REVOLVING CREDIT
AGREEMENT
Dated as of September 10,
2008
HARRIS CORPORATION and certain
of
its Subsidiaries from time to time,
THE LENDERS FROM TIME TO TIME
PARTY HERETO ,
SUNTRUST BANK,
as Administrative Agent, L/C Issuer and Swingline
Lender,
BANK OF AMERICA, N.A.
,
as Syndication Agent
CITIBANK, N.A., JPMORGAN CHASE
BANK, N.A.
and HSBC BANK USA, NATIONAL ASSOCIATION ,
as Co-Documentation Agents
SUNTRUST ROBINSON HUMPHREY,
INC.,
as Lead Arranger and Book Manager
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Page
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ARTICLE I. DEFINITIONS AND ACCOUNTING
TERMS
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1
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1
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1.02 Other Interpretive Provisions
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20
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20
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21
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1.05 References to Agreements and
Laws
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21
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1.06 Currency Translations
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21
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ARTICLE II. THE COMMITMENTS AND CREDIT
EXTENSIONS
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22
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22
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2.02 Borrowings, Conversions and Continuations
of Revolving Loans
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22
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24
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31
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2.05 Optional Reduction or Termination of
Commitments
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32
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32
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33
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33
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2.09 Computation of Interest and Fees
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34
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34
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35
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37
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2.13 Swingline Commitment
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38
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2.14 Procedure for Swingline Borrowing;
Etc
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38
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2.15 Increase in Commitments; Additional
Lenders
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39
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2.16 Subsidiary Borrowers
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40
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ARTICLE III. TAXES, YIELD PROTECTION AND
ILLEGALITY
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42
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42
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44
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3.03 Inability to Determine Rates
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44
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3.04 Increased Cost and Reduced Return; Capital
Adequacy Reserves on Eurocurrency Rate Loans
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45
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46
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3.06 Matters Applicable to all Requests for
Compensation
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47
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3.07 Additional Interest Costs
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47
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48
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3.09 Change in Lending Office; Limitation on
Increased Costs
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48
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ARTICLE IV. CONDITIONS PRECEDENT TO CREDIT
EXTENSIONS
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48
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4.01 Conditions of Initial Credit
Extension
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48
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4.02 Conditions to all Credit
Extensions
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50
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ARTICLE V. REPRESENTATIONS AND
WARRANTIES
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50
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-i-
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Page
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5.01 Existence, Qualification
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50
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5.02 Authorization; No Contravention
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50
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5.03 Governmental Authorization
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51
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51
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5.05 Financial Statements; No Material Adverse
Change
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51
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51
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51
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52
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5.09 Margin Regulations; Investment Company
Act
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52
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53
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53
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5.12 Intellectual Property; License,
Etc
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53
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53
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53
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53
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54
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ARTICLE VI. AFFIRMATIVE COVENANTS
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54
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6.01 Reporting Requirements
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54
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56
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6.03 Compliance with Laws, Etc
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56
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56
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6.05 Covenant to Secure Notes Equally
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56
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6.06 Maintenance of Properties
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56
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6.07 Maintenance of Insurance
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57
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6.08 Taxes and Other Claims
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57
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57
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58
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6.11 Compliance with ERISA
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58
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6.12 Visitation, Inspection, Etc
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58
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ARTICLE VII. NEGATIVE COVENANTS
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58
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58
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7.02 Merger, Consolidation and Sale of
Assets
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61
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62
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62
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62
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62
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7.07 Restrictive Agreements
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63
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7.08 Hedging Transactions
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63
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7.09 Unrestricted Subsidiary
Investment
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63
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ARTICLE VIII. EVENTS OF DEFAULT AND
REMEDIES
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63
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ARTICLE IX. ADMINISTRATIVE AGENT
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67
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9.01 Appointment and Authorization of
Administrative Agent
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67
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9.02 Delegation of Duties
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67
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-ii-
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Page
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9.03 Liability of Administrative
Agent
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67
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9.04 Reliance by Administrative Agent
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68
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68
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9.06 Credit Decision; Disclosure of Information
by Administrative Agent
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69
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9.07 Indemnification of Administrative
Agent
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69
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9.08 Administrative Agent in its Individual
Capacity
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70
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9.09 Successor Administrative Agent
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70
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9.10 Other Agents; Lead Managers
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70
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71
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9.12 Administrative Agent May File Proofs of
Claim
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71
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72
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72
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10.02 Notices and Other Communications;
Facsimile Copies; General
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73
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10.03 No Waiver; Cumulative Remedies
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74
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10.04 Attorney Costs, Expenses and
Taxes
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74
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10.05 Indemnification by the
Borrowers
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75
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76
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10.07 Successors and Assigns
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76
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79
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80
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10.10 Interest Rate Limitation
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80
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81
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81
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10.13 Survival of Representations and
Warranties
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81
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81
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10.15 Removal and Replacement of
Lenders
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82
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82
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10.17 Waiver of Right to Trial by
Jury
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83
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10.18 Waiver of Right to Consequential
Damages
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83
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83
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84
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10.21 Location of Closing
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84
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10.22 Currency Conversion
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84
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85
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85
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10.25 Unrestricted Subsidiaries
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85
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ARTICLE XI. COMPANY GUARANTY
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86
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86
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86
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11.03 Benefit of Guaranty
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87
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11.04 Waiver of Subrogation, Etc
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87
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11.05 Election of Remedies
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87
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11.06 Liability Cumulative
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88
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-iii-
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Mandatory
Cost
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Commitments
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Existing
Letters of Credit
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Litigation
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Eurocurrency
and Domestic Lending Offices, Addresses for Notices
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Form of
Revolving Loan Notice
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Form of
Swingline Notice
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Form of
Assignment and Acceptance
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Form of
Compliance Certificate
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Form of Closing
Date Opinion of Counsel (content summary)
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-iv-
REVOLVING CREDIT
AGREEMENT
This REVOLVING
CREDIT AGREEMENT (this “ Agreement ”) is made
and entered into as of September 10, 2008, by and among HARRIS
CORPORATION, a Delaware corporation (the “ Company
,” and together with all Subsidiary Borrowers (as defined
below) from time to time, the “ Borrowers ”),
each lender from time to time party hereto (collectively, the
“ Lenders ” and individually, a “
Lender ”), and SUNTRUST BANK, in its capacity as
administrative agent for the Lenders (the “ Administrative
Agent ”), as an issuing bank for letters of credit and as
swingline lender (the “ Swingline Lender
”).
WHEREAS ,
the Company has requested that the Lenders provide a $750,000,000
revolving credit facility in favor of the Borrowers;
WHEREAS ,
subject to the terms and conditions of this Agreement, the Lenders,
the L/C Issuers (as defined below) and the Swingline Lender to the
extent of their respective Commitments as defined herein, are
willing severally to establish the requested revolving credit
facility, letter of credit subfacility and the swingline
subfacility in favor of the Borrowers.
NOW
THEREFORE , in consideration of the mutual covenants and
agreements herein contained and for other good and valuable
consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto covenant and agree as
follows:
ARTICLE I.
DEFINITIONS AND ACCOUNTING TERMS
1.01 Defined
Terms. As used in this Agreement, the following terms shall
have the meanings set forth below:
“
Acquisition ” means the acquisition of (a) a
controlling equity interest in another Person (including the
purchase of an option, warrant or convertible or similar type
security to acquire such a controlling interest at the time it
becomes exercisable by the holder thereof), whether by purchase of
such equity interest or upon exercise of an option or warrant for,
or conversion of securities into, such equity interest, or
(b) assets of another Person which constitute all or
substantially all of the assets of such Person or a line or lines
of business conducted by such Person.
“
Additional Commitment Amount ” has the meaning set
forth in Section 2.15(a) .
“
Additional Lender ” has the meaning set forth in
Section 2.15(b) .
“
Administrative Agent ” means SunTrust Bank in its
capacity as administrative agent under any of the Loan Documents,
or any successor administrative agent.
“
Administrative Agent’s Office ” means the
Administrative Agent’s address and, as appropriate, account
as set forth on Schedule 10.02 , or such other address
or account as the Administrative Agent may from time to time notify
to the Company and the Lenders.
“
Affiliate ” means, as 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 be “controlled by” any other Person if such
other Person possesses, directly or indirectly, power (a) to
vote 10% or more of the securities having ordinary voting power for
the election of directors or managing general partners; or
(b) to direct or cause the direction of the management and
policies of such Person whether by contract or
otherwise.
“
Agent-Related Persons ” means the Administrative Agent
(including any successor administrative agent), together with its
Affiliates, and the officers, directors, employees, agents and
attorneys-in-fact of such Persons and Affiliates.
“
Aggregate Commitments ” shall mean, collectively, all
Commitments of all Lenders at any time outstanding.
“ Agreed
Currencies ” shall mean (a) Dollars, (b) Euro,
(c) Sterling, and (d) any other currency that is
acceptable to the Administrative Agent and each Lender.
“
Agreement ” has the meaning set forth in the first
paragraph hereof.
“
Applicable Rate ” means, from time to time, the
following percentages per annum, based upon the Senior Debt Rating
existing at such time:
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Applicable Rate
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for
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Applicable Rate
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Eurocurrency
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Applicable
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for Eurocurrency
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Rate Loans and
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Rate for Base
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Applicable
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Rate Loans and
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Letter of Credit
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Rate Loans, if
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Rate for Base
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Applicable
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Letter of Credit
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Fee, if
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Utilization
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Rate Loans, if
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Rate for
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Pricing
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Senior Debt
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Fee, if Utilization
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Utilization is
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Less than
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Utilization is
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Facility
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Level
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Ratings
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Less than 50%
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50% or More
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50%
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50% or More
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Fee
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I
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> A-/A3
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.385%
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.510%
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0.0%
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0.0%
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.115%
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II
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BBB+/Baa1
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.500%
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.625%
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0.0%
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0.0%
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.125%
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III
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BBB/Baa2
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.600%
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.725%
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0.0%
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0.0%
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.150%
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IV
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BBB-/Baa3
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.700%
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.825%
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0.0%
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0.0%
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.175%
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V
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< BB+/Ba1
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1.225%
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1.725%
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0.225%
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0.725%
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.275%
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For purposes of
the foregoing grid, “ Utilization ” shall mean,
as of any date, the percentage that the aggregate Revolving Credit
Exposure as of such date constitutes of the Aggregate Commitments.
Initially, the Applicable Rate shall be set at Pricing Level II.
Thereafter, each change in the Applicable Rate resulting from a
publicly announced change in the Senior Debt Rating shall be
effective, in the case of either an upgrade or a downgrade, during
the period commencing on the date of public announcement thereof
and ending on the date immediately preceding the effective date of
the next such change. If neither Moody’s nor S&P has
rated the Company, then the Applicable Rate shall be established by
reference to Pricing Level V.
-2-
“
Approved Fund ” has the meaning set forth in
Section 10.07(h) .
“
Assignment and Acceptance ” means an Assignment and
Acceptance substantially in the form of Exhibit C
.
“
Attorney Costs ” means and includes all fees and
disbursements of any law firm or other external counsel and all
disbursements of internal counsel.
“
Attributable Indebtedness ” means, on any date, in
respect of any Synthetic Lease Obligation, the capitalized amount
of any remaining lease payments under the relevant lease that would
appear on a balance sheet of such Person prepared as of such date
in accordance with GAAP if such lease were accounted for as a
capital lease.
“ Audited
Financial Statements ” means the audited consolidated
balance sheet of the Company and its Subsidiaries for the fiscal
year ended June 27, 2008, and the related consolidated
statements of income and cash flows for such fiscal
year.
“ Base
Rate ” means for any day a fluctuating rate per annum
equal to the higher of (a) the Federal Funds Rate plus 1/2 of 1%
and (b) the rate of interest in effect for such day as
publicly announced from time to time by SunTrust Bank as its prime
lending rate for Dollars. Such rate is a rate set by SunTrust Bank
based upon various factors, including SunTrust Bank’s costs
and desired return, general economic conditions and other factors,
and is used as a reference point for pricing some loans, which may
be priced at, above, or below such announced rate. The SunTrust
Bank prime lending rate is a reference rate and does not
necessarily represent the lowest or best rate actually charged to
any customer. SunTrust Bank may make commercial loans or other
loans at rates of interest at, above, or below the SunTrust Bank
prime lending rate. Any change in such rate announced by SunTrust
Bank shall take effect at the opening of business on the day
specified in the public announcement of such change.
“ Base
Rate Loan ” means a Revolving Loan that bears interest
based on the Base Rate.
“
Board ” means the Board of Governors of the Federal
Reserve System of the United States of America.
“
Borrowers ” has the meaning set forth in the
introductory paragraph hereto.
“
Borrowing ” means Loans (including one or more
Swingline Loans) of the same Type and Agreed Currency, made,
converted or continued on the same date to the same Borrower and,
in the case of Eurocurrency Rate Loans, as to which a single
Interest Period is in effect.
“
Business Day ” means any day that is not a Saturday,
Sunday or other day on which commercial banks are authorized or
required by law to remain closed in the state where the
Administrative Agent’s Office is located; provided
that, when used in connection with a Eurocurrency Rate Loan, the
term “ Business Day ” shall also exclude
(a) any day on which banks are not open for dealings in
deposits in the Agreed Currency in London, England and in the
interbank or other market used to determine the interest rate
thereon and (b) with respect to all Eurocurrency Rate Loans
denominated in Euro, on which TARGET is not open for the settlement
of payments in Euro.
-3-
“
Calculation Date ” shall mean the last Business Day of
each calendar quarter.
“ Cash
Collateral ” means to pledge and deposit with or deliver
to the Administrative Agent, for the benefit of the L/C Issuers and
the Lenders, as collateral for the L/C Exposure, cash or deposit
account balances pursuant to documentation in form and substance
satisfactory to the Administrative Agent and the L/C Issuers (which
documents are hereby consented to by the Lenders). Derivatives of
such term shall have the corresponding meaning. The Borrowers
hereby grant the Administrative Agent, for the benefit of the L/C
Issuers and the Lenders, a Lien on all such cash and deposit
account balances. Cash collateral shall be maintained in blocked,
non-interest bearing deposit accounts at SunTrust Bank, or other
institutions satisfactory to the Required Lenders.
“ Change
of Control ” means, with respect to any Person, an event
or series of events by which:
(a) any
“person” or “group” (as such terms are used
in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934,
but excluding any employee benefit plan of such person or its
subsidiaries, or any person or entity acting in its capacity as
trustee, agent or other fiduciary or administrator of any such
plan), becomes the “beneficial owner” (as defined in
Rules 13d-3 and 13d-5 under the Securities Exchange Act of
1934, except that such a person or group shall be deemed to have
“beneficial ownership” of all securities that such
person or group has the right to acquire (such right, “
option right ”), whether such right is exercisable
immediately or only after the passage of time), directly or
indirectly, of 25% or more of the equity securities of such Person
entitled to vote for members of the board of directors or
equivalent governing body on a fully-diluted basis (and taking into
account all such securities that such person or group has the right
to acquire pursuant to any option right); or
(b) during
any period of 12 consecutive months, a majority of the members of
the board of directors or other equivalent governing body of such
Person cease to be composed of individuals (i) who were
members of that board or equivalent governing body on the first day
of such period, (ii) whose election or nomination to that
board or equivalent governing body was approved by individuals
referred to in clause (i) above constituting at the time of
such election or nomination at least a majority of that board or
equivalent governing body or a duly authorized committee of such
board or governing body or (iii) whose election or nomination
to that board or other equivalent governing body was approved by
individuals referred to in clauses (i) and (ii) above
constituting at the time of such election or nomination at least a
majority of that board or equivalent governing body. For purposes
of determining a majority of the members of the board of directors
or other equivalent governing body, vacant seats shall not be
included.
“ Closing
Date ” means the first date all the conditions precedent
in Section 4.01 are satisfied or waived in accordance
with Section 4.01 (or, in the case of
Section 4.01(b) , waived by the Person entitled to
receive the applicable payment).
“
Code ” means the Internal Revenue Code of 1986, as
amended from time to time.
“
Commitment ” means, as to each Lender, its obligation
(a) to make Revolving Loans to the Borrower pursuant to
Section 2.01 and (b) to purchase participations in
L/C Exposure and
-4-
Swingline
Loans, in an aggregate principal amount at any one time outstanding
not to exceed the amount set forth opposite such Lender’s
name on Schedule 2.01 , as such amount may be reduced
or adjusted from time to time in accordance with this
Agreement.
“
Commonly Controlled Entity ” means an entity, whether
or not incorporated, which is under common control with the Company
within the meaning of Section 4001 of ERISA or is part of a
group which includes the Company and which is treated as a single
employer under Section 414 of the Code.
“
Company ” has the meaning set forth in the
introductory paragraph hereto.
“
Compliance Certificate ” means a certificate
substantially in the form of Exhibit D .
“
Consolidated EBIT ” means, for any period, for the
Company and its Restricted Subsidiaries determined on a
consolidated basis in accordance with GAAP, an amount equal to the
sum of (a) Consolidated Net Income for such period plus
(b) to the extent deducted in determining Consolidated Net
Income for such period, (i) Consolidated Interest Charges,
(ii) income tax expense determined on a consolidated basis in
accordance with GAAP, (iii) other non-cash losses or
deductions (including purchased in-process research and
development, impairment charges, expensing of stock options or
stock awards, write-offs or restructuring charges), but excluding
all depreciation and amortization and (iv) fees, costs,
write-offs and other expenses associated with any
Acquisition.
“
Consolidated EBITDA ” means, for any period, for the
Company and its Restricted Subsidiaries determined on a
consolidated basis in accordance with GAAP, an amount equal to the
sum of (a) Consolidated Net Income for such period plus
(b) to the extent deducted in determining Consolidated Net
Income for such period, (i) Consolidated Interest Charges,
(ii) income tax expense, (iii) depreciation and
amortization, determined on a consolidated basis in accordance with
GAAP, (iv) other non-cash losses or deductions (including
purchased in-process research and development, impairment charges,
expensing of stock options or stock awards, write-offs or
restructuring charges), and (v) fees, costs, write-offs and
other expenses associated with any Acquisition.
“
Consolidated Interest Charges ” means, for any period,
for the Company and its Restricted Subsidiaries determined on a
consolidated basis in accordance with GAAP, total interest expense
with respect to Debt including, without limitation, the interest
component of any payments in respect of capital leases capitalized
or expensed during such period (whether or not actually paid during
such period).
“
Consolidated Net Income ” means, for any period, for
the Company and its Restricted Subsidiaries determined on a
consolidated basis in accordance with GAAP, the net income (or
loss) of the Company and its Restricted Subsidiaries for such
period determined on a consolidated basis in accordance with GAAP,
but excluding therefrom (to the extent otherwise included therein)
(a) any non-cash extraordinary gains or losses, (b) any
gains attributable to write-ups of assets, (c) any equity
interest of the Company or any Restricted Subsidiary in the
unremitted earnings of any Person that is not a Subsidiary, and
(d) any net income (or loss) attributable to an Unrestricted
Subsidiary.
-5-
“
Consolidated Net Interest Expense ” means, for any
period, for the Company and its Restricted Subsidiaries determined
on a consolidated basis in accordance with GAAP, (a) Consolidated
Interest Charges less (b) interest income of the Company and
its Restricted Subsidiaries for such period.
“
Consolidated Total Assets ” means, at any time, the
total consolidated assets of the Company and its Restricted
Subsidiaries determined on a consolidated basis in accordance with
GAAP, as reflected on the Company’s consolidated balance
sheet as of the last day of the fiscal quarter ending on or before
the date of determination, after eliminating all amounts properly
attributable to minority interests, if any, in the stock and
surplus of Restricted Subsidiaries.
“
Consolidated Total Indebtedness ” means, at any time,
without duplication, the sum of (a) all amounts which would be
included as Debt of the Company and its Restricted Subsidiaries
determined on a consolidated basis in accordance with GAAP at such
time, plus (b) the amount of Attributable Indebtedness
of the Company and its Restricted Subsidiaries at such
time.
“ Credit
Extension ” means (a) a Revolving Borrowing or a
Swingline Borrowing and (b) an L/C Credit
Extension.
“
Debt ” means, as to any Person at any date, without
duplication, (a) all indebtedness of such Person for borrowed
money or for the deferred purchase price of property or services in
respect of which such Person is liable, contingently or otherwise,
as obligor, guarantor or otherwise, or in respect of which such
Person otherwise assures a creditor against loss, (other than
current liabilities incurred in the ordinary course of business and
payable in accordance with customary practices) or which is
evidenced by a note, bond, debenture or similar instrument, (b) all
obligations of such Person under any lease of property, real or
personal, the obligations of the lessee in respect of which are
required in accordance with GAAP to be capitalized on a balance
sheet of the lessee and (c) all Synthetic Lease
Obligations.
“ Debtor
Relief Laws ” means the Bankruptcy Code of the United
States of America, and all other liquidation, conservatorship,
bankruptcy, assignment for the benefit of creditors, moratorium,
rearrangement, receivership, insolvency, reorganization, or similar
debtor relief Laws of the United States of America or other
applicable jurisdictions from time to time in effect and affecting
the rights of creditors generally.
“
Default ” means any event that, with the giving of any
notice, the passage of time, or both, would be an Event of
Default.
“ Default
Rate ” means an interest rate equal to (a) with
respect to Base Rate Loans, the Base Rate plus 2% per annum;
(b) with respect to Eurocurrency Rate Loans, the applicable
Eurocurrency Rate plus the Applicable Rate applicable to
Eurocurrency Rate Loans plus 2% per annum; provided ,
however , that for any Eurocurrency Rate Loans, at the end
of the applicable Interest Period, interest shall accrue at the
Base Rate plus 2% per annum, and (c) with respect to
Swingline Loans, the Base Rate (or if greater such other rate as
agreed to by the Borrower and the Swingline Lender with respect to
such Swingline Loans) plus 2% per annum, in each case to the
fullest extent permitted by applicable Laws.
-6-
“
Divestiture ” has the meaning set forth in
Section 7.02(b) .
“
Dollar(s) ” and the sign “ $
” shall mean lawful money of the United States of
America.
“ Dollar
Equivalent ” means, on any date of determination
(a) with respect to any amount denominated in Dollars, such
amount, and (b) with respect to any amount denominated in any
currency other than Dollars, the equivalent in Dollars of such
amount, determined by the Administrative Agent using the applicable
Exchange Rate with respect to such currency at the time in effect
pursuant to Section 10.23 or as otherwise expressly
provided herein.
“ EMU
” means the economic and monetary union as contemplated in
the Treaty on European Union, as amended and in effect from time to
time.
“ EMU
Legislation ” means legislative measures of the European
Council for the introduction of, changeover to, or operation of, a
single or unified European currency (whether known as the Euro or
otherwise), being in part the implementation of the third stage of
EMU.
“
Eligible Assignee ” has the meaning specified in
Section 10.07(h) .
“
Eligible Restricted Subsidiary ” means any Restricted
Subsidiary wholly owned, directly or indirectly, by the Company and
organized in the United States, Canada or the United Kingdom (or
such other jurisdiction as all Lenders shall approve in
writing).
“
Environmental Laws ” means any and all Federal, state,
local or municipal laws, rules, orders, regulations, statutes,
ordinances, codes, decrees or requirements of any Governmental
Authority regulating, relating to or imposing liability or
standards of conduct concerning environmental protection matters
(including, without limitation, any hazardous materials, hazardous
wastes, hazardous constituents, hazardous or toxic substances or
petroleum products (including crude oil or any fraction thereof))
as now or at any time hereafter in effect.
“
ERISA ” means the Employee Retirement Income Security
Act of 1974 and any regulations promulgated thereunder.
“ ERISA
Event ” means (a) a Reportable Event with respect to
a Pension Plan; (b) a withdrawal by the Company or any
Commonly Controlled Entity from a Pension Plan subject to
Section 4063 of ERISA during a plan year in which it was a
substantial employer (as defined in Section 4001(a)(2) of
ERISA) or a cessation of operations that is treated as such a
withdrawal under Section 4062(e) of ERISA; (c) a complete
or partial withdrawal by the Company or any Commonly Controlled
Entity from a Multiemployer Plan or notification that a
Multiemployer Plan is in reorganization; (d) with respect to a
Pension Plan or Multiemployer Plan that does not hold assets that
equal or exceed its liabilities, the filing of a notice of intent
to terminate under Section 4041(a)(2) of ERISA if the Pension
Plan’s liabilities exceed its assets as of the date of the
filing of such notice, the treatment of a Plan amendment as a
termination under Sections 4041 or 4041A of ERISA, or the
commencement of proceedings by the PBGC to terminate such Pension
Plan or Multiemployer Plan; (e) an event or condition which
might reasonably be expected to constitute grounds under
Section 4042(a)(1)-(3) of ERISA for the termination of, or the
appointment of a trustee to administer, any Pension Plan or
Multiemployer Plan; or (f) the
-7-
imposition of
any liability under Title IV of ERISA, other than PBGC premiums due
but not delinquent under Section 4007 of ERISA, upon the
Company or any Commonly Controlled Entity that would cause a
Material Adverse Effect.
“
Euro ” and the sign “ € ”
shall mean the single currency of the European Union as constituted
by the Treaty on European Union and as referred to in the EMU
Legislation for the introduction of, changeover to or operation of
the Euro in one or more Participating Member States.
“
Eurocurrency Reserve Rate ” means the aggregate of the
maximum reserve percentages (including any marginal, special,
emergency or supplemental reserves) expressed as a decimal
established by the Board to which the Administrative Agent is
subject for eurocurrency funding (currently referred to as
“Eurocurrency Liabilities” in Regulation D of the
Board). Such reserve percentages shall include those imposed
pursuant to such Regulation D. Eurocurrency Rate Loans shall
be deemed to constitute eurocurrency funding and to be subject to
such reserve requirements without benefit of or credit for
proration, exemptions or offsets that may be available from time to
time to any Lender under such Regulation D or any comparable
regulation. The Eurocurrency Reserve Rate shall be adjusted
automatically on and as of the effective date of any change in any
reserve percentage.
“
Eurocurrency Rate ” means, with respect to each
Interest Period for a Eurocurrency Rate Loan, the rate per
annum obtained by dividing (a) LIBOR for such Interest Period
by (b) a percentage equal to 1.00 minus the daily
average Eurocurrency Reserve Rate for such Interest
Period.
“
Eurocurrency Rate Loan ” means a Loan that bears
interest at a rate based on the Eurocurrency Rate.
“ Event
of Default ” has the meaning specified in
Article VIII .
“
Exchange Rate ” means on any day, with respect to any
Agreed Currency, the rate at which such currency may be exchanged
into Dollars, as set forth at approximately 11:00 A.M. on such
day on the applicable page of the Bloomberg Service reporting the
exchange rates for such Agreed Currency. In the event such exchange
rate does not appear on the applicable page of such service, the
Exchange Rate shall be determined by reference to such other
publicly available services for displaying currency exchange rates
as may be agreed upon by the Administrative Agent and the Company,
or, in the absence of such agreement, such Exchange Rate shall
instead be determined by the Administrative Agent based on current
market spot rates in accordance with the provisions of
Section 10.23 ; provided that if at the time of
any such determination, for any reason, no such spot rate is being
quoted, the Administrative Agent, after consultation with the
Company, may use any reasonable method it deems appropriate to
determine such rate, and such determination shall be conclusive
absent manifest error.
“
Excluded Taxes ” means in the case of the
Administrative Agent or any Lender (a) taxes imposed on or
measured by its net income, and franchise taxes imposed on it (in
lieu of net income taxes), by the jurisdiction (or any political
subdivision thereof) under the Laws of which the Administrative
Agent or such Lender, as the case may be, is organized or maintains
a lending
-8-
office,
(b) taxes imposed as a result of a present or former
connection between the jurisdiction of the government or taxing
authority imposing such tax (or any political subdivision or taxing
authority thereof or therein) and the Administrative Agent or such
Lender (excluding a connection arising principally as a result of
the Administrative Agent or such Lender having executed, delivered
or performed its obligations or received a payment under, or
enforced, any Loan Document or the designation by the Company of
any Borrower after the Closing Date), and (c) in the case of a
Foreign Lender, any withholding tax that (i) is imposed on
amounts payable to such Foreign Lender at the time such Foreign
Lender becomes a party to this Agreement, (ii) is imposed on
amounts payable to such Foreign Lender at any time that such
Foreign Lender designates a new lending office, other than taxes
that have accrued prior to the designation of such lending office
that are otherwise not Excluded Taxes, and (iii) is
attributable to such Foreign Lender’s failure to comply with
Section 3.01(e).
“
Existing Credit Facility ” means that certain
Revolving Credit Agreement, dated as of March 31, 2005, by and
among the Company, the lenders party thereto, and SunTrust Bank as
administrative agent, L/C issuer and swingline lender and the other
parties thereto, as amended or modified from time to time prior to
the date hereof.
“
Existing Letters of Credit ” means the letters of
credit issued and outstanding under the Existing Credit Facility as
set forth on Schedule 2.03 .
“ Federal
Funds Rate ” shall mean, for any day, the rate per annum
(rounded upwards, if necessary, to the next 1/100
th of 1%) equal to the weighted average of the
rates on overnight Federal funds transactions with member banks of
the Federal Reserve System arranged by Federal funds brokers, as
published by the Federal Reserve Bank of New York on the next
succeeding Business Day or if such rate is not so published for any
Business Day, the Federal Funds Rate for such day shall be the
average rounded upwards, if necessary, to the next 1/100th of 1% of
the quotations for such day on such transactions received by the
Administrative Agent from three Federal funds brokers of recognized
standing selected by the Administrative Agent.
“ Fee
Letter ” means that certain fee letter, dated as of
July 7, 2008, executed by SunTrust Robinson Humphrey, Inc. and
SunTrust Bank, and accepted by the Company.
“ Foreign
Currency ” shall mean any Agreed Currency other than
Dollars.
“ Foreign
Currency Sublimit ” means an amount equal to
$150,000,000.
“ Foreign
Lender ” means each Lender that is a “foreign
corporation, partnership or trust” within the meaning of the
Code.
“
GAAP ” means generally accepted accounting principles
set forth in the opinions and pronouncements of the Accounting
Principles Board and the American Institute of Certified Public
Accountants and statements and pronouncements of the Financial
Accounting Standards Board or such other principles as may be
approved by a significant segment of the accounting profession,
that are applicable to the circumstances as of the date of
determination, consistently applied.
-9-
“
Government Contract ” means any agreement or contract
with or made at the request of any Governmental
Authority.
“
Governmental Authority ” means any nation or
government, any state or other political subdivision thereof, any
agency, authority, department, instrumentality, commission,
regulatory body, court, administrative tribunal, central bank or
other entity exercising executive, legislative, judicial, taxing,
regulatory or administrative powers or functions of or pertaining
to government.
“
Hazardous Materials ” means any hazardous materials,
hazardous wastes, hazardous constituents, hazardous or toxic
substances or petroleum products (including crude oil or any
fraction thereof), defined or regulated as such in or under any
Environmental Law.
“ Hedging
Arrangements ” means (a) any and all rate swap
transactions, basis swaps, credit derivative transactions, forward
rate transactions, commodity swaps, commodity options, forward
commodity contracts, equity or equity index swaps or options, bond
or bond price or bond index swaps or options or forward bond or
forward bond price or forward bond index transactions, interest
rate options, forward foreign exchange transactions, cap
transactions, floor transactions, collar transactions, currency
swap transactions, cross-currency rate swap transactions, currency
options, spot contracts, or any other similar transactions or any
combination of any of the foregoing (including any options to enter
into any of the foregoing), whether or not any such transaction is
governed by or subject to any master agreement, and (b) any
and all transactions of any kind, and the related confirmations,
which are subject to the terms and conditions of, or governed by,
any form of master agreement published by the International Swaps
and Derivatives Association, Inc., any International Foreign
Exchange Master Agreement, or any other master agreement (any such
master agreement, together with any related schedules, a “
Master Agreement ”), including any such obligations or
liabilities under any Master Agreement.
“ Hostile
Acquisition ” means (a) any transaction which is
subject to Section 13(d) (other than an Investment Transaction) or
Section 14(d) of the Securities Exchange Act of 1934, unless, prior
to the time such transaction becomes subject to such Section 13(d)
or 14(d), the board of directors or other governing body of the
acquiree has adopted a resolution approving such transaction and
approving any “change of control” with respect to such
Person whereby the Company may acquire control of such Person, and
(b) any purchase or attempt to purchase, any Person by means
of a public debt or equity tender offer or other unsolicited
takeover (or the equivalent thereof in any jurisdiction), or any
attempt to engage in a proxy contest (or the equivalent thereof in
any jurisdiction) for control of the board of directors (or the
functional equivalent thereof) of any Person, in either case which
has not been approved and recommended by the board of directors (or
the functional equivalent thereof) of the Person being acquired or
proposed to be acquired or which is the subject of such proxy
contest. For purposes of this definition, (x) a “change
of control” means, for any Person, an Acquisition with
respect to such Person and (y) an “ Investment
Transaction ” means a transaction subject to
Section 13(d), but not Section 16, of the Securities
Exchange Act of 1934, provided that in connection with such
a transaction, the Company or any applicable Subsidiary (as the
case may be) has reported and at all times continues to report to
the Securities and Exchange Commission that such transaction is
undertaken for investment purposes only and not for any of the
purposes specified in clauses 4(a)
-10-
through (j),
inclusive, of the special instructions for complying with
Schedule 13D under the Securities Exchange Act of
1934.
“
Indemnified Liabilities ” has the meaning set forth in
Section 10.05 .
“
Indemnitees ” has the meaning set forth in
Section 10.05 .
“
Insolvency ” means, with respect to any Multiemployer
Plan, the condition that such plan is insolvent within the meaning
of Section 4245 of ERISA.
“
Interest Payment Date ” means, (a) as to any Loan
other than a Base Rate Loan, the last day of each Interest Period
applicable to such Loan; provided , however , that if
any Interest Period for a Eurocurrency Rate Loan exceeds three
months, the respective dates that fall every three months after the
beginning of such Interest Period shall also be Interest Payment
Dates; and (b) as to any Base Rate Loan, the last Business Day
of each March, June, September and December and the Maturity
Date.
“
Interest Period ” means (a) as to each
Eurocurrency Rate Loan, the period commencing on the date such
Eurocurrency Rate Loan is disbursed, converted to or continued as a
Eurocurrency Rate Loan and ending on the date one, two, three or
six months thereafter, or if requested by the Company and consented
to by all the Lenders, twelve months, as selected by the Company in
its Revolving Loan Notice and (b) as to any Swingline Loan,
30 days or such shorter period of time as the Swingline Lender
and the Company shall mutually agree, provided
that:
(i) any Interest
Period that would otherwise end on a day that is not a Business Day
shall be extended to the next succeeding Business Day unless, in
the case of a Eurocurrency Rate Loan, such Business Day falls in
another calendar month, in which case such Interest Period shall
end on the next preceding Business Day;
(ii) any Interest
Period pertaining to a Eurocurrency Rate Loan that begins on the
last Business Day of a calendar month (or on a day for which there
is no numerically corresponding day in the calendar month at the
end of such Interest Period) shall end on the last Business Day of
the calendar month at the end of such Interest Period;
and
(iii) no Interest
Period shall extend beyond the scheduled Maturity Date.
“
Laws ” means, collectively, all international,
foreign, Federal, state and local statutes, treaties, rules,
guidelines, regulations, ordinances, codes, executive orders and
administrative or judicial precedents or authorities, including the
interpretation or administration thereof by any Governmental
Authority charged with the enforcement, interpretation or
administration thereof, and all applicable administrative orders,
directed duties, requests, licenses, authorizations and permits of,
and agreements with, any Governmental Authority, in each case
whether or not having the force of law.
“ L/C
Account Party ” shall mean, with respect to any Letter of
Credit, the Borrower for whose account such Letter of Credit was
issued.
-11-
“ L/C
Advance ” means, with respect to each Lender, an advance
made by the Lender pursuant to Section 2.03(c)(iii) in
respect of such Lender’s participation in any L/C Borrowing
in accordance with its Pro Rata Share.
“ L/C
Borrowing ” means an extension of credit resulting from a
drawing under any Letter of Credit which has not been reimbursed by
or on behalf of the applicable L/C Account Party on the date when
made or refinanced as a Borrowing.
“ L/C
Credit Extension ” means, with respect to any Letter of
Credit, the issuance thereof or extension of the expiry date
thereof, or the renewal or increase of the amount
thereof.
“ L/C
Exposure ” means, at any time, the sum of (a) the
aggregate undrawn amount of all outstanding Letters of Credit and
(b) the aggregate amount of all L/C Borrowings that have not
yet been reimbursed by or on behalf of the applicable L/C Account
Parties at such time.
“ L/C
Issuer ” means SunTrust Bank or any other Lender
acceptable to the Company and the Administrative Agent, in its
capacity as an issuer of Letters of Credit hereunder, or any
successor thereto.
“ L/C
Sublimit ” means an amount equal to
$125,000,000.
“
Lender ” has the meaning specified in the introductory
paragraph hereto and, as the context requires, includes each L/C
Issuer, the Swingline Lender and each Additional Lender that joins
this Agreement pursuant to Section 2.15 .
“ Lending
Office ” means, as to any Lender, the office or offices
of such Lender described as such on Schedule 10.02 , or
such other office or offices as a Lender may from time to time
notify the Company and the Administrative Agent.
“ Letter
of Credit ” means any letter of credit issued hereunder
and any of the Existing Letters of Credit. A Letter of Credit may
be a commercial letter of credit or a standby letter of
credit.
“ Letter
of Credit Application ” means an application and
agreement for the issuance or amendment of a letter of credit
hereunder in the form from time to time in use by the applicable
L/C Issuer.
“ Letter
of Credit Subfacility Expiration Date ” means the day
that is seven days prior to the Maturity Date (or, if such day is
not a Business Day, the next preceding Business Day).
“
LIBOR ” shall mean (a) for any Interest Period
with respect to a Eurocurrency Rate Loan denominated in Dollars,
the rate per annum (rounded upwards, if necessary, to the nearest
1/100 of 1%) appearing on Reuters Screen LIBOR01 Page (or any
successor page) as the London interbank offered rate for deposits
in Dollars at approximately 11:00 a.m. (London, England time),
two Business Days prior to the first day of such Interest Period
for a term comparable to such Interest Period, (b) for any
Interest Period with respect to any Eurocurrency Rate Loan
denominated in Euros, the rate per annum (rounded upwards if
necessary, to the nearest 1/100 of 1%) appearing on Page 248 of the
Moneyline Telerate Service (or any successor page) as
the
-12-
London
interbank offered rate for deposits in Euros, (c) for any
Interest Period with respect to any Eurocurrency Rate Loan
denominated in Sterling, the rate per annum (rounded upwards if
necessary, to the nearest 1/100 of 1%) appearing on that page of
Reuters, Bloomberg reporting service (as then being used by the
Administrative Agent to obtain such interest rate quotes) that
displays British Bankers’ Association interest settlement
rates for deposits in Sterling, (d) for any Interest Period
with respect to any Eurocurrency Rate Loan denominated in any other
Agreed Currencies, the rate per annum (rounded upwards if
necessary, to the nearest 1/100 of 1%) appearing on that page of
Reuters, Bloomberg reporting service (as then being used by the
Administrative Agent to obtain such interest rate quotes) that
displays British Bankers’ Association interest settlement
rates for deposits in the applicable Agreed Currency of such
Borrowing, in each case at approximately 11:00 a.m. (London,
England time), two Business Days prior to the first day of such
Interest Period for a term comparable to such Interest Period, and
(e) if for any reason any of the foregoing rates are not
available for any Interest Period, the rate per annum reasonably
determined by the Administrative Agent as the rate of interest at
which deposits in the applicable Agreed Currency in the approximate
amount of the Eurocurrency Rate Loan comprising part of such
borrowing would be offered by the Administrative Agent to major
banks in the London interbank Eurodollar market at their request at
or about 10:00 a.m. two Business Days prior to the first day
of such Interest Period for a term comparable to such Interest
Period.
“
Lien ” means any mortgage, pledge, security interest,
assignment, deposit arrangement, encumbrance, lien (statutory or
otherwise), preference, priority or charge of any kind or nature
whatsoever (including, without limitation, any agreement to give
any of the foregoing, any conditional sale or other title retention
agreement, the filing of or agreement to give any financing
statement under the Uniform Commercial Code of any jurisdiction or
any other similar recording or notice statute, and any lease having
substantially the same effect as any of the foregoing).
“
Loan ” means an extension of credit by a Lender to a
Borrower under Article II in the form of a Revolving
Loan or a Swingline Loan.
“ Loan
Documents ” means this Agreement, the Fee Letter, each
Request for Credit Extension, each Compliance Certificate, any
promissory notes issued pursuant to this Agreement and any and all
other instruments, documents and agreements executed by any
Borrower in connection with any of the foregoing.
“ Margin
Stock ” has the meaning set forth in Regulation U
issued by the Board.
“
Mandatory Cost ” shall mean any addition to the
applicable interest rate per annum determined in accordance with
Schedule I .
“
Material Adverse Effect ” means a material adverse
effect on (a) the business, assets, operations, property,
condition (financial or otherwise), or results of operations of the
Company and its Restricted Subsidiaries taken as a whole,
(b) the ability of the Borrowers to perform their obligations
under any Loan Document or (c) the validity or enforceability
of any Loan Document or the rights or remedies of the Lenders
hereunder or thereunder.
-13-
“
Material Subsidiary ” means, at any time, any
Restricted Subsidiary of the Company, the assets of which represent
10% or more of Consolidated Total Assets (or the equivalent thereof
in another currency), based upon the most recent financial
statements delivered to the Administrative Agent pursuant to
Sections 6.01(a) and (b) .
“
Maturity Date ” means (a) September 10,
2013, or (b) such earlier date upon which the Commitments are
terminated in accordance with the terms hereof.
“
Moody’s ” means Moody’s Investors Service,
Inc. and any successor thereto.
“
Multiemployer Plan ” means a multiemployer plan of the
type described in Section 4001(a)(3) of ERISA, to which the
Company or any Commonly Controlled Entity makes or is obligated to
make contributions, or during the preceding three calendar years,
has made or been obligated to make contributions.
“ Net
Worth of Unrestricted Subsidiaries ” shall mean, as of
any date, the portion of Total Shareholders’ Equity that
relates to the shareholders’ equity of Unrestricted
Subsidiaries as of such date determined in accordance with GAAP,
but without reduction for the minority interests, if any, in any
Subsidiaries thereof.
“
Obligations ” means all advances to, and debts,
liabilities, obligations, covenants and duties of, the Borrowers
arising under any Loan Document, whether direct or indirect
(including those acquired by assumption), absolute or contingent,
due or to become due, now existing or hereafter arising and
including interest that accrues after the commencement by or
against the Company or any of its Restricted Subsidiaries of any
proceeding under any Debtor Relief Laws naming such Person as the
debtor in such proceeding.
“
Organization Documents ” means, (a) with respect
to any corporation, the certificate or articles of incorporation
and the bylaws; (b) with respect to any limited liability
company, the articles of formation and operating agreement; and
(c) with respect to any partnership, joint venture, trust or
other form of business entity, the partnership, joint venture or
other applicable agreement of formation and any agreement,
instrument, filing or notice with respect thereto filed in
connection with its formation with the secretary of state or other
department in the state of its formation, in each case as amended
from time to time.
“
Outstanding Amount ” means (a) with respect to
Revolving Loans and Swingline Loans on any date, the aggregate
outstanding principal amount thereof after giving effect to any
borrowings and prepayments or repayments of Revolving Loans and
Swingline Loans, as the case may be, occurring on such date; and
(b) with respect to any L/C Exposure on any date, the amount
of such L/C Exposure on such date after giving effect to any L/C
Credit Extension occurring on such date and any other changes in
the aggregate amount of the L/C Exposure as of such date, including
as a result of any reimbursements of outstanding unpaid drawings
under any Letters of Credit or any reductions in the maximum amount
available for drawing under Letters of Credit taking effect on such
date.
“
Overnight Foreign Currency Rate ” shall mean for any
amount payable in any Foreign Currency, the rate of interest per
annum as determined by the Administrative Agent at which overnight
or weekend deposits in such Foreign Currency (or if such amount due
remains unpaid
-14-
for more than
three Business Days, then for such other period as the
Administrative Agent may elect) for delivery in immediately
available and freely transferable funds would be offered by the
Administrative Agent to major banks in the interbank market upon
request of such major banks for the relevant currency as determined
above and in an amount comparable to the unpaid amount.
“
Participant ” has the meaning specified in
Section 10.07(d) .
“
Participating Member State ” means a member state of
the European Communities that adopts or has adopted the Euro as its
lawful currency under the legislation of the European Union for
European Monetary Union.
“ Patriot
Act ” shall have the meaning set forth in
Section 5.15 .
“
PBGC ” means the Pension Benefit Guaranty Corporation
established pursuant to Subtitle A of Title IV of ERISA.
“ Pension
Plan ” means any “employee pension benefit
plan” (as such term is defined in Section 3(2) of
ERISA), other than a Multiemployer Plan, that is subject to Title
IV of ERISA and is sponsored or maintained by the Company or any
Commonly Controlled Entity or to which the Company or any Commonly
Controlled Entity contributes or has an obligation to contribute,
or in the case of a multiple employer plan (as described in
Section 4064(a) of ERISA) has made contributions at any time
during the immediately preceding five plan years.
“
Permitted Liens ” means only those Liens permitted by
subsections (a) through (p) of Section 7.01
.
“
Person ” means any individual, trustee, corporation,
general partnership, limited partnership, limited liability
company, joint stock company, trust, unincorporated organization,
bank, business association, firm, joint venture or other legally
recognized entity or Governmental Authority.
“
Plan ” means, at a particular time, an employee
benefit plan as defined in Section 3(3) of ERISA and in respect of
which the Company or a Commonly Controlled Entity is an
“employer” as defined in Section 3(5) of ERISA, or
would be deemed a “contributing sponsor” under
Section 4069 of ERISA if such plan were terminated.
“
Properties ” has the meaning set forth in
Section 5.08 .
“ Pro
Rata Share ” means, with respect to each Lender, a
percentage, the numerator of which shall be such Lender’s
Commitment (or if such Commitments have been terminated or expired
or the Loans have been declared to be due and payable, such
Lender’s Revolving Credit Exposure), and the denominator of
which shall be the sum of such Commitments of all Lenders (or if
such Commitments have been terminated or expired or the Loans have
been declared to be due and payable, all Revolving Credit
Exposure), as such share may be adjusted as contemplated
herein.
-15-
“
Reference Banks ” means JPMorgan Chase Bank, N.A.,
CitiBank, N.A. and such other financial institutions or banks as
may be designated by the Administrative Agent in consultation with
the Company.
“
Register ” has the meaning set forth in
Section 10.07(c) .
“
Reorganization ” means, with respect to any
Multiemployer Plan, the condition that such plan is in
reorganization within the meaning of Section 4241 of
ERISA.
“
Reportable Event ” means any of the events set forth
in Section 4043(c) of ERISA, other than those events as to which
the thirty day notice period is waived under the regulations
promulgated under Section 4043 of ERISA.
“ Request
for Credit Extension ” means (a) with respect to a
Borrowing, conversion or continuation of Revolving Loans, a
Revolving Loan Notice, (b) with respect to a Swingline Loan, a
Swingline Notice, and (c) with respect to an L/C Credit
Extension, a Letter of Credit Application.
“
Required Lenders ” means, as of any date of
determination, at least two Lenders whose Voting Percentages
aggregate more than 50%.
“
Responsible Officer ” means the chief executive
officer, president, a vice president, chief financial officer,
treasurer or assistant treasurer of the Company. Any document
delivered hereunder that is signed by a Responsible Officer of the
Company shall be conclusively presumed to have been authorized by
all necessary corporate, partnership and/or other action on the
part of the Company and such Responsible Officer shall be
conclusively presumed to have acted on behalf of the
Company.
“
Restricted Subsidiary ” means any Subsidiary that is
not an Unrestricted Subsidiary.
“
Revolving Borrowing ” means a borrowing consisting of
simultaneous Revolving Loans of the same Type and having the same
Interest Period made by each of the Lenders pursuant to
Section 2.01 .
“
Revolving Credit Exposure ” shall mean, with respect
to any Lender at any time (in its capacity as a Lender and not as
an L/C Issuer or Swingline Lender), the sum of the Dollar
Equivalent of the outstanding principal amount of such
Lender’s Revolving Loans, such Lender’s Pro Rata Share
of the L/C Exposure and such Lender’s Swingline
Exposure.
“
Revolving Loan ” shall heave the meaning assigned to
such term in Section 2.01 .
“
Revolving Loan Notice ” means a notice of (a) a
Revolving Borrowing, (b) a conversion of Revolving Loans from
one Type to the other, or (c) a continuation of Revolving
Loans as the same Type, pursuant to Section 2.02(a) ,
which, if in writing, shall be substantially in the form of
Exhibit A .
“
S&P ” means Standard & Poor’s Ratings
Services, a division of The McGraw-Hill Companies, Inc., and any
successor thereto.
-16-
“
Securitization ” means any agreement or arrangement
providing for sales, transfers or conveyances to a special purpose
Subsidiary or special purpose entity of accounts receivable, notes,
chattel paper, other rights to payment and related property,
whether or not for recourse and whether or not treated as a sale
for purposes of FAS 140, but not including the sale or transfer of
a single note or notes or receivable undertaken on an isolated,
non-programmatic basis. For purposes hereof, the “applicable
amount” of any Securitization at any time shall be equal to
the greater of (a) the outstanding principal amount of any
Debt at such time incurred by the Company or any Restricted
Subsidiary pursuant to any such Securitization, or (b) the
face amount or book value (whichever is greater) of any and all
receivables, notes, chattel paper, other rights to payment and
related property sold or transferred pursuant to such
Securitization and outstanding at such time.
“ Senior
Debt Rating ” means the senior debt rating assigned to
the senior, unsecured long-term debt securities of the Company by
either S&P or Moody’s without third-party credit
enhancement, whether or not any such debt securities are actually
outstanding, and any rating assigned to any other debt security of
the Company shall be disregarded. The rating in effect on any date
is that in effect at the close of business on such date. If the
Company is split-rated and (1) the ratings differential is one
category, the higher of the two ratings will apply, (2) the
ratings differential is two categories, the rating which falls
between them shall apply or (3) the ratings differential is
three categories or more, the rating immediately above the lower of
the two ratings shall apply. If only one of S&P and
Moody’s shall have in effect a senior debt rating for the
Company, the Senior Debt Rating shall be the available
rating.
“ Single
Employer Plan ” means any plan maintained for employees
of the Company or any Commonly Controlled Entity that is subject to
Title IV of ERISA, but which is not a Multiemployer
Plan.
“
Solvent ” and “ Solvency ” means,
with respect to any Person on a particular date, that on such date
(a) the fair saleable value of the assets of such Person is
greater than the total amount of liabilities, including, without
limitation, contingent liabilities, of such Person, (b) such
Person is able to meet its obligations as those obligations mature,
and (c) such Person is not engaged in business or a
transaction for which such Person’s assets would constitute
an unreasonably small capital. The amount of contingent liabilities
at any time shall be computed as the amount that, in the light of
all the facts and circumstances existing at such time, represents
the amount that can reasonably be expected to become an actual or
matured liability.
“
Sterling ” and the sign “£ ”
shall mean the lawful currency of the United Kingdom.
“
Subsidiary ” of a Person means a corporation,
partnership, joint venture, limited liability company or other
business entity of which a majority of the shares of securities or
other interests having ordinary voting power for the election of
directors or other governing body (other than securities or
interests having such power only by reason of the happening of a
contingency) are at the time beneficially owned, or the management
of which is otherwise controlled, directly, or indirectly through
one or more intermediaries, or both, by such Person. Unless
otherwise specified, all references herein to a
“Subsidiary” or to “Subsidiaries” shall
refer to a Subsidiary or Subsidiaries of the Company.
-17-
“
Subsidiary Borrower ” means any Eligible Restricted
Subsidiary that has become a Borrower pursuant to
Section 2.16 and with respect to which no termination
of such election has occurred.
“
Subsidiary Joinder Agreement ” shall have the meaning
assigned to such term in Section 2.16(a) .
“
SunTrust Bank ” means SunTrust Bank.
“
Swingline Borrowing ” means a borrowing consisting of
a Swingline Loan from the Swingline Lender made pursuant to
Section 2.14 .
“
Swingline Commitment ” means the commitment of the
Swingline Lender to make Swingline Loans in an aggregate principal
amount at any time outstanding not to exceed the Swingline
Sublimit. The Swingline Commitment is a subfacility of, and not in
addition to, the Commitments.
“
Swingline Exposure ” means, with respect to each
Lender, the principal amount of the Swingline Loans in which such
Lender is legally obligated either to make a Base Rate Loan or to
purchase a participation in accordance with
Section 2.14 , which shall equal such Lender’s
Pro Rata Share of all outstanding Swingline Loans.
“
Swingline Lender ” means SunTrust Bank, or any other
Lender that may agree to make Swingline Loans hereunder.
“
Swingline Loan ” means a loan made to the Company by
the Swingline Lender under the Swingline Commitment.
“
Swingline Notice ” shall have the meaning assigned to
such term in Section 2.14 .
“
Swingline Sublimit ” means an amount equal to
$50,000,000.
“
Swingline Termination Date ” means the day that is
seven days prior to the Maturity Date (or, if such day is not a
Business Day, the next preceding Business Day).
“
Synthetic Lease ” shall mean a lease transaction under
which the parties intend that (i) the lease will be treated as
an “operating lease” by the lessee pursuant to
Statement of Financial Accounting Standards No. 13, as
amended; (ii) the lessee will be entitled to various tax and
other benefits ordinarily available to owners (as opposed to
lessees) of like property and (iii) upon the insolvency or
bankruptcy of such lessee, would be characterized as the
indebtedness of such lessee.
“
Synthetic Lease Obligations ” shall mean, with respect
to any Person, the sum of (i) all remaining rental obligations of
such Person as lessee under Synthetic Leases which are attributable
to principal and, without duplication, (ii) all rental and
purchase price payment obligations of such Person under such
Synthetic Leases assuming such Person exercises the option to
purchase the lease property at the end of the lease
term.
-18-
“
TARGET ” shall mean the Trans-European Automated
Real-Time Gross Settlement Express Transfer (TARGET) payment
system (or if such payment system ceases to be operative, such
other payment system, if any, reasonably determined by the
Administrative Agent to be a suitable replacement) for the
settlement of payments in Euros.
“
Threshold Amount ” means $75,000,000.
“ Total
Capital ” means, at any date, the sum of
(a) Consolidated Total Indebtedness as of such date,
plus (b) Total Shareholders’ Equity as of the
last day of the most recently ended fiscal quarter for which the
Company has or is required hereunder to have delivered its
financial statements.
“ Total
Shareholders’ Equity ” means, as of any date, the
total shareholders’ equity of the Company and its
Subsidiaries that would be reflected on the Company’s
consolidated balance sheet as of such date prepared in accordance
with GAAP, including without duplication the minority-interest in
Subsidiaries that are not wholly owned by the Company and excluding
all equity interest in the Unrestricted Subsidiaries.
“
Type ”, when used in reference to any Loan or
Borrowing, refers to whether the rate of interest on such Loan, or
on the Loans comprising such Borrowing, is determined by reference
to the Eurocurrency Rate or the Base Rate.
“
Unreimbursed Amount ” has the meaning set forth in
Section 2.03(c)(i) .
“
Unrestricted Subsidiary ” means (a) each of
Harris Stratex Networks, Inc. and its Subsidiaries and (b) any
other Subsidiary of the Company designated in writing to the
Administrative Agent as an “Unrestricted Subsidiary” in
accordance with Section 10.25 .
“ Vendor
Finance Investment ” means any loan, advance, lease
(whether structured as a capital lease or an operating lease) or
guaranty entered into by the Company or any of its Subsidiaries
pursuant to, in connection with or for the purpose of facilitating
the sale or provision of goods and services of the Company or any
of its Subsidiaries to its customers, in each case arising outside
of the ordinary course of business of the Company and its
Subsidiaries as existing on the date hereof.
“ Voting
Percentage ” means, as to any Lender, (a) at any
time prior to the Maturity Date, such Lender’s Pro Rata Share
and (b) at any time after the Maturity Date, the percentage
(carried out to the ninth decimal place) obtained by dividing
(i) the sum of (A) the outstanding amount of such
Lender’s Revolving Loans, plus (B) such
Lender’s Pro Rata Share of the Outstanding Amount of L/C
Exposure and such Lender’s Swingline Exposure, by
(ii) the Outstanding Amount of all Revolving Loans, Swingline
Exposure and L/C Exposure; provided , however , that
if any Lender has failed to fund any portion of the Revolving
Loans, participations in L/C Exposure or Swingline Exposure
required to be funded by it hereunder, such Lender’s Voting
Percentage shall be deemed to be -0-, and the respective Pro Rata
Shares and Voting Percentages of the other Lenders shall be
recomputed for purposes of this definition and the definition of
“Required Lenders” without regard to such
Lender’s Commitment or the outstanding amount of its
Revolving Loans, Swingline Loans and L/C Advances, as the case may
be.
-19-
1.02 Other
Interpretive Provisions. With reference to this Agreement and
any other Loan Document, unless otherwise specified herein or in
such other Loan Document:
(a) The
meanings of defined terms are equally applicable to the singular
and plural forms of the defined terms.
(b) (i) The
words “herein” and “hereunder” and words of
similar import when used in any Loan Document shall refer to such
Loan Document as a whole and not to any particular provision
thereof.
(ii) Article,
Section, Exhibit and Schedule references are to the Loan Document
in which such references appear.
(iii) The term
“including” is by way of example and not
limitation.
(iv) The term
“documents” includes any and all instruments,
documents, agreements, certificates, notices, reports, financial
statements and other writings, however evidenced, whether in
electronic or physical form.
(c) In the
computation of periods of time from a specified date to a later
specified date, the word “from” means “from and
including;” the words “to” and
“until” each mean “to but excluding;” and
the word “through” means “to and
including.”
(d) Section
headings herein and in the other Loan Documents are included for
convenience of reference only and shall not affect the
interpretation of this Agreement or any other Loan
Document.
(a) All
accounting terms not specifically or completely defined herein
shall be construed in conformity with, and all financial data
required to be submitted pursuant to this Agreement shall be
prepared in conformity with, GAAP applied on a consistent basis, as
in effect from time to time, applied in a manner consistent with
that used in preparing the Audited Financial Statements, except as
otherwise specifically prescribed herein.
(b) If at any
time any change in GAAP would affect the computation of any
financial ratio or requirement set forth in any Loan Document, and
either the Company or the Required Lenders shall so request, the
Administrative Agent, the Lenders and the Company shall negotiate
in good faith to amend such ratio or requirement to preserve the
original intent thereof in light of such change in GAAP (subject to
the approval of the Required Lenders); provided that, until
so amended, (a) such ratio or requirement shall continue to be
computed in accordance with GAAP prior to such change therein and
(b) the Company shall provide to the Administrative Agent and
the Lenders financial statements and other documents required under
this Agreement or as reasonably requested hereunder setting forth a
reconciliation between calculations of such ratio or requirement
made before and after giving effect to such change in
GAAP.
-20-
1.04
Rounding. Any financial ratios required to be maintained by the
Company pursuant to this Agreement shall be calculated by dividing
the appropriate component by the other component, carrying the
result to one place more than the number of places by which such
ratio is expressed herein and rounding the result up or down to the
nearest number (with a rounding-up if there is no nearest
number).
1.05
References to Agreements and Laws. Unless otherwise expressly
provided herein, (a) references to agreements (including the
Loan Documents) and other contractual instruments shall be
deemed to include all subsequent amendments, restatements,
extensions, supplements and other modifications thereto, but only
to the extent that such amendments, restatements, extensions,
supplements and other modifications are not prohibited by any Loan
Document; (b) references to any Law shall include all
statutory and regulatory provisions consolidating, amending,
replacing, supplementing or interpreting such Law;
(c) references to any Person shall be construed to include
such Person’s successors and permitted assigns;
(d) references to Articles, Sections, Exhibits and
Schedules shall be construed to refer to Articles, Sections,
Exhibits and Schedules to this Agreement; and (e) all
references to a specific time shall be construed to refer to the
time in the city and state of the Administrative Agent’s
principal office, unless otherwise indicated.
1.06 Currency
Translations .
(a) For
purposes of this Agreement and the other Loan Documents, where the
permissibility of a transaction or determinations of required
actions or circumstances depend upon compliance with, or are
determined by reference to, amounts stated in Dollars, such amounts
shall be deemed to refer to Dollars or the Dollar Equivalent of
such amount and any requisite currency translation shall be
determined by the Administrative Agent as set forth
herein.
(b) For
purposes of all determinations of Outstanding Amounts, L/C Exposure
and Required Lenders (and the components of each of them), any
amount in any currency other than Dollars shall be deemed to refer
to the Dollar Equivalent thereof and any requisite currency
translation shall be determined by the Administrative Agent. For
purposes of all calculations and determinations hereunder, and all
certificates delivered hereunder, all amounts represented by such
terms shall be expressed in Dollars or the Dollar Equivalent
thereof.
(c) The
Administrative Agent shall determine the Dollar Equivalent of any
amount when required or permitted hereby, and a determination
thereof by the Administrative Agent shall be conclusive absent
manifest error. The Administrative Agent may, but shall not be
obligated to, rely on any determination by the Company. The
Administrative Agent may determine or redetermine the Dollar
Equivalent of any amount on any date either in its own discretion
or upon the request of the Company or any Lender, including without
limitation, the Dollar Equivalent of any Loan or Letter of Credit
made or issued in an Agreed Currency other than Dollars.
(d) The
Administrative Agent may set up appropriate rounding-off mechanisms
or otherwise round-off amounts hereunder to the nearest higher or
lower amount in whole Dollars, whole Euros, whole Sterling or whole
cents or other subunits of an Agreed Currency to ensure
-21-
amounts owing
by any party hereunder or that otherwise need to be calculated or
converted hereunder are expressed in whole units of the applicable
Agreed Currency or in whole subunits of the applicable Agreed
Currency, as may be necessary or appropriate.
ARTICLE II.
THE COMMITMENTS AND CREDIT EXTENSIONS
2.01
Commitments . Subject to the terms and conditions set
forth herein, each Lender agrees to make loans to each Borrower in
Agreed Currencies from time to time (each such loan, a “
Revolving Loan ”) during the period from the Closing
Date to the Maturity Date in an aggregate principal amount not to
exceed at any time outstanding such Lender’s Commitment;
provided , however , that after giving effect to any
Borrowing, (a) the Dollar Equivalent of such Lender’s
Revolving Credit Exposure shall not exceed its Commitment,
(b) the Dollar Equivalent of all Revolving Loans funded in
Foreign Currencies shall not exceed the Foreign Currency Sublimit,
and (c) the aggregate amount of all Revolving Credit Exposure
shall not exceed the Aggregate Commitments. Within the foregoing
limits and subject to the terms and conditions set forth herein,
the Borrowers may borrow under this Section 2.01 ,
prepay under Section 2.04 and reborrow under this
Section 2.01 . Revolving Loans in Dollars may be Base
Rate Loans or Eurocurrency Rate Loans, as further provided herein.
Revolving Loans in Agreed Currencies other than Dollars shall be
Eurocurrency Rate Loans, as further provided herein.
2.02
Borrowings, Conversions and Continuations of Revolving
Loans.
(a) Each
Revolving Borrowing, each conversion of Revolving Loans from one
Type to the other, and each continuation of Revolving Loans as the
same Type shall be made upon the Company’s irrevocable notice
to the Administrative Agent, which may be given by telephone. Each
such notice must be received by the Administrative Agent not later
than (x) 11:00 a.m., New York time, three Business Days
prior to the requested date of any Borrowing of, conversion to or
continuation of Eurocurrency Rate Loans in Dollars or of any
conversion of Eurocurrency Rate Loans to Base Rate Loans,
(y) 11:00 a.m., New York time, four Business Days prior
to the requested date of each Borrowing of Eurocurrency Rate Loans
in a Foreign Currency or (z) 11:00 a.m., New York time,
on the requested date of each Borrowing of Base Rate Loans. Each
such telephonic notice must be confirmed promptly by delivery to
the Administrative Agent of a written Revolving Loan Notice,
appropriately completed and signed by a Responsible Officer of the
Company. Each Borrowing of, conversion to or continuation of
Eurocurrency Rate Loans shall be in a principal amount of the
Dollar Equivalent of $5,000,000 or a whole multiple of the Dollar
Equivalent of $1,000,000 in excess thereof (or, if less, an
aggregate principal amount equal to the remaining balance of the
available applicable Commitments). Each Borrowing of or conversion
to Base Rate Loans shall be in a principal amount of $500,000 or a
whole multiple of $100,000 in excess thereof (or, if less, an
aggregate amount equal to the remaining balance of the available
Commitments).
(b) Each
Revolving Loan Notice (whether telephonic or written) shall
specify
(i) whether the
Company is requesting a new Borrowing, a conversion of existing
Revolving Loans from one Type to the other, or the continuation of
Eurocurrency Rate Loans for an additional Interest
Period;
-22-
(ii) the
applicable Borrower;
(iii) the
principal of the Revolving Loans to be borrowed, converted or
continued;
(iv) the
applicable Agreed Currency;
(v) the Type of
Revolving Loans to be borrowed or as to which existing Revolving
Loans are to be converted, and if applicable the Revolving Loan
from which the requested Revolving Loan will be converted or
continued;
(vi) the requested
date of such Borrowing, conversion or continuation, which shall be
a Business Day;
(vii) if the
Company is requesting a new Borrowing, the location and number of
the bank account of the applicable Borrower to which funds are to
be disbursed;
(viii) in the case
of a Borrowing in Dollars, whether such Borrowing is to be a Base
Rate Borrowing or a Eurocurrency Borrowing; and
(ix) in the case
of a Eurocurrency Borrowing, the initial Interest Period to be
applicable thereto, which shall be a period contemplated by the
definition of the term “Interest Period.”
If the Company
fails to specify a Type of Revolving Loan in a Revolving Loan
Notice or if the Company fails to give a timely notice requesting a
conversion or continuation, then the applicable Revolving Loans
shall be made or continued as, or converted to, Base Rate Loans
(after converting, if necessary, the Borrowing into Dollars using
the applicable Exchange Rate in effect on such date). Any such
automatic conversion shall be effective as of the last day of the
Interest Period then in effect with respect to the applicable
Eurocurrency Rate Loans. If the Company requests a Borrowing of,
conversion to, or continuation of Eurocurrency Rate Loans in any
such Revolving Loan Notice, but fails to specify an Interest
Period, it will be deemed to have specified an Interest Period of
one month.
(c) Following
receipt of a Revolving Loan Notice, the Administrative Agent shall
promptly notify each Lender of its Pro Rata Share of the applicable
Revolving Loans, and if no timely notice of a conversion or
continuation is provided by the Company, the Administrative Agent
shall notify each Lender of the details of any automatic conversion
to Base Rate Loans described in the preceding subsection. Each
Lender shall make the amount of its Revolving Loan available to the
Administrative Agent in immediately available funds at the
Administrative Agent’s Office not later than 2:00 p.m., New
York time, on the Business Day specified in the applicable
Revolving Loan Notice. Upon satisfaction of the applicable
conditions set forth in Section 4.02 (and, if such
Borrowing is the initial Credit Extension, Section 4.01
), the Administrative Agent shall, by no later than 3:00 p.m., New
York time, make all funds so received available to the applicable
Borrower in like funds as received by the Administrative Agent
either by (i) crediting the account of the applicable Borrower
on the books of SunTrust
-23-
Bank with the
amount of such funds or (ii) wire transfer of such funds, in
each case in accordance with instructions provided to the
Administrative Agent by the Company.
(d) Except as
otherwise provided herein, a Eurocurrency Rate Loan may be
continued or converted only on the last day of the Interest Period
for such Eurocurrency Rate Loan. During the existence of a Default
or Event of Default, no Loans may be requested as, converted to or
continued as Eurocurrency Rate Loans without the consent of the
Required Lenders, and the Required Lenders may demand that any or
all of the then outstanding Eurocurrency Rate Loans be converted to
Base Rate Loans at the end of the respective Interest Periods
related to such Loans.
(e) The
Administrative Agent shall promptly notify the Company and the
Lenders of the interest rate applicable to any Eurocurrency Rate
Loan upon determination of such interest rate. The determination of
the Eurocurrency Rate by the Administrative Agent shall be
conclusive in the absence of manifest error. The Administrative
Agent shall notify the Company and the Lenders of any change in
SunTrust Bank’s prime rate used in determining the Base Rate
promptly following the public announcement of such
change.
(f) After
giving effect to all Borrowings, all conversions of Revolving Loans
from one Type to the other, and all continuations of Revolving
Loans as the same Type, there shall not be more than twelve
Interest Periods in effect with respect to Eurocurrency Rate
Loans.
(a) The
Letter of Credit Commitment .
(i) Subject to the
terms and conditions set forth herein, (A) each L/C Issuer
agrees, in reliance upon the agreements of the other Lenders set
forth in this Section 2.03 , (1) from time to time
on any Business Day during the period from the Closing Date until
the Letter of Credit Subfacility Expiration Date, to issue Letters
of Credit denominated in Dollars for the account of any Borrower,
and to amend or renew Letters of Credit previously issued by it, in
accordance with subsection (b) below, and (2) to honor
drafts under the Letters of Credit; and (B) the Lenders
severally agree to participate in Letters of Credit issued for the
account of any Borrower; provided that no L/C Issuer shall
be obligated to make any L/C Credit Extension with respect to any
Letter of Credit, and no Lender shall be obligated to participate
in, any Letter of Credit if as of the date of such L/C Credit
Extension, (1) the aggregate Revolving Credit Exposure would
exceed the Aggregate Commitments, (2) the Revolving Credit
Exposure of any Lender would exceed such Lender’s Commitment,
or (3) the L/C Exposure would exceed the L/C Sublimit. Within
the foregoing limits, and subject to the terms and conditions
hereof, each Borrower’s ability to obtain Letters of Credit
shall be fully revolving, and accordingly the Borrowers may, during
the foregoing period, obtain Letters of Credit to replace Letters
of Credit that have expired or that have been drawn upon and
reimbursed.
(ii) No L/C Issuer
shall be under any obligation to issue any Letter of Credit
if:
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(A) any order,
judgment or decree of any Governmental Authority or arbitrator
shall by its terms purport to enjoin or restrain such L/C Issuer
from issuing such Letter of Credit, or any Law applicable to such
L/C Issuer or any request or directive (whether or not having the
force of law) from any Governmental Authority with jurisdiction
over such L/C Issuer shall prohibit, or request that such L/C
Issuer refrain from, the issuance of letters of credit generally or
such Letter of Credit in particular or shall impose upon such L/C
Issuer with respect to such Letter of Credit any restriction,
reserve or capital requirement (for which such L/C Issuer is not
otherwise compensated hereunder) not in effect on the Closing Date,
or shall impose upon such L/C Issuer any unreimbursed loss, cost or
expense which was not applicable on the Closing Date and which such
L/C Issuer in good faith deems material to it;
(B) subject to
Section 2.03(b)(iii) , the expiry date of such
requested Letter of Credit would occur more than twelve months
after the date of issuance or last renewal, unless the Required
Lenders have approved such expiry date;
(C) the expiry
date of such requested Letter of Credit would occur after the
Letter of Credit Subfacility Expiration Date, unless all Lenders
have approved such expiry date;
(D) the issuance
of such Letter of Credit would violate one or more policies of such
L/C Issuer; or
(E) such Letter of
Credit is in a face amount less than $100,000, in the case of a
commercial Letter of Credit, or $500,000, in the case of any other
type of Letter of Credit, or is to be denominated in a currency
other than Dollars.
(iii) No L/C
Issuer shall be under any obligation to amend any Letter of Credit
if (A) such L/C Issuer would have no obligation at such time to
issue such Letter of Credit in its amended form under the terms
hereof, or (B) the beneficiary of such Letter of Credit does
not accept the proposed amendment to such Letter of
Credit.
(b)
Procedures for Issuance and Amendment of Letters of Credit;
Evergreen Letters of Credit .
(i) Each Letter of
Credit shall be issued or amended, as the case may be, upon the
request of the Company delivered to the applicable L/C Issuer (with
a copy to the Administrative Agent) in the form of a Letter of
Credit Application, appropriately completed and signed by a
Responsible Officer of the Company. Such Letter of Credit
Application must be received by the applicable L/C Issuer and the
Administrative Agent not later than 11:00 a.m., New York time, at
least two Business Days (or such later date and time as the
applicable L/C Issuer may agree in a particular instance in its
sole discretion) prior to the proposed issuance date or date of
amendment, as the case may be. In the case of a request for an
initial issuance of a Letter of Credit, such Letter of Credit
Application shall specify in form and detail satisfactory to the
applicable L/C Issuer: (A) the proposed issuance date of the
requested Letter of Credit (which shall be a Business
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Day);
(B) the name of the account party (which shall be a Borrower)
and the amount thereof; (C) the expiry date thereof;
(D) the name and address of the beneficiary thereof;
(E) the documents to be presented by such beneficiary in case
of any drawing thereunder; (F) the full text of any certificate to
be presented by such beneficiary in case of any drawing thereunder;
and (G) such other matters as such L/C Issuer may require. In
the case of a request for an amendment of any outstanding Letter of
Credit, such Letter of Credit Application shall specify in form and
detail satisfactory to the applicable L/C Issuer (A) the
Letter of Credit to be amended; (B) the proposed date of
amendment thereof (which shall be a Business Day); (C) the
nature of the proposed amendment; and (D) such other matters
as such L/C Issuer may require.
(ii) Promptly
after its receipt of any Letter of Credit Application, but in any
event no later than two Business Days prior to the proposed
issuance date, the applicable L/C Issuer will confirm with the
Administrative Agent (by telephone or in writing) that the
Administrative Agent has received a copy of such Letter of Credit
Application from the Company and, if not, the applicable L/C Issuer
will provide the Administrative Agent with a copy thereof. Upon
receipt by the applicable L/C Issuer of confirmation from the
Administrative Agent that the requested issuance or amendment is
permitted in accordance with the terms hereof, then, subject to the
terms and conditions hereof, the applicable L/C Issuer shall, on
the requested date, issue a Letter of Credit for the account of any
Borrower or enter into the applicable amendment, as the case may
be, in each case in accordance with such L/C Issuer’s usual
and customary business practices. Immediately upon the issuance of
each Letter of Credit, each Lender shall be deemed to, and hereby
irrevocably and unconditionally agrees to, purchase from the
applicable L/C Issuer a participation in such Letter of Credit in
an amount equal to the product of such Lender’s Pro Rata
Share times the amount of such Letter of Credit. In addition and
without limiting the foregoing, on the Closing Date, each Lender
shall be deemed to have purchased a participation in each Existing
Letter of Credit in an amount equal to the product of such
Lender’s Pro Rata Share times the amount of such Existing
Letter of Credit.
(iii) If the
Company so requests in any applicable Letter of Credit Application,
any L/C Issuer may, in it sole and absolute discretion, agree to
issue a Letter of Credit that has automatic renewal provisions
(each, an “ Evergreen Letter of Credit ”);
provided that any such Evergreen Letter of Credit must
permit such L/C Issuer to prevent any such renewal at least once in
each twelve-month period (commencing with the date of issuance of
such Letter of Credit) by giving prior notice to the beneficiary
thereof not later than a day (the “ Nonrenewal Notice
Date ”) in each such twelve-month period to be agreed
upon at the time such Letter of Credit is issued and have a final
expiry date that is not later than the Letter of Credit Subfacility
Expiration Date. Unless otherwise directed by such L/C Issuer, the
Company shall not be required to make a specific request to such
L/C Issuer for any such renewal. Once an Evergreen Letter of Credit
has been issued, the Lenders shall be deemed to have authorized
(but may not require) such L/C Issuer to permit the renewal of such
Letter of Credit at any time to a date not later than the Letter of
Credit Subfacility Expiration Date; provided ,
however , that no L/C Issuer shall permit any such renewal
if (A) such L/C Issuer would have no obligation at such time
to issue such Letter of Credit in its renewed form under the terms
hereof, or (B) it has received notice (which
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may be by
telephone or in writing) on or before the Business Day immediately
preceding the Nonrenewal Notice Date (1) from the
Administrative Agent that the Required Lenders have elected not to
permit such renewal or (2) from the Administrative Agent, any
Lender or the Company that one or more of the applicable conditions
specified in Section 4.02 is not then satisfied.
Notwithstanding anything to the contrary contained herein, no L/C
Issuer shall have any obligation to permit the renewal of any
Evergreen Letter of Credit at any time.
(iv) Promptly
after its delivery of any Letter of Credit or any amendment to a
Letter of Credit to an advising bank with respect thereto or to the
beneficiary thereof, the applicable L/C Issuer will also deliver to
the Company and the Administrative Agent a true and complete copy
of such Letter of Credit or amendment.
(c)
Drawings and Reimbursements; Funding of Participations
.
(i) Upon any
drawing under any Letter of Credit, the applicable L/C Issuer shall
notify the Company and the Administrative Agent thereof. Not later
than 1:00 p.m., New York time, on the date of any payment by the
applicable L/C Issuer under a Letter of Credit (each such date, an
“ Honor Date ”), the L/C Account Party shall
reimburse such L/C Issuer through the Administrative Agent in an
amount equal to the amount of such drawing. If such L/C Account
Party or the Company fails to so reimburse such L/C Issuer by such
time, the Administrative Agent shall promptly notify each Lender of
the Honor Date, the amount of the unreimbursed drawing (the “
Unreimbursed Amount ”), and such Lender’s Pro
Rata Share thereof. In such event, the Company shall be deemed to
have requested a Revolving Borrowing of Base Rate Loans to be
disbursed on the Honor Date for which the L/C Account Party shall
be the Borrower and in an amount equal to the Unreimbursed Amount,
without regard to the minimum and multiples specified in
Section 2.02 for the principal amount of Base Rate
Loans, but subject to the amount of the unutilized portion of the
Aggregate Commitments and the conditions set forth in
Section 4.02 (other than the delivery of a Revolving
Loan Notice). Any notice given by any L/C Issuer or the
Administrative Agent pursuant to this
Section 2.03(c)(i) may be given by telephone if
immediately confirmed in writing; provided that the lack of
such an immediate confirmation shall not affect the conclusiveness
or binding effect of such notice.
(ii) Each Lender
(including the Lender acting as L/C Issuer) shall upon any notice
pursuant to Section 2.03(c)(i) make funds available to
the Administrative Agent for the account of the applicable L/C
Issuer at the Administrative Agent’s Office in an amount
equal to its Pro Rata Share of the Unreimbursed Amount not later
than 3:00 p.m., New York time, on the Business Day specified in
such notice by the Administrative Agent, whereupon, subject to the
provisions of Section 2.03(c)(iii) , each Lender that
so makes funds available shall be deemed to have made a Base Rate
Loan to the L/C Account Party in such amount. The Administrative
Agent shall remit the funds so received to the applicable L/C
Issuer.
(iii) With respect
to any Unreimbursed Amount that is not fully refinanced by a
Revolving Borrowing of Base Rate Loans because the conditions set
forth in
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Section 4.02 cannot be satisfied or for any other reason, the
L/C Account Party shall be deemed to have incurred from the
applicable L/C Issuer an L/C Borrowing in the amount of the
Unreimbursed Amount that is not so refinanced, which L/C Borrowing
shall be due and payable on demand (together with interest) and
shall bear interest at a rate equal to the Default Rate that would
be applicable to Base Rate Loans. In such event, each
Lender’s payment to the Administrative Agent for the account
of the applicable L/C Issuer pursuant to
Section 2.03(c)(ii) shall be deemed payment in respect
of its participation in such L/C Borrowing and shall constitute an
L/C Advance from such Lender in satisfaction of its participation
obligation under this Section 2.03 .
(iv) Until a
Lender funds its Revolving Loan or L/C Advance pursuant to this
Section 2.03(c) to reimburse any L/C Issuer for any
amount drawn under any Letter of Credit, interest in respect of
such Lender’s Pro Rata Share of such amount shall be solely
for the account of such L/C Issuer.
(v) Each
Lender’s obligation to make Revolving Loans or L/C Advances
to reimburse any L/C Issuer for amounts drawn under Letters of
Credit, as contemplated by this Section 2.03(c) , shall
be absolute and unconditional and shall not be affected by any
circumstance, including (A) any set-off, counterclaim,
recoupment, defense or other right which such Lender may have
against such L/C Issuer, the Borrowers or any other Person for any
reason whatsoever, (B) the occurrence or continuance of a
Default or Event of Default, or (C) any other occurrence,
event or condition including, without limitation, the existence (or
alleged existence) of any Material Adverse Effect, whether or not
similar to any of the foregoing. Any such reimbursement shall not
relieve or otherwise impair the obligation of the L/C Account Party
or the Company to reimburse any L/C Issuer for the amount of any
payment made by such L/C Issuer under any Letter of Credit,
together with interest as provided herein.
(vi) If any Lender
fails to make available to the Administrative Agent for the account
of any L/C Issuer any amount required to be paid by such Lender
pursuant to the foregoing provisions of this
Section 2.03(c) by the time specified in
Section 2.03(c)(ii) , such L/C Issuer shall be entitled
to recover from such Lender (acting through the Administrative
Agent), on demand, such amount with interest thereon for the period
from the date such payment is required to the date on which such
payment is immediately available to such L/C Issuer at a rate per
annum equal to the Federal Funds Rate from time to time in effect.
A certificate of such L/C Issuer submitted to any Lender (through
the Administrative Agent) with respect to any amounts owing under
this clause (vi) shall be conclusive absent manifest
error.
(d)
Repayment of Participations .
(i) At any time
after any L/C Issuer has made a payment under any Letter of Credit
and has received from any Lender such Lender’s funding in
respect of the Base Rate Loan or an L/C Advance in respect of such
payment in accordance with Section 2.03(c) , if the
Administrative Agent receives for the account of such L/C Issuer
any payment related to such Letter of Credit (whether directly from
the L/C Account Party, the Company or otherwise, including proceeds
of Cash Collateral applied thereto
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by the
Administrative Agent), or any payment of interest thereon, the
Administrative Agent will distribute to such Lender its Pro Rata
Share thereof in the same funds as those received by the
Administrative Agent.
(ii) If any
payment received by the Administrative Agent for the account of any
L/C Issuer pursuant to Section 2.03(c)(i) is required
to be returned, each Lender shall pay to the Administrative Agent
for the account of such L/C Issuer its Pro Rata Share thereof on
demand of the Administrative Agent, plus interest thereon
from the date of such demand to the date such amount is returned by
such Lender, at a rate per annum equal to the Federal Funds Rate
from time to time in effect.
(e)
Obligations Absolute . The obligation of the L/C Account
Party or the Company to reimburse the applicable L/C Issuer for
each drawing under each Letter of Credit, and to repay each L/C
Borrowing and each drawing under a Letter of Credit that is
refinanced by a Borrowing of Revolving Loans, shall be absolute,
unconditional and irrevocable, and shall be paid strictly in
accordance with the terms of this Agreement under all
circumstances, including the following:
(i) any lack of
validity or enforceability of such Letter of Credit, this
Agreement, or any other agreement or instrument relating
thereto;
(ii) the existence
of any claim, counterclaim, set-off, defense or other right that
any Borrower may have at any time against any beneficiary or any
transferee of such Letter of Credit (or any Person for whom any
such beneficiary or any such transferee may be acting), any L/C
Issuer or any other Person, whether in connection with this
Agreement, the transactions contemplated hereby or by such Letter
of Credit or any agreement or instrument relating thereto, or any
unrelated transaction;
(iii) any draft,
demand, certificate or other document presented under such Letter
of Credit proving to be forged, fraudulent, invalid or insufficient
in any respect or any statement therein being untrue or inaccurate
in any respect; or any loss or delay in the transmission or
otherwise of any document required in order to make a drawing under
such Letter of Credit;
(iv) any payment
by any L/C Issuer under such Letter of Credit against presentation
of a draft or certificate that does not strictly comply with the
terms of such Letter of Credit; or any payment made by any L/C
Issuer under such Letter of Credit to any Person purporting to be a
trustee in bankruptcy, debtor-in-possession, assignee for the
benefit of creditors, liquidator, receiver or other representative
of or successor to any beneficiary or any transferee of such Letter
of Credit, including any arising in connection with any proceeding
under any Debtor Relief Law; or
(v) any other
circumstance or happening whatsoever, whether or not similar to any
of the foregoing, including any other circumstance that might
otherwise constitute a defense available to, or a discharge of, any
Borrower.
The Company shall
promptly examine a copy of each Letter of Credit and each amendment
thereto that is delivered to it and, in the event of any claim of
noncompliance with the Company’s instructions or other
irregularity, the Company will promptly notify the
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applicable L/C
Issuer. The Borrowers shall be conclusively deemed to have waived
any such claim against the applicable L/C Issuer and its
correspondents unless such notice is given as aforesaid.
(f) Role
of L/C Issuer . Each Lender and each Borrower agree that, in
paying any drawing under a Letter of Credit, no L/C Issuer shall
have any responsibility to obtain any document (other than any
sight draft, certificates and documents expressly required by the
Letter of Credit) or to ascertain or inquire as to the validity or
accuracy of any such document or the authority of the Person
executing or delivering any such document. No Agent-Related Person
nor any of the respective correspondents, participants or assignees
of any L/C Issuer shall be liable to any Lender for (i) any
action taken or omitted in connection herewith at the request or
with the approval of the Lenders or the Required Lenders, as
applicable; (ii) any action taken or omitted in the absence of
gross negligence or willful misconduct; or (iii) the due
execution, effectiveness, validity or enforceability of any
document or instrument related to any Letter of Credit or Letter of
Credit Application. The Borrowers hereby assume all risks of the
acts or omissions of any beneficiary or transferee with respect to
the use of any Letter of Credit; provided , however ,
that this assumption is not intended to, and shall not, preclude
any Borrower’s pursuing such rights and remedies as it may
have against the beneficiary or transferee at law or under any
other agreement. No Agent-Related Person, nor any of the respective
correspondents, participants or assignees of any L/C Issuer, shall
be liable or responsible for any of the matters described in
clauses (i) through (v) of Section 2.03(e) ;
provided , however , that anything in such clauses to
the contrary notwithstanding, a Borrower may have a claim against
the applicable L/C Issuer, and the applicable L/C Issuer may be
liable to a Borrower to the extent, but only to the extent, of any
direct, as opposed to consequential or exemplary, damages suffered
by such Borrower which such Borrower proves were caused by such L/C
Issuer’s willful misconduct or gross negligence or such L/C
Issuer’s willful failure to pay under any Letter of Credit
after the presentation to it by the beneficiary of a sight draft
and certificate(s) strictly complying with the terms and conditions
of a Letter of Credit. In furtherance and not in limitation of the
foregoing, each L/C Issuer may accept documents that appear on
their face to be in order, without responsibility for further
investigation, regardless of any notice or information to the
contrary, and no L/C Issuer shall be responsible for the validity
or sufficiency of any instrument transferring or assigning or
purporting to transfer or assign a Letter of Credit or the rights
or benefits thereunder or proceeds thereof, in whole or in part,
which may prove to be invalid or ineffective for any
reason.
(g) Cash
Collateral . Upon the request of the Administrative Agent,
(i) if any L/C Issuer has honored any full or partial drawing
request under any Letter of Credit and such drawing has resulted in
an L/C Borrowing that has not been converted into a Borrowing under
the terms hereof or (ii) if, as of the Letter of Credit
Subfacility Expiration Date, any Letter of Credit may for any
reason remain outstanding and partially or wholly undrawn, the
Borrowers shall immediately Cash Collateralize the then Outstanding
Amount of all L/C Exposure (in an amount equal to such Outstanding
Amount).
(h)
Applicability of ISP98 . Unless otherwise expressly agreed
by the applicable L/C Issuer and the Borrower when a Letter of
Credit is issued and subject to applicable laws, performance under
Letters of Credit by such L/C Issuer, its correspondents, and the
beneficiaries thereof will be governed by the rules of the
“International Standby Practices 1998” (ISP98)
(or
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such later
revision as may be published by the Institute of International
Banking Law & Practice on any date any Letter of Credit may be
issued), and to the extent not inconsistent therewith, the
governing law of this Agreement set forth in
Section 10.16 .
(i)
Letter of Credit Fees . The Borrowers shall pay in Dollars
to the Administrative Agent for the account of each Lender in
accordance with its Pro Rata Share a letter of credit fee equal to
the Applicable Rate for Letters of Credit multiplied by the actual
daily maximum amount available to be drawn under all outstanding
Letters of Credit. Such fee shall be due and payable on the last
Business Day of each March, June, September and December,
commencing with the first such date to occur after the issuance of
such Letter of Credit, and on the Letter of Credit Subfacility
Expiration Date. If there is any change in such Applicable Rate
during any quarter, the actual daily amount of each standby Letter
of Credit shall be computed and multiplied by the Applicable Rate
separately for each period during such quarter that such Applicable
Rate was in effect.
(j)
Fronting Fee and Documentary and Processing Charges Payable to
L/C Issuers . Company and the respective Account Party under a
Letter of Credit jointly and severally shall pay directly to the
applicable L/C Issuer for its own account a fronting fee in an
amount (i) with respect to each commercial Letter of Credit
issued by such L/C Issuer, a per annum rate equal to 0.125% (or
such lower fee as may be agreed by such L/C Issuer) of the amount
of such Letter of Credit, due and payable upon the issuance
thereof, and (ii) with respect to each standby Letter of
Credit issued by such L/C Issuer, a per annum rate equal to 0.125%
(or such lower fee as may be agreed by such L/C Issuer) on the
daily maximum amount available to be drawn thereunder, due and
payable quarterly in arrears on the last Business Day of each
March, June, September and December, commencing with the first such
date to occur after the issuance of such Letter of Credit, and on
the Letter of Credit Subfacility Expiration Date. In addition, the
Company and the respective Account Party under a Letter of Credit
jointly and severally shall pay directly to the applicable L/C
Issuer for its own account the customary issuance, presentation,
amendment and other processing fees, and other standard costs and
charges, of the applicable L/C Issuer relating to letters of credit
as from time to time in effect. Such fees and charges are due and
payable on demand and are nonrefundable.
(k)
Conflict with Letter of Credit Application . In the event of
any conflict between the terms hereof and the terms of any Letter
of Credit Application, the terms hereof shall control.
(a) The
Borrowers may, upon notice from the Company to the Administrative
Agent, at any time or from time to time voluntarily prepay
Revolving Loans and Swingline Loans in whole or in part without
premium or penalty; provided that (i) such notice must
be received by the Administrative Agent (A) not later than
11:00 a.m., New York time, three Business Days prior to any
date of prepayment of any Eurocurrency Rate Loans, and (B) not
later than 9:00 a.m., New York time, on the date of prepayment of
Base Rate Loans and Swingline Loans; (ii) any prepayment of
Eurocurrency Rate Loans shall be in a principal amount of the
Dollar Equivalent of $5,000,000 or a whole multiple of the Dollar
Equivalent of $1,000,000 in excess thereof; (iii) any
prepayment of Base Rate Loans shall be in a principal amount of
$500,000 or a whole multiple of $100,000 in excess thereof;
(iv) any prepayment of
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Swingline Loans
shall be in an amount that would be permitted in the case of an
advance of a Swingline Loan pursuant to Section 2.14 ,
or, in the case of (ii), (iii) and (iv) if a lesser
amount, the remaining principal amount of the applicable Loans in
any outstanding Borrowing. Each such notice shall specify the date
and amount of such prepayment and the Type(s) of Revolving Loans or
Swingline Loans to be prepaid. The Administrative Agent will
promptly notify each Lender of its receipt of each such notice, and
of such Lender’s Pro Rata Share of such prepayment. If such
notice is given by the Company, the Borrowers shall make such
prepayment and the payment amount specified in such notice shall be
due and payable on the date specified therein. Any prepayment of a
Eurocurrency Rate Loan shall be accompanied by all accrued interest
thereon, together with any additional amounts required pursuant to
Section 3.05 . Each such prepayment shall be applied to
the Revolving Loans or Swingline Loans, as the case may be, of the
applicable Lenders in accordance with their respective Pro Rata
Shares.
(b) If at any
time (i) the Revolving Credit Exposure at any time exceeds the
Aggregate Commitments then in effect, other than as a result of
fluctuations in exchange rates, or (ii) if, solely as a result
of fluctuations in currency exchange rates, the sum of the
Revolving Loans and L/C Exposure denominated in Foreign Currency as
of the most recent Calculation Date exceeds 105% of the Foreign
Currency Sublimit, the Borrowers shall immediately repay their
respective Revolving Loans in an aggregate amount equal to such
excess, together with all accrued and unpaid interest on such
excess amount and any amounts due under Article III
.
2.05 Optional
Reduction or Termination of Commitments. The Company may, at
any time or from time to time upon notice to the Administrative
Agent, terminate the Commitments, or permanently reduce the
Commitments to an amount not less than the Revolving Credit
Exposure; provided that (a) the Borrowers shall not be
obligated to pay any amount as a penalty in connection with any
such reduction or termination of the Commitments, except as
required by Section 3.05 due to any repayment of Loans
arising from such reduction or termination, (b) any such
notice shall be received by the Administrative Agent not later than
11:00 a.m., New York time, three Business Days prior to the
date of termination or reduction, and (c) any such partial
reduction shall be in an aggregate amount of $5,000,000 or any
whole multiple of $1,000,000 in excess thereof. The Administrative
Agent shall promptly notify the Lenders of any such notice of
reduction or termination of the Commitments. Once reduced in
accordance with this Section, the Commitments may not be increased
except in accordance with Section 2.15 . Any reduction
of the Commitments shall be applied to the Commitment of each
Lender according to its Pro Rata Share. All facility fees accrued
until the effective date of any termination of the Commitments
shall be paid on the effective date of such termination. Any such
reduction in the Commitments below the Swingline Sublimit, the
Letter of Credit Sublimit and the Foreign Currency Sublimit shall
result in a dollar for dollar reduction in the Swingline
Commitment, the Swingline Sublimit, the L/C Sublimit and the
Foreign Currency Sublimit, as appropriate. The Commitment of a
Lender may also be terminated under the provisions of
Section 10.15 .
(a) Each of
the Borrowers shall repay to the Lenders on the Maturity Date the
aggregate principal amount of all of its Revolving Loans then
outstanding.
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(b) The
Company shall repay each Swingline Borrowing on the earlier of
(i) the last day of the Interest Period applicable to such
Swingline Borrowing and (ii) the Swingline Termination
Date.
(a) Subject
to the provisions of subsection (b) below, (i) each
Eurocurrency Rate Loan shall bear interest on the outstanding
principal amount thereof for each Interest Period at a rate per
annum equal to the Eurocurrency Rate for such Interest Period plus
the Applicable Rate for Eurocurrency Rate Loans; (ii) each
Base Rate Loan shall bear interest on the outstanding principal
amount thereof from the applicable borrowing date at a rate per
annum equal to the Base Rate plus the Applicable Rate for Base Rate
Loans; and (iii) each Swingline Loan shall bear interest on
the outstanding principal amount thereof at the Base Rate, or such
other rate as the Swingline Lender and the Company shall agree to,
with respect thereto.
(b) If any
Event of Default exists under Section 8.01(a) or after
acceleration, each of the Borrowers shall, and for all other Events
of Default shall at the option of the Required Lenders, pay
interest on the principal amount of all of its outstanding
Obligations at a fluctuating interest rate per annum at all times
equal to the Default Rate to the fullest extent permitted by
applicable Law. Accrued and unpaid interest on past due amounts
(including interest on past due interest) shall be due and payable
upon demand.
(c) Interest
on each Swingline Loan shall be payable on the maturity date of
such Loan, which shall be the last day of the Interest Period
applicable thereto, and on the Swingline Termination
Date.
(d) Interest
on each Loan (other than a Swingline Loan) shall be due and payable
in arrears on each Interest Payment Date applicable thereto and at
such other times as may be specified herein. Interest hereunder
shall be due and payable in accordance with the terms hereof before
and after judgment, and before and after the commencement of any
proceeding under any Debtor Relief Law.
2.08 Fees.
In addition to certain fees described in subsections (i) and
(j) of Section 2.03 :
(a)
Facility Fee . The Company shall pay in Dollars to the
Administrative Agent for the account of each Lender in accordance
with its Pro Rata Share of all Commitments, a facility fee equal to
the Applicable Rate for Facility Fee multiplied by the actual daily
amount of the Aggregate Commitments, regardless of usage. The
facility fee shall accrue at all times from the Closing Date until
the Maturity Date and shall be due and payable quarterly in arrears
on the last Business Day of each March, June, September and
December, commencing with the first such date to occur after the
Closing Date, and on the Maturity Date. The facility fee shall be
calculated quarterly in arrears, and if there is any change in the
Applicable Rate during any quarter, the actual daily amount shall
be computed and multiplied by the Applicable Rate separately for
each period during such quarter that such Applicable Rate was in
effect. The facility fee shall accrue at all times, including at
any time during which one or more of the conditions in
Article IV is not met.
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(b) Fee
Letter . The Company shall pay in Dollars to SunTrust Bank and
SunTrust Robinson Humphrey, Inc. the fees set forth in the Fee
Letter, for their own account in the amounts and at the times
specified in the Fee Letter. Such fees shall be fully earned when
paid and shall be nonrefundable for any reason
whatsoever.
(c)
Lenders’ Upfront Fee . On the Closing Date, the
Company shall pay in Dollars to the Administrative Agent, for the
account of the Lenders, the upfront fees previously agreed upon by
the Company, the Lenders and the Administrative Agent. The upfront
fee paid to each Lender is solely for its own account and is
nonrefundable for any reason whatsoever.
2.09
Computation of Interest and Fees. Interest on Base Rate Loans
and Swingline Loans and facility fees shall be calculated on the
basis of a year of 365 or 366 days, as the case may be, and
the actual number of days elapsed. Computation of all other types
of interest and all other types of fees shall be calculated on the
basis of a year of 360 days, except where market practice is
on the basis of a year of 365 days (or 366 days in a leap
year), payable for the actual number of days elapsed (including the
first day but excluding the last day). Interest shall accrue on
each Loan for the day on which the Loan is made, and shall not
accrue on a Loan, or any portion thereof, for the day on which the
Loan or such portion is paid, provided that any Loan that is
repaid on the same day on which it is made shall bear interest for
one day.
(a) The
Credit Extensions made by each Lender shall be evidenced by one or
more accounts or records maintained by such Lender and by the
Administrative Agent in the ordinary course of business. The
accounts or records maintained by the Administrative Agent and each
Lender shall be conclusive absent manifest error of the amount of
the Credit Extensions made by the Lenders to the Borrowers and the
interest and payments thereon. Any failure to so record or any
error in doing so shall not, however, limit or otherwise affect the
obligation of the Borrowers hereunder to pay any amount owing with
respect to the Revolving Credit Exposure. In the event of any
conflict between the accounts and records maintained by any Lender
and the accounts and records of the Administrative Agent in respect
of such matters, the accounts and records of such Lender shall
control.
(b) In
addition to the accounts and records referred to in
subsection (a), each Lender and the Administrative Agent shall
maintain in accordance with its usual practice accounts or records
evidencing the purchases and sales by such Lender of participations
in Letters of Credit and Swingline Loans. In the event of any
conflict between the accounts and records maintained by the
Administrative Agent and the accounts and records of any Lender in
respect of such matters, the accounts and records of the
Administrative Agent shall control.
(c) This
Agreement evidences the obligation of the Borrowers to repay the
Loans and is being executed as a “noteless” credit
agreement. However, at the request of any Lender (including the
Swingline Lender) at any time, the Borrowers agree that they will
prepare, execute and deliver to such Lender a promissory note for
each Commitment of such Lender payable to the order of such Lender
(or, if requested by such Lender, to such Lender and its registered
assigns) and in a form approved by the Company and the
Administrative Agent. Thereafter, the Loans evidenced by such
promissory note and interest thereon shall at all times (including
after
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assignment
permitted hereunder) be represented by one or more promissory notes
in such form payable to the order of the payee named therein (or,
if such promissory note is a registered note, to such payee and its
registered assigns).
(a) All
payments to be made by the Borrowers shall be made in the
applicable Agreed Currency without condition or deduction for any
counterclaim, defense, recoupment or set-off. Except as otherwise
expressly provided herein, all payments by the Borrowers hereunder
shall be made to the Administrative Agent, for the account of the
respective Lenders to which such payment is owed, at the
Administrative Agent’s Office in immediately available funds
not later than 2:00 p.m. on the date specified herein. The
Administrative Agent will promptly distribute to each Lender its
Pro Rata Share (or other applicable share as provided herein) of
such payment in like funds as received by wire transfer to such
Lender’s Lending Office. All payments received by the
Administrative Agent after 2:00 p.m., New York time, shall be
deemed received on the next succeeding Business Day and any
applicable interest or fee shall continue to accrue. If any
Borrower does not, or is unable for any reason to, effect payment
of a Loan to the Lenders in the Agreed Currency or if any Borrower
shall default in the payment when due of any payment in such Agreed
Currency, the Lenders may, at their option, require such payment to
be made to the Lenders in the Dollar Equivalent of such Agreed
Currency determined in accordance with Section 10.22 .
With respect to any amount due and payable in Agreed Currency other
than Dollars, the Company shall, or shall cause the applicable
Borrower to, hold the Lenders harmless from any losses, if any,
that are incurred by the Lenders arising from any change in the
value of Dollars in relation to such Agreed Currency between the
date such payment became due and the date of payment thereof (other
than losses incurred by any Lender due to the gross negligence or
willful misconduct of such Lender as determined by a court of
competent jurisdiction in a final non-appealable order).
(b) Subject
to the definition of “ Interest Period ,” if any
payment to be made by the Borrowers shall come due on a day other
than a Business Day, payment shall be made on the next following
Business Day, and such extension of time shall be reflected in
computing interest or fees, as the case may be.
(c) If at any
time insufficient funds are received by and available to the
Administrative Agent to pay fully all amounts of principal, L/C
Borrowings, interest and fees then due hereunder, such funds shall
be applied (i) first , to the Administrative Agent’s
fees and reimbursable expenses (including Attorney Costs and
amounts payable under Article III ) then due and
payable pursuant to any of the Loan Documents; (ii) second ,
to all reimbursable expenses of the Lenders and all fees and
reimbursable expenses of the L/C Issuers then due and payable
pursuant to any of the Loan Documents, pro rata to the Lenders and
the L/C Issuers based on their respective pro rata shares of such
fees and expenses; (iii) third , to interest and fees then
due and payable hereunder, pro rata to the Lenders based on their
respective pro rata shares of such interest and fees; and (iv)
fourth , to the payment of principal of the Loans and
unreimbursed L/C Borrowings then due hereunder, ratably among the
parties entitled thereto in accordance with the amounts of
principal and unreimbursed L/C Borrowings then due to such
parties.
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(d) Unless
the Company or any Lender has notified the Administrative Agent
prior to the date any payment is required to be made by it to the
Administrative Agent hereunder, that the applicable Borrower or
such Lender, as the case may be, will not make such payment, the
Administrative Agent may assume that the applicable Borrower, the
Company or such Lender, as the case may be, has timely made such
payment and may (but shall not be so required to), in reliance
thereon, make available a corresponding amount to the Person
entitled thereto. If and to the extent that such payment was not in
fact made to the Administrative Agent in immediately available
funds, then:
(i) if the
applicable Borrower failed to make such payment, each Lender shall
forthwith on demand repay to the Administrative Agent the portion
of such assumed payment that was made available to such Lender in
immediately available funds, together with interest thereon in
respect of each day from and including the date such amount was
made available by the Administrative Agent to such Lender to the
date such amount is repaid to the Administrative Agent in the
applicable Agreed Currency in immediately available funds, at the
greater of the Federal Funds Rate or a rate determined by the
Administrative Agent in accordance with banking industry rules on
interbank compensation, including, without limitation, the
Overnight Foreign Currency Rate in the case of loans denominated in
a Foreign Currency, until the second Business Day after such demand
and thereafter at the greater of the Base Rate or a rate determined
by the Administrative Agent in accordance with banking industry
rules on interbank compensation including, without limitation, the
Overnight Foreign Currency Rate in the case of loans denominated in
a Foreign Currency; and
(ii) if any Lender
failed to make such payment, such Lender shall forthwith on demand
pay to the Administrative Agent the amount thereof in the
applicable Agreed Currency in immediately available funds, together
with interest thereon for the period from the date such amount was
made available by the Administrative Agent to the applicable
Borrower to the date such amount is recovered by the Administrative
Agent (the “ Compensation Period ”) at the
greater of the Federal Funds Rate or a rate determined by the
Administrative Agent in accordance with banking industry rules on
interbank compensation, including, without limitation, the
Overnight Foreign Currency Rate in the case of loans denominated in
a Foreign Currency, until the second Business Day after such demand
and thereafter at the greater of the Base Rate or a rate determined
by the Administrative Agent in accordance with banking industry
rules on interbank compensation including, without limitation, the
Overnight Foreign Currency Rate in the case of loans denominated in
a Foreign Currency. If such Lender pays such amount to the
Administrative Agent, then such amount shall constitute such
Lender’s Loan included in the applicable Borrowing. If such
Lender does not pay such amount within two Business Days after the
Administrative Agent’s demand therefor, the Administrative
Agent may make a demand therefor upon the applicable Borrower, and
the applicable Borrower shall pay such amount to the Administrative
Agent, together with interest thereon for the Compensation Period
at a rate per annum equal to the rate of interest applicable to the
applicable Borrowing. Nothing herein shall be deemed to relieve any
Lender from its obligation to fulfill its Commitment or to
prejudice any rights which the Administrative Agent or any Borrower
may have against any Lender as a result of any default by such
Lender hereunder.
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A notice of the
Administrative Agent to any Lender with respect to any amount owing
under this subsection (d) shall be conclusive, absent manifest
error.
(e) If any
Lender makes available to the Administrative Agent funds for any
Loan to be made by such Lender as provided in the foregoing
provisions of this Article II , and the conditions to
the applicable Credit Extension set forth in Article IV
are not satisfied or waived in accordance with the terms hereof,
the Administrative Agent shall return such funds (in like funds as
received from such Lender) to such Lender, without
interest.
(f) The
obligations of the Lenders hereunder to make Revolving Loans and to
fund participations in Letters of Credit and Swingline Loans are
several and not joint. The failure of any Lender to make any
Revolving Loan or to fund any such participation on any date
required hereunder shall not relieve any other Lender of its
corresponding obligation to do so on such date, and no Lender shall
be responsible for the failure of any other Lender to so make its
Revolving Loan or purchase its participation.
(g) Subject
to Section 3.09 , nothing herein shall be deemed to
obligate any Lender to obtain the funds for any Loan in any
particular place or manner or to constitute a representation by any
Lender that it has obtained or will obtain the funds for any Loan
in any particular place or manner.
2.12 Sharing
of Payments. If, other than as expressly provided elsewhere
herein, any Lender shall obtain on account of any Revolving Loans
made by it, or the participations in L/C Exposure or Swingline
Exposure held by it, any payment (whether voluntary, involuntary,
through the exercise of any right of set-off, or otherwise) in
excess of its ratable share (or other share contemplated hereunder)
thereof, such Lender shall immediately (a) notify the
Administrative Agent of such fact, and (b) purchase from the
other Lenders such participations in the Revolving Loans made by
them and/or such subparticipations in the participations in L/C
Exposure or Swingline Exposure held by them as shall be necessary
to cause such purchasing Lender to share the excess payment in
respect of such Loans or such participations, as the case may be,
pro rata with each of them; provided , however , that
if all or any portion of such excess payment is thereafter
recovered from the purchasing Lender, such purchase shall to that
extent be rescinded and each other Lender shall repay to the
purchasing Lender the purchase price paid therefor, together with
an amount equal to such paying Lender’s ratable share
(according to the proportion of (i) the amount of such paying
Lender’s required repayment to (ii) the total amount so
recovered from the purchasing Lender) of any interest or other
amount paid or payable by the purchasing Lender in respect of the
total amount so recovered. The Borrowers agree that any Lender so
purchasing a participation from another Lender may, to the fullest
extent permitted by law, exercise all its rights of payment
(including the right of set-off, but subject to
Section 10.09 ) with respect to such participation as
fully as if such Lender were the direct creditor of the Borrowers
in the amount of such participation. The Administrative Agent will
keep records (which shall be conclusive and binding in the absence
of manifest error) of participations purchased under this
Section 2.12 and will in each case notify the Lenders
following any such purchases or repayments. Each Lender that
purchases a participation pursuant to this Section shall from
and after such purchase have the right to give all notices,
requests, demands, directions and other communications under this
Agreement with respect to the portion of the
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Obligations
purchased to the same extent as though the purchasing Lender were
the original owner of the Obligations purchased.
2.13 Swingline
Commitment . Subject to the terms and conditions set forth
herein, the Swingline Lender agrees to make Swingline Loans in
Dollars to the Company, from time to time from the Closing Date to
the Swingline Termination Date, in an aggregate principal amount
outstanding at any time not to exceed the lesser of (i) the
Swingline Commitment then in effect and (ii) the difference
between the Aggregate Commitments and the Dollar Equivalent of the
sum of (x) the Outstanding Amount of all Loans and L/C
Exposure; provided , that the Swingline Lender shall not be
required to make a Swingline Loan to refinance an outstanding
Swingline Loan. The Company shall be entitled to borrow, repay and
reborrow Swingline Loans in accordance with the terms and
conditions of this Agreement.
2.14 Procedure
for Swingline Borrowing; Etc.
(a) The
Company shall give the Administrative Agent written notice (or
telephonic notice promptly confirmed in writing) of each Swingline
Borrowing substantially in the form of Exhibit B attached
hereto (a “ Swingline Notice ”) prior to
10:00 a.m., New York time, on the requested date of each
Swingline Borrowing. Each Swingline Notice shall be irrevocable and
shall specify: (i) the principal amount of such Swingline
Loan, (ii) the date of such Swingline Loan (which shall be a
Business Day) and (iii) the account of the Company to which
the proceeds of such Swingline Loan should be credited. The
Administrative Agent will promptly advise the Swingline Lender of
each Swingline Notice. Each Swingline Loan shall accrue interest at
the Base Rate or any other interest rate as agreed between the
Company and the Swingline Lender and shall have an Interest Period
(subject to (a)(i) and (iii) to the definition thereof) as
agreed between the Company and the Swingline Lender. The aggregate
principal amount of each Swingline Loan shall be not less than
$100,000 or a larger multiple of $50,000, or such other minimum
amounts agreed to by the Swingline Lender and the Company. The
Swingline Lender will make the proceeds of each Swingline Loan
available to the Company in Dollars in immediately available funds
at the account specified by the Company in the applicable Swingline
Notice not later than 1:00 p.m., New York time, on the requested
date of such Swingline Loan.
(b) The
Swingline Lender, at any time and from time to time in its sole
discretion, may, on behalf of the Company (which hereby irrevocably
authorizes and directs the Swingline Lender to act on its behalf),
give a Revolving Loan Notice to the Administrative Agent requesting
the Lenders (including the Swingline Lender) to make Base Rate
Loans in an amount equal to the unpaid principal amount of any
Swingline Loan. Each Lender will make the proceeds of its Base Rate
Loan included in such Borrowing available to the Administrative
Agent for the account of the Swingline Lender in accordance with
Section 2.02 , which will be used solely for the
repayment of such Swingline Loan.
(c) If for
any reason a Base Rate Loan may not be (as determined in the sole
discretion of the Administrative Agent), or is not, made in
accordance with the foregoing provisions, then each Lender (other
than the Swingline Lender) shall purchase an undivided
participating interest in such Swingline Loan in an amount equal to
its Pro Rata Share thereof on the date that such Base Rate Loan
should have occurred. On the date of such required
purchase,
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each Lender
shall promptly transfer, in immediately available funds, the amount
of its participating interest to the Administrative Agent for the
account of the Swingline Lender. If such Swingline Loan bears
interest at a rate other than the Base Rate, such Swingline Loan
shall automatically become a Base Rate Loan on the effective date
of any such participation and interest shall become payable on
demand.
(d) Each
Lender’s obligation to make a Base Rate Loan pursuant to
Section 2.14(b) or to purchase the participating
interests pursuant to Section 2.14(c) shall be absolute
and unconditional and shall not be affected by any circumstance,
including without limitation (i) any set-off, counterclaim,
recoupment, defense or other right that such Lender or any other
Person may have or claim against the Swingline Lender, the Company
or any other Person for any reason whatsoever, (ii) the
existence of a Default or an Event of Default or the termination of
any Lender’s Commitment, (iii) any breach of this
Agreement or any other Loan Document by the Company, the
Administrative Agent or any Lender or (iv) any other
circumstance, happening or event whatsoever including, without
limitation, the existence (or alleged existence) of any Material
Adverse Effect, whether or not similar to any of the foregoing. If
such amount is not in fact made available to the Swingline Lender
by any Lender, the Swingline Lender shall be entitled to recover
such amount on demand from such Lender, together with accrued
interest thereon for each day from the date of demand thereof
(i) at the Federal Funds Rate until the second Business Day
after such demand and (ii) at the Base Rate at all times
thereafter. Until such time as such Lender makes its required
payment, the Swingline Lender shall be deemed to continue to have
outstanding Swingline Loans in the amount of the unpaid
participation for all purposes of the Loan Documents. In addition,
such Lender shall be deemed to have assigned any and all payments
made of principal and interest on its Loans and any other amounts
due to it hereunder, to the Swingline Lender to fund the amount of
such Lender’s participation interest in such Swingline Loans
that such Lender failed to fund pursuant to this Section, until
such amount has been purchased in full.
2.15 Increase
in Commitments; Additional Lenders.
(a) So long
as no Event of Default has occurred and is continuing, from time to
time after the Closing Date, the Company may, upon at least
30 days’ written notice to the Administrative Agent (who
shall promptly provide a copy of such notice to each Lender),
propose to increase the Aggregate Commitments by an amount not to
exceed $500,000,000 (the amount of any such increase, the “
Additional Commitment Amount ”), provided ,
however , that at no time shall the Aggregate Commitments
exceed $1,250,000,000. Each Lender shall have the right for a
period of 15 days following receipt of such notice, to elect
by written notice to the Company and the Administrative Agent to
increase its Commitment by a principal amount up to its Pro Rata
Share of the Additional Commitment Amount. No Lender (or any
successor thereto) shall have any obligation to increase its
Commitment or its other obligations under this Agreement and the
other Loan Documents, and any decision by a Lender to increase its
Commitment shall be made in its sole discretion independently from
any other Lender. Any Lender that fails to respond to such notice
shall be deemed to have declined to increase its
Commitment.
(b) If any
Lender shall not elect to increase its Commitment pursuant to
subsection (a) of this Section 2.15 , the Company
may designate another bank or other financial
institution
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(which may be,
but need not be, one or more of the existing Lenders) which at the
time agrees to, in the case of any such Person that is an existing
Lender, increase its Commitment and in the case of any other such
Person (an “ Additional Lender ”), become a
party to this Agreement; provided , however , that
any new bank or financial institution must be acceptable to the
Administrative Agent, which acceptance will not be unreasonably
withheld or delayed. The sum of the increases in the Commitments of
the existing Lenders pursuant to this subsection (b) plus the
Commitments of the Additional Lenders shall not in the aggregate
exceed the unsubscribed amount of the Additional Commitment
Amount.
(c) An
increase in the aggregate amount of the Commitments pursuant to
this Section 2.15 shall become effective upon the receipt by
the Administrative Agent of a supplement or joinder in form and
substance satisfactory to the Administrative Agent executed by the
Company, and by each Additional Lender and by each other Lender
whose Commitment is to be increased, setting forth the new
Commitments of such Lenders and setting forth the agreement of each
Additional Lender to become a party to this Agreement and to be
bound by all the terms and provisions hereof, and such evidence of
appropriate corporate authorization on the part of the Company with
respect to the increase in the Commitments and such opinions of
counsel for the Company with respect to the increase in the
Commitments as the Administrative Agent may reasonably
request.
(d) Upon the
acceptance of any such agreement by the Administrative Agent, each
Additional Lender shall automatically be deemed a Lender for all
purposes hereunder, the Aggregate Commitments shall automatically
be increased by the amount of the Commitments added through such
agreement and Schedule 2.01 shall automatically be
deemed amended to reflect the Commitments of all Lenders after
giving effect to the addition of such Commitments.
(e) Upon any
increase in the aggregate amount of the Commitments pursuant to
this Section 2.15 that is not pro rata among all Lenders,
(i) within five Business Days, in the case of any Base Rate
Loans then outstanding, and at the end of the then current Interest
Period with respect thereto, in the case of any Eurocurrency Rate
Loans then outstanding, the Borrowers shall prepay their respective
Loans in their entirety and, to the extent the Company elects to do
so and subject to the conditions specified in
Article IV , the Borrowers shall reborrow Loans from
the Lenders in proportion to their respective Commitments after
giving effect to such increase, until such time as all outstanding
Loans are held by the Lenders in proportion to their respective
Commitments after giving effect to such increase and
(ii) effective upon such increase, the amount of the
participations held by each Lender in each Letter of Credit then
outstanding shall automatically be adjusted such that, after giving
effect to such adjustments, the Lenders shall hold participations
in each such Letter of Credit in proportion to their respective
Commitments.
2.16
Subsidiary Borrowers.
(a) Upon not
less than five (5) Business Days notice, any Eligible
Restricted Subsidiary may become a Subsidiary Borrower hereunder by
delivering to the Administrative Agent a supplement or joinder in
form and substance reasonably satisfactory to the Administrative
Agent executed by such Restricted Subsidiary and the Company (a
“ Subsidiary Joinder Agreement ”), setting forth
the agreement of such Restricted Subsidiary to become a party to
this Agreement as a Subsidiary Borrower and to be bound by all the
terms and
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provisions
hereof, and such evidence of appropriate corporate authorization on
the part of such Eligible Restricted Subsidiary and such opinions
of counsel for such Eligible Restricted Subsidiary as the
Administrative Agent may reasonably request; provided ,
however , it shall be a condition to the effectiveness of
such Eligible Restricted Subsidiary becoming a Subsidiary Borrower
hereunder that after giving effect to such Subsidiary Joinder
Agreement, (i) the representations and warranties of the Borrowers
contained in Article V (but excluding the
representation set forth in Section 5.05(b) ) or in any
other Loan Document shall be true and correct in all material
respects, (ii) no Default or Event of Default shall exist, or
would result therefrom and (iii) if such joinder obligates the
Administrative Agent or any Lender to comply with “know your
customer” or similar identification procedures in
circumstances where the necessary information is not already
available to it, the Company shall have supplied such documentation
and other evidence as is reasonably requested by the Administrative
Agent or any Lender in order for the Administrative Agent or such
Lender to carry out and be satisfied it has complied with the
results of all necessary “know your customer” or other
similar checks under all applicable laws and regulations, and such
compliance has been confirmed.
(b) The
eligibility of any Subsidiary Borrower to continue to borrow under
this Agreement shall terminate when the Administrative Agent
receives an election to terminate an Eligible Restricted
Subsidiary’s status as a Subsidiary Borrower, in form and
substance satisfactory to the Administrative Agent (the “
Subsidiary Termination Agreement ”). The delivery of a
Subsidiary Termination Agreement shall not affect any obligation of
such Subsidiary Borrower hereunder incurred prior to delivery of
such Subsidiary Termination Agreement.
(c) Each
Subsidiary Joinder Agreement delivered to the Administrative Agent
shall be duly executed on behalf of the relevant Eligible
Restricted Subsidiary and the Company, and each Subsidiary
Termination Agreement delivered to the Administrative Agent shall
be duly executed on behalf of the Company, in such number of copies
as the Administrative Agent may request. The Administrative Agent
shall promptly give notice to the Lenders and the L/C Issuers of
its receipt of any Subsidiary Joinder Agreement or Subsidiary
Termination Agreement and provide a copy of each such Subsidiary
Joinder Agreement and Subsidiary Termination Agreement to each L/C
Issuer and each Lender.
(d) If the
Company shall deliver a Subsidiary Joinder Agreement with respect
to any Subsidiary not organized under the laws of the United States
or any State thereof, any Lender may, with notice to the
Administrative Agent and the Company, fulfill its Commitment by
causing an Affiliate of such Lender to act as the Lender in respect
of such Subsidiary Borrower (and such Lender shall, to the extent
of Loans made to such Borrower, be deemed for all purposes hereof
to have pro tanto assigned such Loans to such Affiliate in
compliance with the provisions of this Agreement; provided
that such Lender shall have delivered to the Administrative Agent
an Assignment and Acceptance with respect to such deemed
assignment).
(e) If
(i) a Subsidiary Borrower at any time ceases to be an Eligible
Restricted Subsidiary (by reason of a Subsidiary Termination
Agreement being delivered to the Administrative Agent, by reason of
such Subsidiary no longer being wholly owned, directly or
indirectly, by the Company or otherwise) or (ii) an Event of
Default specified in Section 8.01(f) occurs with
respect to a Subsidiary Borrower:
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(x) the Lenders
will have no obligation to make any further Loans to such
Subsidiary Borrower, and
(y) the Company
will inform each Lender of the relevant event described in clause
(i) or (ii) of this subsection (e) within three Business
Days after it occurs and, within 30 days after being requested to
do so by any Lender, will expressly assume the outstanding
Revolving Credit Exposure of the relevant Subsidiary Borrower
(including accrued and unpaid interest and fees
thereon).
ARTICLE III.
TAXES, YIELD PROTECTION AND ILLEGALITY
(a) Any and
all payments made by any Borrower to or for the account of the
Administrative Agent or any Lender under any Loan Document shall be
made free and clear of and without deduction for any and all
present or future taxes, duties, levies, imposts, deductions,
assessments, fees, withholdings or similar charges, and all
liabilities with respect thereto incurred in connection with, or as
a direct or indirect result of, any Borrowing or payment on a
Borrowing, or other payments made pursuant to this Agreement,
excluding the Excluded Taxes (all such taxes, duties, levies,
imposts, deductions, assessments, fees, withholdings or similar
charges, and liabilities, other than the Excluded Taxes, being
hereinafter referred to as “ Taxes ”). If any
Borrower shall be required by any Laws to deduct any Taxes from or
in respect of any sum payable under any Loan Document to the
Administrative Agent or any Lender, (i) the sum payable shall
be increased as necessary so that after making all required
deductions (including deductions applicable to additional sums
payable under this Section 3.01 ), the Administrative
Agent and such Lender receives an amount equal to the sum it would
have received had no such deductions been made, (ii) the
applicable Borrower shall make such deductions, (iii) the
applicable Borrower or the Company shall pay the full amount
deducted to the relevant taxation authority or other authority in
accordance with applicable Laws, and (iv) within 30 days
after the date of such payment, the Company shall furnish to the
Administrative Agent (which shall forward the same to such Lender)
the original or a certified copy of a receipt evidencing payment
thereof or other evidence of payment reasonably satisfactory to the
Administrative Agent.
(b) In
addition, the Company shall, or shall cause the applicable Borrower
to, pay any and all present or future stamp, court or documentary
taxes and any other excise or property taxes or charges or similar
levies which arise from any payment made under any Loan Document
with respect to an Obligation of such Borrower or from the
execution, delivery, performance, enforcement or registration of,
or otherwise with respect to, any Loan Document (hereinafter
referred to as “ Other Taxes ”).
(c) If any
Borrower shall be required to deduct or pay any Taxes or Other
Taxes from or in respect of any sum payable under any Loan Document
to the Administrative Agent or any Lender, such Borrower or the
Company shall also pay to the Administrative Agent (for the account
of such Lender) or to such Lender, at the time interest is paid,
such additional amount
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that such
Lender specifies as necessary to preserve the after-tax yield
(after factoring in all taxes, including taxes imposed on or
measured by net income, and all available tax credits) such Lender
would have received if such Taxes or Other Taxes had not been
imposed.
(d) Each of
the Borrowers agrees to indemnify the Administrative Agent and each
Lender for (i) the full amount of Taxes and Other Taxes
(including any Taxes or Other Taxes imposed or asserted by any
jurisdiction on amounts payable under this Section 3.01
) paid by the Administrative Agent and such Lender and attributable
to such Borrower, (ii) amounts payable under
Section 3.01(c) and (iii) any liability (including
penalties, interest and expenses) arising therefrom or with respect
thereto, in each case whether or not such Taxes or Other Taxes were
correctly or legally imposed or asserted by the relevant
Governmental Authority. In the event that such Taxes or Other Taxes
referred to in clause (iii) shall exceed $100,000, the Lender
subject to such Taxes or Other Taxes shall (x) notify the
Company of such imposition or assertion and (y) the Company,
solely at its own expense, may cause such Lender to contest the
imposition or assertion of such Taxes or Other Taxes as to which
there exists no reasonable basis. The respective Borrowers shall
fully indemnify such Lender for all costs (including any
liabilities, penalties, interest and expenses) incurred by such
Lender in connection with any such contest to the extent necessary
to preserve such Lender’s after-tax yield. Nothing contained
in this subsection (d) (A) obligates the Administrative Agent
or any Lender (or any of their respective Affiliates) to disclose
to any Borrower any of its tax records or materials relating
thereto, (B) shall interfere with the right of the Administrative
Agent or any Lender (or any of their respective Affiliates) to
arrange its taxation and financial affairs in whatever manner it
deems appropriate, or (C) obligates the Administrative Agent
or any Lender (or any of their respective Affiliates) to claim
relief from taxation on its corporate profits or, subject to clause
(y) above, to claim any credits, deductions or other relief
otherwise available to it with respect to its tax affairs. Payment
under this subsection (d) shall be made within 30 days
after the date the Lender or the Administrative Agent makes a
demand therefor.
(e) Any
Foreign Lender that is entitled to an exemption from or reduction
of withholding tax under the Code or any treaty to which the United
States is a party, with respect to payments under this Agreement
shall deliver to the Company and the Administrative Agent, at the
time or times prescribed by applicable Law, such properly completed
and executed documentation prescribed by applicable Law or
reasonably requested by the Company or the Administrative Agent as
will permit such payments to be made without withholding or at a
reduced rate. Without limiting the generality of the foregoing,
each Foreign Lender agrees that it will deliver to the
Administrative Agent and the Company (or in the case of a
Participant, to the Lender from which the related participation
shall have been purchased), as appropriate, two (2) duly
completed copies of (i) Internal Revenue Service Form W-8 ECI,
or any successor form thereto, certifying that the payments
received from the Borrowers hereunder are effectively connected
with such Foreign Lender’s conduct of a trade or business in
the United States; or (ii) Internal Revenue Service Form W-8
BEN, or any successor form theret
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