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Exhibit
4.2
REGISTRATION RIGHTS
AGREEMENT
Dated as of January 26, 2007
Among
RMK ACQUISITION CORPORATION,
ARAMARK CORPORATION,
THE GUARANTORS LISTED ON SCHEDULE I HERETO
and
J.P. MORGAN SECURITIES INC.
and
GOLDMAN, SACHS & CO.
as Representatives of the Several Initial
Purchasers
8.50% Senior Notes due 2015
Senior Floating Rate Notes due 2015
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-i-
REGISTRATION RIGHTS
AGREEMENT
This Registration Rights Agreement (this " Agreement ")
is dated as of January 26, 2007, among RMK ACQUISITION
CORPORATION, a Delaware corporation (" RMK "), ARAMARK
CORPORATION, a Delaware corporation (the " Company "), the
guarantors listed on Schedule I hereto (the "
Guarantors ") and J.P. MORGAN SECURITIES INC. and GOLDMAN,
SACHS & CO., as representatives (the "
Representatives ") of the several initial purchasers (the "
Initial Purchasers ") named on Schedule I to the
Purchase Agreement (as defined below).
This Agreement is entered into in connection with the Purchase
Agreement, dated as of January 17, 2007 (the "
Purchase Agreement "), by and among RMK and the Initial
Purchasers, which provides for, among other things, the sale by RMK
to the Initial Purchasers of $1,280,000,000 aggregate principal
amount of the Issuer’s (as defined below) 8.50% Senior Notes
due 2015 (the " Fixed-Rate Notes ") and $500,000,000
aggregate principal amount of the Issuer’s Senior Floating
Rate Notes due 2015 (the " Floating Rate Notes " and,
together with the Fixed-Rate Notes, the " Notes "). The
Notes are issued under an indenture, dated as of the date hereof
(as amended or supplemented from time to time, the "
Indenture "), among RMK, the Company, the Guarantors and The
Bank of New York, as trustee (the " Trustee "). Pursuant to
the Purchase Agreement and the Indenture, the Guarantors are
required to guarantee (collectively, the " Guarantees ") the
Issuer’s obligations under the Notes and the Indenture.
References to the " Securities " shall mean, collectively,
the Notes and, when issued, the Guarantees. References to the "
Issuer " refer to (x) prior to the consummation of the
merger of RMK with and into the Company (the " Merger "),
RMK and (y) from and after the consummation of the Merger, the
Company. In order to induce the Initial Purchasers (including the
Market-Makers) to enter into the Purchase Agreement, the Issuer has
agreed to provide the registration rights set forth in this
Agreement for the benefit of the Initial Purchasers and any
subsequent holder or holders of the Securities. The execution and
delivery of this Agreement is a condition to the Initial
Purchasers’ obligations under the Purchase Agreement.
The parties hereby agree as follows:
1. Definitions
As used in this Agreement, the following terms shall have the
following meanings:
Additional Guarantor : Any subsidiary of the Company that
executes a Subsidiary Guarantee under the Indenture after the date
of this Agreement.
Additional Interest : See Section 5(a) hereof.
Advice : See the last paragraph of Section 6
hereof.
Agreement : See the introductory paragraphs hereto.
Applicable Period : See Section 2(b) hereof.
Business Day : Shall have the meaning ascribed to such
term in Rule 14d-1 under the Exchange Act.
Company : See the introductory
paragraphs hereto.
Effectiveness Date : With respect to any Shelf
Registration Statement, the 90th day after the Filing Date with
respect thereto; provided , however , that if the
Effectiveness Date would otherwise fall on a day that is not a
Business Day, then the Effectiveness Date shall be the next
succeeding Business Day.
Effectiveness Period : See Section 3(a) hereof.
Event Date : See Section 5(b) hereof.
Exchange Act : The Securities Exchange Act of 1934, as
amended, and the rules and regulations of the SEC promulgated
thereunder.
Exchange Notes : See Section 2(a) hereof.
Exchange Offer : See Section 2(a) hereof.
Exchange Offer Registration Statement : See
Section 2(a) hereof.
Exchange Securities : See Section 2(a) hereof.
Existing Notes : ARAMARK Services’ outstanding
$250.0 million 5% senior notes due 2012.
Filing Date : The 90th day after the delivery of a Shelf
Notice as required pursuant to Section 2(c) hereof;
provided , however , that if the Filing Date would
otherwise fall on a day that is not a Business Day, then the Filing
Date shall be the next succeeding Business Day.
First Alternate Registration : See Section 4(a)(i)
hereof.
Fixed-Rate Notes : See the introductory paragraphs
hereto.
Floating Rate Notes : See the introductory paragraphs
hereto.
Guarantees : See the introductory paragraphs hereto.
Guarantors : See the introductory paragraphs hereto and
shall also include any Guarantor’s successors and any
Additional Guarantors.
Holder : Any holder of a Registrable Security or
Registrable Securities.
Indenture : See the introductory paragraphs hereto.
Information : See Section 6(o) hereof.
Initial Purchasers : See the introductory paragraphs
hereto.
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Initial Shelf Registration : See
Section 3(a) hereof.
Inspectors : See Section 6(o) hereof.
Issue Date : January 26, 2007, the date of original
issuance of the Notes.
Issuer : See the introductory paragraphs hereto.
Issuer Free Writing Prospectus : Each free writing
prospectus (as defined in Rule 405 under the Securities Act)
prepared by or on behalf of the Issuer or used or referred to by
the Issuer in connection with the sale of the Securities or the
Exchange Securities.
Issuer Information : See Section 8(a)(i) hereof.
Market-Maker : See Section 4(a) hereof.
Market-Making Conditions : See Section 4(a)
hereof.
Market-Making Registration : See Section 4(a)(i)
hereof.
Market-Making Registration Statement : See
Section 4(a)(i) hereof.
Merger : See the introductory paragraphs hereto.
NASD : See Section 6(s) hereof.
New Guarantees : See Section 2(a) hereof.
Notes : See the introductory paragraphs hereto.
Participant : See Section 8(a) hereof.
Participating Broker-Dealer : See Section 2(b)
hereof.
Person : An individual, trustee, corporation,
partnership, limited liability company, joint stock company, trust,
unincorporated association, union, business association, firm or
other legal entity.
Private Exchange : See Section 2(b) hereof.
Private Exchange Notes : See Section 2(b)
hereof.
Prospectus : The prospectus included in any Registration
Statement (including, without limitation, any prospectus subject to
completion and a prospectus that includes any information
previously omitted from a prospectus filed as part of an effective
registration statement in reliance upon Rule 430A (as amended
or replaced) under the Securities Act), as amended or supplemented
by any prospectus supplement, and all other amendments and
supplements to the Prospectus, including post-
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effective amendments, and all material
incorporated by reference or deemed to be incorporated by reference
in such Prospectus.
Purchase Agreement : See the introductory paragraphs
hereof.
Records : See Section 6(o) hereof.
Registrable Securities : Each Security upon its original
issuance and at all times subsequent thereto, each Exchange
Security as to which Section 2(c)(iv) hereof is applicable
upon original issuance and at all times subsequent thereto and each
Private Exchange Note (and the related Guarantees) upon original
issuance thereof and at all times subsequent thereto, until, in
each case, the earliest to occur of (i) a Registration
Statement (other than, with respect to any Exchange Securities as
to which Section 2(c)(iv) hereof is applicable, the Exchange
Offer Registration Statement) covering such Security, Exchange
Security or Private Exchange Note (and the related Guarantees) has
been declared effective by the SEC and such Security, Exchange
Security or such Private Exchange Note (and the related
Guarantees), as the case may be, has been disposed of in accordance
with such effective Registration Statement, (ii) such Security
has been exchanged pursuant to the Exchange Offer for an Exchange
Security or Exchange Securities that may be resold without
restriction under state and federal securities laws,
(iii) such Security, Exchange Security or Private Exchange
Note (and the related Guarantees), as the case may be, ceases to be
outstanding for purposes of the Indenture or (iv) such
Security, Exchange Security or Private Exchange Note (and the
related Guarantees), as the case may be, may be resold without
restriction pursuant to Rule 144(k) (as amended or replaced)
under the Securities Act.
Registration Statement : Any registration statement of
the Issuer that covers any of the Securities, the Exchange
Securities or the Private Exchange Notes (and the related
Guarantees) filed with the SEC under the Securities Act, including,
in each case, the Prospectus, amendments and supplements to such
registration statement, including post-effective amendments, all
exhibits, and all material incorporated by reference or deemed to
be incorporated by reference in such registration statement.
RMK : See the introductory paragraphs hereto.
Rule 144 : Rule 144 (as amended or replaced) under
the Securities Act.
Rule 144A : Rule 144A (as amended or replaced) under
the Securities Act.
Rule 405 : Rule 405 (as amended or replaced) under
the Securities Act.
Rule 415 : Rule 415 (as amended or replaced) under
the Securities Act.
Rule 424 : Rule 424 (as amended or replaced) under
the Securities Act.
SEC : The U.S. Securities and Exchange Commission.
Securities : See the introductory paragraphs hereto.
Securities Act : The Securities Act of 1933, as amended,
and the rules and regulations of the SEC promulgated
thereunder.
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Shelf Notice : See Section 2(c)
hereof.
Shelf Registration : See Section 3(b) hereof.
Shelf Registration Statement : Any Registration Statement
relating to a Shelf Registration.
Shelf Suspension Period : See Section 3(a)
hereof.
Subsequent Shelf Registration : See Section 3(b)
hereof.
TIA : The Trust Indenture Act of 1939, as amended.
Trustee : The trustee under the Indenture and the trustee
under any indenture (if different) governing the Exchange
Securities and Private Exchange Notes (and the related
Guarantees).
Underwritten registration or underwritten offering : A
registration in which securities of the Issuer is sold to an
underwriter for reoffering to the public.
Except as otherwise specifically provided, all references in
this Agreement to acts, laws, statutes, rules, regulations,
releases, forms, no-action letters and other regulatory
requirements (collectively, " Regulatory Requirements ")
shall be deemed to refer also to any amendments thereto and all
subsequent Regulatory Requirements adopted as a replacement thereto
having substantially the same effect therewith; provided
that Rule 144 shall not be deemed to amend or replace
Rule 144A.
2. Exchange Offer
(a) Unless the Exchange Offer would violate applicable law or
any applicable interpretation of the staff of the SEC, the Issuer
shall use its reasonable best efforts to file with the SEC a
Registration Statement (the " Exchange Offer Registration
Statement ") on an appropriate registration form with respect
to a registered offer (the " Exchange Offer ") to exchange
any and all of the Registrable Securities for a like aggregate
principal amount of debt securities of the Issuer (the "
Exchange Notes "), guaranteed, to the extent applicable, on
an unsecured senior basis by the Guarantors (the " New
Guarantees " and, together with the Exchange Notes, the "
Exchange Securities "), that are identical in all material
respects to the Fixed-Rate Notes or Floating Rate Notes, as
applicable, except that (i) the Exchange Notes shall contain
no restrictive legend thereon, (ii) interest thereon shall
accrue from the last date on which interest was paid on such Notes
or, if no such interest has been paid, from the Issue Date and
(iii) the Exchange Securities shall be entitled to the
benefits of the Indenture or a trust indenture which is identical
in all material respects to the Indenture (other than such changes
to the Indenture or any such identical trust indenture as are
necessary to comply with the TIA) and which, in either case, has
been qualified under the TIA. The Exchange Offer shall comply with
all applicable tender offer rules and regulations under the
Exchange Act and other applicable laws. The Issuer shall use its
reasonable best efforts to (x) prepare and file with the SEC
the Exchange Offer Registration Statement with respect to the
Exchange Offer; (y) keep the Exchange Offer open for at least
20 Business Days (or longer if required by applicable law) after
the date that notice of the Exchange Offer is mailed to Holders;
and (z) consummate the Exchange Offer on or prior to the 240th
day following the Issue Date.
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Each Holder (including, without limitation, each
Participating Broker-Dealer) that participates in the Exchange
Offer, as a condition to participation in the Exchange Offer, will
be required to represent to the Issuer in writing (which may be
contained in the applicable letter of transmittal) that:
(i) any Exchange Securities acquired in exchange for
Registrable Securities tendered are being acquired in the ordinary
course of business of the Person receiving such Exchange
Securities, whether or not such recipient is such Holder itself;
(ii) at the time of the commencement or consummation of the
Exchange Offer neither such Holder nor, to the actual knowledge of
such Holder, any other Person receiving Exchange Securities from
such Holder has an arrangement or understanding with any Person to
participate in the distribution (within the meaning of the
Securities Act) of the Exchange Securities in violation of the
provisions of the Securities Act; (iii) neither the Holder
nor, to the actual knowledge of such Holder, any other Person
receiving Exchange Securities from such Holder is an "affiliate"
(as defined in Rule 405) of the Issuer or, if it is an
affiliate of the Issuer, it will comply with the registration and
prospectus delivery requirements of the Securities Act to the
extent applicable and will provide information to be included in
the Shelf Registration Statement in accordance with Section 6
hereof in order to have their Securities included in the Shelf
Registration Statement and benefit from the provisions regarding
Additional Interest in Section 5 hereof; (iv) if such
Holder is not a broker-dealer, neither such Holder nor, to the
actual knowledge of such Holder, any other Person receiving
Exchange Securities from such Holder is engaging in or intends to
engage in a distribution of the Exchange Securities; and
(v) if such Holder is a Participating Broker-Dealer, such
Holder has acquired the Registrable Securities for its own account
in exchange for Securities that were acquired as a result of
market-making activities or other trading activities and that it
will comply with the applicable provisions of the Securities Act
(including, but not limited to, any prospectus delivery
requirements thereunder).
Upon consummation of the Exchange Offer in accordance with this
Section 2, the provisions of this Agreement shall continue to
apply, mutatis mutandis , solely with respect to
Registrable Securities that are Private Exchange Notes (and the
related Guarantees), Exchange Securities as to which
Section 2(c)(iv) is applicable and Exchange Securities held by
the Market-Maker and Participating Broker-Dealers, and the Issuer
shall have no further obligation to register Registrable Securities
(other than Private Exchange Notes (and the related Guarantees) and
Exchange Securities as to which clause 2(c)(iv) hereof
applies) pursuant to Section 3 hereof.
No securities other than the Exchange Securities and the Senior
Subordinated Notes (and the related guarantees) shall be included
in the Exchange Offer Registration Statement.
(b) The Issuer shall include within the Prospectus contained in
the Exchange Offer Registration Statement a section entitled "Plan
of Distribution," which shall contain a summary statement of the
positions taken or policies made by the staff of the SEC with
respect to the potential "underwriter" status of any broker-dealer
that is the "beneficial owner" (as defined in Rule 13d-3 under
the Exchange Act) of Exchange Notes received by such broker-dealer
in the Exchange Offer (a " Participating Broker-Dealer "),
whether such positions or policies have been publicly disseminated
by the staff of the SEC or such positions or policies represent the
prevailing views of the staff of the SEC. Such "Plan of
Distribution" section shall also expressly permit, to the extent
permitted by applicable policies and regulations of the SEC, the
use of the Prospectus by all Participating Broker-Dealers, and
include a statement describing the means by which Participating
Broker-Dealers may resell the Exchange Securities in compliance
with the Securities Act.
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The Issuer shall use its reasonable best efforts
to keep the Exchange Offer Registration Statement effective and to
amend and supplement the Prospectus contained therein in order to
permit such Prospectus to be lawfully delivered by all Persons
subject to the prospectus delivery requirements of the Securities
Act for such period of time as is necessary to comply with
applicable law in connection with any resale of the Exchange
Securities; provided , however , that such period
shall not be required to exceed 90 days, such longer period if
extended pursuant to the last paragraph of Section 6 hereof
(the " Applicable Period ").
If, prior to consummation of the Exchange Offer, the Initial
Purchasers hold any Notes acquired by them that have the status of
an unsold allotment in the initial distribution, the Issuer, upon
the request of the Initial Purchasers, shall simultaneously with
the delivery of the Exchange Notes issue and deliver to the Initial
Purchasers, in exchange (the " Private Exchange ") for such
Notes held by any such Holder, a like principal amount of notes
(the " Private Exchange Notes ") of the Issuer, guaranteed
by the Guarantors, that are identical in all material respects to
the Exchange Notes except for the placement of a restrictive legend
on such Private Exchange Notes. The Private Exchange Notes shall be
issued pursuant to the same indenture as the Exchange Notes and
bear the same CUSIP number as the Exchange Notes if permitted by
the CUSIP Service Bureau.
In connection with the Exchange Offer, the Issuer shall:
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(1) mail, or cause to be mailed, to each Holder of record
entitled to participate in the Exchange Offer a copy of the
Prospectus forming part of the Exchange Offer Registration
Statement, together with an appropriate letter of transmittal and
related documents;
(2) use their respective reasonable best efforts to keep the
Exchange Offer open for not less than 20 Business Days from the
date that notice of the Exchange Offer is mailed to Holders (or
longer if required by applicable law);
(3) utilize the services of a depositary for the Exchange Offer
with an address in the Borough of Manhattan, The City of New York
or in Wilmington, Delaware;
(4) permit Holders to withdraw tendered Notes at any time prior
to the close of business, New York time, on the last Business Day
on which the Exchange Offer remains open; and
(5) otherwise comply in all material respects with all laws,
rules and regulations applicable to the Exchange Offer.
As soon as practicable after the close of the Exchange Offer and
any Private Exchange, the Issuer shall:
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(1) accept for exchange all Registrable Securities validly
tendered and not validly withdrawn pursuant to the Exchange Offer
and any Private Exchange;
(2) deliver to the Trustee for cancellation all Registrable
Securities so accepted for exchange; and
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(3) cause the Trustee to authenticate and deliver
promptly to each Holder of Notes, Exchange Notes or Private
Exchange Notes, as the case may be, equal in principal amount to
the Notes of such Holder so accepted for exchange; provided
that, in the case of any Notes held in global form by a depositary,
authentication and delivery to such depositary of one or more
replacement Notes in global form in an equivalent principal amount
thereto for the account of such Holders in accordance with the
Indenture shall satisfy such authentication and delivery
requirement.
The Exchange Offer and the Private Exchange shall not be subject
to any conditions, other than that (i) the Exchange Offer or
Private Exchange, as the case may be, does not violate applicable
law or any applicable interpretation of the staff of the SEC;
(ii) no action or proceeding shall have been instituted or
threatened in any court or by any governmental agency which might
materially impair the ability of the Issuer to proceed with the
Exchange Offer or the Private Exchange, and no material adverse
development shall have occurred in any existing action or
proceeding with respect to the Issuer; and (iii) all
governmental approvals shall have been obtained, which approvals
the Issuer deem necessary for the consummation of the Exchange
Offer or Private Exchange.
The Exchange Securities and the Private Exchange Notes (and
related guarantees) shall be issued under (i) the Indenture or
(ii) an indenture identical in all material respects to the
Indenture and which, in either case, has been qualified under the
TIA or is exempt from such qualification and shall provide that the
Exchange Securities shall not be subject to the transfer
restrictions set forth in the Indenture. The Indenture or such
indenture shall provide that the Exchange Notes, the Private
Exchange Notes and the Notes shall vote and consent together on all
matters as one class and that none of the Exchange Notes, the
Private Exchange Notes or the Notes will have the right to vote or
consent as a separate class on any matter.
(c) If, (i) because of any change in law or in currently
prevailing interpretations of the staff of the SEC, the Issuer is
not permitted to effect the Exchange Offer, (ii) the Exchange
Offer is not consummated within 240 days of the Issue Date,
(iii) any holder of Private Exchange Notes so requests in
writing to the Issuer at any time within 30 days after the
consummation of the Exchange Offer, or (iv) in the case of any
Holder that participates in the Exchange Offer, such Holder does
not receive Exchange Securities on the date of the exchange that
may be sold without restriction under state and federal securities
laws (other than due solely to the status of such Holder as an
affiliate of the Issuer within the meaning of the Securities Act)
and so notifies the Issuer within 30 days after such Holder first
becomes aware of such restrictions, in the case of each of clauses
(i) to and including (iv) of this sentence, then the
Issuer shall promptly deliver to the Trustee (to deliver to the
Holders) written notice thereof (the " Shelf Notice ") and
shall file a Shelf Registration pursuant to Section 3
hereof.
3. Shelf Registration
If at any time a Shelf Notice is delivered as contemplated by
Section 2(c) hereof, then:
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Initial Shelf Registration shall be on
Form S-1 or another appropriate form permitting registration
of such Registrable Securities for resale by Holders in the manner
or manners designated by them (including, without limitation, one
or more underwritten offerings). The Issuer shall not permit any
securities other than the Registrable Securities and the Guarantees
and the Senior Subordinated Notes and the related guarantees to be
included in the Initial Shelf Registration or any Subsequent Shelf
Registration (as defined below).
The Issuer shall use its reasonable best efforts to cause the
Shelf Registration to be declared effective under the Securities
Act on or prior to the Effectiveness Date and to keep the Initial
Shelf Registration continuously effective under the Securities Act
until the earliest of (i) the date that is two years from the
Issue Date (ii) such shorter period ending when all
Registrable Securities covered by the Initial Shelf Registration
have been sold in the manner set forth and as contemplated in the
Initial Shelf Registration or, if applicable, a Subsequent Shelf
Registration or (iii) the date upon which all Registrable
Securities become eligible for resale without regard to volume,
manner of sale or other restrictions contained in Rule 144(k) (the
" Effectiveness Period "); provided , however
, that the Effectiveness Period in respect of the Initial Shelf
Registration shall be extended to the extent required to permit
dealers to comply with the applicable prospectus delivery
requirements of Rule 174 under the Securities Act and as otherwise
provided herein. Notwithstanding anything to the contrary in this
Agreement, at any time, the Issuer may delay the filing of any
Initial Shelf Registration Statement or delay or suspend the
effectiveness thereof, for a reasonable period of time, but not in
excess of 60 consecutive days or more than three (3) times
during any calendar year (each, a " Shelf Suspension Period
"), if the Board of Directors of the Issuer determines reasonably
and in good faith that the filing of any such Initial Shelf
Registration Statement or the continuing effectiveness thereof
would require the disclosure of non-public material information
that, in the reasonable judgment of the Board of Directors of the
Issuer, would be detrimental to the Issuer if so disclosed or would
otherwise materially adversely affect a financing, acquisition,
disposition, merger or other material transaction or such action is
required by applicable law.
(b) Withdrawal of Stop Orders; Subsequent Shelf
Registrations . If the Initial Shelf Registration or any
Subsequent Shelf Registration ceases to be effective for any reason
at any time during the Effectiveness Period (other than because of
the sale of all of the Securities registered thereunder), the
Issuer shall use its reasonable best efforts to obtain the prompt
withdrawal of any order suspending the effectiveness thereof, and
in any event shall file an additional Shelf Registration Statement
pursuant to Rule 415 covering all of the Registrable Securities
covered by and not sold under the Initial Shelf Registration or an
earlier Subsequent Shelf Registration (each, a " Subsequent
Shelf Registration "). If a Subsequent Shelf Registration is
filed, the Issuer shall use its reasonable best efforts to cause
the Subsequent Shelf Registration to be declared effective under
the Securities Act as soon as practicable after such filing and to
keep such subsequent Shelf Registration continuously effective for
a period equal to the number of days in the Effectiveness Period
less the aggregate number of days during which the Initial Shelf
Registration or any Subsequent Shelf Registration was previously
continuously effective. As used herein the term " Shelf
Registration " means the Initial Shelf Registration and any
Subsequent Shelf Registration.
(c) Supplements and Amendments . The Issuer shall
promptly supplement and amend the Shelf Registration if required by
the rules, regulations or instructions applicable to the
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registration form used for such Shelf
Registration, if required by the Securities Act, or if reasonably
requested by the Holders of a majority in aggregate principal
amount of the Registrable Securities (or their counsel) covered by
such Registration Statement with respect to the information
included therein with respect to one or more of such Holders, or,
if reasonably requested by any underwriter of such Registrable
Securities, with respect to the information included therein with
respect to such underwriter.
4. Market-Making
(a) For the benefit of Goldman, Sachs & Co. and J.P.
Morgan Securities Inc. (each in such capacity, a "
Market-Maker " and together, the " Market-Makers ")
or any of their respective affiliates (as defined in the rules and
regulations of the SEC), so long as (x) any of the Existing
Notes, Registrable Securities or Exchange Securities are
outstanding and (y) it would be necessary under applicable
laws, rules and regulations, in the reasonable opinion of a
Market-Maker, for such Market-Maker or any of its affiliates to
deliver a Prospectus in connection with market-making activities
with respect to the Existing Notes, Registrable Securities or
Exchange Securities and such Market-Maker or such affiliate
proposes to make a market in the Existing Notes, Registrable
Securities or Exchange Securities as part of its business in the
ordinary course (the " Market-Making Conditions "), the
following provisions shall apply for the sole benefit of such
Market-Maker (it being understood that only a person for whom the
Market-Making Conditions apply at the applicable time shall be
deemed a Market-Maker for purposes of the following provisions at
any time):
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(i) The Issuer shall file under the Securities Act one or more
registration statements, in a form approved by each Market-Maker
(each such filing, a " Market-Making Registration ," and
each such registration statement, the " Market-Making
Registration Statement "). The Issuer agrees to use its
reasonable best efforts to cause a Market-Making Registration
Statement with respect to the Exchange Securities (which
Market-Making Registration Statement will also cover any
outstanding Existing Notes at such time) to be declared effective
on or prior to (i) the date the Exchange Offer is completed
pursuant to Section 2(a) above or (ii) the date the
Initial Shelf Registration becomes or is declared effective
pursuant to Section 3 above, and, in each case, to keep such
Market-Making Registration Statement continuously effective for so
long as either Market-Maker may be required to deliver a Prospectus
in connection with transactions in Registrable Securities or the
Exchange Securities (or the Existing Notes, to the extent that such
Market-Making Registration Statement covered the Existing Notes),
as the case may be; provided that the Issuer shall not be
required to have a Market-Making Registration Statement covering
only the Existing Notes be declared effective within the timeframe
described above if the Registrable Securities and Exchange
Securities cease to be outstanding within such timeframe. If a
Market-Making Registration Statement covering the Existing Notes is
not required to be declared effective because the Registrable
Securities and Exchange Notes are no longer outstanding, the Issuer
agrees to use its reasonable best efforts to cause a Market-Making
Registration Statement covering any then outstanding Existing Notes
to become effective on or prior to the date any first registration
statement on Form S-1 or Form S-4 covering any securities of the
Issuer filed after the date hereof (any such registration
statement, the " First Alternate Registration ") becomes
effective and to keep such Market-Making Registration Statement
continuously effective for so long as either Market-Maker may be
required to deliver a Prospectus in connection with transactions in
the Existing Notes. In the event that a Market-Maker holds Existing
Notes or Securities at the earlier of
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the time the Exchange Offer is to be conducted
under Section 2(a) above or the time of the First Alternate
Registration, the Issuer agrees that the applicable Market-Making
Registration shall provide for the resale by such Market-Maker of
such Existing Notes, Registrable Securities or Exchange Securities,
as the case may be, and shall use its reasonable best efforts to
keep the Market-Making Registration Statement continuously
effective for so long as such Market-Maker may be required to
deliver a Prospectus in connection with the sale of such Existing
Notes, Registrable Securities or Exchange Securities. The Issuer
further agrees to supplement or make amendments to each
Market-Making Registration Statement, as and when required by the
rules, regulations or instructions applicable to the registration
form used by the Issuer for the applicable Market-Making
Registration Statement, and the Issuer agrees to furnish to each
Market-Maker copies of any such supplement or amendment or any
Issuer Free Writing Prospectus prior to its being used or promptly
following its filing with the SEC.
(ii) Notwithstanding the foregoing, the Issuer may suspend the
offering and sale under a Market-Making Registration Statement for
a period or periods the Board of Directors of the Issuer reasonably
determines to be advisable for valid business reasons, but in any
event not in excess of 60 consecutive days or more than three
(3) times during any calendar year during which such
Market-Making Registration Statement is required to be effective
and usable hereunder (measured from the Effective Time of such
Market-Making Registration Statement to successive anniversaries
thereof) if (A) (i) the Board of Directors of the Issuer
determines in good faith that such action is in the best interests
of the Issuer or (ii) such Market-Making Registration
Statement, Prospectus, Issuer Free Writing Prospectus or amendment
or supplement thereto contains an untrue statement of a material
fact or omits to state a material fact necessary in order to make
the statements therein, in the light of the circumstances under
which they were made, not misleading, and (B) the Issuer
notifies each Market-Maker within five days before the
effectiveness of such suspension.
(iii) The Issuer shall notify each Market-Maker (A) when
any post-effective amendment to a Market-Making Registration
Statement or any amendment or supplement to the related Prospectus
or any Issuer Free Writing Prospectus has been filed, and, with
respect to any post-effective amendment, when the same has become
effective; (B) of any request by the SEC for any
post-effective amendment to a Market-Making Registration Statement,
any supplement or amendment to the related Prospectus, any Issuer
Free Writing Prospectus or for additional information; (C) of
the issuance by the SEC of any stop order suspending the
effectiveness of a Market-Making Registration Statement or the
initiation of any proceedings for that purpose; (D) of the
receipt by the Issuer of any notification with respect to the
suspension of the qualification of the Registrable Securities or
Exchange Securities (or, the Existing Notes if they were covered by
the Market-Making Registration Statement), for sale in any
jurisdiction or the initiation or threatening of any proceedings
for such purpose; and (E) of the happening of any event that
makes any statement made in a Market-Making Registration Statement,
the related Prospectus, any Issuer Free Writing Prospectus or any
amendment or supplement thereto untrue or that requires the making
of any changes in a Market-Making Registration Statement, such
Prospectus, such Issuer Free Writing Prospectus or any amendment or
supplement thereto, in order to make the statements therein not
misleading.
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(iv) If any event contemplated by
Section 4(a)(iii)(B), (D) and (E) occurs during the
period for which the Issuer is required to maintain an effective
Market-Making Registration Statement, the Issuer shall promptly
prepare and file with the SEC a post-effective amendment to the
applicable Market-Making Registration Statement or a supplement to
the related Prospectus or Issuer Free Writing Prospectus or file
any other required document so that the Prospectus or Issuer Free
Writing Prospectus will not include an untrue statement of a
material fact or omit to state a material fact necessary in order
to make the statements therein, in the light of the circumstances
under which they were made, not misleading.
(v) In the event of the issuance of any stop order suspending
the effectiveness of a Market-Making Registration Statement or of
any order suspending the qualification of the Registrable
Securities or Exchange Securities (or Existing Notes if they were
covered by the Market-Making Registration Statement) for sale in
any jurisdiction, the Issuer shall use promptly its reasonable best
efforts to obtain its withdrawal.
(vi) The Issuer shall furnish to each Market-Maker, in each case
without charge to each Market-Maker, at least one conformed copy of
each Market-Making Registration Statement and any post-effective
amendment thereto, any Issuer Free Writing Prospectus and
electronic copies of the related Prospectus and any amendment or
supplement thereto.
(vii) The Issuer shall consent to the use of the Prospectus
contained in a Market-Making Registration Statement or any
amendment or supplement thereto or any Issuer Free Writing
Prospectus by a Market-Maker in connection with its market-making
activities.
(viii) Notwithstanding the foregoing provisions of this
Section 4, the Issuer may for valid business reasons,
including without limitation, a potential acquisition, divestiture
of assets or other material corporate transaction, issue a notice
that a Market-Making Registration Statement is no longer effective
or the Prospectus included therein is no longer usable for offers
and sales of Registrable Securities or Exchange Securities (or
Existing Notes if applicable) and may issue any notice suspending
use of such Market-Making Registration Statement required under
applicable securities laws to be issued for so long as valid
business reasons exist and the Issuer shall not be obligated to
amend or supplement such Market-Making Registration Statement or
the Prospectus included therein until it reasonably deems
appropriate. Each Market-Maker agrees that upon receipt of any
notice from the Issuer pursuant to this Section 4(a)(viii), it
will discontinue use of each Market-Making Registration Statement
until receipt of copies of the supplemented or amended Prospectus
relating thereto until advised in writing by the Issuer that the
use of a Market-Making Registration Statement may be resumed.
(b) In connection with a Market-Making Registration, the Issuer
shall (i) make reasonably available for inspection by a
representative of, and counsel acting for, the Market-Makers all
relevant financial and other records, pertinent corporate documents
and properties of the Issuer and its subsidiaries and (ii) use
its reasonable best efforts to have its officers, directors,
employees, accountants and counsel supply all relevant information
reasonably requested by such representative or counsel or the
Market-Makers.
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(c) Prior to the effective date of a
Market-Making Registration Statement, the Issuer will use its
reasonable best efforts to register or qualify such Registrable
Securities, Exchange Securities or Existing Notes, as applicable,
for offer and sale under the securities or blue sky laws of such
jurisdictions as the Market-Makers reasonably request in writing
and do any and all other acts or things necessary or advisable to
enable the offer and sale in such jurisdictions of the Registrable
Securities, Exchange Securities or Existing Notes covered by such
Market-Making Registration Statement; provided that neither
the Issuer nor any Guarantor will be required to qualify generally
to do business in any jurisdiction where it is not then so
qualified or to take any action which would subject it to general
service of process or to taxation in any such jurisdiction where it
is not then so subject.
(d) The Issuer represents and agrees that each Market-Making
Registration Statement, any post-effective amendments thereto, any
amendments or supplements to the related Prospectus, any Issuer
Free Writing Prospectus and any documents filed by them under the
Exchange Act will, when they become effective or are filed with the
SEC, as the case may be, conform in all respects to the
requirements of the Securities Act and the Exchange Act and the
rules and regulations of the SEC thereunder and will not, as of the
effective date of such Market-Making Registration Statement or
post-effective amendments and as of the filing date of amendments
or supplements to such Prospectus, any Issuer Free Writing
Prospectus or filings under the Exchange Act, contain an untrue
statement of a material fact or omit to state a material fact
required to be stated therein or necessary to make the statements
therein not misleading; provided that no representation or
warranty is made as to information contained in or omitted from a
Market-Making Registration Statement or the related Prospectus in
reliance upon and in conformity with written information furnished
to the Issuer by a Market-Maker specifically for inclusion therein,
which information the parties hereto agree will be limited to the
statements concerning the market-making activities of such
Market-Maker to be set forth on the cover page and in the "Plan of
Distribution" section of the Prospectus and in the analogous
section of the Canadian wrapper, if any, of the Prospectus.
(e) At the time of effectiveness of a Market-Making Registration
Statement (unless it is the same as the time of effectiveness of
the Exchange Offer Registration Statement) and concurrently with
each time any Issuer Free Writing Prospectus is first used or such
Market-Making Registration Statement or the related Prospectus or
Issuer Free Writing Prospectus shall be amended or such Prospectus
or Issuer Free Writing Prospectus shall be supplemented, the Issuer
shall (if requested in writing by a Market-Maker) furnish such
Market-Maker and its counsel with a certificate of an appropriate
officer to the effect that:
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(i) such Market-Making Registration Statement has been declared
effective;
(ii) in the case of an amendment or supplement, such amendment
has become effective under the Securities Act as of the date and
time specified in such certificate, if applicable; if required,
such amendment or supplement to the Prospectus was filed with the
SEC pursuant to the subparagraph of Rule 424(b) under the
Securities Act specified in such certificate on the date specified
therein; and in the case of any Issuer Free Writing Prospectus or
an amendment or supplement to any Issuer Free Writing Prospectus,
such Issuer Free Writing Prospectus or amendment or supplement to
the Issuer Free Writing Prospectus was filed with the SEC pursuant
to Rule 433 under the Securities Act on the date specified
therein;
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(iii) to the knowledge of such officer, no stop
order suspending the effectiveness of the Market-Making
Registration Statement has been issued and no proceeding for that
purpose is pending or threatened by the SEC; and
(iv) as of the date of such Market-Making Registration
Statement, amendment or supplement, as applicable, such
Market-Making Registration Statement, the Prospectus and any Issuer
Free Writing Prospectus, as amended or supplemented, if applicable,
did not include any untrue statement of a material fact and did not
omit to state a material fact required to be stated therein or
necessary to make the statements therein not misleading.
(f) The Issuer, on the one hand, and each Market-Maker severally
but not jointly, on the other hand, hereby agree to indemnify each
other, and, if applicable, contribute to the other, in accordance
with Section 8 of this Agreement.
(g) The Issuer will comply with the provisions of this
Section 4 at its own expense.
(h) The agreements contained in this Section 4 and the
representations, warranties and agreements contained in this
Agreement shall survive all offers and sales of the Registrable
Securities or Exchange Securities (or the Existing Notes if they
were covered by the Market-Making Registration Statement) and shall
remain in full force and effect, regardless of any termination or
cancellation of agreements outside this Section 4 of this
Agreement or any investigation made by or on behalf of any
indemnified party.
(i) For purposes of this Section 4, any reference to the
terms "amend," "amendment" or "supplement" with respect to a
Market-Making Registration Statement or the Prospectus contained
therein or any Issuer Free Writing Prospectus shall be deemed to
refer to and include the filing under the Exchange Act of any
document deemed to be incorporated therein by reference.
5. Additional Interest
(a) The Issuer and the Initial Purchasers agree that the Holders
will suffer damages if the Issuer fails to fulfill its obligations
under Section 2 or Section 3 hereof and that it would not
be feasible to ascertain the extent of such damages with precision.
Accordingly, the Issuer agrees to pay, jointly and severally, as
liquidated damages, additional interest on the Notes ("
Additional Interest ") if (A) the Issuer has neither
(i) exchanged Exchange Securities for all Securities validly
tendered in accordance with the terms of the Exchange Offer nor
(ii) had a Shelf Registration Statement declared effective, in
either case on or prior to the 240th day after the Issue Date,
(B) notwithstanding clause (A), the Issuer is required to file
a Shelf Registration Statement and such Shelf Registration
Statement is not declared effective on or prior to the 240th day
after the date such Shelf Registration Statement filing was
requested or required or (C), if applicable, a Shelf
Registration has been declared effective and such Shelf
Registration ceases to be effective at any time during the
Effectiveness Period (other than because of the sale of all of the
Securities registered thereunder), then Additional Interest shall
accrue on the principal amount of the Notes at a rate of
0.25% per annum (which rate will be increased by an additional
0.25% per annum for each subsequent 90 day period that such
Additional Interest continues to accrue, provided that the rate at
which such Additional Interest accrues may in no event exceed
1.00% per annum) (such Additional Interest to be calculated by
the Issuer) commencing on the (x) 241st day after the
Issue Date, in the case of (A)
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above, (y) the 241st day after the date such
Shelf Registration Statement filing was requested or required in
the case of (B) above or (z) the day such Shelf
Registration ceases to be effective in the case of (C) above;
provided , however , that upon the exchange of
the Exchange Securities for all Securities tendered (in the case of
clause (A) of this Section 5), upon the effectiveness of
the applicable Shelf Registration Statement (in the case of
(B) of this Section 5), or upon the effectiveness of the
applicable Shelf Registration Statement which had ceased to remain
effective (in the case of (C) of this Section 5),
Additional Interest on the Notes in respect of which such events
relate as a result of such clause (or the relevant subclause
thereof), as the case may be, shall cease to accrue.
Notwithstanding any other provisions of this Section 5, the
Issuer shall not be obl
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