ADDITIONAL RECEIVABLES
INTERCREDITOR AGREEMENT
BANK OF AMERICA, N.A.,
as ABL Collateral Agent,
BANK OF AMERICA, N.A.,
as New First Lien Collateral Agent
Dated as of August 11,
2009
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Page No .
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ARTICLE 1
DEFINITIONS
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Definitions
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2
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Rules of
Construction
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10
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ARTICLE 2
LIEN PRIORITY
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Priority of
Liens
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11
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Waiver of Right
to Contest Liens
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12
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Remedies
Standstill
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12
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Exercise of
Rights
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14
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No New
Liens
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15
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Waiver of
Marshaling
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16
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ARTICLE 3
ACTIONS OF THE PARTIES
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Certain Actions
Permitted
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16
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Agent for
Perfection
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Inspection and
Access Rights
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17
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Insurance
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17
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Exercise of
Remedies—Set-off and Tracing of and Priorities in
Proceeds
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17
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ARTICLE 4
APPLICATION OF PROCEEDS
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Application of
Proceeds
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18
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Specific
Performance
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19
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ARTICLE 5
INTERCREDITOR ACKNOWLEDGMENTS AND WAIVERS
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Notice of
Acceptance and Other Waivers
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20
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Modifications
to ABL Documents and New First Lien Documents
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21
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Reinstatement
and Continuation of Agreement
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22
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ARTICLE 6
INSOLVENCY PROCEEDINGS
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DIP
Financing
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23
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Page No .
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Relief from
Stay
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24
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No Contest;
Adequate Protection
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Asset
Sales
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25
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Separate Grants
of Security and Separate Classification
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25
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Enforceability
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25
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ABL Obligations
Unconditional
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ARTICLE 7
MISCELLANEOUS
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Rights of
Subrogation
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26
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Further
Assurances
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26
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Representations
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27
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Amendments
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27
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Addresses for
Notices
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27
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No Waiver;
Remedies
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28
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Continuing
Agreement; Transfer of Secured Obligations
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28
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Governing Law;
Entire Agreement
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Counterparts
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28
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No Third Party
Beneficiaries
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Headings
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29
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Severability
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29
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Attorneys
Fees
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VENUE; JURY
TRIAL WAIVER
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29
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Intercreditor
Agreement
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29
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Effectiveness
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30
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Collateral
Agents
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30
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No Warranties
or Liability
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30
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Conflicts
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30
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Information
Concerning Financial Condition of the Credit Parties
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30
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Acknowledgement
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31
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-ii-
ADDITIONAL RECEIVABLES INTERCREDITOR
AGREEMENT
THIS ADDITIONAL
RECEIVABLES INTERCREDITOR AGREEMENT (as amended, supplemented,
restated or otherwise modified from time to time pursuant to the
terms hereof, this “ Agreement ”) is entered
into as of August 11, 2009 between BANK OF AMERICA,
N.A. (“ Bank of America ”), in its
capacity as collateral agent for the ABL Obligations (as defined
below), and Bank of America, in its capacity as collateral agent
for the New First Lien Obligations (as defined below).
A. HCA INC.,
a Delaware corporation (the “ Company ”),
is party to the Credit Agreement dated as of November 17,
2006, as amended and restated as of June 20, 2007 and as
amended as of March 2, 2009 (as may be further amended,
restated, supplemented, waived, Refinanced or otherwise modified
from time to time (including without limitation to add new loans
thereunder or increase the amount of loans thereunder), the “
ABL Credit Agreement ”), among the Company, the
several Subsidiary Borrowers party thereto, the Lenders party
thereto from time to time, BANK OF AMERICA, N.A., as Administrative
Agent, Swingline Lender and Letter of Credit Issuer, JPMORGAN CHASE
BANK, N.A. and CITIGROUP GLOBAL MARKETS INC., as Co-Syndication
Agents, BANC OF AMERICA SECURITIES LLC, J.P. MORGAN SECURITIES
INC., CITIGROUP GLOBAL MARKETS INC. and MERRILL LYNCH, PIERCE,
FENNER & SMITH INCORPORATED, as Joint Lead Arrangers and
Bookrunners, DEUTSCHE BANK SECURITIES INC. and WACHOVIA CAPITAL
MARKETS LLC, as Joint Bookrunners, and MERRILL LYNCH CAPITAL
CORPORATION, as Documentation Agent. The ABL Credit Agreement is
designated by the Company to be included in the definition of
“ABL Facility” under the New First Lien Agreement (as
defined below) and the Obligations thereunder constitute ABL
Obligations within the meaning of the New First Lien
Agreement.
B. The
Company is party to the Indenture dated as of August 11, 2009
(as may be amended, restated, supplemented, waived, Refinanced or
otherwise modified from time to time, the “ New First
Lien Agreement ”), among the Company, the Guarantors
identified therein, Law Debenture Trust Company of New York, as
trustee (the “ New First Lien Trustee ”),
and Deutsche Bank Trust Company Americas, as paying agent,
registrar and transfer agent.
C. Bank of
America, N.A., as ABL collateral agent, Bank of America, as
collateral agent for the holders of Obligations under the CF Credit
Agreement, and The Bank of New York, as collateral agent for the
holders of notes issued under the Second Lien Notes Indentures, are
party to that certain Receivables Intercreditor Agreement (the
“ Original Receivables Intercreditor Agreement
”) dated as of November 17, 2006, which sets forth and
governs the relative rights, privileges and obligations with
respect to the Common Collateral as between the ABL Collateral
Agent, on the one hand, and the Subordinated Lien Collateral Agent
and Subordinated Lien Secured Parties (each as defined therein), on
the other hand.
D. Bank of
America, N.A., as collateral agent for the lenders and other
secured parties under the CF Credit Agreement, and The Bank of New
York Mellon, as collateral agent for the noteholders and other
secured parties pursuant to the Second Lien Notes Indentures, are
party
to that certain
General Intercreditor Agreement (the “ Original General
Intercreditor Agreement ”), dated as of
November 17, 2006, which sets forth and governs the relative
rights, privileges and obligations with respect to the collateral
described therein (including, without limitation, the Shared
Receivables Collateral) as between the First Lien Secured Parties
(as defined therein), on the one hand, and the Junior Lien Secured
Parties (as defined therein), on the other hand.
E. Bank of
America, N.A., as first lien collateral agent, The Bank of New York
Mellon, as junior lien collateral agent and as trustee under the
2006 Indenture, and The Bank of New York Mellon Trust Company,
N.A., as trustee under the 2009 Indenture, are party to that
certain Additional General Intercreditor Agreement (the “
Additional General Intercreditor Agreement ”),
dated as of August 11, 2009, which sets forth and governs the
relative rights, privileges and obligations with respect to the
collateral described therein (including without limitation, the
Shared Receivables Collateral) as between the New First Lien
Secured Parties (as defined therein), on the one hand, and the
Junior Lien Secured Parties, on the other hand.
F. Bank of
America, N.A., as collateral agent for the holders of Obligations
under the CF Credit Agreement, the New First Lien Agreement and the
April 2009 Indenture (as defined below) and as authorized
representative for the holders of Obligations under the CF Credit
Agreement, and Law Debenture Trust Company of New York, as
authorized representative for the holders of the Obligations under
the April 2009 Indenture, are party to that certain First Lien
Intercreditor Agreement (the “ First Lien Intercreditor
Agreement ”), dated as of April 22, 2009, which
sets forth and governs the relative rights, privileges and
obligations with respect to the collateral described therein
(including, without limitation, the Shared Receivables Collateral)
as among the holders of Obligations under the CF Credit Agreement,
the New First Lien Secured Parties and any series of Additional
First Lien Secured Parties (as defined therein) and to which the
New First Lien Secured Parties have joined by virtue of the
Additional First Lien Secured Party Consent, dated as of
August 11, 2009.
Accordingly, in
consideration of the foregoing, the mutual covenants and
obligations herein set forth and for other good and valuable
consideration, the sufficiency and receipt of which are hereby
acknowledged, the parties hereto, intending to be legally bound,
hereby agree as follows:
Section 1.1 Definitions . Unless the context
otherwise requires, all capitalized terms used but not defined
herein shall have the meanings set forth in the ABL Credit
Agreement and the New First Lien Agreement, in each case as in
effect on August 11, 2009. In addition, as used in this
Agreement, the following terms shall have the meanings set forth
below:
“ ABL
Collateral Agent ” shall mean Bank of America, in its
capacity as collateral agent for the lenders and other secured
parties under the ABL Credit Agreement and the other ABL Documents
entered into pursuant to the ABL Credit Agreement, together with
its successors and permitted assigns under the ABL Credit Agreement
exercising substantially the same rights and powers; and in each
case provided that if such ABL Collateral Agent is not Bank of
America,
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such ABL
Collateral Agent shall have become a party to this Agreement and
the other applicable ABL Security Documents.
“ ABL
Controlled Accounts ” shall mean, collectively, with
respect to each Grantor, (i) all Deposit Accounts and all
Securities Accounts and all accounts and sub-accounts relating to
any of the foregoing accounts and (ii) all cash, funds,
checks, notes, “securities entitlements” (as such terms
are defined in the UCC) and instruments from time to time on
deposit in any of the accounts or sub-accounts described in clause
(i) of this definition, in each case, which are subject to a
control agreement in favor of the ABL Collateral Agent.
“ ABL
Documents ” means the credit, guarantee and security
documents governing the ABL Obligations, including, without
limitation, the ABL Credit Agreement and the ABL Security Documents
and Secured Cash Management Agreements (as defined in the ABL
Credit Agreement as in effect on the date hereof) and Secured Hedge
Agreements (as defined in the ABL Credit Agreement as in effect on
the date hereof).
“ ABL
Entity ” shall mean a direct Subsidiary of a 1993
Indenture Restricted Subsidiary, substantially all of the business
of which consists of financing of accounts receivable and related
assets.
“ ABL
Obligations ” shall mean all
“Obligations” as defined in the ABL Credit Agreement.
For the avoidance of doubt, Obligations with respect to the New
First Lien Agreement and the other New First Lien Documents shall
not constitute ABL Obligations.
“ ABL
Recovery ” shall have the meaning set forth in
Section 5.3.
“ ABL
Secured Parties ” means “Secured Parties”
as defined in the ABL Credit Agreement.
“ ABL
Security Agreement ” means the Security Agreement (as
defined in the ABL Credit Agreement).
“ ABL
Security Documents ” means the ABL Security Agreement
and the other Security Documents (as defined in the ABL Credit
Agreement) and any other agreement, document or instrument pursuant
to which a Lien is granted or purported to be granted securing ABL
Obligations or under which rights or remedies with respect to such
Liens are governed.
“
Affiliate ” shall mean, with respect to any
Person, any other Person directly or indirectly controlling,
controlled by, or under direct or indirect common control with such
Person. A Person shall be deemed to control a corporation if such
Person possesses, directly or indirectly, the power to direct or
cause the direction of the management and policies of such
corporation, whether through the ownership of voting securities, by
contract or otherwise.
“
Agreement ” shall have the meaning assigned to that
term in the introduction to this Agreement.
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“ Bank
of America ” shall have the meaning assigned to that
term in the introduction to this Agreement.
“
Bankruptcy Code ” shall mean Title 11 of the
United States Code.
“
Capital Stock ” shall mean, as to any Person
that is a corporation, the authorized shares of such Person’s
capital stock, including all classes of common, preferred, voting
and nonvoting capital stock, and, as to any Person that is not a
corporation or an individual, the membership or other ownership
interests in such Person, including the right to share in profits
and losses, the right to receive distributions of cash and other
property, and the right to receive allocations of items of income,
gain, loss, deduction and credit and similar items from such
Person, whether or not such interests include voting or similar
rights entitling the holder thereof to exercise Control over such
Person, collectively with, in any such case, all warrants, options
and other rights to purchase or otherwise acquire, and all other
instruments convertible into or exchangeable for, any of the
foregoing.
“ CF
Credit Agreement ” shall mean that certain credit
agreement dated as of November 17, 2006 among the Company, HCA UK
Capital Limited, a limited liability company (company no. 04779021)
formed under the laws of England and Wales, as the European
Subsidiary Borrower thereunder, the Lenders party thereto from time
to time, Bank of America, N.A., as administrative agent, swingline
lender and letter of credit issuer, JPMorgan Chase Bank, N.A. and
Citigroup Global Markets Inc., as co-syndication agents, Banc of
America Securities LLC, J.P. Morgan Securities Inc., Citigroup
Global Markets Inc. and Merrill Lynch, Pierce, Fenner & Smith
Incorporated, as joint lead arrangers and bookrunners, Deutsche
Bank Securities Inc. and Wachovia Capital Markets LLC, as joint
bookrunners, and Merrill Lynch Capital Corporation, as
documentation agent, as amended as of February 16, 2007 and as
further amended as of March 2, 2009 and as of June 18,
2009 and as further amended, restated, supplemented, waived,
Refinanced or otherwise modified from time to time.
“
Collateral Agent(s) ” means individually the
ABL Collateral Agent or the New First Lien Collateral Agent and
collectively means the ABL Collateral Agent and the New First Lien
Collateral Agent.
“
Common Collateral ” means Receivables
Collateral other than Separate Receivables Collateral.
“
Comparable New First Lien Security Document ”
shall mean, in relation to any Common Collateral subject to any
Lien created under any ABL Document, those New First Lien Security
Documents that create a Lien on the same Common Collateral (but
only to the extent relating to such Common Collateral), granted by
the same Grantor.
“
Control ” shall mean the possession, directly or
indirectly, of the power (a) to vote 50% or more of the
securities having ordinary voting power for the election of
directors (or any similar governing body) of a Person, or
(b) to direct or cause the direction of the management or
policies of a Person, whether through the ability to exercise
voting power, by contract or otherwise. The terms “
Controlling ” and “ Controlled ”
have meanings correlative thereto.
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“
Credit Documents ” shall mean the ABL Documents
and the New First Lien Documents.
“
Deposit Account ” shall have the meaning set
forth in the UCC.
“
Designated Non-Receivables Accounts ” means
Deposit Accounts containing exclusively cash consisting of proceeds
from the sale of Non-Receivables Collateral.
“ DIP
Financing ” shall have the meaning set forth in
Section 6.1(a).
“
Discharge of ABL Obligations ” shall mean,
except to the extent otherwise provided in Section 5.3,
payment in full in cash (except for contingent indemnities and cost
and reimbursement obligations to the extent no claim has been made)
of all ABL Obligations and, with respect to letters of credit or
letter of credit guaranties outstanding under the ABL Documents,
delivery of cash collateral or backstop letters of credit in
respect thereof in a manner consistent with the ABL Credit
Agreement, in each case after or concurrently with the termination
of all commitments to extend credit thereunder, and the termination
of all commitments of ABL Secured Parties under ABL Documents;
provided that the Discharge of ABL Obligations shall not be
deemed to have occurred if such payments are made with the proceeds
of other ABL Obligations that constitute an exchange or replacement
for or a Refinancing of such ABL Obligations (unless in connection
with such exchange, replacement or Refinancing all the ABL
Obligations are repaid in full in cash (and the other conditions
set forth in this definition prior to the proviso are satisfied)
with the proceeds of a Permitted Receivables Financing (as defined
in the ABL Credit Agreement), in which case a Discharge of ABL
Obligations shall be deemed to have occurred). In the event the ABL
Obligations are modified and the ABL Obligations are paid over time
or otherwise modified pursuant to Section 1129 of the
Bankruptcy Code, the ABL Obligations shall be deemed to be
discharged when the final payment is made, in cash, in respect of
such indebtedness and any obligations pursuant to such new
indebtedness shall have been satisfied.
“
Disposition ” has the meaning set forth in
Section 2.4(b).
“
Enforcement Notice ” shall mean a written
notice delivered by the New First Lien Collateral Agent to the ABL
Collateral Agent announcing the commencement of an Exercise of
Secured Creditor Remedies.
“
Exercise Any Secured Creditor Remedies ” or
“ Exercise of Secured Creditor Remedies ”
shall mean, except as otherwise provided in the final sentence of
this definition:
(a) the taking by
any Secured Party of any action to enforce or realize upon any Lien
on Common Collateral, including the institution of any foreclosure
proceedings or the noticing of any public or private sale pursuant
to Article 9 of the Uniform Commercial Code;
(b) the exercise
by any Secured Party of any right or remedy provided to a secured
creditor on account of a Lien on Common Collateral under any of the
Credit Documents, under applicable law, in an Insolvency Proceeding
or otherwise, including the election to retain any of the Common
Collateral in satisfaction of a Lien;
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(c) the taking of
any action by any Secured Party or the exercise of any right or
remedy by any Secured Party in respect of the collection on, set
off against, marshaling of, injunction respecting or foreclosure on
the Common Collateral or the Proceeds thereof;
(d) the
appointment on the application of a Secured Party, of a receiver,
receiver and manager or interim receiver of all or part of the
Common Collateral;
(e) the sale,
lease, license, or other disposition of all or any portion of the
Common Collateral by private or public sale conducted by a Secured
Party or any other means at the direction of a Secured Party
permissible under applicable law; or
(f) the exercise
of any other right of a secured creditor under Part 6 of
Article 9 of the Uniform Commercial Code in respect of Common
Collateral.
For the
avoidance of doubt, none of the following shall be deemed to
constitute an Exercise of Secured Creditor Remedies: (i) the
filing a proof of claim in bankruptcy court or seeking adequate
protection, (ii) the exercise of rights by the ABL Collateral
Agent upon the occurrence of a Cash Dominion Event (as defined in
the ABL Credit Agreement), including, without limitation, the
notification of account debtors, depository institutions or any
other Person to deliver proceeds of Receivables Collateral to the
ABL Collateral Agent (unless and until the Lenders under the ABL
Credit Agreement cease to extend credit to the Borrowers
thereunder, in which event an Exercise of Secured Creditor Remedies
shall be deemed to have occurred), (iii) the consent by a
Secured Party to a sale or other disposition by any Grantor of any
of its assets or properties, (iv) the acceleration of all or a
portion of the ABL Obligations or any New First Lien Obligations,
(v) the reduction of the borrowing base, advance rates or
sub-limits by the Administrative Agent under the ABL Credit
Agreement, the ABL Collateral Agent and the Lenders under the ABL
Credit Agreement, (vi) the imposition of reserves by the ABL
Collateral Agent, (vii) an account ceasing to be an
“eligible account” under the ABL Credit Agreement or
(viii) any action taken by any ABL Secured Party in respect of
Separate Receivables Collateral. For the avoidance of doubt, the
actions permitted by Sections 2.3(b), 2.4(a) and 3.1 shall not
be deemed to be an Exercise of Secured Creditor
Remedies.
“
Governmental Authority ” shall mean any nation
or government, any state or other political subdivision thereof and
any entity exercising executive, legislative, judicial, regulatory
or administrative functions of or pertaining to
government.
“
Grantors ” shall mean the Company and each Subsidiary
that has executed and delivered an ABL Security Document or a New
First Lien Security Document.
“
Indebtedness ” shall have the meaning provided in the
ABL Credit Agreement and the New First Lien Agreement as in effect
on the date hereof.
“
Insolvency Proceeding ” shall mean:
(1) any case
commenced by or against the Company or any other Grantor under any
Bankruptcy Law, any other proceeding for the reorganization,
recapitalization or
-6-
adjustment or
marshaling of the assets or liabilities of the Company or any other
Grantor, any receivership or assignment for the benefit of
creditors relating to the Company or any other Grantor or any
similar case or proceeding relative to the Company or any other
Grantor or its creditors, as such, in each case whether or not
voluntary;
(2) any
liquidation, dissolution, marshaling of assets or liabilities or
other winding up of or relating to the Company or any other
Grantor, in each case whether or not voluntary and whether or not
involving bankruptcy or insolvency; or
(3) any other
proceeding of any type or nature in which substantially all claims
of creditors of the Company or any other Grantor are determined and
any payment or distribution is or may be made on account of such
claims.
“
Lien ” shall mean any mortgage, pledge,
security interest, hypothecation, assignment, lien (statutory or
other) or similar encumbrance (including any agreement to give any
of the foregoing, any conditional sale or other title retention
agreement or any lease in the nature thereof).
“ Lien
Priority ” shall mean with respect to any Lien of the
ABL Collateral Agent, the ABL Secured Parties, the New First Lien
Collateral Agent or the New First Lien Secured Parties on the
Common Collateral, the order of priority of such Lien as specified
in Section 2.1.
“ New
First Lien Agreement ” shall have the meaning set
forth in the recitals.
“ New
First Lien Collateral Agent ” shall mean (i) so
long as obligations are outstanding under the New First Lien
Agreement, Bank of America, N.A., in its capacity as collateral
agent for the noteholders and other secured parties under the New
First Lien Agreement and the other security documents thereunder,
and (ii) at any time thereafter, such agent or trustee as is
designated “New First Lien Collateral Agent” by the New
First Lien Secured Parties holding a majority in principal amount
of the New First Lien Obligations then outstanding or pursuant to
such other arrangements as agreed to among the holders of the New
First Lien Obligations; it being understood that as of the date of
this Agreement, Bank of America, N.A. shall be such New First Lien
Collateral Agent.
“ New
First Lien Documents ” means the indenture, credit
documents and security documents governing the New First Lien
Obligations, including, without limitation, the New First Lien
Agreement and the New First Lien Security Documents.
“ New
First Lien Enforcement Date ” means the date which is
180 days after the occurrence of both (i) a continuing
Event of Default (under and as defined in the New First Lien
Agreement) and (ii) the ABL Collateral Agent’s receipt
of an Enforcement Notice from the New First Lien Collateral Agent;
provided that the New First Lien Enforcement Date shall be
stayed and shall not occur (or be deemed to have occurred)
(A) at any time the ABL Collateral Agent or the ABL Secured
Parties have commenced and are diligently pursuing enforcement
action against the Common Collateral, (B) at any time that any
Grantor is then a debtor under or with respect to (or otherwise
subject to) any Insolvency Proceeding, or (C) if the Event of
Default un-
-7-
der the New
First Lien Agreement is waived or cured in accordance with the
terms of the New First Lien Agreement.
“ New
First Lien Obligations ” shall mean Obligations under
the New First Lien Documents and Obligations with respect to other
Indebtedness permitted to be incurred under the New First Lien
Documents and the ABL Credit Agreement which is by its terms
intended to be secured equally and ratably with the Obligations
under the New First Lien Documents or on a basis junior to the
Liens securing the New First Lien Obligations ( provided
such Lien is permitted to be incurred under the New First Lien
Documents and the ABL Credit Agreement); provided that the
holders of such Indebtedness or their New First Lien Representative
is a party to the New First Lien Security Documents in accordance
with the terms thereof and has appointed the New First Lien
Collateral Agent as collateral agent for such holders of New First
Lien Obligations with respect to all or a portion of the Common
Collateral.
“ New
First Lien Representative ” shall mean any duly
authorized representative of any holders of New First Lien
Obligations, which representative is a party to the New First Lien
Documents.
“ New
First Lien Secured Parties ” shall mean (i) so
long as the New First Lien Obligations are outstanding, the New
First Lien Trustee and the holders of the New First Lien
Obligations (including any New First Lien Obligations subsequently
issued under and in compliance with the New First Lien Agreement),
(ii) the New First Lien Collateral Agent, (iii) the
holders from time to time of any other New First Lien Obligations
and (iv) each New First Lien Representative.
“ New
First Lien Security Documents ” shall mean
(a) so long as the New First Lien Obligations are outstanding,
the Security Documents (as defined in the New First Lien Agreement)
and (b) thereafter, any agreement, document or instrument
pursuant to which a Lien is granted or purported to be granted
securing New First Lien Obligations or under which rights or
remedies with respect to such Liens are governed, which in each
case may include intercreditor and/or subordination agreements or
arrangements among various New First Lien Secured
Parties.
“ 1993
Indenture ” shall mean the Indenture dated as of
December 16, 1993 between the Company and First National Bank
of Chicago, as trustee, as amended, and as may be further amended,
supplemented or modified from time to time.
“ 1993
Indenture Restricted Subsidiary ” shall mean any
Subsidiary that on the date hereof constitutes a Restricted
Subsidiary under (and as defined in) the 1993 Indenture, as in
effect on the date hereof.
“
Non-Receivables Collateral ” shall mean all
“Collateral” as defined in any New First Lien Security
Document, but excluding all Receivables Collateral.
“
Obligations ” means any principal, interest
(including any interest accruing subsequent to the filing of a
petition in bankruptcy, reorganization or similar proceeding at the
rate provided for in the documentation with respect thereto,
whether or not such interest is an allowed claim under applicable
state, federal or foreign law), premium, penalties, fees,
indemnifications, reim-
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bursements
(including reimbursement obligations with respect to letters of
credit and banker’s acceptances), damages and other
liabilities, and guarantees of payment of such principal, interest,
penalties, fees, indemnifications, reimbursements, damages and
other liabilities, payable under the documentation governing any
Indebtedness.
“
Party ” shall mean the ABL Collateral Agent or the New
First Lien Collateral Agent, and “ Parties ”
shall mean collectively the ABL Collateral Agent and the New First
Lien Collateral Agent.
“
Person ” shall mean an individual, partnership,
corporation, limited liability company, business trust, joint stock
company, trust, unincorporated association, joint venture,
Governmental Authority or other entity of whatever
nature.
“
Proceeds ” shall mean (a) all
“proceeds,” as defined in Article 9 of the Uniform
Commercial Code, with respect to the Common Collateral, and
(b) whatever is recoverable or recovered when any Common
Collateral is sold, exchanged, collected, or disposed of, whether
voluntarily or involuntarily.
“
Receivables Collateral ” means Collateral as
defined in the ABL Security Agreement as in effect on the date
hereof. Without expanding the foregoing, for the avoidance of
doubt, neither European Collateral (as defined in the CF Credit
Agreement) (whether in the form of accounts receivable or
otherwise), Principal Properties (as defined in the New First Lien
Agreement), any capital stock (or capital stock equivalents)
pledged pursuant to any New First Lien Security Documents,
Designated Non-Receivables Accounts nor Mortgaged Properties (as
defined in the CF Credit Agreement) shall constitute Receivables
Collateral.
“
Refinance ” means, in respect of any
indebtedness, to refinance, extend, renew, defease, amend,
increase, modify, supplement, restructure, refund, replace or
repay, or to issue other indebtedness or enter alternative
financing arrangements, in exchange or replacement for such
indebtedness, including by adding or replacing lenders, creditors,
agents, borrowers and/or guarantors, and including in each case,
but not limited to, after the original instrument giving rise to
such indebtedness has been terminated. “
Refinanced ” and “
Refinancing ” have correlative
meanings.
“
Second Lien Notes Indentures ” means the 2006
Indenture and the 2009 Indenture.
“
Secured Parties ” shall mean the ABL Secured
Parties and the New First Lien Secured Parties.
“
Securities Account ” has the meaning set forth
in the UCC.
“
Separate Receivables Collateral ” means
Receivables Collateral owned or held by an ABL Entity and Proceeds
(as defined in the ABL Security Agreement) thereof.
“
Shared Receivables Collateral ” means Common
Collateral.
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“
Subsidiary ” shall mean with respect to any Person
(the “ parent ”) at any date, any corporation,
limited liability company, partnership, association or other entity
(a) of which Capital Stock representing more than 50% of the
ordinary voting power or, in the case of a partnership, more than
50% of the general partnership interests are, as of such date,
owned, Controlled or held, or (b) that is, as of such date,
otherwise Controlled, by the parent or one or more subsidiaries of
the parent or by the parent and one or more subsidiaries of the
parent.
“ 2006
Indenture ” means the Indenture, dated as of
November 17, 2006, among the Company, the guarantors
identified therein and The Bank of New York Mellon, as trustee, as
amended, restated, supplemented, waived, Refinanced or otherwise
modified from time to time.
“ 2009
Indenture ” means the Indenture, dated as of
February 19, 2009, among the Company, the guarantors
identified therein, The Bank of New York Trust Company, N.A., as
trustee, and The Bank of New York Mellon, as collateral agent, as
amended, restated, supplemented, waived, Refinanced or otherwise
modified from time to time.
“
Uniform Commercial Code ” or “
UCC ” shall mean the Uniform Commercial Code as
the same may, from time to time, be in effect in the State of New
York; provided that to the extent that the Uniform Commercial Code
is used to define any term in any security document and such term
is defined differently in differing Articles of the Uniform
Commercial Code, the definition of such term contained in
Article 9 shall govern; provided, further, that in the event
that, by reason of mandatory provisions of law, any or all of the
attachment, perfection, publication or priority of, or remedies
with respect to, Liens of any Party is governed by the Uniform
Commercial Code or foreign personal property security laws as
enacted and in effect in a jurisdiction other than the State of New
York, the term “Uniform Commercial Code” will mean the
Uniform Commercial Code or such foreign personal property security
laws as enacted and in effect in such other jurisdiction solely for
purposes of the provisions thereof relating to such attachment,
perfection, priority or remedies and for purposes of definitions
related to such provisions.
Section 1.2 Rules of Construction . Unless the
context of this Agreement clearly requires otherwise, references to
the plural include the singular, references to the singular include
the plural, the term “including” is not limiting and
shall be deemed to be followed by the phrase “without
limitation,” and the term “or” has, except where
otherwise indicated, the inclusive meaning represented by the
phrase “and/or.” The words “hereof,”
“herein,” “hereby,”
“hereunder,” and similar terms in this Agreement refer
to this Agreement as a whole and not to any particular provision of
this Agreement. Article, section, subsection, clause, schedule and
exhibit references herein are to this Agreement unless otherwise
specified. Any reference in this Agreement to any agreement,
instrument, or document shall include all alterations, amendments,
changes, restatements, extensions, modifications, renewals,
replacements, substitutions, joinders, and supplements thereto and
thereof, as applicable (subject to any restrictions on such
alterations, amendments, changes, restatements, extensions,
modifications, renewals, replacements, substitutions, joinders, and
supplements set forth herein). Any reference herein to any Person
shall be construed to include such Person’s successors and
assigns. Any reference herein to the repayment in full of an
obligation shall mean the payment in full in cash of such
obligation, or in such other manner as may be approved in writing
by the requisite holders or representatives in
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respect of such
obligation, or in such other manner as may be approved by the
requisite holders or representatives in respect of such
obligation.
Section 2.1 Priority of Liens .
(a) Notwithstanding
(i) the date, time, method, manner, or order of grant,
attachment, or perfection of any Liens granted to the ABL
Collateral Agent or the ABL Secured Parties in respect of all or
any portion of the Common Collateral or of any Liens granted to any
New First Lien Collateral Agent or any New First Lien Secured
Parties in respect of all or any portion of the Common Collateral,
and regardless of how any such Lien was acquired (whether by grant,
statute, operation of law, subrogation or otherwise), (ii) the
order or time of filing or recordation of any document or
instrument for perfecting the Liens in favor of the ABL Collateral
Agent or any New First Lien Collateral Agent (or the ABL Secured
Parties or any of the New First Lien Secured Parties) on any Common
Collateral, (iii) any provision of the Uniform Commercial
Code, the Bankruptcy Code or any other applicable law, or of any of
the ABL Documents or any of the New First Lien Documents, or
(iv) whether the ABL Collateral Agent or any New First Lien
Collateral Agent, in each case, either directly or through agents,
holds possession of, or has control over, all or any part of the
Common Collateral, the ABL Collateral Agent, on behalf of itself
and the ABL Secured Parties, and the New First Lien Collateral
Agent, on behalf of itself and the New First Lien Secured Parties,
hereby agree that:
(1) any Lien in
respect of all or any portion of the Common Collateral now or
hereafter held by or on behalf of the New First Lien Collateral
Agent or the New First Lien Secured Parties that secures all or any
portion of the New First Lien Obligations shall in all respects be
junior and subordinate to all Liens granted to the ABL Collateral
Agent and the ABL Secured Parties on the Common Collateral;
and
(2) any Lien in
respect of all or any portion of the Common Collateral now or
hereafter held by or on behalf of the ABL Collateral Agent or any
ABL Secured Party that secures all or any portion of the ABL
Obligations shall in all respects be senior and prior to all Liens
granted to the New First Lien Collateral Agent or the New First
Lien Secured Parties on the Common Collateral.
The New First
Lien Collateral Agent, for and on behalf of itself and each New
First Lien Secured Party, expressly agrees that any Lien purported
to be granted on any Common Collateral as security for the ABL
Obligations shall be deemed to be and shall be deemed to remain
senior in all respects and prior to all Liens on the Common
Collateral securing any New First Lien Obligations for all purposes
regardless of whether the Lien purported to be granted is found to
be improperly granted, improperly perfected, preferential, a
fraudulent conveyance or legally or otherwise deficient in any
manner.
(b) The
ABL Collateral Agent, for and on behalf of itself and the ABL
Secured Parties, acknowledges and agrees that, concurrently
herewith, the New First Lien Collateral Agent, for the benefit of
itself and the New First Lien Secured Parties, has been granted
Liens
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upon all of the
Common Collateral in which the ABL Collateral Agent has been
granted Liens and the ABL Collateral Agent hereby consents thereto.
The subordination of Liens by the New First Lien Collateral Agent
in favor of the ABL Collateral Agent as set forth herein shall not
be deemed to subordinate the respective Liens of the New First Lien
Collateral Agent or the New First Lien Secured Parties to Liens
securing any other Obligations other than the ABL Obligations
(subject to the First Lien Intercreditor Agreement and the
Additional General Intercreditor Agreement).
Section 2.2 Waiver of Right to Contest Liens
.
(a) The
New First Lien Collateral Agent, for and on behalf of itself and
the New First Lien Secured Parties, agrees that it shall not (and
hereby waives any right to) take any action to contest or challenge
(or assist or support any other Person in contesting or
challenging), directly or indirectly, whether or not in any
proceeding (including in any Insolvency Proceeding), the validity,
priority, enforceability, or perfection of the Liens of the ABL
Collateral Agent and the ABL Secured Parties in respect of
Receivables Collateral or the provisions of this Agreement. Except
to the extent expressly set forth in this Agreement, the New First
Lien Collateral Agent, for itself and on behalf of the New First
Lien Secured Parties, agrees that it will not take any action that
would interfere with any Exercise of Secured Creditor Remedies
undertaken by the ABL Collateral Agent or any ABL Secured Party
under the ABL Documents with respect to the Common Collateral.
Except to the extent expressly set forth in this Agreement, the New
First Lien Collateral Agent, for itself and on behalf of the New
First Lien Secured Parties, hereby waives any and all rights it may
have as a junior lien creditor or otherwise to contest, protest,
object to, or interfere with the manner in which the ABL Collateral
Agent or any ABL Secured Party seeks to enforce its Liens in any
Common Collateral.
(b) The
ABL Collateral Agent, for and on behalf of itself and the ABL
Secured Parties, agrees that it and they shall not (and hereby
waives any right to) take any action to contest or challenge (or
assist or support any other Person in contesting or challenging),
directly or indirectly, whether or not in any proceeding (including
in any Insolvency Proceeding), the validity, priority,
enforceability, or perfection of the respective Liens of the New
First Lien Collateral Agent or the New First Lien Secured Parties
in respect of the Common Collateral or the provisions of this
Agreement.
Section 2.3 Remedies Standstill .
(a) The
New First Lien Collateral Agent, on behalf of itself and the New
First Lien Secured Parties, agrees that, from the date hereof until
the date upon which the Discharge of ABL Obligations shall have
occurred, neither the New First Lien Collateral Agent nor any New
First Lien Secured Party will Exercise Any Secured Creditor
Remedies with respect to any Common Collateral without the written
consent of the ABL Collateral Agent, and will not take, receive or
accept any Proceeds of Common Collateral, it being understood and
agreed that the temporary deposit of Proceeds of Common Collateral
in a Deposit Account controlled by the New First Lien Collateral
Agent shall not constitute a breach of this Agreement so long as
such Proceeds are promptly remitted to the ABL Collateral Agent;
provided that, subject to Section 4.1(b) and the
provisions of the First Lien Intercreditor Agreement, upon the
occurrence of the New First Lien Enforcement Date, the New First
Lien Collateral Agent acting on behalf of itself
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and the New
First Lien Secured Parties may exercise such remedies without such
prior written consent of the other Collateral Agent. Subject to the
First Lien Intercreditor Agreement, from and after the date upon
which the Discharge of ABL Obligations shall have occurred (or
prior thereto upon the occurrence of the New First Lien Enforcement
Date), the New First Lien Collateral Agent or any New First Lien
Secured Party may Exercise Any Secured Creditor Remedies under the
New First Lien Documents or applicable law as to any Common
Collateral.
(b) Notwithstanding
the provisions of Section 2.3(a) or any other provision of
this Agreement but subject to the First Lien Intercreditor
Agreement, nothing contained herein shall be construed to prevent
any Collateral Agent or any Secured Party from (i) filing a
claim or statement of interest with respect to the ABL Obligations
or New First Lien Obligations owed to it in any Insolvency
Proceeding commenced by or against any Grantor, (ii) taking
any action (not adverse to the priority status of the Liens of the
other Collateral Agent or other Secured Parties on the Common
Collateral in which such other Collateral Agent or other Secured
Parties has a priority Lien or the rights of the other Collateral
Agent or any of the other Secured Parties to exercise remedies in
respect thereof) in order to create, perfect, preserve or protect
(but not enforce) its Lien on any Common Collateral,
(iii) filing any necessary or responsive pleadings in
opposition to any motion, adversary proceeding or other pleading
filed by any Person objecting to or otherwise seeking disallowance
of the claim or Lien of such Collateral Agent or Secured Party,
(iv) filing any pleadings, objections, motions, or agreements
which assert rights available to unsecured creditors of the
Grantors arising under any Insolvency Proceeding or applicable
non-bankruptcy law, (vi) voting on any plan of reorganization
or file any proof of claim in any Insolvency Proceeding of any
Grantor, or (vii) objecting to the proposed retention of
collateral by any other Collateral Agent or any other Secured Party
in full or partial satisfaction of any ABL Obligations or New First
Lien Obligations due to such other Collateral Agent or Secured
Party, in each case (i) through (vii) above to the extent not
inconsistent with, or could not result in a resolution inconsistent
with, the terms of this Agreement.
(c) Subject
to Section 2.3(b), (i) the New First Lien Collateral
Agent, for itself and on behalf of the New First Lien Secured
Parties, agrees that neither it nor any such New First Lien Secured
Party will take any action that would hinder any exercise of
remedies undertaken by the ABL Collateral Agent or the ABL Secured
Parties with respect to the Receivables Collateral, including any
sale, lease, exchange, transfer or other disposition of Receivables
Collateral, whether by foreclosure or otherwise, and (ii) the
New First Lien Collateral Agent, for itself and on behalf of the
New First Lien Secured Parties, hereby waives any and all rights it
or any such New First Lien Secured Party may have as a junior lien
creditor or otherwise to object to the manner in which the ABL
Collateral Agent or the ABL Secured Parties seek to enforce or
collect the ABL Obligations or the Liens granted in any of the
Receivables Collateral, regardless of whether any action or failure
to act by or on behalf of the ABL Collateral Agent or ABL Secured
Parties is adverse to the interests of the New First Lien Secured
Parties.
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