Document:

Exhibit 10.2

June 23, 2006

Mr. Mike McGuire

3110 St. Ives Country Club Parkway

Duluth, GA  30097

Dear Mike: 

Optio
Software, Inc. (the “Company”) considers the establishment and maintenance
of a sound and vital management to be essential to protecting and enhancing the
best interests of the Company and its shareholders. In this regard, the Company
recognizes that, as is the case with many publicly held corporations, the
possibility of a change in control may exist and that such possibility, and the
uncertainty and questions which it may raise among management, may result in
the departure or distraction of management personnel to the detriment of the
Company and its shareholders. Accordingly, the Company’s Board of Directors has
determined that appropriate steps should be taken to reinforce and encourage
the continued attention and dedication of members of the Company’s management,
including yourself, to their assigned duties without distraction in the face of
the potentially disturbing circumstances arising from the possibility of a
change in control of the Company. 

In
order to induce you to remain in the employ of the Company, this letter
agreement sets forth the severance benefits which the Company agrees will be
provided to you in the event your employment with the Company is terminated in
connection with a “Change of Control” (as defined in paragraph 2 hereof) under
the circumstances described below. 

1. TERM . This Agreement shall commence on
the date hereof and shall continue for so long as you remain as an
employee/officer of the Company. In the event of a Change of Control your
rights thereafter under this Agreement shall become permanent, are not
terminable, and cannot be affected by any corporate action without your
consent, except as is provided for in paragraph 3 of this Agreement with
respect to death or normal retirement, termination by the Company for cause, or
your disability. 

2. CHANGE IN CONTROL . No benefits shall
be payable hereunder unless there shall have been a Change of Control and your employment
by the Company shall have been terminated in accordance with paragraph 3 below.
For purposes of this Agreement, a “Change of Control” shall be deemed to have
occurred upon the occurrence of one of the following events: 

(i) the
acquisition, directly or indirectly after the date of this Agreement, in one
series of related transactions, of 45% or more of the Company’s common stock by
any “person” as that term is defined in Section 13(d)(3) of the
Securities Exchange Act of 1934, as amended excluding any acquisitions in
capital raising transactions; 

(ii) the
consummation of a merger, consolidation, share exchange or similar transaction
of the Company with any other corporation, entity or group, as a result of
which the holders of the voting capital stock of the Company as a group would
receive less than 45% of the voting capital stock of the surviving or resulting
corporation, or 

(iii) the
consummation of an agreement providing for the sale or transfer (other than as
security for obligations of the Company) of substantially all the assets of the
Company; provided that none of the transactions described in subsections (i), (ii) or
(iii) shall include a transaction or series of transactions with an entity
which is controlled, directly or indirectly, after the transaction, by the
Company or another entity in which the shareholders of the Company immediately
prior to such transaction control, directly or indirectly, at least 45% of the
outstanding voting securities (including any entity which as a result of such
transaction owns the Company or all or substantially all of the Company’s
assets either directly or through one or more subsidiaries). 

 

3. TERMINATION FOLLOWING CHANGE IN CONTROL .
If any of the events described in paragraph 2 hereof constituting a Change of
Control shall occur, you shall be entitled to the benefits provided in
paragraph 4 hereof upon the termination of your employment, immediately before
or within twelve (12) months following the Change of Control. Notwithstanding
the foregoing to the contrary, immediately upon a Change of Control, the
Company and your individual performance targets for the Annual Bonus Incentive
Plan shall be deemed to be met in full for the remainder plan year in which the
Change of Control occurs. Payment of such bonus shall be made to you on the
earlier of (i) your termination pursuant to this paragraph 3, or (ii) in
accordance with the payment schedule set forth in the bonus plan. In the
event your employment with the Company is terminated for any reason and subsequently
a Change of Control shall have occurred, you shall not be entitled to any
benefits nor have any rights hereunder . 

(i) Disability; Retirement. 

(A) If,
as a result of your incapacity due to physical or mental illness, you have been
absent from your duties with the Company on a full-time basis for 180
consecutive days and such period of absence commenced prior to a Change in
Control of the Company, the Company may give you at least thirty (30) days
prior written notice of termination of this Agreement and if you shall not have
returned to the full-time performance of your duties by the date of termination
specified in such notice, the Company may terminate this Agreement for “Disability.”

(B) Termination
by the Company or by you of your employment based on “Retirement” shall mean
termination in accordance with the Company’s retirement policy, including early
retirement, generally applicable to its salaried employees or in accordance
with any retirement arrangement established with your consent with respect to
you. 

(ii) Cause . The Company may terminate your
employment for cause. For the purposes of this Agreement, the Company shall
have “Cause” to terminate your employment hereunder upon (A) your material
breach of this agreement, provided that, if such breach is curable, you shall
be entitled to written notice and a thirty (30) day opportunity to cure such
breach; (B) any act or omission by you which is, or is likely to be,
materially injurious to the Company or the business reputation of the Company; (C) your
dishonesty, fraud, malfeasance, gross negligence or misconduct in the
performance of your duties or otherwise having an adverse affect on the
Company; (D) your continued failure to satisfactorily perform your duties,
to follow the direction (consistent with your duties) of the individual to whom
you report, or to follow the policies, procedures, and rules of the
Company, after notice and a thirty (30) day opportunity to cure; (E) your
arrest, indictment for, or conviction of, or your entry of a plea of guilty or
no contest to, a felony or crime involving moral turpitude; or (F) your
resignation for other than Good Reason. 

(iii) Good Reason . You may terminate your
employment for Good Reason. For purposes of this Agreement “Good Reason” shall
mean the occurrence after a Change of Control, without your written consent,
(except as provided in paragraph 3 with respect to certain events occurring
prior to a Change of Control) of any of the following circumstances: 

(A) the
Company takes any action which is inconsistent with, or results in the
reduction of, your then current title, duties or responsibilities immediately
prior to a Change of Control; 

(B) the
Company reduces your then current base salary; 

(C) the
Company’s requiring you to relocate more than seventy-five (75) miles from the
location of the offices at which you are principally employed immediately prior
to the date of a Change of Control; 

(D) the
Company reduces the benefits to which you are entitled at the time of a Change
of Control, unless a similar reduction is made for other executive employees;
or 

(E) the
failure of the Company to obtain the assumption of the agreement to perform
this Agreement by any successor as contemplated in paragraph 5 hereof. 

 

Good
Reason shall not include any isolated, insubstantial or inadvertent action that
(i) is not taken in bad faith, and (ii) is remedied by the Company
within thirty (30) days of receiving notice by you of such action. 

4. COMPENSATION UPON TERMINATION OR DURING DISABILITY
FOLLOWING A CHANGE OF CONTROL; OPTIONS 

(a) If
your employment is terminated in connection with a Change of Control, then the
following provisions shall apply: 

(i) During
any period that you fail to perform your duties hereunder as a result of
Disability, you shall continue to receive your full base salary at the rate
then in effect and any other compensation then payable to you until this
Agreement is terminated pursuant to paragraph 3(i) hereof. Thereafter, you
benefits shall be determined in accordance with the Company’s disability plan
then in effect. 

(ii) If
your employment shall be terminated for Cause, the Company shall pay you your
full base salary through the date of your termination at the rate in effect at
such time, plus all other amounts to which you are entitled under any
compensation or benefit plan of the Company at the time such payments are due,
and the Company shall have no further obligation to you under this Agreement. 

(iii) If
the Company shall terminate your employment other than pursuant to paragraph 3(i) or
3(ii) hereof or if you shall terminate your employment for Good Reason
pursuant to paragraph 3(iii) hereof, then the Company shall: 

(A) pay
to you a separation payment equal to six (6) months of your base salary in
effect as of the date of your termination, payable in accordance with the
Company’s normal payroll practices (or at the election of the Company, payable
as a lump sum payment); 

(B) pay
to you any earned but unpaid cash bonus amount as described in paragraph 3
above; and 

(C) maintain
in full force and effect for the continued benefit of you and your dependants
until the earlier of six (6) months following the date of your
termination, the equivalent of all life, disability, accident, health insurance
and other employee benefit plans, programs, benefits or arrangements in which
you were entitled to participate immediately prior to the date of termination
provided that your continued participation is possible under the general terms
and provisions of such plans and programs. In the event that your participation
in any such plan or program is barred, the Company shall arrange to provide you
with benefits substantially similar to those which you were entitled to receive
under such plans and programs immediately prior to your termination, provided
that any reduction of benefits which constituted a basis for your termination
of employment for Good Reason pursuant to subparagraph 3(ii) shall not be
taken into account for purposes of determining your continued benefits under
this subparagraph 4(iii). Notwithstanding the foregoing, the Company shall not
provide a benefit otherwise receivable by you pursuant to this paragraph (iii) during
any period in which an equivalent benefit is actually provided to you following
your termination, and you must report to the Company any such benefit actually
received by you. 

(iv) Except
as provided in subparagraph 4(iii)(C), you shall not be required to mitigate
the amount of any payment provided for in this paragraph 4 by seeking other
employment or otherwise, nor shall the amount of any payment provided for in
this paragraph 4 be reduced by any compensation earned by you as the result of
employment by another employer after the date of your termination, or
otherwise. 

(b) Upon
a Change in Control, all unvested options held by you shall vest in full
immediately upon and in conjunction with the consummation of the transaction
involving the Change in Control. 

5 . RESTRICTIVE COVENANTS . You acknowledge that the restrictions contained in this Section 5
are reasonable and necessary to protect the legitimate business interests of
the Company, and will not impair or infringe upon your right to work or earn a
living after your employment with the Company ends. 

 

 

A.
Trade Secrets and Confidential Information. You represent and warrant that: (i) you
are not subject to any agreement that would prevent you from performing your
duties for the Company or otherwise complying with this Agreement, and (ii) you
are not subject to or in breach of any non-disclosure agreement, including any
agreement concerning trade secrets or confidential information owned by any
other party. 

You
agree that you will not: (i) use, disclose, or reverse engineer the Trade
Secrets or the Confidential Information, except as authorized by the Company; (ii) during
your employment with the Company, use, disclose, or reverse engineer (a) any
confidential information or trade secrets of any former employer or third
party, or (b) any works of authorship developed in whole or in part by you
during any former employment or for any other party, unless authorized in
writing by the former employer or third party; or (iii) upon your
resignation or termination (a) retain Trade Secrets or Confidential
Information, including any copies existing in any form (including electronic
form), which are in your possession or control, or (b) destroy, delete, or
alter the Trade Secrets or Confidential Information without the Company’s
consent. 

The
obligations under this Section 5A shall: (i) with regard to the Trade
Secrets, remain in effect as long as the information constitutes a trade secret
under applicable law, and (ii) with regard to the Confidential
Information, remain in effect during the Restricted Period. 

B.
Non-Solicitation of Customers. During the Restricted Period, you will not
solicit any Customer of the Company for the purpose of providing any goods or
services competitive with the Business. The restrictions set forth in this Section 5B
apply only to the Customers with whom you had Contact. 

C.
Non-Recruit of Employees. During the Restricted Period, you will not, directly
or indirectly, solicit, recruit or induce any Employee to (a) terminate
his or her employment relationship with the Company or (b) work for any
other person or entity engaged in the Business. 

D. Work Product. Your employment duties may include inventing
in areas directly or indirectly related to the business of the Company or to a
line of business that the Company may reasonably be interested in pursuing. All
Work Product shall constitute work made for hire. If (i) any of the Work
Product may not be considered work made for hire, or (ii) ownership of all
right, title, and interest to the legal rights in and to the Work Product will
not vest exclusively in the Company, then, without further consideration, you
assign all presently-existing Work Product to the Company, and agree to assign,
and automatically assign, all future Work Product to the Company. 

The Company will have the right to obtain and hold in its own
name copyrights, patents, design registrations, proprietary database rights,
trademarks, rights of publicity, and any other protection available in the Work
Product. At the Company’s request, you agree to perform, during or after your
employment with the Company, any acts to transfer, perfect and defend the
Company’s ownership of the Work Product, including, but not limited to: (i) executing
all documents (including a formal assignment to the Company) necessary for
filing an application or registration for protection of the Work Product (an “Application”),
(ii) explaining the nature of the Work Product to persons designated by
the Company, (iii) reviewing Applications and other related papers, or (iv) providing
any other assistance reasonably required for the orderly prosecution of Applications.

You agree to provide the Company with a written description
of any Work Product in which you are involved (solely or jointly with others)
and the circumstances surrounding the creation of such Work Product. 

E.
License. You grant to the Company an irrevocable, nonexclusive, worldwide,
royalty-free license to: (i) make, use, sell, copy, perform, display,
distribute, or otherwise utilize copies of the Licensed Materials, (ii) prepare,
use and distribute derivative works based upon the Licensed Materials, and (ii) authorize
others to do the same. You shall notify the Company in writing of any Licensed
Materials you deliver to the Company. 

F.
Release. You consent to the Company’s use of your image, likeness, voice, or
other characteristics in the Company’s products or services. You release the
Company from any claims which you have or may have for 

 

right
of publicity, copyright infringement, or any other causes of action arising out
of the use, distribution, adaptation, reproduction, broadcast, or exhibition of
such characteristics. 

G.
Post-Employment Disclosure. During the Restricted Period, you will disclose
that you have covenants (and the nature of those covenants) to persons and/or
entities to whom you provide goods and services. If, during the Restricted
Period, you provide services to another person or entity which provides goods
or services competitive with the goods or services provided by the Company you
shall provide the Company with such person or entity’s name, your job title,
and a description of the services you will provide. 

H.
Injunctive Relief. You agree that if you breach paragraph 5 of this Agreement: (i) the
Company would suffer irreparable harm; (ii) it would be difficult to
determine damages, and money damages alone would be an inadequate remedy for
the injuries suffered by the Company, and (iii) if the Company seeks
injunctive relief to enforce this Agreement, you will waive and will not (a) assert
any defense that the Company has an adequate remedy at law with respect to the
breach, or (b) require that the Company submit proof of the economic value
of any Trade Secret or Confidential Information. Nothing contained in this
Agreement shall limit the Company’s right to any other remedies at law or in
equity. 

6. SEVERABILITY . The provisions of this Agreement are severable. If any
provision is determined to be invalid, illegal, or unenforceable, in whole or
in part, the remaining provisions and any partially enforceable provisions
shall remain in full force and effect. 

7. ATTORNEYS’ FEES .
In the event of litigation relating to this Agreement, the prevailing party
shall be entitled to recover attorneys’ fees and costs of litigation in
addition to all other remedies available at law or in equity. 

8. SURVIVAL; SUCCESSORS AND ASSIGNS . This Agreement shall be assignable to, and shall inure to
the benefit of, the Company’s successors and assigns, including, without
limitation, successors through merger, name change, consolidation, or sale of a
majority of the Company’s stock or assets, and shall be binding upon you. A
Change of Control shall not affect the terms of this Agreement. As used in this
Agreement, “Company” shall mean the Company as hereinbefore defined and any
successor to its business and/or assets as aforesaid or otherwise. You shall
not have the right to assign your rights or obligations under this Agreement.
The covenants contained in paragraph 5 of this Agreement shall survive
cessation of your employment with the Company, regardless of the reason for
cessation of your employment and regardless of who causes the cessation. 

9 .
NOTICE . For the purposes
of this Agreement, notices and all other communications provided for in the
Agreement shall be in writing and shall be deemed to have been duly given when
delivered or mailed by United States registered mail, return receipt requested,
postage prepaid, addressed to the respective addresses set forth on the first page of
this Agreement, provided that all notices to the Company shall be directed to
the attention of the Chief Executive Officer of the Company with a copy to the
Secretary of the Company, or to such other address as either party may have
furnished to the other in writing in accordance herewith, except that notices
of change of address shall be effective only upon receipt. 

10 .
MISCELLANEOUS . No
provisions of this Agreement may be modified, waived or discharged unless such
waiver, modification or discharge is agreed to in writing signed by you and
such officer as may be specifically designated by the Board of Directors of the
Company. No waiver by either party hereto at any time of any breach by the
other party hereto of, or compliance with, any condition or provision of this
Agreement to be performed by such other party shall be deemed a waiver of
similar or dissimilar provisions or conditions at the same or at any time prior
to subsequent time. No agreements or representations, oral or otherwise,
express or implied, with respect to the subject matter hereof have been made by
either party which are not set forth expressly in this Agreement. The validity,
interpretation, construction and performance of this Agreement shall be
governed by the laws of the State of Georgia. Any payments provided for
hereunder shall be paid net of any applicable withholding required under foreign,
federal, state or local law. The obligations of the Company under paragraphs 4
and 5 shall survive the expiration of the term of this Agreement, with respect
to paragraph 4, to the extent benefits become due and owing under such
provisions and, with respect to paragraph 5, to the extent the Company
continues to have obligations under this Agreement. 

 

11 .
ENTIRE AGREEMENT . This
Agreement sets forth the entire agreement of the parties hereto with respect to
severance benefits payable to you after a Change of Control, and during the
terms of the Agreement supersedes the provisions of all prior agreements,
promises, covenants, arrangements, communications, representations or
warranties, whether oral or written, by any officer, employee or representative
of any party hereto with respect to such subject matter. 

12. EMPLOYMENT . This Agreement shall not be deemed to be an employment
agreement for a specific term and nothing herein shall change your status as an
“employee at will”; except in connection with a “Change in Control” and then
only as set forth herein. 

13. DEFINITIONS . 

A. “Business” shall mean the business of (i) developing
and providing software that enables a business to integrate and present
information to its customers, suppliers, partners, and employees through
various types of media (including, but not limited to, print, Internet, e-mail
and fax) by customizing, delivering and exchanging information over a computer
network (the “Software”), and (ii) providing the implementation, training,
and consulting services that support the Software. 

B. “Confidential
Information” means information of the Company, to the extent not considered a
Trade Secret under applicable law, that (i) relates to the business of the
Company, (ii) possesses an element of value to the Company, (iii) is
not generally known to the Company’s competitors, and (iv) would damage
the Company if disclosed. Confidential Information includes, but is not limited
to, (i) future business plans, (ii) the composition, description, schematic
or design of products, future products or equipment of the Company, (iii) communication
systems, audio systems, system designs and related documentation, (iv) advertising
or marketing plans, (v) information regarding independent contractors,
employees, clients and customers of the Company, and (vi) information
concerning the Company’s financial structure and methods and procedures of
operation. Confidential Information shall not include any information that (i) is
or becomes generally available to the public other than as a result of an
unauthorized disclosure, (ii) has been independently developed and
disclosed by others without violating this Agreement or the legal rights of any
party, or (iii) otherwise enters the public domain through lawful means. 

C. “Contact”
means any interaction between you and a Customer which (i) takes place in
an effort to establish, maintain, and/or further a business relationship on
behalf of the Company and (ii) occurs during the last year of your
employment with the Company (or during your employment if employed less than a
year). 

D. “Customer”
means any person or entity to whom the Company has sold its products or
services, or solicited to sell its products or services. 

E. “Employee”
means any person who (i) is employed by the Company at the time your
employment with the Company ends, (ii) was employed by the Company during
the last year of your employment with the Company (or during your employment if
employed less than a year), or (iii) is employed by the Company during the
Restricted Period. 

F. “Licensed
Materials” means any materials that you utilize for the benefit of the Company,
or deliver to the Company or the Company’s customers, which (i) do not
constitute Work Product, (ii) are created by you or of which you are
otherwise in lawful possession, and (iii) you may lawfully utilize for the
benefit of, or distribute to, the Company or the Company’s customers. 

G. “Restricted
Period” means the time period during your employment with the Company, and for
one year after your employment with the Company ends. 

H. “Trade
Secrets” means information of the Company, and its licensors, suppliers,
clients and customers, without regard to form, including, but not limited to,
technical or nontechnical data, a formula, a pattern, a compilation, a program,
a device, a method, a technique, a drawing, a process, financial data,
financial plans, product plans, or a list 

 

of
actual or potential customers or suppliers which is not commonly known by or
available to the public and which information (i) derives economic value,
actual or potential, from not being generally known to, and not being readily
ascertainable by proper means by, other persons who can obtain economic value
from its disclosure or use, and (ii) is the subject of efforts that are
reasonable under the circumstances to maintain its secrecy. 

I. “Work
Product” means (a) any data, databases, materials, documentation, computer
programs, inventions (whether or not patentable), designs, and/or works of
authorship, including but not limited to, discoveries, ideas, concepts,
properties, formulas, compositions, methods, programs, procedures, systems,
techniques, products, improvements, innovations, writings, pictures, audio,
video, images of you, and artistic works, and (b) any subject matter
protected under patent, copyright, proprietary database, trademark, trade
secret, rights of publicity, confidential information, or other property
rights, including all worldwide rights therein, that is or was conceived,
created or developed in whole or in part by you while employed by the Company
and that either (i) is created within the scope of your employment, (ii) is
based on, results from, or is suggested by any work performed within the scope
of your employment and is directly or indirectly related to the business of the
Company or a line of business that the Company may reasonably be interested in
pursuing, (iii) has been or will be paid for by the Company, or (iv) was
created or improved in whole or in part by using the Company’s time, resources,
data, facilities, or equipment. 

  

[signature
confirmed on next page] 

 

If this
letter correctly sets forth our agreement on the subject matter hereof, kindly
sign and return to the Company the enclosed copy of this letter which will then
constitute our agreement on this matter. 

 

	
  

  	
  Sincerely,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  OPTIO SOFTWARE, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ C. Wayne Cape

  
	
   

  	
   

  	
  C. Wayne Cape

  
	
   

  	
   

  	
  President and Chief Executive Officer

  

 

 

	
  Agreed to this 23rd day of
  June, 2006.

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Michael
  McGuire

  	
   

  
	
  EmployeeExhibit 10.1

EXECUTION
VERSION

 

 

 

 

 

 

 

$85,000,000

SECOND LIEN CREDIT AGREEMENT

Dated as of June 23, 2006

among

MERISANT WORLDWIDE, INC.,

MERISANT COMPANY

as Borrower,

THE LENDERS PARTY HERETO,

CREDIT SUISSE,

as Administrative Agent,

JEFFERIES & COMPANY, INC. and CREDIT SUISSE
SECURITIES (USA) LLC,

as Joint Lead Arrangers,

CREDIT SUISSE SECURITIES (USA) LLC,

as Syndication Agent, and Documentation Agent,

and

WELLS FARGO BANK, NATIONAL ASSOCIATION,

as Collateral Agent

 

 

TABLE OF CONTENTS

	
  

  	
   

  	
  

  	
   

  	
  Page

  
	
  ARTICLE I

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  DEFINITIONS,
  INTERPRETATION AND ACCOUNTING TERMS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 1.1

  	
   

  	
  Defined Terms

  	
   

  	
  1

  
	
  Section 1.2

  	
   

  	
  Computation of Time Periods

  	
   

  	
  32

  
	
  Section 1.3

  	
   

  	
  Accounting Terms And Principles

  	
   

  	
  32

  
	
  Section 1.4

  	
   

  	
  Certain Terms

  	
   

  	
  33

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE II

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  THE FACILITY

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 2.1

  	
   

  	
  The Commitments

  	
   

  	
  34

  
	
  Section 2.2

  	
   

  	
  Borrowing Procedures

  	
   

  	
  34

  
	
  Section 2.3

  	
   

  	
  Reduction and Termination of the Commitments

  	
   

  	
  35

  
	
  Section 2.4

  	
   

  	
  Repayment of Loans

  	
   

  	
  35

  
	
  Section 2.5

  	
   

  	
  Evidence of Debt

  	
   

  	
  36

  
	
  Section 2.6

  	
   

  	
  Optional Prepayments

  	
   

  	
  36

  
	
  Section 2.7

  	
   

  	
  Mandatory Prepayments

  	
   

  	
  37

  
	
  Section 2.8

  	
   

  	
  Interest

  	
   

  	
  38

  
	
  Section 2.9

  	
   

  	
  Conversion/Continuation Option

  	
   

  	
  39

  
	
  Section 2.10

  	
   

  	
  Fees

  	
   

  	
  40

  
	
  Section 2.11

  	
   

  	
  Payments And Computations

  	
   

  	
  40

  
	
  Section 2.12

  	
   

  	
  Special Provisions Governing LIBO Rate Loans

  	
   

  	
  42

  
	
  Section 2.13

  	
   

  	
  Capital Adequacy

  	
   

  	
  44

  
	
  Section 2.14

  	
   

  	
  Taxes

  	
   

  	
  45

  
	
  Section 2.15

  	
   

  	
  Substitution of Lenders

  	
   

  	
  46

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE III

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  CONDITIONS TO
  LOANS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 3.1

  	
   

  	
  Conditions Precedent To Loans

  	
   

  	
  47

  
	
  Section 3.2

  	
   

  	
  Additional Conditions Precedent To Each Loan

  	
   

  	
  52

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IV

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  REPRESENTATIONS
  AND WARRANTIES

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 4.1

  	
   

  	
  Financial Condition

  	
   

  	
  53

  

 

 i
 

 

 

	
  Section 4.2

  	
   

  	
  No Change

  	
   

  	
  53

  
	
  Section 4.3

  	
   

  	
  Corporate Existence; Compliance with Law

  	
   

  	
  53

  
	
  Section 4.4

  	
   

  	
  Corporate Power; Authorization; Enforceable
  Obligations

  	
   

  	
  54

  
	
  Section 4.5

  	
   

  	
  No Legal Bar

  	
   

  	
  54

  
	
  Section 4.6

  	
   

  	
  Litigation

  	
   

  	
  54

  
	
  Section 4.7

  	
   

  	
  No Default

  	
   

  	
  54

  
	
  Section 4.8

  	
   

  	
  Ownership of Property; Liens

  	
   

  	
  55

  
	
  Section 4.9

  	
   

  	
  Intellectual Property

  	
   

  	
  55

  
	
  Section 4.10

  	
   

  	
  Taxes

  	
   

  	
  55

  
	
  Section 4.11

  	
   

  	
  Federal Regulations

  	
   

  	
  56

  
	
  Section 4.12

  	
   

  	
  Labor Matters

  	
   

  	
  56

  
	
  Section 4.13

  	
   

  	
  ERISA

  	
   

  	
  56

  
	
  Section 4.14

  	
   

  	
  Investment Company Act; Other Regulations

  	
   

  	
  56

  
	
  Section 4.15

  	
   

  	
  Ownership of Borrower; Subsidiaries

  	
   

  	
  57

  
	
  Section 4.16

  	
   

  	
  Use of Proceeds

  	
   

  	
  57

  
	
  Section 4.17

  	
   

  	
  Environmental Matters

  	
   

  	
  58

  
	
  Section 4.18

  	
   

  	
  Accuracy of Information, Etc.

  	
   

  	
  59

  
	
  Section 4.19

  	
   

  	
  Collateral Documents

  	
   

  	
  60

  
	
  Section 4.20

  	
   

  	
  Solvency

  	
   

  	
  61

  
	
  Section 4.21

  	
   

  	
  Regulation H

  	
   

  	
  61

  
	
  Section 4.22

  	
   

  	
  Proprietary Rights

  	
   

  	
  61

  
	
  Section 4.23

  	
   

  	
  Insurance

  	
   

  	
  61

  
	
  Section 4.24

  	
   

  	
  Senior Subordinated Debt Documents

  	
   

  	
  61

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE V

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  AFFIRMATIVE
  COVENANTS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 5.1

  	
   

  	
  Financial Statements

  	
   

  	
  62

  
	
  Section 5.2

  	
   

  	
  Certificates; Other Information

  	
   

  	
  63

  
	
  Section 5.3

  	
   

  	
  Payment of Obligations And Taxes

  	
   

  	
  65

  
	
  Section 5.4

  	
   

  	
  Maintenance of Existence; Compliance

  	
   

  	
  65

  
	
  Section 5.5

  	
   

  	
  Maintenance of Property; Insurance

  	
   

  	
  66

  
	
  Section 5.6

  	
   

  	
  Inspection of Property; Books And Records;
  Discussions

  	
   

  	
  66

  
	
  Section 5.7

  	
   

  	
  Notices

  	
   

  	
  66

  
	
  Section 5.8

  	
   

  	
  Environmental Laws

  	
   

  	
  67

  
	
  Section 5.9

  	
   

  	
  Additional Collateral and Guaranties; Further
  Assurances

  	
   

  	
  68

  
	
  Section 5.10

  	
   

  	
  Liens Securing Excluded Foreign Subsidiary
  Indebtedness

  	
   

  	
  70

  
	
  Section 5.11

  	
   

  	
  Application of Proceeds

  	
   

  	
  70

  
	
  Section 5.12

  	
   

  	
  Corporate Restructuring

  	
   

  	
  70

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VI

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  NEGATIVE
  COVENANTS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 6.1

  	
   

  	
  Financial Condition Covenants

  	
   

  	
  71

  
	
  Section 6.2

  	
   

  	
  Indebtedness

  	
   

  	
  73

  

 

 ii
 

 

 

	
  Section 6.3

  	
   

  	
  Liens

  	
   

  	
  75

  
	
  Section 6.4

  	
   

  	
  Fundamental Changes

  	
   

  	
  77

  
	
  Section 6.5

  	
   

  	
  Disposition of Property

  	
   

  	
  77

  
	
  Section 6.6

  	
   

  	
  Restricted Payments

  	
   

  	
  78

  
	
  Section 6.7

  	
   

  	
  Capital Expenditures

  	
   

  	
  80

  
	
  Section 6.8

  	
   

  	
  Investments

  	
   

  	
  80

  
	
  Section 6.9

  	
   

  	
  Transactions with Affiliates

  	
   

  	
  82

  
	
  Section 6.10

  	
   

  	
  Sales And Leasebacks

  	
   

  	
  82

  
	
  Section 6.11

  	
   

  	
  Changes In Fiscal Periods

  	
   

  	
  82

  
	
  Section 6.12

  	
   

  	
  Negative Pledge Clauses

  	
   

  	
  83

  
	
  Section 6.13

  	
   

  	
  Clauses Restricting Subsidiary or Joint Venture
  Distributions

  	
   

  	
  83

  
	
  Section 6.14

  	
   

  	
  Lines of Business Activities of Subsidiaries Owning
  Capital Stock of Excluded Foreign Subsidiaries and Activities of Merisant
  Spain and Merisant Netherlands

  	
   

  	
  83

  
	
  Section 6.15

  	
   

  	
  Modification of Subordinated Agreements

  	
   

  	
  84

  
	
  Section 6.16

  	
   

  	
  Post-Closing Deliveries

  	
   

  	
  84

  
	
  Section 6.17

  	
   

  	
  Restriction Regarding New Ventures

  	
   

  	
  85

  
	
  Section 6.18

  	
   

  	
  Limitation on Layering; Etc.

  	
   

  	
  85

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VII

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EVENTS OF
  DEFAULT

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 7.1

  	
   

  	
  Events of Default

  	
   

  	
  86

  
	
  Section 7.2

  	
   

  	
  Remedies

  	
   

  	
  89

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VIII

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  THE
  ADMINISTRATIVE AGENT; THE COLLATERAL AGENT; AND THE AGENTS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 8.1

  	
   

  	
  Authorization And Action

  	
   

  	
  90

  
	
  Section 8.2

  	
   

  	
  Administrative Agent’s and Collateral Agent’s
  Reliance, Etc.

  	
   

  	
  91

  
	
  Section 8.3

  	
   

  	
  The Administrative Agent Individually

  	
   

  	
  92

  
	
  Section 8.4

  	
   

  	
  Lender Credit Decision

  	
   

  	
  92

  
	
  Section 8.5

  	
   

  	
  Indemnification

  	
   

  	
  92

  
	
  Section 8.6

  	
   

  	
  Successor Administrative Agent or Collateral Agent

  	
   

  	
  92

  
	
  Section 8.7

  	
   

  	
  Concerning the Collateral and the Collateral
  Documents

  	
   

  	
  93

  
	
  Section 8.8

  	
   

  	
  Collateral Matters Relating to Related Obligations

  	
   

  	
  95

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IX

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  MISCELLANEOUS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 9.1

  	
   

  	
  Amendments. Waivers. Etc.

  	
   

  	
  95

  
	
  Section 9.2

  	
   

  	
  Assignments and Participations

  	
   

  	
  98

  
	
  Section 9.3

  	
   

  	
  Costs and Expenses

  	
   

  	
  102

  
	
  Section 9.4

  	
   

  	
  Indemnities

  	
   

  	
  103

  

 

 iii
 

 

 

	
  Section 9.5

  	
   

  	
  Limitation of Liability

  	
  106

  
	
  Section 9.6

  	
   

  	
  Right of Set-Off

  	
  106

  
	
  Section 9.7

  	
   

  	
  Sharing of Payments, Etc.

  	
  106

  
	
  Section 9.8

  	
   

  	
  Notices, Etc.

  	
  107

  
	
  Section 9.9

  	
   

  	
  No Waiver; Remedies

  	
  109

  
	
  Section 9.10

  	
   

  	
  Binding Effect

  	
  109

  
	
  Section 9.11

  	
   

  	
  Governing Law

  	
  109

  
	
  Section 9.12

  	
   

  	
  Submission to Jurisdiction; Service of Process

  	
  109

  
	
  Section 9.13

  	
   

  	
  Waiver of Jury Trial

  	
  110

  
	
  Section 9.14

  	
   

  	
  Marshaling; Payments Set Aside

  	
  110

  
	
  Section 9.15

  	
   

  	
  Section Titles

  	
  110

  
	
  Section 9.16

  	
   

  	
  Execution in Counterparts

  	
  110

  
	
  Section 9.17

  	
   

  	
  Entire Agreement

  	
  110

  
	
  Section 9.18

  	
   

  	
  Confidentiality

  	
  110

  
	
  Section 9.19

  	
   

  	
  Waiver of Usury Defense

  	
  111

  
	
  Section 9.20

  	
   

  	
  Survival of Agreement

  	
  111

  
	
  Section 9.21

  	
   

  	
  USA Patriot Act

  	
  111

  
	
  Section 9.22

  	
   

  	
  SUBORDINATION OF LIENS; TERMS OF INTERCREDITOR
  AGREEMENT; ETC.

  	
  112

  
	
  Section 9.23

  	
   

  	
  Holdings Existence

  	
  113

  

 iv
 

 

 

	
  Schedules:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule I

  	
   

  	
  —

  	
   

  	
  Commitments

  
	
  Schedule II

  	
   

  	
  —

  	
   

  	
  Applicable Lending Offices and Addresses for Notices

  
	
  Schedule 4.10

  	
   

  	
  —

  	
   

  	
  Tax Returns under Audit or Examination

  
	
  Schedule 4.15

  	
   

  	
  —

  	
   

  	
  Subsidiaries

  
	
  Schedule 4.19(a)

  	
   

  	
  —

  	
   

  	
  Security Interest Filings

  
	
  Schedule 4.19(b)

  	
   

  	
  —

  	
   

  	
  Mortgage Filings

  
	
  Schedule 6.2

  	
   

  	
  —

  	
   

  	
  Existing Indebtedness

  
	
  Schedule 6.8

  	
   

  	
  —

  	
   

  	
  Existing Investments

  
	
  Schedule 6.16

  	
   

  	
  —

  	
   

  	
  Post-Closing Deliveries

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibits:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit A

  	
   

  	
  —

  	
   

  	
  Form of Assignment and Acceptance

  
	
  Exhibit B

  	
   

  	
  —

  	
   

  	
  Form of Note

  
	
  Exhibit C

  	
   

  	
  —

  	
   

  	
  Form of Notice of Borrowing

  
	
  Exhibit E

  	
   

  	
  —

  	
   

  	
  Form of Notice of Conversion or Continuation

  
	
  Exhibit G

  	
   

  	
  —

  	
   

  	
  Form of Guaranty

  
	
  Exhibit H

  	
   

  	
  —

  	
   

  	
  Form of Security Agreement

  
	
  Exhibit I

  	
   

  	
  —

  	
   

  	
  Form of Compliance Certificate

  
	
  Exhibit J

  	
   

  	
  —

  	
   

  	
  Form of Notice of Optional Prepayment

  

 

 v

 

CREDIT AGREEMENT, dated as of June 23, 2006 among MERISANT COMPANY,
a Delaware corporation (the “Borrower”), MERISANT WORLDWIDE, INC., a Delaware
corporation (“Holdings”), the Lenders (as defined below), CREDIT SUISSE,
a bank organized under the laws of Switzerland, as agent for the Lenders (“Credit
Suisse”, and in such capacity, the “Administrative Agent”),
JEFFERIES & COMPANY, INC. AND CREDIT SUISSE SECURITIES (USA) LLC, as
joint lead arrangers (together in such capacities, the “Arrangers”),
CREDIT SUISSE SECURITIES (USA) LLC, as syndication agent (in such capacity, the
“Syndication Agent”) and as documentation agent (in such capacity, the “Documentation
Agent”), and WELLS FARGO BANK, NATIONAL ASSOCIATION, as collateral agent
(in such capacity, the “Collateral Agent”).

W I T
N E S S E T H:

WHEREAS, the Borrower has requested that the Lenders make available for
the purposes specified in this Agreement term loans; and

WHEREAS, the Lenders are willing to make available to the Borrower such
term loans upon the terms and subject to the conditions set forth herein;

NOW, THEREFORE, in consideration of the premises and the covenants and
agreements contained herein, the parties hereto hereby agree as follows:

ARTICLE I

DEFINITIONS, INTERPRETATION AND ACCOUNTING TERMS

Section 1.1   Defined
Terms. As used in this Agreement, the following terms have the following
meanings (such meanings to be equally applicable to both the singular and plural forms of the terms defined):

“Administrative Agent”
has the meaning specified in the preamble to this Agreement.

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

“Affiliate”
means, with respect to any Person, any other Person that, directly or
indirectly, is in control of, is controlled by, or is under common control
with, such Person. For purposes of this definition, “control” of a Person means
the power, directly or indirectly, either to (a) vote 10% or more of the
securities having ordinary voting power for the election of directors 

 1
 

 

(or persons performing similar functions) of such
Person, or (b) direct or cause the direction of the management and
policies of such Person, whether by contract or otherwise.

“Agreement”
means this Credit Agreement.

“Applicable Lending Office”
means, with respect to each Lender, its Domestic Lending Office in the case of
a Base Rate Loan, and its LIBOR Lending Office in the case of a LIBO Rate Loan.

“Applicable Margin”
means (a) with respect to LIBO Rate Loans, 8.50% per annum and (b) with
respect to Base Rate Loans, 7.50% per annum.

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

“Arrangers”
has the meaning specified in the preamble to this Agreement.

“Asset Sale”
means any Disposition of property or series of related Dispositions of property
(excluding any Disposition permitted by clause (a), (b), (c), (d), or (f) of
Section 6.5 but including any Disposition permitted by clause (e) of
Section 6.5) that yields gross proceeds to Holdings, the Borrower
or any of its Subsidiaries (valued at the initial principal amount thereof in
the case of non-cash proceeds consisting of notes or other debt securities and
valued at fair market value in the case of other non-cash proceeds) in excess
of $1,000,000.

“Assignment and Acceptance”
means an assignment and acceptance entered into by a Lender and an assignee,
and accepted by the Administrative Agent, in substantially the form of Exhibit A.

“Base Rate”
means, for any day, an alternate base rate calculated as a fluctuating rate per
annum as shall be in effect from time to time, equal to the greater of:

(a)  Prime Rate in effect on such day; and

(b)  the sum of (i) 0.5% per annum PLUS (ii) the Federal
Funds Effective Rate on such day.

 2
 

 

As used in this definition, the term “Prime Rate”
means the rate of interest per annum announced from time to time by Credit
Suisse as its prime rate in effect at its principal office in New York City.
The parties hereto acknowledge that the Prime Rate is an index or base rate and
shall not necessarily be the lowest or best rate charged by Credit Suisse to
its customers or other banks. If for any reason Credit Suisse shall have
determined (which determination shall be conclusive absent manifest error) that
it is unable to ascertain the Federal Funds Effective Rate, for any reason,
including the inability or failure of Credit Suisse to obtain sufficient quotation
in accordance with the terms hereof, the Base Rate shall be determined without
regard to clause (b) above until the circumstances giving rise to such
inability no longer exist. Any change in the Base Rate due to a change in the
Prime Rate or the Federal Funds Effective Rate shall be effective as of the effective
day of such change in the Prime Rate or the Federal Funds Effective Rate,
respectively.

“Base Rate Loan”
means any Loan during any period in which it bears interest based on the Base
Rate.

“Borrowing”
means a borrowing consisting of Loans made on the same day by the Lenders
ratably according to their respective Commitments.

“Business Day”
means a day of the year that is: (i) a day on which banks are not required
or authorized to close in New York City; and (ii) with respect to all
notices (except with respect to general matters not relating directly to
funding), determinations and fundings in connection with, and payments of
principal and interest on, LIBO Rate Loans, a day for trading by and between
banks in dollar deposits for such Loans in the London interbank market.

“Capital Expenditures”
means, for any period, with respect to any Person, the aggregate of all
expenditures by such Person and its Subsidiaries for the acquisition or leasing
(pursuant to a capital lease) of fixed or capital assets or additions to
equipment (including replacements, capitalized repairs and improvements during
such period) that are required to be capitalized under GAAP on a consolidated
balance sheet of such Person and its Subsidiaries, excluding, without duplication,
any such expenditures to the extent constituting (i) expenditures of insurance
proceeds to acquire or repair any asset after a Recovery Event with respect to
such asset, (ii) leasehold improvement expenditures for which the Borrower
or a Subsidiary is reimbursed by the lessor, sublessor or sublessee, (iii) expenditures
made with the proceeds of any Reinvestment Deferred Amount and (iv) with
respect to any Investment permitted under Section 6.8(h), without
duplication, (a) the purchase price of such Investment or (b) any
capital expenditures expended by the seller or entity to be acquired in
connection with such Investment prior to the date of such Investment.

“Capital Lease Obligations”
means, as to any Person, the obligations of such Person to pay rent or other
amounts under any lease of (or other arrangement conveying the right to use)
real or personal property, or a combination thereof, which obligations are
required to be 

 3
 

 

classified and accounted for as capital leases on a
balance sheet of such Person under GAAP and, for the purposes of this
Agreement, the amount of such obligations at any time shall be the capitalized
amount thereof at such time determined in accordance with GAAP.

“Capital Stock”
means, with respect to any Person, any Stock or Stock Equivalents of such
Person.

“Cash Equivalents”
means (a) marketable direct obligations issued by, or unconditionally
guaranteed by, the United States or issued by any agency thereof and backed by
the full faith and credit of the United States, in each case maturing within
one year after the date of acquisition thereof; (b) certificates of
deposit, time deposits, eurodollar time deposits or overnight bank deposits
having maturities of six months or less after the date of acquisition thereof
issued by any Lender or by any commercial bank organized under the laws of the
United States or any state thereof having combined capital and surplus of not
less than $500,000,000; (c) commercial paper of an issuer rated at least A-1
by S&P or P-1 by Moody’s, or carrying an equivalent rating by a
nationally recognized rating agency, if both of the two named rating agencies
cease publishing ratings of commercial paper issuers generally, and maturing
within six months after the date of acquisition thereof; (d) repurchase obligations
of any Lender or of any commercial bank satisfying the requirements of clause (b) of
this definition, having a term of not more than 30 days, with respect to
securities issued or fully guaranteed or insured by the United States; (e) securities
with maturities of one year or less after the date of acquisition thereof
issued or fully guaranteed by any state, commonwealth or territory of the
United States, by any political subdivision or taxing authority of any such
state, commonwealth or territory or by any foreign government, the securities
of which state, commonwealth, territory, political subdivision, taxing
authority or foreign government (as the case may be) are rated at least A by
S&P or A by Moody’s; (f) securities with maturities of six months or
less after the date of acquisition thereof backed by standby letters of credit
issued by any Lender or any commercial bank satisfying the requirements of
clause (b) of this definition; or (g) shares of money market mutual
or similar funds which invest exclusively in assets satisfying the requirements
of clauses (a) through (f) of this definition.

“Closing Date”
means the date (which shall be a Business Day) of execution and delivery of
definitive documentation for any Loan hereunder and satisfaction of conditions
to the availability thereof set forth herein.

“Code”
means the Internal Revenue Code of 1986 (or any successor legislation thereto),
as amended from time to time.

“Collateral”
means all property and interests in property and proceeds thereof now owned or
hereafter acquired by any Loan Party in or upon which a Lien is granted under
any of the Collateral Documents.

 4
 

 

“Collateral Agent” has the meaning specified in the preamble to
this Agreement.

“Collateral Documents”
means the Security Agreement and the Mortgages, the Deposit Account Control
Agreements and the Securities Account Control Agreements (each as defined in
the Security Agreement) and any other pledge, security agreement or other document
executed and delivered by a Loan Party granting a Lien on any of its property
to secure payment of the Secured Obligations.

“Commitment” means, with respect to each Lender, the commitment
of such Lender to make Loans to the Borrower in the aggregate principal amount
outstanding not to exceed the amount set forth opposite such Lender’s name on
Schedule I as such amount may be reduced pursuant to this Agreement.

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

“Confidential Information
Memorandum” means collectively, (i) the Confidential
Information Memorandum (Private Version) dated April 13, 2006 and (ii) the
Confidential Information Memorandum (Public Version) dated April 13, 2006,
in each case furnished to certain of the Lenders who have elected to receive
such Confidential Information Memorandum.

“Consolidated EBITDA”
means, for any period, Consolidated Net Income for such period plus, without
duplication and to the extent reflected as a charge in the statement of such
Consolidated Net Income for such period, the sum of (a) income tax
expense, (b) Consoli­dated Interest Expense, (c) depreciation and
amortization expense, (d) amortization of intangi­bles (including
goodwill) and organization costs, (e) any extraordinary, unusual or non-recurring
non-cash expenses or losses (including non-cash losses on sales of assets
outside of the ordinary course of business), (f) non-cash contributions
and other non-cash compensation expense, (g) non-cash losses attributable
to equity in non-consolidated Subsidiaries, (h) transaction costs
associated with the Recapitalization which are expensed and not amortized, (i) any
non-cash foreign currency translation adjustments, (j) any extraordinary
or non-recurring cash losses or expenses arising from restructuring not to
exceed in the aggregate since April 1, 2005 (A) if such period ends
prior to January 1, 2006, $14,600,000, (B) if such period begins on
or after January 1, 2006, (x) $11,000,000 with respect to any such
non-recurring cash losses or expenses arising from the im­plementation of the
Borrower’s plan known as “Project Arrow” and related restructuring, (y) $4,000,000
with respect to any such non-recurring cash losses or expenses arising from the
transition from H.J. Heinz Company to ACH Food Companies, Inc. as
exclusive distributor to Borrower and its Subsidiaries in the United States;
and (z) any cash expenses incurred in connection with (i) any waiver
of a default or event of default and any amendment to the First Lien Credit
Agreement including the fees and expenses of any attorneys and financial
advisers retained by the Administrative Agent pursuant thereto with respect to
any such waiver or amendment and (ii) the negotiation, execution and
closing of this Agreement and any waiver 

 5
 

 

of a Default or Event of Default and any amendment to
this Agreement including the fees and expenses of any attorneys and financial
advisers retained by the Administrative Agent pursuant to Section 9.3
hereof with respect to any such waiver or amendment, (k) any other
non-cash charges, including (in case of clauses (e), (f), (g), or (i) charges
representing either (x) accruals of or reserves for cash expenditures in a
future period or (y) amortization of prepaid items paid in cash in a prior
period, and (l) expenses incurred by the Borrower or any Subsidiary prior
to January 1, 2007 in connection with the development and
commercialization of the all-natural, zero-calorie sweetener to be marketed
under the Sweet SimplicityTM trademark, in an amount not to exceed in the
aggregate $3,000,000, minus, to the extent included in the statement of
such Consolidated Net Income for such period, the sum of (a) interest
income, (b) any extraordinary, unusual or non-recurring income or gains
(including, whether or not otherwise includable as a separate item in the
statement of such Consolidated Net Income for such period, gains on the sales
of assets outside of the ordinary course of business), (c) non-cash gains
related to employee compensation, (d) any other non-cash income, all as
determined on a consolidated basis, and (e) cash expenditures for (x) previously
accrued or reserved charges or (y) prepaid items to be amortized in future
periods. For the purposes of calculating Consolidated EBITDA for any period of
four consecutive Fiscal Quarters (each, a “Reference Period”) pursuant
to any determination of the Consolidated Leverage Ratio, (i) if at any
time during such Reference Period the Borrower or any Subsidiary shall have
made any Material Disposition, the Consolidated EBITDA for such Reference
Period shall be reduced by an amount equal to the Consolidated EBITDA (if
positive) attributable to the property that is the subject of such Material
Disposition for such Reference Period or increased by an amount equal to the
Consolidated EBITDA (if negative) attributable thereto for such Reference
Period and (ii) if during such Reference Period the Borrower or any
Subsidiary shall have made a Material Acquisition, Consolidated EBITDA for such
Reference Period shall be calculated after giving pro forma effect thereto as
if such Material Acquisition occurred on the first day of such Reference
Period. As used in this definition, “Material Acquisition” means any
acquisition of property or series of related acquisitions of property
(including by way of a merger or consolidation) that (a) constitutes
assets comprising all or substantially all of an operating unit of a business
or constitutes all or substantially all of the common stock of a Person and (b) involves
the payment of consideration by the Borrower and its Subsidiaries in excess of
$10,000,000; and “Material Disposition” means any Disposition of
property or series of related Dispositions of property that yields gross
proceeds to the Borrower or any of its Subsidiaries in excess of $10,000,000.

“Consolidated First Lien
Leverage Ratio” means, as at the last day of any Fiscal
Quarter, the ratio of (a) Consolidated Total First Lien Debt on such day
to (b) Consolidated EBITDA for the four consecutive Fiscal Quarters ending
on such day.

“Consolidated Fixed Charge
Coverage Ratio” means, for any period, the ratio
of (a) Consolidated EBITDA for such period less the aggregate amount
actually paid by the Borrower and its Subsidiaries during such period on
account of Capital Expenditures (excluding the principal amount of Indebtedness
incurred in connection with such expenditures and any 

 6
 

 

such expenditures financed with the proceeds of any
Reinvestment Deferred Amount) to (b) Consolidated Fixed Charges for such
period.

“Consolidated Fixed Charges”
means, for any period, the sum (without duplication) of (a) Consolidated
Interest Expense for such period, (b) Consolidated Lease Expense for such
period, (c) actual or estimated income tax payable during such period by
the Borrower and its Subsidiaries and (d) scheduled payments made (or
required to be made) during such period on account of principal of Indebtedness
of the Borrower or any of its Subsidiaries, but excluding mandatory
(non-scheduled) prepayments and optional prepayments of Indebtedness permitted
to be prepaid under the terms of this Agreement.

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

“Consolidated Interest
Expense” means, for any period: (a) total cash
interest expense (including that attributable to Capital Lease Obligations) for
such period (including all commissions, discounts and other fees and charges
associated with Indebtedness (including the Loans) or owed with respect to
letters of credit and bankers’ acceptance financing, amortization or write-off
of debt discount and debt issuance costs and net costs under Interest Rate
Contracts to the extent such net costs are allocable to such period in
accordance with GAAP); minus (b) the sum of (i) net gains
under Interest Rate Contracts to the extent such gains are allocable to such
period in accordance with GAAP plus (ii) any cash interest income for such
period, all determined for the Borrower and its Subsidiaries on a consolidated
basis in conformity with GAAP.

“Consolidated Lease Expense”
means, for any period, the aggregate amount of fixed and contingent rentals
payable by the Borrower and its Subsidiaries for such period with respect to
leases of real and personal property, determined on a consolidated basis in
accordance with GAAP.

“Consolidated Leverage
Ratio” means, as at the last day of any period, the ratio
of (a) Consolidated Total Debt on such day to (b) Consolidated EBITDA
for such period.

“Consolidated Net Income”
means, for any period, the consolidated net income (or loss) of the Borrower
and its Subsidiaries, determined on a consolidated basis in accordance with
GAAP; provided that there shall be excluded (a) the income (or
loss) of any Person accrued prior to the date it becomes a Subsidiary of the
Borrower or is merged into or consolidated with the Borrower or any of its
Subsidiaries or such Person is acquired in a pooling of interests transaction, (b) the
income (or loss) of any Person (other than a Subsidiary of the Borrower whose
net income is consolidated into the net income of the Borrower in accordance
with GAAP) in which the Borrower or any of its Subsidiaries has an ownership
interest, except to the extent

 7
 

 

that any such income is actually received by the
Borrower or such Subsidiary in the form of dividends or similar distributions, (c) the
net income of any Subsidiary of the Borrower to the extent that the declaration
or payment of dividends or similar distributions by such Subsidiary is at the
time restricted or not permitted by the terms of any Contractual Obligation
(other than under any Loan Document) or Requirements of Law applicable to such
Subsidiary, and (d) any one-time increase or decrease to net income which
is required to be recorded because of the adoption of new accounting policies,
practices or standards required by GAAP.

“Consolidated Senior
Leverage Ratio” means, as at the last day of any period,
the ratio of (a) Consolidated Total Senior Debt on such day to (b) Consolidated
EBITDA for such period.

“Consolidated Total Debt”
means, at any date, the aggregate principal amount of all Indebtedness of the
Borrower and its Subsidiaries at such date, determined on a consolidated basis
in accordance with GAAP.

“Consolidated Total First
Lien Debt” means, at any date, the aggregate principal
amount of all outstanding First Lien Term Loans and First Lien Revolving Loans.

“Consolidated Total Senior
Debt” means, at any date, the aggregate principal amount
of all Indebtedness of the Borrower and its Subsidiaries at such date
(excluding the Indebtedness in respect of the Senior Subordinated Notes, the
Senior Subordinated Discount Notes and any other Indebtedness of obligors which
are Loan Parties and that, as to each obligor thereon, is subordinated and junior
in right of payment to the Secured Obligations of such obligor to the same
extent as the obligations of such obligor with respect to the Senior
Subordinated Notes are so subordinated and junior in right of payment, as
determined by the Administrative Agent in the exercise of its reasonable
discretion), all as determined on a consolidated basis in accordance with GAAP.

“Constituent Documents”
means, with respect to any Person, (a) the articles of incorporation,
certificate of incorporation or certificate of formation (or the equivalent
organizational documents) of such Person, (b) the by-laws (or the
equivalent governing documents) of such Person and (c) any document
setting forth the manner of election and duties of the directors or managing
members of such Person (if any) and the designation, amount or relative rights,
limitations and preferences of any class or series of such Person’s Stock.

“Continuing Directors”
means the directors of Holdings on the Formation Date and each other director,
if, in each case, such other director’s nomination for election to the board of
directors of Holdings is recommended by at least 66 2/3% (exclusive of the
effect of any ownership by the Permitted Noteholder Investors) of the then
Continuing Directors or such other 

 8
 

 

director receives the vote of the LLC or the Permitted
Investors, if applicable, in his or her election by the shareholders of
Holdings.

“Contractual Obligation”
of any Person means any obligation, agreement, undertaking or similar provision
of any Security issued by such Person or of any agreement, undertaking,
contract, lease, indenture, mortgage, deed of trust or other instrument
(excluding a Loan Document) to which such Person is a party or by which it or
any of its property is bound or to which any of its properties is subject.

“Control Investment
Affiliate” means as to any Person, any other Person that (a) directly
or indirectly, is in control of, is controlled by, or is under common control
with, such Person and (b) is organized by such Person primarily for the
purpose of making equity or debt investments in one or more companies. For
purposes of this definition, “control” of a Person means the power, directly or
indirectly, to direct or cause the direction of the management and policies of
such Person whether by contract or otherwise.

“Corporate Chart”
means a corporate organizational chart, list or other similar document in each
case in form reasonably acceptable to the Administrative Agent and setting
forth, for each Person that is a Loan Party, or that is a Subsidiary of any
Loan Party, (a) the full legal name of such Person (and any trade name,
fictitious name or other name such Person may have had or operated under), (b) the
jurisdiction of organization, the organizational number (if any) and the tax
identification number (if any) of such Person, (c) the location of such
Person’s chief executive office (or sole place of business) and (d) the
number of shares of each class of such Person’s Stock authorized (if
applicable), the number outstanding as of the date of delivery and the number
and percentage of such outstanding shares for each such class owned (directly
or indirectly) by any Loan Party or any Subsidiary of any Loan Party.

“Credit Suisse”
has the meaning specified in the preamble to this Agreement.

“Debt Issuance”
means the incurrence of Indebtedness by Holdings, the Borrower or any of its
Subsidiaries (other than any Indebtedness incurred in accordance with Section 6.2).

“Default”
means any event which with the passing of time or the giving of notice or both
would become an Event of Default.

“Disclosure Documents”
means the Confidential Information Memorandum and related materials.

“Disposition”
means, with respect to any property, (i) any sale, lease, sale and
leaseback, assignment, conveyance, transfer or other disposition (including by
way of a merger 

 9
 

 

or consolidation) of such property or any interest
therein (including the sale or factoring at maturity or collection of any
accounts but excluding the granting in the ordinary course of business of
nonexclusive licenses of Intellectual Property of the Borrower and its
Subsidiaries in respect of which neither the Borrower nor any Subsidiary is to
receive any monetary consideration) or (ii) permitting or suffering any
other Person to acquire any interest (other than a Lien permitted under Section 6.3)
in such property. The terms “Dispose” and “Disposed of” shall have correlative
meanings.

“Disqualified Capital Stock” means, with respect to
any Person, any Capital Stock which by its terms (or by the terms of any
security into which it is convertible or for which it is exchangeable at the
option of the holder) or upon the happening of any event:  (a) matures or is mandatorily redeemable
(other than redeemable only for Capital Stock of such Person which is not
itself Disqualified Capital Stock) pursuant to a sinking fund obligation or
otherwise; (b) is convertible or exchangeable at the option of the holder
for Indebtedness or Disqualified Capital Stock; or (c) is mandatorily
redeemable or must be purchased upon the occurrence of certain events or
otherwise, in whole or in part, in each case on or prior to the date that is
121 days after the Loan Maturity Date; provided, however, that
any Capital Stock that would not constitute Disqualified Capital Stock but for
provisions thereof giving holders thereof the right to require such Person to
purchase or redeem such Capital Stock upon the occurrence of an “asset sale” or
“change in control” occurring prior to the first anniversary of the Loan
Maturity Date shall not constitute Disqualified Capital Stock if (i) such “asset
sale” or “change of control” provisions applicable to such Capital Stock are
not more favorable to the holders of such Capital Stock than the terms
applicable to the Second Lien Loan Documents and described under Sections
6.4, 6.5 and 7.1(k) and (l), and (ii) any such requirement only
becomes operative after compliance with such terms applicable to the Second
Lien Loan Documents, including the issuance of any Indebtedness thereunder.

“Documentation Agent” has the meaning specified in the preamble
to this Agreement.

“Dollar Equivalent”
means, at the time of determination thereof, (a) in relation to any amount
denominated in euro, the equivalent of such amount in Dollars determined by
using the rate of exchange indicated for the purchase of Dollars with euro on
the Bloomberg Key Cross Currency Rates screen at 11:00 a.m. (New York City
time) on the most recent valuation date; or (b) in relation to any amount
denominated in Dollars, the amount thereof.

“Dollar Loan”
means a Loan denominated in Dollars.

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

 10
 

 

“Domestic Lending Office”
means, with respect to any Lender, the office of such Lender specified as its “Domestic
Lending Office” opposite its name on Schedule II or on the Assignment and
Acceptance by which it became a Lender or such other office of such Lender as
such Lender may from time to time specify to the Borrower and the
Administrative Agent.

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

“Environmental Laws”
means any and all foreign, federal, state, local or municipal laws, rules,
orders, regulations, statutes, ordinances, codes, decrees, requirements of any
Governmental Authority or other Requirements of Law (including common law)
regulating, relating to or imposing liability or standards of conduct
concerning protection of human health or the environment.

“Environmental Liabilities and Cost” means any liability, contingent
or otherwise (including any liability for damages, costs of environmental
remediation, fines, penalties or indemnities), of any Loan Party or its
Subsidiary 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 Materials of
Environmental Concern, (c) exposure to any Materials of Environmental
Concern, (d) the Release or threatened Release of any Materials of
Environmental Concern 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 Issuance”
means the issue or sale of any Capital Stock of Holdings, the Borrower or any
of the Subsidiaries of the Borrower by Holdings, the Borrower or any of the
Subsidiaries of the Borrower to any Person or any contribution by any Person to
the capital of Holdings, the Borrower or any of its Subsidiaries other than:

 (i)  any issuance or sale
of Capital Stock of the Borrower to (or capital contribution in respect thereof
to the Borrower by) Holdings;

(ii)   any issuance or sale
of Capital Stock of any Subsidiary of the Borrower to (or capital contribution
in respect thereof to such Subsidiary by) the Borrower or any Subsidiary of the
Borrower to the extent permitted by Section 6.5(d); or

(iii)   any Capital Stock of
Holdings issued (A) upon exercise of options in respect of the Stock of
Holdings held by directors, officers and employees of Holdings, the Borrower
and its Subsidiaries or (B) to management of the Borrower or any of its
Subsidiaries.

 11
 

 

“ERISA”
means the Employee Retirement Income Security Act of 1974 (or any successor
legislation thereto), as amended from time to time, and the regulations
promulgated hereunder.

“ERISA Affiliate”
means any trade or business (whether or not incorporated) under common control
which, together with the Borrower or any of its Subsidiaries, is or is treated
as a single employer within the meaning of Section 414 (b) or (c) of
the Code.

“Euro”
and the sign “EURO”
each mean the lawful money of the participating member states of the European
Union.

“Eurocurrency Liabilities”
has the meaning specified in Regulation D of the Federal Reserve Board, as in
effect from time to time.

“Event of Default”
has the meaning specified in Article VII.

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

“Excluded Foreign
Subsidiary” means any Foreign Subsidiary (a) in
respect of which either (i) the pledge of all of the Stock of such
Subsidiary as Collateral or (ii) the guaranteeing by such Subsidiary of
the Obligations, would, in the good faith judgment of the Borrower, result in
adverse tax consequences to the Borrower and (b) which is not a party or
subject to any Guaranty Obligation in respect of any Indebtedness of any Loan
Party.

“Executive Orders” has the meaning set forth in Section 9.2(b).

“Fair Market Value”
means (a) with respect to any asset or group of assets (other than a
marketable Security) at any date, the value of the consideration obtainable in
a sale of such asset at such date assuming a sale by a willing seller to a
willing purchaser dealing at arm’s length and arranged in an orderly manner
over a reasonable period of time having regard to the nature and
characteristics of such asset, as reasonably determined by (i) management
of the Borrower or (ii) in respect of any asset or group of assets valued
at more than $20,000,000, by the board of directors of the Borrower, or, if such
asset shall have been the subject of a relatively contemporaneous appraisal by
an independent third party appraiser, the basic assumptions underlying which
have not materially changed since its date, the value set forth in such
appraisal, and (b) with respect to any marketable Security at any date,
the closing sale price of such Security on the Business Day next preceding such
date, as appearing in any published list of any national securities exchange or
the NASDAQ Stock Market or, if there is no such closing sale price of such
Security, the final price for the purchase of such Security at face value
quoted on 

 12
 

 

such business day by a financial institution of
recognized standing which regularly deals in securities of such type selected
by the Administrative Agent.

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

“Federal Reserve Board”
means the Board of Governors of the Federal Reserve System, or any successor
thereto.

“Fee Letters”
means (a) the fee letter dated June 23, 2006, addressed to the
Borrower from the Administrative Agent and accepted by the Borrower as of June 23,
2006, with respect to certain fees to be paid from time to time and (b) the
fee letter, dated June 23, 2006, addressed to the Borrower from the
Collateral Agent and accepted by the Borrower as of June 23, 2006, with
respect to certain fees to be paid from time to time.

“Financial Statements”
means the financial statements of the Borrower and its Subsidiaries delivered
in accordance with Section 4.1 and Section 5.1.

“First Lien Administrative Agent” means the “Administrative
Agent” under and as defined in the First Lien Credit Agreement.

“First Lien Agent” has the meaning specified in the
Intercreditor Agreement.

“First Lien Credit
Agreement” means the Credit Agreement, dated as of July 11,
2003 (as the same may be amended, restated, supplemented, refinanced or
otherwise modified from time to time to the extent permitted by the terms of
the Intercreditor Agreement) among the Borrower, Holdings, the lenders and
issuers party thereto, Credit Suisse, as administrative agent for the lenders
and issuers, and as sole arranger and book manager, and the other agents party
thereto.

“First Lien Lenders” means the “Lenders” under and as defined in
the First Lien Credit Agreement.

 13
 

 

“First Lien Loans” means the “Loans” under and defined in the
First Lien Credit Agreement.

“First Lien Loan Documents”
means the First Lien Credit Agreement and the related credit documents (as each
of the same may be amended, restated, supplemented, refinanced or otherwise
modified from time to time to the extent permitted by the terms of the
Intercreditor Agreement).

“First Lien Revolving Loans” means collectively, “Revolving
Loans” and “Swingline Loans”, in each case, under and as defined in the First
Lien Credit Agreement.

“First Lien Security
Agreement” means the amended and restated security
agreement under the First Lien Credit Agreement, dated as of June 23, 2006
(as the same may be amended, restated, supplemented or otherwise modified from
time to time to the extent permitted by the terms of the Intercreditor
Agreement), and executed by the Borrower, Holdings and each Subsidiary
Guarantor (as defined in the First Lien Credit Agreement).

“First Lien Term Loans” means any term loans made pursuant to
the First Lien Credit Agreement.

“First-Tier Excluded
Subsidiary” means any Excluded Foreign Subsidiary any
shares of Stock of which are owned directly by Holdings, the Borrower or one or
more Included Subsidiaries.

“Fiscal Quarter”
means each of the three-month periods ending on March 31, June 30, September 30
and December 31.

“Fiscal Year”
means the twelve-month period ending on December 31.

“Foreign Overdraft Guarantees”
means any Guaranty Obligation of the Borrower with respect to overdrafts by
Excluded Foreign Subsidiaries with respect to deposit accounts maintained
outside the United States.

“Foreign Required Minority
Shares” means Capital Stock of a Foreign Subsidiary that
is required by the applicable laws and regulations of such foreign jurisdiction
to be owned by the government of such foreign jurisdiction or individual or
corporate citizens of such foreign jurisdiction in order for such Foreign
Subsidiary to transact business in such foreign jurisdiction.

 14
 

 

“Foreign Subsidiary”
means any Subsidiary of the Borrower that both (a) is not organized under
the laws of the United States, any state thereof or the District of Columbia
and (b) conducts substantially all of its business operations outside of
the United States. For purposes of this definition, “United States” excludes
the Commonwealth of Puerto Rico so long as a corporation formed under the laws
of the Commonwealth of Puerto Rico is treated as a foreign corporation under Section 7701
of the Code.

“Formation Date”
means March 17, 2000, the date of original acquisition by the Borrower of
its principal assets.

“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.

“GAAP”
means generally accepted accounting principles in the United States as in
effect from time to time set forth in the opinions and pronouncements of the Accounting
Principles Board and the American Institute of Certified Public Accountants and
the statements and pronouncements of the Financial Accounting Standards Board,
or in such other statements by such other entity as may be in general use by
significant segments of the accounting profession, which are applicable to the
circumstances as of the date of determination.

“Governmental Authority”
means any nation or government, any state or other political subdivision
thereof and any entity exercising executive, legislative, judicial, regulatory
or administrative functions of or pertaining to government.

“Granting Lender”
has the meaning specified in Section 9.2(f).

“Guarantor”
means Holdings and each Subsidiary Guarantor.

“Guaranty”
means the guaranty, in substantially the form of Exhibit G, executed by
the Guarantors.

“Guaranty Obligation”
means, as applied to any Person, any direct or indirect liability, contingent
or otherwise, of such Person with respect to any Indebtedness of another Person,
if the purpose or intent of such Person in incurring the liability is to
provide assurance to the obligee of such Indebtedness that such Indebtedness
will be paid or discharged, or that any agreement relating thereto will be
complied with, or that any holder of such Indebtedness will be protected (in
whole or in part) against loss in respect thereof including, (a) the direct
or indirect guaranty, endorsement (other than for collection or deposit in the
ordinary course of business), co-making, discounting with recourse or sale with
recourse by such Person of Indebtedness of another Person and (b) any
liability of such Person for Indebtedness of 

 15
 

 

another Person through any agreement (contingent or
otherwise) (i) to purchase, repurchase or otherwise acquire such
Indebtedness or any security therefor, or to provide funds for the payment or
discharge of such Indebtedness (whether in the form of a loan, advance, stock
purchase, capital contribution or otherwise), (ii) to maintain the
solvency or any balance sheet item, level of income or financial condition of
another Person, (iii) to make take-or-pay or similar payments, if
required, regardless of non-performance by any other party or parties to an
agreement, (iv) to purchase, sell or lease (as lessor or lessee) property,
or to purchase or sell services, primarily for the purpose of enabling the
debtor to make payment of such Indebtedness or to assure the holder of such
Indebtedness against loss, or (v) to supply funds to or in any other
manner invest in such other Person (including to pay for property or services
irrespective of whether such property is received or such services are
rendered), if in the case of any agreement described under subclause (i), (ii),
(iii), (iv) or (v) of clause (b) of this sentence the primary
purpose or intent thereof is to provide assurance that Indebtedness of another
Person will be paid or discharged, that any agreement relating thereto will be
complied with or that any holder of such Indebtedness will be protected (in
whole or in part) against loss in respect thereof. The amount of any Guaranty
Obligation described in the preceding sentence shall be equal to the amount of
the Indebtedness so guaranteed or otherwise supported or, if the amount of the
maximum liability under such Guaranty Obligation is less than the amount of
such Indebtedness, then the amount of such maximum liability.

“Hedging Contracts”
means all Interest Rate Contracts, foreign exchange contracts, currency swap or
option agreements, forward contracts, commodity swap, purchase or option
agreements, other commodity price hedging arrangements, and all other similar
agreements or arrangements designed to alter the risks of any Person arising
from fluctuations in interest rates, currency values or commodity prices.

“Holdings”
has the meaning specified in the preamble to this Agreement.

“Holdings Permitted Preferred Stock” means any preferred Capital
Stock issued by Holdings in a transaction which, (a) (i) a Default or
Event of Default is not continuing after giving effect to the issuance of such
Capital Stock, and (ii) is not Disqualified Capital Stock, or (b) does
not otherwise confer upon the holders of such preferred Capital Stock any
rights or impose obligations on Holdings, that, taken as a whole, would be
materially adverse to the interests of Holdings or the Lenders as determined by
the Administrative Agent in the exercise of its reasonable discretion.

“Included Subsidiary”
means any Subsidiary of Holdings or the Borrower that is not an Excluded Foreign
Subsidiary.

“Indebtedness”
means, with respect to any Person at any date, without duplication, (a) all
indebtedness of such Person for borrowed money, (b) all obligations of
such Person for 

 16
 

 

the deferred purchase price of property or services
(other than current trade payables incurred in the ordinary course of such
Person’s business), (c) all obligations of such Person evidenced by notes,
bonds, debentures or other similar instruments, (d) all indebtedness
created or arising under any conditional sale or other title retention
agreement with respect to property acquired by such Person (even though the
rights and remedies of the seller or lender under such agreement in the event
of default are limited to repossession or sale of such property), (e) all Capital
Lease Obligations of such Person, (f) all obligations of such Person,
contingent or otherwise, as an account party or applicant under or in respect
of acceptances, letters of credit, surety bonds or similar arrangements, (g) all
obligations of such Person to purchase, redeem, retire, defease or otherwise
acquire for value any Capital Stock of such Person, valued, in the case of
redeemable preferred stock, at the greater of its voluntary or involuntary
liquidation preference plus accrued and unpaid dividends, (h) all Guaranty
Obligations of such Person in respect of obligations of the kind referred to in
clauses (a) through (g) above, (i) all obligations of the kind
referred to in clauses (a) through (h) above secured by (or for which
the holder of such obligation has an existing right, contingent or otherwise,
to be secured by) any Lien on property (including accounts and contract rights)
owned by such Person, whether or not such Person has assumed or become liable
for the payment of such obligation, and (j) for the purposes of Section 6.2
and Section 7.1(e) only, all obligations of such Person in
respect of Hedging Contracts. The Indebtedness of any Person shall include the
Indebtedness of any other entity (including any partnership in which such Person
is a general partner) to the extent such Person is liable therefor as a result
of such Person’s ownership interest in or other relationship with such entity,
except to the extent the terms of such Indebtedness expressly provide that such
Person is not liable therefor.

“Indemnified Matters” has the meaning specified in Section 9.4
(a).

“Indemnitees”
has the meaning specified in Section 9.4(a).

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

“Insolvent”
means pertaining to a condition of Insolvency.

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

“Intercreditor Agreement” means the Intercreditor Agreement,
dated June 23, 2006 (as amended, restated, waived or otherwise modified
from time to time), by and among the 

 17
 

 

Borrower, Holdings, the Subsidiary Guarantors (as
defined therein), Credit Suisse in its capacity as First Lien Agent (as defined
therein) and Wells Fargo Bank, National Association in its capacity as Second
Lien Agent (as defined therein).

“Interest Period”
means, in the case of any LIBO Rate Loan, (a) initially, the period
commencing on the date such LIBO Rate Loan is made or on the date of conversion
of a Base Rate Loan to such LIBO Rate Loan and ending one, two, three or six
(or, if available from each Lender, nine or twelve (12)) months thereafter, as
selected by the Borrower in its Notice of Borrowing or Notice of Conversion or
Continuation given to the Administrative Agent pursuant to Section 2.2
or Section 2.9(a), and (b) thereafter, if such Loan is
continued, in whole or in part, as a LIBO Rate Loan pursuant to Section 2.9(a),
a period commencing on the last day of the immediately preceding Interest
Period therefor and ending one, two, three or six (or, if available from each
participating Lender, nine or twelve (12)) months thereafter, as selected by
the Borrower in its Notice of Conversion or Continuation given to the
Administrative Agent pursuant to Section 2.9(a); provided, however,
that all of the foregoing provisions relating to Interest Periods in respect of
LIBO Rate Loans are subject to the following:

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

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

(iii)    the Borrower may
not select any Interest Period that ends after the Loan Maturity Date; and

(iv)    there shall be
outstanding at any one time no more than 3 Interest Periods in the aggregate.

“Interest Rate Contracts”
means all interest rate swap agreements, interest rate cap agreements, interest
rate collar agreements and interest rate insurance.

“Investment”
has the meaning specified in Section 6.8.

“Inventory”
has the meaning specified in the Security Agreement.

 18
 

 

“IRS”
means the Internal Revenue Service of the United States or any successor
thereto.

“Joint Venture” means any Person in which the Borrower and its
Subsidiaries own, directly or indirectly, more than 5% but less than or equal
to 50% of the Capital Stock.

“Leases”
means, with respect to any Person, all of those leasehold estates in real
property of such Person, as lessee, as such may be amended, supplemented or
otherwise modified from time to time.

“Lender”
means each financial institution or other entity that (a) is listed on the
signature pages hereof as a “LENDER” or (b) from time to time becomes
a party hereto by execution of an Assignment and Acceptance.

“LIBO Rate”
means, with respect to any Interest Period for any LIBO Rate Loan, an interest
rate per annum equal to the product of (a) LIBOR in effect for such
Interest Period and (b) LIBOR Statutory Reserves.

“LIBO Rate Loan”
means any Loan that, for an Interest Period, bears interest based on the LIBO
Rate.

“LIBOR”
means, with respect to any Interest Period for any LIBO Rate Loan, the rate of
interest per annum determined by the Administrative Agent at approximately
11:00 a.m., London time on the date that is two Business Days prior to the
beginning of the relevant Interest Period by reference to the British Bankers’
Association Interest Settlement Rates for deposits in dollars (as set forth by
the Bloomberg Information Service or any successor thereto or any other service
selected by the Administrative Agent which has been nominated by the British
Bankers’ Association as an authorized information vendor for the purpose of
displaying such rates) for a period equal to such Interest Period; provided
that, to the extent that an interest rate is not ascertainable pursuant to the
foregoing provisions of this definition, “LIBOR” shall be the interest rate per
annum determined by the Administrative Agent to be the average of the rates per
annum at which deposits in dollars are offered for such relevant Interest
Period to major banks in the London interbank market in London, England by the
Administrative Agent at approximately 11:00 a.m. (London time) on the date
that is two Business Days prior to the beginning of such Interest Period.

“LIBOR Lending Office”
means, with respect to any Lender, the office of such Lender specified as its “LIBOR
Lending Office” opposite its name on Schedule II or on the Assignment and
Acceptance by which it became a Lender (or, if no such office is specified, its

 19
 

 

Domestic Lending Office) or such other office of such
Lender as such Lender may from time to time specify to the Borrower and the
Administrative Agent.

“LIBOR Statutory Reserves”
means a fraction (expressed as a decimal), the numerator of which is the number
one and the denominator of which is the number one minus the aggregate of the
maximum reserve percentages (including any marginal, special, emergency or
supplemental reserves) expressed as a decimal established by the Federal
Reserve Board and any other banking authority, domestic or foreign, to which
the Administrative Agent or any Lender (including any branch, Affiliate, or
other fronting office making or holding a Loan) is subject for Eurocurrency
Liabilities. LIBO Rate Loans shall be deemed to constitute Eurocurrency Liabilities
and to be subject to such reserve requirements without benefit of or credit for
proration, exemptions or offsets that may be available from time to time to any
Lender under Regulation D of the Federal Reserve Board as in effect from time
to time. LIBOR Statutory Reserves shall be adjusted automatically on and as of
the effective date of any change in any reserve percentage.

“Lien”
means any mortgage, deed of trust, pledge, hypothecation, assignment, charge,
deposit arrangement, encumbrance, lien (statutory or other), security interest
or preference, priority or other security agreement or preferential arrangement
of any kind or nature whatsoever intended to assure payment of any Indebtedness
or other obligation, including any conditional sale or other title retention
agreement, the interest of a lessor under a Capital Lease, any financing lease
having substantially the same economic effect as any of the foregoing, and the
filing of any financing statement under the Uniform Commercial Code or
comparable law of any jurisdiction naming the owner of the asset to which such
Lien relates as debtor.

“LLC”
means Tabletop Holdings, LLC, a limited liability company organized under the
laws of Delaware.

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

“Loan Documents”
means, collectively, this Agreement, the Notes (if any), the Guaranty, the Fee
Letters, the Intercreditor Agreement, each Hedging Contract to which a Loan
Party and a Lender or an Affiliate of a Lender is a party, the Collateral
Documents and each certificate, agreement, waiver, consent or document executed
by a Loan Party and delivered to the Administrative Agent or any Lender in
connection with or pursuant to any of the foregoing.

“Loan Maturity Date”
means the earlier of (a) June 11, 2010 or (b) any other date on
which all of the Obligations become due and payable.

 20

 

“Loan Party”
means each of the Borrower, Holdings, and each Subsidiary Guarantor.

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

“Materials of Environmental
Concern” means any gasoline or petroleum (including crude
oil or any fraction thereof) or petroleum products or any hazardous or toxic
substances, materials or wastes, pollutant or contaminant defined or regulated
as such in or under any Environmental Law, including asbestos, polychlorinated
biphenyls, fungi, bacterium and urea-formaldehyde insulation.

“Merisant Netherlands”
means Merisant Netherlands, B.V.

“Merisant Philippines” has the meaning specified in Section 6.17.

“Merisant Spain”
means Merisant Spain, S.L.

“MFH” means Merisant Foreign Holdings I, Inc., a Delaware
corporation.

“Moody’s”
means Moody’s Investors Services, Inc. and any successor thereto.

“Mortgages”
means the Original Mortgage and any other mortgages, deeds of trust or other
real estate security documents made or required herein to be made by the
Borrower or any other Loan Party.

“Multiemployer Plan”
means a multiemployer plan, as defined in Section 4001(a) (3) of
ERISA, to which the Borrower, any of its Subsidiaries or any ERISA Affiliate
has any obligation or liability, contingent or otherwise.

“Net Cash Proceeds” means:

(a)  in connection with any Asset Sale or any Recovery Event, the
proceeds thereof in the form of cash and Cash Equivalents (including any such
proceeds received by way 

 21
 

 

of deferred payment of principal pursuant to a note or
installment receivable or purchase price adjustment receivable or otherwise,
but only as and when received and excluding (in the case of any Asset Sale or
Recovery Event with respect to assets of an Excluded Foreign Subsidiary) any
portion of such proceeds not freely convertible into Dollars or euro until so
convertible) of such Asset Sale or Recovery Event, net of (i) amounts
required to be applied to the repayment of Indebtedness secured by a Lien
expressly permitted hereunder on any asset that is the subject of such Asset
Sale or Recovery Event (other than any Lien pursuant to a Collateral Document
or Permitted Additional Secured Indebtedness, but including Liens pursuant to
the First Lien Loan Documents), (ii) in the case of an Asset Sale,
attorneys’ fees, accountants’ fees, investment bank fees or other customary
fees and expenses actually incurred in connection therewith and (iii) taxes
paid or reasonably estimated to be payable as a result thereof (after taking
into account any available tax credits or deductions and any tax sharing
arrangements); provided, however, that the evidence of each of
(i), (ii) and (iii) are provided to the Administrative Agent in form
and substance reasonably satisfactory to it; or

(b)  in connection with any Equity Issuance or Debt Issuance, the
cash proceeds received from such issuance or incurrence, net of (i) attorneys’
fees, investment banking fees, and accountants’ fees, (ii) underwriting
discounts and commissions and (iii) other customary fees and expenses
actually incurred in connection therewith; provided, however,
that in the case of this clause (b) evidence of such payments, costs, fees
or expenses are provided to the Administrative Agent in form and substance
reasonably satisfactory to it.

“Non-Consenting Lender”
has the meaning specified in Section 9.1(c).

“Non-Funding Lender”
has the meaning specified in Section 2.2(d).

“Non-US Lender”
means each Lender or Administrative Agent that is not a United States person as
defined in Section 7701(a) (30) of the Code.

“Note” means a promissory note of the Borrower payable to the
order of any Lender in a principal amount equal to the amount of such Lender’s
Loan Commitment evidencing the Indebtedness of the Borrower to such Lender
resulting from the Loan owing to such Lender.

“Notice of Borrowing”
has the meaning specified in Section 2.2(a).

“Notice of Conversion or
Continuation” has the meaning specified in Section 2.9(a).

“Notice of Optional
Prepayment” means a notice in the form of Exhibit J.

 22
 

 

“Obligations”
means the Loans and all other amounts, obligations, covenants and duties owing
by the Borrower to the Administrative Agent, the Collateral Agent, any Lender,
any Affiliate of any of them or any Indemnitee, of every type and description
(whether by reason of an extension of credit, opening or amendment of a letter
of credit or payment of any draft drawn thereunder, loan, guaranty,
indemnification, foreign exchange or currency swap transaction, interest rate
hedging transaction or otherwise), present or future, arising under this
Agreement or any other Loan Document, whether direct or indirect (including
those acquired by assignment), absolute or contingent, due or to become due,
now existing or hereafter arising and however acquired and whether or not
evidenced by any note, guaranty or other instrument or for the payment of
money, and includes all letter of credit and other fees, interest, charges,
expenses, fees, attorneys’ fees and disbursements and other and sums chargeable
to the Borrower under this Agreement or any other Loan Document , and including
interest and fees accruing after the maturity of the Loans and interest and
fees accruing after the filing of any petition or assignment in bankruptcy, or
the commencement of any insolvency, reorganization, plan of arrangement or like
proceeding, relating to the Borrower or an Affiliate of the Borrower, whether
or not a claim for post-filing or post-petition interest and fees is allowed in
such proceeding.

“OFAC” has the meaning specified in Section 9.2(b).

“OFAC Rules and Regulations” has the meaning specified in Section 9.2(b).

“Operating Business” has the meaning specified in Section 4.17(b).

“Original Mortgage”
means the Mortgage, Security Agreement and Assignment of Leases and Rents dated
as of the Closing Date, executed by Merisant US, Inc., as mortgagor, in
favor of Wells Fargo Bank, National Association, as collateral agent.

“Other Taxes” has the meaning specified in Section 2.14(b).

“Patriot Act” means the USA Patriot Act (Title III of Pub. L. 107-56
(signed into law October 26, 2001)).

“PBGC”
means the Pension Benefit Guaranty Corporation or any successor thereto.

“Permit”
means any permit, approval, authorization, license, variance or permission
required from a Governmental Authority under an applicable Requirement of Law.

 23
 

 

“Permitted Additional Secured Indebtedness” means non-amortizing
Indebtedness issued solely by Holdings or the Borrower that (a) does not
provide on its terms for any scheduled repayment, mandatory redemption or sinking
fund obligation prior to at least six months after the Loan Maturity Date, (b) is
in an original aggregate principal amount not to exceed $75,000,000, (c) has
provisions (including the covenants (other than the lien covenant), events of
default, subsidiary guarantees and other terms (other than interest rate and
redemption premiums)), (i) (A) that are less restrictive of Holdings,
the Borrower and their Subsidiaries than those in the Loan Documents (or if
more restrictive, the Loan Documents shall be amended to the extent necessary
to make such provisions less restrictive) and (B) such provisions and the
lien covenant are on market terms for similar issuers at the time of issuance
or (ii) is evidenced and secured by documents that are satisfactory to the
Requisite Lenders (including without limiting the generality of the foregoing
that the terms and provisions and lien covenant do not otherwise confer upon
the holders of such Indebtedness (or the trustee or other representative on
their behalf) any rights or impose obligations on Holdings or the Borrower or
their respective Subsidiaries, that would be materially adverse to the
interests of Holdings, the Borrower, their respective Subsidiaries or the
Lenders), (d) is secured by Liens only on the Collateral, which Liens
shall rank junior in priority to the Liens on the Collateral created under the
First Lien Loan Documents and the Collateral Documents, (e) shall be
subject to an intercreditor agreement reasonably acceptable to the Lenders
having at least 60% of the aggregate principal amount of all Loans then
outstanding and to the Requisite Lenders (as defined in the First Lien Credit
Agreement), (f) does not have a Subsidiary or Joint Venture as an obligor
that is not a Subsidiary Guarantor, (g) is issued by Holdings or the
Borrower, as the case may be, in exchange for, or in respect of the
refinancing, refunding, repayment, satisfaction or defeasance of the Senior
Subordinated Discount Notes or Senior Subordinated Notes (including any accrued
interest, premium or fee payable in connection with such exchange, refinancing,
refunding, repayment, satisfaction or defeasance), (h) bear interest
payable only in-kind until at least six-months after the Loan Maturity Date,
and (i) does not provide for or result in any cash fees or other cash
consideration being paid in connection with the issuance thereof (i) to
any holder of the Senior Subordinated Notes or the Senior Subordinated Discount
Notes or any such holder’s Affiliates, investment advisors, or managers, except
for any customary consent solicitation fees paid on a pro rata basis to the
holders thereof who consent to any required amendment, modification or
supplement of the Senior Subordinated Notes Indenture or the Senior
Subordinated Discount Notes Indenture, as applicable entered into in connection
therewith and which amendment, modification or supplement is otherwise
permitted under the terms of this Agreement, or (ii) to any holder of such
Indebtedness being issued, or any such holder’s Affiliates, investment advisors,
or managers, other than, in each case, customary underwriting or advisory fees
paid to any such Person solely in its capacity as underwriter, financial
advisor or arranger for such Indebtedness being issued; provided that,
immediately after giving effect to such issuance of Indebtedness, (x) 
Holdings, the Borrower and its Subsidiaries shall be in compliance with the
covenants contained in Section 6.1 as of the last day of the most
recently completed Fiscal Quarter, giving pro forma effect to such issuance as
if such issuance had occurred as of such last day of the most recently
completed Fiscal Quarter, and (y)  no Default or Event of Default is
continuing before and after giving effect to the transactions contemplated by
such issuance of Indebtedness.

 24
 

 

“Permitted Equity Issuance Proceeds” means Net Cash Proceeds
(other than any Net Cash Proceeds received from the Borrower or any Subsidiary
of the Borrower) arising from an Equity Issuance of Capital Stock (other than
Disqualified Capital Stock) by Holdings which the Borrower has designated in
writing to the Administrative Agent as being “Permitted Equity Issuance
Proceeds” applied to prepay the Loans; provided that the aggregate principal
amount of Loans prepaid with any such designated “Permitted Equity Issuance
Proceeds” does not exceed $25,500,000 in the aggregate from and after the
Closing Date.

“Permitted Investors”
means the collective reference to the Sponsor and the members of the LLC as of
the Formation Date and their Control Investment Affiliates.

“Permitted Noteholder
Investors” means, for only as long as the Permitted
Investors continue to own and control of record and beneficially, directly or
indirectly, an amount of outstanding common stock of Holdings equal to at least
51% of the outstanding common stock of Holdings, the collective reference to
the beneficial owners of the Senior Subordinated Notes and the beneficial
owners of the Senior Subordinated Discount Notes who become the “beneficial
owner” (as defined in Rules 13(d)-3 and 13(d)-5 under the
Exchange Act), of the outstanding common stock of Holdings in exchange for such
Senior Subordinated Notes or Senior Subordinated Discount Notes, and their
respective transferees and assigns.

“Permitted PIK Notes” means non-amortizing payment-in-kind notes
issued solely by Holdings or the Borrower (and as to which no Subsidiary of the
Borrower has any obligation) that (a) do not provide on its terms for any
scheduled repayment, mandatory redemption or sinking fund obligation prior to
at least six months after the Loan Maturity Date, (b) is in an aggregate
principal amount not to exceed $100,000,000 less any principal amount of
Permitted Additional Secured Indebtedness then outstanding, (c) bear
interest payable only in-kind until at least six-months after the Loan Maturity
Date, (d) do not have a Subsidiary or Joint Venture as an obligor, (e) has
provisions (including the covenants, events of default, subsidiary guarantees
and other terms (other than interest rate and redemption premiums)), (i) (A) that
are less restrictive of Holdings, the Borrower and their Subsidiaries than
those in the Loan Documents (or if more restrictive, the Loan Documents shall
be amended to the extent necessary to make such provisions less restrictive)
and (B) such provisions are on market terms for similar issuers at the
time of issuance or (ii) is evidenced by documents that are satisfactory
to the Requisite Lenders (including without limiting the generality of the
foregoing that the terms and provisions thereof do not otherwise confer upon
the holders of such Indebtedness (or the trustee or other representative on
their behalf) any rights or impose obligations on Holdings, the Borrower or
their respective Subsidiaries, that, taken as a whole, would be materially
adverse to the interests of Holdings, the Borrower or their respective
Subsidiaries or the Lenders), (f) are issued by Holdings or the Borrower,
as the case may be, solely in exchange for, or in respect of the refinancing,
refunding, repayment, satisfaction or defeasance of the Senior Subordinated
Discount Notes or Senior Subordinated Notes (including any accrued interest,
premium or fee payable in connection with such exchange, refinancing,
refunding, repayment, satisfaction or defeasance), and (g) does not provide
for or result in any cash fees or other cash consideration 

 25
 

 

being paid in connection with the issuance thereof (i) to
any holder of the Senior Subordinated Notes or the Senior Subordinated Discount
Notes, or any such holder’s Affiliates, investment advisors, or managers,
except for any customary consent solicitation fees paid on a pro rata basis to
the holders thereof who consent to any required amendment, modification or
supplement of the Senior Subordinated Notes Indenture or the Senior
Subordinated Discount Notes Indenture, as applicable entered into in connection
therewith and which amendment, modification or supplement is otherwise
permitted under the terms of this Agreement, or (ii) to any holder of such
Indebtedness being issued, or any such holder’s Affiliates, investment
advisors, or managers, other than, in each case, customary underwriting or
advisory fees paid to any such Person solely in its capacity as underwriter,
financial advisor or arranger for such Indebtedness being issued; provided
that, immediately after giving effect to such issuance of Indebtedness, (x) 
Holdings, the Borrower and its Subsidiaries shall be in compliance with the
covenants contained in Section 6.1 as of the last day of the most
recently completed Fiscal Quarter, giving pro forma effect to such issuance as
if such issuance had occurred as of such last day of the most recently
completed Fiscal Quarter, and (z)  no Default or Event of Default is
continuing before and after giving effect to the transactions contemplated by
such issuance of Indebtedness.

“Person”
means an individual, partnership, corporation (including a business trust),
joint stock company, estate, trust, limited liability company, unincorporated
association, joint venture or other entity, or a Governmental Authority.

“Plan”
means, at a particular time, any employee benefit plan that is covered by ERISA
other than a Multiemployer Plan and in respect of which the Borrower or an
ERISA Affiliate is (or, if such plan were terminated at such time, would under Section 4069
of ERISA be deemed to be) an “employer” as defined in Section 3(5) of
ERISA.

“Pledged Notes”
has the meaning specified in the Security Agreement.

“Pledged Stock”
has the meaning specified in the Security Agreement.

“Projections”
has the meaning specified in Section 5.2(c).

“Properties” has the
meaning specified in Section 4.17(a).

“Proposed Change”
has the meaning specified in Section 9.1(c).

“Purchasing Lender” has the meaning specified in Section 9.7(a).

 26
 

 

“Ratable Portion”
or “Ratably”
means, with respect to any Lender, the percentage obtained by dividing (i) the
Commitment of such Lender by (ii) the aggregate Commitments of all Lenders
(or, at any time after the Closing Date, the percentage obtained by dividing (x) the
principal amount of such Lender’s Loans by (y) the aggregate Loans of all
Lenders).

“Recapitalization”
means the repayment by the Borrower of the First Lien Credit Agreement in a
manner consistent with Section 4.16(a) and (b).

“Recovery Event”
means any settlement of or payment in respect of any property or casualty
insurance claim or any condemnation proceeding relating to any asset of
Holdings, the Borrower or any of its Subsidiaries.

“Register”
has the meaning specified in Section 9.2(d).

“Reinvestment Deferred
Amount” means, with respect to any Reinvestment Event,
the aggregate Net Cash Proceeds received by Holdings, the Borrower or any of
its Subsidiaries in connection therewith that are duly specified in a
Reinvestment Notice as not being required to be initially applied to prepay the
Loans pursuant to Section 2.7 as a result of the delivery of such
Reinvestment Notice.

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

“Reinvestment Notice”
means a written notice executed by a Responsible Officer stating that no Event
of Default has occurred and is continuing and that the Borrower (directly or
indirectly through a Subsidiary) intends and expects to use all or a portion of
the Net Cash Proceeds of an Asset Sale or Recovery Event specified in such
notice to acquire or repair assets of the same type as those subject to such
Asset Sale or Recovery Event or equipment or real property useful in the
business of the Borrower or one of its Subsidiaries (which amount of such Net
Cash Proceeds so specified, when combined with the amount of Net Cash Proceeds
specified in any other Reinvestment Notices with respect to Net Cash Proceeds
of an Asset Sale or Recovery Event received in the same Fiscal Year, shall not
exceed $20,000,000).

“Reinvestment Prepayment
Amount” means, with respect to any Reinvestment Event,
the Reinvestment Deferred Amount relating thereto less any amount expended
prior to the relevant Reinvestment Prepayment Date to acquire or repair assets
of the same type as those subject to such Asset Sale or Recovery Event or
equipment or real property useful in the business of the Borrower or one of its
Subsidiaries.

 27
 

 

“Reinvestment Prepayment
Date” means, with respect to any Reinvestment Event, the
earlier of (a) the date occurring 365 days after such Reinvestment Event
and (b) the date on which the Borrower shall have determined not to, or
shall have otherwise ceased to, acquire or repair assets of the same type as
those subject to such Asset Sale or Recovery Event or equipment or real
property useful in the business of the Borrower or one of its Subsidiaries with
all or any portion of the relevant Reinvestment Deferred Amount.

“Related Obligations” has the meaning specified in Section 8.8.

“Release” means a release, spill, emission, leaking, dumping,
injection, deposit, disposal, discharge, dispersal, leaching, or migration of
Materials of Environmental Concern into the indoor or outdoor environment or
into or out of any property, including the movement of Materials of
Environmental Concern through or in the air, soil, surface water, groundwater,
or property.

“Remedial Action” means (a) “remedial action” as such term
is defined in Comprehensive Environmental Response, Compensation and Liability
Act of 1980, as amended, 42 U.S.C. Section 9601(24), and (b) all
other actions, including studies and investigations, required by any
Governmental Authority or voluntarily undertaken to (i) clean up, remove,
treat, abate or in any other way respond to any Hazardous Material in the
environment or (ii) prevent the Release or threatened Release, or minimize
the further Release, of any Hazardous Material.

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

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

“Requirements of Law”
means, with respect to any Person, (i) the Constituent Documents of such
Person and (ii) the common law and all federal, state, local and foreign
laws, rules and regulations, orders, judgments, decrees and other legal
requirements or determinations of any Governmental Authority or arbitrator,
applicable to or binding upon such Person or any of its property or to which
such Person or any of its property is subject.

“Requisite Lenders”
means, collectively, Lenders having more than 50% of the aggregate outstanding
amount of the Commitments and, after the funding of the Loans on the Closing
Date, the principal amount of all Loans then outstanding. A Non-Funding Lender
shall not be included in the calculation of “Requisite Lenders.”

 28
 

 

“Responsible Officer”
means, with respect to any Person, any of the principal executive officers,
managing members or general partners of such Person as applicable, but in any
event, with respect to financial matters, the chief financial officer,
treasurer or controller of such Person.

“SDN List” has the meaning specified in Section 9.2(b).

“S&P”
means Standard & Poor’s Rating Services and any successor thereto.

“SEC”
means the Securities and Exchange Commission.

“Second Priority” means, with respect to any Lien purported to
be created in any Collateral pursuant to any Loan Document, that such Lien is
junior in priority only to the Liens created under the First Lien Loan
Documents.

“Secured Obligations”
means, (a) in the case of the Borrower, the Obligations, and, (b) in
the case of any other Loan Party, the obligations of such Loan Party and each
other Loan Party under the Guaranty and the other Loan Documents to which it is
a party.

“Secured Parties”
means the Collateral Agent, the Administrative Agent, the Lenders and any other
holder of any of the Obligations.

“Security”
means any Stock, Stock Equivalent, voting trust certificate, bond, debenture,
note or other evidence of Indebtedness, whether secured, unsecured, convertible
or subordinated, or any certificate of interest, share or participation in, or
any temporary or interim certificate for the purchase or acquisition of, or any
right to subscribe to, purchase or acquire, any of the foregoing, but shall not
include any evidence of the Obligations.

“Security Agreement”
means an agreement, in substantially the form of Exhibit H, executed by
the Borrower, Holdings and each Subsidiary Guarantor.

“Selling Lenders” has the meaning specified in Section 9.7(a).

“Senior Subordinated Debt
Documents” means the Senior Subordinated Notes Indenture
and each other document and instrument executed with respect thereto.

 29
 

 

“Senior Subordinated
Discount Debt Documents” means the Senior Subordinated
Discount Notes Indenture and each other document and instrument executed with
respect thereto.

“Senior Subordinated
Discount Notes” means the 121⁄4% senior subordinated
discount notes due 2014 in an aggregate principal amount at maturity of
$136,040,000 issued on November 12, 2003
by Holdings.

“Senior Subordinated
Discount Notes Indenture” means the Indenture, dated as
of November 12, 2003, among Holdings, the Borrower, certain subsidiaries
of the Borrower, and Wells Fargo Bank Minnesota, National Association, as
Trustee.

“Senior Subordinated Notes”
means the 91⁄2% senior subordinated notes due 2014 in an aggregate principal
amount of $225,000,000 issued on July 11, 2003 by Borrower and guaranteed
by the Guarantors under the Senior Subordinated Notes Indenture.

“Senior Subordinated Notes
Indenture” means the Indenture, dated as of the July 11,
2003 among Holdings, the Borrower, certain subsidiaries of the Borrower, and
Wells Fargo Bank Minnesota, National Association, as Trustee.

“Single Employer Plan”
means any Plan, including a “multiple employer plan,” that is covered by Title
IV of ERISA other than a Multiemployer Plan.

“Solvent”
means, with respect to any Person, that the value of the assets of such Person
(both at fair value and present fair saleable value) is, on the date of
determination, greater than the total amount of liabilities (including
contingent and unliquidated liabilities) of such Person as of such date and
that, as of such date, such Person is able to pay all liabilities of such Person
as such liabilities mature and does not have unreasonably small capital. In
computing the amount of contingent or unliquidated liabilities at any time,
such liabilities will be computed at the amount which, in light of all the
facts and circumstances existing at such time, represents the amount that can
reasonably be expected to become an actual or matured liability.

“SPC”
has the meaning specified in Section 9.2(f).

“Sponsor”
means Pegasus Partners II, L.P., a Delaware limited partnership.

“Stock”
means shares of capital stock (whether denominated as common stock or preferred
stock), beneficial, partnership or membership, interests, participations or
other equivalents (regardless of how designated) of or in a corporation,
partnership, limited liability company or equivalent entity, whether voting or
non-voting.

 30
 

 

“Stock Equivalents”
means all securities convertible into or exchangeable for Stock and all
warrants, options or other rights to purchase or subscribe for any Stock,
whether or not presently convertible, exchangeable or exercisable.

“Subsidiary”
means, as to any Person, a corporation, partnership, limited liability company
or other entity of which shares of stock or other ownership interests having
ordinary voting power (other than stock or such other ownership interests
having such power only by reason of the happening of a contingency) to elect a
majority of the board of directors or other managers of such corporation,
partnership or other entity are at the time owned, or the management of which
is otherwise controlled, directly or indirectly through one or more intermediaries,
or both, by such Person.

“Subsidiary Guarantor” means each Subsidiary of the Borrower
that is a party to the Guaranty.

“Swissco 2”
means Merisant Company 2 Sarl, a limited liability company organized and
existing under the laws of Switzerland and an indirect Wholly Owned Subsidiary
of the Borrower.

“Swissco 2 Revolving Note”
means a promissory note made by the Borrower in favor of Swissco 2, which shall
contain the following terms:  (a) the note shall mature in 2011; (b) the
interest rate shall be equal to LIBOR plus 0.25% per annum, or such other rate
as may be prescribed by applicable law; and (c) principal shall be due and
payable on the maturity date of such note.

“Syndication Agent”
has the meaning specified in the preamble to this Agreement.

“Tax Affiliate”
means, with respect to any Person, (a) any Subsidiary of such Person, and (b) any
Affiliate of such Person with which such Person files or is eligible to file consolidated,
combined or unitary tax returns.

“Tax Return”
has the meaning specified in Section 4.10.

“Taxes”
has the meaning specified in Section 2.14(a).

“Threshold Leverage Range” has the meaning specified in Section 6.7.

 31
 

 

“Voting Stock”
means Stock of any Person having ordinary power to vote in the election of
members of the board of directors, managers, trustees or other controlling
Persons, of such Person (irrespective of whether, at the time, Stock of any
other class or classes of such entity shall have or might have voting power by
reason of the happening of any contingency).

“Wholly Owned Excluded
Foreign Subsidiary” means any Excluded Foreign Subsidiary
that is a Wholly Owned Subsidiary.

“Wholly Owned Subsidiary”
means (a) any Domestic Subsidiary all of the Capital Stock of which is
owned by the Borrower directly or indirectly through other Subsidiaries and (b) any
Foreign Subsidiary if (i) all of the Capital Stock of such Foreign
Subsidiary (other than directors’ qualifying shares and Foreign Required
Minority Shares, in each case only to the extent required by applicable law) is
owned by the Borrower directly or indirectly through other Subsidiaries, and (ii) the
Borrower, by contract or otherwise, controls the management and business of
such Foreign Subsidiary and derives the economic benefits of ownership of such
Foreign Subsidiary to substantially the same extent as if all of the Capital
Stock of such Foreign Subsidiary were owned directly by the Borrower.

“Wholly Owned Subsidiary
Guarantor” means any Wholly Owned Subsidiary that is a
Guarantor.

Section
1.2   Computation of Time Periods. In this Agreement, in the computation
of periods of time from a specified date to a later specified date, the word “from”
means “from and including” and the words “to”
and “until” each mean “to but excluding” and the word “through” means “to and
including.”

Section 1.3   Accounting
Terms And Principles.

(a)           Except
as set forth below, all accounting terms not specifically defined herein shall
be construed in conformity with GAAP and all accounting determinations required
to be made pursuant hereto shall, unless expressly otherwise provided herein,
be made in conformity with GAAP.

(b)           If
any change in the accounting principles used in the preparation of the most
recent Financial Statements referred to in Section 5.1 is hereafter
required or permitted by the rules, regulations, pronouncements and opinions of
the Financial Accounting Standards Board or the American Institute of Certified
Public Accountants (or any successors thereto) and such change is adopted by
the Borrower with the agreement of its independent public accountants and
results in a change in any of the calculations required by Article VI had
such accounting change not occurred, the parties hereto agree to enter into
negotiations in order to amend such provisions so as to equitably reflect such
change with the desired result that the criteria for evaluating compliance with
such covenants by the Borrower shall be the same after such change as if such
change had not been made; provided, however, that no change in
GAAP that 

 32
 

 

would affect a calculation that measures compliance with any
covenant contained in Article VI shall be given effect until such
provisions are amended to reflect such changes in GAAP.

Section 1.4   Certain Terms.

(a)           The
words “herein,” “hereof” and “hereunder” and similar words refer to this
Agreement as a whole, and not to any particular Article, Section, subsection or
clause in this Agreement.

(b)           References
in this Agreement to an Exhibit, Schedule, Article, Section, subsection or
clause refer to the appropriate Exhibit or Schedule to, or Article,
Section, subsection or clause in this Agreement.

(c)           Each
agreement defined in this Article I shall include all appendices, exhibits
and schedules thereto. If the prior written consent of the Requisite Lenders is
required hereunder for an amendment, restatement, supplement or other
modification to any such agreement and such consent is obtained, references in
this Agreement to such agreement shall be to such agreement as so amended,
restated, supplemented or modified.

(d)           References
in this Agreement to any statute shall be to such statute as amended or
modified and in effect at the time any such reference is operative.

(e)           The
term “including” when used in any Loan Document means “including without
limitation” except when used in the computation of time periods.

(f)            The
term “or” has, except where otherwise indicated, the inclusive meaning
represented by the phrase “and/or”.

(g)           The
terms “Lender,” “Administrative Agent” and “Collateral Agent” include their
respective successors.

(h)           Upon
the appointment of any successor Administrative Agent pursuant to Section 8.6,
references to Credit Suisse in Section 8.3 shall be deemed to refer
to the financial institution then acting as the Administrative Agent or one of
its Affiliates if it so designates.

(i)            The
words “asset” and “property” shall be construed to have the same meaning and
effect and to refer to any and all tangible and intangible assets and properties,
including cash, Capital Stock, Securities, revenues, accounts, leasehold
interests and contract rights.

 33
 

 

ARTICLE II

THE FACILITY

Section 2.1   The Commitments. On the terms and subject to the conditions contained
in this Agreement, each Lender severally agrees to make a Loan denominated in Dollars to the Borrower on the
Closing Date, in an amount not to exceed such Lender’s Commitment. Amounts of
Loans paid or prepaid may not be reborrowed.

Section 2.2   Borrowing
Procedures.

(a)           All
Borrowings shall be made upon receipt of a Notice of Borrowing given by the
Borrower to the Administrative Agent not later than 11:00 a.m. (New York
City time) on the Closing Date. The notice of borrowing, which shall be in
substantially the form of Exhibit C (the “Notice of Borrowing”)
shall specify (A) the Closing Date, (B) the aggregate amount of such
proposed Borrowing, (C) the initial Interest Period or Periods for any
such LIBO Rate Loans, and (D) remittance instructions for such proposed
Borrowing.

(b)           The
Administrative Agent shall give to each Lender prompt notice of the
Administrative Agent’s receipt of a Notice of Borrowing, and if LIBO Rate Loans
are properly requested in such Notice of Borrowing, the applicable interest
rate determined pursuant to Section 2.12(a). Each Lender shall
promptly, but in any case prior to 3:00 p.m. (New York City time) on the
date of the proposed Borrowing, make available to the Administrative Agent at
an account designated by the Administrative Agent of a bank in New York City in
immediately available funds in Dollars, such Lender’s Ratable Portion of such
proposed Borrowing. After the Administrative Agent’s receipt of such funds and
upon fulfillment of the applicable conditions set forth in Section 3.1
and Section 3.2, the Administrative Agent will make such funds
available to the Borrower.

(c)           Unless
the Administrative Agent shall have received notice from a Lender prior to the
date of any proposed Borrowing that such Lender will not make available to the
Administrative Agent such Lender’s Ratable Portion of such Borrowing, the
Administrative Agent may assume that such Lender has made such Ratable Portion
available to the Administrative Agent on the date of such Borrowing in
accordance with this Section 2.2 and the Administrative Agent may,
in reliance upon such assumption, make available to the Borrower on such date a
corresponding amount. If and to the extent that such Lender shall not have so
made such Ratable Portion available to the Administrative Agent, such Lender
and the Borrower severally agree to repay to the Administrative Agent forthwith
on demand, such corresponding amount together with interest thereon, for each
day from the date such amount is made available to the Borrower until the date
such amount is repaid to the Administrative Agent, at (i) in the case of
the Borrower, the interest rate applicable at the time to the Loans comprising
such Borrowing and (ii) in the case of such Lender, the Federal Funds
Effective Rate for the first Business Day and thereafter at the interest rate
applicable at the time to the Loans comprising such Borrowing. If such Lender
shall repay to the Administrative Agent such corresponding amount, such amount
so repaid shall constitute such Lender’s Loan as part of such Borrowing for
purposes of this Agreement. If the Borrower shall repay to the Administrative
Agent such 

 34
 

 

corresponding amount, such payment shall not relieve such
Lender of any obligation it may have hereunder to the Borrower. With respect to
any Ratable Portion of a Borrowing not made available by a Lender as
contemplated above, if such Lender subsequently repays such corresponding
amount to the Administrative Agent and the Borrower has also repaid to the
Administrative Agent such corresponding amount (together with interest thereon
at the rate specified in clause (i) of the third preceding sentence), then
the Administrative Agent shall promptly repay to Borrower such corresponding
amount so received from such Lender (including interest thereon at the rate
specified in clause (ii) of the third preceding sentence to the extent
received from such Lender by the Administrative Agent); provided, however,
that such repayment to the Borrower shall not operate as a waiver or any
abandonment of any rights or remedies of the Borrower with respect to such
Lender.

(d)           The
failure of any Lender to make the Loan or any payment required by it on the
date specified (a “Non-Funding Lender”) shall not relieve any other
Lender of its obligations to make such Loan or payment on such date but no such
other Lender shall be responsible for the failure of any Non-Funding Lender to
make a Loan or payment required under this Agreement.

(e)           Neither
the Administrative Agent nor any Lender shall incur any liability to the
Borrower in acting upon any telephonic notice referred to in Section 2.9(a) that
the Administrative Agent believes in good faith to have been given by a
Responsible Officer or other person authorized to execute a Notice of Borrowing
or a Notice of Conversion or Continuation on behalf of the Borrower or for
otherwise acting in good faith under this Section 2.2 or under Section 2.9,
and upon funding of any Loans by the Lenders, or upon any conversion or
continuation of any Loans pursuant to Section 2.9, in each case in
accordance with this Agreement, pursuant to any such telephonic notice, the
Borrower shall be deemed to have borrowed Loans or effected a conversion or
continuation, as the case may be, hereunder.

(f)            Except
as otherwise provided in Section 2.12, a Notice of Borrowing or a
Notice of Conversion or Continuation (or telephonic notice in lieu thereof)
shall be irrevocable, and the Borrower shall be bound to make a Borrowing or to
effect a conversion or continuation in accordance therewith.

Section 2.3   Reduction
and Termination of the Commitments. The Commitments shall be reduced to
zero upon the funding of the Loans on the Closing Date.

Section 2.4   Repayment
of Loans. The Borrower shall repay the entire unpaid principal amount of
the Loans on the Loan Maturity Date.

 35
 

 

 

Section 2.5   Evidence of Debt.

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

(b)           The
Administrative Agent shall maintain accounts in accordance with its usual
practice in which it will record (i) the amount of each Loan made and, if
a LIBO Rate Loan, the Interest Period applicable thereto, (ii) the amount
of any principal or interest due and payable by the Borrower to each Lender
hereunder and (iii) the amount of any sum received by the Administrative
Agent hereunder from the Borrower and each Lender’s share thereof, if
applicable.

(c)           The
entries made in the accounts maintained pursuant to clauses (a) and (b) of
this Section 2.5 shall, to the extent permitted by applicable law,
be prima facie evidence of the existence and amounts of the obligations
recorded therein; provided, however, that the failure of any
Lender or the Administrative Agent to maintain such accounts or any error
therein shall not in any manner affect the obligations of the Borrower to repay
the Loans in accordance with their terms.

(d)           Notwithstanding
any other provision of the Agreement, in the event that any Lender requests
that the Borrower execute and deliver a promissory note or notes payable to
such Lender in order to evidence the Indebtedness owing to such Lender by the
Borrower hereunder, the Borrower will promptly execute and deliver a Note or
Notes to such Lender evidencing any Loans, as the case may be, of such Lender,
substantially in the form of Exhibit B.

Section 2.6   Optional
Prepayments.

(a)           The
Borrower may, upon at least (i) three Business Days’ prior notice to the
Administrative Agent for any such Loan that is a LIBO Rate Loan or (ii) one
Business Day’s prior notice to the Administrative Agent for any such Loan that
is a Base Rate Loan, which notice shall be a Notice of Optional Prepayment and
shall be given prior to 12:00 noon (New York City time) on the date required
and state the proposed date and aggregate principal amount of the prepayment,
prepay the outstanding principal amount of the Loans, in whole or in part,
together with accrued interest to the date of such prepayment on the principal
amount prepaid; provided, however, that if any prepayment of any
LIBO Rate Loan is made by the Borrower other than on the last day of an
Interest Period for such Loan, the Borrower shall also pay any amounts owing
pursuant to Section 2.12(e); and, provided, further,
that each partial prepayment shall be in an aggregate principal amount equal to
$1,000,000 or an integral multiple in excess thereof. Any Notice of Optional
Prepayment shall be irrevocable and, upon the giving of any such Notice of
Optional Prepayment, the principal amount of the Loans specified to be prepaid
shall become due and payable on the date specified for such prepayment.

 36
 

 

(b)           The
Borrower hereby agrees that in addition to any other amounts due under this
Agreement or any other Loan Document, if the Borrower prepays any portion of
the outstanding principal amount of the Loans pursuant to Section 2.6(a) or
Section 2.7(a) on or prior to the third anniversary of the
Closing Date, the Borrower shall pay to the Administrative Agent for the
ratable account of the Lenders, a prepayment fee equal to (i) 3% of the
aggregate principal amount of such prepayment made any time on or prior to the
first anniversary of the Closing Date, (ii) 2% of the aggregate principal
amount of such prepayment made any time after the first anniversary of the
Closing Date and on or prior to the second anniversary following the Closing
Date; and (iii) 1% of the aggregate principal amount of such prepayment
made any time after the second anniversary of the Closing Date and on or prior
to the third anniversary following the Closing Date; provided, however,
that if any such principal prepayment is made from Permitted Equity Issuance
Proceeds, the prepayment fee with respect to the portion of such principal
prepayment made from such Permitted Equity Issuance Proceeds shall be equal to (A) 1.5%
of the aggregate principal amount of such prepayment made at any time on or
prior to the first anniversary of the Closing Date, (B) 1% of the
aggregate principal amount of such prepayment made at any time after the first
anniversary of the Closing Date and on or prior to the second anniversary of
the Closing date, and (C) 0.5% of the aggregate principal amount of such
prepayment made at any time after the second anniversary of the Closing Date
and on or prior to the third anniversary of the Closing Date.

(c)           The
Borrower shall have no right to voluntarily prepay the principal amount of any
Loan other than as provided in this Section 2.6.

Section 2.7   Mandatory
Prepayments.

(a)           Upon
receipt by Holdings, the Borrower or any of its Subsidiaries of, and subject to
the terms of the Intercreditor Agreement and 2.6(b), (i) Net Cash Proceeds
arising from an Asset Sale, Recovery Event or Debt Issuance, the Borrower shall
immediately prepay the Loans in an amount equal to 100% of such Net Cash
Proceeds; or (ii) Net Cash Proceeds arising from an Equity Issuance, the
Borrower shall immediately prepay the Loans in an amount equal to 50% of such
Net Cash Proceeds, in the case of clause (i) or (ii), minus an
amount equal to the portion of such Net Cash Proceeds paid pursuant to the
First Lien Credit Agreement; provided, however, that in the case
of any Net Cash Proceeds constituting the Reinvestment Deferred Amount with
respect to a Reinvestment Event, the Borrower shall prepay the Loans in an
amount equal to the Reinvestment Prepayment Amount applicable to such
Reinvestment Event, if any, on the Reinvestment Prepayment Date with respect to
such Reinvestment Event; provided, however, that the amount of
Net Cash Proceeds received in the same Fiscal Year from one or more
Reinvestment Events that may be specified as Reinvestment Deferred Amounts in
one or more Reinvestment Notices shall not exceed $20,000,000 in the aggregate
for all such Net Cash Proceeds so received. Any such mandatory prepayment shall
be applied in accordance with Section 2.7(b) below.

 37
 

 

(b)           Subject
to the Intercreditor Agreement, any prepayments made by the Borrower required
to be applied in accordance with this Section 2.7 shall be applied
to prepay the outstanding principal balance of such Loans, until such Loans
shall have been prepaid in full. Payments in respect of Loans received by the
Administrative Agent shall be distributed to each Lender in accordance with
such Lender’s Ratable Portion of the Loans.

(c)           No
later than the time at which the Borrower makes any mandatory prepayment to the
Administrative Agent pursuant to this Section 2.7, the Borrower
shall notify the Administrative Agent in writing of the amount of any such
mandatory prepayment and the reason therefor.

Section 2.8   Interest.

(a)           Rate
Of Interest. All Loans and the outstanding amount of all other Obligations
shall bear interest, in the case of Loans, on the unpaid principal amount
thereof from the date such Loans are made and, in the case of such other
Obligations, from the date such other Obligations become due and payable until,
in all cases, paid in full, except as otherwise provided in Section 2.8(c),
as follows:

(i)            in
the case of a Base Rate Loan, at a rate per annum equal to the sum of (A) the
Base Rate as in effect from time to time plus (B) the Applicable Margin in
effect from time to time for such Loan;

(ii)           in
the case of a LIBO Rate Loan, at a rate per annum equal to the sum of (A) the
LIBO Rate determined for the applicable Interest Period plus (B) the Applicable
Margin in effect from time to time for such Loan during such Interest Period;
and

(iii)          in
the case of any Obligations (other than Loans) that have become due and
payable, (x) if such other Obligation constitutes interest in respect of
the Loan, at a rate per annum equal to the sum of (A) the Base Rate as in
effect for time to time plus (B) the Applicable Margin for the Loan in
effect from time to time plus (C) 2.00% per annum.

(b)           Interest
Payments.

(i)            Interest
accrued on each Base Rate Loan shall be due and payable in arrears (A) on
the last Business Day of each calendar quarter (B) upon the payment or
prepayment thereof in full or in part, and (C) if not previously paid in
full, at maturity (whether by acceleration or otherwise) of such Base Rate
Loan.

(ii)           Interest
accrued on each LIBO Rate Loan shall be due and payable in arrears (A) on
the last day of each Interest Period applicable to such Loan and if such
Interest Period has a duration of more than three months, on each day during
such Interest Period which occurs every three months from the first day of such
Interest Period, (B) upon the payment or prepayment thereof in full or in
part, 

 38
 

 

and (C) if not previously paid in full, at maturity
(whether by acceleration or otherwise) of such LIBO Rate Loan.

(iii)          Interest
accrued on the amount of all other Obligations shall be due and payable on
demand at any time and from time to time after such Obligation becomes due and
payable (whether by acceleration or otherwise).

(c)           Interest
On Defaulted Principal. Notwithstanding the rates of interest specified in Section 2.8(a) or
elsewhere herein, any principal of any Loan that has become due and payable
shall bear interest at a rate which is 2.00% per annum in excess of the rate of
interest otherwise applicable to such Loan from time to time.

(d)           Interest
During an Event of Default. Notwithstanding the rates of interest specified
in Section 2.8(a) or elsewhere herein, other than the Borrower’s
failure to pay any principal of any Loan when due in accordance with the terms
hereof, by written notice to the Borrower given by the Administrative Agent
acting upon the direction of the Requisite Lenders, the Requisite Lenders may
require the Borrower to pay, and the Borrower shall pay, interest during the
continuance of an Event of Default on the principal amount of all outstanding
Loans at the per annum rate equal to the rate otherwise applicable to such Loan
plus 2.00% per annum.

Section 2.9   Conversion/Continuation
Option.

(a)           The
Borrower may elect (i) at any time to convert Base Rate Loans or any
portion thereof to LIBO Rate Loans, (ii) at any time to convert LIBO Rate
Loans or any portion thereof into Base Rate Loans, or (iii) at the end of
any applicable Interest Period to continue LIBO Rate Loans or any portion
thereof for an additional Interest Period; provided, however,
that, if any such conversion of any LIBO Rate Loan is made pursuant to clause (ii) above
other than on the last day of an Interest Period for such Loan, the Borrower
shall also pay any amounts owing pursuant to Section 2.12(e). Each
conversion or continuation shall be allocated among the Loans of each Lender in
accordance with its Ratable Portion. Each such election shall be in
substantially the form of Exhibit E hereto (a “Notice of Conversion or
Continuation”) and shall be made by giving the Administrative Agent written
notice no later than 12:00 noon (New York City time) on the date three Business
Days in advance of the relevant conversion or continuation, which notice shall
specify (A) the amount and type of Loan being converted or continued, (B) in
the case of a conversion to LIBO Rate Loans or a continuation of LIBO Rate
Loans, the applicable Interest Period, and (C) in the case of a
conversion, the date of conversion (which date shall be a Business Day). In
lieu of giving a Notice of Conversion or Continuation for any conversion or
continuation, the Borrower may give the Administrative Agent telephonic notice
prior to the time required for giving a Notice of Conversion or Continuation; provided,
however, that such telephonic notice shall be promptly confirmed in
writing by delivery of a duly executed Notice of Conversion or Continuation to
the Administrative Agent prior to the date of conversion or continuation.

 39
 

 

(b)           The
Administrative Agent shall promptly notify each Lender of its receipt of a
Notice of Conversion or Continuation (or of telephonic notice duly given in lieu
thereof) and of the options selected therein. Notwithstanding the foregoing, (i) no
conversion in whole or in part of Base Rate Loans to LIBO Rate Loans, and no
continuation in whole or in part of LIBO Rate Loans upon the expiration of any
applicable Interest Period, shall be permitted at any time at which a Default
or an Event of Default shall have occurred and be continuing; and (ii) no
conversion in whole or in part of Base Rate Loans to LIBO Rate Dollar Loans,
and no continuation in whole or in part of LIBO Rate Loans upon the expiration
of any applicable Interest Period, shall be permitted at any time at which such
conversion into, or continuation of, would violate any of the provisions of Section 2.12.
If, within the time period required under the terms of this Section 2.9,
the Administrative Agent does not receive a Notice of Conversion or
Continuation from the Borrower containing a permitted election to continue any
LIBO Rate Loans for an additional Interest Period or to convert any such Loans,
then, upon the expiration of the applicable Interest Period, if such Loans are
LIBO Rate Loans, such Loans will be automatically converted to Base Rate Loans.
Each Notice of Conversion or Continuation shall be irrevocable.

Section 2.10   Fees.
The Borrower has agreed to pay to the Administrative Agent and the Collateral
Agent certain fees, the amount and dates of payment of which are embodied in the Fee Letters.

Section 2.11   Payments
And Computations.

(a)           The
Borrower shall make each payment hereunder (including fees and expenses) not
later than 12:00 noon (New York City time) on the day when due, in dollars, to
the Administrative Agent at an account designated from time to time by the
Administrative Agent at a bank in New York City in immediately available funds
without set-off or counterclaim. The Administrative Agent will promptly
thereafter cause to be distributed immediately available funds relating to the
payment of principal or interest or fees to the Lenders, in accordance with the
application of payments set forth in clauses (e) and (f) of this Section 2.11,
as applicable, for the account of their respective Applicable Lending Offices; provided,
however, that amounts payable pursuant to Section 2.12(c), Section 2.12(e),
Section 2.13 or Section 2.14 shall be paid only to the
affected Lender or Lenders. Payments received by the Administrative Agent after
12:00 noon (New York City time) shall be deemed to be received on the next
Business Day.

(b)           All
computations of interest based on clause (a) of the definition of Base
Rate shall be made by the Administrative Agent on the basis of a year of 365 or
366 days, as the case may be, and all other computations of interest and fees
shall be made by the Administrative Agent on the basis of a year of 360 days,
in each case for the actual number of days (including the first day but
excluding the last day) occurring in the period for which such interest and
fees are payable. Each determination by the Administrative Agent of an interest
rate hereunder shall be conclusive and binding for all purposes, absent
manifest error.

 40

 

(c)           Except
as otherwise specified herein, whenever any payment hereunder shall be stated
to be due on a day other than a Business Day, such payment shall be made on the
next succeeding Business Day, and such extension of time shall in such case be
included in the computation of payment of interest or fees, as the case may be;
provided, however, that if such extension would cause payment of
interest on or principal of any LIBO Rate Loan to be made in the next calendar
month, such payment shall be made on the immediately preceding Business Day.
All repayments of any Loans shall be applied as follows: first to repay
such Loans outstanding as Base Rate Loans and then to repay such Loans
outstanding as LIBO Rate Loans with those LIBO Rate Loans which have earlier
expiring Interest Periods being repaid prior to those which have later expiring
Interest Periods.

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

(e)           Subject
to the provisions of clause (f) of this Section 2.11 and
except as otherwise provided in Section 2.7, all payments and any
other amounts received by the Administrative Agent from or for the benefit of
the Borrower shall be applied first, to pay all Obligations then due and
payable; and second, as the Borrower so designates. Payments in respect
of Loans received by the Administrative Agent shall be distributed to each
Lender in accordance with such Lender’s Ratable Portion of the Loans; and all
payments of fees and all other payments in respect of any other Obligation
shall be allocated among such of the Lenders as are entitled thereto, and in
proportion to their respective Ratable Portions.

(f)            The
Borrower hereby irrevocably waives the right to direct the application of any
and all payments in respect of the Obligations and any proceeds of Collateral
after the occurrence and during the continuance of an Event of Default, and
agrees that, if an Event of Default has occurred and is continuing, the
Administrative Agent may, and shall upon either (A) the written direction
of the Requisite Lenders or (B) the acceleration of the Obligations
pursuant to Section 7.2, apply all payments in respect of any
Obligations and all other proceeds of Collateral in the following order:

(i)            first,
to pay Obligations in respect of any expense reimbursements or indemnities then
due the Administrative Agent and Collateral Agent;

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(ii)           second,
to pay Obligations in respect of any expense reimbursements or indemnities then
due to the Lenders and the Issuers;

(iii)          third,
to pay Obligations in respect of any fees then due to the Administrative Agent,
Collateral Agent and the Lenders;

(iv)          fourth,
to pay interest then due and payable in respect of the Loans and Reimbursement
Obligations;

(v)           fifth,
to pay or prepay principal payments on the Loans and any Obligations owing with
respect to Hedging Contracts ratably to the aggregate principal amount of such
Loans and Obligations owing with respect to Hedging Contracts; and

(vi)          sixth,
to the ratable payment of all other Obligations;

provided, however, that if sufficient funds
are not available to fund all payments to be made in respect of any of the
Obligations described in any of clauses first through sixth, the
available funds being applied with respect to any such Obligation (unless
otherwise specified in such clause) shall be allocated to the payment of such
Obligations ratably, based on the proportion of the Administrative Agent’s and
each Lender’s interest in the aggregate outstanding Obligations described in
such clauses. The order of priority set forth in clauses (i) through
(vi) of this Section 2.11(f) may at any time and
from time to time be changed by the agreement of the Requisite Lenders without
necessity of notice to or consent of or approval by the Borrower, any Secured
Party that is not a Lender, or by any other Person that is not a Lender. In
addition, the order of priority set forth in clauses (i) through (iii) of
this Section 2.11(f) may be changed only with the prior
written consent of the Administrative Agent in addition to the Requisite
Lenders. In addition, the order of priority set forth in clause (i) of
this Section 2.11 may be changed only with the prior written
consent of the Collateral Agent in addition to the Administrative Agent and the
Requisite Lenders.

Section 2.12   Special
Provisions Governing LIBO Rate Loans.

(a)           Determination
Of Interest Rate. The LIBO Rate for each Interest Period for LIBO Rate
Loans shall be determined by the Administrative Agent pursuant to the
procedures set forth in the definition of “LIBO Rate.” The
Administrative Agent’s determination shall be presumed to be correct, absent
manifest error, and shall be binding on the Borrower.

(b)           Interest
Rate Unascertainable, Inadequate Or Unfair. In the event that: (x) the
Administrative Agent determines that adequate and fair means do not exist for
ascertaining the applicable interest rates by reference to which the LIBO Rate
for any LIBO Rate Loan then being determined is to be fixed; or (y) the
Requisite Lenders notify the Administrative Agent that the LIBO Rate for any
Interest Period for any LIBO Rate Loan will not adequately reflect the cost to
the Lenders of making or maintaining such 

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Loan for such Interest Period, the Administrative Agent shall
forthwith so notify the Borrower and the Lenders, whereupon: each LIBO Rate
Loan will automatically, on the last day of the current Interest Period for
such Loan, convert into a Base Rate Loan and the obligations of the Lenders to
make LIBO Rate Loans or to convert Base Rate Loans into LIBO Rate Loans shall
be suspended; in any case until the Administrative Agent shall notify the Borrower
that the Requisite Lenders have determined that the circumstances causing such
suspension no longer exist.

(c)           Increased
Costs. If at any time any Lender shall determine that because of the
introduction after the Closing Date of or any change after the Closing Date in
or in the interpretation of any law, treaty or governmental rule, regulation or
order (other than any change by way of imposition or increase of reserve
requirements included in determining the LIBO Rate) or the compliance by such
Lender with any guideline, request or directive promulgated or given after the
Closing Date by or on behalf of any central bank or other Governmental
Authority (whether or not having the force of law), there shall be any increase
in the cost to such Lender of agreeing to make or making, funding or maintaining
any LIBO Rate Loans, then the Borrower shall from time to time, upon demand by
such Lender (with a copy of such demand to the Administrative Agent), pay to
the Administrative Agent for the account of such Lender additional amounts
sufficient to compensate such Lender for such increased cost; provided, however,
that the Borrower shall not be required to compensate a Lender pursuant to this
paragraph for any amounts incurred more than 270 days prior to the date that
such Lender initially notifies the Borrower of such Lender’s intention to claim
compensation therefor; and provided, further, that, if the
circumstances giving rise to such claim have a retroactive effect, then such
270 day period shall be extended to include the period of such retroactive
effect. A certificate as to the amount of such increased cost and setting forth
in reasonable detail the basis of the calculation of such cost, submitted to
the Borrower and the Administrative Agent by such Lender, shall be conclusive
and binding for all purposes, absent manifest error.

(d)           Illegality.
Notwithstanding any other provision of this Agreement, if any Lender determines
that the introduction after the Closing Date of or any change after the Closing
Date in or in the interpretation of any law, treaty or governmental rule,
regulation or order shall make it unlawful, or any central bank or other
Governmental Authority shall assert after the Closing Date that it is unlawful,
for any Lender or its LIBOR Lending Office to make LIBO Rate Loans or to
continue to fund or maintain LIBO Rate Loans, then, on notice thereof and
demand therefor by such Lender to the Borrower through the Administrative Agent
(x) the obligation of such Lender to make or to continue LIBO Rate Loans
and to convert Base Rate Loans into LIBO Rate Loans shall be suspended, and
each such Lender shall make a Base Rate Loan as part of any requested Borrowing
of LIBO Rate Loans, and (y) if LIBO Rate Loans are then outstanding, the
Borrower shall immediately convert each such Loan into a Base Rate Loan.

If at any time after a Lender gives notice under this Section 2.12(d) such
Lender determines that it may lawfully make LIBO Rate Loans, such Lender shall
promptly give 

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notice of that determination to the Borrower and the
Administrative Agent, and the Administrative Agent shall promptly transmit the
notice to each other Lender. The Borrower’s right to request, and such Lender’s
obligation, if any, to make LIBO Rate Loans, as applicable, shall thereupon be
restored.

(e)           Breakage
Costs. In addition to all amounts required to be paid by the Borrower
pursuant to Section 2.8, the Borrower shall compensate each Lender,
upon demand, for all losses, expenses and liabilities (including any loss or
expense incurred by reason of the liquidation or reemployment of deposits or
other funds acquired by such Lender to fund or maintain such Lender’s LIBO Rate
Loans to the Borrower but excluding any loss of the Applicable Margin on the
relevant Loans) which that Lender may sustain (i) if for any reason a
proposed conversion into or continuation of LIBO Rate Loans does not occur on a
date specified therefor in a Notice of Conversion or Continuation given by a
Borrower or in a telephonic request by it for a conversion or continuation for
a successive Interest Period does not commence after notice therefor is given
pursuant to Section 2.9, (ii) if for any reason any LIBO Rate
Loan is prepaid (including mandatorily pursuant to Section 2.7 or Section 2.12
(b) or (d)) or any LIBO Rate Loan is converted pursuant to Section 2.9
into a Base Rate Loan on a date which is not the last day of the applicable
Interest Period, (iii) as a consequence of a required conversion of a LIBO
Rate Loan to a Base Rate Loan as a result of any of the events indicated in Section 2.12
(b) or (d), or (iv) as a consequence of any failure by a Borrower
to repay LIBO Rate Loans when required by the terms hereof. The Lender making
demand for such compensation shall deliver to the Borrower concurrently with
such demand a written certificate as to such losses, expenses and liabilities,
setting forth in reasonable detail the basis of the calculation of such losses,
expenses and liabilities and this certificate shall be conclusive as to the
amount of compensation due to that Lender, absent manifest error.

Section 2.13   Capital
Adequacy. If at any time any Lender determines that (a) the adoption
of or any change in or in the interpretation of any law, treaty or governmental
rule, regulation or order after
the date of this Agreement regarding capital adequacy, (b) compliance with
any such law, treaty, rule, regulation, or order, or (c) compliance with
any guideline or request or directive from any central bank or other
Governmental Authority (whether or not having the force of law) shall have the
effect of reducing the rate of return on the capital of such Lender (or any
corporation controlling such Lender) as a consequence of its obligations
hereunder to a level below the level that such Lender or such corporation could
have achieved but for such adoption, change, compliance or interpretation,
then, upon demand from time to time by such Lender (with a copy of such demand
to the Administrative Agent), the Borrower shall pay to the Administrative
Agent for the account of such Lender, from time to time as specified by such
Lender, additional amounts sufficient to compensate such Lender for such reduction;
provided, however, that the Borrower shall not be required to
compensate a Lender pursuant to this paragraph for any amounts incurred more
than 270 days prior to the date that such Lender initially notifies the
Borrower of such Lender’s intention to claim compensation therefor; and provided,
further, that, if the circumstances giving rise to such claim have a
retroactive effect, then such 270 day period shall be extended to include the
period of such retroactive effect. A certificate as to such amounts, setting
forth in reasonable detail the basis of 

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the calculation of such
amounts, submitted to the Borrower and the Administrative Agent by such Lender
shall be conclusive and binding for all purposes absent manifest error.

Section 2.14   Taxes.

(a)           Any
and all payments by the Borrower under each Loan Document shall be made free
and clear of and without deduction for any present or future income, stamp or
other taxes, levies, imposts, duties, charges, fees, deductions or
withholdings, now or hereafter imposed, levied, collected, withheld or assessed
by any Governmental Authority, excluding net income taxes, franchise taxes
(imposed in lieu of net income taxes), branch profits taxes, and other taxes
imposed on or measured by net income, imposed on the Administrative Agent or
any Lender as a result of a present or former connection between the
Administrative Agent or such Lender and the jurisdiction of the Governmental
Authority imposing such tax or any political subdivision or taxing authority
thereof or therein, including as a result of a lending office, a fixed place of
business, or a permanent establishment maintained by such Administrative Agent
or such Lender (other than any such connection arising solely from the
Administrative Agent or such Lender having executed, delivered or performed its
obligations or received a payment under, or enforced, this Agreement or any
other Loan Document) (all such non-excluded taxes, levies, imposts, deductions,
charges, withholdings and liabilities being hereinafter referred to as “Taxes”).
If any Taxes shall be required by law to be deducted from or in respect of any
sum payable under any Loan Document to any Lender or the Administrative Agent (i) the
sum payable shall be increased as may be necessary so that after making all
required deductions (including deductions applicable to additional sums payable
under this Section 2.14) such Lender or the Administrative Agent
(as the case may be) receives an amount equal to the sum it would have received
had no such deductions been made, (ii) the Borrower shall make such
deductions, (iii) the Borrower shall pay the full amount deducted to the
relevant taxing authority or other authority in accordance with applicable law,
and (iv) the Borrower shall deliver to the Administrative Agent evidence
of such payment.

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

(c)           The
Borrower will indemnify each Lender and the Administrative Agent for the full
amount of Taxes and Other Taxes (including any Taxes or Other Taxes imposed by
any jurisdiction on amounts payable under this Section 2.14) paid
by such Lender or the Administrative Agent (as the case may be) and any liability
(including for penalties, interest and expenses) arising therefrom or with
respect thereto, whether or not such Taxes or Other Taxes were correctly or
legally asserted. This indemnification shall be made within (and shall be due
and payable on the date) 30 days after the date such Lender or the
Administrative Agent (as the case may be) makes written demand therefor.

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(d)           Within
30 days after the date of any payment of Taxes or Other Taxes, the Borrower
will furnish to the Administrative Agent, at its address referred to in Section 9.8,
the original or a certified copy of a receipt evidencing payment thereof (or,
if such original or certified copy is not available, any other proof of payment
reasonably satisfactory to the Administrative Agent).

(e)           Without
prejudice to the survival of any other agreement of the Borrower hereunder, the
agreements and obligations of the Borrower contained in this Section 2.14
shall survive the payment in full of the Obligations.

(f)            Prior
to the Closing Date in the case of each Non-U.S. Lender that is a signatory
hereto, and on the date of the Assignment and Acceptance pursuant to which it
becomes a Lender in the case of each other Non-U.S. Lender and from time to
time thereafter if requested by the Borrower or the Administrative Agent, each
Non-U.S. Lender that is entitled at such time to an exemption from United
States withholding tax, or that is subject to such tax at a reduced rate under
an applicable tax treaty, shall provide the Administrative Agent and the Borrower
with two completed copies of: (i) Form W-8ECI (claiming
exemption from withholding because the income is effectively connected with a
United States trade or business) (or any successor form); (ii) Form W-8BEN
(claiming exemption from, or a reduction of, withholding tax under an income
tax treaty) (or any successor form); (iii) in the case of a Non-U.S.
Lender claiming exemption under Sections 871(h) or 881(c) of
the Code, a Form W-8BEN (claiming exemption from withholding under
the portfolio interest exemption)(or successor form); or (iv) any other
applicable form, certificate or document prescribed by the IRS certifying as to
such Non-U.S. Lender’s entitlement to such exemption from United States
withholding tax or reduced rate with respect to all payments to be made to such
Non-U.S. Lender under the Loan Documents. Unless the Borrower and the
Administrative Agent have received forms or other documents satisfactory to
them indicating that payments under any Loan Document to or for a Non-U.S.
Lender are not subject to United States withholding tax or are subject to such
tax at a rate reduced by an applicable tax treaty, the Borrower or the Administrative
Agent shall withhold taxes from such payments at the applicable statutory rate.

(g)           Any
Lender claiming any additional amounts payable pursuant to this Section 2.14
shall use its reasonable efforts (consistent with its internal policy and legal
and regulatory restrictions) to change the jurisdiction of its Applicable
Lending Office if the making of such a change would avoid the need for, or
reduce the amount of, any such additional amounts which would be payable or may
thereafter accrue and would not, in the sole determination of such Lender, be
otherwise disadvantageous to such Lender.

Section 2.15   Substitution
of Lenders. In the event that (a) (i) any Lender makes a claim
under Section 2.12(c) or Section 2.13,
or (ii) it becomes illegal for any Lender to continue to fund or make any LIBO Rate
Loan and such Lender notifies the Borrower pursuant to Section 2.12(d),
or (iii) the Borrower is required to make any payment pursuant to Section 2.14 that is attributable to any Lender, or (iv) any
Lender is a Non-Funding Lender, (b) in the case of clause (a)(i) above,
as a consequence of increased costs in respect of which such claim is 

 46
 

 

made, the effective rate
of interest payable to such Lender under this Agreement with respect to its
Loans materially exceeds the effective average annual rate of interest payable
to the Requisite Lenders under this Agreement and (c) Lenders holding at
least 75% of the Loans are not subject to such increased costs or illegality,
payment or proceedings (any such Lender, an “Affected Lender”), the
Borrower may substitute another financial institution for such Affected Lender
hereunder, upon reasonable prior written notice (which written notice must be
given within 90 days following the occurrence of any of the events described in
clauses (a)(i), (ii), (iii) or (iv)) by the Borrower to the Administrative
Agent and the Affected Lender that the Borrower intends to make such
substitution, which substitute financial institution must be, if not a Lender,
reasonably acceptable to the Administrative Agent; provided,
however, that if more than one Lender
claims increased costs, illegality or right to payment arising from the same
act or condition and such claims are received by the Borrower within 30 days of
each other then the Borrower may substitute all, but not (except to the extent
the Borrower has already substituted one of such Affected Lenders before the
Borrower’s receipt of the other Affected Lenders’ claim) less than all, Lenders
making such claims. In the event that the proposed substitute financial institution
or other entity is reasonably acceptable to the Administrative Agent and the
written notice was properly issued under this Section 2.15, the
Affected Lender shall sell and the substitute financial institution or other
entity shall purchase, pursuant to an Assignment and Acceptance, all rights and
claims of such Affected Lender under the Loan Documents and the substitute
financial institution or other entity shall assume and the Affected Lender
shall be relieved of any prior unperformed obligations of the Affected Lender
under the Loan Documents (other than in respect of any damages (other than
exemplary or punitive damages, to the extent permitted by applicable law) in
respect of any such unperformed obligations). Upon the effectiveness of such
sale, purchase and assumption (that, in any event shall be conditioned upon the
payment in full by the Borrower to the Affected Lender in cash of all fees,
unreimbursed costs and expenses and indemnities accrued and unpaid through such
effective date), the substitute financial institution or other entity shall
become a “Lender” hereunder for all purposes of this Agreement, provided, however, that
all indemnities under the Loan Documents shall continue in favor of such
Affected Lender.

ARTICLE III

CONDITIONS TO LOANS

Section 3.1   Conditions
Precedent To Loans. The obligation of each Lender to make the Loans
requested to be made by it on the Closing Date is subject to the satisfaction
of all of the following
conditions precedent:

(a)           Certain
Documents. The Administrative Agent shall have received on the Closing Date
each of the following, each dated the Closing Date unless otherwise indicated
or agreed to by the Administrative Agent, in form and substance reasonably satisfactory
to the Administrative Agent and the Collateral Agent and in sufficient copies
for the Collateral Agent and each Lender:

 47
 

 

(i)            this
Agreement, duly executed and delivered by the Borrower and, for the account of
each Lender requesting the same, a Note of the Borrower conforming to the
requirements set forth herein;

(ii)           the
Guaranty, duly executed by Holdings and each Subsidiary Guarantor;

(iii)          the
Security Agreement, duly executed by the Borrower, Holdings and each Subsidiary
Guarantor, together with:

(A)          evidence
satisfactory to the Administrative Agent that the Collateral Agent (for the
benefit of the Secured Parties) has a valid and perfected Second Priority
security interest in the Collateral, including (x) such documents duly
executed by each Loan Party as the Collateral Agent may reasonably request with
respect to the perfection of its security interests in the Collateral (including
evidence satisfactory to the Collateral Agent that financing statements under
the UCC, patent, trademark and copyright security agreements and other
applicable documents under the laws of any jurisdiction have been appropriately
filed with respect to the perfection of Liens created by the Security
Agreement) and (y) copies of UCC search reports as of a recent date
listing all effective financing statements that name any Loan Party as debtor,
together with copies of such financing statements, none of which shall cover
the Collateral except for those which shall be terminated on the Closing Date
and those in respect of Liens permitted under Section 6.3;

(B)           evidence
satisfactory to the Administrative Agent that all certificates, agreements or
instruments representing or evidencing the Securities’ Collateral accompanied
by instruments of transfer and stock powers undated and endorsed in blank have
been delivered to the First Lien Agent (which shall act as bailee for the
Collateral Agent);

(C)           evidence
satisfactory to the Administrative Agent that all instruments representing
Pledged Notes being pledged pursuant to such Security Agreement, each
accompanied by an instrument of transfer undated and endorsed in blank has been
received by the First Lien Agent (which shall act as bailee for the Collateral
Agent).

(D)          subject
to Section 6.16, evidence satisfactory to the Administrative Agent
that all other certificates, agreements, including control agreements, or
instruments necessary to perfect the Collateral Agent’s security interest in
all Chattel Paper, all Instruments, all Deposit Accounts and all Investment
Property of each Loan Party (as each such term is defined in the Security
Agreement and to the extent required by the Security Agreement) have been delivered
to the First Lien Agent (which shall act as bailee for the Collateral Agent);

 48
 

 

(E)           evidence
reasonably satisfactory to the Administrative Agent of payment or arrangements
for payment by the Loan Parties of all applicable recording taxes, fees,
charges, costs and expenses required for the recording of the Collateral
Documents; and

(F)           in
respect to granting a Lien on 65% of the stock of Merisant Spain:

(I)            a Deed of Pledge, dated the Closing
Date, duly executed by MFH in favor of the Collateral Agent; and

(II)           subject to Section 6.16,
a certificate of Merisant Spain satisfactory to the Administrative Agent
confirming registry of the lien in the company records as required by legal
opinion;

(iv)          the
Original Mortgage together with: (A) title insurance policies,
satisfactory in form and substance to the Administrative Agent and the
Collateral Agent, in their sole discretion; (B) evidence that counterparts
of the Original Mortgage have been recorded in all places to the extent
necessary or desirable, in the reasonable judgment of the Administrative Agent,
to create a valid and enforceable Second Priority Lien on property described
therein in favor of the Collateral Agent for the benefit of the Secured Parties
(or in favor of such other trustee as may be required or desired under local
law); and (C) an opinion of counsel in each state in which any Mortgage is
recorded in form and substance and from counsel reasonably satisfactory to the
Collateral Agent;

(v)           (A) a
favorable opinion of Sidley Austin LLP, counsel to the Loan Parties, and (B) subject
to Section 6.16, a favorable opinion of counsel to the Loan Parties
in the Republic of Spain as to the validity and enforceability of the pledge of
shares of Merisant Spain by a Subsidiary of the Borrower, in each case which
opinions shall be in form and substance reasonably satisfactory to the
Administrative Agent and addressed to the Administrative Agent, the Collateral
Agent and the Lenders;

(vi)          a
copy of each Senior Subordinated Debt Document, each Senior Subordinated
Discount Debt Document and each Disclosure Document certified as being complete
and correct by a Responsible Officer of the Borrower;

(vii)         a
copy of the articles or certificate of incorporation (or equivalent
organizational documents) of each Loan Party, certified as of a recent date by
the Secretary of State of the state of incorporation of such Loan Party,
together with certificates of such official attesting to the good standing of
each such Loan Party;

 49
 

 

(viii)        a certificate of the secretary or an assistant secretary of
each Loan Party certifying (A) the names and true signatures of each
officer of such Loan Party who has been authorized to execute and deliver any
Loan Document or other document required hereunder to be executed and delivered
by or on behalf of such Loan Party, (B) the by-laws (or equivalent
Constituent Document) of such Loan Party as in effect on the date of such
certification, (C) the resolutions of such Loan Party’s board of directors
(or equivalent governing body) approving and authorizing the execution,
delivery and performance of this Agreement and the other Loan Documents to
which it is a party and (D) that there have been no changes in the
certificate of incorporation (or equivalent Constituent Document) of such Loan
Party from the certificate of incorporation (or equivalent Constituent
Document) delivered pursuant to the immediately preceding clause;

(ix)           a
certificate of (A) the chief financial officer of the Borrower, stating
that the Borrower and each Subsidiary Guarantor taken as a whole is Solvent,
and (B) the chief financial officer of Holdings, stating that Holdings together
with the Borrower and each Subsidiary Guarantor taken as a whole is Solvent, in
each case after giving effect to the Loans, the application of the proceeds
thereof to effect the Recapitalization and otherwise in accordance with Section 4.16
and the payment of all estimated legal, accounting and other fees related
hereto and thereto;

(x)            a
certificate of a Responsible Officer of the Borrower to the effect that (A) the
conditions set forth in Section 3.2(b) have been satisfied, (B) no
litigation shall have been commenced against any Loan Party or any of its
Subsidiaries which would reasonably be expected to have a Material Adverse
Effect or which restrains or imposes or can reasonably be expected to impose
materially adverse conditions upon the Loans or the transactions contemplated
thereby, and (C) the attached Corporate Chart is true, correct and
complete in all material respects as of the Closing Date;

(xi)           evidence
satisfactory to the Administrative Agent that the insurance policies required
by Section 5.5(b) and any Collateral Document are in full
force and effect, together with endorsements naming the Collateral Agent, on
behalf of the Secured Parties, as an additional insured or loss payee under all
insurance policies to be maintained with respect to the properties of Holdings,
the Borrower and its Subsidiaries;

(xii)          evidence
of the First Lien Lenders consent to the execution and effectiveness of this
Agreement and that such execution and effectiveness is a Refinancing
Transaction (as defined in the First Lien Credit Agreement), each in form and
substance satisfactory to the Administrative Agent; and

(xiii)         such other certificates, documents, agreements and
information respecting any Loan Party as the Administrative Agent may
reasonably request.

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(b)           Fee
And Expenses Paid. There shall have been paid to the Administrative Agent,
for the account of the Administrative Agent and the Lenders, as applicable, all
fees due and payable on or before the Closing Date (including all such fees
described in the Fee Letters), and all reasonable expenses due and payable on
or before the Closing Date in respect of which the Borrower shall have received
a request in accordance with Section 9.3(c) on or prior to the
Closing Date.

(c)           Financials.
The Lenders shall have received and be reasonably satisfied with (i) the
financial statements of the Borrower and its subsidiaries delivered pursuant to Section 4.1, (ii) interim unaudited
monthly and quarterly financial statements of the Borrower and its subsidiaries
through the fiscal month ending April 30, 2006 and (iii) the Borrower’s
quarterly budget for Fiscal Year 2006 and 2007 and financial projections for
the Fiscal Years 2007 through 2010 prepared by the Borrower’s management.

(d)           Existing
Indebtedness and Material Agreements. The Lenders shall be satisfied in
their reasonable judgment that there shall not occur as a result of the funding
of the Loans, a default (or any event which with the giving of notice or lapse
of time or both would be a default) under any of Holdings or its Subsidiaries’
debt instruments and other material agreements.

(e)           ERISA
Obligations. The Lenders shall be reasonably satisfied that Holdings and its
Subsidiaries will be able to meet their obligations under their respective
Plans, that all such Plans are in material compliance with ERISA, the Code,
their own terms, and other applicable law, that all Plans are, in all material
respects, funded in accordance with the minimum statutory requirements, that no
material Reportable Event has occurred as to any Single Employee Plan, and that
no termination of, or withdrawal from, any Single Employer Plan or
Multiemployer Plan has occurred or is contemplated.

(f)            No
Material Adverse Change. There shall not have occurred or exist any event
or condition that has resulted or would reasonably be expected to result in a
Material Adverse Effect.

(g)           Consents,
Etc. Each of the Borrower and its Subsidiaries shall have received all
consents and authorizations required pursuant to any material Contractual Obligation
with any other Person and shall have obtained all consents and authorizations
of, and effected all notices to and filings with, any Governmental Authority,
in each case, as may be necessary to allow each of Holdings and its
Subsidiaries lawfully (A) to execute, deliver and perform, in all material
respects, their respective obligations hereunder, the Loan Documents to which
each of them, respectively, is, or shall be, a party and each other agreement
or instrument to be executed and delivered by each of them, respectively, pursuant
thereto or in connection therewith, and (B) to create and perfect the
Liens on the Collateral to be owned by each of them in the manner and for the
purpose contemplated by the Loan Documents.

(h)           Environmental
Assessments. For each material piece of real property owned, operated or
leased by Holdings, the Borrower or any of its Subsidiaries, the 

 51
 

 

Administrative Agent shall have received an environmental
site assessment report prepared by a consultant reasonably acceptable to the
Administrative Agent (or, if the Administrative Agent deems sufficient in lieu
thereof a questionnaire completed by a Responsible Officer of the Borrower) in
a form and scope reasonably satisfactory to the Administrative Agent, that
demonstrates, to the sole satisfaction of the Administrative Agent, the absence
of any event or condition that could give rise to liability under Environmental
Laws that would, individually or in the aggregate, reasonably be expected to
have a Material Adverse Effect.

Section 3.2   Additional
Conditions Precedent To Each Loan . The obligation of each Lender on the
Closing Date to make any Loan is additionally subject to the satisfaction of
all of the following
conditions precedent:

(a)           Request
For Borrowing. With respect to any Loan, the Administrative Agent shall
have received a duly executed Notice of Borrowing.

(b)           Representations
and Warranties; No Defaults. The following statements shall be true on the
date of such Loan or issuance, both before and after giving effect thereto and,
in the case of such Loan, to the application of the proceeds therefrom:

(i)            The
representations and warranties set forth in Article IV and in the other
Loan Documents shall be true and correct on and as of the Closing Date and
shall be true and correct in all material respects on and as of any such date after
the Closing Date with the same effect as though made on and as of such date
(or, to the extent such representations and warranties expressly relate to an
earlier date, on and as of such earlier date); and

(ii)           No
Default or Event of Default shall have occurred and be continuing.

(c)           No
Legal Impediments. The making of the Loans on such date does not violate
any Requirements of Law on the date of or immediately following such Loan and
is not enjoined, temporarily, preliminarily or permanently.

ARTICLE IV

REPRESENTATIONS AND WARRANTIES

To induce the Administrative Agent and the Lenders to
enter into this Agreement and to make the Loans, each of Holdings and the
Borrower hereby jointly and severally represents and warrants to the
Administrative Agent and each Lender that, on and as of the Closing Date, after
giving effect to the Recapitalization and the making of the Loans and other
financial accommodations on the Closing Date and on and as of each date as
required by Section 3.2(b) (i):

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Section 4.1   Financial
Condition. The audited balance sheet of the Borrower and its consolidated
Subsidiaries as at December 31, 2005, and the related audited statement of
income for the Fiscal Year
ended December 31, 2005, reported on by and accompanied by an unqualified
report from BDO Seidman LLP, copies of which have been furnished to each
Lender, present fairly in all material respects the financial condition of the
Borrower and its consolidated Subsidiaries as at such date, and the results of
its operations for the Fiscal Year then ended. The unaudited balance sheet of
the Borrower and its consolidated Subsidiaries as at March 31, 2006, and
the related unaudited statement of income for the three-month period ended on
such date, copies of which have been furnished to each Lender, present fairly
in all material respects the financial condition of the Borrower and its
consolidated Subsidiaries as at such date, and the results of its operations
for the three-month period then ended (subject to normal year-end audit
adjustments). All such Financial Statements delivered in accordance with this Section 4.1,
including the related schedules and notes thereto, have been prepared in
accordance with GAAP applied consistently throughout the periods involved
(except as approved by the aforementioned firm of accountants and disclosed
therein). As of the Closing Date, none of Holdings, the Borrower or any of
their respective Subsidiaries has any material Guaranty Obligations (other than
guarantees by Holdings and the Subsidiary Guarantors under the First Lien
Credit Agreement and the Senior Subordinated Notes Indenture), contingent
liabilities and liabilities for taxes, or any long-term leases or unusual
forward or long-term commitments, including any interest rate or foreign
currency swap or exchange transaction or other obligation in respect of
derivatives, that are not reflected in such March 31, 2006 financial
statements. Except for any Disposition that has been disclosed to the
Administrative Agent prior to the date hereof, during the period from December 31,
2005 to and including the date hereof there has been no Disposition by any of
Holdings, the Borrower or any of their respective Subsidiaries of any material
part of its business or property.

Section 4.2   No
Change. Since December 31, 2005, there has been no development or
event that has had or would reasonably be expected to have a Material Adverse
Effect.

Section 4.3   Corporate
Existence; Compliance with Law. Each of Holdings, the Borrower and its
Subsidiaries (a) is duly organized, validly existing and in good standing
under the laws of the
jurisdiction of its organization, (b) has the corporate power and
authority, and the legal right, to own and operate its property, to lease the
property it operates as lessee and to conduct the business in which it is
currently engaged, (c) is duly qualified as a foreign corporation and in
good standing under the laws of each jurisdiction where its ownership, lease or
operation of property or the conduct of its business requires such
qualification except to the extent the failure to so qualify could not, in the
aggregate, reasonably be expected to have a Material Adverse Effect, (d) is
in compliance with all Requirements of Law except to the extent that the
failure to comply therewith would not, in the aggregate, reasonably be expected
to have a Material Adverse Effect, (e) is in compliance with its Constituent
Documents and (f) has all necessary Permits from or by, has made all
necessary filings with, and has given all necessary notices to, each
Governmental Authority having jurisdiction, to the extent required for such
ownership, operation, lease and conduct, except for Permits, filings or notices
the failure to obtain or make would not, in the aggregate, reasonably be
expected to have a Material Adverse Effect.

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Section 4.4   Corporate
Power; Authorization; Enforceable Obligations. Each Loan Party has the
corporate power and authority, and the legal right, to make, deliver and perform
under the Loan Documents
to which it is a party and, in the case of the Borrower, to obtain extensions
of credit hereunder. Each Loan Party has taken all necessary corporate action
to authorize the execution, delivery and performance of the Loan Documents to
which it is a party and, in the case of the Borrower, to authorize the
extensions of credit on the terms and conditions of this Agreement. No consent
or authorization of, filing with, notice to or other act by or in respect of,
any Governmental Authority or any other Person is required in connection with
the extensions of credit hereunder or with the execution, delivery,
performance, validity or enforceability of this Agreement or any of the Loan
Documents, except (a) consents, authorizations, filings and notices which
have been obtained or made and are in full force and effect and (b) the
filings referred to in Section 4.19. Each Loan Document has been
duly executed and delivered on behalf of each Loan Party a party thereto. This
Agreement constitutes, and each other Loan Document upon execution will
constitute, a legal, valid and binding obligation of each Loan Party a party
thereto, enforceable against each such Loan Party in accordance with its terms,
except as enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting the enforcement of
creditors’ rights generally and by general equitable principles (whether enforcement
is sought by proceedings in equity or at law).

Section 4.5   No
Legal Bar. The execution, delivery and performance of this Agreement and
the other Loan Documents, the borrowings hereunder and the use of the proceeds thereof will not violate any Requirement
of Law or any Contractual Obligation of Holdings, the Borrower or any of its
Subsidiaries and will not result in, or require, the creation or imposition of
any Lien on any of their respective properties or revenues pursuant to any
Requirement of Law or any such Contractual Obligation (other than the Liens
created by the Collateral Documents and the First Lien Loan Documents). No
Requirement of Law or Contractual Obligation applicable to the Borrower or any
of its Subsidiaries would reasonably be expected to have a Material Adverse
Effect. No performance of a Contractual Obligation by the Borrower or any of
its Subsidiaries, either unconditionally or upon the happening of an event,
would result in the creation of a Lien (other than a Lien permitted under Section 6.3)
on the property or assets of any thereof.

Section 4.6   Litigation.
No litigation, investigation or proceeding of or before any arbitrator or
Governmental Authority is pending or, to the best knowledge of Holdings or the Borrower, threatened by or against
Holdings, the Borrower or any of its Subsidiaries or against any of their
respective properties or revenues (a) with respect to any of the Loan
Documents or any of the transactions contemplated hereby or thereby, or (b) that
would reasonably be expected to have a Material Adverse Effect.

Section 4.7   No
Default. Neither Holdings, the Borrower nor any of its Subsidiaries is in
default under or with respect to any of its Contractual Obligations in any
respect that would reasonably be
expected to have a Material Adverse Effect. No Default or Event of Default has
occurred and is continuing.

 54
 

 

Section 4.8   Ownership
of Property; Liens.

(a)           Each
of Holdings, the Borrower and its Subsidiaries has title in fee simple to, or a
valid leasehold interest in, all real property, and good title to, or a valid
leasehold interest in, all other property, purported to be owned by it,
including those reflected in the most recent Financial Statements delivered
pursuant to Section 4.1 or Section 5.1 (except to the extent
the Disposition thereof is otherwise permitted under this Agreement and the
other Loan Documents), and none of such property is subject to any Lien except
as permitted by Section 6.3.

(b)           All
Permits required to have been issued or appropriate to enable all real property
owned or leased by the Borrower or any of its Subsidiaries to be lawfully occupied
and used for all of the purposes for which they are currently occupied and used
have been lawfully issued and are in full force and effect, other than those
that could not, in the aggregate, reasonably be expected to have a Material
Adverse Effect.

Section 4.9   Intellectual
Property. Holdings, the Borrower and each of its Subsidiaries owns, is
licensed to use all Intellectual Property necessary for the conduct of its business
as currently conducted. To
the best knowledge of Holdings or the Borrower, no material claim has been
asserted and is pending by any Person challenging or questioning the use of any
Intellectual Property or the validity or effectiveness of any Intellectual
Property, nor does Holdings or the Borrower know of any valid basis for any
such claim. To the best knowledge of Holdings or the Borrower, the use of
Intellectual Property by Holdings, the Borrower and its Subsidiaries does not
infringe on the rights of any Person in any material respect.

Section 4.10   Taxes.
Each of Holdings, the Borrower and each of its Subsidiaries has filed or caused
to be filed all federal, state and other material tax returns, reports and statements (collectively, “Tax Returns”)
that are required to be filed by the Borrower or any of its Tax Affiliates with
the appropriate Governmental Authorities in all jurisdictions in which such Tax
Returns are required to be filed; all such Tax Returns are true and correct in
all material respects; each of Holdings, the Borrower and each of its
Subsidiaries has paid, prior to the date on which any fine, penalty, interest,
late charge or loss may be added thereto for non-payment thereof, all taxes
shown to be due and payable on said returns or on any assessments made against
it or any of its property and all other taxes, fees or other charges imposed on
it or any of its property by or otherwise due and payable to any Governmental
Authority (other than any the amount or validity of which are currently being
contested in good faith by appropriate proceedings and with respect to which
reserves in conformity with GAAP have been provided on the books of Holdings,
the Borrower or its Subsidiaries, as the case may be); no tax Lien has been
filed; and, to the best knowledge of Holdings and the Borrower, no claim is
being asserted, with respect to any such tax, fee or other charge. To the best
knowledge of Holdings and the Borrower, as of the Closing Date, except as set
forth on Schedule 4.10, no Tax Return is under audit or examination by any
Governmental Authority and no notice of such an audit or examination or any
assertion of any claim for taxes has been given or made by any Governmental
Authority. Proper and accurate amounts have been withheld by the Borrower and
each of its Tax Affiliates from their respective employees for all periods in
full and complete compliance with the tax, social security and unemployment
withholding provisions of applicable 

 55
 

 

Requirements of Law and
such withholdings have been timely paid to the respective Governmental
Authorities.

Section 4.11   Federal
Regulations. No part of the proceeds of any Loans, and no other extensions
of credit hereunder, will be used for “buying” or “carrying”, or to extend
credit to others for the
purpose of purchasing or carrying, any “margin stock” within the respective
meanings of each of the quoted terms under Regulation U of the Federal Reserve
Board as now and from time to time hereafter in effect or for any purpose that
violates the provisions of the regulations of the Federal Reserve Board. If requested
by the Administrative Agent, the Borrower will furnish to the Administrative
Agent a statement to the foregoing effect in conformity with the requirements
of FR Form G-3 or FR Form U 1, as applicable, referred to in
Regulation U of the Federal Reserve Board.

Section 4.12   Labor
Matters. Except as would not, in the aggregate, reasonably be expected to
have a Material Adverse Effect: (a) there are (i) no strikes against
Holdings, the Borrower or any of
its Subsidiaries pending or, to the best knowledge of Holdings or the Borrower,
threatened or (ii) no other labor disputes, to the best knowledge of
Holdings or the Borrower, pending or threatened against Holdings, the Borrower
or its Subsidiaries; (b) hours worked by and payment made to employees of
Holdings, the Borrower and its Subsidiaries have not been in violation of the
Fair Labor Standards Act or any other applicable Requirement of Law dealing
with such matters; and (c) all payments due from Holdings, the Borrower or
any of its Subsidiaries on account of employee health and welfare insurance
have been paid or accrued as a liability on the books of Holdings, the Borrower
or the relevant Subsidiary.

Section 4.13   ERISA.
Neither a Reportable Event nor an “accumulated funding deficiency” (within the
meaning of Section 412 of the Code or Section 302 of
ERISA) has occurred during the five year
period prior to the date on which this representation is made or deemed made
with respect to any Single Employer Plan and to the best knowledge of the Borrower,
any Multiemployer Plan, and each Plan and to the best knowledge of the
Borrower, any Multiemployer Plan, has complied in all material respects with
the applicable provisions of ERISA and the Code. No termination of a Single
Employer Plan has occurred, and no Lien in favor of the PBGC or a Plan has
arisen, during such five-year period. The present value of all accrued benefits
under each Single Employer Plan (based on those assumptions used to fund such
Plans) did not, as of the last annual valuation date prior to the date on which
this representation is made or deemed made, exceed the value of the assets of
such Plan allocable to such accrued benefits by a material amount. Neither the
Borrower nor any ERISA Affiliate has had a complete or partial withdrawal from
any Multiemployer Plan that has resulted or could reasonably be expected to
result in a material liability under ERISA, and neither the Borrower nor any
ERISA Affiliate would become subject to any material liability under ERISA if
the  Borrower or any such ERISA Affiliate
were to withdraw completely from any or all Multiemployer Plans as of the
valuation date most closely preceding the date on which this representation is
made or deemed made. No Multiemployer Plan is in Reorganization or Insolvent.

Section 4.14   Investment
Company Act; Other Regulations. No Loan Party is an “investment company”,
or a company “controlled” by an “investment company”, within the 

 56
 

 

meaning of the Investment
Company Act of 1940, as amended. No Loan Party is subject to regulation under
any Requirements of Law (other than Regulation X of the Federal Reserve Board),
that limits its ability to incur Indebtedness.

Section 4.15   Ownership
of Borrower; Subsidiaries.

(a)           Holdings
has no direct Subsidiary other than the Borrower. The authorized capital stock
of the Borrower consists of 100 shares of common stock, $0.01 par value per
share, of which 100 shares are issued and outstanding. All of the outstanding
capital stock of the Borrower has been validly issued, is fully paid and
non-assessable and is owned beneficially and of record by Holdings, free and
clear of all Liens other than the Lien in favor of the Secured Parties (as
defined in the First Lien Credit Agreement) created by the First Lien Security
Agreement and in favor of the Secured Parties created by the Security
Agreement. There are no agreements or understandings to which the Borrower is a
party with respect to the voting, sale or transfer of any shares of Capital
Stock of the Borrower or any agreement restricting the transfer or hypothecation
of any such shares.

(b)           Except as disclosed to the
Administrative Agent and the Collateral Agent by the Borrower in writing from
time to time after the Closing Date, (i) Schedule 4.15 sets forth the name
and jurisdiction of incorporation of each Subsidiary of the Borrower and, as to
each such Subsidiary, the number of shares of each class of Capital Stock
authorized (if applicable), the number outstanding and the number and
percentage of each class of Capital Stock owned by any Loan Party or any Subsidiary
thereof and (ii) there are no outstanding subscriptions, options,
warrants, calls, rights or other agreements or commitments (other than stock
options granted to employees or directors and directors’ qualifying shares) of
any nature relating to any Capital Stock of the Borrower or any Subsidiary of
the Borrower, except as created by the Loan Documents and the First Lien Loan
Documents. All of the outstanding Capital Stock of each Subsidiary of the
Borrower has been validly issued, is fully paid and non-assessable and is owned
by the Borrower or a Subsidiary of the Borrower, free and clear of all Liens
(other than the Lien in favor of the Secured Parties (as defined in the First
Lien Credit Agreement) created pursuant to the First Lien Security Agreement
and in favor of the Secured Parties created by the Security Agreement). Neither
the Borrower nor any Subsidiary of the Borrower is a party to, or has knowledge
of, any material agreement materially restricting the transfer or hypothecation
of any Stock of any such Subsidiary, other than the Loan Documents and the
First Lien Loan Documents. Neither Holdings, the Borrower nor any of its
Subsidiaries owns or holds, directly or indirectly, any Stock of any Person
other than such Subsidiaries and Investments permitted by Section 6.8.
Each Subsidiary of the Borrower is a Wholly Owned Subsidiary.

Section 4.16   Use
of Proceeds. The proceeds of the Loans shall be used to (a) upon
receipt, immediately prepay the remaining installments of the First Lien Term
Loans pro rata in inverse order
of maturity in an amount required pursuant to the terms of the First Lien
Credit Agreement and thereafter voluntarily prepay First Lien Loans in an
amount determined by 

 57
 

 

the Borrower in
accordance with the terms of the First Lien Credit Agreement, and (b) pay
related transaction costs, fees and expenses.

Section 4.17   Environmental
Matters. Except as would not, individually or in the aggregate, reasonably
be expected to have a Material Adverse Effect:

(a)           the facilities and properties owned,
leased or operated by Holdings, the Borrower or any of its Subsidiaries (the “Properties”)
do not contain, and have not previously contained, any Materials of
Environmental Concern in amounts or concentrations or under circumstances that
constitute or constituted a violation of, or could give rise to liability
under, any Environmental Laws;

(b)           neither Holdings, the Borrower nor
any of its Subsidiaries has received or is aware of any violation, notice of
violation, alleged violation, non-compliance, demand, claim, pending
investigation, allegation that may lead to a claim or demand, liability or
potential liability regarding environmental matters or compliance with
Environmental Laws with regard to any of the Properties or the business
operated by Holdings, the Borrower or any of its Subsidiaries (the “Operating
Business”), nor does Holdings or the Borrower have knowledge or reason to
believe that any such notice will be received or is being threatened;

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

(d)           no judicial proceeding or
governmental or administrative action is pending or, to the knowledge of
Holdings and the Borrower, threatened, under any Environmental Laws to which
Holdings, the Borrower or any Subsidiary is or will be named as a party with
respect to the Properties or the Operating Business, nor are there any consent
decrees or other decrees, consent orders, administrative orders or other
orders, or other administrative or judicial requirements outstanding under any
Environmental Laws with respect to the Properties or the Operating Business;

(e)           there has been no Release or threat
of Release of Materials of Environmental Concern at or from the Properties, or
arising from or related to the operations of Holdings, the Borrower or any
Subsidiary in connection with the Properties or otherwise in connection with
the Operating Business, in violation of or in amounts or in a manner that could
give rise to liability under Environmental Laws;

 58
 

 

(f)            the Properties and all operations at
the Properties are in compliance, and to the best knowledge of Holdings and the
Borrower in the last five years have been in compliance, with all applicable
Environmental Laws;

(g)           neither Holdings, the Borrower nor
any of its Subsidiaries has assumed any liability of any other Person under
Environmental Laws;

(h)           neither Holdings, the Borrower, nor
any of its Subsidiaries are currently obligated under any existing
Environmental Laws to incur any material capital expenditure within the period
of two years commencing on the Closing Date to maintain compliance with
Environmental Laws with respect to current operations; and

(i)            Holdings, the Borrower, and any
Subsidiaries, possess and are, and have always possessed and been, in material
compliance with the terms and conditions of all Permits, licenses and like
authorizations required by applicable Environmental Laws.

Section 4.18   Accuracy
of Information, Etc.

(a)           No
statement or information contained in:

(i)            this
Agreement, any other Loan Document, the Confidential Information Memorandum,
any material authorized by any Loan Party to be posted on Intralinks or
SyndTrak Online or any other document, certificate or statement prepared or
authorized to be furnished to the Lenders electing to receive such statement,
information, document, material or certificate by any Loan Party and furnished
by or on behalf of any Loan Party to the Lenders electing to receive such
statement, information, document, material or certificate, or any of them, for
use in connection with the transactions contemplated by this Agreement or the
other Loan Documents, contained as of the date such statement, information,
document, material or certificate was so furnished (or, in the case of the
Confidential Information Memorandum, as of the Closing Date);

(ii)           any
document, certificate or statement (as such document, certificate or statement
may have been updated from time to time prior to the Closing Date) furnished on
or prior to the Closing Date by or on behalf of any Loan Party to the
Administrative Agent for use in connection with the transactions contemplated
by this Agreement and the other Loan Documents, contained as of the date such
document, certificate or statement was so furnished (or so updated, as applicable);
or

(iii)          any
document, certificate or statement furnished after the Closing Date by or on
behalf of any Loan Party to the Administrative Agent for use in connection with
the transactions contemplated by this Agreement and the other 

 59
 

 

Loan Documents, contained, as of the date such document,
certificate or statement was so furnished;

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

(b)           The
Company has made available to each Lender electing to receive such document, a
copy of each Disclosure Document.

Section 4.19   Collateral
Documents.

(a)           The
Security Agreement is effective to create in favor of the Collateral Agent, for
the benefit of the Secured Parties, a legal, valid and enforceable Second
Priority security interest in the Collateral described therein and proceeds
thereof. In the case of the Pledged Stock described in the Security Agreement,
stock certificates representing such Pledged Stock having been delivered to the
First Lien Agent as agent for the Collateral Agent, and in the case of the
other Collateral described in the Security Agreement, financing statements and
other filings specified on Schedule 4.19(a) in appropriate form having
been filed in the offices specified on Schedule 4.19(a), the Security Agreement
constitutes a fully perfected Second Priority Lien on, and Second Priority
security interest in, all right, title and interest of the Loan Parties in such
Collateral and the proceeds thereof, as security for the Obligations.

(b)           The
Original Mortgage is effective to create in favor of the Collateral Agent, for
the benefit of the Secured Parties, a legal, valid and enforceable Second
Priority Lien on the Mortgaged Property described therein and proceeds thereof,
and when the Original Mortgage is filed in the office specified on Schedule
4.19(b), the Original Mortgage shall constitute a fully perfected Second
Priority Lien on, and Second Priority security interest in, all right, title
and interest of the Loan Parties in such Mortgaged Property and the proceeds
thereof, as security for the Obligations). The only real property in the United
States owned in fee simple by the Borrower or any of its Subsidiaries as of the
Closing Date that, as of such date, has a value, in the reasonable opinion of
the Borrower, in excess of $1,000,000 is the real property subject to the Lien
of the Original Mortgage.

 

 60

 

(c)           Each
Subsidiary of Holdings or the Borrower (other than any Excluded Foreign
Subsidiary) is a Wholly Owned Subsidiary Guarantor and a party to each of the
Security Agreement and the Guaranty.

Section 4.20   Solvency.
Each of (a) Holdings, together with the Borrower and the Subsidiary
Guarantors taken as a whole, and (b) the Borrower, together with the
Subsidiary Guarantors taken as a
whole, is, and after giving effect to the incurrence of all Indebtedness and
obligations (including the Loans being incurred in connection herewith and the
Recapitalization will be and will continue to be, Solvent.

Section 4.21   Regulation
H. No Mortgage encumbers improved real property that is located in an area
that has been identified by the Secretary of Housing and Urban Development as an area having special flood
hazards and in which flood insurance has been made available under the National
Flood Insurance Act of 1968.

Section 4.22   Proprietary
Rights. Either the Borrower or a Wholly Owned Subsidiary of the Borrower
owns all proprietary rights to any products (including without limitation sweetener products) with respect
to which the Borrower, Holdings, or any of their respective Subsidiaries has
made or incurred any expenditures, direct or indirect, including without
limitation overhead, or permitted their employees to devote any of their time
to developing, marketing, manufacturing, or distributing.

Section 4.23   Insurance.
All policies of insurance of any kind or nature of the Borrower or any of its
Subsidiaries, including policies of life, fire, theft, product liability,
public liability, property damage,
other casualty, employee fidelity, workers’ compensation and employee health
and welfare insurance, are in full force and effect and are of a nature and
provide such coverage as is sufficient and as is customarily carried by
businesses of the size and character of such Person. None of the Borrower or
any of its Subsidiaries has been refused insurance for any material coverage
for which it had applied or had any policy of insurance terminated (other than
at its request).

Section 4.24   Senior
Subordinated Debt Documents.

(a)           None
of the Senior Subordinated Debt Documents or Senior Subordinated Discount Debt
Documents has been amended or modified in any respect and no provision therein
has been waived, except in each case to the extent permitted by Section 6.15.

(b)           All
of the Obligations of the Borrower do and at all times will constitute “Senior
Indebtedness” of the Borrower, and all of the obligations of any Guarantor
under the Guaranty and the other Loan Documents to which such Guarantor is a
party do and at all times will constitute “Senior Indebtedness” of such
Guarantor, in each case, as applicable, under and as defined in each of the
Senior Subordinated Notes Indenture and the Senior Subordinated Discount Notes
Indenture.

(c)           The
Secured Obligations constitute the “Bank Indebtedness” and the “Designated
Senior Indebtedness” with respect to each Loan Party under and as defined 

 61
 

 

in each of the Senior Subordinated Notes Indenture and the
Senior Subordinated Discount Notes Indenture.

ARTICLE V

AFFIRMATIVE
COVENANTS

As long as any of the Obligations (other than
indemnity or reimbursement obligations not then payable) or the Commitments
remain outstanding, unless the Requisite Lenders otherwise consent in writing,
each of the Borrower and Holdings agrees with the Lenders and the
Administrative Agent that:

Section 5.1   Financial
Statements. Each of the Borrower and Holdings will, and will cause its
Subsidiaries to, furnish to the Administrative Agent, the Collateral Agent and
each Lender:

(a)           as
soon as available, but in any event within 90 days (or, upon the Borrower
becoming (or being required under the Senior Subordinated Notes Indenture or
the Senior Subordinated Discount Notes Indenture to file as if) an
SEC-reporting company under applicable securities laws, such other applicable
period as may be required for filing an Annual Report on Form 10-K
(or successor form)) after the end of each Fiscal Year of the Borrower, a copy
of the audited consolidated balance sheet of the Borrower and its consolidated
Subsidiaries as at the end of such year and the related audited consolidated
statements of income and of cash flows for such year, setting forth in each
case in comparative form the figures for the previous year, reported on without
a “going concern” or like qualification or exception, or qualification arising
out of the scope of the audit, by BDO Seidman LLP or other independent certified
public accountants of nationally recognized standing;

(b)           as
soon as available, but in any event not later than 45 days (or, upon the
Borrower becoming (or being required under the Senior Subordinated Notes
Indenture or the Senior Subordinated Discount Notes Indenture to file as if) an
SEC-reporting company under applicable securities laws, such other applicable
period as may be required for filing a Quarterly Report on Form 10-Q
(or successor form)) after the end of each of the first three Fiscal Quarters
of the Borrower, the unaudited consolidated balance sheet of the Borrower and
its consolidated Subsidiaries as at the end of such quarter and the related
unaudited consolidated statements of income and of cash flows for such quarter
and the portion of the Fiscal Year through the end of such Fiscal Quarter,
setting forth in each case in comparative form the figures for the previous
year, certified by a Responsible Officer as being fairly stated in all material
respects (subject to normal year end audit adjustments); and

(c)           as
soon as available, but in any event not later than 45 days after the end of
each month occurring during each Fiscal Year of the Borrower (other than the
third, 

 62
 

 

sixth, ninth and twelfth such month), the unaudited
consolidated balance sheets of the Borrower and its Subsidiaries as at the end
of such month and the related unaudited consolidated statements of income and
of cash flows for such month and the portion of the Fiscal Year through the end
of such month, setting forth in each case in comparative form the figures for
the previous year, certified by a Responsible Officer as being fairly stated in
all material respects (subject to normal year-end audit adjustments).

All such Financial
Statements shall be complete and correct in all material respects and shall be
prepared in reasonable detail and in accordance with GAAP applied consistently
throughout the periods reflected therein and with prior periods (except as
approved by such accountants or officer, as the case may be, and disclosed
therein).

Section 5.2   Certificates;
Other Information. Each of the Borrower and Holdings will, and will cause
its Subsidiaries to, furnish to the Administrative Agent, the Collateral Agent and each Lender:

(a)           Auditor
Certificate. Concurrently with the delivery of the Financial Statements
referred to in Section 5.1(a), a certificate of the independent
certified public accountants reporting on such Financial Statements stating
that in making the examination necessary therefor no knowledge was obtained of
any Default or Event of Default, except as specified in such certificate;

(b)           Responsible
Officer Certificate; Compliance Certificate; Collateral Listing.
Concurrently with the delivery of any Financial Statements pursuant to Section 5.1:

(i)            a
certificate of a Responsible Officer stating that, to the best of such
Responsible Officer’s knowledge, each Loan Party during such period has
observed or performed all of its covenants and other agreements, and satisfied
every condition, contained in this Agreement and the other Loan Documents to
which it is a party to be observed, performed or satisfied by it, and that such
Responsible Officer has obtained no knowledge of any Default or Event of
Default except as specified in such certificate; or

(ii)           in
the case of Financial Statements delivered pursuant to Section 5.1(a) or
(b), a Compliance Certificate (x) containing the statements
specified in clause (i) above; (y) containing (and certifying as to) (A) all
information and calculations necessary for determining compliance by the
Borrower with each of the financial covenants contained in Section 6.1
as of the last day of the Fiscal Quarter or Fiscal Year of the Borrower and Section 6.7
for the Fiscal Year (or portion thereof) ending on such last day; and (B) to
the extent not previously disclosed to the Administrative Agent, a listing of
any county or state within the United States where any Loan Party keeps
inventory or equipment having a Fair Market Value of more than $5,000,000 and
of any Intellectual Property acquired by any Loan Party since the date of the
most recent list delivered pursuant to this clause (y) (or, in the case of
the first such list so delivered, since the Closing Date); 

 63
 

 

and (z) certifying that the Corporate Chart attached
thereto (or the last Corporate Chart delivered pursuant to this clause (z)) is
true, correct and complete as of such last day.

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

(d)           Financial
Condition Analysis. Within 45 days after the end of each Fiscal Quarter of
the Borrower, a narrative discussion and analysis of the financial condition
and results of operations of the Borrower and its Subsidiaries for such Fiscal
Quarter and for the period from the beginning of the then current Fiscal Year
to the end of such Fiscal Quarter, as compared to the portion of the
Projections covering such periods and to the comparable periods of the previous
year;

(e)           Reports.
Within five days after the same are sent, copies of all financial statements
and reports that Holdings or the Borrower sends to the holders or beneficial
owners of the Senior Subordinated Notes, Senior Subordinated Discount Notes or
any other class of its debt securities or public equity Securities and, within
five days after the same are filed, copies of all financial statements and
reports that Holdings or the Borrower may make to, or file with, the SEC;

(f)            Management
Letters. Within five Business Days after receipt thereof by any Loan Party,
copies of each final management letter, exception report or similar letter or
report received by such Loan Party from its independent certified public
accountants;

(g)           Asset
Sales. Prior to any Asset Sale anticipated to generate in excess of
$500,000 (or its Dollar Equivalent) in Net Cash Proceeds, a notice (a) describing
such Asset Sale or the nature and material terms and conditions of such
transaction and (b) stating the estimated Net Cash Proceeds anticipated to
be received by the Borrower or any of its Subsidiaries;

(h)           Labor
Relations. Promptly after becoming aware of the same, written notice of (i) any
material labor dispute to which the Borrower or any of its Subsidiaries is or
may become a party, including any strikes, lockouts or other disputes relating
to any of such Person’s plants and other facilities, and (ii) any Worker
Adjustment and Retraining Notification Act or related liability incurred with
respect to the closing of any plant or 

 64
 

 

other facility of any of such Person that would reasonably be
expected to have a Material Adverse Effect;

(i)            Tax
Returns. Upon the written request of the Administrative Agent, copies of
all Tax Returns filed by the Borrower or any of its Subsidiaries in respect of
taxes measured by income (excluding sales, use and like taxes);

(j)            Insurance.
As soon as is practicable following the written request of the Administrative
Agent and in any event within 90 days after the end of each Fiscal Year, (i) a
report in form and substance reasonably satisfactory to the Administrative
Agent and the Lenders outlining all material insurance coverage maintained as
of the date of such report by the Borrower and its Subsidiaries and the
duration of such coverage and (ii) an insurance broker’s statement that
all premiums then due and payable with respect to such coverage have been paid
and confirming that the Collateral Agent has been named as loss payee or
additional insured, as applicable;

(k)           Environmental
Matters. Promptly and in any event within 10 days of the Borrower or any
Subsidiary learning of any of the following, written notice of Environmental
Liabilities and Cost, or that there exists a condition which could reasonably
be expected to result in Environmental Liabilities and Cost, that would, in the
aggregate, reasonably be expected to have a Material Adverse Effect;

(l)            Permitted
Indebtedness. Prior to the issuance thereof, copies of all material
documents pursuant to which any Permitted Additional Secured Indebtedness or
Permitted PIK Notes are to be issued (other than such documents that
customarily would be, and are, subject to applicable confidentiality
restrictions); and

(m)          Additional
Information. Promptly, such additional financial and other information as
the Administrative Agent, the Collateral Agent or any Lender may from time to
time reasonably request.

Section 5.3   Payment
of Obligations And Taxes. Each of the Borrower and Holdings will, and will
cause each of its Subsidiaries to, pay, discharge or otherwise satisfy at or
before maturity or
before they become delinquent, as the case may be, all its material obligations
of whatever nature, except where the amount or validity thereof is currently
being contested in good faith by appropriate proceedings and reserves in
conformity with GAAP with respect thereto have been provided on the books of
Holdings, the Borrower or its Subsidiaries, as the case may be. The Borrower
shall, and shall cause each of its Subsidiaries to, pay and discharge before
the same shall become delinquent, all lawful governmental claims, taxes,
assessments, charges and levies, except where contested in good faith, by
proper proceedings and adequate reserves therefor have been established on the
books of the Borrower or the appropriate Subsidiary in conformity with GAAP and
except to the extent the failure to do so would not, in the aggregate, be reasonably
expected to have a Material Adverse Effect.

Section 5.4   Maintenance
of Existence; Compliance. Each of the Borrower and Holdings will, and will
cause each of its Subsidiaries to:

 65
 

 

(a)          
(i) preserve, renew and keep in full force and effect its corporate
existence and (ii) take all reasonable action to maintain all rights,
privileges and franchises necessary or desirable in the normal conduct of its
business, except, in each case, as otherwise permitted by Section 6.4
and except, in the case of clause (ii) above, to the extent that failure
to do so would not, in the aggregate, reasonably be expected to have a Material
Adverse Effect; and

(b)           comply
with all Contractual Obligations, Requirements of Law and Permits except to the
extent that failure to comply therewith could not, in the aggregate, reasonably
be expected to have a Material Adverse Effect.

Section 5.5   Maintenance
of Property; Insurance. Each of the Borrower and Holdings will, and will
cause each of its Subsidiaries to, (a) (i) keep all property useful
and necessary in its
business in good working order and condition, ordinary wear and tear excepted,
and (ii) maintain and preserve all registered patents, trademarks, trade
names, copyrights and service marks with respect to its business, except where
the failure to so maintain and preserve would not, in the aggregate, reasonably
be expected to have a Material Adverse Effect, and (b) (i) maintain
with financially sound and reputable insurance companies insurance on all its
property in at least such amounts and against at least such risks (but
including in any event public liability, product liability and business
interruption) as are usually insured against in the same general area by
companies engaged in the same or a similar business, and (ii) cause all
such insurance to name the Collateral Agent on behalf of the Secured Parties as
additional insured or loss payee, as appropriate, and to provide that no
cancellation, material diminution in amount of coverage or other material
change in coverage shall be effective until after 30 days’ written notice
thereof to the Collateral Agent.

Section 5.6   Inspection
of Property; Books And Records; Discussions. Each of the Borrower and
Holdings will, and will cause each of its Subsidiaries to, (a) keep proper
books of records and
account in which full, true and correct entries in conformity with GAAP and all
Requirements of Law shall be made of all dealings and transactions in relation
to its business and activities and (b) permit representatives of any
Lender, at their own expense, to visit and inspect any of its properties and
examine and make abstracts from any of its books and records at any reasonable
time during regular business hours and as often as may reasonably be desired
and to discuss the business, operations, properties and financial and other
condition of Holdings, the Borrower and its Subsidiaries with officers and
employees of Holdings, the Borrower and its Subsidiaries and with its
independent certified public accountants.

Section 5.7   Notices.
Each of the Borrower and Holdings will, and will cause each of its Subsidiaries
to, promptly give notice to the Administrative Agent and each Lender of:

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

(b)           any
(i) default or event of default under any Contractual Obligation of
Holdings, the Borrower or any of its Subsidiaries or (ii) litigation,
investigation or proceeding that may exist at any time between Holdings, the
Borrower or any of its Subsidiaries and any Governmental Authority, that in
either case, if not cured or if 

 66
 

 

adversely determined, as the case may be, would reasonably be
expected to have a Material Adverse Effect;

(c)           any
litigation or proceeding to which Holdings, the Borrower or any of its
Subsidiaries is a party (i) in which the claim against such Person or Persons
is $2,500,000 or more and not covered by insurance, (ii) in which injunctive
or similar relief is sought against such Person or Persons or (iii) which
relates to any Loan Document;

(d)           the
following events, as soon as possible and in any event within 30 days after the
Borrower knows thereof: (i) the occurrence of any Reportable Event with
respect to any Plan or Multiemployer Plan, a failure to make any required
contribution to a Plan or Multiemployer Plan, the creation of any Lien in favor
of the PBGC or a Plan or Multiemployer Plan or any withdrawal therefrom, or the
termination, Reorganization or Insolvency of, any Single Employer Plan or
Multiemployer Plan or (ii) the institution of proceedings or the taking of
any other action by the PBGC or the Borrower or any ERISA Affiliate or any Multiemployer
Plan with respect to the withdrawal from, or the termination, Reorganization or
Insolvency of, any Single Employer Plan or Multiemployer Plan;

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

(f)            the
occurrence or existence of any “Default” or “Event of Default” under the Senior
Subordinated Debt Indenture or the Senior Subordinated Discount Notes
Indenture; and

(g)           the
audit or examination of any Tax Return by any Governmental Authority, the
receipt by any Loan Party of notice of any such audit or examination or the
assertion of any claim for taxes against any Loan Party by any Governmental
Authority.

Each notice pursuant to
this Section 5.7 shall be accompanied by a statement of a Responsible
Officer setting forth details of the occurrence referred to therein and stating
what action Holdings, the Borrower or the relevant Subsidiary proposes to take
with respect thereto.

Section 5.8   Environmental
Laws. Each of the Borrower and Holdings will, and will cause each of its
Subsidiaries to:

(a)           comply
in all material respects with, and ensure compliance in all material respects
by all tenants and subtenants, if any, with, all applicable Environmental Laws,
and obtain and comply in all material respects with and maintain, and ensure
that all tenants and subtenants obtain and comply in all material respects with
and maintain, any and all licenses, approvals, notifications, registrations or
Permits required by applicable Environmental Laws.

(b)           conduct
and complete all investigations, studies, sampling and testing, and all
remedial, removal and other actions required under Environmental Laws and
promptly 

 67
 

 

comply in all material respects with all lawful orders and
directives of all Governmental Authorities regarding Environmental Laws.

Section 5.9   Additional
Collateral and Guaranties; Further Assurances. Each of the Borrower and
Holdings will, and will cause each of its Subsidiaries to:

(a)           with
respect to any property acquired after the Closing Date by Holdings, the
Borrower or any of its Subsidiaries (other than (x) any property described
in paragraph (b), (c) or (d) below, (y) any property subject to
a Lien expressly permitted by Section 6.3(f) and (z) property
acquired by any Excluded Foreign Subsidiary) as to which the Collateral Agent,
for the benefit of the Secured Parties, does not have a perfected Lien,
promptly (i) execute and deliver to the Collateral Agent such amendments
to the Security Agreement or such other documents as the Collateral Agent deems
necessary or advisable to grant to the Collateral Agent, for the benefit of the
Secured Parties, a Second Priority security interest in such property and (ii) take
all actions necessary or advisable to grant to the Collateral Agent, for the
benefit of the Secured Parties, a perfected Second Priority security interest
in such property, including the filing of Uniform Commercial Code financing
statements in such jurisdictions as may be required by the Security Agreement
or by law or as may be requested by the Collateral Agent;

(b)           with
respect to any fee interest in any real property having a value (together with
improvements thereof) of at least $1,000,000 acquired after the Closing Date by
Holdings, the Borrower or any of its Subsidiaries (other than (y) any such
real property subject to a Lien expressly permitted by Section 6.3(f) and
(z) real property acquired by any Excluded Foreign Subsidiary), promptly (i) execute
and deliver a Second Priority Mortgage, in favor of the Collateral Agent, for
the benefit of the Secured Parties, covering such real property, (ii) if
requested by the Collateral Agent or the Requisite Lenders, provide the Lenders
with (x) title and extended coverage insurance covering such real property
in an amount at least equal to the purchase price of such real property (or
such other amount as shall be reasonably specified by the Collateral Agent) as
well as a current ALTA survey thereof, together with a surveyor’s certificate
and (y) any consents or estoppels reasonably deemed necessary or advisable
by the Collateral Agent in connection with such Mortgage, each of the foregoing
in form and substance reasonably satisfactory to the Collateral Agent and (iii) if
requested by the Collateral Agent or the Requisite Lenders, deliver to the
Collateral Agent legal opinions relating to the matters described above, which
opinions shall be in form and substance, and from counsel, reasonably
satisfactory to the Collateral Agent;

(c)           with
respect to any new Subsidiary (other than an Excluded Foreign Subsidiary)
created or acquired after the Closing Date by Holdings, the Borrower or any of
its Subsidiaries (which, for the purposes of this paragraph (c), shall include
any existing Subsidiary that ceases to be an Excluded Foreign Subsidiary),
promptly (i) execute and deliver to the Collateral Agent such amendments
to the Security Agreement as the Collateral Agent deems necessary or advisable
to grant to the Collateral Agent, for the benefit of the Lenders, a perfected
Second Priority security interest in the Capital Stock and any Indebtedness of
such new Subsidiary that is owned by Holdings, 

 68
 

 

the Borrower or any of its Subsidiaries, including, without
limitation, a joinder agreement substantially in the form of Annex 4 of the
Security Agreement, (ii) deliver to the First Lien Agent as bailee for the
Collateral Agent, or to the Collateral Agent, the certificates representing
such Capital Stock and any Indebtedness, together with undated stock or board
powers, in blank, executed and delivered by a duly authorized officer of
Holdings, the Borrower or such Subsidiary, as the case may be, as Pledged Stock
or Pledged Notes, as applicable, under the First Lien Security Agreement, or
the Security Agreement, as applicable, (iii) cause such new Subsidiary (A) to
become a party to the Security Agreement and the Guaranty, (B) to take
such actions necessary or advisable to grant to the Collateral Agent for the
benefit of the Secured Parties a perfected Second Priority security interest in
the Collateral described in the Security Agreement with respect to such new
Subsidiary, including the filing of Uniform Commercial Code financing
statements in such jurisdictions as may be required by the Security Agreement or
by law or as may be requested by the Collateral Agent and (C) to deliver
to the Collateral Agent a certificate of such Subsidiary, substantially in the
form of Exhibit I, with appropriate insertions and attachments, and (iv) if
requested by the Collateral Agent, deliver to the Collateral Agent legal
opinions relating to the matters described above, which opinions shall be in
form and substance, and from counsel, reasonably satisfactory to the Collateral
Agent;

(d)           with
respect to any new First-Tier Excluded Foreign Subsidiary created or acquired
after the Closing Date by Holdings, the Borrower or any of its Subsidiaries
(which, for the purposes of this paragraph (d), shall include any existing
Subsidiary that becomes a First-Tier Excluded Foreign Subsidiary), promptly (i) execute
and deliver to the Collateral Agent such amendments to the Security Agreement
as the Collateral Agent deems necessary or advisable to grant to the Collateral
Agent, for the benefit of the Secured Parties, a perfected Second Priority
security interest in the Capital Stock and any Indebtedness of such First-Tier
Excluded Foreign Subsidiary that is owned by Holdings, the Borrower or any of
its Subsidiaries (provided that in no event shall more than 65% of the
total outstanding Capital Stock of any such new First-Tier Excluded Foreign
Subsidiary be required to be so pledged unless tax laws change to permit an increased
percentage without adverse tax consequences to the Borrower), (ii) deliver
to the First Lien Agent as bailee for the Collateral Agent, or to the
Collateral Agent, the certificates representing such Capital Stock and
Indebtedness, together with undated stock or board powers, in blank, executed
and delivered by a duly authorized officer of Holdings, the Borrower or such
First-Tier Excluded Foreign Subsidiary, as the case may be, as Pledged Stock or
Pledged Notes, as applicable, under the First Lien Security Agreement or the
Security Agreement, as applicable, (iii) take such other action as may be
necessary or, in the opinion of the Collateral Agent, desirable to perfect the
Collateral Agent’s Second Priority security interest therein, and (iv) if
requested by the Collateral Agent, deliver to the Collateral Agent legal
opinions relating to the matters described above, which opinions shall be in
form and substance, and from counsel, reasonably satisfactory to the Collateral
Agent;

(e)           promptly
upon request by the Administrative Agent or the Collateral Agent, as the case
may be, (a) correct any material defect or error that may be discovered 

 69
 

 

in any Loan Document or in the execution, acknowledgment,
filing or recordation thereof, and (b) do, execute, acknowledge, deliver,
record, re-record, file, and re-file, any and all such further acts,
certificates, assurances and other instruments as the Administrative Agent may
reasonably require from time to time in order to (i) carry out more
effectively the purposes of the Loan Documents, (ii) to the fullest extent
permitted by applicable law, subject any Loan Party’s or any of its Subsidiaries’
properties, assets, rights or interests to the Liens now or hereafter intended
to be covered by any of the Collateral Documents, (iii) perfect and
maintain the validity, effectiveness and priority of any of the Collateral
Documents and any of the Liens intended to be created thereunder and (iv) assure,
grant, preserve, protect and confirm unto the Secured Parties the rights
granted or now or hereafter intended to be granted to the Secured Parties under
any Loan Document or under any other instrument executed in connection with any
Loan Document to which any Loan Party or any of its Subsidiaries is or is to be
a party, and cause each of its Subsidiaries to do so; and

(f)            without
limiting the foregoing, to the extent Holdings, the Borrower or any of its Subsidiaries
provide any additional guarantees of, or security (or additional agreements
relating to security) for the benefit of, the First Lien Lenders pursuant to
any First  Lien Credit Agreement (or
related First Lien Loan Documents), the Borrower shall promptly notify the
Collateral Agent thereof and shall take such actions (reasonably concurrently,
with the actions being taken with respect to the First Lien Loan Documents) to
provide substantially the same guarantees, security and/or agreements (on a Second
Priority Lien basis) for the benefit of the Lenders (all of which shall be
subject to terms of the Intercreditor Agreement).

Section 5.10   Liens
Securing Excluded Foreign Subsidiary Indebtedness. Each of the Borrower and
Holdings will, and will cause each of its Subsidiaries to, within 60 days after
the date any
Indebtedness of an Excluded Foreign Subsidiary is incurred pursuant to Section 6.2(b)(iii),
cause such Excluded Foreign Subsidiary to create a Lien on substantially all of
its assets to secure such Indebtedness except to the extent that the Borrower,
in consultation with the Administrative Agent, determines that the creation of
such Lien would (a) result in adverse tax consequences to the Borrower or
such Excluded Foreign Subsidiary, (b) be prohibited by or impracticable
under the laws of the relevant jurisdiction or (c) result in costs and
expenses to the Borrower and/or such Excluded Foreign Subsidiary that are
excessive in relation to the value of the collateral security that would be
created thereby.

Section 5.11   Application
of Proceeds. Each of the Borrower and Holdings will, and will cause each of
its Subsidiaries to, use the entire amount of the proceeds of the Loans as provided in Section 4.16.

Section 5.12   Corporate
Restructuring. The Borrower shall use diligent efforts to undertake such
corporate actions, including, without limitation, the consolidation or dissolution
of intermediary Foreign
Subsidiaries as may be necessary and prudent to result in all of the Capital
Stock of Swissco 2 being owned directly by a Loan Party. To the extent that,
and only for so long as, Swissco 2’s payment of dividends to the Borrower would
be (a) adverse to the Borrower’s business, property, operations or
condition (financial or otherwise), (b) not permitted 

 70
 

 

by applicable law or (c) subject
to any necessary corporate or governmental approvals that have not been
received and remain in effect, Swissco 2 may make loans to the Borrower
pursuant to the Swissco 2 Revolving Note in lieu of paying dividends.

ARTICLE VI

NEGATIVE
COVENANTS

As long as any of the Obligations (other than
indemnity or reimbursement obligations not then payable) or the Commitments
remain outstanding, unless the Requisite Lenders otherwise consent in writing,
each of the Borrower and Holdings agrees with the Lenders and the
Administrative Agent that:

Section 6.1   Financial
Condition Covenants.

(a)           Consolidated
First Lien Leverage Ratio. Each of the Borrower and Holdings will not, and
will not permit any of its Subsidiaries to, directly or indirectly, permit the
Consolidated First Lien Leverage Ratio for any four consecutive Fiscal Quarters
of the Borrower ending with any Fiscal Quarter set forth below to exceed the
ratio set forth below opposite such Fiscal Quarter.

	
  Quarter-End Date

  	
   

  	
  Consolidated First Lien Leverage Ratio

  	
   

  
	
  June 30,
  2006

  	
   

  	
  3.60x

  	
   

  
	
  September 30,
  2006

  	
   

  	
  3.60x

  	
   

  
	
  December 31,
  2006

  	
   

  	
  3.40x

  	
   

  
	
  March 31,
  2007

  	
   

  	
  3.40x

  	
   

  
	
  June 30,
  2007

  	
   

  	
  2.90x

  	
   

  
	
  September 30,
  2007

  	
   

  	
  2.90x

  	
   

  
	
  December 31,
  2007

  	
   

  	
  2.90x

  	
   

  
	
  March 31,
  2008

  	
   

  	
  2.90x

  	
   

  
	
  June 30,
  2008

  	
   

  	
  2.90x

  	
   

  
	
  September 30,
  2008

  	
   

  	
  2.90x

  	
   

  
	
  December 31,
  2008

  	
   

  	
  2.90x

  	
   

  
	
  March 31, 2009 and
  thereafter

  	
   

  	
  2.65x

  	
   

  

 

(b)           Consolidated
Senior Leverage Ratio. Each of the Borrower and Holdings will not, and will
not permit any of its Subsidiaries to, directly or indirectly, permit the
Consolidated Senior Leverage Ratio for any period of four consecutive Fiscal
Quarters of the Borrower ending with any Fiscal Quarter set forth below to
exceed the ratio set forth below opposite such Fiscal Quarter:

 71
 

 

 

	
  Quarter-End Date

  	
   

  	
  Consolidated Senior Leverage Ratio

  	
   

  
	
  June 30,
  2006

  	
   

  	
  6.25x

  	
   

  
	
  September 30,
  2006

  	
   

  	
  6.25x

  	
   

  
	
  December 31,
  2006

  	
   

  	
  5.50x

  	
   

  
	
  March 31,
  2007

  	
   

  	
  5.25x

  	
   

  
	
  June 30,
  2007

  	
   

  	
  5.25x

  	
   

  
	
  September 30,
  2007

  	
   

  	
  5.25x

  	
   

  
	
  December 31,
  2007

  	
   

  	
  5.25x

  	
   

  
	
  March 31,
  2008

  	
   

  	
  5.25x

  	
   

  
	
  June 30,
  2008

  	
   

  	
  5.00x

  	
   

  
	
  September 30,
  2008

  	
   

  	
  5.00x

  	
   

  
	
  December 31,
  2008

  	
   

  	
  5.00x

  	
   

  
	
  March 31, 2009 and
  thereafter

  	
   

  	
  4.75x

  	
   

  

 

(c)           Consolidated
Leverage Ratio. Each of the Borrower and Holdings will not, and will not
permit any of its Subsidiaries to, directly or indirectly, permit the Consolidated
Leverage Ratio as at the last day of any period of four consecutive Fiscal
Quarters of the Borrower ending with any Fiscal Quarter set forth below to
exceed the ratio set forth below opposite such Fiscal Quarter:

	
  Quarter-End Date

  	
   

  	
  Consolidated Leverage Ratio

  	
   

  
	
  June 30,
  2006

  	
   

  	
  10.00x

  	
   

  
	
  September 30,
  2006

  	
   

  	
  10.00x

  	
   

  
	
  December 31,
  2006

  	
   

  	
  10.00x

  	
   

  
	
  March 31,
  2007

  	
   

  	
  8.25x

  	
   

  
	
  June 30,
  2007

  	
   

  	
  8.25x

  	
   

  
	
  September 30,
  2007

  	
   

  	
  8.00x

  	
   

  
	
  December 31,
  2007

  	
   

  	
  8.00x

  	
   

  
	
  March 31,
  2008

  	
   

  	
  8.00x

  	
   

  
	
  June 30,
  2008

  	
   

  	
  7.75x

  	
   

  
	
  September 30,
  2008

  	
   

  	
  7.75x

  	
   

  
	
  December 31,
  2008

  	
   

  	
  7.50x

  	
   

  
	
  March 31, 2009 and
  thereafter

  	
   

  	
  7.50x

  	
   

  

 

(d)           Consolidated
Interest Coverage Ratio. Each of the Borrower and Holdings will not, and
will not permit any of its Subsidiaries to, directly or indirectly, permit the
Consolidated Interest Coverage Ratio for any period of four consecutive Fiscal
Quarters of the Borrower ending with any Fiscal Quarter set forth below to be
less than the ratio set forth below opposite such Fiscal Quarter:

	
  Quarter-End Date

  	
   

  	
  Consolidated Interest Coverage Ratio

  	
   

  
	
  June 30,
  2006

  	
   

  	
  0.90x

  	
   

  
	
  September 30,
  2006

  	
   

  	
  0.90x

  	
   

  
	
  December 31,
  2006

  	
   

  	
  0.90x

  	
   

  
	
  March 31,
  2007

  	
   

  	
  1.05x

  	
   

  
	
  June 30,
  2007

  	
   

  	
  1.05x

  	
   

  

 

 72
 

 

 

	
  Quarter-End Date

  	
   

  	
  Consolidated Interest Coverage Ratio

  	
   

  
	
  September 30,
  2007

  	
   

  	
  1.15x

  	
   

  
	
  December 31,
  2007

  	
   

  	
  1.15x

  	
   

  
	
  March 31,
  2008

  	
   

  	
  1.15x

  	
   

  
	
  June 30,
  2008

  	
   

  	
  1.15x

  	
   

  
	
  September 30,
  2008

  	
   

  	
  1.20x

  	
   

  
	
  December 31,
  2008

  	
   

  	
  1.20x

  	
   

  
	
  March 31, 2009 and
  thereafter

  	
   

  	
  1.25x

  	
   

  

 

(e)           Consolidated
Fixed Charge Coverage Ratio. Each of the Borrower and Holdings will not,
and will not permit any of its Subsidiaries to, directly or indirectly, permit
the Consolidated Fixed Charge Coverage Ratio for any period of four consecutive
Fiscal Quarters of the Borrower ending with any Fiscal Quarter set forth below
to be less than the ratio set forth below opposite such Fiscal Quarter:

	
  Quarter-End Date

  	
   

  	
  Consolidated Fixed Charge Coverage Ratio

  	
   

  
	
  June 30,
  2006

  	
   

  	
  0.55x

  	
   

  
	
  September 30,
  2006

  	
   

  	
  0.55x

  	
   

  
	
  December 31,
  2006

  	
   

  	
  0.55x

  	
   

  
	
  March 31,
  2007

  	
   

  	
  0.70x

  	
   

  
	
  June 30,
  2007

  	
   

  	
  0.70x

  	
   

  
	
  September 30,
  2007

  	
   

  	
  0.75x

  	
   

  
	
  December 31,
  2007

  	
   

  	
  0.75x

  	
   

  
	
  March 31,
  2008

  	
   

  	
  0.75x

  	
   

  
	
  June 30,
  2008

  	
   

  	
  0.75x

  	
   

  
	
  September 30,
  2008

  	
   

  	
  0.75x

  	
   

  
	
  December 31,
  2008

  	
   

  	
  0.75x

  	
   

  
	
  March 31, 2009 and
  thereafter

  	
   

  	
  0.75x

  	
   

  

 

Section 6.2   Indebtedness.
Each of the Borrower and Holdings will not, and will not permit any of its
Subsidiaries to, directly or indirectly, create, issue, incur, assume, become liable in respect of or suffer to
exist any Indebtedness, except:

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

(b)           Indebtedness
(i) of the Borrower to Swissco 2 from time to time in an aggregate
principal amount not to exceed $200,000,000, plus accrued interest thereon,
pursuant to the Swissco 2 Revolving Note, (ii) of Holdings to Borrower
permitted under Section 6.6(iii), (iii) of the Borrower to any
Wholly Owned Subsidiary Guarantor or of any Wholly Owned Subsidiary Guarantor
to the Borrower or any Wholly Owned Subsidiary Guarantor, (iv) of any
Excluded Foreign Subsidiary to any other Excluded Foreign Subsidiary or (v) of
any Excluded Foreign Subsidiary to the Borrower or any Subsidiary Guarantor provided,
however, that the Investment in the intercompany loan to such Excluded
Foreign Subsidiary pursuant to this subclause (b)(v) is permitted under Section 6.8(f)(iii) or
Section 6.8(j);

 73
 

 

(c)           Guaranty
Obligations incurred in the ordinary course of business by the Borrower or any
of its Subsidiaries of obligations of any Subsidiary; provided that the
amount of any such obligation guaranteed by the Borrower or any of its
Subsidiaries shall not exceed $2,000,000 in the aggregate for the Borrower and
all of its Subsidiaries;

(d)           Indebtedness
(other than the First Lien Loan Documents, Hedging Contracts, the Senior Subordinated
Notes or the Senior Subordinated Discount Notes) outstanding on the Closing
Date and listed on Schedule 6.2;

(e)           Indebtedness
(other than Indebtedness of (x) any Subsidiary of Holdings that directly
owns Capital Stock  in an Excluded
Foreign Subsidiary, and (y) Merisant Spain) (including, without
limitation, Capital Lease Obligations) secured by Liens permitted by Section 6.3(f) in
an aggregate principal amount not to exceed $3,000,000 at any one time
outstanding;

(f)            Indebtedness
pursuant to the First Lien Loan Documents, in an aggregate amount outstanding
not to exceed the Maximum First Lien Principal Amount (as defined in the
Intercreditor Agreement);

(g)           Interest
Rate Contracts in respect of Indebtedness that bears interest at a floating
rate, so long as such agreements are not entered into for speculative purposes
and are either (i) with a Lender as counterparty, (ii) a First Lien
Lender Counterparty or (iii) are unsecured;

(h)           Foreign
Overdraft Guarantees in an aggregate amount not to exceed $6,000,000 at any
time outstanding, provided that no such Guaranty Obligation shall be
outstanding for more than two Business Days after the date of incurrence
thereof;

(i)            in
addition to Indebtedness otherwise expressly permitted by this Section 6.2,
Indebtedness incurred by the Borrower or any of its Subsidiaries (other than (x) any
Subsidiary that directly owns Capital Stock 
in an Excluded Foreign Subsidiary, and (y) Merisant Spain) in an
aggregate amount not to exceed $10,000,000 at any one time outstanding;

(j)            Indebtedness
of the Borrower and the Subsidiary Guarantors consisting of the Senior
Subordinated Notes issued by the Borrower (and guaranteed by the Subsidiary
Guarantors) under the Senior Subordinated Notes Indenture;

(k)           Indebtedness
of Holdings consisting of the Senior Subordinated Discount Notes issued by
Holdings to the Senior Subordinated Discount Notes Indenture;

(l)            Indebtedness
(other than Indebtedness of (x) any Subsidiary of Holdings that directly
owns Capital Stock  in an Excluded
Foreign Subsidiary, and (y) Merisant Spain) of (i) the Borrower or
any Subsidiary of the Borrower assumed in connection with any acquisition of
the assets of any Person pursuant to an Investment permitted under Section 6.8(h) or
(ii) a Person that becomes a direct or indirect Wholly Owned Subsidiary as
a result of any acquisition pursuant to an Investment permitted under Section 6.8(h),
so 

 74
 

 

long as, in the case of clause (i) or (ii), such
Indebtedness existed immediately prior to such acquisition and was not created
in anticipation of such acquisition; provided, however, that the
aggregate amount of all such Indebtedness of the Borrower and its Subsidiaries
pursuant to this clause (l) does not exceed $40,000,000 outstanding at any
time; provided, further, that, in no event shall the aggregate
amount of all such Indebtedness of Merisant Netherlands pursuant to this clause
(l) exceed $2,000,000 outstanding at any time;

(m)          Guaranty
Obligations (i) by any Loan Party (other than any Subsidiary that directly
owns Capital Stock  in an Excluded
Foreign Subsidiary) of any Indebtedness of any Loan Party incurred pursuant to Section 6.2(i) and
(o) or (ii) by any Excluded Foreign Subsidiary of any Indebtedness of
any Excluded Foreign Subsidiary incurred pursuant to Section 6.2(f);

(n)           Permitted
PIK Notes;

(o)           Permitted
Additional Secured Indebtedness; and

(p)           any
refinancings, refundings, renewals or extensions of Indebtedness incurred
pursuant to Section 6.2 (d), (j), (k) and (l) (that does
not shorten the maturity of, or increase the principal amount of (other than to
include any accrued interest, premium or fee payable in connection with such
refinancing, refunding, renewal or extension), and that otherwise is on terms
no less favorable to the Borrower or such Subsidiary (taken as a whole) than,
the Indebtedness being refinanced, refunded, renewed or extended.

Section 6.3   Liens.
Each of the Borrower and Holdings will not, and will not permit any of its
Subsidiaries to, directly or indirectly, create, incur, assume or suffer to
exist any Lien upon any of its property,
whether now owned or hereafter acquired, or assign any right to receive income,
except for:

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

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

(c)           pledges
or deposits in connection with workers’ compensation, unemployment insurance
and other social security legislation;

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

 75
 

 

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

(f)            Liens
securing Indebtedness of the Borrower or any of its Subsidiaries incurred
pursuant to Section 6.2(e) to finance the acquisition of fixed
or capital assets, provided that (i) such Liens shall be created
substantially simultaneously with the acquisition of such fixed or capital
assets, (ii) such Liens do not at any time encumber any property other
than the property financed by such Indebtedness and (iii) the principal
amount of Indebtedness secured thereby is not increased after its initial
occurrence;

(g)           Liens
created pursuant to the Collateral Documents;

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

(i)            Liens
created pursuant to the First Lien Loan Documents;

(j)            Liens
that secure Indebtedness permitted under Section 6.2(l) in
connection with an acquisition pursuant to an Investment permitted under Section 6.8(h) so
long as such Liens (i) existed prior to such acquisition, (ii) encumber
specific fixed assets acquired by the Borrower or any Subsidiary of the Borrower,
or owned by a Person that becomes a Wholly Owned Subsidiary, pursuant to such
acquisition, (iii) were not created in contemplation of such acquisition
and (iv) do not encumber any property or assets other than such specific
fixed assets and improvements on or proceeds of such specific fixed assets;

(k)           Liens
in favor of depository and collection banks and other regulated financial
institutions consisting of statutory or contractual setoff rights with respect
to deposit accounts or securities accounts of the Borrower or any Subsidiary
thereof maintained with such bank or financial institution to secure payment of
customary maintenance fees or other administrative charges associated with such
accounts so long as such Liens do not secure Indebtedness and are incurred in
the ordinary course of business for amounts that are not overdue for a period
of more than 30 days or that are being contested in good faith by appropriate
proceedings;

(l)            an
escrow account with a nationally recognized financial institution designated by
the Borrower into which the Borrower or a Subsidiary of the Borrower may
deposit an amount up to $3,000,000 in connection with a termination agreement
entered into with H.J. Heinz Company for the purpose of reimbursing H.J. Heinz
Company for promotional allowances incurred in accordance with the distribution
agreements by and between Merisant US, Inc. and Heinz U.S.A., a division
of H.J. Heinz Company, for a period of time after the termination of such
distribution agreements not to 

 76
 

 

exceed ninety (90) days, except that up to $500,000 may be
retained in such escrow account for up to an additional forty-five (45) days;
and

(m)          Liens
securing Indebtedness of the Borrower or any of its Subsidiaries incurred
pursuant to Section 6.2(i) (in an aggregate amount not to
exceed $5,000,000 at any one time outstanding and which Liens shall rank junior
in priority to the Liens on the Collateral created under the Collateral
Documents) and Section 6.2(o).

Section 6.4   Fundamental
Changes. Each of the Borrower and Holdings will not, and will not permit
any of its Subsidiaries to, directly or indirectly, (a) enter into any
merger, consolidation or
amalgamation, or liquidate, wind up or dissolve itself (or suffer any liquidation
or dissolution), or Dispose of, all or substantially all of its property or
business, (b) acquire or create any Subsidiary unless, after giving effect
thereto, the Borrower and Holdings are in compliance with Section 5.9
and the Investment in such Subsidiary is permitted under Section 6.8,
or (c) change its capital
structure (including in the terms of its outstanding Stock) or otherwise amend
its Constituent Documents, except for changes and amendments (i) to
authorize issuance of Holdings Permitted Preferred Stock or (ii) which do
not materially affect the rights and privileges of the Borrower or any of its
Subsidiaries, or the interests of the Administrative Agent and the Lenders
under the Loan Documents or in the Collateral, except that:

(i)            any
Subsidiary of the Borrower may be merged or consolidated with or into (x) the
Borrower (provided that the Borrower shall be the continuing or
surviving corporation) or (y) any Wholly Owned Subsidiary Guarantor (provided
that the Wholly Owned Subsidiary Guarantor shall be the continuing or surviving
corporation);

(ii)           any
Subsidiary of the Borrower may Dispose of any or all of its assets (upon
voluntary liquidation or otherwise) to the Borrower or any Wholly Owned
Subsidiary Guarantor;

(iii)          Capital
Stock of any Excluded Foreign Subsidiary (other than a First-Tier Excluded
Subsidiary) may be transferred to the Borrower or any Wholly Owned Subsidiary;
and the Capital Stock of any Subsidiary of the Borrower may be transferred to
the Borrower or any Wholly Owned Subsidiary Guarantor;

(iv)          any
Excluded Foreign Subsidiary may be merged or consolidated with any other Wholly
Owned Excluded Foreign Subsidiary or Dispose of any or all of its assets (upon
voluntary liquidation or otherwise) to any other Wholly Owned Excluded Foreign
Subsidiary; and

(v)           any
Excluded Foreign Subsidiary may be merged or consolidated with a third party in
a Disposition permitted by Section 6.5(e).

Section 6.5   Disposition
of Property. Each of the Borrower and Holdings will not, and will not
permit any of its Subsidiaries to, directly or indirectly, Dispose of any of
its 

 77
 

 

property (including any
Capital Stock of the Borrower or any of its Subsidiaries), whether now owned or
hereafter acquired, or, in the case of any Subsidiary of Holdings or the
Borrower, issue or sell any shares of such Subsidiary’s Capital Stock
(including pursuant to any merger, consolidation, recapitalization or other
transaction) to any Person, except:

(a)           the
Disposition of obsolete or worn out property in the ordinary course of
business;

(b)           the
sale of inventory in the ordinary course of business, including, without
limitation, sales to Subsidiaries;

(c)           Dispositions
permitted by Section 6.4(ii), (iii), or (iv);

(d)           the
sale, transfer or issuance of any Capital Stock of any Subsidiary of the
Borrower to the Borrower or any Wholly Owned Subsidiary Guarantor as permitted
by Section 6.4(i), (ii) or (iii);

(e)           the
Disposition of other property (other than Capital Stock of the Borrower or any
Included Subsidiary) having a Fair Market Value not to exceed $20,000,000 in
the aggregate for all such Dispositions in any Fiscal Year; provided further
that, Dispositions related to the Borrower’s plan known as “Project Arrow” and
related restructuring, shall be permitted notwithstanding the foregoing
provisions of this clause (e); and

(f)            the
issue or sale by the Borrower of its Capital Stock (or capital contribution
with respect thereof) to Holdings.

Section 6.6   Restricted
Payments. Each of the Borrower and Holdings will not, and will not permit
any of its Subsidiaries to, directly or indirectly, (a) declare or pay any
dividend (other than
dividends payable solely in capital stock of the Person making such dividend)
on, make any payment on account of, or set apart assets for a sinking or other
analogous fund for, the purchase, redemption, defeasance, retirement or other
acquisition of, any Stock of Holdings, the Borrower or any Subsidiary, whether
now or hereafter outstanding, or make any other distribution in respect
thereof, either directly or indirectly, whether in cash or property or in obligations
of Holdings, the Borrower or any Subsidiary, or (b) make any payment or
prepayment of principal, premium (if any), interest, fees (including fees to
obtain any waiver or consent in connection with any Security) or other charges
on, or redemption, purchase, retirement, defeasance, sinking fund or similar
payment with respect to, any Indebtedness of Holdings, the Borrower or any of
its Subsidiaries other than (v) payments on account of the Obligations (as
defined in the First Lien Credit Agreement), (w) payments on account of
the Obligations, (x) any required payment, prepayment, redemption,
retirement, purchase or other payment, in each case to the extent required to
be made by the terms of such Indebtedness and permitted by such terms after
giving effect to any applicable subordination provisions, (y) any repayment
of Indebtedness, including any premium or fee payable as a result of such
repayment, so long as such repayment is effected solely with the proceeds of
Indebtedness incurred pursuant to Sections 6.2(n),(o) or (p) to refinance such repaid Indebtedness or an exchange
of such 

 78
 

 

Indebtedness with
Indebtedness incurred pursuant to Sections 6.2(n),(o) or (p)  and (z) any
repayment of Indebtedness secured by a Lien expressly permitted pursuant to Section 6.3(f) or (j) or on any
property Disposed of pursuant to Section 6.5(e) that
is effected with the proceeds of such Disposition (collectively, “Restricted
Payments”), except that:

(i)            any
Subsidiary of the Borrower may make Restricted Payments directly or indirectly
to the Borrower or any Wholly Owned Subsidiary Guarantor and any Subsidiary of
the Borrower which is not a Wholly Owned Subsidiary may pay dividends to its
shareholders generally so long as the Borrower or its respective Subsidiary
which owns the equity interest or interests in such Subsidiary paying such
dividends receives at least its proportionate share thereof;

(ii)           the
Borrower and Holdings may accrue
management fees expressly permitted by the last sentence of Section 6.9;
provided, that such accrued management fees shall not be payable or paid until
after the Loan Maturity Date;

(iii)          the
Borrower may pay dividends, or make Loans, to Holdings to permit Holdings to
pay:  (A) corporate overhead expenses incurred in the ordinary course
of business not to exceed $1,000,000 in any Fiscal Year; and (B) any taxes
that are due and payable by Holdings and the Borrower as part of a
consolidated, combined or unitary group, provided that such taxes are a
direct result of Holdings’ ownership of the Borrower; and provided
further that, notwithstanding anything to the contrary in this Section 6.6(iii) transfers
during Fiscal Year 2006 for the purposes set forth in clause (A) above may
be used (1) to pay corporate overhead expenses incurred and accrued during
Fiscal Year 2005 for printing fees for registration of the exchange offer for
Holdings’ Senior Subordinated Discount Notes, legal fees, audit fees, tax
advice, and printing fees, accounting fees and filing fees in connection with 10-Q
and 8-K filings, and (2) to pay corporate overhead expenses incurred
in the ordinary course of business in Fiscal Year 2006;

(iv)          any
Excluded Foreign Subsidiary may make Restricted Payments directly or indirectly
to any other Excluded Foreign Subsidiary;

(v)           Holdings,
the Borrower or any Subsidiary thereof may make Restricted Payments of
Indebtedness in any Fiscal Year in an aggregate amount not to exceed
$10,000,000;

(vi)          the
Borrower may repay up to an aggregate of $3,000,000 per year of the
Indebtedness under the Swissco 2 Revolving Note;

(vii)         Holdings
or the Borrower may, and make such Restricted Payments necessary to, (A) exchange
for or (B) refinance, refund, repay, satisfy or defease with the Net Cash
Proceeds of, an Equity Issuance of its Capital Stock (other than Disqualified
Capital Stock), the Senior Subordinated Notes or Senior Subordinated Discount
Notes in an amount not to exceed the amount of Net Cash Proceeds of such Equity
Issuance offered to (and declined by) the Lenders  and 

 79
 

 

the Lenders (as defined in the First Lien Credit Agreement)
for the repayment of Indebtedness outstanding under the Loan Documents and the
First Lien Loan Documents, respectively, provided that any such Capital
Stock not consisting of common stock shall be Holdings Permitted Preferred
Stock;

(viii)        Holdings or the Borrower may, and make such Restricted
Payments necessary to, (A) exchange Permitted PIK Notes for Senior
Subordinated Notes or Senior Subordinated Discount Notes or (B) refinance,
refund, repay, satisfy or defease Senior Subordinated Notes or Senior
Subordinated Discount Notes with the Net Cash Proceeds from the incurrence of
Permitted PIK Notes; and

(ix)           the
Borrower may, and make such Restricted Payments necessary to, (A) exchange
Permitted Additional Secured Indebtedness for Senior Subordinated Notes or
Senior Subordinated Discount Notes or (B) refinance, refund, repay,
satisfy or defease Senior Subordinated Notes or Senior Subordinated Discount
Notes with the Net Cash Proceeds from the incurrence of Permitted Additional
Secured Indebtedness.

provided,
however, that the Restricted Payments described in clause (ii) (v),  (vi), (vii), (viii) or (ix) above
shall not be permitted if a Default or Event of Default shall have occurred and
be continuing at the date of declaration or payment thereof or would result
therefrom.

Section 6.7   Capital
Expenditures. (a) Each of the Borrower and Holdings will not, and will
not permit any of its Subsidiaries to, directly or indirectly, make or commit
to make any Capital
Expenditure, except Capital Expenditures of the Borrower and its Subsidiaries
in the ordinary course of business not exceeding $15,000,000 (or if the
Consolidated Senior Leverage Ratio, as reported by the Borrower for the most
recent Fiscal Quarter or Fiscal Year, as applicable, pursuant to Section 5.2(b) (ii),
is greater than 3.50x (the “Threshold Leverage Range”), $12,000,000) in any
Fiscal Year of the Borrower; provided, that (i) up to $3,000,000
(or if the Consolidated Senior Leverage Ratio of the Borrower is within the
Threshold Leverage Range, $2,500,000) of any such amount referred to above, if
not so expended in the Fiscal Year for which it is permitted, may be carried
over for expenditure in the next succeeding Fiscal Year and (ii) Capital
Expenditures made pursuant to this Section 6.7 during any Fiscal
Year shall be deemed made, first, in respect of amounts permitted for
such Fiscal Year as provided above and, second, in respect of amounts
carried over from the prior Fiscal Year pursuant to subclause (i) above;
and (b) additional Capital Expenditures not otherwise permitted under this
Section 6.7 not to exceed $10,000,000 (or if the Consolidated Senior
Leverage Ratio of the Borrower is within the Threshold Leverage Range,
$8,000,000) in the aggregate.

Section 6.8   Investments.
Each of the Borrower and Holdings will not, and will not permit any of its
Subsidiaries to, directly or indirectly, make any advance, loan, extension of credit (by way of guaranty or
otherwise) or capital contribution to, or purchase, or exchange assets for, or
otherwise acquire any Capital Stock, bonds, notes, debentures or other
Securities of, or any assets constituting a business unit of, or make any other
investment in, any Person (all of the foregoing, “Investments”) except:

 

 80

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

(b)           investments
in Cash Equivalents;

(c)           Guaranty
Obligations permitted by Section 6.2(c) and (h);

(d)           loans
and advances to employees of Holdings, the Borrower or any Subsidiary of the
Borrower in the ordinary course of business (including for travel,
entertainment and relocation expenses) that are not in violation of the
Sarbanes-Oxley Act in an aggregate amount for Holdings, the Borrower or any
Subsidiary of the Borrower not to exceed $1,500,000 at any one time
outstanding;

(e)           investments
in assets useful in the business of the Borrower and its Subsidiaries made by
the Borrower or any of its Subsidiaries with the proceeds of any Reinvestment
Deferred Amount;

(f)            intercompany
Investments by (i) Holdings, the Borrower or any of its Subsidiaries in
the Borrower or any Person that, prior to and immediately after such
Investment, is a Wholly Owned Subsidiary Guarantor; (ii) any Excluded
Foreign Subsidiary in any other Excluded Foreign Subsidiary; and (iii) the
Borrower or any Subsidiary Guarantor in any Excluded Foreign Subsidiary, provided,
however, that the aggregate outstanding amount of any Investments
pursuant to this subclause (f)(iii) shall not exceed $20,000,000 at any
one time outstanding;

(g)           any
Indebtedness permitted by Section 6.2(b);

(h)           in
addition to Investments otherwise expressly permitted by this Section,
Investments by the Borrower or any of its Subsidiaries in an aggregate amount
(valued at cost for any cash amount and the fair-market value of any asset
exchanged) not to exceed $12,500,000 per Fiscal Year and $37,500,000 in the
aggregate during the period beginning on the Closing Date and ending on the
Loan Maturity Date; provided, however, that in the case of any
acquisition pursuant to an Investment permitted under this Section 6.8(h),
the cost of such Investment shall include the amount of any Indebtedness permitted
under Section 6.2(l) that is assumed by the Borrower or any of
its Subsidiaries in connection with, or of any Person that becomes a Wholly
Owned Subsidiary as a result of, such acquisition;

(i)            loans
made by the Borrower to members of its senior management and evidenced by
promissory notes in an aggregate amount not exceeding the amount shown on Schedule 6.8
which is currently outstanding as of the Closing Date to the extent such loans
are not in violation of the Sarbanes-Oxley Act, provided that such
promissory notes shall have been and shall be delivered to the First Lien Agent
(as bailee for the Collateral Agent, or if the Obligations (as defined in the
First Lien Credit Agreement) have been terminated, to the Collateral Agent) to
be held in pledge for the benefit of the Secured Parties as Collateral under
the Security Agreement;

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(j)            Investments
existing on the Closing Date and disclosed on Schedule 6.8 by the
Borrower or any Subsidiary Guarantor in any Excluded Foreign Subsidiary;

(k)           Investments
by the Borrower or any Subsidiary thereof in the Stock of any Person that has
no equity owners immediately prior to such Investment and is a Wholly Owned
Subsidiary immediately after such Investment in an aggregate amount to exceed
$10,000 in the aggregate at any one time outstanding for all such Investments;
and

(l)            Investments
to the extent permitted by Section 6.6 (vii), (viii) and (ix) by
Holdings or the Borrower in the Senior Subordinated Notes or Senior
Subordinated Discount Notes in which such Senior Subordinated Notes or Senior
Subordinated Discount Notes, respectively, are simultaneously cancelled with,
and in the amount of, such Investment.

Section 6.9 Transactions
with Affiliates. Each of the Borrower and Holdings will not, and will not
permit any of its Subsidiaries to, directly or indirectly, enter into any transaction (including any
purchase, sale, lease, transfer, assignment, exchange or other disposition or
acquisition of property, any rendering of any service, any payment of any
management, advisory or similar fees, any merger or consolidation, any making
of an Investment or any repayment of any Indebtedness) with, or for the benefit
of, any Affiliate of the Borrower (other than Holdings, the Borrower or any
Wholly Owned Subsidiary Guarantor) unless such transaction is (a) otherwise
permitted under this Agreement, (b) in the ordinary course of business of
Holdings, the Borrower or such Subsidiary, as the case may be, and (c) upon
fair and reasonable terms no less favorable to Holdings, the Borrower or such
Subsidiary, as the case may be, than it would obtain in a comparable arm’s
length transaction with a Person that is not an Affiliate. Notwithstanding the
foregoing, the Borrower and its Subsidiaries may accrue fees and expenses owed
to the Sponsor and its Control Investment Affiliates and approved by the board
of directors of the Borrower in an aggregate amount not to exceed $1,500,000 in
any Fiscal Year of the Borrower.

Section 6.10 Sales
And Leasebacks. Each of the Borrower and Holdings will not, and will not
permit any of its Subsidiaries to, directly or indirectly, enter into any arrangement with any Person
providing for the leasing by Holdings, the Borrower or any Subsidiary of real
or personal property that has been or is to be sold or transferred by Holdings,
the Borrower or such Subsidiary to such Person or to any other Person to whom
funds have been or are to be advanced by such Person on the security of such
property or rental obligations of Holdings, the Borrower or such Subsidiary
unless (a) the sale or transfer is otherwise permitted under Section 6.5,
(b) the lease involved is permitted under Section 6.2, (c) any
related Lien is permitted under Section 6.3, and (d) any
Investment related thereto is permitted under Section 6.8.

Section 6.11 Changes
In Fiscal Periods. Each of the Borrower and Holdings will not, and will not
permit any of its Subsidiaries to, directly or indirectly, (a) permit the Fiscal Year of the Borrower
to end on a day other than December 31 or (b) change in any material
respect its accounting treatment and reporting practices or tax reporting
treatment, except as 

 82
 

required or permitted by GAAP or any Requirement of
Law and disclosed to the Administrative Agent.

Section 6.12 Negative
Pledge Clauses. Each of the Borrower and Holdings will not, and will not
permit any of its Subsidiaries or Joint Ventures to, directly or indirectly, enter into or suffer to
exist or become effective any agreement that prohibits or limits the ability of
the Borrower, Holdings or any of its Subsidiaries or Joint Ventures to create,
incur, assume or suffer to exist any Lien upon any of its property or revenues,
whether now owned or hereafter acquired, to secure its obligations under the
Loan Documents to which it is a party, including any agreement which requires
other Indebtedness or Contractual Obligation to be equally and ratably secured
with any Lien securing the Obligations, other than (a) the Loan Documents,
the First Lien Loan Documents and the documents of the Permitted Additional
Secured Indebtedness and (b) any agreements governing any purchase money
Liens or Capital Lease Obligations otherwise permitted hereby (in which case,
any prohibition or limitation shall only be effective against the assets financed
thereby).

Section 6.13 Clauses
Restricting Subsidiary or Joint Venture Distributions. Each of the Borrower
and Holdings will not, and will not permit any of its Subsidiaries or Joint Ventures to, directly
or indirectly, enter into or suffer to exist or become effective any consensual
encumbrance or restriction on the ability of any Subsidiary or Joint Venture of
the Borrower to (a) make Restricted Payments in respect of any Stock of
such Subsidiary or Joint Venture held by, or pay any Indebtedness owed to, the
Borrower or any other Subsidiary or Joint Venture of the Borrower, (b) make
loans or advances to, or other Investments in, the Borrower or any other
Subsidiary or Joint Venture of the Borrower or (c) transfer any of its
assets to the Borrower or any other Subsidiary or Joint Venture of the
Borrower, except for such encumbrances or restrictions existing under or by
reason of (i) any restrictions existing under the Loan Documents, the
First Lien Loan Documents and the documents of the Permitted Additional Secured
Indebtedness and (ii) any customary restrictions with respect to a
Subsidiary or Joint Venture imposed pursuant to an agreement that has been
entered into in connection with a Disposition of all or substantially all of
the Capital Stock or assets of such Subsidiary or Joint Venture pending the
closing of such Disposition, so long as such restrictions apply only to the
Subsidiary or Joint Venture that is to be sold (or whose assets are to be sold)
and such Disposition is otherwise permitted hereunder.

Section 6.14 Lines of Business; Activities of
Subsidiaries Owning Capital Stock of Excluded Foreign Subsidiaries and
Activities of Merisant Spain and Merisant Netherlands.

(a)           Each
of the Borrower and Holdings will not, and will not permit any of its
Subsidiaries to, directly or indirectly, enter into any business, either
directly or through any Subsidiary, except for those businesses in which the
Borrower and its Subsidiaries are engaged on the date of this Agreement or that
are reasonably related thereto, including licensing of intellectual property.

(b)           Neither
MFH. (nor any other Subsidiary of Holdings that directly owns Stock of an Excluded
Foreign Subsidiary), shall, and Holdings and Borrower will not permit any such
Subsidiary to, (i) engage in any business or operations, other than the 

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ownership of shares of Capital Stock
of Merisant Spain, Merisant Netherlands, SwissCo 2, and Merisant Puerto Rico, Inc.
and qualifying shares of any other Excluded Foreign Subsidiaries, (ii) own,
lease, manage or otherwise operate any properties or assets other than
incidental to such ownership, or (iii) incur, assume or suffer to exist
any Indebtedness or other liabilities or financial obligations, except (x) nonconsensual
obligations imposed by operation of law, (y) pursuant to the Loan
Documents to which it is a party and (z)  other Indebtedness permitted to
be incurred by it under Section 6.2.

(c)           Merisant
Spain will not, and Holdings and Borrower will not permit Merisant Spain to, (i) engage
in any business or operations other than those incidental to its ownership of
the Capital Stock of the Merisant Netherlands, (ii) own, lease, manage or
otherwise operate any properties or assets other than incidental to such
ownership, or (iii) incur, assume or suffer to exist any Indebtedness or
other liabilities or financial obligations, except (x) nonconsensual
obligations imposed by operation of law, and (y)  other Indebtedness
permitted to be incurred by it under Section 6.2.

Section 6.15 Modification
of Subordinated Agreements.

(a)           Each
of the Borrower and Holdings will not, and will not permit any of its
Subsidiaries to, directly or indirectly, change or amend the terms of the
Senior Subordinated Notes (or the Senior Subordinated Notes Indenture or any
other agreement in connection therewith) or the Senior Subordinated Discount
Notes (or the Senior Subordinated Discount Notes Indenture or any other agreement
in connection therewith) if the effect of such amendment is to: (a) increase
the interest rate on such debt (other than to provide for the payment in kind
in lieu of cash of any portion of the interest or fees of such Indebtedness); (b) change
the dates upon which payments of principal or interest are due on such debt
other than to extend such dates; (c) change any default or event of
default other than to delete or make less restrictive any default provision
therein or extend the grace period related thereto; (d) change the
redemption or prepayment provisions of such debt other than to extend the dates
therefor or to reduce the premiums payable in connection therewith; (e) change
the subordination provisions thereof; or (f) change or amend any other
term if such change or amendment, together with all other changes and
amendments made, would materially increase the obligations of the obligor or
confer additional material rights to the holder of such debt which would be
adverse to Holdings, the Borrower, any of its Subsidiaries, the Administrative
Agent or any Lender.

(b)           The
Borrower shall not designate, or permit the designation of, any Indebtedness
(other than under the First Lien Loan Documents, the Loan Documents or the
Permitted Additional Secured Indebtedness or any refinancing, refunding,
renewal, or extension thereof pursuant to Section 6.2(p)) as “Designated
Senior Indebtedness” for the purpose of the definition of the same or the
subordination provisions contained in the Senior Subordinated Note Indenture,
the Senior Subordinated Discount Note Indenture or any refinancing or
successive refinancing of either without the consent of the Administrative
Agent.

Section 6.16 Post-Closing
Deliveries.

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(a)           Each
of Holdings and the Borrower will not, and will not permit any of its
Subsidiaries to, directly or indirectly, fail to (a) deliver to the
Administrative Agent or the Collateral Agent, as applicable each item set forth
in Schedule 6.16, in form and substance reasonably satisfactory to the
Administrative Agent and the Collateral Agent (together with each certificate
or other document ancillary thereto and reasonably requested by the
Administrative Agent or the Collateral Agent, as applicable) and (b) perform
each action set forth in Schedule 6.16 in a manner reasonably satisfactory to
the Administrative Agent and the Collateral Agent (together with each ancillary
action reasonably requested by the Administrative Agent or the Collateral
Agent, as applicable to be performed by any Loan Party in connection therewith),
in each case within the periods set forth opposite each such item or action on
such Schedule (or such other reasonable period agreed by the Administrative
Agent or Collateral Agent, as applicable, in respect of any such item or
action).

(b)           During
the period commencing on July 31, 2006 and thereafter, so long as the
actions required pursuant to Section 3.1(a)(iii)(F) and Section 3.1(a)(v)(B) are
not completed, the Borrower shall not fail to pay, or cause to be paid, to each
Lender an amount equal to 0.50% of the outstanding amount of such Lender’s
Loans on July 31, 2006 and on each date occurring at three-month intervals
after July 31, 2006.

Section 6.17 Restriction
Regarding New Ventures. Each of Holdings and the Borrower will not, and
will not permit any of their respective Subsidiaries to, directly or indirectly, make or incur
any expenditures (including, without limitation, overhead), in connection with,
or permit any of their employees or management to devote any of their time to,
the development, marketing, manufacturing, or distribution of any products
(including, without limitation, sweetener products), or any other related or
similar function, unless all proprietary rights to such products are wholly
owned by the Borrower or a Wholly Owned Subsidiary of Borrower; provided,
that this Section 6.17 shall not apply to (a) transactions
with entities that are not Affiliates of the Borrower and that are consistent
with practices in the ordinary course of the Borrower’s business or otherwise
consistent with the Borrower’s existing manufacturing, production methods,
lines of business, and products or (b) Investments in Joint Ventures to
the extent permitted pursuant to Section 6.8(h). Notwithstanding
the foregoing, this Section shall not be deemed to limit ownership of
proprietary rights by Merisant Sweetener (Philippines), Inc. (“Merisant
Philippines”) and wholly owned Subsidiaries of Merisant Philippines
pertaining to conduct of business in the Philippines.

Section 6.18 Limitation
on Layering; Etc.

Each of Holdings and the Borrower will not, and will not permit any of
their respective Subsidiaries to, directly or indirectly, incur or permit any
Subsidiary to:

(a)          
incur any Indebtedness that is or purports to be by its terms (or by the terms
of any agreement governing such Indebtedness) contractually subordinated or
junior in right of payment to any Indebtedness of the Borrower or any Guarantor
unless such Indebtedness is contractually subordinated and/or junior in right
of payment to the 

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Loans and the other obligations under
the Loan Documents, or such Guarantor’s Guaranty (as applicable) thereof, at
least to the same extent as contractually sub­ordinated or junior in right of
payment to such other Indebtedness; and

(b)           directly
or indirectly, create, incur, assume or suffer to exist any Lien (other than
Liens pursuant to the First Lien Loan Documents) that secures obligations under
any Indebtedness on any asset or property of the Borrower or any Subsidiary
that is a Guarantor on a basis that is senior to the Liens securing the
Obligations under this Agreement, unless such Liens are permitted under Section 6.3
and are also senior to the Liens securing the obligations under the First Lien
Credit Agreement.

ARTICLE VII

EVENTS OF DEFAULT

Section 7.1 Events
of Default. Each of the following events shall be an Event of Default:

(a)           the
Borrower shall fail to pay any principal of any Loan when due in accordance
with the terms hereof; or the Borrower shall fail to pay any interest on any
Loan, or any other amount payable hereunder or under any other Loan Document,
within five days after any such interest or other amount becomes due in
accordance with the terms hereof or thereof (after giving effect to any grace
period specified herein or therein with respect thereto); or

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

(c)           (i) any
Loan Party shall default in the observance or performance of any agreement
contained in clause (i) or (ii) of Section 5.4(a) (with
respect to Holdings or the Borrower only), Section 5.7(a) or Article VI
of this Agreement (other than Sections 6.12 and 6.13 to the
extent such default is a result of the activities of such Loan Party’s Joint
Venture) or Section 4.3 or Section 4.4(c) of the
Security Agreement or (ii) an “Event of Default” under and as defined in
any Mortgage shall have occurred and be continuing; or

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

(e)           Holdings,
the Borrower or any of its Subsidiaries shall (i) default in making any
payment of any principal of any Indebtedness (including any Guaranty 

 86
 

Obligation, but excluding the Loans)
on the due date with respect thereto (after giving effect to any grace period
with respect thereto); or (ii) default in making any payment of any interest
on any such Indebtedness beyond the period of grace, if any, provided in the
instrument or agreement under which such Indebtedness was created; or (iii) default
in the observance or performance of any other agreement or condition relating
to any such Indebtedness or contained in any instrument or agreement
evidencing, securing or relating thereto, or any other event or condition shall
occur or condition exist, if (in the case of this clause (iii)) the effect of
such default or other event or condition is to cause, or to permit the holder
or beneficiary of such Indebtedness (or a trustee or agent on behalf of such
holder or beneficiary) to cause, such Indebtedness to become due prior to its
stated maturity or (in the case of any such Indebtedness constituting a
Guaranty Obligation) to become payable; provided that a default, event
or condition described in clause (i), (ii) or (iii) of this paragraph
(e) shall not at any time constitute an Event of Default unless, at such
time, one or more defaults, events or conditions of the type described in
clauses (i), (ii) and (iii) of this paragraph (e) shall have
occurred and be continuing with respect to Indebtedness the outstanding
principal amount of which exceeds in the aggregate $10,000,000; and provided
further, that, with respect to any failure to pay, breach or default under
the First Lien Credit Agreement, such failure to pay or breach or default shall
only constitute any Event of Default under this Agreement (x) upon an
acceleration of the Obligations (as defined in the First Lien Credit Agreement)
pursuant to Section 7.2(ii) of the First Lien Credit Agreement
or (y) if such failure to pay, breach or default occurs and is not cured
or waived within forty-five (45) days of the occurrence of such failure to pay,
breach or default; or

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

 87
 

generally not, or shall be unable to,
or shall admit in writing its inability to, pay its debts as they become due;
or

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

(h)           one
or more judgments or decrees shall be entered against Holdings, the Borrower or
any of its Subsidiaries involving in the aggregate a liability (not paid or
fully covered by insurance as to which the relevant insurance company has
acknowledged coverage) of $10,000,000 or more, and all such judgments or
decrees shall not have been vacated, discharged, stayed or bonded pending
appeal within 30 days after the entry thereof; or

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

(j)            the
guarantee of any Guarantor contained in the Guaranty shall cease, for any
reason, to be in full force and effect or any Loan Party or any Affiliate of
any Loan Party shall so assert; or

(k)           either
(i) so long as the LLC exists, (x) the Sponsor shall cease to have
the power to vote or direct the appointment of a majority of the board of
managers or other governing body of the LLC (determined on a fully diluted
basis), (y) the LLC shall cease to have the power to vote or direct the
voting of securities having a majority of the ordinary voting power for the
election of directors of Holdings (determined on a fully diluted basis), or (z) the
LLC shall cease to own and control, of record and beneficially, at least 66-2/3%
(exclusive of the effect of any ownership or control by the Permitted
Noteholder Investors) of each class of outstanding Capital Stock of Holdings
free and 

 88
 

clear of all Liens (except Liens
created by the Security Agreement) or (ii) in any case where the LLC no
longer exists, the Permitted Investors shall cease to have the power to vote or
direct the voting of securities having a majority of the ordinary voting power
for the election of directors of Holdings (determined on a fully diluted
basis); or

(l)           
(i) the Permitted Investors shall cease to own of record and beneficially,
directly or indirectly, an amount of common stock of Holdings equal to at least
66-2/3% (exclusive of the effect of any ownership by the Permitted
Noteholder Investors) of the amount of common stock of Holdings owned, directly
or indirectly, by the Permitted Investors as of the Formation Date; (ii) any
“person” or “group” (as such terms are used in Sections 13(d) and 14(d) of
the Exchange Act), excluding the LLC, Permitted Noteholder Investors and
Permitted Investors, shall become, or obtain rights (whether by means or
warrants, options or otherwise) to become, the “beneficial owner” (as defined
in Rules 13(d)-3 and 13(d)-5 under the Exchange Act), directly
or indirectly, of more than 33-1/3% of the outstanding common stock of
Holdings; (iii) the board of directors of Holdings shall cease to consist
of a majority of Continuing Directors; (iv) Holdings shall cease to own
and control, of record and beneficially, directly, 100% of each class of
outstanding Capital Stock of the Borrower free and clear of all Liens (except
Liens created by the Security Agreement); or (v) any “Change of Control,”
as defined in the Senior Subordinated Notes Indenture or Senior Subordinated
Discount Notes Indenture (so long as such applicable indenture shall be in full
force and effect) shall have occurred or exist, other than any such “Change of
Control” as has been waived or amended or with respect to which the holders of
Indebtedness under such applicable indenture have agreed not to enforce their
remedies relating to the occurrence or existence of such “Change in Control”,
all in accordance with the terms and conditions of such applicable indenture;
and

(m)          Except
to the extent otherwise expressly permitted in this Agreement, Holdings shall (i) conduct,
transact or otherwise engage in, or commit to conduct, transact or otherwise
engage in, any business or operations other than those incidental to its
ownership of the Capital Stock of the Borrower, (ii) incur, create, assume
or suffer to exist any Indebtedness or other liabilities or financial
obligations, except (x) nonconsensual obligations imposed by operation of
law, (y) pursuant to the Loan Documents to which it is a party and (z) obligations
with respect to its Capital Stock, the First Lien Loan Documents, the Permitted
PIK Notes or the Senior Subordinated Discount Notes, or (iii) own, lease,
manage or otherwise operate any properties or assets (including cash (other
than cash received in connection with dividends made by the Borrower in
accordance with Section 6.6(ii) pending application in the
manner contemplated by said Section) and cash equivalents) other than ownership
of shares of Stock of the Borrower.

Section 7.2 Remedies.
During the continuance of any Event of Default, the Administrative Agent (i) may,
and shall at the request of the Requisite Lenders, by notice to the Borrower declare that all or any
portion of the Commitments be terminated, whereupon the obligation of each
Lender to make any Loan shall immediately terminate, or (ii) may and shall
at the request of the Requisite Lenders, by notice to the Borrower, declare the
Loans, all interest 

 89
 

thereon and all other amounts and Obligations payable
under this Agreement or the other Loan Documents to be forthwith due and payable,
whereupon the Loans, all such interest and all such amounts and Obligations
shall become and be forthwith due and payable, without presentment, demand,
protest or further notice of any kind, all of which are hereby expressly waived
by the Borrower; provided, however, that upon the occurrence of
the Event of Default specified in Section 7.1(f) in connection
with any Loan Party, (A) the Commitments of each Lender to make Loans
shall automatically be terminated and (B) the Loans, all such interest and
all such amounts and Obligations shall automatically become and be due and
payable, without presentment, demand, protest or any notice of any kind, all of
which are hereby expressly waived by the Borrower. In addition to the remedies
set forth above, the Administrative Agent or the Collateral Agent, as
applicable, may exercise any remedies provided for by the Collateral Documents
in accordance with the terms thereof or any other remedies provided by applicable
law.

ARTICLE VIII

THE ADMINISTRATIVE AGENT; THE COLLATERAL AGENT; AND THE AGENTS

Section 8.1 Authorization
And Action.

(a)           Each
Lender hereby appoints Credit Suisse as the Administrative Agent hereunder and
Credit Suisse hereby accepts such appointment. Each Lender hereby appoints
Wells Fargo Bank, National Association, as the Collateral Agent hereunder and
Wells Fargo Bank, National Association, hereby accepts such appointment. Each
Lender authorizes the Administrative Agent and Collateral Agent to take such
action as agent on its behalf and to exercise such powers under this Agreement
and the other Loan Documents, as applicable, as are delegated to the
Administrative Agent and Collateral Agent under such agreements and to exercise
such powers as are reasonably incidental thereto. Without limitation of the
foregoing, each Lender hereby authorizes the Administrative Agent and
Collateral Agent to execute and deliver, and to perform its obligations under,
each of the Loan Documents to which the Administrative Agent or Collateral
Agent is a party and to exercise all rights, powers and remedies that the
Administrative Agent or Collateral Agent may have under such Loan Documents and
that under the Collateral Documents the Collateral Agent is acting as agent for
the Lenders and the other Secured Parties.

(b)           As
to any matters not expressly provided for by this Agreement and the other Loan
Documents (including enforcement or collection), the Administrative Agent and
Collateral Agent shall not be required to exercise any discretion or take any
action, but shall be required to act or to refrain from acting (and shall be
fully protected in so acting or refraining from acting) upon the instructions
of the Requisite Lenders, and such instructions shall be binding upon all
Lenders; provided, however, that the Administrative Agent or
Collateral Agent shall not be required to take any action which (i) the
Administrative Agent or Collateral Agent in good faith believes exposes it to
personal liability unless the Administrative Agent or Collateral Agent, as
applicable, receives an indemnification satisfactory to it from the Lenders
with respect to such action 

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or (ii) is contrary to this
Agreement or applicable law. The Administrative Agent and Collateral Agent
agree to give to each Lender prompt notice of each notice given to it by any
Loan Party pursuant to the terms of this Agreement or the other Loan Documents.

(c)           In
performing its functions and duties hereunder and under the other Loan
Documents, the Administrative Agent and Collateral Agent are acting solely on
behalf of the Lenders and their duties are entirely administrative in nature.
Each of the Administrative Agent and Collateral Agent does not assume and shall
not be deemed to have assumed any obligation other than as expressly set forth
herein and in the other Loan Documents or any other relationship as the agent,
fiduciary or trustee of or for any Lender or holder of any other Obligation.
Each of the Administrative Agent and Collateral Agent may perform any of its
duties under any of the Loan Documents by or through its agents or employees.

(d)           Notwithstanding
anything to the contrary contained in this Agreement, the Arrangers, the
Syndication Agent and the Documentation Agent is a Lender designated as Joint
Lead Arrangers, Syndication Agent or Documentation Agent, as applicable, for
title purposes only and in such capacity shall have no obligations or duties
whatsoever under this Agreement or any other Loan Document to any Loan Party or
any Lender and shall have no rights separate from its rights as a Lender except
as expressly provided in this Agreement.

Section 8.2 Administrative
Agent’s and Collateral Agent’s Reliance, Etc. Neither the Administrative
Agent, the Collateral Agent nor any of their Affiliates or any of the respective directors,
officers, agents or employees of the Administrative Agent, the Collateral Agent
or any such Affiliate shall be liable for any action taken or omitted to be
taken by it, him, her or them under or in connection with this Agreement or the
other Loan Documents, except for its, his, her or their own gross negligence or
willful misconduct. Without limiting the foregoing, the Administrative Agent
and the Collateral Agent (a) may treat the payee of any Note as its holder
until such Note has been assigned in accordance with Section 9.2; (b) may
rely on the Register to the extent set forth in Section 9.2(d); (c) may
consult with legal counsel (including counsel to the Borrower or any other Loan
Party), independent public accountants and other experts selected by it and
shall not be liable for any action taken or omitted to be taken in good faith
by it in accordance with the advice of such counsel, accountants or experts; (d) makes
no warranty or representation to any Lender and shall not be responsible to any
Lender for any statements, warranties or representations made by or on behalf
of the Borrower or any of its Subsidiaries in or in connection with this
Agreement or any of the other Loan Documents; (e) shall not have any duty
to ascertain or to inquire either as to the performance or observance of any of
the terms, covenants or conditions of this Agreement or any of the other Loan
Documents or the financial condition of any Loan Party, or the existence or
possible existence of any Default or Event of Default; (f) shall not be
responsible to any Lender for the due execution, legality, validity,
enforceability, genuineness, sufficiency or value of, or the attachment,
perfection or priority of any Lien created or purported to be created under or
in connection with, this Agreement or any of the other Loan Documents or any
other instrument or document furnished pursuant hereto or thereto; and (g) shall
incur no liability under or in respect of this Agreement or any of the other
Loan Documents by acting upon any notice, consent, certificate or other 

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instrument or writing (which may be by telecopy or
electronic mail) or any telephone message believed by it to be genuine and
signed or sent by the proper party or parties.

Section 8.3 The
Administrative Agent Individually. With respect to its Ratable Portion,
Credit Suisse shall have and may exercise the same rights and powers hereunder and is subject to the same
obligations and liabilities as and to the extent set forth herein for any other
Lender. The terms “Lenders” or “Requisite Lenders” or any similar terms shall,
unless the context clearly otherwise indicates, include the Administrative
Agent in its individual capacity as a Lender or as one of the Requisite
Lenders. Credit Suisse and its Affiliates may accept deposits from, lend money
to, and generally engage in any kind of banking, trust or other business with
any Loan Party as if it were not acting as the Administrative Agent.

Section 8.4 Lender
Credit Decision. Each Lender acknowledges that it shall, independently and
without reliance upon the Administrative Agent or any other Lender conduct its own independent
investigation of the financial condition and affairs of the Borrower and each
other Loan Party in connection with the making and continuance of the Loans.
Each Lender also acknowledges that it will, independently and without reliance
upon the Administrative Agent or any other Lender and based on such documents
and information as it shall deem appropriate at the time, continue to make its
own credit decisions in taking or not taking action under this Agreement and
other Loan Documents.

Section 8.5 Indemnification.
Each Lender agrees to indemnify the Administrative Agent, the Collateral Agent
and each of their Affiliates, and each of their respective directors, officers, employees,
agents and advisors (to the extent not reimbursed by the Borrower), from and
against such Lender’s aggregate Ratable Portion of any and all liabilities,
obligations, losses, damages, penalties, actions, judgments, suits, costs,
expenses and disbursements (including reasonable fees and disbursements of
legal counsel) of any kind or nature whatsoever which may be imposed on, incurred
by, or asserted against, the Administrative Agent, the Collateral Agent or any
of their Affiliates, directors, officers, employees, agents and advisors in any
way relating to or arising out of this Agreement or the other Loan Documents or
any action taken or omitted by the Administrative Agent or the Collateral Agent
under this Agreement or the other Loan Documents; provided, however,
that no Lender shall be liable for any portion of such liabilities,
obligations, losses, damages, penalties, actions, judgments, suits, costs,
expenses or disbursements resulting from the Administrative Agent’s, the
Collateral Agent’s or such Affiliate’s gross negligence or willful misconduct.
Without limiting the foregoing, each Lender agrees to reimburse the
Administrative Agent or the Collateral Agent promptly upon demand for its
Ratable Portion of any out-of-pocket expenses (including reasonable fees and disbursements
of legal counsel) incurred by the Administrative Agent or Collateral 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 its rights or
responsibilities under, this Agreement or the other Loan Documents, to the
extent that the Administrative Agent or Collateral Agent is not reimbursed for
such expenses by the Borrower or any other Loan Party.

Section 8.6 Successor
Administrative Agent or Collateral Agent. The Administrative Agent or
Collateral Agent may resign at any time by giving written notice thereof 

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to the Lenders and the Borrower. Upon any such
resignation, the Requisite Lenders shall have the right to appoint a successor
Administrative Agent or Collateral Agent, as applicable (provided, if
such resignation occurs within 90 days after the Closing Date, Credit Suisse
(with the consent of the Borrower (such consent not to be unreasonably
withheld)) shall have the right to appoint a successor Administrative Agent or
Collateral Agent). If no such successor Administrative Agent or Collateral
Agent shall have been so appointed by the Requisite Lenders, and shall have
accepted such appointment, within 30 days after the retiring Administrative
Agent’s or Collateral Agent’s giving of notice of resignation, then the
retiring Administrative Agent or Collateral Agent may, on behalf of the
Lenders, appoint a successor Administrative Agent or Collateral Agent, as
applicable, selected from among the Lenders. The Administrative Agent or
Collateral Agent may be replaced at any time by the Requisite Lenders by giving
written notice thereof to the Administrative Agent, the Collateral Agent and
the Borrower. Upon any such replacement, the Requisite Lenders shall have the
right to appoint a successor Administrative Agent or Collateral Agent, as
applicable. If no such successor Administrative Agent or Collateral Agent shall
have been so appointed by the Requisite Lenders, and shall have accepted such
appointment, within 30 days after the giving of notice of such replacement,
then the replaced Administrative Agent or Collateral Agent may, on behalf of
the Lenders, appoint a successor Administrative Agent or Collateral Agent, as
applicable, selected from among the Lenders. In each case above, such
appointment shall be subject to the prior written approval of the Borrower
(which approval may not be unreasonably withheld and shall not be required upon
the occurrence and during the continuance of an Event of Default). Upon the
acceptance of any appointment as Administrative Agent or Collateral Agent by a
successor Administrative Agent or Collateral Agent, as applicable, such
successor Administrative Agent or Collateral Agent shall succeed to and become
vested with all the rights, powers, privileges and duties of the retiring
Administrative Agent or Collateral Agent, as applicable and such retiring or
replaced Administrative Agent or Collateral Agent shall be discharged from its
duties and obligations under this Agreement and the other Loan Documents. Prior
to any retiring Administrative Agent’s or Collateral Agent’s resignation
hereunder as Administrative Agent or Collateral Agent, respectively, such
retiring or replaced Administrative Agent or Collateral Agent shall take such
action as may be reasonably necessary to assign to the successor Administrative
Agent or Collateral Agent, as applicable, its rights as Administrative Agent or
Collateral Agent, respectively, under the Loan Documents. After such
resignation, the retiring or replaced Administrative Agent or Collateral Agent
shall continue to have the benefit of this Article VIII as to any actions
taken or omitted to be taken by it while it was Administrative Agent or
Collateral Agent under this Agreement and the other Loan Documents.

Section 8.7 Concerning
the Collateral and the Collateral Documents.

(a)           Each
Lender agrees that any action taken by the Administrative Agent, Collateral
Agent or the Requisite Lenders (or, where required by the express terms of this
Agreement, a greater proportion of the Lenders) in accordance with the
provisions of this Agreement or of the other Loan Documents, and the exercise
by the Administrative Agent, Collateral Agent or the Requisite Lenders (or,
where so required, such greater proportion) of the powers set forth herein or
therein, together with such other powers as are reasonably incidental thereto,
shall be authorized and binding upon all of the Lenders and other Secured Parties.
Without limiting the generality of the foregoing, the Collateral 

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Agent shall have the sole and
exclusive right and authority to (i) act as the disbursing and collecting
agent for the Lenders with respect to all payments and collections arising in
connection herewith and with the Collateral Documents; (ii) execute and
deliver each Collateral Document and accept delivery of each such agreement
delivered by the Borrower or any of its Subsidiaries; (iii) act as
collateral agent for the Lenders and the other Secured Parties for purposes of
the perfection of all security interests and Liens created by such agreements
and all other purposes stated therein; provided, however, that
the Collateral Agent hereby appoints, authorizes and directs each Lender to act
as collateral sub-agent for the Collateral Agent and the Lenders for purposes
of the perfection of all security interests and Liens with respect to the
Borrower’s and its Subsidiaries’ respective deposit accounts maintained with,
and cash and Cash Equivalents held by, such Lender; (iv) manage, supervise
and otherwise deal with the Collateral; (v) take such action as is
necessary or desirable to maintain the perfection and priority of the security
interests and Liens created or purported to be created by the Collateral
Documents; (vi) take all such action as is necessary to release any
Subsidiary Guarantor or Holdings from its obligations under the Guaranty in
connection with a Disposition (other than to a Loan Party) permitted pursuant
to a waiver or consent of a transaction otherwise prohibited by this Agreement;
and (vii) except as may be otherwise specifically restricted by the terms
hereof or of any other Loan Document, exercise all remedies given to the
Administrative Agent, the Collateral Agent, the Lenders and the other Secured
Parties with respect to the Collateral under the Loan Documents relating
thereto, applicable law or otherwise.

(b)           Each
of the Lenders hereby directs, in accordance with the terms hereof, the
Collateral Agent to release (or, in the case of clause (ii) below, release
or subordinate) any Lien held by the Collateral Agent for the benefit of the
Lenders:

(i)            against
all of the Collateral, upon payment and satisfaction in full of all Loans and
all other matured Obligations that the Collateral Agent has been notified in
writing are then due and payable;

(ii)           upon
the written direction of the Administrative Agent, against any assets that are
subject to a Lien permitted by Section 6.3(f); and

(iii)          upon
the written direction of the Administrative Agent, against any part of the
Collateral Disposed of by a Loan Party (A) if such Disposition is
permitted by this Agreement or (B) if not pursuant to such Disposition, (x) with
a book value of up to $5,000,000, if such release is consented to by the
Requisite Lenders or (y) in excess of $5,000,000, if such release is
consented to by all the Lenders.

Each of the Lenders hereby directs the Collateral
Agent to execute and deliver or file such termination and partial release
statements and do such other things as are necessary to release Liens to be
released pursuant to this Section 8.7 promptly upon the effectiveness
of any such release.

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Section 8.8 Collateral
Matters Relating to Related Obligations. The benefit of the Loan Documents
and of the provisions of this Agreement relating to the Collateral shall extend to and be
available in respect of any Secured Obligation arising under any Hedging
Contract or which is otherwise owed to Persons other than the Collateral Agent,
the Arrangers and the Lenders (collectively, “Related Obligations”)
solely on the condition and understanding, as among the Collateral Agent and
all Secured Parties, that (i) the Related Obligations shall be entitled to
the benefit of the Loan Documents and the Collateral to the extent expressly
set forth in this Agreement and the other Loan Documents and to such extent the
Collateral Agent shall hold, and have the right and power to act with respect
to, the Guaranty and the Collateral on behalf of and as agent for the holders
of the Related Obligations, but the Collateral Agent is otherwise acting solely
as agent for the Lenders and shall have no fiduciary duty, duty of loyalty,
duty of care, duty of disclosure or other obligation whatsoever to any holder
of Related Obligations; (ii) all matters, acts and omissions relating in
any manner to the Guaranty, the Collateral, or the omission, creation,
perfection, priority, abandonment or release of any Lien, shall be governed
solely by the provisions of this Agreement and the other Loan Documents and no
separate Lien, right, power or remedy shall arise or exist in favor of any
Secured Party under any separate instrument or agreement or in respect of any
Related Obligation; and (iii) each Secured Party shall be bound by all
actions taken or omitted, in accordance with the provisions of this Agreement
and the other Loan Documents, by the Collateral Agent and the Requisite
Lenders, each of whom shall be entitled to act in its sole discretion and
exclusively in its own interest given its own Commitments and its own interest
in the Loans and other Obligations to it arising under this Agreement or the
other Loan Documents, without any duty or liability to any other Secured Party
or as to any Related Obligation and without regard to whether any Related Obligation
remains outstanding or is deprived of the benefit of the Collateral or becomes
unsecured or is otherwise affected or put in jeopardy thereby; and (iv) no
holder of Related Obligations and no other Secured Party (except the Collateral
Agent, the Arrangers and the Lenders, to the extent set forth in this
Agreement) shall have any right to be notified of, or to direct, require or be
heard with respect to, any action taken or omitted in respect of the Collateral
or under this Agreement or the Loan Documents; and (v) no holder of any
Related Obligation shall exercise any right of setoff, banker’s lien or similar
right except as expressly provided in Section 9.6.

ARTICLE IX

MISCELLANEOUS

Section 9.1 Amendments.
Waivers. Etc.

(a)           No
amendment or waiver of any provision of this Agreement or any other Loan
Document (other than any Hedging Contract) nor consent to any departure by any
Loan Party therefrom shall in any event be effective unless the same shall be
in writing and signed by the Requisite Lenders, and then any such waiver or
consent shall be effective only in the specific instance and for the specific
purpose for which given; provided, however, that no amendment,
waiver or consent shall, unless in writing and 

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signed by each Lender directly affected
thereby, in addition to the Requisite Lenders, do any of the following:

(i)            waive
any of the conditions specified in Section 3.1 or Section 3.2
except with respect to a condition based upon another provision hereof, the
waiver of which requires only the concurrence of the Requisite Lenders;

(ii)           increase
the Commitments of such Lender or subject such Lender to any additional
obligations;

(iii)          extend
the scheduled final maturity of any Loan due to such Lender, or waive, reduce
or postpone any scheduled date fixed for the payment of principal on such Loan
or reduction of the Commitments of such Lender (it being understood that Section 2.7
does not provide for scheduled dates fixed for payment or reduction);

(iv)          reduce
the principal amount of any Loan due to such Lender (other than by the payment
or prepayment thereof);

(v)           reduce
the rate of interest on any Loan outstanding to such Lender or any fee payable
hereunder to such Lender;

(vi)          postpone
any scheduled date fixed for payment of interest or fees due to such Lender or
amend the definition of “Interest Period” so as to permit intervals greater
than six months;

(vii)         change
the aggregate Ratable Portions of the Lenders required for any or all Lenders
to take any action hereunder;

(viii)        release the Collateral Agent’s Lien on all or substantially
all of the Collateral except as provided in Section 8.7(b) or
release any Guarantor from its obligations under the Guaranty except in connection
with any Disposition (other than to a Loan Party) permitted pursuant to a
waiver or consent of a transaction otherwise prohibited by this Agreement; or

(ix)           amend
Section 8.7(b) or this Section 9.1 or the
definition of the terms “Requisite Lenders”, or “Ratable Portion”;

and provided, further,
that (A) any waiver of or modification of the application of payments of
the Loans pursuant to Section 2.7 shall require the consent of the
Requisite Lenders, (B) any amendment, waiver or consent of any provision
of this Agreement or any other Loan Document shall be effective only in the
specific instance and for the specific purpose for which given, and (C) no
amendment, waiver or consent shall, unless in writing and signed by the Administrative
Agent or the Collateral Agent, as applicable, in addition to the Lenders
required above to take such action, affect the rights or duties of the
Administrative Agent or the Collateral Agent, respectively, under this
Agreement or the other Loan Documents.

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(b)           The
Administrative Agent may, but shall have no obligation to, with the written concurrence
of any Lender, execute amendments, modifications, waivers or consents on behalf
of that Lender; provided, however, that the written concurrence
of any Lender that is a Non-Consenting Lender is not required for the execution
of an Assignment and Acceptance pursuant to clause (c) of this section.
Any waiver or consent shall be effective only in the specific instance and for
the specific purpose for which it was given. No notice to or demand on the
Borrower in any case shall entitle the Borrower to any other or further notice
or demand in similar or other circumstances.

(c)           If
in connection with any proposed amendment, modification, waiver or termination
(a “Proposed Change”) requiring the consent of all affected Lenders, the
consent of Requisite Lenders is obtained, but the consent of other Lenders
whose consent is required is not obtained (any such Lender whose consent is not
obtained as described in this Section 9.1 being referred to as a “Non-Consenting
Lender”), then, so long as the Lender that is acting as the Administrative
Agent is not a Non-Consenting Lender, at the Borrower’s request, the
Administrative Agent in its sole discretion or a potential assignee with the
Administrative Agent’s consent shall have the right (but the Administrative Agent
shall have no obligation) to purchase from such Non-Consenting Lender, and such
Non-Consenting Lender agrees that it shall, promptly upon the Administrative
Agent’s request, sell and assign to the Lender that is acting as the
Administrative Agent or such potential assignee, all of the Commitments and the
Loans of such Non-Consenting Lender for an amount equal to the principal
balance of all Loans held by such Non-Consenting Lender and all accrued and
unpaid interest and fees with respect thereto through the date of sale; provided,
however, that such purchase and sale shall not be effective until (i) the
Administrative Agent shall have received from such potential assignee an
agreement in form and substance satisfactory to the Administrative Agent and
the Borrower whereby such potential assignee shall agree to be bound by the
terms hereof and (ii) such Non-Consenting Lender shall have received
payments of all Loans held by it and all accrued and unpaid interest and fees
with respect thereto through the date of the sale, including the amount
specified in Section 2.6(b) as if the Borrower made an
optional prepayment to such Non-Consenting Lender (such interest, fees and
other amount to be paid by the Borrower). Each Lender agrees that, if it
becomes a Non-Consenting Lender, it shall execute and deliver to the
Administrative Agent, or shall allow the Administrative Agent to execute on its
behalf, an Assignment and Acceptance to evidence such sale and purchase and
shall deliver to the Administrative Agent any Note (if such Non-Consenting
Lender’s Loans are evidenced by a Note) subject to such Assignment and
Acceptance; provided, however, that the failure of such
Non-Consenting Lender to execute an Assignment and Acceptance or deliver such
Note shall not render such sale and purchase (and the corresponding assignment)
invalid.

(d)           Each
Lender and holder of any Note shall be bound by any amendment, waiver or
consent authorized by this Section 9.1 regardless of whether its
Notes shall be marked to make reference thereto, and any consent by any Lender
or holder of a Note pursuant to this Section shall bind any Person
subsequently acquiring a Note from it, whether or not such Note shall be so
marked.

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Section 9.2 Assignments
and Participations.

(a)           Subject
to the conditions set forth in Section 9.2(b), each Lender may
sell, transfer, negotiate or assign to one or more assignees all or a portion
of its rights and obligations hereunder (including all of its rights and
obligations with respect to the Loans), with the prior written consent (such
consent not to be unreasonably withheld or delayed) of the Administrative
Agent.

(b)           Assignments
shall be subject to the following conditions:

(i)            except
in the case of an assignment to a Lender or an Affiliate or Approved Fund of a
Lender, the aggregate amount of any Loans being assigned pursuant to such
assignment (determined as of the date of the Assignment and Acceptance with
respect to such assignment is delivered to the Administrative Agent) shall not
(if less than the Assignor’s entire interest in such Loan) be less than
$1,000,000; or

(ii)           unless
each of the Borrower and the Administrative Agent otherwise consents, provided
that no such consent of the Borrower shall be required if an Event of Default
has occurred and is continuing;

(A)          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 Commitments assigned;

(B)           no
Person who is (x) listed on the Specially Designated Nationals and Blocked
Persons List (the “SDN List”) maintained by the U.S. Department of
Treasury Office of Foreign Assets Control (“OFAC”)  and/or on any other similar list  maintained by the OFAC pursuant to any
authorizing statute, Executive Order or regulation (collectively, “OFAC Laws
and Regulations”); or (y) either (I) included within the term “designated
national” as defined in the Cuban Assets Control Regulations, 31 C.F.R. Part 515,
or (II) designated under Sections 1(a), 1(b), 1(c) or
1(d) of Executive Order No. 13224, 66 Fed. Reg. 49079
(published September 25, 2001, as amended by Executive Order 13268 of July 2,
2002,  Executive Order 13284 of January 23,
2003, and Executive Order 13372 of February 16, 2005) or similarly designated
under any related enabling legislation or any other similar executive orders
(collectively, the “Executive Orders”), shall be an assignee or
participant under this Section 9.2;

(C)           any
assignment of the assigning Lender’s Loan and Commitment shall cover the same
percentage of such Lender’s Loan and Commitment;

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(iii)          the
parties to each such assignment shall (A) electronically execute and
deliver to the Administrative Agent, for its acceptance and recording, an Assignment
and Acceptance via an electronic settlement system acceptable to the
Administrative Agent (which initially shall be ClearPar, LLC) or (B) manually
execute and deliver to the Administrative Agent, for its acceptance and
recording, an Assignment and Acceptance, together with, in the case of clause
(B), a processing and recordation fee of $3,500;

(iv)          the
assignee, if not a Lender, shall deliver to the Administrative Agent an
Administrative Questionnaire and the applicable tax forms, duly completed by
such assignee; and

(v)           if
the assigning Lender’s Loans are evidenced by a Note, the Assignor shall
deliver to the Administrative Agent any Note subject to such assignment.

Any assignment or transfer by a Lender of rights or
obligations under this Agreement that does not comply with Section 9.2(a) and
(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 Section 9.2(h). If the consent of the Borrower to an
assignment is required hereunder (including a consent to an assignment which
does not meet the minimum assignment thresholds specified in Section 9.2(b)(i)),
the Borrower shall be deemed to have given its consent five Business Days after
the date written notice thereof has been delivered by the assigning Lender
(through the Administrative Agent or ClearPar) to the Borrower unless such
consent is expressly refused by the Borrower prior to such fifth Business Day.

(c)           Upon
such execution, delivery, acceptance and recording of an Assignment and
Acceptance, from and after the effective date specified in such Assignment and
Acceptance, (i) the assignee thereunder shall become a party hereto and,
to the extent that rights and obligations under the Loan Documents have been
assigned to such assignee pursuant to such Assignment and Acceptance, have the
rights and obligations of a Lender, hereunder and thereunder, and (ii) the
assignor thereunder shall, to the extent that rights and obligations under this
Agreement have been assigned by it pursuant to such Assignment and Acceptance,
relinquish its rights (except those which survive the payment in full of the
Obligations) and be released from its obligations under the Loan Documents,
other than those relating to events or circumstances occurring prior to such
assignment (and, in the case of an Assignment and Acceptance covering all or
the remaining portion of an assigning Lender’s rights and obligations under the
Loan Documents, such Lender shall cease to be a party hereto).

(d)           The
Administrative Agent shall maintain at its address referred to in Section 9.8
a copy of each Assignment and Acceptance delivered to and accepted by it and a
register for the recording of the names and addresses of the Lenders and the
Commitments of and principal amount of the Loans owing to each Lender from time
to time (the “Register”). Any assignment pursuant to this Section 9.2
shall not be effective 

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until such assignment is recorded in
the Register. The entries in the Register shall be conclusive and binding for
all purposes, absent manifest error, and the Loan Parties, the Administrative
Agent and the Lenders may treat each Person whose name is recorded in the
Register as a Lender for all purposes of this Agreement. The entries in the
Register shall be available for inspection by the Borrower, the Administrative
Agent or any Lender at any reasonable time and from time to time upon
reasonable prior notice.

(e)           Upon
its receipt of a duly completed Assignment and Acceptance executed by an
assigning Lender and an assignee, an Administrative Questionnaire completed in
respect of the assignee (unless the assignee shall already be a Lender
hereunder), the processing and recordation fee required by paragraph (b)(iii) above
(if any), the applicable tax forms completed in respect of the assignee (unless
the assignee shall already be a Lender hereunder) and, if required, the written
consent of the Borrower and the Administrative Agent to such assignment, the
Administrative Agent shall (i) accept such Assignment and Acceptance, (ii) record
the information contained therein in the Register and (iii) give prompt
notice thereof to the Borrower. Within five Business Days after its receipt
of  a notice from the Administrative
Agent, the Borrower, at its own expense, shall, if requested by such assignee,
execute and deliver to the Administrative Agent, new Notes to the order of such
assignee in an amount equal to the Commitments and Loans assumed by it pursuant
to such Assignment and Acceptance and, if the assigning Lender has surrendered
any Note for exchange in connection with the assignment and has retained
Commitments or Loans hereunder, new Notes to the order of the assigning Lender
in an amount equal to the Commitments and Loans retained by it hereunder. Such
new Notes shall be dated the same date as the surrendered Notes and be in
substantially the form of Exhibit B.

(f)            Notwithstanding
anything to the contrary contained herein, any Lender (a “Granting Lender”)
may grant to a special purpose funding vehicle (a “SPC”), identified as
such in writing from time to time by the Granting Lender to the Administrative
Agent and the Borrower, the option to provide to the Borrower all or any part
of any Loan that such Granting Lender would otherwise be obligated to make to
the Borrower pursuant to this Agreement; provided, however, that (i) nothing
herein shall constitute a commitment by any SPC to make any Loan, and (ii) if
an SPC elects not to exercise such option or otherwise fails to provide all or
any part of such Loan, the Granting Lender shall be obligated to make such Loan
pursuant to the terms hereof. The making of a Loan by an SPC hereunder shall
utilize the related Commitment of the Granting Lender to the same extent, and
as if, such Loan were made by such Granting Lender. Each party hereto hereby
agrees that no SPC shall be liable for any indemnity or similar payment
obligation under this Agreement (all liability for which shall remain with the
Granting Lender). In furtherance of the foregoing, each party hereto hereby
agrees (which agreement shall survive the termination of this Agreement) that,
prior to the date that is one year and one day after the payment in full of all
outstanding commercial paper or other senior indebtedness of any SPC, such
party will not institute against, or join any other Person in instituting
against, such SPC any bankruptcy, reorganization, arrangement, insolvency or
liquidation proceedings under the laws of the United States or any State
thereof. In addition, notwithstanding anything to the contrary contained in
this Section 9.2, any SPC 

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may (i) with notice to, but
without the prior written consent of, the Borrower and the Administrative Agent
and without paying any processing fee therefor, assign all or a portion of its
interests in any Loans to the Granting Lender or to any financial institutions
(consented to by the Borrower and Administrative Agent) providing liquidity
and/or credit support to or for the account of such SPC to support the funding
or maintenance of Loans and (ii) disclose on a confidential basis any
non-public information relating to its Loans to any rating agency, commercial
paper dealer or provider of any surety, guarantee or credit or liquidity
enhancement to such SPC. This Section 9.2(f) may not be
amended without the written consent of each SPC.

(g)           In
addition to the other assignment rights provided in this Section 9.2,
each Lender may assign, as collateral or otherwise, a security interest in any
of its rights under this Agreement (including rights to payments of principal
or interest on the Loans) to (i) any Federal Reserve Bank pursuant to
Regulation A of the Federal Reserve Board without notice to or consent of the
Borrower or the Administrative Agent and (ii) any trustee for the benefit
of the holders of such Lender’s Securities; provided, however, that
no such assignment shall release the assigning Lender from any of its
obligations hereunder or substitute any such pledgee or assignee for such
Lender as a party hereto.

(h)           Each
Lender may sell participations to one or more Persons in or to all or a portion
of its rights and obligations under the Loan Documents (including all its
rights and obligations with respect to the Loans). The terms of such
participation shall not, in any event, require the participant’s consent to any
amendments, waivers or other modifications of any provision of any Loan
Documents, the consent to any departure by any Loan Party therefrom, or to the
exercising or refraining from exercising any powers or rights which such Lender
may have under or in respect of the Loan Documents (including the right to
enforce the Obligations of the Loan Parties), except if any such amendment,
waiver or other modification or consent would (i) reduce the amount, or
postpone any date fixed for, any amount (whether of principal, interest or
fees) payable to such participant under the Loan Documents, to which such
participant would otherwise be entitled under such participation or (ii) result
in the release of the Administrative Agent’s Lien on all or substantially all
of the Collateral other than in accordance with Section 8.7(b). In
the event of the sale of any participation by any Lender, (A) such Lender’s
obligations under the Loan Documents shall remain unchanged, (B) such
Lender shall remain solely responsible to the other parties for the performance
of such obligations, (C) such Lender shall remain the holder of such
Obligations for all purposes of this Agreement, and (D) the Borrower, the
Administrative Agent and the other Lenders shall continue to deal solely and
directly with such Lender in connection with such Lender’s rights and obligations
under this Agreement. Each participant shall be entitled to the benefits of Section 2.12(c),
(d) and (e), Section 2.13 and Section 2.14
as if it were a Lender; provided, however, that anything herein
to the contrary notwithstanding, the Borrower shall not, at any time, be
obligated to pay to any participant of any interest of any Lender, under Section 2.12(c),
(d) and (e), Section 2.13 or Section 2.14
any sum in excess of the sum which the Borrower would have been obligated to
pay to such Lender in respect of such interest had such participation not been
sold.

 

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Section 9.3   Costs
and Expenses.

(a)           The
Borrower agrees to pay, or reimburse the Administrative Agent and the
Collateral Agent for, all of the Administrative Agent’s and Collateral Agent’s
reasonable and documented internal and external audit, legal, appraisal,
valuation, filing, syndication, document duplication and reproduction and
investigation expenses and for all other reasonable out-of-pocket costs and
expenses of every type and nature (including the reasonable fees, expenses and
disbursements of the Administrative Agent’s counsel, Skadden, Arps, Slate,
Meagher & Flom LLP, the Collateral Agent’s counsel, Morgan, Lewis &
Bockius LLP, and any other local and special legal counsel, auditors,
accountants, appraisers, printers, insurance and environmental advisers, and
other consultants and agents) incurred by the Administrative Agent and the
Collateral Agent in connection with (i) the Administrative Agent’s and
Collateral Agent’s audit and investigation of the Borrower and its Subsidiaries
in connection with the preparation, negotiation and execution of the Loan
Documents and the Administrative Agent’s and Collateral Agent’s periodic audits
of the Borrower and its Subsidiaries, as the case may be; provided, however,
that, except during such time as a Default or Event of Default shall have
occurred and be continuing, the Borrower shall have to pay or reimburse the
Administrative Agent and the Collateral Agent for costs and expenses in respect
of only one such periodic audit during any Fiscal Year; (ii) the preparation,
negotiation, execution and interpretation of this Agreement (including the
satisfaction or attempted satisfaction of any of the conditions set forth in Article III),
the Loan Documents and any proposal letter or commitment letter issued in
connection therewith and the making of the Loans hereunder; (iii) the
creation, perfection or protection of the Liens under the Loan Documents
(including any reasonable fees and expenses for local and special counsel in
various jurisdictions); (iv) the ongoing administration of this Agreement
and the Loans (other than ordinary overhead expenses of the Administrative
Agent in connection with such administration), including consultation with
attorneys in connection therewith and with respect to the Administrative Agent’s
and the Collateral Agent’s rights and responsibilities hereunder and under the
other Loan Documents; (v) the protection, collection or enforcement of any
of the Obligations or the enforcement of any of the Loan Documents; (vi) the
commencement, defense or intervention in any court proceeding relating in any
way to the Obligations, any Loan Party, any of the Borrower’s Subsidiaries, the
Recapitalization, this Agreement or any of the other Loan Documents; (vii) the
response to, and preparation for, any subpoena or request for document
production with which the Administrative Agent and/or the Collateral Agent is
served or deposition or other proceeding in which the Administrative Agent
and/or the Collateral Agent is called to testify, in each case, relating in any
way to the Obligations, any Loan Party, any of the Borrower’s Subsidiaries, the
Recapitalization, this Agreement or any of the other Loan Documents; and (viii) any
amendments, consents, waivers, assignments, restatements, or supplements to any
of the Loan Documents and the preparation, negotiation, and execution of the
same.

(b)           The
Borrower further agrees to pay or reimburse the Administrative Agent, the
Collateral Agent and each of the Lenders for all reasonable out-of-pocket costs
and expenses, including, without limitation, reasonable attorneys’ fees
(including allocated 

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costs of internal counsel and costs of settlement), incurred
by the Administrative Agent, the Collateral Agent or Lenders (i) in enforcing
any Loan Document or Obligation or any security therefor or exercising or enforcing
any other right or remedy available by reason of an Event of Default; (ii) in
connection with any refinancing or restructuring of the credit arrangements
provided hereunder in the nature of a “Work-Out” or in any insolvency or
bankruptcy proceeding; (iii) in commencing, defending or intervening in
any litigation or in filing a petition, complaint, answer, motion or other
pleadings in any legal proceeding relating to the Obligations, any Loan Party,
any of the Borrower’s Subsidiaries and related to or arising out of the
transactions contemplated hereby or by any of the other Loan Documents; and (iv) in
taking any other action in or with respect to any suit or proceeding
(bankruptcy or otherwise) described in clauses (i) through (iii) above.

(c)           All
amounts payable under this Section 9.3 shall become due and payable
on the Closing Date (with respect to costs and expenses incurred on or prior to
the Closing Date for which the Borrower shall have received a request on or
prior to the Closing Date) or on the date 30 days after written demand therefor
(with respect to any other costs and expenses). Any such request or demand
shall be accompanied by invoices or other documentation containing reasonably
sufficient detail as to all such amounts so payable (except that privileged or
confidential information may be excluded therefrom).

Section 9.4   Indemnities.

(a)           The
Borrower agrees to indemnify and hold harmless the Administrative Agent, the
Collateral Agent, the Arrangers, each Lender and each of their respective
Affiliates, and each of the directors, officers, employees, agents,
representative, attorneys, trustees, consultants and advisors of or to any of
the foregoing (including those retained in connection with the satisfaction or
attempted satisfaction of any of the conditions set forth in Article III)
(each such Person being an “Indemnitee”) from and against any and all
claims, damages, liabilities, obligations, losses, penalties, actions,
judgments, suits, costs, disbursements and expenses of any kind or nature
whatsoever (including fees and disbursements of counsel to any such
Indemnitee), joint or several, which may be imposed on, incurred by, or asserted
or awarded against any such Indemnitee in connection with or arising out of any
investigation, litigation or proceeding or the preparation of any defense in
connection therewith, regardless of whether any such investigation, litigation
or proceeding is brought by any Loan Party, any of its directors, security
holders or creditors, an Indemnitee or any other Person, whether any such
Indemnitee is otherwise a party thereto, whether direct, indirect, or
consequential and whether based on any federal, state or local law or other
statutory regulation, securities or commercial law or regulation, or under
common law or in equity, or on contract, tort or otherwise, in any manner
relating to or arising out of this Agreement, any other Loan Document, any
Obligation, the Confidential Information Memorandum, or any act, event or
transaction related or attendant to any thereof, or the use or intended use of
the proceeds of the Loans or in connection with any investigation of any
potential matter covered hereby (collectively, the “Indemnified Matters”);
provided, however, that the Borrower shall not have any
obligation under this Section 9.4 to an Indemnitee with 

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respect to any Indemnified Matter (x) caused by or resulting
from the gross negligence or willful misconduct of that Indemnitee or (y) arising
from the unexcused breach of any contractual commitment of such Indemnitee to
the Borrower, if (in the case of (y)) a court of competent jurisdiction in a final
non-appealable judgment or order establishes that such unexcused breach has
occurred. Without limiting the foregoing, Indemnified Matters include (i) all
Environmental Liabilities and Costs arising from or connected with the past,
present or future operations of the Borrower or any of its Subsidiaries or
damage to real or personal property or natural resources or harm or injury
alleged to have resulted from any Release of Materials of Environmental Concern
on, upon or into such property or any contiguous real estate; (ii) any
costs or liabilities incurred in connection with any Remedial Action concerning
the Borrower or any of its Subsidiaries; (iii) any costs or liabilities
incurred in connection with any Environmental Laws; and (iv) any
Environmental Liabilities, including the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, 49 U.S.C. Sections 9601 et seq.
and applicable state property transfer laws, whether, with respect to any of
such matters, such Indemnitee is a mortgagee pursuant to any leasehold
mortgage, a mortgagee in possession, the successor in interest to the Borrower
or any of its Subsidiaries, or the owner, lessee or operator of any property of
the Borrower or any of its Subsidiaries by virtue of foreclosure, except, with
respect to those matters referred to in clauses (i), (ii), (iii) and (iv) above,
to the extent incurred following (A) foreclosure by the Collateral Agent,
the Administrative Agent or any Lender, or the Collateral Agent, the
Administrative Agent or any Lender having become the successor in interest to
the Borrower or any of its Subsidiaries, and (B) acts attributable to the
Collateral Agent, the Administrative Agent, such Lender or any agent on behalf
of the Collateral Agent, the Administrative Agent or such Lender.

(b)           The
Borrower shall indemnify the Collateral Agent, the Administrative Agent and the
Lenders for, and hold the Collateral Agent, the Administrative Agent and the
Lenders harmless from and against, any and all claims for brokerage commissions,
fees and other compensation made against the Collateral Agent, the
Administrative Agent and the Lenders for any broker, finder or consultant with
respect to any agreement, arrangement or understanding made by or on behalf of
any Loan Party or any of its Subsidiaries in connection with the transactions
contemplated by this Agreement.

(c)           The
Administrative Agent, the Collateral Agent and each Lender agree that in the
event that any such investigation, litigation or proceeding set forth in
subparagraph (a) above is asserted or threatened in writing or instituted
against it or any other Indemnitee, or any Remedial Action, is requested of it
or any of its officers, directors, agents and employees, for which any
Indemnitee may desire indemnity or defense hereunder, such Indemnitee shall
notify the Borrower in writing promptly after such Indemnitee first has actual
knowledge of such investigation, litigation, proceeding or Remedial Action; provided,
however, that the failure of such Indemnitee to promptly provide such
notice shall not reduce or eliminate the Borrower’s obligations under
subparagraph (a) of this Section 9.4 except that, to the
extent any rights or defenses of Borrower therein are irrevocably forfeited
solely as a result of such failure, the Borrower’s obligations under
subparagraph (a) of this Section 9.4 shall exclude any 

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obligation arising solely as a result of (and that would not
exist absent) such forfeiture of such rights or defenses.

(d)           The
Borrower, at the request of any Indemnitee, shall have the obligation to defend
against such investigation, litigation or proceeding or requested Remedial Action
and the Borrower, in any event, may participate in the defense thereof with
legal counsel of the Borrower’s choice. In the event that such Indemnitee
requests the Borrower to defend against such investigation, litigation or
proceeding or requested Remedial Action, the Borrower shall promptly do so and
such Indemnitee shall have the right to have legal counsel of its choice
participate in such defense. No action taken by legal counsel chosen by such
Indemnitee in defending against any such investigation, litigation or
proceeding or requested Remedial Action, shall vitiate or in any way impair the
Borrower’s obligation and duty hereunder to indemnify and hold harmless such
Indemnitee. The Borrower shall not be liable in respect of any settlement of
any such investigation, litigation or proceeding or requested Remedial Action
without its written consent (which consent shall not be unreasonably withheld
or delayed). The Borrower shall not, without the prior written consent of such
Indemnitee (which consent shall not be unreasonably withheld or delayed),
effect any settlement of any such investigation, litigation or proceeding or
requested Remedial Action.

(e)           Without
prejudice to the survival of any other agreement of the Borrower hereunder, the
Borrower agrees that any indemnification or other protection provided to any
Indemnitee pursuant to this Agreement (including pursuant to this Section 9.4)
or any other Loan Document and any obligations of the Borrower under Section 9.3
shall (i) survive and remain operative and in full force and effect
regardless of the occurrence of the Loan Maturity Date, the termination of any
Commitments hereunder, the consummation of (or the failure to consummate) the
transactions contemplated hereby, the repayment of any of the Loans, the
invalidity or unenforceability of any term or provision of this Agreement or
the Notes, any investigation made by or on behalf of the Administrative Agent
or any Lender and the payment in full of the Obligations and (ii) inure to
the benefit of any Person who was at any time an Indemnitee under this
Agreement or any other Loan Document.

(f)            All
amounts payable under this Section 9.4 shall become due and payable
on the date 30 days after written demand therefor which demand shall be
accompanied by invoices or other documentation containing reasonably sufficient
detail as to all such amounts so payable (except that privileged or confidential
information may be excluded therefrom). Statements payable by the Borrower
pursuant to this Section 9.4 shall be submitted to the attention of
Chief Financial Officer  (Telephone No. 312-840-5088)
(Telecopy No. 312-840-5569), at the address of the Borrower in
Illinois set forth in Section 9.8, and a copy to the Borrower to
the attention of Jonathan Cole (Telephone No. 312-840-5112)
(Telecopy No. 312-840-5569) at the address of the Borrower in
Illinois set forth in Section 9.8, or to such other Person or
address as may be hereafter designated by the Borrower in a written notice to
the Administrative Agent.

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Section 9.5   Limitation
of Liability. Each of Holdings and the Borrower hereby irrevocably and
unconditionally waives, to the maximum extent not prohibited by law, any right
it may have to claim or
recover in any legal action or proceeding relating to any Loan Document any
special, exemplary, punitive or consequential damages.

Section 9.6   Right
of Set-Off. Upon the occurrence and during the continuance of any Event of
Default, each Lender and each Affiliate of a Lender is hereby authorized at any
time and from time to time, 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 and
other indebtedness at any time owing by such Lender or its Affiliates to or for
the credit or the account of the Borrower against any and all of the
Obligations now or hereafter existing whether or not such Lender shall have made
any demand under this Agreement or any other Loan Document and although such
Obligations may be unmatured. Each Lender agrees promptly to notify the
Borrower after any such set-off and application made by such Lender or its
Affiliates; provided, however, that the failure to give such
notice shall not affect the validity of such set-off and application. The
rights of each Lender under this Section 9.6 are in addition to the
other rights and remedies (including other rights of set-off) which such Lender
may have.

Section 9.7   Sharing
of Payments, Etc.

(a)           If
any Lender shall obtain any payment (whether voluntary, involuntary, through
the exercise of any right of set-off or otherwise) of the Loans owing to it,
any interest thereon, fees in respect thereof or amounts due pursuant to Section 9.3
or Section 9.4 (other than payments pursuant to Section 2.12,
Section 2.13 or Section 2.14) in excess of its Ratable
Portion of all payments of such Obligations obtained by all the Lenders, such
Lender (a “Purchasing Lender”) shall forthwith purchase from the other
Lenders (each, a “Selling Lender”) such participations in their Loans or
other Obligations as shall be necessary to cause such Purchasing Lender to
share the excess payment ratably with each of them.

(b)           If
all or any portion of any payment received by a Purchasing Lender is thereafter
recovered from such Purchasing Lender, such purchase from each Selling Lender
shall be rescinded and such Selling Lender shall repay to the Purchasing Lender
the purchase price to the extent of such recovery together with an amount equal
to such Selling Lender’s ratable share (according to the proportion of (i) the
amount of such Selling Lender’s required repayment to (ii) the total
amount so recovered from the Purchasing Lender) of any interest or other amount
paid or payable by the Purchasing Lender in respect of the total amount so
recovered.

(c)           The
Borrower agrees that any Purchasing Lender so purchasing a participation from a
Selling Lender pursuant to this Section 9.7 may, to the fullest
extent permitted by law, exercise all its rights of payment (including the
right of set-off) with respect to such participation as fully as if such
Purchasing Lender were the direct creditor of the Borrower in the amount of
such participation.

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Section 9.8   Notices,
Etc.

(a)           All
notices, demands, requests and other communications provided for in this
Agreement shall be given in writing, unless otherwise specifically provided
herein, or by any telecommunication device capable of creating a written record
(including electronic mail), and addressed to the party to be notified as
follows:

(i)            if
to Holdings:

c/o Merisant Worldwide, Inc.

10 South Riverside Plaza

Suite 850

Chicago, IL 60606

Attention: Jonathan Cole

Telecopy: (312) 840-5112

Telephone: (312) 840-5669

(ii)           if
to the Borrower:

Merisant Company

10 South Riverside Plaza

Suite 850

Chicago, IL 60606

Attention: Chief Financial Officer

Telecopy: (312) 840-5569

Telephone: (312) 840-5088

with copies to:

Sidley Austin LLP

1 South Dearborn Street

Chicago, IL 60603

Attention: Robert J. Lewis

Telecopy: (312) 853-7036

Telephone: (312) 853-7363

and:

Merisant Worldwide, Inc.

10 South Riverside Plaza

Suite 850

Chicago, IL 60606

Attention: Jonathan Cole

Telecopy: (312) 840-5112

Telephone: (312) 840-5669

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(iii)          if
to any Lender, at its Domestic Lending Office specified opposite its name on
Schedule II or on the signature page of any applicable Assignment and
Acceptance; and

(iv)          if
to the Administrative Agent:

Credit Suisse

Eleven Madison Avenue, OMA2

New York, NY 10010

Attention:  Agency Loan Administrator 

Telecopy:  (212) 325-8304

Telephone: (212) 325-2000

with a copy to:

Skadden, Arps, Slate,
Meagher & Flom LLP

Four Times Square

New York, NY 10036

Attention:  Thomas W. Gowan

Telecopy: (917) 777-2444

Telephone: (212) 735-2444

(v)           if
to the Collateral Agent:

Wells Fargo Bank, National Association

MAC N9303-120

Sixth Street & Marquette Avenue

Minneapolis, MN  55479

Attention:  Jefferey T. Rose

Telecopy:  (612) 667-9825

Telephone:  (612) 667-0337

with a copy to:

Morgan, Lewis &
Bockius LLP

101 Park Avenue

New York, NY 10178

Attention:  Leonard Klingbaum

Telecopy: (212) 309-6001

Telephone: (203) 309-6935

or at such other address as shall be notified in
writing (i) in the case of the Borrower and the Administrative Agent, to
the other parties and (ii) in the case of all other parties, to the
Borrower and the Administrative Agent. All such notices and communications
shall be effective upon personal delivery (if delivered by hand, including any
overnight courier service), when deposited in the mail (if sent by mail), or
when properly transmitted (if sent by a telecommunications device or through
the internet); provided, however, that 

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notices and communications to the Administrative Agent
pursuant to Article II, Article V or Article IX shall not be
effective until received by the Administrative Agent.

Section 9.9   No
Waiver; Remedies. No failure on the part of any Lender or the
Administrative Agent to exercise, and no delay in exercising, any right
hereunder shall operate as a waiver
thereof nor shall any single or partial exercise of any such right preclude any
other or further exercise thereof or the exercise of any other right. The
remedies herein provided are cumulative and not exclusive of any remedies
provided by law.

Section 9.10   Binding
Effect. This Agreement shall become effective when it shall have been executed
by the Borrower and the Administrative Agent and when the Administrative Agent shall have been notified by
each Lender that such Lender has executed it and thereafter shall be binding
upon and inure to the benefit of the Borrower, the Administrative Agent and
each Lender and, in each case, its respective successors and assigns, except
that neither Holdings nor the Borrower shall have the right to assign its
rights hereunder or any interest herein without the prior written consent of
the Lenders.

Section 9.11   Governing
Law. THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HERETO,
INCLUDING THE INTERPRETATION, CON­STRUCTION,
VALIDITY AND ENFORCEABILITY THEREOF, SHALL BE GOVERNED BY, AND CONSTRUED AND
INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.

Section 9.12   Submission
to Jurisdiction; Service of Process.

Each of the Lenders, Holdings and the Borrower hereby irrevocably and
unconditionally:

(a)           submits
for itself and its property in any legal action or proceeding relating to this
Agreement or any other Loan Document to which it is a party, or for recognition
and enforcement of any judgment in respect thereof, to the non-exclusive
general jurisdiction of the courts of the State of New York sitting in New York
County, the courts of the United States for the Southern District of New York,
and appellate courts from any thereof;

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

(c)           agrees
that service of process in any such action or proceeding may be effected by
mailing a copy thereof by registered or certified mail (or any substantially
similar form of mail), postage prepaid, to Holdings or the Borrower, as the
case may be, at its address specified in Section 9.8; and

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

Section 9.13   Waiver
of Jury Trial. EACH OF THE ADMINISTRATIVE AGENT, THE COLLATERAL AGENT, THE
LENDERS, HOLDINGS AND THE BORROWER IRREVOCABLY
WAIVES TRIAL BY JURY IN ANY ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT
OR ANY OTHER LOAN DOCUMENT.

Section 9.14   Marshaling;
Payments Set Aside. None of the Collateral Agent, the Administrative Agent
or any Lender shall be under any obligation to marshal any assets in favor of the Borrower or any
other party or against or in payment of any or all of the Obligations. To the
extent that the Borrower makes a payment or payments to the Collateral Agent,
the Administrative Agent or the Lenders or any of such Persons receives payment
from the proceeds of the Collateral or exercise their rights of setoff, and
such payment or payments or the proceeds of such enforcement or setoff or any
part thereof are subsequently invalidated, declared to be fraudulent or
preferential, set aside or required to be repaid to a trustee, receiver or any
other party, then to the extent of such recovery, the obligation or part
thereof originally intended to be satisfied, and all Liens, right and remedies
therefor, shall be revived and continued in full force and effect as if such
payment had not been made or such enforcement or setoff had not occurred.

Section 9.15   Section Titles.
The Section titles contained in this Agreement are and shall be without
substantive meaning or content of any kind whatsoever and are not a part of the agreement between the parties
hereto.

Section 9.16   Execution
in Counterparts. This Agreement may be executed in any number of
counterparts and by different parties in separate counterparts, each of which
when so executed shall
be deemed to be an original and all of which taken together shall constitute
one and the same agreement. Signature pages may be detached from multiple
separate counterparts and attached to a single counterpart so that all
signature pages are attached to the same document. Delivery of an executed
signature page of this Agreement by facsimile transmission shall be as
effective as delivery of a manually executed counterpart hereof. A set of the
copies of this Agreement signed by all parties shall be lodged with the
Borrower and the Administrative Agent.

Section 9.17   Entire
Agreement. This Agreement, together with the Fee Letters, all of the other
Loan Documents and all certificates and documents delivered hereunder or thereunder, embodies the entire
agreement of the parties and supersedes all prior agreements and understandings
relating to the subject matter hereof. In the event of any conflict between the
terms of this Agreement and any other Loan Document, the terms of this
Agreement shall govern.

Section 9.18   Confidentiality.
Each Lender, the Collateral Agent and the Administrative Agent agree to keep
information obtained by it pursuant hereto and the other Loan Documents confidential in
accordance with such Lender’s or the Administrative Agent’s, as the case may
be, customary practices and agrees that it will use such information only in
connection with the transactions contemplated by this Agreement and not
disclose any of such 

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information other than (a) to
such Lender’s, Collateral Agent’s or the Administrative Agent’s, as the case
may be, employees, representatives and agents who are or are expected to be
involved in the evaluation of such information in connection with the
transactions contemplated by this Agreement and who are advised of the confidential
nature of such information, (b) to the extent such information presently
is or hereafter becomes available to such Lender, the Collateral Agent or the
Administrative Agent, as the case may be, on a non-confidential basis from a
source other than the Borrower, (c) to the extent disclosure is required
by law, regulation or judicial order or requested or required by bank
regulators or auditors, or (d) to assignees or participants or potential
assignees or participants or a Lender’s secured creditor, in each case who
agree to be bound by the provisions of this Section 9.18.
Notwithstanding any other provision in this Agreement, the Borrower, Holdings,
each Lender, the Collateral Agent and the Administrative Agent hereby agree
that each of the Lenders, the Collateral and the Administrative Agent (and each
of their respective officers, directors, employees, accountants, attorneys and
other advisors) may disclose to any and all Persons, without limitation of any
kind, the United States tax treatment and United States tax structure of the
transaction and all materials of any kind (including opinions and other tax
analyses) that are provided to each of them relating to such United States tax
treatment and United States tax structure.

Section 9.19   Waiver
of Usury Defense. To the extent permitted by applicable law, each of
Holdings and the Borrowers agrees that it will not assert, plead (as a defense
or otherwise) or in any
manner whatsoever claim (and will actively resist any attempt to compel it to
assert, plead or claim) in any action, suit or proceeding that the effective
interest rate on any Loan violates present or future usury or other laws
relating to the interest payable on any Obligations and will not otherwise
avail itself (and will actively resist any attempt to compel it to avail
itself) of the benefits or advantages of any such laws.

Section 9.20   Survival
of Agreement. All covenants, agreements, representations and warranties
made by the Borrower, any other Loan Party or any of their respective subsidiaries
herein or in the
certificates or other instruments prepared or delivered in connection with this
Agreement, any of the Collateral Documents or any other Loan Document shall be
considered to have been relied upon by the Lenders, the Collateral Agent and
the Administrative Agent, which shall survive the making by the Lenders of the
Loans and the execution and delivery to the Lenders of the Notes,
notwithstanding any investigation heretofore or hereafter made (or any prior or
future participation in the preparation or delivery of any such documents or
schedules thereto) by any of them (or by any employees, agents, attorneys,
consultants and advisors thereof or thereto).

Section 9.21   USA
Patriot Act. Each Lender or assignee or participant of a Lender that is not
incorporated under the laws of the United States or a state thereof (and is not
excepted from the certification
requirement contained in Section 313 of the Patriot Act and the applicable
regulations because it is both (i) an affiliate of a depository institution
or foreign bank that maintains a physical presence in the United States or
foreign country, and (ii) subject to supervision by a banking authority
regulating such affiliated depository institution or foreign bank) shall
deliver to the Administrative Agent the certification, or, if applicable,
recertification, certifying that such Lender is not a “shell” and certifying to
other matters as required by Section 313 

 111
 

 

of the Patriot Act and
the applicable regulations: (1) within 10 days after the Closing Date, and
(2) as such other times as are required under the Patriot Act.

Section 9.22   SUBORDINATION
OF LIENS; TERMS OF INTERCREDITOR AGREEMENT; ETC.

(a)           EACH
LENDER PARTY HERETO UNDERSTANDS, ACKNOWLEDGES AND AGREES THAT THE LIENS CREATED
PURSUANT TO THE LOAN DOCUMENTS SHALL BE EXPRESSLY SUBORDINATED AND JUNIOR IN
RIGHT OF PAYMENT TO THE LIENS CREATED PURSUANT TO THE FIRST LIEN LOAN DOCUMENTS
IN ACCORDANCE WITH THE TERMS OF THE INTERCREDITOR AGREEMENT. NOTWITHSTANDING
ANYTHING HEREIN OR IN ANY LOAN DOCUMENT TO THE CONTRARY, THE LIENS AND SECURITY
INTERESTS GRANTED TO THE COLLATERAL AGENT PURSUANT TO THE VARIOUS LOAN
DOCUMENTS AND THE EXERCISE OF ANY RIGHT OR REMEDY BY THE COLLATERAL AGENT
PURSUANT TO THE LOAN DOCUMENTS ARE SUBJECT TO THE PROVISIONS OF THE
INTERCREDITOR AGREEMENT. THE INTERCREDITOR AGREEMENT ALSO CONTAINS CERTAIN PROVISIONS
PROVIDING FOR RELEASES OF GUARANTORS AND/OR COLLATERAL PURSUANT TO THE LOAN
DOCUMENTS IN THE EVENT THAT SUCH GUARANTORS AND/OR COLLATERAL ARE RELEASED
PURSUANT TO THE FIRST LIEN LOAN DOCUMENTS. IN THE EVENT OF ANY CONFLICT BETWEEN
THE TERMS OF THE INTERCREDITOR AGREEMENT AND ANY OF THE LOAN DOCUMENTS, THE
PROVISIONS OF THE INTERCREDITOR AGREEMENT SHALL GOVERN AND CONTROL.

(b)           EACH
LENDER AUTHORIZES AND INSTRUCTS THE COLLATERAL AGENT AND THE ADMINISTRATIVE
AGENT TO ENTER INTO THE INTERCREDITOR AGREEMENT ON BEHALF OF THE LENDERS, AND
TO TAKE ALL ACTIONS (AND EXECUTE ALL DOCUMENTS) REQUIRED (OR DEEMED ADVISABLE)
BY IT IN ACCORDANCE WITH THE TERMS OF THE INTERCREDITOR AGREEMENT.

(c)           THE
PROVISIONS OF THIS SECTION 9.22 ARE NOT INTENDED TO SUMMARIZE ALL
RELEVANT PROVISIONS OF THE INTERCREDITOR AGREEMENT, THE FORM OF WHICH IS
ATTACHED AS AN EXHIBIT TO THIS AGREEMENT. REFERENCE MUST BE MADE TO THE
INTERCREDITOR AGREEMENT ITSELF TO UNDERSTAND ALL TERMS AND CONDITIONS THEREOF. EACH
LENDER IS RESPONSIBLE FOR MAKING ITS OWN ANALYSIS AND REVIEW OF THE
INTERCREDITOR AGREEMENT AND THE TERMS AND PROVISIONS THEREOF, AND NO ARRANGER
OR ANY OF THEIR AFFILIATES MAKES ANY REPRESENTATION TO ANY LENDER AS TO THE
SUFFICIENCY OR ADVISABILITY OF THE PROVISIONS CONTAINED IN THE INTERCREDITOR
AGREE­MENT. EACH LENDER IS FURTHER AWARE THAT SEVERAL OF THE ARRANGERS ARE ALSO
ACTING IN VARIOUS AGENCY CAPACITIES UNDER, AND AS DEFINED IN, THE FIRST LIEN
LOAN DOCUMENTS, AND EACH LENDER HEREBY IRREVOCABLY WAIVES ANY OBJECTION THERETO
OR CAUSE OF ACTION ARISING THEREFROM.

 112
 

 

Section 9.23   Holdings
Existence. Notwithstanding anything to the contrary contained herein, upon
the permanent reduction of Indebtedness, liabilities and financial obligations of Holdings to an aggregate
amount of less than or equal to $10,000,000 on a pro forma basis after giving
effect to the transactions in connection with a merger or consolidation or
transfer of assets, the Borrower may merge or consolidate with or into Holdings
or transfer all or substantially all of its assets to Holdings (or Holdings
with or into the Borrower or transfer all of substantially all of its assets to
the Borrower), and the Borrower or Holdings, as applicable, shall enter into
negotiations with the Administrative Agent to, and the Lenders hereby direct
the Administrative Agent, on behalf of the Lenders to, reflect equitably such
merger or consolidation in the Loan Documents with the desired result that the
surviving entity maintain the equivalent rights, responsibilities and
Obligations as Holdings and the Borrower have in the aggregate on the date
immediately prior to such merger or consolidation thereof.

[SIGNATURE
PAGES FOLLOW]

 

 113

 

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

	
  

  	
  MERISANT COMPANY

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Anthony J. Nocchiero

  	
   

  
	
   

  	
   

  	
  Name: Anthony J. Nocchiero

  	
   

  
	
   

  	
   

  	
  Title:   Chief Financial Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  MERISANT WORLDWIDE, INC.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/ Anthony J. Nocchiero

  	
   

  
	
   

  	
   

  	
  Name: Anthony J. Nocchiero

  	
   

  
	
   

  	
   

  	
  Title:   Chief Financial Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  CREDIT SUISSE, Cayman Island Branch as Administrative
  Agent and a Lender

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ David Dodd

  	
   

  
	
   

  	
   

  	
  Name:  David Dodd

  	
   

  
	
   

  	
   

  	
  Title:    Vice President

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Mikhail Faybusovich

  	
   

  
	
   

  	
   

  	
  Name:  Mikhail Faybusovich

  	
   

  
	
   

  	
   

  	
  Title:    Associate

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  WELLS FARGO BANK, NATIONAL ASSOCIATION,  as Collateral Agent

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jeffery Rose

  	
   

  
	
   

  	
   

  	
  Name:  Jeffery Rose

  	
   

  
	
   

  	
   

  	
  Title:    Vice President

  	
   

  

 

 

 

	
  

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  JEFFERIES & COMPANY, INC., 

  as a Lender

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Joe Schenk

  	
   

  
	
   

  	
   

  	
  Name:  Joe Schenk

  	
   

  
	
   

  	
   

  	
  Title:    Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  

 

 

SCHEDULE
I

COMMITMENTS

 

 

SCHEDULE
II

APPLICABLE LENDING OFFICES AND ADDRESSES FOR NOTICES 

[TO BE CONFIRMED]

	
  Lender

  	
  Addresses For Notices

  
	
   

  	
   

  

 

 2

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