Document:

exv10w5

Exhibit 10.5

EXECUTION
COPY

PLEDGE AGREEMENT

          This PLEDGE AGREEMENT, dated as of December 22, 2009 (as this agreement may be amended,
amended and restated, supplemented or otherwise modified, renewed or replaced from time to time,
this “Agreement”), is by and among each of the parties listed on Schedule I hereto
(each such party together with any other Person that becomes a party hereto pursuant to Section 25
is referred to individually as a “Pledgor” and collectively as the “Pledgors”), and
Wells Fargo Bank, National Association. (“Pledgee”), in its capacity as collateral agent
under the Indenture and Security Agreement (in such capacity the “Collateral Agent”) on behalf of
itself and the other Noteholder Secured Parties (as defined in the Indenture, as hereinafter
defined).

RECITALS

          WHEREAS, Pledgors and Pledgee are parties to that certain Indenture dated as of the date
hereof (as amended, amended and restated, supplemented or otherwise modified, renewed or replaced
from time to time, the “Indenture”); and

          WHEREAS, in order to induce Collateral Agent to enter into the Indenture, in order to induce
the Holders (as defined in the Indenture) to purchase the Notes, and as a condition to the
effectiveness of the Indenture, Pledgors have agreed to enter into certain Collateral Documents (as
defined in the Indenture), including this Agreement.

          NOW, THEREFORE, in order to (a) secure the prompt and complete payment and performance when
due of the Noteholder Obligations (as defined in the Indenture) and for good and valuable
consideration, the receipt of which is hereby acknowledged, and (b) grant, pledge, hypothecate and
transfer to Pledgee, for the ratable benefit of the Noteholder Secured Parties, a security interest
in each Pledgor’s right, title and interest in, to and under the Pledged Collateral (as hereinafter
defined) whether presently existing or hereafter arising or acquired, each of the Pledgors and
Pledgee, on behalf of itself and each other Noteholder Secured Party (and each of their respective
successors or assigns), hereby agrees as follows:

SECTION 1. Definition of Certain Terms Used Herein. Except as specifically defined in
this Agreement, all capitalized terms shall have the meanings given to those terms in the
Indenture. In addition to terms defined elsewhere in this agreement, “Senior Priority
Discharge Date” has the meaning assigned to such term in the Intercreditor Agreement.

SECTION 2. Pledge. As security for the payment or performance, as the case may be, in
full of the Noteholder Obligations, each Pledgor hereby bargains, sells, conveys, assigns, sets
over, mortgages, pledges, hypothecates and transfers to Pledgee, its successors and assigns, for
the benefit of itself and the other Noteholder Secured Parties, and hereby grants to Pledgee, its
successors and assigns, for the benefit of itself and the other Noteholder Secured Parties, a
security interest in all of such Pledgor’s right, title and interest in, to and under (i) any
shares of capital stock, partnership interests, membership interests in a limited liability
company, beneficial interests in a trust or other equity ownership interests in a Person
(collectively, the “Equity Interests”) owned by such Pledgor which are initially listed on
Schedule II hereto and

 

 

 any Equity Interests obtained in the future by such Pledgor and the
certificates representing all
such Equity Interests (the “Pledged Equity Interests”); provided, that the Pledged
Equity Interests of each Foreign Subsidiary of a Pledgor shall be limited, in the aggregate, to the
pledge of 65% of the voting Equity Interests of such Foreign Subsidiary, notwithstanding the
delivery by any Pledgor to Pledgee of a stock or other certificate representing in excess of such
percentage ownership, and in no event shall Equity Interests include joint venture interests (to
the extent prohibited by the organization documents of the relevant joint venture) or the stock of
Unrestricted Subsidiaries; (ii) (A) the debt securities owned by it which are listed opposite the
name of such Pledgor on Schedule II hereto, (B) any other debt securities issued to such
Pledgor; and (C) the promissory notes and any other instruments evidencing such debt securities;
(iii) all other property that may be delivered to and held by Pledgee pursuant to the terms hereof;
(iv) subject to Section 7 hereof, all payments of principal or interest, dividends, cash,
instruments and other property from time to time received, receivable or otherwise distributed, in
respect of, in exchange for or upon the conversion of the securities referred to in clauses (i) and
(ii) above; (v) subject to Section 7 hereof, all rights and privileges of such Pledgor with respect
to the securities and other property referred to in clauses (i), (ii), (iii) and (iv) above; and
(vi) all proceeds (as such term is defined in the UCC) of any of the foregoing (the items referred
to in clauses (i) through (vi) above being collectively referred to as the “Pledged
Collateral”). Without limiting the foregoing, Pledgee is hereby authorized to file one or more
financing statements, continuation statements or other filings or documents for the purpose of
perfecting, confirming, continuing, enforcing or protecting the security interest granted by each
Pledgor hereunder, without the signature of any Pledgors, and naming any Pledgor or the Pledgors as
debtors and Pledgee as secured party.

SECTION 3. No Assumption of Liability. The security interest in the Pledged Collateral is
granted as security only and shall not subject Pledgee or any other Noteholder Secured Party to any
obligation or liability, or in any way alter or modify, any obligation or liability of any Pledgor,
in each case, with respect to or arising out of the Pledged Collateral.

SECTION 4. Delivery of the Pledged Collateral.

     (a) Upon delivery to Pledgee (or, prior to the Senior Priority Discharge Date, the Revolving
Facility Collateral Agent in accordance with the Intercreditor Agreement), (i) any stock,
partnership or membership certificates, notes or other securities now or hereafter included in the
Pledged Collateral (the “Pledged Securities”) shall be accompanied by stock, partnership or
membership powers duly executed in blank or other instruments of transfer reasonably satisfactory
to Pledgee and by such other instruments and documents as Pledgee may reasonably request in order
to allow Pledgee, to exercise its rights and remedies under this Agreement and (ii) all other
property comprising part of the Pledged Collateral shall be accompanied by proper instruments of
assignment duly executed by the applicable Pledgor and such other instruments or documents as
Pledgee may reasonably request. Each delivery of Pledged Securities shall be accompanied by a
schedule describing the securities theretofore and then being pledged hereunder, which schedule
shall be attached hereto as Schedule II and made a part hereof. Each schedule so delivered
shall supersede any prior schedules so delivered. Schedule II may be amended from time to
time by the addition of the Pledged Collateral subsequently created or acquired by execution of a
Supplement in substantially the form of Annex I attached hereto.

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     (b) Each Pledgor will cause any indebtedness for borrowed money in an amount in excess of
$100,000 owed to the Pledgor by any Person to be evidenced by a duly executed promissory note that
is pledged and delivered to Pledgee (or, prior to the Senior Priority Discharge Date, the Revolving
Facility Collateral Agent in accordance with the Intercreditor Agreement) pursuant to the terms
hereof.

SECTION 5. Representations, Warranties And Covenants. Each Pledgor hereby represents,
warrants and covenants, as to itself and the Pledged Collateral pledged by it hereunder, to Pledgee
that:

     (a) the Pledged Equity Interests represent that percentage as set forth on Schedule II
of the issued and outstanding shares of each class of the Equity Interests of the issuer with
respect thereto;

     (b) except for the security interest granted hereunder, such Pledgor (i) is and will at all
times continue to be the direct owner, beneficially and of record, of the Pledged Collateral
indicated on Schedule II, (ii) holds the same free and clear of all Liens except Permitted
Liens, (iii) will make no assignment, pledge, hypothecation or transfer of, or create or permit to
exist any security interest in or other Lien on, the Pledged Collateral other than Permitted Liens
and pursuant hereto, and (iv) subject to Section 6, will cause any and all Pledged Collateral to be
forthwith deposited with Pledgee (or, prior to the Senior Priority Discharge Date, the Revolving
Facility Collateral Agent in accordance with the Intercreditor Agreement) and pledged or assigned
hereunder;

     (c) such Pledgor (i) has the power and authority to pledge the Pledged Collateral in the
manner hereby done or contemplated and (ii) will defend its title or interest thereto or therein
against any and all Liens, however arising, of all Persons whomsoever, except Permitted Liens;

     (d) no consent of any other Person (including stockholders or creditors of any Pledgor) and no
consent or approval of any governmental authority or any securities exchange was or is necessary to
the validity of the pledge effected hereby;

     (e) by virtue of the execution and delivery by the Pledgors of this Agreement, when the
Pledged Securities, certificates or other documents representing or evidencing the Pledged
Collateral are delivered to Pledgee in accordance with this Agreement, Pledgee will have a valid
and perfected lien upon, and security interest in, such Pledged Collateral as security for the
payment and performance of the Noteholder Obligations;

     (f) the pledge effected hereby is effective to vest in Pledgee, on behalf of itself and the
other Noteholder Secured Parties, the rights of Pledgee in the Pledged Collateral as set forth
herein;

     (g) all information set forth herein relating to the Pledged Collateral, including but not
limited to the information set forth on Schedule II hereto, is accurate and complete in all
material respects as of the date hereof;

     (h) the Pledged Equity Interests of each subsidiary of a Pledgor have been duly authorized and
validly issued and are fully paid and non-assessable (except with respect to such

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rights of assessment as may arise under mandatory provisions of applicable statutory law that
may not be waived or otherwise agreed, and not as a result of any rights contained in any
organizational document);

     (i) except as described on Schedule II, the Pledged Equity Interests described on
Schedule II hereof constitute all of the issued and outstanding shares of stock or other
Equity Interests of each of the subsidiaries of such Pledgor owned by such Pledgor;

     (j) each Pledgor agrees that it will (i) cause each of the issuers that are subsidiaries of
the Pledgors not to issue any stock or other securities in addition to or substitution for the
Pledged Securities issued by such issuer, except to the respective Pledgor and (ii) pledge
hereunder, immediately upon its acquisition (directly or indirectly) thereof, any and all such
additional shares of stock or other securities of each issuer of the Pledged Securities, subject to
the terms hereof; and

     (k) the pledge of the Pledged Securities pursuant to this Agreement does not violate
Regulation T, U or X of the Federal Reserve Board or any successor thereto as of the date hereof.

SECTION 6. Registration in Nominee Name; Denominations. After the Senior Priority
Discharge Date, or otherwise in accordance with the Intercreditor Agreement, Pledgee shall have the
right (in its sole and absolute discretion) to hold the Pledged Securities in its own name as
pledgee, or the name of its nominee (as pledgee or as sub-agent) or the name of the Pledgors,
endorsed or assigned in blank or in favor of Pledgee. Each Pledgor will promptly give to Pledgee
copies of any material notices or other communications received by it with respect to Pledged
Securities registered in the name of such Pledgor. Upon the occurrence of an Event of Default,
Pledgee shall at all times have the right to exchange the certificates representing Pledged
Securities for certificates of smaller or larger denominations for any purpose consistent with this
Agreement.

SECTION 7. Voting Rights; Dividends and Interest, Etc.

     (a) Unless and until an Event of Default shall have occurred and be continuing:

          (i) Each Pledgor shall be entitled to exercise any and all voting and other consensual rights
and powers inuring to an owner of Pledged Securities or any part thereof for any purpose not in
violation with the terms of this Agreement and the other Indenture Documents.

          (ii) Each Pledgor shall be entitled to receive and retain any and all cash dividends, interest
and principal paid on the Pledged Collateral to the extent and only to the extent that such cash
dividends, interest and principal are permitted by, and otherwise paid in accordance with, the
terms and conditions of the Indenture Documents and applicable laws. All noncash dividends,
interest and principal, and all dividends, interest and principal paid or payable in cash or
otherwise in connection with a partial or total liquidation or dissolution, return of capital,
capital surplus or paid-in surplus, and all other distributions (other than distributions referred
to in the preceding sentence) made on or in respect of the Pledged Collateral, whether paid or
payable in cash or otherwise, whether resulting from a subdivision, combination or reclassification
of the outstanding capital stock of the issuer of any Pledged Securities or

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received in exchange for Pledged Collateral or any part thereof, or in redemption thereof, or
as a result of any merger, consolidation, acquisition or other exchange of assets to which such
issuer may be a party or otherwise, shall be and become part of the Pledged Collateral and, if
received by any Pledgor, shall not be commingled by such Pledgor with any of its other funds or
property but shall be held separate and apart therefrom, shall be held in trust for the benefit of,
and shall be forthwith delivered to, Pledgee (or, prior to the Senior Priority Discharge Date, the
Revolving Facility Collateral Agent in accordance with the Intercreditor Agreement) in the same
form as so received (with any necessary endorsement).

          (iii) Pledgee shall execute and deliver to each Pledgor, or cause to be executed and delivered
to each Pledgor, all such proxies, powers of attorney and other instruments as such Pledgor may
reasonably request for the purpose of enabling such Pledgor to exercise the voting and/or
consensual rights and powers it is entitled to exercise pursuant to subparagraph (i) above and to
receive the cash dividends it is entitled to receive pursuant to subparagraph (ii) above.

     (b) Upon the occurrence and during the continuance of an Event of Default, all rights of any
Pledgor to dividends, interest or principal that such Pledgor is authorized to receive pursuant to
paragraph (a)(ii) above shall cease, and all such rights shall thereupon become vested in Pledgee
(or, prior to the Senior Priority Discharge Date, the Revolving Facility Collateral Agent in
accordance with the Intercreditor Agreement), which shall have the sole and exclusive right and
authority to receive and retain such dividends, interest or principal. All dividends, interest or
principal received by the Pledgor contrary to the provisions of this Section 7 shall be held in
trust for the benefit of Pledgee or the Revolving Facility Collateral Agent, as the case may be,
and shall be segregated from other property or funds of such Pledgor and shall be forthwith
delivered to Pledgee or the Revolving Facility Collateral Agent, as the case may be, upon demand in
the same form as so received (with any necessary endorsement). Any and all money and other property
paid over to or received by Pledgee pursuant to the provisions of this paragraph (b) shall be
retained by Pledgee or the Revolving Facility Collateral Agent, as the case may be, in an account
to be established by Pledgee upon receipt of such money or other property and shall be applied in
accordance with the provisions of the Indenture. After all Events of Default have been cured or
waived, the Pledgor shall thereafter be entitled to retain all cash dividends that such Pledgor
would otherwise be permitted to retain pursuant to the terms of paragraph (a)(ii) above.

     (c) Upon the occurrence and during the continuance of an Event of Default, all rights of any
Pledgor to exercise the voting and consensual rights and powers it is entitled to exercise pursuant
to paragraph (a)(i) of this Section 7, and the obligations of Pledgee under paragraph (a)(iii) of
this Section 7, shall cease upon the giving of notice by Pledgee to the Pledgor, and all such
rights shall thereupon become vested in Pledgee (or, prior to the Senior Priority Discharge Date,
to the extent provided in the Intercreditor Agreement, the Revolving Facility Collateral Agent),
which shall have the sole and exclusive right and authority to exercise such voting and consensual
rights and powers; provided, that Pledgee (or, prior to the Senior Priority Discharge Date,
to the extent provided in the Intercreditor Agreement, the Revolving Facility Collateral Agent)
shall have the right, but not the obligation, from time to time following and during the
continuance of an Event of Default to permit the Pledgors to exercise such rights. After all Events
of Default have been cured or waived, each Pledgor will have the right to exercise the

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voting and consensual rights and powers that it would otherwise be entitled to exercise
pursuant to the terms of paragraph (a)(i) above.

SECTION 8. Remedies Upon Default.

     (a) After the Senior Priority Discharge Date, or as otherwise provided in the Intercreditor
Agreement, upon the occurrence and during the continuance of an Event of Default, Pledgee, on
behalf of itself and the other Noteholder Secured Parties, may exercise all the rights and remedies
granted under this Agreement, including, without limitation, the right to sell the Pledged
Collateral, or any part thereof, at public or private sale or at any broker’s board, on any
securities exchange or in the over-the-counter market, for cash, upon credit or for future delivery
as Pledgee shall deem appropriate subject to the terms hereof or as otherwise provided in the
Uniform Commercial Code of any applicable jurisdiction. Pledgee shall be authorized at any such
sale (if it deems it advisable to do so) to restrict to the full extent permitted by applicable law
the prospective bidders or purchasers to Persons who will represent and agree that they are
purchasing the Pledged Collateral for their own account for investment and not with a view to the
distribution or sale thereof, and upon consummation of any such sale Pledgee shall have the right
to assign, transfer and deliver to the purchaser or purchasers thereof the Pledged Collateral so
sold. Each such purchaser at any such sale shall hold the property sold absolutely free from any
claim or right on the part of any Pledgor, and, to the extent permitted by applicable law, the
Pledgors hereby waive all rights of redemption, stay, valuation and appraisal any Pledgor now has
or may at any time in the future have under any rule of law or statute now existing or hereafter
enacted.

     (b) Pledgee shall give a Pledgor ten (10) days’ prior written notice of Pledgee’s intention to
make any sale of such Pledgor’s Pledged Collateral provided in Section 8(a). Such notice, in the
case of a public sale, shall state the time and place for such sale and, in the case of a sale at a
broker’s board or on a securities exchange, shall state the board or exchange at which such sale is
to be made and the day on which the Pledged Collateral, or portion thereof, will first be offered
for sale at such board or exchange. Any such public sale shall be held at such time or times within
ordinary business hours and at such place or places as Pledgee may fix and state in the notice of
such sale. At any such sale, the Pledged Collateral, or portion thereof, to be sold may be sold in
one lot as an entirety or in separate parcels, as Pledgee may (in its sole and absolute discretion)
determine. Pledgee shall not be obligated to make any sale of any Pledged Collateral if it shall
determine not to do so, regardless of the fact that notice of sale of such Pledged Collateral shall
have been given. Pledgee may, without notice or publication, adjourn any public or private sale or
cause the same to be adjourned from time to time by announcement at the time and place fixed for
sale, and such sale may, without further notice, be made at the time and place to which the same
was so adjourned. In case any sale of all or any part of the Pledged Collateral is made on credit
or for future delivery, the Pledged Collateral so sold may be retained by Pledgee until the sale
price is paid in full by the purchaser or purchasers thereof, but Pledgee shall not incur any
liability in case any such purchaser or purchasers shall fail to take up and pay for the Pledged
Collateral so sold and, in case of any such failure, such Pledged Collateral may be sold again upon
like notice. At any public (or, to the extent permitted by applicable law, private) sale made
pursuant to this Section 8, any Noteholder Secured Party may bid for or purchase, free from any
claim or right of whatever kind, including any equity of redemption, of the Pledgors, any such
demand, notice, claim, right or equity being hereby

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expressly waived and released, the Pledged Collateral or any part thereof offered for sale and
may make payment on account thereof by using any Obligation then due and payable to it from such
Pledgor as a credit against the purchase price, and it may, upon compliance with the terms of sale,
hold, retain and dispose of such property without further accountability to such Pledgor therefor.

SECTION 9. Application of Proceeds of Sale. Except as otherwise provided in the
Intercreditor Agreement, the proceeds of sale of the Pledged Collateral sold pursuant to Section 8
hereof shall be applied by Pledgee on behalf of itself and the other Noteholder Secured Parties to
the payment of all reasonable out-of-pocket costs and expenses paid or incurred by Pledgee in
connection with such sale, including, without limitation, all court costs, the reasonable fees and
expenses of counsel for Pledgee in connection therewith, the reasonable fees and expenses of any
financial consultants in connection therewith and the payment of all reasonable out-of-pocket costs
and expenses paid or incurred by Pledgee in enforcing this Agreement, in realizing or protecting
any Pledged Collateral and in enforcing or collecting any Noteholder Obligations or any guarantee
thereof, including, without limitation, court costs, the reasonable attorneys’ fees and expenses
incurred by Pledgee in connection therewith and the reasonable fees and expenses of any financial
consultants in connection therewith and then to the indefeasible payment in full in cash of the
Noteholder Obligations in accordance with the terms of the Indenture. Any amounts remaining after
such indefeasible payment in full shall be remitted to the appropriate Pledgor, or as a court of
competent jurisdiction may otherwise direct.

SECTION 10. Reimbursement of Pledgee.

     (a) Each Pledgor agrees to pay upon demand by Pledgee the amount of any and all reasonable
expenses, including the reasonable fees, other charges and disbursements of its counsel and of any
experts or agents, that Pledgee may incur in connection with (i) the administration of this
Agreement, (ii) the custody or preservation of, or the sale of, collection from, or other
realization upon, any of the Pledged Collateral, (iii) the exercise or enforcement of any of the
rights of Pledgee hereunder or (iv) the failure by such Pledgor to perform or observe any of the
provisions hereof.

     (b) Without limitation of its indemnification obligations under the other Indenture Documents,
each Pledgor agrees to indemnify Pledgee and the Noteholder Secured Parties and their respective
officers, directors, employees, Affiliates, agents and attorneys (collectively, the
“Indemnified Parties”) against, and hold each such Indemnified Party harmless from, any and
all losses, claims, damages, liabilities and related expenses, including reasonable counsel fees,
other charges and disbursements, incurred by or asserted against any such Indemnified Party arising
out of, in any way connected with, or as a result of (i) the execution or delivery of this
Agreement or any other Indenture Document or any agreement or instrument contemplated hereby or
thereby, the performance by the parties hereto of their respective obligations thereunder or the
consummation of the other transactions contemplated thereby or (ii) any claim, litigation,
investigation or proceeding relating to any of the foregoing, whether or not any Indemnified Party
is a party thereto, provided that such indemnity shall not, as to any Indemnified Party, be
available to the extent that such losses, claims, damages, liabilities or related expenses are
determined by a court of competent jurisdiction by final and nonappealable

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judgment to have resulted from the gross negligence or willful misconduct of such Indemnified
Party.

     (c) Any amounts payable as provided hereunder shall be additional Noteholder Obligations
secured hereby and by the other Indenture Documents. The provisions of this Section 10 shall
remain operative and in full force and effect regardless of the termination of this Agreement or
any other Indenture Document, the consummation of the transactions contemplated thereby, the
repayment of any of the Noteholder Obligations, the invalidity or unenforceability of any term or
provision of this Agreement or any other Indenture Document or any investigation made by or on
behalf of Pledgee or any other Noteholder Secured Party. All amounts due under this Section 10
shall be payable on demand therefor.

SECTION 11. Pledgee Appointed Attorney-In-Fact. Each Pledgor hereby appoints Pledgee the
attorney-in-fact of such Pledgor for the purpose of carrying out the provisions of this Agreement
and taking any action and executing any instrument that Pledgee may deem necessary or advisable to
accomplish the purposes hereof, which appointment is irrevocable and coupled with an interest.
Without limiting the generality of the foregoing, after the Senior Priority Discharge Date, or as
otherwise provided in the Intercreditor Agreement, Pledgee shall have the right, upon the
occurrence and during the continuance of an Event of Default, with full power of substitution
either in Pledgee’s name or in the name of such Pledgor, to ask for, demand, sue for, collect,
receive and give acquittance for any and all monies due or to become due under and by virtue of any
Pledged Collateral, to endorse checks, drafts, orders and other instruments for the payment of
money payable to the Pledgor representing any interest or dividend or other distribution payable in
respect of the Pledged Collateral or any part thereof or on account thereof and to give full
discharge for the same, to settle, compromise, prosecute or defend any action, claim or proceeding
with respect thereto, and to sell, assign, endorse, pledge, transfer and to make any agreement
respecting, or otherwise deal with, the same; provided, however, that nothing
herein contained shall be construed as requiring or obligating Pledgee to make any commitment or to
make any inquiry as to the nature or sufficiency of any payment received by Pledgee, or to present
or file any claim or notice, or to take any action with respect to the Pledged Collateral or any
part thereof or the monies due or to become due in respect thereof or any property covered thereby.
Pledgee and the other Noteholder Secured Parties shall be accountable only for amounts actually
received as a result of the exercise of the powers granted to them herein, and neither they nor
their shareholders, officers, directors, employees or agents shall be responsible to any Pledgor
for any act or failure to act hereunder, except for their own gross negligence or willful
misconduct.

SECTION 12. Pledgee May Perform. If any Pledgor fails to perform any agreement contained
herein, upon notice to such Pledgor and to the extent the applicable Pledgor has not remedied such
failure to perform within thirty (30) days, Pledgee (or, prior to the Senior Priority Discharge
Date, shall obtain in writing the consent of the Revolving Facility Collateral Agent in accordance
with the Intercreditor Agreement) may itself perform, or cause performance of, such agreement, and
the reasonable expenses of Pledgee incurred in connection therewith shall be payable by the
Pledgors under Section 10 hereof.

SECTION 13. Waivers; Amendment.

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     (a) No failure or delay of Pledgee in exercising any power or right hereunder shall operate as
a waiver thereof, nor shall any single or partial exercise of any such right or power, or any
abandonment or discontinuance of steps to enforce such a right or power, preclude any other or
further exercise thereof or the exercise of any other right or power. The rights and remedies of
Pledgee hereunder and of the other Noteholder Secured Parties under the other Indenture Documents
are cumulative and are not exclusive of any rights or remedies that they would otherwise have. No
waiver of any provisions of this Agreement or consent to any departure by any Pledgor therefrom
shall in any event be effective unless the same shall be permitted by paragraph (b) below, and then
such waiver or consent shall be effective only in the specific instance and for the purpose for
which given. No notice or demand on any Pledgor in any case shall entitle such Pledgor to any other
or further notice or demand in similar or other circumstances.

     (b) Neither this Agreement nor any provision hereof may be waived, amended or modified except
pursuant to a written agreement entered into between Pledgee and the Pledgor or Pledgors with
respect to which such waiver, amendment or modification is to apply.

SECTION 14. Securities Act, Etc. In view of the position of the Pledgors in relation to
the Pledged Securities, or because of other current or future circumstances, a question may arise
under the Securities Act of 1933, as now or hereafter in effect, or any similar statute hereafter
enacted analogous in purpose or effect (such Act and any such similar statute as from time to time
in effect being called the “Federal Securities Laws”) with respect to any disposition of
the Pledged Securities permitted hereunder. Each Pledgor (solely on behalf of the Noteholder
Secured Parties (other than the Collateral Agent, Security Trustee and Trustee)) understands that
compliance with the Federal Securities Laws might limit the course of conduct of Pledgee if Pledgee
were to attempt to dispose of all or any part of the Pledged Securities, and might also limit the
extent to which or the manner in which any subsequent transferee of any Pledged Securities could
dispose of the same. Similarly, there may be other legal restrictions or limitations affecting
Pledgee in any attempt to dispose of all or part of the Pledged Securities under applicable Blue
Sky or other state securities laws or similar laws analogous in purpose or effect. Each Pledgor
recognizes that in light of such restrictions and limitations Pledgee may, with respect to any sale
of the Pledged Securities, limit the purchasers to those who will agree, among other things, to
acquire such Pledged Securities for their own account, for investment, and not with a view to the
distribution or resale thereof. Each Pledgor acknowledges and agrees that in light of such
restrictions and limitations, Pledgee, in its sole and absolute discretion, (a) may proceed to make
such a sale whether or not a registration statement for the purpose of registering such Pledged
Securities or part thereof shall have been filed under the Federal Securities Laws and (b) may
approach and negotiate with a single potential purchaser to effect such sale. Each Pledgor
acknowledges and agrees that any such sale might result in prices and other terms less favorable to
the seller than if such sale were a public sale without such restrictions. In the event of any such
sale, Pledgee shall incur no responsibility or liability for selling all or any part of the Pledged
Securities at a price that Pledgee, in its sole and absolute discretion, may in good faith deem
reasonable under the circumstances, notwithstanding the possibility that a substantially higher
price might have been realized if the sale were deferred until after registration as aforesaid or
if more than a single purchaser were approached. The provisions of this Section 14 will apply
notwithstanding the existence of a public or private

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market upon which the quotations or sales prices may exceed substantially the price at which
Pledgee sells.

SECTION 15. Security Interest Absolute. All rights of Pledgee hereunder, the grant of a
security interest in the Pledged Collateral and all obligations of each Pledgor hereunder, shall be
absolute and unconditional irrespective of (a) any lack of validity or enforceability of the
Indenture Documents, any agreement with respect to any of the Noteholder Obligations or any other
agreement or instrument relating to any of the foregoing, (b) any change in the time, manner or
place of payment of, or in any other term of, all or any of the Noteholder Obligations, or any
other amendment or waiver of or any consent to any departure from any Indenture Document or any
other agreement or instrument relating to any of the foregoing, (c) any exchange, release or
nonperfection of any other collateral, or any release or amendment or waiver of or consent to or
departure from any guarantee, for all or any of the Noteholder Obligations or (d) any other
circumstance that might otherwise constitute a defense available to, or a discharge of, any Pledgor
in respect of the Noteholder Obligations or in respect of this Agreement (other than the
indefeasible payment in full of all the Noteholder Obligations).

SECTION 16. Termination or Release.

     (a) This Agreement and the pledge and security interest created hereby shall terminate upon
Full Payment of the Noteholder Obligations in accordance with the terms of the Indenture.

     (b) Upon any sale or other transfer by any Pledgor of any Pledged Collateral that is permitted
under the Indenture to any person that is not a Pledgor, or, upon the effectiveness of any written
consent to the release of the security interest granted hereby in any Pledged Collateral pursuant
to the Indenture, the security interest in such Pledged Collateral shall be automatically released.

     (c) Upon termination of this Agreement or the security interest in any Pledged Collateral
pursuant to (a) or (b) above, Pledgee shall execute and deliver to the Pledgors, at the Pledgors’
expense, all appropriate documents which the Pledgors shall reasonably request to evidence such
termination. Any execution and delivery of termination statements or documents pursuant to this
Section 16 shall be without recourse to or warranty by Pledgee.

SECTION 17. Notices. Notices and other communications provided for herein shall be in the
manner and at the addresses set forth in, and otherwise in accordance with, Section 11.02 of the
Indenture.

SECTION 18. Further Assurances. Each Pledgor agrees to do such further acts and things,
and to execute and deliver such additional conveyances, assignments, agreements and instruments, as
Pledgee may at any time reasonably request in connection with the administration and enforcement of
this Agreement or with respect to the Pledged Collateral or any part thereof or in order better to
assure and confirm unto Pledgee its rights and remedies hereunder.

SECTION 19. Successors and Assigns. The provisions of this Agreement shall be binding
upon and inure to the benefit of the parties hereto and their respective successors and assigns,
except that the Pledgors may not assign or otherwise transfer any of their rights or obligations
hereunder

10

 

without the prior written consent of Pledgee (and any attempted assignment or transfer by the
Pledgors without such consent shall be null and void). Nothing in this Agreement, expressed or
implied, shall be construed to confer upon any person (other than the parties hereto and their
respective successors and assigns permitted hereby) any legal or equitable right, remedy or claim
under or by reason of this Agreement.

SECTION 20. Counterparts; Effectiveness. This Agreement may be executed in counterparts
(and by different parties hereto on different counterparts), each of which shall constitute an
original, but all of which when taken together shall constitute a single contract. This Agreement
shall become effective as to any Pledgor when a counterpart hereof executed on behalf of such
Pledgor shall have been delivered to Pledgee. Delivery of an executed counterpart of a signature
page of this Agreement by telecopy or email shall be effective as delivery of a manually executed
counterpart of this Agreement. This Agreement shall be construed as a separate agreement with
respect to each Pledgor and may be amended, modified, supplemented, waived or released with respect
to any Pledgor without the approval of any other Pledgor and without affecting the obligations of
any other Pledgor hereunder.

SECTION 21. Severability. Any provision of this Agreement held to be invalid, illegal or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such invalidity, illegality or unenforceability without affecting the validity, legality and
enforceability of the remaining provisions hereof; and the invalidity of a particular provision in
a particular jurisdiction shall not invalidate such provision in any other jurisdiction.

SECTION 22. Governing Law; Jurisdiction; Consent to Service of Process.

     (a) This Agreement shall be construed in accordance with and governed by the law of the State
of New York, without giving effect to any conflict of law principles.

     (b) The Pledgors hereby irrevocably and unconditionally submit, for themselves and their
property, to the nonexclusive jurisdiction of the Supreme Court of the State of New York sitting in
New York County and of the United States District Court of the Southern District of New York, and
any appellate court from any thereof, in any action or proceeding arising out of or relating to
this Agreement, or for recognition or enforcement of any judgment, and each of the parties hereto
hereby irrevocably and unconditionally agrees that all claims in respect of any such action or
proceeding may be heard and determined in such New York State or, to the extent permitted by law,
in such Federal court. Each of the parties hereto agrees that a final judgment in any such action
or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the
judgment or in any other manner provided by law. Nothing in this Agreement shall affect any right
that Pledgee, or any Lender may otherwise have to bring any action or proceeding relating to this
Agreement against the Pledgors or their properties in the courts of any jurisdiction.

     (c) The Pledgors hereby irrevocably and unconditionally waive, to the fullest extent they may
legally and effectively do so, any objection which they may now or hereafter have to the laying of
venue of any suit, action or proceeding arising out of or relating to this Agreement in any court
referred to in paragraph (b) of this Section. Each of the parties hereto hereby

11

 

irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient
forum to the maintenance of such action or proceeding in any such court.

     (d) Each party to this Agreement irrevocably consents to service of process in the manner
provided for notices in Section 11.02 of the Indenture. Nothing in this Agreement will affect the
right of any party to this Agreement to serve process in any other manner permitted by law.

SECTION 23. WAIVER OF JURY TRIAL. EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT
PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING
DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS
CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY HERETO (A)
CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY
OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE
FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO
ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS
SECTION.

SECTION 24. Headings. Section headings used herein are for the purpose of reference only,
are not part of this Agreement and are not to affect the construction of, or to be taken into
consideration in interpreting, this Agreement.

SECTION 25. Additional Pledgors. Pursuant to the Indenture, each subsequently acquired or
organized Subsidiary required by the Indenture to enter into this Agreement as an additional
Pledgor (each such Subsidiary, an “Additional Pledgor”) shall execute an Instrument of
Assumption and Joinder (a “Joinder”) substantially in the form of Annex II. Upon
execution and delivery of any such Joinder to Pledgee, each such Additional Pledgor shall become a
Pledgor hereunder with the same force and effect as if originally named as a Pledgor herein. The
execution and delivery of such instrument shall not require the consent of any Pledgor hereunder.
The rights and obligations of each Pledgor hereunder shall remain in full force and effect
notwithstanding the addition of any new Pledgor as a party to this Agreement

SECTION 26. Execution of Financing Statements. Pursuant to Section 9-509 of the Uniform
Commercial Code as in effect in the State of New York, each Pledgor authorizes Pledgee to file
financing statements with respect to the Pledged Collateral owned by it without the signature of
such Pledgor in such form and in such filing offices as Pledgee reasonably determines appropriate
to perfect the security interests of Pledgee under this Agreement.

SECTION 27. Conflicts. Notwithstanding anything herein to the contrary, the Liens and
security interests granted to the Pledgee pursuant to this Agreement and the exercise of any right
or remedy by the Pledgee hereunder are subject to the provisions of the Intercreditor Agreement.
In the event of any conflict between the terms of the Intercreditor Agreement and this Agreement,
other than with respect to Section 28 hereof, the terms of the Intercreditor Agreement shall
govern.

12

 

SECTION 28. Collateral Agents Rights, Privileges, Etc. The rights, privileges,
protections and immunities in favor of the Collateral Agent contained in the Indenture and the
Security Agreement shall apply to this Agreement and shall be incorporated herein by reference and
shall form part of this agreement.

[Remainder of Page Intentionally Left Blank]

13

 

EXECUTION COPY

     IN WITNESS WHEREOF, each of the Pledgors has caused this Agreement to be duly executed by its
officer thereunto duly authorized as of the date and year first above written.

	 	 	 	 	 
	 	UNITED MARITIME GROUP, LLC

 	 
	 	By:  	/s/ Sal Litrico 	 
	 	 	Printed:  	Sal Litrico 	 
	 	 	Title:  	Chief
Executive Officer 	 
	 
	 	U.S. UNITED BARGE LINE, LLC

 	 
	 	By:  	/s/ Sal Litrico 	 
	 	 	Printed:  	Sal Litrico 	 
	 	 	Title:  	Chief
Executive Officer 	 
	 
	 	U.S. UNITED OCEAN SERVICES, LLC

 	 
	 	By:  	/s/ Sal Litrico 	 
	 	 	Printed:  	Sal Litrico 	 
	 	 	Title:  	Chief
Executive Officer 	 
	 

Accepted and Agreed to:

	 	 	 	 	 
	WELLS FARGO BANK, NATIONAL ASSOCIATION, in its capacity as Collateral Agent,

as Pledgee

 
	 	By:  	/s/
Mark F. McLaughlin 	 
	 	 	Printed  	Mark F. McLaughlin 	 
	 	 	Title:  	Vice President 	 
	 

 

 

EXECUTION COPY

Schedule I to the Pledge Agreement

PARTIES

	 	 	 
	 	 	Jurisdiction of
	Name	 	Formation
	 
	 	 
	United Maritime Group, LLC

	 	Florida
	U.S. United Barge Line, LLC

	 	Florida
	U.S. United Ocean Services, LLC

	 	Florida

 

 

EXECUTION COPY

Schedule II to the Pledge Agreement

CAPITAL STOCK OR OTHER EQUITY INTERESTS

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	No. of	 	 	 	 
	 	 	 	 	Certificate	 	Shares	 	Class or	 	%
	Pledgor	 	Issuer	 	Number	 	Owned	 	Category	 	Owned
	United Maritime
Group, LLC

	 	U.S. United Bulk
Terminal, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%
	United Maritime
Group, LLC

	 	U.S. United Ocean
Services, LLC
	 	 	1	 	 	 	1,200	 	 	Common Interests
	 	 	100	%
	United Maritime
Group, LLC

	 	UMG Towing, LLC
	 	 	1	 	 	 	100	 	 	Common Interests
	 	 	100	%
	United Maritime
Group, LLC

	 	U.S. United Barge
Line, LLC
	 	 	1	 	 	 	1,200	 	 	Common Interests
	 	 	100	%
	United Maritime
Group, LLC

	 	U.S. United Bulk
Logistics, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%
	United Maritime
Group, LLC

	 	United Maritime
Group Finance Corp.
	 	 	1	 	 	 	100	 	 	Common Stock
	 	 	100	%
	U.S. United Ocean
Services, LLC

	 	U.S. United Ocean
Holding, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	No. of	 	 	 	 
	 	 	 	 	Certificate	 	Shares	 	Class or	 	%
	Pledgor	 	Issuer	 	Number	 	Owned	 	Category	 	Owned
	U.S. United Ocean
Services, LLC

	 	U.S. United Ocean
Holding II, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%
	U.S. United Ocean
Services, LLC

	 	Tina Litrico, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%
	U.S. United Ocean
Services, LLC

	 	Mary Ann Hudson, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%
	U.S. United Ocean
Services, LLC

	 	Sheila McDevitt, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%
	U.S. United Ocean
Services LLC

	 	Marie Flood, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%
	U.S. United Barge
Line, LLC

	 	U.S. United Inland
Services, LLC
	 	 	1	 	 	 	100	 	 	Membership Interests
	 	 	100	%

DEBT SECURITIES

Intercompany Subordinated Demand Promissory Note, dated December 4, 2007, made by GS Maritime
Intermediate Holdings LLC, United Maritime Group LLC and certain subsidiaries (as may be amended
from time to time.)

Schedule II to Pledge Agreement

 

 

EXECUTION COPY

ANNEX I

FORM OF SUPPLEMENT

SUPPLEMENT NO. ___ TO THE

PLEDGE AGREEMENT DATED AS OF DECEMBER ___, 2009

          WHEREAS, pursuant to that certain Pledge Agreement, dated as of December ___, 2009 (as the same
has been, or may hereafter be, amended or supplemented from time to time, the “Pledge
Agreement”; made by the Pledgors (as defined in the Pledge Agreement) in favor of Wells Fargo
Bank, National Association in its capacity as Collateral Agent (“Pledgee”), as agent for
the Noteholder Secured Parties, the Pledgors have granted, pledged, hypothecated and transferred to
Pledgee for the ratable benefit of the Noteholder Secured Parties, a security interest in all of
the Pledgors’ right, title and interest in, to and under the Pledged Collateral, all as more fully
set forth in the Pledge Agreement. Capitalized terms used herein without definition shall have the
meanings given to them in the Pledge Agreement;

          A. WHEREAS, the undersigned Pledgor(s) have acquired or created additional Pledged Collateral
since the date of execution of the Pledge Agreement and the most recent Supplement thereto and hold
certain additional Pledged Collateral; and

          B. WHEREAS, Schedule II to the Pledge Agreement does not reflect Pledged Collateral
acquired or created by the Pledgors since the date of execution of the Pledge Agreement and the
most recent Supplement thereto.

          THEREFORE,

          To secure the prompt and complete payment and performance when due of the Noteholder
Obligations of the Issuers (as defined in the Indenture) and the Guarantors (as defined in the
Indenture) under the Indenture and each of the other Indenture Documents, to secure the performance
and observance by each of the Pledgors of all the agreements, covenants and provisions contained in
the Indenture and in the Indenture Documents for the benefit of Pledgee on behalf of the Noteholder
Secured Parties, the Pledgors do hereby grant to Pledgee, for the benefit of the Noteholder Secured
Parties, a security interest in and to all of the Pledgors’ right, title and interest in and to the
Pledged Collateral being added to Schedule II to the Pledge Agreement below.

          The Pledge Agreement is hereby supplemented, effective as of the date hereof, by amending
Schedule II thereof so as to reflect all of the Pledged Collateral in and to which the
Pledgors have granted a security interest to Pledgee, for the ratable benefit of the Noteholder
Secured Parties, pursuant to the terms of the Pledge Agreement and the Indenture.

          The following Pledged Collateral is hereby added to Schedule II to the Pledge
Agreement:

 

 

CAPITAL STOCK OR OTHER EQUITY INTERESTS

	 	 	 	 	 	 	 	 	 
	Certificate Issuer	 	 	 	 	 	 	 	 
	Number	 	Pledgor	 	No. of Shares	 	Class or Category	 	%Owned
	 	 	 	 	 	 	 	 	 

DEBT SECURITIES

          Except as expressly supplemented hereby, the Pledge Agreement shall continue in full force and
effect in accordance with the provisions thereof on the date hereof. As used in the Pledge
Agreement, the terms “Agreement”, “this Agreement”, “this Pledge Agreement”, “herein”, “hereafter”,
“hereto”, “hereof” and words of similar import, shall, unless the context otherwise requires, mean
the Pledge Agreement as supplemented by this Supplement.

          This Supplement shall be construed as supplemental to the Pledge Agreement and shall form a
part thereof, and the Pledge Agreement and all documents contemplated thereby and any previously
executed Supplements thereto, are each hereby incorporated by reference herein and confirmed and
ratified by the Pledgors.

          The execution and filing of this Supplement, and the addition of the Pledged Collateral set
forth herein are not intended by the parties to derogate from, or extinguish, any of the rights or
remedies of Pledgee under (i) the Pledge Agreement and/or any agreement, amendment or supplement
thereto or any other instrument executed by the Pledgors or (ii) any financing statement,
continuation statement, deed or charge or other instrument executed by the Pledgors and heretofore
filed in any state or county in the United States of America or elsewhere.

[Remainder of Page Intentionally Left Blank]

2

 

EXECUTION COPY

          IN WITNESS WHEREOF, the Pledgors have caused this Supplement No. ___ to the Pledge Agreement
to be duly executed as of the date and year first written above.

	 	 	 	 	 
	 	[NAME OF EACH PLEDGOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	Accepted and Agreed to:

WELLS FARGO BANK, NATIONAL ASSOCIATION,

in its capacity as Collateral Agent, as Pledgee

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

ANNEX II

FORM OF INSTRUMENT OF JOINDER

          JOINDER AGREEMENT dated as of                      (the “Joinder Agreement”) made by [Insert
Name of New Grantor] a [Insert State of Organization] [corporation, limited partnership or limited
liability company] (the “Company”) in favor of the Noteholder Secured Parties (as defined
in that certain Pledge Agreement dated as of December ___, 2009 (as such agreement may be amended,
amended and restated, supplemented or otherwise modified, renewed or replaced from time to time,
the “Pledge Agreement”)) among the Pledgors referred to therein (the “Pledgors”)
and Wells Fargo Bank, National Association, in its capacity as Collateral Agent, as Pledgee (as
defined in the Pledge Agreement). Capitalized terms used but not defined herein shall have the
meanings given to such terms in the Pledge Agreement.

WITNESSETH

          The Company is a [Insert State of Organization] [corporation, limited partnership or limited
liability company], and is a subsidiary of [Insert name of Indenture Party]. Pursuant to Section
25 of the Pledge Agreement, the Company is required to execute this document as a newly [formed]
[acquired] subsidiary of [Insert name of Indenture Party].

          NOW, THEREFORE, in consideration of the premises and other good and valuable consideration,
the receipt of which is hereby acknowledged, the Company hereby agrees as follows:

SECTION 1. Assignment and Joinder.

               (a) The Company hereby expressly confirms that it has assumed, and hereby agrees to perform
and observe, each and every one of the covenants, rights, promises, agreements, terms, conditions,
obligations, appointments, duties and liabilities of a Pledgor under the Pledge Agreement and all
the other Indenture Documents applicable to it as a Pledgor. By virtue of the foregoing, the
Company hereby accepts and assumes any liability of a Pledgor related to each representation or
warranty, covenant or obligation made by a Pledgor in the Pledge Agreement or any other Indenture
Document and hereby expressly affirms, as of the date hereof, each of such representations,
warranties, covenants and obligations.

               (b) All references to the term “Pledgor” in the Pledge Agreement or any other Indenture
Document, or in any document or instrument executed and delivered or furnished, or to be executed
and delivered or furnished, in connection therewith shall be deemed to be references to, and shall
include, the Company.

SECTION 2. Representations and Warranties. The Company hereby represents and warrants to
Pledgee as follows:

               (a) The Company has the requisite [corporate, partnership or company] power and authority to
enter into this Joinder Agreement and to perform its

 

 

obligations hereunder and under the Pledge Agreement and the other Indenture Documents to
which it is a party. The execution, delivery and performance of this Joinder Agreement by the
Company and the performance of its obligations hereunder and under the Pledge Agreement and the
other Indenture Documents have been duly authorized by the [Board of Directors of the Company] and
no other [corporate, partnership or company] proceedings on the part of the Company are necessary
to authorize the execution, delivery or performance of this Joinder Agreement, the transactions
contemplated hereby or the performance of its obligations under the Pledge Agreement or any other
Indenture Document. This Joinder Agreement has been duly executed and delivered by the Company.
This Joinder Agreement, the Pledge Agreement and the other Indenture Documents each constitutes a
legal, valid and binding obligation of the Company enforceable against it in accordance with its
respective terms, subject, as to the enforcement of remedies, to applicable bankruptcy, insolvency
and similar laws affecting creditors’ rights generally and to general principles of equity.

               (b) The representations and warranties set forth in Section 5 of the Pledge Agreement are true
and correct in all material respects on and as of the date hereof (except to the extent that such
representations and warranties expressly relate to an earlier date) with the same effect as if made
on and as of the date hereof.

               (c) The authorized capitalization of the Company, the number of shares of its capital stock
outstanding on the date hereof, and the ownership of the outstanding shares of its capital stock
are set forth on Schedule 1 hereto.*/

               (d) As of the date hereof, the exact legal name of the Company is                      and the Company has
not done business, is not doing business and does not intend to do business other than under its
full [corporate, partnership or company] name, including, without limitation, under any trade name
or other doing business name and is in good standing in all jurisdictions where the nature of its
properties or business so requires. The Company is a [corporation, partnership, limited liability
company, limited liability partnership or other] organized under the laws of                     . The
Company’s taxpayer identification number and organizational number, if any, are                     .

 

			
	*/	 	If the Company is a limited partnership,
insert the following paragraph:
	 
	 	 	“The general partners of the company and the ownership of its
partnership interests are set forth on Schedule 1 hereto”;
	 
	 	 	or if the Company the Company is a limited liability company, insert
the following paragraph:
	 
	 	 	“The members of the Company and the ownership of its limited
liability company interests are set forth on Schedule 1 hereto”.

Page 2

 

SECTION 3. Further Assurances. At any time and from time to time, upon Pledgee’s request
and at the sole expense of the Company, the Company will promptly and duly execute and deliver any
and all further instruments and documents and take such further action as Pledgee reasonably deems
necessary to effect the purposes of this Joinder Agreement.

SECTION 4. Binding Effect. This Joinder Agreement shall be binding upon the Company and
shall inure to the benefit of the Noteholder Secured Parties and their respective successors and
assigns.

SECTION 5. Conflict. In the event of a conflict between this Joinder Agreement and the
Pledge Agreement, the provisions of the Pledge Agreement will govern.

SECTION 6. GOVERNING LAW. THIS JOINDER AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND
GOVERNED BY THE LAW OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ANY CONFLICT OF LAW
PRINCIPLES.

[Signature Pages Follow]

Page 3

 

          IN WITNESS WHEREOF, the undersigned has caused this Joinder Agreement to be duly executed and
delivered by its duly authorized officer as of the date first above written.

	 	 	 	 	 
	 	[NAME OF COMPANY]

 	 
	 	By  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	WELLS FARGO BANK, NATIONAL ASSOCIATION,

in its capacity as Collateral Agent,
as Pledgee

 	 
	 	By  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

Page 4

 

SCHEDULE 1

[Authorized capitalization:

Number of shares of capital stock
outstanding:

Ownership of the outstanding
capital stock:]

     or

[General Partners:

Ownership of the
partnership interests:]

     or

[Members of the Company:

Ownership of the
limited liability company
interests:]exv10w6

Exhibit 10.6

EXECUTION COPY

EMPLOYMENT AGREEMENT

          This EMPLOYMENT AGREEMENT (this “Agreement”) is made and entered into as
of this 29th day of October 2007, by and between TECO Transport
Corporation, a Florida corporation (the “Company”), and Sal Litrico (the
“Employee”).

WITNESSETH:

          WHEREAS, Employee is currently employed by the Company; and

          WHEREAS, Employee is a party to a Retention and Contingent Separation
Agreement with the Company, dated March 29, 2007 (the “Prior Agreement”),

          WHEREAS, in connection with the transactions contemplated by the Acquisition
Agreement, the Company will become a wholly-owned subsidiary of the Parent; and

          WHEREAS, if the transactions contemplated by the Acquisition Agreement are
completed, Employee will become eligible to receive certain retention payments under
the Prior Agreement; and

          WHEREAS, the Company desires to enter into an-agreement embodying the terms of
Employee’s employment from and after the Closing Date, and Employee desires to enter
into this Agreement and to accept such employment, subject to the terms and
provisions of this Agreement.

          NOW, THEREFORE, in consideration of the promises and mutual covenants contained
herein and for other good and valuable consideration, the receipt and sufficiency of
which are mutually acknowledged, the Company and Employee hereby agree as follows:

          Section 1. Definitions.

          (a) “Accrued Obligations” shall mean (i) all accrued but unpaid Base
Salary through the date of termination of Employee’s employment, (ii) any unpaid or
unreimbursed expenses incurred in accordance with Section 7 below, and (iii) any
benefits provided under the Company’s employee benefit plans upon a termination of
employment, including payment in lieu of any accrued but unused vacation time, in
accordance with the terms contained therein.

          (b) “Acquisition Agreement” shall mean that certain Membership Interest
Purchase Agreement by and among TECO Diversified, Inc., GS Maritime Holding LLC, and
TECO Energy, Inc., dated as of October 29, 2007.

          (c) “Annual Bonus” shall have the meaning set forth in Section 4(b) below.

          (d) “Base Salary” shall mean the salary provided for in Section 4(a) below
or any increased salary granted to Employee pursuant to Section 4(a).

          (e) “Board” shall mean the Board of Directors of the Parent.

 

 

          (f) “Cause” shall mean (i) Employee’s act(s) of gross negligence or willful
misconduct in the course of Employee’s employment hereunder that is or could
reasonably be expected to be materially injurious to the Company or any other member
of the Company Group, (ii) willful failure or refusal by Employee to perform in any
material respect his duties or responsibilities, not measured by economic
performance, (iii) misappropriation by Employee of any assets or business
opportunities of the Company or any other member of the Company Group, (iv)
embezzlement or fraud committed by Employee, or at his direction, (v) Employee’s
conviction of, indictment for, or pleading “guilty” or “no contest” to, (x) a felony
or (y) any criminal charge that has, or could be reasonably expected to have, an
adverse impact on the performance of Employee’s duties to the Company or any other
member of the Company Group or otherwise result in material injury to the reputation
or business of the Company or any other member of the Company Group, (vi) any
material violation of the policies of the Company, including, but not limited to
those relating to sexual harassment, business conduct or otherwise set forth in the
manuals or statements of policy of the Company, or (vii) Employee’s material breach
of Section 3(b) hereof or a breach of any of the restrictive covenants contained in
Section 9 hereof.

          (g) “Closing Date” shall have the meaning set forth in the
Acquisition Agreement.

          (h) “Code” shall mean the Internal Revenue Code of 1986, as amended.

          (i) “Company” shall have the meaning set forth in the preamble hereto.

          (j) “Company Group” shall mean the Parent together with any direct or
indirect subsidiary of the Parent.

          (k) “Compensation Committee” shall mean the committee of the Board
designated to make compensation decisions relating to senior executive officers of
the Company Group. Prior to any time that such a committee has been designated, the
Board shall be deemed the Compensation Committee for purposes of this Agreement.

          (1) “Competitive Activities” shall mean any business activities in which the
Company or any other member of the Company Group engages (or has committed plans to engage) during the Term of Employment.

          (m) “Confidential Information” shall mean confidential or proprietary trade
secrets, client lists, client identities and information, information regarding
service providers, investment methodologies, marketing data or plans, sales plans,
management organization information, operating policies or manuals, business plans
or operations or techniques, financial records or data, or other financial,
commercial, business or technical information (i) relating to the Company or any
other member of the Company Group, or (ii) that the Company or any other member of
the Company Group may receive belonging to suppliers, customers or others who do
business with the Company or any other member of the Company Group, but shall
exclude any information that is in the public domain or hereafter enters the public
domain, in each case without the breach by Employee of Section 9(a) below.

          (n) “Developments” shall have the meaning set forth in Section 9(e) below.

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          (o) “Disability” shall mean any physical or mental disability or infirmity
that prevents the performance of Employee’s duties for a period of (i) ninety (90)
consecutive days or (ii) one hundred twenty (120) non-consecutive days during any
twelve (12) month period. Any question as to the existence, extent or potentiality
of Employee’s Disability upon which Employee and the Company cannot agree shall be
determined by a qualified, independent physician selected by the Company and
approved by Employee (which approval shall not be unreasonably withheld). The
determination of any such physician shall be final and conclusive for all purposes
of this Agreement.

          (p) “Employee” shall have the meaning set forth in the preamble hereto.

          (q) “Good Reason” shall mean, without Employee’s consent, (i) a material
diminution in Employee’s title, duties or responsibilities, (ii) the relocation of
Employee’s principal place of employment (as set forth in Section 3(c) hereof) more
than fifty (50) miles from its current location, or (iii) the failure of the Company
to pay any compensation owing to the Employee pursuant to Section 4 when such
compensation is due. Notwithstanding the foregoing, during the Term of Employment,
in the event that the Board reasonably believes that Employee may have engaged in
conduct that could constitute Cause hereunder, the Board may, in its sole and
absolute discretion, suspend Employee from performing his duties hereunder, and any
such suspension shall in no event constitute an event pursuant to which Employee may
terminate employment with Good Reason; provided, that no such suspension shall alter
the Company’s obligations under this Agreement during such period of suspension. Any
such suspension shall end after thirty (30) days except with the written
consent of the Employee, which may be renewed from time to time.

          (r) “Interfering Activities” shall mean (i) encouraging, soliciting, or
inducing, or in any manner attempting to encourage, solicit, or induce, any
individual employed by, or individual or entity providing consulting services to,
the Company or any other member of the Company Group to terminate such employment or
consulting services; provided, that the foregoing shall not be violated by general
advertising not targeted at employees or consultants of the Company or any other
member of the Company Group; (ii) hiring any individual who was employed by the
Company or any other member of the Company Group within the six (6) month period
prior to the date of such hiring; or (iii) encouraging, soliciting or inducing, or
in any manner attempting to encourage, solicit or induce any customer, supplier,
licensee or other business relation of the Company or any other member of the
Company Group to cease doing business with or materially reduce the amount of
business conducted with the Company or any other member of the Company Group, or in
any way interfere with the relationship between any such customer, supplier,
licensee or business relation and the Company or any other member of the Company
Group.

          (s) “Parent” shall mean GS Maritime Holding LLC, a Delaware limited
liability company and ultimate parent of the Company.

          (t) “Person” shall mean any individual, corporation, partnership, limited
liability company, joint venture, association, joint-stock company, trust
(charitable or non-charitable), unincorporated organization or other form of
business entity.

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          (u) “Prior Agreement” shall have the meaning set forth in the
preamble hereto.

          (v) “Release Expiration Date” shall mean the date which is twenty-one (21)
days following the Employee’s termination of employment, or, in the event that such
termination of employment is “in connection with an exit incentive or other
employment termination program” (as such phrase is defined in the Age Discrimination
in Employment Act of 1967), the date which is forty-five (45) days following the
Employee’s termination of employment.

          (w) “Restricted Area” shall mean any State of the United States of America or
any other jurisdiction in which the Company or any other member of the Company Group
engages (or has committed plans to engage) in business during the Term of
Employment.

          (x) “Restricted Period” shall mean the period commencing on the Closing Date
and extending to the two (2) year anniversary of Employee’s termination of
employment for any reason.

          (y) “Severance Term” shall mean the two (2) year period following Employee’s
termination by the Company without Cause (other than by reason of death or
Disability), by Employee for Good Reason, or following the expiration of the Term of
Employment.

          (z) “Term of Employment” shall mean the period specified in Section 2
below.

          (aa) “Transaction Documents” shall mean the Acquisition Agreement, that certain
Limited Liability Company Agreement of the Parent, and any other ancillary documents
entered into in connection with the Acquisition Agreement.

          Section 2. Acceptance and Term of Employment.

          The Company agrees to employ Employee and Employee agrees to serve the Company
on the terms and conditions set forth herein. The Term of Employment shall commence
on the Closing Date and shall continue until the five (5) year anniversary of the
Closing Date, unless terminated earlier as provided in Section 8 hereof.

          Section 3. Position, Duties and Responsibilities; Place of Performance.

          (a) During the Term of Employment, Employee shall be employed and serve
as the President and Chief Executive Officer of the Company (together with such
other position or positions consistent with Employee’s title as the Board shall
specify from time to time) and shall have such duties typically associated with such
title. Employee also agrees to serve as an officer and/or director of any parent or
subsidiary of the Company, in each case without additional compensation.

          (b) Employee shall devote his full business time, attention, and skill to
the performance of his duties under this Agreement and shall not engage in any other
business or occupation during the Term of Employment, including, without limitation,
any activity that

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(x) conflicts with the interests of the Company or any
other member of the Company Group,
(y) interferes with the proper and efficient performance of his duties for the Company, or (z)
interferes with the exercise of his judgment in the Company’s best interests. Notwithstanding the foregoing,
nothing herein shall preclude Employee from (i) serving, with the prior written consent of the Board, as a
member of the board of directors or advisory board (or their equivalents in the case of a
non-corporate entity) of non-competing businesses and charitable organizations, (ii) engaging in
charitable activities and community affairs, and (iii) managing his personal investments and affairs;
 provided, however, that Employee shall notify the
Company in writing prior to participating in any of the activities set out in clauses (i), (ii) and
(iii) (or as of the date hereof with respect to such activities in which Employee is already
participating), and Employee’s participation in such activities shall be limited by Employee so as not
to materially interfere, individually or in the aggregate, with the performance of his duties and responsibilities hereunder.
In the event the Company believes such activities are interfering with his duties and responsibilities
and provided Employee has properly notified the Company of his participation in such activities as
provided above, the Company shall send Employee a written notice specifying such activities, and Employee
shall have thirty (30) days to limit such activities so as to comply with the proviso in the preceding
sentence.

          (c) Employee’s principal place of employment shall be in Tampa, Florida,
although Employee understands and agrees that he may be required to travel from time
to time for business reasons.

          Section 4. Compensation. During the Term of Employment, Employee shall
be entitled to the following compensation:

          (a) Base Salary. Employee shall be paid an annualized Base Salary,
payable in accordance with the regular payroll practices of the Company, of not less
than $350,000. Employee’s Base Salary shall be reviewed each year by the Board or
the Compensation Committee, which may increase (but not decrease) Employee’s Base
Salary.

          (b) Annual
Bonus. Employee shall be eligible for an annual incentive bonus award
determined by the Board in consultation with the Employee in respect of each fiscal
year during the Term of Employment (the “Annual Bonus”). The target Annual Bonus range
for each fiscal year shall be from 75% to 120% of Base Salary, with the actual Annual
Bonus payable being based upon the level of achievement of annual Company and
individual performance objectives for such fiscal year, as determined by the Board
or the Compensation Committee after meeting with Employee and communicated to Employee.
The Annual Bonus shall be paid to Employee at the same time as annual bonuses are
generally payable to other senior executives the Company.

          (c) Parachute Payment. In the event that any payment or benefit received or
to be received by Employee in connection with the termination of his employment
(whether pursuant to the terms of this Agreement or any other plan, arrangement, or
agreement with Company or any person affiliated with the Company (collectively, the
“Parachute Payments”) would not be deductible (in whole or in part) by the Company,
an affiliate, or other person making such payment or providing such benefit, as a
result of Section 280G of the Code, at Employee’s election, either (i) the Parachute
Payments shall be reduced until no portion of the

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Parachute Payments is not deductible, (ii) Employee shall pay the excise tax payable pursuant
to Section 4999 of the Code with respect to the “excess parachute payment” (as defined in Section
280G of the Code), or (iii) Employee shall agree to waive all or a portion of the Parachute
Payments and allow the Company to request the approval of the waived payments by its shareholders
in accordance with Section 280G and the Treasury Regulations promulgated thereunder.

          Section 5. Employee Benefits.

          During the Term of Employment, Employee shall be entitled to participate in
health, insurance, retirement and other benefits provided to other senior
executives of the Company. Employee shall also be entitled to the same number of
holidays, vacation, sick days and other benefits as are generally allowed to senior
executives of the Company in accordance with the Company policy in effect from time
to time.

          Section 6. Key-Man Insurance.

          At any time during the Term of Employment, the Company shall have the
right to insure the life of Employee for the sole benefit of the Company, in such
amounts, and with such terms, as it may determine. All premiums payable thereon
shall be the obligation of the Company. Employee shall have no interest in any such
policy, but agrees to cooperate with the Company in taking out such insurance by
submitting to physical examinations, supplying all information required by the
insurance company, and executing all necessary documents, provided that no
financial obligation is imposed on Employee by any such documents.

          Section 7. Reimbursement of Business Expenses.

          Employee is authorized to incur reasonable business expenses in carrying out
his duties and responsibilities under this Agreement and the Company shall promptly
reimburse him for all such reasonable business expenses incurred in connection with
carrying out the business of the Company, subject to documentation in accordance
with the Company’s policy, as in effect from time to time. The Company shall also
reimburse the Employee for reasonable legal fees incurred by him in connection with
the preparation of this Agreement, up to $30,000 in the  aggregate, subject to the
Company’s requirements with respect to reporting and documentation of expenses.

          Section 8. Termination of Employment.

          (a) General. The Term of Employment shall terminate earlier than as
provided in Section 2 above upon the earliest to occur of (i) Employee’s death, (ii)
a termination by reason of a Disability, (iii) a termination by the Company with or
without Cause, and (iv) a termination by Employee with or without Good Reason. Upon
any termination of Employee’s employment for any reason, except as may otherwise be
requested by the Company in writing and agreed upon in writing by Employee, Employee shall resign from any and all directorships, committee
memberships or any other positions Employee holds with the Company or any other
member of the Company Group. Nothing contained in this Section 8 shall diminish
Employee’s rights under any Transaction Documents.

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          (b) Termination due to Death or Disability. Employee’s employment shall
terminate automatically upon his death. The Company may terminate Employee’s
employment immediately upon the occurrence of a Disability, such termination to be
effective upon Employee’s receipt of written notice of such termination. In the
event Employee’s employment is terminated due to his death or Disability, Employee
or his estate or his beneficiaries, as the case may be, shall be entitled to:

          (i) The Accrued Obligations; and

          (ii) Any unpaid Annual Bonus in respect to any completed fiscal year
which has ended prior to the date of such termination, which amount shall be
paid at such time annual bonuses are paid to other senior executives of the
Company.

Following such termination of Employee’s employment by the reason of death or Disability,
except as set forth in this Section 8(b), Employee shall have no further rights to any compensation
or any other benefits under this Agreement.

          (c) Termination by the Company for Cause. The Company may terminate
Employee’s employment at any time for Cause, effective upon Employee’s receipt of
written notice of such termination. In the event the Company terminates Employee’s
employment for Cause, he shall be entitled only to the Accrued Obligations.
Following such termination of Employee’s employment for Cause, except as set forth
in this Section 8(c), Employee shall have no further rights to any compensation or
any other benefits under this Agreement.

          (d) Termination by the Company without Cause. The Company may terminate
Employee’s employment at any time without Cause, effective upon Employee’s receipt
of written notice of such termination. In the event Employee’s employment is
terminated by the Company without Cause (other than due to death or Disability),
Employee shall be entitled to:

          (i) The Accrued Obligations;

          (ii) Any unpaid Annual Bonus in respect to any completed fiscal year
which has ended prior to the date of such termination, which amount shall be
paid at such time annual bonuses are paid to other senior executives of the
Company;

          (iii) Annual Bonus for the fiscal year of termination, to the extent
applicable performance conditions are achieved for such fiscal year, such
amount to be paid in a lump sum at the same time the Annual Bonus would
otherwise have been paid pursuant to Section 4(b) above had such termination
not occurred;

          (iv) Continuation of payment of Base Salary during the
Severance Term, payable in accordance with the Company’s regular payroll
practices, it being agreed that each installment of Base Salary payable
hereunder shall be deemed to be a separate payment for purposes of
Section 409A of the Code; and

          (v) Continuation, during the Severance Term, of the medical
benefits provided to Employee and his covered dependants under the Company’s
health plans in effect as of the date of such termination, it being
understood and agreed that (A)

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Employee shall be required to pay that portion of the cost of such medical benefits as
Employee was required to pay (including through customary deductions from Employee’s
paycheck) as of the date of Employee’s termination of employment with the Company, and (B)
notwithstanding the foregoing, the Company’s obligation to provide such continuation of
benefits shall terminate prior to the expiration of the Severance Term in the event that
Employee becomes eligible to receive any such or similar benefits while employed by or
providing service to, in any capacity, any other business or entity during the Severance
Term.

Notwithstanding the foregoing, the Severance Term shall expire, the payments and benefits described
in clauses (ii), (iii), (iv), and (v) above shall immediately terminate, and the Company shall have
no further obligations to Employee with respect thereto, in the event that Employee breaches any
provision of Section 9 hereof. Following such termination of Employee’s employment by the Company
without Cause, except as set forth in this Section 8(d), Employee shall have no further rights to
any compensation or any other benefits under this Agreement.

          (e) Termination by Employee with Good Reason. Employee may terminate his
employment with Good Reason by providing the Company ten (10) days’ written notice
setting forth in reasonable specificity the event that constitutes Good Reason,
which written notice, to be effective, must be provided to the Company within sixty
(60) days of the occurrence of such event. During such ten (10) day notice period,
the Company shall have a cure right (if curable), and if not cured within such
period, Employee’s termination will be effective upon the expiration of such cure
period, and Employee shall be entitled to the same payments and benefits as provided
in Section 8(d) above for a termination by the Company without Cause, subject to the
same conditions on payment and benefits as described in Section 8(d) above.
Following such termination of Employee’s employment by Employee with Good Reason, except as set forth in this
Section 8(e), Employee shall have no further rights to any compensation or any other
benefits under this Agreement.

          (f) Termination by Employee without Good Reason. Employee may terminate his
employment without Good Reason by providing the Company thirty (30) days’ written
notice of such termination. In the event of a termination of employment by Employee
under this Section 8(f), Employee shall be entitled only to the Accrued Obligations.
In the event of termination of Employee’s employment under this Section 8(0, the
Company may, in its sole and absolute discretion, by written notice accelerate such
date of termination and still have it treated as a termination without Good Reason.
Following such termination of Employee’s employment by Employee without Good Reason,
except as set forth in this Section 8(f), Employee shall have no further rights to
any compensation or any other benefits under this Agreement.

          (g) Expiration of the Term of Employment. To the extent Employee’s
employment has not terminated earlier as set forth in Section 8(a) hereof,
Employee’s employment shall terminate upon the expiration of the Term of Employment.
Upon termination of Employee’s employment due to the expiration of the Term of
Employment, the Employee shall be entitled to:

          (i) The Accrued Obligations;

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          (ii) Any unpaid Annual Bonus in respect to any completed fiscal year
which has ended prior to the date of expiration of the Term of Employment,
which amount shall be paid at such time annual bonuses are paid to other
senior executives of the Company;

          (iii) Annual Bonus for the fiscal year of termination, to the extent
applicable performance conditions are achieved for such fiscal year, such
amount to be paid in a lump sum at the same time the Annual Bonus would
otherwise have been paid pursuant to Section 4(b) above had such termination
not occurred;

          (iv) Continuation of payment of Base Salary during the Severance Term,
payable in accordance with the Company’s regular payroll practices, it being
agreed that each installment of Base Salary payable hereunder shall be
deemed to be a separate payment for purposes of Section 409A of the Code;
and

          (v) Continuation, during the Severance Term, of the medical benefits
provided to Employee and his covered dependants under the Company’s health plans in effect as of the date of such
termination, it being understood and agreed that (A) Employee shall be
required to pay that portion of the cost of such medical benefits as
Employee was required to pay (including through customary deductions from
Employee’s paycheck) as of the date of Employee’s termination of employment
with the Company, and (B) notwithstanding the foregoing, the Company’s
obligation to provide such continuation of benefits shall terminate prior to
the expiration of the Severance Term in the event that Employee becomes
eligible to receive any such or similar benefits while employed by or
providing service to, in any capacity, any other business or entity during
the Severance Term.

Notwithstanding the foregoing, the Severance Term shall expire, the payments and benefits described
in clauses (ii), (iii), (iv), and (v) above shall immediately terminate, and the Company shall have
no further obligations to Employee with respect thereto, in the event that Employee breaches any
provision of Section 9 hereof. Except as otherwise set forth below in this Section 8(g), Employee
shall have no further rights to any compensation or any other benefits under Agreement.

          (h) Release. Notwithstanding any provision herein to the contrary, the
Company may require that, prior to payment of any amount or provision of any benefit
pursuant to subsection (d), (e), or (g) of this Section 8 (other than the Accrued
Obligations), Employee shall have executed, on or prior to the Release Expiration
Date, a customary general release in favor of the Company Group in such form as is
reasonably required by the Company, that does not contain any post-employment
restrictions that are in addition to those contained in this Agreement, and any
waiting periods contained in such release shall have expired. Provided that the
Company has delivered such release to Employee promptly following termination, in
the event that Employee fails to execute such release on or prior to the Release
Expiration Date, Employee shall not be entitled to any payments or benefits pursuant
to subsection (d), (e), or (g) of this Section 8 (other than the Accrued
Obligations).

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          Section 9. Restrictive Covenants. Employee acknowledges and agrees that the
agreements and covenants contained in this Section 9 are (i) reasonable and valid in
geographical and temporal scope and in all other respects, and (ii) essential to
protect the value of the business and assets of the Company Group.

          (a) Confidential Information. At any time during and after the end of the
Term of Employment, without the prior written consent of the Board, except to the extent required by an order of a court having
jurisdiction or under subpoena from an appropriate government agency, in which
event, Employee shall use his best efforts to consult with the Board prior to
responding to any such order or subpoena, and except as required in the performance
of his duties hereunder, Employee shall not disclose to or use for the benefit of
any third party any Confidential Information.

          (b) Non-Competition. Employee covenants and agrees that during the
Restricted Period, Employee shall not, directly or indirectly, individually or
jointly, own any interest in, operate, join, control or participate as a partner,
director, principal, officer, or agent of, enter into the employment of, act as a
consultant to, or perform any services for any Person (other than the Company or any
other member of the Company Group), that engages in any Competitive Activities
within the Restricted Area. Notwithstanding anything herein to the contrary, this
Section 9(b) shall not prevent Employee from acquiring as an investment securities
representing not more than three percent (3%) of the outstanding voting securities
of any publicly-held corporation.

          (c) Non-Solicitation; Non-Interference. During the Restricted Period,
Employee shall not, directly or indirectly, for his own account or for the account
of any other Person, engage in Interfering Activities.

          (d) Return of Documents. In the event of the termination of Employee’s
employment for any reason, Employee shall deliver to the Company all of  (i) the
property of the Company and any other member of the Company Group and (ii) the
documents and data of any nature and in whatever medium of the Company and any other
member of the Company Group, and he shall not take with him any such property,
documents or data or any reproduction thereof, or any documents containing or
pertaining to any Confidential Information.

          (e) Works for Hire. Employee agrees that the Company shall own all right,
title and interest throughout the world in and to any and all inventions, original
works of authorship, developments, concepts, know-how, improvements or trade
secrets, whether or not patentable or registrable under copyright or similar laws,
which Employee may solely or jointly conceive or develop or reduce to practice, or
cause to be conceived or developed or reduced to practice during the Term of
Employment, whether or not during regular working hours, provided they either (i)
relate at the time of conception or development to the actual or demonstrably
proposed business or research and development activities of any member of the
Company Group; (ii) result from or relate to any work performed for the Company or
any member of the Company Group; or (iii) are developed through the use of
Confidential Information and/or Company resources or in consultation with any
personnel of the Company or any other member of the Company Group (collectively
referred to as “Developments”). Employee hereby assigns all right, title and
interest in and to any and all of these Developments to the Company.

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Employee agrees to assist the Company, at the Company’s expense, to further evidence, record
and perfect such assignments, and to perfect, obtain, maintain, enforce, and defend any rights
specified to be so owned or assigned. Employee hereby irrevocably designates and appoints the
Company and its agents as attorneys-in-fact to act for and on Employee’s behalf to execute and file
any document and to do all other lawfully permitted acts to further the purposes of the foregoing
with the same legal force and effect as if executed by Employee. In addition, and not in
contravention of any of the foregoing, Employee acknowledges that all original works of authorship
which are made by him (solely or jointly with others) within the scope of employment and which are
protectable by copyright are “works made for hire,” as that term is defined in the United States
Copyright Act (17 U.S.C. Sec. 101). To the extent allowed by law, this includes all rights of
paternity, integrity, disclosure and withdrawal and any other rights that may be known as or
referred to as “moral rights.” To the extent Employee retains any such moral rights under
applicable law, Employee hereby waives such moral rights and consents to any action consistent with
the terms of this Agreement with respect to such moral rights, in each case, to the full extent of
such applicable law. Employee will confirm any such waivers and consents from time to time as
requested by the Company.

          (f) Blue Pencil. If any court of competent jurisdiction shall at any time deem
the duration or the geographic scope of any of the provisions of this Section 9
unenforceable, the other provisions of this Section 9 shall nevertheless stand and
the duration and/or geographic scope set forth herein shall be deemed to be the
longest period and/or greatest size permissible by law under the circumstances, and
the parties hereto agree that such court shall reduce the time period and/or
geographic scope to permissible duration or size.

          Section 10. Injunctive Relief.

          Without limiting the remedies available to the Company, Employee acknowledges
that a breach of any of the covenants contained in Section 9 hereof may result in
material irreparable injury to the Company Group for which there is no adequate
remedy at law, that it will not be possible to measure damages for such injuries
precisely and that, in the event of such a breach or threat thereof, the Company (or
any other member of the Company Group) shall be entitled to obtain a temporary
restraining order and/or a preliminary or permanent injunction, without the
necessity of proving irreparable harm or injury as a result of such breach or
threatened breach of Section 9 hereof, restraining Employee from engaging in
activities prohibited by Section 9 hereof or such other relief as may be required
specifically to enforce any of the covenants in Section 9 hereof. Notwithstanding
any other provision to the contrary, the Restricted Period shall be tolled during
any period of violation of any of the covenants in Section 9(b) or (c) hereof and
during any other period required for litigation during which the Company (or any
other member of the Company Group) seeks to enforce such covenants against Employee
if it is ultimately determined that Employee was in breach of such covenants.

          Section 11. Representations and Warranties of Employee.

          Employee represents and warrants to the Company that he is entering into
this Agreement voluntarily and that his employment hereunder and compliance with the
terms and conditions hereof will not conflict with or result in the breach by him of
any agreement to which he is a party or by which he may be bound.

-11-

 

          Section 12. Taxes.

          The Company may withhold from any payments made under this Agreement all
applicable taxes, including but not limited to income, employment and social
insurance taxes, as shall be required by law. Employee acknowledges and represents
that the Company has not provided any tax advice to him in connection with this
Agreement and that he has been advised by the Company to seek tax advice from his
own tax advisors regarding this Agreement and payments that may be made to him
pursuant to this Agreement, including specifically, the application of the
provisions of Section 409A of the Code to such payments.

          Section 13. Mitigation.

          Employee shall not be required to mitigate the amount of any payment
provided for pursuant to this Agreement by seeking other employment or otherwise.

          Section 14. Delay in Payment.

          Notwithstanding any provision in this Agreement to the contrary, any payment
otherwise required to be made hereunder to the Employee at any date as a result of
the termination of Employee’s employment (other than any payment made in reliance
upon Treas. Reg. Section 1.409A-1 (b)(9) (Separation Pay Plans) or Treas. Reg.
Section 1.409A-1 (b)(4) (Short-Term Deferrals)) shall be delayed for such period of
time as may be necessary to meet the requirements of Section 409A(a)(2)(B)(i) of
the Code. On the earliest date on which such payments can be made without
violating the requirements of Section 409A(a)(2)(B)(i) of the Code, there shall be
paid to the Employee, in a single cash lump sum, an amount equal to the aggregate
amount of all payments delayed pursuant to the preceding sentence. No payment due
under this Agreement shall be delayed or deferred to a date that would violate
Section 409A of the Code.

          Section 15.
Successors and Assigns; No Third-Party Beneficiaries; Indemnification.

          (a) The Company. This Agreement shall inure to the benefit of the Company and its respective successors and assigns. Neither
this Agreement nor any of the rights, obligations or interests arising hereunder
may be assigned by the Company without Employee’s prior written consent (which
shall not be unreasonably withheld, delayed or conditioned), to a person or entity
other than an affiliate or parent entity of the Company, or their respective
successors or assigns; provided, however, that, in the event of the merger,
consolidation, transfer or sale of all or substantially all of the assets of the
Company with or to any other individual or entity, this Agreement shall, subject
to the provisions hereof, be binding upon and inure to the benefit of such
successor and such successor shall discharge and perform all the promises,
covenants, duties and obligations of the Company hereunder, it being agreed that
in such circumstances, the consent of Employee shall not be required in connection
therewith.

          (b) Employee. Employee’s rights and obligations under this Agreement shall
not be transferable by Employee by assignment or otherwise, without the prior
written consent of the Company; provided, however, that if Employee shall die, all
amounts then payable to

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Employee hereunder shall be paid in accordance with the terms of this Agreement to Employee’s
devisee, legatee or other designee or, if there be no such designee, to Employee’s estate.

          (c) No Third-Party Beneficiaries. Except as otherwise set forth in Section
8(b) or Section 15(b) hereof, nothing expressed or referred to in this Agreement
will be construed to give any person or entity other than the Company, the other
members of the Company Group and Employee any legal or equitable right, remedy or
claim under or with respect to this Agreement or any provision of this Agreement.

          (d) Indemnification. To the fullest extent permitted by law, the Company
shall indemnify Employee (including the advancement of expenses) for any judgments,
fines, amounts paid in settlement, and reasonable expenses, including attorneys’
fees, incurred by Employee in connection with the defense of any lawsuit or other
claim to which he is made a party by reason of being an officer or employee of the
Company. During the Term of Employment and for at least six (6) years thereafter,
the Company shall make reasonable best efforts to maintain customary director and
officer liability insurance covering Employee for acts and omissions during the Term
of Employment, which coverage shall include Severable Side A and Difference in
Conditions.

          Section 16. Waiver and Amendments.

          Any waiver, alteration, amendment or modification of any of the terms of this Agreement shall be valid only if made in writing and signed
by each of the parties hereto; provided, however, that any such waiver, alteration,
amendment or modification is consented to on the Company’s behalf by the Board. No
waiver by either of the parties hereto of their rights hereunder shall be deemed to
constitute a waiver with respect to any subsequent occurrences or transactions
hereunder unless such waiver specifically states that it is to be construed as a
continuing waiver.

          Section 17. Severability.

          If any covenants or such other provisions of this Agreement are found to
be invalid or unenforceable by a final determination of a court of competent
jurisdiction: (a) the remaining terms and provisions hereof shall be unimpaired, and
(b) the invalid or unenforceable term or provision hereof shall be deemed replaced
by a term or provision that is valid and enforceable and that comes closest to
expressing the intention of the invalid or unenforceable term or provision hereof.

          Section 18. Governing Law and Jurisdiction.

          This Agreement is governed by and is to be construed under the laws of the
State of New York, without regard to conflict of laws rules. Any dispute or claim
arising out of or relating to this Agreement or claim of breach hereof (other than
claims for injunctive relief, which shall be governed by Section 10 hereof) shall be
brought exclusively in the Federal court in the State of New York. By execution of
the Agreement, the parties hereto, and their respective affiliates, consent to the
exclusive jurisdiction of such court, and waive any right to challenge jurisdiction
or venue in such court with regard to any suit, action, or proceeding under or in
connection with the Agreement. Each party to this Agreement also hereby waives any
right

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to trial by jury in connection with any suit, action or proceeding under or in connection with
this Agreement.

          Section 19. Notices.

          (a) Every notice or other communication relating to this Agreement shall be
in writing, and shall be mailed to or delivered to the party for whom it is intended
at such address as may from time to time be designated by it in a notice mailed or
delivered to the other party as herein provided; provided that, unless and until
some other address be so designated, all notices or communications by Employee to
the Company shall be mailed or delivered to the Company at its principal executive
office, and all notices or communications by the Company to Employee may be given to
Employee personally or may be mailed to Employee at Employee’s last known address, as reflected in the Company’s records, with a
copy to Employee’s counsel, McCarter & English LLP, 245 Park Avenue, New York, NY
10167, Attn: Steven Eckhans, Esq., seckhaus@mccarter.com.

          (b) Any notice so addressed shall be deemed to be given: (i) if delivered by
hand, on the date of such delivery; (ii) if mailed by courier or by overnight mail,
on the first business day following the date of such mailing; or (iii) if mailed by
registered or certified mail, on the third business day after the date of such
mailing.

          Section 20. Section Headings.

          The headings of the sections and subsections of this Agreement are inserted for
convenience only and shall not be deemed to constitute a part thereof, affect the
meaning or interpretation of this Agreement or of any term or provision hereof.

          Section 21. Payments under the Prior Agreement.

          In connection with the transaction contemplated by the Acquisition Agreement,
and in accordance with the Prior Agreement, Employee shall be eligible to receive
the payments and benefits set forth in Section 4 of the Prior Agreement (it being
understood and agreed that neither the Company nor any member of the Company Group
shall have any obligation to provide, or shall have any liability with respect to,
any retiree medical or dental benefits set forth in Section 4 of the Prior
Agreement), provided that Employee satisfies all applicable requirements of the
Prior Agreement for purposes of becoming entitled to such payments and benefits.

          Section 22. Entire Agreement.

          This Agreement, together with any exhibits attached hereto, and the Transaction
Documents, constitute the entire understanding and agreement of the parties hereto
regarding the employment of Employee. This Agreement and the Transaction Documents
supersede all prior negotiations, discussions, correspondence, communications,
understandings and agreements between the parties relating to the subject matter of
this Agreement, including, without limitation, the Prior Agreement, except as set
forth in Section 21 hereof.

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          Section 23. Survival of Operative Sections.

          Upon any termination of Employee’s employment, the provisions of Section 8 through Section 25 of this Agreement (together with any
related definitions set forth in Section hereof) shall survive to the extent
necessary to give effect to the provisions thereof.

          Section 24. Conditional Upon Closing of Transactions.

          This Agreement shall be conditioned upon the closing of the transactions
contemplated by the Acquisition Agreement. In the event that the Acquisition
Agreement terminated prior to the closing of the transactions contemplated thereby,
this Agreement shall void ab initio.

          Section 25. Counterparts.

          This Agreement may be executed in two or more counterparts, each of which
shall be deemed to be an original but all of which together shall constitute one and
the same instrument. The execution of this Agreement may be by actual or facsimile
signature.

* * *

[Signatures to appear on the following page]

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

	 	 	 	 	 
	 	TECO TRANSPORT

CORPORATION

 	 
	 	  	/s/ T. M. Bresnahan
 	 
	 	By:  	T. M. Bresnahan 	 
	 	  	Title: 	VICE PRESIDENT 	 
	 
	 
	 	EMPLOYEE

 	 
	 	/s/ Sal Litrico
 	 
	 	Sal Litrico 	 
	 	 	 
	 

[Signature Page to Litrico Employment Agreement]

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