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Exhibit
10.1
AMENDED AND
RESTATED
CREDIT AND GUARANTY
AGREEMENT
dated as of July 17,
2008
among
HOLOGIC,
INC.,
CERTAIN SUBSIDIARIES OF
HOLOGIC, INC.,
as
Guarantors,
VARIOUS
LENDERS,
GOLDMAN SACHS CREDIT
PARTNERS L.P.,
as Sole Lead Arranger and
Sole Lead Bookrunner,
GOLDMAN SACHS CREDIT
PARTNERS L.P.,
JPMORGAN CHASE BANK, N.A.
and
RBS CITIZENS, NATIONAL
ASSOCIATION,
as Co-Syndication
Agents,
GOLDMAN SACHS CREDIT
PARTNERS L.P.,
as Administrative Agent
and Collateral Agent,
and
ROYAL BANK OF
CANADA,
as Documentation
Agent
$800,000,000 Senior
Secured Credit Facilities
TABLE OF
CONTENTS
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Page |
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Section
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1. DEFINITIONS AND
INTERPRETATION
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2 |
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1.1.
Definitions. |
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2 |
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1.2. Accounting Terms
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43 |
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1.3. Interpretation, Etc.
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43 |
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1.4. Letter of Credit Amounts
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43 |
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1.5. Exchange Rates
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43 |
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Section
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2. LOANS AND LETTERS OF
CREDIT
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44 |
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2.1. Term Loans
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44 |
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2.2. Revolving Loans
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45 |
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2.3. Swing Line Loans
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46 |
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2.4. Issuance of Letters of Credit and
Purchase of Participations Therein
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49 |
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2.5. Pro Rata Shares; Availability of
Funds
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54 |
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2.6. Use of Proceeds
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54 |
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2.7. Evidence of Debt; Register;
Lenders’ Books and Records; Notes
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55 |
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2.8. Interest on Loans
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56 |
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2.9. Conversion/Continuation
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58 |
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2.10. Default Interest
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58 |
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2.11. Fees
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59 |
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2.12. Scheduled Payments/Commitment
Reductions
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60 |
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2.13. Voluntary Prepayments/Commitment
Reductions
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62 |
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2.14. Mandatory Prepayments/Commitment
Reductions
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63 |
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2.15. Application of
Prepayments/Reductions
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65 |
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2.16. General Provisions Regarding
Payments
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67 |
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2.17. Ratable Sharing
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68 |
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2.18. Making or Maintaining Eurodollar
Rate Loans
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69 |
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2.19. Increased Costs; Capital
Adequacy
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71 |
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2.20. Taxes; Withholding,
Etc.
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72 |
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2.21. Obligation to Mitigate
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75 |
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2.22. Defaulting Lenders
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75 |
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2.23. Removal or Replacement of a
Lender
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76 |
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2.24. Incremental Facilities
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77 |
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Section
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3. CONDITIONS PRECEDENT
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79 |
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3.1. Closing Date
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79 |
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3.2. Restatement Date
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79 |
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3.3. Conditions to Each Credit
Extension
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84 |
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Section
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4. REPRESENTATIONS AND
WARRANTIES
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86 |
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4.1. Organization; Requisite Power and
Authority; Qualification
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86 |
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4.2. Equity Interests and
Ownership
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86 |
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4.3. Due Authorization
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87 |
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4.4. No Conflict
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87 |
i
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4.5. Governmental Consents
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87 |
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4.6. Binding Obligation
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87 |
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4.7. Historical Financial
Statements
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87 |
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4.8. Projections
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88 |
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4.9. No Material Adverse
Change
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88 |
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4.10. No Restricted Junior
Payments
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88 |
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4.11. Adverse Proceedings,
Etc
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88 |
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4.12. Payment of Taxes
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88 |
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4.13. Properties
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89 |
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4.14. Environmental Matters
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90 |
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4.15. No Defaults
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90 |
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4.16. Material Contracts
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90 |
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4.17. Governmental Regulation
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90 |
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4.18. Margin Stock
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91 |
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4.19. Employee Matters
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91 |
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4.20. Employee Benefit Plans
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91 |
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4.21. Certain Fees
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92 |
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4.22. Solvency
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92 |
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4.23. Related Agreements
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92 |
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4.24. Compliance with Statutes,
Etc.
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92 |
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4.25. Disclosure
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93 |
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4.26. Senior Indebtedness
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93 |
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4.27. PATRIOT Act
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93 |
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Section
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5. AFFIRMATIVE COVENANTS
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93 |
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5.1. Financial Statements and Other
Reports
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94 |
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5.2. Existence
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98 |
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5.3. Payment of Taxes and
Claims
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99 |
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5.4. Maintenance of
Properties
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99 |
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5.5. Insurance
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99 |
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5.6. Books and Records;
Inspections
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100 |
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5.7. Lenders Meetings
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100 |
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5.8. Compliance with Laws
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100 |
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5.9. Environmental
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100 |
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5.10. Subsidiaries
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102 |
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5.11. Additional Material Real Estate
Assets
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103 |
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5.12. Interest Rate
Protection
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103 |
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5.13. Further Assurances
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103 |
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5.14. Third Wave Merger
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105 |
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5.15. Miscellaneous Covenants
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105 |
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5.16. Discharge of Third Wave
Obligations
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105 |
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Section
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6. NEGATIVE COVENANTS
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106 |
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6.1. Indebtedness
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107 |
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6.2. Liens
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110 |
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6.3. No Further Negative
Pledges
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112 |
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6.4. Restricted Junior
Payments
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113 |
ii
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6.5. Restrictions on Subsidiary
Distributions
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114 |
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6.6. Investments
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114 |
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6.7. Financial Covenants
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116 |
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6.8. Fundamental Changes; Disposition of
Assets; Acquisitions
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117 |
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6.9. Disposal of Subsidiary
Interests
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119 |
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6.10. Sales and Lease-Backs
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119 |
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6.11. Transactions with Shareholders and
Affiliates
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120 |
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6.12. Conduct of Business
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120 |
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6.13. Amendments or Waivers of
Organizational Documents and Certain Related Agreements
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121 |
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6.14. Amendments or Waivers of with
respect to Senior Unsecured Indebtedness and Subordinated
Indebtedness
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121 |
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6.15. Fiscal Year
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121 |
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6.16. Massachusetts Securities
Corporation
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121 |
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Section
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7. GUARANTY
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122 |
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7.1. Guaranty of the
Obligations
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122 |
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7.2. Contribution by
Guarantors
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122 |
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7.3. Payment by Guarantors
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122 |
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7.4. Liability of Guarantors
Absolute
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123 |
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7.5. Waivers by Guarantors
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125 |
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7.6. Guarantors’ Rights of
Subrogation, Contribution, Etc.
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125 |
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7.7. Subordination of Other
Obligations
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126 |
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7.8. Continuing Guaranty
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126 |
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7.9. Authority of Guarantors or
Borrower
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126 |
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7.10. Financial Condition of
Borrower
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126 |
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7.11. Bankruptcy, Etc.
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127 |
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7.12. Discharge of Guaranty Upon Sale of
Guarantor
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127 |
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Section
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8. EVENTS OF DEFAULT
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128 |
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8.1. Events of Default
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128 |
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Section
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9. AGENTS
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131 |
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9.1. Appointment of Agents
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131 |
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9.2. Powers and Duties
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132 |
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9.3. General Immunity
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132 |
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9.4. Agents Entitled to Act as
Lender
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133 |
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9.5. Lenders’ Representations,
Warranties and Acknowledgment
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134 |
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9.6. Right to Indemnity
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134 |
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9.7. Successor Administrative Agent,
Collateral Agent and Swing Line Lender
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134 |
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9.8. Collateral Documents and
Guaranty
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136 |
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9.9. Withholding Taxes
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138 |
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Section
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10. MISCELLANEOUS
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139 |
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10.1. Notices
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139 |
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10.2. Expenses
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140 |
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10.3. Indemnity
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141 |
iii
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10.4. Set-Off
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141 |
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10.5. Amendments and Waivers
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142 |
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10.6. Successors and Assigns;
Participations
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144 |
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10.7. Independence of
Covenants
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148 |
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10.8. Survival of Representations,
Warranties and Agreements
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148 |
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10.9. No Waiver; Remedies
Cumulative
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148 |
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10.10. Marshalling; Payments Set
Aside
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148 |
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10.11. Severability
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148 |
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10.12. Obligations Several; Independent
Nature of Lenders’ Rights
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148 |
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10.13. Headings
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149 |
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10.14. APPLICABLE LAW
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149 |
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10.15. CONSENT TO
JURISDICTION
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149 |
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10.16. WAIVER OF JURY TRIAL
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150 |
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10.17. Confidentiality
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150 |
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10.18. Usury Savings Clause
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151 |
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10.19. Counterparts
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151 |
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10.20. Effectiveness; Entire
Agreement
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151 |
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10.21. PATRIOT Act
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152 |
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10.22. Electronic Execution of
Assignments
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152 |
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10.23. No Fiduciary Duty
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152 |
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10.24. Amendment and
Restatement
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152 |
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10.25. Reaffirmation and Grant of
Security Interests
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153 |
iv
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| APPENDICES: |
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A-1 |
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Tranche A
Term Loan Commitments |
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A-2 |
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Tranche B
Term Loan Commitments |
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A-3 |
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Revolving
Commitments |
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B |
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Notice
Addresses |
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| SCHEDULES: |
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1.1A |
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Asset
Sales |
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1.1B |
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Excluded
Foreign Subsidiaries |
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1.1C |
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Closing
Date Mortgaged Properties |
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1.1D |
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Foreign
Intellectual Property Security Agreements |
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1.1E |
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Foreign
Stock Pledges |
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1.1F |
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Immaterial Foreign Subsidiaries |
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1.1G |
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Immaterial Domestic Subsidiaries |
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4.1 |
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Jurisdictions of Organization and Qualification, Capital
Structure |
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4.2 |
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Equity
Interests and Ownership |
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4.11 |
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Adverse
Proceedings |
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4.13(b) |
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Real
Estate Assets |
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4.13(c) |
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Intellectual Property |
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4.16 |
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Material
Contracts |
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6.1 |
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Certain
Indebtedness |
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6.2 |
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Certain
Liens |
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6.3 |
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Negative
Pledges |
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6.4 |
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Certain
Restricted Payments |
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6.5 |
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Certain
Restrictions on Subsidiary Distributions |
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6.6(l) |
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Certain
Investments |
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6.6(q) |
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Certain
Third Wave Investments |
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6.10 |
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Sale and
Leasebacks |
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6.11 |
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Certain
Affiliate Transactions |
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| EXHIBITS: |
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A-1 |
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Funding
Notice |
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A-2 |
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Conversion/Continuation Notice |
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B-1 |
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Tranche A
Term Loan Note |
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B-2 |
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Tranche B
Term Loan Note |
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B-3 |
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Revolving
Loan Note |
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B-4 |
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Swing
Line Note |
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C |
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Compliance Certificate |
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D-1 |
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Opinion
of Brown Rudnick LLP (New York and Massachusetts) |
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D-2 |
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Opinion
of Brown Rudnick LLP (Connecticut) |
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D-3 |
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Opinion
of Brown Rudnick LLP (England and Wales) |
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D-4 |
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Opinion
of Kemp Strang |
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D-5 |
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Opinion
of Mourant du Feu & Jeune |
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D-6 |
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Opinion
of Taylor Wessing |
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D-7 |
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Opinion
of Holman Fenwick & Willan |
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D-8 |
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Opinion
of Lexence |
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D-9 |
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Opinion
of Froriep Renggli |
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D-10 |
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Opinion
of Richards, Layton & Finger, P.A. |
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D-11 |
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Opinion
of Dann Pecar Newman & Kleiman, P.C. |
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D-12 |
|
Opinion
of Backus, Meyer, Solomon & Branch, LLP |
v
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E |
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Assignment Agreement |
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F |
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Certificate re Non-Bank Status |
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G-1 |
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Restatement Date Certificate |
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G-2 |
|
Solvency
Certificate |
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H |
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Counterpart Agreement |
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I |
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[Reserved] |
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J-1 |
|
Mortgage |
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J-2 |
|
Mortgage
Modification |
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K |
|
Landlord
Waiver and Consent Agreement |
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L |
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[Reserved] |
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M |
|
Joinder
Agreement |
vi
AMENDED AND RESTATED
CREDIT AND GUARANTY AGREEMENT
This AMENDED AND RESTATED
CREDIT AND GUARANTY AGREEMENT dated as of July 17, 2008 is
entered into by and among HOLOGIC, INC. , a Delaware
corporation (the “ Borrower ”), certain
Subsidiaries of the Borrower, as Guarantors, the Lenders party
hereto from time to time, GOLDMAN SACHS CREDIT PARTNERS L.P.
(“ GSCP ”), as sole lead arranger and sole lead
bookrunner (in such capacities, the “ Sole Lead
Arranger ”), GSCP , JPMORGAN CHASE BANK,
N.A. (“ JPM ”) and RBS CITIZENS, NATIONAL
ASSOCIATION (“ Citizens ”), as
Co-Syndication Agents (in such capacities, the “
Co-Syndication Agents ”), GSCP , as
Administrative Agent (together with its permitted successors in
such capacity, the “ Administrative Agent ”) and
as Collateral Agent (together with its permitted successor in such
capacity, the “ Collateral Agent ”), and
ROYAL BANK OF CANADA (“ RBC ”), as
Documentation Agent (in such capacity, the “ Documentation
Agent ”).
RECITALS:
WHEREAS, capitalized
terms used and not defined in these Recitals have the respective
meanings set forth for such terms in Section 1.1
hereof;
WHEREAS, the Borrower,
the Guarantors, GSCP and Banc of America Securities LLC, as joint
lead arrangers, Bank of America, N.A., as syndication agent, GSCP,
as administrative agent and as collateral agent, Citicorp North
America, Inc., JPMorgan Chase Bank, N.A., RBS Citizens, National
Association and Fifth Third Bank, an Ohio Banking Corporation, as
co-documentation agents, and the lenders party thereto from time to
time, are parties to that certain Credit and Guaranty Agreement
dated as of October 22, 2007 (as amended, restated, amended
and restated, supplemented or otherwise modified prior to the date
hereof, the “ Existing Credit Agreement
”);
WHEREAS, the Borrower
desires that certain of the existing lenders and other parties
hereto agree to amend and restate the Existing Credit Agreement in
its entirety to: (i) extend to the Borrower $400,000,000
aggregate principal amount of Tranche A Term Loans and $200,000,000
aggregate principal amount of Tranche B Term Loans, the proceeds of
which will be used (together, at the Borrower’s election,
with the proceeds of Revolving Loans) to fund the Third Wave
Consideration and Related Expenditures; and (ii) make certain
other changes as more fully set forth herein, which amendment and
restatement shall become effective upon the Restatement
Date;
WHEREAS, the Requisite
Lenders have, on or prior to the Restatement Date, authorized the
Administrative Agent to execute this Agreement on their
behalf;
WHEREAS, the Borrower
has agreed to secure all of its Obligations by reaffirming its
grant to the Collateral Agent, for the benefit of the Secured
Parties, of a First Priority Lien on substantially all of its
assets, including a pledge of all of the Equity Interests of
certain of its Domestic Subsidiaries and 65% of all the Equity
Interests of certain of its First-Tier Foreign
Subsidiaries;
WHEREAS, Guarantors
have agreed to guarantee the obligations of the Borrower hereunder
and to secure their respective Obligations by reaffirming their
grant to the Collateral
Agent, for the benefit of the Secured
Parties, of a First Priority Lien on substantially all of their
respective assets, including a pledge of all of the Equity
Interests in certain of their respective Domestic Subsidiaries and
65% of all the Equity Interests of certain of their respective
First-Tier Foreign Subsidiaries;
WHEREAS, it is the
intent of the parties hereto that this Agreement not constitute a
novation of the obligations and liabilities of the parties under
the Existing Credit Agreement and that this Agreement amend,
restate and replace in its entirety the Existing Credit Agreement
and re-evidence the Obligations outstanding on the Restatement Date
as contemplated hereby; and
WHEREAS, it is the
intent of the Credit Parties to confirm that all Obligations of the
Credit Parties under the other Credit Documents, as amended hereby,
shall continue in full force and effect and that, from and after
the Restatement Date, all references to the “Credit
Agreement” contained therein shall be deemed to refer to this
Agreement;
NOW, THEREFORE, in
consideration of the premises and the agreements, provisions and
covenants herein contained, the parties hereto agree as
follows:
SECTION 1. DEFINITIONS AND
INTERPRETATION
1.1. Definitions. The
following terms used herein, including in the preamble, recitals,
exhibits and schedules hereto, shall have the following
meanings:
“ Acquisition
Condition ” means, with respect to any determination
under Section 6.1(n) as to whether proceeds of the issuance of
Senior Unsecured Indebtedness may be applied by the Borrower to
make Permitted Acquisitions, that both of the following conditions
shall have been satisfied as at such date of determination, in each
case calculated on a pro forma basis after giving effect to the
incurrence of such Indebtedness and the proposed application of the
proceeds of such Indebtedness (including in respect of the proposed
Permitted Acquisition) in accordance with the provisions of
Section 6.7(c): (i) the Senior Secured Leverage Ratio
shall be less than 2.00, and (ii) the Leverage Ratio shall be
no greater than the level therefor otherwise applicable in
accordance with Section 6.7, minus 0.25.
“ Adjusted
Consolidated Interest Expense ” means for any period,
total interest expense in accordance with GAAP (including that
portion attributable to Capital Leases in accordance with GAAP and
capitalized interest) of the Borrower and its Subsidiaries on a
consolidated basis with respect to all outstanding Indebtedness of
the Borrower and its Subsidiaries, including all commissions,
discounts and other fees and charges owed with respect to letters
of credit and net costs under Interest Rate Agreements, but
excluding, however, any amount not payable in Cash and any amounts
referred to in Section 2.11(f) payable on or before the
Restatement Date and excluding imputed non-cash interest charges
relating to convertible bonds now or hereafter
outstanding.
“ Adjusted
Eurodollar Rate ” means, for any Interest Rate
Determination Date with respect to an Interest Period for a
Eurodollar Rate Loan, the rate per annum obtained by dividing (and
rounding upward to the next whole multiple of 1 / 16 of 1%)
(i) (a) the rate per annum (rounded to the nearest 1/100
of 1%) equal to the rate determined by the Administrative Agent to
be the offered rate which appears on the page of the Reuters Screen
which displays an
2
average British Bankers Association
Interest Settlement Rate (such page currently being LIBOR01 page)
for deposits (for delivery on the first day of such period) with a
term equivalent to such period in Dollars, determined as of
approximately 11:00 a.m. (London, England time) on such Interest
Rate Determination Date, or (b) in the event the rate
referenced in the preceding clause (a) does not appear on such
page or service or if such page or service shall cease to be
available, the rate per annum (rounded to the nearest 1/100 of 1%)
equal to the rate determined by the Administrative Agent to be the
offered rate on such other page or other service which displays an
average British Bankers Association Interest Settlement Rate for
deposits (for delivery on the first day of such period) with a term
equivalent to such period in Dollars, determined as of
approximately 11:00 a.m. (London, England time) on such Interest
Rate Determination Date, or (c) in the event the rates
referenced in the preceding clauses (a) and (b) are not
available, the rate per annum (rounded to the nearest 1/100 of 1%)
equal to the offered quotation rate to first class banks in the
London interbank market by Bank of America, N.A. for deposits (for
delivery on the first day of the relevant period) in Dollars of
amounts in same day funds comparable to the principal amount of the
applicable Loan of the Administrative Agent, in its capacity as a
Lender, for which the Adjusted Eurodollar Rate is then being
determined with maturities comparable to such period as of
approximately 11:00 a.m. (London, England time) on such Interest
Rate Determination Date, by (ii) an amount equal to
(a) one minus (b) the Applicable Reserve
Requirement.
“ Administrative
Agent ” as defined in the preamble hereto.
“ Adverse
Proceeding ” means any action, suit, proceeding, hearing
(in each case, whether administrative, judicial or otherwise),
governmental investigation or arbitration (whether or not
purportedly on behalf of the Borrower or any of its Subsidiaries)
at law or in equity, or before or by any Governmental Authority,
domestic or foreign (including any Environmental Claims), whether
pending or, to the knowledge of any Authorized Officer of the
Borrower or any of its Subsidiaries, threatened against or
affecting the Borrower or any of its Subsidiaries or any property
of the Borrower or any of its Subsidiaries.
“ Affected
Lender ” as defined in Section 2.18(b).
“ Affected Loans
” as defined in Section 2.18(b).
“ Affiliate
” means (a) as applied to any Person that is not a
Credit Party or an Affiliate (as determined under clause
(b) below) of a Credit Party, any other Person directly or
indirectly controlling, controlled by, or under common control
with, that Person. For the purposes of this definition,
“control” (including, with correlative meanings, the
terms “controlling,” “controlled by” and
“under common control with”), as applied to any Person,
means the possession, directly or indirectly, of the power
(i) to vote 5% or more of the Securities having ordinary
voting power for the election of directors of such Person or
(ii) to direct or cause the direction of the management and
policies of that Person, whether through the ownership of voting
securities or by contract or otherwise; and (b) as applied to
any Person that is a Credit Party, any other Person directly or
indirectly controlling, controlled by, or under common control
with, that Person. For the purposes of this definition,
“control” (including, with correlative meanings, the
terms “controlling,” “controlled by” and
“under common control with”), as applied to any Person,
means the possession, directly or indirectly, of the power
(i) to vote 10%
3
or more of the Securities having
ordinary voting power for the election of directors of such Person
or (ii) to direct or cause the direction of the management and
policies of that Person, whether through the ownership of voting
securities or by contract or otherwise.
“ Agent ”
means each of the Administrative Agent, the Co-Syndication Agents,
the Collateral Agent and the Documentation Agent.
“ Agent
Affiliates ” as defined in
Section 10.1(b)(iii).
“ Aggregate Amounts
Due ” as defined in Section 2.17.
“ Aggregate
Payments ” as defined in Section 7.2.
“ Agilent
” means Agilent Technologies, Inc.
“ Agilent
Acquisition ” means the acquisition by Third Wave from
Agilent of certain patents and certain other Intellectual Property
related to various methods for the detection of a target nucleic
acid sequence, the consideration for which is the Agilent Deferred
Payment Obligations. The Agilent Deferred Payment Obligations are
or shall be secured by the Liens of Agilent in the patents and
other Intellectual Property so purchased by Third Wave.
“ Agilent Deferred
Payment Obligations ” means the approximate aggregate
purchase price of $3,900,000, which is or shall be payable over
three (3) years, beginning on June 1, 2008.
“ Agreed
Currency ” means Dollars, Euro, Pounds Sterling, Japanese
Yen, Swiss Francs, and such other currencies as are acceptable to
the Issuing Bank.
“ Agreement
” means this Amended and Restated Credit and Guaranty
Agreement dated as of July [ ],
2008, as it may be refinanced, amended, restated, amended and
restated, supplemented or otherwise modified from time to
time.
“ Amended and
Restated Collateral Questionnaire ” means that certain
Amended and Restated Pre-Closing UCC Diligence Certificate dated as
of July 17, 2008, executed and delivered by the Borrower and the
other Credit Parties named therein which amends and restates
(i) that certain Collateral Questionnaire dated as of
October 19, 2007 by the Borrower and the other Credit Parties
named therein and (ii) that certain Collateral Questionnaire
dated as of October 17, 2007 by Cytyc Corporation and the
other Credit Parties named therein that provides information with
respect to the personal and mixed property of each Credit Party as
of the Restatement Date.
“ Applicable
Date ” as defined in Section 2.18(b).
“ Applicable
Margin ” and “ Applicable Revolving Commitment
Fee Percentage ” mean (i) with respect to Revolving
Loans and Tranche A Term Loans that are Eurodollar Rate Loans and
the Applicable Revolving Commitment Fee Percentage, (a) from
the Restatement Date until the date of delivery of the Compliance
Certificate and the financial statements for the first full Fiscal
Quarter after the Restatement Date, a percentage, per
annum,
4
determined by reference to Tier 2 in the
following table; and (b) thereafter, a percentage, per annum,
determined by reference to the Leverage Ratio in effect from time
to time as set forth below:
|
|
|
|
|
|
|
|
|
|
Tier
|
|
Leverage Ratio |
|
Applicable Margin |
|
|
Applicable Revolving
Commitment Fee
Percentage |
|
|
Tier 1
|
|
> 4.50:1.00 |
|
2.75 |
% |
|
0.50 |
% |
|
Tier 2
|
|
£ 4.50:1.00
> 3.50:1.00
|
|
2.50 |
% |
|
0.50 |
% |
|
Tier 3
|
|
£ 3.50:1.00
> 2.00:1.00
|
|
2.25 |
% |
|
0.375 |
% |
|
Tier 4
|
|
£ 2.00:1.00
> 1.00:1.00
|
|
2.00 |
% |
|
0.375 |
% |
|
Tier 5
|
|
£ 1.00:1.00 |
|
1.75 |
% |
|
0.25 |
% |
; and (ii) with respect to Swing
Line Loans, Revolving Loans and Tranche A Term Loans that are Base
Rate Loans, an amount equal to (a) the Applicable Margin for
Eurodollar Rate Loans as set forth in clause (i)(a) or (i)(b)
above, as applicable, minus (b) 1.00% per annum.
No change in the Applicable Margin or the Applicable Revolving
Commitment Fee Percentage shall be effective until three
(3) Business Days after the date on which Administrative Agent
shall have received the applicable financial statements and a
Compliance Certificate pursuant to Section 5.1(d) calculating
the Leverage Ratio. At any time the Borrower has not submitted to
Administrative Agent the applicable information as and when
required under Section 5.1(d), the Applicable Margin and the
Applicable Revolving Commitment Fee Percentage shall be determined
by reference to Tier 2 in the above table. Within one
(1) Business Day after receipt of the applicable information
under Section 5.1(d), Administrative Agent shall give each
Lender telefacsimile or telephonic notice (confirmed in writing) of
the Applicable Margin and the Applicable Revolving Commitment Fee
Percentage in effect from such date. In the event that any
financial statement or certificate delivered pursuant to
Section 5.1 is shown to be inaccurate (at a time when this
Agreement is in effect and unpaid Obligations under this Agreement
are outstanding (other than indemnities and other contingent
obligations not yet due and payable)), and such inaccuracy, if
corrected, would have led to the application of a higher Applicable
Margin for any period (an “ Applicable Period ”)
than the Applicable Margin applied for such Applicable Period, then
(i) the Borrower shall immediately deliver to Administrative
Agent a correct certificate required by Section 5.1 for such
Applicable Period, (ii) the Applicable Margin shall be
determined by reference to Tier 1 in the above table for such
Applicable Period and (iii) the Borrower shall immediately pay
to Administrative Agent the accrued additional interest owing as a
result of such increased Applicable Margin for such Applicable
Period. Nothing in this paragraph shall limit the right of
Administrative Agent or any Lender under Section 2.10 or
Section 8.
“ Applicable
Period ” as defined in the definition of
“Applicable Margin.”
“ Applicable Reserve
Requirement ” means, at any time, for any Eurodollar Rate
Loan, the maximum rate, expressed as a decimal, at which reserves
(including any basic
5
marginal, special, supplemental,
emergency or other reserves) are required to be maintained with
respect thereto against “Eurocurrency liabilities” (as
such term is defined in Regulation D) under regulations issued from
time to time by the Board of Governors or other applicable banking
regulator. Without limiting the effect of the foregoing, the
Applicable Reserve Requirement shall reflect any other reserves
required to be maintained by member banks with respect to
(i) any category of liabilities which includes deposits by
reference to which the applicable Adjusted Eurodollar Rate or any
other interest rate of a Loan is to be determined, or (ii) any
category of extensions of credit or other assets which include
Eurodollar Rate Loans. A Eurodollar Rate Loan shall be deemed to
constitute Eurocurrency liabilities and as such shall be deemed
subject to reserve requirements without benefits of credit for
proration, exceptions or offsets that may be available from time to
time to the applicable Lender. The rate of interest on Eurodollar
Rate Loans shall be adjusted automatically on and as of the
effective date of any change in the Applicable Reserve
Requirement.
“ Approved
Electronic Communications ” means any notice, demand,
communication, information, document or other material that any
Credit Party provides to Administrative Agent pursuant to any
Credit Document or the transactions contemplated therein which is
distributed to the Agents or the Lenders by means of electronic
communications pursuant to Section 10.1(b).
“ Asset Sale
” means a sale, lease or sub-lease (as lessor or sublessor),
sale and leaseback, assignment, conveyance, exclusive license (as
licensor or sublicensor), transfer or other disposition to, or any
exchange of property with, any Person (other than the Borrower or
any Guarantor), in one transaction or a series of transactions, of
all or any part of the Borrower’s or any of its
Subsidiaries’ businesses, assets or properties of any kind,
whether real, personal, or mixed and whether tangible or
intangible, whether now owned or hereafter acquired, created,
leased or licensed, including the Equity Interests of any of the
Borrower’s Subsidiaries, other than (i) inventory (or
other assets) sold, leased or licensed out in the ordinary course
of business (excluding any such sales, leases or licenses out by
operations or divisions discontinued or to be discontinued),
(ii) sales, leases or licenses out of other assets for
aggregate consideration of less than $10,000,000 with respect to
any transaction or series of related transactions and less than
$20,000,000 in the aggregate during any Fiscal Year, (iii) the
transactions listed on Schedule 1.1A and (iv) the surrender or
waiver of contract rights on the settlement, release or surrender
of contract, tort or other claims of any kind or the non-exclusive
cross-license of Intellectual Property (including in connection
with the settlement of Adverse Proceedings listed on Schedule
4.11).
“ Assignment
Agreement ” means an Assignment and Assumption Agreement
substantially in the form of Exhibit E, with such amendments or
modifications as may be approved by the Administrative
Agent.
“ Assignment
Effective Date ” as defined in
Section 10.6(b).
“ Authorized
Officer ” means, as applied to any Person, any individual
holding the position of chief executive officer, or president, and
such Person’s chief financial officer, chief accounting
officer, corporate controller or treasurer (or, in each such case,
the equivalent position however titled).
6
“ Availability
Period ” means the period beginning on the Business Day
after the Restatement Date and ending on the Term Loan Commitment
Termination Date.
“
Bankruptcy Code ” means Title 11 of the
United States Code entitled “Bankruptcy,” as now and
hereafter in effect, or any successor statute.
“ Base Rate
” means, for any day, a rate per annum equal to the greater
of (i) the Prime Rate in effect on such day and (ii) the
Federal Funds Effective Rate in effect on such day plus
1 /
2 of
1%. Any change in the Base Rate due to a change in the Prime Rate
or the Federal Funds Effective Rate shall be effective on the
effective day of such change in the Prime Rate or the Federal Funds
Effective Rate, respectively.
“ Base Rate Loan
” means a Loan bearing interest at a rate determined by
reference to the Base Rate.
“ Beneficiary
” means each Agent, the Issuing Bank, each Lender and each
Lender Counterparty.
“ Board of
Governors ” means the Board of Governors of the Federal
Reserve System of the United States, or any successor
thereto.
“ Borrower
” as defined in the preamble hereto.
“ Business Day
” means (i) any day excluding Saturday, Sunday and any
day which is a legal holiday under the laws of the State of New
York or is a day on which banking institutions located in such
state are authorized or required by law or other governmental
action to close and (ii) with respect to all notices,
determinations, fundings and payments in connection with the
Adjusted Eurodollar Rate or any Eurodollar Rate Loans, the term
“ Business Day ” means any day which is a
Business Day described in clause (i) and which is also a day
for trading by and between banks in Dollar deposits in the London
interbank market.
“ Business Plan
” as defined in Section 5.1(i).
“ Capital Lease
” means, as applied to any Person, any lease of any property
(whether real, personal or mixed) by that Person as lessee that, in
conformity with GAAP, is or should be accounted for as a capital
lease on the balance sheet of that Person.
“ Cash ”
means money, currency or a credit balance in any demand or Deposit
Account.
“ Cash
Equivalents ” means, as at any date of determination, any
of the following: (i) marketable securities (a) issued or
directly and unconditionally guaranteed as to interest and
principal by the United States Government or (b) issued by any
agency of the United States the obligations of which are backed by
the full faith and credit of the United States, in each case
maturing within one year after such date; (ii) marketable
direct obligations issued by any state of the United States of
America or any political subdivision of any such state or any
public instrumentality thereof, in each case maturing within one
year after such date and having, at the time of the acquisition
thereof, a rating of at least A-1 from S&P or at least P-1 from
Moody’s;
7
(iii) commercial paper maturing no
more than one year from the date of creation thereof and having, at
the time of the acquisition thereof, a rating of at least A-1 from
S&P or at least P-1 from Moody’s; (iv) certificates
of deposit or bankers’ acceptances maturing within one year
after such date and issued or accepted by any Lender or by any
commercial bank organized under the laws of the United States of
America or any state thereof or the District of Columbia that
(a) is at least “adequately capitalized” (as
defined in the regulations of its primary federal banking
regulator) and (b) has Tier 1 capital (as defined in such
regulations) of not less than $100,000,000; and (v) shares of
any money market mutual fund that (a) has substantially all of
its assets invested continuously in the types of investments
referred to in clauses (i) through (iii) above,
(b) has net assets of not less than $500,000,000, and
(c) has the highest rating obtainable from either S&P or
Moody’s.
“ Cash Management
Agreements ” means those agreements entered into from
time to time by the Borrower or its Subsidiaries with a Cash
Management Provider in connection with the obtaining of any Cash
Management Services that has been designated by the Borrower and
such Cash Management Provider by notice to the Administrative Agent
as a Cash Management Agreement.
“ Cash Management
Obligations ” means all obligations, liabilities,
contingent reimbursement obligations, fees and expenses owing by
the Borrower or any of its Subsidiaries to any Cash Management
Provider pursuant to or evidenced by the Cash Management Agreements
and irrespective of whether for the payment of money, whether
direct or indirect, absolute or contingent, due or to become due,
now existing or hereafter arising.
“ Cash Management
Provider ” means any Lender or Affiliate of a Lender
which provides Cash Management Services to the Borrower or its
Subsidiaries; provided that each such Affiliate shall
appoint the Collateral Agent as its agent and agree to be bound by
the Credit Documents as a Secured Party, subject to
Section 9.8(c).
“ Cash Management
Services ” means any cash management, including
controlled disbursement, accounts or related services (including
the Automated Clearing House processing of electronic funds
transfers through the direct Federal Reserve Fedline system)
provided to the Borrower or any of its Subsidiaries by a Cash
Management Provider.
“ Certificate re
Non-Bank Status ” means a certificate substantially in
the form of Exhibit F.
“ Change of
Control ” means, at any time, (i) any Person or
“group” (within the meaning of Rules 13d-3 and 13d-5
under the Exchange Act) (a) shall have acquired beneficial
ownership of 35% or more on a fully diluted basis of the voting
and/or economic interest in the Equity Interests of the Borrower or
(b) shall have obtained the power (whether or not exercised)
to elect a majority of the members of the board of directors (or
similar governing body) of the Borrower; (ii) the majority of
the seats (other than vacant seats) on the board of directors (or
similar governing body) of the Borrower ceases to be occupied by
Persons who either (a) were members of the board of directors
of the Borrower on the Closing Date or (b) were nominated for
election by the board of directors of the Borrower or a nominating
committee thereof, a majority of whom were directors on the Closing
Date or whose election or nomination for
8
election was previously approved by a
majority of such directors or (iii) the occurrence of a
“Change of Control” (or any comparable term) under, and
as defined in, the documents evidencing any Indebtedness permitted
under Section 6.1(l), 6.1(n) or 6.1(o).
“ Citizens
” as defined in the preamble hereto.
“ Class ”
means (i) with respect to Lenders, each of the following
classes of Lenders: (a) Lenders having Tranche A Term Loan
Exposure, (b) Lenders having Tranche B Term Loan Exposure,
(c) Lenders having Revolving Exposure (including the Swing
Line Lender) and (d) Lenders having New Term Loan Exposure,
and (ii) with respect to Loans, each of the following classes
of Loans: (a) Tranche A Term Loans, (b) Tranche B Term
Loans, (c) Revolving Loans (including Swing Line Loans) and
(d) each Series of New Term Loans.
“ Closing Date
” means October 22 2007, the date on which the
conditions precedent set forth in Section 3.1 of the Existing
Credit Agreement were satisfied or waived in accordance with the
terms thereof.
“ Closing Date
Mortgaged Property ” means each Real Estate Asset listed
on Schedule 1.1C.
“ Co-Syndication
Agents ” as defined in the preamble hereto.
“ Collateral
” means, collectively, all of the real, personal and mixed
property (including Equity Interests) in which Liens are purported
to be granted pursuant to the Collateral Documents as security for
the Obligations.
“ Collateral
Agent ” as defined in the preamble hereto.
“ Collateral
Documents ” means the Pledge and Security Agreement, the
Foreign Stock Pledges, the Mortgages, the Mortgage Modifications,
the Intellectual Property Security Agreements, the Foreign
Intellectual Property Security Agreements, the Landlord Personal
Property Collateral Access Agreements, if any, and all other
instruments, documents and agreements delivered by any Credit Party
pursuant to this Agreement, the Existing Credit Agreement or any of
the other Credit Documents in order to grant to the Collateral
Agent, for the benefit of the Secured Parties, a Lien on any real,
personal or mixed property of that Credit Party as security for the
Obligations.
“ Commitment
” means any Revolving Commitment or Term Loan
Commitment.
“ Commitment
Letter ” as defined in Section 10.20.
“ Compliance
Certificate ” means a Compliance Certificate
substantially in the form of Exhibit C.
“ Consolidated
Adjusted EBITDA ” means, for any period, an amount
determined for the Borrower and its Subsidiaries on a consolidated
basis equal to (i) Consolidated Net Income, plus , to
the extent reducing Consolidated Net Income, the sum, without
duplication, of amounts for (a) Adjusted Consolidated Interest
Expense, (b) provisions
9
for federal, state, local and foreign
taxes based on income or gains, (c)total depreciation expense,
(d)total amortization expense, (e) non-cash charges related to
Hedge Agreements, (f) non-cash expenses resulting from the grant,
assumption or acceleration of stock options, restricted stock, SARs
and other equity or phantom equity to any director, officer,
employee or consultant of any Credit Party pursuant to a written
plan or agreement, (g) nonrecurring losses, charges and expenses
incurred in connection with (in each case, including any such
transaction consummated prior to the Closing Date and any such
transaction undertaken but not completed) (I) the Cytyc Acquisition
and the other transactions effected pursuant to the Cytyc Merger
Agreement, (II) the Third Wave Acquisition and the other
transactions effected pursuant to the Third Wave Merger Agreement,
(III) the Prior Acquisitions (the amount of transaction-related
fees and expenses paid in connection with such Prior Acquisitions
not to exceed $20,000,000), (IV) Permitted Acquisitions to the
extent such losses, charges and expenses do not exceed $20,000,000
in the aggregate per annum and $75,000,000 in the aggregate during
the term of this Agreement (or as approved by the Administrative
Agent in the reasonable exercise of its discretion), and (V) Asset
Sales, other Dispositions not in the ordinary course of business,
Investments permitted by Section 6.6, issuance of or disposition of
Equity Interests, issuance, incurrence or repayment of Indebtedness
(including any refinancing transaction or amendment or modification
of any debt instrument), or disposed or discontinued operations,
not to exceed $10,000,000 per annum and $40,000,000 during the term
of this Agreement, (h) any loss associated with the write-off,
write-down or impairment of assets not in the ordinary course of
business including, without limitation, the write-off of acquired
in-process research and development and intangible assets, (i) any
loss accounted for by the equity method of accounting, (j)
facilities closures, severance and other restructuring expenses not
to exceed $20,000,000 per annum or $75,000,000 during the term of
this Agreement, (k) any losses attributable to the early
extinguishment of Indebtedness, (l) unrealized losses related to
mark-to-market of Indebtedness denominated in foreign currencies
resulting from the application of Statement of Financial Accounting
Standard No. 52, (m) losses or reserves relating to damages and
other expenses arising from Adverse Proceedings listed on Schedule
4.11 or settlements thereof, (n) other non-cash charges reducing
Consolidated Net Income such as non-cash interest expenses or
charges relating to convertible bonds now or hereafter outstanding
that may be settled in cash upon conversion, including partial cash
settlement (excluding any such non-cash charge to the extent that
it represents an accrual or reserve for potential cash charge in
any future period or amortization of a prepaid cash charge that was
paid in a prior period), (o) any losses, expenses or charges
associated with earn-outs in connection with acquisitions completed
prior to the Closing Date or Permitted Acquisitions, (p) any
losses, expenses or charges associated with the write-down of
inventory in connection with the Third Wave Acquisition (and the
Third Wave Merger), the Cytyc Acquisition or Permitted
Acquisitions, (q) the effect of a change in accounting principles
and changes as a result of the adoption or modification of
accounting principles or policies in respect of or during such
period (including changes in accounting that relate to expensing
earn-out payments) and (r) any changes relating to the recognition
of transaction expenses as a result of changes in GAAP, minus to
the extent increasing Consolidated Net Income (ii) (a) other
non-cash gains increasing Consolidated Net Income for such period
(excluding any such non-cash gain to the extent it represents the
reversal of an accrual or reserve for potential cash gain in any
prior period), (b) non-cash gains related to Hedge Agreements, to
the extent taken into account in the calculation of Consolidated
Net Income for such period and calculated in accordance with GAAP,
(c) interest income, (d) gains
10
arising from application of the equity
method of accounting, (e) unrealized gains related to
mark-to-market of Indebtedness denominated in foreign currencies
resulting from the application of Statement of Financial Accounting
Standard No. 52, and (f) gains resulting from the
reversal of reserves previously taken in connection with Adverse
Proceedings listed on Schedule 4.11; provided that for the
Third Wave Acquisition (and the Third Wave Merger), the Cytyc
Acquisition and if the Company or any Subsidiary has made any Prior
Acquisition, Permitted Acquisition or any Asset Sale permitted by
Section 6.8(c) during the relevant period for determining
Consolidated Adjusted EBITDA, all adjustments in determining
Consolidated Adjusted EBITDA for the relevant period (1) shall
be calculated after giving pro forma effect thereto, as if the
Third Wave Acquisition (and the Third Wave Merger), the Cytyc
Acquisition or such Prior Acquisition, Permitted Acquisition or
Asset Sale (and any related incurrence, repayment or assumption of
Indebtedness, with any new Indebtedness being deemed to be
amortized over the relevant period in accordance with its terms,
and assuming that any Revolving Loans borrowed in connection with
such Permitted Acquisition are repaid with excess cash balances
when available) had occurred on the first day of such period, but
in the case of a Permitted Acquisition, only so long as the results
of the business being acquired are supported by financial
statements or other financial data reasonably acceptable to the
Administrative Agent, and (2) may include operating expense
reductions for such period resulting from any Prior Acquisition or
Permitted Acquisition that is being given pro forma effect to the
extent that such operating expense reductions (y) would be
permitted pursuant to Article XI of Regulation S-X under the
Securities Act or (z) have been approved by the Administrative
Agent; and provided further that, notwithstanding the
foregoing provisions of this definition, the amount of operating
expense reductions attributable to Cytyc and its Subsidiaries,
Adiana, Inc. and its Subsidiaries, and Adeza Medical
Corporation and its subsidiaries shall be (a) for the
four Fiscal Quarter period ended December 29, 2007,
$34,000,000; (b) for the four Fiscal Quarter period
ended March 29, 2008, $25,000,000; (c) for the four
Fiscal Quarter period ended June 28, 2008, $17,500,000; and
(d) for the four Fiscal Quarter period ended
September 27, 2008, $12,500,000.
“ Consolidated
Capital Expenditures ” means, for any period, the
aggregate of all expenditures of the Borrower and its Subsidiaries
during such period determined on a consolidated basis that, in
accordance with GAAP, are or should be included in “purchase
of property and equipment,” “construction
in-process,” “purchase of intellectual property”
or similar items reflected in the consolidated statement of cash
flows of the Borrower and its Subsidiaries.
“ Consolidated
Current Assets ” means, as at any date of determination,
the total assets of a Person and its Subsidiaries on a consolidated
basis that may properly be classified as current assets in
conformity with GAAP, excluding Cash and Cash
Equivalents.
“ Consolidated
Current Liabilities ” means, as at any date of
determination, the total liabilities of a Person and its
Subsidiaries on a consolidated basis that may properly be
classified as current liabilities in conformity with GAAP,
excluding the current portion of long term debt.
“ Consolidated
Excess Cash Flow ” means, for any period, an amount (if
positive) equal to:
(i) the sum, without
duplication, of the amounts for such period of
(a) Consolidated Adjusted EBITDA, plus (b) the
Consolidated Working Capital Adjustment, minus
11
(ii) the sum, without
duplication, of the amounts for such period paid in cash from
operating cash flow of (a) scheduled repayments of
Indebtedness for borrowed money (excluding repayments of Revolving
Loans or Swing Line Loans except to the extent the Revolving
Commitments are permanently reduced in connection with such
repayments) and scheduled repayments of obligations under Capital
Leases or in respect of the Agilent Deferred Payment Obligations
(excluding the interest expense portion of any thereof) and any
change of controls payments payable pursuant to that certain
Non-Exclusive License Agreement dated as of January 1, 2006
between Third Wave and Innogenetics N.V, (b) Consolidated
Capital Expenditures (net of any proceeds of (y) any related
financings with respect to such expenditures and (z) any sales
of assets used to finance such expenditures), (c) Adjusted
Consolidated Interest Expense, (d) payments relating to or
provisions for current taxes and payable in cash with respect to
such period, (e) cash consideration in respect of Permitted
Acquisitions, and the amount of any earn-out payments in connection
with acquisitions completed prior to the Closing Date or Permitted
Acquisitions made in cash during such period to the extent
determined by the Borrower in its reasonable discretion to be
appropriate, (f) losses or reserves relating to damages and
other expenses arising from Adverse Proceedings listed in Schedule
4.11 or settlements thereof, (g) amounts paid in cash to
redeem or convert Cytyc Convertible Notes ( provided such
funds are not derived from the Cytyc Escrow Account),
(h) amounts paid in cash to redeem or convert Third Wave
Convertible Note ( provided such funds were not derived from
the Third Wave Convertible Note Escrow Account), (i) amounts
paid in cash in respect of the Third Wave Put Price and
(j) amounts paid in cash to redeem the Third Wave
Warrants.
“ Consolidated Net
Income ” means, for any period, (i) the net income
(or loss) of the Borrower and its Subsidiaries on a consolidated
basis for such period taken as a single accounting period
determined in conformity with GAAP, minus or plus in
the event of a loss (ii) (a) the income (or loss) of any
Person (other than a Subsidiary of the Borrower) in which any other
Person (other than the Borrower or any of its Subsidiaries) has a
joint interest, except to the extent of the amount of dividends or
other distributions actually paid to the Borrower or any of its
Subsidiaries by such Person during such period, (b) the income
(or loss) of any Person accrued prior to the date it becomes a
Subsidiary of the Borrower or is merged into or consolidated with
the Borrower or any of its Subsidiaries or that Person’s
assets are acquired by the Borrower or any of its Subsidiaries,
(c) the income of any Subsidiary of the Borrower to the extent
that the declaration or payment of dividends or similar
distributions by that Subsidiary of that income is not at the time
permitted by operation of the terms of its charter or any
agreement, instrument, judgment, decree, order, statute, rule or
governmental regulation applicable to that Subsidiary, (d) any
after-tax gains or losses attributable to Asset Sales or returned
surplus assets of any Pension Plan or gains or losses associated
with insurance claims or condemnation proceedings, and (e) (to
the extent not included in clauses (a) through (d) above)
any net extraordinary gains or net extraordinary losses.
“ Consolidated
Senior Secured Debt ” means, as of any date of
determination, Consolidated Total Debt less (a) Senior
Unsecured Indebtedness and (b) other Indebtedness
of
12
the Borrower and its Subsidiaries
subordinated to the Obligations on terms reasonably satisfactory
to, and which Indebtedness contains other terms, tenor and
covenants reasonably satisfactory to, the Administrative Agent,
determined on a consolidated basis in accordance with
GAAP.
“ Consolidated Total
Debt ” means, as at any date of determination, the
aggregate stated balance sheet amount of all Indebtedness of the
Borrower and its Subsidiaries determined on a consolidated basis in
accordance with GAAP.
“ Consolidated
Working Capital ” means, as at any date of determination,
the excess of Consolidated Current Assets of the Borrower and its
Subsidiaries over Consolidated Current Liabilities of the Borrower
and its Subsidiaries.
“ Consolidated
Working Capital Adjustment ” means, for any period on a
consolidated basis, the amount (which may be a negative number) by
which Consolidated Working Capital as of the beginning of such
period exceeds (or is less than) Consolidated Working Capital as of
the end of such period. In calculating the Consolidated Working
Capital Adjustment there shall be excluded the effect of
reclassification during such period of current assets to long term
assets and current liabilities to long term liabilities and the
effect of any Permitted Acquisition during such period;
provided that there shall be included with respect to any
Permitted Acquisition during such period an amount (which may be a
negative number) by which the Consolidated Working Capital acquired
in such Permitted Acquisition as at the time of such acquisition
exceeds (or is less than) Consolidated Working Capital at the end
of such period.
“ Contractual
Obligation ” means, as applied to any Person, any
provision of any Security issued by that Person or of any
indenture, mortgage, deed of trust, contract, undertaking,
agreement or other instrument to which that Person is a party or by
which it or any of its properties is bound or to which it or any of
its properties is subject.
“ Contributing
Guarantors ” as defined in Section 7.2.
“
Conversion/Continuation Date ” means the effective
date of a continuation or conversion, as the case may be, as set
forth in the applicable Conversion/Continuation Notice.
“
Conversion/Continuation Notice ” means a
Conversion/Continuation Notice substantially in the form of
Exhibit A-2.
“ Counterpart
Agreement ” means a Counterpart Agreement substantially
in the form of Exhibit H delivered by a Credit Party pursuant
to Section 5.10.
“ Credit Date
” means the date of a Credit Extension.
“ Credit
Document ” means any of this Agreement, the Notes, if
any, the Collateral Documents, any documents or certificates
executed by the Borrower in favor of the Issuing Bank relating to
Letters of Credit, and all other documents, instruments or
agreements executed and delivered by a Credit Party for the benefit
of any Agent, the Issuing Bank or any Lender in connection with the
Existing Credit Agreement on or after the Closing Date to the
Restatement Date and herewith on or after the Restatement
Date.
13
“ Credit
Extension ” means the making of a Loan or the issuing of
a Letter of Credit.
“ Credit Party
” means each Person (other than any Agent, the Issuing Bank
or any Lender or any other representative thereof) from time to
time party to a Credit Document.
“ Currency
Agreement ” means any foreign exchange contract, currency
swap agreement, futures contract, option contract, synthetic cap or
other similar agreement or arrangement, each of which is for the
purpose of hedging the foreign currency risk associated with the
Borrower’s and its Subsidiaries’ operations and not for
speculative purposes.
“ Cytyc
Acquisition ” means the acquisition on October 22,
2007 by the Borrower of Cytyc Corporation, pursuant to the Cytyc
Merger Agreement and pursuant to which Cytyc Corporation was merged
with and into Nor’easter Corp., a wholly-owned Subsidiary of
the Borrower.
“ Cytyc Convertible
Notes ” means the 2.25% Senior Convertible Notes due 2024
issued by Cytyc Corporation pursuant to that certain Indenture
dated as of March 22, 2004 between Cytyc Corporation and U.S.
Bank Trust National Association, as trustee thereunder, as amended
by that certain First Supplemental Indenture dated as of
October 22, 2007 by and among the Borrower, Cytyc Corporation
and U.S. Bank Trust National Association, as trustee
thereunder.
“ Cytyc Escrow
Account ” means that certain deposit account of the
Borrower in the name of “Cytyc Corporation” established
with JPMorgan Chase Bank, National Association, to fund the
redemption or conversion after the Closing Date of Cytyc
Convertible Notes.
“ Cytyc Merger
Agreement ” means that certain Merger Agreement dated as
of May 20, 2007 (as amended, restated, amended and restated,
supplemented or otherwise modified from time to time), between
Nor’easter Corp. and Cytyc Corporation.
“ Default
” means a condition or event that, after notice or lapse of
time or both, would constitute an Event of Default.
“ Default Excess
” means, with respect to any Defaulting Lender, the excess,
if any, of such Defaulting Lender’s Pro Rata Share of the
aggregate outstanding principal amount of Loans of all Lenders
(calculated as if all Defaulting Lenders (including such Defaulting
Lender) had funded all of their respective Defaulted Loans) over
the aggregate outstanding principal amount of all Loans of such
Defaulting Lender.
“ Default Period
” means, with respect to any Defaulting Lender, the period
commencing on the date of the applicable Funding Default and ending
on the earliest of the following dates: (i) the date on which
all Commitments are cancelled or terminated and/or the Obligations
are declared or become immediately due and payable, (ii) the
date on which (a) the Default Excess with respect to such
Defaulting Lender shall have been reduced to zero
(whether
14
by the funding by such Defaulting Lender
of any Defaulted Loans of such Defaulting Lender or by the non-pro
rata application of any voluntary or mandatory prepayments of the
Loans in accordance with the terms of Section 2.13 or
Section 2.14 or by a combination thereof) and (b) such
Defaulting Lender shall have delivered to the Borrower and the
Administrative Agent a written reaffirmation of its intention to
honor its obligations hereunder with respect to its Commitments,
and (iii) the date on which the Borrower, Administrative Agent
and the Requisite Lenders waive all Funding Defaults of such
Defaulting Lender in writing.
“ Defaulted Loan
” as defined in Section 2.22.
“ Defaulting
Lender ” as defined in Section 2.22.
“ Deposit
Account ” means a demand, time, savings, passbook or like
account with a bank, savings and loan association, credit union or
like organization, other than an account evidenced by a negotiable
certificate of deposit.
“ Discharge of Third
Wave Obligations ” means the discharge of Third Wave
Obligations in accordance with Section 5.16 hereof.
“ Disposition
” or “ Dispose ” means the sale, transfer,
license, lease or other disposition (including any sale and
leaseback transaction) of any property by any Person, including any
sale, assignment, transfer or other disposal, with or without
recourse, of any notes or accounts receivable or any rights and
claims associated therewith.
“ Disqualified
Equity Interests ” means any Equity Interest which, by
its terms (or by the terms of any security or other Equity
Interests into which it is convertible or for which it is
exchangeable), or upon the happening of any event or condition
(i) matures or is mandatorily redeemable (other than solely
for Equity Interests which are not otherwise Disqualified Equity
Interests), pursuant to a sinking fund obligation or otherwise,
(ii) is redeemable at the option of the holder thereof (other
than solely for Equity Interests which are not otherwise
Disqualified Equity Interests), in whole or in part,
(iii) provides for the scheduled payments or dividends in
cash, or (iv) is or becomes convertible into or exchangeable
for Indebtedness or any other Equity Interests that would
constitute Disqualified Equity Interests, in each case, prior to
the date that is 91 days after the Term Loan Maturity Date, except,
in the case of clauses (i) and (ii), if as a result of a
change of control or asset sale, so long as any rights of the
holders thereof upon the occurrence of such a change of control or
asset sale event are subject to the prior payment in full of all
Obligations, the cancellation or expiration of all Letters of
Credit and the termination of the Commitments.
“ Documentation
Agent ” as defined in the preamble hereto.
“ Dollar
Equivalent ” means, at any time, (a) with respect to
any amount denominated in Dollars, such amount, and (b) with
respect to any amount denominated in any currency other than
Dollars, the equivalent amount thereof in Dollars as determined by
the Administrative Agent or the Issuing Bank, as the case may be,
on the basis of the Spot Rate (determined in respect of the most
recent Revaluation Date or other relevant date of determination)
for the purchase of Dollars with such currency.
15
“ Dollars
” and the sign “ $ ” mean the lawful money
of the United States of America.
“ Domestic
Subsidiary ” means any Subsidiary of the Borrower
organized under the laws of the United States of America, any State
thereof or the District of Columbia.
“ Eligible
Assignee ” means (i) any Lender, any Affiliate of
any Lender and any Related Fund (any two (2) or more Related
Funds being treated as a single Eligible Assignee for all purposes
hereof), and (ii) any commercial bank, insurance company,
investment or mutual fund or other entity that is an
“accredited investor” (as defined in Regulation D
under the Securities Act) and which extends credit or buys loans in
the ordinary course of business; provided , neither the
Borrower nor any of its Affiliates shall be an Eligible
Assignee.
“ Employee Benefit
Plan ” means any “employee benefit plan” as
defined in Section 3(3) of ERISA which is or was sponsored,
maintained or contributed to by, or required to be contributed by,
the Borrower, any of its Subsidiaries or any of their respective
ERISA Affiliates.
“ Environmental
Claim ” means any investigation, notice, notice of
violation, claim, action, suit, proceeding, demand, abatement order
or other order or directive (conditional or otherwise), by any
Governmental Authority or any other Person, arising
(i) pursuant to or in connection with any actual or alleged
violation of any Environmental Law; (ii) in connection with
any Hazardous Material or any actual or alleged Hazardous Materials
Activity; or (iii) in connection with any actual or alleged
damage, injury, threat or harm to health, safety, natural resources
or the environment.
“ Environmental
Laws ” means any and all current or future foreign or
domestic, federal or state (or any subdivision of either of them),
statutes, ordinances, orders, rules, regulations, judgments,
Governmental Authorizations, or any other requirements of
Governmental Authorities relating to (i) environmental
matters, including those relating to any Hazardous Materials
Activity; (ii) the generation, use, storage, transportation or
disposal of Hazardous Materials; or (iii) occupational safety
and health, industrial hygiene, or the protection of human, plant
or animal health or welfare, in any manner applicable to the
Borrower or any of its Subsidiaries or any Facility.
“ Equity
Interests ” means any and all shares, interests,
participations or other equivalents (however designated) of capital
stock of a corporation, any and all equivalent ownership interests
in a Person (other than a corporation), including partnership
interests and membership interests, and any and all warrants,
rights or options to purchase or other arrangements or rights to
acquire any of the foregoing.
“ ERISA ”
means the Employee Retirement Income Security Act of 1974, as
amended from time to time, and any successor thereto.
“ ERISA
Affiliate ” means, as applied to any Person, (i) any
corporation which is a member of a controlled group of corporations
within the meaning of Section 414(b) of the Internal Revenue
Code of which that Person is a member; (ii) any trade or
business (whether or not incorporated) which is a member of a group
of trades or businesses under common control
16
within the meaning of
Section 414(c) of the Internal Revenue Code of which that
Person is a member; and (iii) any member of an affiliated
service group within the meaning of Section 414(m) or
(o) of the Internal Revenue Code of which that Person, any
corporation described in clause (i) above or any trade or
business described in clause (ii) above is a member. Any
former ERISA Affiliate of the Borrower or any of its Subsidiaries
shall continue to be considered an ERISA Affiliate of the Borrower
or any such Subsidiary within the meaning of this definition with
respect to the period such entity was an ERISA Affiliate of the
Borrower or such Subsidiary and with respect to liabilities arising
after such period for which the Borrower or such Subsidiary could
be liable under the Internal Revenue Code or ERISA.
“ ERISA Event
” means (i) a “reportable event” within the
meaning of Section 4043 of ERISA and the regulations issued
thereunder with respect to any Pension Plan (excluding those for
which the provision for 30-day notice to the PBGC has been waived
by regulation); (ii) the failure to meet the minimum funding
standard of Section 412 of the Internal Revenue Code with
respect to any Pension Plan (whether or not waived in accordance
with Section 412(c) of the Internal Revenue Code) or the
failure to make by its due date a required installment under
Section 430(j) of the Internal Revenue Code with respect to
any Pension Plan or the failure to make any required contribution
to a Multiemployer Plan; (iii) the provision by the
administrator of any Pension Plan pursuant to
Section 4041(a)(2) of ERISA of a notice of intent to terminate
such plan in a distress termination described in
Section 4041(c) of ERISA; (iv) the withdrawal by the
Borrower, any of its Subsidiaries or any of their respective ERISA
Affiliates from any Pension Plan with two (2) or more
contributing sponsors or the termination of any such Pension Plan
resulting in liability to the Borrower, any of its Subsidiaries or
any of their respective Affiliates pursuant to Section 4063 or
4064 of ERISA; (v) the institution by the PBGC of proceedings
to terminate any Pension Plan, or the occurrence of any event or
condition which would reasonably be expected to constitute grounds
under ERISA for the termination of, or the appointment of a trustee
to administer, any Pension Plan; (vi) the imposition of
liability on the Borrower, any of its Subsidiaries or any of their
respective ERISA Affiliates pursuant to Section 4062(e) or
4069 of ERISA or by reason of the application of
Section 4212(c) of ERISA; (vii) the withdrawal of the
Borrower, any of its Subsidiaries or any of their respective ERISA
Affiliates in a complete or partial withdrawal (within the meaning
of Sections 4203 and 4205 of ERISA) from any Multiemployer Plan if
there is any potential liability therefore, or the receipt by the
Borrower, any of its Subsidiaries or any of their respective ERISA
Affiliates of notice from any Multiemployer Plan that it is in
reorganization or insolvency pursuant to Section 4241 or 4245
of ERISA, or that it intends to terminate or has terminated under
Section 4041A or 4042 of ERISA; (viii) the occurrence of
an act or omission which would reasonably be expected to give rise
to the imposition on the Borrower, any of its Subsidiaries or any
of their respective ERISA Affiliates of fines, penalties, taxes or
related charges under Chapter 43 of the Internal Revenue Code or
under Section 409, Section 502(c), (i) or (l), or
Section 4071 of ERISA in respect of any Employee Benefit Plan;
(ix) the assertion of a material claim (other than routine
claims for benefits) against any Employee Benefit Plan other than a
Multiemployer Plan or the assets thereof, or against the Borrower,
any of its Subsidiaries or any of their respective ERISA Affiliates
in connection with any Employee Benefit Plan; (x) receipt from
the Internal Revenue Service of notice of the failure of any
Pension Plan (or any other Employee Benefit Plan intended to be
qualified under Section 401(a) of the Internal Revenue Code)
to qualify under Section 401(a) of the Internal Revenue Code,
or the failure of any trust forming part of any Pension Plan to
qualify for exemption from taxation under Section 501(a) of
the Internal Revenue Code; or (xi) the imposition of a lien
pursuant to Section 430(k) of the Internal Revenue Code or
ERISA or violation of Section 436 of the Internal Revenue
Code.
17
“ Eurodollar Rate
Loan ” means a Loan bearing interest at a rate determined
by reference to the Adjusted Eurodollar Rate.
“ Event of
Default ” means each of the conditions or events set
forth in Section 8.1.
“ Exchange Act
” means the Securities Exchange Act of 1934, as amended from
time to time, and any successor statute.
“ Excluded Foreign
Subsidiary ” means those certain Foreign Subsidiaries
listed on Schedule 1.1B.
“ Excluded
Subsidiary ” means (i) any Subsidiary of the
Borrower that is a Massachusetts securities corporation,
(ii) any Excluded Foreign Subsidiary, (iii) any Domestic
Subsidiary of a Foreign Subsidiary, (iv) any Immaterial
Domestic Subsidiary and (v) any Immaterial Foreign
Subsidiary.
“ Existing Credit
Agreement ” as defined in the recitals.
“ Facility
” means any real property (including all buildings, fixtures
or other improvements located thereon) now, hereafter or heretofore
owned, leased, operated or used by the Borrower or any of its
Subsidiaries or any of their respective predecessors or
Affiliates.
“ Fair Share
Contribution Amount ” as defined in
Section 7.2.
“ Fair Share
” as defined in Section 7.2.
“ Federal Funds
Effective Rate ” means for any day, the rate per annum
(expressed, as a decimal, rounded upwards, if necessary, to the
next higher 1/100 of 1%) equal to the weighted average of the rates
on overnight federal funds transactions with members of the Federal
Reserve System arranged by federal funds brokers on such day, as
published by the Federal Reserve Bank of New York on the Business
Day next succeeding such day; provided , (i) if such
day is not a Business Day, the Federal Funds Rate for such day
shall be such rate on such transactions on the next preceding
Business Day as so published on the next succeeding Business Day,
and (ii) if no such rate is so published on such next
succeeding Business Day, the Federal Funds Rate for such day shall
be the average rate charged to the Administrative Agent, in its
capacity as a Lender, on such day on such transactions as
determined by the Administrative Agent.
“ Financial Officer
Certification ” means, with respect to the financial
statements for which such certification is required, the
certification of the chief financial officer of the Borrower that
such financial statements fairly present, in all material respects,
the financial condition of the Borrower and its Subsidiaries as at
the dates indicated and the results of their operations and their
cash flows for the periods indicated, subject to changes resulting
from audit and normal year-end adjustments, and, with respect to
quarterly financial statements, absence of footnotes.
18
“ First Priority
” means, with respect to any Lien purported to be created in
any Collateral pursuant to any Collateral Document, that such Lien
is the only Lien to which such Collateral is subject, other than
any Permitted Lien.
“ First-Tier Foreign
Subsidiary ” means a Foreign Subsidiary, the Equity
Interests of which are directly owned by a Domestic Subsidiary that
is not a Subsidiary of a Foreign Subsidiary.
“ Fiscal Quarter
” means a fiscal quarter of any Fiscal Year.
“ Fiscal Year
” means the fiscal year of the Borrower and its Subsidiaries
ending on the last Saturday of September of each calendar
year.
“ Flood Hazard
Property ” means any Real Estate Asset subject to a
mortgage in favor of the Collateral Agent, for the benefit of the
Secured Parties, and located in an area designated by the Federal
Emergency Management Agency as having special flood or mud slide
hazards.
“ Foreign
Intellectual Property ” has the meaning assigned to that
term in the Pledge and Security Agreement.
“ Foreign
Intellectual Property Security Agreements ” means those
certain documents listed on Schedule 1.1D, and all other
instruments, documents and agreements delivered by any Credit Party
pursuant to any such Foreign Intellectual Property Security
Agreement or to grant to the Collateral Agent, for the benefit of
the Secured Parties, a Lien on any Grantor’s foreign,
international or multinational issued/registered patents,
registered trademarks, registered copyrights or any applications
for the foregoing as security for the Obligations.
“ Foreign
Jurisdiction ” means the laws of any jurisdiction other
than the laws of the United States of America, any State thereof or
the District of Columbia.
“ Foreign Stock
Pledges ” means those certain documents listed on
Schedule 1.1E, and all other instruments, documents and agreements
delivered by any Credit Party pursuant to any such Foreign Stock
Pledge or to grant to the Collateral Agent, for the benefit of the
Secured Parties, a Lien on any Equity Interest of any Foreign
Subsidiary as security for the Obligations in accordance with
Section 5.10(b) hereof.
“ Foreign
Subsidiary ” means any Subsidiary of the Borrower that is
not a Domestic Subsidiary.
“ Funding
Default ” as defined in Section 2.22.
“ Funding
Guarantors ” as defined in Section 7.2.
19
“ Funding Notice
” means a notice substantially in the form of
Exhibit A-1.
“ GAAP ”
means, subject to the limitations on the application thereof set
forth in Section 1.2, United States generally accepted
accounting principles in effect as of the date of determination
thereof.
“ Governmental
Acts ” means any act or omission, whether rightful or
wrongful, of any present or future de jure or de facto government
or Governmental Authority.
“ Governmental
Authority ” means any federal, state, municipal, national
or other government, governmental department, commission, board,
bureau, court, agency or instrumentality or political subdivision
thereof or any entity, officer or examiner exercising executive,
legislative, judicial, regulatory or administrative functions of or
pertaining to any government or any court, in each case whether
associated with a state of the United States, the United States, or
a foreign entity or government.
“ Governmental
Authorization ” means any permit, license, authorization,
plan, directive, consent order or consent decree of or from any
Governmental Authority.
“ Grantor
” has the meaning assigned to that term in the Pledge and
Security Agreement.
“ GSCP ”
as defined in the preamble hereto.
“ Guaranteed
Obligations ” as defined in Section 7.1.
“ Guarantor
” means each Subsidiary of the Borrower that has in effect an
enforceable Guaranty made pursuant to Section 7;
provided however that no Excluded Subsidiary
shall be required to furnish a Guaranty and that Foreign
Subsidiaries shall be required to furnish Guaranties only to
the extent required by the terms of
Section 5.13(c).
“ Guaranty
” means the guaranty of each Guarantor set forth in
Section 7.
“ Hazardous
Materials ” means any chemical, material or substance,
exposure to which is prohibited, limited or regulated by any
Governmental Authority or which may or could pose a hazard to the
health and safety of the owners, occupants or any Persons in the
vicinity of any Facility or to the indoor or outdoor
environment.
“ Hazardous
Materials Activity ” means any past, current, proposed or
threatened activity, event or occurrence involving any Hazardous
Materials, including the use, manufacture, possession, storage,
holding, presence, existence, location, Release, threatened
Release, discharge, placement, generation, transportation,
processing, construction, treatment, abatement, removal,
remediation, disposal, disposition or handling of any Hazardous
Materials, and any corrective action or response action with
respect to any of the foregoing.
“ Hedge
Agreement ” means an Interest Rate Agreement or a
Currency Agreement entered into with a Lender Counterparty and
satisfactory to the Administrative Agent.
20
“ Highest Lawful
Rate ” means the maximum lawful interest rate, if any,
that at any time or from time to time may be contracted for,
charged, or received under the laws applicable to any Lender which
are currently in effect or, to the extent allowed by law, under
such applicable laws which may hereafter be in effect and which
allow a higher maximum nonusurious interest rate than applicable
laws now allow.
“ Historical
Financial Statements ” means, as of the Restatement Date,
(i) the audited financial statements of the Borrower and its
Subsidiaries for the immediately preceding three Fiscal Years,
consisting of balance sheets and the related consolidated
statements of income, stockholders’ equity and cash flows for
such Fiscal Years, and (ii) the unaudited financial statements
of the Borrower and its Subsidiaries as at the most recently ended
Fiscal Quarter for which financial statements have been prepared,
consisting of a balance sheet and the related consolidated
statements of income, stockholders’ equity and cash flows for
the three-, six-or nine-month period, as applicable, ending on such
date, and, in the case of clauses (i) and (ii), certified by
the chief financial officer of the Borrower that they fairly
present, in all material respects, the financial condition of the
Borrower and its Subsidiaries as at the dates indicated and the
results of their operations and their cash flows for the periods
indicated, subject to changes resulting from audit and normal
year-end adjustments; provided that, solely for purposes of
Section 3.2(k), “Historical Financial Statements”
means, as of the Restatement Date, (i) the audited financial
statements of Third Wave and its Subsidiaries for the immediately
preceding three fiscal years of Third Wave, consisting of balance
sheets and the related consolidated statements of income,
stockholders’ equity and cash flows for such fiscal years,
and (ii) the unaudited financial statements of Third Wave and
its Subsidiaries as at the most recently ended fiscal quarter of
Third Wave for which financial statements have been prepared,
consisting of a balance sheet and the related consolidated
statements of income, stockholders’ equity and cash flows for
the three-, six-or nine-month period, as applicable, ending on such
date, and, in the case of clauses (i) and (ii) of this
proviso, certified by the chief financial officer of Third Wave
that they fairly present, in all material respects, the financial
condition of Third Wave and its Subsidiaries as at the dates
indicated and the results of their operations and their cash flows
for the periods indicated, subject to changes resulting from audit
and normal year-end adjustments (it being agreed Third Wave’s
annual report on Form 10-K for any such fiscal year and quarterly
report on Form 10-Q for any such fiscal quarter, in each case, as
filed with the U.S. Securities and Exchange Commission, satisfy
clauses (i) and (ii), respectively, of this
proviso).
“ Hologic
Convertible Notes ” means the 2.00% Convertible Senior
Notes due 2037 issued by the Borrower pursuant to (i) that
certain Indenture dated as of December 10, 2007 by and between
Wilmington Trust Company, as trustee, and the Borrower and
(ii) that certain First Supplemental Indenture dated as of
December 10, 2007 by and between Wilmington Trust Company, as
trustee, and the Borrower.
“ Immaterial
Domestic Subsidiary ” means, at any date of
determination, any Domestic Subsidiary of the Borrower that,
together with all other Immaterial Domestic Subsidiaries,
(i) had consolidated assets comprising in the aggregate less
than 2% of Total Assets on the last day of the most recent Fiscal
Quarter for which financial statements are available and
(ii) contributed in the aggregate less than 2% of Consolidated
Adjusted EBITDA for the period of four Fiscal Quarters most
recently ended for which financial statements are available. The
Immaterial Domestic Subsidiaries as of the Restatement Date are
those Domestic Subsidiaries of
21
the Borrower that the Administrative
Agent agrees in the exercise of its reasonable discretion are
consistent with the intent of this definition, on a pro forma basis
after giving effect to the Third Wave Acquisition and the Third
Wave Merger, and which as of the Restatement Date are listed on
Schedule 1.1G.
“ Immaterial Foreign
Subsidiary ” means, at any date of determination, any
Foreign Subsidiary that is not a Pledged Foreign Subsidiary and
which, (i) together with all other Foreign Subsidiaries that
are not Pledged Foreign Subsidiaries and are organized under the
laws of the same Foreign Jurisdiction as such Foreign Subsidiary,
(A) had consolidated assets comprising in the aggregate less
than 5% of Total Assets on the last day of the most recent Fiscal
Quarter for which financial statements are available and
(B) contributed in the aggregate less than 5% of Consolidated
Adjusted EBITDA for the period of four Fiscal Quarters most
recently ended for which financial statements are available and,
(ii) together with all other Foreign Subsidiaries that are not
Pledged Foreign Subsidiaries, (A) had assets comprising in the
aggregate less than 15% of Total Assets on the last day of the most
recent Fiscal Quarter for which financial statements are available
and (B) contributed in the aggregate less than 15% of
Consolidated Adjusted EBITDA for the period of four Fiscal Quarters
most recently ended for which financial statements are available.
The Immaterial Foreign Subsidiaries as of the Restatement Date are
those Foreign Subsidiaries that the Administrative Agent agrees in
the exercise of its reasonable discretion are consistent with the
intent of this definition, on a pro forma basis after giving effect
to the Third Wave Acquisition and the Third Wave Merger, and which
as of the Restatement Date are listed on Schedule 1.1F.
“ Increased Amount
Date ” as defined in Section 2.24.
“ Increased-Cost
Lender ” as defined in Section 2.23.
“ Increased
Spread ” as defined in Section 2.24.
“ Indebtedness
” means, as applied to any Person, without duplication,
(i) all indebtedness for borrowed money; (ii) that
portion of obligations with respect to Capital Leases that is
properly classified as a liability on a balance sheet in conformity
with GAAP; (iii) notes payable and drafts accepted
representing extensions of credit whether or not representing
obligations for borrowed money; (iv) any obligation owed for
all or any part of the deferred purchase price of property or
services, excluding earn-out obligations except for that portion of
any earn-out obligations properly classified as a liability on a
balance sheet in conformity with GAAP (also excluding any such
obligations incurred under ERISA or related to deferred employee or
director compensation), which purchase price is (a) due more
than six months from the date of incurrence of the obligation in
respect thereof or (b) evidenced by a note or similar written
instrument; (v) all indebtedness secured by any Lien on any
property or asset owned or held by that Person regardless of
whether the indebtedness secured thereby shall have been assumed by
that Person or is nonrecourse to the credit of that Person;
(vi) the face amount of any letter of credit issued for the
account of that Person or as to which that Person is otherwise
liable for reimbursement of drawings; (vii) Disqualified
Equity Interests, (viii) the direct or indirect guaranty,
endorsement (otherwise than for collection or deposit in the
ordinary course of business), co-making, discounting with recourse
or sale with recourse by such Person of the obligation of another;
(ix) any obligation of such Person the primary purpose or
intent of which
22
is to provide assurance to an obligee
that the obligation of the obligor thereof will be paid or
discharged, or any agreement relating thereto will be complied
with, or the holders thereof will be protected (in whole or in
part) against loss in respect thereof; (x) any liability of
such Person for an obligation of another through any agreement
(contingent or otherwise) (a) to purchase, repurchase or
otherwise acquire such obligation or any security therefor, or to
provide funds for the payment or discharge of such obligation
(whether in the form of loans, advances, stock purchases, capital
contributions or otherwise) or (b) to maintain the solvency or
any balance sheet item, level of income or financial condition of
another if, in the case of any agreement described under subclauses
(a) or (b) of this clause (x), the primary purpose or
intent thereof is as described in clause (ix) above; and
(xi) all obligations of such Person in respect of any exchange
traded or over the counter derivative transaction, including any
Interest Rate Agreement and any Currency Agreement, in each case,
whether entered into for hedging or speculative purposes;
provided , in no event shall obligations under any
derivative transaction (including, without limitation, any
transaction evidenced by any Interest Rate Agreement and/or any
Currency Agreement) be deemed “Indebtedness” for any
purpose under Section 6.7.
“ Indemnified
Liabilities ” means, collectively, any and all
liabilities, obligations, losses, damages (including natural
resource damages), penalties, claims (including Environmental
Claims), actions, judgments, suits, costs (including the costs of
any investigation, study, sampling, testing, abatement, cleanup,
removal, remediation or other response action necessary to remove,
remediate, clean up or abate any Hazardous Materials Activity),
expenses and disbursements of any kind or nature whatsoever
(including the reasonable fees and disbursements of counsel for
Indemnitees in connection with any investigative, administrative or
judicial proceeding or hearing commenced or threatened by any
Person, whether or not any such Indemnitee shall be designated as a
party or a potential party thereto, and any fees or expenses
incurred by Indemnitees in enforcing this indemnity, but only to
the extent recoverable under Section 10.2 of this Agreement),
whether direct, indirect or consequential and whether based on any
federal, state or foreign laws, statutes, rules or regulations
(including securities and commercial laws, statutes, rules or
regulations and Environmental Laws), on common law or equitable
cause or on contract or otherwise, that may be imposed on, incurred
by, or asserted against any such Indemnitee, in any manner relating
to or arising out of (i) this Agreement or the other Credit
Documents or the transactions contemplated hereby or thereby
(including the Lenders’ agreement to make Credit Extensions,
the syndication of the credit facilities provided for herein or the
use or intended use of the proceeds thereof, or any enforcement of
any of the Credit Documents (including any sale of, collection
from, or other realization upon any of the Collateral or the
enforcement of the Guaranty)); (ii) the Commitment Letter (and
any related fee or engagement letter delivered by any Agent or any
Lender to the Borrower with respect to the transactions
contemplated by this Agreement); or (iii) any Environmental
Claim or any Hazardous Materials Activity relating to or arising
from, directly or indirectly, any past or present activity,
operation, land ownership, or practice of the Borrower or any of
its Subsidiaries.
“ Indemnitee
” as defined in Section 10.3.
“ Installment
” means a Tranche A Installment, a Tranche B Installment or a
scheduled repayment of principal of New Term Loans, if any,
pursuant to the proviso to Section 2.12(b), as the case may
be.
23
“ Intellectual
Property ” has the meaning assigned to that term in the
Pledge and Security Agreement.
“ Intellectual
Property Asset ” means, at the time of determination, any
interest (fee, license or otherwise) then owned by any Credit Party
in any Intellectual Property.
“ Intellectual
Property Security Agreements ” means the Trademark
Security Agreement, the Copyright Security Agreement and the Patent
Security Agreement as such terms are defined in the Pledge and
Security Agreement.
“ Intercompany
Note ” means that certain Intercompany Subordinated
Demand Promissory Note, dated as October 22, 2007, by and
among the Borrower and each of the Credit Parties, each as a Payor
and as a Payee, as it has been or may be amended, supplemented or
otherwise modified in accordance with the terms thereof from time
to time.
“ Interest Coverage
Ratio ” means the ratio as of the last day of
(A) the Fiscal Quarter beginning with the Fiscal Quarter
ending on the last Saturday in September 2008 of
(i) Consolidated Adjusted EBITDA for the prior four Fiscal
Quarters, to (ii) Adjusted Consolidated Interest Expense for
such Fiscal Quarter multiplied by four (4), (B) the first full
Fiscal Quarter ending after the Restatement Date of
(i) Consolidated Adjusted EBITDA for the prior four-Fiscal
Quarter period ending on such date, to (ii) Adjusted
Consolidated Interest Expense for such two-Fiscal Quarter period
multiplied by two (2), (C) the second full Fiscal Quarter
ending after the Restatement Date of (i) Consolidated Adjusted
EBITDA for the prior four-Fiscal Quarter period ending on such
date, to (ii) Adjusted Consolidated Interest Expense for such
three-Fiscal Quarter period multiplied by four thirds ( 4 / 3 ), and
(D) any other Fiscal Quarter of (i) Consolidated Adjusted
EBITDA for the prior four-Fiscal Quarter period then ending, to
(ii) Adjusted Consolidated Interest Expense for such
four-Fiscal Quarter period.
“ Interest Payment
Date ” means with respect to (i) any Loan that is a
Base Rate Loan, each March 31, June 30, September 30
and December 31 of each year, commencing on the first such
date to occur after the Restatement Date, and the final maturity
date of such Loan; and (ii) any Loan that is a Eurodollar Rate
Loan, the last day of each Interest Period applicable to such Loan;
provided , in the case of each Interest Period of longer
than three months, “Interest Payment Date” shall also
include each date that is three months, or an integral multiple
thereof, after the commencement of such Interest Period.
“ Interest
Period ” means, in connection with (x) Tranche A
Loans and the Revolving Loans which are Eurodollar Rate Loans, an
interest period of one-, two-, three-, six-, nine- or
twelve-months, and (y) Tranche B Term Loans which are
Eurodollar Rate Loans, an interest period of one-, two-, three- or
six-months (and nine- or twelve-months if available to all
Lenders), in each case as selected by the Borrower in the
applicable Funding Notice or Conversion/Continuation Notice,
(i) initially commencing on the Credit Date or
Conversion/Continuation Date thereof, as the case may be; and
(ii) thereafter, commencing on the day on which the
immediately preceding Interest Period expires; provided ,
(a) if an Interest Period would otherwise expire on a day that
is not a Business Day, such Interest Period shall expire on the
next succeeding Business Day unless no further Business Day occurs
in such month, in which case such Interest Period shall expire on
the immediately preceding Business Day; (b) any
24
Interest Period that begins on the last
Business Day of a calendar month (or on a day for which there is no
numerically corresponding day in the calendar month at the end of
such Interest Period) shall, subject to clauses (c) and
(d) of this definition, end on the last Business Day of a
calendar month; (c) no Interest Period with respect to any
portion of any Class of Term Loans shall extend beyond the
applicable maturity date for such Class; and (d) no Interest
Period with respect to any portion of the Revolving Loans shall
extend beyond the Revolving Commitment Termination Date.
“ Interest Rate
Agreement ” means any interest rate swap agreement,
interest rate cap agreement, interest rate collar agreement,
interest rate hedging agreement or other similar agreement or
arrangement, each of which is for the purpose of hedging the
interest rate exposure associated with the Borrower’s and its
Subsidiaries’ operations and not for speculative
purposes.
“ Interest Rate
Determination Date ” means, with respect to any Interest
Period, the date that is two (2) Business Days prior to the
first day of such Interest Period.
“ Internal Revenue
Code ” means the Internal Revenue Code of 1986, as
amended to the Closing Date and from time to time hereafter, and
any successor statute.
“ Investment
” means (i) any direct or indirect purchase or other
acquisition by the Borrower or any of its Subsidiaries of, or of a
beneficial interest in, any of the Securities of any other Person
(other than a Guarantor); (ii) any direct or indirect
redemption, retirement, purchase or other acquisition for value, by
any Subsidiary of the Borrower from any Person (other than the
Borrower or any Guarantor), of any Equity Interests of such Person;
(iii) any direct or indirect loan, advance (other than
advances to employees for moving, entertainment and travel
expenses, drawing accounts and similar expenditures in the ordinary
course of business) or capital contributions by the Borrower or any
of its Subsidiaries to any other Person (other than the Borrower or
any Guarantor), including all indebtedness and accounts receivable
from that other Person that are not current assets or did not arise
from sales to that other Person in the ordinary course of business
and (iv) all investments consisting of any exchange-traded or
over the counter derivative transaction, including any Interest
Rate Agreement or Currency Agreement, whether entered into for
hedging or speculative purposes. The amount of any Investment shall
be the original cost of such Investment of the type described in
clauses (i), (ii) and (iii) plus the cost of all
additions thereto, without any adjustments for increases or
decreases in value, or write-ups, write-downs or write-offs with
respect to such Investment.
“ Issuer
Documents ” means, with respect to any Letter of Credit,
the Letter of Credit Application and any other document, agreement
and instrument entered into by the Issuing Bank and the Borrower
(or any Subsidiary) or in favor of the Issuing Bank and relating to
such Letter of Credit.
“ Issuing Bank
” means Bank of America, N.A. as the Issuing Bank hereunder,
together with its permitted successors and assigns in such
capacity.
“ Joinder
Agreement ” means an agreement substantially in the form
of Exhibit M.
25
“ Joint Venture
” means a joint venture, partnership or other similar
arrangement, whether in corporate, partnership or other legal form;
provided , in no event shall any corporate Subsidiary of any
Person be considered to be a Joint Venture to which such Person is
a party.
“ JPM ” as
defined in the preamble hereto.
“ Landlord Personal
Property Collateral Access Agreement ” means a Landlord
Waiver and Consent Agreement substantially in the form of
Exhibit K with such amendments or modifications as may be
approved by the Collateral Agent.
“ Leasehold
Property ” means any leasehold interest of any Credit
Party as lessee under any lease of real property, other than any
such leasehold interest designated from time to time by the
Collateral Agent in its sole discretion as not being required to be
included in the Collateral.
“ Lender ”
means each financial institution listed on the signature pages
hereto as a Lender and any other Person that becomes a party hereto
pursuant to an Assignment Agreement or a Joinder
Agreement.
“ Lender Consent
Letters ” means the lender consent letters authorizing
the amendment and restatement of the Existing Credit Agreement and
such modifications of the other Credit Documents as may be
necessary or advisable in connection therewith .
“ Lender
Counterparty ” means each Lender, each Agent and each of
their respective Affiliates counterparty to a Hedge Agreement
(including any Person who is an Agent or a Lender (and any
Affiliate thereof) as of the Closing Date but subsequently, whether
before or after entering into a Hedge Agreement, ceases to be an
Agent or a Lender, as the case may be).
“ Letter of
Credit ” means a commercial or standby letter of credit
issued or to be issued by the Issuing Bank pursuant to this
Agreement.
“ Letter of Credit
Application ” means an application and agreement for the
issuance or amendment of a Letter of Credit in the form from time
to time in use by the Issuing Bank.
“ Letter of Credit
Sublimit ” means the lesser of (i) $40,000,000 and
(ii) the aggregate unused amount of the Revolving Commitments
then in effect.
“ Letter of Credit
Usage ” means, as at any date of determination, the sum
of (i) the maximum aggregate Stated Amount which is, or at any
time thereafter may become, available for drawing under all Letters
of Credit then outstanding, and (ii) the aggregate Dollar
Equivalent of the principal amount of all drawings under Letters of
Credit honored by the Issuing Bank and not theretofore reimbursed
by or on behalf of the Borrower.
“ Leverage Ratio
” means the ratio as of the last day of any Fiscal Quarter of
(i) Consolidated Total Debt as of such day to
(ii) Consolidated Adjusted EBITDA for the four-Fiscal Quarter
period ending on such date.
26
“ Licensed
Intellectual Property ” means any interest of any Credit
Party as licensee or sublicensee under any license of Intellectual
Property, other than any such interest that has been designated
from time to time by the Collateral Agent as not being required to
be included in the Collateral.
“ Lien ”
means (i) any lien, mortgage, pledge, assignment, security
interest, charge or encumbrance of any kind (including any
agreement to give any of the foregoing, any conditional sale or
other title retention agreement, and any lease or license in the
nature thereof) and any option, trust or other preferential
arrangement having the practical effect of any of the foregoing and
(ii) in the case of Securities, any purchase option, call or
similar right of a third party with respect to such
Securities.
“ Loan ”
means (i) a Tranche A Term Loan, (ii) a Tranche B Term
Loan, (iii) a Revolving Loan, (iv) a Swing Line Loan or
(v) a New Term Loan, as applicable.
“ Margin Stock
” as defined in Regulation U of the Board of Governors
as in effect from time to time.
“ Material Adverse
Effect ” means a material adverse effect on and/or
material adverse developments with respect to (i) the
business, operations, properties, assets, condition (financial or
otherwise) or prospects of the Borrower and its Subsidiaries taken
as a whole; (ii) the ability of any Credit Party to fully and
timely perform its Obligations; (iii) the legality, validity,
binding effect or enforceability against a Credit Party of a Credit
Document to which it is a party; or (iv) the rights, remedies
and benefits available to, or conferred upon, any Agent and any
Lender or any Secured Party under any Credit Document.
“ Material
Contract ” means any contract or other arrangement to
which the Borrower or any of its Subsidiaries is a party (other
than the Credit Documents) for which breach, nonperformance,
cancellation or failure to renew would reasonably be expected to
have a Material Adverse Effect.
“ Material Real
Estate Asset ” means (i) any fee-owned Real Estate
Asset having a fair market value in excess of $2,500,000 as of the
date of the acquisition thereof and (ii) all Leasehold
Properties other than those with respect to which the aggregate
payments under the term of the lease are less than $1,000,000 per
annum; provided that the Third Wave Leasehold Facility shall
be excluded from the definition of “Material Real Estate
Asset.”
“ Minimum
Liquidity ” means, as at any date of determination, the
sum of (i) the Borrower’s unrestricted Cash and Cash
Equivalents held in deposit and/or security accounts subject to a
control agreement in favor of the Collateral Agent and
(ii) the aggregate unused portion of the Revolving Commitments
at such time.
“ Moody’s
” means Moody’s Investor Service, Inc.
“ Mortgage
” means (i) each of those certain mortgages dated as of
October 22, 2007 in respect of each Closing Date Mortgaged
Property and (ii) each mortgage (which shall be substantially
in the form of Exhibit J-1), delivered subsequent to the
Restatement Date pursuant to and in accordance with
Section 5.11, as any such mortgage may be amended, restated,
amended and restated, supplemented or otherwise modified from time
to time.
27
“ Mortgage
Modification ” means an amendment, restatement, amendment
and restatement, supplement or other modification to a Mortgage,
substantially in the form of Exhibit J-2, as amended,
restated, amended and restated, supplemented or otherwise modified
from time to time.
“ Multiemployer
Plan ” means any Employee Benefit Plan which is a
“multiemployer plan” as defined in Section 3(37)
of ERISA.
“ NAIC ”
means The National Association of Insurance Commissioners, and any
successor thereto.
“ Net Asset Sale
Proceeds ” means, with respect to any Asset Sale or any
Disposition made pursuant to Section 6.8(g), an amount equal
to: (i) Cash payments (including any Cash received by way of
deferred payment pursuant to, or by monetization of, a note
receivable or otherwise, but only as and when so received or when
released from an escrow or holdback) received by the Borrower or
any of its Subsidiaries from such Asset Sale, minus
(ii) any bona fide direct costs incurred in connection with
such Asset Sale, including (a) income or gains taxes payable
by the seller as a result of any gain recognized in connection with
such Asset Sale, (b) payment of the outstanding principal
amount of, premium or penalty, if any, and interest on any
Indebtedness (other than the Loans) that is either secured by a
Lien on the stock or assets in question and that is required to be
repaid under the terms thereof as a result of such Asset Sale or
which arise as a result of such Asset Sale and that is required to
be repaid under the terms thereof as a result of such Asset Sale,
(c) any professional fees actually incurred in connection
therewith, including, without limitation, advisers, brokers,
investment bankers, attorneys, and accountants, (d) a
reasonable reserve for any purchase price adjustment or any
indemnification payments (fixed or contingent) attributable to
seller’s indemnities and representations and warranties to
purchaser in respect of any such Asset Sale undertaken by the
Borrower or any of its Subsidiaries in connection with such Asset
Sale, and (e) reasonable reserves under GAAP for any
facilities closings, severance or other restructuring expenses in
connection with such Asset Sale.
“ Net
Insurance/Condemnation Proceeds ” means an amount equal
to: (i) any Cash payments or proceeds received by the Borrower
or any of its Subsidiaries (a) under any casualty insurance
policy in respect of a covered loss thereunder or (b) as a
result of the taking of any assets of the Borrower or any of its
Subsidiaries by any Person pursuant to the power of eminent domain,
condemnation or otherwise, or pursuant to a sale of any such assets
to a purchaser with such power under threat of such a taking,
minus (ii) (a) any actual and reasonable costs incurred
by the Borrower or any of its Subsidiaries in connection with the
adjustment or settlement of any claims of the Borrower or such
Subsidiary in respect thereof, and (b) any professional fees
actually incurred in connection therewith, including, without
limitation, advisers, brokers, investment bankers, attorneys, and
accountants, (c) any bona fide direct costs incurred in
connection with any sale of such assets as referred to in clause
(i)(b) of this definition, including income taxes payable as a
result of any gain recognized in connection therewith, and
(d) reasonable reserves under GAAP for any facilities
closings, severance or other restructuring expenses in connection
with any such sale or insurance claim.
28
“ Net Mark-to-Market
Exposure ” of a Person means, as of any date of
determination, the excess (if any) of all unrealized losses over
all unrealized profits of such Person arising from Hedge Agreements
or other Indebtedness of the type described in clause (xi) of
the definition thereof. As used in this definition,
“unrealized losses” means the fair market value of the
cost to such Person of replacing such Hedge Agreement or such other
Indebtedness as of the date of determination (assuming the Hedge
Agreement or such other Indebtedness were to be terminated as of
that date), and “unrealized profits” means the fair
market value of the gain to such Person of replacing such Hedge
Agreement or such other Indebtedness as of the date of
determination (assuming such Hedge Agreement or such other
Indebtedness were to be terminated as of that date).
“ New Revolving
Loan ” as defined in Section 2.24.
“ New Revolving Loan
Commitments ” as defined in Section 2.24.
“ New Revolving Loan
Lender ” as defined in Section 2.24.
“ New Revolving Loan
Exposure ” means, with respect to any Lender, as of any
date of determination, the outstanding principal amount of the New
Revolving Loans of such Lender.
“ New Revolving Loan
Maturity Date ” means the date on which New Revolving
Loans of a Series shall become due and payable in full hereunder,
as specified in the applicable Joinder Agreement, including by
acceleration or otherwise.
“ New Term Loan
” as defined in Section 2.24.
“ New Term Loan
Commitments ” as defined in Section 2.24.
“ New Term Loan
Exposure ” means, with respect to any Lender, as of any
date of determination, the outstanding principal amount of the New
Term Loans of such Lender.
“ New Term Loan
Lender ” as defined in Section 2.24.
“ New Term Loan
Maturity Date ” means the date on which New Term Loans of
a Series shall become due and payable in full hereunder, as
specified in the applicable Joinder Agreement, including by
acceleration or otherwise.
“ Non-Public
Information ” means information which has not been
disseminated in a manner making it available to investors
generally, within the meaning of Regulation FD.
“ Non-Consenting
Lender ” as defined in Section 2.23.
“ Non-Extension
Notice ” as defined in Section 2.4(a).
29
“ Non-US Lender
” as defined in Section 2.20(c).
“ Note ”
means (i) a Tranche A Term Loan Note, (ii) a Tranche B
Term Loan Note, (iii) a Revolving Loan Note or (iv) a
Swing Line Note.
“ Notice ”
means a Funding Notice, a Letter of Credit Application, or a
Conversion/ Continuation Notice.
“ Obligations
” means (i) all obligations of every nature of each
Credit Party, including obligations from time to time owed to any
Agent (including any former Agent), Lenders or any of them and
Lender Counterparties, to the extent arising under any Credit
Document or Hedge Agreement, whether for principal, interest
(including interest which, but for the filing of a petition in
bankruptcy with respect to such Credit Party, would have accrued on
any Obligation, whether or not a claim is allowed against such
Credit Party for such interest in the related bankruptcy
proceeding), reimbursement of amounts drawn under Letters of
Credit, payments for early termination of Hedge Agreements, fees,
expenses, indemnification or otherwise and (ii) all Cash
Management Obligations.
“ Obligee
Guarantor ” as defined in Section 7.7.
“ Obligors
” means, collectively, the Borrower and the Guarantors and
“ Obligor ” means any of them.
“ Organizational
Documents ” means (i) with respect to any
corporation, its certificate or articles of incorporation or
organization, as amended, and its by-laws, as amended,
(ii) with respect to any limited partnership, its certificate
of limited partnership, as amended, and its partnership agreement,
as amended, (iii) with respect to any general partnership, its
partnership agreement, as amended, (iv) with respect to any
limited liability company, its articles of organization, as
amended, and its operating agreement, as amended, and (v) with
respect to any other Person, comparable instruments and documents.
In the event any term or condition of this Agreement or any other
Credit Document requires any Organizational Document to be
certified by a secretary of state or similar governmental official,
the reference to any such “Organizational Document”
shall only be to a document of a type customarily certified by such
governmental official.
“ Original
Obligations ” as defined in
Section 9.8(e)(i).
“ Parallel Debt
Security ” as defined in Section 9.8(e)
“ Parallel
Obligations ” as defined in
Section 9.8(i).
“ PATRIOT Act
” as defined in Section 3.2(t).
“ PBGC ”
means the Pension Benefit Guaranty Corporation or any successor
thereto.
“ Pension Plan
” means any Employee Benefit Plan, other than a Multiemployer
Plan, which is subject to Section 412 of the Internal Revenue
Code or Section 302 of ERISA.
30
“ Permitted
Acquisition ” means any acquisition by the Borrower or
any of its wholly-owned Subsidiaries, whether by purchase, merger
or otherwise, of all or substantially all of the assets of, all of
the Equity Interests of, or a business line or unit or a division
of, any Person; provided ,
(i) immediately prior to, and
after giving effect thereto, no Default or Event of Default shall
have occurred and be continuing or would result
therefrom;
(ii) all transactions in
connection therewith shall be consummated, in all material
respects, in accordance with all applicable laws and in conformity
with all applicable Governmental Authorizations;
(iii) in the case of the
acquisition of Equity Interests, all of the Equity Interests
(except for any such Securities in the nature of directors’
qualifying shares required pursuant to applicable law) acquired or
otherwise issued by such Person or any newly formed Subsidiary of
the Borrower in connection with such acquisition shall be owned
100% by the Borrower or a Guarantor thereof, and the Borrower shall
have taken, or caused to be taken, as of the date such Person
becomes a Subsidiary of the Borrower, each of the actions set forth
in Sections 5.10 and/or 5.11, as applicable;
(iv) the Borrower and its
Subsidiaries shall be in compliance with the financial covenants
set forth in Section 6.7 on a pro forma basis after giving
effect to such acquisition as of the last day of the Fiscal Quarter
most recently ended;
(v) the Borrower shall have
delivered to the Administrative Agent (i) a Compliance
Certificate evidencing compliance with Section 6.7 as required
under clause (iv) above and (ii) in the event the
purchase price of such Permitted Acquisition is greater than
$25,000,000, (A) all other relevant financial information with
respect to such acquired assets, including the aggregate
consideration for such acquisition and any other information
required to demonstrate compliance with Section 6.7 and
(B) promptly upon request by the Administrative Agent,
(i) a copy of the purchase agreement related to the proposed
Permitted Acquisition (and any related documents reasonably
requested by the Administrative Agent) and (ii) quarterly and
annual financial statements of the Person whose Equity Interests or
assets are being acquired for the twelve (12) month period
immediately prior to such proposed Permitted Acquisition, including
any audited financial statements that are available;
(vi) any Person or assets or
division as acquired in accordance herewith shall be in same
business or lines of business in which the Borrower and/or its
Subsidiaries are engaged as of the Third Wave Merger Effective Date
and similar or related businesses, including, without limitation,
any medical pharmaceutical, diagnostic or other health oriented
business and any businesses related, ancillary or incidental
thereto, or that is an adjunct thereto ( provided that the
Administrative Agent consents to such adjunct if material), or a
reasonable extension, development or expansion thereof;
and
31
(vii) the aggregate unused
portion of the Revolving Commitments at such time (after giving
effect to the consummation of the respective Permitted Acquisition
and any financing thereof) shall equal or exceed
$100,000,000.
For the avoidance of doubt, the Third
Wave Acquisition, the Third Wave Merger and the Agilent Acquisition
constitute Permitted Acquisitions for all purposes hereunder and
under the other Credit Documents.
“ Permitted
Liens ” means each of the Liens permitted pursuant to
Section 6.2.
“ Person ”
means and includes natural persons, corporations, limited
partnerships, general partnerships, limited liability companies,
limited liability partnerships, joint stock companies, Joint
Ventures, associations, companies, trusts, banks, trust companies,
land trusts, business trusts or other organizations, whether or not
legal entities, and Governmental Authorities.
“ Platform
” as defined in Section 5.1(p).
“ Pledge and
Security Agreement ” means that certain Amended and
Restated Pledge and Security Agreement dated as of the Restatement
Date by and among the Borrower and certain of its Subsidiaries, as
Grantors, and the Collateral Agent, as it has been or may be
amended, restated, amended and restated, supplemented or otherwise
modified from time to time.
“ Pledged Foreign
Subsidiary ” means each Foreign Subsidiary as to which a
valid and perfected First Priority Lien has been granted to the
Collateral Agent, for the benefit of the Secured Parties, in the
Equity Interests of such Foreign Subsidiary, in accordance with
Section 5.10(b).
“ Prepayment
Date ” as defined in Section 2.15(c).
“ Prime Rate
” means the rate of interest quoted in The Wall Street
Journal , Money Rates Section as the Prime Rate (currently
defined as the base rate on corporate loans posted by at least 75%
of the nation’s thirty (30) largest banks), as in effect
from time to time. The Prime Rate is a reference rate and does not
necessarily represent the lowest or best rate actually charged to
any customer. Any Lender may make commercial loans or other loans
at rates of interest at, above or below the Prime Rate.
“ Principal
Office ” means, for each of the Administrative Agent, the
Swing Line Lender and the Issuing Bank, such Person’s
“Principal Office” as set forth on Appendix B, or such
other office or office of a third party or sub-agent, as
appropriate, as such Person may from time to time designate in
writing to the Borrower, the Administrative Agent and each
Lender.
“ Prior
Acquisitions ” means the following acquisitions: merger
of Admiral Acquisition Corporation with and into Adiana, Inc.
effective March 16, 2007 (agreement and plan of merger dated
February 26, 2007); acquisition of assets of Helica
Instruments Limited by Cytyc Cayman Limited effective
October 25, 2006; merger of Augusta Medical corporation with
and into Adeza Medical Corporation effective April 2, 2007
(subsequent to tender offer of shares
32
of Adeza’s stock) (agreement and
plan of merger dated February 11, 2007); merger of Bravo
Transition, Inc. into BioLucent, Inc. and subsequent merger of
BioLucent into Bravo Acquisition I, LLC effective
September 19, 2007 (agreement and plan of reorganization dated
June 20, 2007); and AEG Elektrofotografie GmbH acquisition of
14.5% of AEG Photoconductor Shanghai Ltd from SIMTEK New Technology
Co., Ltd, pursuant to an agreement dated April 25,
2007.
“ Projections
” as defined in Section 4.8.
“Pro Rata
Share” means (i) with respect to all payments,
computations and other matters relating to the Tranche A Term Loan
of any Lender, the percentage obtained by dividing (a) the
Tranche A Term Loan Exposure of that Lender by (b) the
aggregate Tranche A Term Loan Exposure of all Lenders;
(ii) with respect to all payments, computations and other
matters relating to the Tranche B Term Loan of any Lender, the
percentage obtained by dividing (a) the Tranche B Term Loan
Exposure of that Lender by (b) the aggregate Tranche B Term
Loan Exposure of all Lenders; (iii) with respect to all
payments, computations and other matters relating to the Revolving
Commitment or Revolving Loans of any Lender or any Letters of
Credit issued or participations purchased therein by any Lender or
any participations in any Swing Line Loans purchased by any Lender,
the percentage obtained by dividing (a) the Revolving Exposure
of that Lender by (b) the aggregate Revolving Exposure of all
Lenders; and (iv) with respect to all payments, computations,
and other matters relating to New Term Loan Commitments or New Term
Loans of a particular Series, the percentage obtained by dividing
(a) the New Term Loan Exposure of that Lender with respect to
that Series by (b) the aggregate New Term Loan Exposure of all
Lenders with respect to that Series. For all other purposes with
respect to each Lender, “Pro Rata Share” means the
percentage obtained by dividing (A) an amount equal to the sum
of (i) the Tranche A Term Loan Exposure, (ii) the Tranche
B Term Loan Exposure, (iii) the Revolving Exposure and
(iv) the New Term Loan Exposure of that Lender, by (B) an
amount equal to the sum of the aggregate Tranche A Term Loan
Exposure, the aggregate Tranche B Term Loan Exposure, the aggregate
Revolving Exposure and the aggregate New Term Loan Exposure of all
Lenders.
“ RBC ” as
defined in the preamble hereto.
“ Real Estate
Asset ” means, at any time of determination, any interest
(fee, leasehold or otherwise) then owned by any Credit Party in any
real property.
“ Record
Document ” means, with respect to (A) any Leasehold
Property, (i) the lease evidencing such Leasehold Property or
a memorandum thereof, executed and acknowledged by the owner of the
affected real property, as lessor, or (ii) if such Leasehold
Property was acquired or subleased from the holder of a Recorded
Leasehold Interest, the applicable assignment or sublease document,
executed and acknowledged by such holder, in each case in form
sufficient to give such constructive notice upon recordation and
otherwise in form reasonably satisfactory to the Collateral Agent
and (B) any Licensed Intellectual Property, (i) the
license evidencing such Intellectual Property or a memorandum
thereof, executed and acknowledged by the licensor of the affected
Intellectual Property, or (ii) if such Licensed Intellectual
Property was acquired or sublicensed from the holder of licensed
rights or interests in the Intellectual Property, the applicable
assignment or sublicense document, executed and
33
acknowledged by such holder, in each
case in form sufficient to give constructive notice upon filing or
recordation in the U.S. Patent and Trademark Office, U.S. Copyright
Office, or any foreign equivalent place of filing, of the transfer
or license of such holder’s rights or interests and otherwise
in form reasonably satisfactory to the Collateral Agent.
“ Recorded Leasehold
Interest ” means a Leasehold Property with respect to
which a Record Document has been recorded in all places necessary
or desirable, in the Collateral Agent’s reasonable judgment,
to give constructive notice of such Leasehold Property to
third-party purchasers and encumbrancers of the affected real
property.
“ Recorded License
Interest ” means Licensed Intellectual Property with
respect to which a Record Document has been recorded in all places
necessary or desirable, in the Collateral Agent’s reasonable
judgment, to give constructive notice of such Licensed Intellectual
Property to bona fide purchasers, mortgagees, transferees and
licensees of the affected Intellectual Property.
“ Refunded Swing
Line Loans ” as defined in
Section 2.3(b)(iv).
“ Register
” as defined in Section 2.7(b).
“
Regulation D ” means Regulation D of the
Board of Governors, as in effect from time to time.
“ Regulation FD
” means Regulation FD as promulgated by the U.S. Securities
and Exchange Commission under the Securities Act and Exchange Act
as in effect from time to time.
“ Reimbursement
Date ” as defined in Section 2.4(d).
“ Related
Agreements ” means the Cytyc Merger Agreement and the
Third Wave Merger Agreement and all other documents and agreements
executed and delivered in connection therewith or pursuant
thereto.
“ Related Fund
” means, with respect to any Lender that is an investment
fund, any other investment fund that invests in commercial loans
and that is managed or advised by the same investment advisor as
such Lender or by an Affiliate of such investment
advisor.
“ Release
” means any release, spill, emission, leaking, pumping,
pouring, injection, escaping, deposit, disposal, discharge,
dispersal, dumping, leaching or migration of any Hazardous Material
into the indoor or outdoor environment (including the abandonment
or disposal of any barrels, containers or other closed receptacles
containing any Hazardous Material), including the movement of any
Hazardous Material through the air, soil, surface water or
groundwater.
“ Replacement
Lender ” as defined in Section 2.23.
“ Requisite
Lenders ” means one or more Lenders having or holding
(i) Tranche A Term Loan Exposure, (ii) Tranche B Term
Loan Exposure, (iii) New Term Loan Exposure
34
and/or (iv) Revolving Exposure and
representing more than 50% of the sum of (i) the aggregate
Tranche A Term Loan Exposure of all Lenders, (ii) the
aggregate Tranche B Term Loan Exposure of all Lenders
(iii) the aggregate Revolving Exposure of all Lenders and
(iv) the aggregate New Term Loan Exposure of all
Lenders.
“ Restatement
Date ” means July 17, 2008, the date on which the
conditions precedent set forth in Section 3.2 shall have been
satisfied or waived in accordance with the terms hereof and the
initial borrowing of Tranche A Term Loans and/or Tranche B Term
Loans under this Agreement shall have been made.
“ Restatement Date
Certificate ” means a Restatement Date Certificate
substantially in the form of Exhibit G-1.
“ Restricted Junior
Payment ” means (i) any dividend or other
distribution, direct or indirect, on account of any shares of any
class of stock of the Borrower now or hereafter outstanding, except
a dividend payable solely in shares of that class of stock to the
holders of that class; (ii) any redemption, retirement,
sinking fund or similar payment, purchase or other acquisition for
value, direct or indirect, of any shares of any class of stock of
the Borrower now or hereafter outstanding; (iii) any payment
made to retire, or to obtain the surrender of, any outstanding
warrants, options or other rights to acquire shares of any class of
stock of the Borrower now or hereafter outstanding; and
(iv) any payment or prepayment of principal of, premium, if
any, or interest on, or redemption, purchase, retirement,
defeasance (including in-substance or legal defeasance), sinking
fund, cash settlement or similar payment with respect to the Cytyc
Convertible Notes, any unsecured Indebtedness (other than unsecured
Indebtedness permitted by clauses (b), (c), (d), (e), (f), (g),
(i), (j), (k), (m), (p), (q), (r), (s), (t), (u), (v) and
(w) of Section 6.1 and, to the extent the Indebtedness
being guarantied is not subordinated to the Obligations, clause
(h) of Section 6.1) or any Subordinated
Indebtedness.
“ Revaluation
Date ” means with respect to all Letters of Credit, each
of the following: (i) each date of issuance of each respective
Letter of Credit, (ii) each date of any amendment of any such
Letter of Credit that has the effect of increasing the amount
thereof and (iii) each date of any payment by the Issuing Bank
under any Letter of Credit.
“ Revolving
Commitment ” means the commitment of a Lender to make or
otherwise fund any Revolving Loan and to acquire participations in
Letters of Credit and Swing Line Loans hereunder and “
Revolving Commitments ” means such commitments of all
Lenders in the aggregate. The amount of each Lender’s
Revolving Commitment, if any, as of the Restatement Date is the
amount set forth by such Lender’s name on Appendix A-3
attached to this Agreement or in the applicable Assignment
Agreement or Joinder Agreement, as applicable, subject to any
adjustment or reduction pursuant to the terms and conditions
hereof. The aggregate amount of the Revolving Commitments as of the
Restatement Date is $200,000,000.
“ Revolving
Commitment Period ” means the period from the Closing
Date to but excluding the Revolving Commitment Termination
Date.
“ Revolving
Commitment Termination Date ” means the earliest to occur
of (i) December 5, 2008, if the initial Term Loans are
not made on or before that date; (ii) September 30,
2012,
35
(iii) the date the Revolving
Commitments are permanently reduced to zero pursuant to
Section 2.13(b) or 2.14, and (iv) the date of the
termination of the Revolving Commitments pursuant to
Section 8.1.
“ Revolving
Exposure ” means, with respect to any Lender, as of any
date of determination, (i) prior to the termination of the
Revolving Commitments, that Lender’s Revolving Commitment;
and (ii) after the termination of the Revolving Commitments,
the sum of (a) the aggregate outstanding principal amount of
the Revolving Loans of that Lender, (b) in the case of the
Issuing Bank, the aggregate Letter of Credit Usage in respect of
all Letters of Credit issued by that Lender (net of any
participations by Lenders in such Letters of Credit), (c) the
aggregate amount of all participations by that Lender in any
outstanding Letters of Credit or any unreimbursed drawing under any
Letter of Credit, (d) in the case of the Swing Line Lender,
the aggregate outstanding principal amount of all Swing Line Loans
(net of any participations therein by other Lenders), and
(e) the aggregate amount of all participations by that Lender
in any outstanding Swing Line Loans.
“ Revolving Loan
” means a Loan made by a Lender to the Borrower pursuant to
Section 2.2(a) and/or Section 2.24.
“ Revolving Loan
Note ” means (i) any Revolving Loan Note as defined
in and issued pursuant to the Existing Credit Agreement and
(ii) any promissory note in the form of Exhibit B-3, as
amended, restated, amended and restated, supplemented or otherwise
modified from time to time.
“ S&P
” means Standard & Poor’s, a Division of The
McGraw-Hill Companies, Inc.
“ Secured
Parties ” has the meaning assigned to that term in the
Pledge and Security Agreement.
“Securities” means any stock, shares,
partnership interests, voting trust certificates, certificates of
interest or participation in any profit-sharing agreement or
arrangement, options, warrants, bonds, debentures, notes, or other
evidences of indebtedness, secured or unsecured, convertible,
subordinated or otherwise, or in general any instruments commonly
known as “securities” or any certificates of interest,
shares or participations in temporary or interim certificates for
the purchase or acquisition of, or any right to subscribe to,
purchase or acquire, any of the foregoing.
“ Securities Act
” means the Securities Act of 1933, as amended from time to
time, and any successor statute.
“ Senior Secured
Leverage Ratio ” means the ratio as of the last day of
any Fiscal Quarter of (i) Consolidated Senior Secured Debt as
of such day to (ii) Consolidated Adjusted EBITDA for the
four-Fiscal Quarter period ending on such date.
“ Senior Unsecured
Indebtedness ” means (i) any senior unsecured
indebtedness issued pursuant to and in accordance with
Section 6.1(n) and (ii) the Hologic Convertible
Notes.
36
“ Series ”
as defined in Section 2.24.
“ Sole Lead
Arranger ” as defined in the preamble hereto.
“ Solvency
Certificate ” means a Solvency Certificate of the chief
financial officer of the Borrower substantially in the form of
Exhibit G-2.
“ Solvent
” means, with respect to the Borrower and its Subsidiaries on
a consolidated basis, that as of the date of determination, both
(i) (a) the sum of such Person’s debt (including
contingent liabilities) does not exceed the present fair saleable
value of such Parties’ present assets on a consolidated
basis; (b) such Person’s capital is not unreasonably
small in relation to its business on a consolidated basis; and
(c) such Persons have not incurred and does not intend to
incur, or believe (nor should they reasonably believe) that they
will incur, debts beyond their ability to pay such debts as they
become due (whether at maturity or otherwise) on a consolidated
basis; and (ii) such Persons on a consolidated basis are
“solvent” within the meaning given that term and
similar terms under the Bankruptcy Code and applicable laws
relating to fraudulent transfers and conveyances. For purposes of
this definition, the amount of any contingent liability at any time
shall be computed as the amount that, in light of all of the facts
and circumstances existing at such time, represents the amount that
would reasonably be expected to become an actual or matured
liability (irrespective of whether such contingent liabilities meet
the criteria for accrual under Statement of Financial Accounting
Standard No. 5).
“ Spot Rate
” for a currency means the rate determined by the Issuing
Bank to be the rate quoted by the Issuing Bank as the spot rate for
the purchase by the Issuing Bank of such currency with another
currency through its principal foreign exchange trading office at
approximately 11:00 a.m. on the date two (2) Business Days
prior to the date as of which the foreign exchange computation is
made; provided that the Issuing Bank may obtain such spot
rate from another financial institution designated by the Issuing
Bank if it does not have as of the date of determination a spot
buying rate for any such currency.
“ Spread Overlay
Agreements ” means one or more options or other
derivative transactions entered into by the Borrower in connection
with its issuance of convertible Indebtedness in December
2007.
“ Stated Amount
” of any Letter of Credit means the Dollar Equivalent of the
maximum amount from time to time available to be drawn thereunder,
determined without regard to whether any conditions to drawing
could then be met.
“ Subject
Transaction ” as defined in
Section 6.7(c).
“ Subordinated
Indebtedness ” means any subordinated indebtedness issued
pursuant to and in accordance with Section 6.1(o).
“ Subsidiary
” means, with respect to any Person, any corporation,
partnership, limited liability company, association, joint venture
or other business entity of which more than 50% of the total voting
power of shares of stock or other ownership interests entitled
(without regard to the occurrence of any contingency) to vote in
the election of the Person or Persons (whether directors, managers,
trustees or other Persons performing similar functions) having
the
37
power to direct or cause the direction
of the management and policies thereof is at the time owned or
controlled, directly or indirectly, by that Person or one or more
of the other Subsidiaries of that Person or a combination thereof;
provided , in determining the percentage of ownership
interests of any Person controlled by another Person, no ownership
interest in the nature of a “qualifying share” of the
former Person shall be deemed to be outstanding.
“ Swing Line
Lender ” means Bank of America, N.A., in its capacity as
Swing Line Lender hereunder, together with its permitted successors
and assigns in such capacity.
“ Swing Line
Loan ” means a Loan made by the Swing Line Lender to the
Borrower pursuant to Section 2.3.
“ Swing Line
Note ” means a promissory note in the form of
Exhibit B-4, as amended, restated, amended and restated,
supplemented or otherwise modified from time to time.
“ Swing Line
Sublimit ” means the lesser of (i) $10,000,000 and
(ii) the aggregate unused amount of Revolving Commitments then
in effect.
“ Tax ”
means any present or future tax, levy, impost, duty, assessment,
charge, fee, deduction or withholding of any nature and whatever
called, by whomsoever, on whomsoever and wherever imposed, levied,
collected, withheld or assessed, including any interest, additions
to tax, or penalties applicable thereto; provided ,
“Tax on the overall net income” of a Person shall be
construed as a reference to a tax imposed by the jurisdiction in
which that Person is organized or in which that Person’s
applicable principal office (and/or, in the case of a Lender, its
lending office) is located or in which that Person (and/or, in the
case of a Lender, its lending office) is deemed to be doing
business (other than as a result of such Person’s having
executed, delivered or performed its obligations or received
payments under, or enforced, this Agreement or any other Credit
Document) on the overall net income, profits or gains of that
Person (and/or, in the case of a Lender, its applicable lending
office).
“ Terminated
Lender ” as defined in Section 2.23.
“ Term Loan
” means a Tranche A Term Loan, a Tranche B Term Loan or a New
Term Loan, as applicable.
“ Term Loan
Commitment ” means the Tranche A Term Loan Commitment,
the Tranche B Term Loan Commitment or the New Term Loan Commitment,
as the case may be, of a Lender, and “ Term Loan
Commitments ” means such commitments of all
Lenders.
“ Term Loan
Commitment Termination Date ” means the earlier of
(x) December 5, 2008 and (y) the Third Wave Merger
Effective Date.
“ Term Loan Draw
Date ” as defined in Section 2.1(a).
“ Term Loan Maturity
Date ” means the Tranche A Term Loan Maturity Date, the
Tranche B Term Loan Maturity Date or the New Term Loan Maturity
Date of any Series of New Term Loans, as applicable.
38
“ Third Wave
” means Third Wave Technologies, Inc., a Delaware
corporation.
“ Third Wave
Acquisition ” means the acquisition, on the Restatement
Date, by the Third Wave Offer Subsidiary of all of the Third Wave
Shares validly tendered and not withdrawn pursuant to that certain
Offer to Purchase dated June 18, 2008 by the Third Wave Offer
Subsidiary and payment to, or on behalf of, the holders of such
Third Wave Shares as consideration therefor upon the satisfaction
of all of the “Tender Offer Conditions” under and as
defined in the Third Wave Merger Agreement and, in any event, in
compliance with Rule 14e-1(c) promulgated under the Exchange
Act.
“ Third Wave
Collateral Questionnaire ” means that certain Pre-Closing
UCC Diligence Certificate to be executed and delivered by Third
Wave and each Subsidiary of Third Wave organized under the laws of
the United States of America, any state thereof or the District of
Columbia on the Restatement Date and that provides information with
respect to the personal and mixed property of Third Wave and such
Subsidiaries as of the Restatement Date.
“ Third Wave
Condition ” means that (i) the Third Wave Merger has
been consummated, (ii) the Third Wave Shares have been
delisted from the Nasdaq Global Select Market and deregistered
under the Exchange Act and (iii) Third Wave has filed a Form
15 with the U.S. Securities and Exchange Commission terminating its
registration under Section 12(g) of the Exchange Act.
“ Third Wave
Consideration and Related Expenditures ” means
(i) the funding of all or a portion of the Third Wave
Acquisition (including, without limitation, payments made on
account of appraisal rights with respect to the Third Wave Shares
held by stockholder(s) exercising such appraisal rights and/or
pursuant to the Borrower’s exercise, if applicable, of the
Third Wave Top Up Option) and the Third Wave Merger, (ii) the
redemption of some or all of the preferred stock, warrants (or
stock issued upon the exercise thereof) and options issued by Third
Wave and/or its Subsidiaries, (iii) the Discharge of Third
Wave Obligations (in whole or part) and/or (iv) the payment of
some or all of the Transaction Costs.
“ Third Wave
Convertible Note ” means that certain Convertible Senior
Subordinated Zero-Coupon Promissory Note issued by Third Wave on
December 19, 2006 to Stark Onshore Master Holding LLC, as
amended on December 10, 2007.
“ Third Wave
Convertible Note Escrow Account ” means that certain
deposit account of the Borrower in the name of “Hologic,
Inc.” established with JPM, containing (in accordance with
the provisions relating to the requirements therefor contained in
Section 5.16(b)) funds sufficient for the redemption or
conversion of the Third Wave Convertible Note, pursuant to
Section 5(b) of the Third Wave Convertible Note or otherwise,
which account shall be subject to a First Priority Lien in favor of
the Collateral Agent, for the benefit of the Secured
Parties.
“ Third Wave
Exception ” means that, until the Third Wave Condition is
satisfied, (i) the Collateral shall not include a pledge of
the Third Wave Shares or any assets of Third Wave or any of its
Subsidiaries, and (ii) neither Third Wave nor any of its
Subsidiaries shall be required to become a Guarantor hereunder or a
Grantor under the Pledge and Security Agreement nor shall any of
them be required to satisfy any of the obligations of a Credit
Party under Sections 5.10, 5.11 or 5.13.
39
“ Third Wave
Facility Agreement ” means that certain Facility
Agreement dated as of December 10, 2007 by and among Third
Wave and the Third Wave Facility Lenders.
“ Third Wave
Facility Lenders ” means Deerfield Private Design Fund,
L.P., Deerfield Private Design International, L.P. and each of
their respective successors and assigns, in their capacities as
“Lenders” under the Third Wave Facility
Agreement.
“ Third Wave
Leasehold Facility ” means that certain Facility located
at 500, 502 and 504 South Rosa Road, Madison, Dane County,
Wisconsin in respect of which Third Wave is a lessee.
“ Third Wave
Merger ” means the merger of Third Wave with the Third
Wave Offer Subsidiary, with Third Wave being the surviving
corporation in such merger.
“ Third Wave Merger
Agreement ” means that certain Agreement and Plan of
Merger dated June 8, 2008 by and among Third Wave, the
Borrower and the Third Wave Offer Subsidiary, as such agreement
may, subject to Section 6.13 hereof, be amended, restated,
amended and restated, supplemented or otherwise modified from time
to time.
“ Third Wave Merger
Effective Date ” has the meaning assigned to the term
“Closing Date” in the Third Wave Merger
Agreement.
“ Third Wave
Obligations ” means the obligations of Third Wave
described in Section 5.16.
“ Third Wave Offer
Subsidiary ” means Thunder Tech Corp., a wholly-owned
subsidiary of the Borrower, formed to acquire the Third Wave
Shares.
“ Third Wave Put
Price ” has the meaning assigned to the term “Put
Price” in the Third Wave Rights Agreement.
“ Third Wave Rights
Agreement ” means that certain Investor Rights Agreement
dated as of May 31, 2007 by and among Third Wave Japan, Inc.,
Third Wave and the Investors listed on Exhibit A
thereto.
40
“ Third Wave
Shares ” means all of the issued and outstanding shares
of common stock, par value $0.001 per share, of Third
Wave.
“ Third Wave Top Up
Option ” has the meaning assigned to the term
“Top-Up Option” in the Third Wave Merger
Agreement.
“ Third Wave Warrant
Redemption Price ” has the meaning assigned to the term
“Major Transaction Warrant Redemption Price” in each
Third Wave Warrant.
“ Third Wave
Warrants ” means (i) that certain Warrant No. 3
issued as of December 10, 2007 to OTA, LLC to purchase 350,000
Third Wave Shares; (ii) that certain Warrant No. 4 issued
as of December 10, 2007 to Crestview Capital Master, LLC to
purchase 250,000 Third Wave Shares; (iii) that certain Warrant
No. 5 issued as of December 10, 2007 to Deerfield Private
Design Fund, L.P. to purchase 464,564 Third Wave Shares; and
(iv) that certain Warrant No. 6 issued as of
December 10, 2007 to Deerfield Private Design International,
L.P. to purchase 750,436 Third Wave Shares.
“ Title Policy
” means ALTA mortgagee title insurance policies or
unconditional commitments therefor issued by one or more title
companies reasonably satisfactory to the Collateral Agent with
respect to each Closing Date Mortgaged Property.
“ Total Assets
” means the total amount of all assets of the Borrower and
its Subsidiaries, determined on a consolidated basis in accordance
with GAAP as shown on the most recent balance sheet of the
Borrower.
“ Total Utilization
of Revolving Commitments ” means, as at any date of
determination, the sum of (i) the aggregate principal amount
of all outstanding Revolving Loans (other than Revolving Loans made
for the purpose of repaying any Refunded Swing Line Loans or
reimbursing the Issuing Bank for any amount drawn under any Letter
of Credit, but not yet so applied), (ii) the aggregate
principal amount of all outstanding Swing Line Loans, and
(iii) the Letter of Credit Usage.
“ Tranche A
Installment ” as defined in
Section 2.12(a).
“ Tranche A
Term Loan ” means a Tranche A Term Loan made by a
Lender to the Borrower pursuant to
Section 2.1(a)(i).
“ Tranche A Term
Loan Commitment ” means the commitment of a Lender to
make or otherwise fund a Tranche A Term Loan and “ Tranche
A Term Loan Commitments ” means such commitments of all
Lenders in the aggregate. The amount of each Lender’s Tranche
A Term Loan Commitment, if any, is set forth on Appendix A-1 or in
the applicable Assignment Agreement, subject to any adjustment or
reduction pursuant to the terms and conditions hereof. The
aggregate amount of the Tranche A Term Loan Commitments as of the
Restatement Date is $400,000,000.
“ Tranche A Term
Loan Exposure ” means, with respect to any Lender, as of
any date of determination, the outstanding principal amount of the
Tranche A Term Loan of such Lender; provided , at any time
prior to the making of the Tranche A Term Loans, the Tranche A Term
Loan Exposure of any Lender shall be equal to such Lender’s
Tranche A Term Loan Commitment.
41
“ Tranche A Term
Loan Maturity Date ” means the earlier of
(i) September 30, 2012, and (ii) the date on which
all Tranche A Term Loans shall become due and payable in full
hereunder, whether by acceleration or otherwise.
“ Tranche A Term
Loan Note ” means a promissory note in the form of
Exhibit B-1, as amended, restated, amended and restated,
supplemented or otherwise modified from time to time.
“ Tranche B
Installment ” as defined in
Section 2.12(b).
“ Tranche B Term
Loan Maturity Date ” means the earlier of
(i) March 31, 2013, and (ii) the date that all
Tranche B Term Loans shall become due and payable in full
hereunder, whether by acceleration or otherwise.
“ Tranche B
Term Loan ” means a Tranche B Term Loan made by a
Lender to the Borrower pursuant to
Section 2.1(a)(ii).
“ Tranche B
Term Loan Commitment ” means the commitment of a Lender
to make or otherwise fund a Tranche B Term Loan and “
Tranche B Term Loan Commitments ” means such
commitments of all Lenders in the aggregate. The amount of each
Lender’s Tranche B Term Loan Commitment, if any, is set forth
on Appendix A-2 or in the applicable Assignment Agreement, subject
to any adjustment or reduction pursuant to the terms and conditions
hereof. The aggregate amount of the Tranche B Term Loan Commitments
as of the Restatement Date is $200,000,000.
“ Tranche B
Term Loan Exposure ” means, with respect to any Lender,
as of any date of determination, the outstanding principal amount
of the Tranche B Term Loan of such Lender; provided ,
at any time prior to the making of the Tranche B Term Loans,
the Tranche B Term Loan Exposure of any Lender shall be equal
to such Lender’s Tranche B Term Loan
Commitment.
“ Tranche B Term
Loan Note ” means, a promissory note in the form of
Exhibit B-2, as amended, restated, amended and restated,
supplemented or otherwise modified from time to time.
“ Transaction
Costs ” means the fees, commissions, costs and expenses
payable by the Borrower or any of the Borrower’s Subsidiaries
on or before the Third Wave Merger Effective Date in connection
with the transactions contemplated by the Credit Documents and the
Related Agreements, including, without limitation, any change of
control payments (i) to executives of Third Wave and its
Subsidiaries (including gross-up payments to Third Wave’s
chief executive officer) and (ii) under certain license
agreements to which Third Wave or any of its Subsidiaries is a
party.
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“ Type of Loan
” means (i) with respect to either Term Loans or
Revolving Loans, a Base Rate Loan or a Eurodollar Rate Loan, and
(ii) with respect to Swing Line Loans, a Base Rate
Loan.
“ UCC ”
means the Uniform Commercial Code (or any similar or equivalent
legislation) as in effect in any applicable
jurisdiction.
“ U.S. Lender
” as defined in Section 2.20(c).
“ Waivable
Prepayment ” as defined in
Section 2.15(c).
1.2. Accounting Terms.
Except as otherwise expressly provided herein, all accounting terms
not otherwise defined herein shall have the meanings assigned to
them in conformity with GAAP. Financial statements and other
information required to be delivered by the Borrower to Lenders
pursuant to Section 5.1(b) and 5.1(c) shall be prepared in
accordance with GAAP as in effect at the time of such preparation
(and delivered together with the reconciliation statements provided
for in Section 5.1(e), if applicable). Subject to the
foregoing, calculations in connection with the definitions,
covenants and other provisions hereof shall utilize accounting
principles and policies in conformity with those used to prepare
the Historical Financial Statements.
1.3. Interpretation,
Etc. Any of the terms defined herein may, unless the context
otherwise requires, be used in the singular or the plural,
depending on the reference. References herein to any Section,
Appendix, Schedule or Exhibit shall be to a Section, an Appendix, a
Schedule or an Exhibit, as the case may be, hereof unless otherwise
specifically provided. The use herein of the word
“include” or “including,” when following
any general statement, term or matter, shall not be construed to
limit such statement, term or matter to the specific items or
matters set forth immediately following such word or to similar
items or matters, whether or not non-limiting language (such as
“without limitation” or “but not limited
to” or words of similar import) is used with reference
thereto, but rather shall be deemed to refer to all other items or
matters that fall within the broadest possible scope of such
general statement, term or matter. The terms lease and license
shall include sub-lease and sub-license, as applicable.
1.4. Letter of Credit
Amounts. Unless otherwise specified herein, the amount of a
Letter of Credit at any time shall be deemed to be the stated
amount of such Letter of Credit in effect at such time;
provided , however , that with respect to any Letter
of Credit that, by its terms or the terms of any Issuer Document
related thereto, provides for one or more automatic increases in
the stated amount thereof, the amount of such Letter of Credit
shall be deemed to be the maximum stated amount of such Letter of
Credit after giving effect to all such increases, whether or not
such maximum stated amount is in effect at such time.
1.5. Exchange Rates.
For purposes of determining compliance under Sections 6.1, 6.5
and 6.6 with respect to any amount in a currency other than Dollars
(other than with respect to any amount derived from the financial
statements of the Borrower or its Subsidiaries), such amount shall
be deemed to equal the Dollar Equivalent thereof based on the
average Spot Rate for such currency for the most recent
twelve-month period immediately prior to the date of determination.
For purposes of determining compliance with Sections 6.1, 6.2 and
6.6, with respect to any amount of Indebtedness denominated in a
currency other than Dollars, compliance will be determined at the
time of incurrence or advancing thereof using the Dollar Equivalent
thereof at the Spot Rate in effect at the time of such incurrence
or advancement.
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SECTION 2. LOANS AND LETTERS OF
CREDIT
2.1. Term
Loans.
(a) Loan Commitments .
Subject to the terms and conditions hereof,
(i) each Lender severally
agrees to make, on the Restatement Date and on two
(2) additional Term Loan Draw Dates at any time during the
Availability Period, a Tranche A Term Loan to the Borrower in
Dollars in an amount equal to such Lender’s Tranche A Term
Loan Commitment; and
(ii) each Lender severally
agrees to make, on the Restatement Date and on two
(2) additional Term Loan Draw Dates at any time during the
Availability Period, a Tranche B Term Loan to the Borrower in
Dollars in an amount equal to such Lender’s Tranche B
Term Loan Commitment.
If the Third Wave Merger is consummated
on the Restatement Date, the Borrower may make only one borrowing
under each of the Tranche A Term Loan Commitments and the Tranche B
Term Loan Commitments which shall be on the Restatement Date. If
the Third Wave Merger is not consummated on the Restatement Date,
the Borrower may make (i) one borrowing under each of the
Tranche A Term Loan Commitments and the Tranche B Term Loan
Commitments on the Restatement Date and (ii) two additional
borrowings during the Availability Period (each date on which such
additional borrowing is made, a “ Term Loan Draw Date
”). Any amounts borrowed under this Section 2.1(a) and
subsequently repaid or prepaid may not be reborrowed. Subject to
Sections 2.13(a) and 2.14, all amounts owed hereunder with respect
to the Tranche A Term Loans and the Tranche B Term Loans shall be
paid in full no later than the Tranche A Term Loan Maturity Date
and the Tranche B Term Loan Maturity Date, respectively. Each
Lender’s Tranche A Term Loan Commitment and/or Tranche B Term
Loan Commitment, as the case may be, shall be automatically reduced
immediately and without further action on the Restatement Date and
on each Term Loan Draw Date in the amount of such Lender’s
Tranche A Term Loans and/or Tranche B Term Loans, as the case may
be, funded on such date. The remaining amount of all unfunded
Tranche A Term Loan Commitments and Tranche B Term Loan Commitments
in effect on the Term Loan Commitment Termination Date shall
terminate immediately and without further action on such date,
after giving effect to the funding of the Tranche A Term Loans
and/or Tranche B Term Loans, if any, on such date.
(b) Borrowing Mechanics
for Term Loans .
(i) The Borrower shall
deliver to the Administrative Agent a fully executed Funding Notice
no later than 10:00 a.m. (New York City time) on the Restatement
Date. Promptly upon receipt by the Administrative Agent of such
Funding Notice, the Administrative Agent shall notify each Lender
of the proposed borrowing.
(ii) Whenever the Borrower
desires that Lenders make a Term Loan on a Term Loan Draw Date, the
Borrower shall deliver to the Administrative Agent a
fully
44
executed and delivered
Funding Notice no later than 10:00 a.m. (New York City time) at
least three (3) Business Days in advance of the proposed Term
Loan Draw Date in the case of a Term Loan that is a Eurodollar Rate
Loan, and at least one (1) Business Day in advance of the
proposed Term Loan Draw Date in the case of a Term Loan that is a
Base Rate Loan. Each Lender shall make its Tranche A Term Loan
and/or Tranche B Term Loan, as the case may be, available to
the Administrative Agent not later than 12:00 noon (New York City
time) on the Restatement Date or any Term Loan Draw Date, as the
case may be, by wire transfer of same day funds in Dollars, at the
Principal Office designated by the Administrative Agent. Upon
satisfaction or waiver of the conditions precedent specified
herein, the Administrative Agent shall make the proceeds of the
applicable Term Loans available to the Borrower on the Restatement
Date or the applicable Term Loan Draw Date, as the case may be, by
causing an amount of same day funds in Dollars equal to the
proceeds of all such Loans received by the Administrative Agent
from the Lenders to be credited to the account of the Borrower at
the Principal Office designated by the Administrative Agent or to
such other account as may be designated in writing to the
Administrative Agent by the Borrower.
2.2. Revolving
Loans.
(a) Revolving
Commitments . During the Revolving Commitment Period, subject
to the terms and conditions hereof, each Lender severally agrees to
make Revolving Loans to the Borrower in Dollars in an aggregate
amount up to but not exceeding such Lender’s Revolving
Commitment; provided , that (i) after giving effect to
the making of any Revolving Loans in no event shall the Total
Utilization of Revolving Commitments exceed the Revolving
Commitments then in effect and (ii) at no time from the
Restatement Date through (and including) the last day of the
Availability Period shall any Lender be obligated to make any
Revolving Loan if, after giving effect to the making of such
Revolving Loan, the Total Utilization of Revolving Commitments
would exceed $100,000,000. Amounts borrowed pursuant to this
Section 2.2(a) may be repaid and reborrowed during the
Revolving Commitment Period. Each Lender’s Revolving
Commitment shall expire on the Revolving Commitment Termination
Date and all Revolving Loans and all other amounts owed hereunder
with respect to the Revolving Loans and the Revolving Commitments
shall be paid in full no later than such date. Any Revolving Loan
outstanding under the Existing Credit Agreement on the Restatement
Date shall continue to be outstanding and be deemed to be a
Revolving Loan made hereunder subject the terms and conditions
hereof.
(b) Borrowing Mechanics
for Revolving Loans .
(i) Except pursuant to
Section 2.4(d), Revolving Loans that are Base Rate Loans shall
be made in an aggregate minimum amount of $5,000,000 and integral
multiples of $1,000,000 in excess of that amount, and Revolving
Loans that are Eurodollar Rate Loans shall be in an aggregate
minimum amount of $5,000,000 and integral multiples of $1,000,000
in excess of that amount.
(ii) Whenever the Borrower
desires that Lenders make Revolving Loans, the Borrower shall
deliver to Administrative Agent a fully executed and delivered
Funding Notice no later than 10:00 a.m. (New York City time) at
least three (3) Business
45
Days in advance of the
proposed Credit Date in the case of a Eurodollar Rate Loan, and at
least one (1) Business Day in advance of the proposed Credit
Date in the case of a Revolving Loan that is a Base Rate Loan.
Except as otherwise provided herein, a Funding Notice for a
Revolving Loan that is a Eurodollar Rate Loan shall be irrevocable
on and after the related Interest Rate Determination Date, and the
Borrower shall be bound to make a borrowing in accordance
therewith.
(iii) Notice of receipt of
each Funding Notice in respect of Revolving Loans, together with
the amount of each Lender’s Pro Rata Share thereof, if any,
together with the applicable interest rate, shall be provided by
the Administrative Agent to each applicable Lender by telefacsimile
with reasonable promptness, but ( provided the
Administrative Agent shall have received such notice by
10:00 a.m. (New York City time)) not later than 2:00 p.m. (New
York City time) on the same day as the Administrative Agent’s
receipt of such Funding Notice from the Borrower.
(iv) Each Lender shall make
the amount of its Revolving Loan available to the Administrative
Agent not later than 12:00 noon (New York City time) on the
applicable Credit Date by wire transfer of same day funds in
Dollars, at the Principal Office designated by the Administrative
Agent. Except as provided herein, upon satisfaction or waiver of
the applicable conditions precedent specified herein, the
Administrative Agent shall make the proceeds of such Revolving
Loans available to the Borrower on the applicable Credit Date by
causing an amount of same day funds in Dollars equal to the
proceeds of all such Revolving Loans received by the Administrative
Agent from Lenders to be credited to the account of the Borrower at
the Principal Office designated by the Administrative Agent or such
other account as may be designated in writing to the Administrative
Agent by the Borrower.
2.3. Swing Line
Loans.
(a) Swing Line Loans
Commitments . During the Revolving Commitment Period, subject
to the terms and conditions hereof, the Swing Line Lender hereby
agrees to make Swing Line Loans to the Borrower in Dollars in the
aggregate amount up to but not exceeding the Swing Line Sublimit;
provided , that (i) after giving effect to the making
of any Swing Line Loan, in no event shall the Total Utilization of
Revolving Commitments exceed the Revolving Commitments then in
effect and (ii) at no time from the Restatement Date through
(and including) the last day of the Availability Period, shall the
Swing Line Lender be obligated to make any Swing Line Loans if
after giving effect to the making of such Swing Line Loan the Total
Utilization of Revolving Commitments would exceed $100,000,000.
Amounts borrowed pursuant to this Section 2.3 may be repaid
and reborrowed during the Revolving Commitment Period. The Swing
Line Lender’s Revolving Commitment shall expire on the
Revolving Commitment Termination Date and all Swing Line Loans and
all other amounts owed hereunder with respect to the Swing Line
Loans and the Revolving Commitments shall be paid in full no later
than such date.
46
(b) Borrowing Mechanics
for Swing Line Loans .
(i) Swing Line Loans shall be
made in a minimum amount of $500,000 and integral multiples of
$100,000 in excess of that amount.
(ii) Whenever the Borrower
desires that the Swing Line Lender make a Swing Line Loan, the
Borrower shall deliver to the Administrative Agent a Funding Notice
no later than 12:00 noon (New York City time) on the proposed
Credit Date.
(iii) The Swing Line Lender
shall make the amount of its Swing Line Loan available to the
Administrative Agent not later than 2:00 p.m.(New York City time)
on the applicable Credit Date by wire transfer of same day funds in
Dollars, at the Administrative Agent’s Principal Office.
Except as provided herein, upon satisfaction or waiver of the
conditions precedent specified herein, the Administrative Agent
shall make the proceeds of such Swing Line Loan available to the
Borrower on the applicable Credit Date by causing an amount of same
day funds in Dollars equal to the proceeds of such Swing Line Loan
received by the Administrative Agent from the Swing Line Lender to
be credited to the account of the Borrower at the Administrative
Agent’s Principal Office or to such other account as may be
designated in writing to the Administrative Agent by the
Borrower.
(iv) With respect to any
Swing Line Loans which have not been voluntarily prepaid by the
Borrower pursuant to Section 2.13, the Swing Line Lender may
at any time in its sole and absolute discretion deliver to the
Administrative Agent (with a copy to the Borrower), no later than
11:00 a.m. (New York City time) at least one (1) Business Day
in advance of the proposed Credit Date, a notice (which shall be
deemed to be a Funding Notice given by the Borrower) requesting
that each Lender holding a Revolving Commitment make Revolving
Loans that are Base Rate Loans to the Borrower on such Credit Date
in an amount equal to the amount of such Swing Line Loans (the
“ Refunded Swing Line Loans ”) outstanding on
the date such notice is given which the Swing Line Lender requests
Lenders to prepay. Anything contained in this Agreement to the
contrary notwithstanding, (1) the proceeds of such Revolving
Loans made by the Lenders other than the Swing Line Lender shall be
immediately delivered by the Administrative Agent to the Swing Line
Lender (and not to the Borrower) and applied to repay a
corresponding portion of the Refunded Swing Line Loans and
(2) on the day such Revolving Loans are made, the Swing Line
Lender’s Pro Rata Share of the Refunded Swing Line Loans
shall be deemed to be paid with the proceeds of a Revolving Loan
made by the Swing Line Lender to the Borrower, and such portion of
the Swing Line Loans deemed to be so paid shall no longer be
outstanding as Swing Line Loans and shall no longer be due under
the Swing Line Note of the Swing Line Lender but shall instead
constitute part of the Swing Line Lender’s outstanding
Revolving Loans to the Borrower and shall be due under the
Revolving Loan Note issued by the Borrower to the Swing Line
Lender. The Borrower hereby authorizes the Administrative Agent and
the Swing Line Lender to charge the Borrower’s accounts with
the Administrative Agent and the Swing Line Lender (up to the
amount available in each such account) in order to immediately pay
the Swing Line Lender the amount of the Refunded Swing Line Loans
to the extent the proceeds of such Revolving Loans made by Lenders,
including the
47
Revolving Loans deemed to be
made by the Swing Line Lender, are not sufficient to repay in full
the Refunded Swing Line Loans. If any portion of any such amount
paid (or deemed to be paid) to the Swing Line Lender should be
recovered by or on behalf of the Borrower from the Swing Line
Lender in bankruptcy, by assignment for the benefit of creditors or
otherwise, the loss of the amount so recovered shall be ratably
shared among all Lenders in the manner contemplated by
Section 2.17.
(v) If for any reason
Revolving Loans are not made pursuant to Section 2.3(b)(iv) in
an amount sufficient to repay any amounts owed to the Swing Line
Lender in respect of any outstanding Swing Line Loans on or before
the third Business Day after demand for payment thereof by the
Swing Line Lender, each Lender holding a Revolving Commitment shall
be deemed to, and hereby agrees to, have purchased a participation
in such outstanding Swing Line Loans in an amount equal to its Pro
Rata Share of the applicable unpaid amount together with accrued
interest thereon. Upon one (1) Business Day’s notice
from the Swing Line Lender, each Lender holding a Revolving
Commitment shall deliver to the Swing Line Lender an amount equal
to its respective participation in the applicable unpaid amount in
same day funds at the Principal Office of the Swing Line Lender. In
order to evidence such participation each Lender holding a
Revolving Commitment agrees to enter into a participation agreement
at the request of the Swing Line Lender in form and substance
reasonably satisfactory to the Swing Line Lender. In the event any
Lender holding a Revolving Commitment fails to make available to
the Swing Line Lender the amount of such Lender’s
participation as provided in this paragraph, the Swing Line Lender
shall be entitled to recover such amount on demand from such Lender
together with interest thereon for three (3) Business Days at
the rate customarily used by the Swing Line Lender for the
correction of errors among banks and thereafter at the Base Rate,
as applicable.
(vi) Notwithstanding anything
contained herein to the contrary, (1) each Lender’s
obligation to make Revolving Loans for the purpose of repaying any
Refunded Swing Line Loans pursuant to the second preceding
paragraph and each Lender’s obligation to purchase a
participation in any unpaid Swing Line Loans pursuant to the
immediately preceding paragraph shall be absolute and unconditional
and shall not be affected by any circumstance, including
(A) any set-off, counterclaim, recoupment, defense or other
right which such Lender may have against the Swing Line Lender, any
Credit Party or any other Person for any reason whatsoever;
(B) the occurrence or continuation of a Default or Event of
Default; (C) any adverse change in the business, operations,
properties, assets, condition (financial or otherwise) or prospects
of any Credit Party; (D) any breach of this Agreement or any
other Credit Document by any party thereto; or (E) any other
circumstance, happening or event whatsoever, whether or not similar
to any of the foregoing; provided that such obligations of
each Lender are subject to the condition that the Swing Line Lender
had not received prior notice from the Borrower or the Requisite
Lenders that any of the conditions under Section 3.3 to the
making of the applicable Refunded Swing Line Loans or other unpaid
Swing Line Loans were not satisfied at the time such Refunded Swing
Line Loans or other unpaid Swing Line Loans were made; and
(2) the Swing Line Lender shall not be obligated to make any
Swing Line Loans (A) if it has elected not to do so after the
occurrence and during the continuation of a Default or Event of
Default, (B) it does not in good faith believe that
all
48
conditions under
Section 3.3 to the making of such Swing Line Loan have been
satisfied or waived by the Requisite Lenders or (C) at a time
when a Funding Default exists unless the Swing Line Lender has
entered into arrangements satisfactory to it and the Borrower to
eliminate the Swing Line Lender’s risk with respect to the
Defaulting Lender’s participation in such Swing Ling Loan,
including by cash collateralizing such Defaulting Lender’s
Pro Rata Share of the outstanding Swing Line Loans.
2.4. Issuance of Letters
of Credit and Purchase of Participations Therein.
(a) Letters of Credit
. During the Revolving Commitment Period, subject to the terms and
conditions hereof, the Issuing Bank agrees to issue or amend
Letters of Credit for the account of the Borrower or its
Subsidiaries ( provided that the Borrower is an obligor on
the Letter of Credit Application submitted to the Issuing Bank in
connection with any such Letter of Credit to be issued for the
account of any of the Borrower’s Subsidiaries), or to amend
or extend Letters of Credit previously issued by it, in the
aggregate amount up to but not exceeding the Letter of Credit
Sublimit; provided , (i) each Letter of Credit shall be
denominated in an Agreed Currency; (ii) the initial stated
amount of each Letter of Credit shall not be less than $250,000 (or
its equivalent in any other Agreed Currency) or such lesser amount
as is acceptable to the Issuing Bank; (iii) after giving
effect to such issuance, in no event shall the Total Utilization of
Revolving Commitments exceed the Revolving Commitments then in
effect; (iv) after giving effect to such issuance, in no event
shall the Letter of Credit Usage exceed the Letter of Credit
Sublimit then in effect; (v) in no event shall any standby
Letter of Credit (x) have an expiration date later than the
earlier of (1) the Revolving Commitment Termination Date and
(2) the date that is one year from the date of issuance of
such standby Letter of Credit; or (y) be issued if such
standby Letter of Credit is otherwise unacceptable to the Issuing
Bank in its reasonable discretion; (vi) in no event shall any
commercial Letter of Credit (x) have an expiration date later
than the earlier of (1) the Revolving Loan Commitment
Termination Date and (2) the date which is 180 days from the
date of issuance of such commercial Letter of Credit or (y) be
issued if such commercial Letter of Credit is otherwise
unacceptable to the Issuing Bank in its reasonable discretion and
(vii) at no time from the Restatement Date through (and
including) the last day of the Availability Period shall the
Issuing Bank be obligated to issue any Letters of Credit to the
Borrower if after issuing such Letter of Credit the Total
Utilization of Revolving Commitments would exceed $100,000,000.
Subject to the foregoing, the Issuing Bank may agree that a standby
Letter of Credit will automatically be extended for one or more
successive periods not to exceed one year each, unless the Issuing
Bank elects not to extend for any such additional period by giving
prior notice (“ Non-Extension Notice ”) to the
beneficiary thereof not later than a day prior to such date of
expiration; provided , the Issuing Bank shall not extend any
such Letter of Credit if it has received written notice that an
Event of Default has occurred and is continuing seven
(7) Business Days before the Non-Extension Notice date;
provided , further , in the event a Funding Default
exists, the Issuing Bank shall not be required to issue any Letter
of Credit unless the Issuing Bank has entered into arrangements
satisfactory to it and the Borrower to eliminate the Issuing
Bank’s risk with respect to the participation in Letters of
Credit of the Defaulting Lender, including by cash collateralizing
such Defaulting Lender’s Pro Rata Share of the Letter of
Credit Usage; provided , further , the Issuing Bank
shall not be under any obligation to issue any Letter of Credit if
(x) any order, judgment or decree of any Governmental
Authority or arbitrator shall by its terms purport to enjoin or
restrain the Issuing Bank from issuing such Letter of Credit, or
any law applicable to the Issuing Bank or any request or directive
(whether or
49
not having the force of law) from any
Governmental Authority with jurisdiction over the Issuing Bank
shall prohibit, or request that the Issuing Bank refrain from, the
issuance of letters of credit generally or such Letter of Credit in
particular or shall impose upon the Issuing Bank with respect to
such Letter of Credit any restriction, reserve or capital
requirement (for which the Issuing Bank is not otherwise
compensated hereunder) not in effect on the Closing Date, or shall
impose upon the Issuing Bank any unreimbursed loss, cost or expense
which was not applicable on the Closing Date and which the Issuing
Bank in good faith deems material to it or (y) the issuance of
such Letter of Credit would violate one or more policies of the
Issuing Bank applicable to letters of credit generally. Each Letter
of Credit (as defined in the Existing Credit Agreement) issued
pursuant to the Existing Credit Agreement and outstanding on the
Restatement Date shall continue to be outstanding and shall be
deemed to be a Letter of Credit hereunder, subject to the terms and
conditions hereof.
(b) Notice of Issuance
. (i) Each Letter of Credit shall be issued or amended, as the
case may be, upon the request of the Borrower delivered to the
Issuing Bank (with a copy to the Administrative Agent) in the form
of a Letter of Credit Application, appropriately completed and
signed by an Authorized Officer of the Borrower. Such Letter of
Credit Application must be received by the Issuing Bank and the
Administrative Agent not later than 11:00 a.m. (New York City time)
at least two (2) Business Days (or such later date and time as
the Administrative Agent and the Issuing Bank may agree in a
particular instance in their sole discretion) prior to the proposed
issuance date or date of amendment, as the case may be. In the case
of a request for an initial issuance of a Letter of Credit, such
Letter of Credit Application shall specify in form and detail
satisfactory to the Issuing Bank: (A) the proposed issuance
date of the requested Letter of Credit (which shall be a Business
Day); (B) the amount thereof; (C) the expiry date
thereof; (D) the name and address of the beneficiary thereof;
(E) the documents to be presented by such beneficiary in case
of any drawing thereunder; (F) the full text of any
certificate to be presented by such beneficiary in case of any
drawing thereunder; (G) the purpose and nature of the
requested Letter of Credit; and (H) such other matters as the
Issuing Bank may require. In the case of a request for an amendment
of any outstanding Letter of Credit, such Letter of Credit
Application shall specify in form and detail satisfactory to the
Issuing Bank (1) the Letter of Credit to be amended;
(2) the proposed date of amendment thereof (which shall be a
Business Day); (3) the nature of the proposed amendment; and
(4) such other matters as the Issuing Bank may require.
Additionally, the Borrower shall furnish to the Issuing Bank and
the Administrative Agent such other documents and information
pertaining to such requested Letter of Credit issuance or
amendment, including any Issuer Documents, as the Issuing Bank or
the Administrative Agent may require.
(ii) Promptly after receipt
of any Letter of Credit Application, the Issuing Bank will confirm
with the Administrative Agent (by telephone or in writing) that the
Administrative Agent has received a copy of such Letter of Credit
Application from the Borrower and, if not, the Issuing Bank will
provide the Administrative Agent with a copy thereof. Unless the
Issuing Bank has received from any Lender, the Administrative Agent
or any Credit Party, at least one (1) Business Day prior to
the requested date of issuance or amendment of the applicable
Letter of Credit, written notice that one or more applicable
conditions contained in Section 3 shall not then be satisfied,
then, subject to the terms and conditions hereof, the Issuing Bank
shall, on the requested date, issue a Letter of Credit for the
account of the Borrower or enter into the applicable amendment, as
the case may be, in each case in accordance with the
50
Issuing Bank’s usual and customary
business practices. Immediately upon the issuance of each Letter of
Credit, each Lender shall be deemed to, and hereby irrevocably and
unconditionally agrees to, purchase from the Issuing Bank a risk
participation in such Letter of Credit in an amount equal to such
Lender’s Pro Rata Share of the amount of such Letter of
Credit.
(iii) Promptly after its
delivery of any Letter of Credit or any amendment to a Letter of
Credit to an advising bank with respect thereto or to the
beneficiary thereof, the Issuing Bank will also deliver to the
Borrower and the Administrative Agent a true and complete copy of
such Letter of Credit or amendment.
(c) Responsibility of
Issuing Bank With Respect to Requests for Drawings and Payments
. In determining whether to honor any drawing under any Letter of
Credit by the beneficiary thereof, the Issuing Bank shall be
responsible only to examine the documents delivered under such
Letter of Credit with reasonable care so as to ascertain whether
they appear on their face to be in accordance with the terms and
conditions of such Letter of Credit. As between the Borrower and
the Issuing Bank, the Borrower assumes all risks of the acts and
omissions of, or misuse of the Letters of Credit issued by the
Issuing Bank by, the respective beneficiaries of such Letters of
Credit. In furtherance and not in limitation of the foregoing, the
Issuing Bank shall not be responsible for: (i) the form,
validity, sufficiency, accuracy, genuineness or legal effect of any
document submitted by any party in connection with the application
for and issuance of any such Letter of Credit, even if it should in
fact prove to be in any or all respects invalid, insufficient,
inaccurate, fraudulent or forged; (ii) the validity or
sufficiency of any instrument transferring or assigning or
purporting to transfer or assign any such Letter of Credit or the
rights or benefits thereunder or proceeds thereof, in whole or in
part, which may prove to be invalid or ineffective for any reason;
(iii) failure of the beneficiary of any such Letter of Credit
to comply fully with any conditions required in order to draw upon
such Letter of Credit; (iv) errors, omissions, interruptions
or delays in transmission or delivery of any messages, by mail,
cable, telegraph, telex or otherwise, whether or not they be in
cipher; (v) errors in interpretation of technical terms;
(vi) any loss or delay in the transmission or otherwise of any
document required in order to make a drawing under any such Letter
of Credit or of the proceeds thereof; (vii) the misapplication
by the beneficiary of any such Letter of Credit of the proceeds of
any drawing under such Letter of Credit; or (viii) any
consequences arising from causes beyond the control of the Issuing
Bank, including any Governmental Acts; none of the above shall
affect or impair, or prevent the vesting of, any of the Issuing
Bank’s rights or powers hereunder. Without limiting the
foregoing and in furtherance thereof, any action taken or omitted
by the Issuing Bank under or in connection with the Letters of
Credit or any documents and certificates delivered thereunder, if
taken or omitted in good faith, shall not give rise to any
liability on the part of the Issuing Bank to the Borrower.
Notwithstanding anything to the contrary contained in this
Section 2.4(c), the Borrower shall retain any and all rights
it may have against the Issuing Bank to the extent, but only to the
extent, of any direct, as opposed to consequential or exemplary,
damages suffered by the Borrower which the Borrower proves were
caused solely out of the gross negligence or willful misconduct of
the Issuing Bank.
(d) Reimbursement by the
Borrower of Amounts Drawn or Paid Under Letters of Credit . In
the event the Issuing Bank has determined to honor a drawing under
a Letter of Credit, it shall immediately notify the Borrower and
the Administrative Agent of the amount and currency of such drawing
and the Dollar Equivalent thereof, and the Borrower shall
reimburse
51
the Issuing Bank through the
Administrative Agent on or before the Business Day on which such
drawing is honored (the “ Reimbursement Date ”)
in the same currency in which such drawing was made (or the Dollar
Equivalent of such amount, at the option of and as notified by the
Issuing Bank) and in same day funds equal to the amount of such
honored drawing; provided , anything contained herein to the
contrary notwithstanding, (i) unless the Borrower shall have
notified the Administrative Agent and the Issuing Bank prior to
10:00 a.m. (New York City time) on the date such drawing is honored
that the Borrower intends to reimburse the Issuing Bank for the
amount of such honored drawing with funds other than the proceeds
of Revolving Loans, the Borrower shall be deemed to have given a
timely Funding Notice to the Administrative Agent requesting
Lenders with Revolving Commitments to make Revolving Loans that are
Base Rate Loans on the Reimbursement Date in an amount in Dollars
equal to the amount of such honored drawing, and (ii) subject
to satisfaction or waiver of the conditions specified in
Section 3.3, Lenders with Revolving Commitments shall, on the
Reimbursement Date, make Revolving Loans that are Base Rate Loans
in the amount of such honored drawing, the proceeds of which shall
be applied directly by the Administrative Agent to reimburse the
Issuing Bank for the amount of such honored drawing; and
provided further , if for any reason proceeds of
Revolving Loans are not received by the Issuing Bank on the
Reimbursement Date in an amount equal to the amount of such honored
drawing, the Borrower shall reimburse the Issuing Bank, on demand,
in an amount in same day funds equal to the excess of the amount of
such honored drawing over the aggregate amount of such Revolving
Loans, if any, which are so received. Nothing in this
Section 2.4(d) shall be deemed to relieve any Lender with a
Revolving Commitment from its obligation to make Revolving Loans on
the terms and conditions set forth herein, and the Borrower shall
retain any and all rights it may have against any such Lender
resulting from the failure of such Lender to make such Revolving
Loans under this Section 2.4(d).
(e) Lenders’
Purchase of Participations in Letters of Credit . Immediately
upon the issuance of each Letter of Credit, each Lender having a
Revolving Commitment shall be deemed to have purchased, and hereby
agrees to irrevocably purchase, from the Issuing Bank a
participation in such Letter of Credit and any drawings honored
thereunder in an amount equal to such Lender’s Pro Rata Share
(with respect to the Revolving Commitments) of the maximum amount
which is or at any time may become available to be drawn
thereunder. In the event that the Borrower shall fail for any
reason to reimburse the Issuing Bank as provided in
Section 2.4(d), the Administrative Agent shall promptly notify
each Lender with a Revolving Commitment of the unreimbursed amount
of such honored drawing and of such Lender’s respective
participation therein based on such Lender’s Pro Rata Share
of the Revolving Commitments. Each Lender with a Revolving
Commitment shall make available to the Issuing Bank through the
Administrative Agent an amount equal to its respective
participation, in Dollars and in same day funds, at the office of
the Administrative Agent specified in such notice, not later than
12:00 noon (New York City time) on the first Business Day after the
date notified by the Administrative Agent. In the event that any
Lender with a Revolving Commitment fails to make available to the
Issuing Bank on such Business Day the amount of such Lender’s
participation in such Letter of Credit as provided in this
Section 2.4(e), the Issuing Bank shall be entitled to recover
such amount on demand from such Lender together with interest
thereon for three (3) Business Days at the rate customarily
used by the Issuing Bank for the correction of errors among banks
and thereafter at the Base Rate. Nothing in this
Section 2.4(e) shall be deemed to prejudice the right of any
Lender with a Revolving Commitment to recover from the
52
Issuing Bank any amounts made available
by such Lender to the Issuing Bank pursuant to this Section in the
event that the payment with respect to a Letter of Credit in
respect of which payment was made by such Lender constituted gross
negligence or willful misconduct on the part of the Issuing Bank.
In the event the Issuing Bank shall have been reimbursed by other
Lenders pursuant to this Section 2.4(e) for all or any portion
of any drawing honored by the Issuing Bank under a Letter of
Credit, the Administrative Agent shall distribute to each Lender
which has paid all amounts payable by it under this
Section 2.4(e) with respect to such honored drawing such
Lender’s Pro Rata Share of all payments subsequently received
by the Issuing Bank from the Borrower in reimbursement of such
honored drawing when such payments are received. Any such
distribution shall be made to a Lender at its primary address set
forth below its name on Appendix B or at such other address as such
Lender may request.
(f) Obligations
Absolute . The obligation of the Borrower to reimburse the
Issuing Bank for drawings honored under the Letters of Credit
issued by it and to repay any Revolving Loans made by Lenders
pursuant to Section 2.4(d) and the obligations of Lenders
under Section 2.4(e) shall be unconditional and irrevocable
and shall be paid strictly in accordance with the terms hereof
under all circumstances including any of the following
circumstances: (i) any lack of validity or enforceability of
any Letter of Credit; (ii) the existence of any claim,
set-off, defense or other right which the Borrower may have at any
time against a beneficiary or any transferee of any Letter of
Credit (or any Persons for whom any such transferee may be acting),
the Issuing Bank, any Lender or any other Person or, in the case of
a Lender, against the Borrower, whether in connection herewith, the
transactions contemplated herein or any unrelated transaction
(including any underlying transaction between the Borrower or one
of its Subsidiaries and the beneficiary for which any Letter of
Credit was procured); (iii) any draft or other document
presented under any Letter of Credit proving to be forged,
fraudulent, invalid or insufficient in any respect or any statement
therein being untrue or inaccurate in any respect;
(iv) payment by the Issuing Bank under any Letter of Credit
against presentation of a draft or other document which does not
substantially comply with the terms of such Letter of Credit;
(v) any adverse change in the business, operations,
properties, assets, condition (financial or otherwise) or prospects
of the Borrower or any of its Subsidiaries; (vi) any breach
hereof or any other Credit Document by any party thereto;
(vii) any adverse change in the relevant exchange rates or in
the availability of the Alternative Currency to the applicable the
Borrower or in the relevant currency markets generally;
(viii) any other circumstance or happening whatsoever, whether
or not similar to any of the foregoing; or (ix) the fact that
an Event of Default or a Default shall have occurred and be
continuing; provided , in each case, that payment by the
Issuing Bank under the applicable Letter of Credit shall not have
constituted gross negligence or willful misconduct of the Issuing
Bank under the circumstances in question.
(g) Indemnification .
Without duplication of any obligation of the Borrower under
Section 10.2 or 10.3, in addition to amounts payable as
provided therein, the Borrower hereby agrees to protect, indemnify,
pay and save harmless the Issuing Bank from and against any and all
claims, demands, liabilities, damages, losses, costs, charges and
expenses (including reasonable fees, expenses and disbursements of
counsel and allocated costs of internal counsel) which the Issuing
Bank may incur or be subject to as a consequence, direct or
indirect, of (i) the issuance of any Letter of Credit by the
Issuing Bank, other than as a result of (1) the gross
negligence or willful misconduct of the Issuing Bank or
(2) the wrongful dishonor by the Issuing Bank of a proper
demand for payment made under any Letter of Credit issued by it, or
(ii) the failure of the Issuing Bank to honor a drawing under
any such Letter of Credit as a result of any Governmental
Act.
53
2.5. Pro Rata Shares;
Availability of Funds.
(a) Pro Rata Shares .
All Loans shall be made, and all participations purchased, by
Lenders simultaneously and proportionately to their respective Pro
Rata Shares, it being understood that no Lender shall be
responsible for any default by any other Lender in such other
Lender’s obligation to make a Loan requested hereunder or
purchase a participation required hereby nor shall any Term Loan
Commitment or any Revolving Commitment of any Lender be increased
or decreased as a result of a default by any other Lender in such
other Lender’s obligation to make a Loan requested hereunder
or purchase a participation required hereby.
(b) Availability of
Funds . Unless the Administrative Agent shall have been
notified by any Lender prior to the applicable Credit Date that
such Lender does not intend to make available to the Administrative
Agent the amount of such Lender’s Loan requested on such
Credit Date, the Administrative Agent may assume that such Lender
has made such amount available to the Administrative Agent on such
Credit Date and the Administrative Agent may, in its sole
discretion, but shall not be obligated to, make available to the
Borrower a corresponding amount on such Credit Date. If such
corresponding amount is not in fact made available to the
Administrative Agent by such Lender, the Administrative Agent shall
be entitled to recover such corresponding amount on demand from
such Lender, together with interest thereon for each day from such
Credit Date until the date such amount is paid to the
Administrative Agent, at the customary rate set by the
Administrative Agent for the correction of errors among banks for
three (3) Business Days and thereafter at the Base Rate. If
such Lender does not pay such corresponding amount forthwith upon
the Administrative Agent’s demand therefor, the
Administrative Agent shall promptly notify the Borrower, and the
Borrower shall immediately pay such corresponding amount to the
Administrative Agent, together with interest thereon for each day
from such Credit Date until the date such amount is paid to the
Administrative Agent at the rate payable hereunder for Base Rate
Loans for such Class of Loans. Nothing in this Section 2.5(b)
shall be deemed to relieve any Lender from its obligation to
fulfill its Term Loan Commitments and Revolving Commitment
hereunder or to prejudice any rights that the Borrower may have
against any Lender as a result of any default by such Lender
hereunder.
2.6. Use of
Proceeds.
(a) The proceeds of the
Tranche A Term Loans and/or Tranche B Term Loans shall be applied
by the Borrower to fund the Third Wave Consideration and Related
Expenditures.
(b) The proceeds of the
Revolving Loans, Swing Line Loans and Letters of Credit made or
issued on and after the Restatement Date, as applicable, shall be
applied by the Borrower to the working capital and general
corporate purposes of the Borrower and its Subsidiaries, including
Permitted Acquisitions and permitted capital expenditures, and,
solely on the Restatement Date and during the Availability Period,
also to fund the Third Wave Consideration and Related Expenditures;
provided that Total Utilization of Revolving Commitments
shall not exceed $100,000,000 on the Restatement Date or at any
time during the Availability Period.
54
(c) No portion of the
proceeds of any Credit Extension shall be used in any manner that
causes or might cause such Credit Extension or the application of
such proceeds to violate Regulation T, Regulation U or
Regulation X of the Board of Governors or any other regulation
thereof or to violate the Exchange Act.
2.7. Evidence of Debt;
Register; Lenders’ Books and Records; Notes.
(a) Lenders’
Evidence of Debt . Each Lender shall maintain on its internal
records an account or accounts evidencing the Obligations of the
Borrower to such Lender, including the amounts of the Loans made by
it and each repayment and prepayment in respect thereof. Any such
recordation shall be conclusive and binding on the Borrower, absent
manifest error; provided , that the failure to make any such
recordation, or any error in such recordation, shall not affect any
Lender’s Revolving Commitment or the Borrower’s
Obligations in respect of any applicable Loans; and provided
further , in the event of any inconsistency between the
Register and any Lender’s records, the recordations in the
Register shall govern in the absence of demonstrable error
therein.
(b) Register . The
Administrative Agent (or its agent or sub-agent appointed by it)
shall maintain at its Principal Office a register for the
recordation of the names and addresses of Lenders and the Revolving
Commitment and Loans of each Lender from time to time (the “
Register ”). The Register shall be available for
inspection by the Borrower or any Lender (with respect to any entry
relating to such Lender’s Revolving Commitment and Loans) at
any reasonable time and from time to time upon reasonable prior
notice. The Administrative Agent shall record, or shall cause to be
recorded, in the Register the Revolving Commitments and the Loans
in accordance with the provisions of Section 10.6, and each
repayment or prepayment in respect of the principal amount of the
Loans, and any such recordation shall be conclusive and binding on
the Borrower and each Lender, absent manifest error;
provided , failure to make any such recordation, or any
error in such recordation, shall not affect any Lender’s
Revolving Commitment or the Borrower’s Obligations in respect
of any Loan. The Borrower hereby designates GSCP to serve as the
Borrower’s agent solely for purposes of maintaining the
Register as provided in this Section 2.7, and the Borrower
hereby agrees that, to the extent GSCP serves in such capacity,
GSCP and its officers, directors, employees, agents, sub-agents and
affiliates shall constitute “Indemnitees.”
(c) Notes . If so
requested by any Lender by written notice to the Borrower (with a
copy to the Administrative Agent) at least two (2) Business
Days prior to (i) the Closing Date with respect to such
Lender’s Revolving Loan or Swing Line Loan and (ii) the
Restatement Date with respect to such Lender’s Tranche A Term
Loan or and/or Tranche B Term Loan, as the case may be, or, in
the case of clauses (i) and (ii) of this
Section 2.7(c), at any time thereafter, the Borrower shall
execute and deliver to such Lender (and/or, if applicable and if so
specified in such notice, to any Person who is an assignee of such
Lender pursuant to Section 10.6) on the Restatement Date (or,
if such notice is delivered after the Restatement Date, promptly
after the Borrower’s receipt of such notice) a Note or Notes
to evidence such Lender’s Tranche A Term Loan, Tranche B Term
Loan, New Term Loan, Revolving Loans or Swing Line Loans, as the
case may be.
55
2.8. Interest on
Loans.
(a) Except as otherwise set
forth herein, each Class of Loans shall bear interest on the unpaid
principal amount thereof from the date made through repayment
(whether by acceleration or otherwise) thereof as
follows:
(i) in the case of Revolving
Loans and Tranche A Term Loans, as applicable:
(1) if a Base Rate Loan, at
the Base Rate plus the Applicable Margin; or
(2) if a Eurodollar Rate
Loan, at the Adjusted Eurodollar Rate plus the Applicable
Margin; and
(ii) in the case of Swing
Line Loans, at the Base Rate plus the Applicable Margin;
and
(iii) in the case of Tranche
B Term Loans:
(1) if a Base Rate Loan, at
the Base Rate plus 2.25%; or
(2) if a Eurodollar Rate
Loan, at the Adjusted Eurodollar Rate plus 3.25%.
(b) The basis for determining
the rate of interest with respect to any Loan (except a Swing Line
Loan which can be made and maintained only as a Base Rate Loan),
and the Interest Period with respect to any Eurodollar Rate Loan,
shall be selected by the Borrower and notified to the
Administrative Agent and Lenders pursuant to the applicable Funding
Notice or Conversion/Continuation Notice, as the case may be;
provided , until the date on which the Administrative Agent
notifies the Borrower that the primary syndication of the Loans and
Revolving Commitments has been completed, as determined by the
Administrative Agent, the Term Loans shall be maintained as either
(1) Eurodollar Rate Loans having an Interest Period of no
longer than three months or (2) Base Rate Loans. If on any day
a Loan is outstanding with respect to which a Funding Notice or
Conversion/Continuation Notice has not been delivered to the
Administrative Agent in accordance with the terms hereof specifying
the applicable basis for determining the rate of interest, then for
that day such Loan shall be a Base Rate Loan.
(c) In connection with
Eurodollar Rate Loans there shall be no more than ten
(10) Interest Periods outstanding at any time. In the event
the Borrower fails to specify between a Base Rate Loan or a
Eurodollar Rate Loan in the applicable Funding Notice or
Conversion/Continuation Notice, such Loan will be made as a Base
Rate Loan or (if outstanding as a Eurodollar Rate Loan) will be
automatically converted into a Base Rate Loan on the last day of
the then-current Interest Period for such Loan or (if outstanding
as a Base Rate Loan) will remain as a Base Rate Loan. In the event
the Borrower fails to specify an Interest Period for any
56
Eurodollar Rate Loan in the applicable
Funding Notice or Conversion/Continuation Notice, the Borrower
shall be deemed to have selected an Interest Period of one month.
As soon as practicable after 10:00 a.m. (New York City time) on
each Interest Rate Determination Date, the Administrative Agent
shall determine (which determination shall, absent manifest error,
be final, conclusive and binding upon all parties) the interest
rate that shall apply to the Eurodollar Rate Loans for which an
interest rate is then being determined for the applicable Interest
Period and shall promptly give notice thereof (in writing or by
telephone confirmed in writing) to the Borrower and each
Lender.
(d) Interest payable pursuant
to Section 2.8(a) shall be computed (i) in the case of
Base Rate Loans on the basis of a 365-day or 366-day year, as the
case may be, and (ii) in the case of Eurodollar Rate Loans, on
the basis of a 360-day year, in each case for the actual number of
days elapsed in the period during which it accrues. In computing
interest on any Loan, the date of the making of such Loan or the
first day of an Interest Period applicable to such Loan or, with
respect to a Term Loan, the last Interest Payment Date with respect
to such Term Loan or, with respect to a Base Rate Loan being
converted from a Eurodollar Rate Loan, the date of conversion of
such Eurodollar Rate Loan to such Base Rate Loan, as the case may
be, shall be included, and the date of payment of such Loan or the
expiration date of an Interest Period applicable to such Loan or,
with respect to a Base Rate Loan being converted to a Eurodollar
Rate Loan, the date of conversion of such Base Rate Loan to such
Eurodollar Rate Loan, as the case may be, shall be excluded;
provided , if a Loan is repaid on the same day on which it
is made, one (1) day’s interest shall be paid on that
Loan.
(e) Except as otherwise set
forth herein, interest on each Loan (i) shall accrue on a
daily basis and shall be payable in arrears on each Interest
Payment Date with respect to interest accrued on and to each such
payment date; (ii) shall accrue on a daily basis and shall be
payable in arrears upon any prepayment of that Loan, whether
voluntary or mandatory, to the extent accrued on the amount being
prepaid; and (iii) shall accrue on a daily basis and shall be
payable in arrears at maturity of the Loans, including final
maturity of the Loans; provided , however , with
respect to any voluntary prepayment of a Base Rate Loan, accrued
interest shall instead be payable on the applicable Interest
Payment Date.
(f) the Borrower agrees to
pay to the Issuing Bank, with respect to drawings honored under any
Letter of Credit, interest on the amount paid by the Issuing Bank
in respect of each such honored drawing from the date such drawing
is honored to but excluding the date such amount is reimbursed by
or on behalf of the Borrower at a rate equal to (i) for the
period from the date such drawing is honored to but excluding the
applicable Reimbursement Date, the rate of interest otherwise
payable hereunder with respect to Revolving Loans that are Base
Rate Loans, and (ii) thereafter, a rate which is 2% per
annum in excess of the rate of interest otherwise payable hereunder
with respect to Revolving Loans that are Base Rate
Loans.
(g) Interest payable pursuant
to Section 2.8(f) shall be computed on the basis of a
365/366-day year for the actual number of days elapsed in the
period during which it accrues, and shall be payable on demand or,
if no demand is made, on the date on which the related drawing
under a Letter of Credit is reimbursed in full. Promptly upon
receipt by the Issuing Bank of any payment of interest pursuant to
Section 2.8(f), the Issuing Bank shall distribute to each
Lender, out of the interest received by the Issuing Bank in respect
of the period
57
from the date such drawing is honored to
but excluding the date on which the Issuing Bank is reimbursed for
the amount of such drawing (including any such reimbursement out of
the proceeds of any Revolving Loans), the amount that such Lender
would have been entitled to receive in respect of the letter of
credit fee that would have been payable in respect of such Letter
of Credit for such period if no drawing had been honored under such
Letter of Credit. In the event the Issuing Bank shall have been
reimbursed by Lenders for all or any portion of such honored
drawing, the Issuing Bank shall distribute to each Lender which has
paid all amounts payable by it under Section 2.4(e) with
respect to such honored drawing such Lender’s Pro Rata Share
of any interest received by the Issuing Bank in respect of that
portion of such honored drawing so reimbursed by such Lender for
the period from the date on which the Issuing Bank was so
reimbursed by such Lender to but excluding the date on which such
portion of such honored drawing is reimbursed by the
Borrower.
2.9.
Conversion/Continuation.
(a) Subject to
Section 2.18 and so long as no Default or Event of Default
shall have occurred and then be continuing, the Borrower shall have
the option:
(i) to convert at any time
all or any part of any borrowing of Term Loans or Revolving Loans
equal to $5,000,000 and integral multiples of $1,000,000 in excess
of that amount from one Type of Loan to another Type of Loan;
provided , Eurodollar Rate Loans may only be converted on
the expiration of the Interest Period applicable to such Eurodollar
Rate Loans unless the Borrower shall pay all amounts due under
Section 2.18 in connection with any such conversion;
or
(ii) upon the expiration of
any Interest Period applicable to any borrowing of Eurodollar Rate
Loans, to continue all or any portion of such Loans equal to
$5,000,000 and integral multiples of $1,000,000 in excess of that
amount as Eurodollar Rate Loans.
(b) the Borrower shall
deliver a Conversion/Continuation Notice to the Administrative
Agent no later than 10:00 a.m. (New York City time) at least one
(1) Business Day in advance of the proposed conversion date
(in the case of a conversion to Base Rate Loans) and at least three
(3) Business Days in advance of the proposed
conversion/continuation date (in the case of a conversion to, or a
continuation of, Eurodollar Rate Loans). Except as otherwise
provided herein, a Conversion/Continuation Notice for conversion
to, or continuation of, any Eurodollar Rate Loans (or telephonic
notice in lieu thereof) shall be irrevocable on and after the
related Interest Rate Determination Date, and the Borrower shall be
bound to effect a conversion or continuation in accordance
therewith.
2.10. Default
Interest. The principal amount of all Loans outstanding and, to
the extent permitted by applicable law, any interest payments on
the Loans or any fees or other amounts owed hereunder and not paid
on or before the date due (or, in the case of interest on any Loan
or any fee or any other amount due hereunder, not paid within five
(5) days after the date due) shall thereafter bear interest
(including post-petition interest in any proceeding under the
Bankruptcy Code or other applicable bankruptcy laws) payable on
demand at a rate that is 2% per annum in excess of the
interest rate otherwise payable hereunder with respect to the
applicable Loans (or,
58
in the case of any such fees and other
amounts, at a rate which is 2% per annum in excess of the
interest rate otherwise payable hereunder for Base Rate Loans that
are Revolving Loans); provided , in the case of Eurodollar
Rate Loans, upon the expiration of the Interest Period in effect at
the time any such increase in interest rate is effective such
Eurodollar Rate Loans shall thereupon become Base Rate Loans and
shall thereafter bear interest payable upon demand at a rate which
is 2% per annum in excess of the interest rate otherwise
payable hereunder for Base Rate Loans. Payment or acceptance of the
increased rates of interest provided for in this Section 2.10
is not a permitted alternative to timely payment and shall not
constitute a waiver of any Event of Default or otherwise prejudice
or limit any rights or remedies of the Administrative Agent or any
Lender.
2.11. Fees.
(a) The Borrower agrees to
pay to Lenders holding Tranche A Term Loan Commitments commitment
fees equal to (1) the average of the daily difference during
the applicable quarterly period or portion thereof, as applicable,
between (a) the Tranche A Term Loan Commitments and
(b) the aggregate principal amount of all outstanding Tranche
A Term Loans, times (2) a per annum rate equal to one-half of
the Applicable Margin applicable to Tranche A Term Loans then
outstanding. All fees referred to in this Section 2.11(a)
shall be paid to the Administrative Agent at its Principal Office
and, upon receipt, the Administrative Agent shall promptly
distribute to each applicable Lender its Pro Rata Share
thereof.
(b) The Borrower agrees to
pay to Lenders holding Tranche B Term Loan Commitments commitment
fees equal to (1) the average of the daily difference during
the applicable quarterly period or portion thereof, as applicable,
between (a) the Tranche B Term Loan Commitments and
(b) the aggregate principal amount of all outstanding Tranche
B Term Loans, times (2) 1.625% per annum. All fees
referred to in this Section 2.11(b) shall be paid to the
Administrative Agent at its Principal Office and, upon receipt, the
Administrative Agent shall promptly distribute to each applicable
Lender its Pro Rata Share thereof.
(c) The Borrower agrees to
pay to Lenders having Revolving Exposure:
(i) commitment fees equal to
(1) the average of the daily difference during the applicable
quarterly period or portion thereof, as applicable, between
(a) the Revolving Commitments and (b) the aggregate
principal amount of (x) all outstanding Revolving Loans and
Swing Line Loans plus (y) the Letter of Credit Usage,
times (2) the Applicable Revolving Commitment Fee Percentage;
and
(ii) letter of credit fees
equal to (1) the Applicable Margin for Revolving Loans that
are Eurodollar Rate Loans, times (2) the average aggregate
daily maximum amount available to be drawn under all outstanding
Letters of Credit (regardless of whether any conditions for drawing
could then be met and determined as of the close of business on any
date of determination) during the applicable quarterly period or
portion thereof, as applicable.
59
All fees referred to in this
Section 2.11(c) shall be paid to the Administrative Agent at
its Principal Office and, upon receipt, the Administrative Agent
shall promptly distribute to each applicable Lender its Pro Rata
Share thereof.
(d) The Borrower agrees to
pay directly to the Issuing Bank, for its own account, the
following fees:
(i) a fronting fee equal to
0.125%, per annum, times the aggregate daily maximum amount
available to be drawn under all Letters of Credit during the
applicable quarterly period or portion thereof, as applicable
(determined as of the close of business on any date of
determination); and
(ii) such documentary and
processing charges for any issuance, amendment, transfer or payment
of a Letter of Credit as are in accordance with the Issuing
Bank’s standard schedule for such charges as in effect at the
time of such issuance, amendment, transfer or payment, as the case
may be.
(e) (i) All fees referred to
in Sections 2.11(a) and 2.11(b) shall be calculated on the basis of
a 360-day year and the actual number of days elapsed and shall be
payable quarterly in arrears on
March 31, June 30, September 30 and
December 31, commencing on the first such date to occur after
the Restatement Date, and ending on the Term Loan Commitment
Termination Date. (ii) All fees referred to in Sections
2.11(c) and 2.11(d)(i) shall be calculated on the basis of a
360-day year and the actual number of days elapsed and shall be
payable quarterly in arrears on
March 31, June 30, September 30 and
December 31 of each year during the Revolving Commitment
Period, commencing on the first such date to occur after the
Restatement Date, and on the Revolving Commitment Termination
Date.
(f) In addition to any of the
foregoing fees, the Borrower agrees to pay to the Agents such other
fees in the amounts and at the times separately agreed
upon.
2.12. Scheduled
Payments/Commitment Reductions. (a) The principal amounts
of the Tranche A Term Loans shall be repaid in consecutive
quarterly installments (each, a “ Tranche A
Installment ”) in the aggregate amounts and, on the
corresponding “Amortization Dates”, set forth in the
table below, commencing September 30, 2008:
|
|
|
|
|
Amortization Date
|
|
Tranche A Installments |
|
September 30, 2008
|
|
$ |
10,000,000.00 |
|
December 31, 2008
|
|
$ |
10,000,000.00 |
|
March 31, 2009
|
|
$ |
10,000,000.00 |
|
June 30, 2009
|
|
$ |
10,000,000.00 |
|
September 30, 2009
|
|
$ |
10,000,000.00 |
|
December 31, 2009
|
|
$ |
10,000,000.00 |
|
March 31, 2010
|
|
$ |
10,000,000.00 |
|
June 30, 2010
|
|
$ |
10,000,000.00 |
60
|
|
|
|
|
Amortization Date
|
|
Tranche A Installments |
|
September 30, 2010
|
|
$ |
15,000,000.00 |
|
December 31, 2010
|
|
$ |
15,000,000.00 |
|
March 31, 2011
|
|
$ |
15,000,000.00 |
|
June 30, 2011
|
|
$ |
15,000,000.00 |
|
September 30, 2011
|
|
$ |
15,000,000.00 |
|
December 31, 2011
|
|
$ |
15,000,000.00 |
|
March 31, 2012
|
|
$ |
15,000,000.00 |
|
June 30, 2012
|
|
$ |
15,000,000.00 |
|
|
|
|
September 30, 2012
|
|
$200,000,000.00 or such lesser aggregate principal amount
of Tranche A Term Loans then outstanding |
(b) The principal amounts of
the Tranche B Term Loans shall be repaid in consecutive quarterly
installments (each, a “ Tranche B Installment ”)
in the aggregate amounts and, on the corresponding
“Amortization Dates”, set forth in the table below,
commencing September 30, 2008:
|
|
|
|
|
Amortization Date
|
|
Tranche B Installments |
|
September 30, 2008
|
|
$ |
500,000.00 |
|
December 31, 2008
|
|
$ |
500,000.00 |
|
March 31, 2009
|
|
$ |
500,000.00 |
|
June 30, 2009
|
|
$ |
500,000.00 |
|
September 30, 2009
|
|
$ |
500,000.00 |
|
December 31, 2009
|
|
$ |
500,000.00 |
|
March 31, 2010
|
|
$ |
500,000.00 |
|
June 30, 2010
|
|
$ |
500,000.00 |
|
September 30, 2010
|
|
$ |
500,000.00 |
|
December 31, 2010
|
|
$ |
500,000.00 |
|
March 31, 2011
|
|
$ |
500,000.00 |
|
June 30, 2011
|
|
$ |
500,000.00 |
|
September 30, 2011
|
|
$ |
500,000.00 |
|
December 31, 2011
|
|
$ |
500,000.00 |
|
March 31, 2012
|
|
$ |
500,000.00 |
|
June 30, 2012
|
|
$ |
500,000.00 |
|
September 30, 2012
|
|
$ |
500,000.00 |
|
December 31, 2012
|
|
$ |
500,000.00 |
61
|
|
|
|
Amortization Date
|
|
Tranche B Installments
|
|
March 31, 2013
|
|
$191,000,000.00 or such lesser aggregate principal amount
of Tranche B Term Loans then outstanding |
; provided , with
respect to clause (b) of this Section 2.12, in the event
any New Term Loans are made, such New Term Loans shall be repaid on
each date that Tranche B Installments are made on or after the
applicable Increased Amount Date, in an amount equal to 1 / 4 of 1% of the
original principal amount of such New Term Loans.
Notwithstanding the foregoing,
(x) such Installments shall be reduced on a pro rata basis in
connection with any voluntary or mandatory prepayments of the Term
Loans in accordance with Sections 2.13, 2.14 and 2.15, as
applicable; and (y) Term Loans, together with all other
amounts owed hereunder with respect thereto, shall, in any event,
be paid in full no later than the respective Term Loan Maturity
Date therefor.
2.13. Voluntary
Prepayments/Commitment Reductions.
(a) Voluntary
Prepayments .
(i) At any time and from time
to time:
(1) with respect to Base Rate
Loans, the Borrower may prepay any such Loans on any Business Day
in whole or in part in an aggregate minimum amount of $5,000,000
and integral multiples of $1,000,000 in excess of that
amount;
(2) with respect to
Eurodollar Rate Loans, the Borrower may prepay any such Loans on
any Business Day in whole or in part in an aggregate minimum amount
of $5,000,000 and integral multiples of $1,000,000 in excess of
that amount; and
(3) with respect to Swing
Line Loans, the Borrower may prepay any such Loans on any Business
Day in whole or in part in an aggregate minimum amount of $500,000,
and in integral multiples of $100,000 in excess of that
amount.
(ii) All such prepayments
shall be made:
(1) upon not less than one
(1) Business Day’s prior written or telephonic notice in
the case of Base Rate Loans;
(2) upon not less than three
(3) Business Days’ prior written or telephonic notice in
the case of Eurodollar Rate Loans; and
62
(3) upon written or
telephonic notice on the date of prepayment, in the case of Swing
Line Loans;
in each case given to the Administrative
Agent or the Swing Line Lender, as the case may be, by 12:00 noon
(New York City time) on the date required and, if given by
telephone, promptly confirmed in writing to the Administrative
Agent (and the Administrative Agent will promptly transmit such
telephonic or original notice for Term Loans or Revolving Loans, as
the case may be, by telefacsimile or telephone to each Lender) or
the Swing Line Lender, as the case may be. Upon the giving of any
such notice, the principal amount of the Loans specified in such
notice shall become due and payable on the prepayment date
specified therein. Any such voluntary prepayment shall be applied
as specified in Section 2.15(a).
(b) Voluntary Commitment
Reductions .
(i) The Borrower may, upon
not less than three (3) Business Days’ prior written or
telephonic notice confirmed in writing to the Administrative Agent
(which original written or telephonic notice the Administrative
Agent will promptly transmit by telefacsimile or telephone to each
applicable Lender), at any time and from time to time terminate in
whole or permanently reduce in part, without premium or penalty,
the Revolving Commitments in an amount up to the amount by which
the Revolving Commitments exceed the Total Utilization of Revolving
Commitments at the time of such proposed termination or reduction;
provided , any such partial reduction of the Revolving
Commitments shall be in an aggregate minimum amount of $5,000,000
and integral multiples of $1,000,000 in excess of that
amount.
(ii) The Borrower’s
notice to the Administrative Agent shall designate the date (which
shall be a Business Day) of such termination or reduction and the
amount of any partial reduction, and such termination or reduction
of the Revolving Commitments shall be effective on the date
specified in the Borrower’s notice and shall reduce the
Revolving Commitment of each Lender proportionately to its Pro Rata
Share thereof.
2.14. Mandatory
Prepayments/Commitment Reductions.
(a) Asset Sales . No
later than the first Business Day following the date of receipt by
the Borrower or any of its Subsidiaries of any Net Asset Sale
Proceeds, the Borrower shall prepay the Loans as set forth in
Section 2.15(b) in an aggregate amount equal to such Net Asset
Sale Proceeds; provided , (i) so long as no Default or
Event of Default shall have occurred and be continuing, and
(ii) to the extent that Net Asset Sale Proceeds do not exceed
$25,000,000 individually or $50,000,000 in the aggregate during any
Fiscal Year, the Borrower shall have the option, directly or
through one or more of its Subsidiaries, to invest or commit to
invest such Net Asset Sale Proceeds within one year of receipt
thereof in long-term productive assets of the general type used in
the business of the Borrower and its Subsidiaries; provided
further , pending any such investment all such Net Asset
Sale Proceeds shall be applied to prepay Revolving Loans to the
extent outstanding (without a reduction in Revolving Commitments)
on or within five (5) Business Days after the immediately
succeeding Interest Payment Date.
63
(b) Insurance/Condemnation
Proceeds . No later than the first Business Day following the
date of receipt by the Borrower or any of its Subsidiaries, or the
Administrative Agent as loss payee, of any Net
Insurance/Condemnation Proceeds, the Borrower shall prepay the
Loans as set forth in Section 2.15(b) in an aggregate amount
equal to such Net Insurance/Condemnation Proceeds in excess of
$1,000,000 for any single event giving rise thereto or series of
related events giving rise thereto; provided , so long as no
Default or Event of Default shall have occurred and be continuing,
the Borrower shall have the option, directly or through one or more
of its Subsidiaries, to invest or commit to invest such Net
Insurance/Condemnation Proceeds within one year of receipt thereof
in long term productive assets of the general type used in the
business of the Borrower and its Subsidiaries, which investment may
include the repair, restoration or replacement of the applicable
assets thereof; provided further , pending any such
investment all such Net Insurance/Condemnation Proceeds in excess
of $1,000,000 for any single event giving rise thereto or series of
related events giving rise thereto, as the case may be, shall be
applied to prepay Revolving Loans to the extent outstanding
(without a reduction in Revolving Commitments) on or within five
(5) Business Days after the immediately succeeding Interest
Payment Date.
(c) Issuance of Equity
Securities . On the date of receipt by the Borrower of any Cash
proceeds from a capital contribution to, or the issuance of any
Equity Interests of, the Borrower or any of its Subsidiaries (other
than pursuant to any employee, director or consultant stock or
stock option compensation plan or the Spread Overlay Agreements),
the Borrower shall prepay the Loans as set forth in
Section 2.15(b) in an aggregate amount equal to 50% of such
proceeds, net of underwriting discounts and commissions and other
reasonable costs and expenses associated therewith, including
reasonable legal fees and expenses; provided , during any
period in which the Leverage Ratio (determined for any such period
by reference to the Compliance Certificate delivered pursuant to
Section 5.1(d) calculating the Leverage Ratio as of the last
day of the most recently ended Fiscal Quarter) shall be 3.00:1.00
or less, prepayments and/or reductions otherwise required pursuant
to this clause (c) shall be required to be made in an amount
equal to 25% of such net proceeds; provided , further
, during any period in which the Leverage Ratio (determined for any
such period by reference to the Compliance Certificate delivered
pursuant to Section 5.1(d) calculating the Leverage Ratio as
of the last day of the most recently ended Fiscal Quarter) shall be
2.00:1.00 or less, prepayments and/or reductions otherwise required
pursuant to this clause (c) hereof shall not be required to be
made.
(d) Issuance of Debt .
On the date of receipt by the Borrower or any of its Subsidiaries
of any Cash proceeds from the incurrence of any Indebtedness of the
Borrower or any of its Subsidiaries, the Borrower shall prepay the
Loans as set forth in Section 2.15(b) in an aggregate amount
equal to 100% of such proceeds, net of underwriting discounts and
c
|