Document:

EX-10.1

Exhibit 10.1

EXECUTION COPY

THIRD AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

dated as of April 13, 2009

among

WESCO RECEIVABLES CORP.,

as Seller,

WESCO DISTRIBUTION, INC.,

as Servicer,

THE VARIOUS PURCHASER GROUPS FROM TIME TO TIME PARTY HERETO

and

PNC BANK, NATIONAL ASSOCIATION,

as Administrator

 

 

CONTENTS

	 	 	 	 	 
	Clause	 	Page
	ARTICLE I. AMOUNTS AND TERMS OF THE PURCHASES
	 	 	2	 
	Section 1.1. Purchase Facility
	 	 	2	 
	Section 1.2. Making Purchases
	 	 	3	 
	Section 1.3. Purchased Interest Computation
	 	 	5	 
	Section 1.4. Settlement Procedures
	 	 	5	 
	Section 1.5. Fees
	 	 	10	 
	Section 1.6. Payments and Computations, Etc
	 	 	10	 
	Section 1.7. Increased Costs
	 	 	10	 
	Section 1.8. Requirements of Law
	 	 	11	 
	Section 1.9. Inability to Determine Euro-Rate or LMIR
	 	 	12	 
	Section 1.10. Extension of Termination Date
	 	 	13	 
	Section 1.11. Increase in Commitments
	 	 	13	 
	 
	 	 	 	 
	ARTICLE II. REPRESENTATIONS AND WARRANTIES; COVENANTS; TERMINATION EVENTS
	 	 	15	 
	Section 2.1. Representations and Warranties; Covenants
	 	 	15	 
	Section 2.2. Termination Events
	 	 	15	 
	 
	 	 	 	 
	ARTICLE III. INDEMNIFICATION
	 	 	15	 
	Section 3.1. Indemnities by the Seller
	 	 	15	 
	Section 3.2. Indemnities by the Servicer
	 	 	17	 
	 
	 	 	 	 
	ARTICLE IV. ADMINISTRATION AND COLLECTIONS
	 	 	17	 
	Section 4.1. Appointment of the Servicer
	 	 	17	 
	Section 4.2. Duties of the Servicer
	 	 	18	 
	Section 4.3. Lock-Box Account Arrangements
	 	 	19	 
	Section 4.4. Enforcement Rights
	 	 	20	 
	Section 4.5. Responsibilities of the Seller
	 	 	21	 
	Section 4.6. Servicing Fee
	 	 	21	 
	 
	 	 	 	 
	ARTICLE V. THE AGENTS
	 	 	21	 
	Section 5.1. Appointment and Authorization
	 	 	21	 
	Section 5.2. Delegation of Duties
	 	 	22	 
	Section 5.3. Exculpatory Provisions
	 	 	23	 
	Section 5.4. Reliance by Agents
	 	 	23	 
	Section 5.5. [Intentionally Omitted]
	 	 	24	 
	Section 5.6. Notice of Termination Events
	 	 	24	 
	Section 5.7. Non-Reliance on Administrator, Purchaser Agents and Other Purchasers
	 	 	24	 
	Section 5.8. Administrators and Affiliates
	 	 	24	 
	Section 5.9. Indemnification
	 	 	25	 

 

 

CONTENTS

	 	 	 	 	 
	Clause	 	Page
	Section 5.10. Successor Administrator
	 	 	25	 
	 
	 	 	 	 
	ARTICLE VI. MISCELLANEOUS
	 	 	25	 
	Section 6.1. Amendments, Etc
	 	 	25	 
	Section 6.2. Notices, Etc
	 	 	26	 
	Section 6.3. Successors and Assigns; Participations; Assignments
	 	 	26	 
	Section 6.4. Costs, Expenses and Taxes
	 	 	28	 
	Section 6.5. No Proceedings; Limitation on Payments
	 	 	29	 
	Section 6.6. GOVERNING LAW AND JURISDICTION
	 	 	29	 
	Section 6.7. Execution in Counterparts
	 	 	29	 
	Section 6.8. Survival of Termination
	 	 	30	 
	Section 6.9. WAIVER OF JURY TRIAL
	 	 	30	 
	Section 6.10. Sharing of Recoveries
	 	 	30	 
	Section 6.11. Right of Setoff
	 	 	30	 
	Section 6.12. Entire Agreement
	 	 	30	 
	Section 6.13. Headings
	 	 	30	 
	Section 6.14. Purchaser Groups’ Liabilities
	 	 	31	 
	Section 6.15. Pledge to a Federal Reserve Bank
	 	 	31	 
	Section 6.16. [Intentionally Omitted]
	 	 	31	 
	Section 6.17. Waiver
	 	 	31	 

-ii-

 

TABLE OF CONTENTS

(continued)

	 	 	 
	EXHIBIT I

	 	Definitions
	EXHIBIT II

	 	Conditions Precedent
	EXHIBIT III

	 	Representations and Warranties
	EXHIBIT IV

	 	Covenants
	EXHIBIT V

	 	Termination Events
	 
	 	 
	SCHEDULE I

	 	Credit and Collection Policy
	SCHEDULE II

	 	Lock-Box Banks and Lock-Box Accounts
	SCHEDULE III

	 	Trade Names
	SCHEDULE IV

	 	Notice Information
	SCHEDULE V

	 	Fixed Charge Coverage Ratio Definitions
	SCHEDULE VI

	 	Commitments and Closing Date Investment Amount (after giving
effect to non-pro rata fundings and paydowns on the Closing
Date)
	SCHEDULE VII

	 	Scheduled Commitment Termination Date
	 
	 	 
	ANNEX A

	 	Form of Information Package
	ANNEX B

	 	Form of Purchase Notice
	ANNEX C

	 	List of Special Obligors
	ANNEX D

	 	Form of Assumption Agreement
	ANNEX E

	 	Form of Transfer Supplement

			
	NOTE:	 	Schedule II and annexes are omitted and will be furnished supplementally to the Securities
and Exchange Commission upon request.

iii

 

     This THIRD AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT (as amended, supplemented or
otherwise modified from time to time, this “Agreement”) is entered into as of April 13,
2009, among WESCO RECEIVABLES CORP., a Delaware corporation, as seller (the “Seller”),
WESCO DISTRIBUTION, INC., a Delaware corporation (“WESCO”), as initial servicer (in such
capacity, together with its successors and permitted assigns in such capacity, the
“Servicer”), THE VARIOUS CONDUIT PURCHASERS, RELATED COMMITTED PURCHASERS AND PURCHASER
AGENTS FROM TIME TO TIME PARTY HERETO, and PNC BANK, NATIONAL ASSOCIATION, as Administrator for
each Purchaser Group (in such capacity, and as successor to Wachovia Capital Markets, LLC, in such
capacity, the “Administrator”).

     PRELIMINARY STATEMENTS. Certain terms that are capitalized and used throughout this Agreement
are defined in Exhibit I. References in the Exhibits hereto to the “Agreement” refer to
this Agreement, as amended, supplemented or otherwise modified from time to time.

     This Agreement amends and restates in its entirety the Second Amended and Restated Receivables
Purchase Agreement dated as of September 2, 2003 (the “Original Agreement”), among the
Seller, the Servicer, the purchaser groups party thereto and Wachovia Capital Markets, LLC, as
administrator thereunder. Upon the effectiveness of this Agreement, the terms and provisions of
the Original Agreement shall, subject to this paragraph, be superseded hereby in their entirety.
Notwithstanding the amendment and restatement of the Original Agreement by this Agreement, the
Seller and the Servicer shall continue to be liable to the Purchasers, Wachovia Capital Markets,
LLC or any other Indemnified Party or Affected Person (as such terms are defined in the Original
Agreement) with respect to all unpaid fees and expenses accrued to the date hereof under the
Original Agreement and all agreements to indemnify such parties in connection with events or
conditions arising or existing prior to the effective date of this Agreement. Upon the
effectiveness of this Agreement, each reference to the Original Agreement in any other document,
instrument or agreement shall mean and be a reference to this Agreement. Nothing contained herein,
unless expressly herein stated to the contrary, is intended to amend, modify or otherwise effect
any other instrument, document or agreement executed and or delivered in connection with the
Original Agreement.

     The Seller has and, from time to time from and after the date hereof, desires to sell,
transfer and assign an undivided variable percentage interest in a pool of receivables, and the
Purchasers desire to acquire such undivided variable percentage interest, as such percentage
interest shall be adjusted from time to time based upon, in part, reinvestment payments that are
made by such Purchasers.

     In consideration of the mutual agreements, provisions and covenants contained herein, the
parties hereto agree as follows:

 

 

ARTICLE I.

AMOUNTS AND TERMS OF THE PURCHASES

     Section 1.1. Purchase Facility.

          (a) On the terms and subject to the conditions hereof, the Seller may, from time to time
before each applicable Facility Termination Date, request that the Conduit Purchasers, or, only if
a Conduit Purchaser denies such request or is unable to fund (and provides notice of such denial or
inability to the Seller, the Administrator and its Purchaser Agent), request that the Related
Committed Purchasers, make purchases of and reinvestments in undivided percentage ownership
interests with regard to the Purchased Interest from the Seller from time to time from the date
hereof to each applicable Facility Termination Date. Subject to Section 1.4(b), concerning
reinvestments, at no time will a Conduit Purchaser have any obligation to make a purchase. Each
Related Committed Purchaser severally hereby agrees, on the terms and subject to the conditions
hereof, to make Purchases before its applicable Facility Termination Date, as requested pursuant to
Section 1.2(a) (each, a “Purchase”) (and, in the case of each Related Committed
Purchaser, based on its Commitment Percentage of its Purchaser Group’s Ratable Share of such
Purchase) to the extent its Investment would not thereby exceed its Commitment and the Aggregate
Investment would not (after giving effect to all Purchases on such date) exceed the Purchase Limit.
Subject to the foregoing, each of the parties hereto hereby agrees that, solely on a one time
basis on the date hereof, each of (i) the Purchaser Group that includes PNC Bank, National
Association, (ii) the Purchaser Group that includes U.S. Bank National Association, (iii) the
Purchaser Group that includes The PrivateBank and Trust Company and (iv) the Purchaser Group that
includes The Huntington National Bank shall each make a non-pro rata advance to the Seller, in each
case, in the amount set forth in the table on Schedule VI, and the Seller shall make a
non-pro rata paydown to cause the reduction of the Investment of each of (i) the Purchaser Group
that include Wachovia, (ii) the Purchaser Group that include Fifth Third and (iii) GECC in the
amount set forth in the table on Schedule VI. After giving effect to such non-pro rata
advance and non-pro rata paydown, the Investment of each Purchaser (solely as of the Closing Date
and after giving effect to the non-pro rata advances and payments described in this paragraph
above) shall be as set forth in the table on Schedule VI. Notwithstanding the foregoing or
anything else to the contrary set forth in this Agreement, (i) each of the Seller, VFCC, as Conduit
Purchaser under the Original Agreement, and Wachovia, as Purchaser Agent and Related Committed
Purchaser with respect to VFCC under the Original Agreement, hereby agrees that the aggregate of
the Investments under the Original Agreement of each Purchaser within the Purchaser Group which
included VFCC under the Original Agreement shall be deemed to have been purchased by Wachovia, as
the Related Committed Purchaser related to Wachovia, on the Closing Date and (ii) each of the
Seller and Fifth Third, as Conduit Purchaser, as Purchaser Agent and Related Committed Purchaser
with respect to Firth Third, as Conduit Purchaser, hereby agrees that the aggregate of the
Investments under the Original Agreement of each Purchaser within the Purchaser Group which
includes Fifth Third shall be deemed to have been purchased by Fifth Third, as the Related
Committed Purchaser related to Fifth Third, on the Closing Date.

          (b) The Seller may, upon 30 days’ written notice to the Administrator and each Purchaser
Agent, reduce the unfunded portion of the Purchase Limit in whole or in part (but not below the
amount which would cause the Group Investment of any Purchaser Group to

2

 

exceed its Group Commitment (after giving effect to such reduction)); provided that each
partial reduction shall be in the amount of at least $5,000,000, or an integral multiple of
$1,000,000 in excess thereof and unless terminated in whole, the Purchase Limit shall in no event
be reduced below $150,000,000. Such reduction shall at the option of the Seller be applied either
(i) ratably to reduce the Group Commitment of each Purchaser Group or (ii) to terminate the Group
Commitment of any one Purchaser Group.

          (c) The Seller may, upon 30 days’ (but not greater than 45 days’) prior written notice to the
Administrator and each Purchaser Agent, repay in whole (but not in part) the entire Aggregate
Investment (and all accrued and unpaid Discount thereon) by making a cash payment of such amount to
the Purchaser Agents for the benefit of the related Purchasers. Such payments shall be made to the
applicable Purchaser Agents for the ratable benefit of the related Purchasers (ratably based on the
Investments outstanding at such time) and the Investment (and accrued and unpaid Discount) of each
Purchaser shall only be deemed to be reduced by such payment when such payment is finally so paid
to such Purchaser in full in cash. All payments as repayments made pursuant to this paragraph
shall be subject to any applicable Termination Fee payable to any Purchaser at such time in
connection therewith.

     Section 1.2. Making Purchases.

          (a) Each Purchase (but not reinvestment) of undivided percentage ownership interests with
regard to the Purchased Interest hereunder shall be made upon the Seller’s irrevocable written
notice in the form of Annex B delivered to the Administrator and each Purchaser Agent in accordance
with Section 6.2 (which notice must be received by the Administrator and each Purchaser
Agent before 11:00 a.m., New York City time) at least two Business Days before the requested
Purchase Date (provided, however, that in the case of the first purchase hereunder,
such notice may be received on the date hereof), which notice shall specify: (A) the date of such
purchase (which shall be a Business Day), (B) the aggregate amount requested to be paid to the
Seller (such aggregate amount, which shall not be less than $2,000,000 (or up to the then remaining
availability hereunder, if less than $2,000,000 at the time of such request), being the aggregate
of the Investments of each Purchaser, relating to the undivided percentage ownership interest then
being purchased) (which amount shall be ratably allocated among the Purchaser Groups, based on the
Group Commitments for such Purchaser Groups on such day) and (C) a pro forma calculation of the
Purchased Interest after giving effect to the increase in the Aggregate Investment. If the Purchase
is requested from a Conduit Purchaser and such Conduit Purchaser determines, in its sole
discretion, to make the requested Purchase, such Conduit Purchaser shall, subject to the terms and
conditions hereof, transfer to the account of the Seller described in Section 1.2(b) below
(the “Disbursement Account”), an amount equal to the amount requested by the Seller to be
funded by such Purchaser on the requested Purchase Date. If the Purchase is requested from the
Related Committed Purchasers for a Purchaser Group (in the case where the related Conduit Purchaser
determined not to or was unable to make such Purchase), subject to the terms and conditions hereof,
such Related Committed Purchasers for a Purchaser Group shall use its reasonable best efforts to
transfer the amount requested by the Seller to be funded by such Purchaser (and, in the case of
each Related Committed Purchaser, based on its Commitment Percentage of its Purchaser Group’s
Ratable Share of such Purchase) into the Disbursement Account by no later than 1:00 p.m. (New York
time) on the Purchase Date.

3

 

          (b) On the date of each Purchase, each Purchaser (or the related Purchaser Agent on its
behalf), shall make available to the Seller in same day funds, at PNC Bank, National Association,
account number 5603533095, ABA 031100089, an amount equal to the proceeds of such Purchase.

          (c) Effective on the date of each Purchase pursuant to this Section 1.2 and each
reinvestment pursuant to Section 1.4, the Seller hereby sells and assigns to the
Administrator for the benefit of the Purchasers (ratably, according to each such Purchaser’s
Investment) an undivided percentage ownership interest in: (i) each Pool Receivable then existing,
(ii) all Related Security with respect to such Pool Receivables, and (iii) all Collections with
respect to, and other proceeds of, such Pool Receivables and Related Security.

          (d) To secure all of the Seller’s obligations (monetary or otherwise) under this Agreement and
the other Transaction Documents to which it is a party, whether now or hereafter existing or
arising, due or to become due, direct or indirect, absolute or contingent, the Seller hereby grants
to the Administrator, for the benefit of the Purchasers, a security interest in all of the Seller’s
right, title and interest (including any undivided interest of the Seller) in, to and under all of
the following, whether now or hereafter owned, existing or arising: (i) all Pool Receivables, (ii)
all Related Security with respect to such Pool Receivables, (iii) all Collections with respect to
such Pool Receivables, (iv) the Lock-Box Accounts and all amounts on deposit therein, and all
certificates and instruments, if any, from time to time evidencing such Lock-Box Accounts and
amounts on deposit therein, (v) all rights (but none of the obligations) of the Seller under the
Sale Agreement and (vi) all proceeds of, and all amounts received or receivable under any or all
of, the foregoing (collectively, the “Pool Assets”). The Administrator, for the benefit of
the Purchasers, shall have, with respect to the Pool Assets, and in addition to all the other
rights and remedies available to the Administrator and the Purchasers, all the rights and remedies
of a secured party under any applicable UCC.

          (e) Except with respect to the increases in Commitments contemplated by Section 1.11,
the Seller may, with the written consent of the Administrator and each Purchaser, add additional
Persons as Purchasers (either to an existing Purchaser Group or by creating new Purchaser Groups)
or cause an existing Purchaser to increase its Commitment in connection with a corresponding
increase in the Purchase Limit; provided, however, that the Commitment of any
Purchaser may only be increased with the consent of such Purchaser, such consent to be in such
Purchaser’s sole and absolute discretion. Each new Purchaser (or Purchaser Group) and each
Purchaser increasing its Commitment shall become a party hereto or increase its Commitment, as the
case may be, by executing and delivering to the Administrator and the Seller an Assumption
Agreement in the form of Annex D hereto (which Assumption Agreement shall, in the case of any new
Purchaser or Purchasers be executed by each Person in such new Purchaser’s Purchaser Group).

          (f) Each Related Committed Purchaser’s obligation hereunder shall be several, such that the
failure of any Related Committed Purchaser to make a payment in connection with any purchase
hereunder shall not relieve any other Related Committed Purchaser of its obligation hereunder to
make payment for any Purchase. Further, in the event any Related Committed Purchaser fails to
satisfy its obligation to make a purchase as required hereunder, upon receipt of notice of such
failure from the Administrator (or any relevant

4

 

Purchaser Agent), subject to the limitations set forth herein, the non-defaulting Related
Committed Purchasers in such defaulting Related Committed Purchaser’s Purchaser Group shall
purchase the defaulting Related Committed Purchaser’s Commitment Percentage of the related Purchase
pro rata in proportion to their relative Commitment Percentages (determined without
regard to the Commitment Percentage of the defaulting Related Committed Purchaser; it
being understood that a defaulting Related Committed Purchaser’s Commitment
Percentage of any Purchase shall be first put to the Related Committed Purchasers in such
defaulting Related Committed Purchaser’s Purchaser Group and thereafter if there are no other
Related Committed Purchasers in such Purchaser Group or if such other Related Committed Purchasers
are also defaulting Related Committed Purchasers, then such defaulting Related Committed
Purchaser’s Commitment Percentage of such Purchase shall be put to each other Purchaser Group
ratably and applied in accordance with this paragraph (f)). Notwithstanding anything in
this paragraph (f) to the contrary, no Related Committed Purchaser shall be required to
make a Purchase pursuant to this paragraph for an amount which would cause the aggregate Investment
of such Related Committed Purchaser (after giving effect to such Purchase) to exceed its
Commitment.

     Section 1.3. Purchased Interest Computation. The Purchased Interest shall be
initially computed on the date of the initial Purchase hereunder. Thereafter, until the Facility
Termination Date, such Purchased Interest shall be automatically recomputed (or deemed to be
recomputed) on each Business Day other than a Termination Day. From and after the occurrence of any
Termination Day, the Purchased Interest shall (until the event(s) giving rise to such Termination
Day are satisfied or are waived in accordance with the terms hereof) be deemed to be 100%. The
Purchased Interest shall become zero when the Aggregate Investment thereof and Aggregate Discount
thereon shall have been paid in full, all the amounts owed by the Seller and the Servicer hereunder
to each Purchaser, the Administrator and any other Indemnified Party or Affected Person are paid in
full, and the Servicer shall have received the accrued Servicing Fee thereon.

     Section 1.4. Settlement Procedures.

          (a) The collection of the Pool Receivables shall be administered by the Servicer in accordance
with this Agreement. The Seller shall provide to the Servicer on a timely basis all information
needed for such administration, including notice of the occurrence of any Termination Day and
current computations of the Purchased Interest.

          (b) The Servicer shall, on each day on which Collections of Pool Receivables are received (or
deemed received) by the Seller or the Servicer:

     (i) set aside and hold in trust (and shall, at the request of the Administrator (with
the consent or at the direction of a Simple Majority of the Purchasers), segregate in a
separate account approved by the Administrator if, at the time of such request, there exists
an Unmatured Termination Event or a Termination Event or if the failure to so segregate
reasonably could be expected to cause a Material Adverse Effect) for the benefit of each
Purchaser Group, out of such Collections, first, an amount equal to the Aggregate Discount
accrued through such day for each Portion of Investment and not previously set aside,
second, an amount equal to the fees set forth in each Purchaser Group Fee Letter accrued and
unpaid through such day, and third, to the extent funds are

5

 

available therefor, an amount equal to the aggregate of each Purchaser Group’s Ratable
Share of the Servicing Fee accrued through such day and not previously set aside,

     (ii) subject to Section 1.4(f), if such day is not a Termination Day, remit to
the Seller, ratably, on behalf of each Purchaser Group, the remainder of such Collections.
Such remainder shall, to the extent representing a return on the Aggregate Investment,
ratably, according to each Purchaser’s Investment, be automatically reinvested in Pool
Receivables, and in the Related Security, Collections and other proceeds with respect
thereto; provided, however, that if the Purchased Interest would exceed
100%, then the Servicer shall not reinvest, but shall set aside and hold in trust for the
benefit of the Purchasers (and shall, at the request of the Administrator (with the consent
or at the direction of a Simple Majority of the Purchasers), segregate in a separate account
approved by the Administrator if, at the time of such request, there exists an Unmatured
Termination Event or a Termination Event or if the failure to so segregate reasonably could
be expected to cause a Material Adverse Effect) a portion of such Collections that, together
with the other Collections set aside pursuant to this paragraph, shall equal the amount
necessary to reduce the Purchased Interest to 100%; provided, further, that
in the case of any Purchaser that is a Conduit Purchaser, if such Purchaser has provided
notice (a “Declining Notice”) to its Purchaser Agent, the Administrator, and the
Servicer that such Purchaser (a “Declining Conduit Purchaser”) no longer wishes
Collections with respect to any Portion of Investment funded or maintained by such Purchaser
to be reinvested pursuant to this clause (ii), then such Collections shall not be
reinvested and shall instead be held in trust for the benefit of such Purchaser and applied
in accordance with clause (iii), below.

     (iii) if such day is a Termination Day (or any day following the provision of a
Declining Notice), set aside, segregate and hold in trust (and shall, at the request of the
Administrator (with the consent or at the direction of a Simple Majority of the Purchasers),
segregate in a separate account approved by the Administrator) for the benefit of each
Purchaser Group the entire remainder of the Collections (or in the case of any Declining
Conduit Purchaser, an amount equal to such Purchaser’s ratable share of such Collections
based on its Investment; provided, that solely for the purpose of determining such
Purchaser’s ratable share of such Collections, such Purchaser’s Investment shall be deemed
to remain constant from the date of the provision of a Declining Notice until the date such
Purchaser’s Investment has been paid in full; it being understood
that if such day is also a Termination Day, such Declining Conduit Purchaser’s Investment
shall be recalculated taking into account amounts received by such Purchaser in respect of
this parenthetical and thereafter Collections shall be set aside for such Purchaser ratably
in respect of its Investment (as recalculated)); provided, that if amounts are set
aside and held in trust on any Termination Day of the type described in clause (a)
of the definition of “Termination Day” (or any day following the provision of a Declining
Notice) and, thereafter, the conditions set forth in Section 2 of Exhibit II
are satisfied or waived by the Administrator and a Simple Majority of the Purchasers (or in
the case of a Declining Notice, such Declining Notice has been revoked by the related
Declining Conduct Purchaser and written notice thereof has been provided to the
Administrator, the related Purchaser Agent and the Servicer), such previously set-aside
amounts shall, to the extent representing a return on Aggregate Investment (or the

6

 

Investment of the related Declining Conduit Purchaser) and ratably in accordance with
each Purchaser’s Investment, be reinvested in accordance with clause (ii) on the day
of such subsequent satisfaction or waiver of conditions or revocation of such Declining
Notice, and

     (iv) release to the Seller (subject to Section 1.4(f)) for its own account any
Collections in excess of: (x) amounts required to be reinvested in accordance with
clause (ii) or the proviso to clause (iii) plus (y) the amounts that are
required to be set aside pursuant to clause (i), the proviso to clause (ii)
and clause (iii) plus (z) the Seller’s Share of the Servicing Fee accrued and unpaid
through such day and all reasonable and appropriate out-of-pocket costs and expenses of the
Servicer for servicing, collecting and administering the Pool Receivables.

          (c) The Servicer shall, in accordance with the priorities set forth in Section 1.4(d),
below, deposit into each applicable Purchaser’s account (or such other account designated by such
applicable Purchaser or its Purchaser Agent), on each Settlement Date, Collections held for each
Purchaser with respect to such Purchaser’s Portion(s) of Investment pursuant to clause
(b)(i) or (f) plus the amount of Collections then held for such Purchaser pursuant to
clauses (b)(ii) and (iii) of Section 1.4; provided, that if WESCO
or an Affiliate thereof is the Servicer, such day is not a Termination Day and the Administrator
has not notified WESCO (or such Affiliate) that such right is revoked, WESCO (or such Affiliate)
may retain the portion of the Collections set aside pursuant to clause (b)(i) that
represents the aggregate of each Purchaser Group’s Ratable Share of the Servicing Fee. Within three
Business Days of the last day of each Yield Period with respect to any Portion of Investment, the
applicable Purchaser Agent will notify the Servicer by facsimile of the amount of the Discount
accrued with respect to each such Portion of Investment during the related Yield Period then
ending.

          (d) The Servicer shall distribute the amounts described (and at the times set forth) in
Section 1.4(c), as follows:

     (i) if such distribution occurs on a day that is not a Termination Day and the
Purchased Interest does not exceed 100%, first to each Purchaser Agent ratably according to
the Discount accrued during such Yield Period (for the benefit of the relevant Purchasers
within such Purchaser Agent’s Purchaser Group) in payment in full of all accrued Discount
and fees (other than Servicing Fees) with respect to each Portion of Investment maintained
by such Purchasers; it being understood that each Purchaser Agent
shall distribute such amounts to the Purchasers within its Purchaser Group ratably according
to Discount and fees, and second, if the Servicer has set aside amounts in respect of the
Servicing Fee pursuant to clause (b)(i) and has not retained such amounts pursuant
to clause (c), to the Servicer’s own account (payable in arrears on each Settlement
Date) in payment in full of the aggregate of each Purchaser Group’s Ratable Share of accrued
Servicing Fees so set aside, and

     (ii) if such distribution occurs on a Termination Day or on a day when the Purchased
Interest exceeds 100%, first, if WESCO or an Affiliate thereof is not the Servicer,
to the Servicer’s own account in payment in full of all accrued Servicing Fees,
second, to each Purchaser Agent ratably according to Investment (for the benefit of
the

7

 

relevant Purchasers within such Purchaser Agent’s Purchaser Group) in payment in full
of all accrued Discount with respect to each Portion of Investment funded or maintained by
the Purchasers within such Purchaser Agent’s Purchaser Group, third, to each
Purchaser Agent (for the benefit of the relevant Purchasers within such Purchaser Agent’s
Purchaser Group) ratably according to the fees accrued (other than Servicing Fees) in
payment in full of all accrued fees (other than Servicing Fees) with respect to each Portion
of Investment maintained by such Purchasers, fourth, to each Purchaser Agent ratably
according to the aggregate of the Investment of each Purchaser in each such Purchaser
Agent’s Purchaser Group (for the benefit of the relevant Purchasers within such Purchaser
Agent’s Purchaser Group) in payment in full of each Purchaser’s Investment (or, if such day
is not a Termination Day, the amount necessary to reduce the Purchased Interest to 100%);
it being understood that each Purchaser Agent shall distribute the
amounts described in the second, third and fourth clauses of this Section 1.4(d)(ii)
to the Purchasers within its Purchaser Group ratably according to Investment or, in the case
of the third clause of this Section 1.4(d)(ii), fees (not including the Servicing
Fee), fifth, if the Aggregate Investment and accrued Aggregate Discount with respect
to each Portion of Investment for all Purchaser Groups have been reduced to zero, and all
accrued Servicing Fees payable to the Servicer (if other than WESCO or an Affiliate thereof)
have been paid in full, to each Purchaser Group ratably (for the benefit of the Purchasers
within such Purchaser Group) in accordance with its Ratable Share, the Administrator and any
other Indemnified Party or Affected Person in payment in full of any other amounts) owed
thereto by the Seller or Servicer hereunder, and sixth, to the Servicer’s own
account (if the Servicer is WESCO or an Affiliate thereof) in payment in full of the
Aggregate of each Purchaser Group’s Ratable Share of all accrued Servicing Fees.

After the Aggregate Investment, Aggregate Discount, fees payable pursuant to each Purchaser Group
Fee Letter and Servicing Fees with respect to the Purchased Interest, and any other amounts payable
by the Seller and the Servicer to each Purchaser Group, the Administrator or any other Indemnified
Party or Affected Person hereunder, have been paid in full, all additional Collections with respect
to the Purchased Interest shall be paid to the Seller for its own account.

     (e) For the purposes of this Section 1.4:

     (i) if on any day the Outstanding Balance of any Pool Receivable is reduced or adjusted
as a result of any defective, rejected, returned, repossessed or foreclosed goods or
services, or any revision, cancellation, allowance, discount or other adjustment made by the
Seller or any Affiliate of the Seller, or the Servicer or any Affiliate of the Servicer, or
any setoff or dispute between the Seller or any Affiliate of the Seller, or the Servicer or
any Affiliate of the Servicer and an Obligor, the Seller shall be deemed to have received on
such day a Collection of such Pool Receivable in the amount of such reduction or adjustment;

     (ii) if on any day any of the representations or warranties in Section 1(g) or
(n) of Exhibit III is not true with respect to any Pool Receivable, the
Seller shall be deemed to have received on such day a Collection of such Pool Receivable in
full;

8

 

     (iii) except as provided in clause (i) or (ii), or as otherwise
required by applicable law or the relevant Contract, all Collections received from an
Obligor of any Receivable shall be applied to the Receivables of such Obligor in the order
of the age of such Receivables, starting with the oldest such Receivable, unless such
Obligor designates in writing its payment for application to specific Receivables; and

     (iv) if and to the extent the Administrator, any Purchaser Agent or any Purchaser shall
be required for any reason to pay over to an Obligor (or any trustee, receiver, custodian or
similar official in any Insolvency Proceeding) any amount received by it hereunder, such
amount shall be deemed not to have been so received by such Person but rather to have been
retained by the Seller and, accordingly, such Person shall have a claim against the Seller
for such amount, payable when and to the extent that any distribution from or on behalf of
such Obligor is made in respect thereof.

          (f) If at any time the Seller shall wish to cause the reduction of Aggregate Investment (but
not to commence the liquidation, or reduction to zero, of the entire Aggregate Investment), the
Seller may do so as follows:

     (i) the Seller shall give the Administrator, each Purchaser Agent and the Servicer at
least two Business Days’ prior written notice thereof for any reduction of Aggregate
Investment (such notice to include the amount of such proposed reduction and the proposed
date on which such reduction will commence);

     (ii) on the proposed date of commencement of such reduction and on each day thereafter,
the Servicer shall cause Collections not to be reinvested until the amount thereof not so
reinvested shall equal the desired amount of reduction; and

     (iii) the Servicer shall hold such Collections in trust for the benefit of each
Purchaser ratably according to its Investment, for payment to each such Purchaser (or its
related Purchaser Agent for the benefit of such Purchaser) on the next Settlement Date with
respect to any Portions of Investment maintained by such Purchaser immediately following the
related current Yield Period, and the Aggregate Investment (together with the Investment of
any related Purchaser) shall be deemed reduced in the amount to be paid to such Purchaser
(or its related Purchaser Agent for the benefit of such Purchaser) only when in fact finally
so paid;

; provided, that:

     (A) the amount of any such reduction shall be not less than $2,000,000 in the aggregate
for all Purchaser Groups (unless the Aggregate Investment at the time of such reduction is
less than $2,000,000, in which case such reduction shall be in the amount required to reduce
the Aggregate Investment to zero); and

     (B) with respect to any Portion of Investment, the Seller shall choose a reduction
amount, and the date of commencement thereof, so that to the extent practicable such
reduction shall commence and conclude in the same Yield Period.

9

 

     Section 1.5. Fees. The Seller shall pay to each Purchaser Agent for the benefit of
the related Purchasers certain fees in the amounts and on the dates set forth in those certain fee
letters, each such letter (as amended or amended and restated through the date hereof and as
amended, supplemented, or otherwise modified from time to time, a “Purchaser Group Fee
Letter”), in each case among the Seller, the Servicer, the related Purchaser Agent and the
related Purchasers.

     Section 1.6. Payments and Computations, Etc.

          (a) All amounts to be paid or deposited by the Seller or the Servicer hereunder shall be made
without reduction for offset or counterclaim and shall be paid or deposited no later than noon (New
York City time) on the day when due in same day funds to the applicable Purchaser’s account (as
such account is identified in the related Purchaser Group Fee Letter). All amounts received after
noon (New York City time) will be deemed to have been received on the next Business Day.

          (b) The Seller or the Servicer, as the case may be, shall, to the extent permitted by law, pay
interest on any amount not paid or deposited by the Seller or the Servicer, as the case may be,
when due hereunder, at an interest rate equal to the greater of: (i) 3.00% per annum above the Base
Rate and (ii) the Yield Rate, payable on demand.

          (c) All computations of interest under clause (b) and all computations of Discount,
fees and other amounts hereunder shall be made on the basis of a year of 360 (or 365 or 366, as
applicable, with respect to Discount or other amounts calculated by reference to the Base Rate)
days for the actual number of days elapsed. Whenever any payment or deposit to be made hereunder
shall be due on a day other than a Business Day, such payment or deposit shall be made on the next
Business Day and such extension of time shall be included in the computation of such payment or
deposit.

     Section 1.7. Increased Costs.

          (a) If any Purchaser Agent, Purchaser, Liquidity Provider, the Administrator or any other
Program Support Provider or any of their respective Affiliates (each an “Affected Person”)
reasonably determines that the existence of or compliance with: (i) any law or regulation or any
change therein or in the interpretation or application thereof, in each case adopted, issued or
occurring after the date hereof, or (ii) any request, guideline or directive from any central bank
or other Governmental Authority (whether or not having the force of law) issued or occurring after
the date of this Agreement, affects or would affect the amount of capital required or expected to
be maintained by such Affected Person, and such Affected Person determines that the amount of such
capital is increased by or based upon the existence of any commitment to make purchases of (or
otherwise to maintain the investment in) Pool Receivables related to this Agreement or any related
liquidity facility, credit enhancement facility or other commitments of the same type, then, upon
demand by such Affected Person (with a copy to the Administrator), the Seller shall promptly pay to
the Administrator, for the account of such Affected Person, from time to time as specified by such
Affected Person, additional amounts sufficient to compensate such Affected Person in the light of
such circumstances, to the extent that such Affected Person reasonably determines such increase in
capital to be allocable to the

10

 

existence of any of such commitments. A certificate as to such amounts submitted to the Seller
and the Administrator by such Affected Person shall be conclusive and binding for all purposes,
absent manifest error.

          (b) If, due to either: (i) the introduction of or any change in or in the interpretation of
any law or regulation or (ii) compliance with any guideline or request from any central bank or
other Governmental Authority (whether or not having the force of law), there shall be any increase
in the cost to any Affected Person of agreeing to purchase or purchasing, or maintaining the
ownership of, the Purchased Interest or any portion thereof in respect of which Discount is
computed by reference to the Euro-Rate or the LMIR, then, upon demand by such Affected Person, the
Seller shall promptly pay to such Affected Person, from time to time as specified by such Affected
Person, additional amounts sufficient to compensate such Affected Person for such increased costs.
A certificate as to such amounts submitted to the Seller and the Administrator by such Affected
Person shall be conclusive and binding for all purposes, absent manifest error.

          (c) If such increased costs affect the related Affected Person’s portfolio of financing
transactions, such Affected Person shall use reasonable averaging and attribution methods to
allocate such increased costs to the transactions contemplated by this Agreement.

          (d) For the avoidance of doubt, any interpretation of Accounting Research Bulletin No. 51 by
the Financial Accounting Standards Board (“FASB”) (including, without limitation, FASB
Interpretation No. 46R), shall (notwithstanding anything in this paragraph or otherwise in this
Agreement to the contrary, whether or not issued or occurring on or prior to or after the date
hereof) constitute an adoption, change, request, guideline or directive subject to this
Section 1.7.

     Section 1.8. Requirements of Law.

     If any Affected Person reasonably determines that the existence of or compliance with: (a) any
law or regulation or any change therein or in the interpretation or application thereof, in each
case adopted, issued or occurring after the date hereof, or (b) any request, guideline or directive
from any central bank or other Governmental Authority (whether or not having the force of law)
issued or occurring after the date of this Agreement:

     (i) does or shall subject such Affected Person to any tax of any kind whatsoever with
respect to this Agreement, any increase in the Purchased Interest or any portion thereof or
in the amount of such Person’s Investment relating thereto, or does or shall change the
basis of taxation of payments to such Affected Person on account of Collections, Discount or
any other amounts payable hereunder (excluding taxes imposed on the overall pre-tax net
income of such Affected Person, and franchise taxes imposed on such Affected Person, by the
jurisdiction under the laws of which such Affected Person is organized or a political
subdivision thereof),

     (ii) does or shall impose, modify or hold applicable any reserve, special deposit,
compulsory loan or similar requirement against assets held by, or deposits or other
liabilities in or for the account of, purchases, advances or loans by, or other credit

11

 

extended by, or any other acquisition of funds by, any office of such Affected Person
that are not otherwise included in the determination of the Euro-Rate, the LMIR or the Base
Rate hereunder, or

     (iii) does or shall impose on such Affected Person any other condition,

and the result of any of the foregoing is: (A) to increase the cost to such Affected Person of
acting as Administrator or as a Purchaser Agent, or of agreeing to purchase or purchasing or
maintaining the ownership of undivided percentage ownership interests with regard to the Purchased
Interest (or interests therein) or any Portion of Investment, or (B) to reduce any amount
receivable hereunder (whether directly or indirectly), then, in any such case, upon demand by such
Affected Person, the Seller shall promptly pay to such Affected Person additional amounts necessary
to compensate such Affected Person for such additional cost or reduced amount receivable. All such
amounts shall be payable as incurred. A certificate from such Affected Person to the Seller and the
Administrator certifying, in reasonably specific detail, the basis for, calculation of, and amount
of such additional costs or reduced amount receivable shall be conclusive and binding for all
purposes, absent manifest error; provided, however, that no Affected Person shall
be required to disclose any confidential or tax planning information in any such certificate.

     Section 1.9. Inability to Determine Euro-Rate or LMIR.

          (a) If the Administrator (or any Purchaser Agent) determines before the first day of any Yield
Period (which determination shall be final and conclusive) that, by reason of circumstances
affecting the interbank eurodollar market (in respect of such Person’s Purchaser Group or
otherwise), deposits in dollars (in the relevant amounts for such Yield Period) are not being
offered to such Person in the interbank eurodollar market for such Yield Period, or adequate means
do not exist for ascertaining the Euro-Rate or the LMIR for such Yield Period, then the
Administrator or such Purchaser Agent shall give notice thereof to the Seller. Thereafter, until
the Administrator or such Purchaser Agent notifies the Seller that the circumstances giving rise to
such suspension no longer exist, no Portion of Investment shall be funded by reference to the
Euro-Rate or the LMIR and the Discount for any outstanding Portions of Investment then funded by
reference to the Euro-Rate or the LMIR shall, on the last day of the then current Yield Period, be
converted to the rate determined by reference to the Base Rate.

          (b) If, on or before the first day of any Yield Period, the Administrator shall have been
notified by any Purchaser, Purchaser Agent or Liquidity Provider that, such Person has determined
(which determination shall be final and conclusive) that, any enactment, promulgation or adoption
of or any change in any applicable law, rule or regulation, or any change in the interpretation or
administration thereof by a governmental authority, central bank or comparable agency charged with
the interpretation or administration thereof, or compliance by such Person with any guideline,
request or directive (whether or not having the force of law) of any such authority, central bank
or comparable agency shall make it unlawful or impossible for such Person to fund or maintain any
Portion of Investment at an interest rate based upon the Euro-Rate or the LMIR, the Administrator
shall notify the Seller thereof. Upon receipt of such notice, until the Administrator notifies the
Seller that the circumstances giving rise to such determination no longer apply, (a) no Portion of
Investment shall be funded at the rate

12

 

determined by reference to the Euro-Rate or the LMIR and (b) the Discount for any such
outstanding Portions of Investment shall be converted to a rate determined by reference to the Base
Rate either on the last day of the then current Yield Period if such Person may lawfully continue
to maintain such Portion of Investment by reference to the Euro-Rate or the LMIR to such day, or
immediately, if such Person may not lawfully continue to maintain such Portion of Investment by
reference to the Euro-Rate or the LMIR to such day.

     Section 1.10. Extension of Termination Date. The Seller may advise the Administrator
and each Related Committed Purchaser in writing of its desire to extend the Scheduled Commitment
Termination Date with respect to such Purchaser; provided that such request is made not
more than 90 days prior to, and not less than 60 days prior to, the then current Scheduled
Commitment Termination Date with respect to such Purchaser. In the event that the applicable
Purchaser is agreeable to such extension, the Administrator shall so notify the Seller in writing
(it being understood that the Purchasers may accept or decline such a
request in their sole discretion and on such terms as they may elect) not less than 30 days prior
to its then current Scheduled Commitment Termination Date and the Seller, the Administrator, the
Purchaser Agents and the Purchasers shall enter into such documents as the Purchasers may deem
necessary or appropriate to reflect such extension, and all reasonable costs and expenses incurred
by the Purchasers, the Administrator and the Purchaser Agents in connection therewith (including
reasonable Attorneys’ Costs) shall be paid by the Seller. In the event a Purchaser declines the
request for such extension, the Administrator shall so notify the Seller and each Purchaser Agent
of such determination; provided, however, that the failure of the Administrator to
notify the Seller of the determination to decline such extension shall not affect the understanding
and agreement that the Purchaser shall be deemed to have refused to grant the requested extension
in the event the Administrator fails to affirmatively notify the Seller, in writing, of their
agreement to accept the requested extension.

     Section 1.11. Increase in Commitments.

          (a) Requests for Increase. So long as no Termination Event or Unmatured Termination
Event has occurred and is continuing, upon notice to the Administrator and each Purchaser Agent,
the Servicer (on behalf of the Seller) may from time to time (i) request an increase in the
Commitment with respect to any existing Related Committed Purchaser (with the consent of the
Administrator) or (ii) request that additional Persons be added as Related Committed Purchasers
subject to the provisions of Section 1.2(e), in each case at any time following the Closing
Date and prior to the Facility Termination Date with respect to such Related Committed Purchaser or
other Person, as applicable, such increase in such existing Related Committed Purchaser’s
Commitment or new Commitment of such new Related Committed Purchaser to be an amount (for all such
requests or additions) not exceeding $50,000,000 (it being understood and agreed that, for the
avoidance of doubt, at no time shall the aggregate of all Commitments exceed $450,000,000);
provided, that each request for an increase or addition of a Person pursuant to Section
1.2(e) shall be in a minimum amount of $10,000,000 and increments of $5,000,000 above such
minimum amount. At the time of sending such notice with respect to any existing Related Committed
Purchaser, the Servicer (in consultation with the Administrator and the Purchaser Agent related to
such Related Committed Purchaser) shall specify the time period within which such Related Committed
Purchaser and the Administrator are requested to respond to the Servicer’s request (which shall in
no event be less than ten (10)

13

 

Business Days from the date of delivery of such notice to the Administrator and such Related
Committed Purchaser and its related Purchaser Agent).

          (b) Elections to Increase. In respect of any existing Related Committed Purchaser,
each of such Related Committed Purchaser being asked to increase its Commitment and the
Administrator shall notify the Seller and the Servicer within the applicable time period whether or
not such Person agrees, in its respective sole discretion, to the increase to such Related
Committed Purchaser’s Commitment. Any such Person not responding within such time period shall be
deemed to have declined to consent to an increase in such Related Committed Purchaser’s Commitment.
For the avoidance of doubt, only the consent of the Related Committed Purchaser then being asked
to increase its Commitment and the Administrator shall be required in order to approve any such
request.

          (c) Effective Date. If the Commitment of any existing Related Committed Purchaser is
increased in accordance with this Section 1.11, the Administrator and the Purchaser Agent
for such Related Committed Purchaser shall determine the effective date with respect to such
increase (such date, the “Commitment Increase Effective Date”).

          (d) Notification by the Administrator. The Administrator shall notify each Purchaser
Agent, the Seller and the Servicer of the Administrator’s and such Related Committed Purchaser’s
response to each request made hereunder, the amount of such increase (if any) and the related
Commitment Increase Effective Date.

          (e) Conditions to Effectiveness of Increase. As a condition precedent to each such
increase, the Servicer shall deliver to the Administrator and each Purchaser Agent, a certificate
of the Secretary or Assistant Secretary of each of the Seller and the Servicer, dated as of the
Commitment Increase Effective Date, (i) certifying and attaching (x) the resolutions of the Board
of Directors of such Person adopted by such Board of Directors approving or consenting to such
Commitment increase and authorizing the execution, delivery and performance by such Person of the
amendment to the Agreement contemplated in Section 1.11(c), as applicable (it being
understood that such resolutions may be dated as of a date prior to the Commitment Increase
Effective Date), and (y) all documents evidencing all other necessary corporate action and
governmental approvals, if any, with respect to such Commitment increase and such amendment to the
Agreement (it being understood that such documents may be dated as of a date prior to the
Commitment Increase Effective Date) and (ii) certifying that, before and after giving effect to
such increase, (x) the representations and warranties of such Person contained in
Exhibit III are true and correct as of the Commitment Increase Effective Date and (y) no
Termination Event or Unmatured Termination Event exists or shall exist.

          (f) Conflicting Provisions. This Section 1.11 shall supersede any provisions
in Section 6.1 to the contrary.

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ARTICLE II.

REPRESENTATIONS AND WARRANTIES; COVENANTS;

TERMINATION EVENTS

     Section 2.1. Representations and Warranties; Covenants. Each of the Seller, WESCO and
the Servicer hereby makes the representations and warranties, and hereby agrees to perform and
observe the covenants, applicable to it set forth in Exhibits III and IV,
respectively.

     Section 2.2. Termination Events. If any of the Termination Events set forth in
Exhibit V shall occur, the Administrator may (with the consent of a Simple Majority of the
Purchasers) or shall (at the direction of a Simple Majority of the Purchasers), by notice to the
Seller, declare the Facility Termination Date to have occurred (in which case the Facility
Termination Date shall be deemed to have occurred); provided, that automatically upon the
occurrence of any event (without any requirement for the passage of time or the giving of notice)
described in paragraph (f) of Exhibit V, the Facility Termination Date shall occur.
Upon any such declaration, occurrence or deemed occurrence of the Facility Termination Date, the
Administrator, each Purchaser Agent and each Purchaser shall have, in addition to the rights and
remedies that they may have under this Agreement, all other rights and remedies provided after
default under the New York UCC and under other applicable law, which rights and remedies shall be
cumulative.

ARTICLE III.

INDEMNIFICATION

     Section 3.1. Indemnities by the Seller. Without limiting any other rights that any
Purchaser Agent, Purchaser, Liquidity Provider, the Administrator or any Program Support Provider
or any of their respective Affiliates, employees, officers, directors, agents, counsel, successors,
transferees or assigns (each, an “Indemnified Party”) may have hereunder or under
applicable law, the Seller hereby agrees to indemnify each Indemnified Party from and against any
and all claims, damages, expenses, costs, losses and liabilities (including Attorney Costs) (all of
the foregoing being collectively referred to as “Indemnified Amounts”) arising out of or
resulting from this Agreement (whether directly or indirectly), the use of proceeds of purchases or
reinvestments, the ownership of the Purchased Interest, or any interest therein, or in respect of
any Receivable, Related Security or Contract, excluding, however: (a) Indemnified Amounts to the
extent resulting from gross negligence or willful misconduct on the part of such Indemnified Party
or its officers, directors, agents or counsel, (b) recourse with respect to any Receivable to the
extent that such Receivable is uncollectible on account of the insolvency, bankruptcy or lack of
creditworthiness of the related Obligor, or (c) any overall net income taxes or franchise taxes
imposed on such Indemnified Party by the jurisdiction under the laws of which such Indemnified
Party is organized or any political subdivision thereof. Without limiting or being limited by the
foregoing, and subject to the exclusions set forth in the preceding sentence, the Seller shall pay
on demand (which demand shall be accompanied by documentation of the Indemnified Amounts, in
reasonable detail) to each Indemnified Party any and all amounts necessary to indemnify such
Indemnified Party from and against any and all Indemnified Amounts relating to or resulting from
any of the following:

     (i) the failure of any Receivable included in the calculation of the Net Receivables
Pool Balance as an Eligible Receivable to be an Eligible Receivable, the

15

 

failure of any information contained in an Information Package to be true and correct, or the failure of
any other information provided to such Indemnified Party by the Seller or Servicer with
respect to Receivables or this Agreement to be true and correct,

     (ii) the failure of any representation, warranty or statement made or deemed made by
the Seller (or any of its officers) under or in connection with this Agreement to have been
true and correct as of the date made or deemed made in all respects when made,

     (iii) the failure by the Seller to comply with any applicable law, rule or regulation
with respect to any Pool Receivable or the related Contract, or the failure of any Pool
Receivable or the related Contract to conform to any such applicable law, rule or
regulation,

     (iv) the failure to vest in the Administrator (for the benefit of the Purchasers) a
valid and enforceable: (A) perfected undivided percentage ownership interest, to the extent
of the Purchased Interest, in the Receivables in, or purporting to be in, the Receivables
Pool and the other Pool Assets, or (B) first priority perfected security interest in the
Pool Assets, in each case, free and clear of any Adverse Claim,

     (v) the failure to have filed, or any delay in filing, financing statements or other
similar instruments or documents under the UCC of any applicable jurisdiction or other
applicable laws with respect to any Receivables in, or purporting to be in, the Receivables
Pool and the other Pool Assets, whether at the time of any purchase or reinvestment or at
any subsequent time,

     (vi) any dispute, claim, offset or defense (other than discharge in bankruptcy of the
Obligor) of the Obligor to the payment of any Receivable in, or purporting to be in, the
Receivables Pool (including a defense based on such Receivable or the related Contract not
being a legal, valid and binding obligation of such Obligor enforceable against it in
accordance with its terms), or any other claim resulting from the sale of the goods or
services related to such Receivable or the furnishing or failure to furnish such goods or
services or relating to collection activities with respect to such Receivable,

     (vii) any failure of the Seller, any Affiliate of the Seller or the Servicer to perform
its duties or obligations in accordance with the provisions hereof or under the Contracts,

     (viii) any products liability or other claim, investigation, litigation or proceeding
arising out of or in connection with merchandise, insurance or services that are the subject
of any Contract,

     (ix) the commingling of Collections at any time with other funds,

     (x) the use of proceeds of purchases or reinvestments, or

16

 

     (xi) any reduction in the Aggregate Investment as a result of the distribution of
Collections pursuant to Section 1.4(d), if all or a portion of such distributions
shall thereafter be rescinded or otherwise must be returned for any reason.

     Section 3.2. Indemnities by the Servicer. Without limiting any other rights that any
Indemnified Party may have hereunder or under applicable law, the Servicer hereby agrees to
indemnify each Indemnified Party from and against any and all Indemnified Amounts arising out of or
resulting from (whether directly or indirectly): (a) the failure of any information contained in an
Information Package to be true and correct, or the failure of any other information provided to
such Indemnified Party by, or on behalf of, the Servicer to be true and correct, (b) the failure of
any representation, warranty or statement made or deemed made by the Servicer (or any of its
officers) under or in connection with this Agreement or any other Transaction Document to which it
is a party to have been true and correct as of the date made or deemed made in all respects when
made, (c) the failure by the Servicer to comply with any applicable law, rule or regulation with
respect to any Pool Receivable or the related Contract, (d) any dispute, claim, offset or defense
of the Obligor to the payment of any Receivable in, or purporting to be in, the Receivables Pool
resulting from or related to the collection activities with respect to such Receivable, or (e) any
failure of the Servicer to perform its duties or obligations in accordance with the provisions
hereof or any other Transaction Document to which it is a party.

ARTICLE IV.

ADMINISTRATION AND COLLECTIONS

     Section 4.1. Appointment of the Servicer.

          (a) The servicing, administering and collection of the Pool Receivables shall be conducted by
the Person so designated from time to time as the Servicer in accordance with this Section. Until
the Administrator gives notice to WESCO (in accordance with this Section 4.1) of the
designation of a new Servicer, WESCO is hereby designated as, and hereby agrees to perform the
duties and obligations of, the Servicer pursuant to the terms hereof. Upon the occurrence of a
Termination Event, the Administrator may (with the consent of the Majority Purchasers) or shall (at
the direction of the Majority Purchasers) designate as Servicer any Person (including itself) to
succeed WESCO or any successor Servicer, on the condition in each case that any such Person so
designated shall agree to perform the duties and obligations of the Servicer pursuant to the terms
hereof.

          (b) Upon the designation of a successor Servicer as set forth in clause (a), WESCO
agrees that it will terminate its activities as Servicer hereunder in a manner that the
Administrator determines will facilitate the transition of the performance of such activities to
the new Servicer, and WESCO shall cooperate with and assist such new Servicer. Such cooperation
shall include access to and transfer of related records (including all Contracts) and use by the
new Servicer of all licenses, hardware or software necessary or desirable to collect the Pool
Receivables and the Related Security.

          (c) WESCO acknowledges that, in making their decision to execute and deliver this Agreement,
the Administrator and each Purchaser Group have relied on WESCO’s

17

 

agreement to act as Servicer hereunder. Accordingly, WESCO agrees that it will not voluntarily
resign as Servicer.

          (d) The Servicer may delegate its duties and obligations hereunder to any subservicer (each a
“Sub-Servicer”); provided, that, in each such delegation: (i) such Sub-Servicer
shall agree in writing to perform the duties and obligations of the Servicer pursuant to the terms
hereof, (ii) the Servicer shall remain primarily liable for the performance of the duties and
obligations so delegated, (iii) the Seller, the Administrator and each Purchaser Group shall have
the right to look solely to the Servicer for performance, and (iv) the terms of any agreement with
any Sub-Servicer shall provide that the Administrator may terminate such agreement upon the
termination of the Servicer hereunder by giving notice of its desire to terminate such agreement to
the Servicer (and the Servicer shall provide appropriate notice to each such Sub-Servicer);
provided, however, that if any such delegation is to any Person other than an
Originator or an Affiliate thereof, the Administrator and the Majority Purchasers shall have
consented in writing in advance to such delegation.

     Section 4.2. Duties of the Servicer.

          (a) The Servicer shall take or cause to be taken all such action as may be necessary or
advisable to administer and collect each Pool Receivable from time to time, all in accordance with
this Agreement and all applicable laws, rules and regulations, with reasonable care and diligence,
and in accordance with the Credit and Collection Policies. The Servicer shall set aside, for the
account of each Purchaser Group, the amount of the Collections to which each such Purchaser Group
is entitled in accordance with Article I. The Servicer may, in accordance with the
applicable Credit and Collection Policy, extend the maturity of any Pool Receivable (but not beyond
30 days or beyond 90 days from the original invoice date) and extend the maturity or adjust the
Outstanding Balance of any Defaulted Receivable as the Servicer may determine to be appropriate to
maximize Collections thereof; provided, however, that: (i) such extension or
adjustment shall not alter the status of such Pool Receivable as a Delinquent Receivable or a
Defaulted Receivable or limit the rights of the Administrator or any Purchaser Group under this
Agreement and (ii) if a Termination Event has occurred and WESCO or an Affiliate thereof is serving
as the Servicer, WESCO or such Affiliate may make such extension or adjustment only upon the prior
approval of the Administrator (with the consent of the Majority Purchasers). The Seller shall
deliver to the Servicer and the Servicer shall hold for the benefit of the Seller and the
Administrator (individually and for the benefit of each Purchaser Group), in accordance with their
respective interests, all records and documents (including computer tapes or disks) with respect to
each Pool Receivable. Notwithstanding anything to the contrary contained herein, the Administrator
may direct the Servicer (whether the Servicer is WESCO or any other Person) to commence or settle
any legal action to enforce collection of any Pool Receivable or to foreclose upon or repossess any
Related Security; provided, however, that no such direction may be given unless
either: (A) a Termination Event has occurred or (B) the Administrator believes in good faith that
failure to commence, settle or effect such legal action, foreclosure or repossession could
adversely affect Receivables constituting a material portion of the Pool Receivables.

          (b) The Servicer shall, as soon as practicable following actual receipt of collected funds,
turn over to the Seller the collections of any indebtedness that is not a Pool Receivable, less, if
WESCO or an Affiliate thereof is not the Servicer, all reasonable and

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appropriate out-of-pocket costs and expenses of such Servicer of servicing, collecting and
administering such collections. The Servicer, if other than WESCO or an Affiliate thereof, shall,
as soon as practicable upon demand, deliver to the Seller all records in its possession that
evidence or relate to any indebtedness that is not a Pool Receivable, and copies of records in its
possession that evidence or relate to any indebtedness that is a Pool Receivable.

          (c) The Servicer’s obligations hereunder shall terminate on the later of: (i) the Facility
Termination Date and (ii) the date on which all amounts required to be paid to the Purchaser
Agents, each Purchaser, the Administrator and any other Indemnified Party or Affected Person
hereunder shall have been paid in full.

     After such termination, if WESCO or an Affiliate thereof was not the Servicer on the date of
such termination, the Servicer shall promptly deliver to the Seller all books, records and related
materials that the Seller previously provided to the Servicer, or that have been obtained by the
Servicer, in connection with this Agreement.

     Section 4.3. Lock-Box Account Arrangements. Prior to the date hereof, the Seller has
entered into Lock-Box Agreements with all of the Lock-Box Banks maintaining any Lock-Box Account
and delivered original counterparts of each such Lock-Box Agreement to the Administrator and each
Purchaser Agent. Upon (i) the occurrence of a Termination Event, (ii) WESCO or Holdings ceasing to
have a rating of at least “B-” by Standard & Poor’s on its corporate credit rating or (iii)
Holding’s Available Liquidity fails to exceed $100,000,000, the Administrator may (with the consent
of any of the Purchasers) or shall (upon the direction of any of the Purchasers) at any time
thereafter so long as any event described in clauses (i), (ii) or (iii)
above exists at such time, give notice to each Lock-Box Bank that the Administrator is exercising
its rights under the Lock-Box Agreements to do any or all of the following: (a) to have the
exclusive ownership and control of the Lock-Box Accounts transferred to the Administrator (for the
benefit of the Purchasers) and to exercise exclusive dominion and control over the funds deposited
therein, (b) to have the proceeds that are sent to the respective Lock-Box Accounts redirected
pursuant to the Administrator’s instructions rather than deposited in the applicable Lock-Box
Account, and (c) to take any or all other actions permitted under the applicable Lock-Box Agreement
(collectively, the “Lock-Box Rights”). The Seller hereby agrees that if the Administrator at any
time takes any action set forth in the preceding sentence, the Administrator shall have exclusive
control (for the benefit of the Purchasers) of the proceeds (including Collections) of all Pool
Receivables and the Seller hereby further agrees to take any other action that the Administrator or
any Purchaser Agent may reasonably request to transfer such control. Any proceeds of Pool
Receivables received by the Seller or the Servicer thereafter shall be sent immediately to the
Administrator. The parties hereto hereby acknowledge that if at any time the Administrator takes
control of any Lock-Box Account, the Administrator shall not have any rights to the funds therein
in excess of the unpaid amounts due to the Administrator, the Purchaser Groups, any Indemnified
Party or any other Person hereunder, and the Administrator shall distribute or cause to be
distributed such funds in accordance with Section 4.2(b) and Article I (in each
case as if such funds were held by the Servicer thereunder). The Administrator hereby agrees that,
if, at any time following its exercise of its Lock-Box Rights, to the extent such Lock-Box Rights
are being exercised by the Administrator due solely to the occurrence of the event in clause
(iii) above and such event has been cured for a period of not less than 60 consecutive days,
unless consented to in writing by the Administrator and each Purchaser Agent,

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upon notice of such cure to the Administrator and each Purchaser Agent, the Administrator
shall reasonably cooperate with the Seller and the Servicer to cease exercising such Lock-Box
Rights within a reasonable period of time; provided, however, that if, at any time
the Administrator ceases to exercise its Lock-Box Rights in accordance with this sentence, such
cessation shall not preclude the Administrator from exercising any or all of its Lock-Box Rights at
any time following such date.

     Section 4.4. Enforcement Rights.

          (a) At any time following the occurrence of a Termination Event:

      (i) the Administrator may (with the consent or at the direction of a Simple Majority of
the Purchasers) direct the Obligors that payment of all amounts payable under any Pool
Receivable is to be made directly to the Administrator or its designee,

      (ii) the Administrator may (with the consent or at the direction of a Simple Majority
of the Purchasers) instruct the Seller or the Servicer to give notice of the Purchaser
Groups’ interest in Pool Receivables to each Obligor, which notice shall direct that
payments be made directly to the Administrator or its designee (on behalf of such Purchaser
Groups), and the Seller or the Servicer, as the case may be, shall give such notice at the
expense of the Seller or the Servicer, as the case may be; provided, that if the
Seller or the Servicer, as the case may be, fails to so notify each Obligor, the
Administrator (at the Seller’s or the Servicer’s, as the case may be, expense) may so notify
the Obligors, and

      (iii) the Administrator may (with the consent or at the direction of a Simple Majority
of the Purchasers) request the Servicer to, and upon such request the Servicer shall: (A)
assemble all of the records necessary or desirable to collect the Pool Receivables and the
Related Security, and transfer or license to a successor Servicer the use of all software
necessary or desirable to collect the Pool Receivables and the Related Security, and make
the same available to the Administrator or its designee (for the benefit of the Purchasers)
at a place selected by the Administrator, and (B) segregate all cash, checks and other
instruments received by it from time to time constituting Collections in a manner acceptable
to the Administrator and, promptly upon receipt, remit all such cash, checks and
instruments, duly endorsed or with duly executed instruments of transfer, to the
Administrator or its designee.

          (b) The Seller hereby authorizes the Administrator (on behalf of each Purchaser Group), and
irrevocably appoints the Administrator as its attorney-in-fact with full power of substitution and
with full authority in the place and stead of the Seller, which appointment is coupled with an
interest, to take any and all steps in the name of the Seller and on behalf of the Seller necessary
or desirable, in the determination of the Administrator, after the occurrence of a Termination
Event, to collect any and all amounts or portions thereof due under any and all Pool Assets,
including endorsing the name of the Seller on checks and other instruments representing Collections
and enforcing such Pool Assets. Notwithstanding anything to the contrary contained in this
subsection, none of the powers conferred upon such attorney-in-fact pursuant to the preceding
sentence shall subject such attorney-in-fact to any liability if any

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action taken by it shall prove to be inadequate or invalid, nor shall they confer any
obligations upon such attorney-in-fact in any manner whatsoever.

     Section 4.5. Responsibilities of the Seller.

          (a) Anything herein to the contrary notwithstanding, the Seller shall: (i) perform all of its
obligations, if any, under the Contracts related to the Pool Receivables to the same extent as if
interests in such Pool Receivables had not been transferred hereunder, and the exercise by the
Administrator, the Purchaser Agents or the Purchasers of their respective rights hereunder shall
not relieve the Seller from such obligations, and (ii) pay when due any taxes, including any sales
taxes payable in connection with the Pool Receivables and their creation and satisfaction. The
Administrator, the Purchaser Agents or any of the Purchasers shall not have any obligation or
liability with respect to any Pool Asset, nor shall any of them be obligated to perform any of the
obligations of the Seller, Servicer, WESCO or the Originators thereunder.

          (b) WESCO hereby irrevocably agrees that if at any time it shall cease to be the Servicer
hereunder, it shall act (if the then-current Servicer so requests) as the data-processing agent of
the Servicer and, in such capacity, WESCO shall conduct the data-processing functions of the
administration of the Receivables and the Collections thereon in substantially the same way that
WESCO conducted such data-processing functions while it acted as the Servicer.

     Section 4.6. Servicing Fee.

          (a) Subject to clause (b), the Servicer shall be paid a fee (the “Servicing
Fee”) equal to 1.0% per annum of the daily average aggregate Outstanding
Balance of the Pool Receivables. The aggregate of each Purchaser Group’s Ratable Share of such fee
shall be paid through the distributions contemplated by Section 1.4(d), and the Seller’s
Share of such fee shall be paid by the Seller.

          (b) If the Servicer ceases to be WESCO or an Affiliate thereof, the servicing fee shall be the
greater of: (i) the amount calculated pursuant to clause (a), and (ii) an alternative
amount specified by the successor Servicer not to exceed 110% of the aggregate reasonable costs and
expenses incurred by such successor Servicer in connection with the performance of its obligations
as Servicer.

ARTICLE V.

THE AGENTS

     Section 5.1. Appointment and Authorization.

          (a) Each Purchaser and Purchaser Agent hereby irrevocably designates and appoints PNC Bank,
National Association as the “Administrator” hereunder and authorizes the Administrator to
take such actions and to exercise such powers as are delegated to the Administrator hereby and to
exercise such other powers as are reasonably incidental thereto. The Administrator shall hold, in
its name, for the benefit of each Purchaser, ratably, the Purchased Interest. The Administrator
shall not have any duties other than those expressly set forth herein or any fiduciary relationship
with any Purchaser or Purchaser Agent, and no implied

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obligations or liabilities shall be read into this Agreement, or otherwise exist, against the
Administrator. The Administrator does not assume, nor shall it be deemed to have assumed, any
obligation to, or relationship of trust or agency with, the Seller or Servicer. Notwithstanding
any provision of this Agreement or any other Transaction Document to the contrary, in no event
shall the Administrator ever be required to take any action which exposes the Administrator to
personal liability or which is contrary to the provision of any Transaction Document or applicable
law.

          (b) Each Purchaser hereby irrevocably designates and appoints the respective institution
identified as the Purchaser Agent for such Purchaser’s Purchaser Group on the signature pages
hereto or in the Assumption Agreement or Transfer Supplement pursuant to which such Purchaser
becomes a party hereto, and each authorizes such Purchaser Agent to take such action on its behalf
under the provisions of this Agreement and to exercise such powers and perform such duties as are
expressly delegated to such Purchaser Agent by the terms of this Agreement, if any, together with
such other powers as are reasonably incidental thereto. Notwithstanding any provision to the
contrary elsewhere in this Agreement, no Purchaser Agent shall have any duties or responsibilities,
except those expressly set forth herein, or any fiduciary relationship with any Purchaser or other
Purchaser Agent or the Administrator, and no implied covenants, functions, responsibilities,
duties, obligations or liabilities on the part of such Purchaser Agent shall be read into this
Agreement or otherwise exist against such Purchaser Agent.

          (c) Except as otherwise specifically provided in this Agreement, the provisions of this
Article V are solely for the benefit of the Purchaser Agents, the Administrator and the
Purchasers, and none of the Seller or Servicer shall have any rights as a third-party beneficiary
or otherwise under any of the provisions of this Article V, except that this Article V shall not
affect any obligations which any Purchaser Agent, the Administrator or any Purchaser may have to
the Seller or the Servicer under the other provisions of this Agreement. Furthermore, no Purchaser
shall have any rights as a third-party beneficiary or otherwise under any of the provisions hereof
in respect of a Purchaser Agent which is not the Purchaser Agent for such Purchaser.

          (d) In performing its functions and duties hereunder, the Administrator shall act solely as
the agent of the Purchasers and the Purchaser Agents and does not assume nor shall be deemed to
have assumed any obligation or relationship of trust or agency with or for the Seller or Servicer
or any of their successors and assigns. In performing its functions and duties hereunder, each
Purchaser Agent shall act solely as the agent of its respective Purchaser and does not assume nor
shall be deemed to have assumed any obligation or relationship of trust or agency with or for the
Seller, the Servicer, any other Purchaser, any other Purchaser Agent or the Administrator, or any
of their respective successors and assigns.

     Section 5.2. Delegation of Duties. The Administrator may execute any of its duties
through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all
matters pertaining to such duties. The Administrator shall not be responsible for the negligence
or misconduct of any agents or attorneys-in-fact selected by it with reasonable care.

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     Section 5.3. Exculpatory Provisions. None of the Purchaser Agents, the Administrator
or any of their directors, officers, agents or employees shall be liable for any action taken or
omitted (i) with the consent or at the direction of the Majority Purchasers (or in the case of any
Purchaser Agent, the Purchasers within its Purchaser Group that have a majority of the aggregate
Commitment of such Purchaser Group) or (ii) in the absence of such Person’s gross negligence or
willful misconduct. The Administrator shall not be responsible to any Purchaser, Purchaser Agent
or other Person for (i) any recitals, representations, warranties or other statements made by the
Seller, Servicer, or any of their Affiliates, (ii) the value, validity, effectiveness, genuineness,
enforceability or sufficiency of any Transaction Document, (iii) any failure of the Seller, any
Originator or any of their Affiliates to perform any obligation or (iv) the satisfaction of any
condition specified in Exhibit II. The Administrator shall not have any obligation to any
Purchaser or Purchaser Agent to ascertain or inquire about the observance or performance of any
agreement contained in any Transaction Document or to inspect the properties, books or records of
the Seller, Servicer, Originator or any of their Affiliates.

     Section 5.4. Reliance by Agents. Each Purchaser Agent and the Administrator shall in
all cases be entitled to rely, and shall be fully protected in relying, upon any document or other
writing or conversation believed by it to be genuine and correct and to have been signed, sent or
made by the proper Person and upon advice and statements of legal counsel (including counsel to the
Seller), independent accountants and other experts selected by the Administrator. Each Purchaser
Agent and the Administrator shall in all cases be fully justified in failing or refusing to take
any action under any Transaction Document unless it shall first receive such advice or concurrence
of the Majority Purchasers (or in the case of any Purchaser Agent, the Purchasers within its
Purchaser Group that have a majority of the aggregate Commitment of such Purchaser Group), and
assurance of its indemnification, as it deems appropriate.

          (a) The Administrator shall in all cases be fully protected in acting, or in refraining from
acting, under this Agreement in accordance with a request of the Majority Purchasers or the
Purchaser Agents, and such request and any action taken or failure to act pursuant thereto shall be
binding upon all Purchasers, the Administrator and Purchaser Agents.

          (b) The Purchasers within each Purchaser Group with a majority of the Commitment of such
Purchaser Group shall be entitled to request or direct the related Purchaser Agent to take action,
or refrain from taking action, under this Agreement on behalf of such Purchasers. Such Purchaser
Agent shall in all cases be fully protected in acting, or in refraining from acting, under this
Agreement in accordance with a request of such Purchasers with such majority, and such request and
any action taken or failure to act pursuant thereto shall be binding upon all of such Purchaser
Agent’s Purchasers.

          (c) Unless otherwise advised in writing by a Purchaser Agent or by any Purchaser on whose
behalf such Purchaser Agent is purportedly acting, each party to this Agreement may assume that (i)
such Purchaser Agent is acting for the benefit of each of the Purchasers in respect of which such
Purchaser Agent is identified as being the “Purchaser Agent” in the definition of “Purchaser Agent”
hereto, as well as for the benefit of each assignee or other transferee from any such Person, and
(ii) each action taken by such Purchaser Agent has been duly authorized and approved by all
necessary action on the part of the Purchasers on whose behalf it is purportedly acting. Each
Purchaser Agent and its Purchaser(s) shall agree amongst

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themselves as to the circumstances and procedures for removal, resignation and replacement of
such Purchaser Agent.

     Section 5.5. [Intentionally Omitted].

     Section 5.6. Notice of Termination Events. Neither any Purchaser Agent nor the
Administrator shall be deemed to have knowledge or notice of the occurrence of any Termination
Event or Unmatured Termination Event unless such Administrator has received notice from any
Purchaser, Purchaser Agent, the Servicer or the Seller stating that a Termination Event or
Unmatured Termination Event has occurred hereunder and describing such Termination Event or
Unmatured Termination Event. In the event that the Administrator receives such a notice, it shall
promptly give notice thereof to each Purchaser Agent whereupon each such Purchaser Agent shall
promptly give notice thereof to its Purchasers. In the event that a Purchaser Agent receives such
a notice (other than from the Administrator), it shall promptly give notice thereof to the
Administrator. The Administrator shall take such action concerning a Termination Event or
Unmatured Termination Event as may be directed by the Majority Purchasers unless such action
otherwise requires the consent of all Purchasers), but until the Administrator receives such
directions, the Administrator may (but shall not be obligated to) take such action, or refrain from
taking such action, as the Administrator deems advisable and in the best interests of the
Purchasers and Purchaser Agents.

     Section 5.7. Non-Reliance on Administrator, Purchaser Agents and Other Purchasers.
Each Purchaser expressly acknowledges that none of the Administrator, the Purchaser Agents nor any
of their respective officers, directors, employees, agents, attorneys-in-fact or Affiliates has
made any representations or warranties to it and that no act by the Administrator, or any Purchaser
Agent hereafter taken, including any review of the affairs of the Seller, WESCO, Servicer or any
Originator, shall be deemed to constitute any representation or warranty by the Administrator or
such Purchaser Agent, as applicable. Each Purchaser represents and warrants to the Administrator
and the Purchaser Agents that, independently and without reliance upon the Administrator, Purchaser
Agents or any other Purchaser and based on such documents and information as it has deemed
appropriate, it has made and will continue to make its own appraisal of and investigation into the
business, operations, property, prospects, financial and other conditions and creditworthiness of
the Seller, WESCO, Servicer or the Originators, and the Receivables and its own decision to enter
into this Agreement and to take, or omit, action under any Transaction Document. Except for items
specifically required to be delivered hereunder, the Administrator shall not have any duty or
responsibility to provide any Purchaser Agent with any information concerning the Seller, WESCO,
Servicer or the Originators or any of their Affiliates that comes into the possession of the
Administrator or any of its officers, directors, employees, agents, attorneys-in-fact or
Affiliates.

     Section 5.8. Administrators and Affiliates. Each of the Purchasers and the
Administrator and their Affiliates may extend credit to, accept deposits from and generally engage
in any kind of banking, trust, debt, entity or other business with the Seller, WESCO, Servicer or
any Originator or any of their Affiliates and PNC Bank, National Association may exercise or
refrain from exercising its rights and powers as if it were not the Administrator. With respect to
the acquisition of the Eligible Receivables pursuant to this Agreement, each of the Purchaser
Agents and the Administrator shall have the same rights and powers under this

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Agreement as any Purchaser and may exercise the same as though it were not such an agent, and
the terms “Purchaser” and “Purchasers” shall include each of the Purchaser Agents and the
Administrator in their individual capacities.

     Section 5.9. Indemnification. Each Purchaser Group shall indemnify and hold harmless
the Administrator (but solely in its capacity as Administrator) and its officers, directors,
employees, representatives and agents (to the extent not reimbursed by the Seller, WESCO or
Servicer and without limiting the obligation of the Seller, WESCO or Servicer to do so), ratably in
accordance with its Ratable Share from and against any and all liabilities, obligations, losses,
damages, penalties, judgments, settlements, costs, expenses and disbursements of any kind
whatsoever (including in connection with any investigative or threatened proceeding, whether or not
the Administrator or such Person shall be designated a party thereto) that may at any time be
imposed on, incurred by or asserted against the Administrator or such Person as a result of, or
related to, any of the transactions contemplated by the Transaction Documents or the execution,
delivery or performance of the Transaction Documents or any other document furnished in connection
therewith (but excluding any such liabilities, obligations, losses, damages, penalties, judgments,
settlements, costs, expenses or disbursements resulting solely from the gross negligence or willful
misconduct of the Administrator or such Person as finally determined by a court of competent
jurisdiction); provided, that in the case of each Purchaser that is a commercial paper
conduit, such indemnity shall be provided solely to the extent of amounts received by such
Purchaser under this Agreement which exceed the amounts required to repay such Purchaser’s
outstanding Notes. Notwithstanding anything in this Section 5.9 to the contrary, each of
the Administrator, each Purchaser Agent and each Purchaser hereby covenants and agrees that it
shall not institute against, or join any other Person in instituting against, any Conduit Purchaser
any bankruptcy, reorganization, arrangement, insolvency or liquidation proceeding or other
proceedings under any federal or state bankruptcy or similar law, for one year and a day after the
latest maturing Note issued by such Conduit Purchaser is paid in full.

     Section 5.10. Successor Administrator. The Administrator may, upon at least five (5)
days notice to the Seller and each Purchaser and Purchaser Agent, resign as Administrator. Such
resignation shall not become effective until a successor agent is appointed by the Majority
Purchasers and has accepted such appointment. Upon such acceptance of its appointment as
Administrator hereunder by a successor Administrator, such successor Administrator shall succeed to
and become vested with all the rights and duties of the retiring Administrator, and the retiring
Administrator shall be discharged from its duties and obligations under the Transaction Documents.
After any retiring Administrator’s resignation hereunder, the provisions of Sections 3.1
and 3.2 and this Article V shall inure to its benefit as to any actions taken or omitted to
be taken by it while it was the Administrator.

ARTICLE VI.

MISCELLANEOUS

     Section 6.1. Amendments, Etc. No amendment or waiver of any provision of this
Agreement or any other Transaction Document, or consent to any departure by the Seller or the
Servicer therefrom, shall be effective unless in a writing signed by the Administrator and each of
the Majority Purchasers, and, in the case of any amendment, by the other parties thereto; and then
such amendment, waiver or consent shall be effective only in the specific instance and for

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the specific purpose for which given; provided, however, that to the
extent required by the commercial paper program of any Conduit Purchaser, no such material
amendment shall be effective until both Moody’s and Standard & Poor’s have notified the Servicer
and the Administrator in writing that such action will not result in a reduction or withdrawal of
the rating of any Notes; provided, further that no such amendment or waiver shall,
without the consent of each affected Purchaser, (A) extend the date of any payment or deposit of
Collections by the Seller or the Servicer, (B) reduce the rate or extend the time of payment of
Discount, (C) reduce any fees payable to the Administrator, any Purchaser Agent or any Purchaser
pursuant to the applicable Purchaser Group Fee Letter, (D) change the amount of Investment of any
Purchaser, any Purchaser’s pro rata share of the Purchased Interest or any Related Committed
Purchaser’s Commitment, (E) amend, modify or waive any provision of the definition of “Majority
Purchaser”, “Simple Majority” or this Section 6.1, (F) consent to or permit the assignment
or transfer by the Seller of any of its rights and obligations under this Agreement, (G) change the
definition of “Default Ratio”, “Eligible Receivable”, “Loss Reserve”, “Loss Reserve Percentage”,
“Dilution Reserve”, “Dilution Reserve Percentage”, “Dilution Volatility Component”, “Termination
Event”, “Yield Reserve”, “Yield Reserve Percentage”, “Total Reserves” or “Net Receivables Pool
Balance”, (H) amend or modify any defined term (or any defined term used directly or indirectly in
such defined term) used in clauses (A) through (G) above in a manner that would
circumvent the intention of the restrictions set forth in such clauses, or (I) otherwise materially
and adversely affect the rights of any such Purchaser hereunder. No failure on the part of the
Purchasers or the Administrator to exercise, and no delay in exercising any right hereunder shall
operate as a waiver thereof, nor shall any single or partial exercise of any right hereunder
preclude any other or further exercise thereof or the exercise of any other right.

     Section 6.2. Notices, Etc. All notices and other communications hereunder shall,
unless otherwise stated herein, be in writing (which shall include facsimile communication) and be
sent or delivered to each party hereto at its address set forth under its name on Schedule
IV hereto (or in any Assumption Agreement pursuant to which it became a party hereto) or at
such other address as shall be designated by such party in a written notice to the other parties
hereto. Notices and communications by facsimile shall be effective when sent (and shall be followed
by hard copy sent by first class mail), and notices and communications sent by other means shall be
effective when received.

     Section 6.3. Successors and Assigns; Participations; Assignments.

          (a) Successors and Assigns. This Agreement shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns. Except as otherwise
provided herein, the Seller may not assign or transfer any of its rights or delegate any of its
duties hereunder or under any Transaction Document without the prior consent of the Administrator,
the Purchaser Agents and the Purchasers.

          (b) Participations. Any Purchaser may sell to one or more Persons (each a
“Participant”) participating interests in the interests of such Purchaser hereunder;
provided, however, that no Purchaser shall grant any participation under which the
Participant shall have rights to approve any amendment to or waiver of this Agreement or any other
Transaction Document. Such Purchaser shall remain solely responsible for performing its
obligations

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hereunder, and the Seller, each Purchaser Agent and the Administrator shall continue to deal
solely and directly with such Purchaser in connection with such Purchaser’s rights and obligations
hereunder. A Purchaser shall not agree with a Participant to restrict such Purchaser’s right to
agree to any amendment hereto, except amendments that require the consent of all Purchasers.

          (c) Assignments by Certain Related Committed Purchasers. Any Related Committed
Purchaser may assign to one or more Persons (each a “Purchasing Related Committed
Purchaser”), reasonably acceptable to the related Purchaser Agent in its sole discretion, any
portion of its Commitment pursuant to a supplement hereto, substantially in the form of Annex E
with any changes as have been approved by the parties thereto (a “Transfer Supplement”),
executed by each such Purchasing Related Committed Purchaser, such selling Related Committed
Purchaser, such related Purchaser Agent. Any such assignment by Related Committed Purchaser cannot
be for an amount less than $25,000,000. Upon (i) the execution of the Transfer Supplement, (ii)
delivery of an executed copy thereof to the Seller, such related Purchaser Agent and the
Administrator and (iii) payment by the Purchasing Related Committed Purchaser to the selling
Related Committed Purchaser of the agreed purchase price, such selling Related Committed Purchaser
shall be released from its obligations hereunder to the extent of such assignment and such
Purchasing Related Committed Purchaser shall for all purposes be a Related Committed Purchaser
party hereto and shall have all the rights and obligations of a Related Committed Purchaser
hereunder to the same extent as if it were an original party hereto. The amount of the Commitment
of the selling Related Committed Purchaser allocable to such Purchasing Related Committed Purchaser
shall be equal to the amount of the Commitment of the selling Related Committed Purchaser
transferred regardless of the purchase price paid therefor. The Transfer Supplement shall be an
amendment hereof only to the extent necessary to reflect the addition of such Purchasing Related
Committed Purchaser as a “Related Committed Purchaser” and any resulting adjustment of the selling
Related Committed Purchaser’s Commitment.

          (d) Replaceable Related Committed Purchaser. If any Related Committed Purchaser (a
“Replaceable Related Committed Purchaser”) shall (i) petition the Seller for any amounts
under Section 1.7 or 1.8 or (ii) cease to have a short-term debt rating of “A-1” by
Standard & Poor’s and “P-1” by Moody’s (if such a rating is required by the related Purchaser’s
securitization program), the related Purchaser Agent may designate a replacement financial
institution (a “Replacement Related Committed Purchaser”), to which such Replaceable
Related Committed Purchaser shall, subject to its receipt of an amount equal to the aggregate
outstanding principal balance of its Investment and accrued and unpaid Discount thereon (and, if
applicable, its receipt (unless a later date for the remittance thereof shall be agreed upon by the
Seller and such Replaceable Related Committed Purchaser) of all amounts claimed under Section
1.7 and/or 1.8) promptly assign all of its rights, obligations and Commitment hereunder,
together with all of its right, title and interest in, to and under the Purchased Interest
allocable to it, to the Replacement Related Committed Purchaser in accordance with Section
6.3(c), above. Once such assignment becomes effective, the Replacement Related Committed
Purchaser shall be deemed to be a “Related Committed Purchaser” for all purposes hereof and such
Replaceable Related Committed Purchaser shall cease to be “Related Committed Purchaser” for all
purposes hereof and shall have no further rights or obligations hereunder.

27

 

          (e) Assignment by Conduit Purchasers. Each party hereto agrees and consents (i) to
any Conduit Purchaser’s assignment, participation, grant of security interests in or other
transfers of any portion of, or any of its beneficial interest in, the Purchased Interest (or
portion thereof), including without limitation to any collateral agent in connection with its
commercial paper program and (ii) to the complete assignment by any Conduit Purchaser of all of its
rights and obligations hereunder to any other Person, and upon such assignment such Conduit
Purchaser shall be released from all obligations and duties, if any, hereunder; provided,
however, that such Conduit Purchaser may not, without the prior consent of its Related
Committed Purchasers, make any such transfer of its rights hereunder unless the assignee (i) is
principally engaged in the purchase of assets similar to the assets being purchased hereunder, (ii)
has as its Purchaser Agent the Purchaser Agent of the assigning Conduit Purchaser and (iii) issues
commercial paper or other Notes with credit ratings substantially comparable to the ratings of the
assigning Conduit Purchaser. Any assigning Conduit Purchaser shall deliver to any assignee a
supplement hereto, substantially in the form of Annex E with any changes as have been approved by
the parties thereto (also, a “Transfer Supplement”), duly executed by such Conduit
Purchaser, assigning any portion of its interest in the Purchased Interest to its assignee. Such
Conduit Purchaser shall promptly (i) notify each of the other parties hereto of such assignment and
(ii) take all further action that the assignee reasonably requests in order to evidence the
assignee’s right, title and interest in such interest in the Purchased Interest and to enable the
assignee to exercise or enforce any rights of such Conduit Purchaser hereunder. Upon the
assignment of any portion of its interest in the Purchased Interest, the assignee shall have all of
the rights hereunder with respect to such interest (except that the Discount therefor shall
thereafter accrue at the rate, determined with respect to the assigning Conduit Purchaser unless
the Seller, the related Purchaser Agent and the assignee shall have agreed upon a different
Discount).

          (f) Opinions of Counsel. If required by the Administrator or the applicable Purchaser
Agent or to maintain the ratings of any Conduit Purchaser, each Transfer Supplement must be
accompanied by an opinion of counsel of the assignee as to such matters as the Administrator or
such Purchaser Agent may reasonably request.

     Section 6.4. Costs, Expenses and Taxes. In addition to the rights of indemnification
granted under Section 3.1, the Seller agrees to pay on demand (which demand shall be
accompanied by documentation thereof in reasonable detail) all reasonable costs and expenses in
connection with the preparation, execution, delivery and administration (including periodic
internal audits by the Administrator of Pool Receivables and any fees, costs and expenses incurred
with respect to Standard & Poor’s or Moody’s) of this Agreement, the other Transaction Documents
and the other documents and agreements to be delivered hereunder (and all reasonable costs and
expenses in connection with any amendment, waiver or modification of any thereof), including: (i)
Attorney Costs for the Administrator, each Purchaser Group and their respective Affiliates and
agents with respect thereto and with respect to advising the Administrator, each Purchaser Group
and their respective Affiliates and agents as to their rights and remedies under this Agreement and
the other Transaction Documents, and (ii) all reasonable costs and expenses (including Attorney
Costs), if any, of the Administrator, each Purchaser Group and their respective Affiliates and
agents in connection with the enforcement of this Agreement and the other Transaction Documents.

28

 

     In addition, the Seller shall pay on demand any and all stamp and other taxes and fees payable
in connection with the execution, delivery, filing and recording of this Agreement or the other
documents or agreements to be delivered hereunder, and agrees to save each Indemnified Party
harmless from and against any liabilities with respect to or resulting from any delay in paying or
omission to pay such taxes and fees.

     Section 6.5. No Proceedings; Limitation on Payments. Each of the Seller, WESCO, the
Servicer, the Administrator, the Purchaser Agents, the Purchasers, each assignee of the Purchased
Interest or any interest therein, and each Person that enters into a commitment to purchase the
Purchased Interest or interests therein, hereby covenants and agrees that it will not institute
against, or join any other Person in instituting against, any Conduit Purchaser any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceeding, or other proceeding under any
federal or state bankruptcy or similar law, for one year and one day after the latest maturing Note
issued by such Conduit Purchaser is paid in full. The provision of this Section 6.5 shall
survive any termination of this Agreement.

     Section 6.6. GOVERNING LAW AND JURISDICTION.

          (a) THIS AGREEMENT SHALL BE DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL
LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL
OBLIGATIONS LAW OF THE STATE OF NEW YORK) EXCEPT TO THE EXTENT THAT THE VALIDITY OR PERFECTION OF A
SECURITY INTEREST OR REMEDIES HEREUNDER, IN RESPECT OF ANY PARTICULAR COLLATERAL ARE GOVERNED BY
THE LAWS OF A JURISDICTION OTHER THAN THE STATE OF NEW YORK.

          (b) ANY LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT MAY BE BROUGHT IN THE COURTS
OF THE STATE OF NEW YORK OR OF THE UNITED STATES FOR THE SOUTHERN DISTRICT OF NEW YORK; AND, BY
EXECUTION AND DELIVERY OF THIS AGREEMENT, EACH OF THE PARTIES HERETO CONSENTS, FOR ITSELF AND IN
RESPECT OF ITS PROPERTY, TO THE NON-EXCLUSIVE JURISDICTION OF THOSE COURTS. EACH OF THE PARTIES
HERETO IRREVOCABLY WAIVES, TO THE MAXIMUM EXTENT PERMITTED BY LAW, ANY OBJECTION, INCLUDING ANY
OBJECTION TO THE LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS, THAT IT MAY NOW
OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING IN SUCH JURISDICTION IN RESPECT OF
THIS AGREEMENT OR ANY DOCUMENT RELATED HERETO. EACH OF THE PARTIES HERETO WAIVES PERSONAL SERVICE
OF ANY SUMMONS, COMPLAINT OR OTHER PROCESS, WHICH SERVICE MAY BE MADE BY ANY OTHER MEANS PERMITTED
BY NEW YORK LAW.

     Section 6.7. Execution in Counterparts. This Agreement may be executed in any number
of counterparts, each of which, when so executed, shall be deemed to be an original, and all of
which, when taken together, shall constitute one and the same agreement.

29

 

     Section 6.8. Survival of Termination. The provisions of Sections 1.7,
1.8, 3.1, 3.2, 6.4, 6.5, 6.6, 6.9,
6.10 and 6.14 shall survive any termination of this Agreement.

     Section 6.9. WAIVER OF JURY TRIAL. EACH OF THE PARTIES HERETO WAIVES THEIR RESPECTIVE
RIGHTS TO A TRIAL BY JURY OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF OR RELATED
TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY IN ANY ACTION, PROCEEDING OR OTHER
LITIGATION OF ANY TYPE BROUGHT BY ANY OF THE PARTIES AGAINST ANY OTHER PARTY OR PARTIES, WHETHER
WITH RESPECT TO CONTRACT CLAIMS, TORT CLAIMS OR OTHERWISE. EACH OF THE PARTIES HERETO AGREES THAT
ANY SUCH CLAIM OR CAUSE OF ACTION SHALL BE TRIED BY A COURT TRIAL WITHOUT A JURY. WITHOUT LIMITING
THE FOREGOING, EACH OF THE PARTIES HERETO FURTHER AGREES THAT ITS RESPECTIVE RIGHT TO A TRIAL BY
JURY IS WAIVED BY OPERATION OF THIS SECTION AS TO ANY ACTION, COUNTERCLAIM OR OTHER PROCEEDING THAT
SEEKS, IN WHOLE OR IN PART, TO CHALLENGE THE VALIDITY OR ENFORCEABILITY OF THIS AGREEMENT OR ANY
PROVISION HEREOF. THIS WAIVER SHALL APPLY TO ANY SUBSEQUENT AMENDMENTS, RENEWALS, SUPPLEMENTS OR
MODIFICATIONS TO THIS AGREEMENT.

     Section 6.10. Sharing of Recoveries. Each Purchaser agrees that if it receives any
recovery, through set-off, judicial action or otherwise, on any amount payable or recoverable
hereunder in a greater proportion than should have been received hereunder or otherwise
inconsistent with the provisions hereof, then the recipient of such recovery shall purchase for
cash an interest in amounts owing to the other Purchasers (as return of Investment or otherwise),
without representation or warranty except for the representation and warranty that such interest is
being sold by each such other Purchaser free and clear of any Adverse Claim created or granted by
such other Purchaser, in the amount necessary to create proportional participation by the Purchaser
in such recovery. If all or any portion of such amount is thereafter recovered from the recipient,
such purchase shall be rescinded and the purchase price restored to the extent of such recovery,
but without interest.

     Section 6.11. Right of Setoff. During a Termination Event, each Purchaser is hereby
authorized (in addition to any other rights it may have) to setoff, appropriate and apply (without
presentment, demand, protest or other notice which are hereby expressly waived) any deposits and
any other indebtedness held or owing by such Purchaser (including by any branches or agencies of
such Purchaser) to, or for the account of, the Seller against amounts owing by the Seller hereunder
(even if contingent or unmatured).

     Section 6.12. Entire Agreement. This Agreement and the other Transaction Documents
embody the entire agreement and understanding between the parties hereto, and supersede all prior
or contemporaneous agreements and understandings of such Persons, verbal or written, relating to
the subject matter hereof and thereof.

     Section 6.13. Headings. The captions and headings of this Agreement and any Exhibit,
Schedule or Annex hereto are for convenience of reference only and shall not affect the
interpretation hereof or thereof.

30

 

     Section 6.14. Purchaser Groups’ Liabilities. The obligations of each Purchaser Agent
and each Purchaser under the Transaction Documents are solely the corporate obligations of such
Person. Except with respect to any claim arising out of the willful misconduct or gross negligence
of the Administrator, any Purchaser Agent or any Purchaser, no claim may be made by the Seller or
the Servicer or any other Person against the Administrator, any Purchaser Agent or any Purchaser or
their respective Affiliates, directors, officers, employees, attorneys or agents for any special,
indirect, consequential or punitive damages in respect of any claim for breach of contract or any
other theory of liability arising out of or related to the transactions contemplated by the
Agreement or any other Transaction Document, or any act, omission or event occurring in connection
therewith; and each of Seller and Servicer hereby waives, releases, and agrees not to sue upon any
claim for any such damages, whether or not accrued and whether or not known or suspected to exist
in its favor.

     Section 6.15. Pledge to a Federal Reserve Bank. Notwithstanding anything to the
contrary set forth herein, (i) each Related Committed Purchaser may at any time pledge or grant a
security interest in all or any portion of its interest in, to and under its undivided percentage
ownership interest with regard to the Purchased Interest or under this Agreement to secure its
obligations to a Federal Reserve Bank, or (ii) in the event that any Conduit Purchaser assigns any
interest in, to and under its undivided percentage ownership interest with regard to the Purchased
Interest to any Program Support Provider pursuant to a Program Support Agreement, such Program
Support Provider may at any time pledge or grant a security interest in all or any portion of its
interest in, to and under such undivided percentage ownership interest with regard to the Purchased
Interest or under this Agreement to secure the obligations of such Program Support Provider to a
Federal Reserve Bank, in each case without notice to or the consent of the Seller.

     Section 6.16. [Intentionally Omitted].

     Section 6.17. Waiver.

          (a) The Seller, the Servicer and Herning hereby notify the Purchasers, the Purchaser Agents
and the Administrator (collectively, the “Waiving Parties”), that on or about December 31,
2007 a financing statement filed against Herning, as debtor lapsed. As a result of the lapse, each
of the Seller, the Servicer and Herning breached certain of its obligations under the Sale
Agreement and the Original Agreement which require Herning, the Seller and the Servicer to maintain
a first priority perfected security interest in favor of Wachovia Capital Markets, LLC in all of
the Receivables, Collections and Related Rights with respect thereto (the “Breach”).

          (b) The Seller, the Servicer and Herning have requested that the Waiving Parties waive all
Termination Events and Purchase and Sale Termination Events which have, through the date hereof,
solely arisen directly from the Breach. The Waiving Parties hereby agree to waive such Termination
Events and Purchase and Sale Termination Events resulting solely from the Breach; provided,
however, that such waiver shall be subject to the condition precedent that the Seller
provide the Administrator with (i) evidence, in form and substance satisfactory to the
Administrator, that it has, on or prior to the date hereof, taken all necessary and appropriate
action under any applicable law (including the UCC of each applicable

31

 

jurisdiction) to perfect (A) its ownership interest in all Receivables, Collections and
Related Rights acquired by it from Herning under the Sale Agreement and (B) Purchaser’s interest in
all Receivables, Collections and Related Rights acquired by it from the Seller under the
Receivables Purchase Agreement (as defined in Schedule V attached hereto) and that each
such interest is a first priority perfected ownership interest and (ii) a favorable opinion from
K&L Gates LLP, counsel to the Seller, the Servicer, and Herning regarding certain UCC matters as
set forth in Section 1(h) of Exhibit II to the Agreement.

          (c) Notwithstanding anything to the contrary herein or in any of the Transaction Documents, by
signing this Agreement, none of the Waiving Parties are now waiving, nor have they agreed to waive
in the future, the breach of (or any rights or remedies related to the breach of) any provisions of
any of the Transaction Documents, other than as expressly set forth in this Section 6.17.
None of the Seller, the Servicer or Herning are to be relieved or released, in any way, from any of
its respective responsibilities, duties, obligations, covenants or agreements as set forth in the
Transaction Documents and each of the Waiving Parties expressly reserves any and all rights, claims
and remedies that it has or may have against the Seller, the Servicer and Herning under each of the
Transaction Documents, any applicable law or otherwise.

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

32

 

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

	 	 	 	 	 	 	 
	 	 	WESCO RECEIVABLES CORP.,
as Seller	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Daniel Brailer
 

Daniel Brailer
	 	 
	 

	 	Title:
	 	Treasurer	 	 
	 
	 	 	 	 	 	 
	 	 	WESCO DISTRIBUTION, INC.,
as Servicer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Daniel Brailer
 

Daniel Brailer
	 	 
	 

	 	Title:
	 	Vice President & Treasurer	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-1

 

	 	 	 	 	 	 	 
	 	 	MARKET STREET FUNDING LLC,

as a Conduit Purchaser	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Doris J. Hearn
 

Doris J. Hearn
	 	 
	 

	 	Title:
	 	Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	PNC BANK, NATIONAL ASSOCIATION,

as Purchaser Agent for Market Street Funding LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ William P. Falcon
 

William P. Falcon
	 	 
	 

	 	Title:
	 	Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	PNC BANK, NATIONAL ASSOCIATION,

as Administrator	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ William P. Falcon
 

William P. Falcon
	 	 
	 

	 	Title:
	 	Vice President	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-2

 

	 	 	 	 	 	 	 
	 	 	WACHOVIA BANK, NATIONAL
 ASSOCIATION, as a
Conduit Purchaser	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Eero H. Maki
 

Eero H. Maki
	 	 
	 

	 	Title:
	 	Director	 	 
	 
	 	 	 	 	 	 
	 	 	WACHOVIA BANK, NATIONAL
 ASSOCIATION, as Purchaser
Agent for Wachovia 
Bank, National Association	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Eero H. Maki
 

Eero H. Maki
	 	 
	 

	 	Title:
	 	Director	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-3

 

	 	 	 	 	 	 	 
	 	 	FIFTH THIRD BANK, as a Conduit Purchaser	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Robert O. Finley
 

Robert O. Finley
	 	 
	 

	 	Title:
	 	Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	FIFTH THIRD BANK,

as Purchaser Agent for Fifth Third Bank	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Robert O. Finley
 

Robert O. Finley
	 	 
	 

	 	Title:
	 	Vice President	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-4

 

	 	 	 	 	 	 	 
	 	 	U.S. BANK NATIONAL ASSOCIATION, as a Conduit
Purchaser	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Matt Kasper
 

Matt Kasper
	 	 
	 

	 	Title:
	 	Assistant Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	U.S. BANK NATIONAL ASSOCIATION,

as Purchaser Agent for U.S. Bank National Association	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Matt Kasper
 

Matt Kasper
	 	 
	 

	 	Title:
	 	Assistant Vice President	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-5

 

	 	 	 	 	 	 	 
	 	 	THE PRIVATEBANK AND TRUST COMPANY,

as a Conduit Purchaser	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Zennie W. Lynch Jr.
 

Zennie W. Lynch Jr.
	 	 
	 

	 	Title:
	 	Associate Managing Director	 	 
	 
	 	 	 	 	 	 
	 	 	THE PRIVATEBANK AND TRUST COMPANY,

as Purchaser Agent for The PrivateBank and Trust
Company	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Zennie W. Lynch Jr.
 

Zennie W. Lynch Jr.
	 	 
	 

	 	Title:
	 	Associate Managing Director	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-6

 

	 	 	 	 	 	 	 
	 	 	THE HUNTINGTON NATIONAL BANK, as a Conduit Purchaser	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Jeff D. Blendick
 

Jeff D. Blendick
	 	 
	 

	 	Title:
	 	Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	THE HUNTINGTON NATIONAL BANK,

as Purchaser Agent for The Huntington National Bank	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Jeff D. Blendick
 

Jeff D. Blendick
	 	 
	 

	 	Title:
	 	Vice President	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-7

 

	 	 	 	 	 	 	 
	 	 	THE RELATED COMMITTED PURCHASERS:	 	 
	 
	 	 	 	 	 	 
	 	 	PNC BANK, NATIONAL ASSOCIATION,

as a Related Committed Purchaser for Market Street

Funding LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ David B. Thayer
 

David B. Thayer
	 	 
	 

	 	Title:
	 	Vice President	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-8

 

	 	 	 	 	 	 	 
	 	 	FIFTH THIRD BANK, as a Related Committed

Purchaser for Fifth Third Bank	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Robert O. Finley
 

Robert O. Finley
	 	 
	 

	 	Title:
	 	Vice President	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-9

 

	 	 	 	 	 	 	 
	 	 	WACHOVIA BANK, NATIONAL
 ASSOCIATION, as Related
Committed Purchaser 
for Wachovia Bank, National
Association	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Eero H. Maki
 

Eero H. Maki
	 	 
	 

	 	Title:
	 	Director	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-10

 

	 	 	 	 	 	 	 
	 	 	U.S. BANK NATIONAL ASSOCIATION, as a Related
Committed Purchaser for U.S. Bank National
Association	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Matt Kasper
 

Matt Kasper
	 	 
	 

	 	Title:
	 	Assistant Vice President	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-11

 

	 	 	 	 	 	 	 
	 	 	THE PRIVATEBANK AND TRUST COMPANY,
 as a Related
Committed Purchaser for The PrivateBank and Trust
Company	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Zennie W. Lynch Jr.
 

Zennie W. Lynch Jr.
	 	 
	 

	 	Title:
	 	Associate Managing Director	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-12

 

	 	 	 	 	 	 	 
	 	 	THE HUNTINGTON NATIONAL
BANK, as a Related Committed Purchaser for The Huntington National Bank	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Jeff D. Blendick
 

Jeff D. Blendick
	 	 
	 

	 	Title:
	 	Vice President	 	 
	 

	 	Title:	 	 	 	 
	 

	 	 	 	 

	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-13

 

	 	 	 	 	 	 	 
	 	 	ORIGINATOR:	 	 
	 
	 	 	 	 	 	 
	 	 	HERNING ENTERPRISES, INC.,

as Originator solely in respect of Section 6.17	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ Daniel Brailer
 

Daniel Brailer
	 	 
	 

	 	Title:
	 	Treasurer	 	 

Third Amended and Restated

Receivables Purchase Agreement

S-14

 

EXHIBIT I

DEFINITIONS

     As used in the Agreement (including its Exhibits, Schedules and Annexes), the following terms
shall have the following meanings (such meanings to be equally applicable to both the singular and
plural forms of the terms defined). Unless otherwise indicated, all Section, Annex, Exhibit and
Schedule references in this Exhibit are to Sections of and Annexes, Exhibits and Schedules to the
Agreement.

     “Adjusted Dilution Ratio” means, at any time, the twelve-month rolling average of the
Dilution Ratio.

     “Administrator” has the meaning set forth in the preamble to the Agreement.

     “Adverse Claim” means a lien, security interest or other charge or encumbrance, or any
other type of preferential arrangement; it being understood that any
thereof in favor of the Administrator (for the benefit of the Purchasers ) shall not constitute an
Adverse Claim.

     “Affected Person” has the meaning set forth in Section 1.7 of the Agreement.

     “Affiliate” means, as to any Person: (a) any Person that, directly or indirectly, is
in control of, is controlled by or is under common control with such Person, or (b) who is a
director or officer: (i) of such Person or (ii) of any Person described in clause (a),
except that, in the case of each Conduit Purchaser, Affiliate shall mean the holder of its capital
stock. For purposes of this definition, control of a Person shall mean the power, direct or
indirect: (x) to vote 25% or more of the securities having ordinary voting power for the election
of directors of such Person, or (y) to direct or cause the direction of the management and policies
of such Person, in either case whether by ownership of securities, contract, proxy or otherwise.

     “Aggregate Discount” at any time, means the sum of the aggregate for each Purchaser of
the accrued and unpaid Discount with respect to each such Purchaser’s Investment at such time.

     “Aggregate Investment” means, at any time, the aggregate of the Investments of each
Purchaser at such time.

     “Agreement” has the meaning set forth in the preamble to the Agreement.

     “Alternate Yield Rate” for any Yield Period for any Portion of Investment of the
Purchased Interest with respect to any Purchaser, means: (a) an interest rate per
annum equal to (x) so long as no Discount with respect to any Purchaser during such Yield
Period is computed by reference to the Yield Rate, the LMIR for such Yield Period and (y) during
any Yield Period for which the Discount with respect to any Purchaser during such Yield Period is
computed by reference to the Yield Rate, the Applicable Margin above the LMIR for such Yield
Period; provided, however, that in the case of any Yield Period on or before the
first day of which the such Purchaser’s Purchaser Agent shall have been notified by any Purchaser
that the introduction of or any change in or in the interpretation of any law or regulation makes
it unlawful, or any central bank or other Governmental Authority asserts that it is unlawful, for
such Person, to fund

I-1

 

any LMIR Portion of Investment (and such Person shall not have subsequently notified the such
Purchaser Agent that such circumstances no longer exist), the “Alternate Yield Rate” for each such
Yield Period shall be an interest rate per annum equal to the Base Rate in effect on each day of
such Yield Period or (b) such other rate set forth as the “Alternate Yield Rate” for such Purchaser
in its Purchaser Group Fee Letter or any other document pursuant to which it became a party hereto.
The “Alternate Yield Rate” for any day while a Termination Event or an Unmatured Termination Event
exists shall be an interest rate per annum equal to the greater of: (i) 3.00% per annum above the
applicable Base Rate in effect on such day and (ii) the interest rate determined on such day
pursuant to clause (a) above.

     “Applicable Margin” means, with respect to each Purchaser, the rate set forth as the
“Applicable Margin” in such Purchaser’s related Purchaser Agent’s Purchaser Group Fee Letter.

     “AR System” means the ENDURA accounts receivable system maintained at the main
operating center of WESCO in Murrysville, Pennsylvania, the accounts receivable system maintained
by Carlton-Bates Company and the accounts receivable system maintained by Communications Supply
Corporation, or any system or systems which replace any of the foregoing.

     “Assumption Agreement” means an agreement substantially in the form set forth in Annex
D to the Agreement.

     “Attorney Costs” means and includes all reasonable fees and disbursements of any law
firm or other external counsel, the reasonable allocated cost of internal legal services and all
reasonable disbursements of internal counsel.

     “Available Liquidity” means, on any date of determination, the sum of (i) the Maximum
Incremental Purchase, (ii) the amount of borrowing availability under the Credit Agreement (as
defined in Schedule V attached hereto) and (iii) cash balances and liquid investments held
by WESCO and its Affiliates.

     “Bankruptcy Code” means the United States Bankruptcy Reform Act of 1978 (11 U.S.C. §
101, et seq.), as amended from time to time.

     “Base Rate” means, any Purchaser, for any day (a) a fluctuating interest rate per
annum as shall be in effect from time to time, which rate shall be at all times equal to the higher
of:

     (i) the rate of interest in effect for such day as publicly announced from time to time
by such Purchaser’s Purchaser Agent as its “prime rate”, “base rate” or similarly designate
rate and which is used as a general reference point for pricing some loans, which may be
priced at, above or below such announced rate, and

     (ii) 0.50% per annum above the latest Federal Funds Rate; or

     (b) such other rate set forth as the “Base Rate” for such Purchaser in its Purchaser Group Fee
Letter, or any other document pursuant to which is became a party hereto.

     “BBA” means the British Bankers’ Association.

I-2

 

     “Benefit Plan” means any employee benefit pension plan as defined in Section 3(2) of
ERISA in respect of which the Seller, any Originator, WESCO or any ERISA Affiliate is, or at any
time during the immediately preceding six years was, an “employer” as defined in Section 3(5) of
ERISA.

     “Business Day” means any day (other than a Saturday or Sunday) on which: (a) banks are
not authorized or required to close in New York City, New York or Pittsburgh, Pennsylvania, and (b)
if this definition of “Business Day” is utilized in connection with the Euro-Rate or the LMIR,
dealings are carried out in the London interbank market.

     “Change in Control” means (i) Holdings ceases to own, directly or indirectly, 100% of
the capital stock of WESCO or (ii) that WESCO ceases to own, directly or indirectly (including
through one or more of its Subsidiaries), (a) 100% of the capital stock of the Seller free and
clear of all Adverse Claims or (b) a majority of the capital stock of any Originator, in the case
of each of (i) and (ii) above, free and clear of all Adverse Claims other than (x) the pledges or
grants of security interest by WESCO or one or more of its Subsidiaries to General Electric Capital
Corporation (“GECC”), as agent for itself and various lenders pursuant to one or more
pledge agreements and security agreements as required under the Credit Agreement (as defined in
Schedule V attached hereto) as such pledge agreements or security agreements may be
amended, restated, supplemented or otherwise modified from time to time.

     “Closing Date” means April 13, 2009.

     “Collections” means, with respect to any Pool Receivable: (a) all funds that are
received by any Originator, WESCO, the Seller or the Servicer in payment of any amounts owed in
respect of such Receivable (including purchase price, finance charges, interest and all other
charges), or applied to amounts owed in respect of such Receivable (including insurance payments
and net proceeds of the sale or other disposition of repossessed goods or other collateral or
property of the related Obligor or any other Person directly or indirectly liable for the payment
of such Pool Receivable and available to be applied thereon), (b) all amounts deemed to have been
received pursuant to Section 1.4(e) of the Agreement and (c) all other proceeds of such
Pool Receivable.

     “Commitment” means, with respect to each Related Committed Purchaser, the maximum
amount which such Purchaser is obligated to pay hereunder on account of any Purchase, as set forth
below its name on Schedule VI hereto to this Agreement or in the Assumption Agreement or
any similar document pursuant to which it became a Purchaser, as such amount may be modified in
connection with any subsequent assignment pursuant to Section 6.3(c) or in connection with
a change in the Purchase Limit pursuant to Section 1.1(b) or Section 1.11.

     “Commitment Increase Effective Date” has the meaning set forth in Section
1.11(c).

     “Commitment Percentage” means, at any time, for each Related Committed Purchaser in a
Purchaser Group, such Related Committed Purchaser’s Commitment divided by the total of all
Commitments of all Related Committed Purchasers in such Purchaser Group.

     “Company Note” has the meaning set forth in Section 3.1 of the Sale Agreement.

I-3

 

     “Concentration Percentage” means: (a) for any Obligor that is not a Special Obligor,
the Normal Concentration Percentage and (b) for any Special Obligor, the “Special Obligor
Concentration Percentage”, approved in writing by each Purchaser Agent, and set forth as such
opposite its name on Annex C to the Agreement; provided, however, that the
Administrator may, if the Rating Agency Condition is satisfied and each of the Purchasers has so
consented, approve higher Concentration Percentages for selected Obligors (which approved
percentage shall become the “Concentration Percentage” applicable to such Obligor).

     “Conduit Purchasers” means each commercial paper conduit or other entity that is a
party to the Agreement, as a purchaser, or that becomes a party to the Agreement, as a purchaser
pursuant to an Assumption Agreement.

     “Contract” means, with respect to any Receivable, any and all contracts, instruments,
agreements, leases, invoices, notes or other writings pursuant to which such Receivable arises or
that evidence such Receivable or under which an Obligor becomes or is obligated to make payment in
respect of such Receivable.

     “CP Rate” means, with respect to any Conduit Purchaser for any Yield Period with
respect to any Portion of Investment (a) the per annum rate equivalent to the
“weighted average cost” (as defined below) related to the issuance of such Conduit Purchaser’s
Notes that are allocated, in whole or in part, by it (or by its Purchaser Agent) to fund or
maintain such Portion of Investment (and which may also be allocated in part to the funding of
other Portions of Investment hereunder or of other assets of such Conduit Purchaser);
provided, however, that if any component of such rate is a discount rate, in
calculating the “CP Rate” for such Portion of Investment for such Yield Period, such
Conduit Purchaser shall for such component use the rate resulting from converting such discount
rate to an interest bearing equivalent rate per annum; provided, further, that
notwithstanding anything in the Agreement or the other Transaction Documents to the contrary, the
Seller agrees that any amounts payable to the Purchasers in respect of Discount for any Yield
Period with respect to any Portion of Investment funded by such Purchaser at the CP Rate shall
include an amount equal to the portion of the face amount of the outstanding Notes issued to fund
or maintain such Portion of Investment that corresponds to the portion of the proceeds of such
Notes that was used to pay the interest component of maturing Notes issued to fund or maintain such
Portion of Investment, to the extent that such Purchaser had not received payments of interest in
respect of such interest component prior to the maturity date of such maturing Notes (for purposes
of the foregoing, the “interest component” of Notes equals the excess of the face amount thereof
over the net proceeds received by such Purchaser from the issuance of Notes, except that if such
Notes are issued on an interest-bearing basis its “interest component” will equal the amount of
interest accruing on such Notes through maturity) (as used in this definition, “weighted
average cost” shall consist of (x) the actual interest rate (or discount) paid to purchasers of
Conduit Purchaser’s Notes, together with the commissions of placement agents and dealers in respect
of such Notes, to the extent such commissions are allocated, in whole or in part, to such Notes by
such Conduit Purchaser (or by its Purchaser Agent) and (y) any incremental carrying costs incurred
with respect to such Conduit Purchaser’s Notes maturing on dates other than those on which
corresponding funds are received by such Conduit Purchaser), or (b) such other rate set forth as
the “CP Rate” for such Conduit Purchaser in its Purchaser Group Fee Letter or any other document.
Notwithstanding the foregoing, the “CP Rate” for any day while a Termination Event or an Unmatured

I-4

 

Termination Event exists shall be an interest rate equal to the greater of: (i) 3.00% per
annum above the Base Rate in effect on such day and (ii) the Yield Rate in effect on such day.

     “Credit and Collection Policy” means, as the context may require, those receivables
credit and collection policies and practices of each Originator and of WESCO in effect on the date
of the Agreement and described in Schedule I to the Agreement, as modified in compliance
with the Agreement.

     “Cut-off Date” has the meaning set forth in the Sale Agreement.

     “Days’ Sales Outstanding” means, for any calendar month, an amount computed as of the
last day of such calendar month equal to: (a) the average of the Outstanding Balance of all Pool
Receivables as of the last day of each of the three most recent calendar months ended on the last
day of such calendar month divided by (b)(i) the aggregate credit sales made by the Originators
during the three calendar months ended on the last day of such calendar month divided by (ii) 90.

     “Debt” means: (a) indebtedness for borrowed money, (b) obligations evidenced by bonds,
debentures, notes or other similar instruments, (c) obligations to pay the deferred purchase price
of property or services, (d) obligations as lessee under leases that shall have been or should be,
in accordance with generally accepted accounting principles, recorded as capital leases, and (e)
obligations under direct or indirect guaranties in respect of, and obligations (contingent or
otherwise) to purchase or otherwise acquire, or otherwise to assure a creditor against loss in
respect of, indebtedness or obligations of others of the kinds referred to in clauses (a)
through (d).

     “Declining Conduit Purchaser” has the meaning set forth in Section
1.4(b)(ii).

     “Declining Notice” has the meaning set forth in Section 1.4(b)(ii).

     “Default Ratio” means the ratio (expressed as a percentage and rounded to the
nearest 1/100 of 1%, with 5/1000th of 1% rounded upward) computed as of the last day of
each calendar month by dividing: (a) the aggregate Outstanding Balance of all Pool
Receivables that became Defaulted Receivables during such month, by (b) the aggregate
credit sales made by the Originators during the month that is six months prior to such
month.

     “Defaulted Receivable” means a Receivable:

     (a) as to which any payment, or part thereof, remains unpaid for more than 180 days
from the original invoice date for such payment, or

     (b) without duplication (i) as to which an Event of Bankruptcy shall have occurred with
respect to the Obligor thereof or any other Person obligated thereon or owning any Related
Security with respect thereto, (ii) that has been written off the Seller’s books as
uncollectible or (iii) that should have been written off the Seller’s books as uncollectible
pursuant to the Credit and Collection Policy.

I-5

 

     “Delinquency Ratio” means the ratio (expressed as a percentage and rounded to the
nearest 1/100 of 1%, with 5/1000th of 1% rounded upward), computed as of the last day of each
calendar month by dividing: (a) the aggregate Outstanding Balance of all Pool Receivables that
became Delinquent Receivables during such month, by (b) the aggregate Outstanding Balance of all
Pool Receivables on such day.

     “Delinquent Receivable” means a Receivable (a) as to which any payment, or part
thereof, remains unpaid for more than 120 days from the original invoice date for such payment or
(b) without duplication, which has been (or consistent with the Credit and Collection Policy, would
be) classified as a Delinquent Receivable by the applicable Originator.

     “Dilution Horizon Ratio” means, for any calendar month, the ratio (expressed as a
percentage and rounded to the nearest 1/100th of 1%, with 5/1000th of 1% rounded upward) computed
as of the last day of such calendar month of: (a) the aggregate credit sales made by the
Originators during the two most recent calendar months (or such greater number of days or months as
determined by the Administrator from time to time with the consent or at the direction of the
Purchaser Agents following any periodic audit conducted pursuant to the Transaction Documents), to
(b) the Net Receivables Pool Balance at the last day of the most recent calendar month.

     “Dilution Ratio” means the ratio (expressed as a percentage and rounded to the nearest
1/100th of 1%, with 5/1000th of 1% rounded upward), computed as of the last day of each calendar
month by dividing: (a) the aggregate amount of payments made or owed by the Seller pursuant to
Section 1.4(e)(i) of the Agreement during such calendar month by (b) the aggregate credit
sales made by all the Originators during the calendar month that is one month prior to such
calendar month.

     “Dilution Reserve” means, on any date, an amount equal to: (a) the aggregate of the
portions of the Investments of all Purchasers set forth in paragraph (a) of the definition
thereof at the close of business of the Servicer on such date multiplied by (b) (i)
the Dilution Reserve Percentage on such date, divided by (ii) 100% minus the
Dilution Reserve Percentage on such date.

     “Dilution Reserve Percentage” means, on any date, the greater of: (a) 8.00% and (b)
the product of (i) the sum of (A) 2.25 times the Adjusted Dilution Ratio plus (B) the
Dilution Volatility Component, multiplied by (ii) the Dilution Horizon Ratio.

     “Dilution Volatility Component” means, for any calendar month, the product of (a) the
difference of (i) the highest three-month rolling average Dilution Ratio during the twelve most
recent calendar months (the “Highest 3-Month Rolling Average Dilution Ratio”) minus
(ii) the Adjusted Dilution Ratio for such twelve calendar months (the “12-Month Dilution
Ratio”), multiplied by (b) a fraction (i) the numerator of which is the Highest
3-Month Rolling Average Dilution Ratio during the twelve most recent calendar months and (ii) the
denominator of which is the 12-Month Dilution Ratio for such twelve calendar months.

     “Discount” means with respect to any Purchaser:

I-6

 

     (a) for any Portion of Investment for any Yield Period with respect to any Purchaser to
the extent such Portion of Investment will be funded by such Purchaser during such Yield
Period through the issuance of Notes:

CPR x I x ED/360

     (b) for any Portion of Investment for any Yield Period with respect to any Purchaser to
the extent such Portion of Investment will not be funded by such Purchaser during such Yield
Period through the issuance of Notes, but solely where: (i) such Purchaser is a commercial
paper conduit, (ii) such Purchaser has funded such Portion of Investment through one or more
of its Program Support Providers and (ii) such commercial paper conduit is either (x) not
able to fund such Portion of Investment through the issuance of Notes or (y) in the
reasonable determination of the related Purchaser Agent, funding such Portion of Investment
through the issuance of Notes is not administratively or economically efficient or practical
at such time (whether due to circumstances affecting such Conduit Purchaser, the commercial
paper markets or otherwise):

YR x I x ED/Year + TF

     (c) for any Portion of Investment for any Yield Period with respect to any Purchaser,
in all cases other than where paragraphs (a) or (b), above, applies, the sum
of the products, calculated on each day of such Yield Period (as described in the formula
below), of the Alternate Yield Rate multiplied by such Portion of Investment for each day
elapsed during such Yield Period, annualized on a 360 day basis:

I x AYR/Year

     where:

	 	 	 	 	 	 	 
	 

	 	YR
	 	=
	 	the “Yield Rate” as defined herein, for such Portion of
Investment for such Yield Period with respect to such Purchaser,
	 
	 	 	 	 	 	 
	 

	 	AYR
	 	=
	 	the “Alternate Yield Rate” as defined herein, for such
Portion of Investment for such Yield Period with respect to such Purchaser,
	 
	 	 	 	 	 	 
	 

	 	I
	 	=
	 	the Investment with respect to such Portion of Investment
during such Yield Period with respect to such Purchaser,
	 
	 	 	 	 	 	 
	 

	 	CPR
	 	=
	 	the CP Rate for the Portion of Investment for such Yield
Period with respect to such Purchaser,
	 
	 	 	 	 	 	 
	 

	 	ED
	 	=
	 	the actual number of days during such Yield Period,
	 
	 	 	 	 	 	 
	 

	 	Year
	 	=
	 	if such Portion of Investment is funded based upon: (i) the
Euro-Rate or the LMIR, 360 days, and (ii) the Base Rate, 365 or 366 days, as
applicable, and

I-7

 

	 	 	 	 	 	 	 
	 

	 	TF
	 	=
	 	the Termination Fee, if any, for the Portion of Investment
for such Yield Period with respect to such Purchaser;

provided, that no provision of the Agreement shall require the payment or permit the
collection of Discount in excess of the maximum permitted by applicable law; and provided
further, that Discount for any Portion of Investment shall not be considered paid by any
distribution to the extent that at any time all or a portion of such distribution is rescinded or
must otherwise be returned for any reason.

     “Eligible Foreign Obligor” means an Obligor which is a resident of any country (other
than the United States) that has a long-term currency rating of at least “A” by Standard and Poor’s
and “A2” by Moody’s.

     “Eligible Receivable” means, at any time, a Pool Receivable:

     (a) the Obligor of which is (i) a United States resident or an Eligible Foreign
Obligor, (ii) not subject to any action of the type described in paragraph (f) of
Exhibit V to the Agreement and (iii) not an Affiliate of WESCO or any Originator,

     (b) that is denominated and payable only in U.S. dollars in the United States to a
Lock-Box Account,

     (c) that does not have a stated maturity which is more than 90 days after the original
invoice date of such Receivable, unless a longer stated maturity is approved by and in the
sole discretion of the Administrator and all of the Purchasers in writing, prior to the
acquisition of such Receivable (or any interest therein),

     (d) that arises under a duly authorized Contract for the sale and delivery of goods and
services in the ordinary course of an Originator’s business,

     (e) that arises under a duly authorized Contract that is in full force and effect and
that is a legal, valid and binding obligation of the related Obligor, enforceable against
such Obligor in accordance with its terms,

     (f) that conforms in all material respects with all applicable laws, rulings and
regulations in effect,

     (g) that is not the subject of any asserted dispute, offset, hold back defense, Adverse
Claim or other claim,

     (h) that satisfies all applicable requirements of the applicable Credit and Collection
Policy,

     (i) that has not been modified, waived or restructured since its creation, except as
permitted pursuant to Section 4.2 of the Agreement,

I-8

 

     (j) in which the Seller owns good and marketable title, free and clear of any Adverse
Claims, and that is freely assignable by the Seller (including without any consent of the
related Obligor),

     (k) for which the Administrator (for the benefit of each Purchaser) shall have a valid
and enforceable undivided percentage ownership or security interest, to the extent of the
Purchased Interest, and a valid and enforceable first priority perfected security interest
therein and in the Related Security and Collections with respect thereto, in each case free
and clear of any Adverse Claim,

     (l) that constitutes an account as defined in the UCC, and that is not evidenced by
instruments or chattel paper,

     (m) that is not a Defaulted Receivable or a Delinquent Receivable,

     (n) for which none the Originator thereof, the Seller and the Servicer has established
any offset arrangements with the related Obligor,

     (o) for which Defaulted Receivables of the related Obligor do not exceed 50% of the
Outstanding Balance of all such Obligor’s Receivables, and

     (p) that represents amounts earned and payable by the Obligor that are not subject to
the performance of additional services by the Originator thereof or the Seller.

     “ERISA” means the Employee Retirement Income Security Act of 1974, as amended from
time to time, and any successor statute of similar import, together with the regulations
thereunder, in each case as in effect from time to time. References to sections of ERISA also refer
to any successor sections.

     “ERISA Affiliate” means: (a) any corporation that is a member of the same controlled
group of corporations (within the meaning of Section 414(b) of the Internal Revenue Code) as the
Seller, any Originator or WESCO, (b) a trade or business (whether or not incorporated) under common
control (within the meaning of Section 414(c) of the Internal Revenue Code) with the Seller, any
Originator or WESCO, or (c) a member of the same affiliated service group (within the meaning of
Section 414(m) of the Internal Revenue Code) as the Seller, any Originator, any corporation
described in clause (a) or any trade or business described in clause (b).

     “Euro-Rate” means with respect to any Yield Period, the interest rate per annum
determined by the Administrator by dividing (the resulting quotient rounded upwards, if necessary,
to the nearest 1/100th of 1% per annum) (i) the rate of interest determined by the applicable
Purchaser Agent in accordance with its usual procedures (which determination shall be conclusive
absent manifest error) to be the average of the London interbank market offered rates for U.S.
dollars quoted by the BBA as set forth on the Reuters Screen display page LIBOR01 (or appropriate
successor) at or about 11:00 a.m. (London time) on the Business Day which is two (2) Business Days
prior to the first day of such Yield Period for an amount comparable to the Portion of Investment
to be funded at the Yield Rate and based upon the Euro-Rate during such Yield Period by (ii) a
number equal to 1.00 minus the Euro-Rate Reserve Percentage. The Euro-Rate may also be expressed by
the following formula:

I-9

 

	 	 	 	 	 
	 

	 	Average of London interbank offered rates quoted by BBA	 	 
	 

	 	as shown on Reuters Screen display page LIBOR01	 	 
	 

	 	or appropriate successor	 	 
	Euro-Rate =
	 	 	 	 
	 

	 	 

     1.00 - Euro-Rate Reserve Percentage
	 	 

where “Euro-Rate Reserve Percentage” means, the maximum effective percentage in effect on such day
as prescribed by the Board of Governors of the Federal Reserve System (or any successor) for
determining the reserve requirements (including without limitation, supplemental, marginal, and
emergency reserve requirements) with respect to eurocurrency funding (currently referred to as
“Eurocurrency Liabilities”). The Euro-Rate shall be adjusted with respect to any Portion of
Investment funded at the Yield Rate and based upon the Euro-Rate that is outstanding on the
effective date of any change in the Euro-Rate Reserve Percentage as of such effective date. The
applicable Purchaser Agent shall give prompt notice to the Seller of the Euro-Rate as determined or
adjusted in accordance herewith (which determination shall be conclusive absent manifest error).

     “Event of Bankruptcy” means (a) any case, action or proceeding before any court or
other governmental authority relating to bankruptcy, reorganization, insolvency, liquidation,
receivership, dissolution, winding-up or relief of debtors or (b) any general assignment for the
benefit of creditors of a Person or any composition, marshalling of assets for creditors of a
Person, or other similar arrangement in respect of its creditors generally or any substantial
portion of its creditors; in each of cases (a) and (b) undertaken under U.S. Federal, state or
foreign law, including the U.S. Bankruptcy Code.

     “Excess Concentration” means, without duplication, the sum of the following amounts:

     (i) the amount by which the Outstanding Balance of Eligible Receivables of each Obligor
then in the Receivables Pool exceeds an amount equal to: (a) the applicable Concentration
Percentage for such Obligor multiplied by (b) the Outstanding Balance of all Eligible
Receivables then in the Receivables Pool;

     (ii) the amount by which the aggregate Outstanding Balance of all Eligible Receivables
then in the Receivables Pool, the Obligor of which is an Eligible Foreign Obligor, exceeds
1.00% of the aggregate Outstanding Balance of all Eligible Receivables then in the
Receivables Pool;

     (iii) the amount by which the aggregate Outstanding Balance of all Eligible Receivables
then in the Receivables Pool, the Obligor of which is a government or governmental
subdivision, affiliate or agency, exceeds 1.00% of the aggregate Outstanding Balance of all
Eligible Receivables then in the Receivables Pool; and

     (iv) the amount by which the aggregate Outstanding Balance of all Eligible Receivables
then in the Receivables Pool, of which are NED Division Receivables, exceeds 30.00% of the
aggregate Outstanding Balance of all Eligible Receivables then in the Receivables Pool.

I-10

 

     “Excluded Receivable” means any Receivable (without giving effect to the exclusion of
“Excluded Receivables” from the definition thereof) (i) owed by an Obligor not a resident of the
United States and denominated in a currency other than U.S. dollars, (ii) originated by the Tampa
Major Projects Branch, identified on WESCO’s system as Branch No. 3840 or (iii) any Receivable
originated by Communications Supply Corporation, the Obligor of which is The Stanley Works Co.

     “Facility Termination Date” means the earliest to occur of: (a) with respect to any
Purchaser, the applicable Scheduled Commitment Termination Date with respect to such Purchaser,
subject to any extension thereof pursuant to Section 1.10 of the Agreement (it being
understood that if any such Purchaser does not extend its Commitment hereunder then the Purchase
Limit shall be reduced ratably with respect to the Purchasers in each Purchaser Group by an amount
equal to the Commitment of such non-extending Purchaser and the Commitment Percentages and Group
Commitments of the Purchasers within each Purchaser Group shall be appropriately adjusted), (b) the
date determined pursuant to Section 2.2 of the Agreement, (c) the date the Purchase Limit
reduces to zero pursuant to Section 1.1(b) or Section 1.1(c) of the Agreement, (d)
any Conduit Purchaser or any Purchaser Agent on behalf of such Conduit Purchaser shall fail to
cause the amendment or modification of any Transaction Document or related opinion as required by
Moody’s or Standard and Poor’s, and such failure shall continue for 30 days after such amendment or
modification is initially requested and (e) with respect to each Purchaser Group, the date that the
commitment, of all of the Related Committed Purchasers of such Purchaser Group terminate pursuant
to Section 1.10.

     “FASB” has the meaning set forth in Section 1.7(d).

     “Federal Funds Rate” means, for any day, the per annum rate set forth in the weekly
statistical release designated as H.15(519), or any successor publication, published by the Federal
Reserve Board (including any such successor, “H.15(519)”) for such day opposite the caption
“Federal Funds (Effective).” If on any relevant day such rate is not yet published in H.15(519),
the rate for such day will be the rate set forth in the daily statistical release designated as the
Composite 3:30 p.m. Quotations for U.S. Government Securities, or any successor publication,
published by the Federal Reserve Bank of New York (including any such successor, the “Composite
3:30 p.m. Quotations”) for such day under the caption “Federal Funds Effective Rate.” If on any
relevant day the appropriate rate is not yet published in either H.15(519) or the Composite 3:30
p.m. Quotations, the rate for such day will be the arithmetic mean as determined by the
Administrator of the rates for the last transaction in overnight Federal funds arranged before 9:00
a.m. (New York time) on that day by each of three leading brokers of Federal funds transactions in
New York City selected by the Administrator.

     “Federal Reserve Board” means the Board of Governors of the Federal Reserve System, or
any entity succeeding to any of its principal functions.

     “Fees” means the fees payable by the Seller to each Purchaser Group pursuant to the
applicable Purchaser Group Fee Letter.

     “Fifth Third” means Fifth Third Bank.

I-11

 

     “GAAP” means the generally accepted accounting principles and practices in the United
States, consistently applied.

     “GECC” has the meaning set forth in the definition of Change in Control.

     “Governmental Authority” means any nation or government, any state or other political
subdivision thereof, any central bank (or similar monetary or regulatory authority) thereof, any
body or entity exercising executive, legislative, judicial, regulatory or administrative functions
of or pertaining to government, including any court, and any Person owned or controlled, through
stock or capital ownership or otherwise, by any of the foregoing.

     “Group Commitment” means with respect to any Purchaser Group the aggregate of the
Commitments of each Purchaser within such Purchaser Group.

     “Group Investment” means with respect to any Purchaser Group, an amount equal to the
aggregate of all Investments of the Purchasers within such Purchaser Group.

     “Herning” means Herning Enterprises, Inc., a Delaware corporation.

     “Holdings” means WESCO International, Inc., a Delaware corporation.

     “Indemnified Amounts” has the meaning set forth in Section 3.1 of the
Agreement.

     “Indemnified Party” has the meaning set forth in Section 3.1 of the Agreement.

     “Independent Director” has the meaning set forth in paragraph 3(c) of
Exhibit IV to the Agreement.

     “Information Package” means a report, in substantially the form of Annex A to the
Agreement, furnished to the Administrator pursuant to the Agreement.

     “Insolvency Proceeding” means: (a) any case, action or proceeding before any court or
other Governmental Authority relating to bankruptcy, reorganization, insolvency, liquidation,
receivership, dissolution, winding-up or relief of debtors, or (b) any general assignment for the
benefit of creditors, composition, marshaling of assets for creditors, or other, similar
arrangement in respect of its creditors generally or any substantial portion of its creditors, in
each case undertaken under U.S. Federal, state or foreign law, including the Bankruptcy Code.

     “Intercreditor Agreement” means that certain Intercreditor Agreement, dated as of the
March 19, 2002 and as amended from time to time, by and among General Electric Capital Corporation,
WESCO, WESCO Receivables Corp., and the providers (i.e., lenders) under the Credit
Agreement (as defined in Schedule V attached hereto).

     “Internal Revenue Code” means the Internal Revenue Code of 1986, as amended from time
to time, and any successor statute of similar import, together with the regulations thereunder, in
each case as in effect from time to time. References to sections of the Internal Revenue Code also
refer to any successor sections.

I-12

 

     “Investment” means with respect to any Purchaser the amount paid to the Seller by such
Purchaser pursuant to the Agreement as reduced from time to time by Collections distributed and
applied on account of such Investment pursuant to Section 1.4(d) of the Agreement;
provided, that if such Investment shall have been reduced by any distribution and
thereafter all or a portion of such distribution is rescinded or must otherwise be returned for any
reason, such Investment shall be increased by the amount of such rescinded or returned distribution
as though it had not been made.

     “ISC” has the meaning set forth in the preamble to the Agreement.

     “LMIR” means, for any day, the one-month Eurodollar rate for U.S. dollar deposits as
reported on the Reuters Screen LIBOR01 Page or any other page that may replace such page from time
to time for the purpose of displaying offered rates of leading banks for London interbank deposits
in United States dollars, as of 11:00 a.m. (London time) on such date, or if such day is not a
Business Day, then the immediately preceding Business Day (or if not so reported, then as
determined by the applicable Purchaser or its Purchaser Agent from another recognized source for
interbank quotation), in each case, changing when and as such rate changes.

     “Liquidity Agent” means each of the banks acting or other Persons as agent for the
various Liquidity Banks under each Liquidity Agreement.

     “Liquidity Agreement” means any agreement entered into in connection with this
Agreement pursuant to which a Liquidity Provider agrees to make purchases or advances to, or
purchase assets from, any Conduit Purchaser in order to provide liquidity for such Conduit
Purchaser’s Purchases.

     “Liquidity Provider” means each bank or other financial institution that provides
liquidity support to any Conduit Purchaser pursuant to the terms of a Liquidity Agreement.

     “Lock-Box Account” means an account maintained at a bank or other financial
institution for the purpose of receiving Collections.

     “Lock-Box Agreement” means an agreement, among the Seller, the Servicer and a Lock-Box
Bank.

     “Lock-Box Bank” means any of the banks or other financial institutions holding one or
more Lock-Box Accounts.

     “Lock-Box Rights” has the meaning set forth in Section 4.3 of the Agreement.

     “Loss Reserve” means, on any date, an amount equal to (i) the aggregate of the
Investment of all Purchasers set forth in the definition thereof at the close of business of the
Servicer on such date multiplied by (ii)(A) the Loss Reserve Percentage on such date divided by (B)
100% minus the Loss Reserve Percentage on such date.

     “Loss Reserve Percentage” means, on any date, the greater of: (a) 10.00% and (b) (i)
the product of (A) 2.25 times the highest average of the Default Ratios for any three consecutive

I-13

 

calendar months during the twelve most recent calendar months multiplied by (B) the aggregate
credit sales made during the five most recent calendar months divided by (ii) the Net Receivables
Pool Balance as of such date.

     “Majority Purchasers” means, at any time, Purchasers whose Commitments aggregate more
than 66.67% of the aggregate of the Commitments of all Purchasers; provided,
however, that so long as any Purchaser’s Commitment is greater than 66.67% of the aggregate
Commitments, then “Majority Purchasers” shall mean a minimum of two Purchasers whose Commitments
aggregate more than 66.67% of the aggregate Commitments.

     “Material Adverse Effect” means, relative to any Person with respect to any event or
circumstance, a material adverse effect on:

     (a) the assets, operations, business or financial condition of such Person,

     (b) the ability of any of such Person to perform its obligations under the Agreement or
any other Transaction Document to which it is a party,

     (c) the validity or enforceability of any other Transaction Document, or the validity,
enforceability or collectibility of a material portion of the Pool Receivables, or

     (d) the status, perfection, enforceability or priority of any Purchaser’s or the
Seller’s interest in the Pool Assets.

     “Maximum Incremental Purchase” means, on any date, the additional incremental increase
in the Aggregate Investment that would cause the Aggregate Investment plus the Total Reserves to
equal the Net Receivables Pool Balance.

     “Moody’s” means Moody’s Investors Service, Inc.

     “NED Division” means the branches of WESCO or its Subsidiaries which do not
use an AR System.

     “NED Division Receivable” means each Receivable originated by a branch in the NED
Division of WESCO.

     “NED Division Pool Receivable” means each Pool Receivable originated by a branch in
the NED Division of WESCO.

     “Net Receivables Pool Balance” means, at any time: (a) the Outstanding Balance of
Eligible Receivables then in the Receivables Pool minus (b) the Excess Concentration.

     “Normal Concentration Percentage” means, at any time, 2.0%.

     “Notes” means short-term promissory notes issued, or to be issued, by each Conduit
Purchaser (or, if applicable, issued by the funding source pursuant to which such Conduit Purchaser
finances its Investment hereunder) to fund its investments in accounts receivable or other
financial assets.

I-14

 

     “Obligor” means, with respect to any Receivable, the Person obligated to make payments
pursuant to the Contract relating to such Receivable.

     “Original Agreement” has the meaning set forth in the preliminary statements of the
Agreement.

     “Originator” has the meaning set forth in the Sale Agreement.

     “Originator Assignment Certificate” means each assignment, in substantially the form
of Exhibit C to the Sale Agreement, evidencing Seller’s ownership of the Receivables
generated by Originator, as the same may be amended, supplemented, amended and restated, or
otherwise modified from time to time in accordance with the Sale Agreement.

     “Outstanding Balance” of any Receivable at any time means the then outstanding
principal balance thereof.

     “Payment Date” has the meaning set forth in Section 2.1 of the Sale Agreement.

     “Person” means an individual, partnership, corporation (including a business trust),
joint stock company, trust, unincorporated association, joint venture, limited liability company or
other entity, or a government or any political subdivision or agency thereof.

     “Pool Assets” has the meaning set forth in Section 1.2(d) of the Agreement.

     “Pool Receivable” means a Receivable in the Receivables Pool.

     “Portion of Investment” means, with respect to any Purchaser and its related
Investment, the portion of such Investment being funded or maintained by such Purchaser by
reference to a particular interest rate basis.

     “Program Support Agreement” means and includes any Liquidity Agreement and any other
agreement entered into by any Program Support Provider providing for: (a) the issuance of one or
more letters of credit for the account of any Conduit Purchaser, (b) the issuance of one or more
surety bonds for which the such Conduit Purchaser is obligated to reimburse the applicable Program
Support Provider for any drawings thereunder, (c) the sale by such Conduit Purchaser to any Program
Support Provider of the Purchased Interest (or portions thereof) maintained by such Conduit
Purchaser and/or (d) the making of loans and/or other extensions of credit to any Conduit Purchaser
in connection with such Conduit Purchaser’s securitization program contemplated in the Agreement,
together with any letter of credit, surety bond or other instrument issued thereunder (but
excluding any discretionary advance facility provided by the Administrator).

     “Program Support Provider” means and includes with respect to each Conduit Purchaser
any Liquidity Provider and any other Person (other than any customer of such Conduit Purchaser) now
or hereafter extending credit or having a commitment to extend credit to or for the account of, or
to make purchases from, such Conduit Purchaser pursuant to any Program Support Agreement.

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     “Purchase” is defined in Section 1.1(a).

     “Purchase and Sale Indemnified Amounts” has the meaning set forth in Section
9.1 of the Sale Agreement.

     “Purchase and Sale Indemnified Party” has the meaning set forth in Section 9.1
of the Sale Agreement.

     “Purchase and Sale Termination Date” has the meaning set forth in Section 1.4
of the Sale Agreement.

     “Purchase and Sale Termination Event” has the meaning set forth in Section 8.1
of the Sale Agreement.

     “Purchase Date” means the date of which a Purchase or a reinvestment is made pursuant
to the Agreement.

     “Purchase Facility” has the meaning set forth in Section 1.1 of the Sale
Agreement.

     “Purchase Limit” means, at any time, the aggregate of all Group Commitments (which, on
the Closing Date, shall be $400,000,000), as such amount may be reduced pursuant to Section
1.1(b) of the Agreement or increased pursuant to Section 1.11 of the Agreement;
provided, however, that at no time shall any such increase cause the Purchase Limit
to exceed $450,000,000. References to the unused portion of the Purchase Limit shall mean, at any
time, the Purchase Limit minus the then outstanding Aggregate Investment.

     “Purchase Price” has the meaning set forth in Section 2.1 of the Sale
Agreement.

     “Purchase Report” has the meaning set forth in Section 2.1 of the Sale
Agreement.

     “Purchased Interest” means, at any time, the undivided percentage ownership interest
in: (a) each and every Pool Receivable now existing or hereafter arising, (b) all Related Security
with respect to such Pool Receivables and (c) all Collections with respect to, and other proceeds
of, such Pool Receivables and Related Security. Such undivided percentage interest shall be
computed as:

	 	 	 	 	 
	 
	 	Aggregate Investment + Total Reserves

 

Net Receivables Pool Balance
	 	 

The Purchased Interest shall be determined from time to time pursuant to Section 1.3 of the
Agreement.

     “Purchaser” means each Conduit Purchaser and/or each Related Committed Purchaser, as
applicable.

     “Purchaser Agent” means each Person acting as agent on behalf of a Purchaser Group and
designated as a Purchaser Agent for such Purchaser Group on the signature pages to the

I-16

 

Agreement or any other Person who becomes a party to this Agreement as a Purchaser Agent pursuant
to an Assumption Agreement or a Transfer Supplement.

     “Purchaser Group” means, for each Conduit Purchaser, such Conduit Purchaser, its
Related Committed Purchasers (if any) and its related Purchaser Agent.

     “Purchaser Group Fee Letter” has the meaning set forth in Section 1.5 of the
Agreement.

     “Ratable Share” means, for each Purchaser Group, such Purchaser Group’s aggregate
Commitments divided by the aggregate Commitments of all Purchaser Groups.

     “Rating Agency Condition” means, with respect to any material event or occurrence,
receipt by the Administrator (or the applicable Purchaser Agent) of written confirmation from each
of Standard & Poor’s and Moody’s that such event or occurrence shall not cause the rating on the
then outstanding Notes of any applicable Purchaser to be downgraded or withdrawn.

     “Receivable” means any indebtedness and other obligations (other than Excluded
Receivables) owed to the Seller or any Originator by, or any right of the Seller or any Originator
to payment from or on behalf of, an Obligor, whether constituting an account, chattel paper,
instrument or general intangible, arising in connection with the sale of goods or the rendering of
services by an Originator (whether or not earned by performance), and includes the obligation to
pay any finance charges, fees and other charges with respect thereto. Indebtedness and other
obligations arising from any one transaction, including indebtedness and other obligations
represented by an individual invoice or agreement, shall constitute a Receivable separate from a
Receivable consisting of the indebtedness and other obligations arising from any other transaction.

     “Receivables Pool” means, at any time, all of the then outstanding Receivables
purchased by the Seller pursuant to the Sale Agreement prior to the Facility Termination Date.

     “Related Committed Purchaser” means each Person listed as such (and its respective
Commitment) for each Conduit Purchaser as set forth on the signature pages of the Agreement or in
any Assumption Agreement or Transfer Supplement.

     “Related Rights” has the meaning set forth in Section 1.1 of the Sale
Agreement.

     “Related Security” means, with respect to any Receivable:

     (a) all of the Seller’s and the Originator thereof’s interest in any goods (including
returned goods), and documentation of title evidencing the shipment or storage of any goods
(including returned goods), relating to any sale giving rise to such Receivable,

     (b) all instruments and chattel paper that may evidence such Receivable,

     (c) all other security interests or liens and property subject thereto from time to
time purporting to secure payment of such Receivable, whether pursuant to the Contract
related to such Receivable or otherwise, together with all UCC financing statements or
similar filings relating thereto, and

I-17

 

     (d) all of the Seller’s and the Originator thereof’s rights, interests and claims under
the Contracts and all guaranties, indemnities, insurance and other agreements (including the
related Contract) or arrangements of whatever character from time to time supporting or
securing payment of such Receivable or otherwise relating to such Receivable, whether
pursuant to the Contract related to such Receivable or otherwise.

     “Sale Agreement” means the Purchase and Sale Agreement, dated as of June 30, 1999,
among the Seller, the Originators and the Servicer as amended through the date of the Agreement and
as such agreement may be amended, amended and restated, supplemented or otherwise modified from
time to time.

     “Scheduled Commitment Termination Date” means with respect to any Related Committed
Purchaser, the date set forth as such below its name on Schedule VII to the Agreement or in
any Assumption Agreement or other document pursuant to which such Purchaser became a party hereto.

     “Seller” has the meaning set forth in the preamble to the Agreement.

     “Seller’s Share” of any amount means the greater of: (a) $0 and (b) such amount minus
the product of (i) such amount multiplied by (ii) the Purchased Interest.

     “Servicer” has the meaning set forth in the preamble to the Agreement.

     “Servicing Fee” shall mean the fee referred to in Section 4.6 of the
Agreement.

     “Servicing Fee Rate” means, at any time, 1.0%.

     “Settlement Date” means the 22nd day of each calendar month (or, if
such day is not a Business Day, the next occurring Business Day); provided,
however, if pursuant to Section 2(i)(iii) of Exhibit IV, the
Servicer is required to provide Information Packages on a more frequent than monthly basis,
then the “Settlement Date”, solely for purposes of amounts distributable in respect of
principal pursuant to Section 1.4 in the event the Purchased Interest exceeds 100%
at such time, shall (in addition to the monthly Settlement Date described above, in the
case of all other distributions) be the Wednesday of each calendar week (or if such day is
not a Business Day, the next occurring Business Day); provided further,
however, that, notwithstanding anything else in this definition to the contrary, on
and after the occurrence and continuation of any Termination Event, the Settlement Date
shall be the date selected as such by the Administrator (with the consent or at the
direction of the Majority Purchasers) from time to time (it being understood that
the Administrator (with the consent or at the direction of the Majority Purchasers) may
select such Settlement Date to occur as frequently as daily) or, in the absence of any such
selection, the date which would be the Settlement Date pursuant to this definition.

     “Simple Majority” means, at any time, Purchasers whose Commitments aggregate more than
50% of the aggregate of the Commitments of all Purchasers.

     “Solvent” means, with respect to any Person at any time, a condition under which:

I-18

 

     (i) the fair value and present fair saleable value of such Person’s total assets is, on
the date of determination, greater than such Person’s total liabilities (including
contingent and unliquidated liabilities) at such time;

     (ii) the fair value and present fair saleable value of such Person’s assets is greater
than the amount that will be required to pay such Person’s probable liability on its
existing debts as they become absolute and matured (“debts,” for this purpose,
includes all legal liabilities, whether matured or unmatured, liquidated or unliquidated,
absolute, fixed, or contingent);

     (iii) such Person is and shall continue to be able to pay all of its liabilities as
such liabilities mature; and

     (iv) such Person does not have unreasonably small capital with which to engage in its
current and in its anticipated business.

     For purposes of this definition:

     (A) the amount of a Person’s contingent or unliquidated liabilities at any time
shall be that amount which, in light of all the facts and circumstances then
existing, represents the amount which can reasonably be expected to become an actual
or matured liability;

     (B) the “fair value” of an asset shall be the amount which may be realized
within a reasonable time either through collection or sale of such asset at its
regular market value;

     (C) the “regular market value” of an asset shall be the amount which a capable
and diligent business person could obtain for such asset from an interested buyer
who is willing to Purchase such asset under ordinary selling conditions; and

     (D) the “present fair saleable value” of an asset means the amount which can be
obtained if such asset is sold with reasonable promptness in an arm’s-length
transaction in an existing and not theoretical market.

     “Special Obligor” means an Obligor (i) specifically approved in writing by the
Administrator and all of the Purchasers, (ii) that is set forth on Annex C to the Agreement and
(iii) that has a rating of at least “BBB-” by Standard & Poor’s on its corporate credit rating and
a rating of at least “Baa3” by Moody’s on its corporate credit rating.

     “Special Obligor Concentration Percentage” has the meaning set forth in the definition
of Concentration Percentage.

     “Standard & Poor’s” means Standard & Poor’s, a division of The McGraw-Hill Companies,
Inc.

I-19

 

     “Subsidiary” means, as to any Person, a corporation, partnership, limited liability
company or other entity of which shares of stock of each class or other interests having ordinary
voting power (other than stock or other interests having such power only by reason of the happening
of a contingency) to elect a majority of the Board of Directors or other managers of such entity
are at the time owned, or management of which is otherwise controlled: (a) by such Person, (b) by
one or more Subsidiaries of such Person or (c) by such Person and one or more Subsidiaries of such
Person.

     “Tangible Net Worth” means, with respect to any Person, the tangible net worth of such
Person as determined in accordance with GAAP.

     “Termination Day” means: (a) each day on which the conditions set forth in
Section 2 of Exhibit II to the Agreement are not satisfied or (b) each day that
occurs on or after the Facility Termination Date.

     “Termination Event” has the meaning specified in Exhibit V to the Agreement.

     “Termination Fee” means, for any Yield Period, with respect to any Purchaser, the
amount, if any, by which: (a) the additional Discount related to such Purchaser’s Investment
(calculated without taking into account any Termination Fee or any shortened duration of such Yield
Period) that would have accrued during such Yield Period on the reductions of Investment relating
to such Yield Period had such reductions not been made, exceeds (b) the income, if any, received by
such Purchaser from investing the proceeds of such reductions of Investment, as determined by the
such Purchaser’s Purchaser Agent, which determination shall be binding and conclusive for all
purposes, absent manifest error.

     “Total Reserves” means, at any time the sum of: (a) the Loss Reserve, plus (b) the
Dilution Reserve, plus (c) the Yield Reserve.

     “Transaction Documents” means the Agreement, the Lock-Box Agreements, each Purchaser
Group Fee Letter, the Sale Agreement, the Intercreditor Agreement and all other certificates,
instruments, UCC financing statements, reports, notices, agreements and documents executed or
delivered under or in connection with the Agreement or such other agreement, in each case as the
same may be amended, supplemented or otherwise modified from time to time in accordance with the
Agreement.

     “Transfer Supplement” has the respective meanings set forth in Sections 6.3(c)
and 6.3(e).

     “UCC” means the Uniform Commercial Code as from time to time in effect in the
applicable jurisdiction.

     “Unmatured Purchase and Sale Termination Event” means any event which, with the giving
of notice or lapse of time, or both, would become a Purchase and Sale Termination Event.

     “Unmatured Termination Event” means an event that, with the giving of notice or lapse
of time, or both, would constitute a Termination Event.

I-20

 

     “VFCC” means Variable Funding Capital Company LLC.

     “Wachovia” means Wachovia Bank, National Association.

     “WESCO” has the meaning set forth in the preamble to the Agreement.

     “Yield Period” means, with respect to each Portion of Investment: (a) before the
Facility Termination Date: (i) initially the period commencing on the date of the initial Purchase
pursuant to Section 1.2 of the Agreement (or in the case of any fees payable hereunder,
commencing on the Closing Date) and ending on (but not including) the next Settlement Date, and
(ii) thereafter, each period commencing on such Settlement Date and ending on (but not including)
the next Settlement Date, and (b) on and after the Facility Termination Date: such period
(including a period of one day) as shall be selected from time to time by the Administrator or, in
the absence of any such selection, each period of 30 days from the last day of the preceding Yield
Period.

     “Yield Rate” for any Yield Period for any Portion of Investment of the Purchased
Interest with respect to any Purchaser, means: (a) an interest rate per annum equal
to, at such Purchaser’s option: (x) the Applicable Margin relating to such Purchaser above the
Euro-Rate for such Yield Period, or (y) the Base Rate for such Yield Period; provided,
however, that in the case of:

     (i) any Yield Period on or before the first day of which the such Purchaser’s Purchaser
Agent shall have been notified by any Purchaser or other Program Support Provider that the
introduction of or any change in or in the interpretation of any law or regulation makes it
unlawful, or any central bank or other Governmental Authority asserts that it is unlawful,
for such Person, to fund any Euro-Rate Portion of Investment (and such Person shall not have
subsequently notified the such Purchaser Agent that such circumstances no longer exist),

     (ii) any Yield Period of one to (and including) 29 days,

     (iii) any Yield Period as to which the such Purchaser’s Purchaser Agent does not
receive notice before noon (New York City time) on the third Business Day preceding the
first day of such Yield Period that the Seller desires that the related Portion of
Investment be a Euro-Rate Portion of Investment, or

     (iv) any Yield Period relating to a Portion of Investment with respect to such
Purchaser that is less than $1,000,000,

the “Yield Rate” for each such Yield Period shall be an interest rate per annum equal to the Base
Rate in effect on each day of such Yield Period or (b) such other rate set forth as the “Yield
Rate” for such Purchaser in its Purchaser Group Fee Letter or any other document pursuant to which
it became a party hereto. The “Yield Rate” for any day while a Termination Event or an Unmatured
Termination Event exists shall be an interest rate per annum equal to the greater of: (i) 3.00% per
annum above the applicable Base Rate in effect on such day and (ii) the interest rate determined on
such day pursuant to clause (a) above.

     “Yield Reserve” means, on any date, an amount equal to: (a) the aggregate of the
portions of the Investments of all Purchasers set forth in paragraph (a) of the definition
thereof at the

I-21

 

close of business of the Servicer on such date, multiplied by (b) (i) the
Yield Reserve Percentage on such date, divided by (ii) 100% minus the Yield Reserve
Percentage on such date.

     “Yield Reserve Percentage” means, on any date, the product of (a) 1.5,
multiplied by (b) the sum of (i) the Base Rate with respect to the most recent
Yield Period and (ii) the Servicing Fee Rate, multiplied by (c) a fraction (i) the
numerator of which is the highest Days’ Sales Outstanding for the twelve most recent calendar
months and (ii) the denominator of which is 360.

     Other Terms. All accounting terms not specifically defined herein shall be construed
in accordance with generally accepted accounting principles. All terms used in Article 9 of the UCC
in the State of New York, and not specifically defined herein, are used herein as defined in such
Article 9. Unless the context otherwise requires, “or” means “and/or,” and “including” (and with
correlative meaning “include” and “includes”) means including without limiting the generality of
any description preceding such term.

I-22

 

EXHIBIT II

CONDITIONS PRECEDENT

     1. Conditions Precedent to Initial Purchase. The effectiveness of this Agreement is
subject to the conditions precedent that the Administrator and each Purchaser Agent shall have
received the following items, each in form and substance (including the date thereof) satisfactory
to the Administrator and each such Purchaser Agent:

     (a) One or more counterparts of the Agreement and each other Transaction Document (including
all amendments, modifications and supplements thereto executed on or prior to the Closing Date), in
each case executed by each of the parties thereto.

     (b) Certified copies of: (i) the resolutions of the Board of Directors of each of the Seller,
the Originators and WESCO authorizing the execution, delivery and performance by the Seller, such
Originator and WESCO, as the case may be, of the Agreement and the other Transaction Documents to
which it is a party; (ii) all documents evidencing other necessary corporate action and
governmental approvals, if any, with respect to the Agreement and the other Transaction Documents
and (iii) the certificate of incorporation and by-laws of the Seller, each Originator and WESCO.

     (c) A certificate of the Secretary or Assistant Secretary of the Seller, the Originators and
WESCO certifying the names and true signatures of its officers who are authorized to sign the
Agreement and the other Transaction Documents. Until the Administrator and each Purchaser Agent
receives a subsequent incumbency certificate from the Seller, an Originator or WESCO, as the case
may be, the Administrator and each Purchaser Agent shall be entitled to rely on the last such
certificate delivered to it by the Seller, such Originator or WESCO, as the case may be.

     (d) Acknowledgment copies, or time stamped receipt copies, of proper financing statements
(and/or amendments to, or assignments of, the financing statements filed in connection with the
Original Agreement), duly filed on or before the date hereof under the UCC of all jurisdictions
that the Administrator or any Purchaser Agent may deem necessary or desirable in order to perfect
the interests of the Seller and the Administrator (on behalf of each Purchaser) contemplated by the
Agreement and the Sale Agreement.

     (e) One or more counterparts of the sixth amendment to the Sale Agreement, dated as of the
Closing Date, executed by each of the parties thereto.

     (f) Completed UCC search reports, dated on or shortly before the date hereof, listing the
financing statements filed in all applicable UCC jurisdictions that name the Originators or the
Seller as debtor, together with copies of such other financing statements, and similar search
reports with respect to judgment liens, federal tax liens and liens of the Pension Benefit Guaranty
Corporation in such jurisdictions, as the Administrator or any Purchaser Agent may request, showing
no Adverse Claims on any Pool Assets.

II-1

 

     (g) Copies of any applicable amendments to the existing Lock-Box Agreements reasonably
requested by the Administrator or any Purchaser Agent to evidence the transfer of administrative
functions hereunder and thereunder from Wachovia Capital Markets, LLC to PNC Bank, National
Association.

     (h) Favorable opinions (including any applicable bring-down opinions), in form and substance
reasonably satisfactory to the Administrator and each Purchaser Agent, of (i) K&L Gates LLP,
counsel for Seller, Servicer and the Originators, as to certain bankruptcy, UCC and/or general
corporate and enforceability matters, (ii) Robinson & Cole LLP, special Connecticut counsel to
Communications Supply Corporation, as to certain general corporate and enforceability matters and
(iii) Friday Eldridge & Clark, LLP, special Arkansas counsel to Carlton-Bates Company, as to
certain general corporate and enforceability matters, in each case as the Administrator or any
Purchaser Agent may reasonably request.

     (i) [Reserved].

     (j) [Reserved].

     (k) Evidence of payment by the Seller of all accrued and unpaid fees (including those
contemplated by each Purchaser Group Fee Letter), costs and expenses to the extent then due and
payable on the date thereof, including any such costs, fees and expenses arising under or
referenced in Section 6.4 of the Agreement and the Fee Letter.

     (l) Each applicable Purchaser Group Fee Letter and/or any amendments thereto or amendments and
restatements thereof (received only by the related Purchaser Group Agent) duly executed by the
Seller and the Servicer.

     (m) Good standing certificates with respect to each of the Seller, the Originators and the
Servicer issued by the Secretary of State (or similar official) of the state of each such Person’s
organization and principal place of business.

     (n) To the extent required by each Conduit Purchaser’s commercial paper program, letters from
each of the rating agencies then rating the Notes confirming the rating of such Notes after giving
effect to the transaction contemplated by the Agreement.

     (o) Such other approvals, opinions or documents as the Administrator or any Purchaser Agent
may reasonably request.

     (p) Evidence in form and substance satisfactory to the Administrator and each Purchaser Agent
that the aggregate outstanding Investment, Discount and all fees and other amounts payable to all
applicable Purchasers in the Purchaser Group which includes General Electric Capital Corporation
have been finally paid in full.

     2. Conditions Precedent to All Purchases and Reinvestments. Each Purchase (including
the initial Purchase) and each reinvestment shall be subject to the further conditions precedent
that:

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     (a) in the case of each purchase, the Servicer shall have delivered to the Administrator and
each Purchaser Agent on or before such purchase, in form and substance satisfactory to the
Administrator and such Purchaser Agent, a completed pro forma Information Package to reflect the
level of Investment with respect to each Purchaser Group and related reserves after such subsequent
purchase; and

     (b) on the date of such purchase or reinvestment the following statements shall be true (and
acceptance of the proceeds of such purchase or reinvestment shall be deemed a representation and
warranty by the Seller that such statements are then true):

     (i) the representations and warranties contained in Exhibit III to the Agreement are
true and correct in all material respects on and as of the date of such purchase or reinvestment as
though made on and as of such date;

     (ii) no event has occurred and is continuing, or would result from such purchase or
reinvestment, that constitutes a Termination Event or an Unmatured Termination Event; and

     (iii) the Aggregate Investment shall not exceed the Purchase Limit, and the Purchased Interest
shall not exceed 100%.

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EXHIBIT III

REPRESENTATIONS AND WARRANTIES

     1. Representations and Warranties of the Seller. The Seller represents and warrants as
follows:

     (a) The Seller is a corporation duly incorporated, validly existing and in good standing under
the laws of the State of Delaware, and is duly qualified to do business and is in good standing as
a foreign corporation in every jurisdiction where the nature of its business requires it to be so
qualified, except where the failure to be so qualified would not have a Material Adverse Effect.

     (b) The execution, delivery and performance by the Seller of the Agreement and the other
Transaction Documents to which it is a party, including its use of the proceeds of purchases and
reinvestments: (i) are within its corporate powers; (ii) have been duly authorized by all necessary
corporate action; (iii) do not contravene or result in a default under or conflict with: (A) its
charter or by-laws, (B) any law, rule or regulation applicable to it, (C) any indenture, loan
agreement, mortgage, deed of trust or other material agreement or instrument to which it is a party
or by which it is bound, or (D) any order, writ, judgment, award, injunction or decree binding on
or affecting it or any of its property; and (iv) do not result in or require the creation of any
Adverse Claim upon or with respect to any of its properties. The Agreement and the other
Transaction Documents to which it is a party have been duly executed and delivered by the Seller.

     (c) No authorization, approval or other action by, and no notice to or filing with, any
Governmental Authority or other Person is required for its due execution, delivery and performance
by the Seller of the Agreement or any other Transaction Document to which it is a party, other than
the Uniform Commercial Code filings referred to in Exhibit II to the Agreement, all of
which shall have been filed on or before the date of the first purchase hereunder.

     (d) Each of the Agreement and the other Transaction Documents to which the Seller is a party
constitutes its legal, valid and binding obligation of the Seller enforceable against the Seller in
accordance with its terms, except as enforceability may be limited by bankruptcy, insolvency,
reorganization or other similar laws from time to time in effect affecting the enforcement of
creditors’ rights generally and by general principles of equity, regardless of whether such
enforceability is considered in a proceeding in equity or at law.

     (e) There is no pending or, to Seller’s best knowledge, threatened action or proceeding
affecting Seller or any of its properties before any Governmental Authority or arbitrator.

     (f) No proceeds of any purchase or reinvestment will be used to acquire any equity security of
a class that is registered pursuant to Section 12 of the Securities Exchange Act of 1934.

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     (g) The Seller is the legal and beneficial owner of the Pool Receivables and Related Security,
free and clear of any Adverse Claim. Upon each purchase or reinvestment, Administrator (for the
benefit of each Purchaser) shall acquire a valid and enforceable perfected undivided percentage
ownership or security interest, to the extent of the Purchased Interest, in each Pool Receivable
then existing or thereafter arising and in the Related Security, Collections and other proceeds
with respect thereto, free and clear of any Adverse Claim. The Agreement creates a security
interest in favor of the Administrator (for the benefit of each Purchaser) in the Pool Assets, and
the Administrator (for the benefit of each Purchaser) has a first priority perfected security
interest in the Pool Assets, free and clear of any Adverse Claims. No effective financing statement
or other instrument similar in effect covering any Pool Asset is on file in any recording office,
except those filed in favor of the Seller pursuant to the Sale Agreement and the Administrator (for
the benefit of each Purchaser) relating to the Agreement, or in respect of which the Administrator
has received evidence satisfactory to the Administrator of acknowledgment copies, or time-stamped
receipt copies, of proper financing statements releasing or terminating, as applicable, all
security interests and other rights of any Person in such Pool Asset.

     (h) Each Information Package (if prepared by the Seller or one of its Affiliates, or to the
extent that information contained therein is supplied by the Seller or an Affiliate), information,
exhibit, financial statement, document, book, record or report furnished or to be furnished at any
time by or on behalf of the Seller to the Administrator or any Purchaser Agent in connection with
the Agreement or any other Transaction Document to which it is a party is or will be complete and
accurate in all material respects as of its date or as of the date so furnished, and does not and
will not contain any material misstatement of fact or omit to state a material fact or any fact
necessary to make the statements contained therein not misleading.

     (i) The Seller’s (x) principal place of business and chief executive office and the office
where it keeps its records concerning the Receivables and (y) “location” (as such term is used in
the UCC), are, in each case, located at the addresses referred to in Sections 1(b) and
2(b) of Exhibit IV to the Agreement.

     (j) The names and addresses of all the Lock-Box Banks, together with the account numbers of
the Lock-Box Accounts at such Lock-Box Banks, are specified in Schedule II to the Agreement (or at
such other Lock-Box Banks and/or with such other Lock-Box Accounts as have been notified to the
Administrator in accordance with the Agreement) and all Lock-Box Accounts are subject to Lock-Box
Agreements (except as otherwise agreed to in writing by the Administrator). Seller has not granted
to any Person, other than the Administrator as contemplated by the Agreement, dominion and control
of any Lock-Box Account, or the right to take dominion and control of any such account at a future
time or upon the occurrence of a future event.

     (k) The Seller is not in violation of any order of any court, arbitrator or Governmental
Authority.

     (l) Neither the Seller nor any of its Affiliates has any direct or indirect ownership or other
financial interest in any Purchaser.

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     (m) No proceeds of any purchase or reinvestment will be used for any purpose that violates any
applicable law, rule or regulation, including Regulations T, U or X of the Federal Reserve Board.

     (n) Each Pool Receivable included as an Eligible Receivable in the calculation of the Net
Receivables Pool Balance is an Eligible Receivable.

     (o) No event has occurred and is continuing that constitutes a Termination Event or an
Unmatured Termination Event and no event would result from a purchase in respect of, or
reinvestment in respect of, the Purchased Interest or from the application of the proceeds
therefrom that constitutes a Termination Event or an Unmatured Termination Event.

     (p) The Seller has accounted for each sale of undivided percentage ownership interests in
Receivables in its books and financial statements as sales, consistent with generally accepted
accounting principles.

     (q) The Seller has complied in all material respects with the Credit and Collection Policy of
each Originator with regard to each Receivable originated by such Originator.

     (r) The Seller has complied in all material respects with all of the terms, covenants and
agreements contained in the Agreement and the other Transaction Documents that are applicable to it
and all laws, rules, regulations and orders that are applicable to it.

     (s) The Seller’s complete corporate name is set forth in the preamble to the Agreement, and it
does not use and has not during the last five years used any other corporate name, trade name,
doing-business name or fictitious name, except as set forth on Schedule III to the Agreement and
except for names first used after the date of the Agreement and set forth in a notice delivered to
the Administrator pursuant to Section 1(k)(iv) of Exhibit IV to the Agreement.

     (t) The Seller is not an “investment company,” or a company “controlled” by an “investment
company” within the meaning of the Investment Company Act of 1940, as amended.

     (u) [Reserved].

     (v) With respect to each Receivable transferred to the Seller under the Sale Agreement, Seller
has given reasonably equivalent value to the Originator thereof in consideration therefor and such
transfer was not made for or on account of an antecedent debt. No transfer by any Originator of any
Receivable under the Sale Agreement is or may be voidable under any Section of the Bankruptcy Code.

     (w) Each Contract with respect to each Receivable is effective to create, and has created, a
legal, valid and binding obligation of the related Obligor to pay the Outstanding Balance of the
Receivable created thereunder and any accrued interest thereon, enforceable against the Obligor in
accordance with its terms, except as such enforcement may be limited by applicable bankruptcy,
insolvency, reorganization or other similar laws relating to or limiting

III-3

 

creditors’ rights generally and by general principles of equity (regardless of whether
enforcement is sought in a proceeding in equity or at law).

     (x) Since its most recent fiscal year end, there has been no change in the business,
operations, financial condition, properties or assets of the Seller which would have a Material
Adverse Effect on its ability to perform its obligations under the Agreement or any other
Transaction Document to which it is a party or materially and adversely affect the transactions
contemplated under the Agreement or such other Transaction Documents.

     2. Representations and Warranties of WESCO (including in its capacity as the
Servicer). WESCO, individually and in its capacity as the Servicer, represents and warrants as
follows:

     (a) WESCO is a corporation duly incorporated, validly existing and in good standing under the
laws of the State of Delaware, and is duly qualified to do business and is in good standing as a
foreign corporation in every jurisdiction where the nature of its business requires it to be so
qualified, except where the failure to be so qualified would not have a Material Adverse Effect.

     (b) The execution, delivery and performance by WESCO of the Agreement and the other
Transaction Documents to which it is a party, including the Servicer’s use of the proceeds of
purchases and reinvestments: (i) are within its corporate powers; (ii) have been duly authorized by
all necessary corporate action; (iii) do not contravene or result in a default under or conflict
with: (A) its charter or by-laws, (B) any law, rule or regulation applicable to it, (C) any
indenture, loan agreement, mortgage, deed of trust or other material agreement or instrument to
which it is a party or by which it is bound, or (D) any order, writ, judgment, award, injunction or
decree binding on or affecting it or any of its property; and (iv) do not result in or require the
creation of any Adverse Claim upon or with respect to any of its properties. The Agreement and the
other Transaction Documents to which WESCO is a party have been duly executed and delivered by
WESCO.

     (c) No authorization, approval or other action by, and no notice to or filing with any
Governmental Authority or other Person, is required for the due execution, delivery and performance
by WESCO of the Agreement or any other Transaction Document to which it is a party.

     (d) Each of the Agreement and the other Transaction Documents to which WESCO is a party
constitutes the legal, valid and binding obligation of WESCO enforceable against WESCO in
accordance with its terms, except as enforceability may be limited by bankruptcy, insolvency,
reorganization or other similar laws from time to time in effect affecting the enforcement of
creditors’ rights generally and by general principles of equity, regardless of whether such
enforceability is considered in a proceeding in equity or at law.

     (e) The balance sheets of Holdings and its consolidated Subsidiaries as at December 31, 2008,
and the related statements of income and retained earnings for the fiscal year then ended, copies
of which have been furnished to the Administrator and each Purchaser Agent, fairly present the
financial condition of Holdings and its consolidated Subsidiaries as at such date and the results
of the operations of Holdings and its Subsidiaries for the period ended on such

III-4

 

date, all in accordance with generally accepted accounting principles consistently applied,
and since December 31, 2008 there has been no event or circumstances which have had a Material
Adverse Effect.

     (f) Except as disclosed in the most recent audited financial statements of Holdings and its
consolidated Subsidiaries furnished to the Administrator and each Purchaser Agent, there is no
pending or, to its best knowledge, threatened action or proceeding affecting it or any of its
Subsidiaries before any Governmental Authority or arbitrator that could have a Material Adverse
Effect.

     (g) No proceeds of any purchase or reinvestment will be used to acquire any equity security of
a class that is registered pursuant to Section 12 of the Securities Exchange Act of 1934.

     (h) Each Information Package (if prepared by WESCO or one of its Affiliates, or to the extent
that information contained therein is supplied by WESCO or an Affiliate), information, exhibit,
financial statement, document, book, record or report furnished or to be furnished at any time by
or on behalf of the Servicer to the Administrator, any Purchaser or any Purchaser Agent in
connection with the Agreement is or will be complete and accurate in all material respects as of
its date or as of the date so furnished and does not and will not contain any material misstatement
of fact or omit to state a material fact or any fact necessary to make the statements contained
therein not misleading.

     (i) The office where WESCO keeps its records concerning the Receivables are located at the
address referred to in Section 2(b) of Exhibit IV to the Agreement.

     (j) WESCO is not in violation of any order of any court, arbitrator or Governmental Authority,
which could have a Material Adverse Effect.

     (k) Neither WESCO nor any of its Affiliates has any direct or indirect ownership or other
financial interest in any Purchaser.

     (l) The Servicer has complied in all material respects with the Credit and Collection Policy
of each Originator with regard to each Receivable originated by such Originator.

     (m) WESCO has complied in all material respects with all of the terms, covenants and
agreements contained in the Agreement and the other Transaction Documents that are applicable to
it.

     (n) WESCO is not an “investment company” or a company “controlled” by an “investment company”
within the meaning of the Investment Company Act of 1940, as amended.

     (o) [Reserved].

     (p) Since its most recent fiscal year end, there has been no change in the business,
operations, financial condition, properties or assets of the Servicer which would have a Material
Adverse Effect on its ability to perform its obligations under the Agreement or any other

III-5

 

Transaction Document to which it is a party or materially and adversely affect the
transactions contemplated under the Agreement or such other Transaction Documents.

     (q) No license or approval is required for the Administrator or any successor Servicer to use
any program used by the Servicer in the servicing of the Receivables.

     3. Ordinary Course of Business. Each of the Seller and the Purchasers represents and
warrants, as to itself, that each remittance of Collections by or on behalf of the Seller to the
Purchasers under this Agreement will have been (i) in payment of a debt incurred by the Seller in
the ordinary course of business or financial affairs of the Seller and the Purchasers and (ii) made
in the ordinary course of business or financial affairs of the Seller and the Purchasers.

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EXHIBIT IV

COVENANTS

     1. Covenants of the Seller. Until the latest of the Facility Termination Date, the
date on which no Investment of or Discount in respect of the Purchased Interest shall be
outstanding or the date all other amounts owed by the Seller under the Agreement to any Purchaser,
Purchaser Agent, the Administrator and any other Indemnified Party or Affected Person shall be paid
in full:

     (a) Compliance with Laws, Etc. The Seller shall comply with all applicable laws,
rules, regulations and orders, and preserve and maintain its corporate existence, rights,
franchises, qualifications and privileges, except to the extent that the failure so to comply with
such laws, rules and regulations or the failure so to preserve and maintain such rights,
franchises, qualifications and privileges would not have a Material Adverse Effect.

     (b) Offices, Records and Books of Account, Etc. The Seller: (i) shall keep its
principal place of business, chief executive office and “location” (as such term is used in the
UCC) and the office where it keeps its records concerning the Receivables at the addresses and
locations of the Seller set forth under its name on Schedule IV to the Agreement or,
pursuant to clause (k)(iv) below, at any other locations in jurisdictions where all actions
reasonably requested by the Administrator to protect and perfect the interest of the Administrator
(for the benefit of the Purchasers) in the Receivables and related items (including the Pool
Assets) have been taken and completed and (ii) shall provide the Administrator with at least 30
days’ written notice before making any change in the Seller’s name or making any other change in
the Seller’s identity or corporate structure (including a Change in Control) that could render any
UCC financing statement filed in connection with this Agreement “seriously misleading” as such term
(or similar term) is used in the UCC; each notice to the Administrator pursuant to this sentence
shall set forth the applicable change and the effective date thereof. The Seller also will maintain
and implement (or cause the Servicer to maintain and implement) administrative and operating
procedures (including an ability to recreate records evidencing Receivables and related Contracts
in the event of the destruction of the originals thereof), and keep and maintain (or cause the
Servicer to keep and maintain) all documents, books, records, computer tapes and disks and other
information reasonably necessary or advisable for the collection of all Receivables (including
records adequate to permit the daily identification of each Receivable and all Collections of and
adjustments to each existing Receivable). The Seller will (and will cause each Originator to) on
or prior to the date of the Agreement, mark its master data processing records and other books and
records relating to the Purchased Interest (and at all times thereafter (until the latest of the
Facility Termination Date or the date all other amounts owed by the Seller under the Agreement
shall be paid in full) continue to maintain such records) with a legend, acceptable to the
Administrator, describing the Purchased Interest.

     (c) Performance and Compliance with Contracts and Credit and Collection Policy. The
Seller shall (and shall cause the Servicer to), at its expense, timely and fully perform and comply
with all material provisions, covenants and other promises required to be observed by it under the
Contracts related to the Receivables, and timely and fully comply in all material

IV-1

 

respects with the applicable Credit and Collection Policies with regard to each Receivable and
the related Contract.

     (d) Ownership Interest, Etc. The Seller shall (and shall cause the Servicer to), at
its expense, take all action necessary or desirable to establish and maintain a valid and
enforceable undivided percentage ownership or security interest, to the extent of the Purchased
Interest, in the Pool Receivables, the Related Security and Collections with respect thereto, and a
first priority perfected security interest in the Pool Assets, in each case free and clear of any
Adverse Claim, in favor of the Administrator (for the benefit of the Purchasers), including taking
such action to perfect, protect or more fully evidence the interest of the Administrator (for the
benefit of the Purchasers) as the Administrator, may reasonably request.

     (e) Sales, Liens, Etc. The Seller shall not sell, assign (by operation of law or
otherwise) or otherwise dispose of, or create or suffer to exist any Adverse Claim upon or with
respect to, any or all of its right, title or interest in, to or under any Pool Assets (including
the Seller’s undivided interest in any Receivable, Related Security or Collections, or upon or with
respect to any account to which any Collections of any Receivables are sent), or assign any right
to receive income in respect of any items contemplated by this paragraph.

     (f) Extension or Amendment of Receivables. Except as provided in the Agreement, the
Seller shall not, and shall not permit the Servicer to, extend the maturity or adjust the
Outstanding Balance or otherwise modify the terms of any Pool Receivable, or amend, modify or waive
any term or condition of any related Contract.

     (g) Change in Business or Credit and Collection Policy. The Seller shall not make (or
permit any Originator to make) any change in the character of its business or in any Credit and
Collection Policy, or any change in any Credit and Collection Policy that would have a Material
Adverse Effect with respect to the Receivables. The Seller shall not make (or permit any Originator
to make) any other change in any Credit and Collection Policy without giving prior written notice
thereof to the Administrator and each Purchaser Agent.

     (h) Audits. The Seller shall (and shall cause each Originator to), from time to time
during regular business hours, but no more frequently than annually unless (w) a Termination Event
or Unmatured Termination Event has occurred and is continuing, (x) WESCO or Holdings ceases to have
a rating of at least “B-” by Standard and Poor’s on its respective corporate credit rating, (y)
Holdings’ Available Liquidity fails to exceed $100,000,000 or (z) in the opinion of the
Administrator (with the consent or at the direction of any of the Purchasers) reasonable grounds
for insecurity exist with respect to the collectibility of a material portion of the Pool
Receivables or with respect to the Seller’s performance or ability to perform in any material
respect its obligations under the Agreement, as reasonably requested in advance (unless a
Termination Event or Unmatured Termination Event exists) by the Administrator, permit the
Administrator, or its agents or representatives, at the Seller’s expense: (i) to examine and make
copies of and abstracts from all books, records and documents (including computer tapes and disks)
in the possession or under the control of the Seller (or any such Originator) relating to
Receivables and the Related Security, including the related Contracts, and (ii) to visit the
offices and properties of the Seller and the Originators for the purpose of examining such
materials described in clause (i) above, and to discuss matters relating to Receivables and
the Related Security or the Seller’s,

IV-2

 

WESCO’s or the Originators’ performance under the Transaction Documents or under the Contracts
with any of the officers, employees, agents or contractors of the Seller, WESCO or the Originators
having knowledge of such matters.

     (i) Change in Lock-Box Banks, Lock-Box Accounts and Payment Instructions to Obligors.
The Seller shall not, and shall not permit the Servicer or any Originator to, add or terminate any
bank as a Lock-Box Bank or any account as a Lock-Box Account from those listed in Schedule II to
the Agreement, or make any change in its instructions to Obligors regarding payments to be made to
the Seller, the Originators, the Servicer or any Lock-Box Account (or related post office box),
unless the Administrator shall have consented thereto in writing and the Administrator shall have
received copies of all agreements and documents (including Lock-Box Agreements) that it may request
in connection therewith.

     (j) Deposits to Lock-Box Accounts. The Seller shall (or shall cause the Servicer to):
(i) instruct all Obligors to make payments of all Receivables to one or more Lock-Box Accounts or
to post office boxes to which only Lock-Box Banks have access (and shall instruct the Lock-Box
Banks to cause all items and amounts relating to such Receivables received in such post office
boxes to be removed and deposited into a Lock-Box Account on a daily basis), and (ii) deposit, or
cause to be deposited, any Collections received by it, the Servicer or any Originator into Lock-Box
Accounts not later than one Business Day after receipt thereof. Except as otherwise agreed to in
writing by the Administrator and the Majority Purchasers, each Lock-Box Account shall at all times
be subject to a Lock-Box Agreement. The Seller will not (and will not permit the Servicer to)
deposit or otherwise credit, or cause or permit to be so deposited or credited, to any Lock-Box
Account cash or cash proceeds other than Collections.

     (k) Reporting Requirements. The Seller will provide to the Administrator (in multiple
copies, if requested by the Administrator) and each Purchaser Agent the following:

     (i) as soon as available and in any event within 90 days after the end of each fiscal
year of the Seller, a copy of the annual report for such year for the Seller, containing
unaudited financial statements for such year certified as to accuracy by the chief financial
officer or treasurer of the Seller;

     (ii) as soon as possible and in any event within five days after the occurrence of each
Termination Event or Unmatured Termination Event, a statement of the chief financial officer
of the Seller setting forth details of such Termination Event or Unmatured Termination Event
and the action that the Seller has taken and proposes to take with respect thereto;

     (iii) promptly after the filing or receiving thereof, copies of all reports and notices
that the Seller or any Affiliate files under ERISA with the Internal Revenue Service, the
Pension Benefit Guaranty Corporation or the U.S. Department of Labor or that the Seller or
any Affiliate receives from any of the foregoing or from any multiemployer plan (within the
meaning of Section 4001(a)(3) of ERISA) to which the Seller or any of its Affiliates is or
was, within the preceding five years, a contributing employer, in each case in respect of
the assessment of withdrawal liability or an event or

IV-3

 

condition that could, in the aggregate, result in the imposition of liability on the
Seller and/or any such Affiliate;

     (iv) at least thirty days before any change in the Seller’s name or any other change
requiring the amendment of UCC financing statements, a notice setting forth such changes and
the effective date thereof;

     (v) promptly after the Seller obtains knowledge thereof, notice of any: (A) material
litigation, investigation or proceeding that may exist at any time between the Seller and
any Person or (B) material litigation or proceeding relating to any Transaction Document;

     (vi) promptly after the occurrence thereof, notice of a material adverse change in the
business, operations, property or financial or other condition of the Seller, the Servicer
or any Originator; and

     (vii) such other information respecting the Receivables or the condition or operations,
financial or otherwise, of the Seller or any of its Affiliates as the Administrator or any
Purchaser Agent may from time to time reasonably request.

     (l) Certain Agreements. Without the prior written consent of the Administrator and the
Majority Purchasers, the Seller will not (and will not permit any Originator to) amend, modify,
waive, revoke or terminate any Transaction Document to which it is a party or any provision of
Seller’s certificate of incorporation or by-laws.

     (m) Restricted Payments. (i) Except pursuant to clause (ii) below, the Seller
will not: (A) purchase or redeem any shares of its capital stock, (B) declare or pay any dividend
or set aside any funds for any such purpose, (C) prepay, purchase or redeem any Debt, (D) lend or
advance any funds or (E) repay any loans or advances to, for or from any of its Affiliates (the
amounts described in clauses (A) through (E) being referred to as “Restricted
Payments”).

     (ii) Subject to the limitation set forth in clause (iii) below, the Seller may make
Restricted Payments so long as such Restricted Payments are made only in one or more of the
following ways: (A) the Seller may make cash payments (including prepayments) of the
Company Note in accordance with its terms, and (B) the Seller may declare and pay dividends.

     (iii) The Seller may make Restricted Payments only out of the funds it receives
pursuant to Sections 1.4(b)(ii) and (iv) of the Agreement. Furthermore, the
Seller shall not pay, make or declare: (A) any dividend if, after giving effect thereto, the
Seller’s tangible net worth would be less than $50,000,000 or (B) any Restricted Payment
(including any dividend) if, after giving effect thereto, any Termination Event or Unmatured
Termination Event shall have occurred and be continuing.

     (n) Other Business. The Seller will not: (i) engage in any business other than the
transactions contemplated by the Transaction Documents; (ii) create, incur or permit to exist any
Debt of any kind (or cause or permit to be issued for its account any letters of credit or bankers’
acceptances) other than pursuant to this Agreement or the Company Note; or (iii) form any

IV-4

 

Subsidiary or make any investments in any other Person; provided, however,
that the Seller shall be permitted to incur minimal obligations to the extent necessary for the
day-to-day operations of the Seller (such as expenses for stationery, audits, maintenance of legal
status, etc.).

     (o) Use of Seller’s Share of Collections. The Seller shall apply the Seller’s Share of
Collections to make payments in the following order of priority: (i) the payment of its expenses
(including all obligations payable to the Purchaser Groups and the Administrator under the
Agreement and under each Purchaser Group Fee Letter); (ii) the payment of accrued and unpaid
interest on the Company Note; and (iii) other legal and valid corporate purposes.

     (p) Tangible Net Worth. The Seller will not permit its tangible net worth, at any
time, to be less than $50,000,000.

     (q) Exclusion of Credit Memos. As soon as possible, the Seller shall (and shall cause
each Originator and the Servicer to) remove credit memos from any aging schedules contained in or
used to calculate the information set forth in each Information Package delivered pursuant to
Section 2(i)(iii) of Exhibit IV to the Agreement.

     (r) Calculation of the Purchased Interest. The Seller shall calculate the Purchased
Interest on a daily basis and, if requested, provide the results of such calculation to the
Administrator, any Purchaser Agent, Moody’s or Standard & Poor’s, as applicable.

     2. Covenants of the Servicer and WESCO. Until the latest of the Facility Termination
Date, the date on which no Investment of or Discount in respect of the Purchased Interest shall be
outstanding or the date all other amounts owed by the Seller under the Agreement to the Purchaser
Agents, the Purchasers, the Administrator and any other Indemnified Party or Affected Person shall
be paid in full:

     (a) Compliance with Laws, Etc. The Servicer and, to the extent that it ceases to be
the Servicer, WESCO shall comply (and shall cause each Originator to comply) in all material
respects with all applicable laws, rules, regulations and orders, and preserve and maintain its
corporate existence, rights, franchises, qualifications and privileges, except to the extent that
the failure so to comply with such laws, rules and regulations or the failure so to preserve and
maintain such existence, rights, franchises, qualifications and privileges would not have a
Material Adverse Effect.

     (b) Offices, Records and Books of Account, Etc. The Servicer and, to the extent that
it ceases to be the Servicer, WESCO, shall keep (and shall cause each Originator to keep) its
principal place of business, chief executive office and “location” (as such term is used in the
applicable UCC) and the office where it keeps its records concerning the Receivables at the
addresses of the Servicer set forth under its name on Schedule IV to the Agreement or, upon
at least 30 days’ prior written notice of a proposed change to the Administrator, at any other
locations in jurisdictions where all actions reasonably requested by the Administrator to protect
and perfect the interest of the Administrator (for the benefit of each Purchaser) in the
Receivables and related items (including the Pool Assets) have been taken and completed. The
Servicer and, to the extent that it ceases to be the Servicer, WESCO, also will (and will cause
each Originator to) maintain and implement administrative and operating procedures (including

IV-5

 

an ability to recreate records evidencing Receivables and related Contracts in the event of
the destruction of the originals thereof), and keep and maintain all documents, books, records,
computer tapes and disks and other information reasonably necessary or advisable for the collection
of all Receivables (including records adequate to permit the daily identification of each
Receivable and all Collections of and adjustments to each existing Receivable).

     (c) Performance and Compliance with Contracts and Credit and Collection Policy. The
Servicer and, to the extent that it ceases to be the Servicer, WESCO, shall (and shall cause
Originator to), at its expense, timely and fully perform and comply with all material provisions,
covenants and other promises required to be observed by it under the Contracts related to the
Receivables, and timely and fully comply in all material respects with the Credit and Collection
Policy with regard to each Receivable and the related Contract.

     (d) Extension or Amendment of Receivables. Except as provided in the Agreement, the
Servicer and, to the extent that it ceases to be the Servicer, WESCO, shall not extend (and shall
not permit any Originator to extend), the maturity or adjust the Outstanding Balance or otherwise
modify the terms of any Pool Receivable, or amend, modify or waive any term or condition of any
related Contract.

     (e) Change in Business or Credit and Collection Policy. The Servicer and, to the
extent that it ceases to be the Servicer, WESCO, shall not make (and shall not permit any
Originator to make) any change in the character of its business or in any Credit and Collection
Policy that would have a Material Adverse Effect. The Servicer and, to the extent that it ceases to
be the Servicer, WESCO, shall not make (and shall not permit any Originator to make) any other
change in any Credit and Collection Policy without giving prior written notice thereof to the
Administrator and each Purchaser Agent.

     (f) Audits. The Servicer and, to the extent that it ceases to be the Servicer, WESCO,
shall (and shall cause each Originator to), from time to time during regular business hours, but no
more frequently than annually unless (w) a Termination Event or Unmatured Termination Event has
occurred and is continuing, (x) WESCO or Holdings ceases to have a rating of at least “B-” by
Standard and Poor’s on its respective corporate credit rating, (y) Holdings’ Available Liquidity
fails to exceed $100,000,000 or (z) in the opinion of the Administrator (with the consent or at the
direction of any of the Purchasers) reasonable grounds for insecurity exist with respect to the
collectibility of a material portion of the Pool Receivables or with respect to the Servicer’s
performance or ability to perform in any material respect its obligations under the Agreement, as
reasonably requested in advance (unless a Termination Event or Unmatured Termination Event exists)
by the Administrator, permit the Administrator, or its agents or representatives, at the Servicer’s
expense: (i) to examine and make copies of and abstracts from all books, records and documents
(including computer tapes and disks) in its possession or under its control relating to Receivables
and the Related Security, including the related Contracts; and (ii) to visit its offices and
properties for the purpose of examining such materials described in clause (i) above, and
to discuss matters relating to Receivables and the Related Security or its performance hereunder or
under the Contracts with any of its officers, employees, agents or contractors having knowledge of
such matters.

IV-6

 

     (g) Change in Lock-Box Banks, Lock-Box Accounts and Payment Instructions to Obligors.
The Servicer and, to the extent that it ceases to be the Servicer, WESCO, shall not (and shall not
permit any Originator to) add or terminate any bank as a Lock-Box Bank or any account as a Lock-Box
Account from those listed in Schedule II to the Agreement, or make any change in its instructions
to Obligors regarding payments to be made to the Servicer or any Lock-Box Account (or related post
office box), unless the Administrator and the Majority Purchasers shall have consented thereto in
writing and the Administrator shall have received copies of all agreements and documents (including
Lock-Box Agreements) that it may request in connection therewith.

     (h) Deposits to Lock-Box Accounts. The Servicer shall: (i) instruct all Obligors to
make payments of all Receivables to one or more Lock-Box Accounts or to post office boxes to which
only Lock-Box Banks have access (and shall instruct the Lock-Box Banks to cause all items and
amounts relating to such Receivables received in such post office boxes to be removed and deposited
into a Lock-Box Account on a daily basis); and (ii) deposit, or cause to be deposited, any
Collections received by it into Lock-Box Accounts not later than one Business Day after receipt
thereof. Except as otherwise agreed to in writing by the Administrator and the Majority Purchasers,
each Lock-Box Account shall at all times be subject to a Lock-Box Agreement. The Servicer will not
deposit or otherwise credit, or cause or permit to be so deposited or credited, to any Lock-Box
Account cash or cash proceeds other than Collections.

     (i) Reporting Requirements. WESCO shall provide to the Administrator (in multiple
copies, if requested by the Administrator) and each Purchaser Agent the following:

     (i) as soon as available and in any event within 45 days after the end of the first
three quarters of each fiscal year of Holdings, balance sheets of Holdings and its
consolidated Subsidiaries as of the end of such quarter and statements of income, retained
earnings and cash flow of Holdings and its consolidated Subsidiaries for the period
commencing at the end of the previous fiscal year and ending with the end of such quarter,
certified by the chief financial officer of such Person;

     (ii) as soon as available and in any event within 90 days after the end of each fiscal
year of Holdings, a copy of the annual report for such year for Holdings and its
consolidated Subsidiaries, containing financial statements for such year audited by
independent certified public accountants of nationally recognized standing;

     (iii) as to the Servicer only, as soon as available and in any event not later
than 2 days prior to the Settlement Date in such month, an Information Package for
such period, including a calculation (with reasonable detail with respect to such
calculation) of Available Liquidity as of the last day of the preceding calendar
month; provided, however that if (x) WESCO or Holdings shall cease
to have a rating of at least “B-” by Standard & Poor’s on its respective corporate
credit rating or (y) Holdings’ Available Liquidity fails to exceed $100,000,000, the
Servicer shall provide (i) if requested by the Administrator or any Purchaser Agent,
in each case in such Person’s sole discretion, an Information Package on the first
Business Day of each calendar week and (ii) such information as shall be

IV-7

 

requested by the Administrator in its sole discretion regarding Collections to
the Administrator on a daily basis;

     (iv) as soon as possible and in any event within five days after becoming aware of the
occurrence of each Termination Event or Unmatured Termination Event, a statement of the
chief financial officer of WESCO setting forth details of such Termination Event or
Unmatured Termination Event and the action that such Person has taken and proposes to take
with respect thereto;

     (v) promptly after the sending or filing thereof, copies of all reports that WESCO or
Holdings sends to any of their respective security holders, and copies of all reports and
registration statements that WESCO, Holdings or any of their respective Subsidiaries files
with the Securities and Exchange Commission or any national securities exchange;
provided, that any filings with the Securities and Exchange Commission that have
been granted “confidential” treatment shall be provided promptly after such filings have
become publicly available;

     (vi) promptly after the filing or receiving thereof, copies of all reports and notices
that WESCO, Holdings or any of their respective Affiliates files under ERISA with the
Internal Revenue Service, the Pension Benefit Guaranty Corporation or the U.S. Department of
Labor or that such Person or any of its Affiliates receives from any of the foregoing or
from any multiemployer plan (within the meaning of Section 4001(a)(3) of ERISA) to which
such Person or any of its Affiliate is or was, within the preceding five years, a
contributing employer, in each case in respect of the assessment of withdrawal liability or
an event or condition that could, in the aggregate, result in the imposition of liability on
WESCO, Holdings and/or any such Affiliate;

     (vii) at least thirty days before any change in WESCO’s, Holdings’ or any Originator’s
name or any other change requiring the amendment of UCC financing statements, a notice
setting forth such changes and the effective date thereof;

     (viii) promptly after WESCO or Holdings obtains knowledge thereof, notice of any: (A)
litigation, investigation or proceeding that may exist at any time between WESCO, Holdings
or any of their respective Subsidiaries and any Governmental Authority that, if not cured or
if adversely determined, as the case may be, would have a Material Adverse Effect; (B)
litigation or proceeding adversely affecting such Person or any of its Subsidiaries in which
the amount involved is $2,500,000 or more and not covered by insurance or in which
injunctive or similar relief is sought; or (C) litigation or proceeding relating to any
Transaction Document;

     (ix) promptly after the occurrence thereof, notice of a material adverse change in the
business, operations, property or financial or other condition of WESCO, Holdings or any of
their respective Subsidiaries;

     (x) promptly after the occurrence thereof, notice of any downgrade of WESCO or
Holdings;

IV-8

 

     (xi) such other information respecting the Receivables or the condition or operations,
financial or otherwise, of WESCO, Holdings or any of their respective Affiliates as the
Administrator or any Purchaser Agent may from time to time reasonably request;

     (xii) promptly after the occurrence thereof, notice of any material acquisition or
investment by WESCO or Holdings of or in any Person, business or operation;

     (xiii) on or before 30 days prior to each anniversary of the Closing Date, the Servicer
shall, at its own expense, cause an independent auditor acceptable to the Administrator and
each Purchaser Agent to furnish to WESCO, the Administrator and each Purchaser Agent, (A) a
report in a format acceptable to each Purchaser Agent, to the effect that they have (1)
reviewed and audited WESCO’s and Holdings’ books, records and servicing procedures, (2)
performed testing of a statistically significant sample of Receivables and each Information
Package generated during such fiscal year then ended, and describing the results of such
review and testing, and (3) during such review and testing, not discovered any deviations
(other than those described in the report) from the Credit and Collection Policy, and (B) a
report in a format acceptable to each Purchaser Agent to the effect that they have applied
certain procedures agreed upon with the Servicer, the Administrator and each Purchaser Agent
and examined certain documents and records relating to the servicing of Receivables under
this Agreement, and that, based upon such agreed upon procedures, nothing has come to the
attention of such auditors that caused them to believe such servicing (including without
limitation, the allocation of Collections) has not been conducted in compliance with the
terms and conditions set forth herein, except for such exceptions as they believe to be
immaterial and such other exceptions as shall be set forth in such statement. In addition,
each report shall set forth the agreed upon procedures performed (it being understood and
agreed that in any year, a field audit performed by the Administrator or its agents or
representatives pursuant to Section 2(f) of this Exhibit IV may, with the
prior consent of the Administrator and the Majority Purchasers, satisfy the requirements of
this clause (xiii)); and

     (xiv) as soon as available each month and in any event not later than 30 days after the
end of such month (other than months which are the last month of a calendar quarter) and
within 45 days of the end of each calendar quarter, management prepared unaudited financial
statements of Holdings and its consolidated Subsidiaries.

     3. Separate Existence. Each of the Seller and WESCO hereby acknowledges that the
Purchasers, the Purchaser Agents, the Administrator and the Liquidity Providers are entering into
the transactions contemplated by this Agreement and the other Transaction Documents in reliance
upon the Seller’s identity as a legal entity separate from WESCO and its Affiliates. Therefore,
from and after the date hereof, each of the Seller and WESCO shall take all steps specifically
required by the Agreement or reasonably required by the Administrator to continue the Seller’s
identity as a separate legal entity and to make it apparent to third Persons that the Seller is an
entity with assets and liabilities distinct from those of WESCO and any other Person, and is not a
division of WESCO, its Affiliates or any other Person. Without limiting the generality of the
foregoing and in addition to and consistent with the other covenants set forth herein, each of the
Seller and WESCO shall take such actions as shall be required in order that:

IV-9

 

     (a) The Seller will be a limited purpose corporation whose primary activities are
restricted in its certificate of incorporation to: (i) purchasing or otherwise acquiring
from the Originators, owning, holding, granting security interests or selling interests in
Pool Assets, (ii) entering into agreements for the selling and servicing of the Receivables
Pool, and (iii) conducting such other activities as it deems necessary or appropriate to
carry out its primary activities;

     (b) The Seller shall not engage in any business or activity, or incur any indebtedness
or liability, other than as expressly permitted by the Transaction Documents;

     (c) Not less than one member of the Seller’s Board of Directors (the “Independent
Director”) shall be an individual who is not a direct, indirect or beneficial
stockholder, officer, director, employee, affiliate, associate or supplier of WESCO or any
of its Affiliates. The certificate of incorporation of the Seller shall provide that: (i)
the Seller’s Board of Directors shall not approve, or take any other action to cause the
filing of, a voluntary bankruptcy petition with respect to the Seller unless the Independent
Director shall approve the taking of such action in writing before the taking of such
action, and (ii) such provision cannot be amended without the prior written consent of the
Independent Director;

     (d) The Independent Director shall not at any time serve as a trustee in bankruptcy for
the Seller, WESCO or any Affiliate thereof;

     (e) Any employee, consultant or agent of the Seller will be compensated from the
Seller’s funds for services provided to the Seller. The Seller will not engage any agents
other than its attorneys, auditors and other professionals, and a servicer and any other
agent contemplated by the Transaction Documents for the Receivables Pool, which servicer
will be fully compensated for its services by payment of the Servicing Fee, and a manager,
which manager will be fully compensated from the Seller’s funds;

     (f) The Seller will contract with the Servicer to perform for the Seller all operations
required on a daily basis to service the Receivables Pool. The Seller will pay the Servicer
the Servicing Fee pursuant to the Agreement. The Seller will not incur any material indirect
or overhead expenses for items shared with WESCO (or any other Affiliate thereof) that are
not reflected in the Servicing Fee. To the extent, if any, that the Seller (or any Affiliate
thereof) shares items of expenses not reflected in the Servicing Fee or the manager’s fee,
such as legal, auditing and other professional services, such expenses will be allocated to
the extent practical on the basis of actual use or the value of services rendered, and
otherwise on a basis reasonably related to the actual use or the value of services rendered;
it being understood that WESCO shall pay all expenses relating to
the preparation, negotiation, execution and delivery of the Transaction Documents, including
legal, agency and other fees;

     (g) The Seller’s operating expenses will not be paid by WESCO or any other Affiliate thereof;

IV-10

 

     (h) All of the Seller’s business correspondence and other communications shall be
conducted in the Seller’s own name and on its own separate stationery;

     (i) The Seller’s books and records will be maintained separately from those of WESCO
and any other Affiliate thereof;

     (j) All financial statements of WESCO or any Affiliate thereof that are consolidated to
include Seller will contain detailed notes clearly stating that: (i) a special purpose
corporation exists as a Subsidiary of WESCO, and (ii) the Originators have sold receivables
and other related assets to such special purpose Subsidiary that, in turn, has sold
undivided interests therein to certain financial institutions and other entities;

     (k) The Seller’s assets will be maintained in a manner that facilitates their
identification and segregation from those of WESCO or any Affiliate thereof;

     (l) The Seller will strictly observe corporate formalities in its dealings with WESCO
or any Affiliate thereof, and funds or other assets of the Seller will not be commingled
with those of WESCO or any Affiliate thereof except as permitted by the Agreement in
connection with servicing the Pool Receivables. The Seller shall not maintain joint bank
accounts or other depository accounts to which WESCO or any Affiliate thereof (other than
WESCO in its capacity as the Servicer) has independent access. The Seller is not named, and
has not entered into any agreement to be named, directly or indirectly, as a direct or
contingent beneficiary or loss payee on any insurance policy with respect to any loss
relating to the property of WESCO or any Subsidiary or other Affiliate of WESCO. The Seller
will pay to the appropriate Affiliate the marginal increase or, in the absence of such
increase, the market amount of its portion of the premium payable with respect to any
insurance policy that covers the Seller and such Affiliate;

     (m) The Seller will maintain arm’s-length relationships with WESCO (and any Affiliate
thereof). Any Person that renders or otherwise furnishes services to the Seller will be
compensated by the Seller at market rates for such services it renders or otherwise
furnishes to the Seller. Neither the Seller nor WESCO will be or will hold itself out to be
responsible for the debts of the other or the decisions or actions respecting the daily
business and affairs of the other. The Seller and WESCO will immediately correct any known
misrepresentation with respect to the foregoing, and they will not operate or purport to
operate as an integrated single economic unit with respect to each other or in their dealing
with any other entity; and

     (n) WESCO shall not pay the salaries of Seller’s employees, if any.

IV-11

 

EXHIBIT V

TERMINATION EVENTS

     Each of the following shall be a “Termination Event”:

     (a) (i) the Seller, WESCO, any Originator or the Servicer shall fail to perform or observe any
term, covenant or agreement under the Agreement or any other Transaction Document and, except as
otherwise provided herein, such failure shall continue for 5 days after knowledge or notice
thereof, (ii) the Seller or the Servicer shall fail to make when due any payment or deposit to be
made by it under the Agreement and such failure shall continue unremedied for one Business Day or
(iii) WESCO shall resign as Servicer, and no successor Servicer reasonably satisfactory to the
Administrator and the Majority Purchasers shall have been appointed;

     (b) WESCO (or any Affiliate thereof) shall fail to transfer to any successor Servicer when
required any rights pursuant to the Agreement that WESCO (or such Affiliate) then has as Servicer;

     (c) any representation or warranty made or deemed made by the Seller, WESCO or any Originator
(or any of their respective officers) under or in connection with the Agreement or any other
Transaction Document, or any information or report delivered by the Seller, WESCO or any Originator
or the Servicer pursuant to the Agreement or any other Transaction Document, shall prove to have
been incorrect or untrue in any material respect when made or deemed made or delivered, and shall
remain incorrect or untrue for 5 days after notice to the Seller or the Servicer of such
inaccuracy;

     (d) the Seller or the Servicer shall fail to deliver the Information Package pursuant to the
Agreement, and such failure shall remain unremedied for two days;

     (e) the Agreement or any purchase or reinvestment pursuant to the Agreement shall for any
reason: (i) cease to create, or the Purchased Interest shall for any reason cease to be, a valid
and enforceable perfected undivided percentage ownership or security interest to the extent of the
Purchased Interest in each Pool Receivable, the Related Security and Collections with respect
thereto, free and clear of any Adverse Claim, or (ii) cease to create with respect to the Pool
Assets, or the interest of the Administrator (for the benefit of the Purchasers) with respect to
such Pool Assets shall cease to be, a valid and enforceable first priority perfected security
interest, free and clear of any Adverse Claim;

     (f) the Seller, WESCO, Holdings or any Originator shall generally not pay its debts as such
debts become due, or shall admit in writing its inability to pay its debts generally, or shall make
a general assignment for the benefit of creditors; or any proceeding shall be instituted by or
against the Seller, WESCO, Holdings or any Originator seeking to adjudicate it a bankrupt or
insolvent, or seeking liquidation, winding up, reorganization, arrangement, adjustment, protection,
relief or composition of it or its debts under any law relating to bankruptcy, insolvency or
reorganization or relief of debtors, or seeking the entry of an order for relief or the appointment
of a receiver, trustee, custodian or other similar official for it or for any substantial

V-1

 

part of its property and, in the case of any such proceeding instituted against it (but not
instituted by it), either such proceeding shall remain undismissed or unstayed for a period of 60
days, or any of the actions sought in such proceeding (including the entry of an order for relief
against, or the appointment of a receiver, trustee, custodian or other similar official for, it or
for any substantial part of its property) shall occur; or the Seller, WESCO, Holdings or any
Originator shall take any corporate action to authorize any of the actions set forth above in this
paragraph;

     (g) (i) the average for three most recently ended consecutive calendar months of: (A) the
Default Ratio shall exceed 3.25%, (B) the Delinquency Ratio shall exceed 4.00% or (C) the Dilution
Ratio shall exceed (x) until June 30, 2009, 8.0%, and (y) thereafter, 7.50% or (ii) (A) the Default
Ratio shall exceed 4.00%, (B) the Delinquency Ratio shall exceed 5.00% or (C) the Days’ Sales
Outstanding shall exceed 62 days;

     (h) a Change in Control shall occur;

     (i) at any time (i) the sum of (A) the Aggregate Investment plus (B) the Total Reserves,
exceeds (ii) the sum of (A) the Net Receivables Pool Balance at such time plus (B) the Purchasers’
share of the amount of Collections then on deposit in the Lock-Box Accounts (other than amounts set
aside therein representing Discount and Fees), and such circumstance shall not have been cured
within two Business Days;

     (j) (i) WESCO, Holdings or any of their respective Subsidiaries shall fail to pay any
principal of or premium or interest on any of its Debt that is outstanding in a principal amount of
at least $20,000,000 in the aggregate when the same becomes due and payable (whether by scheduled
maturity, required prepayment, acceleration, demand or otherwise), and such failure shall continue
after the applicable grace period, if any, specified in the agreement, mortgage, indenture or
instrument relating to such Debt (and shall have not been waived); or (ii) any other event shall
occur or condition shall exist under any agreement, mortgage, indenture or instrument relating to
any such Debt and shall continue after the applicable grace period, if any, specified in such
agreement, mortgage, indenture or instrument (and shall have not been waived), if, in either case:
(a) the effect of such non-payment, event or condition is to give the applicable debtholders the
right (whether acted upon or not) to accelerate the maturity of such Debt, or (b) any such Debt
shall be declared to be due and payable, or required to be prepaid (other than by a regularly
scheduled required prepayment), redeemed, purchased or defeased, or an offer to repay, redeem,
purchase or defease such Debt shall be required to be made, in each case before the stated maturity
thereof;

     (k) either: (i) a contribution failure shall occur with respect to any Benefit Plan sufficient
to give rise to a lien under Section 302(f) of ERISA, (ii) the Internal Revenue Service shall file
a notice of lien asserting (1) a claim or claims pursuant to the Internal Revenue Code with regard
to any of the assets of Seller or (2) a claim or claims of $250,000 or more in the aggregate
pursuant to the Internal Revenue Code with regard to any of the assets of any Originator, WESCO,
Holdings or any ERISA Affiliate, and in each case such lien shall have been filed and not released
within 10 days, or (iii) the Pension Benefit Guaranty Corporation shall, or shall indicate its
intention in writing to the Seller, any Originator, WESCO, Holdings or any ERISA Affiliate to,
either file a notice of lien asserting a claim pursuant to ERISA with regard to any assets of the
Seller, any Originator, WESCO, Holdings or any ERISA Affiliate or

V-2

 

terminate any Benefit Plan that has unfunded benefit liabilities, or any steps shall have been
taken to terminate any Benefit Plan subject to Title IV of ERISA so as to result in any liability
in excess of $1,000,000 and such lien shall have been filed and not released within 10 days;

     (l) (i) one or more final judgments for the payment of money shall be entered against the
Seller or (ii) one or more final judgments for the payment of money in an amount in excess of
$20,000,000, individually or in the aggregate, shall be entered against the Servicer on claims not
covered by insurance or as to which the insurance carrier has denied its responsibility, and such
judgment shall continue unsatisfied and in effect for sixty (60) consecutive days without a stay of
execution;

     (m) the “Purchase and Sale Termination Date” under and as defined in the Sale
Agreement shall occur under the Sale Agreement or any Originator shall for any reason cease to
transfer, or cease to have the legal capacity to transfer, or otherwise be incapable of
transferring Receivables to the Seller under the Sale Agreement;

     (n) as of the end of any Fiscal Quarter, for the 12-month period then ended, the Fixed Charge
Coverage Ratio with respect to Holdings and its Subsidiaries on a consolidated basis, shall be less
than 1.1 to 1. For purposes of this clause (n), terms used herein shall have the
respective meaning assigned to such terms as set forth on Schedule V hereto, including all
defined terms used within such terms; or

     (o) either (i) a “Change of Control” (as defined in the Credit Agreement (as defined in
Schedule V attached hereto)) occurs with respect to Holdings or (ii) Holdings breaches or
defaults in respect of its negative covenant set for in Section 6.20(a) of the Credit Agreement (as
defined in Schedule V attached hereto), in each case, subject to any applicable grace
periods set forth in the Credit Agreement (as defined in Schedule V attached hereto) with
respect thereto (but regardless of whether or not any such events or conditions are waived or
modified). For the avoidance of doubt, each reference to any definition, section or provision in
the Credit Agreement (as defined in Schedule V attached hereto), shall be a reference
thereto as in effect on the Closing Date of this Agreement, regardless of (i) whether or not the
Credit Agreement (as defined in Schedule V attached hereto) or such provision is
subsequently waived, amended, amended and restated, or otherwise modified or (ii) whether or not
the Credit Agreement (as defined in Schedule V attached hereto) is substituted, replaced,
terminated or any of the provisions therein are or become unenforceable in whole or in part as
against any party thereto.

V-3

 

SCHEDULE I

CREDIT AND COLLECTION POLICY

On File With:

WESCO Receivables Corp.

225 West Station Square Drive, Suite 700

Pittsburgh, PA 15219

Attn: Vice President and Treasurer

Telephone: (412) 454-4220

Facsimile: (412) 454-2515

 

SCHEDULE II

LOCK-BOX BANKS AND LOCK-BOX ACCOUNTS

 

SCHEDULE III

TRADE NAMES

[None.]

 

SCHEDULE IV

NOTICE INFORMATION

WESCO RECEIVABLES CORP.,

as Seller

Address:

225 West Station Square Drive

Suite 700

Pittsburgh, PA 15219

Attention: Vice President and Treasurer

Telephone: (412) 454-4220

Facsimile: (412) 454-2595

WESCO DISTRIBUTION, INC.,

as Servicer

Address:

225 West Station Square Drive

Suite 700

Pittsburgh, PA 15219

Attention: Vice President and Treasurer

Telephone: (412) 454-4220

Facsimile: (412) 454-2595

PNC BANK, NATIONAL ASSOCIATION,

as Administrator

PNC Bank, National Association

One PNC Plaza

249 Fifth Avenue

Pittsburgh, Pennsylvania 15222-2707

Attention: William Falcon

Telephone No.: (412) 762-5442

Facsimile No.: (412) 762-9184

MARKET STREET FUNDING LLC,

as a Conduit Purchaser

Address:

Market Street Funding LLC

c/o AMACAR Group, L.L.C.

 Schedule IV-1 

 

6525 Morrison Blvd., Suite 318

Charlotte, North Carolina 28211

Attention: Douglas K. Johnson

Telephone No.: (704) 365-0569

Facsimile No.: (704) 365-1362

With a copy to:

PNC Bank, National Association

One PNC Plaza

249 Fifth Avenue

Pittsburgh, Pennsylvania 15222-2707

Attention: William Falcon

Telephone No.: (412) 762-5442

Facsimile No.: (412) 762-9184

PNC BANK, NATIONAL ASSOCIATION,

as Purchaser Agent for Market Street Funding LLC

PNC Bank, National Association

One PNC Plaza

249 Fifth Avenue

Pittsburgh, Pennsylvania 15222-2707

Attention: William Falcon

Telephone No.: (412) 762-5442

Facsimile No.: (412) 762-9184

PNC BANK, NATIONAL ASSOCIATION,

as a Related Committed Purchaser for Market Street

Funding LLC

Address:

One PNC Plaza

249 Fifth Avenue

Pittsburgh, Pennsylvania 15222-2707

Attention: William Falcon

Telephone No: (412) 762-5442

Facsimile No.: (412) 762-9184

 Schedule IV-2 

 

WACHOVIA BANK, NATIONAL ASSOCIATION,

as a Conduit Purchaser

Address:

191 Peachtree Street, 22nd Floor

GA-8047

Atlanta, Georgia 30303

Attention: Michael Landry

Telephone No.: (404) 214-6388

Facsimile No.: (404) 214-5481

WACHOVIA BANK, NATIONAL ASSOCIATION,

as a Related Committed Purchaser for Wachovia Bank, National Association

Address:

191 Peachtree Street, 22nd Floor

GA-8047

Atlanta, Georgia 30303

Attention: Michael Landry

Telephone No.: (404) 214-6388

Facsimile No.: (404) 214-5481

WACHOVIA BANK, NATIONAL ASSOCIATION,

as Purchaser Agent for Wachovia Bank, National Association

Address:

191 Peachtree Street, 22nd Floor

GA-8047

Atlanta, Georgia 30303

Attention: Michael Landry

Telephone No.: (404) 214-6388

Facsimile No.: (404) 214-5481

FIFTH THIRD BANK,

as a Conduit Purchaser

Address:

38 Fountain Square Plaza

Cincinnati, Ohio 45263

Attention: Andrew Jones

Telephone No.: (513) 534-0836

Facsimile No.: (513) 534-0319

 Schedule IV-3 

 

FIFTH THIRD BANK,

as a Related Committed Purchaser for Fifth Third Bank

Address:

38 Fountain Square Plaza

Cincinnati, Ohio 45263

Attention: Robert Finley

Telephone No.: (513) 534-4870

Facsimile No.: (513) 579-4270

FIFTH THIRD BANK,

as Purchaser Agent for Fifth Third Bank

Address:

38 Fountain Square Plaza

Cincinnati, Ohio 45263

Attention: Charissa Toole

Telephone No.: (513) 534-3799

Facsimile No.: (513) 534-0319

U.S. BANK NATIONAL ASSOCIATION,

as a Conduit Purchaser

Address:

425 Walnut Street

CN-OH-W14S

Cincinnati, OH 45202

Attention: Matthew Kasper

Telephone No.: (513) 632-4226

Facsimile No.: (513) 632-2030

U.S. BANK NATIONAL ASSOCIATION,

as a Related Committed Purchaser for U.S. Bank National Association

Address:

425 Walnut Street

CN-OH-W14S

Cincinnati, OH 45202

Attention: Matthew Kasper

Telephone No.: (513) 632-4226

Facsimile No.: (513) 632-2030

 Schedule IV-4 

 

U.S. BANK NATIONAL ASSOCIATION,

as Purchaser Agent for U.S. Bank National Association

Address:

425 Walnut Street

CN-OH-W14S

Cincinnati, OH 45202

Attention: Matthew Kasper

Telephone No.: (513) 632-4226

Facsimile No.: (513) 632-2030

THE PRIVATEBANK AND TRUST COMPANY,

as a Conduit Purchaser

Address:

3423 Piedmont Road

Suite 300

Atlanta, GA  30305

Attention: Zennie W. Lynch

Telephone No.: (404) 926-2449

Facsimile No.: (404) 926-2444

THE PRIVATEBANK AND TRUST COMPANY,

as a Related Committed Purchaser for The PrivateBank and Trust Company

Address:

3423 Piedmont Road

Suite 300

Atlanta, GA  30305

Attention: Zennie W. Lynch

Telephone No.: (404) 926-2449

Facsimile No.: (404) 926-2444

THE PRIVATEBANK AND TRUST COMPANY,

as Purchaser Agent for The PrivateBank and Trust Company

Address:

3423 Piedmont Road

Suite 300

Atlanta, GA  30305

Attention: Zennie W. Lynch

Telephone No.: (404) 926-2449

 Schedule IV-5 

 

Facsimile No.: (404) 926-2444

THE HUNTINGTON NATIONAL BANK,

as a Conduit Purchaser

Address:

41 S. High Street

Columbus, OH 43287

Attention: Jeff Blendick

Telephone No.: (614) 480-4639

Facsimile No.: (877) 274-8593

THE HUNTINGTON NATIONAL BANK,

as a Related Committed Purchaser for The Huntington National Bank

Address:

41 S. High Street

Columbus, OH 43287

Attention: Jeff Blendick

Telephone No.: (614) 480-4639

Facsimile No.: (877) 274-8593

THE HUNTINGTON NATIONAL BANK,

as Purchaser Agent for The Huntington National Bank

Address:

41 S. High Street

Columbus, OH 43287

Attention: Jeff Blendick

Telephone No.: (614) 480-4639

Facsimile No.: (877) 274-8593

HERNING ENTERPRISES, INC.,

as Originator solely in recognition of Section 6.17

Address:

225 West Station Square Drive

Suite 700

Pittsburgh, PA 15219

Attention: Vice President and Treasurer

Telephone: (412) 454-4220

Facsimile: (412) 454-2595

 Schedule IV-6 

 

SCHEDULE V

FIXED CHARGE COVERAGE RATIO DEFINITIONS

     “Advance” means any Revolving Credit Advance or Swing Line Advance, as the context may
require.

     “Affiliate” means, with respect to any Person, (a) each Person that, directly or
indirectly, owns or controls, whether beneficially, or as a trustee, guardian or other fiduciary,
10% or more of the Stock having ordinary voting power in the election of directors of such Person,
(b) each Person that controls, is controlled by or is under common control with such Person, (c)
each of such Person’s officers, directors, joint venturers and partners and (d) in the case of
Borrowers, the immediate family members, spouses and lineal descendants of individuals who are
Affiliates of Borrower. For the purposes of this definition, “control” of a Person shall
mean the possession, directly or indirectly, of the power to direct or cause the direction of its
management or policies, whether through the ownership of voting securities, by contract or
otherwise; provided, however, that the term “Affiliate” shall specifically
exclude each Agent and each Lender.

     “Agent” means GE Capital in its capacity as Agent for Lenders or its successor
appointed pursuant to Section 9.7 of the Credit Agreement.

     “Agents” means Agent and the Canadian Agent.

     “Applicable Agent” means (a) with respect to matters relating solely to the Canadian
Obligations, Canadian Agent and (b) with respect to all other matters, Agent.

     “Assignment Agreement” means an agreement substantially in the form attached to the
Credit Agreement as Exhibit 9.1(a) and otherwise in form and substance reasonably satisfactory to,
and acknowledged by, Agent.

     “BA Period” means, with respect to any BA Rate Loan, each period commencing on a
Business Day selected by Borrower Representative pursuant to the Credit Agreement and ending thirty
(30), sixty (60) or ninety (90) days thereafter, as selected by Borrower Representative’s
irrevocable notice to Agent as set forth in Section 1.5(e) of the Credit Agreement; provided, that
the foregoing provision relating to BA Periods is subject to the following:

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

          (b) any BA Period that would otherwise extend beyond the Commitment Termination Date
shall end two (2) Business Days prior to such date;

 Schedule V-1  

 

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

          (d) Borrower Representative shall select BA Periods so as not to require a payment
or prepayment of any BA Rate Loan during a BA Period for such Loan; and

          (e) Borrower Representative shall select BA Periods so that there shall be no more
than 10 separate BA Rate Loans and LIBOR Loans, collectively, in existence at any one time.

     “BA Rate” means, at any time, the annual rate of interest which is the average of the
customary “BA thirty (30) to ninety (90) days” rates applicable to Canadian Dollar bankers’
acceptances displayed and identified as such on the “Telerate Page 3197” at approximately 11:00
a.m., (Toronto time), on the then most recent Determination Date (as defined below) or, if such
display or service ceases to exist, any other similar display and service designated by Canadian
Agent in existence at the relevant time (as adjusted by Canadian Agent after such time to reflect
any error in a posted rate or in the posted average rate of interest); provided, however, if no
such rates are then provided by Dow Jones Telerate Service or a similar service designated by
Canadian Agent, then the BA Rate at the relevant time shall be GE Capital Canada’s cost of funds at
such time for loans of a similar amount and term, as certified by GE Capital Canada, whose
certification thereof shall be binding and conclusive for all purposes hereof. The BA Rate shall be
fixed based upon the BA Rate in effect on the first day of the interest period of the applicable
loan (the “Determination Date”).

     “BA Rate Loans” means at any time that portion of the Loans bearing interest at rates
determined solely by reference to a BA Rate, such Loans being available only to Canadian Borrowers
in Canadian Dollars.

     “Borrower” means the US Borrowers and Canadian Borrowers.

     “Borrower Representative” means WESCO Distribution in its capacity as Borrower
Representative pursuant to the provision of Section 1.1(c) of the Credit Agreement.

     “Borrowers Pledge Agreement” means the Second Amended and Restated Pledge Agreements
dated as of the Credit Agreement Closing Date, each executed by the applicable Borrower in favor of
the applicable Agent and each pledging all Stock of their respective Subsidiaries, if any, and all
Intercompany Notes owing to or held by each of them.

     “Business Day” means any day that is not a Saturday, a Sunday or a day on which banks
are required or permitted to be closed in the State of New York or in the Province of Ontario
Canada and in reference to LIBOR Loans shall mean any such day that is also a LIBOR Business Day.

     “Canadian Agent” means GE Capital Canada, in its capacity as Canadian agent, and its
successors and assigns.

     “Canadian Borrowers” means WESCO DC LP and any other Canadian Borrowers from time to
time party to the Credit Agreement.

 Schedule V-2  

 

     “Canadian Credit Party” means any Credit Party organized or existing pursuant to the
laws of Canada or any province or territory thereof.

     “Canadian Dollars” means lawful currency of Canada.

     “Canadian Facilities” means the Canadian Revolving Loans, the Canadian Revolving Loan
Commitment, the Canadian Swing Line Advances and the Canadian Letter of Credit Obligations.

     “Canadian Lenders” means GE Capital Canada, each other Person, if any, named on the
signature page of this Credit Agreement as a Canadian Lender (each of which shall be a Person
allowed to extend credit in Canadian Dollars to the Canadian Borrowers in Canada without
withholding tax liability), and, if any such Lender shall decide to assign all or any portion of
the Canadian Obligations, such term shall include any assignee of such Canadian Lender (which is
itself a financial institution allowed to extend credit in Canadian Dollars to the Canadian
Borrowers in Canada without withholding tax liability).

     “Canadian Letter of Credit Obligations” means Letter of Credit Obligations that
Canadian Lenders agree to incur, or purchase participations in, which are denominated in Canadian
Dollars in respect of each Canadian Borrower.

     “Canadian Obligations” means Obligations with respect to the Canadian Facilities.

     “Canadian Revolving Credit Advances” means Revolving Credit Advances outstanding to
Canadian Borrowers.

     “Canadian Revolving Loan” means at any time, the aggregate amount of Canadian
Revolving Credit Advances and Canadian Letter of Credit Obligation outstanding to Canadian
Borrowers.

     “Canadian Revolving Loan Commitment” means (a) as to any Canadian Lender, the
aggregate commitment of such Lender to make Canadian Revolving Credit Advances or incur Canadian
Letter of Credit Obligations as set forth on Annex J to the Credit Agreement (in each case
expressed in Dollars) or in the most recent Assignment Agreement executed by such Lender and (b) as
to all Canadian Lenders, the aggregate commitment of all Canadian Lenders to make Canadian
Revolving Credit Advances or incur Canadian Letter of Credit Obligations, which aggregate
commitment shall be $65,000,000 on the Credit Agreement Closing Date, as such amount may be
adjusted, if at all, from time to time in accordance with the Credit Agreement.

     “Canadian Swing Line Advances” means Swing Line Advances made by the applicable Swing
Line Lender in Canadian Dollars to Canadian Borrowers.

     “Capital Expenditures” means, with respect to any Person, all expenditures (by the
expenditure of cash or the incurrence of Indebtedness) by such Person during any measuring period
for any fixed assets or improvements or for replacements, substitutions or additions thereto, that
have a useful life of more than one year and that are required to be capitalized under GAAP.

 Schedule V-3  

 

     “Capital Lease” means, with respect to any Person, any lease of any property (whether
real, personal or mixed) by such Person as lessee that, in accordance with GAAP, would be required
to be classified and accounted for as a capital lease on a balance sheet of such Person.

     “Capital Lease Obligation” means, with respect to any Capital Lease of any Person, the
amount of the obligation of the lessee thereunder that, in accordance with GAAP, would appear on a
balance sheet of such lessee in respect of such Capital Lease.

     “Charges” means all federal, state, county, city, municipal, local, foreign or other
governmental taxes (including taxes owed to the PBGC at the time due and payable), levies,
assessments, charges, liens, claims or encumbrances upon or relating to (a) the Collateral, (b) the
Obligations, (c) the employees, payroll, income, capital or gross receipts of any Credit Party, (d)
any Credit Party’s ownership or use of any properties or other assets, or (e) any other aspect of
any Credit Party’s business.

     “Closing Checklist” means the schedule, including all appendices, exhibits or
schedules thereto, listing certain documents and information to be delivered in connection with the
Credit Agreement, the other Loan Documents and the transactions contemplated thereunder,
substantially in the form attached as Annex D to the Credit Agreement.

     “Code” means the “UCC” as defined in Exhibit I to the Receivables Purchase Agreement.

     “Collateral” means the property covered by the Security Agreements and the other
Collateral Documents and any other property, real or personal, tangible or intangible, now existing
or hereafter acquired, that may at any time be or become subject to a security interest or Lien in
favor of either Agent to secure the Obligations.

     “Collateral Documents” means the Security Agreement, the Pledge Agreements, the Deeds
of Hypothec, the Debenture Pledge Agreement, the Guaranties, the Patent Security Agreement, the
Trademark Security Agreement, the Copyright Security Agreement and all similar agreements entered
into guaranteeing payment of, or granting a Lien upon property as security for payment of, the
Obligations.

     “Commitment Termination Date” means the earliest of (a) November 1, 2013, (b) the date
of termination of Lenders’ obligations to make Advances and to incur Letter of Credit Obligations
or permit existing Loans to remain outstanding pursuant to Section 8.2(b) of the Credit Agreement,
and (c) the date of indefeasible prepayment in full by Borrowers of the Loans and the cancellation
and return (or stand-by guarantee) of all Letters of Credit or the cash collateralization of all
Letter of Credit Obligations pursuant to Annex B of the Credit Agreement, and the permanent
reduction of the Commitments to zero dollars ($0).

     “Commitments” means (a) as to any Lender, the aggregate of such Lender’s Revolving
Loan Commitment (including without duplication the applicable Swing Line Lender’s Swing Line
Commitment as a subset of its Revolving Loan Commitment) as set forth on Annex J to the Credit
Agreement or in the most recent Assignment Agreement executed by such Lender and (b) as to all
Lenders, the aggregate of all Lenders’ Revolving Loan Commitments (including without duplication
the applicable Swing Line Lender’s Swing Line Commitment as a subset of its Revolving Loan
Commitment), which aggregate commitment shall be Three Hundred and

 Schedule V-4  

 

Seventy-Five Million Dollars ($375,000,000) on the Credit Agreement Closing Date, as to each
of clauses (a) and (b), as such Commitments may be reduced, amortized or adjusted
from time to time in accordance with the Credit Agreement, as amended, restated, supplemented or
otherwise modified from time to time so long as PNC is a party to such agreement.

     “Copyright Security Agreement” means the Second Amended and Restated Copyright
Security Agreement made in favor of Agent, on behalf of itself and Lenders, and in favor of
Canadian Agent, on behalf of itself and Canadian Lenders by each applicable Credit Party.

     “Credit Agreement” means the Third Amended and Restated Credit Agreement, dated as of
November 1, 2006 among WESCO Distribution, WESCO Equity, Herning, WESCO Nevada, Carlton-Bates
Company, Communications Supply Corporation, Calvert Wire & Cable Corporation, Liberty Wire & Cable,
Inc and Bruckner Supply Company, Inc., as US borrowers, WESCO DC LP and any other Canadian
borrowers from time to time party thereto, as Canadian borrowers, the other Credit Parties
signatory thereto, GE Capital, as agent and US lender, GE Capital Canada, as a Canadian lender and
as Canadian agent and GECC Capital Markets Group, Inc., as lead arranger, without giving effect to
any termination thereof, as amended, restated, supplemented or otherwise modified from time to time
so long as PNC is a party to such agreement.

     “Credit Agreement Closing Date” means November 1, 2006.

     “Credit Parties” means Holdings, each Borrower, WESCO Finance, CDW Holdco, LLC, WDC
Holding, WESCO Nigeria, CBC LP Holdings, LLC, Carlton-Bates Company of Texas GP, Inc., WESCO DC GP,
WESCO Canada, WESCO Voltage and each of their respective Subsidiaries.

     “Debenture Pledge Agreement” means the various Second Amended and Restated Pledges of
Debenture securing the Obligations, executed by one or more Credit Parties in favor of Agent, on
behalf of Agent and the Lenders.

     “Debentures” means the debentures executed and issued to Agent, on behalf of Agent and
the Lenders, by one or more Credit Parties under the Deeds of Hypothec.

     “Deeds of Hypothec” means the various deeds of hypothec securing the Obligations,
executed by one or more Credit Parties in favor of Agent, on behalf of Agent and the Lenders.

     “Dollar Equivalent Amount” of any currency means (i) the amount of such currency if
such currency is Dollars or (ii) the equivalent amount in Dollars of such amount of any other
currency, if such currency is any currency other than Dollars, calculated on the basis of the
arithmetical mean for the buy and sell spot rates of exchange quoted to Agent for such currency in
New York at approximately 11:00 a.m. New York time on such date, rounded up to the nearest amount
of such currency as determined by Agent.

     “Dollars” or “$” means lawful currency of the United States of America or the
Dollar Equivalent Amount, as applicable.

 Schedule V-5  

 

     “EBITDA” means, with respect to any Person for any fiscal period, without duplication,
an amount equal to (a) consolidated net income of such Person for such period, determined in
accordance with GAAP, minus (b) the sum of (i) income tax credits, (ii) interest income, (iii) gain
from extraordinary items for such period, (iv) any aggregate net gain (but not any aggregate net
loss) during such period arising from the sale, exchange or other disposition of capital assets by
such Person (including any fixed assets, whether tangible or intangible, all inventory sold in
conjunction with the disposition of fixed assets and all securities), and (v) any other non-cash
gains that have been added in determining consolidated net income, in each case to the extent
included in the calculation of consolidated net income of such Person for such period in accordance
with GAAP, but without duplication, plus (c) the sum of (i) any provision for income taxes, (ii)
cash Interest Expense, (iii) loss from non-cash extraordinary items for such period, (iv) the
amount of non-cash charges (including depreciation, amortization and non-cash charges associated
with the impairment of goodwill) for such period, (v) amortized debt discount for such period, and
(vi) the amount of any deduction to consolidated net income as the result of any grant to any
members of management of such Person of any Stock, in each case to the extent included in the
calculation of consolidated net income of such Person for such period in accordance with GAAP, but
without duplication. For purposes of this definition, the following items shall be excluded in
determining consolidated net income of a Person: (1) the income (or deficit) of any Person accrued
prior to the date it became a Subsidiary of, or was merged or consolidated into, such Person or any
of such Person’s Subsidiaries; (2) the income (or deficit) of any other Person (other than a
Subsidiary) in which such Person has an ownership interest, except to the extent any such income
has actually been received by such Person in the form of cash dividends or distributions; (3) the
undistributed earnings of any Subsidiary of such Person to the extent that the declaration or
payment of dividends or similar distributions by such Subsidiary is not at the time permitted by
the terms of any contractual obligation or requirement of law applicable to such Subsidiary; (4)
any restoration to income of any contingency reserve, except to the extent the provision for such
reserve was made out of income accrued during such period; (5) any write-up of any asset; (6) any
net gain from the collection of the proceeds of life insurance policies; (7) any net gain arising
from the acquisition any net gain arising from the acquisition of any securities, under GAAP, of
such Person; (8) in the case of a successor to such Person by consolidation or merger or as a
transferee of its assets, any earnings of such successor prior to such consolidation, merger or
transfer of assets, and (9) any deferred credit representing the excess of equity in any Subsidiary
of such Person at the date of acquisition of such Subsidiary over the cost to such Person over the
cost to such Person of the investment in such Subsidiary.

     “Existing Credit Agreement” means that certain Second Amended and Restated Credit
Agreement, dated as of September 29, 2005 among WESCO Distribution, GE Capital, for itself, as
lender and as agent, and the Lenders (as amended, restated or otherwise modified).

     “Federal Funds Rate” means, for any day, a floating rate equal to the weighted average
of the rates on overnight federal funds transactions among members of the Federal Reserve System,
as determined by Agent in its sole discretion, which determination shall be final, binding and
conclusive (absent manifest error).

     “Federal Reserve Board” means the Board of Governors of the Federal Reserve System.

 Schedule V-6  

 

     “Fees” means any and all fees payable to Agent or to Canadian Agent or to any Lender
pursuant to the Credit Agreement or any of the other Loan Documents.

     “Fiscal Quarter” means any of the quarterly accounting periods of Borrowers and
Holdings, ending on March 31, June 30, September 30 and December 31 of each year.

     “Fixed Charge Coverage Ratio” means, with respect to any Person for any fiscal period,
the ratio of EBITDA to Fixed Charges.

     “Fixed Charges” means, with respect to any Person for any fiscal period, (a) the
aggregate of all cash Interest Expense paid or accrued during such period, plus (b) scheduled
payments of principal with respect to Indebtedness during such period, plus (c) cash payments in
respect of earn out agreements, plus (d) Capital Expenditures during such period (provided however,
that up to $2,500,000 of net cash proceeds from any sale of real property during such period shall
be excluded so long as such net cash proceeds are used to make Capital Expenditures), plus (e) cash
dividends or other cash distributions paid, payable or declared in respect of equity interests
during such period (excluding in all cases cash distributions by WESCO Distribution to Holdings to
permit Holdings to repurchase or to repay as a result of the exercise of an option by holders to
require repurchase, any of the 2005 Convertible Debentures or the 2006 Convertible Debentures)
plus, (f) cash Taxes paid or payable during such period, plus (g) any cash paid or payable in
connection with the repurchase of Holding’s publicly traded common Stock, minus, (H) up to
$100,000,000 distributed by WESCO Distribution to Holdings in one or more transactions prior to
March 31, 2010, to be used by Holdings to fund the optional repurchase by Holdings, in open market
or private transactions, of Holdings’ 2005 Convertible Debentures and/or Holdings’ 2006
Convertible Debentures. For the avoidance of doubt, cash distributed by WESCO Distribution to
Holdings to permit Holdings to repurchase, as a result of the exercise of an option by holders to
require such repurchase, any of the 2005 Convertible Debentures or the 2006 Convertible Debentures
shall not be included in amounts added in the calculation of Fixed Charges pursuant to the
terms of item (e) above.

     “Funded Debt” means, with respect to any Person, without duplication, all Indebtedness
for borrowed money evidenced by notes, bonds, debentures, or similar evidences of Indebtedness that
by its terms matures more than one year from, or is directly or indirectly renewable or extendible
at such Persons option under a revolving credit or similar agreement obligating the lender or
lenders to extend credit over a period of more than one year from the date of creation thereof, and
specifically including Capital Lease Obligations, current maturities of long-term debt, revolving
credit and short-term debt extendible beyond one year at the option of the debtor, and also
including, without duplication, Guaranteed Indebtedness consisting of guaranties of Funded Debt of
other Persons.

     “GAAP” means generally accepted accounting principles in the United States of America,
consistently applied, as such term is further defined in Annex G to the Credit Agreement.

     “GE Capital” means General Electric Capital Corporation, a Delaware corporation.

 Schedule V-7  

 

     “GE Capital Canada” means GE Canada Finance Holding Company, a Nova Scotia unlimited
liability company.

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

     “Guaranteed Indebtedness” means, as to any Person, any obligation of such Person
guaranteeing, providing comfort or otherwise supporting any Indebtedness, lease, dividend, or other
obligation (“primary obligation”) of any other Person (the “primary obligor”) in any manner,
including any obligation or arrangement of such Person to (a) purchase or repurchase any such
primary obligation, (b) advance or supply funds (i) for the purchase or payment of any such primary
obligation or (ii) to maintain working capital or equity capital of the primary obligor or
otherwise to maintain the net worth or solvency or any balance sheet condition of the primary
obligor, (c) purchase property, securities or services primarily for the purpose of assuring the
owner of any such primary obligation of the ability of the primary obligor to make payment of such
primary obligation, (d) protect the beneficiary of such arrangement from loss (other than product
warranties given in the ordinary course of business) or (e) indemnify the owner of such primary
obligation against loss in respect thereof. The amount of any Guaranteed Indebtedness at any time
shall be deemed to be an amount equal to the lesser at such time of (x) the stated or determinable
amount of the primary obligation in respect of which such Guaranteed Indebtedness is incurred and
(y) the maximum amount for which such Person may be liable pursuant to the terms of the instrument
embodying such Guaranteed Indebtedness, or, if not stated or determinable, the maximum reasonably
anticipated liability (assuming full performance) in respect thereof.

     “Guaranties” means, collectively, the Holdings Guaranty, each Subsidiary Guaranty and
any other guaranty executed by any Guarantor in favor of the Applicable Agent and Lenders in
respect of the Obligations.

     “Guarantors” means Holdings and each Canadian or domestic Subsidiary of any Borrower
(excluding WESCO Receivables), including, without limitation, WDC Holding, and each other Person,
if any, that executes a guaranty or other similar agreement in favor of Agent, for itself and the
ratable benefit of Agents and Lenders, or in favor of Canadian Agent, for itself and the ratable
benefit of Canadian Lenders in connection with the transactions contemplated by the Credit
Agreement and the other Loan Documents.

     “Hedging Agreements” means any non-speculative interest rate protection agreements,
foreign currency exchange agreements, commodity futures agreements or other non-speculative
interest or exchange rate hedging agreements entered into in the ordinary course of business.

     “Herning” means Herning Enterprises, Inc., a Delaware corporation.

     “Holdings” means, WESCO International, Inc.

     “Holdings Guaranty” means the Second Amended and Restated guaranty dated as of the
Credit Agreement Closing Date executed by Holdings in favor of Agent and Lenders.

Schedule V-8

 

     “Holdings Pledge Agreement” means the Second Amended and Restated Pledge Agreement
dated as of the Credit Agreement Closing Date executed by Holdings in favor of Agent, on behalf of
itself and Lenders, pledging all Stock of Borrowers and Holdings’ other Subsidiaries and all
Intercompany Notes owing to or held by it.

     “Indebtedness” means, with respect to any Person, without duplication (a) all
indebtedness of such Person for borrowed money or for the deferred purchase price of property
payment for which is deferred 6 months or more, but excluding obligations to trade creditors
incurred in the ordinary course of business that are unsecured and not overdue by more than 6
months unless being contested in good faith, (b) all reimbursement and other obligations with
respect to letters of credit, bankers’ acceptances and surety bonds, whether or not matured, (c)
all obligations evidenced by notes, bonds, debentures or similar instruments, (d) all indebtedness
created or arising under any conditional sale or other title retention agreement with respect to
property acquired by such Person (even though the rights and remedies of the seller or lender under
such agreement in the event of default are limited to repossession or sale of such property), (e)
all Capital Lease Obligations and the present value (discounted at the Index Rate as in effect on
the Credit Agreement Closing Date) of future rental payments under all synthetic leases, (f) all
obligations of such Person under commodity purchase or option agreements or other commodity price
hedging arrangements, in each case whether contingent or matured, (g) all obligations of such
Person under any foreign exchange contract, currency swap agreement, interest rate swap, cap or
collar agreement or other similar agreement or arrangement designed to alter the risks of that
Person arising from fluctuations in currency values or interest rates, in each case whether
contingent or matured, (h) all Indebtedness referred to above secured by (or for which the holder
of such Indebtedness has an existing right, contingent or otherwise, to be secured by) any Lien
upon or in property or other assets (including accounts and contract rights) owned by such Person,
even though such Person has not assumed or become liable for the payment of such Indebtedness, and
(i) the Obligations.

     “Index Rate” means, for any day, (a) with respect to Obligations denominated in
Dollars, a floating rate equal to the higher of (i) the rate publicly quoted from time to time by
The Wall Street Journal as the “base rate on corporate loans posted by at least 75% of the nation’s
30 largest banks” (or, if The Wall Street Journal ceases quoting a base rate of the type described,
the highest per annum rate of interest published by the Federal Reserve Board in Federal Reserve
statistical release H.15 (519) entitled “Selected Interest Rates” as the Bank prime loan rate or
its equivalent), and (ii) the Federal Funds Rate plus 50 basis points per annum. Each change in any
interest rate provided for in the Credit Agreement based upon the Index Rate shall take effect at
the time of such change in the Index Rate and (b) with respect to Obligations denominated in
Canadian Dollars a floating rate equal to the greater of (i) the annual rate of interest publicly
quoted from time to time in the “Moneypage” section of The Wall Street Journal as being the
“Canadian prime rate” and (ii) the BA Rate in respect of a BA Period of thirty (30) days commencing
on the first Business Day of the calendar month in which such date occurs, plus 1.00% per annum.

     “Index Rate Loan” means a Loan or portion thereof bearing interest by reference to the
Index Rate.

Schedule V-9

 

     “Intercompany Notes” means each demand note, evidencing Indebtedness consisting of
intercompany loans and advances made by (a) WESCO Distribution to any other Credit Party that is a
domestic Guarantor (other than Holdings) or by any domestic Guarantor to WESCO Distribution, which
has been issued executed and delivered by WESCO Distribution to a domestic Guarantor as well as
executed and delivered to WESCO Distribution by each such domestic Guarantor or (b) WESCO
Distribution to WESCO DC LP, which has been executed and delivered by WESCO DC LP to WESCO
Distribution.

     “Intercreditor Agreement” has the meaning set forth in Exhibit I to the Receivables
Purchase Agreement.

     “Interest Expense” means, with respect to any Person for any fiscal period, interest
expense (whether cash or non-cash) of such Person determined in accordance with GAAP for the
relevant period on such date, including without limitation, interest expense with respect to any
Funded Debt of such Person, interest expense for the relevant period that has been capitalized on
the balance sheet of such Person and interest equivalent expense associated with this Credit
Agreement.

     “Lehman Brothers” means Lehman Brothers Special Financing, Inc.

     “Lenders” means GE Capital, the other Lenders named on the signature pages of the
Credit Agreement, and, if any such Lender shall decide to assign all or any portion of the
Obligations, such term shall include any assignee of such Lender.

     “Letter of Credit Obligations” means all outstanding obligations incurred by Agent and
US Lenders and/or by Canadian Agent and Canadian Lenders at the request of Borrower Representative,
whether direct or indirect, contingent or otherwise, due or not due, in connection with the
issuance of Letters of Credit by Agent or by Canadian Agent or another L/C Issuer or the purchase
of a participation as set forth in Annex B of the Credit Agreement with respect to any Letter of
Credit. The amount of such Letter of Credit Obligations shall equal the maximum amount that may be
payable at such time or at any time thereafter by Agent or Lenders (in connection with Letters of
Credit issued for the account of any US Borrower) or by Canadian Agent or Canadian Lenders (in
connection with Letters of Credit issued for the account of any Canadian Borrower) thereupon or
pursuant thereto, and in respect of Letters of Credit issued for the account of any Canadian
Borrower, for purposes of computation of the Maximum Amount, such amount shall be based on the
Dollar Equivalent Amount of such Letter of Credit Obligations as of any date of determination.

     “Letters of Credit” means documentary or standby letters of credit issued for the
account of Borrower by any L/C Issuer, and bankers’ acceptances issued by Borrower, for which Agent
and Lenders have incurred Letter of Credit Obligations, including, without limitation, those issued
after the Original Closing Date and prior to the Credit Agreement Closing Date and currently in
existence.

     “LIBOR Business Day” means a Business Day on which banks in the City of London are
generally open for interbank or foreign exchange transactions.

Schedule V-10

 

     “LIBOR Loan” means a Loan or any portion thereof bearing interest by reference to the
LIBOR Rate.

     “LIBOR Period” means, with respect to any LIBOR Loan, each period commencing on a
LIBOR Business Day selected by Borrower Representative pursuant to the Credit Agreement and ending
seven days or one, two, three or six months thereafter, as selected by Borrower Representatives
irrevocable notice to Agent as set forth in Section 1.5(e) of the Credit Agreement; provided, that
the foregoing provision relating to LIBOR Periods is subject to the following:

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

          (b) any LIBOR Period that would otherwise extend beyond the Commitment Termination Date shall
end 2 LIBOR Business Days prior to such date;

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

          (d) in the case of any LIBOR Period ending seven days thereafter, all Lenders shall have
consented thereto; and

          (e) Borrower Representative shall select LIBOR Periods so that there shall be no more than 10
separate LIBOR Loans and BA Rate Loans, collectively in existence at any one time.

     “LIBOR Rate” means for each LIBOR Period, a rate of interest determined by Agent equal
to:

          (a) the offered rate for deposits in United States Dollars for the applicable LIBOR Period
that appears on Telerate Page 3750 as of 11:00 a.m. (London time), on the second full LIBOR
Business Day next preceding the first day of such LIBOR Period (unless such date is not a Business
Day, in which event the next succeeding Business Day will be used); divided by

          (b) a number equal to 1.0 minus the aggregate (but without duplication) of the rates
(expressed as a decimal fraction) of reserve requirements in effect on the day that is 2 LIBOR
Business Days prior to the beginning of such LIBOR Period (including basic, supplemental, marginal
and emergency reserves under any regulations of the Federal Reserve Board or other Governmental
Authority having jurisdiction with respect thereto, as now and from time to time in effect) for
Eurocurrency funding (currently referred to as “Eurocurrency Liabilities” in Regulation D of the
Federal Reserve Board that are required to be maintained by a member bank of the Federal Reserve
System).

     If such interest rates shall cease to be available from Telerate News Service, the LIBOR Rate
shall be determined from such financial reporting service or other information as shall be mutually
acceptable to Agent and Borrower Representative.

Schedule V-11

 

     “Lien” means any mortgage or deed of trust, pledge, hypothecation, assignment, deposit
arrangement, lien, charge, claim, security interest, easement or encumbrance, or preference,
priority or other security agreement or preferential arrangement of any kind or nature whatsoever
(including any lease or title retention agreement, any financing lease having substantially the
same economic effect as any of the foregoing, and the filing of, or agreement to give, any
financing statement perfecting a security interest under the Code or comparable law of any
jurisdiction).

     “Loan Documents” means the Credit Agreement, the Notes, the Debentures, the Collateral
Documents, the Master Standby Agreement, the Master Documentary Agreement, the Intercreditor
Agreement, any intercreditor agreement entered into with Lehman Brothers or The Bank of New York
Mellon relating to the respective Swap Agreements, and all other agreements, instruments,
reaffirmations, documents and certificates identified in the Closing Checklist executed and
delivered to, or in favor of, Agent, Canadian Agent or any Lenders and including all other pledges,
powers of attorney, consents, assignments, contracts, notices, and all other written matter whether
heretofore, now or hereafter executed by or on behalf of any Credit Party, or any employee of any
Credit Party, and delivered to Agent, Canadian Agent or any Lender in connection with the Existing
Credit Agreement, the Credit Agreement or the transactions contemplated thereby. Any reference in
the Credit Agreement or any other Loan Document to a Loan Document shall include all appendices,
exhibits or schedules thereto, and all amendments, restatements, supplements or other modifications
thereto, and shall refer to the Credit Agreement or such Loan Document as the same may be in effect
at any and all times such reference becomes operative.

     “Loans” means the Revolving Loan and the Swing Line Loan.

     “L/C Issuer” means GE Capital or a Subsidiary thereof or a bank or other legally
authorized Person selected by or acceptable to Agent in its sole discretion, or, GE Capital Canada
or an Affiliate thereof or a bank or other legally authorized Person selected by or acceptable to
Canadian Agent.

     “Master Documentary Agreement” means, collectively, the Second Amended and Restated
Master Agreement for Documentary Letters of Credit dated as of the Credit Agreement Closing Date
between Borrower Representative, as applicant, and GE Capital, as issuer and the Master Agreement
for Documentary Letters of Credit dated as of the Credit Agreement Closing Date between Borrower
Representative, as applicant, and GE Capital Canada, as issuer.

     “Master Standby Agreement” means, collectively, the Second Amended and Restated Master
Agreement for Standby Letters of Credit dated as of the Credit Agreement Closing Date between
Borrower Representative, as applicant, and GE Capital, as issuer; and the Master Agreement for
Standby Letters of Credit dated as of the Credit Agreement Closing Date between Borrower
Representative, as applicant, and GE Capital Canada, as issuer.

     “Maximum Amount” means, as of any date of determination, an amount equal to the
Revolving Loan Commitment of all Lenders as of that date, provided that for purposes of this
definition, the Canadian Revolving Loan Commitment shall be computed in the Dollar

Schedule V-12

 

Equivalent Amount thereof so that at no time shall the Maximum Amount exceed Four Hundred and
Forty Million Dollars ($440,000,000).

     “Notes” means, collectively, the Revolving Notes and the Swing Line Note.

     “Notice of Revolving Credit Advance” means a notice, (a) given in writing (by telecopy
or overnight courier) substantially in the form of Exhibit 1.1(a)(i) of the Credit Agreement, and
including such other information as may be required by Agent of a Revolving Credit Advance, (b)
given by Borrower Representative on behalf of the applicable Borrower to one of the representatives
of Agent and in the case of Canadian Revolving Credit Advances, to the Canadian Agent as well and
(c) given no later than (1) 12:00 noon (New York time) on the Business Day of the proposed
Revolving Credit Advance, in the case of an Index Rate Loan, or (2) 12:00 noon (New York time) on
the date which is 3 Business Days prior to the proposed Revolving Credit Advance, in the case of a
LIBOR Loan or BA Rate Loan.

     “Obligations” means all loans, advances, debts, liabilities and obligations, for the
performance of covenants, tasks or duties or for payment of monetary amounts (whether or not such
performance is then required or contingent, or such amounts are liquidated or determinable) owing
by any Credit Party to Agent, Canadian Agent or any Lender, and all covenants and duties regarding
such amounts, of any kind or nature, present or future, whether or not evidenced by any note,
agreement or other instrument, arising under the Credit Agreement, any of the other Loan Documents
or any Hedging Agreement provided by a Lender or any wholly-owned Affiliate of a Lender. This term
includes all principal, interest (including all interest that accrues after the commencement of any
case or proceeding by or against any Credit Party in bankruptcy, whether or not allowed in such
case or proceeding), Fees, hedging obligations under any Hedging Agreements provided by any Lender
or any wholly-owned Affiliate of a Lender, Charges, expenses, attorneys’ fees and any other sum
chargeable to any Credit Party under the Credit Agreement or any of the other Loan Documents.

     “Original Closing Date” means March 19, 2002.

     “Patent Security Agreement” means the Second Amended and Restated Patent Security
Agreement made in favor of Agent, on behalf of itself and Lenders, and in favor of Canadian Agent,
on behalf of itself and Canadian Lenders by each applicable Credit Party.

     “PBGC” means the Pension Benefit Guaranty Corporation.

     “Person” means any individual, sole proprietorship, partnership, joint venture, trust,
unincorporated organization, association, corporation, limited liability company, institution,
public benefit corporation, other entity or government (whether federal, state, county, city,
municipal, local, foreign, or otherwise, including any instrumentality, division, agency, body or
department thereof).

     “Pledge Agreements” means the Borrowers Pledge Agreement, the Holdings Pledge
Agreement, and any other pledge agreement entered into on or after the Original Closing Date by any
Credit Party (as required by the Credit Agreement or any other Loan Document).

Schedule V-13

 

     “Receivables Purchase Agreement” means that certain Second Amended and Restated
Receivables Purchase Agreement, dated as of September 2, 2003, among WESCO Receivables, WESCO
Distribution, the purchasers party thereto and the lenders named therein, as amended to the date of
this Credit Agreement, and as it may be further amended, restated, modified or supplemented, so
long as the Intercreditor Agreement remains in full force and effect.

     “Revolving Credit Advance” means each advance made by US Lenders to US Borrowers and
by Canadian Lenders to Canadian Borrowers from time to time until the Commitment Termination Date.

     “Revolving Loan” means, at any time, the sum of (i) the aggregate amount of US
Revolving Credit Advances and Canadian Revolving Credit Advances based on the Dollar Equivalent
Amount thereof as of any date of determination plus (ii) the aggregate US Letter of Credit
Obligations incurred on behalf of US Borrowers and Canadian Letter of Credit Obligations incurred
on behalf of Canadian Borrowers based on the Dollar Equivalent Amount thereof as of any date of
determination, and in respect of US Borrowers means the aggregate US Revolving Credit Advances and
US Letter of Credit Obligations, and in respect of Canadian Borrowers means the aggregate Canadian
Revolving Credit Advances and Canadian Letter of Credit Obligations. Unless the context otherwise
requires, references to the outstanding principal balance of the Revolving Loan shall include the
outstanding balance of Letter of Credit Obligations.

     “Revolving Loan Commitment” means (a) as to any Lender, the aggregate commitment of
such Lender to make Revolving Credit Advances or incur Letter of Credit Obligations as set forth on
Annex J to the Credit Agreement or in the most recent Assignment Agreement executed by such
Lender and (b) as to all Lenders, the aggregate commitment of all Lenders to make Revolving Credit
Advances or incur Letter of Credit Obligations, which aggregate commitment shall be Four Hundred
and Forty Million Dollars ($440,000,000) on the Credit Agreement Closing Date, as such amount may
be adjusted, if at all, from time to time in accordance with the Credit Agreement.

     “Revolving Note” means a note that evidences the Revolving Loan Commitment (a) of that
US Lender executed and delivered by each US Borrower to the Agent for delivery to each US Lender or
(b) of that Canadian Lender executed and delivered by each Canadian Borrower to the Agent for
delivery to each Canadian Lender.

     “Security Agreement” means, collectively, the Second Amended and Restated Security
Agreement dated as of the Credit Agreement Closing Date, entered into by and among Agent, on behalf
of itself and Lenders, and each domestic Credit Party that is a signatory thereto and the Second
Amended and Restated Security Agreement, dated as of the Credit Agreement Closing Date, entered
into by and among Canadian Agent, on behalf of itself and Canadian Lenders, and each Canadian
Credit Party that is a signatory thereto, without giving effect to any termination thereof.

     “SPE” means any direct or indirect special purpose entity Subsidiary formed by
Borrower for the purpose of (i) selling by means of a contribution, certain real property to the
SPEs and

Schedule V-14

 

leasing back such real property and (ii) allowing such SPEs to contemporaneously engage in
mortgage financings permitted by Section 6.3(a)(x) of the Credit Agreement.

     “Stock” means all shares, options, warrants, general or limited partnership interests,
membership interests or other equivalents (regardless of how designated) of or in a corporation,
partnership, limited liability company or equivalent entity whether voting or nonvoting, including
common stock, preferred stock or any other “equity security” (as such term is defined in Rule
3a11-1 of the General Rules and Regulations promulgated by the Securities and Exchange Commission
under the Securities Exchange Act of 1934).

     “Subsidiary” means, with respect to any Person, (a) any corporation of which an
aggregate of more than 50% of the outstanding Stock having ordinary voting power to elect a
majority of the board of directors of such corporation (irrespective of whether, at the time, Stock
of any other class or classes of such corporation shall have or might have voting power by reason
of the happening of any contingency) is at the time, directly or indirectly, owned legally or
beneficially by such Person or one or more Subsidiaries of such Person, or with respect to which
any such Person has the right to vote or designate the vote of 50% or more of such Stock whether by
proxy, agreement, operation of law or otherwise, and (b) any partnership or limited liability
company in which such Person and/or one or more Subsidiaries of such Person shall have an interest
(whether in the form of voting or participation in profits or capital contribution) of more than
50% or of which any such Person is a general partner or may exercise the powers of a general
partner. Unless the context otherwise requires, each reference to a Subsidiary shall be a reference
to a Subsidiary of the Borrower.

     “Subsidiary Guaranty” means the Second Amended and Restated Subsidiary Guaranty, dated
as of the Credit Agreement Closing Date, executed by WESCO Finance and each domestic Subsidiary of
the Borrowers party thereto (which shall exclude WESCO Receivables and any SPE’s) in favor of
Agent, on behalf of itself and Lenders and the Second Amended and Restated Subsidiary Guaranty,
dated as of the Credit Agreement Closing Date, executed by each Canadian Subsidiary of any
Borrowers party thereto in favor of Canadian Agent, on behalf of itself and Canadian Lenders.

     “Swap Agreements” means that certain ISDA Master Agreement (Multicurrency — Cross
Border) with Lehman Brothers, and all confirmations and other documents executed in connection
therewith, and that certain ISDA Master Agreement with Goldman, Sachs & Co., and all confirmations
and other documents executed in connection therewith.

     “Swing Line Advance” means an advance made by the Swing Line Lender from time to time
until the Commitment Termination Date in accordance with a Notice of Revolving Credit Advance.

     “Swing Line Commitment” means, as to the applicable Swing Line Lender, the commitment
of the applicable Swing Line Lender to make Swing Line Advances as set forth on Annex J to the
Credit Agreement, which commitment constitutes a subfacility of the Revolving Loan Commitment of
the applicable Swing Line Lender.

Schedule V-15

 

     “Swing Line Lender” means GE Capital in respect of the US Borrowers and means GE
Capital Canada in respect of the Canadian Borrowers.

     “Swing Line Loan” means, as the context may require, at any time, the aggregate amount
of Swing Line Advances outstanding to any Borrower or to all Borrowers, and in respect of US
Borrowers, means the aggregate US Swing Line Advances, and in respect of the Canadian Borrowers,
means the aggregate Canadian Swing Line Advances based on the Dollar Equivalent Amount thereof as
of any date of determination.

     “Swing Line Note” means a promissory note executed and delivered by the Borrower to
the Swing Line Lender in the principal amount of and evidencing the Swing Line Commitment of such
Swing Line Lender, dated the Credit Agreement Closing Date and substantially in the form of Exhibit
1.1(b)(ii) of the Credit Agreement.

     “Taxes” means taxes, levies, imposts, deductions, Charges or withholdings, and all
liabilities with respect thereto, excluding taxes imposed on or measured by the net income or
capital of the Agent or a Lender by the jurisdictions under the laws of which Agent and Lenders are
organized or conduct business or any political subdivision thereof.

     “Trademark Security Agreement” means the Second Amended and Restated Trademark
Security Agreement made in favor of Agent, on behalf of Lenders, and in favor of Canadian Agent on
behalf of Canadian Lenders by each applicable Credit Party.

     “US Borrowers” means WESCO Distribution, WESCO Equity, Herning, WESCO Nevada,
Carlton-Bates Company, Communications Supply Corporation, Calvert Wire & Cable, Inc., Liberty Wire
& Cable, Inc. and Bruckner Supply Company, Inc.

     “US Lenders” means GE Capital, in its individual capacity, each Person named on the
signature pages of the Credit Agreement as a US Lender, and, if any such US Lender shall decide to
assign all or any portion of the Obligations, such term shall include any assignee of such Lender.

     “US Letter of Credit Obligations” means Letter of Credit Obligations that US Lenders
agree to incur, or purchase participations in, in respect of each US Borrower.

     “US Revolving Credit Advances” means Revolving Credit Advances outstanding to US
Borrowers.

     “US Swing Line Advances” means Swing Line Advances made to US Borrowers by the
applicable Swing Line Lender in Dollars.

     “WDC Holding” means WDC Holding, Inc., a Delaware corporation.

     “WESCO Canada” means WESCO Distribution Canada Co., a Nova Scotia unlimited liability
company.

     “WESCO DC GP” means WESCO Distribution Canada GP Inc., a Nova Scotia limited company.

Schedule V-16

 

     “WESCO DC LP” means WESCO Distribution Canada LP, an Ontario limited partnership.

     “WESCO Distribution” means WESCO Distribution, Inc., a Delaware corporation.

     “WESCO Equity” means WESCO Equity Corporation, a Delaware corporation.

     “WESCO Finance” means WESCO Finance Corporation, a Delaware corporation.

     “WESCO Nevada” means WESCO Nevada, Ltd., a Nevada corporation.

     “WESCO Nigeria” means WESCO Nigeria, Inc., a Delaware corporation.

     “WESCO Receivables” means WESCO Receivables Corp., a Delaware corporation.

     “WESCO Voltage” means WESCO Voltage, Inc., a Delaware corporation.

     “2005 Convertible Debentures” means, that certain Indebtedness of Holdings’ consisting
of convertible senior debentures issued by Holdings in a principal amount of $150,000,000 on
September 27, 2005.

     “2006 Convertible Debentures” means, that certain Indebtedness of Holdings’ consisting
of convertible senior debentures issued by Holdings in a principal amount of $300,000,000 on
November 2, 2006.

Schedule V-17

 

SCHEDULE VI

COMMITMENTS AND CLOSING DATE INVESTMENT AMOUNT (AFTER GIVING EFFECT TO NON-PRO RATA FUNDINGS AND
PAYDOWNS ON THE CLOSING DATE)

PNC BANK, NATIONAL ASSOCIATION,

as a Related Committed Purchaser for Market Street Funding LLC

Commitment: $120,000,000

FIFTH THIRD BANK,

as a Related Committed Purchaser for Fifth Third Bank

Commitment: $70,000,000

WACHOVIA BANK, NATIONAL ASSOCIATION,

as a Related Committed Purchaser for Wachovia Bank, National Association

Commitment: $120,000,000

U.S. BANK NATIONAL ASSOCIATION,

as a Related Committed Purchaser for U.S. Bank National Association

Commitment: $35,000,000

THE PRIVATEBANK AND TRUST COMPANY,

as a Related Committed Purchaser for The PrivateBank and Trust Company

Commitment: $20,000,000

THE HUNTINGTON NATIONAL BANK,

as a Related Committed Purchaser for The Huntington National Bank

Commitment: $35,000,000

Schedule VI-1

 

	 	 	 	 	 	     	 	 	 
	 	 	 	 	 	 	Investment (after giving	 
	 	 	Non-pro rata advance	 	 	effect to the non-pro rata	 
	Purchaser	 	(paydown)	 	 	advance (paydown))	 
	Wachovia (1)
	 	$	69,000,000	 	 	$	69,000,000	 
	The Huntington National Bank (1)
	 	$	20,125,000	 	 	$	20,125,000	 
	U.S. Bank National Association (1)
	 	$	20,125,000	 	 	$	20,125,000	 
	Market Street Funding LLC (1)
	 	$	19,166,820	 	 	$	69,000,000	 
	The PrivateBank and Trust Company (1)
	 	$	11,500,000	 	 	$	11,500,000	 
	Fifth Third (1)
	 	$	(9,583,640	)	 	$	40,250,000	 
	GECC (2)
	 	$	(49,833,180	)	 	$	0	 
	VFCC (2)
	 	$	(80,500,000	)	 	$	0	 
	 
	 	 	 	 	 	 
	Total
	 	$	0	 	 	$	230,000,000	 
	 
	 	 	 	 	 	 

 

			
	(1)	 	Such Person as a Purchaser under the Agreement.
	 
	(2)	 	Such Person as a Purchaser under the Original Agreement.

Schedule VI-2

 

SCHEDULE VII

SCHEDULED COMMITMENT TERMINATION DATE

PNC BANK, NATIONAL ASSOCIATION,

as a Related Committed Purchaser for Market Street Funding LLC

Scheduled Commitment Termination Date: April 13, 2012

FIFTH THIRD BANK,

as a Related Committed Purchaser for Fifth Third Bank

Scheduled Commitment Termination Date: April 13, 2012

WACHOVIA BANK, NATIONAL ASSOCIATION,

as a Related Committed Purchaser for Wachovia Bank, National Association

Scheduled Commitment Termination Date: April 13, 2012

U.S. BANK NATIONAL ASSOCIATION,

as a Related Committed Purchaser for U.S. Bank National Association

Scheduled Commitment Termination Date: April 13, 2012

THE PRIVATEBANK AND TRUST COMPANY,

as a Related Committed Purchaser for The PrivateBank and Trust Company

Scheduled Commitment Termination Date: April 13, 2012

THE HUNTINGTON NATIONAL BANK,

as a Related Committed Purchaser for The Huntington National Bank

Scheduled Commitment Termination Date: April 13, 2012

Schedule VII-1

 

ANNEX A

to Third Amended And Restated Receivables Purchase Agreement

FORM OF INFORMATION PACKAGE

ANNEX A

 

ANNEX B

to Third Amended And Restated Receivables Purchase Agreement

FORM OF PURCHASE NOTICE

ANNEX B

 

ANNEX C

to Third Amended And Restated Receivables Purchase Agreement

LIST OF SPECIAL OBLIGORS

ANNEX C

 

ANNEX D

to Third Amended And Restated Receivables Purchase Agreement

FORM OF ASSUMPTION AGREEMENT

ANNEX D

 

ANNEX E

to Third Amended And Restated Receivables Purchase Agreement

FORM OF TRANSFER SUPPLEMENT

ANNEX Eexv10w83

Exhibit 10.83

GLOBAL AMENDMENT TO

NOTE, INDENTURE AND SECURITIES PURCHASE AGREEMENT

This Global Amendment to Note, Indenture and Securities Purchase Agreement (this “Amendment”) is
among:

	 	•	 	Rockford Corporation, an Arizona corporation (“Company”);
	 
	 	•	 	The Bank of New York Mellon Trust Company, N.A., as successor
to BNY Western Trust Company, a California banking corporation
(“BNYM”); and
	 
	 	•	 	J.P. Morgan Securities Inc., a Delaware corporation (“JP Morgan”).

RECITALS:

	 	A.	 	Company, JP Morgan and certain other Noteholders (as defined in the Indenture
referenced below) entered into a Securities Purchase Agreement, dated as of June 10,
2004 (the “Purchase Agreement”), pursuant to which Company issued and sold to
Noteholders (i) $12,500,000 aggregate principal amount of Company’s 4.5% Convertible
Senior Subordinated Secured Notes due 2009 (the “Notes”) and (ii) Warrants to Purchase
Common Stock for an aggregate of 590,737 shares of Company’s Common Stock (the
“Warrants”).
	 
	 	B.	 	In connection with the transactions contemplated by the Purchase Agreement, one
or more of the parties, together with certain other parties thereto, entered into
certain ancillary agreements, each of which is dated as of June 10, 2004, including the
following (together with the Purchase Agreement, the Notes, and the Warrants, the
“Operative Documents”):

	 	•	 	Indenture between Company and BNYM, as Trustee, relating to the
Notes;
	 
	 	•	 	Security Agreement among Company, Audio Innovations, Inc. and
BNYM,
as Agent for Noteholders; and
	 
	 	•	 	Registration Rights Agreement among Company, Piper Jaffray and
Noteholders.

	 	C.	 	Certain of the Operative Documents were amended, including to increase the
number of Warrants issued to Noteholders, pursuant to a Global Amendment to Notes,
Warrants, Indenture, Security Agreement, Warrant Agent Agreement and Registration
Rights Agreement and Waiver of Event of Default dated as of November 12, 2004.
	 
	 	D.	 	All of the Notes and Warrants issued pursuant to the Purchase Agreement and the
Indenture have been retired or cancelled other than Note Certificate No. 13 in the
aggregate principal amount of $5,000,000 issued to and held by

 

 

	 	 	 	JP Morgan (the “JP Morgan Note”) and Warrant Certificate No. 13 for 475,000 shares
of Common Stock of Company issued to and held by JP Morgan (the “JP Morgan
Warrant”).

	 	E.	 	The JP Morgan Note matures and is due and payable in full on June 10, 2009.
Company has requested that JP Morgan grant an extension of time for the payment of
the JP Morgan Note as described in this Amendment. JP Morgan is willing to grant such
extension subject to Company’s agreement to amend certain terms and conditions of the
Operative Documents as specified in this Amendment.

AGREEMENTS:

	 	1.	 	Defined Terms. Capitalized terms used but not defined in this
Amendment will have the meanings given them in the Operative Documents.
	 
	 	2.	 	Amendments to JP Morgan Note. The JP Morgan Note is amended as
follows:

	 	(a)	 	The maturity date of the JP Morgan Note is extended to December
10, 2010; provided, however, Company must make principal payments on the JP
Morgan Note in the amount of $1,250,000 each in accordance with the following
schedule:

June 10, 2009

December 10, 2009

June 10, 2010

December 10, 2010

	 	 	 	On December 10, 2010, all unpaid principal and accrued but unpaid interest
will be due and payable in full.

	 	(b)	 	Effective from and after June 10, 2009, the interest rate on
the JP Morgan Note will increase to 10.0% per annum payable semiannually on
each June 10 and December 10.
	 
	 	(c)	 	The title of the JP Morgan Note is amended to the extent
necessary to reflect the amendments in this Paragraph 2. Except as expressly
amended by this Paragraph 2, all other terms of the JP Morgan Note will
continue in full force and effect.

	 	 	 	At the request of the Trustee or JP Morgan, Company will execute and deliver to the
Trustee for authentication a new Note reflecting the foregoing amendments, and the
Trustee will thereupon authenticate and deliver the new Note to JP Morgan upon
surrender of the outstanding Note in accordance with Section 11.4 of the Indenture.

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	 	3.	 	Amendments to Indenture.

	 	(a)	 	Section 16.1 of the Indenture is amended and restated in its
entirety as follows:

     If, at any time prior to December 10, 2010 there shall occur a
Repurchase Event (as defined in Section 16.3), then each holder shall have
the right, at such holder’s option, to require the Company to repurchase all
of such holder’s Notes, or any portion thereof (in principal amounts of One
Thousand United States Dollars ($1,000) or integral multiples thereof), on
the date (the “repurchase date”) that is forty (40) calendar days after the
date of the Company Notice (as defined in Section 16.2(a) below) of such
Repurchase Event (or, if such 40th day is not a Business Day, the
next succeeding Business Day). If the Repurchase Event occurs (i) after June 10, 2008 but prior to or on June 10, 2009, such
repurchase shall be made in cash at a price equal to 105% of the principal
amount of Notes such holder elects to require the Company to repurchase, and
(ii) after June 10, 2009 but prior to or on December 10, 2010, such
repurchase shall be made in cash at a price equal to 100% of the principal
amount of Notes such holder elects to require the Company to repurchase,
together, in each case, with accrued interest, if any, to the applicable
repurchase date (the “Repurchase Price”). Notwithstanding anything in this
Article XVI to the contrary, if a redemption date pursuant to Article III
shall occur prior to any repurchase date established pursuant to a Company
Notice under Section 16.2, provided that the Company shall have deposited or
set aside an amount of money sufficient to redeem such Notes as set forth in
Section 3.2 on or before such repurchase date, all such Notes shall be
redeemed pursuant to Article III and the repurchase rights hereunder shall
have no effect.

	 	(b)	 	Section 16.3(d) of the Indenture is amended to delete the
phrase “or a Termination of Trading” and Section 16.3(f) is deleted and will
have no further effect after the date of this Amendment. As a result of this
change Section 16.3(d) reads in full as follows:

     The term “Repurchase Event” means a Change in Control.

	 	(c)	 	The Indenture, including the form of Note attached as Exhibit A
to the Indenture, is amended to the extent necessary to reflect the amendments
in Paragraph 2 above.

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	 	4.	 	Amendment to Purchase Agreement. The second sentence of Section 4(f)
of the Purchase Agreement is deleted from the Purchase Agreement and declared null and
void.
	 
	 	5.	 	Affect of Amendments on Certain Other Provisions and Agreements.
Notwithstanding the extension of the maturity date of the JP Morgan Note and the other
amendments described above:

	 	(a)	 	JP Morgan’s right to convert all or any portion of the
principal amount of the JP Morgan Note into shares of Common Stock expires on
June 10, 2009 as originally provided in the JP Morgan Note;
	 
	 	(b)	 	JP Morgan’s right to purchase shares of Common Stock pursuant
to the JP Morgan Warrant expires on June 10, 2009 as originally provided in the
JP Morgan Warrant;
	 
	 	(c)	 	The Registration Rights Agreement (other than Sections 6 and 7
of the Registration Rights Agreement, which will, subject to applicable law,
survive and continue in full force and effect in accordance with their terms)
will terminate and be of no further force and effect on June 10, 2009.
	 
	 	(d)	 	This Security Agreement continues in full force and effect and
nothing in this Amendment is intended to affect or impair BNYM’s rights, as
Agent for the Noteholders, in the Collateral. Company will cause a UCC
continuation statement to be filed in the office of the Arizona Secretary of
State on or before June 11, 2009, the expiration date of the existing UCC
financing statement filed in favor of BNYM, as Agent (File No. 2004-13203433).

	 	6.	 	Extension Fee. As additional consideration for JP Morgan entering into
this Amendment, including its agreement to extend the maturity date of the JP Morgan
Note, Company will pay to JP Morgan an extension fee in the amount of $50,000 payable
concurrently with the execution and delivery of this Amendment.
	 
	 	7.	 	Independent Advice. JP Morgan acknowledges and agrees that it has had
the opportunity to consult with its own counsel, accountants and other advisers
regarding the legal, tax and other implications of this Amendment.
	 
	 	8.	 	Integration. This Amendment incorporates all negotiations of the
parties hereto with respect to the subject matter of this Amendment and is the final
expression and agreement of the parties with respect to the subject matter of this
Amendment.
	 
	 	9.	 	Severability. If any provision of this Amendment is held to be
invalid, illegal or unenforceable, such provision will be severable from the remainder
of this Amendment and the validity, legality and enforceability of the remaining

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	 	 	 	provisions of this Amendment will not in any way be affected or impaired thereby.

	 	10.	 	Conflict. If there is any conflict between the provisions of this
Amendment and the provisions of any of the Operative Documents, the provisions of this
Amendment will control. Except as expressly amended hereby, the terms, conditions and
provisions of the Operative Documents remain in full force and effect.
	 
	 	11.	 	BNYM makes no representation to either Company or JP Morgan as to the validity or sufficiency of this Amendment.

[signature page follows]

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	 	12.	 	Effective Date. This Amendment is executed effective as of April 13, 2009.

	 	 	 	 	 	 	 	 	 
	 	 	ROCKFORD CORPORATION	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	Title:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK
MELLON TRUST COMPANY, N.A.	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	Title:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	J.P. MORGAN SECURITIES INC.	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	Title:	 	 	 	 
	 

	 	 	 	 	 	 	 	 

- 6 -

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