WHITEHALL JEWELLERS INC
AMENDED AND RESTATED TERM LOAN CREDIT AGREEMENT
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>4
<FILENAME>c02121exv10w1.htm
<DESCRIPTION>AMENDED AND RESTATED TERM LOAN CREDIT AGREEMENT
<TEXT>
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<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.1</B>
</DIV>
<DIV align="right" style="font-size: 10pt; margin-top: 6pt"><B>CONFORMED COPY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">This instrument and the rights and obligations evidenced hereby, the liens and security
interests securing the indebtedness and other obligations incurred or arising under or evidenced by
this instrument and the rights and obligations evidenced hereby with respect to such liens are
subordinate in the manner and to the extent set forth in that certain Amended and Restated
Intercreditor and Lien Subordination Agreement (as the same may be amended or otherwise modified
from time to time pursuant to the terms thereof, the &#147;Subordination Agreement&#148;), dated as of
February&nbsp;1, 2006 between LASALLE BANK NATIONAL ASSOCIATION, as Administrative Agent and Collateral
Agent (the &#147;Senior Agent&#148;) for the Banks and the Accommodation Banks (collectively, and together
with the Senior Agent and any of their successors and assigns, including any other lender or
lenders that at any time refinance or replace the Senior Debt referred to below, the &#147;Senior
Creditors&#148;) pursuant to that certain Second Amended and Restated Revolving Credit and Gold
Consignment Agreement dated as of July&nbsp;29, 2003, as amended by that certain First Amendment to
Second Amended and Restated Revolving Credit and Gold Consignment Agreement dated as of March&nbsp;23,
2004, that certain Second Amendment to Second Amended and Restated Revolving Credit and Gold
Consignment Agreement dated as of January&nbsp;31, 2005, that certain Third Amendment to Second Amended
and Restated Revolving Credit and Gold Consignment Agreement dated as of April&nbsp;6, 2005, and that
certain Waiver, Consent, and Fourth Amendment to Second Amended and Restated Revolving Credit and
Gold Consignment Agreement dated as of October&nbsp;3, 2005 (collectively, the &#147;Senior Credit
Agreement&#148;),and PWJ LENDING LLC, as Administrative Agent and Collateral Agent (the &#147;Subordinating
Agent&#148;), for the Agents and the Lenders (collectively, the Subordinating Agent together with the
Agents and Lenders party to the Subordinated Credit Agreement, the &#147;Subordinating Creditors&#148;) party
to that certain Bridge Term Loan Credit Agreement, dated as of October&nbsp;3, 2005, which was amended
and restated in its entirety on February&nbsp;1, 2006 (the &#147;Subordinated Credit Agreement&#148;), and
WHITEHALL JEWELLERS, INC., a Delaware corporation (the &#147;Borrower&#148;), as such Senior Credit Agreement
has been and hereafter may be amended, restated, supplemented or otherwise modified from time to
time as permitted under the Subordination Agreement and to the liens and security interests
securing indebtedness refinancing the indebtedness under such agreements as permitted by the
Subordination Agreement; and each holder of this instrument, by its acceptance hereof, irrevocably
agrees to be bound by the provisions of the Subordination Agreement applicable to the Subordinating
Creditors as if such holder were a Subordinating Creditor for all purposes of the Subordination
Agreement.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>AMENDED AND RESTATED TERM LOAN<BR>
CREDIT AGREEMENT</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Dated as of February&nbsp;1, 2006</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">by and among

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>WHITEHALL JEWELLERS, INC.,</B><BR>
as Borrower

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>THE LENDING INSTITUTIONS FROM TIME TO TIME PARTY HERETO,</B><BR>
as Lenders

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">and

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>PWJ LENDING LLC</B><BR>
as Administrative Agent and Collateral Agent,<BR>
for the Agents and the Lenders

</DIV>

<P align="center" style="font-size: 10pt">&nbsp;
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TABLE OF CONTENTS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
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<TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Page</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>1.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>DEFINITIONS AND RULES OF INTERPRETATION</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>2.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>LOANS</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>3.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>INTENTIONALLY OMITTED</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>4.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>INTENTIONALLY OMITTED</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>5.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>CERTAIN GENERAL PROVISIONS</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>6.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>COLLATERAL SECURITY</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>7.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>REPRESENTATIONS AND WARRANTIES</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>8.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>AFFIRMATIVE COVENANTS OF THE BORROWER</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>9.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>CERTAIN NEGATIVE COVENANTS OF THE BORROWER</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>10.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>FINANCIAL COVENANTS OF THE BORROWER</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>11.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>CLOSING CONDITIONS</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>12.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>INTENTIONALLY DELETED</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>13.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>EVENTS OF DEFAULT; ACCELERATION; ETC</B>.</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>14.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>SETOFF</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>15.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>THE AGENTS</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>16.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>EXPENSES</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>17.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>INDEMNIFICATION</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>18.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>SURVIVAL OF COVENANTS, ETC</B>.</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>19.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>ASSIGNMENT AND PARTICIPATION</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>20.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>NOTICES, ETC</B>.</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>21.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>GOVERNING LAW</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>22.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>HEADINGS</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>23.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>COUNTERPARTS</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="7" align="center">- i -<BR></TD>
</TR>
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</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TABLE OF CONTENTS</B><BR>
(continued)
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Page</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>24.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>ENTIRE AGREEMENT, ETC</B>.</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>25.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>WAIVER OF JURY TRIAL</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>26.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>INTENTIONALLY OMITTED</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>27.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>SEVERABILITY</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>28.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>INTERCREDITOR AGREEMENT</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><B>29.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>NO NOVATION</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="7" align="center">- ii -<BR></TD>
</TR>
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</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>AMENDED AND RESTATED TERM LOAN<BR>
CREDIT AGREEMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This <B>AMENDED AND RESTATED TERM LOAN CREDIT AGREEMENT </B>is made as of February&nbsp;1, 2006, by and
among (a) <B>WHITEHALL JEWELLERS, INC. </B>(the &#147;Borrower&#148;), a Delaware corporation having its principal
place of business at 155 North Wacker Drive, Suite&nbsp;500, Chicago, Illinois 60606; (b)&nbsp;the lending
institutions from time to time party hereto (collectively, the &#147;Lenders&#148;); and (c) <B>PWJ LENDING LLC</B>
(&#147;Prentice&#148;), a Delaware limited liability company, as administrative agent (in such capacity, the
&#147;Administrative Agent&#148;) and the collateral agent (in such capacity, the &#147;Collateral Agent&#148;) for the
Agents (as hereinafter defined) and the Lenders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, the Lenders extended a term loan to the Borrower in the principal amount of
$30,000,000 (the &#147;Initial Loan&#148;), pursuant to the Bridge Term Loan Credit Agreement, dated as of
October&nbsp;3, 2005 (the &#147;Original Credit Agreement&#148;) by and among the Borrower, the Lenders and the
Agents;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS, </B>the Borrower has requested that the Original Credit Agreement be amended and restated
in its entirety to, among other things, make an additional term loan to the Borrower in the
aggregate principal amount of $20,000,000, for, among other things, general corporate and working
capital purposes; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, the Lenders are willing to amend and restate the Original Credit Agreement in
accordance with the terms and conditions set forth herein; it being understood that no repayment of
the outstanding principal amount of the &#147;Term Loans&#148; (as defined in the Original Credit Agreement)
under the Original Credit Agreement on the Amended and Restated Effective Date (as defined below)
is being effected hereby.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>NOW, THEREFORE</B>, in consideration of the mutual covenants and agreements contained herein and
benefits to be derived herefrom, the Borrower, the Lenders and the Agents agree as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>1. </B><U><B>DEFINITIONS AND RULES OF INTERPRETATION</B></U>.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <U>Definitions</U>. The following terms shall have the meanings set forth in this
Section&nbsp;1 or elsewhere in the provisions of this Credit Agreement referred to below:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Additional Loan</U>. The term loan to be made by the Lenders to the Borrower pursuant to
Section&nbsp;2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Additional Loan Commitment</U>. With respect to each Lender, the amount set forth on
<U>Schedule&nbsp;1</U> hereto as the amount of such Lender&#146;s commitment to make the Additional Loan to
the Borrower.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Administrative Agent</U>. Prentice, in its capacity as administrative agent for the
benefit of Lenders and the Agents and with respect to the Security Documents.
</DIV>

<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Administrative Agent&#146;s Head Office</U>. The Administrative Agent&#146;s head office located at
623 Fifth Avenue, 32nd Floor, New York, New York 10022.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Administrative Agent&#146;s Special Counsel</U>. Schulte Roth &#038; Zabel LLP, or such other
counsel as may be approved by the Administrative Agent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Affiliate</U>. Any Person (other than Prentice, its Affiliates, associates and Related
Funds) that would be considered to be an affiliate of the Borrower under Rule 144(a) of the Rules
and Regulations of the Securities and Exchange Commission, as in effect on the date hereof, if the
Borrower were issuing securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Agents</U>. Collectively, the Administrative Agent and the Collateral Agent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Amended and Restated Effective Date</U>. The date on which all of the conditions
precedent set forth in Section&nbsp;11 are satisfied or waived.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Asset Disposition Prepayment</U>. See Section&nbsp;5.4.3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Assignment and Acceptance</U>. See Section&nbsp;19.1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Balance Sheet Date</U>. December&nbsp;31, 2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Blocked Account Agreement</U>. Each Blocked Account Agreement entered into by the
Borrower, the Senior Administrative Agent and a depository institution satisfactory to the Senior
Administrative Agent, which shall be in form and substance acceptable to the Administrative Agent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Borrower</U>. As defined in the preamble hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Borrowing Base Report</U>. A Borrowing Base Report, as defined in and as attached to the
Senior Credit Agreement as Exhibit&nbsp;A.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Business Day</U>. Any day, other than a Saturday or Sunday, on which banking institutions
in Chicago, Illinois and New York, New York are open for the transaction of banking business.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Capital Assets</U>. Fixed and/or capital assets, both tangible (such as land, buildings,
fixtures, samples, tools and die, software, software development, machinery and equipment) and
intangible (such as software, patents, copyrights, trademarks, franchises and goodwill);
<U>provided</U> that Capital Assets shall not include any item customarily charged directly to
expense or depreciated over a useful life of twelve (12)&nbsp;months or less in accordance with
Generally Accepted Accounting Principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Capital Expenditures</U>. Amounts paid or indebtedness incurred by the Borrower or any of
its Subsidiaries in connection with the purchase or lease by the Borrower or any of its
Subsidiaries of Capital Assets that would be required to be capitalized and shown on the balance
sheet of such Person in accordance with Generally Accepted Accounting Principles.
</DIV>

<P align="center" style="font-size: 10pt">- 2 -
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Capitalized Leases</U>. Leases under which the Borrower or any of its Subsidiaries is the
lessee or obligor, the discounted future rental payment obligations under which are required to be
capitalized on the balance sheet of the lessee or obligor in accordance with Generally Accepted
Accounting Principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>CERCLA</U>. See Section&nbsp;7.18.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Closing Date</U>. The first date on which the conditions set forth in Section&nbsp;11 have
been satisfied or waived and the Additional Loan is made.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Closing Date Portion of the Closing Fee</U>. See Section&nbsp;5.6.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Closing Fee</U>. See Section&nbsp;5.6.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Code</U>. The Internal Revenue Code of 1986, as amended.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Collateral</U>. All of the property, rights and interests of the Borrower that are or are
intended to be subject to the security interests created by the Security Documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Collateral Agent</U>. Prentice, in its capacity as collateral agent for the benefit of
Lenders and the Agents under and with respect to the Security Documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Collateral Trustee</U>. The collateral trustee appointed to act on behalf of the
Suppliers, as set forth in the Trade Vendor Extension Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Commitment</U>. With respect to each Lender, the amount set forth on <U>Schedule&nbsp;1</U>
hereto as the amount of such Lender&#146;s commitment to make the Initial Loan and/or the Additional
Loan, as the case may be, to the Borrower.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Commitment Percentage</U>. With respect to each Lender, the percentage set forth on
Schedule&nbsp;1 hereto as such Lender&#146;s percentage of the aggregate Commitments of all of the Lenders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Consolidated or consolidated</U>. With reference to any term defined herein, shall mean
that term as applied to the accounts of the Borrower and its Subsidiaries, consolidated in
accordance with Generally Accepted Accounting Principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Consolidated EBITDA</U>. With respect to the Borrower and its Subsidiaries and any
particular fiscal period, the consolidated earnings (or loss) from operations of the Borrower and
its Subsidiaries for such period, after eliminating therefrom all non-cash extraordinary
nonrecurring items of income (including gains on the sale of assets and earnings from the sale of
discontinued business lines), and after all expenses and other proper charges, but before payment
or provision for (a)&nbsp;any income taxes or interest expenses for such period, (b)&nbsp;depreciation for
such period, (c)&nbsp;amortization for such period, and (d)&nbsp;all other non-cash charges for such period,
all determined in accordance with Generally Accepted Accounting Principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Credit Agreement</U>. This Amended and Restated Term Loan Credit Agreement, including the
Schedules and Exhibits hereto, as may be amended, modified or restated from time to time.
</DIV>

<P align="center" style="font-size: 10pt">- 3 -
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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Default</U>. See Section&nbsp;13.1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Deferred Portion of the Closing Fee</U>. See Section&nbsp;5.6.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Delinquent Lender</U>. Means any Lender that fails (i)&nbsp;to make available to the
Administrative Agent its pro rata share of any Loan or (ii)&nbsp;to comply with the provisions of
Section&nbsp;15 with respect to making dispositions and arrangements with the other Lenders, where such
Lender&#146;s share of any payment received, whether by setoff or otherwise, is in excess of its pro
rata share of such payments due and payable to all of the Lenders, in each case as, when and to the
full extent required by the provisions of this Credit Agreement. A &#147;Delinquent Lender&#148; shall be
deemed a Delinquent Lender until such time as such delinquency is satisfied.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Distribution</U>. The declaration or payment of any dividend on or in respect of any
shares of any class of capital stock of the Borrower, other than dividends payable solely in shares
of common stock of the Borrower; the purchase, redemption, or other retirement of any shares of any
class of capital stock of the Borrower, directly or indirectly through a Subsidiary of the Borrower
or otherwise; the return of capital by the Borrower to its shareholders as such; or any other
distribution on or in respect of any shares of any class of capital stock of the Borrower.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Dollars</U> or <U>$</U>. Dollars in lawful currency of the United States of America.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Eligible Assignee</U>. Any of (i)&nbsp;a commercial bank or finance company organized under
the laws of the United States, or any State thereof or the District of Columbia, and having total
assets in excess of $1,000,000,000; (ii)&nbsp;any Affiliate or Related Fund of an Agent or Lender; (iii)
a savings and loan association or savings bank organized under the laws of the United States, or
any State thereof or the District of Columbia, and having a net worth of at least $100,000,000,
calculated in accordance with Generally Accepted Accounting Principles; (iv)&nbsp;a commercial bank
organized under the laws of any other country which is a member of the Organization for Economic
Cooperation and Development (the &#147;OECD&#148;), or a political subdivision of any such country, and
having total assets in excess of $1,000,000,000, <U>provided</U> that such bank is acting through
a branch or agency located in the country in which it is organized or another country which is also
a member of the OECD; (v)&nbsp;the central bank of any country which is a member of the OECD; and (vi)
if, but only if, any Event of Default has occurred and is continuing, any other bank, insurance
company, commercial finance company or other financial institution or other Person approved by the
Administrative Agent, such approval not to be unreasonably withheld.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Employee Benefit Plan</U>. Any employee benefit plan within the meaning of Section&nbsp;3(3)
of ERISA maintained of contributed to by the Borrower or any ERISA Affiliate, other than a
Multiemployer Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Environmental Laws</U>. See Section&nbsp;7.18(a).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>ERISA</U>. The Employee Retirement Income Security Act of 1974.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>ERISA Affiliate</U>. Any Person which is treated as a single employer with the Borrower
under Section&nbsp;414 of the Code.
</DIV>

<P align="center" style="font-size: 10pt">- 4 -
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>ERISA Reportable Event</U>. A reportable event with respect to a Guaranteed Pension Plan
within the meaning of Section&nbsp;4043 of ERISA and the regulations promulgated thereunder as to which
the requirement of notice has not been waived.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Event of Default</U>. See Section&nbsp;13.1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Exit Fee</U>. The exit fee is $2,000,000 (which amount is equal to four percent (4.00%)
of the original principal amount of the Initial Loan and the Additional Loan).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Foreign Subsidiary</U>. See Section&nbsp;8.19.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Generally Accepted Accounting Principles or GAAP</U>. (i)&nbsp;When used in Section&nbsp;10,
whether directly or indirectly through reference to a capitalized term used therein, means (A)
principles that are consistent with the principles promulgated or adopted by the Financial
Accounting Standards Board and its predecessors, in effect for the fiscal year ended on the Balance
Sheet Date, and (B)&nbsp;to the extent consistent with such principles, the accounting practice of the
Borrower reflected in its financial statements for the year ended on the Balance Sheet Date;
<U>provided</U>, <U>however</U>, that if any change in such principles promulgated by the
Financial Accounting Standards Board and its predecessors following the Balance Sheet Date would
affect (or would result in a change in the method of calculation of) any of the covenants set forth
in Section&nbsp;10 or any definition related thereto, then the Borrower, the Agents and the Lenders will
negotiate in good faith to amend all such covenants and definitions as would be affected by such
changes in such principles to the extent necessary to maintain the economic terms of such covenants
as in effect under this Credit Agreement immediately prior to giving effect to such changes in such
principles; <U>provided</U> <U>further</U> that until the amendment of such covenants and
definitions shall have been agreed upon by the Borrower, the Agents and the Required Lenders, the
covenants and definitions in effect immediately prior to such amendment shall remain in effect and
any determination of compliance with any covenant set forth in Section&nbsp;10 shall be construed in
accordance with Generally Accepted Accounting Principles as in effect immediately prior to such
amendment and consistently applied, and (ii)&nbsp;when used in general, other than as provided above,
means principles that are (A)&nbsp;consistent with the principles promulgated or adopted by the
Financial Accounting Standards Board and its predecessors, as in effect from time to time, and (B)
consistently applied with past financial statements of the Borrower adopting the same principles,
provided that in each case referred to in this definition of &#147;Generally Accepted Accounting
Principles&#148; a certified public accountant would, insofar as the use of such accounting principles
is pertinent, be in a position to deliver an unqualified opinion (other than a qualification
regarding changes in Generally Accepted Accounting Principles) as to financial statements in which
such principles have been properly applied.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Guaranteed Pension Plan</U>. Any employee pension benefit plan within the meaning of
Section&nbsp;3(2) of ERISA maintained or contributed to by the Borrower or any ERISA Affiliate the
benefits of which are guaranteed on termination in full or in part by the PBGC pursuant to Title IV
of ERISA, other than a Multiemployer Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Guarantor Consent</U>. The Acknowledgement, Consent and Reaffirmation by Guarantor, dated
as of the Closing Date, made by WH Inc. of Illinois, as Guarantor in favor of the Agents and the
Lenders.
</DIV>

<P align="center" style="font-size: 10pt">- 5 -
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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Guarantors</U>. WH Inc. of Illinois, an Illinois corporation, and any other Person who
becomes a direct or indirect Subsidiary of the Borrower after the Closing Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Guaranty</U>. Each Guaranty Agreement executed by each Guarantor in favor of the
Collateral Agent, substantially in the form of <U>Exhibit&nbsp;C</U> hereunder or under the Original
Credit Agreement, as each may be amended, modified or restated from time to time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Hazardous Substances</U>. See Section&nbsp;7.18(b).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Headquarters Landlord Consent</U>. The Landlord Consent and Waiver, to be given by the
lessor with respect to the Borrower&#146;s leased real property located in Chicago, Illinois at which
the Borrower maintains its headquarters and central warehouse, such Headquarters Landlord Consent
being in form and substance satisfactory to the Lenders and the Agents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Indebtedness</U>. As to any Person and whether recourse is secured by or is otherwise
available against all or only a portion of the assets of such Person and whether or not contingent,
but without duplication:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;every obligation of such Person for money borrowed,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;every obligation of such Person evidenced by bonds, debentures, notes or other similar
instruments, including obligations incurred in connection with the acquisition of property, assets
or businesses,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;every reimbursement obligation of such Person with respect to letters of credit,
bankers&#146; acceptances or similar facilities issued for the account of such Person,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)&nbsp;every obligation of such Person issued or assumed as the deferred purchase price of
property or services (including securities repurchase agreements but excluding trade accounts
payable or accrued liabilities arising in the ordinary course of business which are not overdue or
which are being contested in good faith),
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)&nbsp;every obligation of such Person under any Capitalized Lease,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)&nbsp;every obligation of such Person under any lease (generally referred to as being a
&#147;synthetic lease&#148;) treated as an operating lease under Generally Accepted Accounting Principles and
as a loan or financing for United States income tax purposes and pursuant to which the lessee
retains economic risk with respect to the value of the residual interest in the leased property,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)&nbsp;all sales by such Person of (A)&nbsp;accounts or general intangibles for money due or to
become due, (B)&nbsp;chattel paper, instruments or documents creating or evidencing a right to payment
of money or (C)&nbsp;other receivables (collectively &#147;receivables&#148;), whether pursuant to a purchase
facility or otherwise, other than in connection with the disposition of the business operations of
such Person relating thereto or a disposition of defaulted receivables for collection and not as a
financing arrangement, and together with any obligation of such Person to pay any discount,
interest, fees, indemnities, penalties, recourse, expenses or other amounts in connection
therewith,
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)&nbsp;every obligation of such Person (an &#147;equity related purchase obligation&#148;) to purchase,
redeem, retire or otherwise acquire for value any shares of capital stock of any class issued by
such Person, any warrants, options or other rights to acquire any such shares, or any rights
measured by the value of such shares, warrants, options or other rights,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)&nbsp;every obligation of such Person under any forward contract, futures contract, swap,
option or other financing agreement or arrangement (including, without limitation, caps, floors,
collars and similar agreements), the value of which is dependent upon interest rates, currency
exchange rates, commodities or other indices,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)&nbsp;every obligation in respect of Indebtedness of any other entity (including any partnership
in which such Person is a general partner) to the extent that such Person is liable therefor as a
result of such Person&#146;s ownership interest in or other relationship with such entity, except to the
extent that the terms of such Indebtedness provide that such Person is not liable therefor and such
terms are enforceable under applicable law,
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)&nbsp;every obligation, contingent or otherwise, of such Person guaranteeing, or having the
economic effect of guarantying or otherwise acting as surety for, any obligation of a type
described in any of clauses (i)&nbsp;through (x) (the &#147;primary obligation&#148;) of another Person (the
&#147;primary obligor&#148;), in any manner, whether directly or indirectly, and including, without
limitation, any obligation of such Person (A)&nbsp;to purchase or pay (or advance or supply funds for
the purchase of) any security for the payment of such primary obligation, (B)&nbsp;to purchase property,
securities or services for the purpose of assuring the payment of such primary obligation, or (C)
to maintain working capital, equity capital or other financial statement condition or liquidity of
the primary obligor so as to enable the primary obligor to pay such primary obligation.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The &#147;amount&#148; or &#147;principal amount&#148; of any Indebtedness at any time of determination
represented by (w)&nbsp;any Indebtedness, issued at a price that is less than the principal amount at
maturity thereof, shall be the amount of the liability in respect thereof determined in accordance
with Generally Accepted Accounting Principles, (x)&nbsp;any Capitalized Lease shall be the principal
component of the aggregate of the rentals obligation under such Capitalized Lease payable over the
term thereof that is not subject to termination by the lessee, (y)&nbsp;any sale of receivables shall be
the amount of unrecovered capital or principal investment of the purchaser (other than the Borrower
or any of its wholly-owned Subsidiaries) thereof, excluding amounts representative of yield or
interest earned on such investment, and (z)&nbsp;any equity related purchase obligation shall be the
maximum fixed redemption or purchase price thereof inclusive of any accrued and unpaid dividends to
be comprised in such redemption or purchase price.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Initial Closing Date</U>. Has the meaning specified for the term &#147;Closing Date&#148; in the
Original Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Initial Loan</U>. See Preamble.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Initial Loan Commitment</U>. With respect to each Lender, the amount set forth on
Schedule&nbsp;1 hereto as the amount of such Lender&#146;s commitment to make the Initial Loan to the
Borrower.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Intercreditor Agreement</U>. That certain Amended and Restated Intercreditor Agreement
entered into by and between the Collateral Agent, on behalf of the Lenders, and the Senior
Collateral Agent, on behalf of the Senior Lenders, dated of even date herewith.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Interest Payment Date</U>. See Section&nbsp;2.3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Interest Rate</U>. See Section&nbsp;2.3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Investments</U>. All expenditures made and all liabilities incurred (contingently or
otherwise) for the acquisition of stock or Indebtedness of, or for loans, advances, capital
contributions or transfers of property to, or in respect of any guaranties (or other commitments as
described under Indebtedness), or obligations of, any Person. In determining the aggregate amount
of Investments outstanding at any particular time: (i)&nbsp;the amount of any Investment represented by
a guaranty shall be taken at not less than the principal amount of the obligations guaranteed and
still outstanding; (ii)&nbsp;there shall be included as an Investment all interest accrued with respect
to Indebtedness constituting an Investment unless and until such interest is paid; (iii)&nbsp;there
shall be deducted in respect of each such Investment any amount received as a return of capital
(but only by repurchase, redemption, retirement, repayment, liquidating dividend or liquidating
distribution); (iv)&nbsp;there shall not be deducted in respect of any Investment any amounts received
as earnings on such Investment, whether as dividends, interest or otherwise, except that accrued
interest included as provided in the foregoing clause (ii)&nbsp;may be deducted when paid; and (v)&nbsp;there
shall not be deducted from the aggregate amount of Investments any decrease in the value thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Landlord Waiver</U>. Collectively, each waiver from the lessor or sublessor of property
leased by the Borrower as lessee, in substantially the form of <U>Exhibit&nbsp;D</U> attached to the
Senior Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Lenders</U>. Each of the lending institutions party hereto and any other Person who
becomes an assignee of any rights and obligations of a Lender pursuant to Section&nbsp;19.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Loan Account</U>. See Section&nbsp;5.2.1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Loan Documents</U>. This Credit Agreement, the Notes, the Security Documents and all
other documents related thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Loans</U>. The Initial Loan and the Additional Loan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Majority Lenders</U>. As of any date, the Lenders (other than Delinquent Lenders) whose
aggregate Commitments together constitute fifty-one percent (51%) of the Total Commitment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Mandatory Prepayments</U>. Each of the Senior Facility Termination Prepayment, Asset
Disposition Prepayment, and New Issuance Prepayment, in each case pursuant to Section&nbsp;5.4.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Maturity Date</U>. The earliest to occur of (i)&nbsp;February&nbsp;1, 2009, (ii)&nbsp;the termination of
the Merger Agreement pursuant to Section&nbsp;7.1(h) thereof, and (iii)&nbsp;prior to the consummation of the
Prentice Tender Offer, the date on which any person or group of persons (within the meaning of
Section&nbsp;13 or 14 of the Securities Exchange Act of 1934, as amended), other than Prentice
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Capital Management, LP, Holtzman Opportunity Fund, L.P., any of their respective affiliates or
any transferee of their shares, shall have acquired beneficial ownership (within the meaning of
Rule&nbsp;13d-3 promulgated by the Securities and Exchange Commission under said Act) of 50% or more of
the outstanding shares of common stock of the Borrower.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Merger</U>. The proposed merger between the Borrower and WJ Acquisition Corp. pursuant to
the Merger Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Merger Agreement</U>. Agreement and Plan of Merger dated as of the date hereof by and
among the Borrower, Prentice Capital Management, LP, Holtzman Opportunity Fund, L.P., WJ Holding
Corp., and WJ Acquisition Corp., a wholly-owned subsidiary of Prentice Capital Management, LP.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Monthly Inventory Report</U>. A Monthly Inventory Report signed by the Controller, Senior
Vice President of Finance or principal financial or accounting officer of the Borrower in
substantially the form of <U>Exhibit&nbsp;E</U> hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Multiemployer Plan</U>. Any multiemployer plan within the meaning of Section&nbsp;3(37) of
ERISA maintained or contributed to by the Borrower or any ERISA Affiliate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Net Proceeds</U>. With respect to any sale or other disposition of any asset by any
Person or any issuance of Indebtedness or equity securities of such Person, the excess of (i)&nbsp;the
gross cash proceeds received by such Person from such sale or disposition or, as the case may be,
such issuance, <U>plus</U>, as and when received, all cash payments received subsequent to such
sale or disposition or such issuance representing (A)&nbsp;any deferred purchase price therefor or (B)
any cash proceeds from the sale or other disposition of any cash equivalents (or any deferred
purchase price obligations) received therefor over (ii)&nbsp;the sum of (A)&nbsp;a reasonable reserve for any
liabilities payable incident to such sale or disposition or such issuance, (B)&nbsp;reasonable direct
costs and expenses incurred by such Person in connection with such sale or disposition or such
issuance (including, without limitation, reasonable brokerage, legal, investment banking,
accounting, consulting, survey, title and recording fees and commissions), (C)&nbsp;all payments
actually made on any Indebtedness (other than the Obligations) or other obligations which are
secured by any assets subject to such sale or disposition which are required to be repaid out of
the proceeds from such transaction and (D)&nbsp;actual tax payments made or to be made in connection
therewith.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>New Issuance Prepayment</U>. See Section&nbsp;5.4.4.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Notes</U>. The Amended and Restated Notes evidencing the Loans hereunder, as further
described in Section&nbsp;2.2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Obligations</U>. All indebtedness, obligations and liabilities of any of the Borrower and
its Subsidiaries to any of the Lenders and the Agents, individually or collectively, existing on
the date of this Credit Agreement or arising thereafter, direct or indirect, joint or several,
absolute or contingent, matured or unmatured, liquidated or unliquidated, secured or unsecured,
arising by contract, operation of law or otherwise, arising or incurred under this Credit Agreement
or any of the other Loan Documents or in respect of the Loans or cash management services provided
or any of the Notes or other instruments or documents at any time evidencing any thereof.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Original Credit Agreement</U>. See Preamble.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Outstanding</U>. With respect to any Loan, the aggregate unpaid principal thereof as of
any date of determination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>PIK Interest</U>. As at any date of determination, the amount of all interest accrued with
respect to any Loan after the Closing Date that has been paid-in-kind on a monthly basis by
delivery of a PIK Note in accordance with Section&nbsp;2.3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>PIK Note</U>. See Section&nbsp;2.3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>PBGC</U>. The Pension Benefit Guaranty Corporation created by Section&nbsp;4002 of ERISA and
any successor entity or entities having similar responsibilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Perfection Certificate</U>. The Perfection Certificate dated as of October&nbsp;3, 2005
executed by Borrower in favor of Administrative Agent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Permitted Inventory Locations</U>. The retail stores and distribution centers of the
Borrower and its Subsidiaries located in the United States of America and listed on <U>Schedule
2</U> hereto, as such <U>Schedule&nbsp;2</U> may be supplemented from time to time in accordance with
the provisions of Section&nbsp;8.4(j).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Permitted Liens</U>. Liens, security interests and other encumbrances permitted by
Section&nbsp;9.2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Person</U>. Any individual, corporation, partnership, limited liability company, trust,
unincorporated association, business, or other legal entity, and any government or any governmental
agency or political subdivision thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Pledge Agreement</U>. Each Pledge Agreement executed by the Borrower in favor of the
Collateral Agent, substantially in the form of <U>Exhibit&nbsp;F</U> hereunder or under the Original
Credit Agreement, as each may be amended, modified or restated from time to time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Precious Metal</U>. Gold measured in troy ounces having a fineness of not less than
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;.9995, without regard to whether such gold is alloyed or unalloyed, in bullion form or contained in
or processed into other materials which contain elements other than gold.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Prentice</U>. See preamble hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Prentice Tender Offer</U>. That certain all cash tender offer to be commenced by Prentice
Capital Management, LP, Holtzman Opportunity Fund, L.P. and WJ Acquisition Corp. pursuant to the
terms of the Merger Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Real Estate</U>. All real property at any time owned or leased (as lessee or sublessee)
by the Borrower or any of its Subsidiaries.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Record</U>. The grid attached to a Note, or the continuation of such grid, or any other
similar record, including computer records, maintained by any Lender with respect to any Loan
referred to in such Note.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Register</U>. See Section&nbsp;19.3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Registration Rights Agreement</U>. The Registration Rights Agreement pursuant to which
the Borrower has provided certain registration rights with respect to the Warrant Shares, as
defined under the Securities Purchase Agreement, under the 1933 Act and the rules and regulations
promulgated thereunder, and applicable state securities laws.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Related Fund</U>. With respect to any Lender or Agent which is a fund that invests in
loans, any other such fund managed by the same investment advisor as such Lender or Agent or by an
Affiliate of such Lender or Agent or such advisor.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Required Lenders</U>. As of any date, the Lenders (other than Delinquent Lenders) whose
aggregate Commitments together constitute at least sixty-six and
two-thirds percent
(66<SUP style="font-size: 85%; vertical-align: text-top">2</SUP>/<SUB style="font-size: 85%; vertical-align: text-bottom">3</SUB>%) of the
Total Commitment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Securities Purchase Agreement</U>. The Securities Purchase Agreement, dated as of October
3, 2005, by and among the Borrower and the investors listed on the Schedule of Buyers attached
thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Security Agreement</U>. The Security Agreement, between the Borrower and the Collateral
Agent, as may be amended, modified or restated from time to time, together with each other Security
Agreement executed by each Guarantor in favor of the Collateral Agent substantially in the form of
<U>Exhibit&nbsp;G</U> hereunder or under the Original Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Security Documents</U>. The Security Agreement, the Headquarters Landlord Consent, the
Landlord Waivers, the Security Interest Grant in Patents, the Security Interest Grant in
Trademarks, each Guaranty, the Guarantor Consent, each Pledge Agreement, and all Blocked Account
Agreements, as each may be amended, modified or restated from time to time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Senior Administrative Agent</U>. LaSalle Bank National Association, in its capacity as
Administrative Agent for the Senior Lenders under the Senior Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Senior Agents</U>. LaSalle Bank National Association (or any successor) in its capacity
as administrative agent and collateral agent under the Senior Credit Agreement, ABN Amro Bank N.V.
in its capacity as syndication agent under the Senior Credit Agreement and JPMorgan Chase Bank in
its capacity as documentation agent under the Senior Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Senior Collateral Agent</U>. LaSalle Bank National Association, in its capacity as
Collateral Agent for the Senior Lenders under the Senior Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Senior Credit Agreement</U>. The Second Amended and Restated Revolving Credit and Gold
Consignment Agreement, dated as of July&nbsp;29, 2003, among the Borrower, LaSalle Bank National
Association, as administrative agent for the banks from time to time party thereto, LaSalle Bank
National Association, as Collateral Agent for the Senior Lenders and the other
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">agents and parties from time to time party thereto, as the same may be amended, amended and
restated, supplemented, refinanced or otherwise modified and in effect from time to time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Senior Lender Consent</U>. That certain Waiver and Consent to Second Amended and Restated
Revolving Credit and Gold Consignment Agreement, among the Borrower and the Senior Agents, dated as
of the date hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Senior Lenders</U>. The financial institutions from time to time party to the Senior
Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Senior Loan Documents</U>. In each case as the following terms are defined under the
Senior Credit Agreement: the Credit Agreement, the Notes, the Letter of Credit Applications, the
Letters of Credit, the Fee Letter, the Security Documents and the Senior Lender Consent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Specified Lease</U>. A lease by the Borrower as lessee of Real Estate at which Inventory
is held and as to which at any time either (a)&nbsp;the Borrower and the Agents have not received a
Landlord Waiver or (b)&nbsp;the Administrative Agent has not received evidence, in form and substance
satisfactory to the Administrative Agent, that, based upon then existing law (as determined by the
Administrative Agent in the exercise of its reasonable discretion and on the advice of counsel),
the landlord of such property would not have a lien on inventory superior to the security interest
granted under the Security Agreement, securing rent obligations more than thirty (30)&nbsp;days past due
or securing future rent obligations accruing after the Closing Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Store Accounts</U>. Depository accounts in depository institutions for, or on behalf of,
the Borrower or any of its Subsidiaries and listed on <U>Schedule&nbsp;7.20</U> hereto (as such may be
amended from time to time in accordance with the terms hereof).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Subsidiary</U>. Any corporation, association, trust, or other business entity of which
the designated parent shall at any time own directly or indirectly through a Subsidiary or
Subsidiaries at least a majority (by number of votes) of the outstanding Voting Stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Supplier or Suppliers</U>. Individually and collectively, one or more suppliers of
inventory to the Borrower and its Subsidiaries.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Termination Date</U>. The earliest to occur of the (i)&nbsp;Maturity Date, or (ii)&nbsp;the date on
which the maturity of the Loans is accelerated in accordance with Section&nbsp;13.1 or (iii)&nbsp;the date of
the occurrence of an Event of Default pursuant to Sections&nbsp;13.1(g) and (h).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Total Commitment</U>. The sum of the Commitments of the Lenders as in effect prior to
giving effect to the Commitment terminations provided for in Section&nbsp;2.4.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Trade Vendor Extension Agreement</U>. Collectively, that certain Trade Vendor Extension
Agreement to be entered into by and between the Borrower, Prentice Capital Management LP or one of
its Affiliates, and certain Suppliers, as contemplated by the Trade Vendor Term Sheet, the Trade
Vendor Term Sheet and any notes or other documents and agreements entered into in connection
therewith.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Trade Vendor Intercreditor Agreement</U>. That certain Intercreditor Agreement to be
entered into by and between the Collateral Agent, on behalf of the Lenders, and the Collateral
Trustee, on behalf of the Suppliers, in form and substance acceptable to the Agents, in their sole
discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Trade Vendor Term Sheet</U>. That certain binding term sheet entitled Terms for Treatment
of Trade Indebtedness of Whitehall Jewellers, Inc., entered into by and among the Borrower,
Prentice Capital Management LP and certain Suppliers in September&nbsp;2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Unanimous Lenders</U>. As of any date, the Lenders (other than Delinquent Lenders) whose
aggregate Commitments together constitute One hundred percent (100%) of the Total Commitment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Voting Stock</U>. Stock or similar interests, of any class or classes (however
designated), the holders of which are at the time entitled, as such holders, to vote for the
election of a majority of the directors (or persons performing similar functions) of the
corporation, association, trust or other business entity involved, whether or not the right so to
vote exists by reason of the happening of a contingency.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <U>Rules of Interpretation</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;A reference to any document or agreement shall include such document or agreement as
amended, modified or supplemented from time to time in accordance with its terms and the terms of
this Credit Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The singular includes the plural and the plural includes the singular.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;A reference to any law includes any amendment or modification to such law.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;A reference to any Person includes its permitted successors and permitted assigns.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Accounting terms not otherwise defined herein have the meanings assigned to them by
Generally Accepted Accounting Principles applied on a consistent basis by the accounting entity to
which they refer.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;The words &#147;include&#148;, &#147;includes&#148; and &#147;including&#148; are not limiting.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;All terms not specifically defined herein or by Generally Accepted Accounting Principles,
which terms are defined in the Uniform Commercial Code as in effect in the State of New York, as in
effect from time to time, have the meanings assigned to them therein.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;Reference to a particular &#147;Section&#148; refers to that section of this Credit Agreement unless
otherwise indicated.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;The words &#147;herein&#148;, &#147;hereof&#148;, &#147;hereunder&#148; and words of like import shall refer to this
Credit Agreement as a whole and not to any particular section or subdivision of this Credit
Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>2. </B><U><B>LOANS</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 <U>Making of the Loans</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;On the Initial Closing Date, the Lenders with an Initial Loan Commitment made the Initial
Loan to the Borrower pursuant to the terms of the Original Credit Agreement. The principal amount
of the Initial Loan outstanding on the date hereof is $30,000,000. The Borrower hereby agrees that
it is liable to repay the Initial Loan pursuant to the terms and conditions set forth in this
Credit Agreement and in the other Loan Documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Each Lender with an Additional Loan Commitment severally and not jointly with any other
Lender, agrees, upon the terms and subject to the conditions herein set forth, on the Closing Date
to make the Additional Loan to the Borrower in a single drawing in an aggregate principal amount
not to exceed the amount of such Lender&#146;s Additional Loan Commitment; <U>provided</U> that the
aggregate principal amount of the Additional Loan shall not exceed $20,000,000.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The Additional Loan shall be made by the Lenders simultaneously and in accordance with
their respective Additional Loan Commitments. The failure of any Lender to make its portion of the
Additional Loan shall neither relieve any other Lender of its obligation to fund its portion of the
Additional Loan in accordance with the provisions of this Credit Agreement nor increase the
obligation of any such other Lender.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Any portion of any Loan that is repaid may not be reborrowed.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;The Administrative Agent, without the request of the Borrower, may advance any interest,
fee, service charge, or other payment to which any Agent or their Affiliates or any Lender is
entitled from the Borrower pursuant hereto or any other Loan Document and may charge the same to
the Loan Account. The Administrative Agent shall advise the Borrower of any such advance or charge
promptly after the making thereof. Any amount which is added to the principal balance of the Loan
Account as provided in this Section&nbsp;2.1(e) shall bear interest at the Interest Rate and shall be
payable on the Maturity Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <U>Notes; Repayment of Loans</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Loans shall be evidenced by this Credit Agreement and/or one or more Notes duly
executed on behalf of the Borrower, dated the Closing Date, in substantially the form attached
hereto as Exhibit&nbsp;H, payable to the order of a Lender in the aggregate principal amount equal to
the principal amount of the portion of the Loans advanced by such Lender plus the amount of
interest capitalized thereon in accordance with the terms of this Credit Agreement. The
outstanding principal balance of all Obligations shall be payable on the Termination Date (subject
to earlier repayment as provided below). Each Loan (including, without limitation, PIK Interest
and any other interest capitalized thereon and added to the outstanding principal balance of such
Loan in accordance with the terms hereof) shall bear interest from the date such Loan is
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">made on the outstanding principal balance thereof as set forth in this Section&nbsp;2 or Section&nbsp;5,
as the case may be. Each Lender is hereby authorized by the Borrower to endorse on a schedule
attached to each Note delivered to such Lender (or on a continuation of such schedule attached to
such Note and made a part thereof), or otherwise to record in such Lender&#146;s internal records, an
appropriate notation evidencing the date and amount of each Loan from such Lender, each payment and
prepayment of principal of each Loan, each payment of interest on each Loan and the other
information provided for on such schedule; <U>provided</U>, <U>however</U>, that the failure of
any Lender to make such a notation or any error therein shall not affect the obligation of the
Borrower to repay the Loans made by such Lender in accordance with the terms of this Credit
Agreement and the applicable Notes.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Upon receipt of indemnification reasonably satisfactory to the Borrower, and an affidavit
of a Lender as to the loss, theft, destruction or mutilation of such Lender&#146;s Note and upon
cancellation of such Note, the Borrower will issue, in lieu thereof, a replacement Note in favor of
such Lender, in the same principal amount thereof and otherwise of like tenor.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 <U>Interest on Loans</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Prior to the Closing Date, the Initial Loan bore interest (computed on the basis of the
actual number of days elapsed over a year of 360&nbsp;days) on the principal amount thereof from time to
time outstanding, at a rate per annum equal to 18%. On and following the Closing Date, each of the
Initial Loan and the Additional Loan shall bear interest (computed on the basis of the actual
number of days elapsed over a year of 360&nbsp;days) on the principal amount thereof from time to time
outstanding, at a rate per annum equal to 12% (the &#147;Interest Rate&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Interest accrued on the Initial Loan prior to the Closing Date shall be payable in cash,
in immediately available funds, on the Closing Date. Interest accrued on and after the Closing
Date on the Initial Loan and the Additional Loan shall be payable monthly in arrears by delivering
a note in the form attached hereto as Exhibit&nbsp;H-1 (&#147;PIK Note&#148;) in the principal amount of the
interest which has accrued executed by the Borrower and delivered to the Lender on the first
Business Day of each month (each an &#147;Interest Payment Date&#148;), commencing on the first such date to
occur after the Closing Date, and any amount that has not been paid-in-kind pursuant to this clause
(b)&nbsp;shall be payable in cash at maturity (whether by acceleration or otherwise), and after such
maturity in cash on demand.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The Borrower shall repay the entire unpaid balance of the Loans (including, without
limitation, all PIK Interest and other capitalized interest thereon, the Deferred Portion of the
Closing Fee, and, solely to the extent the Loans are required to be repaid in connection with the
occurrence of the Maturity Date as a result of the circumstances described in clause (ii)&nbsp;or clause
(iii)&nbsp;of the definition of &#147;Maturity Date&#148;, the Exit Fee) and all accrued and unpaid interest
thereon on the Termination Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 <U>Termination of Commitments</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Initial Loan Commitment terminated upon the making of the Initial Loan on the Initial
Closing Date.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Additional Loan Commitment shall terminate at 5:00 p.m. (New York City time) on the
Closing Date.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 <U>Maturity</U>. The Borrower promises to pay on the Maturity Date, and there
shall become absolutely due and payable on the Maturity Date, (a)&nbsp;to the Administrative Agent
for the benefit of the Lenders, all of the Loans outstanding on such date, together with any
and all accrued and unpaid interest thereon and (b)&nbsp;to Prentice Capital Management, LP,
pursuant to an arrangement between PWJ Lending LLC and Prentice Capital Management, LP, and
to Holtzman Opportunity Fund, L.P., respectively, in accordance with their Commitment
Percentages, (x)&nbsp;the Exit Fee, to the extent the Maturity Date occurs as a result of the
circumstances described in clause (ii)&nbsp;or clause (iii)&nbsp;of the definition of the term
&#147;Maturity Date&#148;, and (y)&nbsp;to the extent not paid prior to such date, the Deferred Portion of
the Closing Fee.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 <U>Optional Repayments of Loans</U>. The Borrower shall have the right, at its
election, to repay the outstanding Loans in accordance with the provisions of Section&nbsp;5.3
hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>3. </B><U><B>INTENTIONALLY OMITTED</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>4. </B><U><B>INTENTIONALLY OMITTED</B></U>.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>5. </B><U><B>CERTAIN GENERAL PROVISIONS</B></U>.

</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 <U>Default Interest</U>. Effective upon the occurrence of any Event of Default and
at all times thereafter while such Event of Default is continuing, at the option of the
Administrative Agent or upon the direction of the Required Lenders, interest shall accrue on
all outstanding Obligations (after as well as before judgment, as and to the extent permitted
by law) at a rate per annum equal to the rate in effect from time to time plus <B>3% </B>per annum,
and such interest shall be payable on demand.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 <U>Maintenance of Loan Account; Statement of Account</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2.1 The Administrative Agent shall maintain an account on its books in the name of the
Borrower (the &#147;<U>Loan Account</U>&#148;) which will reflect the Loans and any and all other
Obligations that have become payable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2.2 The Loan Account will be credited with all amounts received by the Administrative Agent
from the Borrower or otherwise for the Borrower&#146;s account, and the amounts so credited shall be
applied as set forth in Section&nbsp;2.2(a). After the end of each month, the Administrative Agent
shall send to the Borrower a statement accounting for the charges, loans, advances and other
transactions occurring among and between the Administrative Agent, the Lenders and the Borrower
during that month. The monthly statements shall, absent manifest error, be final, conclusive and
binding on the Borrower.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 <U>Optional Prepayment of Loans</U>. The Borrower may upon at least five (5)
Business Days&#146; prior written notice to the Administrative Agent, prepay, all or any portion
of the principal balance of any Loan; <U>provided</U> that, (x)&nbsp;to the extent the Prentice
Tender
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">Offer has not been consummated, the Borrower shall concurrently pay the applicable Exit
Fee to the Persons specified in clause (b)&nbsp;of Section&nbsp;2.5, and (y)&nbsp;to the extent not
previously paid, the Borrower shall concurrently pay the Deferred Portion of the Closing Fee
to the Persons specified in Section&nbsp;5.6. Each prepayment made pursuant to this Section&nbsp;5.3
shall be also be accompanied by the payment of accrued interest to the date of such payment
on the amount prepaid.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 <U>Mandatory Prepayments of Loans</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.1 <U>Termination of Senior Loan Agreement</U>. The Borrower shall immediately prepay all
Obligations (a &#147;<U>Senior Facility Termination Prepayment</U>&#148;) in the event that the Senior
Credit Agreement is terminated for any reason and either (i)&nbsp;the Senior Credit Agreement is not
replaced with another credit agreement and related transaction documentation, the terms and
conditions of which are no less favorable to the Borrower, the Agents and the Lenders than the
Senior Credit Agreement, including with respect to any intercreditor arrangements (as determined by
the Agents in their discretion) or (ii)&nbsp;the lenders and agents party to such new credit agreement
are not reasonably acceptable to the Agents and the Required Lenders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.2 <U>Intentionally Omitted.</U>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.3 <U>Asset Disposition Prepayment</U>. Subject to the terms of the Intercreditor
Agreement, the Borrower shall pay to the Administrative Agent, for the accounts of the Lenders
(each, an &#147;<U>Asset Disposition Prepayment</U>&#148;), immediately upon the receipt by the Borrower of
the proceeds of any asset dispositions, an amount equal to one hundred percent (100%) of the Net
Proceeds received by the Borrower in connection with such asset disposition.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.4 <U>New Issuance Prepayment</U>. Subject to the terms of the Intercreditor Agreement,
the Borrower shall pay to the Agent, for the accounts of the Lenders (each, a &#147;<U>New Issuance
Prepayment</U>&#148;), immediately after the completion by the Borrower of any issuance of (i)
Indebtedness permitted pursuant to Section&nbsp;9.1(i) hereof or (ii)&nbsp;equity securities of the Borrower
or any of its Subsidiaries, including, without limitation, any issuance of warrants, options or
subscription rights (other than issuances of common stock to employees of the Borrower), permitted
pursuant to Section&nbsp;9.13 hereof, an amount equal to one hundred percent 100% of the Net Proceeds
received by the Borrower in connection with any such issuance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.5 <U>Applications of Mandatory Prepayments</U>. Each Mandatory Prepayment received by
the Administrative Agent shall be applied to the Obligations as follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) first, to pay all fees and expenses then due and payable under this Credit
Agreement;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) second, to pay all accrued and unpaid interest on the Loans (to the extent not
previously capitalized hereunder), which shall be applied on a pro rata basis between the
Loans, until paid in full;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) third, to prepay the Loans, which shall be applied on a pro rata basis between the
Loans, until paid in full; and
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) fourth, to repay all other Obligations due and owing to the Agents and the Lenders.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 <U>Repayments of Loans and Distribution of Collateral Proceeds After Event of
Default</U>. Subject to the terms of the Intercreditor Agreement, in the event that
following the occurrence and during the continuance of an Event of Default, the Collateral
Agent, any other Agent or any Lender, as the case may be, receives any monies, whether
pursuant to Section&nbsp;8.14 (as applicable) or Section&nbsp;13.3 or otherwise with respect to the
realization upon any of the Collateral, such monies shall be distributed for application as
follows (the Borrower hereby authorizing and consenting to such application):
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;First, to the payment of, or (as the case may be) the reimbursement of the Agents for or
in respect of all reasonable costs, expenses, disbursements and losses which shall have been
incurred or sustained by the Agents in connection with the collection of such monies by the Agents,
for the exercise, protection or enforcement by the Collateral Agent of all or any of the rights,
remedies, powers and privileges of the Collateral Agent, for the benefit of the Agents and the
Lenders, under this Credit Agreement or any of the other Loan Documents or in respect of the
Collateral, including, without limitation, the fees and expenses of counsel to the Agents or in
support of any provision of adequate indemnity to the Agents against any taxes or liens which by
law shall have, or may have, priority over the rights of the Agents to such monies;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Second, to pay all accrued and unpaid interest on the Loans (to the extent not previously
capitalized hereunder), which shall be applied on a pro rata basis between the Loans, until paid in
full;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Third, to repay the Loans, which shall be applied on a pro rata basis between the Loans,
until paid in full;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Fourth, to pay the Exit Fee to the Persons specified in clause (b)&nbsp;of Section&nbsp;2.5 and the
Deferred Portion of the Closing Fee to the Persons specified in Section&nbsp;5.6, which shall be applied
on pro rata basis, until paid in full;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Fifth, to repay all other Obligations due and owing to the Agents and the Lenders under
the Loan Documents until paid in full;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Sixth, the excess, if any, shall be returned to the Borrower or to such other Persons as
are entitled thereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All distributions in respect of (i)&nbsp;the Obligations of the Lenders shall be made pari passu
and (ii)&nbsp;Obligations owing to the Lenders with respect to each type of Obligation under each of the
categories specified above such as interest, principal, fees and expenses, shall be made among the
Lenders entitled thereto pro rata, in accordance with their respective Commitment Percentages; and
<U>provided</U>, <U>further</U>, that the Agents may in their discretion make proper allowance to
take into account any Obligations not then due and payable.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 <U>Closing Fee</U>. The Borrower shall pay to Prentice Capital Management, LP,
pursuant to an arrangement between PWJ Lending LLC and Prentice Capital Management, LP, and
to Holtzman Opportunity Fund, L.P., respectively, in accordance with their
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">Commitment Percentages, a fee in the amount of $1,500,000 (the &#147;Closing Fee&#148;), which
Closing Fee shall be non-refundable and fully-earned on the Closing Date, (a) $1,260,000 of
which shall be payable on the Closing Date (the &#147;Closing Date Portion of the Closing Fee&#148;),
and which, if authorized by the Borrower in writing, the Administrative Agent may debit from
the proceeds of the Additional Loan on the Closing Date, and (b) $240,000 of which shall be
payable in cash in immediately available funds on the earlier to occur of (i)&nbsp;May&nbsp;31, 2006
and (ii)&nbsp;the Maturity Date (the &#147;Deferred Portion of the Closing Fee&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 <U>Funds for Payments</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7.1 <U>Payments to Administrative Agent</U>. All payments of principal, interest, closing
fees and any other amounts due hereunder or under any of the other Loan Documents shall be made to
the Administrative Agent, for the respective accounts of the Lenders and the Administrative Agent,
at the Administrative Agent&#146;s Head Office or at such other location that the Administrative Agent
may from time to time designate, in each case in immediately available funds in Dollars.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7.2 <U>No Offset, etc.</U> All payments by the Borrower hereunder and under any of the
other Loan Documents shall be made without setoff or counterclaim and free and clear of and without
deduction for any taxes, levies, imposts, duties, charges, fees, deductions, withholdings,
compulsory loans, restrictions or conditions of any nature now or hereafter imposed or levied by
any jurisdiction or any political subdivision thereof or taxing or other authority therein unless
the Borrower is compelled by law to make such deduction or withholding. If any such obligation is
imposed upon the Borrower with respect to any amount payable by it hereunder or under any of the
other Loan Documents, the Borrower will pay to the Administrative Agent, for the account of the
Lenders or (as the case may be) the Agents, on the date on which such amount is due and payable
hereunder or under such other Loan Document, such additional amount in Dollars as shall be
necessary to enable the Lenders or the Agents to receive the same net amount which the Lenders or
the Agents would have received on such due date had no such obligation been imposed upon the
Borrower. The Borrower will deliver promptly to the Agents certificates or other valid vouchers
for all taxes or other charges deducted from or paid with respect to payments made by the Borrower
hereunder or under such other Loan Document.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 <U>Computations</U>. All computations of interest on the Loans and of commitment
fees or other fees shall, unless otherwise expressly provided herein, be based on 360-day
year and paid for the actual number of days elapsed. Whenever a payment hereunder or under
any of the other Loan Documents becomes due on a day that is not a Business Day, the due date
for such payment shall be extended to the next succeeding Business Day, and interest shall
accrue during such extension. The outstanding amount of the Loans as reflected on the
Records maintained by the Agents and each Lender from time to time shall be considered
correct and binding on the Borrower unless within five (5)&nbsp;Business Days after receipt of any
notice by any of the Agents or the Lenders of such outstanding amount, such Agent or such
Lender shall notify the Borrower to the contrary.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 <U>Additional Costs, etc.</U> If any present or future applicable law, which
expression, as used herein, includes statutes, rules and regulations thereunder and
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">interpretations thereof by any competent court or by any governmental or other
regulatory body or official charged with the administration or the interpretation thereof and
requests, directives, instructions and notices at any time or from time to time hereafter
made upon or otherwise issued to any Lender or Agent by any central bank or other fiscal,
monetary or other authority (whether or not having the force of law), shall:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;subject any Lender or Agent to any tax, levy, impost, duty, charge, fee, deduction or
withholding of any nature with respect to this Credit Agreement, the other Loan Documents, such
Lender&#146;s Commitment or the Loans (other than taxes based upon or measured by the income or profits
of such Lender or Agent), or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;materially change the basis of taxation (except for changes in taxes on income or profits)
of payments to any Lender of the principal of or the interest on any Loans or any other amounts
payable to any Lender or Agent under this Credit Agreement or any of the other Loan Documents, or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;impose or increase or render applicable (other than to the extent specifically provided
for elsewhere in this Credit Agreement) any special deposit, reserve, assessment, liquidity,
capital adequacy or other similar requirements (whether or not having the force of law) against
assets held by, or deposits in or for the account of, or loans by, or commitments of an office of
any Lender, or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;impose on any Lender or Agent any other conditions or requirements with respect to this
Credit Agreement, the other Loan Documents, such Lender&#146;s Commitment, or any class of loans, or
commitments of which any of the Loans or such Lender&#146;s Commitment forms a part, and the result of
any of the foregoing is
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to increase the cost to any Lender of making, funding, issuing, renewing, extending
or maintaining any of the Loans, or such Lender&#146;s Commitment, or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to reduce the amount of principal, interest, or other amount payable to such
Lender or Agent hereunder on account of such Lender&#146;s Commitment, or any of the Loans, or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) to require such Lender or Agent to make any payment or to forego any interest or
other sum payable hereunder, the amount of which payment or foregone interest or other sum
is calculated by reference to the gross amount of any sum receivable or deemed received by
such Lender or Agent from the Borrower hereunder,
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">then, and in each such case, the Borrower will, upon demand made by such Lender or (as the case may
be) such Agent at any time and from time to time and as often as the occasion therefor may arise,
pay to such Lender or such Agent such additional amounts as will be sufficient to compensate such
Lender or such Agent for such additional cost, reduction, payment or foregone interest or other
sum.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10 <U>Capital Adequacy</U>. If after the date hereof any Lender or the
Administrative Agent determines that (a)&nbsp;the adoption of or change in any law, governmental
rule, regulation, policy, guideline or directive (whether or not having the force of law)
regarding
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">capital requirements for banks or bank holding companies or any change in the
interpretation or application thereof by a court or governmental authority with appropriate
jurisdiction, or (b)&nbsp;compliance by such Lender or such Agent or any corporation controlling
such Lender or such Agent with any law, governmental rule, regulation, policy, guideline or
directive (whether or not having the force of law) of any such entity regarding capital
adequacy, has the effect of reducing the return on such Lender&#146;s or such Agent&#146;s commitment
with respect to any Loans to a level below that which such Lender or such Agent could have
achieved but for such adoption, change or compliance (taking into consideration such Lender&#146;s
or such Agent&#146;s then existing policies with respect to capital adequacy and assuming full
utilization of such entity&#146;s capital) by any amount deemed by such Lender or (as the case may
be) such Agent to be material, then such Lender or such Agent may notify the Borrower of such
fact. To the extent that the amount of such reduction in the return on capital is not
reflected in the Interest Rate, as applicable, the Borrower agrees to pay such Lender or (as
the case may be) such Agent for the amount of such reduction in the return on capital as and
when such reduction is determined upon presentation by such Lender or (as the case may be)
such Agent of a certificate in accordance with Section&nbsp;5.11 hereof. Each Lender shall
allocate such cost increases among its customers in good faith and on an equitable basis.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11 <U>Certificate</U>. A certificate setting forth any additional amounts payable
pursuant to Sections&nbsp;5.9 or 5.10 and a brief explanation of such amounts which are due,
submitted by any Lender or Agent to the Borrower, shall be conclusive, absent manifest error,
that such amounts are due and owing.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12 <U>Indemnity</U>. The Borrower agrees to indemnify each Lender and to hold each
Lender harmless from and against any loss, cost or expense (including loss of anticipated
profits) that such Lender may sustain or incur as a consequence of default by the Borrower in
payment of the principal amount of or any interest on Loans as and when due and payable.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13 <U>Registration Rights</U>. The Borrower will file to register the resale of the
Warrant Shares (as defined under the Securities Purchase Agreement) on a registration
statement on Form S-1 as soon as practicable but in no event later than the Filing Deadline
(as defined in the Registration Rights Agreement) and be required to have the registration
statement declared effective by the Effectiveness Deadline (as defined in the Registration
Rights Agreement), subject to penalties for failure to file, have declared effective or
maintain effectiveness of the registration statement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>6. </B><U><B>COLLATERAL SECURITY</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Obligations shall be secured by a perfected security interest (subject only to liens in
favor of the Senior Collateral Agent, for the benefit of the Senior Lenders and the Senior Agents
and Permitted Liens entitled to priority under applicable law) in all of the assets of the
Borrower, whether now owned or hereafter acquired, pursuant to the terms of the Security Documents
to which the Borrower is a party.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>7. </B><U><B>REPRESENTATIONS AND WARRANTIES</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower represents and warrants to the Lenders and the Agents as follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 <U>Corporate Authority</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1.1 <U>Incorporation; Good Standing</U>. Each of the Borrower and its Subsidiaries (i)&nbsp;is
a corporation duly organized, validly existing and in good standing under the laws of its state of
incorporation, (ii)&nbsp;has all requisite corporate power to own its property and conduct its business
as now conducted and as presently contemplated, and (iii)&nbsp;is in good standing as a foreign
corporation and is duly authorized to do business in each jurisdiction where such qualification is
necessary except where a failure to be so qualified would not have a materially adverse effect on
the business, assets or financial condition of the Borrower or such Subsidiary.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1.2 <U>Authorization</U>. The execution, delivery and performance of this Credit Agreement
and the other Loan Documents to which the Borrower or any of its Subsidiaries is or is to become a
party and the transactions contemplated hereby and thereby (i)&nbsp;are within the corporate authority
of such Person, (ii)&nbsp;have been duly authorized by all necessary corporate proceedings, (iii)&nbsp;do not
conflict with or result in any breach or contravention of any provision of law, statute, rule or
regulation to which the Borrower or any of its Subsidiaries is subject or any judgment, order,
writ, injunction, license or permit applicable to the Borrower or any of its Subsidiaries and (iv)
do not conflict with any provision of the corporate charter or bylaws of, or any agreement or other
instrument binding upon, the Borrower or any of its Subsidiaries.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1.3 <U>Enforceability</U>. The execution and delivery of this Credit Agreement and the
other Loan Documents to which the Borrower or any of its Subsidiaries is or is to become a party
will result in valid and legally binding obligations of such Person enforceable against it in
accordance with the respective terms and provisions hereof and thereof, except as enforceability is
limited by bankruptcy, insolvency, reorganization, moratorium or other laws relating to or
affecting generally the enforcement of creditors&#146; rights and except to the extent that availability
of the remedy of specific performance or injunctive relief is subject to the discretion of the
court before which any proceeding therefor may be brought.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 <U>Governmental Approvals</U>. The execution, delivery and performance by the
Borrower and any of its Subsidiaries of this Credit Agreement and the other Loan Documents to
which the Borrower or any of its Subsidiaries is or is to become a party and the transactions
contemplated hereby and thereby do not require the approval or consent of, or filing with,
any governmental agency or authority other than those already obtained.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 <U>Title to Properties; Leases</U>. Except as indicated on <U>Schedule&nbsp;7.3</U>
hereto, the Borrower and its Subsidiaries own all of the assets reflected in the consolidated
balance sheet of the Borrower and its Subsidiaries as at the Balance Sheet Date or acquired
since that date (except property and assets sold or otherwise disposed of in the ordinary
course of business since that date), subject to no rights of others, including any mortgages,
leases, conditional sales agreements, title retention agreements, liens or other encumbrances
except Permitted Liens.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 <U>Financial Statements and Projections</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4.1 <U>Financial Statements</U>. There has been furnished to each of the Lenders a
consolidated balance sheet of the Borrower and its Subsidiaries as at December&nbsp;31, 2005, and a
consolidated statement of income of the Borrower and its Subsidiaries for the fiscal year then
ended. Such balance sheets and statement of income have been prepared in accordance with Generally
Accepted Accounting Principles and fairly present the financial condition of the Borrower as at the
close of business on the date thereof and the results of operations for the fiscal year then ended.
There are no contingent liabilities of the Borrower or any of its Subsidiaries as of such date
involving material amounts, known to the officers of the Borrower, which were not disclosed in such
balance sheets and the notes related thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4.2 <U>Projections</U>. The projections of the operating budgets of the Borrower and its
Subsidiaries on a consolidated basis, balance sheets and cash flow statements presented to the
Agents as the Borrower&#146;s &#147;Business Plan&#148;, copies of which have been delivered to the Agents, are
based on a variety of assumptions with respect to general economic, financial and market conditions
used in formulating such projections which are believed by the Borrower to be reasonable as of the
date of the &#147;Business Plan&#148; but that are inherently subject to significant economic and competitive
uncertainties, all of which are difficult to predict and many of which are beyond the control of
the Borrower. To the knowledge of the Borrower or any of its Subsidiaries, as of the Closing Date
no facts exist that (individually or in the aggregate) would result in any material change in any
of such projections. The &#147;Business Plan&#148; has been prepared on the basis of the assumptions stated
therein and reflects the current estimates of the Borrower and its Subsidiaries of the results of
operations and other information projected therein.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5 <U>Solvency</U>. After giving effect to the transactions contemplated by this
Credit Agreement, the other Loan Documents and the Senior Lender Consent, the Borrower and
its Subsidiaries on a consolidated basis are Solvent. As used herein, &#147;Solvent&#148; shall mean
that the Borrower and its Subsidiaries (i)&nbsp;have assets having a fair value in excess of their
liabilities, (ii)&nbsp;have assets having a fair value in excess of the amount required to pay
their liabilities on existing debts as such debts become absolute and matured, and (iii)
have, and expect to continue to have, access to adequate capital for the conduct of their
business and the ability to pay their debts from time to time incurred in connection with the
operation of their business as such debts mature.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.6 <U>Franchises, Patents, Copyrights, etc.</U> Each of the Borrower and its
Subsidiaries possesses all franchises, patents, copyrights, trademarks, trade names, licenses
and permits, and rights in respect of the foregoing, adequate for the conduct of its business
substantially as now conducted without known conflict with any rights of others.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.7 <U>Litigation</U>. Except as set forth in <U>Schedule&nbsp;7.7</U> hereto, there are
no actions, suits, proceedings or investigations of any kind pending or threatened against
the Borrower or any of its Subsidiaries before any court, tribunal or administrative agency
or board that, if adversely determined, might, either in any case or in the aggregate,
reasonably be expected to materially adversely affect the properties, assets, financial
condition or business of the Borrower and its Subsidiaries or materially impair the right of
the Borrower and its Subsidiaries, considered as a whole, to carry on business substantially
as
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">now conducted by them, or result in any substantial liability not adequately covered by
insurance, or for which adequate reserves are not maintained on the consolidated balance
sheet of the Borrower and its Subsidiaries, or which question the validity of this Credit
Agreement or any of the other Loan Documents, or might impair or prevent any action taken or
to be taken pursuant hereto or thereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.8 <U>No Materially Adverse Contracts, etc.</U> Neither the Borrower nor any of its
Subsidiaries is subject to any charter, corporate or other legal restriction, or any
judgment, decree, order, rule or regulation that has or is expected in the future to have a
materially adverse effect on the business, assets or financial condition of the Borrower or
any of its Subsidiaries. Neither the Borrower nor any of its Subsidiaries is a party to any
contract or agreement that has or is expected, in the judgment of the Borrower&#146;s officers, to
have any materially adverse effect on the business of the Borrower or any of its
Subsidiaries.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.9 <U>Compliance with Other Instruments, Laws, etc.</U> Neither the Borrower nor any
of its Subsidiaries is in violation of any provision of its charter documents, bylaws, or any
agreement or instrument to which it may be subject or by which it or any of its properties
may be bound or any decree, order, judgment, statute, license, rule or regulation, in any of
the foregoing cases in a manner that could reasonably be expected to result in the imposition
of substantial penalties or materially and adversely affect the financial condition,
properties or business of the Borrower or any of its Subsidiaries.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.10 <U>Tax Status</U>. The Borrower and its Subsidiaries (a)&nbsp;have made or filed all
federal and state income and sales and all other material tax returns, reports and
declarations required by any jurisdiction to which any of them is subject, (b)&nbsp;have paid all
taxes and other governmental assessments and charges shown or determined to be due on such
returns, reports and declarations, except those being contested in good faith and by
appropriate proceedings and (c)&nbsp;have set aside on their books provisions reasonably adequate
for the payment of all taxes for periods subsequent to the periods to which such returns,
reports or declarations apply. There are no unpaid taxes in any material amount claimed to
be due by the taxing authority of any jurisdiction, and the officers of the Borrower know of
no basis for any such claim.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.11 <U>No Event of Default</U>. No Default or Event of Default has occurred and is
continuing.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.12 <U>Holding Company and Investment Company Acts</U>. Neither the Borrower nor any
of its Subsidiaries is a &#147;holding company&#148;, or a &#147;subsidiary company&#148; of a &#147;holding company&#148;,
or an affiliate&#148; of a &#147;holding company&#148;, as such terms are defined in the Public Utility
Holding Company Act of 1935; nor is it an &#147;investment company&#148;, or an &#147;affiliated company&#148; or
a &#147;principal underwriter&#148; of an &#147;investment company&#148;, as such terms are defined in the
Investment Company Act of 1940.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.13 <U>Absence of Financing Statements, etc.</U> Except with respect to Permitted
Liens, there is no financing statement, security agreement, chattel mortgage, real estate
mortgage or other document filed or recorded with any filing records, registry or other
public office, that purports to cover, affect or give notice of any present or possible
future
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">lien on, or security interest in, any assets or property of the Borrower or any of its
Subsidiaries or any rights relating thereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.14 <U>Perfection of Security Interest</U>. All filings, assignments, pledges and
deposits of documents or instruments have been made and all other actions have been taken
that are necessary or advisable, under applicable law, to establish and perfect the
Collateral Agent&#146;s security interest in the Collateral. The Collateral and the Collateral
Agent&#146;s rights with respect to the Collateral are not subject to any setoff, claims,
withholdings or other defenses. The Borrower is the owner of the Collateral free from any
lien, security interest, encumbrance and any other claim or demand, except for Permitted
Liens.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.15 <U>Certain Transactions</U>. Except as set forth on <U>Schedule&nbsp;7.15</U> hereto
and except for arm&#146;s length transactions pursuant to which the Borrower or any of its
Subsidiaries makes payments in the ordinary course of business upon terms no less favorable
than the Borrower or such Subsidiary could obtain from third parties, none of the officers,
directors, or employees of the Borrower or any of its Subsidiaries is presently a party to
any transaction with the Borrower or any of its Subsidiaries (other than for services as
employees, officers and directors), including any contract, agreement or other arrangement
providing for the furnishing of services to or by, providing for rental of real or personal
property to or from, or otherwise requiring payments to or from any officer, director or such
employee or, to the knowledge of the Borrower, any corporation, partnership, trust or other
entity in which any officer, director, or any such employee has a substantial interest or is
an officer, director, trustee or partner.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.16 <U>Employee Benefit Plans</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.16.1 <U>In General</U>. Each Employee Benefit Plan has been maintained and operated in
compliance in all material respects with the provisions of ERISA and, to the extent applicable, the
Code, including but not limited to the provisions thereunder respecting prohibited transactions.
The Borrower has heretofore delivered to the Agents the most recently completed annual report, Form
5500, with all required attachments, and actuarial statement required to be submitted under Section
103(d) of ERISA, with respect to each Guaranteed Pension Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.16.2 <U>Terminability of Welfare Plans</U>. Under each Employee Benefit Plan which is an
employee welfare benefit plan within the meaning of Section&nbsp;3(1) or Section&nbsp;3(2)(B) of ERISA, no
benefits are payable to employees (or their dependents) after termination of employment (except as
required by Title I, Part&nbsp;6 of ERISA). The Borrower or an ERISA Affiliate, as appropriate, may
terminate each such Plan at any time (or at any time subsequent to the expiration of any applicable
bargaining agreement) in the discretion of the Borrower or such ERISA Affiliate without liability
to any Person.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.16.3 <U>Guaranteed Pension Plans</U>. Each contribution required to be made to a
Guaranteed Pension Plan, whether required to be made to avoid the incurrence of an accumulated
funding deficiency, the notice or lien provisions of Section 302(f) of ERISA, or otherwise, has
been timely made. No waiver of an accumulated funding deficiency or extension of amortization
periods has been received with respect to any Guaranteed Pension Plan. No
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">liability to the PBGC (other than required insurance premiums, all of which have been paid)
has been incurred by the Borrower or any ERISA Affiliate with respect to any Guaranteed Pension
Plan and there has not been any ERISA Reportable Event, or any other event or condition which
presents a material risk of termination of any Guaranteed Pension Plan by the PBGC. Based on the
latest valuation of each Guaranteed Pension Plan (which in each case occurred within twelve months
of the date of this representation), and on the actuarial methods and assumptions employed for that
valuation, the aggregate benefit liabilities of all such Guaranteed Pension Plans within the
meaning of Section&nbsp;4001 of ERISA did not exceed the aggregate value of the assets of all such
Guaranteed Pension Plans, disregarding for this purpose the benefit liabilities and assets of any
Guaranteed Pension Plan with assets in excess of benefit liabilities, by more than $500,000.00.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.16.4 <U>Multiemployer Plans</U>. Neither the Borrower nor any ERISA Affiliate has incurred
any material liability (including secondary liability) to any Multiemployer Plan as a result of a
complete or partial withdrawal from such Multiemployer Plan under Section&nbsp;4201 of ERISA or as a
result of a sale of assets described in Section&nbsp;4204 of ERISA. Neither the Borrower nor any ERISA
Affiliate has been notified that any Multiemployer Plan is in reorganization or insolvent under and
within the meaning of Section&nbsp;4241 or Section&nbsp;4245 of ERISA or is at risk of entering
reorganization or becoming insolvent, or that any Multiemployer Plan intends to terminate or has
been terminated under Section&nbsp;4041A of ERISA.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.17 <U>Regulations U and X</U>. The proceeds of the Loans shall be used for working
capital and general corporate purposes. No portion of any Loan is to be used for the purpose
of purchasing or carrying any &#147;margin security&#148; or &#147;margin stock&#148; as such terms are used in
Regulations U and X of the Board of Governors of the Federal Reserve System, 12 C.F.R. Parts
221 and 224.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.18 <U>Environmental Compliance</U>. The Borrower has taken all necessary steps to
investigate the past and present condition and usage of the Real Estate and the operations
conducted thereon and, based upon such diligent investigation, has determined that:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;none of the Borrower, its Subsidiaries or any operator of the Real Estate or any
operations thereon is in violation, or alleged violation, of any judgment, decree, order, law,
license, rule or regulation pertaining to environmental matters, including without limitation,
those arising under the Resource Conservation and Recovery Act (&#147;RCRA&#148;), the Comprehensive
Environmental Response, Compensation and Liability Act of 1980 as amended (&#147;CERCLA&#148;), the Superfund
Amendments and Reauthorization Act of 1986 (&#147;SARA&#148;), the Federal Clean Water Act, the Federal Clean
Air Act, the Toxic Substances Control Act, or any state or local statute, regulation, ordinance,
order or decree relating to health, safety or the environment (hereinafter &#147;Environmental Laws&#148;),
which violation would reasonably be expected to have a material adverse effect on the environment
or the business, assets or financial condition of the Borrower or any of its Subsidiaries;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;neither the Borrower nor any of its Subsidiaries has received notice from any third party
including, without limitation, any federal, state or local governmental authority, (i)&nbsp;that any one
of them has been identified by the United States Environmental Protection Agency (&#147;EPA&#148;) as a
potentially responsible party under CERCLA with respect to a site listed
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">on the National Priorities List, 40 C.F.R. Part&nbsp;300 Appendix&nbsp;B; (ii)&nbsp;that any hazardous waste,
as defined by 42 U.S.C. Section&nbsp;6903(5), any hazardous substances as defined by 42 U.S.C. Section
9601(14), any pollutant or contaminant as defined by 42 U.S.C. Section&nbsp;9601(33) and any toxic
substances, oil or hazardous materials or other chemicals or substances regulated by any
Environmental Laws (&#147;Hazardous Substances&#148;) which any one of them has generated, transported or
disposed of has been found at any site at which a federal, state or local agency or other third
party has conducted or has ordered that any Borrower or any of its Subsidiaries conduct a remedial
investigation, removal or other response action pursuant to any Environmental Law; or (iii)&nbsp;that it
is or shall be a named party to any claim, action, cause of action, complaint, or legal or
administrative proceeding (in each case, contingent or otherwise) arising out of any third party&#146;s
incurrence of costs, expenses, losses or damages of any kind whatsoever in connection with the
release of Hazardous Substances;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;except as set forth on <U>Schedule&nbsp;7.18</U> attached hereto: (i)&nbsp;no portion of the Real
Estate has been used for the handling, processing, storage or disposal of Hazardous Substances
except in accordance with applicable Environmental Laws; and no underground tank or other
underground storage receptacle for Hazardous Substances is located on any portion of the Real
Estate; (ii)&nbsp;in the course of any activities conducted by the Borrower, its Subsidiaries or
operators of its properties, no Hazardous Substances have been generated or are being used on the
Real Estate except in accordance with applicable Environmental Laws; (iii)&nbsp;there have been no
releases (i.e. any past or present releasing, spilling, leaking, pumping, pouring, emitting,
emptying, discharging, injecting, escaping, disposing or dumping) or threatened releases of
Hazardous Substances on, upon, into or from the properties of the Borrower or its Subsidiaries,
which releases would have a material adverse effect on the value of any of the Real Estate or
adjacent properties or the environment; (iv)&nbsp;to the best of the Borrower&#146;s knowledge, there have
been no releases on, upon, from or into any real property in the vicinity of any of the Real Estate
which, through soil or groundwater contamination, may have come to be located on, and which would
have a material adverse effect on the value of, the Real Estate; and (v)&nbsp;in addition, any Hazardous
Substances that have been generated on any of the Real Estate have been transported offsite only by
carriers having an identification number issued by the EPA, treated or disposed of only by
treatment or disposal facilities maintaining valid permits as required under applicable
Environmental Laws, which transporters and facilities have been and are, to the best of the
Borrower&#146;s knowledge, operating in compliance with such permits and applicable Environmental Laws;
and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;None of the Borrower and its Subsidiaries or any of the Real Estate is subject to any
applicable environmental law requiring the performance of Hazardous Substances site assessments, or
the removal or remediation of Hazardous Substances, or the giving of notice to any governmental
agency or the recording or delivery to other Persons of an environmental disclosure document or
statement by virtue of the transactions set forth herein and contemplated hereby, or as a condition
to the effectiveness of any other transactions contemplated hereby.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.19 <U>Subsidiaries, etc.</U> Except as set forth on <U>Schedule&nbsp;7.19</U> hereto,
the Borrower has no Subsidiaries. Except as set forth on <U>Schedule&nbsp;7.19</U> hereto,
neither the Borrower nor any Subsidiary of the Borrower is engaged in any joint venture or
partnership with any other Person.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.20 <U>Bank Accounts</U>. <U>Schedule&nbsp;7.20</U> (as such may be amended from time to
time in accordance with Section&nbsp;9.9 hereof) sets forth the account numbers and location of
all bank accounts of the Borrower or any of its Subsidiaries.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>8. </B><U><B>AFFIRMATIVE COVENANTS OF THE BORROWER</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower covenants and agrees that, so long as any Loan is outstanding or any Lender has
any obligation to make any Loans.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 <U>Punctual Payment</U>. The Borrower will duly and punctually pay or cause to be
paid the principal and interest on the Loans, and all other amounts provided for in this
Credit Agreement and the other Loan Documents to which the Borrower or any of its
Subsidiaries is a party, all in accordance with the terms of this Credit Agreement and such
other Loan Documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 <U>Maintenance of Office</U>. The Borrower will maintain its chief executive
office in Chicago, Illinois, or at such other place in the United States of America as the
Borrower shall designate upon written notice to the Agents, where notices, presentations and
demands to or upon the Borrower in respect of the Loan Documents to which the Borrower is a
party may be given or made.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3 <U>Records and Accounts</U>. The Borrower will (a)&nbsp;keep, and cause each of its
Subsidiaries to keep, true and accurate records and books of account in which full, true and
correct entries will be made in accordance with Generally Accepted Accounting Principles and
(b)&nbsp;maintain adequate accounts and reserves for all taxes (including income taxes),
depreciation, depletion, obsolescence and amortization of its properties and the properties
of its Subsidiaries, contingencies, and other reserves in accordance with Generally Accepted
Accounting Principles.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4 <U>Financial Statements, Certificates and Information</U>. The Borrower will
deliver to each of the Lenders:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;as soon as practicable, but in any event not later than ninety (90)&nbsp;days after the end of
each fiscal year of the Borrower, the consolidated balance sheet of the Borrower and its
Subsidiaries and the consolidating balance sheet of the Borrower and its Subsidiaries, each as at
the end of such year, and the related consolidated statement of income and consolidated statement
of cash flow and consolidating statement of income and consolidating statement of cash flow for
such year, each setting forth in comparative form the figures for the previous fiscal year and all
such consolidated and consolidating statements to be in reasonable detail, prepared in accordance
with Generally Accepted Accounting Principles, and certified without qualification by
PricewaterhouseCoopers LLP or by another &#147;big four&#148; certified public accounting firm or by other
independent certified public accountants satisfactory to the Administrative Agent, together with a
written statement from such accountants to the effect that they have read a copy of this Credit
Agreement, and that, in making the examination necessary to said certification, they have obtained
no knowledge of any Default or Event of Default, or, if such accountants shall have obtained
knowledge of any then existing Default or Event of Default they shall disclose in such statement
any such Default or Event of Default; <U>provided</U> that such
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">accountants shall not be liable to the Lenders for failure to obtain knowledge of any Default
or Event of Default;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;as soon as practicable, but in any event not later than forty-five (45)&nbsp;days after the end
of each of the fiscal quarters of the Borrower, copies of the unaudited consolidated balance sheet
of the Borrower and its Subsidiaries and the unaudited consolidating balance sheet of the Borrower
and its Subsidiaries, each as at the end of such quarter, and the related consolidated statement of
income and consolidated statement of cash flow and consolidating statement of income and
consolidating statement of cash flow for the portion of the Borrower&#146;s fiscal year then elapsed,
all in reasonable detail and prepared in accordance with Generally Accepted Accounting Principles,
together with a certification by the principal financial or accounting officer of the Borrower that
the information contained in such financial statements fairly presents the financial position of
the Borrower and its Subsidiaries on the date thereof (subject to year-end adjustments);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;as soon as practicable, but in any event within thirty (30)&nbsp;days after the end of each
month in each fiscal year of the Borrower, unaudited monthly consolidated financial statements of
the Borrower and its Subsidiaries for such month and unaudited monthly consolidating financial
statements of the Borrower and its Subsidiaries for such month, each prepared in accordance with
Generally Accepted Accounting Principles, together with a certification by the Controller, Senior
Vice President of Finance or other principal financial or accounting officer of the Borrower that
the information contained in such financial statements fairly presents the financial condition of
the Borrower and its Subsidiaries on the date thereof (subject to quarterly and year-end
adjustments);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;within ten (10)&nbsp;days following the date hereof, the Borrower shall deliver to the Lenders
projections of the operating budgets of the Borrower and its Subsidiaries on a consolidated basis,
balance sheets and cash flow statements for the succeeding twenty-four (24)&nbsp;months, with such
projections to be on a monthly basis;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;contemporaneously with the filing or mailing thereof, copies of all material of a
financial nature filed with the Securities and Exchange Commission or sent to the stockholders of
the Borrower;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <U>Intentionally Omitted</U>;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <U>Intentionally Omitted</U>;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;on or prior to April&nbsp;30 of each calendar year, projections of the Borrower and its
Subsidiaries updating those projections delivered to the Lenders and referred to in Section&nbsp;7.4.2
or, if applicable, updating any later such projections delivered in response to a request pursuant
to this Section&nbsp;8.4(h);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;within thirty (30)&nbsp;days of the end of each fiscal quarter, a report setting forth in
reasonable detail all Capital Expenditures that each of the Borrower and its Subsidiaries has
become legally obligated to make, including, without limitation, in respect of new leases, purchase
contracts and construction contracts entered into in connection with new or existing retail stores
or distribution centers, during the next twelve (12)-month period;
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)&nbsp;prior to the opening by the Borrower of any new retail store or distribution center at
which Inventory is to be located, a supplement to <U>Schedule&nbsp;2</U> hereto in the form of
<U>Exhibit&nbsp;L</U> hereto, listing any additions or deletions to the list of retail stores and
distribution centers of the Borrower and its Subsidiaries located in the United States, which
supplement, together with <U>Schedule&nbsp;2</U> hereto and any prior supplements, shall be deemed to
constitute <U>Schedule&nbsp;2</U> for all purposes of this Credit Agreement;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)&nbsp;within forty-five (45)&nbsp;days after the completion of each of the Borrower&#146;s semi-annual
central warehouse inventory counts (which inventory counts may be observed by the Agents or by an
independent party acceptable to the Agents) (i)&nbsp;a report with respect to the results of such
inventory count and (ii)&nbsp;a report with respect to the results of the Borrower&#146;s inventory counts
with respect to its retail store locations conducted since the last such report delivered to the
Agents and the Lenders, each in form and detail satisfactory to the Agents and the Lenders; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)&nbsp;from time to time such other financial data and information (including accountants and
management letters) as any Agent or any Lender may reasonably request.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5 <U>Notices</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5.1 <U>Defaults</U>. The Borrower will promptly notify the Administrative Agent and each
of the Lenders in writing of the occurrence of (a)&nbsp;any Default or Event of Default hereunder, (b)
any Default or Event of Default under and as defined in the Senior Credit Agreement and (c)&nbsp;any
Default or Event of Default under and as defined in the Trade Vendor Extension Agreement. If any
Person shall give any notice or take any other action in respect of a claimed default (whether or
not constituting an Event of Default) under this Credit Agreement or any other note, evidence of
indebtedness, indenture or other obligation to which or with respect to which the Borrower or any
of its Subsidiaries is a party or obligor, whether as principal, guarantor, surety or otherwise,
the Borrower shall forthwith give written notice thereof to each of the Agents and each of the
Lenders, describing the notice or action and the nature of the claimed default.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5.2 <U>Environmental Events</U>. The Borrower will promptly give notice to the
Administrative Agent and each of the Lenders (a)&nbsp;of any violation of any Environmental Law that the
Borrower or any of its Subsidiaries reports in writing or is reportable by such Person in writing
(or for which any written report supplemental to any oral report is made) to any federal, state or
local environmental agency and (b)&nbsp;upon becoming aware thereof, of any inquiry, proceeding,
investigation, or other action, including a notice from any agency of potential environmental
liability, of any federal, state or local environmental agency or board, that has the potential to
materially affect the assets, liabilities, financial conditions or operations of the Borrower or
any of its Subsidiaries, or the Collateral Agent&#146;s mortgages, deeds of trust or security interests
pursuant to the Security Documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5.3 <U>Notification of Claim against Collateral</U>. The Borrower will, immediately upon
becoming aware thereof, notify the Administrative Agent and each of the Lenders in writing of any
setoff, claims (including, with respect to the Real Estate, environmental claims), withholdings or
other defenses to which any of the Collateral, or the
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Collateral Agent&#146;s rights with respect to the Collateral, are subject. The Borrower will,
immediately upon becoming aware thereof, notify the Administrative Agent and each of the Lenders in
writing of any proposed sale or transfer of any Permitted Inventory Location by the owner thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5.4 <U>Notice of Litigation and Judgments</U>. The Borrower will, and will cause each of
its Subsidiaries to, give notice to the Administrative Agent and each of the Lenders in writing
within fifteen (15)&nbsp;days of becoming aware of any litigation or proceedings threatened in writing
or any pending litigation and proceedings affecting the Borrower or any of its Subsidiaries or to
which the Borrower or any of its Subsidiaries is or becomes a party involving an uninsured claim
against the Borrower or any of its Subsidiaries that could reasonably be expected to have a
materially adverse effect on the Borrower or any of its Subsidiaries and stating the nature and
status of such litigation or proceedings. The Borrower will, and will cause each of its
Subsidiaries to, give notice to the Administrative Agent and each of the Lenders, in writing, in
form and detail satisfactory to the Administrative Agent, within ten (10)&nbsp;days of any judgment not
covered by insurance, final or otherwise, against the Borrower or any of its Subsidiaries in an
amount in excess of $500,000.00.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6 <U>Corporate Existence; Maintenance of Properties</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Borrower will do or cause to be done all things necessary to preserve and keep in full
force and effect its corporate existence, rights and franchises and those of its Subsidiaries and
will not, and will not cause or permit any of its Subsidiaries to, convert to any other entity.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Borrower (i)&nbsp;will cause all of its properties and those of its Subsidiaries used or
useful in the conduct of its business or the business of its Subsidiaries to be maintained and kept
in good condition, repair and working order and supplied with all necessary equipment, (ii)&nbsp;will
cause to be made all necessary repairs, renewals, replacements, betterments and improvements
thereof, all as in the judgment of the Borrower may be necessary so that the business carried on in
connection therewith may be properly and advantageously conducted at all times, and (iii)&nbsp;will, and
will cause each of its Subsidiaries to, continue to engage primarily in the businesses now
conducted by them; <U>provided</U> that nothing in this Section&nbsp;8.6 shall prevent the Borrower
from discontinuing the operation and maintenance of any of its properties or any of those of its
Subsidiaries if such discontinuance is, in the judgment of the Borrower, desirable in the conduct
of its or their business and that do not in the aggregate materially adversely affect the business
of the Borrower and its Subsidiaries on a consolidated basis.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7 <U>Insurance</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Borrower will, and will cause each of its Subsidiaries to, maintain with financially
sound and reputable insurers insurance with respect to its properties and business against such
casualties and contingencies as shall be in accordance with the general practices of businesses
engaged in similar activities in similar geographic areas and in amounts, containing such terms, in
such forms and for such periods as may be reasonable and prudent and in accordance with the terms
of the Security Agreement.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Contemporaneously with the execution of this Credit Agreement, and within fifteen (15)
days of any date when any additional or replacement insurance coverage is obtained, the Borrower
shall, and will cause each of its Subsidiaries to, deliver to the Administrative Agent true copies
of certificates of insurance with respect to such additional insurance or replacement policies and,
upon request and to the extent not previously delivered to the Administrative Agent, copies of the
original insurance policies evidencing such additional or replacement insurance, which certificates
and policies (i)&nbsp;in the case of property and casualty policies, shall contain an endorsement or
rider naming the Collateral Agent, for the benefit of the Agents and the Lenders, as a mortgagee,
loss payee and additional insured, and (ii)&nbsp;in the case of liability policies, shall contain an
endorsement or rider naming the Collateral Agent, for the benefit of the Agents and the Lenders, as
an additional insured, with each such policy providing that such insurance shall not be canceled or
amended without thirty (30)&nbsp;days prior written notice to the Collateral Agent.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8 <U>Taxes</U>. The Borrower will, and will cause each of its Subsidiaries to, duly
pay and discharge, or cause to be paid and discharged, before the same shall become overdue,
all taxes, assessments and other governmental charges imposed upon it and its real
properties, sales and activities, or any part thereof, or upon the income or profits
therefrom, as well as all claims for labor, materials, or supplies that if unpaid might by
law become a lien or charge upon any of its property; <U>provided</U> that any such tax,
assessment, charge, levy or claim need not be paid if the validity or amount thereof shall
currently be contested in good faith by appropriate proceedings and if the Borrower or such
Subsidiary shall have set aside on its books adequate reserves with respect thereto; and
<U>provided</U> <U>further</U> that the Borrower and each Subsidiary of the Borrower will
pay all such taxes, assessments, charges, levies or claims forthwith upon the commencement of
proceedings to foreclose any lien that may have attached as security therefor.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9 <U>Inspection of Properties and Books, etc.</U>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9.1 <U>General</U>. The Borrower shall permit the Lenders, through the Agents or any of
the Lenders&#146; other designated representatives, to visit and inspect any of the properties of the
Borrower or any of its Subsidiaries, to examine the books of account of the Borrower and its
Subsidiaries (and to make copies thereof and extracts therefrom), to discuss the affairs, finances
and accounts of the Borrower and its Subsidiaries with, and to be advised as to the same by, its
and their officers, and to conduct examinations and verifications of the other assets of the
Borrower and its Subsidiaries and all systems and procedures of the Borrower and its Subsidiaries,
including those relating to cash management and those relating to gold tracking and valuation, all
at such reasonable times and intervals as either of the Agents or any Lender may reasonably
request.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9.2 <U>Appraisals; Examinations</U>. (a)&nbsp;No more frequently than once each calendar year,
or more frequently as determined by the Agents if an Event of Default shall have occurred and be
continuing, upon the request of the Agents and, in each case, at the expense of the Borrower but
subject to the limitations set forth in Section&nbsp;16, the Borrower will obtain and deliver to the
Administrative Agent such appraisals of the Collateral as the Administrative Agent in its sole
discretion, may deem are necessary or appropriate.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;No more frequently than once each calendar year, or more frequently as determined by the
Agents if an Event of Default shall have occurred and be continuing, upon the request of the Agents
and, in each case at the expense of the Borrower but subject to the limitations set forth in
Section&nbsp;16, the Borrower will obtain and deliver to the Administrative Agent (which may be
affiliated with one of the Lenders) such commercial finance field examinations of the Borrower&#146;s
books and records as the Administrative Agent, in its sole discretion, may deem necessary or
appropriate.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9.3 <U>Intentionally Omitted</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9.4 <U>Communications with Accountants</U>. The Borrower authorizes the Agents and, if
accompanied by the Agents, the Lenders to communicate directly with the Borrower&#146;s independent
certified public accountants and authorizes such accountants to disclose to the Agents and the
Lenders any and all financial statements and other supporting financial documents and schedules
including copies of any management letter with respect to the business, financial condition and
other affairs of the Borrower or any of its Subsidiaries. At the request of the Agents, the
Borrower shall deliver a letter addressed to such accountants instructing them to comply with the
provisions of this Section&nbsp;8.9.4
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10 <U>Compliance with Laws, Contracts, Licenses, and Permits</U>. The Borrower will,
and will cause each of its Subsidiaries to, comply with (a)&nbsp;the applicable laws and
regulations wherever its business is conducted, including all Environmental Laws, except
where the failure to so comply would not reasonably be expected to have a materially adverse
effect either individually or in the aggregate upon the business, assets or financial
condition of the Borrower or any of its Subsidiaries, (b)&nbsp;the provisions of its charter
documents and by-laws, (c)&nbsp;all agreements and instruments by which it or any of its
properties may be bound, except where the failure to so comply would not reasonably be
expected to have a materially adverse effect either individually or in the aggregate upon the
business, assets or financial condition of the Borrower or any of its Subsidiaries, and (d)
all applicable decrees, orders, and judgments. If any authorization, consent, approval,
permit or license from any officer, agency or instrumentality of any government shall become
necessary or required in order that the Borrower or any of its Subsidiaries may fulfill any
of its obligations hereunder or any of the other Loan Documents to which the Borrower or such
Subsidiary is a party, the Borrower will, or (as the case may be) will cause such Subsidiary
to, immediately take or cause to be taken all reasonable steps within the power of the
Borrower or such Subsidiary to obtain such authorization, consent, approval, permit or
license and furnish the Agents and the Lenders with evidence thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.11 <U>Employee Benefit Plans</U>. The Borrower will (a)&nbsp;promptly upon filing the
same with the Department of Labor or Internal Revenue Service upon request of the Agents,
furnish to each of the Agents a copy of the most recent actuarial statement required to be
submitted under Section 103(d) of ERISA and Annual Report, Form&nbsp;5500, with all required
attachments, in respect of each Guaranteed Pension Plan and (b)&nbsp;promptly upon receipt or
dispatch, furnish to each of the Agents any notice, report or demand sent or received in
respect of a Guaranteed Pension Plan under Sections&nbsp;302, 4041, 4042, 4043, 4063, 4066 and
4068 of ERISA, or in respect of a Multiemployer Plan, under Sections&nbsp;4041A, 4202, 4219, 4242,
or 4245 of ERISA.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.12 <U>Use of Proceeds</U>. The Borrower will use the proceeds of the Loans for
working capital and general corporate purposes and to pay other fees and expenses, including,
without limitation, for the payment of accrued and unpaid interest under the Original Credit
Agreement and the Closing Date Portion of the Closing Fee, in each case, on the Closing Date,
and in the case of the Initial Loan, as provided in the payment direction letter dated as of
the Initial Closing Date, executed by the Borrower and delivered to the Administrative Agent
under the Original Credit Agreement,. and in the case of the Additional Loan, as provided in
the payment direction letter dated as of the date hereof, executed by the Borrower and
delivered to the Administrative Agent.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.13 <U>Additional Mortgaged Property</U>. If, after the Closing Date, the Borrower or
any of its Subsidiaries acquires or leases for a term in excess of five (5)&nbsp;years real estate
used as a manufacturing or warehouse facility, the Borrower shall notify the Agents promptly
thereof, and upon the request of the Lenders, the Borrower shall, or shall cause such
Subsidiary to, forthwith deliver to the Collateral Agent a fully executed mortgage or deed of
trust over such real estate, in form and substance satisfactory to the Agents, together with
title insurance policies, surveys, evidences of insurances with the Collateral Agent named as
loss payee and additional insured, legal opinions and other documents and certificates with
respect to such real estate as shall be reasonably satisfactory to the Agents. The Borrower
further agrees that, following the taking of such actions with respect to such real estate,
the Collateral Agent shall have for the benefit of the Lenders and the Agents a valid and
enforceable mortgage or deed of trust over such real estate, free and clear of all defects
and encumbrances except for Permitted Liens.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.14 <U>Bank Accounts</U>. The Borrower shall, and shall cause each of its
Subsidiaries to, comply with the cash management provisions of the Senior Credit Agreement
(or any successor or replacement agreement acceptable to Agent), including, without
limitation, Section&nbsp;8.14 of the Senior Credit Agreement (as in effect on the date hereof);
<U>provided</U> that, if the Senior Credit Agreement shall have been terminated and the
Borrower shall not have entered into a successor or replacement agreement acceptable to the
Agents, then the Borrower shall, and shall cause each of its Subsidiaries to, enter into
control agreements, cash management agreements, lockbox agreements and other similar
agreements in form and substance and reasonably satisfactory to Agents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.15 <U>Inventory Restrictions</U>. The Borrower shall cause, and shall cause each of
its Subsidiaries to cause, Consigned Precious Metal and all Eligible Inventory (in each case
as such term, and each component definition thereof, is defined in the Senior Credit
Agreement) to be located at all times solely at Permitted Inventory Locations, and to be sold
or otherwise disposed of in the ordinary course of the Borrower&#146;s or such Subsidiary&#146;s
business, consistent with past practices or as required pursuant to the terms of this Credit
Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.16 <U>Private Label Credit Card Program</U>. The Borrower will maintain in effect at
all times credit programs provided by Persons other than the Borrower and its Subsidiaries
which are non-recourse to the Borrower and its Subsidiaries.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.17 <U>Operating Accounts</U><B>. </B>The Borrower will maintain all of its operating
accounts (other than Store Accounts subject to a Blocked Account Agreement) with the Senior
Administrative Agent or, if at any time the Senior Credit Agreement is terminated, with
financial institutions reasonably acceptable to the Agents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.18 <U>Further Assurances</U>. The Borrower will, and will cause each of its
Subsidiaries to, cooperate with the Lenders and the Agents and execute such further
instruments and documents as any of the Lenders or the Agents shall reasonably request to
carry out to their satisfaction the transactions contemplated by this Credit Agreement and
the other Loan Documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.19 <U>New Subsidiaries</U>. The Borrower shall, immediately upon any Investment in a
new Subsidiary permitted by Section&nbsp;9.3(f) hereof, pledge to the Collateral Agent, for the
benefit of the Lenders and the Agents, the capital stock of each new Subsidiary in which the
Borrower invests pursuant to a stock pledge agreement in form and substance satisfactory to
the Agents and the Lenders, and such new Subsidiary shall grant to the Collateral Agent a
perfected priority security interest (subject only to liens in favor of the Senior Collateral
Agent, for the benefit of the Senior Lenders and the Senior Agents and Permitted Liens
entitled to priority under applicable law) in all of its personal property assets (with such
exceptions as are acceptable to the Required Lenders) pursuant to an instrument of adherence
to the Security Agreement in form and substance satisfactory to the Agents and the Lenders.
In addition, the Borrower shall immediately upon such Investment, revise <U>Schedule
7.19</U> hereto to reflect the acquisition of each new Subsidiary. Each new Subsidiary in
which the Borrower invests shall, immediately upon such Investment, execute and deliver to
the Collateral Agent, for the benefit of the Lenders and the Agents, a guaranty of the
payment and performance of all of the Obligations, in form and substance satisfactory to the
Agents and the Lenders, together with acceptable security documents including without
limitation, the aforementioned instrument of adherence to the Security Agreement, legal
opinions, and other documents and instruments necessary to demonstrate the due authorization,
execution and delivery by such new Subsidiary of such guaranty and such security documents
and to perfect the Collateral Agent&#146;s security interest in all of such new Subsidiary&#146;s
assets, including (a)&nbsp;the resolutions of the Board of Directors or equivalent body of such
new Subsidiary and the charter and by-laws (or the equivalent thereof) of such new
Subsidiary, certified by an officer of such new Subsidiary, (b)&nbsp;a good standing certificate
of such new Subsidiary in its jurisdiction of incorporation, (c)&nbsp;a certificate of the
Secretary or an Assistant Secretary of such new Subsidiary certifying the names and true
signatures of the officers of such new Subsidiary authorized to sign such guaranty and such
security documents, (d)&nbsp;UCC-1 financing statements, and (e)&nbsp;such other documents as the
Collateral Agent may reasonably request. Upon delivery of the aforementioned documents, such
new Subsidiary shall become a guarantor of the Obligations hereunder and, except as otherwise
agreed to by the Required Lenders, shall comply with and be bound by all of the terms and
conditions of the Loan Documents as a Subsidiary of the Borrower thereunder, and the Borrower
shall cause such new Subsidiary to take all actions which it would have been required to make
or take had it been a Subsidiary of the Borrower on the Closing Date, including making all
representations and warranties as a guarantor under each of the Loan Documents.
Notwithstanding anything contained in this Section&nbsp;8.19 to the contrary and to the extent
permitted pursuant to
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">Section&nbsp;9.12, no Subsidiary which is incorporated or organized outside the United States
of America (a &#147;Foreign Subsidiary&#148;) shall be required hereunder to execute or deliver a
guaranty or security agreement or otherwise pledge, or grant a security interest in, any of
its assets, and the Borrower and any Subsidiary shall not be required to pledge more than
sixty-five percent (65%) of the outstanding capital stock, or other equity interest, of any
Foreign Subsidiary, in each case to the extent such guaranty, security agreement, pledge or
grant would cause a deemed repatriation of the accumulated earnings and profits of such
Foreign Subsidiary to its parent.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.20 <U>Landlord Waivers</U>. To the extent required by the Administrative Agent in
its sole discretion upon written notice to the Borrower, the Borrower shall exercise
commercially reasonable best efforts to obtain Landlord Waivers with respect to all Permitted
Inventory Locations that are subject to Specified Leases, including, without limitation,
Landlord Waivers in connection with leases extended, renegotiated or entered into after the
Closing Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>9. </B><U><B>CERTAIN NEGATIVE COVENANTS OF THE BORROWER</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower covenants and agrees that, so long as any Loan or Note is outstanding or any
Lender has any obligation to make any Loans:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 <U>Restrictions on Indebtedness</U>. The Borrower will not, and will not permit
any of its Subsidiaries to, create, incur, assume, guarantee or be or remain liable,
contingently or otherwise, with respect to any Indebtedness other than:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Indebtedness to the Senior Lenders arising under any of the Senior Loan Documents;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Indebtedness to the Lenders and the Agents arising under any of the Loan Documents;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;current liabilities of the Borrower or such Subsidiary incurred in the ordinary course of
business not incurred through (i)&nbsp;the borrowing of money, or (ii)&nbsp;the obtaining of credit except
for credit on an open account basis customarily extended and in fact extended in connection with
normal purchases of goods and services;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Indebtedness in respect of taxes, assessments, governmental charges or levies and claims
for labor, materials and supplies to the extent that payment therefor shall not at the time be
required to be made in accordance with the provisions of Section&nbsp;8.8;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Indebtedness in respect of judgments or awards that have been in force for less than the
applicable period for taking an appeal so long as execution is not levied thereunder or in respect
of which the Borrower or such Subsidiary shall at the time in good faith be prosecuting an appeal
or proceedings for review and in respect of which a stay of execution shall have been obtained
pending such appeal or review;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;endorsements for collection, deposit or negotiation and warranties of products or
services, in each case incurred in the ordinary course of business;
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;Indebtedness existing on the date hereof and listed and described on <U>Schedule&nbsp;9.1</U>
hereto;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;Indebtedness owed by the Borrower or any of its Subsidiaries to trade vendors, in the
amount of the cost to the Borrower or such Subsidiary of inventory held on consignment from such
trade vendors, including in connection with and pursuant to the Trade Vendor Extension Agreement;
and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;Indebtedness of the Borrower and its Subsidiaries other than that permitted elsewhere in
this Section&nbsp;9.1 in an aggregate principal amount not to exceed $2,000,000 at any time outstanding;
provided that (i)&nbsp;the Net Proceeds from such Indebtedness are applied in accordance with Section
5.4.5 hereof and (ii)&nbsp;no Default or Event of Default has occurred and is continuing at the time
such Indebtedness is incurred and none would exist after giving effect thereto;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>provided</U>, <U>however</U>, the Borrower will not, and will not permit any of its
Subsidiaries to, engage in any form of &#147;off balance sheet&#148; financing, including, without
limitation, the lease of any assets by the Borrower or any of its Subsidiaries as lessee under any
synthetic lease referred to in clause (vi)&nbsp;of the definition of the term &#147;Indebtedness.&#148;
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2 <U>Restrictions on Liens</U>. The Borrower will not, and will not permit any of
its Subsidiaries to, (i)&nbsp;create or incur or suffer to be created or incurred or to exist any
lien, encumbrance, mortgage, pledge, charge, restriction or other security interest of any
kind upon any of its property or assets of any character whether now owned or hereafter
acquired, or upon the income or profits therefrom; (ii)&nbsp;transfer any of such property or
assets or the income or profits therefrom for the purpose of subjecting the same to the
payment of Indebtedness or performance of any other obligation in priority to payment of its
general creditors; (iii)&nbsp;acquire, or agree or have an option to acquire, any property or
assets upon conditional sale or other title retention or purchase money security agreement,
device or arrangement; (iv)&nbsp;suffer to exist for a period of more than thirty (30)&nbsp;days after
the same shall have been incurred any Indebtedness or claim or demand against it that if
unpaid might by law or upon bankruptcy or insolvency, or otherwise, be given any priority
whatsoever over its general creditors; or (v)&nbsp;sell, assign, pledge or otherwise transfer any
accounts, contract rights, general intangibles, chattel paper or instruments, with or without
recourse; <U>provided</U> that the Borrower and any Subsidiary of the Borrower may create or
incur or suffer to be created or incurred or to exist (the &#147;Permitted Liens&#148;):
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;liens in favor of the Borrower on all or part of the assets of Subsidiaries of the
Borrower securing Indebtedness owing by Subsidiaries of the Borrower to the Borrower;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;liens to secure taxes, assessments and other government charges in respect of obligations
not overdue or liens on properties to secure claims for labor, material or supplies in respect of
obligations not overdue;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;deposits or pledges made in connection with, or to secure payment of, workmen&#146;s
compensation, unemployment insurance, old age pensions or other social security obligations;
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;liens on properties in respect of judgments or awards, the Indebtedness with respect to
which is permitted by Section&nbsp;9.1(e);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;liens of carriers, warehousemen, mechanics and materialmen, and other like liens on
properties, in existence less than 120&nbsp;days from the date of creation thereof in respect of
obligations not overdue;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;encumbrances on Real Estate consisting of easements, rights of way, zoning restrictions,
restrictions on the use of real property and defects and irregularities in the title thereto,
landlord&#146;s or lessor&#146;s liens under leases to which the Borrower or a Subsidiary of the Borrower is
a party, and other minor liens or encumbrances none of which in the opinion of the Borrower
interferes materially with the use of the property affected in the ordinary conduct of the business
of the Borrower and its Subsidiaries, which defects do not individually or in the aggregate have a
materially adverse effect on the business of the Borrower individually or of the Borrower and its
Subsidiaries on a consolidated basis;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;liens existing on the date hereof and listed on <U>Schedule&nbsp;9.2</U> hereto;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;purchase money security interests in or purchase money mortgages on real or personal
property acquired after the date hereof to secure purchase money Indebtedness in an amount
permitted by Section&nbsp;9.1(i), incurred in connection with the acquisition of such property, which
security interests or mortgages cover only the real or personal property so acquired;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;liens in favor of the Senior Collateral Agent, for the benefit of the Senior Lenders and
the Senior Agents, under the Senior Loan Documents; <U>provided</U> that such liens are subject to
the Intercreditor Agreement;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)&nbsp;liens to secure obligations under any notes provided to the trade vendors pursuant to the
Trade Vendor Extension Agreement; <U>provided</U> that such liens are subject to the Trade Vendor
Intercreditor Agreement; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)&nbsp;liens on inventory and proceeds thereof (up to the cost thereof to the Borrower or such
Subsidiary) held on consignment from trade vendors securing obligations to return or pay the
purchase price of such inventory.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3 <U>Restrictions on Investments</U>. The Borrower will not, and will not permit any
of its Subsidiaries to, make or permit to exist or to remain outstanding any Investment
except Investments in:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;marketable direct or guaranteed obligations of the United States of America that mature
within one (1)&nbsp;year from the date of purchase by the Borrower or such Subsidiary;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;demand deposits, certificates of deposit, bankers acceptances and time deposits of United
States banks having total assets in excess of $1,000,000,000;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;securities commonly known as &#147;commercial paper&#148; issued by a corporation organized and
existing under the laws of the United States of America or any state
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">thereof that at the time of purchase have been rated and the ratings for which are not less
than &#147;P 1&#148; if rated by Moody&#146;s Investors Services, Inc., and not less than &#147;A 1&#148; if rated by
Standard and Poor&#146;s;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Investments existing on the date hereof and listed on <U>Schedule&nbsp;9.3</U> hereto;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Investments consisting of loans, advances or guaranties to or for the benefit of employees
in the ordinary course of business not to exceed $250,000.00 in the aggregate at any time
outstanding; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Investments to the extent permitted under Section&nbsp;9.4;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>provided</U>, <U>however</U>, that, with the exception of demand deposits referred to in
Section&nbsp;9.3(b) and loans and advances referred to in Section&nbsp;9.3(e), such Investments will be
considered Investments permitted by this Section&nbsp;9.3 only if all actions have been taken to the
satisfaction of the Agents to provide to the Collateral Agent, for the benefit of the Lenders and
the Agents, a perfected security interest in all of such Investments free of all encumbrances other
than Permitted Liens.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.4 <U>Distributions</U>. The Borrower will not make any Distributions.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.5 <U>Merger, Consolidation; Disposition of Assets; Issuance of Equity Securities</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.5.1 <U>Mergers and Acquisitions</U>. Except as contemplated by the Merger Agreement, the
Borrower will not, and will not permit any of its Subsidiaries to, become a party to any merger or
consolidation, or agree to or effect any asset acquisition or stock acquisition (other than the
acquisition of assets in the ordinary course of business consistent with past practices) except the
merger or consolidation of one or more of the Subsidiaries of the Borrower with and into the
Borrower, or the merger or consolidation of two or more Subsidiaries of the Borrower. The Borrower
will not, and will not permit any of its Subsidiaries to, agree to or effect any asset acquisition
or stock acquisition without the prior written consent of the Required Lenders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.5.2 <U>Disposition of Assets</U>. Except as contemplated by the Merger Agreement, the
Borrower will not, and will not permit any of its Subsidiaries to, become a party to or agree to or
effect any disposition of assets, other than the disposition of (a)&nbsp;inventory in the ordinary
course of business, consistent with past practices, (b)&nbsp;inventory, equipment, fixtures and
leasehold interests of the Borrower in connection with the sale by the Borrower in the ordinary
course of business of any retail store locations, (c)&nbsp;obsolete equipment in connection with the
replacement thereof provided that such assets shall not have an aggregate value in excess of
$750,000.00 for all such sales occurring in any fiscal year, (d)&nbsp;retail installment sales accounts
so long as such sales (i)&nbsp;are without recourse to the Borrower, (ii)&nbsp;are for cash in an amount
equal to not less than 85% of the amount of such accounts, (iii)&nbsp;are done within one month of the
creation of such accounts, and (iv)&nbsp;are otherwise consistent with past practices of the Borrower,
(e)&nbsp;other assets pursuant to sale transactions or sale and leaseback transactions provided that (i)
the Borrower receives cash proceeds from such transactions equal to the fair market value of such
assets, (ii)&nbsp;the Net Proceeds from such transactions are applied in accordance with Section&nbsp;5.4.5
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">hereof and (iii)&nbsp;no Default or Event of Default has occurred and is continuing at the time any
such transaction is consummated and none would exist after giving effect thereto, and (f)
notwithstanding anything to the contrary contained elsewhere in any Loan Documents, non-exclusive
licenses of intellectual property including trademarks and tradenames, and outside of the United
States, exclusive licenses of such intellectual property.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.6 <U>Sale and Leaseback</U>. The Borrower will not, and will not permit any of its
Subsidiaries to, enter into any arrangement, directly or indirectly, whereby the Borrower or
any Subsidiary of the Borrower shall sell or transfer any property owned by it in order then
or thereafter to lease such property or lease other property that the Borrower or any
Subsidiary of the Borrower intends to use for substantially the same purpose as the property
being sold or transferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.7 <U>Compliance with Environmental Laws</U>. The Borrower will not, and will not
permit any of its Subsidiaries to, (a)&nbsp;use any of the Real Estate or any portion thereof for
the handling, processing, storage or disposal of Hazardous Substances, (b)&nbsp;cause or permit to
be located on any of the Real Estate any underground tank or other underground storage
receptacle for Hazardous Substances, (c)&nbsp;generate any Hazardous Substances on any of the Real
Estate, (d)&nbsp;conduct any activity at any Real Estate or use any Real Estate in any manner so
as to cause a release (i.e. releasing, spilling, leaking, pumping, pouring, emitting,
emptying, discharging, injecting, escaping, leaching, disposing or dumping) or threatened
release of Hazardous Substances on, upon or into the Real Estate or (e)&nbsp;otherwise conduct any
activity at any Real Estate or use any Real Estate in any manner that would violate any
Environmental Law or bring such Real Estate in violation of any Environmental Law, where, in
the case of any such violation described in this clause (e), such violation could reasonably
be expected to have a materially adverse effect, either individually or in the aggregate,
upon the business, assets or financial condition of the Borrower or any of its Subsidiaries.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.8 <U>Employee Benefit Plans</U>. Neither the Borrower nor any ERISA Affiliate will
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;engage in any non-exempt &#147;prohibited transaction&#148; within the meaning of Section&nbsp;406 of
ERISA or Section&nbsp;4975 of the Code which could reasonably be expected to result in a material
liability for the Borrower or any of its Subsidiaries; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;permit any Guaranteed Pension Plan to incur an &#147;accumulated funding deficiency&#148;, as such
term is defined in Section&nbsp;302 of ERISA, whether or not such deficiency is or may be waived; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;fail to contribute to any Guaranteed Pension Plan to an extent which, or terminate any
Guaranteed Pension Plan in a manner which, could reasonably be expected to result in the imposition
of a lien or encumbrance on the assets of the Borrower or any of its Subsidiaries pursuant to
Section 302(f) or Section&nbsp;4068 of ERISA; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;permit or take any action which would result in the aggregate benefit liabilities (with
the meaning of Section&nbsp;4001 of ERISA) of all Guaranteed Pension Plans
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">exceeding the value of the aggregate assets of such Plans, disregarding for this purpose the
benefit liabilities and assets of any such Plan with assets in excess of benefit liabilities, by
more than the amount set forth in Section&nbsp;7.16.3.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.9 <U>Bank Accounts</U>. The Borrower will not, and will not permit any of its
Subsidiaries to, (a)&nbsp;establish any bank accounts, including, without limitation, any deposit
accounts, other than those listed on <U>Schedule&nbsp;7.20</U> (as such may be amended from time
to time to include those depository institutions acceptable to the Administrative Agent which
have executed and delivered Blocked Account Agreements in favor of the Senior Collateral
Agent or, if required by Section&nbsp;8.14, in favor of the Collateral Agent and in a form
reasonably acceptable to the Agents) without the Agents&#146; prior written consent, (b)&nbsp;violate
directly or indirectly any bank agency or lock box agreement in favor of the Collateral Agent
for the benefit of the Lenders and the Agents with respect to such account.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.10 <U>Consignment Transactions</U>. Except pursuant to this Credit Agreement, the
Borrower will not, nor will the Borrower permit or suffer any of its Subsidiaries to, enter
into any consignment transactions, including consignments of Precious Metal;
<U>provided</U>, that the Borrower or its Subsidiaries may enter into arrangements for
consignments of inventory from vendors in the ordinary course of business, consistent with
past practices.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.11 <U>Transactions with Affiliates</U>. Except for transactions which are described
on <U>Schedule&nbsp;7.15</U> hereto or are contemplated by the Merger Agreement, the Borrower
will not, nor will the Borrower permit or suffer any of its Subsidiaries to, conduct any
transactions among themselves or with any Affiliates of the Borrower, other than transactions
in the ordinary course of the Borrower&#146;s or such Subsidiary&#146;s business, consistent with past
practices, and upon terms not materially less favorable to such Borrower or Subsidiary than
it could obtain in a comparable arm&#146;s-length transaction with a party other than the
Borrower, such Subsidiary or such Affiliate.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.12 <U>Subsidiaries</U>. The Borrower will not create any Foreign Subsidiary without
the prior written consent of the Administrative Agent. Other than Whitehall Jewelers.com,
LLC, which is a dormant Subsidiary, the Borrower will not create any Subsidiaries unless the
Borrower and such Subsidiary complies with Section&nbsp;8.19. The Borrower will not permit
Whitehall Jewelers.com, LLC to conduct any operations or own any assets until such Subsidiary
complies with Section&nbsp;8.19.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.13 <U>Issuance of Equity Securities</U>. The Borrower will not, and will not permit
any of its Subsidiaries to, issue any equity securities, including, without limitation, any
issuance of warrants, options or subscription rights, unless (i)&nbsp;the Borrower receives solely
cash proceeds from each such issuance, (ii)&nbsp;the Net Proceeds from such issuance are applied
in accordance with Section&nbsp;5.4.4 hereof and (iii)&nbsp;no Default or Event of Default has occurred
and is continuing at the time any such issuance is consummated and none would exist after
giving effect thereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.14 <U>Amendments of Senior Loan Documents</U>. Unless the Lenders and the Agents
provide their prior written consent, the Borrower will not, and will not permit any
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">Subsidiary to, amend, modify, alter, increase, or change any of the terms or conditions
of (or permit the amendment, modification, alteration, increase or other change in any manner
of) any of the Senior Loan Documents if such amendment, modification, alteration, increase or
other change would:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;cause the Obligations as defined in and under the Senior Credit Agreement to exceed
$155,000,000 plus bank product obligations;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;increase the interest rate applicable to any obligation in respect of Indebtedness under
the Senior Credit Agreement by more than 200 basis points above the rate of interest applicable to
such obligation under the Senior Credit Agreement (as in effect on the date hereof) (except in
connection with (A)&nbsp;the imposition of a default rate of interest in accordance with the terms of
the Senior Loan Documents or (B)&nbsp;as expressly contemplated by the definitions of the terms &#147;Base
Rate&#148; and &#147;LIBOR Rate&#148;, respectively, in each case as set forth in the Senior Loan Documents (as in
effect on the date hereof));
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;release any Reserve (as such term is defined in the Senior Credit Agreement);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;amend the definition (including each component thereof) of, or change the methodology of
calculating, the following terms, other than as expressly permitted pursuant to the terms of the
Intercreditor Agreement: &#147;Borrowing Availability&#148;, &#147;Borrowing Base&#148;, &#147;Collateral&#148;, &#147;Outstanding
Facility Amounts&#148;, &#147;Reserves&#148; or &#147;Revolving Loan Borrowing Base&#148;, or amend any provision of the
Security Documents (as defined in the Senior Credit Agreement) in any manner adverse to the Agents
or the Lenders.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>10. </B><U><B>FINANCIAL COVENANTS OF THE BORROWER</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower covenants and agrees that, so long as any Loan or Note is outstanding or any
Lender has any obligation to make any Loans:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1 <U>Availability</U>. The Borrower shall maintain Borrowing Availability (as such
term, and each component definition thereof, is defined in the Senior Credit Agreement) in an
amount greater than $7,000,000.00 at all times.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.2 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.3 <U>Business Plan</U>. No sooner than Ninety (90)&nbsp;nor later than Thirty (30)&nbsp;days
prior to the end of each of the Borrower&#146;s fiscal years, the Borrower shall have delivered to
the Administrative Agent a business plan covering the succeeding fiscal year, in form and
substance acceptable to the Agents, in the Agents&#146; sole and exclusive discretion,
demonstrating adequate liquidity for the Borrower&#146;s business operations through the end of
that succeeding fiscal year.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.4 <U>Intentionally Omitted</U>.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>11. </B><U><B>CLOSING CONDITIONS</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The effectiveness of this Credit Agreement and the obligations of the Lenders to make the
Additional Loan shall be subject to the satisfaction of the following conditions precedent:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.1 <U>Loan Documents, etc.</U> Each of this Credit Agreement, the Notes and the
Guarantor Consent shall have been duly executed and delivered by the respective parties
thereto, shall be in full force and effect and shall be in form and substance satisfactory to
each of the Lenders. Each other Loan Document executed and delivered in connection with the
Original Credit Agreement and the Registration Rights Agreement shall be in full force and
effect. Each Lender shall have received a fully executed copy of each such document and such
other documents and certificates as the Agents may request.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.2 <U>Certified Copies of Charter Documents</U>. Each of the Lenders shall have
received from the Borrower and each of its Subsidiaries a copy, certified by a duly
authorized officer of such Person to be true and complete on the Closing Date, of each of (a)
its charter or other incorporation documents as in effect on such date of certification, and
(b)&nbsp;its by-laws as in effect on such date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.3 <U>Corporate, Action</U>. All corporate action necessary for the valid execution,
delivery and performance by the Borrower and each of its Subsidiaries of this Credit
Agreement and the other Loan Documents to which it is or is to become a party shall have been
duly and effectively taken, and evidence thereof satisfactory to the Lenders shall have been
provided to each of the Lenders.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.4 <U>Incumbency Certificate</U>. Each of the Lenders shall have received from the
Borrower and each of its Subsidiaries an incumbency certificate, dated as of the Closing
Date, signed by a duly authorized officer of the Borrower or such Subsidiary, and giving the
name and bearing a specimen signature of each individual who shall be authorized: (a)&nbsp;to
sign, in the name and on behalf of each of the Borrower of such Subsidiary, each of the Loan
Documents to which the Borrower or such Subsidiary is or is to become a party and; (b)&nbsp;to
give notices and to take other action on its behalf under the Loan Documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.5 <U>Validity of Liens</U>. The Security Documents which were executed and
delivered in connection with the Original Credit Agreement shall be effective to create in
favor of the Collateral Agent a legal, valid and enforceable security interest in and lien
upon the Collateral.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.6 <U>Perfection Certificate and UCC Search Results</U>. To the extent required by
the Collateral Agent, the Collateral Agent shall have received from the Borrower a completed
and fully executed Perfection Certificate and the results of current UCC searches with
respect to the Collateral, indicating no liens other than Permitted Liens and otherwise in
form and substance satisfactory to the Agents and the Lenders.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.7 <U>Certificates of Insurance</U>. The Agents shall have received (a)&nbsp;a
certificate of insurance from an independent insurance broker dated as of a date no more than
five days prior to the Closing Date, identifying insurers, types of insurance, insurance
limits, and policy terms, and otherwise describing the insurance obtained in accordance with
the
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">provisions of the Security Agreement and (b)&nbsp;certified copies of all policies evidencing
such insurance (or certificates therefore signed by the insurer or an agent authorized to
bind the insurer).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.8 <U>Borrowing Base Report; Consigned Precious Metal Report; Monthly Inventory
Report</U>. The Agents shall have received from the Borrower a Borrowing Base Report dated
as of the most recent practicable date, the initial Consigned Precious Metal Report (as
defined in, and as each component definitions is defined in the Senior Credit Agreement), and
the initial Monthly Inventory Report , in each case prepared on the basis of the best
available data, each dated as of the Closing Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.9 <U>Accounts Payable Aging Report</U>. The Agents shall have received from the
Borrower the most recent accounts payable aging report of the Borrower dated as of a date
which shall be no more than fifteen (15)&nbsp;days prior to the Closing Date and the Borrower
shall have notified the Agents in writing on the Closing Date of any material deviation from
the accounts payable values reflected in such accounts payable aging report and shall have
provided the Agents with such supplementary documentation as the Agents may reasonably
request.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.10 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.11 <U>Intercreditor Agreement</U>. The Senior Agents, on behalf of the Senior
Lenders and the Agents, on behalf of the Lenders shall have entered into the Intercreditor
Agreement, which shall be in form and substance satisfactory to the Agents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.12 <U>Opinion of Counsel</U>. Each of the Lenders and the Agents shall have
received a favorable legal opinion addressed to the Lenders and the Agents, dated as of the
Closing Date, in form and substance satisfactory to the Lenders and the Agents, from Sidley
Austin LLP, counsel to the Borrower and its Subsidiaries.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.13 <U>Payment of Fees; Payment of Accrued and Unpaid Interest Under Original Credit
Agreement</U>. The Borrower shall have paid to the Persons specified in Section&nbsp;5.6 the
Closing Date Portion of the Closing Fee pursuant to Section&nbsp;5.6 (which Closing Date Portion
of the Closing Fee may be paid by directing the Administrative Agent in writing to debit the
amount of the Closing Date Portion of the Closing Fee from the proceeds of the Additional
Loan). In addition, the Borrower shall have paid to the Lenders all accrued and unpaid
interest under the Original Credit Agreement (which accrued and unpaid interest may be paid
by directing the Administrative Agent in writing to debit such amounts from the proceeds of
the Additional Loan).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.14 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.15 <U>Financial Statements</U>. The Agents and the Lenders shall have received the
financial statements for the month ended December&nbsp;31, 2005.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.16 <U>Consents and Approvals</U>. The Agents shall have received evidence that
there shall have been obtained by all of the parties to the transactions contemplated hereby,
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">and shall be in full force and effect all regulatory, creditor, lessor and other third
party consents and approvals necessary to complete the transactions contemplated hereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.17 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.18 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.19 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.20 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.21 <U>Senior Lender Consent</U>. The Agents shall have received a fully executed
copy of the Senior Lender Consent, in form and substance satisfactory to the Agents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.22 <U>Merger Agreement</U>. The Agents shall have received a fully executed copy of
the Merger Agreement, which Merger Agreement shall be in full force and effect and shall be
in form and substance satisfactory to the Agents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.23 <U>Representations True; No Event of Default</U>. Each of the representations
and warranties of the Borrower and its Subsidiaries contained in this Credit Agreement and
the other Loan Documents shall be true and correct in all material respects as of the Closing
Date and no Default or Event of Default shall have occurred and be continuing.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.24 <U>No Legal Impediment</U>. No change shall have occurred in any law or
regulations thereunder or interpretations thereof that in the reasonable opinion of any
Lender would make it illegal for such Lender to make such Loan.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.25 <U>Governmental Regulation</U>. Each Lender shall have received such statements
in substance and form reasonably satisfactory to such Lender as such Lender shall require for
the purpose of compliance with any applicable regulations of the Comptroller of the Currency
or the Board of Governors of the Federal Reserve System.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>12. </B><U><B>INTENTIONALLY DELETED</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>13. </B><U><B>EVENTS OF DEFAULT; ACCELERATION; ETC</B>.</U>

</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.1 <U>Events of Default and Acceleration</U>. If any of the following events
(&#147;Events of Default&#148; or, if the giving of notice or the lapse of time or both is required,
then, prior to such notice or lapse of time, &#147;Defaults&#148;) shall occur:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;the Borrower shall fail to pay any principal of the Loans when the same shall become due
and payable or required, whether at the stated date of maturity or any accelerated date of maturity
or at any other date fixed for payment;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;the Borrower or any of its Subsidiaries (i)&nbsp;shall fail to pay any interest on the Loans
(A)&nbsp;within one (1)&nbsp;day following the date when the same shall become due and payable, other than at
the stated date of maturity or any accelerated date of maturity or (B)&nbsp;when the same shall become
due and payable at the stated date of maturity or any accelerated date of
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">maturity or (ii)&nbsp;shall fail to pay sums due hereunder or under any of the other Loan
Documents, when the same shall become due and payable, whether at the stated date of maturity or
any accelerated date of maturity or at any other date fixed for payment;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;the Borrower shall fail to comply with any of its covenants contained in Section&nbsp;8 (other
than Sections&nbsp;8.6(b), 8.13 and 8.17), 9 or 10;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;the Borrower or any of its Subsidiaries shall fail to perform any term, covenant or
agreement contained herein or in any of the other Loan Documents (other than those specified
elsewhere in this Section&nbsp;13.1) for fifteen (15)&nbsp;days after written notice of such failure has been
given to the Borrower by the Administrative Agent;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;any representation or warranty of the Borrower or any of its Subsidiaries in this Credit
Agreement or any of the other Loan Documents shall prove to have been false in any material respect
upon the date when made or deemed to have been made or repeated;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;the Borrower or any of its Subsidiaries shall (i)&nbsp;fail to pay at maturity, or within any
applicable period of grace, any obligation for borrowed money or credit received or in respect of
any Capitalized Leases, or (ii)&nbsp;fail to observe or perform any material term, covenant, or
agreement contained in any agreement by which it is bound, evidencing or securing borrowed money or
credit received, or in respect of any Capitalized Leases, in each case under this subparagraph (f)
in excess of $1,000,000.00, including without limitation, under the Senior Loan Documents or under
the Trade Vendor Term Sheet or the Trade Vendor Extension Agreement, for such period of time as
would permit (assuming the giving of appropriate notice if required) the holder or holders thereof
or of any obligations issued thereunder to accelerate the maturity thereof, whether or not any such
acceleration has taken place;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;the Borrower or any of its Subsidiaries shall make an assignment for the benefit of
creditors, or admit in writing its inability to pay or generally fail to pay its debts as they
mature or become due, or shall petition or apply for the appointment of a trustee or other
custodian, liquidator or receiver of the Borrower or any of its Subsidiaries or of any substantial
part of the assets of the Borrower or any of its Subsidiaries or shall commence any case or other
proceeding relating to the Borrower or any of its Subsidiaries under any bankruptcy,
reorganization, arrangement, insolvency, readjustment of debt, dissolution or liquidation or
similar law of any jurisdiction, now or hereafter in effect, or shall take any action to authorize
or in furtherance of any of the foregoing, or if any such petition or application shall be filed or
any such case or other proceeding shall be commenced against the Borrower or any of its
Subsidiaries and the Borrower or any of its Subsidiaries shall indicate its approval thereof,
consent thereto or acquiescence therein or such petition or application shall not have been
dismissed within forty-five (45)&nbsp;days following the filing thereof;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;a decree or order is entered appointing any such trustee, custodian, liquidator or
receiver or adjudicating the Borrower or any of its Subsidiaries bankrupt or insolvent, or
approving a petition in any such case or other proceeding, or a decree or order for relief is
entered in respect of the Borrower or any Subsidiary of the Borrower in an involuntary case under
federal bankruptcy laws as now or hereafter constituted;
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;there shall remain in force, undischarged, unsatisfied and unstayed, for more than thirty
(30)&nbsp;days, whether or not consecutive, any final judgment against the Borrower or any of its
Subsidiaries that, with other outstanding final judgments, undischarged, against the Borrower or
any of its Subsidiaries exceeds in the aggregate $1,500,000.00;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)&nbsp;if any of the Loan Documents shall be canceled, terminated, revoked or rescinded or the
Collateral Agent&#146;s security interests, mortgages or liens in a substantial portion of the
Collateral shall cease to be perfected, or shall cease to have the priority contemplated by the
Security Documents, in each case otherwise than in accordance with the terms thereof or with the
express prior written agreement, consent or approval of the Lenders, or any action at law, suit or
in equity or other legal proceeding to cancel, revoke or rescind any of the Loan Documents shall be
commenced by or on behalf of the Borrower or any of its Subsidiaries party thereto or any of their
respective stockholders, or any court or any other governmental or regulatory authority or agency
of competent jurisdiction shall make a determination that, or issue a judgment, order, decree or
ruling to the effect that, any one or more of the Loan Documents is illegal, invalid or
unenforceable in accordance with the terms thereof;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)&nbsp;with respect to any Guaranteed Pension Plan, an ERISA Reportable Event shall have occurred
and the Required Lenders shall have determined in their reasonable discretion that such event
reasonably could be expected to result in liability of the Borrower or any of its Subsidiaries to
the PBGC or such Guaranteed Pension Plan in an aggregate amount exceeding $1,500,000.00 and such
event in the circumstances occurring reasonably could constitute grounds for the termination of
such Guaranteed Pension Plan by the PBGC or for the appointment by the appropriate United States
District Court of a trustee to administer such Guaranteed Pension Plan; or a trustee shall have
been appointed by the United States District Court to administer such Plan; or the PBGC shall have
instituted proceedings to terminate such Guaranteed Pension Plan;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)&nbsp;the Borrower or any of its Subsidiaries shall be enjoined, restrained or in any way
prevented by the order of any court or any administrative or regulatory agency from conducting any
material part of its business and such order shall continue in effect for more than thirty (30)
days;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)&nbsp;there shall occur any material damage to, or loss, theft or destruction of, any
Collateral, whether or not insured, or any strike, lockout, labor dispute, embargo, condemnation,
act of God or public enemy, or other casualty, which in any such case causes, for more than ten
(10)&nbsp;consecutive days, the cessation or substantial curtailment of revenue producing activities at
retail locations of the Borrower or any of its Subsidiaries constituting twenty-five percent (25%)
or more of the Borrower&#146;s and its Subsidiaries retail locations if such event or circumstance is
not covered by business interruption insurance;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)&nbsp;there shall occur the loss, suspension or revocation of, or failure to renew, any license
or permit now held or hereafter acquired by the Borrower or any of its Subsidiaries if such loss,
suspension, revocation or failure to renew would have a material adverse effect on the business or
financial condition of the Borrower or such Subsidiary; or
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)&nbsp;the Borrower or any of its Subsidiaries shall be indicted for a state or federal crime, or
any civil or criminal action shall otherwise have been brought against the Borrower or any of its
Subsidiaries, a punishment for which in any such case could include the forfeiture of any assets of
the Borrower or such Subsidiary having a fair market value in excess of $1,500,000.00;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">then, and in any such event so long as the same may be continuing, the Agents may, and upon the
request of the Required Lenders shall, by notice in writing to the Borrower declare all amounts
owing with respect to this Credit Agreement, the Notes and the other Loan Documents to be, and they
shall thereupon forthwith become, immediately due and payable without presentment, demand, protest
or other notice of any kind, all of which are hereby expressly waived by the Borrower;
<U>provided</U> that in the event of any Event of Default specified in Sections&nbsp;13.1(g) or
13.1(h), all such amounts shall become immediately due and payable automatically and without any
requirement of notice from the Agents or any Lenders.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.2 <U>Intentionally Omitted</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.3 <U>Remedies</U>. In case any one or more of the Events of Default shall have
occurred and be continuing, and whether or not the Lenders shall have accelerated the
maturity of the Loans pursuant to Section&nbsp;13.1, each Lender, if owed any amount with respect
to the Loans may, with the consent of the Required Lenders but not otherwise, proceed to
protect and enforce its rights by suit in equity, action at law or other appropriate
proceeding, whether for the specific performance of any covenant or agreement contained in
this Credit Agreement and the other Loan Documents or any instrument pursuant to which the
Obligations to such Lender are evidenced, including as permitted by applicable law the
obtaining of the <U>ex</U> <U>parte</U> appointment of a receiver, and, if such amount
shall have become due, by declaration or otherwise, proceed to enforce the payment thereof or
any other legal or equitable right of such Lender. No remedy herein conferred upon any
Lender or the Agents or the holder of any Note is intended to be exclusive of any other
remedy and each and every remedy shall be cumulative and shall be in addition to every other
remedy given hereunder or now or hereafter existing at law or in equity or by statute or any
other provision of law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>14. </B><U><B>SETOFF</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Regardless of the adequacy of any collateral, during the continuance of any Event of Default,
any deposits or other sums credited by or due from any of the Lenders to the Borrower and any
securities or other property of the Borrower in the possession of any Lender may be applied to or
set off by such Lenders against the payment of Obligations and any and all other liabilities,
direct, or indirect, absolute or contingent, due or to become due, now existing or hereafter
arising, of the Borrower to such Lender. Each of the Lenders agrees with each other Lenders that
(a)&nbsp;if an amount to be set off is to be applied to Indebtedness of the Borrower to such Lenders,
other than Indebtedness evidenced by the Notes held by such Lender, such amount shall be applied
ratably to such other Indebtedness and to the Indebtedness evidenced by all such Notes held by such
Lenders, and (b)&nbsp;if such Lenders shall receive from the Borrower, whether by voluntary payment,
exercise of the right of setoff, counterclaim, cross action, enforcement of the claim evidenced by
the Notes held by, such Lenders by proceedings against the Borrower at law
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">or in equity or by proof thereof in bankruptcy, reorganization, liquidation, receivership or
similar proceedings, or otherwise, and shall retain and apply to the payment of the Note or Notes
held by, such Lenders any amount in excess of its ratable portion of the payments received by all
of the Lenders with respect to the Notes held by all of the Lenders, such Lenders will make such
disposition and arrangements with the other Lenders with respect to such excess, either by way of
distribution, <U>pro</U> <U>tanto</U> assignment of claims, subrogation or otherwise as shall
result in each Lender receiving in respect of the Notes held by it, its proportionate payment as
contemplated by this Credit Agreement; <U>provided</U> that if all or any part of such excess
payment is thereafter recovered from such Lender, such disposition and arrangements shall be
rescinded and the amount restored to the extent of such recovery, but without interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>15. </B><U><B>THE AGENTS</B></U>.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.1 <U>Appointment of the Agents</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Each Lender appoints and designates PWJ Lending LLC as the &#147;Administrative Agent&#148; and as
&#147;Collateral Agent&#148; hereunder and under the Loan Documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Each Lender authorizes the Agents:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To execute those of the Loan Documents and all other instruments relating thereto
to which the Agents are a party.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To take such action on behalf of the Lenders and to exercise all such powers as
are expressly delegated to the Agents hereunder and in the Loan Documents and all related
documents, together with such other powers as are reasonably incidental thereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.2 <U>Responsibilities of Agents</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Agents shall not have any duties or responsibilities to, or any fiduciary relationship
with, any Lender except for those expressly set forth in this Credit Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Neither the Agents nor any of their Affiliates or Related Funds shall be responsible to
any Lender for any of the following:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Any recitals, statements, representations or warranties made by the Borrower or any
other Person.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Any appraisals or other assessments of the assets of the Borrower or of any other
Person responsible for or on account of the Obligations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The value, validity, effectiveness, genuineness, enforceability, or sufficiency
of this Credit Agreement, the Loan Documents, or any other document referred to or provided
for therein.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Any failure by the Borrower or any other Person (other than that Agent) to perform
its obligations under the Loan Documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The Agents may employ attorneys, accountants, and other professionals and agents and
attorneys in fact and shall not be responsible for the negligence or misconduct of any such
attorneys, accountants, and other professionals or agents or attorneys in fact selected by the
Agents with reasonable care. No such attorney, accountant, other professional, agent, or attorney
in fact shall be responsible for any action taken or omitted to be taken by any other such Person.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Neither the Agents, nor any of their directors, officers, or employees shall be
responsible for any action taken or omitted to be taken or omitted to be taken by any other of them
in connection herewith in reliance upon advice of its counsel nor, in any other event except for
any action taken or omitted to be taken as to which a final judicial determination has been or is
made (in a proceeding in which such Person has had an opportunity to be heard) that such Person had
acted in a grossly negligent manner, in actual bad faith, or in willful misconduct.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;The Agents shall not have any responsibility in any event for more funds than the Agents
actually receive and collect.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;The Agents, in their separate capacity as a Lender, shall have the same rights and powers
hereunder as any other Lender.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.3 <U>Concerning Distributions By the Agents</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Agents in the Agents&#146; reasonable discretion based upon the Agents&#146; determination of
the likelihood that additional payments will be received, expenses incurred, and/or claims made by
third parties to all or a portion of such proceeds, may delay the distribution of any payment
received on account of the Obligations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Agents may disburse funds prior to determining that the sums which the Agents expect
to receive have been finally and unconditionally paid to the Agents. If and to the extent that the
Agents do disburse funds and it later becomes apparent that the Agents did not then receive a
payment in an amount equal to the sum paid out, then any Lender to whom the Agents made the funds
available, on demand from the Agents, shall refund to the Agents the sum paid to that person.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If, in the opinion of the Agents, the distribution of any amount received by the Agents
might involve the Agents in liability, or might be prohibited hereby, or might be questioned by any
Person, then the Agents may refrain from making distribution until the Agents&#146; right to make
distribution has been adjudicated by a court of competent jurisdiction.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The proceeds of any Lender&#146;s exercise of any right of, or in the nature of, set off shall
be deemed, First, to the extent that a Lender is entitled to any distribution hereunder, to
constitute such distribution and Second, shall be shared with the other Lenders as if distributed
pursuant to (and shall be deemed as distributions under this Credit Agreement.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;In the event that (x)&nbsp;a court of competent jurisdiction shall adjudge that any amount
received and distributed by the Agents is to be repaid or disgorged or (y)&nbsp;those Lenders adversely
affected thereby determine to effect such repayment or disgorgement, then each Lender to which any
such distribution shall have been made shall repay, to the Agents which had made such distribution,
that Lender&#146;s pro rata share of the amount so adjudged or determined to be repaid or disgorged.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.4 <U>Distributions of Notices and Other Documents</U>. Each Agent will forward to
each Lender, promptly after that Agent&#146;s receipt thereof, a copy of each notice or other
document furnished to the Agents pursuant to this Credit Agreement, including Borrowing Base
Reports, and annual financial statements received from the Borrower pursuant to this Credit
Agreement, other than any of the following:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Routine or nonmaterial communications.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Any notice or document required by any of the Loan Documents to be furnished to the
Lenders by the Borrower.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Any notice or document of which any Agents has knowledge that such notice or document had
been forwarded to the Lenders other than by the Agents.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.5 <U>Confidential Information</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Each Lender will maintain, as confidential, all of the following:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Proprietary approaches, techniques, and methods of analysis which are applied by
the Agents in the administration of the credit facility contemplated by this Credit
Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Proprietary forms and formats utilized by the Agents in providing reports to the
Lenders pursuant hereto, which forms or formats are not of general currency.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The results of financial examinations, reviews, inventories, analysis,
appraisals, and other information concerning, relating to, or in respect of the Borrower and
prepared by or at the request of, or furnished to any of, the Lenders by or on behalf of the
Agents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Nothing included herein shall prohibit the disclosure of any such information as may be
required to be provided by judicial process or by regulatory authorities having jurisdiction over
any party to this Credit Agreement.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.6 <U>Reliance by Agents</U>. The Agents shall be entitled to rely upon any
certificate, notice or other document (including any cable, telegram, telex, or facsimile)
reasonably believed by the Agents to be genuine and correct and to have been signed or sent
by or on behalf of the proper person or persons, and upon advice and statements of attorneys,
accountants and other experts selected by the Agents. As to any matters not expressly
provided for in this Credit Agreement, any Loan Document, or in any other
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">document referred to therein, the Agents shall in all events be fully protected in
acting, or in refraining from acting, in accordance with the applicable consent required by
this Credit Agreement. Instructions given with the requisite consent shall be binding on all
Lenders.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.7 <U>Non-Reliance on Agents and Other Lenders</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Each Lender represents to all other Lenders and to the Agents that such Lender:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Independently and without reliance on any representation or act by Agents or by any
other Lender, and based on such documents and information as that Lender has deemed
appropriate, has made such Lender&#146;s own appraisal of the financial condition and affairs of
the Borrower and decision to enter into this Credit Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Has relied upon that Lender&#146;s review of the Loan Documents by that Lender and by
counsel to that Lender as that Lender deemed appropriate under the circumstances.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Each Lender agrees that such Lender, independently and without reliance upon the Agents or
any other Lender, and based upon such documents and information as such Lender shall deem
appropriate at the time, will continue to make such Lender&#146;s own appraisals of the financial
condition and affairs of the Borrower when determining whether to take or not to take any
discretionary action under this Credit Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The Agents, in the discharge of that Agents&#146; duties hereunder, shall not
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Be required to make inquiry of, or to inspect the properties or books of, any
Person.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Have any responsibility for the accuracy or completeness of any financial
examination, review, inventory, analysis, appraisal, and other information concerning,
relating to, or in respect of the Borrower and prepared by or at the request of, or
furnished to any of, the Lenders by or on behalf of the Agents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Except for notices, reports, and other documents and information expressly required to be
furnished to the Lenders by the Agents hereunder, the Agents shall not have any affirmative duty or
responsibility to provide any Lender with any credit or other information concerning any Person,
which information may come into the possession of Agents or any Affiliate of the Agents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Each Lender, at such Lender&#146;s request, shall have reasonable access to all non-privileged
documents in the possession of the Agents, which documents relate to the Agents&#146; performance of
their duties hereunder.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.8 <U>Indemnification</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Without limiting the liabilities of the Borrower under any this or any of the other Loan
Documents, each Lender shall indemnify the Agents, pro rata, for any and all liabilities,
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements of any kind or nature whatsoever (including attorneys&#146; reasonable fees and expenses
and other out of pocket expenditures) which may at any time be imposed on, incurred by, or asserted
against the Agents and in any way relating to or arising out of this Agreement or any other Loan
Document or any documents contemplated by or referred to therein or the transactions contemplated
thereby or the enforcement of any of terms hereof or thereof or of any such other documents,
provided, however, no Lender shall be liable for any of the foregoing to the extent that any of the
foregoing arises from any action taken or omitted to be taken by the Agents as to which a final
judicial determination has been or is made (in a proceeding in which each Agent has had an
opportunity to be heard) that the Agents had acted in a grossly negligent manner, in actual bad
faith, or in willful misconduct.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.9 <U>Resignation of Agents</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Any Agent may resign at any time by giving sixty (60)&nbsp;days prior written notice thereof to
the Lenders and the Borrower. Upon receipt of any such notice of resignation, the Majority Lenders
shall have the right to appoint a successor to such Agent (and if no Event of Default has occurred,
with the consent of the Borrower, not to be unreasonably withheld and, in any event, deemed given
by the Borrower if no written objection is provided by the Borrower to the (resigning)&nbsp;Agent within
seven (7)&nbsp;Business Days notice of such proposed appointment). If there is no Majority Lenders or
if a successor Agent shall not have been so appointed and accepted such appointment within 30&nbsp;days
after the giving of notice by the resigning Agent, then the resigning Agent in consultation with
the Borrower so long as no Event of Default is then continuing may appoint a successor Agent, which
shall be a financial institution having a combined capital and surplus in excess of $200 Million.
The consent of the Borrower otherwise required by this Section (a)&nbsp;shall not be required if an
Event of Default has occurred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Upon the acceptance of any appointment as an Agent hereunder by a successor Agent, such
successor shall thereupon succeed to, and become vested with, all the rights, powers, privileges,
and duties of the (resigning)&nbsp;Agent so replaced, and the (resigning)&nbsp;Agent shall be discharged from
the (resigning)&nbsp;Agent&#146;s duties and obligations hereunder, other than on account of any
responsibility for any action taken or omitted to be taken by the (resigning)&nbsp;Agents as to which a
final judicial determination has been or is made (in a proceeding in which the (resigning)&nbsp;Person
has had an opportunity to be heard) that such Person had acted in a grossly negligent manner in bad
faith or in willful misconduct.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;After any retiring Agent&#146;s resignation, the provisions of this Credit Agreement and of all
other Loan Documents shall continue in effect for the retiring Person&#146;s benefit in respect of any
actions taken or omitted to be taken by it while it was acting as an Agent
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.10 <U>Administration of Credit Facilities</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Except as otherwise specifically provided in this Credit Agreement, each Agent may take
any action with respect to the credit facility contemplated by the Loan Documents as that Agent
determines to be appropriate, provided, however, no Agent is under any affirmative obligation to
take any action which it is not required by this Credit Agreement or the Loan Documents
specifically to so take.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Except as otherwise specifically provided in this Credit Agreement, whenever a Loan
Document or this Credit Agreement provides that action may be taken or omitted to be taken in an
Agent&#146;s discretion, the Agents shall have the sole right in their reasonable judgment to take, or
refrain from taking, such action without, and notwithstanding, any vote of the Lenders. The rights
granted to the Lenders with respect to any consent shall not otherwise limit or impair the Agents&#146;
exercise of their discretion under the Loan Documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Notwithstanding any other provision of this Credit Agreement or any Loan Document,
including without limitation, any other provision of this Section&nbsp;15, any matter that requires the
consent of the Required Lenders, Majority Lenders, or Unanimous Lenders shall also require the
consent of each of the Agents.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.11 <U>Actions Requiring or On Direction of Majority Lenders</U>. Except as
otherwise provided in this Credit Agreement, the Consent or direction of the Majority Lenders
is required for any amendment, waiver, or modification of any Loan Document.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Majority Lenders may undertake the following if an Event of Default has occurred and
not been duly waived:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Require the Agents to declare all Obligations to be immediately payable in full.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Direct the Agents to increase the rate of interest to the default rate of interest
as provided in, and to the extent permitted by, this Credit Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.12 <U>Action Requiring Certain Consent</U>. The consent or direction of the
following is required for the following actions:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Any forgiveness of all or any portion of any payment Obligation: All Lenders whose
payment Obligation is being so forgiven (other than any Delinquent Lender).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Any decrease in any interest rate or fee payable under any of the Loan Documents (other
than any fee payable to the Agents (for which the consent of the Agents shall be required): All
Lenders adversely affected thereby (other than any Delinquent Lender).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Any waiver, amendment, or modification which has the effect of increasing any Commitment
shall be subject to the consent of the Unanimous Lenders (other than any Delinquent Lender).
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.13 <U>Actions Requiring or Directed By Unanimous Lenders</U>. None of the following
may take place except with Unanimous Lenders:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Any release of a material portion of the Collateral, other than a release of Collateral
otherwise required or provided for in the Loan Documents, unless such release is being made to
facilitate a liquidation which has been previously authorized, or is otherwise permitted hereunder,
in which case no such Unanimous Consent is required.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Any release of any Person obligated on account of the Obligations.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Any amendment of this Section&nbsp;15.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Amendment of any of the following Definitions:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Majority Lenders&#148;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Unanimous Lenders&#148;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Any amendment of the Maturity Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Any amendment of Sections&nbsp;5.4, 5.5 8.14 or 13.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.14 <U>Actions Requiring Agents&#146;s Consent</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;No action, amendment, or waiver of compliance with, any provision of the Loan Documents or
of this Credit Agreement which affects any Agent in their respective capacity as an Agent may be
undertaken without the written consent of such Agent.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;No action referenced herein which affects the rights, duties, obligations, or liabilities
of any Agent shall be effective without the written consent of such Agent.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.15 <U>Miscellaneous Actions</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Notwithstanding any other provision of this Credit Agreement, no single Lender (other than
any Agent, as applicable) independently may exercise any right of action or enforcement against or
with respect to the Borrower.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Agents shall be fully justified in failing or refusing to take action under this
Credit Agreement or any Loan Document on behalf of any Lender unless the Agents shall first:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) receive such clear, unambiguous, written instructions as the Agents deem
appropriate; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) be indemnified to that Agent&#146;s satisfaction by the Lenders against any and all
liability and expense which may be incurred by that Agent by reason of taking or continuing
to take any such action, unless such action had been grossly negligent, in willful
misconduct, or in bad faith.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The Agents may establish reasonable procedures for the providing of direction and
instructions from the Lenders to the Agents, including their reliance on multiple counterparts,
facsimile transmissions, and time limits within which such directions and instructions must be
received in order to be included in a determination of whether the requisite Lenders have provided
their direction, consent, or instructions.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;No waiver shall extend to or affect any obligation not expressly waived or impair any
right consequent thereon. No course of dealing or delay or omission on the part of either of the
Agents or any Lender in exercising any right shall operate as a waiver thereof or
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">otherwise be prejudicial thereto. No notice to or demand upon the Borrower shall entitle the
Borrower to other or further notice or demand in similar or other circumstances.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>16. </B><U><B>EXPENSES</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower agrees to pay (a)&nbsp;the reasonable costs of producing and reproducing this Credit
Agreement, the other Loan Documents and the other agreements and instruments mentioned herein, (b)
any taxes (including any interest and penalties in respect thereto) payable by any of the Agents or
any of the Lenders (other than taxes based upon any Agent&#146;s or any Lender&#146;s net income) on or with
respect to the transactions contemplated by this Credit Agreement (the Borrower hereby agreeing to
indemnify each of the Agents and each Lender with respect thereto), (c)&nbsp;the reasonable fees,
expenses and disbursements of the Administrative Agent&#146;s Special Counsel or any local counsel to
any of the Agents incurred in connection with the preparation, administration, interpretation or
enforcement of the Loan Documents and other instruments mentioned herein, each closing hereunder,
and amendments, modifications, approvals, consents or waivers hereto or hereunder, (d)&nbsp;the fees,
expenses and disbursements of each of the Agents incurred by such Agent in connection with the
preparation, administration or interpretation of the Loan Documents and other instruments mentioned
herein, including all title insurance premiums and surveyor, engineering and appraisal charges, (e)
any fees, costs, expenses and bank charges, including bank charges for returned checks, incurred by
the Agents or any Lender in establishing, maintaining or handling agency accounts, lock box
accounts and other accounts for the collection of any of the Collateral; (f)&nbsp;all reasonable out-of
pocket expenses incurred by the Agents, or, after the occurrence and during the continuance of a
Default or an Event of Default, any Lender, in connection with periodic field examinations, fixed
asset appraisals, environmental review, monitoring of Collateral and other assets and otherwise in
maintaining and monitoring the transactions contemplated hereby, and in each case in accordance
with the terms of this Credit Agreement; (g)&nbsp;all reasonable out-of-pocket expenses (including
without limitation reasonable attorneys&#146; fees and costs, which attorneys may be employees of any
Lender or any of the Agents, and reasonable consulting, accounting, appraisal, investment banking
and similar professional fees and charges) incurred by any Lender or any Agent in connection with
(i)&nbsp;the enforcement of or preservation of rights under any of the Loan Documents against the
Borrower or any of its Subsidiaries or the administration thereof after the occurrence of a Default
or Event of Default and (ii)&nbsp;any litigation, proceeding or dispute whether arising hereunder or
otherwise, in any way related to any Lender&#146;s or any Agent&#146;s relationship with the Borrower or any
of its Subsidiaries and (h)&nbsp;all reasonable fees, expenses and disbursements of the Agents incurred
in connection with UCC searches, UCC filings or mortgage recordings. The covenants of this Section
16 shall survive payment or satisfaction of all other Obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>17. </B><U><B>INDEMNIFICATION</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower agrees to indemnify and hold harmless each of the Agents and the Lenders from and
against any and all claims, actions and suits whether groundless or otherwise, and from and against
any and all liabilities, losses, damages and expenses of every nature and character arising out of
this Credit Agreement or any of the other Loan Documents or the transactions contemplated hereby
including, without limitation, (a)&nbsp;any actual or proposed use by the Borrower or any of its
Subsidiaries of the proceeds of any of the Loans, (b)&nbsp;the reversal or
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">withdrawal of any provisional credits granted by the Administrative Agent upon the transfer of
funds to the Concentration Account(s) from bank agency or lock box accounts or in connection with
the provisional honoring of checks or other items, (c)&nbsp;any actual or alleged infringement of any
patent, copyright, trademark, service mark or similar right of the Borrower or any of its
Subsidiaries comprised in the Collateral, (d)&nbsp;the Borrower or any of its Subsidiaries entering into
or performing this Credit Agreement or any of the other Loan Documents, (e)&nbsp;with respect to the
Borrower and its Subsidiaries and their respective properties and assets, the violation of any
Environmental Law, the presence, disposal, escape, seepage, leakage, spillage, discharge, emission,
release or threatened release of any Hazardous Substances or any action, suit, proceeding or
investigation brought or threatened with respect to any Hazardous Substances (including, but not
limited to, claims with respect to wrongful death, personal injury or damage to property), or (f)
any sales, use, transfer, documentary and stamp taxes (but excluding any taxes based upon or
measured by the income or profits of any Lender or any Agent) and any recording and filing fees
paid by the Agents or the Lenders and which arise by reason of the transactions contemplated
hereby, or by any of the Loan Documents, in each case including, without limitation, the reasonable
fees and disbursements of counsel and allocated costs of internal counsel incurred in connection
with any such investigation, litigation or other proceeding. In litigation, or the preparation
therefor, the Lenders and the Agents shall be entitled to select their own counsel and, in addition
to the foregoing indemnity, the Borrower agrees to pay promptly the reasonable fees and expenses of
such counsel. If, and to the extent that the obligations of the Borrower under this Section&nbsp;17 are
unenforceable for any reason, the Borrower hereby agrees to make the maximum contribution to the
payment in satisfaction of such obligations which is permissible under applicable law. The
covenants contained in this Section&nbsp;17 shall survive payment or satisfaction in full of all other
Obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>18. </B><U><B>SURVIVAL OF COVENANTS, ETC</B>.</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All covenants, agreements, representations and warranties made herein, in the Notes, in any of
the other Loan Documents or in any documents or other papers delivered by or on behalf of the
Borrower or any of its Subsidiaries pursuant hereto shall be deemed to have been relied upon by the
Lenders and each of the Agents, notwithstanding any investigation heretofore or hereafter made by
any of them, and shall survive the making by the Lenders or the Administrative Agent of any of the
Loans, as herein contemplated, and shall continue in full force and effect so long as any amount
due under this Credit Agreement or the Notes or any of the other Loan Documents remains outstanding
or any Lender has any obligation to make any Loans. All statements contained in any certificate or
other paper delivered to any Lender or any of the Agents at any time by or on behalf of the
Borrower or any of its Subsidiaries pursuant hereto or in connection with the transactions
contemplated hereby shall constitute representations and warranties by the Borrower or such
Subsidiary hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>19. </B><U><B>ASSIGNMENT AND PARTICIPATION</B></U>.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.1 <U>Conditions to Assignment by Lenders</U>. Except as provided herein, each
Lender may assign to one or more Eligible Assignees all or a portion of its interests, rights
and obligations under this Credit Agreement (including all or a portion of its Commitment
Percentage and Commitment, and the same portion of the Loans at the time owing to it, the
Notes held by it; <U>provided</U> that (a)&nbsp;each of the Agents and, unless a Default or an
Event of
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">Default shall have occurred and be continuing, the Borrower, shall have given its prior
written consent to such assignment, which consent, in the case of the Borrower, will not be
unreasonably withheld, (b)&nbsp;each such assignment shall be of a constant, and not a varying,
percentage of all the assigning Lender&#146;s rights and obligations hereunder, (c)&nbsp;each
assignment shall be in an amount that is at least equal to $5,000,000, and (d)&nbsp;the parties to
such assignment shall execute and deliver to the Agents, for recording in the Register (as
hereinafter defined), an assignment and acceptance agreement, in form and substance
reasonably satisfactory to the Agents (an &#147;Assignment and Acceptance&#148;), together with any
Notes subject to such assignment. Upon such execution, delivery, acceptance and recording,
from and after the effective date specified in each Assignment and Acceptance, which
effective date shall be at least five (5)&nbsp;Business Days after the execution thereof, (i)&nbsp;the
assignee thereunder shall be a party hereto and, to the extent provided in such Assignment
and Acceptance, have the rights and obligations of a Lender hereunder, and (ii)&nbsp;the assigning
Lender shall, to the extent provided in such assignment and upon payment to the Agents of the
registration fee referred to in Section&nbsp;19.3, be released from its obligations under this
Credit Agreement. Notwithstanding the foregoing, no consent shall be required hereunder for
any assignment resulting from the acquisition of any Lender by another financial institution.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.2 <U>Certain Representations and Warranties; Limitations; Covenants</U>. By
executing and delivering an Assignment and Acceptance, the parties to the assignment
thereunder confirm to and agree with each other and the other parties hereto as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;other than the representation and warranty that it is the legal and beneficial owner of
the interest being assigned thereby free and clear of any adverse claim, the assigning Lender makes
no representation or warranty, express or implied, and assumes no responsibility with respect to
any statements, warranties or representations made in or in connection with this Credit Agreement
or the execution, legality, validity, enforceability, genuineness, sufficiency or value of this
Credit Agreement, the other Loan Documents or any other instrument or document furnished pursuant
hereto or the attachment, perfection or priority of any security interest or mortgage;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;the assigning Lender makes no representation or warranty and assumes no responsibility
with respect to the financial condition of the Borrower and its Subsidiaries or any other Person
primarily or secondarily liable in respect of any of the Obligations, or the performance or
observance by the Borrower and its Subsidiaries or any other Person primarily or secondarily liable
in respect of any of the Obligations of any of their obligations under this Credit Agreement or any
of the other Loan Documents or any other instrument or document furnished pursuant hereto or
thereto;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;such assignee confirms that it has received a copy of this Credit Agreement, together with
copies of the most recent financial statements referred to in Section&nbsp;7.4 and such other documents
and information as it has deemed appropriate to make its own credit analysis and decision to enter
into such Assignment and Acceptance;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;such assignee will, independently and without reliance upon the assigning Lender, the
Agents or any other Lender and based on such documents and information as it shall
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">deem appropriate at the time, continue to make its own credit decisions in taking or not
taking action under this Credit Agreement;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;such assignee represents and warrants that it is an Eligible Assignee;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;such assignee appoints and authorizes the Agents to take such action as agents on its
behalf and to exercise such powers under this Credit Agreement and the other Loan Documents as are
delegated to the Agents by the terms hereof or thereof, together with such powers as are reasonably
incidental thereto;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;such assignee agrees that it will perform in accordance with their terms all of the
obligations that by the terms of this Credit Agreement are required to be performed by it as a
Lender; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;such assignee represents and warrants that it is legally authorized to enter into such
Assignment and Acceptance.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.3 <U>Register</U>. The Agents shall maintain a copy of each Assignment and
Acceptance delivered to them and a register or similar list (the &#147;Register&#148;) for the
recordation of the names and addresses of the Lenders and as applicable, the Commitment and
Commitment Percentage of, and principal amount of the Loans, owing to the Lenders from time
to time. The entries in the Register shall be conclusive, in the absence of manifest error,
and the Borrower, the Agents and the Lenders may treat each Person whose name is recorded in
the Register as a Lender hereunder for all purposes of this Credit Agreement. The Register
shall be available for inspection by the Borrower and the Lenders at any reasonable time and
from time to time upon reasonable prior notice. Upon each such recordation, the assignee
Lender agrees to pay to the Administrative Agent a registration fee in the sum of $3,500.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.4 <U>New Notes</U>. Upon their receipt of an Assignment and Acceptance executed by
the parties to such assignment, together with each Note subject to such assignment, the
Agents shall (a)&nbsp;record the information contained therein in the Register, and (b)&nbsp;give
prompt notice thereof to the Borrower and the Lenders (other than the assigning Lender).
Within five (5)&nbsp;Business Days after receipt of such notice, the Borrower, at its own expense,
shall execute and deliver to the Agents, in exchange for each surrendered Note, a new Note or
Notes to the order of such Eligible Assignee in an amount equal to the amount assumed by such
Eligible Assignee pursuant to such Assignment and Acceptance and, if the assigning Lender has
retained some portion of its obligations hereunder, a new Note or Notes to the order of the
assigning Lender in an amount equal to the amount retained by it hereunder. Such new Notes
shall provide that they are replacements for the surrendered Notes, shall be in an aggregate
principal amount equal to the aggregate principal amount of the surrendered Notes, shall be
dated the effective date of such Assignment and Acceptance and shall otherwise be
substantially in the form of the assigned Notes. Within five (5)&nbsp;days of issuance of any new
Notes pursuant to this Section&nbsp;19.4, the Borrower shall deliver an opinion of counsel,
addressed to the Lenders and the Agents, relating to the due authorization, execution and
delivery of such new Notes and the legality, validity and binding effect thereof, in form and
substance
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">satisfactory to the Lenders. The surrendered Notes shall be canceled and returned to
the Borrower.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.5 <U>Participations</U>. Each Lender may sell participations to one or more banks
or other entities in all or a portion of such Lender&#146;s rights and obligations under this
Credit Agreement and the other Loan Documents; <U>provided</U> that (a)&nbsp;each such
participation shall be in an amount of not less than $1,000,000.00, (b)&nbsp;any such sale or
participation shall not affect the rights and duties of the selling Lender hereunder to the
Borrower and (c)&nbsp;the only rights granted to the participant pursuant to such participation
arrangements with respect to waivers, amendments or modifications of the Loan Documents shall
be the rights to approve waivers, amendments or modifications that would reduce the principal
of or the interest rate on any Loans, extend the term or increase the amount of the
Commitment of such Lender as it relates to such participant or extend any regularly scheduled
payment date for principal or interest or any scheduled payment.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.6 <U>Disclosure</U>. The Borrower agrees that, in addition to disclosures made in
accordance with standard and customary banking practices, any Lender may disclose information
obtained by such Lender pursuant to this Credit Agreement to assignees or participants and
potential assignees or participants hereunder; <U>provided</U> that such assignees or
participants or potential assignees or participants shall agree (a)&nbsp;to treat in confidence
such information unless it otherwise becomes public knowledge, (b)&nbsp;not to disclose such
information to a third party, except as required by law or legal process, and (c)&nbsp;not to make
use of such information for purposes of transactions unrelated to such contemplated
assignment or participation.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.7 <U>Assignee or Participant Affiliated with the Borrower</U>. If any assignee
Lender is an Affiliate of the Borrower, then any such assignee Lender shall have no right to
vote as a Lender hereunder or under any of the other Loan Documents for purposes of granting
consents or waivers or for purposes of agreeing to amendments or other modifications to any
of the Loan Documents or for purposes of making requests to the Agents pursuant to Section
13.1 or Section&nbsp;13.2, and the determination of the Required Lenders shall for all purposes of
this Credit Agreement and the other Loan Documents be made without regard to such assignee
Lender&#146;s interest in any of the Loans. If any Lender sells a participating interest in any
of the Loans to a participant, and such participant is the Borrower or an Affiliate of the
Borrower, then such transferor Lender shall promptly notify the Agents of the sale of such
participation. A transferor Lender shall have no right to vote as a Lender hereunder or
under any of the other Loan Documents for purposes of granting consents or waivers or for
purposes of agreeing to amendments or modifications to any of the Loan Documents or for
purposes of making requests to the Agents pursuant to Section&nbsp;13.1 or Section&nbsp;13.2 to the
extent that such participation is beneficially owned by the Borrower or any Affiliate of the
Borrower, and the determination of the Required Lenders shall for all purposes of this Credit
Agreement and the other Loan Documents be made without regard to the interest of such
transferor Lender in the Loans.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.8 <U>Miscellaneous Assignment Provisions</U>. Any assigning Lender shall retain its
rights to be indemnified pursuant to Section&nbsp;17 with respect to any claims or actions arising
prior to the date of such assignment. If any assignee Lender is not incorporated
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">under the laws of the United States of America or any state thereof, it shall, prior to
the date on which any interest or fees are payable hereunder or under any of the other Loan
Documents for its account, deliver to the Borrower and the Agents certification as to its
exemption from deduction or withholding of any United States federal income taxes. Anything
contained in this Section&nbsp;19 to the contrary notwithstanding, any Lender may at any time
pledge all or any portion of its interest and rights under this Credit Agreement (including
all or any portion of its Notes) to any of the twelve Federal Reserve Lenders organized under
Section&nbsp;4 of the Federal Reserve Act, 12 U.S.C. Section&nbsp;341. No such pledge or the
enforcement thereof shall release the pledgor Lender from its obligations hereunder or under
any of the other Loan Documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.9 <U>Assignment by Borrower</U>. The Borrower shall not assign or transfer any of
its rights or obligations under any of the Loan Documents without the prior written consent
of each of the Lenders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>20. </B><U><B>NOTICES, ETC</B>.</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as otherwise expressly provided in this Credit Agreement, all notices and other
communications made or required to be given pursuant to this Credit Agreement or the Notes shall be
in writing and shall be delivered in hand, mailed by United States registered or certified first
class mail, postage prepaid, sent by overnight courier, or sent by telegraph, telecopy, facsimile
or telex and confirmed by delivery via courier or postal service, addressed as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;if to the Borrower, at 155 North Wacker Drive, Suite&nbsp;500, Chicago, Illinois 60606-1719,
Attention: John R. Desjardins, Chief Financial Officer, or at such other address for notice as the
Borrower shall last have furnished in writing to the Person giving the notice;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;if to the Administrative Agent or the Collateral Agent, to it c/o Prentice Capital
Management, LP, 623 Fifth Avenue, 32nd Floor, New York, New York 10022, Attention: Michael Weiss,
or such other address for notice as the Administrative Agent or the Collateral Agent shall last
have furnished in writing to the Person giving the notice;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;if to any Lender, at such Lender&#146;s address set forth on the signature pages hereto, or
such other address for notice as such Lender shall have last furnished in writing to the Person
giving the notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Any such notice or demand shall be deemed to have been duly given or made and to have become
effective (i)&nbsp;if delivered by hand, overnight courier or facsimile to a responsible officer of the
party to which it is directed, at the time of the receipt thereof by such officer or the sending of
such facsimile and (ii)&nbsp;if sent by registered or certified first-class mail, postage prepaid, on
the third Business Day following the mailing thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>21. </B><U><B>GOVERNING LAW</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THIS CREDIT AGREEMENT AND, EXCEPT AS OTHERWISE SPECIFICALLY PROVIDED THEREIN, EACH OF THE
OTHER LOAN DOCUMENTS ARE CONTRACTS UNDER THE LAWS OF THE STATE OF NEW</B>
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>YORK AND SHALL FOR ALL PURPOSES BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF
SAID STATE OF NEW YORK. THE BORROWER AGREES THAT ANY SUIT FOR THE ENFORCEMENT OF THIS CREDIT
AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK
OR ANY FEDERAL COURT SITTING THEREIN AND CONSENTS TO THE NONEXCLUSIVE JURISDICTION OF SUCH COURT
AND TO THE EXTENT PERMITTED BY APPLICABLE LAW SERVICE OF PROCESS IN ANY SUCH SUIT BEING MADE UPON
THE BORROWER BY MAIL AT THE ADDRESS SPECIFIED IN Section&nbsp;20. THE BORROWER HEREBY WAIVES TO THE
EXTENT PERMITTED BY APPLICABLE LAW ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE OF
ANY SUCH SUIT OR ANY SUCH COURT OR THAT SUCH SUIT IS BROUGHT IN AN INCONVENIENT COURT.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>22. </B><U><B>HEADINGS</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The captions in this Credit Agreement are for convenience of reference only and shall not
define or limit the provisions hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>23. </B><U><B>COUNTERPARTS</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Credit Agreement and any amendment hereof may be executed in several counterparts and by
each party on a separate counterpart, each of which when executed and delivered shall be an
original, and all of which together shall constitute one instrument. In proving this Credit
Agreement it shall not be necessary to produce or account for more than one such counterpart signed
by the party against whom enforcement is sought.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>24. </B><U><B>ENTIRE AGREEMENT, ETC</B>.</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Loan Documents and any other documents executed in connection herewith or therewith
express the entire understanding of the parties with respect to the transactions contemplated
hereby. Neither this Credit Agreement nor any term hereof may be changed, waived, discharged or
terminated, except as provided in Section&nbsp;15.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>25. </B><U><B>WAIVER OF JURY TRIAL</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THE BORROWER, EACH AGENT AND EACH LENDER HEREBY WAIVES ITS RIGHT TO A JURY TRIAL WITH RESPECT
TO ANY ACTION OR CLAIM ARISING OUT OF ANY DISPUTE IN CONNECTION WITH THIS CREDIT AGREEMENT, THE
NOTES OR ANY OF THE OTHER LOAN DOCUMENTS, ANY RIGHTS OR OBLIGATIONS HEREUNDER OR THEREUNDER OR THE
PERFORMANCE OF WHICH RIGHTS AND OBLIGATIONS. EXCEPT AS PROHIBITED BY LAW, THE BORROWER, EACH AGENT
AND EACH LENDER HEREBY WAIVES ANY RIGHT IT MAY HAVE TO CLAIM OR RECOVER IN ANY LITIGATION REFERRED
TO IN THE PRECEDING SENTENCE ANY SPECIAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES OR ANY
DAMAGES OTHER THAN, OR IN ADDITION TO, ACTUAL DAMAGES. THE BORROWER (A)&nbsp;CERTIFIES THAT NO
REPRESENTATIVE, AGENT OR ATTORNEY OF ANY</B>
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>BANK OR EITHER OF THE AGENTS HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH LENDER OR SUCH
AGENT WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVERS AND (B)
ACKNOWLEDGES THAT THE AGENTS AND THE LENDERS HAVE BEEN INDUCED TO ENTER INTO THIS CREDIT AGREEMENT,
THE OTHER LOAN DOCUMENTS TO WHICH IT IS A PARTY BY, AMONG OTHER THINGS, THE WAIVERS AND
CERTIFICATIONS CONTAINED HEREIN.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>26. </B><U><B>INTENTIONALLY OMITTED</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>27. </B><U><B>SEVERABILITY</B></U>.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The provisions of this Credit Agreement are severable and if any one clause or provision
hereof shall be held invalid or unenforceable in whole or in part in any jurisdiction, then such
invalidity or unenforceability shall affect only such clause or provision, or part thereof, in such
jurisdiction, and shall not in any manner affect such clause or provision in any other
jurisdiction, or any other clause or provision of this Credit Agreement in any jurisdiction.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>28. </B><U><B>INTERCREDITOR AGREEMENT</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The liens and security interests securing the indebtedness and other obligations incurred or
arising under or evidenced by this instrument and the rights and obligations evidenced hereby with
respect to such liens are subordinate in the manner and to the extent set forth in the
Intercreditor Agreement (as the same may be amended or otherwise modified from time to time
pursuant to the terms thereof) dated as of the date hereof among the Agent, the Borrower, and the
Senior Agent, as &#147;Administrative Agent&#148; and &#147;Collateral Agent&#148; for all of the Senior Lenders under
the Senior Credit Agreement to the liens and security interests securing indebtedness (including
interest) owed by the Borrower and its Subsidiaries pursuant to the Senior Credit Agreement, and
certain guarantees of the indebtedness evidenced thereby, as such Senior Credit Agreement and such
guarantees have been and hereafter may be amended, restated, supplemented or otherwise modified
from time to time as permitted under the Intercreditor Agreement and to the liens and security
interests securing indebtedness refinancing the indebtedness under such agreements as permitted by
the Intercreditor Agreement; and each holder of this instrument, by its acceptance hereof,
irrevocably agrees to be bound by the provisions of the Intercreditor Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>29. </B><U><B>NO NOVATION</B></U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding anything to the contrary contained herein, this Credit Agreement is not
intended to and does not serve to effect a novation of the Obligations. Instead it is the express
intention of the parties hereto to reaffirm the indebtedness created under the Original Credit
Agreement which may be evidenced by the notes provided for therein and secured by the Collateral.
The Borrower acknowledges and confirms that the Liens granted pursuant to the Loan Documents
secured the indebtedness, liabilities and obligations of the Borrower to Agents and the Lender
under the Original Credit Agreement, as amended and restated hereby, and that the term
&#147;Obligations&#148; as used in the Loan Documents (or any other terms used therein to describe to refer
to the indebtedness, liabilities and obligations of the Borrower to Agents and
</DIV>

<P align="center" style="font-size: 10pt">- 63 -
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Lenders) includes, without limitation, the indebtedness, liabilities and obligations of the
Borrower under the promissory notes, if any, to be delivered hereunder, and under the Original
Credit Agreement, all as amended and restated hereby, as the same may be further amended, modified,
supplemented or restated from time to time. The Loan Documents and all agreements, instruments and
documents executed or delivered in connection with any of the foregoing shall each be deemed to be
amended in the extent necessary to give effect to the provisions of this Credit Agreement.
Cross-references in the Loan Documents to particular section numbers in the Original Credit
Agreement shall be deemed to be cross-references to the corresponding sections, as applicable, to
this Credit Agreement. This Credit Agreement and the other Loan Documents referred to herein set
forth the entire understanding of the parties with respect to the subject matter hereof. Any
previous term sheets or commitment letters between the parties regarding the subject matter hereof
are merged into and superseded by this Credit Agreement.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SIGNATURE PAGES FOLLOW</B>
</DIV>



<P align="center" style="font-size: 10pt">- 64 -
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B><I>(Signature page to Amended and Restated Term Loan Credit Agreement)</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>IN WITNESS WHEREOF</B>, the undersigned have duly executed this Amended and Restated Term Loan
Credit Agreement as of the date first set forth above.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="90%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>BORROWER</B>:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>WHITEHALL JEWELLERS, INC.</B></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ ROBERT L. BAUMGARDNER</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Name: Robert L. Baumgardner</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Title: Chief Executive Officer</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B><I>(Signature page to Amended and Restated Term Loan Credit Agreement)</I></B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="90%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>AGENTS</B>:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>PWJ LENDING LLC</B>, as Administrative Agent and as Collateral Agent</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Prentice Capital Management, L.P.,
its manager</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ MICHAEL WEISS</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Name: Michael Weiss</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Title: CFO</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B><I>(Signature page to Amended and Restated Term Loan Credit Agreement)</I></B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="90%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>LENDERS</B>:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>PWJ LENDING LLC</B>, as a Lender</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Prentice Capital Management, LP,<BR>
its manager</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ MICHAEL WEISS</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Name: Michael Weiss</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Title: CFO</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B><I>(Signature page to Amended and Restated Term Loan Credit Agreement)</I></B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="90%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>HOLTZMAN OPPORTUNITY FUND, L.P.</B>, as a Lender</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">By: Holtzman Financial Advisors, LLC, its General Partner</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">By: SH Independence, LLC, its Managing Member</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ SEYMOUR HOLTZMAN</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Name: Seymour Holtzman</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">Title: Sole Member</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt">EXHIBIT H
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">This instrument and the rights and obligations evidenced hereby, the liens and security
interests securing the indebtedness and other obligations incurred or arising under or evidenced by
this instrument and the rights and obligations evidenced hereby with respect to such liens are
subordinate in the manner and to the extent set forth in that certain Amended and Restated
Intercreditor and Lien Subordination Agreement (as the same may be amended or otherwise modified
from time to time pursuant to the terms thereof, the &#147;Subordination Agreement&#148;), dated as of
February&nbsp;1, 2006 between LASALLE BANK NATIONAL ASSOCIATION, as Administrative Agent and Collateral
Agent (the &#147;Senior Agent&#148;) for the Banks and the Accommodation Banks (collectively, and together
with the Senior Agent and any of their successors and assigns, including any other lender or
lenders that at any time refinance or replace the Senior Debt referred to below, the &#147;Senior
Creditors&#148;) pursuant to that certain Second Amended and Restated Revolving Credit and Gold
Consignment Agreement dated as of July&nbsp;29, 2003, as amended by that certain First Amendment to
Second Amended and Restated Revolving Credit and Gold Consignment Agreement dated as of March&nbsp;23,
2004, that certain Second Amendment to Second Amended and Restated Revolving Credit and Gold
Consignment Agreement dated as of January&nbsp;31, 2005, that certain Third Amendment to Second Amended
and Restated Revolving Credit and Gold Consignment Agreement dated as of April&nbsp;6, 2005, and that
certain Waiver, Consent, and Fourth Amendment to Second Amended and Restated Revolving Credit and
Gold Consignment Agreement dated as of October&nbsp;3, 2005 (collectively, the &#147;Senior Credit
Agreement&#148;),and PWJ LENDING LLC, as Administrative Agent and Collateral Agent (the &#147;Subordinating
Agent&#148;), for the Agents and the Lenders (collectively, the Subordinating Agent together with the
Agents and Lenders party to the Subordinated Credit Agreement, the &#147;Subordinating Creditors&#148;) party
to that certain Bridge Term Loan Credit Agreement, dated as of October&nbsp;3, 2005, which was amended
and restated in its entirety on February&nbsp;1, 2006 (the &#147;Subordinated Credit Agreement&#148;), and
WHITEHALL JEWELLERS, INC., a Delaware corporation (the &#147;Borrower&#148;), as such Senior Credit Agreement
has been and hereafter may be amended, restated, supplemented or otherwise modified from time to
time as permitted under the Subordination Agreement and to the liens and security interests
securing indebtedness refinancing the indebtedness under such agreements as permitted by the
Subordination Agreement; and each holder of this instrument, by its acceptance hereof, irrevocably
agrees to be bound by the provisions of the Subordination Agreement applicable to the Subordinating
Creditors as if such holder were a Subordinating Creditor for all purposes of the Subordination
Agreement.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>FORM OF AMENDED AND RESTATED NOTE</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="47%"></TD>
    <TD width="5%"></TD>
    <TD width="47%"></TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top">$<U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>
</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">Dated October&nbsp;3, 2005 and amended and<BR>
restated on February&nbsp;1, 2006</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>FOR VALUE RECEIVED</B>, the undersigned <B>WHITEHALL JEWELLERS, INC</B>., a Delaware corporation (the
&#147;Borrower&#148;), hereby promises to pay to the order of <B>&#95;&#95;&#95;</B>(the &#147;Lender&#148;) at the Lender&#146;s
Head Office at &#95;&#95;&#95;:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) prior to or on the Maturity Date the principal amount of &#95;&#95;&#95;Dollars
($&#95;&#95;&#95;) or, if less, the aggregate unpaid principal amount of the Loans advanced by the
Lender to the Borrower pursuant to the Amended and Restated Term Loan Credit Agreement,
dated as of February&nbsp;1, 2006 (as amended and in effect from time to time, the &#147;Credit
Agreement&#148;), among the Borrower, the Lender and the other parties thereto; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) interest on the principal balance hereof from time to time outstanding from the
Closing Date under the Credit Agreement through and including the maturity date hereof at
the times and at the rate provided in the Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Note evidences borrowings under and has been issued by the Borrower in accordance with
the terms of the Credit Agreement. The Lender and any holder hereof is entitled to the benefits of
the Credit Agreement, the Security Documents and the other Loan
</DIV>

<P align="center" style="font-size: 10pt">Exh H - 1
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Documents, and may enforce the agreements of the Borrower contained therein, and any holder
hereof may exercise the respective remedies provided for thereby or otherwise available in respect
thereof, all in accordance with the respective terms thereof. All capitalized terms used in this
Note and not otherwise defined herein shall have the same meanings herein as in the Credit
Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower irrevocably authorizes the Lender to make or cause to be made, on the Closing
Date and at the time of receipt of any payment of principal of this Note, an appropriate notation
on the grid attached to this Note, or the continuation of such grid, or any other similar record,
including computer records, reflecting the making of such Loans or (as the case may be) the receipt
of such payment. The outstanding amount of the Loans set forth on the grid attached to this Note,
or the continuation of such grid, or any other similar record, including computer records,
maintained by the Lender with respect to the Loans shall be <U>prima</U> <U>facie</U> evidence of
the principal amount thereof owing and unpaid to the Lender, but the failure to record, or any
error in so recording, any such amount on any such grid, continuation or other record shall not
limit or otherwise affect the obligation of the Borrower hereunder or under the Credit Agreement to
make payments of principal of and interest on this Note when due.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower has the right in certain circumstances and the obligation under certain other
circumstances to prepay the whole or part of the principal of this Note on the terms and conditions
specified in the Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If any one or more of the Events of Default shall occur, the entire unpaid principal amount of
this Note and all of the unpaid interest accrued thereon may become or be declared due and payable
in the manner and with the effect provided in the Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No delay or omission on the part of the Lender or any holder hereof in exercising any right
hereunder shall operate as a waiver of such right or of any other rights of the Lender or such
holder, nor shall any delay, omission or waiver on any one occasion be deemed a bar or waiver of
the same or any other right on any further occasion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower and every endorser and guarantor of this Note or the obligation represented
hereby waives presentment, demand, notice, protest and all other demands and notices in connection
with the delivery, acceptance, performance, default or enforcement of this Note, and assents to any
extension or postponement of the time of payment or any other indulgence, to any substitution,
exchange or release of collateral and to the addition or release of any other party or person
primarily or secondarily liable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>This Note amends and restates in its entirety the Term Loan Note dated October&nbsp;3, 2005, made
by the Borrower to the order of the Lender in the original principal amount of $&#95;&#95;&#95;(the
&#147;Original Note&#148;). This Note (i)&nbsp;reevidences the indebtedness previously evidenced by the Original
Note, (ii)&nbsp;is given in substitution for, and not as payment of the Original Note and (iii)&nbsp;is in no
way intended to constitute a novation of the Original Note or a refinancing, discharge,
extinguishment or refunding of any of the obligations owing by the Borrower pursuant to, or
otherwise evidenced by, the Original Note.</B>
</DIV>


<P align="center" style="font-size: 10pt">Exh H - 2
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THIS NOTE AND THE OBLIGATIONS OF THE BORROWER HEREUNDER SHALL FOR ALL PURPOSES BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK (EXCLUDING THE LAWS APPLICABLE TO
CONFLICTS OR CHOICE OF LAW). THE BORROWER AGREES THAT ANY SUIT FOR THE ENFORCEMENT OF THIS NOTE
MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK OR ANY FEDERAL COURT SITTING THEREIN AND
CONSENTS TO THE NONEXCLUSIVE JURISDICTION OF SUCH COURT AND THE SERVICE OF PROCESS IN ANY SUCH SUIT
BEING MADE UPON THE BORROWER BY MAIL AT THE ADDRESS SPECIFIED IN SECTION 20 OF THE CREDIT
AGREEMENT. THE BORROWER HEREBY WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE
OF ANY SUCH SUIT OR ANY SUCH COURT OR THAT SUCH SUIT IS BROUGHT IN AN INCONVENIENT COURT.</B>
</DIV>


<P align="center" style="font-size: 10pt">Exh H - 3
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>IN WITNESS WHEREOF</B>, the undersigned has caused this Note to be signed in its corporate name by
its duly authorized officer as of the day and year first above written.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="90%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="40%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>WHITEHALL JEWELLERS, INC.</B></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<P align="center" style="font-size: 10pt">Exh H - 4
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt">EXHIBIT H-1
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">This instrument and the rights and obligations evidenced hereby, the liens and security
interests securing the indebtedness and other obligations incurred or arising under or evidenced by
this instrument and the rights and obligations evidenced hereby with respect to such liens are
subordinate in the manner and to the extent set forth in that certain Amended and Restated
Intercreditor and Lien Subordination Agreement (as the same may be amended or otherwise modified
from time to time pursuant to the terms thereof, the &#147;Subordination Agreement&#148;), dated as of
February&nbsp;1, 2006 between LASALLE BANK NATIONAL ASSOCIATION, as Administrative Agent and Collateral
Agent (the &#147;Senior Agent&#148;) for the Banks and the Accommodation Banks (collectively, and together
with the Senior Agent and any of their successors and assigns, including any other lender or
lenders that at any time refinance or replace the Senior Debt referred to below, the &#147;Senior
Creditors&#148;) pursuant to that certain Second Amended and Restated Revolving Credit and Gold
Consignment Agreement dated as of July&nbsp;29, 2003, as amended by that certain First Amendment to
Second Amended and Restated Revolving Credit and Gold Consignment Agreement dated as of March&nbsp;23,
2004, that certain Second Amendment to Second Amended and Restated Revolving Credit and Gold
Consignment Agreement dated as of January&nbsp;31, 2005, that certain Third Amendment to Second Amended
and Restated Revolving Credit and Gold Consignment Agreement dated as of April&nbsp;6, 2005, and that
certain Waiver, Consent, and Fourth Amendment to Second Amended and Restated Revolving Credit and
Gold Consignment Agreement dated as of October&nbsp;3, 2005 (collectively, the &#147;Senior Credit
Agreement&#148;),and PWJ LENDING LLC, as Administrative Agent and Collateral Agent (the &#147;Subordinating
Agent&#148;), for the Agents and the Lenders (collectively, the Subordinating Agent together with the
Agents and Lenders party to the Subordinated Credit Agreement, the &#147;Subordinating Creditors&#148;) party
to that certain Bridge Term Loan Credit Agreement, dated as of October&nbsp;3, 2005, which was amended
and restated in its entirety on February&nbsp;1, 2006 (the &#147;Subordinated Credit Agreement&#148;), and
WHITEHALL JEWELLERS, INC., a Delaware corporation (the &#147;Borrower&#148;), as such Senior Credit Agreement
has been and hereafter may be amended, restated, supplemented or otherwise modified from time to
time as permitted under the Subordination Agreement and to the liens and security interests
securing indebtedness refinancing the indebtedness under such agreements as permitted by the
Subordination Agreement; and each holder of this instrument, by its acceptance hereof, irrevocably
agrees to be bound by the provisions of the Subordination Agreement applicable to the Subordinating
Creditors as if such holder were a Subordinating Creditor for all purposes of the Subordination
Agreement.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>FORM OF PIK NOTE</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="47%"></TD>
    <TD width="5%"></TD>
    <TD width="47%"></TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top">$<U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>
</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top"><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 20&#95;&#95;&#95;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>FOR VALUE RECEIVED</B>, the undersigned <B>WHITEHALL JEWELLERS, INC</B>., a Delaware corporation (the
&#147;Borrower&#148;), hereby promises to pay to the order of <B>&#95;&#95;&#95;</B>(the &#147;Lender&#148;) at the Lender&#146;s
Head Office at &#95;&#95;&#95;:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) prior to or on the Maturity Date the principal amount of &#95;&#95;&#95;Dollars
($&#95;&#95;&#95;) or, if less, the aggregate unpaid principal amount of the Loans advanced by the
Lender to the Borrower pursuant to the Amended and Restated Term Loan Credit Agreement,
dated as of February&nbsp;1, 2006 (as amended and in effect from time to time, the &#147;Credit
Agreement&#148;), among the Borrower, the Lender and the other parties thereto;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) interest on the principal balance hereof from time to time outstanding from the
Closing Date under the Credit Agreement through and including the maturity date hereof at
the times and at the rate provided in the Credit Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Note evidences borrowings under and has been issued by the Borrower in accordance with
the terms of the Credit Agreement. The Lender and any holder hereof is entitled to the benefits of
the Credit Agreement, the Security Documents and the other Loan Documents, and may enforce the
agreements of the Borrower contained therein, and any holder
</DIV>

<P align="center" style="font-size: 10pt">Exh H-1 - 1
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">hereof may exercise the respective remedies provided for thereby or otherwise available in
respect thereof, all in accordance with the respective terms thereof. All capitalized terms used
in this Note and not otherwise defined herein shall have the same meanings herein as in the Credit
Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower irrevocably authorizes the Lender to make or cause to be made, on the Closing
Date and at the time of receipt of any payment of principal of this Note, an appropriate notation
on the grid attached to this Note, or the continuation of such grid, or any other similar record,
including computer records, reflecting the making of such Loans or (as the case may be) the receipt
of such payment. The outstanding amount of the Loans set forth on the grid attached to this Note,
or the continuation of such grid, or any other similar record, including computer records,
maintained by the Lender with respect to the Loans shall be <U>prima</U> <U>facie</U> evidence of
the principal amount thereof owing and unpaid to the Lender, but the failure to record, or any
error in so recording, any such amount on any such grid, continuation or other record shall not
limit or otherwise affect the obligation of the Borrower hereunder or under the Credit Agreement to
make payments of principal of and interest on this Note when due.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower has the right in certain circumstances and the obligation under certain other
circumstances to prepay the whole or part of the principal of this Note on the terms and conditions
specified in the Credit Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If any one or more of the Events of Default shall occur, the entire unpaid principal amount of
this Note and all of the unpaid interest accrued thereon may become or be declared due and payable
in the manner and with the effect provided in the Credit Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No delay or omission on the part of the Lender or any holder hereof in exercising any right
hereunder shall operate as a waiver of such right or of any other rights of the Lender or such
holder, nor shall any delay, omission or waiver on any one occasion be deemed a bar or waiver of
the same or any other right on any further occasion.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Borrower and every endorser and guarantor of this Note or the obligation represented
hereby waives presentment, demand, notice, protest and all other demands and notices in connection
with the delivery, acceptance, performance, default or enforcement of this Note, and assents to any
extension or postponement of the time of payment or any other indulgence, to any substitution,
exchange or release of collateral and to the addition or release of any other party or person
primarily or secondarily liable.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THIS NOTE AND THE OBLIGATIONS OF THE BORROWER HEREUNDER SHALL FOR ALL PURPOSES BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK (EXCLUDING THE LAWS APPLICABLE TO
CONFLICTS OR CHOICE OF LAW). THE BORROWER AGREES THAT ANY SUIT FOR THE ENFORCEMENT OF THIS NOTE
MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK OR ANY FEDERAL COURT SITTING THEREIN AND
CONSENTS TO THE NONEXCLUSIVE JURISDICTION OF SUCH COURT AND THE SERVICE OF PROCESS IN ANY SUCH SUIT
BEING MADE UPON THE BORROWER BY MAIL AT THE ADDRESS SPECIFIED IN SECTION 20 OF THE CREDIT
AGREEMENT. THE BORROWER</B>
</DIV>


<P align="center" style="font-size: 10pt">Exh H-1 - 2
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>HEREBY WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE OF ANY SUCH SUIT OR
ANY SUCH COURT OR THAT SUCH SUIT IS BROUGHT IN AN INCONVENIENT COURT.</B>
</DIV>


<P align="center" style="font-size: 10pt">Exh H-1 - 3
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>IN WITNESS WHEREOF</B>, the undersigned has caused this Note to be signed in its corporate name by
its duly authorized officer as of the day and year first above written.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="90%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="40%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>WHITEHALL JEWELLERS, INC.</B></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<P align="center" style="font-size: 10pt">Exh H-1 - 4
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">Amount of</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">Balance of</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">Amount</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">Principal Paid</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">Principal</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">Notation</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Date</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">of Loan</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">or Prepaid</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Unpaid</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Made By:</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
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