation in such L/C Borrowing and shall constitute an L/C Advance from such
Lender in satisfaction of its participation obligation under this Section 2.03.

          (iv) Until each Lender funds its Committed Loan or L/C Advance pursuant to this
Section 2.03(c) to reimburse the L/C Issuer for any amount drawn under any Letter of
Credit, interest in respect of such Lender’s Applicable Percentage of such amount
shall be solely for the account of the L/C Issuer.

          (v) Each Lender’s obligation to make Committed Loans or L/C Advances to
reimburse the L/C Issuer for amounts drawn under Letters of Credit, as contemplated
by this Section 2.03(c), shall be absolute and unconditional and shall not be
affected by any circumstance, including (A) any set-off, counterclaim, recoupment,
defense or other right which such Lender may have against the L/C Issuer, Borrowers
or any other Person for any reason whatsoever; (B) the occurrence or continuance of
a Default, or (C) any other occurrence, event or condition, whether or not similar
to any of the foregoing; provided that, each Lender’s obligation to make Committed
Loans pursuant to this Section 2.03(c) is subject to the conditions set out in
Section 4.03 (other than delivery by Borrower of a Committed Loan Notice). No such
making of an L/C Advance shall relieve or otherwise impair the obligation of
Borrower to reimburse the L/C Issuer for the amount of any payment made by the L/C
Issuer under any Letter of Credit, together with interest as provided in this
Agreement.

          (vi) If any Lender fails to make available to Agent for the account of the L/C
Issuer any amount required to be paid by such Lender pursuant to the foregoing
provisions of this Section 2.03(c) by the time specified in Section 2.03(c)(ii), the
L/C Issuer shall be entitled to recover from such Lender (acting through Agent), on
demand, such amount with interest thereon for the period from the date such payment
is required to the date on which such payment is immediately available to the L/C
Issuer at a rate per annum equal to the applicable Overnight Rate from time to time
in effect. A certificate of the L/C Issuer submitted to any Lender (through Agent)
with respect to any amounts owing under this clause (vi) shall be conclusive absent
manifest error.

          (d) Repayment of Participations.

          (i) At any time after the L/C Issuer has made a payment under any Letter of
Credit and has received from any Lender such Lender’s L/C Advance in respect of such
payment in accordance with Section 2.03(c), if Agent receives for the account of the
L/C Issuer any payment in respect of the related Unreimbursed Amount or interest
thereon (whether directly from Borrower or otherwise, including proceeds of Cash
Collateral applied thereto by Agent), Agent will distribute to such Lender its
Applicable Percentage thereof (appropriately adjusted, in the case of interest
payments, to reflect the period of time during which such Lender’s L/C Advance was
outstanding) in Dollars and in the same funds as those received by Agent.

          (ii) If any payment received by Agent for the account of the L/C Issuer
pursuant to Section 2.03(c)(i) is required to be returned under any of the
circumstances described in Section 10.06 (including pursuant to any settlement
entered into by the L/C Issuer in its discretion), each Lender shall pay to Agent
for the account of the L/C Issuer its Applicable Percentage thereof on demand of
Agent, plus interest thereon from the date

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of such demand to the date such amount is
returned by such Lender, at a rate per annum equal to the applicable Overnight Rate
from time to time in effect. The obligations of the Lenders under this clause shall
survive the payment in full of the Obligations and the termination of this
Agreement.

          (e) Obligations Absolute. The obligation of Borrower to reimburse the L/C Issuer for
each drawing under each Letter of Credit and to repay each L/C Borrowing shall be absolute,
unconditional and irrevocable, and shall be paid strictly in accordance with the terms of
this Agreement under all circumstances, including the following:

          (i) any lack of validity or enforceability of such Letter of Credit, this
Agreement, or any other agreement or instrument relating thereto;

          (ii) the existence of any claim, counterclaim, set-off, defense or other right
that Borrower may have at any time against any beneficiary or any transferee of such
Letter of Credit (or any Person for whom any such beneficiary or any such transferee
may be acting), the L/C Issuer or any other Person, whether in connection with this
Agreement, the transactions contemplated hereby or by such Letter of Credit or any
agreement or instrument relating thereto, or any unrelated transaction;

          (iii) any draft, demand, certificate or other document presented under such
Letter of Credit proving to be forged, fraudulent, invalid or insufficient in any
respect or any statement therein being untrue or inaccurate in any respect; or any
loss or delay in the transmission or otherwise of any document required in order to
make a drawing under such Letter of Credit;

          (iv) any payment by the L/C Issuer under such Letter of Credit against
presentation of a draft or certificate does not strictly comply with the terms of
such Letter of Credit; or any payment made by the L/C Issuer under such Letter of
Credit to any Person purporting to be a trustee in bankruptcy, debtor-in-possession,
assignee for the benefit of creditors, liquidator, receiver or other representative
of or successor to any beneficiary or any transferee of such Letter of Credit,
including any arising in connection with any proceeding under any Debtor Relief Law;

          (v) any adverse change in the relevant exchange rates or in the availability of
the relevant Alternative Currency to the Borrowers or in the relevant currency
markets generally; or

          (vi) any other circumstance or happening whatsoever, whether or not similar to
any of the foregoing, including any other circumstance that might otherwise
constitute a defense available to, or a discharge of, Borrower.

     Borrower shall promptly examine a copy of each Letter of Credit and each amendment thereto
that is delivered to it and, in the event of any claim of noncompliance with Borrower’s
instructions or other irregularity, Borrower will immediately notify the L/C Issuer. Borrower
shall be conclusively deemed to have waived any such claim against the L/C Issuer and its
correspondents unless such notice is given as aforesaid.

          (f) Role of L/C Issuer. Each Lender and Borrower agree that, in paying any drawing
under a Letter of Credit, the L/C Issuer shall not have any responsibility to obtain any
document (other than any sight draft, certificates and documents expressly required by the
Letter of Credit)

33

 

or to ascertain or inquire as to the validity or accuracy of any such
document or the authority of the Person executing or delivering any such document. None of
the L/C Issuer, the Agent, any of their respective Related Parties nor any correspondent,
participant or assignee of the L/C Issuer shall be liable to any Lender for (i) any action
taken or omitted in connection herewith at the request or with the approval of the Lenders
or the Required Lenders, as applicable; (ii) any action taken or omitted in the absence of
gross negligence or willful misconduct; or (iii) the due execution, effectiveness, validity
or enforceability of any document or instrument related to any Letter of Credit or Issuer
Document. Borrower hereby assumes all risks of the acts or omissions of any beneficiary or
transferee with respect to its use of any Letter of Credit; provided that, this assumption
is not intended to, and shall not, preclude Borrower’s pursuing such rights and remedies as
it may have against the beneficiary or transferee at law or under any other agreement. None
of the L/C Issuer, the Agent, any of their respective Related Parties, nor any
correspondent, participant or assignee of the L/C Issuer, shall be liable or responsible for
any of the matters described in clauses (i) through (v) of Section 2.03(e); provided that,
anything in such clauses to the contrary notwithstanding, Borrower may have a claim against
the L/C Issuer, and the L/C Issuer may be liable to Borrower, to the extent, but only to the
extent, of any direct, as opposed to consequential or exemplary, damages suffered by
Borrower which Borrower proves were caused by the L/C Issuer’s willful misconduct or gross
negligence or the L/C Issuer’s willful failure to pay under any Letter of Credit after the
presentation to it by the beneficiary of a sight draft and certificate(s) strictly complying
with the terms and conditions of a Letter of Credit. In furtherance and not in limitation
of the foregoing, the L/C Issuer may accept documents that appear on their face to be in
order, without responsibility for further investigation, regardless of any notice or
information to the contrary, and the L/C Issuer shall not be responsible for the validity or
sufficiency of any instrument transferring or assigning or purporting to transfer or assign
a Letter of Credit or the rights or benefits thereunder or proceeds thereof, in whole or in
part, which may prove to be invalid or ineffective for any reason.

          (g) Cash Collateral. Upon the request of Agent, (i) if the L/C Issuer has honored any
full or partial drawing request under any Letter of Credit and such drawing has resulted in
an L/C Borrowing that has not been repaid, or (ii) if, as of the Termination Date, any
Letter of Credit is for any reason remain outstanding, Borrower shall, in each case,
immediately Cash Collateralize the then Outstanding Amount of all L/C Obligations. In
addition, if the Agent notifies Borrower at any time that the Outstanding Amount of all L/C
Obligations at such time exceeds 105% of the Letter of Credit Sublimit then in effect, then,
within 2 Business Days after receipt of such notice,
Borrower shall Cash Collateralize the L/C Obligations in an amount equal to the amount
by which the Outstanding Amount of all L/C Obligations exceeds the Letter of Credit
Sublimit. The Agent may, at any time and from time to time after the initial deposit of
Cash Collateral, request that additional Cash Collateral be provided in order to protect
against the results of exchange rate fluctuations. Sections 2.05 and 8.02(c) set forth
certain additional requirements to deliver Cash Collateral hereunder. For purposes hereof,
“Cash Collateralize” means to pledge and deposit with or deliver to Agent, for the benefit
of the L/C Issuer and the Lenders, as collateral for the L/C Obligations, cash or deposit
account balances pursuant to documentation in form and substance satisfactory to Agent and
the L/C Issuer (which documents are hereby consented to by the Lenders). Derivatives of
such term have corresponding meanings. Borrower hereby grants to Agent, for the benefit of
the L/C Issuer and the Lenders, a security interest in all such cash, deposit accounts and
all balances therein and all proceeds of the foregoing. Cash collateral shall be maintained
in blocked, non-interest bearing deposit accounts at Bank of America.

          (h) Applicability of ISP98 and UCP. Unless otherwise expressly agreed by the L/C
Issuer and Borrower when a Letter of Credit is issued (including any such agreement
applicable to an Existing Letter of Credit), (i) the rules of the ISP shall apply to each
standby Letter of Credit

34

 

and (ii) the rules of the Uniform Customs and Practice for
Documentary Credits, as most recently published by the International Chamber of Commerce at
the time of issuance shall apply to each commercial Letter of Credit.

          (i) Letter of Credit Fees. Borrower shall pay to Agent for the account of each Lender
in accordance with its Applicable Percentage, in Dollars, a Letter of Credit fee (the
“Letter of Credit Fee”) for each standby Letter of Credit equal to the Applicable Rate times
the Dollar Equivalent of the daily amount available to be drawn under such Letter of Credit.
For purposes of computing the daily amount available to be drawn under any Letter of
Credit, the amount of such Letter of Credit shall be determined in accordance with Section
1.08. Letter of Credit Fees shall be (i) computed on a quarterly basis in arrears and (ii)
due and payable on the first Business Day after the end of each March, June, September and
December, commencing with the first such date to occur after the issuance of such Letter of
Credit, on the Termination Date and thereafter on demand. If there is any change in the
Applicable Rate during any quarter, the daily amount available to be drawn under each
standby Letter of Credit shall be computed and multiplied by the Applicable Rate separately
for each period during such quarter that such Applicable Rate was in effect.
Notwithstanding anything to the contrary contained herein, upon the request of the Required
Lenders, while any Event of Default exists, all Letter of Credit Fees shall accrue at the
Default Rate.

          (j) Fronting Fee and Documentary and Processing Charges Payable to L/C Issuer.
Borrower shall pay directly to the L/C Issuer for its own account, in Dollars, a fronting
fee with respect to each standby Letter of Credit, at the rate per annum specified in the
Fee Letter, computed on the Dollar Equivalent of the daily amount available to be drawn
under such Letter of Credit on a quarterly basis in arrears. Such fronting fee shall be due
and payable on the tenth Business Day after the end of each March, June, September and
December in respect of the most recently-ended quarterly period (or portion thereof, in the
case of the first payment), commencing with the first such date to occur after the issuance
of such Letter of Credit, on the Termination Date and thereafter on demand. For purposes of
computing the daily amount available to be drawn under any Letter of Credit, the amount of
such Letter of Credit shall be determined in accordance with Section 1.08. In addition,
Borrower shall pay directly to the L/C Issuer for its own account, in Dollars, the customary
issuance, presentation, amendment and other processing fees, and other standard costs and
charges, of the L/C Issuer relating to letters of credit as from
time to time in effect. Such customary fees and standard costs and charges are due and
payable on demand and are nonrefundable.

          (k) Conflict with Letter of Credit Application. In the event of any conflict between
the terms hereof and the terms of any Letter of Credit Application, the terms hereof shall
control.

          (l) Letters of Credit Issued for Subsidiaries. Notwithstanding that a Letter of Credit
issued or outstanding hereunder is in support of any obligations of, or is for the account
of, a Subsidiary, Parent shall be obligated to reimburse the L/C Issuer hereunder for any
and all drawings under such Letter of Credit. Parent hereby acknowledges that the issuance
of Letters of Credit for the account of Subsidiaries inures to the benefit of the Parent and
its Subsidiaries, and that the Parent’s business derives substantial benefits from the
businesses of such Subsidiaries.

     2.04 Swing Line Loans.

          (a) The Swing Line. Subject to the terms and conditions set out in this Agreement, the
Swing Line Lender agrees to, in reliance upon the agreements of the other Lenders set forth
in this Section 2.04, make loans in Dollars (each such loan, a “Swing Line Loan”) to
Borrower

35

 

from time to time on any Business Day during the Availability Period in an aggregate
amount not to exceed at any time outstanding the amount of the Swing Line Sublimit,
notwithstanding the fact that such Swing Line Loans, when aggregated with the Applicable
Percentage of the Outstanding Amount of Revolving Loans and L/C Obligations of the Lender
acting as Swing Line Lender, may exceed the amount of such Lender’s Applicable Percentage of
the Revolving Committed Amount; provided that, after giving effect to any Swing Line Loan,
(i) the Total Outstandings may not exceed the Aggregate Commitments, (ii) the Outstanding
Amount of all Revolving Loans, L/C Obligations, and Swing Line Loans may not exceed the
Revolving Committed Amount, (iii) the aggregate Outstanding Amount of the Committed Loans of
any Lender, plus such Lender’s Applicable Percentage of the Outstanding Amount of all L/C
Obligations, plus such Lender’s Applicable Percentage of the Outstanding Amount of all Swing
Line Loans shall not exceed such Lender’s Commitment, (iv) the aggregate Outstanding Amounts
of all Revolving Loans made to UK Borrower shall not exceed its Designated Sublimit, and (v)
the aggregate Outstanding Amount of all Revolving Loans made to Parent shall not exceed its
Designated Sublimit; and provided further, that Borrower shall not use the proceeds of any
Swing Line Loan to refinance any outstanding Swing Line Loan. Within the foregoing limits,
and subject to the other terms and conditions hereof, Borrower may borrow under this Section
2.04, prepay under Section 2.05, and reborrow under this Section 2.04. Each Swing Line Loan
shall be a Base Rate Loan. Immediately upon the making of a Swing Line Loan, each Lender
shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the
Swing Line Lender a risk participation in such Swing Line Loan in an amount equal to the
product of such Lender’s Applicable Percentage times the amount of such Swing Line
Loan.

     (b) Borrowing Procedures. Each Swing Line Borrowing shall be made upon Borrower’s
irrevocable notice to the Swing Line Lender and Agent, which may be given by telephone.
Each such notice must be received by the Swing Line Lender and Agent not later than 1:00
p.m. on the requested borrowing date, and shall specify (i) the amount to be borrowed, which
shall be a minimum of $500,000 or a greater integral multiple of $100,000, and (ii) the
requested borrowing date, which shall be a Business Day. Each such telephonic notice must
be confirmed promptly by delivery to the Swing Line Lender and Agent of a written Swing Line
Loan Notice, appropriately completed and signed by a Responsible Officer of Borrower.
Promptly after receipt by the Swing Line Lender of any telephonic Swing Line Loan Notice,
the Swing Line Lender will confirm with Agent (by telephone or in writing) that Agent has
also received such Swing Line Loan Notice and, if not, the Swing Line Lender will notify
Agent (by telephone or in writing) of the contents thereof. Unless the Swing Line Lender
has received notice (by telephone or in writing) from Agent (including at the request of any
Lender) prior to 2:00 p.m. on the date of the proposed Swing Line Borrowing (A) directing
the Swing Line Lender not to make such Swing Line Loan as a result of the limitations set
out in the proviso to the first sentence of Section 2.04(a), or (B) that one or more of the
applicable conditions specified in Article IV is not then satisfied, then, subject to the
terms and conditions hereof, the Swing Line Lender will, not later than 3:00 p.m. on the
borrowing date specified in such Swing Line Loan Notice, make the amount of its Swing Line
Loan available to Borrower at its office by (i) crediting the account of Borrower on the
books of the Swing Line Lender in Same Day Funds.

     (c) Refinancing of Swing Line Loans.

     (i) The Swing Line Lender at any time in its sole and absolute discretion may
request, on behalf of Borrower (which hereby irrevocably authorizes the Swing Line
Lender to so request on its behalf), that each Lender make a Base Rate Revolving
Loan in an amount equal to such Lender’s Applicable Percentage of the amount of
Swing Line Loans then outstanding. Such request shall be made in writing (which
written request

36

 

shall be deemed to be a Committed Loan Notice for purposes hereof) and in
accordance with the requirements of Section 2.02, without regard to the minimum and
multiples specified therein for the principal amount of Base Rate Loans, but subject
to the Available Amount and the conditions set out in Section 4.03. The Swing Line
Lender shall furnish Borrower with a copy of the applicable Committed Loan Notice
promptly after delivering such notice to Agent. Each Lender shall make an amount
equal to its Applicable Percentage of the amount specified in such Committed Loan
Notice available to Agent in Same Day funds for the account of the Swing Line Lender
at Agent’s Office for Dollar-denominated payments not later than 1:00 p.m. on the
day specified in such Committed Loan Notice, whereupon, subject to Section
2.04(c)(ii), each Lender that so makes funds available shall be deemed to have made
a Base Rate Revolving Loan to Borrower in such amount. Agent shall remit the funds
so received to the Swing Line Lender.

     (ii) If for any reason any Swing Line Loan cannot be refinanced by such a
Revolving Borrowing in accordance with Section 2.04(c)(i), the request for Base Rate
Revolving Loans submitted by the Swing Line Lender as set out in this Agreement
shall be deemed to be a request by the Swing Line Lender that each of the Lenders
fund its risk participation in the relevant Swing Line Loan and each Lender’s
payment to Agent for the account of the Swing Line Lender pursuant to Section
2.04(c)(i) shall be deemed payment in respect of such participation.

     (iii) If any Lender fails to make available to Agent for the account of the
Swing Line Lender any amount required to be paid by such Lender pursuant to the
foregoing provisions of this Section 2.04(c) by the time specified in Section
2.04(c)(i), the Swing Line Lender shall be entitled to recover from such Lender
(acting through Agent), on demand, such amount with interest thereon for the period
from the date such payment is required to the date on which such payment is
immediately available to the Swing Line Lender at a rate per annum equal to the
applicable Overnight Rate from time to time in effect. A certificate of the Swing
Line Lender submitted to any Lender (through Agent) with respect to any amounts
owing under this clause (iii) shall be conclusive absent manifest error.

     (iv) Each Lender’s obligation to make Revolving Loans or to purchase and fund
risk participations in Swing Line Loans pursuant to this Section 2.04(c) shall be
absolute and unconditional and shall not be affected by any circumstance, including
(A) any set-off, counterclaim, recoupment, defense or other right which such Lender
may have against the Swing Line Lender, Borrower or any other Person for any reason
whatsoever, (B) the occurrence or continuance of a Default, or (C) any other
occurrence, event or condition, whether or not similar to any of the foregoing;
provided that, each Lender’s obligation to make Revolving Loans pursuant to this
Section 2.04(c) is subject to the conditions set out in Section 4.03. No such
funding of risk participations shall relieve or otherwise impair the obligation of
Borrower to repay Swing Line Loans, together with interest as provided in this
Agreement.

     (d) Repayment of Participations.

     (i) At any time after any Lender has purchased and funded a risk participation
in a Swing Line Loan, if the Swing Line Lender receives any payment on account of
such Swing Line Loan, the Swing Line Lender will distribute to such Lender its
Applicable Percentage of such payment (appropriately adjusted, in the case of
interest

37

 

payments, to reflect the period of time during which such Lender’s risk
participation was funded) in the same funds as those received by the Swing Line
Lender.

     (ii) If any payment received by the Swing Line Lender in respect of principal
or interest on any Swing Line Loan is required to be returned by the Swing Line
Lender under any of the circumstances described in Section 10.06 (including pursuant
to any settlement entered into by the Swing Line Lender in its discretion), each
Lender shall pay to the Swing Line Lender its Applicable Percentage thereof on
demand of Agent, plus interest thereon from the date of such demand to the date such
amount is returned, at a rate per annum equal to the applicable Overnight Rate.
Agent will make such demand upon the request of the Swing Line Lender. The
obligations of the Lenders under this clause shall survive the payment in full of
the Obligations and the termination of this Agreement.

     (e) Interest for Account of Swing Line Lender. The Swing Line Lender shall be
responsible for invoicing Borrower for interest on the Swing Line Loans. Until each Lender
funds its Base Rate Revolving Loan or risk participation pursuant to this Section 2.04 to
refinance such Lender’s Applicable Percentage of any Swing Line Loan, interest in respect of
such Applicable Percentage shall be solely for the account of the Swing Line Lender.

     (f) Payments Directly to Swing Line Lender. Borrower shall make all payments
of principal and interest in respect of the Swing Line Loans directly to the Swing Line
Lender.

     2.05 Prepayments.

     (a) Borrowers may, upon notice to the Agent, at any time or from time to time
voluntarily prepay Committed Loans in whole or in part without premium or penalty; provided
that (i) such notice must be received by Agent not later than 11:00 a.m. (A) 3 Business Days
prior to any date of prepayment of Eurocurrency Rate Loans denominated in Dollars, (B) 4
Business Days (or 5, in the case of prepayment of Loans denominated in Special Notice
Currencies) prior to any date of prepayment of Eurocurrency Rate Loans denominated in
Alternative Currencies, and (C) on the date of prepayment of Base Rate Committed Loans; (ii)
any prepayment of Eurocurrency Rate Loans shall be in a principal amount of $500,000 or a
whole multiple of $100,000 in excess thereof; (iii) any prepayment of Eurocurrency Rate
Loans denominated in Alternative Currencies shall be in a minimum principal amount of
$500,000 or a whole multiple of $100,000 in excess thereof; and (iv) any prepayment of Base
Rate Committed Loans shall be in a principal amount of $500,000 or a whole multiple of
$100,000 in excess thereof or, in each case, if less, the entire principal amount thereof
then outstanding. Each such notice shall specify the date and amount of such prepayment and
the Type(s) of Committed Loans to be prepaid and if Eurocurrency Loans are to be prepaid,
the Interest Period(s) of such Loans. Agent will promptly notify each Lender of its receipt
of each such notice, and of the amount of such Lender’s Applicable Percentage of such
prepayment. If such notice is given by Borrowers, Borrowers shall make such prepayment and
the payment amount specified in such notice shall be due and payable on the date specified
therein. Any prepayment of a Eurocurrency Rate Loan shall be accompanied by all accrued
interest thereon, together with any additional amounts required pursuant to Section 3.05.
Each such prepayment shall be applied to the applicable Committed Loans of the Lenders in
accordance with their respective Applicable Percentages.

     (b) Borrowers may, upon notice to the Swing Line Lender (with a copy to the Agent), at
any time or from time to time, voluntarily prepay Swing Line Loans in whole or in part
without premium or penalty; provided that (i) such notice must be received by the Swing Line
Lender and

38

 

the Agent not later than 1:00 p.m. on the date of the prepayment, and (ii) any such
prepayment shall be in a minimum principal amount of $100,000. Each such notice shall
specify the date and amount of such prepayment. If such notice is given by Borrowers,
Borrowers shall make such prepayment and the payment amount specified in such notice shall
be due and payable on the date specified therein.

     (c) If for any reason the Total Outstandings at any time exceed the Aggregate
Commitments then in effect, Borrower shall immediately prepay Loans and/or Cash
Collateralize the L/C Obligations in an aggregate amount equal to such excess; provided
that, Borrower shall not be required to Cash Collateralize the L/C Obligations pursuant to
this Section 2.05(c) unless after the prepayment in full of the Committed Loans and Swing
Line Loans the Total Outstandings exceed the Aggregate Commitments then in effect. The
Agent may, at any time and from time to time after the initial deposit of such Cash
Collateral, request that additional Cash Collateral be provided in order to protect against
the results of further exchange rate fluctuations.

     (d) If the Agent notifies Borrowers at any time that the Outstanding Amount of all
Loans denominated in Alternative Currencies at any time exceeds the Alternative Currency
Sublimit then in effect, then, within 2 Business Days after receipt of such notice, the
Borrowers shall prepay Loans in an aggregate amount sufficient to reduce such Outstanding
Amount as of such date of payment to an amount not to exceed 100% of the Alternative
Currency Sublimit then in effect.

     (e) If for any reason the Outstanding Amount of Revolving Loans, L/C Obligations, and
Swing Line Loans ever exceeds the Revolving Committed Amount, then, subject to Section
2.01(c), Borrowers shall promptly, and in any event no later than 3 Business Days after
written notice from Agent, prepay the Revolving Facility in an amount equal to the excess,
together with all accrued and unpaid interest on the principal amount prepaid and any
additional amounts required pursuant to Section 3.05 and/or Cash Collateralize the L/C
Obligations; provided that, Borrower shall not be required to Cash Collateralize the L/C
Obligations pursuant to this Section 2.05(f) unless after the prepayment in full of the
Revolving Facility the Total Outstandings exceed the Aggregate Commitments then in effect.
All such prepayments shall be applied ratably among the Revolving Notes (based on the
proportion of each Revolving Note’s outstanding principal to the Outstanding Amount of all
Revolving Loans).

     (f) On the date such amounts are received by, or for the account of, Borrowers (or the
applicable Company), or in respect of clause (vi) below, on the date specified in Section
6.02(c), the following amounts shall be paid to Agent in the form received with any
endorsement or assignment and shall be applied to Outstanding Amount of Term Loans in
accordance with this Section 2.05(g):

     (i) 100% of the Net Proceeds of any Funded Indebtedness incurred by any Company
after the Closing Date, excluding the Obligations;

     (ii) 50% of the Net Proceeds from the issuance of any Equity Interest by any
Company, excluding Equity Interests issued (A) to officers or employees of any
Borrower as part of a compensation agreement, (B) to any current holder of an Equity
Interest in any Borrower pursuant to a commitment that became legally enforceable
against any Borrower prior to the Closing Date, and (C) in connection with an
Acquisition to which Agent has given its prior written consent;

39

 

     (iii) 100% of the Net Proceeds from the Disposition of any asset of any Company
(excluding Dispositions expressly permitted under Section 7.05), unless, prior to or
within 30 days after the applicable Company’s receipt of the proceeds, a Responsible
Officer of Parent delivers to Agent a certificate certifying that such proceeds will
be used to purchase a replacement asset that is substantially similar to the asset
being Disposed of or to acquire another asset useful in such Company’s business
within 60 days after such Company receives such proceeds;

     (iv) 100% of Insurance Proceeds, unless, prior to or within 30 days after the
applicable Company’s receipt of the Insurance Proceeds, a Responsible Officer of
Parent delivers to Agent a certificate certifying that such proceeds will be used to
repair, restore or replace the remaining portion of the damaged property or to
acquire another asset useful in such Company’s business within 180 days after such
Company receives such proceeds (or such longer period of time as Agent and Parent
agree is reasonable for the replacement of such damaged property);

     (v) 100% of Eminent Domain Proceeds, unless, prior to or within 30 days after
the applicable Company’s receipt of the Eminent Domain Proceeds, a Responsible
Officer of Parent delivers to Agent a certificate certifying that such proceeds will
be used to repair, restore or replace the remaining portion of the condemned
property or to acquire another asset useful in such Company’s business within 180
days after such Company receives such proceeds (or such longer period of time as
Agent and Parent agree is reasonable for the replacement of such damaged property);

     Borrowers shall promptly apply such amounts to prepay the Outstanding Amounts of the Term
Loans, together with all accrued and unpaid interest on the principal amount prepaid, until paid in
full. All such prepayments shall be applied ratably among the Term Notes (based on the proportion
of each Term Note’s outstanding principal to the Outstanding Amount of all Term Loans) and then to
the scheduled principal payments on each Term Note in the inverse order of their maturity. After
the Term Facility has been paid in full, (a) if no Default or Event of Default exists, any excess
proceeds shall be delivered to Borrower, and (b) if a Default or Event of Default exists, Borrower
shall promptly apply the remaining proceeds to prepay the Outstanding Amounts of the Revolving
Loans, together with all accrued and unpaid interest on the principal amount prepaid, until the
Revolving Facility is paid in full. All remaining proceeds shall be applied to Cash Collateralize
the L/C Obligations, with any excess proceeds being delivered to Borrower any other Person entitle
to receive such amounts. If all or part of the proceeds excluded from the mandatory prepayment
requirements of this Section 2.05 in accordance with clauses (iii), (iv), or (v) above, are not
used as certified within time specified in the applicable certificate, the remaining portion of
such proceeds shall immediately be paid to Agent as a mandatory prepayment to be applied in
accordance with this Section 2.05.

     2.06 Termination or Reduction of Commitments. Borrower may, upon notice to Agent, terminate
the Aggregate Commitments, or from time to time permanently reduce the Revolving Committed Amount;
provided that (i) any such notice shall be received by Agent not later than 11:00 a.m. 5 Business
Days prior to the date of termination or reduction, (ii) any such partial reduction shall be in an
aggregate amount of $5,000,000 or any whole multiple of $1,000,000 in excess thereof, (iii)
Borrower shall not terminate or reduce the Aggregate Commitments if, after giving effect thereto
and to any concurrent prepayments hereunder, the Total Outstandings would exceed the Aggregate
Commitments, and (iv) if, after giving effect to any reduction of the Revolving Commitment Amount,
the Alternative Currency Sublimit, the Letter of Credit Sublimit or the Swing Line Sublimit exceeds
the amount of the Revolving Commitment Amount, such Sublimit shall be automatically reduced by the
amount of such excess. Agent will promptly notify the Lenders of any such notice of termination or
reduction of the

40

 

Aggregate Commitments. Any reduction of the Aggregate Commitments shall be applied to the
Commitment of each Lender according to its Applicable Percentage. All fees accrued until the
effective date of any termination of the Aggregate Commitments shall be paid on the effective date
of such termination.

     2.07 Repayment of Loans.

     (a) UK Borrower shall repay to the Lenders (i) commencing March 31, 2006 and continuing
on the last Business Day of each December, March, June, and September, an amount equal to
£300,000 in respect of the Term Principal Debt, and (ii) on the Maturity Date, the Term
Principal Debt outstanding on such date, together with all accrued and unpaid interest on
such principal amount and any additional amounts required pursuant to Section 3.05.

     (b) Borrowers shall repay to the Lenders on the Termination Date the Revolving
Principal Debt outstanding on such date, together with all accrued and unpaid interest on
such principal amount and any additional amounts required pursuant to Section 3.05.

     (c) Borrowers shall repay each Swing Line Loan on the earlier to occur of (i) the date
5 Business Days after such Loan is made and (ii) the Termination Date.

     2.08 Interest.

     (a) Subject to the provisions of clause (b) below, (i) each Eurocurrency Rate Loan
shall bear interest on the outstanding principal amount thereof for each Interest Period at
a rate per annum equal to the lesser of (x) the Eurocurrency Rate for such Interest Period
plus the Applicable Rate plus (in the case of a Eurocurrency Rate Loan of any Lender which
is lent from a Lending Office in the United Kingdom or a Participating Member State) the
Mandatory Cost; and (y) the Maximum Rate; (ii) each Base Rate Loan shall bear interest on
the outstanding principal amount thereof from the applicable borrowing date at a rate per
annum equal to the lesser of (x) the Base Rate plus the Applicable Rate and (y) the Maximum
Rate; and (iii) each Swing Line Loan shall bear interest on the outstanding principal amount
thereof from the applicable borrowing date at a rate per annum equal to the lesser of (x)
the Base Rate plus the Applicable Rate and (y) the Maximum Rate.

     (b) (i) If any amount of principal of any Loan is not paid when due (without regard to
any applicable grace periods), whether at stated maturity, by acceleration or otherwise,
such amount shall thereafter bear interest at a fluctuating interest rate per annum at all
times equal to the Default Rate to the fullest extent permitted by applicable Laws.

     (ii) If any amount (other than principal of any Loan) payable by any Borrower
under any Loan Document is not paid when due (without regard to any applicable grace
periods), whether at stated maturity, by acceleration or otherwise, then upon the
request of the Required Lenders, such amount shall thereafter bear interest at a
fluctuating interest rate per annum at all times equal to the Default Rate to the
fullest extent permitted by applicable Laws.

     (iii) Upon the request of the Required Lenders, while any Event of Default
exists, the Borrowers shall pay interest on the principal amount of all outstanding
Obligations hereunder at a fluctuating interest rate per annum at all times equal to
the Default Rate to the fullest extent permitted by applicable Laws.

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     (iv) Accrued and unpaid interest on past due amounts (including interest on
past due interest) shall be due and payable upon demand.

     (c) Interest on each Loan shall be due and payable in arrears on each Interest Payment
Date applicable thereto and at such other times as may be specified in this Agreement.
Interest hereunder shall be due and payable in accordance with the terms hereof before and
after judgment, and before and after the commencement of any proceeding under any Debtor
Relief Law.

     2.09 Fees. In addition to certain fees described in Section 2.03 (i) and (j):

     (a) Commitment Fee. Borrower shall pay to Agent for the account of each Lender
in accordance with its Applicable Percentage, a commitment fee in Dollars equal to the
Applicable Rate times the actual daily amount by which the Aggregate Commitments
exceed the sum of (i) the Outstanding Amount of Committed Loans and (ii) the Outstanding
Amount of L/C Obligations. The commitment fee shall accrue at all times during the
Availability Period, including at any time during which one or more of the conditions in
Article IV is not met, and shall be due and payable quarterly in arrears on the last
Business Day of each September, December, March, and June commencing with the first such
date to occur after the Closing Date, and on the Maturity Date. The commitment fee shall be
calculated quarterly in arrears, and if there is any change in the Applicable Rate during
any quarter, the actual daily amount shall be computed and multiplied by the Applicable Rate
separately for each period during such quarter that such Applicable Rate was in effect.

     (b) Other Fees. Borrower shall pay to Agent for its own respective account
fees in the amounts and at the times specified in the Fee Letter. Such fees shall be fully
earned when paid and shall not be refundable for any reason whatsoever.

     2.10
Computation of Interest and Fees.All computations of interest for Base Rate Loans when
the Base Rate is determined by Bank of America’s “prime rate” shall be made on the basis of a year
of 365 or 366 days, as the case may be, and actual days elapsed. All other computations of fees
and interest shall be made on the basis of a 360-day year and actual days elapsed (which results in
more fees or interest, as applicable, being paid than if computed on the basis of a 365-day year),
or in the case of interest in respect of Committed Loans denominated in Alternative Currencies as
to which market practice differs from the foregoing, in accordance with such market practice.
Interest shall accrue on each Loan for the day on which the Loan is made, and shall not accrue on a
Loan, or any portion thereof, for the day on which the Loan or such portion is paid; provided that,
any Loan that is repaid on the same day on which it is made shall, subject to Section 2.13(a), bear
interest for one day. Each determination by the Agent of an interest or fee hereunder shall be
conclusive and binding for all purposes, absent manifest error.

     2.11 Evidence of Debt.

     (a) The Credit Extensions made by each Lender shall be evidenced by one or more
accounts or records maintained by such Lender and by Agent in the ordinary course of
business. The accounts or records maintained by Agent and each Lender shall be conclusive
absent manifest error of the amount of the Credit Extensions made by the Lenders to Borrower
and the interest and payments thereon. Any failure to so record or any error in doing so
shall not, however, limit or otherwise affect the obligation of Borrower hereunder to pay
any amount owing with respect to the Obligations. In the event of any conflict between the
accounts and records maintained by any Lender and the accounts and records of Agent in
respect of such matters, the

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accounts and records of Agent shall control in the absence of manifest error. Upon the
request of any Lender made through Agent, Borrower shall execute and deliver to such Lender
(through Agent) a Note, which shall evidence such Lender’s Loans in addition to such
accounts or records. Each Lender may attach schedules to its Note and endorse thereon the
date, Type (if applicable), amount, currency and maturity of its Loans and payments with
respect thereto.

     (b) In addition to the accounts and records referred to in clause (a), each Lender and
Agent shall maintain in accordance with its usual practice accounts or records evidencing
the purchases and sales by such Lender of participations in Letters of Credit and Swing Line
Loans. In the event of any conflict between the accounts and records maintained by Agent
and the accounts and records of any Lender in respect of such matters, the accounts and
records of Agent shall control in the absence of manifest error.

     2.12 Payments Generally.

     (a) General. All payments to be made by Borrower shall be made without
condition or deduction for any counterclaim, defense, recoupment or setoff. Except as
otherwise expressly provided in this Agreement and except with respect to principal of and
interest on Loans denominated in an Alternative Currency, all payments by Borrower hereunder
shall be made to Agent, for the account of the respective Lenders to which such payment is
owed, at Agent’s Office in Dollars and in Same Day Funds not later than 2:00 p.m. on the
date specified in this Agreement. Except as otherwise expressly provided herein, all
payments by the Borrowers hereunder with respect to principal and interest on Loans
denominated in an Alternative Currency shall be made to the Agent, for the account of the
respective Lenders to which such payment is owed, at the applicable Agent’s Office in such
Alternative Currency and in Same Day Funds not later than the Applicable Time specified by
the Agent on the dates specified herein. Without limiting the generality of the foregoing,
the Agent may require that any payments due under this Agreement be made in the United
States. If, for any reason, any Borrower is prohibited by any Law from making any required
payment hereunder in an Alternative Currency, such Borrower shall make such payment in
Dollars in the Dollar Equivalent of the Alternative Currency payment amount. Agent will
promptly distribute to each Lender its Applicable Percentage (or other applicable share as
provided in this Agreement) of such payment in like funds as received by wire transfer to
such Lender’s Lending Office. All payments received by Agent (i) after 2:00 p.m., in the
case of payments in Dollars, or (ii) after the Applicable Time specified by the Agent in the
case of payments in an Alternative Currency, shall in each case be deemed received on the
next succeeding Business Day and any applicable interest or fee shall continue to accrue.

     (b) Funding by Lenders; Presumption by Agent. (i) Unless Agent shall have
received notice from a Lender prior to the proposed date of any Committed Borrowing of
Eurocurrency Rate Loans (or, in the case of any Committed Borrowing of Base Rate Loans,
prior to 12:00 noon on the date of such Committed Borrowing) that such Lender will not make
available to the Agent such Lender’s share of such Committed Borrowing, Agent may assume
that such Lender has made such share available on such date in accordance with Section 2.02
(or, in the case of a Committed Borrowing of Base Rate Loans, that such Lender has made such
share available in accordance with and at the time required by Section 2.02) and may, in
reliance upon such assumption, make available to the applicable Borrower a corresponding
amount. In such event, if a Lender has not in fact made its share of the applicable
Committed Borrowing available to the Agent, then the applicable Lender and the applicable
Borrower severally agree to pay to the Agent forthwith on demand such corresponding amount
in Same Day Funds with interest thereon, for each day from and including the date such
amount is made available to such Borrower to but excluding the date of payment to Agent, at
(A) in the case of a payment to be made by such

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Lender, the Overnight Rate and (B) in the case of a payment to be made by such
Borrower, the interest rate applicable to Base Rate Loans. If such Borrower and such Lender
shall pay such interest to Agent for the same or an overlapping period, Agent shall promptly
remit to such Borrower the amount of such interest paid by such Borrower for such period.
If such Lender pays its share of the applicable Committed Borrowing to the Agent, then the
amount so paid shall constitute such Lender’s Committed Loan included in such Committed
Borrowing. Any payment by such Borrower shall be without prejudice to any claim such
Borrower may have against a Lender that shall have failed to make such payment to Agent.

     (ii) Payments by Borrowers; Presumptions by Agent. Unless Agent shall
have received notice from a Borrower prior to the date on which any payment is due
to Agent for the account of the Lenders or the L/C Issuer hereunder that such
Borrower will not make such payment, Agent may assume that such Borrower has made
such payment on such date in accordance herewith and may, in reliance upon such
assumption, distribute to the Lenders or the L/C Issuer, as the case may be, the
amount due. In such event, if such Borrower has not in fact made such payment, then
each of the Lenders or the L/C Issuer, as the case may be, severally agrees to repay
to Agent forthwith on demand the amount so distributed to such Lender or the L/C
Issuer, in Same Day Funds with interest thereon, for each day from and including the
date such amount is distributed to it to but excluding the date of payment to Agent,
at the Overnight Rate.

     A notice of Agent to any Lender or Borrower with respect to any amount owing under this clause
(b) shall be conclusive, absent manifest error.

     (c) Failure to Satisfy Conditions Precedent. If any Lender makes available to Agent
funds for any Loan to be made by such Lender as provided in the foregoing provisions of this
Article II, and such funds are not made available to Borrower by Agent because the
conditions to the applicable Credit Extension set out in Article IV are not satisfied or
waived in accordance with the terms hereof, Agent shall return such funds (in like funds as
received from such Lender) to such Lender, without interest.

     (d) Obligations of Lenders Several. The obligations of the Lenders hereunder to make
Committed Loans and to fund participations in Letters of Credit and Swing Line Loans and to
make payments pursuant to Section 10.04(c) are several and not joint. The failure of any
Lender to make any Committed Loan, to fund any such participation or to make any payment
under Section 10.04(c) on any date required hereunder shall not relieve any other Lender of
its corresponding obligation to do so on such date, and no Lender shall be responsible for
the failure of any other Lender to so make its Committed Loan or purchase its participation
or to make its payment under Section 10.04(c).

     (e) Funding Source. Nothing in this Agreement shall be deemed to obligate any Lender
to obtain the funds for any Loan in any particular place or manner or to constitute a
representation by any Lender that it has obtained or will obtain the funds for any Loan in
any particular place or manner.

     2.13
Sharing of Payments. If, other than as expressly provided elsewhere in this Agreement, any
Lender shall obtain payment in respect of principal of or interest on the Committed Loans made by
it, or the participations in L/C Obligations or in Swing Line Loans held by it resulting in such
Lender’s receiving payment of a proportion of the aggregate amount of such Committed Loans or
participations and accrued interest thereon greater than its pro rata share thereof
as provided herein, then the Lender receiving such greater proportion shall (a) notify Agent of
such fact, and (b) purchase from the other

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Lenders such participations in the Committed Loans and subparticipations in the L/C Obligations or
Swing Line Loans held by it resulting in such Lender’s receiving payment of a proportion of the
aggregate amount of such Committed Loans or participations and accrued interest thereon greater
than its pro rata share thereof as provided herein, then the Lender receiving such
greater proportion shall (a) notify Agent of such fact, and (b) purchase (for cash at face value)
participations in the Committed Loans and subparticipations in L/C Obligations and Swing Line Loans
of the other Lenders, or make such other adjustments as shall be equitable, so that the benefit of
all such payments shall be shared by the Lenders ratably in accordance with the aggregate amount of
principal of and accrued interest on their respective Committed Loans and other amounts owing them,
provided that:

     (i) if any such participations or subparticipations are purchased and all or
any portion of the payment giving rise thereto is recovered, such participations or
subparticipations shall be rescinded and the purchase price restored to the extent
of such recovery, without interest; and

     (ii) the provisions of this Section shall not be construed to apply to (x) any
payment made by a Borrower pursuant to and in accordance with the express terms of
this Agreement or (y) any payment obtained by a Lender as consideration for the
assignment of or sale of a participation in any of its Committed Loans or
subparticipations in L/C Obligations or Swing Line Loans to any assignee or
participant, other than to Borrower or any Subsidiary thereof (as to which the
provisions of this Section shall apply).

     Each Loan Party consents to the foregoing and agrees, to the extent it may effectively do so
under applicable law, that any Lender acquiring a participation pursuant to the foregoing
arrangements may exercise against such Loan Party rights of setoff and counterclaim with respect to
such participation as fully as if such Lender were a direct creditor of such Loan Party in the
amount of such participation.

     2.14 Security and Guaranties.

     (a) Collateral. The complete payment and performance of the Obligation shall
be secured by all of the items and types of property (collectively, the “Collateral”)
described as (a) collateral in the Security Documents. Borrower shall and shall cause each
of its Subsidiaries to execute all applicable Security Documents necessary to pledge all of
the Collateral it owns. Borrower shall and shall cause each of its Subsidiaries to pledge
to Agent for the ratable benefit of Lenders (i) 100% of the voting capital stock (or similar
equity interest) of each of its Domestic Subsidiaries directly owed such Loan Party, and
(ii) 66% (or 100% of such Non-Domestic Subsidiary is not a “foreign controlled corporation”
under the Tax Code) of the voting capital stock (or similar equity interest) of each
non-Domestic Subsidiary, in each case within 10 Business Days after such Subsidiary is
created or acquired.

     (b) Financing Statements. Parent shall, and shall cause each of its Domestic
Subsidiaries that has executed a Pledge Agreement to authorize financing statements,
continuation statements, or termination statements, or take other action reasonably
requested by Agent relating to the Collateral, including any Lien search required by Agent.

     (c) Guaranties. Parent shall cause each Domestic Subsidiary to guarantee the
complete payment and performance of the Obligations (including the Term Loans, the Revolving
Loans, LC Obligations, LC Borrowings, and all Swap Contracts) to which any Lender is a
party) by executing and delivering a Guaranty to Lender. Parent shall cause each new
Domestic Subsidiary to guarantee the complete payment and performance of the Obligations
(including the Term

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Loans, the Revolving Loan, LC Borrowings and any Swap Contract) by executing and
delivering to Agent a Guaranty within 10 Business Days after such Subsidiary is created or
acquired.

     2.15 Debit Account. Borrower authorizes Agent to effect the payment of sums due by Borrower
under this Agreement by means of debiting the Designated Account. This authorization shall not
affect the obligation of Borrower to pay such sums when due, without notice, if there are
insufficient funds in such account to make such payment in full on the due date thereof, or if
Agent fails to debit such account.

     2.16 Increase in Commitments.

     (a) Provided there exists no Default, upon notice to Agent (which shall promptly notify
the Lenders) at any time prior to June 30, 2006, the Borrowers may on a one-time basis
without payment of an underwriting fee to Agent, request an increase in the Aggregate
Commitments under the Revolving Committed Amount by an amount not exceeding $8,000,000. At
the time of sending such notice, the Borrowers (in consultation with Agent) shall specify
the time period within which each Lender is requested to respond (which shall in no event be
less than 10 Business Days from the date of delivery of such notice to the Lenders).

     (b) Each Lender shall notify Agent within such time period whether or not it agrees to
increase its Commitment and, if so, whether by an amount equal to, greater than, or less
than its Applicable Percentage of such requested increase. Any Lender not responding within
such time period shall be deemed to have declined to increase its Commitment.

     (c) The Agent shall notify the Borrowers and each Lender of the Lenders’ responses to
each request made hereunder. To achieve the full amount of a requested increase, the
Borrowers may also invite additional Eligible Assignees to become Lenders pursuant to a
joinder agreement in form and substance satisfactory to Agent and its counsel. There shall
be no fee for increasing the Revolving Committed Amount under this Section 2.16 other than
payment of Agent’s requisite Attorney Costs incurred in connection with documentation of
such increase pursuant to this Section 2.16.

     (d) If the Aggregate Commitments are increased in accordance with this Section 2.16,
Agent and the Borrowers shall determine the effective date of such increase (the “Increase
Effective Date”) and the final allocation of such increase. Agent and the Borrowers shall
promptly notify the Lenders of the final allocation of such increase and the Increase
Effective Date.

     (e) As a condition precedent to such increase, the Borrowers shall deliver to Agent a
certificate of each Loan Party dated as of the Increase Effective Date (in sufficient copies
for each Lender) signed by a Responsible Officer of such Loan Party (i) certifying and
attaching the resolutions adopted by such Loan Party approving or consenting to such
increase, and, (ii) certifying that, before and after giving effect to such increase, (A)
the representations and warranties contained in Article V are true and correct on and as of
the Increase Effective Date, except to the extent that such representations and warranties
specifically refer to an earlier date, in which case they are true and correct as of such
earlier date, and except that for purposes of this Section 2.16, the representations and
warranties contained in subsections (a) and (b) of Section 5.05 shall be deemed to refer to
the most recent statements furnished pursuant to clauses (a) and (b), respectively, of
Section 6.01, and (B) no Default exists. Borrowers shall prepay any Loans outstanding on
the Increase Effective Date (and pay any additional amounts required pursuant to Section
3.05) to the extent necessary to keep the outstanding Loans ratable with any

46

 

revised Applicable Percentages arising form any nonratable increase in the Commitments
under this Section 2.16.

     (f) This Section 2.16 shall supercede any provisions in Sections 2.13 and 10.01 to the
contrary.

ARTICLE III.

TAXES, YIELD PROTECTION AND ILLEGALITY

     3.01 Taxes.

     (a) Payments Free of Taxes. Any and all payments by or on account of any
obligation of the respective Borrowers hereunder or under any Loan Document shall be made
free and clear of and without deduction for any Indemnified Taxes or Other Taxes, provided
that if any Borrower shall be required by any Laws to deduct any Indemnified Taxes
(including Other Taxes) from such payments, then (i) the sum payable shall be increased as
necessary so that after making all required deductions (including deductions applicable to
additional sums payable under this Section), each of Agent and such Lender receives an
amount equal to the sum it would have received had no such deductions been made, and (ii)
such Borrower shall make such deductions, and (iii) Borrower shall pay the full amount
deducted to the relevant Governmental Authority in accordance with applicable law.

     (b) Payment of Other Taxes by Borrowers. Without limiting the provisions of
subsection (a) above, each Borrower shall timely pay any Other Taxes to the relevant
Governmental Authority in accordance with applicable law.

     (c) Indemnification by Borrowers. Each Borrower shall indemnify Agent, each
Lender and LC Issuer, within 10 days after demand therefor, for the full amount of any
Indemnified Taxes and Other Taxes (including any Indemnified Taxes or Other Taxes imposed or
asserted on or attributable to the amounts payable under this Section) paid by Agent and
such Lender of the LC Issuer, as the case may be, and any penalties, interest or reasonable
expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes or
Other Taxes were correctly or legally imposed or asserted by the relevant Governmental
Authority. A certificate as to the amount of such payment or liability delivered to a
Borrower by a Lender or the L/C Issuer (with a copy of Agent), or by Agent on its own behalf
or on behalf of a Lender or the L/C Issuer, shall be conclusive absent manifest error.

     (d) Evidence of Payments. As soon as practicable after any payment of
Indemnified Taxes or Other Taxes by any Borrower to a Governmental Authority, such Borrower
shall deliver to Agent the original or a certified copy of a receipt issued by such
Governmental Authority evidencing such payment, a copy of the return reporting such payment
or other evidence of such payment reasonably satisfactory to Agent.

     (e) Status of Lenders. Any Foreign Lender that is entitled to an exemption
from or reduction of withholding tax under the law of the jurisdiction in which a Borrower
is resident for tax purposes, or any treaty to which such jurisdiction is a party, with
respect to payments hereunder or under any other Loan Document shall deliver to Parent (with
a copy to Agent), at the time or times prescribed by applicable law or reasonably requested
by Parent or Agent, 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 of withholding. In addition, any Lender, if requested by Parent or Agent, shall
deliver such other documentation prescribed by

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applicable law or reasonably requested by Parent or Agent as will enable Parent or
Agent to determine whether or not such Lender is subject to backup withholding or
information reporting requirements.

     Without limiting the generality of the foregoing, in the event that a Borrower is resident for
tax purposes in the United States, any Foreign Lender shall deliver to Parent and Agent (in such
number of copies as shall be requested by the recipient) on or prior to the date on which such
Foreign Lender becomes a Lender under this Agreement (and from time to time thereafter upon the
request of Parent or Agent, but only if such Foreign Lender is legally entitled to do so),
whichever of the following is applicable:

     (i) duly completed copies of Internal Revenue Service Form W-8BEN claiming
eligibility for benefits of an income tax treaty to which the United States is a
party,

     (ii) (ii) duly completed copies of Internal Revenue Service Form W-8ECI,

     (iii) (iii) in the case of a Foreign Lender claiming the benefits of the
exemption for portfolio interest under section 881(c) of the Code, (x) a certificate
to the effect that such Foreign Lender is not (A) a “bank” within the meaning of
section 881(c)(3)(A) of the Code, (B) a “10 percent shareholder” of the applicable
Borrower within the meaning of section 881(c)(3)(B) of the Code, or (C) a
“controlled foreign corporation” described in section 881(c)(3)(C) of the Code and
(y) duly completed copies of Internal Revenue Service Form W-8BEN, or

     (iv) (iv) any other form prescribed by applicable law as a basis for claiming
exemption from or a reduction in United States Federal withholding tax duly
completed together with such supplementary documentation as may be prescribed by
applicable law to permit Parent to determine the withholding or deduction required
to be made.

     Without limiting the obligations of the Lenders set forth above regarding delivery of certain
forms and documents to establish each Lender’s status for U.S. withholding tax purposes, each
Lender agrees promptly to deliver to Agent or Parent, as Agent or Parent shall reasonably request,
on or prior to the Closing Date, and in a timely fashion thereafter, such other documents and forms
required by any relevant taxing authorities under the Laws of any other jurisdiction, duly executed
and completed by such Lender, as are required under such Laws to confirm such Lender’s entitlement
to any available exemption from, or reduction of, applicable withholding taxes in respect of all
payments to be made to such Lender outside of the U.S. by the Borrowers pursuant to this Agreement
or otherwise to establish such Lender’s status for withholding tax purposes in such other
jurisdiction. Each Lender shall promptly (i) notify Agent of any change in circumstances which
would modify or render invalid any such claimed exemption or reduction, and (ii) take such steps
as shall not be materially disadvantageous to it, in the reasonable judgment of such Lender, and as
may be reasonably necessary (including the re-designation of its Lending Office) to avoid any
requirement of applicable Laws of any such jurisdiction that any Borrower make any deduction or
withholding for taxes from amounts payable to such Lender. Additionally, each of the Borrowers
shall promptly deliver to Agent or any Lender, as Agent or such Lender shall reasonably request, on
or prior to the Closing Date, and in a timely fashion thereafter, such documents and forms required
by any relevant taxing authorities under the Laws of any jurisdiction, duly executed and completed
by such Borrower, as are required to be furnished by such Lender or Agent under

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such Laws in connection with any payment by Agent or any Lender of Taxes or Other Taxes, or
otherwise in connection with the Loan Documents, with respect to such jurisdiction.

     (f) Treatment of Certain Refunds. If Agent, any Lender or the L/C Issuer
determines, in its sole discretion, that it has received a refund of any Taxes or Other
Taxes as to which it has been indemnified by any Borrower or with respect to which any
Borrower has paid additional amounts pursuant to this Section, it shall pay to such Borrower
an amount equal to such refund (but only to the extent of indemnity payments made, or
additional amounts paid, by such Borrower under this Section with respect to the Taxes or
Other Taxes giving rise to such refund), net of all out-of-pocket expenses of Agent, such
Lender or the L/C Issuer, as the case may be, and without interest (other than any interest
paid by the relevant Governmental Authority with respect to such refund), provided that each
Borrower, upon the request of Agent, such Lender or the L/C Issuer, agrees to repay the
amount paid over to such Borrower (plus any penalties, interest or other charges imposed by
the relevant Governmental Authority) to Agent, such Lender or the L/C Issuer in the event
Agent, such Lender or the L/C Issuer is required to repay such refund to such Governmental
Authority. This subsection shall not be construed to require Agent, any Lender or the L/C
Issuer to make available its tax returns (or any other information relating to its taxes
that it deems confidential) to any Borrower or any other Person.

     3.02 Illegality. If any Lender determines that any Law adopted or amended after the Closing
Date has made it unlawful, or that any Governmental Authority has asserted after the Closing Date
that it is unlawful, for any Lender or its applicable Lending Office to make, maintain or fund
Eurocurrency Rate Loans, or to determine or charge interest rates based upon the Eurocurrency Rate,
then, on notice thereof by such Lender to Borrower through Agent, any obligation of such Lender to
make or continue Eurocurrency Rate Loans (whether denominated in Dollars or in Alternative
Currency) or to convert Base Rate Committed Loans to Eurocurrency Rate Loans shall be suspended
until such Lender notifies Agent and Borrower that the circumstances giving rise to such
determination no longer exist. Upon receipt of such notice, Borrower shall, upon demand from such
Lender (with a copy to Agent), prepay or, if applicable, convert all Eurocurrency Rate Loans of
such Lender to Base Rate Loans, either on the last day of the Interest Period therefor, if such
Lender may lawfully continue to maintain such Eurocurrency Rate Loans to such day, or immediately,
if such Lender may not lawfully continue to maintain such Eurocurrency Rate Loans. Upon any such
prepayment or conversion, Borrower shall also pay accrued interest on the amount so prepaid or
converted. Each Lender agrees to designate a different Lending Office if such designation will
avoid the need for such notice and will not, in the good faith judgment of such Lender, otherwise
be materially disadvantageous to such Lender.

     3.03 Inability to Determine Rates. If the Required Lenders determine that for any reason in
connection with any request for a Eurocurrency Rate Loan or a conversion to or continuation thereof
that (a) deposits (whether in Dollars or an Alternative Currency) are not being offered to banks in
the applicable offshore interbank market for such currency for the applicable amount and Interest
Period of such Eurocurrency Rate Loan, (b) adequate and reasonable means do not exist for
determining the Eurocurrency Rate for any requested Interest Period with respect to a proposed
Eurocurrency Rate Loan (whether denominated in Dollars or an Alternative Currency), or (c) the
Eurocurrency Rate for any requested Interest Period with respect to a proposed Eurocurrency Rate
Loan does not adequately and fairly reflect the cost to such Lenders of funding such Eurocurrency
Rate Loan, Agent will promptly so notify Borrowers and each Lender. Thereafter, the obligation of
the Lenders to make or maintain Eurocurrency Rate Loans in the affected currency or currencies
shall be suspended until Agent (upon the instruction of the Required Lenders) revokes such notice.
Upon receipt of such notice, Borrowers may revoke any pending request for a Borrowing of,
conversion to or continuation of Eurocurrency Rate Loans in the affected currency or currencies or,
failing that, will be deemed to have converted such request into a request for a Committed
Borrowing of Base Rate Loans in the amount specified therein.

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     3.04 Increased Cost and Reduced Return; Capital Adequacy; Reserves on Eurocurrency Rate Loans.

     (a) If any Lender determines that as a result of the introduction of or any change in
or in the interpretation of any Law after the Closing Date, or such Lender’s compliance
therewith, there shall be any increase in the cost to such Lender of agreeing to make or
making, funding or maintaining Eurocurrency Rate Loans or (as the case may be) issuing or
participating in Letters of Credit, or a reduction in the amount received or receivable by
such Lender in connection with any of the foregoing (excluding for purposes of this clause
(a) any such increased costs or reduction in amount resulting from (i) Taxes or Other Taxes
(as to which Section 3.01 shall govern), (ii) changes in the basis of taxation of overall
net income or overall gross income by the United States or any foreign jurisdiction or any
political subdivision of either thereof under the Laws of which such Lender is organized or
has its Lending Office, and (iii) reserve requirements contemplated by Section 3.04(c), then
from time to time upon demand of such Lender (with a copy of such demand to Agent), Borrower
shall pay to such Lender such additional amounts as will compensate such Lender for such
increased cost or reduction.

     (b) If any Lender determines that the introduction of any Law regarding capital
adequacy or any change therein or in the interpretation thereof after the Closing Date, or
compliance by such Lender (or its Lending Office) therewith, has the effect of reducing the
rate of return on the capital of such Lender or any corporation controlling such Lender as a
consequence of such Lender’s obligations hereunder (taking into consideration its policies
with respect to capital adequacy and such Lender’s desired return on capital), then from
time to time upon demand of such Lender (with a copy of such demand to Agent), Borrower
shall pay to such Lender such additional amounts as will compensate such Lender for such
reduction.

     (c) Borrower shall pay to each Lender, as long as such Lender shall be required to
maintain reserves with respect to liabilities or assets consisting of or including
Eurocurrency funds or deposits (currently known as “Eurocurrency liabilities”), additional
interest on the unpaid principal amount of each Eurocurrency Rate Loan equal to the actual
costs of such reserves allocated to such Loan by such Lender (as determined by such Lender
in good faith, which determination shall be conclusive absent manifest error), which shall
be due and payable on each date on which interest is payable on such Loan; provided that,
Borrower shall have received at least 15 days’ prior notice (with a copy to Agent) of such
additional interest from such Lender. If a Lender fails to give notice 15 days prior to the
relevant Interest Payment Date, such additional interest shall be due and payable 15 days
from receipt of such notice.

     (d) Each Lender and L/C Issuer agrees that, as promptly as practicable after the
officer of such Lender or L/S Issuer responsible for administering the Loans or Letters of
Credit of such Lender or L/C Issuer, as the case may be, becomes aware of the occurrence of
an event or the existence of a condition that would entitle such Lender or L/C Issuer to
receive payments under Section 3.04(a), (b) or (c), it will, to the extent not inconsistent
with the internal policies of such Lender or L/C Issuer an any applicable legal or
regulatory restrictions, use reasonable efforts (i) to make, issue, fund or maintain the
Commitments of such Lender or the affected Loans or Letters of Credit of such Lender or L/C
Issuer through another lending or letter of credit office of such Lender or L/C Issuer, or
(ii) take such other measures as such Lender or L/C Issuer may deem reasonable, if as a
result thereof the additional amounts which would otherwise be required to be paid to such
Lender or L/C Issuer pursuant to Section 3.04(a), (b) or (c) would be materially reduced and
if, as determined by such Lender or L/C Issuer in its sole discretion, the making, issuing,
funding or maintaining of such Commitments or Loans or Letters of Credit through such other
lending or letter of credit office or in accordance with such other measures, as the case
may

50

 

be, would not otherwise materially adversely affect such Commitments or Loans or
Letters of Credit or would not be otherwise disadvantageous to the interests of such Lender
or L/C Issuer; provided that, such Lender or L/C Issuer will not be obligated to utilize
such other lending or letter of credit office pursuant to this Section 3.04(d) unless
Borrower agrees to pay all incremental expenses incurred by such Lender or L/C Issuer as a
result of utilizing such other lending or letter of credit office described in clause (i)
above. A certificate as to the amount of any such expenses payable by Borrower pursuant to
this Section 3.04(d) (setting forth in reasonable detail the basis for requesting such
amount) submitted by such Lender or L/C Issuer to Borrower (with a copy to the Agent) shall
be conclusive absent manifest error.

     3.05 Funding Losses. Upon demand of any Lender (with a copy to Agent) from time to time, each
Borrower shall promptly compensate such Lender for and hold such Lender harmless from any loss,
cost or expense incurred by it as a result of:

     (a) any continuation, conversion, payment or prepayment of any Loan other than a Base
Rate Loan on a day other than the last day of the Interest Period for such Loan (whether
voluntary, mandatory, automatic, by reason of acceleration, or otherwise); or

     (b) any failure by any Borrower (for a reason other than the failure of such Lender to
make a Loan) to prepay, borrow, continue or convert any Loan other than a Base Rate Loan on
the date or in the amount notified by any Borrower; or

     (c) any assignment of a Eurocurrency Rate Loan on a day other than the last day of the
Interest Period therefor as a result of a request by Borrower pursuant to Section 10.16;

including any loss or expense arising from the liquidation or reemployment of funds obtained by it
to maintain such Loan or from fees payable to terminate the deposits from which such funds were
obtained. Each Borrower shall also pay any customary administrative fees charged by such Lender in
connection with the foregoing.

For purposes of calculating amounts payable by Borrowers to the Lenders under this Section 3.05,
each Lender shall be deemed to have funded each Eurocurrency Rate Loan made by it at the
Eurocurrency Rate for such Loan by a matching deposit or other borrowing in the London interbank
eurodollar market for a comparable amount and for a comparable period, whether or not such
Eurocurrency Rate Loan was in fact so funded.

     3.06
Matters Applicable to all Requests for Compensation.

     (a) A certificate of Agent or any Lender claiming compensation under this Article III
and setting forth the additional amount or amounts to be paid to it hereunder shall be
conclusive in the absence of manifest error. In determining such amount, Agent or such
Lender may use any reasonable averaging and attribution methods.

     (b) Upon any Lender’s making a claim for compensation under Section 3.01 or 3.04 or of
illegality under 3.02, Borrowers may replace such Lender in accordance with Section 10.16.

     3.07 Survival. All of Borrowers’ obligations under this Article III shall survive termination
of the Aggregate Commitments and repayment of all other Obligations hereunder.

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ARTICLE IV.

CONDITIONS PRECEDENT TO CREDIT EXTENSIONS

     4.01 Conditions of Initial Credit Extension.

     (a) The obligation of each Lender to make its initial Credit Extension to UK Borrower
under the Term Facility hereunder is subject to satisfaction of the following conditions
precedent:

     (i) Agent’s receipt of the following, each of which shall be originals,
facsimiles or portable document format copies (followed promptly by originals)
unless otherwise specified, each properly executed by a Responsible Officer of
Borrowers, each dated the Closing Date (or, in the case of certificates of
governmental officials, a recent date before the Closing Date) and each in form,
content and detail satisfactory to Agent and its legal counsel:

     (1) executed counterparts of this Agreement sufficient in number for
distribution to Agent, each Lender and Borrowers;

     (2) Term Note executed by UK Borrower in favor of each Lender
requesting such a Note;

     (3) Guaranties executed by all of Parent’s Domestic Subsidiaries;

     (4) Pledge Agreement executed by Parent with respect to all of the
equity interests it owns in its Domestic Subsidiaries;

     (5) such certificates of resolutions or other action, incumbency
certificates and/or other certificates of Responsible Officers of each Loan
Party as Agent reasonably may require evidencing the identity, authority and
capacity of each Responsible Officer thereof authorized to act as a
Responsible Officer in connection with this Agreement and the other Loan
Documents to which such Loan Party is a party;

     (6) such documents and certifications as Agent reasonably may require
to evidence that each Loan Party is duly organized or formed, and that each
Loan Party is validly existing, in good standing and qualified to engage in
business in each jurisdiction where its ownership, lease or operation of
properties or the conduct of its business requires such qualification,
except to the extent that failure to do so could not reasonably be expected
to have a Material Adverse Effect;

     (7) within 5 Business Days after the Closing Date, an opinion of
Winstead, Sechrest & Minick, P.C., counsel to the Loan Parties, addressed to
Agent and each Lender, substantially in the form of Exhibit G;

     (8) such other assurances, certificates, documents, consents, opinions,
or information as Agent, the L/C Issuer, the Swing Line Lender or the
Required Lenders reasonably may require;

     (9) a certificate signed by a Responsible Officer of Borrowers
certifying (A) that the conditions specified in Sections 4.02(a) and (b)
have been

52

 

satisfied, and (B) that there has been no event or circumstance since
the date of the Initial Financial Statements that has had or could be
reasonably expected to have, either individually or in the aggregate, a
Material Adverse Effect; and

     (10) evidence that all conditions precedent to consummation of the
Subject Acquisition have been satisfied or waived in writing other than the
funding of the portion of the purchase price provided by the initial Credit
Extension hereunder and that the Subject Acquisition will be consummated on
terms acceptable to Agent.

     (ii) Agent shall have received such other information regarding the Loan
Parties, and their respective assets, liabilities, organization, capital structure,
financial statements as it reasonably may request, in each case in form, content and
detail satisfactory to Agent.

     (iii) Any fees required to be paid on or before the Closing Date shall have
been paid.

     (iv) Unless waived by Agent, Borrowers shall have paid all Attorney Costs of
Agent to the extent invoiced prior to or on the Closing Date, plus such additional
amounts of Attorney Costs as shall constitute its reasonable estimate of Attorney
Costs incurred or to be incurred by it through the closing proceedings, provided
that, such estimate shall not thereafter preclude a final settling of accounts
between Borrowers and Agent.

     (b) The obligation of each Lender to make its initial Credit Extension to UK Borrower
under the Revolving Facility hereunder is subject to satisfaction of the following
conditions precedent:

     (i) satisfaction of the conditions precedent set forth in subsection (a) above;

     (ii) funding of the Term Loan to UK Borrower in the Term Committed Amount on
the Closing Date;

     (iii) a Revolving Note executed by each Borrower in favor of each Lender
requesting such a Note.

     (c) The obligation of each Lender to make its initial Credit Extension to Parent under
the Revolving Facility hereunder (and the Existing Letters of Credit becoming Credit
Extensions under the terms of this Agreement), are subject to satisfaction of the following
conditions precedent:

     (i) Agent’s receipt of the following, each of which shall be originals,
facsimiles or portable document format copies (followed promptly by originals)
unless otherwise specified, each properly executed by a Responsible Officer of
Borrowers, each dated the Closing Date (or, in the case of certificates of
governmental officials, a recent date before the Closing Date) and each in form,
content and detail satisfactory to Agent and its legal counsel:

     (1) satisfaction of the conditions precedent set forth in subsections
(a) and (b) above;

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     (2) all Security Documents executed by Borrowers in favor of Agent;

     (3) such certificates of resolutions or other action, incumbency
certificates and/or other certificates of Responsible Officers of each Loan
Party as Agent reasonably may require evidencing the identity, authority and
capacity of each Responsible Officer thereof authorized to act as a
Responsible Officer in connection with this Agreement and the other Loan
Documents to which such Loan Party is a party;

     (4) such documents and certifications as Agent reasonably may require
to evidence that each Loan Party is duly organized or formed, and that each
Loan Party is validly existing, in good standing and qualified to engage in
business in each jurisdiction where its ownership, lease or operation of
properties or the conduct of its business requires such qualification,
except to the extent that failure to do so could not reasonably be expected
to have a Material Adverse Effect;

     (5) an opinion of Winstead, Sechrest & Minick, P.C., counsel to the
Loan Parties, addressed to Agent and each Lender, substantially in the form
of Exhibit G;

     (6) such other assurances, certificates, documents, consents, opinions,
or information as Agent, the L/C Issuer, the Swing Line Lender or the
Required Lenders reasonably may require.

     (7) a certificate signed by a Responsible Officer of Parent certifying
(A) that the conditions specified in Sections 4.02(a) and (b) have been
satisfied, and (B) that there has been no event or circumstance since the
date of the Initial Financial Statements that has had or could be reasonably
expected to have, either individually or in the aggregate, a Material
Adverse Effect;

     (8) evidence that all insurance required to be maintained pursuant to
the Loan Documents has been obtained and is in effect;

     (9) such other assurances, certificates, documents, consents, opinions,
or information as Agent, the L/C Issuer, the Swing Line Lender or the
Required Lenders reasonably may require.

     (ii) Agent shall have received such other information regarding the Loan
Parties, and their respective assets, liabilities, organization, capital structure,
financial statements as it reasonably may request, in each case in form, content and
detail satisfactory to Agent.

     (iii) Any fees required to be paid on or before the date of such initial Credit
Extension to Parent shall have been paid.

     (iv) Unless waived by Agent, Borrowers shall have paid all Attorney Costs of
Agent to the extent invoiced prior to or on the date of such initial Credit
Extension to Parent, plus such additional amounts of Attorney Costs as shall
constitute its reasonable estimate of Attorney Costs incurred or to be incurred by
it through the closing

54

 

proceedings, provided that, such estimate shall not thereafter preclude a final
settling of accounts between Borrowers and Agent.

     (v) Termination of the Existing Loan Agreement.

     4.02 Conditions to all Credit Extensions. The obligation of each Lender to honor any Request
for Credit Extension (other than a Committed Loan Notice requesting only a conversion of Committed
Loans to the other Type, or a continuation of Eurocurrency Rate Loans) is subject to the following
conditions precedent:

     (a) The representations and warranties of Borrowers and each other Loan Party contained
in Article V or any other Loan Document, or which are contained in any document furnished at
any time under or in connection herewith or therewith, shall be true and correct in all
material respects on and as of the date of such Credit Extension, except to the extent that
such representations and warranties specifically refer to an earlier date, in which case
they shall be true and correct in all material respects as of such earlier date, and except
that for purposes of this Section 4.02, the representations and warranties contained in
clauses (a) and (b) of Section 5.05 shall be deemed to refer to the most recent statements
furnished pursuant to clauses (a) and (b), respectively, of Section 6.01.

     (b) No Default shall exist, or would result from such proposed Credit Extension or the
application of the proceeds thereof.

     (c) Agent and, if applicable, the L/C Issuer or the Swing Line Lender shall have
received a Request for Credit Extension in accordance with the requirements hereof.

     (d) In the case of a Credit Extension to be denominated in an Alternative Currency,
there shall not have occurred any change in national or international financial, political
or economic conditions or currency exchange rates or exchange controls which in the
reasonable opinion of the Agent, the Required Lenders (in the case of any Loans to be
denominated in an Alternative Currency) or the L/C Issuer (in the case of any Letter of
Credit to be denominated in an Alternative Currency) would make it impracticable for such
Credit Extension to be denominated in the relevant Alternative Currency.

     Each Request for Credit Extension (other than a Committed Loan Notice requesting only a
conversion of Committed Loans to the other Type or a continuation of Eurocurrency Rate Loans)
submitted by each Borrower shall be deemed to be a representation and warranty that the conditions
specified in Sections 4.02(a) and (b) have been satisfied on and as of the date of the applicable
Credit Extension.

ARTICLE V.

REPRESENTATIONS AND WARRANTIES

     Each Borrower represents and warrants to Agent and the Lenders that:

     5.01 Existence, Qualification and Power; Compliance with Laws. Each Loan Party (a) is a
corporation duly incorporated, validly existing and in good standing under the Laws of the
jurisdiction of its incorporation, (b) has all requisite power and authority and all requisite
governmental licenses, permits, authorizations, consents and approvals to (i) own its assets and
carry on its business and (ii) execute, deliver and perform its obligations under the Loan
Documents to which it is a party, (c) is duly qualified and is licensed and in good standing under
the Laws of each jurisdiction where its

55

 

ownership, lease or operation of properties or the conduct of its business requires such
qualification or license, and (d) is in compliance with all Laws; except in each case referred to
in clause (b)(i), (c) or (d), to the extent that failure to do so would not reasonably be expected
to have a Material Adverse Effect.

     5.02 Authorization; No Contravention. The execution, delivery and performance by each Loan
Party of each Loan Document to which such Person is party, have been duly authorized by all
necessary corporate action, and do not (a) contravene the terms of any of such Person’s
Organization Documents; (b) conflict with or result in any breach or contravention of, or the
creation of any Lien under, (i) any Contractual Obligation to which such Person is a party or (ii)
any order, injunction, writ or decree of any Governmental Authority or any arbitral award to which
such Person or its property is subject; or (c) violate any Law.

     5.03 Governmental Authorization; Other Consents. No approval, consent, exemption,
authorization, or other action by, or notice to, or filing with, any Governmental Authority or any
other Person is necessary or required in connection with the execution, delivery or performance by,
or enforcement against, any Loan Party of this Agreement or any other Loan Document.

     5.04 Binding Effect. This Agreement has been, and each other Loan Document, when delivered
hereunder, will have been, duly executed and delivered by each Loan Party that is party thereto.
This Agreement constitutes, and each other Loan Document when so delivered will constitute, a
legal, valid and binding obligation of such Loan Party, enforceable against each Loan Party that is
party thereto in accordance with its terms, except to the extent that the enforceability thereof
may be limited by applicable Debtor Relief Laws affecting creditors’ rights generally and by
equitable principles of law (regardless of whether enforcement is sought in equity or at law).

     5.05 Financial Statements; No Material Adverse Effect.

     (a) The Initial Financial Statements (i) fairly present the financial condition of
Parent and its Subsidiaries as of the date thereof and their results of operations for the
period covered thereby in accordance with GAAP consistently applied throughout the period
covered thereby, except as otherwise expressly noted therein; and (ii) show all material
indebtedness and other material liabilities, direct or contingent, of Parent and its
Subsidiaries as of the date thereof, including liabilities for Taxes, material commitments
and Indebtedness.

     (b) Since the date of the Initial Financial Statements, except for the transactions
contemplated by this Agreement, there has been no event or circumstance, either individually
or in the aggregate, that has had or would reasonably be expected to have a Material Adverse
Effect.

     5.06 Litigation. There are no actions, suits, proceedings, claims or disputes pending or, to
the knowledge of each Borrower after due and diligent investigation, threatened or contemplated, at
law, in equity, in arbitration or before any Governmental Authority, by or against parent or any of
its Subsidiaries or against any of their properties or revenues that (a) purport to affect or
pertain to this Agreement or any other Loan Document, or any of the transactions contemplated
hereby, or (b) either individually or in the aggregate, if determined adversely, would reasonably
be expected to have a Material Adverse Effect.

     5.07 No Default. Neither Parent nor any Subsidiary is in default under or with respect to any
Contractual Obligation that would, either individually or in the aggregate, reasonably be expected
to have a Material Adverse Effect. No Default has occurred and is continuing or would result from
the consummation of the transactions contemplated by this Agreement or any other Loan Document.

56

 

     5.08 Ownership of Property; Liens. Parent and each Subsidiary has good record and marketable
title in fee simple to, or valid leasehold interests in, all real property necessary or used in the
ordinary conduct of its business, except for such defects in title as would not, individually or in
the aggregate, reasonably be expected to have a Material Adverse Effect. The property of Parent
and its Subsidiaries is subject to no Liens, other than Liens permitted by Section 7.01.

     5.09 Environmental Compliance. Parent and its Subsidiaries conduct in the ordinary course of
business a review of the effect of existing Environmental Laws and claims alleging potential
liability or responsibility for violation of any Environmental Law on their respective businesses,
operations and properties, and as a result thereof each Borrower has concluded that neither Parent
nor any Subsidiary of Parent has any liability or responsibility under any claim for violation of
any Environmental Law that would, individually or in the aggregate, reasonably be expected to have
a Material Adverse Effect.

     5.10 Insurance. The properties of Parent and its Subsidiaries are insured with financially
sound and reputable insurance companies that are not Affiliates of any Borrower, in such amounts,
with such deductibles and covering such risks as are customarily carried by companies engaged in
similar businesses and owning similar properties in localities where Parent or the applicable
Subsidiary operates.

     5.11 Taxes. Parent and its Subsidiaries have filed all Federal, state and other material tax
returns and reports required to be filed, and have paid all taxes, assessments, fees and other
governmental charges shown thereon to be due and has paid all other material taxes, assessments,
fees and other governmental charges levied or imposed upon them or their properties, income or
assets otherwise due and payable, except those which are being contested in good faith by
appropriate proceedings diligently conducted and for which adequate reserves have been provided in
accordance with GAAP. There is no proposed tax assessment against Parent or any Subsidiary that
would, if made, have a Material Adverse Effect.

     5.12 ERISA Compliance.

     (a) Each Plan is in compliance in all material respects with the applicable provisions
of ERISA, the Code and other Federal or state Laws. Each Plan that is intended to qualify
under Section 401(a) of the Code has received a favorable determination letter from the IRS
or an application for such a letter is currently being processed by the IRS with respect
thereto and, to the best knowledge of each Borrower, nothing has occurred which would
prevent, or cause the loss of, such qualification. Parent and each ERISA Affiliate have
made all required contributions to each Plan subject to Section 412 of the Code, and no
application for a funding waiver or an extension of any amortization period pursuant to
Section 412 of the Code has been made with respect to any Plan.

     (b) There are no pending or, to the best knowledge of each Borrower, threatened claims,
actions or lawsuits, or action by any Governmental Authority, with respect to any Plan that
could be reasonably be expected to have a Material Adverse Effect. There has been no
prohibited transaction or violation of the fiduciary responsibility rules with respect to
any Plan that has resulted or could reasonably be expected to result in a Material Adverse
Effect.

     (c) (i) No ERISA Event has occurred or is reasonably expected to occur; (ii) no Pension
Plan has any Unfunded Pension Liability; (iii) neither Parent nor any ERISA Affiliate has
incurred, or reasonably expects to incur, any liability under Title IV of ERISA with respect
to any Pension Plan (other than premiums due and not delinquent under Section 4007 of
ERISA); (iv) neither Parent nor any ERISA Affiliate has incurred, or reasonably expects to
incur, any liability (and no event has occurred which, with the giving of notice under
Section 4219 of ERISA, would

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result in such liability) under Sections 4201 or 4243 of ERISA with respect to a
Multiemployer Plan; and (v) neither Parent nor any ERISA Affiliate has engaged in a
transaction that could be subject to Sections 4069 or 4212(c) of ERISA.

     (d) Each employee benefit plan, policy, scheme or program that is subject to the Laws
of any foreign jurisdiction is in compliance of all applicable Laws.

     5.13 Subsidiaries. As of the Closing Date and at all times thereafter, Borrowers have no
Subsidiaries other than those specifically disclosed in Part (a) of Schedule 5.13 and has no equity
investments in any other corporation or entity other than those specifically disclosed in Part (b)
of Schedule 5.13.

     5.14 Margin Regulations; Investment Company Act; Public Utility Holding Company Act.

     (a) No Borrower is engaged and will not engage, principally or as one of its important
activities, in the business of purchasing or carrying margin stock (within the meaning of
Regulation U issued by the FRB), or extending credit for the purpose of purchasing or
carrying margin stock.

     (b) Neither Parent nor or any Subsidiary of Parent (i) is a “holding company,” or a
“subsidiary company” of a “holding company,” or an “affiliate” of a “holding company” or of
a “subsidiary company” of a “holding company,” within the meaning of the Public Utility
Holding Company Act of 1935, or (ii) is or is required to be registered as an “investment
company” under the Investment Company Act of 1940.

     5.15 Disclosure. Each Borrower has disclosed to Agent and the Lenders all agreements,
instruments and corporate or other restrictions to which it or any of its Subsidiaries is subject,
and all other matters known to it, that, individually or in the aggregate, could reasonably be
expected to result in a Material Adverse Effect. No report, financial statement, certificate or
other information furnished (whether in writing or orally) by or on behalf of any Loan Party to
Agent or any Lender in connection with the transactions contemplated hereby and the negotiation of
this Agreement or delivered hereunder (as modified or supplemented by other information so
furnished) taken as a whole contains any material misstatement of fact or omits to state any
material fact necessary to make the statements therein, in the light of the circumstances under
which they were made, not misleading; provided that, with respect to projected financial
information, each Borrower represents only that such information was prepared in good faith based
upon assumptions believed to be reasonable at the time, it being understood that projections are
subject to uncertainties and contingencies beyond the control of the Loan Parties and that no
assurance can be given that such projections will be realized.

     5.16 Compliance with Laws. Parent and each Subsidiary is in compliance in all material
respects with the requirements of all Laws and all orders, writs, injunctions and decrees
applicable to it or to its properties, except in such instances in which (a) such requirement of
Law or order, writ, injunction or decree is being contested in good faith by appropriate
proceedings diligently conducted or (b) the failure to comply therewith, either individually or in
the aggregate, would not reasonably be expected to have a Material Adverse Effect.

     5.17 Intellectual Property; Licenses, Etc. Except to the extent it would not reasonably be
expected to have a Material Adverse Effect, Parent and its Subsidiaries own, or possess the right
to use, all of the trademarks, service marks, trade names, copyrights, patents, patent rights,
franchises, licenses and other intellectual property rights (collectively, “IP Rights”) that are
reasonably necessary for the

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operation of their respective businesses, without conflict with the rights of any other
Person. To the best knowledge of each Borrower, no slogan or other advertising device, product,
process, method, substance, part or other material now employed, or now contemplated to be
employed, by Borrower or any Subsidiary infringes upon any rights held by any other Person. No
claim or litigation regarding any of the foregoing is pending or, to the best knowledge of
Borrower, threatened, which, either individually or in the aggregate, would reasonably be expected
to have a Material Adverse Effect.

ARTICLE VI.

AFFIRMATIVE COVENANTS

     So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation
hereunder shall remain unpaid or unsatisfied, or any Letter of Credit shall remain outstanding,
each Borrower shall, and shall (except in the case of the covenants set out in Sections 6.01, 6.02,
6.03 and 6.11) cause each Subsidiary to:

     6.01 Financial Statements. Deliver to Agent and each Lender, in form and detail satisfactory
to Agent:

     (a) as soon as available, but in any event within 120 days after the end of each fiscal
year of Parent, a consolidated and consolidating balance sheet of Parent and its
Subsidiaries as at the end of such fiscal year, and the related consolidated and
consolidating statements of income or operations, Shareholders’ Equity and cash flows for
such fiscal year, setting forth in each case in comparative form the figures for the
previous fiscal year, all in reasonable detail and prepared in accordance with GAAP, audited
and accompanied by a report and opinion of an independent certified public accountant of
nationally recognized standing reasonably acceptable to the Agent, which report and opinion
shall be prepared in accordance with generally accepted auditing standards and shall not be
subject to any “going concern” or like qualification or exception or any qualification or
exception as to the scope of such audit; and

     (b) as soon as available, but in any event within 45 days after the end of each fiscal
quarter of each fiscal year of Parent, a consolidated and consolidating balance sheet of
Parent and its Subsidiaries as at the end of such fiscal quarter, and the related
consolidated and consolidating statements of income or operations, Shareholders’ Equity and
cash flows for such fiscal quarter and for the portion of Parent’s fiscal year then ended,
setting forth in each case in comparative form the figures for the corresponding fiscal
quarter of the previous fiscal year and the corresponding portion of the previous fiscal
year, all in reasonable detail and certified by a Responsible Officer of Parent as fairly
presenting the financial condition, results of operations, Shareholders’ Equity and cash
flows of Parent and its Subsidiaries in accordance with GAAP, subject only to normal
year-end audit adjustments and the absence of footnotes.

As to any information contained in materials furnished pursuant to Section 6.02(d), Borrowers shall
not be separately required to furnish such information under clause (a) or (b) above, but the
foregoing shall not be in derogation of the obligation of Borrowers to furnish the information and
materials described in clauses (a) and (b) above at the times specified therein.

     6.02 Certificates; Other Information. Deliver to Agent and each Lender, in form and detail
satisfactory to Agent:

     (a) concurrently with the delivery of the Current Financial Statements referred to in
Section 6.01(a), a certificate of its independent certified public accountants certifying
such financial statements and stating that in making the examination necessary therefor no
knowledge

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was obtained of any Default or Event of Default or, if any such Default or Event of
Default shall exist, stating the nature and status of such event;

     (b) concurrently with the delivery of the Current Financial Statements referred to in
Sections 6.01(a) and (b) a duly completed Compliance Certificate signed by a Responsible
Officer of Borrower;

     (c) as soon as practicable and in any event within 30 days after the end of the first
fiscal quarter of each year (commencing with the fiscal quarter ending January 31, 2006),
an operating budget and projected financial statements for the next succeeding Fiscal Year
(including a statement of underlying assumptions) for the Companies on a consolidated basis
in the same format as the Current Financial Statements provided under Section 6.01(a).

     (d) promptly after any request by Agent or any Lender, copies of any detailed audit
reports, management letters or recommendations submitted to the board of directors (or the
audit committee of the board of directors) of Parent by independent accountants in
connection with the accounts or books of Parent or any Subsidiary, or any audit of any of
them;

     (e) promptly after the same are available, copies of each (if any) annual report, proxy
or financial statement or other report or communication sent to the stockholders of Parent,
and copies of all annual, regular, periodic and special reports and registration statements
which Borrowers may file or be required to file with the SEC under Section 13 or 15(d) of
the Securities Exchange Act of 1934, as amended, and not otherwise required to be delivered
to Agent pursuant to this Agreement; and

     (f) promptly, such additional information regarding the business, financial or
corporate affairs of Parent or any Subsidiary, Plan or Foreign Plan or any other
governmental filings related thereto or compliance with the terms of the Loan Documents, as
Agent or any Lender may from time to time reasonably request.

     Documents required to be delivered pursuant to Section 6.01(a), (b) or (c) or Section 6.02(d)
(to the extent any such documents are included in materials otherwise filed with the SEC) may be
delivered electronically and if so delivered, shall be deemed to have been delivered on the date
(i) on which Borrower posts such documents, or provides a link thereto on Borrower’s website on the
Internet at the website address listed on Schedule 10.02; or (ii) on which such documents are
posted on Borrower’s behalf on IntraLinks/IntraAgency or another relevant website, if any, to which
each Lender and Agent have access (whether a commercial, third-party website or whether sponsored
by Agent); provided that: (i) Borrower shall deliver paper copies of such documents to Agent or any
Lender that requests Borrower to deliver such paper copies until a written request to cease
delivering paper copies is given by Agent or such Lender and (ii) Borrower shall notify (which may
be by facsimile or electronic mail) Agent and each Lender of the posting of any such documents and
provide to Agent by electronic mail electronic versions (i.e., soft copies) of such documents.
Notwithstanding anything contained in this Agreement, in every instance Borrower shall be required
to provide paper copies of the Compliance Certificates required by Section 6.02(b) to Agent and
each of the Lenders. Except for such Compliance Certificates, Agent shall have no obligation to
request the delivery or to maintain copies of the documents referred to above, and in any event
shall have no responsibility to monitor compliance by Borrower with any such request for delivery,
and each Lender shall be solely responsible for requesting delivery to it or maintaining its copies
of such documents.

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     6.03 Notices. Promptly notify Agent and each Lender:

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

     (b) of any matter that has resulted or, if adversely determined, would reasonably be
expected to result in a Material Adverse Effect, including (i) breach or non-performance of,
or any default under, a Contractual Obligation of Parent or any Subsidiary; (ii) any
dispute, litigation, investigation, proceeding or suspension between Parent or any
Subsidiary and any Governmental Authority; or (iii) the commencement of, or any material
development in, any litigation or proceeding affecting Parent or any Subsidiary, including
pursuant to any applicable Environmental Laws;

     (c) of the occurrence of an ERISA Event that would reasonably be expected to result in
a Material Adverse Effect which notice shall be provided within 10 Business Days of
Borrower’s actual knowledge of such an ERISA Event; and

     (d) of any material change in accounting policies or financial reporting practices by
Parent or any Subsidiary of Parent.

     Each notice pursuant to this Section shall be accompanied by a statement of a Responsible
Officer of Parent setting forth details of the occurrence referred to therein and stating what
action Borrowers have taken and propose to take with respect thereto. Each notice pursuant to
Section 6.03(a) shall describe with particularity any and all provisions of this Agreement and any
other Loan Document that have been breached.

     6.04 Payment of Obligations. Pay and discharge as the same shall become due and payable, all
its obligations and liabilities, including (a) all taxes, assessments and governmental charges or
levies upon it or its properties, unless the same are being contested in good faith by appropriate
proceedings diligently conducted and adequate reserves in accordance with GAAP are being maintained
by Borrower or such Subsidiary; (b) all lawful claims which, if due and unpaid, would by law become
a Lien upon its property (other than Permitted Liens); and (c) all Indebtedness, as and when due
and payable, but subject to any subordination provisions contained in any instrument or agreement
evidencing such Indebtedness.

     6.05 Preservation of Existence, Etc. (a) Preserve, renew and maintain in full force and
effect its legal existence and good standing under the Laws of the jurisdiction of its organization
except in a transaction permitted by Section 7.04 or 7.05; (b) take all reasonable action to
maintain all rights, privileges, permits, licenses and franchises necessary or desirable in the
normal conduct of its business, except to the extent that failure to do so could not reasonably be
expected to have a Material Adverse Effect; and (c) preserve or renew all of its registered
patents, trademarks, trade names and service marks, the non-preservation of which could reasonably
be expected to have a Material Adverse Effect.

     6.06 Maintenance of Properties. (a) Maintain, preserve and protect all of its material
properties and equipment necessary in the operation of its business in good working order and
condition, ordinary wear and tear excepted; (b) make all necessary repairs thereto and renewals and
replacements thereof except where the failure to do so could not reasonably be expected to have a
Material Adverse Effect; and (c) use the standard of care typical in the industry in the operation
and maintenance of its facilities.

     6.07 Maintenance of Insurance. Maintain with financially sound and reputable insurance
companies that are not Affiliates of Borrower, insurance with respect to its properties and
business against loss or damage of the kinds customarily insured against by Persons engaged in the
same or similar

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business, of such types and in such amounts as are customarily carried under similar
circumstances by such other Persons and providing for not less than 30 days’ prior notice to Agent
of termination, lapse or cancellation of such insurance.

     6.08 Compliance with Laws. Comply in all material respects with the requirements of all Laws
and all orders, writs, injunctions and decrees applicable to it or to its business or property,
except in such instances in which (a) such requirement of Law or order, write, injunction or decree
is being contested in good faith by appropriate proceedings diligently conducted; or (b) the
failure to comply therewith would not reasonably be expected to have a Material Adverse Effect.

     6.09 Books and Records. (a) Maintain proper books of record and account, in which full, true
and correct entries in conformity with GAAP (or, with respect to any non-Domestic Subsidiary, the
equivalent) consistently applied shall be made of all financial transactions and matters involving
the assets and business of Parent or such Subsidiary, as the case may be; and (b) maintain such
books of record and account in material conformity with all applicable requirements of any
Governmental Authority having regulatory jurisdiction over Parent or such Subsidiary, as the case
may be.

     6.10 Inspection Rights. Permit representatives and independent contractors of Agent to visit
and inspect any of its properties, to examine its corporate, financial and operating records, and
make copies thereof (other than materials protected by attorney client privilege or that a Loan
Party may not disclose without violation of a confidentiality obligation binding on it) or
abstracts therefrom, and to discuss its affairs, finances and accounts with its directors,
officers, and independent public accountants, all at the expense of Borrower and at such reasonable
times during normal business hours and as often as may be reasonably desired, upon reasonable
advance notice to Borrower; provided that, when an Event of Default exists Agent or any Lender (or
any of their respective representatives or independent contractors) may do any of the foregoing at
the expense of Borrower at any time during normal business hours and without advance notice.

     6.11 Use of Proceeds. Use the proceeds of the Credit Extensions (a) to fund a portion of the
Subject Acquisition, and (b) for working capital and other general corporate purposes not in
contravention of any Law or of any Loan Document.

     6.12 Additional Guarantors. Notify Agent at the time that any Person becomes a Domestic
Subsidiary or a non-Domestic Subsidiary, and promptly thereafter (and in any event within 10 days),
cause any Person that becomes a Domestic Subsidiary to (a) become a Guarantor by executing and
delivering to Agent a counterpart of the Guaranty or such other document as Agent shall deem
appropriate for such purpose, and (b) deliver to Agent documents of the types referred to in
clauses (iii) and (iv) of Section 4.01(a) and favorable opinions of counsel to such Person (which
shall cover, among other things, the legality, validity, binding effect and enforceability of the
documentation referred to in clause (a)), all in substantially the same form, content and scope as
the documentation delivered pursuant to Section 4.01(a) on the Closing Date and otherwise
reasonably satisfactory to Agent.

ARTICLE VII.

NEGATIVE COVENANTS

     So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation
hereunder shall remain unpaid or unsatisfied, or any Letter of Credit shall remain outstanding, no
Borrower shall, nor shall it permit any Subsidiary to, directly or indirectly:

     7.01 Liens. Create, incur, assume or suffer to exist any Lien upon any of its property,
assets or revenues, whether now owned or hereafter acquired, other than the following:

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     (a) Liens pursuant to any Loan Document;

     (b) Liens existing on the date hereof and listed on Schedule 7.01 and any renewals or
extensions thereof; provided that, the property covered thereby is not increased and any
renewal, refinancing, refunding or extension of the obligations secured or benefited thereby
is permitted by Section 7.03(b);

     (c) Liens for Taxes not yet due or which are being contested in good faith and by
appropriate proceedings diligently conducted, if adequate reserves with respect thereto are
maintained on the books of the applicable Person in accordance with GAAP;

     (d) carriers’, warehousemen’s, mechanics’, materialmen’s, repairmen’s or other like
Liens arising in the ordinary course of business which are not overdue for a period of more
than 30 days or which are being contested in good faith and by appropriate proceedings
diligently conducted, if adequate reserves with respect thereto are maintained on the books
of the applicable Person;

     (e) pledges or deposits in the ordinary course of business in connection with workers’
compensation, unemployment insurance and other social security legislation, other than any
Lien imposed by ERISA;

     (f) deposits to secure the performance of bids, trade contracts and leases (other than
Indebtedness), statutory obligations, surety bonds (other than bonds related to judgments or
litigation), performance bonds and other obligations of a like nature incurred in the
ordinary course of business;

     (g) easements, rights-of-way, restrictions, rights of lessors of leased properties, and
other similar encumbrances affecting real property which, in the aggregate, are not
substantial in amount, and which 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 applicable Person;

     (h) Liens securing judgments for the payment of money not constituting an Event of
Default under Section 8.01(h) or securing appeal or other surety bonds related to such
judgments;

     (i) Liens securing Indebtedness permitted under Section 7.03(e); provided that, (i)
such Liens do not at any time encumber any property other than the property financed by such
Indebtedness and (ii) the Indebtedness secured thereby does not exceed the cost or fair
market value, whichever is lower, of the property being acquired on the date of acquisition;

     (j) leases and subleases of real property granted to others not interfering in any
material respect with the business of any Company; provided that, such lessees shall, at
Agent’s request, execute a subordination, non-disturbance and attornment agreement in favor
of, and acceptable to, Agent for the ratable benefit of Lenders;

     (k) any interest of title of a lessor under, and Liens arising under UCC financing
statements (or equivalent filings, registrations or agreements in foreign jurisdictions)
relating to leases permitted by any Loan Document; and

     (l) subject to any applicable Agency Account Agreement, normal and customary rights of
setoff on deposits of cash in favor of banks and other depository institutions.

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     7.02 Investments. Make any Investments, except:

     (a) Investments held by Parent or its Subsidiaries in the form of Liquid Assets;

     (b) advances to officers, directors and employees of Parent and Subsidiaries in an
amount not to exceed $250,000 in the aggregate at any time outstanding, for travel,
entertainment, relocation and analogous ordinary business purposes;

     (c) Investments of any Borrower in any wholly-owned Subsidiary and any Investments by a
wholly-owned Subsidiary of Borrower in another wholly-owned Subsidiary;

     (d) Investments of Borrowers in any non-wholly-owned Subsidiary in existence as of the
Closing Date to the extent that such Investments do not exceed $1,000,000 in the aggregate
in any Fiscal Year;

     (e) Investments consisting of extensions of credit in the nature of accounts receivable
or notes receivable arising from the grant of trade credit in the ordinary course of
business, prepaid expenses or deposits made to any Loan Party in the ordinary course of
business;

     (f) Guarantees permitted by Section 7.03; and

     (g) Investments consisting of stock, obligations, securities or other property received
by a Company in its reasonable credit judgment in settlement of accounts receivable (created
in the ordinary course of business) from bankrupt obligors; and

     (h) Acquisitions by Parent and its Subsidiaries not to exceed $10,000,000 in the
aggregate in any fiscal year.

     7.03 Indebtedness. Create, incur, assume or suffer to exist any Indebtedness, except:

     (a) Indebtedness under the Loan Documents;

     (b) Indebtedness outstanding on the date hereof and listed on Schedule 7.03 and any
refinancings, refundings, renewals or extensions thereof; provided that, the amount of such
Indebtedness is not increased at the time of such refinancing, refunding, renewal or
extension except by an amount equal to a reasonable premium or other reasonable amount paid,
and fees and expenses reasonably incurred, in connection with such refinancing and by an
amount equal to any existing commitments unutilized thereunder; provided further that,
Indebtedness subordinated to the Obligations may not be refinanced except on subordination
terms at least as favorable to the Lenders and no more restrictive on Borrower than the
subordinated Indebtedness being refinanced, and in an amount not less than the amount
outstanding at the time of refinancing;

     (c) Guarantees of Borrower or any Subsidiary in respect of Indebtedness otherwise
permitted hereunder of Borrower or any wholly-owned Subsidiary, provided that, non-Domestic
Subsidiaries may not guaranty or otherwise provide credit support for any Indebtedness;

     (d) obligations (contingent or otherwise) of Borrower or any Subsidiary existing or
arising under any Swap Contract, provided that (i) such obligations are (or were) entered
into by such Person in the ordinary course of business for the purpose of directly
mitigating risks associated with liabilities, commitments, investments, assets, or property
held or reasonably

64

 

anticipated by such Person, or changes in the value of securities issued by such
Person, and not for purposes of speculation or taking a “market view;” and (ii) such Swap
Contract does not contain any provision exonerating the non-defaulting party from its
obligation to make payments on outstanding transactions to the defaulting party;

     (e) Indebtedness to insurance companies or their Affiliates incurred to finance
premiums on policies provided by such insurance companies (and the amount thereof limited to
such purpose) in the ordinary course of business;

     (f) Indebtedness under the Bonds;

     (g) other Indebtedness not included in the preceding clauses provided that, the
aggregate amount of all such Indebtedness for Parent and its Subsidiaries at any one time
outstanding shall not exceed $5,000,000; and

     (h) Indebtedness under the Existing Loan Agreement until terminated.

     7.04 Fundamental Changes. Merge, dissolve, liquidate, consolidate with or into another
Person, or Dispose of (whether in one transaction or in a series of transactions) all or
substantially all of its assets (whether now owned or hereafter acquired) to or in favor of any
Person, except that, so long as no Default or Event of Default exists or would result therefrom:

     (a) any Subsidiary may merge with (i) Borrower; provided that, Borrower shall be the
continuing or surviving Person, or (ii) any one or more other Subsidiaries; provided that,
when any Guarantor is merging with another Subsidiary, such Guarantor shall be the
continuing or surviving Person; and

     (b) any Subsidiary may Dispose of all or substantially all of its assets (upon
voluntary liquidation or otherwise) to Borrower or to another Subsidiary; provided that, if
the transferor in such a transaction is a Guarantor or has otherwise executed Security
Documents, then the transferee must either be Borrower or a Guarantor.

     7.05 Dispositions. Make any Disposition or enter into any agreement to make any Disposition
except:

     (a) Dispositions of obsolete or worn out property, whether now owned or hereafter
acquired, in the ordinary course of business;

     (b) Dispositions of inventory, rental equipment and/or rental inventory in the ordinary
course of business;

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

     (d) Dispositions of property by any Subsidiary to Borrower or to another Loan Party;
provided that, if the transferor of such property is a Loan Party, the transferee thereof
must either be a Loan Party;

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     (e) Dispositions of assets with a book value up to $1,000,000 in the aggregate in any
Fiscal Year; and

     (f) Dispositions permitted by Section 7.04 or 7.06,

provided that, any Disposition under Sections 7.05(b), (c) and (e) shall be for fair market value.

     7.06 Restricted Payments. Declare or make, directly or indirectly, any Restricted Payment, or
incur any obligation (contingent or otherwise) to do so, except that:

     (a) each Subsidiary may make Restricted Payments to Borrower and to wholly-owned
Subsidiaries (and, in the case of a Restricted Payment by a non-wholly-owned Subsidiary, to
Borrower and any Subsidiary and to each other owner of capital stock or other equity
interests of such Subsidiary on a pro rata basis based on their relative ownership
interests);

     (b) Borrower and each Subsidiary may declare and make dividend payments or other
distributions payable solely in the common stock or other common equity interests of such
Person; and

     (c) Borrower and each Subsidiary may purchase, redeem or otherwise acquire shares of
its common stock or other common equity interests or warrants or options to acquire any such
shares with the proceeds received from the substantially concurrent issue of new shares of
its common stock or other common equity interests.

     7.07 Change in Nature of Business. Engage in any material line of business substantially
different from those lines of business conducted by Parent and its Subsidiaries on the date hereof
or any business substantially related or incidental thereto.

     7.08 Transactions with Affiliates. Except for transactions contemplated by this Agreement,
enter into any transaction of any kind with any Affiliate of Borrower, whether or not in the
ordinary course of business, other than on fair and reasonable terms substantially as favorable to
Borrower or such Subsidiary as would be obtainable by Borrower or such Subsidiary at the time in a
comparable arm’s length transaction with a Person other than an Affiliate.

     7.09 Burdensome Agreements. Enter into any Contractual Obligation (other than this Agreement
or any other Loan Document) that (a) limits the ability (i) of any Subsidiary to make Restricted
Payments to Borrower or any Guarantor or to otherwise transfer property to Borrower or any
Guarantor, (ii) of any Subsidiary to Guarantee the Indebtedness of Borrower or (iii) of Borrower or
any Subsidiary to create, incur, assume or suffer to exist Liens on property of such Person;
provided that, this clause (iii) shall not prohibit any negative pledge incurred or provided in
favor of any holder of Indebtedness permitted under Section 7.03(e) solely to the extent any such
negative pledge relates to the property financed by such Indebtedness; or (b) requires the grant of
a Lien to secure an obligation of such Person if a Lien is granted to secure another obligation of
such Person.

     7.10 Use of Proceeds. Use the proceeds of any Credit Extension, whether directly or
indirectly, and whether immediately, incidentally or ultimately, for any purpose other than as set
out in Section 6.11 or to purchase or carry margin stock (within the meaning of Regulation U of the
FRB) or to extend credit to others for the purpose of purchasing or carrying margin stock or to
refund Indebtedness originally incurred for such purpose.

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     7.11 Financial Covenants.

     (a) Minimum Liquidity. Permit Liquid Assets, as of the last day of each fiscal quarter
occurring during the period from the Closing Date through April 30, 2006, to be less than
$20,000,000.

     (b) Minimum EBITDA. Permit Consolidated EBITDA for each fiscal quarter period set out
below to be less than the corresponding amount set out below:

	 	 	 	 	 
	 	 	Minimum Consolidated	 
	Period	 	EBITDA	 
	Quarter Ending July 31, 2005
	 	$	2,500,000	 
	 
	 	 	 	 
	Quarter Ending October 31, 2005
	 	$	2,500,000	 
	 
	 	 	 	 
	Quarter Ending January 31, 2006
	 	$	2,500,000	 

     (c) Minimum Tangible Net Worth. Permit Consolidated Tangible Net Worth as of the end
of each fiscal quarter to be less than the sum of (i) $130,000,000 plus (ii) an amount equal
to 50% of the Consolidated Net Income for each Fiscal Year after the Closing Date (with no
deduction for a net loss in any such fiscal quarter or Fiscal Year), plus (iii) an amount
equal to 100% of the aggregate increases in Shareholders’ Equity of Parent and its
Subsidiaries after the date hereof by reason of the issuance and sale of any Equity
Interests of Parent or any Subsidiary (other than issuances to Parent or a wholly-owned
Subsidiary), including upon any conversion of debt securities of Parent into such capital
stock or other equity interests.

     (d) Minimum Fixed Charge Coverage Ratio. Permit the Consolidated Fixed Charge Coverage
Ratio at any time, to be less than the ratio set out below for the applicable period:

	 	 	 	 	 
	 	 	Minimum Consolidated Fixed	 
	Period Ending	 	Charge Coverage Ratio	 
	April 30, 2006 and thereafter
	 	 	1.25:1.00	 

            (e) Maximum Leverage Ratio. Permit the Consolidated Leverage Ratio at any time
to be greater than the ratio set out below for the applicable period:

	 	 	 	 	 
	 	 	Maximum Consolidated	 
	Period Ending	 	Leverage Ratio	 
	April 30, 2006 and thereafter
	 	 	2.75: 1.00	 

     (f) Capital Expenditures. Make or become legally obligated to make any
expenditure in respect of the purchase or other acquisition of any fixed or capital asset
(excluding normal replacements and maintenance which are properly charged to current
operations), except for capital expenditures in the ordinary course of business not
exceeding, in the aggregate for Parent and it Subsidiaries, for the most recently completed
four fiscal quarters ending on each quarterly date below, the amount set forth opposite such
period:

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	 	 	Maximum Capital	 
	Period Ending	 	Expenditures	 
	Quarter Ending July 31, 2005
	 	$	6,000,000	 
	 
	 	 	 	 
	Quarter Ending October 31, 2005
	 	$	6,000,000	 
	 
	 	 	 	 
	Quarter Ending January 31, 2006
	 	$	6,000,000	 

ARTICLE VIII.

EVENTS OF DEFAULT AND REMEDIES

     8.01 Events of Default. Any of the following shall constitute an Event of Default:

     (a) Non-Payment. Any Borrower or any other Loan Party fails to pay (i) when and as
required to be paid in this Agreement, any amount of principal of any Loan or any L/C
Obligation, or (ii) within 3 days after the same becomes due, any interest on any Loan or on
any L/C Obligation, or any commitment or other fee due hereunder, or (iii) within 5 Business
Days after the same becomes due, any other amount payable hereunder or under any other Loan
Document; or

     (b) Specific Covenants. Any Borrower fails to perform or observe any term, covenant or
agreement contained in any of Section 2.05(d), or (f), 2.16, 6.03, 6.05, 6.10, 6.11 7.01,
7.04, 7.05, 7.06, or 7.11; or

     (c) Other Defaults. Any Loan Party fails to perform or observe any other covenant or
agreement (not specified in clause (a) or (b) above) contained in any Loan Document on its
part to be performed or observed (subject to applicable grace or cure periods, if any) and
such failure continues for 30 days, or if an “Event of Default” occurs under, and as defined
in, such other Loan Document; or

     (d) Representations and Warranties. Any representation, warranty, certification or
statement of fact made or deemed made by or on behalf of any Borrower or any other Loan
Party in this Agreement, in any other Loan Document, or in any document delivered in
connection herewith or therewith shall be incorrect or misleading when made or deemed made;
or

     (e) Cross-Default. (i) Parent or any Subsidiary (A) fails to make any payment when due
(whether by scheduled maturity, required prepayment, acceleration, demand, or otherwise) in
respect of any Indebtedness or Guarantee (other than Indebtedness hereunder and Indebtedness
under Swap Contracts) having an aggregate principal amount (including undrawn committed or
available amounts and including amounts owing to all creditors under any combined or
syndicated credit arrangement) of more than the $1,000,000, or (B) fails to observe or
perform any other agreement or condition relating to any such Indebtedness or Guarantee or
contained in any instrument or agreement evidencing, securing or relating thereto, or any
other event occurs, the effect of which default or other event is to cause, or to permit the
holder or holders of such Indebtedness or the beneficiary or beneficiaries of such Guarantee
(or a trustee or agent on behalf of such holder or holders or beneficiary or beneficiaries)
to cause, with the giving of notice if required, such Indebtedness in an amount of more than
$1,000,000 to be demanded or to become due or to be repurchased, prepaid, defeased or
redeemed (automatically or otherwise), or an offer to repurchase, prepay, defease or redeem
such Indebtedness in an amount of more than $1,000,000 to be made, prior to its stated
maturity, or such Guarantee to become payable or cash collateral in respect thereof to be
demanded in an amount of more than $1,000,000; or (ii) there occurs under any Swap Contract
an Early Termination Date (as defined in such Swap Contract) resulting from (A) any event of
default under such Swap Contract as to which Parent or any

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Subsidiary is the Defaulting Party (as defined in such Swap Contract) or (B) any
Termination Event (as so defined) under such Swap Contract as to which Borrower or any
Subsidiary is an Affected Party (as so defined) and, in either event, the Swap Termination
Value owed by Parent or such Subsidiary as a result thereof is greater than the $500,000; or

     (f) Insolvency Proceedings, Etc. Any Loan Party or any of its Subsidiaries institutes
or consents to the institution of any proceeding under any Debtor Relief Law, or makes an
assignment for the benefit of creditors; or applies for or consents to the appointment of
any receiver, trustee, custodian, conservator, liquidator, rehabilitator or similar officer
for it or for all or any material part of its property; or any receiver, trustee, custodian,
conservator, liquidator, rehabilitator or similar officer is appointed without the
application or consent of such Person and the appointment continues undischarged or unstayed
for 60 calendar days; or any proceeding under any Debtor Relief Law relating to any such
Person or to all or any material part of its property is instituted without the consent of
such Person and continues undismissed or unstayed for 60 calendar days, or an order for
relief is entered in any such proceeding; or

     (g) Inability to Pay Debts; Attachment. (i) Parent or any Subsidiary becomes unable or
admits in writing its inability or fails generally to pay its debts as they become due, or
(ii) any writ or warrant of attachment or execution or similar process is issued or levied
against all or any material part of the property of any such Person and is not released,
vacated or fully bonded within 30 days after its issue or levy; or

     (h) Judgments. There is entered against Parent or any Subsidiary (i) a final judgment
or order for the payment of money in an aggregate amount exceeding the $1,000,000 ((x) to
the extent not covered by independent third-party insurance as to which the insurer does not
dispute coverage, or (y) with respect to the claim by a Company employee that is in pending
arbitration on the Closing Date, and for which Parent has made a reserve of $900,000, to the
extent in excess of such reserve), or (ii) any one or more non-monetary final judgments that
have, or could reasonably be expected to have, individually or in the aggregate, a Material
Adverse Effect and, in either case, (A) such judgment or order is not paid, bonded or
otherwise discharged within 30 days of entry thereof or enforcement proceedings are
commenced by any creditor upon such judgment or order, or (B) there is a period of 10
consecutive days during which a stay of enforcement of such judgment, by reason of a pending
appeal or otherwise, is not in effect; or

     (i) ERISA. (i) An ERISA Event occurs with respect to a Pension Plan or Multiemployer
Plan which has resulted or could reasonably be expected to result in liability of Borrower
to the Pension Plan, Multiemployer Plan, the PBGC or a participant in an aggregate amount
that reasonably would result in a Material Adverse Effect. or (ii) Borrower or any ERISA
Affiliate fails to pay when due, after the expiration of any applicable grace period, any
installment payment with respect to its withdrawal liability under Section 4201 of ERISA
under a Multiemployer Plan in an aggregate amount that reasonably would result in a Material
Adverse Effect; or

     (j) Invalidity of Loan Documents. Any Loan Document, at any time after its execution
and delivery and for any reason other than as expressly permitted hereunder or satisfaction
in full of all the Obligations, ceases to be in full force and effect; or any Loan Party or
any other Person contests in any manner the validity or enforceability of any Loan Document;
or any Loan Party denies that it has any or further liability or obligation under any Loan
Document, or purports to revoke, terminate or rescind any Loan Document; or

69

 

     (k) Change of Control. Any Change of Control with respect to Parent shall have
occurred.

     (l) Material Adverse Effect. A Material Adverse Effect shall have occurred.

     8.02 Remedies Upon Event of Default. If any Event of Default occurs and is continuing, Agent
shall, at the request of, or may, with the consent of, the Required Lenders, take any or all of the
following actions:

     (a) declare the commitment of each Lender to make Loans and any obligation of the L/C
Issuer to make L/C Credit Extensions to be terminated, whereupon such commitments and
obligation shall be terminated;

     (b) declare the unpaid principal amount of all outstanding Loans, all interest accrued
and unpaid thereon, and all other amounts owing or payable hereunder or under any other Loan
Document to be immediately due and payable, without presentment, demand, protest or other
notice of any kind, all of which are hereby expressly waived by Borrower;

     (c) require that Borrower Cash Collateralize the L/C Obligations (in an amount equal to
the then Outstanding Amount thereof); and

     (d) exercise on behalf of itself and the Lenders all rights and remedies available to
it and the Lenders under the Loan Documents or applicable law;

provided that, upon the occurrence of an actual or deemed entry of an order for relief with respect
to Borrower under the Bankruptcy Code of the United States, the obligation of each Lender to make
Loans and any obligation of the L/C Issuer to make L/C Credit Extensions shall automatically
terminate, the unpaid principal amount of all outstanding Loans and all interest and other amounts
as aforesaid shall automatically become due and payable, and the obligation of Borrower to Cash
Collateralize the L/C Obligations as aforesaid shall automatically become effective, in each case
without further act of Agent or any Lender.

     8.03 Application of Funds. After the exercise of remedies provided for in Section 8.02 (or
after the Loans have automatically become immediately due and payable and the L/C Obligations have
automatically been required to be Cash Collateralized as set out in the proviso to Section 8.02),
any amounts received on account of the Obligations, including without limitation, all obligations
under all Swap Contracts to which any Lender or any Affiliate of any Lender is a party, shall be
applied by Agent in the following order:

     (a) first, to payment of that portion of the Obligations constituting fees,
indemnities, expenses and other amounts (including Attorney Costs and amounts payable under
Article III) and the amounts due under any Swap Contract payable to Agent in its capacity as
such;

     (b) second, to payment of that portion of the Obligations constituting fees,
indemnities and other amounts (other than principal and interest) payable to the Lenders
(including Attorney Costs and amounts payable under Article III), ratably among them in
proportion to the amounts described in this clause (b) payable to them;

     (c) third, to payment of that portion of the Obligations constituting accrued
and unpaid interest on the Loans and L/C Borrowings, ratably among the Lenders in proportion
to the respective amounts described in this clause (c) payable to them;

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     (d) fourth, to payment of that portion of the Obligations constituting unpaid
principal of the Loans and L/C Borrowings, ratably among the Lenders in proportion to the
respective amounts described in this clause (d) held by them;

     (e) fifth, to Agent for the account of the L/C Issuer, to Cash Collateralize
that portion of L/C Obligations comprised of the aggregate undrawn amount of Letters of
Credit; and

     (f) last, the balance, if any, after all of the Obligations have been
indefeasibly paid in full, to Borrower or as otherwise required by Law.

Subject to Section 2.03(c), amounts used to Cash Collateralize the aggregate undrawn amount of
Letters of Credit pursuant to clause (f) above shall be applied to satisfy drawings under such
Letters of Credit as they occur. If any amount remains on deposit as Cash Collateral after all
Letters of Credit have either been fully drawn or expired, such remaining amount shall be applied
to the other Obligations, if any, or paid to Borrower in the order set out above.

ARTICLE IX.

ADMINISTRATIVE AGENT

     9.01 Appointment and Authorization of Agent.

     (a) Each Lender hereby irrevocably appoints, designates and authorizes Agent to take
such action on its behalf under the provisions of this Agreement and each other Loan
Document and to exercise such powers and perform such duties as are expressly delegated to
it by the terms of this Agreement or any other Loan Document, together with such powers as
are reasonably incidental thereto. Notwithstanding any provision to the contrary contained
elsewhere in this Agreement or in any other Loan Document, Agent shall not have any duties
or responsibilities, except those expressly set out in this Agreement, nor shall Agent have
or be deemed to have any fiduciary relationship with any Lender or participant, 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 Agent.
Without limiting the generality of the foregoing sentence, the use of the term “agent” in
this Agreement and in the other Loan Documents with reference to Agent is not intended to
connote any fiduciary or other implied (or express) obligations arising under agency
doctrine of any applicable Law. Instead, such term is used merely as a matter of market
custom, and is intended to create or reflect only an administrative relationship between
independent contracting parties.

     (b) The L/C Issuer shall act on behalf of the Lenders with respect to any Letters of
Credit issued by it and the documents associated therewith, and the L/C Issuer shall have
all of the benefits and immunities (i) provided to Agent in this Article IX with respect to
any acts taken or omissions suffered by the L/C Issuer in connection with Letters of Credit
issued by it or proposed to be issued by it and the applications and agreements for letters
of credit pertaining to such Letters of Credit as fully as if the term “Agent” as used in
this Article IX and in the definition of “Agent-Related Person” included the L/C Issuer with
respect to such acts or omissions, and (ii) (together with the duties and obligations) as
additionally provided in this Agreement with respect to the L/C Issuer.

     9.02 Delegation of Duties. Agent may execute any of its duties under this Agreement or any
other Loan Document by or through agents, employees or attorneys-in-fact and shall be entitled to
advice of counsel and other consultants or experts concerning all matters pertaining to such
duties. Agent shall

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not be responsible for the negligence or misconduct of any agent or
attorney-in-fact that it selects in the absence of gross negligence or willful misconduct.

     9.03 Liability of Agent. No Agent-Related Person shall (a) be liable for any action taken or
omitted to be taken by any of them under or in connection with this Agreement or any other Loan
Document or the transactions contemplated hereby (except for its own gross negligence or willful
misconduct in connection with its duties expressly set out in this Agreement), or (b) be
responsible in any manner to any Lender or participant for any recital, statement, representation
or warranty made by any Loan Party or any officer thereof, contained in this Agreement or in any
other Loan Document, or in any certificate, report, statement or other document referred to or
provided for in, or received by Agent under or in connection with, this Agreement or any other Loan
Document, or the validity, effectiveness, genuineness, enforceability or sufficiency of this
Agreement or any other Loan Document, or for any failure of any Loan Party or any other party to
any Loan Document to perform its obligations hereunder or thereunder. No Agent-Related Person
shall be under any obligation to any Lender or participant 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 or any
Affiliate thereof.

     9.04 Reliance by Agent.

     (a) Agent shall be entitled to rely, and shall be fully protected in relying, upon any
writing, communication, signature, resolution, representation, notice, consent, certificate,
affidavit, letter, telegram, facsimile, telex or telephone message, electronic mail message,
statement 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 any Loan Party), independent accountants
and other experts selected by Agent. Agent shall be fully justified in failing or refusing
to take any action under any Loan Document unless it shall first receive such advice or
concurrence of the Required Lenders as it deems appropriate and, if it so requests, it shall
first be indemnified to its satisfaction by the Lenders against any and all liability and
expense which may be incurred by it by reason of taking or continuing to take any such
action. Agent shall in all cases be fully protected in acting, or in refraining from
acting, under this Agreement or any other Loan Document in accordance with a request or
consent of the Required Lenders (or such greater
number of Lenders as may be expressly required hereby in any instance) and such request
and any action taken or failure to act pursuant thereto shall be binding upon all the
Lenders.

     (b) For purposes of determining compliance with the conditions specified in Section
4.01, each Lender that has signed this Agreement shall be deemed to have consented to,
approved or accepted or to be satisfied with, each document or other matter required
thereunder to be consented to or approved by or acceptable or satisfactory to a Lender
unless Agent shall have received notice from such Lender prior to the proposed Closing Date
specifying its objection thereto.

     9.05 Notice of Default. Agent shall not be deemed to have knowledge or notice of the
occurrence of any Default, except with respect to defaults in the payment of principal, interest
and fees required to be paid to Agent for the account of the Lenders, unless Agent shall have
received written notice from a Lender or Borrower referring to this Agreement, describing such
Default and stating that such notice is a “notice of default.” Agent will notify the Lenders of
its receipt of any such notice. Agent shall take such action with respect to such Default as may
be directed by the Required Lenders in accordance with Article VIII; provided that, unless and
until Agent has received any such direction,

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Agent may (but shall not be obligated to) take such
action, or refrain from taking such action, with respect to such Default as it shall deem advisable
or in the best interest of the Lenders.

     9.06
Credit Decision; Disclosure of Information by Agent. Each Lender acknowledges that no
Agent-Related Person has made any representation or warranty to it, and that no act by Agent
hereafter taken, including any consent to and acceptance of any assignment or review of the affairs
of any Loan Party or any Affiliate thereof, shall be deemed to constitute any representation or
warranty by any Agent-Related Person to any Lender as to any matter, including whether
Agent-Related Persons have disclosed material information in their possession. Each Lender
represents to Agent that it has, independently and without reliance upon any Agent-Related Person
and based on such documents and information as it has deemed appropriate, made its own appraisal of
and investigation into the business, prospects, operations, property, financial and other condition
and creditworthiness of the Loan Parties and their respective Subsidiaries, and all applicable bank
or other regulatory Laws relating to the transactions contemplated hereby, and made its own
decision to enter into this Agreement and to extend credit to Borrower hereunder. Each Lender also
represents that it will, independently and without reliance upon any Agent-Related Person and based
on such documents and information as it shall deem appropriate at the time, continue to make its
own credit analysis, appraisals and decisions in taking or not taking action under this Agreement
and the other Loan Documents, and to make such investigations as it deems necessary to inform
itself as to the business, prospects, operations, property, financial and other condition and
creditworthiness of Borrower. Except for notices, reports and other documents expressly required
to be furnished to the Lenders by Agent in this Agreement, Agent shall not have any duty or
responsibility to provide any Lender with any credit or other information concerning the business,
prospects, operations, property, financial and other condition or creditworthiness of any of the
Loan Parties or any of their respective Affiliates which may come into the possession of any
Agent-Related Person.

     9.07
Indemnification of Agent. Whether or not the transactions contemplated hereby are
consummated, the Lenders shall indemnify upon demand each Agent-Related Person (to the extent not
reimbursed by or on behalf of any Loan Party and without limiting the obligation of any Loan Party
to do so), pro rata, and hold harmless
each Agent-Related Person from and against any and all Indemnified Liabilities incurred by it;
provided that, no Lender shall be liable for the payment to any Agent-Related Person of any portion
of such Indemnified Liabilities to the extent determined in a final, nonappealable judgment by a
court of competent jurisdiction to have resulted from such Agent-Related Person’s own gross
negligence or willful misconduct; provided that, no action taken in accordance with the directions
of the Required Lenders shall be deemed to constitute gross negligence or willful misconduct for
purposes of this Section. Without limitation of the foregoing, each Lender shall reimburse Agent
upon demand for its ratable share of any costs or out-of-pocket expenses (including Attorney Costs)
incurred by Agent in connection with the preparation, execution, delivery, administration,
modification, amendment or enforcement (whether through negotiations, legal proceedings or
otherwise) of, or legal advice in respect of rights or responsibilities under, this Agreement, any
other Loan Document, or any document contemplated by or referred to in this Agreement, to the
extent that Agent is not reimbursed for such expenses by or on behalf of Borrower. The undertaking
in this Section shall survive termination of the Aggregate Commitments, the payment of all other
Obligations and the resignation of Agent.

     9.08
Agent in its Individual Capacity. Bank of America and its Affiliates may make loans to,
issue letters of credit for the account of, accept deposits from, acquire equity interests in and
generally engage in any kind of banking, trust, financial advisory, underwriting or other business
with each of the Loan Parties and their respective Affiliates as though Bank of America were not
Agent or the L/C Issuer hereunder and without notice to or consent of the Lenders. The Lenders
acknowledge that, pursuant to such activities, Bank of America or its Affiliates may receive
information regarding any Loan Party or its Affiliates (including information that may be subject
to confidentiality obligations in favor of such Loan Party or such Affiliate) and acknowledge that
Agent shall be under no obligation to provide such

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information to them. With respect to its Loans,
Bank of America shall have the same rights and powers under this Agreement as any other Lender and
may exercise such rights and powers as though it were not Agent or the L/C Issuer, and the terms
“Lender” and “Lenders” include Bank of America in its individual capacity.

     9.09 Successor Agent. Agent may resign as Agent upon 30 days’ notice to the Lenders (such
resignation to become effective as specified below); provided that, any such resignation by Bank of
America shall also constitute its resignation as L/C Issuer and Swing Line Lender. If Agent
resigns under this Agreement, the Required Lenders shall appoint from among the Lenders a successor
administrative agent for the Lenders. If no successor administrative agent is appointed prior to
the effective date of the resignation of Agent, Agent may appoint, after consulting with the
Lenders and Borrower, a successor administrative agent from among the Lenders. In either case, the
successor administrative agent shall be consented to by Borrower at all times other than during the
existence of an Event of Default (which consent of Borrower shall not be unreasonably withheld or
delayed). Upon the acceptance of its appointment as successor administrative agent hereunder, the
resignation of the Agent shall become effective and the Person acting as such successor
administrative agent shall succeed to all the rights, powers and duties of the retiring Agent, L/C
Issuer and Swing Line Lender and the respective terms “Agent,” “L/C Issuer” and “Swing Line Lender”
shall mean such successor administrative agent, Letter of Credit issuer and Swing Line Lender, and
the retiring Agent’s appointment, powers and duties as Agent shall be terminated and the retiring
L/C Issuer’s and Swing Line Lender’s rights, powers and duties as such shall be terminated, without
any other or further act or deed on the part of such retiring L/C Issuer or Swing Line Lender or
any other Lender, other than the obligation of the successor L/C Issuer to issue letters of credit
in substitution for the Letters of Credit, if any, outstanding at the time of such succession or to
make other arrangements satisfactory to the retiring L/C Issuer to effectively assume the
obligations of the retiring L/C Issuer with respect to such Letters of Credit. After any retiring
Agent’s resignation hereunder as
Agent, the provisions of this Article IX and Sections 10.04 and 10.05 shall inure to its
benefit as to any actions taken or omitted to be taken by it while it was Agent under this
Agreement. If no successor administrative agent has accepted appointment as Agent by the date
which is 30 days following a retiring Agent’s notice of resignation, the retiring Agent’s
resignation shall nevertheless thereupon become effective and the Lenders shall perform all of the
duties of Agent hereunder until such time, if any, as the Required Lenders appoint a successor
agent as provided for above.

     9.10
Agent May File Proofs of Claim. In case of the pendency of any receivership, insolvency,
liquidation, bankruptcy, reorganization, arrangement, adjustment, composition or other judicial
proceeding relative to any Loan Party, Agent (irrespective of whether the principal of any Loan or
L/C Obligation shall then be due and payable as in this Agreement expressed or by declaration or
otherwise and irrespective of whether Agent shall have made any demand on Borrower) shall be
entitled and empowered, by intervention in such proceeding or otherwise

     (a) to file and prove a claim for the whole amount of the principal and interest owing
and unpaid in respect of the Loans, L/C Obligations and all other Obligations that are owing
and unpaid and to file such other documents as may be necessary or advisable in order to
have the claims of the Lenders and Agent (including any claim for the reasonable
compensation, expenses, disbursements and advances of the Lenders and Agent and their
respective agents and counsel and all other amounts due the Lenders and Agent under Sections
2.03(i) and (j), 2.10 and 10.04) allowed in such judicial proceeding; and

     (b) to collect and receive any monies or other property payable or deliverable on any
such claims and to distribute the same;

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and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official
in any such judicial proceeding is hereby authorized by each Lender to make such payments to Agent
and, in the event that Agent shall consent to the making of such payments directly to the Lenders,
to pay to Agent any amount due for the reasonable compensation, expenses, disbursements and
advances of Agent and its agents and counsel, and any other amounts due Agent under Sections 2.10
and 10.04.

Nothing contained in this Agreement shall be deemed to authorize Agent to authorize or consent to
or accept or adopt on behalf of any Lender any plan of reorganization, arrangement, adjustment or
composition affecting the Obligations or the rights of any Lender or to authorize Agent to vote in
respect of the claim of any Lender in any such proceeding.

     9.11
Collateral and Guaranty Matters. The Lenders irrevocably authorize Agent, at its option
and in its discretion,

     (a) to release any Lien on any property granted to or held by Agent under any Loan
Document (i) upon termination of the Aggregate Commitments and payment in full of all
Obligations (other than contingent indemnification obligations) and the expiration or
termination of all Letters of Credit, (ii) that is sold or to be sold as part of or in
connection with any sale permitted hereunder or under any other Loan Document, or (iii)
subject to Section 10.01, if approved, authorized or ratified in writing by the Required
Lenders;

     (b) to subordinate any Lien on any property granted to or held by Agent under any Loan
Document to the holder of any Lien on such property that is permitted by Section 7.01(i);
and

     (c) to release any Guarantor from its obligations under the Guaranty if such Person
ceases to be a Subsidiary as a result of a transaction permitted hereunder.

Upon request by Agent at any time, the Required Lenders will confirm in writing Agent’s authority
to release or subordinate its interest in particular types or items of property, or to release any
Guarantor from its obligations under the Guaranty pursuant to this Section 9.11.

     9.12 Other Agents; Arrangers and Managers. None of the Lenders or other Persons identified on
the facing page or signature pages of this Agreement as a “syndication agent,” “documentation
agent,” “co-agent,” “book manager,” “lead manager,” “arranger,” “lead arranger” or “co-arranger”
shall have any right, power, obligation, liability, responsibility or duty under this Agreement
other than, in the case of such Lenders, those applicable to all Lenders as such. Without limiting
the foregoing, none of the Lenders or other Persons so identified shall have or be deemed to have
any fiduciary relationship with any Lender. Each Lender acknowledges that it has not relied, and
will not rely, on any of the Lenders or other Persons so identified in deciding to enter into this
Agreement or in taking or not taking action hereunder.

ARTICLE X.

MISCELLANEOUS

     10.01
Amendments, Etc. No amendment or waiver of any provision of this Agreement or any other
Loan Document, and no consent to any departure by Borrower or any other Loan Party therefrom, shall
be effective unless in writing and signed by the Required Lenders and Borrower or the applicable
Loan Party, as the case may be, and acknowledged by Agent, and each such waiver or consent shall be
effective only in the specific instance and for the specific purpose for which given; provided
that, no such amendment, waiver or consent shall:

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     (a) waive any condition set out in Section 4.01(a), (b) or (c) without the written
consent of each Lender;

     (b) extend or increase the Commitment of any Lender (or reinstate any Commitment
terminated pursuant to Section 8.02) without the written consent of such Lender;

     (c) postpone any date fixed by this Agreement or any other Loan Document for any
payment or mandatory prepayment of principal, interest, fees or other amounts due to the
Lenders (or any of them) hereunder or under any other Loan Document without the written
consent of each Lender directly affected thereby;

     (d) reduce the principal of, or the rate of interest specified in this Agreement on,
any Loan or L/C Borrowing, or (subject to the proviso to this Section 10.01(d)) any fees or
other amounts payable hereunder or under any other Loan Document without the written consent
of each Lender directly affected thereby; provided that, only the consent of the Required
Lenders shall be necessary (A) to amend the definition of “Default Rate” or to waive any
obligation of Borrower to pay interest at the Default Rate or (B) to amend any financial
covenant hereunder (or any defined term used therein) even if the effect of such amendment
would be to reduce the rate of interest on any Loan or L/C Borrowing or to reduce any fee
payable hereunder;

     (e) change Section 2.13 or Section 8.03 in a manner that would alter the pro rata
sharing of payments required thereby without the written consent of each Lender;

     (f) amend Section 1.06 or the definition of “Alternative Currency” without the written
consent of each Lender;

     (g) change any provision of this Section or the definition of “Required Lenders” or any
other provision hereof specifying the number or percentage of Lenders required to amend,
waive or otherwise modify any rights hereunder or make any determination or grant any
consent hereunder, without the written consent of each Lender;

     (h) except as provided in Section 9.11, release any Guarantor from the Guaranty, or
release all or a material part of the Collateral, without the written consent of each
Lender;

and, provided further that (i) no amendment, waiver or consent shall, unless in writing and signed
by the L/C Issuer in addition to the Lenders required above, affect the rights or duties of the L/C
Issuer under this Agreement or any Letter of Credit Application relating to any Letter of Credit
issued or to be issued by it; (ii) no amendment, waiver or consent shall, unless in writing and
signed by the Swing Line Lender in addition to the Lenders required above, affect the rights or
duties of the Swing Line Lender under this Agreement; (iii) no amendment, waiver or consent shall,
unless in writing and signed by Agent in addition to the Lenders required above, affect the rights
or duties of Agent under this Agreement or any other Loan Document; and (iv) the Syndication Letter
may be amended, or rights or privileges thereunder waived, in a writing executed only by the
parties thereto. Notwithstanding anything to the contrary in this Agreement, no Defaulting Lender
shall have any right to approve or disapprove any amendment, waiver or consent hereunder, except
that the Commitment of such Lender may not be increased or extended without the consent of such
Lender.

     10.02 Notices and Other Communications; Facsimile Copies.

     (a) General. Unless otherwise expressly provided in this Agreement, all notices and
other communications provided for hereunder shall be in writing (including by facsimile

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transmission). All such written notices shall be mailed, faxed or delivered to the
applicable address, facsimile number or (subject to clause (c) below) electronic mail
address, and all notices and other communications expressly permitted hereunder to be given
by telephone shall be made to the applicable telephone number, as follows:

     (i) if to Borrower, Agent, the L/C Issuer or the Swing Line Lender, to the
address, facsimile number, electronic mail address or telephone number specified for
such Person on Schedule 10.02 or to such other address, facsimile number, electronic
mail address or telephone number as shall be designated by such party in a notice to
the other parties; and

     (ii) if to any other Lender, to the address, facsimile number, electronic mail
address or telephone number specified in its Administrative Questionnaire or to such
other address, facsimile number, electronic mail address or telephone number as
shall be designated by such party in a notice to Borrower, Agent, the L/C Issuer and
the Swing Line Lender.

All such notices and other communications shall be deemed to be given or made upon the earlier to
occur of (i) actual receipt by the relevant party to this Agreement and (ii) (A) if delivered by
hand or by courier, when signed for by or on behalf of the relevant party to this Agreement; (B) if
delivered by mail, 4 Business Days after deposit in the mails, postage prepaid; (C) if delivered by
facsimile, when sent and receipt has been confirmed by telephone; and (D) if delivered by
electronic mail (which form of delivery is subject to the provisions of clause (c) below), when
delivered; provided that, notices and other communications to Agent, the L/C Issuer and the Swing
Line Lender pursuant to Article II shall not be effective until actually received by such Person.
In no event shall a voicemail message be effective as a notice, communication or confirmation
hereunder.

     (b) Effectiveness of Facsimile Documents and Signatures. Loan Documents may be
transmitted and/or signed by facsimile. The effectiveness of any such documents and
signatures shall, subject to applicable Law, have the same force and effect as
manually-signed originals and shall be binding on all Loan Parties, Agent and the Lenders.
Agent may also require that any such documents and signatures be confirmed by a
manually-signed original thereof; provided that, the failure to request or deliver the same
shall not limit the effectiveness of any facsimile document or signature.

     (c) Limited Use of Electronic Mail. Electronic mail and Internet and intranet websites
may be used only to distribute routine communications, such as financial statements and
other information as provided in Section 6.02, and to distribute Loan Documents for
execution by the parties thereto, and may not be used for any other purpose.

     (d) Reliance by Agent and Lenders. Agent and the Lenders shall be entitled to
rely and act upon any notices (including telephonic Committed Loan Notices and Swing Line
Loan Notices) purportedly given by or on behalf of Borrower even if (i) such notices were
not made in a manner specified in this Agreement, were incomplete or were not preceded or
followed by any other form of notice specified in this Agreement, or (ii) the terms thereof,
as understood by the recipient, varied from any confirmation thereof. Borrower shall
indemnify each Agent-Related Person and each Lender from all losses, costs, expenses and
liabilities resulting from the reliance by such Person on each notice purportedly given by
or on behalf of Borrower. All telephonic notices to and other communications with Agent may
be recorded by Agent, and each of the parties to this Agreement hereby consents to such
recording.

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     10.03
No Waiver; Cumulative Remedies. No failure by any Lender or Agent to exercise, and no
delay by any such Person in exercising, any right, remedy, power or privilege hereunder 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 in this Agreement
provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided
by law.

     10.04
Attorney Costs, Expenses and Taxes. Borrower agrees (a) to pay directly to the provided
thereof or reimburse Agent for reasonable out-of-pocket costs and expenses incurred in connection
with the development, preparation, negotiation and execution of this Agreement and the other Loan
Documents and any amendment, waiver, consent or other modification of the provisions hereof and
thereof (whether or not the transactions contemplated hereby or thereby are consummated), and the
consummation and administration of the transactions contemplated hereby and thereby, including all
Attorney Costs, and (b) to pay or reimburse Agent and
each Lender for all costs and expenses incurred in connection with the enforcement, attempted
enforcement, or preservation of any rights or remedies under this Agreement or the other Loan
Documents (including all such costs and expenses incurred during any “workout” or restructuring in
respect of the Obligations and during any legal proceeding, including any proceeding under any
Debtor Relief Law), including all Attorney Costs. The foregoing costs and expenses shall include
all reasonable out-of-pocket search, filing, recording, title insurance and appraisal charges and
fees and taxes related thereto, and other reasonable out-of-pocket expenses incurred by Agent and
the cost of independent public accountants and other outside experts retained by Agent or any
Lender. All amounts due under this Section 10.04 shall be payable within 30 days after demand
therefor. The agreements in this Section shall survive the termination of the Aggregate
Commitments and repayment of all other Obligations.

     10.05
Indemnification by Borrower. Whether or not the transactions contemplated hereby are
consummated, Borrower shall indemnify and hold harmless each Agent-Related Person, each Lender and
their respective Affiliates, directors, officers, employees, counsel, agents and attorneys-in-fact
(collectively the “Indemnitees”) from and against any and all liabilities, obligations, losses,
damages, penalties, claims, demands, actions, judgments, suits, costs, expenses and disbursements
(including Attorney Costs) of any kind or nature whatsoever (subject to the provisions of Section
3.01 with respect to Taxes, Other Taxes and Excluded Taxes) which may at any time be imposed on,
incurred by or asserted against any such Indemnitee in any way relating to or arising out of or in
connection with (a) the execution, delivery, enforcement, performance or administration of any Loan
Document or any other agreement, letter or instrument delivered in connection with the transactions
contemplated thereby or the consummation of the transactions contemplated thereby, (b) any
Commitment, Loan or Letter of Credit or the use or proposed use of the proceeds therefrom
(including any refusal by the L/C Issuer to honor a demand for payment under a Letter of Credit if
the documents presented in connection with such demand do not strictly comply with the terms of
such Letter of Credit), (c) any actual or alleged presence or release of Hazardous Materials on or
from any property currently or formerly owned or operated by Borrower, any Subsidiary or any other
Loan Party, or any Environmental Liability related in any way to Borrower, any Subsidiary or any
other Loan Party, or (d) any actual or prospective claim, litigation, investigation or proceeding
relating to any of the foregoing, whether based on contract, tort or any other theory (including
any investigation of, preparation for, or defense of any pending or threatened claim,
investigation, litigation or proceeding) and regardless of whether any Indemnitee is a party
thereto (all the foregoing, collectively, the “Indemnified Liabilities”), in all cases, whether or
not caused by or arising, in whole or in part, out of the negligence of the Indemnitee; provided
that, such indemnity shall not, as to any Indemnitee, be available to the extent that such
liabilities, obligations, losses, damages, penalties, claims, demands, actions, judgments, suits,
costs, expenses or disbursements are determined by a court of competent jurisdiction by final and
nonappealable judgment to have resulted from the gross negligence or willful misconduct of such
Indemnitee. No Indemnitee shall be liable for any damages arising from the

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use by others of any
information or other materials obtained through IntraLinks or other similar information
transmission systems in connection with this Agreement, (so long as such Indemnitee has not beached
its obligations under Section 10.08) nor shall any Indemnitee have any liability for any indirect
or consequential damages relating to this Agreement or any other Loan Document or arising out of
its activities in connection herewith or therewith (whether before or after the Closing Date). All
amounts due under this Section 10.05 shall be payable within 30 days after demand therefor. The
agreements in this Section shall survive the resignation of Agent, the replacement of any Lender,
the termination of the Aggregate Commitments and the repayment, satisfaction or discharge of all
the other Obligations.

     10.06
Payments Set Aside. To the extent that any payment by or on behalf of Borrower is made to Agent or any Lender,
or Agent or any Lender exercises its right of set-off, and such payment or the proceeds of such
set-off or any part thereof is subsequently invalidated, declared to be fraudulent or preferential,
set aside or required (including pursuant to any settlement entered into by Agent or such Lender in
its discretion) to be repaid to a trustee, receiver or any other party, in connection with any
proceeding under any Debtor Relief Law or otherwise, then (a) to the extent of such recovery, the
obligation or part thereof originally intended to be satisfied shall be revived and continued in
full force and effect as if such payment had not been made or such set-off had not occurred, and
(b) each Lender severally agrees to pay to Agent upon demand its applicable share of any amount so
recovered from or repaid by Agent, plus interest thereon from the date of such demand to the date
such payment is made at a rate per annum equal to the Federal Funds Rate from time to time in
effect.

     10.07 Successors and Assigns.

     (a) The provisions of this Agreement shall be binding upon and inure to the benefit of
the parties to this Agreement and their respective successors and assigns permitted hereby,
except that Borrower may not assign or otherwise transfer any of its rights or obligations
hereunder without the prior written consent of each Lender and no Lender may assign or
otherwise transfer any of its rights or obligations hereunder except (i) to an Eligible
Assignee in accordance with the provisions of clause (b) of this Section 10.07, (ii) by way
of participation in accordance with the provisions of clause (d) of this Section 10.07, or
(iii) by way of pledge or assignment of a security interest subject to the restrictions of
clause (f) of this Section 10.07, or (iv) to an SPC in accordance with the provisions of
clause (h) of this Section 10.07 (and any other attempted assignment or transfer by any
party to this Agreement shall be null and void); provided that, no such assignment,
participation or transfer shall, without the consent of the Borrower, require any Company to
file a registration statement with the SEC or apply to qualify such assignment,
participation or other transfer under the securities law of any state. Nothing in this
Agreement, expressed or implied, shall be construed to confer upon any Person (other than
the parties to this Agreement, their respective successors and assigns permitted hereby,
Participants to the extent provided in clause (d) of this Section 10.07 and, to the extent
expressly contemplated hereby, the Indemnitees) any legal or equitable right, remedy or
claim under or by reason of this Agreement.

     (b) Any Lender may at any time assign to one or more Eligible Assignees all or a
portion of its rights and obligations under this Agreement (including all or a portion of
its Commitment and the Loans (including for purposes of this clause (b), participations in
L/C Obligations and in Swing Line Loans) at the time owing to it); provided that (i) except
in the case of an assignment of the entire remaining amount of the assigning Lender’s
Commitment and the Loans at the time owing to it or in the case of an assignment to a Lender
or an Affiliate of a Lender or an Approved Fund (as defined in clause (g) of this Section
10.07) with respect to a Lender, the aggregate amount of the Commitment (which for this
purpose includes Loans outstanding thereunder) subject to each such assignment, determined
as of the date the Assignment Agreement with respect to such assignment is delivered to
Agent or, if “Trade Date” is specified in the

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Assignment Agreement, as of the Trade Date,
shall not be less than $5,000,000 unless each of Agent and, so long as no Event of Default
has occurred and is continuing, Borrower otherwise consents (each such consent not to be
unreasonably withheld or delayed); (ii) each partial assignment shall be made as an
assignment of a proportionate part of all the assigning Lender’s rights and obligations
under this Agreement with respect to the Loans or the Commitment assigned, except that this
clause (ii) shall not apply to rights in respect of Swing Line Loans; (iii) any assignment
of a Commitment must be approved by Agent, the L/C Issuer and the Swing Line
Lender unless the Person that is the proposed assignee is itself a Lender (whether or
not the proposed assignee would otherwise qualify as an Eligible Assignee); and (iv) the
parties to each assignment shall execute and deliver to Agent an Assignment Agreement,
together with a processing and recordation fee of $5,000. Subject to acceptance and
recording thereof by Agent pursuant to clause (c) of this Section 10.07, from and after the
effective date specified in each Assignment Agreement, the Eligible Assignee thereunder
shall be a party to this Agreement and, to the extent of the interest assigned by such
Assignment Agreement, 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 Agreement, be released from its obligations under this Agreement (and, in the
case of an Assignment Agreement covering all of the assigning Lender’s rights and
obligations under this Agreement, such Lender shall cease to be a party to this Agreement
but shall continue to be entitled to the benefits of Sections 3.01, 3.04, 3.05, 10.04 and
10.05 with respect to facts and circumstances occurring prior to the effective date of such
assignment). Upon request, Borrower (at its expense) shall execute and deliver a Note to
the assignee Lender and, if applicable, the assigning Lender. Any assignment or transfer by
a Lender of rights or obligations under this Agreement that does not comply with this clause
(b) 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 clause (d) of this Section
10.07.

     (c) Agent, acting solely for this purpose as an agent of Borrower, shall maintain at
Agent’s Office a copy of each Assignment Agreement delivered to it and a register for the
recordation of the names and addresses of the Lenders, and the Commitments of, and principal
amounts 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
Borrower, Agent 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
Borrower and any Lender, at any reasonable time and from time to time upon reasonable prior
notice.

     (d) Any Lender may at any time, without the consent of, or notice to, Borrower or
Agent, sell participations to any Person (other than a natural person or Borrower or any of
Borrower’s Affiliates or Subsidiaries) (each, a “Participant”) in all or a portion of such
Lender’s rights and/or obligations under this Agreement (including all or a portion of its
Commitment and/or the Loans (including such Lender’s participations in L/C Obligations
and/or Swing Line Loans) owing to it); provided that (i) such Lender’s obligations under
this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to
the other parties to this Agreement for the performance of such obligations and (iii)
Borrower, Agent and the other Lenders shall continue to deal solely and directly with such
Lender in connection with such Lender’s rights and obligations under 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 this Agreement and to approve any
amendment, modification or waiver of any provision of this Agreement; provided that, such
agreement or instrument may provide that such Lender will not, without the consent of the
Participant, agree to any amendment, waiver or other modification described in the first
proviso to Section 10.01 that directly affects such Participant. Subject to clause (e) of
this

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Section, Borrower agrees that each Participant shall be entitled to the benefits of
Sections 3.01, 3.04 and 3.05 to the same extent as if it were a Lender and had acquired its
interest by assignment pursuant to clause (b) of this Section. To the extent permitted by
law, each Participant also shall be entitled to the benefits of Section 10.09 as though it
were a Lender, provided such Participant agrees to be subject to Section 2.14 as though it
were a Lender.

     (e) A Participant shall not be entitled to receive any greater payment under Section
3.01 or 3.04 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 Borrower’s prior written consent. A Participant that would be a
Foreign Lender if it were a Lender shall not be entitled to the benefits of Section 3.01
unless Borrower is notified of the participation sold to such Participant and such
Participant agrees, for the benefit of Borrower, to comply and complies with Section 10.15
as though it were a Lender.

     (f) Any Lender may at any time pledge or assign a security interest in all or any
portion of its rights under this Agreement (including under its Note, if any) to secure
obligations of such Lender, including any pledge or assignment to secure obligations to a
Federal Reserve Bank; provided that, no such pledge or assignment shall release such Lender
from any of its obligations hereunder or substitute any such pledgee or assignee for such
Lender as a party to this Agreement.

     (g) As used in this Agreement, the following terms have the following meanings:

     “Eligible Assignee” means (a) a Lender; (b) an Affiliate of a Lender; (c) an Approved Fund;
and (d) any other Person (other than a natural person) approved by (i) Agent, the L/C Issuer and
the Swing Line Lender, and (ii) unless an Event of Default has occurred and is continuing, Borrower
(each such approval not to be unreasonably withheld or delayed); provided that, notwithstanding the
foregoing, “Eligible Assignee” shall not include Borrower or any of Borrower’s Affiliates or
Subsidiaries.

     “Fund” means any Person (other than a natural person) that is (or will be) engaged in making,
purchasing, holding or otherwise investing in commercial loans and similar extensions of credit in
the ordinary course of its business.

     “Approved Fund” means any Fund that is administered or managed by (a) a Lender, (b) an
Affiliate of a Lender or (c) an entity or an Affiliate of an entity that administers or manages a
Lender.

     (h) Notwithstanding anything to the contrary contained in this Agreement, if at any
time Bank of America assigns all of its Commitment and Loans pursuant to clause (b) above,
Bank of America may, (i) upon 30 days’ notice to Borrower and the Lenders, resign as L/C
Issuer and/or (ii) upon 30 days’ notice to Borrower, resign as Swing Line Lender. In the
event of any such resignation as L/C Issuer or Swing Line Lender, Borrower shall be entitled
to appoint from among the Lenders a successor L/C Issuer or Swing Line Lender hereunder;
provided that, no failure by Borrower to appoint any such successor shall affect the
resignation of Bank of America as L/C Issuer or Swing Line Lender, as the case may be. If
Bank of America resigns as L/C Issuer, it shall retain all the rights and obligations of the
L/C Issuer hereunder with respect to all Letters of Credit outstanding as of the effective
date of its resignation as L/C Issuer and all L/C Obligations with respect thereto
(including the right to require the Lenders to make Base Rate Committed Loans or fund risk
participations in Unreimbursed Amounts pursuant to Section 2.03(c)). If Bank of America
resigns as Swing Line Lender, it shall retain all the rights of the Swing Line Lender
provided for hereunder with respect to Swing Line Loans made by it and outstanding as of the
effective date of such resignation, including the right to require the Lenders

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to make Base
Rate Committed Loans or fund risk participations in outstanding Swing Line Loans pursuant to
Section 2.04(c).

     10.08
Confidentiality. Each of Agent and the Lenders agrees to maintain the confidentiality of the Information (as
defined below), except that Information may be disclosed (a) to its and its Affiliates’ directors,
officers, employees and agents, including accountants, legal counsel and other advisors, in
connection with matters relating to the credit relationship with the Loan Parties and/or the
administration of the Loan Documents (it being understood that the Persons to whom such disclosure
is made will be informed of the confidential nature of such Information and instructed to keep such
Information confidential), (b) to the extent requested by any regulatory authority (including any
self-regulatory authority, such as the National Association of Insurance Commissioners), (c) to the
extent required by applicable laws or regulations or by any subpoena or similar legal process, (d)
to any other party to this Agreement, (e) in connection with the exercise of any remedies hereunder
or under any other Loan Document or any action or proceeding relating to this Agreement or any
other Loan Document or the enforcement of rights hereunder or thereunder, (f) subject to an
agreement containing provisions substantially the same as those of this Section, to (i) any
Eligible Assignee of or Participant in, or any prospective Eligible Assignee of or Participant in,
any of its rights or obligations under this Agreement or (ii) any actual or prospective
counterparty (or its advisors) to any swap or derivative transaction relating to Borrower and its
obligations, (g) with the consent of Borrower or (h) to the extent such Information (x) becomes
publicly available other than as a result of a breach of this Section 10.08 or (y) becomes
available to Agent or any Lender on a nonconfidential basis from a source other than Borrower. For
purposes of this Section 10.08, “Information” means all information received from any Loan Party
relating to any Loan Party or any of their respective businesses, other than any such information
that is available to Agent or any Lender on a nonconfidential basis prior to disclosure by any Loan
Party; provided that, in the case of information received from a Loan Party after the date hereof,
such information is clearly identified at the time of delivery as confidential. Any Person
required to maintain the confidentiality of Information as provided in this Section shall be
considered to have complied with its obligation to do so if such Person has exercised the same
degree of care to maintain the confidentiality of such Information as such Person would accord to
its own confidential information. Notwithstanding anything in this Agreement to the contrary,
“Information” shall not include, and Agent and each Lender may disclose without limitation of any
kind, any information with respect to the “tax treatment” and “tax structure” (in each case, within
the meaning of Treasury Regulation Section 1.6011-4) of the transactions contemplated hereby and
all materials of any kind (including opinions or other tax analyses) that are provided to Agent or
such Lender relating to such tax treatment and tax structure; provided that, with respect to any
document or similar item that in either case contains information concerning the tax treatment or
tax structure of the transaction as well as other information, this sentence shall only apply to
such portions of the document or similar item that relate to the tax treatment or tax structure of
the Loans, Letters of Credit and transactions contemplated hereby. In addition, Agent may disclose
to any agency or organization that assigns standard identification numbers to loan facilities such
basic information describing the facilities provided hereunder as is necessary to assign unique
identifiers (and, if requested, supply a copy of this Agreement), it being understood that the
Person to whom such disclosure is made will be informed of the confidential nature of such
Information and instructed to make available to the public only such Information as such person
normally makes available in the course of its business of assigning identification numbers.

     10.09
Set-off. In addition to any rights and remedies of the Lenders provided by law, upon
the occurrence and during the continuance of any Event of Default, each Lender is authorized at any
time and from time to time, without prior notice to Borrower or any other Loan Party, any such
notice being waived by Borrower (on its own behalf and on behalf of each Loan Party) to the fullest
extent permitted by law, to set off and apply any and all deposits (general or special, time or
demand, provisional or final) at any time held by, and other indebtedness at any time owing by,
such Lender to or for the credit or the

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account of the respective Loan Parties against any and all
Obligations owing to such Lender hereunder or under any
other Loan Document, now or hereafter existing, irrespective of whether or not Agent or such
Lender shall have made demand under this Agreement or any other Loan Document and although such
Obligations may be contingent or unmatured or denominated in a currency different from that of the
applicable deposit or indebtedness. Each Lender agrees promptly to notify Borrower and Agent after
any such set-off and application made by such Lender; provided that, the failure to give such
notice shall not affect the validity of such set-off and application.

     10.10
Interest Rate Limitation. Notwithstanding anything to the contrary contained in any
Loan Document, the interest paid or agreed to be paid under the Loan Documents shall not exceed the
maximum rate of non-usurious interest permitted by applicable Law (the “Maximum Rate”). If Agent
or any Lender shall receive interest in an amount that exceeds the Maximum Rate, the excess
interest shall be applied to the principal of the Loans or, if it exceeds such unpaid principal,
refunded to Borrower. In determining whether the interest contracted for, charged, or received by
Agent or a Lender exceeds the Maximum Rate, such Person may, to the extent permitted by applicable
Law, (a) characterize any payment that is not principal as an expense, fee, or premium rather than
interest, (b) exclude voluntary prepayments and the effects thereof, and (c) amortize, prorate,
allocate, and spread in equal or unequal parts the total amount of interest throughout the
contemplated term of the Obligations hereunder.

     10.11
Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed an original, but all of which together shall constitute one and the same
instrument.

     10.12
Conflict Provisions. In the event of any conflict between the provisions of this
Agreement and those of any other Loan Document, the provisions of this Agreement shall control;
provided that, the inclusion of supplemental rights or remedies in favor of Agent or the Lenders in
any other Loan Document shall not be deemed a conflict with this Agreement. Each Loan Document was
drafted with the joint participation of the respective parties thereto and shall be construed
neither against nor in favor of any party, but rather in accordance with the fair meaning thereof.

     10.13
Survival of Representations and Warranties. All representations and warranties made
hereunder and in any other Loan Document or other document delivered pursuant to this Agreement or
thereto or in connection herewith or therewith shall survive the execution and delivery hereof and
thereof. Such representations and warranties have been or will be relied upon by Agent and each
Lender, regardless of any investigation made by Agent or any Lender or on their behalf and
notwithstanding that Agent or any Lender may have had notice or knowledge of any Default at the
time of any Credit Extension, and shall continue in full force and effect as long as any Loan or
any other Obligation hereunder shall remain unpaid or unsatisfied or any Letter of Credit shall
remain outstanding.

     10.14
Severability. If any provision of this Agreement or the other Loan Documents is held to
be illegal, invalid or unenforceable, (a) the legality, validity and enforceability of the
remaining provisions of this Agreement and the other Loan Documents shall not be affected or
impaired thereby and (b) the parties shall endeavor in good faith negotiations to replace the
illegal, invalid or unenforceable provisions with valid provisions
the economic effect of which comes as close as possible to that of the illegal, invalid or
unenforceable provisions. The invalidity of a provision in a particular jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction.

     10.15 Tax Forms.

     (a) Each Lender that is not a “United States person” within the meaning of Section
7701(a)(30) of the Code (a “Foreign Lender”) shall deliver to Agent, prior to receipt of any
payment subject to withholding under the Code (or upon accepting an assignment of an

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interest in this Agreement), two duly signed completed copies of either IRS Form W-8BEN or
any successor thereto (relating to such Foreign Lender and entitling it to an exemption
from, or reduction of, withholding tax on all payments to be made to such Foreign Lender by
Borrower pursuant to this Agreement) or IRS Form W-8ECI or any successor thereto (relating
to all payments to be made to such Foreign Lender by Borrower pursuant to this Agreement) or
such other evidence satisfactory to Borrower and Agent that such Foreign Lender is entitled
to an exemption from, or reduction of, U.S. withholding tax, including any exemption
pursuant to Section 881(c) of the Code. Thereafter and from time to time, each such Foreign
Lender shall (i) promptly submit to Agent such additional duly completed and signed copies
of one of such forms (or such successor forms as shall be adopted from time to time by the
relevant United States taxing authorities) as may then be available under then current
United States laws and regulations to avoid, or such evidence as is satisfactory to Borrower
and Agent of any available exemption from or reduction of, United States withholding taxes
in respect of all payments to be made to such Foreign Lender by Borrower pursuant to this
Agreement, (ii) promptly notify Agent of any change in circumstances which would modify or
render invalid any claimed exemption or reduction, and (iii) take such steps as shall not be
materially disadvantageous to it, in the reasonable judgment of such Lender, and as may be
reasonably necessary (including the re-designation of its Lending Office) to avoid any
requirement of applicable Laws that Borrower make any deduction or withholding for taxes
from amounts payable to such Foreign Lender.

     (b) Each Foreign Lender, to the extent it does not act or ceases to act for its own
account with respect to any portion of any sums paid or payable to such Lender under any of
the Loan Documents (for example, in the case of a typical participation by such Lender),
shall deliver to Agent on the date when such Foreign Lender ceases to act for its own
account with respect to any portion of any such sums paid or payable, and at such other
times as may be necessary in the determination of Agent (in the reasonable exercise of its
discretion), (i) two duly signed completed copies of the forms or statements required to be
provided by such Lender as set out above, to establish the portion of any such sums paid or
payable with respect to which such Lender acts for its own account that is not subject to
U.S. withholding tax, and (ii) two duly signed completed copies of IRS Form W-8IMY (or any
successor thereto), together with any information such Lender chooses to transmit with such
form, and any other certificate or statement of exemption required under the Code, to
establish that such Lender is not acting for its own account with respect to a portion of
any such sums payable to such Lender.

     (c) Borrower shall not be required to pay any additional amount to any Foreign Lender
under Section 3.01 (i) with respect to any Taxes required to be deducted or withheld on the
basis of the information, certificates or statements of exemption such Lender transmits with
an IRS Form W-8IMY pursuant to this Section 10.15(c) or (ii) if such Lender shall have
failed to satisfy the foregoing provisions of this Section 10.15(c); provided that, if such
Lender shall have satisfied the requirement of this Section 10.15(c) on the date such Lender
became a Lender or
ceased to act for its own account with respect to any payment under any of the Loan
Documents, nothing in this Section 10.15(c) shall relieve Borrower of its obligation to pay
any amounts pursuant to Section 3.01 in the event that, as a result of any change in any
applicable law, treaty or governmental rule, regulation or order, or any change in the
interpretation, administration or application thereof, such Lender is no longer properly
entitled to deliver forms, certificates or other evidence at a subsequent date establishing
the fact that such Lender or other Person for the account of which such Lender receives any
sums payable under any of the Loan Documents is not subject to withholding or is subject to
withholding at a reduced rate.

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     (d) Agent may, without reduction, withhold any Taxes required to be deducted and
withheld from any payment under any of the Loan Documents with respect to which Borrower is
not required to pay additional amounts under this Section 10.15(d).

     (e) Upon the request of Agent, each Lender that is a “United States person” within the
meaning of Section 7701(a)(30) of the Code shall deliver to Agent two duly signed completed
copies of IRS Form W-9. If such Lender fails to deliver such forms, then Agent may withhold
from any interest payment to such Lender an amount equivalent to the applicable back-up
withholding tax imposed by the Code, without reduction.

     (f) If any Governmental Authority asserts that Agent did not properly withhold or
backup withhold, as the case may be, any tax or other amount from payments made to or for
the account of any Lender, such Lender shall indemnify Agent therefor, including all
penalties and interest, any taxes imposed by any jurisdiction on the amounts payable to
Agent under this Section, and costs and expenses (including Attorney Costs) of Agent. The
obligation of the Lenders under this Section shall survive the termination of the Aggregate
Commitments, repayment of all other Obligations hereunder and the resignation of Agent.

     10.16 Replacement of Lenders. Under any circumstances set out in this Agreement providing
that Borrower shall have the right to replace a Lender as a party to this Agreement, Borrower may,
upon notice to such Lender and Agent, replace such Lender by causing such Lender to assign its
Commitment (with the assignment fee to be paid by Borrower in such instance) pursuant to Section
10.07(b) to one or more other Lenders or Eligible Assignees procured by Borrower; provided that, if
Borrower elects to exercise such right with respect to any Lender pursuant to Section 3.06(b), it
shall be obligated to replace all Lenders that have made similar requests for compensation pursuant
to Section 3.01 or 3.04 or of illegality pursuant to Section 3.02. Borrower shall (a) pay in full
all principal, interest, fees and other amounts owing to such Lender through the date of
replacement (including any amounts payable pursuant to Section 3.05), (b) provide appropriate
assurances and indemnities (which may include letters of credit) to the L/C Issuer and the Swing
Line Lender as each may reasonably require with respect to any continuing obligation to fund
participation interests in any L/C Obligations or any Swing Line Loans then outstanding, and (c)
release such Lender from its obligations under the Loan Documents. Any Lender being replaced shall
execute and deliver an Assignment Agreement with respect to such Lender’s Commitment and
outstanding Loans and participations in L/C Obligations and Swing Line Loans.

     10.17 Governing Law.

     (a) THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF
THE STATE OF TEXAS APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED ENTIRELY WITHIN SUCH
STATE;
PROVIDED THAT, THE AGENT AND EACH LENDER SHALL RETAIN ALL RIGHTS ARISING UNDER FEDERAL
LAW.

     (b) ANY LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT OR ANY OTHER LOAN
DOCUMENT MAY BE BROUGHT IN THE COURTS OF THE STATE OF TEXAS SITTING IN HOUSTON OR OF THE
UNITED STATES FOR THE SOUTHERN DISTRICT OF SUCH STATE, AND BY EXECUTION AND DELIVERY OF THIS
AGREEMENT, BORROWERS, THE AGENT AND EACH LENDER CONSENTS, FOR ITSELF AND IN RESPECT OF ITS
PROPERTY, TO THE NON-EXCLUSIVE JURISDICTION OF THOSE COURTS. BORROWERS, THE AGENT AND EACH
LENDER IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING ANY OBJECTION TO THE LAYING OF VENUE OR
BASED ON THE GROUNDS OF FORUM

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NON CONVENIENS, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE
BRINGING OF ANY ACTION OR PROCEEDING IN SUCH JURISDICTION IN RESPECT OF ANY LOAN DOCUMENT OR
OTHER DOCUMENT RELATED THERETO. BORROWERS, THE AGENT AND EACH LENDER WAIVES PERSONAL
SERVICE OF ANY SUMMONS, COMPLAINT OR OTHER PROCESS, WHICH MAY BE MADE BY ANY OTHER MEANS
PERMITTED BY THE LAW OF SUCH STATE.

     10.18
Waiver of Right to Trial by Jury. EACH PARTY TO THIS AGREEMENT HEREBY EXPRESSLY WAIVES
ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION ARISING UNDER ANY LOAN
DOCUMENT OR IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES
HERETO OR ANY OF THEM WITH RESPECT TO ANY LOAN DOCUMENT, OR THE TRANSACTIONS RELATED THERETO, IN
EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER FOUNDED IN CONTRACT OR TORT OR
OTHERWISE; AND EACH PARTY HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE
OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND THAT ANY PARTY TO THIS AGREEMENT MAY
FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE
CONSENT OF THE SIGNATORIES HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY.

     10.19 Time of the Essence. Time is of the essence of the Loan Documents.

     10.20 Joint and Several Liability; Cross-Guaranty.

     (a) Notwithstanding anything herein to the contrary, Parent hereunder shall be liable
to Lenders and their respective successors and assigns for the full and prompt payment and
performance of all of the Obligations; provided that, the maximum amount of Parent’s
liability hereunder is limited, to the extent, if any, required so that its liability is not
subject to avoidance under any Debtor Relief Law.

     (b) Parent hereby absolutely and unconditionally guarantees to Lenders and their
respective successors and assigns, the full and prompt payment (whether at stated maturity,
by acceleration or otherwise) and performance of, all Obligations owed or hereafter owing
Lenders
by each other Borrower. Parent agrees that its guaranty obligations hereunder are
continuing guaranties of payment and performance and not of collection, that its obligations
under this Section 10.20 shall not be discharged until payment and performance, in full, of
the Obligations have occurred, and that its obligations under this Section 10.20 shall be
absolute and unconditional, irrespective of, and unaffected by,

     (i) the genuineness, validity, regularity, enforceability or any future
amendment of, or change in, this Agreement, any other Loan Document or any other
agreement, document or instrument to which any Borrower is or may become a party;

     (ii) the absence of any action to enforce this Agreement (including this
Section 10.20) or any other Loan Document or the waiver or consent by Lenders with
respect to any of the provisions thereof;

     (iii) the existence, value or condition of, or failure to perfect its Lien
against, any security for the Obligations or any action, or the absence of any
action, by Lenders in respect thereof (including the release of any such security);

86

 

     (iv) the insolvency of any Borrower or any other obligor; or

     (c) any other action or circumstances that might otherwise.

     10.21 Entire Agreement. THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL
AGREEMENT AMONG THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR
SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS AMONG THE
PARTIES.

[Signatures appear on following pages.]

87

 

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

	 	 	 	 	 	 	 
	 	 	BORROWERS:	 	 
	 
	 	 	 	 	 	 
	 	 	POWELL INDUSTRIES, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Don Madison	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Don Madison	 	 
	 

	 	 	 	Vice President, Secretary and Treasurer	 	 
	 
	 	 	 	 	 	 
	 	 	INHOCO 3210 LIMITED	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Don Madison	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Don Madison	 	 
	 

	 	Title:
	 	Director	 	 
	 
	 	 	 	 	 	 
	 	 	SWITCHGEAR & INSTRUMENTATION
PROPERTIES LIMITED	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Don Madison	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Don Madison	 	 
	 

	 	Title:
	 	Director	 	 

 

 

	 	 	 	 	 	 	 
	 	 	BANK OF AMERICA, N.A., as Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Daniel J. Lintner	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Daniel J. Lintner	 	 
	 

	 	 	 	Senior Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	BANK OF AMERICA, N.A., as a Lender
L/C Issuer and Swing Line Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Daniel J. Lintner	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Daniel J. Lintner	 	 
	 

	 	 	 	Senior Vice Presidentexv10w1

 

Exhibit 10.1

EMPLOYMENT SEPARATION AGREEMENT

     This Employment Separation Agreement (“Agreement”), dated as of June 30, 2005, is
between Ace Cash Express, Inc., a Texas corporation (the “Company”), and Donald H.
Neustadt, an individual resident of the State of Texas (“Neustadt”). The Company and
Neustadt are hereinafter collectively referred to as the “Parties.”

     WHEREAS, Neustadt has been previously employed by the Company under an Employment Agreement
dated as of July 1, 2004 (the “Employment Agreement”);

     WHEREAS, Neustadt is ceasing his employment with the Company under the Employment Agreement on
the date of this Agreement (the “Separation Date”);

     WHEREAS, the Parties desire to settle fully and finally, in the manner set forth herein, all
differences between them which have arisen, or which may arise, prior to, or at the time of, the
execution of this Agreement, including (without limitation) any and all claims and controversies
arising out of the Employment Agreement, the employment relationship between the Parties, and the
cessation thereof;

     NOW, THEREFORE, in consideration of the foregoing and the covenants set forth in this
Agreement, the Parties hereby agree as follows:

     1. Cessation of Employment. On the Separation Date, Neustadt resigns from, and
ceases, his employment with the Company. The preceding sentence shall not, however, affect
Neustadt’s continuing service as a director of the Company.

     2. General Releases and Covenants Not to Sue:

	 	(a)	 	Neustadt, for himself and on behalf of his agents, attorneys-in-fact, heirs,
assigns, successors, executors, and administrators, IRREVOCABLY AND UNCONDITIONALLY
RELEASES, ACQUITS AND FOREVER DISCHARGES the Company and its current and former parent,
subsidiary, affiliated, and related corporations, firms, associations, partnerships,
and other entities (including, without limitation, the Subsidiaries), their successors
and assigns, and the current and former owners, shareholders, directors, officers,
partners, managers, members, employees, agents, attorneys, representatives, and
insurers of such corporations, firms, associations, partnerships, and entitles, and
their guardians, successors, assigns, heirs, executors, and administrators
(collectively, “Company Releasees”) from any and all claims, liabilities,
obligations, agreements, damages, causes of action, costs, losses, and attorneys’ fees
and expenses whatsoever, whether known or unknown, whether or not connected with or
related to the Employment Agreement, Neustadt’s employment

1

 

	 	 	 	by the Company, or the cessation of that employment, including (without limitation)
any dispute, claim, charge, or cause of action arising under Title VII of the Civil
Rights Act of 1964, as amended, 42 U.S.C. § 2000e, et seq., the Americans with
Disabilities Act of 1990, 42 U.S.C. § 12101, et seq., the Texas Commission on Human
Rights Act, Tex. Labor Code § 21.001, et seq., the Age Discrimination in Employment
Act of 1967, as amended, 29 U.S.C. § 621 et seq., the Employee Retirement Income
Security Act of 1974, as amended, 29 U.S.C. § 1001, et seq., and any other
municipal, local, state, or federal law, common or statutory, which may have arisen,
or which may arise, prior to or at the time of the execution of this Agreement.
	 
	 	(b)	 	The Company, for itself and on behalf of its agents, attorneys-in-fact,
assigns, and successors and the Subsidiaries and their respective agents,
attorneys-in-fact, assigns, and successors, IRREVOCABLY AND UNCONDITIONALLY RELEASES,
ACQUITS AND FOREVER DISCHARGES Neustadt and his agents, attorneys-in-fact, guardians,
successors, assigns, heirs, executors, and administrators (collectively, “Neustadt
Releasees”) from any and all claims, liabilities, obligations, agreements, causes
of action, costs, losses, damages, and attorneys’ fees and expenses whatsoever, whether
known or unknown, connected with or related to the Employment Agreement, Neustadt’s
employment by the Company or the cessation of that employment which may have arisen, or
which may arise, prior to or at the time of the execution of this Agreement; excluding
from the foregoing release, however, any claim that the Company may hereafter have
arising from or relating to any third-party claims made against the Company because of
any actions taken by Neustadt, or any commitments or representations made by Neustadt,
that violated any of Neustadt’s fiduciary obligations to the Company.
	 
	 	(c)	 	Each of the Parties acknowledges and agrees that it or he is expressly
releasing all claims known and suspected as well as all those unknown or not suspected
and that its or his release includes and contemplates the extinguishment of all claims
under any and all applicable laws.
	 
	 	(d)	 	Neustadt also COVENANTS NOT TO SUE, OR OTHERWISE PARTICIPATE IN ANY ACTION OR
CLASS ACTION against, any of the Company Releasees based upon any of the claims
released in paragraph 2(a) above.
	 
	 	(e)	 	The Company also COVENANTS NOT TO SUE, OR OTHERWISE PARTICIPATE IN ACTION OR
CLASS ACTION against, any of the Neustadt Releasees based upon any of the claims
released in paragraph 2(b) above.

     3. Revocation: Neustadt may revoke this Agreement by written notice to the Company
within seven days after his execution hereof (the “Revocation Period”). Neustadt agrees
that he will not receive the payments and benefits provided by this Agreement if he revokes this
Agreement. Neustadt also acknowledges and agrees that if written notice of revocation of this
Agreement has not been received by the Company before the expiration of the

2

 

Revocation Period, he will have forever waived his right to revoke this Agreement, and this
Agreement shall thereupon and thereafter be enforceable.

     4. Non-Admission: Neustadt acknowledges and agrees that by entering into this
Agreement, the Company does not admit, but specifically denies, any violation of any local, state,
or federal law.

     5. Return of Company Property: Neustadt agrees that he shall return all property
belonging to the Company or any of the Subsidiaries in his possession, custody, or control on, or
as soon as practicable after, the Separation Date.

     6. Mutual Non-Disparagement: Neustadt, solely on behalf of himself and his attorneys,
and the Company, solely on behalf of its officers, directors, partners, managers, members,
employees, agents, and attorneys who are managing agents with actual authority to speak for the
Company, with regard to Neustadt and his employment with the Company and his service to the
Subsidiaries, expressly acknowledge, agree, and covenant that they will not make any statements,
comments, or communications that could constitute disparagement of one another or that may be
considered to be derogatory or detrimental to the good name or business reputation of one another;
provided, however, that the terms of this paragraph shall not apply to communications between
Neustadt and his spouse, mental health professional, clergy, or attorneys, or between the Company
and its advisors and attorneys, to the extent (in any such case) that such communications are
subject to a claim of privilege existing under common law, statute, or rule of procedure. Where
applicable, this mutual non-disparagement covenant applies to any public or private statements,
comments, or communications in any form, whether oral, written, or electronic. The Parties further
agree that they will not in any way solicit any such statements, comments, or communications.

     7. Payments and Benefits to Neustadt: In consideration for all of Neustadt’s
covenants herein:

	 	(a)	 	The Company shall pay Neustadt, upon expiration of the Revocation Period (if
this Agreement has not been revoked by Neustadt), $1,000. Such amount shall be paid by
check drawn on an account of the Company.
	 
	 	(b)	 	The Company shall provide Neustadt, as a former officer of the Company and a
former officer and director of certain of the Subsidiaries, rights to indemnification
under the applicable corporate documents of the Company and the Subsidiaries and
coverage under any directors’ and officers’ insurance policy maintained by the Company
for itself and the Subsidiaries.
	 
	 	(c)	 	The Company shall accelerate, upon the expiration of the Revocation Period, the
vesting of all outstanding and unvested options to purchase shares of the Company’s
Common Stock granted to Neustadt under the Company’s applicable stock incentive plans
and held by him as of the Separation Date. The Company shall also release, upon
expiration of the Revocation Period, the forfeiture restrictions on all shares of
Common Stock granted to Neustadt as restricted stock under the Company’s applicable
stock incentive plan and held by him as of the

3

 

	 	 	 	Separation Date. Each existing option agreement and restricted stock agreement
between the Company and Neustadt regarding those outstanding options or shares of
restricted stock, as applicable, shall be deemed amended by the preceding sentence.
	 
	 	(d)	 	The Company shall afford Neustadt three months after the Separation Date to
exercise his vested options to purchase shares of the Company’s Common Stock under the
Company’s applicable stock incentive plans. The Company shall cooperate with Neustadt
in the exercise of those options that he chooses to exercise (in accordance with the
terms of the documents governing those options).

     8. Tax Consequences of Payments: The Parties acknowledge and agree that the Company
shall not withhold taxes or FICA from any of the payments and benefits described in paragraph 7
above and shall only report those proceeds as income as required by law. Neustadt, in consultation
with his tax advisor, shall determine issues respecting the tax consequences of these payments.
Neustadt agrees to indemnify the Company against, and hold the Company harmless from taxes, if any,
and any penalties and interest assessed against the Company resulting from the Parties’ tax
treatment of the payments and benefits described in paragraph 7 above.

     9. No Effect on Other Agreements. This Agreement does not affect or supersede (a)
the General Release and Covenant Not to Sue between the Parties dated as of June 30, 2004, which
shall continue to be effective, or (b) any of the Parties’ respective post-employment covenants or
obligations expressed or referred to in the Employment Agreement, which shall continue to be
effective.

     10. Governing Law and Venue: This Agreement shall be governed by, enforced under, and
construed in accordance with the laws of the State of Texas, except only to the extent preempted by
federal law. Venue for any action or proceeding relating to this Agreement or the consulting
relationship hereunder shall lie exclusively in courts in Dallas County, Texas.

     11. Statement of Understanding: By executing this Agreement, Neustadt acknowledges
that (a) he has had at least 21 days to consider the terms of this Agreement and has considered its
terms for that period of time or has knowingly and voluntarily waived his right to do so; (b) he
has consulted with, or has had sufficient opportunity to consult with, an attorney of his own
choosing regarding the terms of this Agreement; (c) he has read this Agreement and fully
understands its terms and their import; (d) except as provided by this Agreement, he has no
contractual right or claim to the benefits described herein; (e) the consideration provided for
herein is good and valuable; and (f) he is entering into this Agreement voluntarily, of his own
free will, and without any coercion, undue influence, threat, or intimidation of any kind or type
whatsoever.

[Signature Page Follows]

4

 

EXECUTED in Irving, Texas, this 30th day of June, 2005.

	 	 	 	 	 
	 	 	 
	 	                                           /s/ DONALD H. NEUSTADT
 	 
	 	DONALD H. NEUSTADT 	 
	 	 	 
	 

EXECUTED in Irving, Texas, this 30th day of June, 2005.

	 	 	 	 	 
	 	ACE CASH EXPRESS, INC.

 	 
	 	By:  	/s/ JAY B. SHIPOWITZ

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