EX-10.84.1 3 ex10841form8ka040904.txt PLEDGE AND SECURITY AGREEMENT Exhibit 10.84.1 Execution Copy PLEDGE AND SECURITY AGREEMENT THIS PLEDGE AND SECURITY AGREEMENT (this "Security Agreement") is entered into as of March 31, 2004 by and among HEADWATERS INCORPORATED, a Delaware corporation (the "Borrower") and each of the subsidiaries of the Borrower listed on the signature pages hereto (collectively, the "Initial Grantors" and together with any additional Domestic Subsidiaries, whether now existing or hereafter formed which become parties to this Security Agreement by executing a Supplement hereto in substantially the form of Annex I, the "Grantors"), and BANK ONE, NA (Main Office Chicago), in its capacity as administrative agent (the "Administrative Agent") for the lenders party to the Credit Agreement referred to below (collectively, the "Lenders"). PRELIMINARY STATEMENT The Borrower, the Administrative Agent and the Lenders are entering into a Credit Agreement dated as of the date hereof (as amended, restated, supplemented or otherwise modified from time to time, the "Credit Agreement"). The Grantors are entering into this Security Agreement in order to induce the Lenders to enter into and extend credit to the Borrower under the Credit Agreement. ACCORDINGLY, the Grantors and the Administrative Agent, on behalf of the Holders of Secured Obligations, hereby agree as follows: ARTICLE I DEFINITIONS 1.1. Terms Defined in Credit Agreement. All capitalized terms used herein and not otherwise defined shall have the meanings assigned to such terms in the Credit Agreement. 1.2. Terms Defined in New York UCC. Terms defined in the New York UCC which are not otherwise defined in this Security Agreement are used herein as defined in the New York UCC. 1.3. Definitions of Certain Terms Used Herein. As used in this Security Agreement, in addition to the terms defined in the Preliminary Statement, the following terms shall have the following meanings: "Accounts" shall have the meaning set forth in Article 9 of the New York UCC. "Article" means a numbered article of this Security Agreement, unless another document is specifically referenced. "Chattel Paper" shall have the meaning set forth in Article 9 of the New York UCC. "Collateral" means all Accounts, Chattel Paper, Commercial Tort Claims, Documents, Equipment, Fixtures, Goods, General Intangibles, Instruments, Inventory, Investment Property, Pledged Deposits, Supporting Obligations and Other Collateral, wherever located, in which any Grantor now has or hereafter acquires any right or interest, and the proceeds (including Stock Rights), insurance proceeds and products thereof, together with all books and records, customer lists, credit files, computer files, programs, printouts and other computer materials and records related thereto. "Commercial Tort Claims" means those certain currently existing commercial tort claims of any Grantor, including each commercial tort claim specifically described in Exhibit E. "Control" shall have the meaning set forth in Article 8 or, if applicable, in Section 9-104, 9-105, 9-106 or 9-107 of Article 9 of the New York UCC. "Default" shall have the meaning set forth in the Credit Agreement. "Deposit Accounts" shall have the meaning set forth in Article 9 of the New York UCC. "Documents" shall have the meaning set forth in Article 9 of the New York UCC. "Equipment" shall have the meaning set forth in Article 9 of the New York UCC. "Exhibit" refers to a specific exhibit to this Security Agreement, unless another document is specifically referenced. "Fixtures" shall have the meaning set forth in Article 9 of the New York UCC. "General Intangibles" shall have the meaning set forth in Article 9 of the New York UCC. "Goods" shall have the meaning set forth in Article 9 of the New York UCC. "Instruments" shall have the meaning set forth in Article 9 of the New York UCC. "Inventory" shall have the meaning set forth in Article 9 of the New York UCC. "Investment Property" shall have the meaning set forth in Article 9 of the New York UCC. "New York UCC" means the New York Uniform Commercial Code as in effect from time to time. "Other Collateral" means any property of the Grantors, not included within the defined terms Accounts, Chattel Paper, Commercial Tort Claims, Documents, Equipment, Fixtures, General Intangibles, Instruments, Inventory, Investment Property and Pledged Deposits, including, without limitation, all cash on hand, letter-of-credit rights, letters of credit, Stock Rights and Deposit Accounts or other deposits (general or special, time or demand, provisional or final) with any bank or other financial institution, it being intended that the Collateral include all real and personal property of the Grantors. "Pledged Deposits" means all time deposits of money (other than Deposit Accounts and Instruments), whether or not evidenced by certificates, which a Grantor may from time to time designate as pledged to the Administrative Agent or to any Holder of Secured Obligations as security for any Obligation, and all rights to receive interest on said deposits. "Receivables" means the Accounts, Chattel Paper, Documents, Investment Property, Instruments or Pledged Deposits, and any other rights or claims to receive money which are General Intangibles or which are otherwise included as Collateral. "Required Secured Parties" means (x) prior to an acceleration of the Secured Obligations under the Credit Agreement, the Required Lenders, (y) after an acceleration of the Secured Obligations under the Credit Agreement but prior to the date upon which the Credit Agreement has terminated by its terms and all of the Secured Obligations thereunder have been paid in full, Lenders and their Affiliates holding in the aggregate more than 50% of the total of (i) the unpaid principal amount of the outstanding Loans and LC Obligations and (ii) the aggregate net early termination payments and all other amounts then due and unpaid from the Borrower to the Lenders or their Affiliates under Rate Management Transactions, as determined by the Administrative Agent in its reasonable discretion, and (z) after the Credit Agreement has terminated by its terms and all of the Secured Obligations thereunder have been paid in full (whether or not the Secured Obligations under the Credit Agreement were ever accelerated), Lenders and their Affiliates holding in the aggregate more than 50% of the aggregate net early termination payments and all other amounts then due and unpaid from the Borrower to the Lenders or their Affiliates under Rate Management Transactions, as determined by the Administrative Agent in its reasonable discretion. "Section" means a numbered section of this Security Agreement, unless another document is specifically referenced. "Security" has the meaning set forth in Article 8 of the New York UCC. "Stock Rights" means any securities, dividends or other distributions and any other right or property which any Grantor shall receive or shall become entitled to receive for any reason whatsoever with respect to, in substitution for or in exchange for any securities or other ownership interests in a corporation, partnership, joint venture or limited liability company constituting Collateral and any securities, any right to receive securities and any right to receive earnings, in which any Grantor now has or hereafter acquires any right, issued by an issuer of such securities. "Supporting Obligation" shall have the meaning set forth in Article 9 of the New York UCC. The foregoing definitions shall be equally applicable to both the singular and plural forms of the defined terms. ARTICLE II GRANT OF SECURITY INTEREST Each of the Grantors hereby pledges, assigns and grants to the Administrative Agent, on behalf of and for the ratable benefit of the Holders of Secured Obligations and (to the extent specifically provided herein) their Affiliates, a security interest in all of such Grantor's right, title and interest, whether now owned or hereafter acquired, in and to the Collateral to secure the prompt and complete payment and performance of the Secured Obligations. ARTICLE III REPRESENTATIONS AND WARRANTIES Each of the Initial Grantors represents and warrants to the Administrative Agent and the Holders of Secured Obligations, and each Grantor that becomes a party to this Security Agreement pursuant to the execution of a Security Agreement Supplement in substantially the form of Annex I represents and warrants (after giving effect to supplements to each of the Exhibits hereto with respect to such subsequent Grantor as attached to such Security Agreement Supplement), that: 3.1. Title, Authorization, Validity and Enforceability. Such Grantor has good and valid rights in or the power to transfer the Collateral owned by it and title to the Collateral with respect to which it has purported to grant a security interest hereunder, free and clear of all Liens except for Liens permitted under Section 6.12 of the Credit Agreement, and has full corporate, limited liability company or partnership, as applicable, power and authority to grant to the Administrative Agent the security interest in such Collateral pursuant hereto. The execution and delivery by such Grantor of this Security Agreement has been duly authorized by proper corporate, limited liability company or partnership, as applicable, other proceedings, and this Security Agreement constitutes a legal, valid and binding obligation of such Grantor and creates a security interest which is enforceable against such Grantor in all Collateral it now owns or hereafter acquires, except as enforceability may be limited by (i) bankruptcy, insolvency, fraudulent conveyances, reorganization or similar laws relating to or affecting the enforcement of creditors' rights generally, (ii) general equitable principles (whether considered in a proceeding in equity or at law), and (iii) requirements of reasonableness, good faith and fair dealing. When financing statements have been filed in the appropriate offices against such Grantor in the locations listed on Exhibit C, the Administrative Agent will have a fully perfected first priority security interest in the Collateral owned by such Grantor in which a security interest may be perfected by filing, subject only to prior and junior Liens permitted under Section 6.12 of the Credit Agreement. 3.2. Principal Location. Such Grantor's mailing address and the location of its place of business (if it has only one) or its chief executive office (if it has more than one place of business), is disclosed in Exhibit A; such Grantor has no other places of business except those set forth in Exhibit A. 3.3. Property Locations. The Inventory, Equipment and Fixtures of each Grantor are located solely at the locations of such Grantor described in Exhibit A. All of said locations are leased by such Grantor except for locations (i) designated on Exhibit A as owned by such Grantor and (ii) at which Inventory is held in a public warehouse or is otherwise held by a bailee or on consignment by such Grantor, with respect to which Inventory such Grantor has delivered bailment agreements, warehouse receipts, financing statements or other documents reasonably satisfactory to the Administrative Agent to protect the Administrative Agent's and the Holders of Secured Obligations' security interest in such Inventory. 3.4. No Other Names. Except as disclosed in Schedule 3.4, such Grantor has not conducted business under any name except the name in which it has executed this Security Agreement, which is the exact name as it appears in such Grantor's organizational documents, as amended, as filed with such Grantor's jurisdiction of organization as of the Closing Date. 3.5. Accounts and Chattel Paper. The names of the obligors, amounts owing, due dates and other information with respect to the Accounts and Chattel Paper owned by such Grantor are and will be, taken as a whole, materially free of error in all records of such Grantor relating thereto and in all invoices and reports with respect thereto furnished to the Administrative Agent by such Grantor from time to time. As of the time when each Account or each item of Chattel Paper arises, such Grantor shall be deemed to have represented and warranted that such Account or Chattel Paper, as the case may be, when taken together with the other Accounts and Chattel Paper and all records relating thereto, are materially free from error. 3.6. No Financing Statements. No financing statement describing all or any portion of the Collateral which has not lapsed or been terminated naming such Grantor as debtor has been filed in any jurisdiction except financing statements (i) naming the Administrative Agent on behalf of the Holders of Secured Obligations as the secured party and (ii) in respect of Liens permitted by Section 6.15 of the Credit Agreement; provided, that nothing herein shall be deemed to constitute an agreement to subordinate any of the Liens of the Administrative Agent under the Loan Documents to any Liens otherwise permitted under Section 6.15 of the Credit Agreement, except to the extent permitted therein. 3.7. Federal Employer Identification Number; State Organization Number; Jurisdiction of Organization. Such Grantor's federal employer identification number is, and if such Grantor is a registered organization, such Grantor's State of organization, type of organization and State of organization identification number and is, as set forth in Exhibit C. 3.8. Pledged Securities and Other Investment Property. Exhibit D sets forth a complete and accurate list of the Instruments, Securities and other Investment Property delivered to the Administrative Agent. Each Grantor is the direct and beneficial owner of each Instrument, Security and other type of Investment Property listed on Exhibit D as being owned by it, free and clear of any Liens, except for the security interest granted to the Administrative Agent for the benefit of the Holders of Secured Obligations hereunder. Each Grantor further represents and warrants that (i) all such Instruments, Securities or other types of Investment Property which are shares of stock in a corporation or ownership interests in a partnership or limited liability company have been (to the extent such concepts are relevant with respect to such Instrument, Security or other type of Investment Property) duly and validly issued, are fully paid and non-assessable and constitute the percentage of the issued and outstanding shares of stock (or other equity interests) of the respective issuers thereof indicated on Exhibit D hereto and (ii) with respect to any certificates delivered to the Administrative Agent representing an ownership interest in a partnership or limited liability company, either such certificates are Securities as defined in Article 8 of the New York UCC of the applicable jurisdiction as a result of actions by the issuer or otherwise, or, if such certificates are not Securities, such Grantor has so informed the Administrative Agent so that the Administrative Agent may take steps to perfect its security interest therein as a General Intangible. ARTICLE IV COVENANTS From the date of this Security Agreement and thereafter until this Security Agreement is terminated, each of the Initial Grantors agrees, and from and after the effective date of any Security Agreement Supplement applicable to any Grantor (and after giving effect to supplements to each of the Exhibits hereto with respect to such subsequent Grantor as attached to such Security Agreement Supplement) and thereafter until this Security Agreement is terminated each such subsequent Grantor agrees: 4.1. General. 4.1.1 Financing Statements and Other Actions; Defense of Title. Each Grantor hereby authorizes the Administrative Agent to file, and if reasonably requested will execute and deliver to the Administrative Agent, all financing statements describing the Collateral owned by such Grantor and other documents and take such other actions as may from time to time reasonably be requested by the Administrative Agent in order to maintain a first perfected security interest in and, if applicable, Control of, the Collateral owned by such Grantor, subject to Liens permitted under Section 6.15 of the Credit Agreement (except to the extent permitted therein); provided, that nothing herein shall be deemed to constitute an agreement to subordinated any of the Liens of the Administrative Agent under the Loan Documents to any Liens otherwise permitted under Section 6.15 of the Credit Agreement. Such financing statements may describe the Collateral in the same manner as described herein or may contain an indication or description of collateral that describes such property in any other manner as the Administrative Agent may determine, in its sole discretion, is necessary, advisable or prudent to ensure that the perfection of the security interest in the Collateral granted to the Administrative Agent herein, including, without limitation, describing such property as "all assets" or "all personal property, whether now owned or hereafter acquired." Each Grantor will take any and all actions necessary to defend title to the Collateral owned by such Grantor against all persons and to defend the security interest of the Administrative Agent in such Collateral and the priority thereof against any Lien not expressly permitted hereunder. 4.1.2 Change in Corporate Existence, Type or Jurisdiction of Organization, Location, Name. Each Grantor will: (i) preserve its existence and corporate structure as in effect on the Closing Date; (ii) not change its jurisdiction of organization; (iii) not maintain its place of business (if it has only one) or its chief executive office (if it has more than one place of business) at a location other than a location specified on Exhibit A; and (iv) not (i) have a Substantial Portion of the Inventory, Equipment or Fixtures or proceeds or products thereof (other than Inventory and proceeds thereof disposed of as permitted by the Credit Agreement) at a location other than a location specified in Exhibit A or (ii) change its name or taxpayer identification number unless, in each such case, such Grantor shall have given the Administrative Agent prior written notice of such event or occurrence and such Grantor shall have taken such steps as are reasonably necessary or advisable to properly maintain the validity, perfection and priority of the Administrative Agent's security interest in the Collateral owned by such Grantor. 4.1.3 Other Financing Statements. No Grantor will suffer to exist or authorize the filing of any financing statement naming it as debtor covering all or any portion of the Collateral owned by such Grantor, except any Financing Statement authorized under Section 4.1.1 hereof. 4.2. Receivables. 4.2.1 Collection of Receivables. Except as otherwise provided in this Security Agreement, each Grantor will collect and enforce, at such Grantor's sole expense, all amounts due or hereafter due to such Grantor under the Receivables owned by such Grantor. 4.2.2 Delivery of Invoices. Each Grantor will deliver to the Administrative Agent immediately upon its request after the occurrence of a Default duplicate invoices with respect to each Account owned by such Grantor bearing such language of assignment as the Administrative Agent shall specify. 4.3. Instruments, Securities, Chattel Paper, Documents and Pledged Deposits. Each Grantor will (i) deliver to the Administrative Agent immediately upon execution of this Security Agreement the originals of all Chattel Paper, Securities and Instruments constituting Collateral (if any then exist), (ii) hold in trust for the Administrative Agent upon receipt and immediately thereafter deliver to the Administrative Agent any Chattel Paper, Securities and Instruments constituting Collateral, (iii) upon the designation of any Pledged Deposits (as set forth in the definition thereof), deliver to the Administrative Agent such Pledged Deposits which are evidenced by certificates included in the Collateral endorsed in blank, marked with such legends and assigned as the Administrative Agent shall specify, and (iv) upon the Administrative Agent's request, after the occurrence and during the continuance of a Default, deliver to the Administrative Agent (and thereafter hold in trust for the Administrative Agent upon receipt and immediately deliver to the Administrative Agent) any Document evidencing or constituting Collateral; provided, however, that this Section 4.3 shall not have any application with respect to Instruments, Securities, Chattel Paper, Documents and Pledged Deposits used by the Borrower in connection with Margin Activities permitted under the Credit Agreement. 4.4. Uncertificated Securities and Certain Other Investment Property. Each Grantor will permit the Administrative Agent from time to time to cause the appropriate issuers (and, if held with a securities intermediary, such securities intermediary) of uncertificated securities or other types of Investment Property not represented by certificates which are Collateral owned by such Grantor to mark their books and records with the numbers and face amounts of all such uncertificated securities or other types of Investment Property not represented by certificates and all rollovers and replacements therefor to reflect the Lien of the Administrative Agent granted pursuant to this Security Agreement. Each Grantor will use all commercially reasonable efforts, with respect to Investment Property constituting Collateral owned by such Grantor held with a financial intermediary, to cause such financial intermediary to enter into a control agreement with the Administrative Agent in form and substance reasonably satisfactory to the Administrative Agent. Notwithstanding anything in this Section 4.4 to the contrary, this Section 4.4 shall not have any application with respect to Investment Property used by the Borrower in connection with Margin Activities permitted under the Credit Agreement. 4.5. Stock and Other Ownership Interests. 4.5.1 Changes in Capital Structure of Issuers. No Grantor will (i) permit or suffer any issuer of privately held corporate securities or other ownership interests in a corporation, partnership, joint venture or limited liability company constituting Collateral owned by such Grantor to dissolve, liquidate, retire any of its capital stock or other Instruments or Securities evidencing ownership, reduce its capital or merge or consolidate with any other entity, or (ii) vote any of the Instruments, Securities or other Investment Property in favor of any of the foregoing, except in each case to the extent permitted under Section 6.11 of the Credit Agreement. 4.5.2 Issuance of Additional Securities. No Grantor will permit or suffer the issuer of privately held corporate securities or other ownership interests in a corporation, partnership, joint venture or limited liability company constituting Collateral to issue any such securities or other ownership interests, any right to receive the same or any right to receive earnings, except to such Grantor; provided, however, that this Section 4.5.2 shall have no application with respect to any corporation, partnership, joint venture or limited liability company which is not a Subsidiary of such Grantor (including, without limitation, Persons in which a Permitted Alternative Fuel Acquisition has been made). 4.5.3 Registration of Pledged Securities and other Investment Property. Each Grantor will permit any registerable Collateral owned by such Grantor to be registered in the name of the Administrative Agent or its nominee at any time at the option of the Required Secured Parties following the occurrence and during the continuance of a Default and without any further consent of such Grantor; provided, however, that this Section 4.5.3 shall not have any application with respect to any registerable Collateral used in connection with Margin Activities permitted under the Credit Agreement. 4.5.4 Exercise of Rights in Pledged Securities and other Investment Property. Each Grantor will permit the Administrative Agent or its nominee at any time after the continuance of a Default, without notice, to exercise or refrain from exercising any and all voting and other consensual rights pertaining to the Collateral owned by such Grantor or any part thereof, and to receive all dividends and interest in respect of such Collateral. 4.6. Pledged Deposits. No Grantor will withdraw all or any portion of any Pledged Deposit or fail to rollover said Pledged Deposit without the prior written consent of the Administrative Agent. 4.7. Deposit Accounts. Each Grantor will (i) upon the Administrative Agent's request, cause each bank or other financial institution in which it maintains (a) a Deposit Account to enter into a control agreement with the Administrative Agent, in form and substance reasonably satisfactory to the Administrative Agent in order to give the Administrative Agent Control of the Deposit Account or (b) other deposits (general or special, time or demand, provisional or final) to be notified of the security interest granted to the Administrative Agent hereunder and cause each such bank or other financial institution to acknowledge such notification in writing and (ii) upon the Administrative Agent's request after the occurrence and during the continuance of a Default, deliver to each such bank or other financial institution a letter, in form and substance reasonably acceptable to the Administrative Agent, transferring ownership of the Deposit Account to the Administrative Agent or transferring dominion and control over each such other deposit to the Administrative Agent until such time as no Default exists. In the case of deposits maintained with Lenders, the terms of such letter shall be subject to the provisions of the Credit Agreement regarding setoffs. 4.8. Letter-of-Credit Rights. Each Grantor will, upon the Administrative Agent's request, cause each issuer of a letter of credit, to consent to the assignment of proceeds of the letter of credit in order to give the Administrative Agent Control of the letter-of-credit rights to such letter of credit. 4.9. Federal, State or Municipal Claims. Each Grantor will notify the Administrative Agent of any Collateral owned by such Grantor which constitutes a claim against the United States government or any state or local government or any instrumentality or agency thereof, the assignment of which claim is restricted by federal, state or municipal law. 4.10. Intellectual Property. If, after the date hereof, any Grantor files an application to register any new patentable invention, trademark or copyright in addition to the patents, trademarks and copyrights described in Exhibit B, which are all of such Grantor's patents, trademarks and copyrights as of the Closing Date, then such Grantor shall give the Administrative Agent notice thereof as part of the compliance certificate provided to the Agent pursuant to Section 6.1.3 of the Credit Agreement, and the security interest granted to the Administrative Agent hereunder shall automatically apply thereto. Each Grantor agrees promptly upon request by the Administrative Agent to execute and deliver to the Administrative Agent any supplement to this Security Agreement or any other document reasonably requested by the Administrative Agent to evidence such security interest in a form appropriate for recording in the applicable federal office. Each Grantor also hereby authorizes the Administrative Agent to modify this Security Agreement unilaterally (i) by amending Exhibit B to include any future patents, trademarks and/or copyrights of which the Administrative Agent receives notification from such Grantor pursuant hereto and (ii) by recording, in addition to and not in substitution for this Security Agreement, a duplicate original of this Security Agreement containing in Exhibit B a description of such future patents, trademarks and/or copyrights. 4.11. Commercial Tort Claims. If, after the date hereof, any Grantor identifies the existence of a commercial tort claim belonging to such Grantor that has arisen in the course of such Grantor's business in addition to the commercial tort claims described in Exhibit E, which are all of such Grantor's commercial tort claims as of the Closing Date, then such Grantor shall give the Administrative Agent notice thereof as part of the compliance certificate provided to the Agent pursuant to Section 6.1.3 of the Credit Agreement. Each Grantor agrees promptly upon request by the Administrative Agent to execute and deliver to the Administrative Agent any supplement to this Security Agreement or any other document reasonably requested by the Administrative Agent to evidence the grant of a security interest therein in favor of the Administrative Agent. ARTICLE V DEFAULT 5.1. Acceleration and Remedies. Upon the acceleration of the Secured Obligations under the Credit Agreement pursuant to Section 8.1 thereof, the Obligations and, to the extent provided for under the Rate Management Transactions evidencing the same, the Rate Management Obligations, shall immediately become due and payable without presentment, demand, protest or notice of any kind, all of which are hereby expressly waived, and the Administrative Agent may, with the concurrence or at the direction of the Required Secured Parties, exercise any or all of the following rights and remedies: 5.1.1 Those rights and remedies provided in this Security Agreement, the Credit Agreement, or any other Loan Document, provided that this Section 5.1.1 shall not be understood to limit any rights or remedies available to the Administrative Agent and the Holders of Secured Obligations prior to a Default. 5.1.2 Those rights and remedies available to a secured party under the New York UCC (whether or not the New York UCC applies to the affected Collateral) or under any other applicable law (including, without limitation, any law governing the exercise of a bank's right of setoff or bankers' lien) when a debtor is in default under a security agreement. 5.1.3 Without notice except as specifically provided in Section 8.1 hereof or elsewhere herein, sell, lease, assign, grant an option or options to purchase or otherwise dispose of the Collateral or any part thereof in one or more parcels at public or private sale, for cash, on credit or for future delivery, and upon such other terms as the Administrative Agent may deem commercially reasonable. The Administrative Agent, on behalf of the secured parties, may comply with any applicable state or federal law requirements in connection with a disposition of the Collateral, and such compliance will not be considered to adversely affect the commercial reasonableness of any sale of the Collateral. If, after the Credit Agreement has terminated by its terms and all of the Obligations have been paid in full, there remain Rate Management Obligations outstanding, the Required Secured Parties may exercise the remedies provided in this Section 5.1 upon the occurrence of any event which would allow or require the termination or acceleration of any Rate Management Obligations pursuant to the terms of the agreement governing any Rate Management Transaction. 5.2. Grantors' Obligations Upon Default. Upon the request of the Administrative Agent after the occurrence and during the Continuation of a Default, each Grantor will: 5.2.1 Assembly of Collateral. Assemble and make available to the Administrative Agent the Collateral and all records relating thereto at any place or places specified by the Administrative Agent. 5.2.2 Secured Party Access. Permit the Administrative Agent, by the Administrative Agent's representatives and agents, to enter any premises where all or any part of the Collateral, or the books and records relating thereto, or both, are located, to take possession of all or any part of the Collateral and to remove all or any part of the Collateral. 5.3. License. The Administrative Agent is hereby granted a license or other right to use, following the occurrence and during the continuance of a Default, without charge, each Grantor's labels, patents, copyrights, rights of use of any name, trade secrets, trade names, trademarks, service marks, customer lists and advertising matter, or any property of a similar nature, as it pertains to the Collateral, in completing production of, advertising for sale, and selling any Collateral, and, following the occurrence and during the continuance of a Default, such Grantor's rights under all licenses and all franchise agreements shall inure to the Administrative Agent's benefit. In addition, each Grantor hereby irrevocably agrees that the Administrative Agent may, following the occurrence and during the continuance of a Default, sell any of such Grantor's Inventory directly to any person, including without limitation persons who have previously purchased such Grantor's Inventory from such Grantor and in connection with any such sale or other enforcement of the Administrative Agent's rights under this Security Agreement, may sell Inventory which bears any trademark owned by or licensed to such Grantor and any Inventory that is covered by any copyright owned by or licensed to such Grantor and the Administrative Agent may finish any work in process and affix any trademark owned by or licensed to such Grantor and sell such Inventory as provided herein. ARTICLE VI WAIVERS, AMENDMENTS AND REMEDIES No delay or omission of the Administrative Agent or any Holder of Secured Obligations to exercise any right or remedy granted under this Security Agreement shall impair such right or remedy or be construed to be a waiver of any Default or an acquiescence therein, and any single or partial exercise of any such right or remedy shall not preclude any other or further exercise thereof or the exercise of any other right or remedy. No waiver, amendment or other variation of the terms, conditions or provisions of this Security Agreement whatsoever shall be valid unless in writing signed by the Administrative Agent with the concurrence or at the direction of the Lenders required under Section 8.2 of the Credit Agreement and each Grantor, and then only to the extent in such writing specifically set forth, provided that the addition of any Domestic Subsidiary as a Grantor hereunder by execution of a Security Agreement Supplement in the form of Annex I (with such modifications as shall be acceptable to the Administrative Agent) shall not require receipt of any consent from or execution of any documentation by any other Grantor party hereto. All rights and remedies contained in this Security Agreement or by law afforded shall be cumulative and all shall be available to the Administrative Agent and the Holders of Secured Obligations until the Secured Obligations have been paid in full. ARTICLE VII PROCEEDS; COLLECTION OF RECEIVABLES 7.1. Lockboxes. Upon request of the Administrative Agent after the occurrence and during the continuation of a Default, each Grantor shall execute and deliver to the Administrative Agent lockbox agreements in the form provided by or otherwise acceptable to the Administrative Agent, which agreements shall be accompanied by an acknowledgment by the bank where the lockbox is located of the Lien of the Administrative Agent granted hereunder and of irrevocable instructions to wire all amounts collected therein to a special collateral account at the Administrative Agent. 7.2. Collection of Receivables. The Administrative Agent may at any time after the occurrence and during the continuation of a Default, by giving each Grantor written notice, elect to require that the Receivables be paid directly to the Administrative Agent for the benefit of the Holders of Secured Obligations. In such event, each Grantor shall, and shall permit the Administrative Agent to, promptly notify the account debtors or obligors under the Receivables owned by such Grantor of the Administrative Agent's interest therein and direct such account debtors or obligors to make payment of all amounts then or thereafter due under such Receivables directly to the Administrative Agent. Upon receipt of any such notice from the Administrative Agent, each Grantor shall thereafter hold in trust for the Administrative Agent, on behalf of the Holders of Secured Obligations, all amounts and proceeds received by it with respect to the Receivables and Other Collateral and immediately and at all times thereafter deliver to the Administrative Agent all such amounts and proceeds in the same form as so received, whether by cash, check, draft or otherwise, with any necessary endorsements. The Administrative Agent shall hold and apply funds so received as provided by the terms of Sections 7.3 and 7.4 hereof. 7.3. Special Collateral Account. Upon the occurrence and during the continuation of a Default, the Administrative Agent may require all cash proceeds of the Collateral to be deposited in a special non-interest bearing cash collateral account with the Administrative Agent and held there as security for the Secured Obligations. No Grantor shall have any control whatsoever over said cash collateral account. If any Default has occurred and is continuing, the Administrative Agent may (and shall, at the direction of the Required Secured Parties), from time to time, apply the collected balances in said cash collateral account to the payment of the Secured Obligations whether or not the Secured Obligations shall then be due. 7.4. Application of Proceeds. The proceeds of the Collateral shall be applied by the Administrative Agent to payment of the Secured Obligations in the following order unless a court of competent jurisdiction shall otherwise direct: (a) FIRST, to payment of all reasonable costs and expenses of the Administrative Agent incurred in connection with the collection and enforcement of the Secured Obligations or of the security interest granted to the Administrative Agent pursuant to this Security Agreement; (b) SECOND, to payment of that portion of the Secured Obligations constituting accrued and unpaid interest and fees, pro rata among the Lenders and their Affiliates in accordance with the amount of such accrued and unpaid interest and fees owing to each of them; (c) THIRD, to payment of the principal of the Secured Obligations and the net early termination payments and any other Rate Management Obligations then due and unpaid from the Borrower to any of the Lenders or their Affiliates, pro rata among the Lenders and their Affiliates in accordance with the amount of such principal and such net early termination payments and other Rate Management Obligations then due and unpaid owing to each of them; (d) FOURTH, to payment of any Secured Obligations (other than those listed above) pro rata among those parties to whom such Secured Obligations are due in accordance with the amounts owing to each of them; and (e) FIFTH, the balance, if any, after all of the Secured Obligations have been satisfied, shall be distributed by the Administrative Agent to the applicable Grantor or at its direction. ARTICLE VIII GENERAL PROVISIONS 8.1. Notice of Disposition of Collateral; Condition of Collateral. Each Grantor hereby waives notice of the time and place of any public sale or the time after which any private sale or other disposition of all or any part of the Collateral may be made. To the extent such notice may not be waived under applicable law, any notice made shall be deemed reasonable if sent to the Borrower, addressed as set forth in Article IX, at least thirty days prior to (i) the date of any such public sale or (ii) the time after which any such private sale or other disposition may be made. Administrative Agent shall have no obligation to clean-up or otherwise prepare the Collateral for sale. 8.2. Compromises and Collection of Collateral. Each Grantor and the Administrative Agent recognize that setoffs, counterclaims, defenses and other claims may be asserted by obligors with respect to certain of the Receivables, that certain of the Receivables may be or become uncollectible in whole or in part and that the expense and probability of success in litigating a disputed Receivable may exceed the amount that reasonably may be expected to be recovered with respect to a Receivable. In view of the foregoing, each Grantor agrees that the Administrative Agent may at any time and from time to time, if a Default has occurred and is continuing, compromise with the obligor on any Receivable, accept in full payment of any Receivable such amount as the Administrative Agent in its sole discretion shall determine or abandon any Receivable, and any such action by the Administrative Agent shall be commercially reasonable so long as the Administrative Agent acts in good faith based on information known to it at the time it takes any such action. 8.3. Secured Party Performance of Grantor's Obligations. Without having any obligation to do so, the Administrative Agent may perform or pay any obligation which any Grantor has agreed to perform or pay in this Security Agreement and such Grantor shall reimburse the Administrative Agent for any reasonable amounts paid by the Administrative Agent pursuant to this Section 8.3. Each Grantor's obligation to reimburse the Administrative Agent pursuant to the preceding sentence shall be a Secured Obligation payable on demand. 8.4. Authorization for Secured Party to Take Certain Action. Each Grantor irrevocably authorizes the Administrative Agent at any time and from time to time in the sole discretion of the Administrative Agent and appoints the Administrative Agent as its attorney in fact (i) to execute on behalf of such Grantor as debtor and to file financing statements necessary or desirable in the Administrative Agent's sole discretion to perfect and to maintain the perfection and priority of the Administrative Agent's security interest in the Collateral, (ii) upon the occurrence and during the continuation of a Default, to indorse and collect any cash proceeds of the Collateral, (iii) to file a carbon, photographic or other reproduction of this Security Agreement or any financing statement with respect to the Collateral as a financing statement and to file any other financing statement or amendment of a financing statement (which does not add new collateral or add a debtor) in such offices as the Administrative Agent in its sole discretion deems necessary or desirable to perfect and to maintain the perfection and priority of the Administrative Agent's security interest in the Collateral, (iv) to contact and enter into one or more agreements with the issuers of uncertificated securities which are Collateral owned by such Grantor and which are Securities or with financial intermediaries holding other Investment Property as may be necessary or advisable to give the Administrative Agent Control over such Securities or other Investment Property, (v) upon the occurrence and during the continuation of a Default, subject to the terms of the Credit Agreement, to enforce payment of the Instruments, Accounts and Receivables in the name of the Administrative Agent or such Grantor, (vi) upon the occurrence and during the continuation of a Default, to apply the proceeds of any Collateral received by the Administrative Agent to the Secured Obligations as provided in Article VII and (vii) upon the occurrence and during the continuation of a Default, to discharge past due taxes, assessments, charges, fees or Liens on the Collateral (except for such Liens as are specifically permitted hereunder or under any other Loan Document), and each Grantor agrees to reimburse the Administrative Agent on demand for any reasonable payment made or any reasonable expense incurred by the Administrative Agent in connection therewith, provided that this authorization shall not relieve any Grantor of any of its obligations under this Security Agreement or under the Credit Agreement. 8.5. Specific Performance of Certain Covenants. Each Grantor acknowledges and agrees that a breach of any of the covenants contained in Sections 4.4 or 5.2 or in Article VII hereof will cause irreparable injury to the Administrative Agent and the Holders of Secured Obligations, that the Administrative Agent and Holders of Secured Obligations have no adequate remedy at law in respect of such breaches and therefore agrees, without limiting the right of the Administrative Agent or the Holders of Secured Obligations to seek and obtain specific performance of other obligations of the Grantors contained in this Security Agreement, that the covenants of the Grantors contained in the Sections referred to in this Section 8.5 shall be specifically enforceable against the Grantors. 8.6. Use and Possession of Certain Premises. Upon the occurrence and during the continuation of a Default, the Administrative Agent shall be entitled to occupy and use any premises owned or leased by the Grantors where any of the Collateral or any records relating to the Collateral are located until the Secured Obligations are paid or the Collateral is removed therefrom, whichever first occurs, without any obligation to pay any Grantor for such use and occupancy. 8.7. Benefit of Agreement. The terms and provisions of this Security Agreement shall be binding upon and inure to the benefit of the Grantors, the Administrative Agent and the Holders of Secured Obligations and their respective successors and assigns (including all persons who become bound as a debtor to this Security Agreement), except that the Grantors shall not have the right to assign their rights or delegate their obligations under this Security Agreement or any interest herein, without the prior written consent of the Administrative Agent. 8.8. Survival of Representations. All representations and warranties of the Grantors contained in this Security Agreement shall survive the execution and delivery of this Security Agreement. 8.9. Headings. The title of and section headings in this Security Agreement are for convenience of reference only, and shall not govern the interpretation of any of the terms and provisions of this Security Agreement. 8.10. Termination. This Security Agreement shall continue in effect (notwithstanding the fact that from time to time there may be no Secured Obligations outstanding) until (i) the Credit Agreement has terminated pursuant to its express terms and (ii) all of the Secured Obligations have been indefeasibly paid and performed in full and no commitments of the Administrative Agent or the Holders of Secured Obligations which would give rise to any Secured Obligations are outstanding. 8.11. Entire Agreement. This Security Agreement embodies the entire agreement and understanding between the Grantors and the Administrative Agent relating to the Collateral and supersedes all prior agreements and understandings between the Grantors and the Administrative Agent relating to the Collateral. 8.12. CHOICE OF LAW. THIS SECURITY AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK (WITHOUT REGARD TO THE CONFLICTS OF LAWS PROVISIONS) BUT GIVING EFFECT TO FEDERAL LAWS APPLICABLE TO NATIONAL BANKS. 8.13. Subordination of Intercompany Indebtedness. Each Grantor agrees that any and all claims of such Grantor against any other Grantor with respect to any payment or distribution of any kind or character, either in cash, securities or other property is and shall be expressly subordinated to the Secured Obligations pursuant to those terms and conditions set forth in the Credit Agreement. ARTICLE IX NOTICES 9.1. Sending Notices. Any notice required or permitted to be given under this Security Agreement shall be sent (and deemed received) in the manner and to the addresses set forth in Article XIII of the Credit Agreement; and any such notice delivered to the Borrower shall be deemed to have been delivered to all of the Grantors. 9.2. Change in Address for Notices. Each of the Grantors, the Administrative Agent and the Lenders may change the address for service of notice upon it by a notice in writing to the other parties. ARTICLE X THE ADMINISTRATIVE AGENT Bank One, NA (Main Office Chicago) has been appointed Administrative Agent for the Holders of Secured Obligations hereunder pursuant to Article X of the Credit Agreement. It is expressly understood and agreed by the parties to this Security Agreement that any authority conferred upon the Administrative Agent hereunder is subject to the terms of the delegation of authority made by the Holders of Secured Obligations to the Administrative Agent pursuant to the Credit Agreement, and that the Administrative Agent has agreed to act (and any successor Administrative Agent shall act) as such hereunder only on the express conditions contained in such Article X. Any successor Administrative Agent appointed pursuant to Article X of the Credit Agreement shall be entitled to all the rights, interests and benefits of the Administrative Agent hereunder. [SIGNATURE PAGES FOLLOW] SIGNATURE PAGE TO PLEDGE AND SECURITY AGREEMENT IN WITNESS WHEREOF, each of the Grantors and the Administrative Agent have executed this Security Agreement as of the date first above written. HEADWATERS INCORPORATED, as a Grantor By /s/ Steven G. Stewart -------------------------------------------- Name: Steven G. Stewart Title: Chief Financial Officer COVOL SERVICES CORPORATION, HEADWATERS CLEAN COAL CORP., HEADWATERS HEAVY OIL, INC., HEADWATERS NANOKINETIX, INC., HEADWATERS OLYSUB CORPORATION, HEADWATERS TECHNOLOGY INNOVATION GROUP, INC., HTI CHEMICAL SUBSIDIARY, INC. HYDROCARBON TECHNOLOGIES, INC., each as a Guarantor By /s/ Harlan M. Hatfield -------------------------------------------- Name: Harlan M. Hatfield Title: Vice President, General Counsel and Secretary ACM GEORGIA, INC., AMERICAN CONSTRUCTION MATERIALS, INC., GLOBAL CLIMATE RESERVE CORPORATION, ISG LIBERTY, INC., ISG RESOURCES, INC., BEST MASONRY & TOOL SUPPLY, INC., LEWIS W. OSBORNE, INC., UNITED TERRAZZO SUPPLY CO., INC., MAGNA WALL, INC., ISG MANUFACTURED PRODUCTS, INC., ISG PARTNER, INC., ISG SERVICES CORPORATION, ISG SWIFT CRETE, INC., DON'S BUILDING SUPPLY, L.P., PALESTINE CONCRETE TILE COMPANY, L.P., each as a Guarantor By /s/ Brett A. Hickman -------------------------------------------- Name: Brett A. Hickman Title: Senior Vice President, General Counsel and Secretary BANK ONE, NA, as Administrative Agent By: /s/ Tony C. Nielsen -------------------------------------------- Name: Tony C. Nielsen Title: First Vice President SCHEDULE 3.4 See Exhibit A.
EXHIBIT A (See Sections 3.3, 3.4, 3.5 and 4.1.7 of Security Agreement) Place of business (if Grantor has only one place of business) or chief executive office (if Grantor has more than one place of business) and mailing address: Headwaters Incorporated ACM Georgia, Inc. (f/k/a/ Covol Technologies, Inc.) Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: Same American Construction Materials, Inc. Best Masonry & Tool Supply, Inc. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: 16745 W. Hardy Road Houston, TX 77060 1 Covol Services Corporation Don's Building Supply, L.P. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: 2327 Langford Street Dallas, TX 75208 Global Climate Reserve Corporation Headwaters Clean Coal Corp. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: Same Headwaters Heavy Oil, Inc. Headwaters NanoKinetix, Inc. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Principal Place of Business: 1501 New York Avenue 1501 New York Avenue Lawrenceville, NJ 08648 Lawrenceville, NJ 08648 2 Headwaters Olysub, Corporation dba Industrial Services Group Headwaters Technology Innovation Group, Inc. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: 1501 New York Avenue Lawrenceville, NJ 08648 HTI Chemical Subsidiary, Inc. (f/k/a Chemsampco, Inc.) Hydrocarbon Technologies of Canada, Inc. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Principal Place of Business: 1501 New York Avenue 4104 97th Street, Suite 212 Lawrenceville, NJ 08648 Edmonton Alberta Canada T6E 5Y6 3 Hydrocarbon Technologies, Inc. ISG Canada Limited Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Principal Place of Business: Same 1501 New York Avenue Lawrenceville, NJ 08648 ISG Int'l FSC, Inc. ISG Liberty, Inc. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: Same ISG Manufactured Products, Inc. ISG Partner, Inc. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: Same 4 ISG Resources, Inc. (f/k/a JTM Industries, Inc.) ISG Services Corporation Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: Same ISG Swift Crete, Inc. Lewis W. Osborne, Inc. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Same Principal Place of Business: 16005 Phoebe Avenue La Mirada, CA 950638 Magna Wall, Inc. Palestine Concrete Tile Company, L.P. Chief Executive Office: Chief Executive Office: 10653 S. River Front Parkway, Suite 300 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 South Jordan, UT 84095 Principal Place of Business: Principal Place of Business: 16745 W. Hardy Road 2500 W. Regan Houston, TX 77060 Palestine, TX 75802 5 United Terrazzo Supply Co., Inc. Chief Executive Office: 10653 S. River Front Parkway, Suite 300 South Jordan, UT 84095 Principal Place of Business: 16005 Phoebe Avenue La Mirada, CA 950638 Locations of Real Property, Inventory, Equipment and Fixtures: ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Headwaters Incorporated 10653 S. River Front Pkwy, Ste 300 South Jordan UT 84095 Corporate Office ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Headwaters Whitmore Canyon, North Sunnyside, Carbon UT Sunnyside Property County ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- HTIG 1501 New York Avenue Lawrenceville NJ 08648 Yes New Jersey Facility ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- HTI 4104 97th Street, Suite 212 Edmonton Alberta T6E 5Y6 Canadian Office Canada ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- HTIG 1 Rui Jing Road (South), Hai Xing Plaza, Shanghai PR China 200023 China Shanghai Office 9th Floor, Suite C ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 346 Rheem Boulevard, Ste 102 Moraga CA 94556 California Office ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 6 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- FlexCrete Pilot Plant 349 W. 700 S. Salt Lake City UT 84101 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 4043 North Euclid Avenue Bay City MI 48706 Northern Region Headquarters ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 224 Salix IA 50154 Iowa Office Ship to: 2761 Port Neal Circle ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 370 Hurricane WV 25526 Amos Ship to: 130 Roger Circle ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2133 Lake Road East Ashtabula OH 44004 Ashtabula ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 33570 Lake Road Avon Lake OH 44012 Avon Lake ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 246 Bailly Station Road Chesterton IN 46304 Bailly ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 10901 Baldwin Road Baldwin IL 62217 Baldwin ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 4701 Bayshore Rd Oregon OH 43616 Bay Shore ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 280 Bloomsburg PA 17815 Bloomsburg Ship to: 165 Wagner ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2754 Deadrick Avenue SE Buffalo MN 55313 Buffalo Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 4282 Sullivan Slough Road Burlington IA 52601 Burlington ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 7584 N. Lake Shore West Olive MI 49460 Campbell ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 228 Cayuga Drive Lansing NY 14882 AES Cayuga ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources West Highway 56 Madison IN 47250 Clifty Creek ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2843 Third Street Underwood ND 58576 Coal Creek ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2115 Navajo St Council Bluffs IA 51501 Council Bluffs ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 10 Erie Road East Lake OH 44095 East Lake ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 7800 S. Cilco Lane Bartonville IL 61607 Edwards Station ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Route #7 Cheshire OH 45620 Gavin ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 7 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 462 Gilberton PA 17934 Gilberton Ship to: 1285 West Center Street Mahoney City PA 17948 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources RR #1, Box 200 AA Hennepin IL 61327 Hennepin ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 276 Esperance NY 12066 Howes Cave Ship to: 617 Conover Road ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Duffield & Van Keuren Avenues Jersey City NJ 07306 Hudson Station ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 3001 Dickey Road East Chicago IL 46312 Indiana Harbor ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources PO Box 110, Route 60 Glasgow WV 25065 Kanawha River ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2001 Beaver Channel Parkway Clinton IA 52733 Kapp ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2555 Weadock Highway Essexville MI 48732 Karn ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources The North 100 feet of Lots 8,9, and 10 all in Faribault Count MN Yes Winnebago block 36 of the Plat of Winnebago City (now Winnebago), as of public record, Fairbault County, Minnesota ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 21778 Highview Ave. Lakeville MN 55044 Lakeville Storage ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources E. 55th & Marginal Cleveland OH 44101 Lake Shore ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2320 Power Plant Road Lansing IA 52151 Lansing ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 500 Shell Road Carney's Point NJ 08069 Logan ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 216 Fruitland IA 52749 Louisa Ship to: 8602 172 Street Muscatine IA 52761 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Wabash Street at the Lake Michigan City IN 46360 Michigan City ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: 14660 Dixie Hwy Louisville KY 40272 Mill Creek Ship to: 7705 Marie Anna W. Louisville KY 40258 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Broad Run Road, Box 209 New Haven WV 25265 Mountaineer ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 8 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 20991 Power Plant Road Chillicothe IA 52548 Ottumwa ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 6925 N State Road Petersburg IN 47567 Petersburg Station ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 224 Salix IA 50154 Port Neal Ship to: 305 Anderson Street Sloan IA 50154 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 3300 C Street, SW Cedar Rapids IA 52404 Prairie Creek ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 216 Fruitland IA 52749 Riverside Ship to: 6001 State Street Bettendorf IA 52808 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 1101 Beach Ave. Rochester NY 14612 Russell Station ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Route 7 Stratton OH 43961 Sammis ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2723 E. 1500 N. Wheatfield IN 46392 Schahfer ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 1551 W. Wakefield Sikeston MO 63801 Sikeston ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 141 Depot Road Uncasville CT 06382 Thames ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Route 1, Box 87 Clifton Hill MO 65244 Thomas Hill ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 487 Corn Creek Bedford KY 40006 Trimble County ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 40000 W Becker Drive Bartonville IL 60607 Wallace Station ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 4525 1/2 Erie Road Erie MI 48133 Whiting ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources #1 Cesson Lane Alton IL 62006 Woodriver ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 3045 W. 28th Street Pine Bluff AR 71603 Southern Region Headquarters ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 3734 Alpharetta GA 30023 SE Area Dispatch Ship to: 1013 Addison Lane Alpharetta GA 30005 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2650 Highway 113, SW Taylorsville GA 30178 Yes MTRF ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 9 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 157 W. Shadowpoint Circle The Woodlands TX 77381 Regional VP Office ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Virginia Secondary State, Route #12 Altavista VA Yes Altavsta Campbell County ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 322 Covered Bridge Rd., SW Cartersville GA 30120 Bowen ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 356 Bremond TX 76629 Bremond Fed Ex to: 8 Mile N. of Calvert TX Hwy 6 Calvert TX 77837 UPS to: State Highway 6 Bremond TX 76629 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 104 Garden Road Clifton TN 37716 Yes Bull Run ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 720 Leland NC 28451 Yes Cape Fear Ship to: 2250 Commerce Dr. ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 56 Cleveland VA 24225 Clinch River Ship to: AEP/Clinch River Corner of Intersections Rtes 664 & 665 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 601 E. College St. Lewisville TX 75057 Dallas Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 955 Mansfield LA 71052 Dolet Hills Ship to: 963 Power Plant Rd. ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 26433 Crossroads Dr. Franklin VA Franklin ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 40, 31972 Highway 25 Wilsonville AL 35186 Gaston Ship to: Route 25 c/o Gaston Plant ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 64 Glen Lyn VA 24093 Glen Lyn Ship to: Route 64 off Route 460 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 464 Gorgas Road Gorgas AL 35580 Gorgas ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 500 E. Reynolds Road Arkadelphia AR 71923 Gum Springs ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 297 Newark AR 72562 Independence Ship to: 555 Point Ferry Rd Newark AR 72562 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 1202 Bellwood Road Richmond VA 23237 James River ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources North 8th Street Fernandina Beac FL 32034 Jefferson Smurfitt ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 10 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 644 LaGrange TX 78945 LCRA Fayette Power Project Ship to: 6549 Power Plant Rd. LaGrange TX 78945 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 929 Jewett TX 75846 Limestone Ship to: FM 39, Gate 6 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Martin Lake Mail to: PO Box 647 Tatum TX 75691 Ship to: 8850 FM 2658 N ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 910 Westlake LA 70669 Westlake Ship to: Houston River Road, Nelson Cole Power Plant, Gate #5 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 520 Calico Drive Pacolet SC 29372 Yes Pacolet Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources PO Box 38 Thompsons TX 77481 Parish ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources PO Box 1415 Hallsville TX 75650 Pirkey ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 11951 Pate Road Pensacola FL 32534 Plant Crist ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail To: PO Box 1069 Ackerman MS 39735 Red Hills Ship to: Rt. 2 Box 31 Pensacola Road ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail To: PO Box 10 Boyce LA 71409 Rodemacher Ship to: 101 Rodemacher Road Lena LA 71447 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 278 Cason TX 75636 Welsh Ship to: 1 mi. N. of Hwy 11 on FM1735 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 100 Jefferson AR 72079 White Bluff Ship to: 1150 Kearney Road Redfield AR 72132 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 10653 S. River Front Pkwy, Ste 300 Salt Lake City UT 84095 Western Region Headquarters ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 95 North 200 East American Fork UT 84003 American Fork Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: 1973 N. Nellis #483 N. Las Vegas NV 89124 Apex Transloading Facility Ship to: 11458 US Hwy 93 Las Vegas NV 89115 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 7414 Marine Drive Bellingham WA 98225 Bellingham Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 665 Delta UT 84524 Carbon Plant Ship to: Helper UT 84526 Hwy 6 - 3 Miles North of Helper ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 11 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 237 Centralia WA 98531 Centralia Plant Ship to: 913 Big Hanaford Road ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 237 Centralia WA 98531 Yes Centralia Storage Ship to: 1720 Lum Road ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 38 Colstrip MT 59323 Colstrip Plant Ship to: Willow Ave. & Warehouse Road ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 30495 Billings MT 59007 Corette Plant Ship to: 301 Charlene St. Billings MT 59010 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 1347 Craig CO 81626 Craig Plant Ship to: 2101 S. Ranney Street Craig CO 81625 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 794 Glenrock WY 82637 Dave Johnston Plant Ship to: 1591 Tank Farm Road Coal Company Route ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 665 Delta UT 84624 Delta Plant Ship to: 850 W Brushwellman Rd ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 8850 Yosemite Street Henderson CO 80640 Yes Irondale (Denver Terminal) ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 230 Dunphy Rd D5 Battle Mountain NV 89820 Dunphy Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 7321 E. 88th Street, Suite 200 Henderson CO 80640 Dupont Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 840 Fernley NV 89408 Fernley Terminal Ship to: 75 BN Center (30mi east of Reno) Fernley NV 89408 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 3440 S. Willow Fresno CA 93725 Fresno Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 205 Harrisburg OR 97446 Harrisburg Terminal Ship to: 23505 Peoria Road Harrisburg OR 97446 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 12795 East Ute Hayden CO 81639 Hayden Plant ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2.5 Miles South Utah Hwy. 10 UT Hunter Plant Mail to: PO Box 619 Castle Dale UT 84513 Ship to: 465 West Cottonwood Ferron UT 84513 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 1 Mile West Hwy. 31 Huntington UT Huntington Plant Mail to: PO Box 619 Ferron UT 84528 Ship to: 465 West Cottonwood UT 84523 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 12 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 35 Miles East of Rock Springs Point of Rock WY 82942 Jim Bridger Plant Mail and Ship to: Rock Springs WY 82901 1993 Dewar Drive No. 1, PMB 277 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 1346 Wheatland WY 82201 Laramie River Plant Ship to: 347 Greyrocks Road Wheatland WY 82201 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Highway 23, South of Sydney Sidney MT 59270 Lewis & Clark Station ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 630 East King Street Meridian ID 83642 Meridian Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 6520 Defmet Road Missoula MT 59802 Missoula Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 109 Kemmerer WY 83101 Naughton Plant Ship to: 5 miles SW of Kemmerer Kemmerer WY 83101 on Hwy 189 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 4750 Page AZ 86040 Navajo Plant Ship to: 5 Miles East of Page, Hwy 98 Page AZ 86040 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 20 Caplino Way New Westminster BC, Canada V3L 5H2 New Westminster Term. ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2911 Pacific Avenue Ogden UT 84409 Yes Ogden Storage Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 610 West River Street Pasco WA 99301 Pasco Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources Mail to: PO Box 300 Paul ID 83347 Paul Terminal Ship to: 100 South 400 West Paul ID 83347 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 1345 E. Philadelphia St, Ste 100 Pomona CA 91766 Yes Pomona Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 876 Seaport Blvd. Redwood City CA 94063 Redwood City Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 1501 S. River Road West Sacramento CA 95691 Sacramento Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 3203 E. Main Spokane WA 98225 Spokane Terminal ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 2025 W. Hasleton Ave. Stockton CA 95203 Stockton ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- ISG Resources 4417 Sundance Road Edmonton Alberta, Canada T0E 0N0 Sundance ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 13 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- OWNED REAL DESCRIPTION ADDRESS CITY STATE ZIP PROPERTY ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Palestine Mail to: PO Box 2508 Palestine TX 75802 Yes Palestine Plant Ship to: 2500 W. Regan Palestine TX 75802 ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Best Masonry 5033 Callaghan Road San Antonio TX 78228 Yes Laboratory & Bagging Plant ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Best Masonry 16745 W. Hardy Road Houston TX 77060 (Retail Store) ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Best Masonry 5014 Callaghan Road San Antonio TX 78228 Yes (Retail Store) ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Best Masonry 14702 Jersey Shore Drive Houston TX 77047 Yes (Retail Store) ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Don's Building Supply Mail to: PO Box 224289 Dallas TX 75222 Yes (Retail Store & Bagging Ship to: 2327 Langford Street Dallas TX 75208 Plant) ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Don's Bldg Supply 300 N. Throckmorton #101 McKinney TX 75069 (Retail Store) ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Palestine 2202 Chalk Hill Road Dallas TX 75212 Dallas Plant ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- Best Masonry #3 3405 Martin Farm Rd. Bldg 200 Suwanee GA 30024 (Retail Store) ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- L.W. Osborne / 16005 Phoebe Avenue La Mirada CA 90638 Yes United Terrazzo Bagging Facility ----------------------------- ----------------------------------------------- --------------- --------------- ---------- ----------- 14
EXHIBIT B (See Section 4.10 of Security Agreement) INTELLECTUAL PROPERTY (1) Patents --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Sludge Stabilizing U.S.A. 5,040,900 08/20/91 Method & Apparatus --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Sludge Stabilizing U.S.A. 4,943,165 07/24/90 Method & Apparatus --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Mixer Apparatus and U.S.A. 5,094,541 03/10/92 Method of Blending Various Materials --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Artificial Reefs U.S.A. 5,199,377 04/06/93 Manufactured from Coal Combustion By-Products --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Method & Apparatus U.S.A. 5,299,692 04/05/94 for Reducing Carbon Content in Particulate Mixtures --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Asphaltic Roofing U.S.A. 5,391,417 02/21/95 Material with Class F Fly Ash Filler --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Apparatus for U.S.A. 5,433,520 07/18/95 Continuously Processing Particulate Cementitious Material & Fly Ash Solids, Etc. --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Use of Alumina Clay U.S.A. 5,693,137 01/16/96 with Cement Fly Ash Mixtures --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Method & Apparatus U.S.A. 5,513,755 05/07/96 for Reducing Carbon Content in Fly Ash --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Method of Making U.S.A. 5,565,239 10/15/96 Asphaltic Roofing Material Containing Class F Fly Ash --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Ultrasonic & U.S.A. 5,840,179 11/24/98 Conditioning & Wet Scrubbing of Fly Ash --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Ultrasonic U.S.A. 5,988,396 11/23/99 Conditioning & Wet Fly Ash --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 1 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Asphaltic Roofing Canada 2,068,362 05/11/92 05/31/94 Material and Method with Fly Ash Filler --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Use of Alumina Clay Australia 683,101 10/17/94 10/30/97 with Cement Fly Ash Mixtures --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Ultrasonic Mexico 9911702 12/14/99 Conditioning and Wet Scrubbing of Fly Ash --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Masonry, Mortar and U.S.A. 10/088,291 03/14/02 Stucco Cement Compositions --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Masonry, Mortar and Canada 2,385,606 9/21/00 Stucco Cement Compositions --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Fixation and Canada 2,071,139 06/12/92 Utilization of Ash Residue From the Incineration of Municipal Solid Waste --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Fixation and U.S.A. 5,196,620 3/23/93 Utilization of Ash Residue from the Incineration of Municipal Solid Waste --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Control of Ammonia Int"l PCT 03/07/01 Emission from US01/07207 Ammonia-Laden Fly Ash in Concrete --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Control of Ammonia U.S.A. 10/130333 09/23/02 Emission from Ammonia Laden Fly Ash in Concrete --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Control of Ammonia European 01916439.1 03/07/01 Emission from Ammonia Laden Fly Ash in Concrete --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Ultrasonic Canada 2,292,634 06/17/98 Conditioning and Wet Scrubbing of Fly Ash --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Fiber Reinforced U.S.A. 09/871,089 05/31/01 Aerated Cellular Concrete and Methods of Making Same --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 2 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Method for U.S.A. 10/228,008 8/26/02 Accelerating Setting of Cement and the Compositions Produced Therefrom --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Method for Delaying U.S.A. 10/228,009 08/24/01 the Set Time of Cement and the Compositions Produced Therefrom --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Reduction of Ammonia U.S.A. 60/375,550 04/24/02 in Flue Gas and Fly Ash --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- ISG Resources, Inc. Cementitious Mixtures U.S.A. 60/475,594 06/04/03 and Methods of Use Thereof --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Reclaiming and U.S.A. 5,453,103 09/26/95 Incorporated Utilizing Discarded and Newly formed Coke Breeze, Coal Fines, and Blast Furnace Revert Materials and Related Methods --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Reclaiming and U.S.A. 5,487,764 01/30/96 Incorporated Utilizing Discarded and Newly formed Coke Breeze, Coal Fines, and Blast Furnace Revert Materials and Related Methods --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Process for U.S.A. 5,589,118 12/31/96 Incorporated Recovering Iron from Iron-Containing Material --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Reclaiming and U.S.A. 5,599,361 02/04/97 Incorporated Utilizing Discarded and Newly formed Coke Breeze, Coal Fines, and Blast Furnace Revert Materials and Related Methods --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Process for U.S.A. 5,738,694 04/14/98 Incorporated Recovering Iron from Iron-Containing Material --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Blast Furnace Fuel U.S.A. 5,752,993 05/19/98 Incorporated From Reclaimed Carbonaceous Materials and Related Methods --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 3 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Process for Reduction U.S.A. 5,807,420 09/15/98 Incorporated of Iron with Solid Fuel Objects as Amended by Exam --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Process of Coal U.S.A. 5,238,629 08/24/93 Incorporated Agglomeration --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Headwaters Process for U.S.A. 5,922,261 07/13/99 Incorporated Recovering Iron From Iron-Rich Matl --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Method for the U.S.A. 5,190,668 03/02/93 Technologies, Inc. Removal of Volatile Organic Compounds from Water --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon One Step Carboxylic U.S.A. 5,210,319 03/11/93 Technologies, Inc. Acid Production Process --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Process for U.S.A. 5,389,691 02/14/95 Technologies, Inc. Co-Recycling Tires and Oil --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Process for U.S.A. 5,470,384 11/28/95 Technologies, Inc. Co-Recycling Tires and Oil --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Process for U.S.A. 5,735,948 04/07/98 Technologies, Inc. Co-Recycling Tires and Oil --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Supported Catalyst U.S.A. 5,851,948 12/22/98 Technologies, Inc. and Process for Catalytic Oxidation of Volatile Organic Compounds --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Dispersed U.S.A. 5,866,501 08/609759 02/23/96 02/02/99 Technologies, Inc. Anion-Modified Iron Oxide Catalysts for Hydroconversion Process --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Dispersed U.S.A. 5,871,638 08/742541 11/01/96 02/16/99 Technologies, Inc. Anion-Modified Phosphorus-Promoted Iron Oxide Catalysts --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Iron-Based Ionic U.S.A. 6,139,723 09/238310 01/28/99 10/31/00 Technologies, Inc. Liquid Catalyst for Hydroprocessing Carbonaceious Feeds --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalyst and Process U.S.A. 6,168,775 09/140265 08/26/98 01/02/01 Technologies, Inc. for Direct Catalytic Production of Hydrogen Peroxide --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 4 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalytic Multi-Stage U.S.A. 6,190,542 09/241505 02/01/99 02/20/01 Technologies, Inc. Hydrogenation of Hydrocarbon Feed Materials --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalytic U.S.A. 6,270,655 09/533300 03/22/00 08/07/01 Technologies, Inc. Hydroconversion of Chemically Digested Organic-Municipal Solid Waste Materials --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Skeletal Iron U.S.A. 6,265,451 09/399853 09/21/99 07/24/01 Technologies, Inc. Catalyst and Its Preparation for Fischer-Tropsch Synthesis Processes --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Skeletal Iron U.S.A. 6,277,895 09/399852 09/21/99 08/21/01 Technologies, Inc. Catalyst Having Improved Attrition Resistance and Product Selectivity in Slurry-Phase Synthesis Processes --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalytic Multi-Stage China 00130567.0 09/28/00 Technologies, Inc. Process for Hydroconversion and Refining Hydrocarbon Feeds --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon "Dispersed China 98122746.5 11/30/98 Technologies, Inc. Anion-Modified Phosphorus-Promoted Iron Oxide Catalysts" --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalytic oxidation U.S.A. 5,851,948 08/700201 08/20/96 12/22/98 Technologies, Inc. of volatile organic compounds --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Treating Municipal U.S.A. 6,000,639 09/099981 06/19/98 12/14/99 Technologies, Inc. Solid Waste for Producing Hydrocarbon Fuel Products --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon "Dispersed Hong Kong 00105424.5 08/30/00 Technologies, Inc. Anion-Modified Phosphorus-Promoted Iron Oxide Catalysts" --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Method for the Canada 2,120,364 09/29/92 Technologies, Inc. Removal of Volatile Organic Compounds from Water --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon One Step Carboxylic Canada 2,102,119 03/01/93 Technologies, Inc. Acid Production Process --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalyst and Process U.S.A. 10/038,120 11/09/01 Technologies, Inc. for Oxidative Removal of NOx from Combustion Gases --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 5 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalyst and Process U.S.A. Abandoned 09/225082 01/04/99 Technologies, Inc. for Oxidative Removal of NOx from Combustion Gases --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Regeneration of Used U.S.A. 09/745,510 12/22/00 Technologies, Inc. Supported Noble Metal Catalysts --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Separation of U.S.A. 6,476,086 09/825,802 04/04/01 11/05/02 Technologies, Inc. Fischer-Tropsch Catalyst from Liquid/Wax Products --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Process for Selective U.S.A. 6,500,968 09/733,154 12/08/00 12/31/02 Technologies, Inc. Oxidation of Organic Feed Stocks with Hydrogen Peroxide --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Integrated Process U.S.A. 6,532,661 09/996,920 11/30/01 03/18/03 Technologies, Inc. and Dual-Functional Catalyst for Olefin Epoxidation --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Stable Carbonous U.S.A. 10/014,955 12/11/01 Technologies, Inc. Catalyst Particles and Method for Making and Using Same --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalytic Direct U.S.A. 6,576,214 09/867,190 05/29/01 06/10/03 Technologies, Inc. Production of Hydrogen Peroxide from Hydrogen and Oxygen Feeds --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Integrated Hydrogen U.S.A. 6,500,969 10/014,068 12/11/01 12/31/02 Technologies, Inc. Peroxide Production and Organic Chemical Oxidation --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalytic U.S.A. Abandoned 09/099982 06/19/98 Technologies, Inc. Hydrogenation of Digested Municipal Solid Waste Material --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalyst Particles U.S.A. 02/32622 10/11/02 Technologies, Inc. with Controlled Coordination Number - PCT --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Promoted Skeletal U.S.A. 10/107,915 03/27/02 Technologies, Inc. Iron Catalyst for Slurry-Phase Fischer-Tropsch Synthesis --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Supported Noble Metal U.S.A. 10/066,289 01/31/02 Technologies, Inc. Catalyst Particles Containing Controlled (111) Crystal Face Exposure --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 6 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Method for the U.S.A. Abandoned 60/387,751 Provisional Technologies, Inc. Production of appl. Percarboxylic Acids Filed 06/11/02 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Integrated Process U.S.A. 6,586,480 10/212,534 08/01/02 07/01/03 Technologies, Inc. for the Production of Hydrocarbon Liquids and Ammonia --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalyst Particles U.S.A. Abandoned 10/205,881 07/26/02 Technologies, Inc. With Controlled Coordination Number --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Supported solid U.S.A. Possibly 08/559,819 11/17/95 Technologies, Inc. superacid catalysts Abandoned and method for making --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Regeneration of spent U.S.A. 10/326,042 12/20/02 Technologies, Inc. supported metal catalysts --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Olefin Epoxidation Not PCT/US02/29644 09/19/02 Technologies, Inc. with Dual Functional assigned yet Catalyst -PCT --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Organic chemical Not PCT/US02/32623 10/11/02 Technologies, Inc. oxidation during assigned yet Hydroperoxide production-PCT --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalytic direct U.S.A. 10/431,693 05/07/03 Technologies, Inc. production of hydrogen peroxide from hydrogen and oxygen fees --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalysts having Not PCT/US02/32326 10/09/02 Technologies, Inc. controlled (111) assigned yet crystal face exposure-PCT --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Hydrogen peroxide U.S.A. Possibly 10/357573 02/05/03 Technologies, Inc. production using Abandoned catalyst particles with controlled surface coordination --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Apparatus for U.S.A. 02/36509 11/13/02 Technologies, Inc. Hydrocracking and/or Hydrogmating Fossil Fuels - PCT --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Slurry-phase skeletal U.S.A. 10/267,236 10/08/02 Technologies, Inc. Iron catalyst process for synthesis gas conversion to hydrocarbon --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 7 --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Grantor Patent Country Patent No. Applic. No. Filing Date Issue Date Titles --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Catalyst Particles Not PCT/US03/09052 03/25/03 Technologies, Inc. with controlled assigned yet Surface Coordination Number-PCT --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Apparatus for U.S.A. 10/225,937 08/22/02 Technologies, Inc. Hydrocracking and/or Hydrogenating Fossil Fuels --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Direct hydrogen U.S.A. 10/401,351 03/28/03 Technologies, Inc. peroxide production using staged hydrogen addition --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Improved Direct U.S.A. 60/491,202 07/29/03 Technologies, Inc. Hydrogen Peroxide Production Process-Provisional --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Additive for Direct U.S.A. 60/491,144 07/29/03 Technologies, Inc. Catalytic Hydrogen Peroxide Production-Provisional --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Intermediate U.S.A. 10/618,909 07/14/03 Technologies, Inc. precursor compositions used to make supported catalysts having a controlled coordination structure and methods for preparing such compositions --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Supported Catalysts U.S.A. 10/618,808 07/14/03 Technologies, Inc. having a Controlled Coordination Structure and Methods for preparing Such Catalysts (CIP) --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Supported Noble Metal U.S.A. 60/491,203 07/29/03 Technologies, Inc. Catalyst and Method for making It - Provisional --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Supported Noble Metal U.S.A. 60/491,146 07/29/03 Technologies, Inc. Catalyst and Method for making It - Provisional --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- Hydrocarbon Hydrogen peroxide U.S.A. 03/13907 05/06/03 Technologies, Inc. production using staged hydrogen addition - PCT --------------------- ----------------------- ------------- -------------- -------------- ------------ ----------------- 8 (2) Trademarks ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Grantor Domain Name/Mark Country Reg. No. Applic. No. Filing Issue Date Date ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. ASM U.S.A. 76/523,926 06/19/03 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Enviropost U.S.A. 76/489,194 02/10/03 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Pozzolanic & Design U.S.A. 1,152,421 04/28/81 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Pozzalime U.S.A. 1,395,433 06/03/86 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Gypcem U.S.A. 1,402,656 07/22/86 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Flexcrete U.S.A. 1,448,523 07/21/87 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Peanut Maker U.S.A. 1,454,791 09/01/87 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Powerlite U.S.A. 1,601,725 06/19/90 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Alsil U.S.A. 1,744,157 01/05/93 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Orbaloid U.S.A. 1,248,044 08/16/83 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Pozicon U.S.A. 1,010,455 05/13/75 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Power Wall U.S.A. 1,264,266 01/17/84 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Alka Phix U.S.A. 2,039,031 02/18/97 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Alka Phix Design U.S.A. 2,341,611 04/11/00 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Flo Fil U.S.A. 1,911,817 08/15/95 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Magna Wall U.S.A. 2,160,040 05/26/98 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. C-Stone U.S.A. 2,004,062 10/01/96 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Swiftcrete U.S.A. Common Law ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Flexcrete U.S.A. Common Law ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Sta-Blend Canada 1,049,269 03/03/00 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Flexcrete Canada 1,111,764 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- ISG Resources, Inc. Trowel Master U.S.A. 1,879,441 02/21/95 (trademark licensed from Polymerica, Inc.) ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Headwaters Incorporated Covol U.S.A. 2,038,742 02/18/97 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Headwaters Incorporated Headwaters U.S.A. 78/018,501 07/26/00 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Headwaters Incorporated Adding Value to U.S.A. 78195484 12/17/02 Energy ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Hydrocarbon HTI U.S.A. 2,162,357 06/02/98 Technologies, Inc. ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Hydrocarbon Gel Cat U.S.A. 2,460,753 06/19/01 Technologies, Inc. ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Hydrocarbon Carborex U.S.A. 78/118,491 03/29/02 Technologies, Inc. ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Hydrocarbon NxCat U.S.A. 78253674 5/23/03 Technologies, Inc. ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Hydrocarbon NxCat Next U.S.A. 78253676 5/23/03 Technologies, Inc. Generation Nanocatalyst Technology ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- 9 ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Grantor Domain Name/Mark Country Reg. No. Applic. No. Filing Issue Date Date ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Hydrocarbon Nanokinetx U.S.A. 78223846 3/10/03 Technologies, Inc. ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- Hydrocarbon Think Small...NxCat U.S.A. 78253673 5/23/03 Technologies, Inc. ------------------------- ---------------------- ------------- -------------- -------------- ----------- --------------- 10
EXHIBIT C (See Section 3.7 of Security Agreement) (1) Financing Statement Locations ------------------------------------------------------------ --------------------------------------------------------- Debtor Office ------------------------------------------------------------ --------------------------------------------------------- 1. Headwaters Incorporated Office of the Secretary of State, Delaware ------------------------------------------------------------ --------------------------------------------------------- 2. ACM Georgia, Inc. Office of the Fulton County Recorder, Georgia ------------------------------------------------------------ --------------------------------------------------------- 3. American Construction Materials, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 4. Best Masonry & Tool Supply, Inc. Office of the Secretary of State, Texas ------------------------------------------------------------ --------------------------------------------------------- 5. Covol Services Corporation Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 6. Don's Building Supply, L.P. Office of the Secretary of State, Texas ------------------------------------------------------------ --------------------------------------------------------- 7. Global Climate Reserve Corporation Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 8. Headwaters Clean Coal Corp. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 9. Headwaters Heavy Oil, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 10. Headwaters NanoKinetix, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 11. Headwaters Olysub Corporation Office of the Secretary of State, Delaware ------------------------------------------------------------ --------------------------------------------------------- 12. Headwaters Technology Innovation Group, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 13. HTI Chemical Subsidiary, Inc. New Jersey Division of Revenue, New Jersey ------------------------------------------------------------ --------------------------------------------------------- 14. Hydrocarbon Technologies, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 15. ISG Liberty, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 11 ------------------------------------------------------------ --------------------------------------------------------- Debtor Office ------------------------------------------------------------ --------------------------------------------------------- 16. ISG Manufactured Products, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 17. ISG Partner, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 18. ISG Resources, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 19. ISG Services Corporation Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 20. ISG Swift Crete, Inc. Division of Corporation and Commercial Code, Utah ------------------------------------------------------------ --------------------------------------------------------- 21. Lewis W. Osborne, Inc. Office of the Secretary of State, California ------------------------------------------------------------ --------------------------------------------------------- 22. Magna Wall, Inc. Office of the Secretary of State, Texas ------------------------------------------------------------ --------------------------------------------------------- 23. Palestine Concrete Tile Company, L.P. Office of the Secretary of State, Texas ------------------------------------------------------------ --------------------------------------------------------- 24. United Terrazzo Supply Co., Inc. Office of the Secretary of State, California ------------------------------------------------------------ --------------------------------------------------------- (2) Federal Employer Identification Numbers / State Organization Number Company State Corporate ID Tax ID ------- ----- ------------ ------ Headwaters Incorporated Delaware 2531663 87-0547337 ACM Georgia, Inc. Georgia 0363916 Applied for American Construction Materials, Inc. Utah 5367873-0142 75-3130509 Best Masonry & Tool Supply, Inc. Texas 54460700 74-2142761 Covol Services Corporation Utah 5401835-0142 56-2400946 Don's Building Supply, L.P. Texas 14415410 75-1789595 Global Climate Reserve Corporation Utah 5265829-0142 84-1617589 12 Company State Corporate ID Tax ID ------- ----- ------------ ------ Headwaters Clean Coal Corp. Utah 5325935-0142 83-0380929 Headwaters Heavy Oil, Inc. Utah 5569828-0142 Applied for Headwaters NanoKinetix, Inc. Utah 5277629-0142 86-1065711 Headwaters Olysub Corporation dba Industrial Services Group Delaware 3542273 71-0920439 Headwaters Technology Innovation Group, Inc. Utah 5325944-0142 87-0707919 HTI Chemical Subsidiary, Inc. fka Chemsampco, Inc. New Jersey 0100736883 22-3569571 Hydrocarbon Technologies, Inc. Utah 5400443-0142 22-3343362 ISG Liberty, Inc. Utah 5576278-0142 To be obtained ISG Manufactured Products, Inc. Utah 4727140-0142 87-0655090 ISG Partner, Inc. Utah 4837485-0142 87-0668125 ISG Resources, Inc. Utah 1417798-0142 87-0619597 ISG Services Corporation Utah 1428395-0142 87-0620660 ISG Swift Crete, Inc. Utah 4853210-0142 87-0668123 Lewis W. Osborne Inc. California C0133674 95-1070710 Magna Wall, Inc. Texas 117791800 74-2581126 Palestine Concrete Tile Company, L.P. Texas 800067381 75-1455662 United Terrazzo Supply Co., Inc. California C0434371 95-6051788 13
EXHIBIT D List of Pledged Securities (See Section 3.13 of Security Agreement) PLEDGED SECURITIES (1) Securities Accounts UBS One Commercial Place, 11th Floor Norfolk, VA 23510 ----------------- ---------------------------------- ------------------------- Account Description Approx. Current Value ----------------- ---------------------------------- ------------------------- VN23463 Government Securities, Mortgage Backed Securities $1,100,000 ----------------- ---------------------------------- ------------------------- VN23464 HDWTRS common stock $2,500,000 ----------------- ---------------------------------- ------------------------- VN24917 HDWTRS common stock $8,000,000 ----------------- ---------------------------------- ------------------------- VN25717 Foreign Equities $200,000 ----------------- ---------------------------------- ------------------------- VN25718 U.S. Equities $250,000 ----------------- ---------------------------------- ------------------------- VN28871 Money Market Funds, Government Securities, Mortgage Backed Securities $37,000,000 ----------------- ---------------------------------- ------------------------- (2) Stock in Subsidiaries
Percentage of its Name Class of Equity Interest Number of Shares Held Equity Interest Owned ---------------------------------- ----------------------------------- ------------------------- ------------------------- Headwaters Olysub Corporation Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- ISG Resources, Inc. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Best Masonry & Tool Supply Inc. Common Stock 1,000 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Lewis W. Osborne, Inc. Common Stock 12,296 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- United Terrazzo Supply Co., Inc. Common Stock 16 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Magna Wall, Inc. Common Stock 1,000 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- ISG Manufactured Products, Inc. Common Stock 1,000 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- ISG Services Corporation (f/k/a Common Stock 100 100 ISG Capital Corporation) ---------------------------------- ----------------------------------- ------------------------- ------------------------- ISG Partner, Inc. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- 14 Name Class of Equity Interest Number of Shares Held Equity Interest Owned ---------------------------------- ----------------------------------- ------------------------- ------------------------- ISG Swift Crete, Inc. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Don's Building Supply, L.P. Partnership Interest -- 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Palestine Concrete Tile Company, Partnership Interest -- 100 L.P. ---------------------------------- ----------------------------------- ------------------------- ------------------------- Flexcrete Building Systems, L.C. Units -- 90 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Headwaters Technology Innovation Common Stock 100 100 Group, Inc. ---------------------------------- ----------------------------------- ------------------------- ------------------------- Headwaters NanoKinetix, Inc. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Headwaters Clean Coal Corp. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- HTI Chemical Subsidiary, Inc. Common Stock 100 100 (f/k/a Chemsampco, Inc.) ---------------------------------- ----------------------------------- ------------------------- ------------------------- Hydrocarbon Technologies, Inc. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Covol Services Corporation Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Environmental Technologies Membership Interests -- 50 Group, LLC ---------------------------------- ----------------------------------- ------------------------- ------------------------- Global Climate Reserve Common Stock 100 100 Corporation ---------------------------------- ----------------------------------- ------------------------- ------------------------- ISG Liberty, Inc. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- American Construction Materials, Common Stock 100 100 Inc. ---------------------------------- ----------------------------------- ------------------------- ------------------------- ACM Georgia, Inc. Common Stock 100 100 ---------------------------------- ----------------------------------- ------------------------- ------------------------- Headwaters Heavy Oil, Inc. Common Stock 90 90 ---------------------------------- ----------------------------------- ------------------------- ------------------------- 15
EXHIBIT E (See Definition of "Commercial Tort Claims") COMMERCIAL TORT CLAIMS [Describe parties, case number (if applicable), nature of dispute] None to schedule. 16 ANNEX I to SUBSIDIARY SECURITY AGREEMENT Reference is hereby made to the Subsidiary Security Agreement (the "Agreement"), dated as of March 31, 2004, made by each of HEADWATERS INCORPORATED, a Delaware corporation (the "Borrower") and each of the subsidiaries of the Borrower party thereto (each an "Initial Grantor", and together with any additional Domestic Subsidiaries, including the undersigned, which become parties thereto by executing a Supplement in substantially the form hereof, the "Grantors"), in favor of the Administrative Agent. Capitalized terms used herein and not defined herein shall have the meanings given to them in the Agreement. By its execution below, the undersigned, [NAME OF NEW GRANTOR], a [__________________________] [corporation/limited liability company] agrees to become, and does hereby become, a Grantor under the Agreement and agrees to be bound by such Agreement as if originally a party thereto. By its execution below, the undersigned represents and warrants as to itself that all of the representations and warranties contained in the Agreement are true and correct in all respects as of the date hereof. [NAME OF NEW GRANTOR] represents and warrants that the supplements to the Exhibits to the Agreement attached hereto are true and correct in all respects and such supplements set forth all information required to be scheduled under the Agreement. [NAME OF NEW GRANTOR] shall take all steps necessary to perfect, in favor of the Administrative Agent, a first-priority security interest in and lien against [NAME OF NEW GRANTOR]'s Collateral, including, without limitation, delivering all certificated Securities to the Administrative Agent, and taking all steps necessary to properly perfect the Administrative Agent's interest in any uncertificated equity or membership interests. IN WITNESS WHEREOF, [NAME OF NEW GRANTOR], a [__________________] [corporation/limited liability company] has executed and delivered this Annex I counterpart to the Agreement as of this ___________ day of ____________, ____. [NAME OF NEW GRANTOR] By:____________________________ Title:_________________________ 1