Common use of USE OF PLEDGED COLLATERAL Clause in Contracts

USE OF PLEDGED COLLATERAL. Delivery of Certificated Securities Collateral 11 SECTION 3.2. Perfection of Uncertificated Securities Collateral 11 SECTION 3.3. [Reserved] 12 SECTION 3.4. Other Actions 12 SECTION 3.5. Joinder of Additional Guarantors; Release of Guarantors 13 SECTION 3.6. Supplements; Further Assurances 13 SECTION 4.1. Title 14 SECTION 4.2. Validity of Security Interest 14 SECTION 4.3. Defense of Claims; Transferability of Pledged Collateral 14 SECTION 4.4. Other Financing Statements 15 SECTION 4.5. Location of Inventory and Equipment 15 SECTION 4.6. Due Authorization and Issuance 15 SECTION 4.7. Consents, etc 15 SECTION 4.8. Pledged Collateral 15 SECTION 4.9. Insurance 16 SECTION 4.10. Chief Executive Office; Change of Name; Jurisdiction of Organization 16 SECTION 5.1. Pledge of Additional Securities Collateral 16 SECTION 5.2. Voting Rights; Distributions; etc 17 SECTION 5.3. Defaults, etc 18 SECTION 5.4. Certain Agreements of Pledgors As Issuers and Holders of Equity Interests 18 SECTION 6.1. Grant of Intellectual Property License 19 SECTION 6.2. Protection of Administrative Agent’s Security 19 SECTION 6.3. After-Acquired Intellectual Property Collateral 20 SECTION 6.4. Litigation 20 SECTION 7.1. Maintenance of Records 21 SECTION 7.2. Legend 21 SECTION 7.3. Modification of Terms, etc 21 SECTION 7.4. Collection 21 SECTION 8.1. Transfers of Pledged Collateral 22 SECTION 9.1. Remedies 22 SECTION 9.2. Notice of Sale 24 SECTION 9.3. Waiver of Notice and Claims 24 SECTION 9.4. Certain Sales of Pledged Collateral 24 SECTION 9.5. No Waiver; Cumulative Remedies 26 SECTION 9.6. Certain Additional Actions Regarding Intellectual Property 26 SECTION 10.1. Application of Proceeds 27

USE OF PLEDGED COLLATERAL. Delivery of Certificated Securities Collateral 11 14 SECTION 3.2. Perfection of Uncertificated Securities Collateral 11 15 SECTION 3.3. [Reserved] 12 Financing Statements and Other Filings; Maintenance of Perfected Security Interest 15 SECTION 3.4. Other Actions 12 16 SECTION 3.5. Joinder of Additional Guarantors; Release of Subsidiary Guarantors 13 21 SECTION 3.6. Supplements; Further Assurances 13 21 SECTION 4.1. Title 14 22 SECTION 4.2. Validity of Security Interest 14 22 SECTION 4.3. Defense of Claims; Transferability of Pledged Collateral 14 23 SECTION 4.4. Other Financing Statements 15 23 SECTION 4.5. Location of Inventory and Equipment 15 SECTION 4.6. Due Authorization and Issuance 15 SECTION 4.7. Consents, etc 15 SECTION 4.8. Pledged Collateral 15 SECTION 4.9. Insurance 16 SECTION 4.10. Chief Executive Office; Change of Name; Jurisdiction of Organization 16 23 SECTION 4.6. Location of Inventory and Equipment 23 SECTION 4.7. Due Authorization and Issuance 24 SECTION 4.8. Consents, etc. 24 SECTION 4.9. Pledged Collateral 24 SECTION 4.10. [Reserved] 24 SECTION 4.11. Payment of Taxes; Compliance with Laws; Contesting Liens; Claims 24 SECTION 4.12. Access to Pledged Collateral, Books and Records; Other Information 25 SECTION 5.1. Pledge of Additional Securities Collateral 16 25 SECTION 5.2. Voting Rights; Distributions; etc 17 etc. 25 SECTION 5.3. Defaults, etc 18 [Reserved] 26 SECTION 5.4. Certain Agreements of Pledgors As as Issuers and Holders of Equity Interests 18 27 SECTION 6.1. Grant of Intellectual Property License 19 27 SECTION 6.2. Protection of Administrative Agent’s Security 19 27 SECTION 6.3. After-Acquired Intellectual Property Collateral 20 28 SECTION 6.4. Litigation 20 29 SECTION 7.1. Maintenance of Records 21 30 SECTION 7.2. Legend 21 30 SECTION 7.3. Modification of Terms, etc 21 etc. 30 SECTION 7.4. Collection 21 30 SECTION 8.1. Transfers of Pledged Collateral 22 31 SECTION 9.1. Remedies 22 31 SECTION 9.2. Notice of Sale 24 33 SECTION 9.3. Waiver of Notice and Claims 24 33 SECTION 9.4. Certain Sales of Pledged Collateral 24 34 SECTION 9.5. No Waiver; Cumulative Remedies 26 35 SECTION 9.6. Certain Additional Actions Regarding Intellectual Property 26 35 SECTION 10.1. Proceeds of Casualty Events and Collateral Dispositions 36 SECTION 10.2. Application of Proceeds 2736

USE OF PLEDGED COLLATERAL. Delivery of Certificated Securities Collateral 11 10 SECTION 3.2. 3.2 Perfection of Uncertificated Securities Collateral 11 SECTION 3.3. [Reserved] 12 3.3 Financing Statements and Other Filings; Maintenance of Perfected Security Interest 11 SECTION 3.4. 3.4 Other Actions 12 11 SECTION 3.5. 3.5 Joinder of Additional Guarantors; Release of Guarantors 13 14 SECTION 3.6. 3.6 Supplements; Further Assurances 13 SECTION 4.1. Title 14 SECTION 4.2. 4.1 Title 15 SECTION 4.2 Validity of Security Interest 14 15 SECTION 4.3. 4.3 Defense of Claims; Transferability of Pledged Collateral 14 15 SECTION 4.4. 4.4 Other Financing Statements 15 SECTION 4.5. Location of Inventory and Equipment 15 4.5 Pledged Securities 16 SECTION 4.6. 4.6 Due Authorization and Issuance 15 16 SECTION 4.7. 4.7 Consents, etc 15 etc. 16 SECTION 4.8. 4.8 Pledged Collateral 15 16 SECTION 4.9. 4.9 Insurance 16 SECTION 4.10. Chief Executive Office; Change of Name; Jurisdiction of Organization 16 SECTION 5.1. Pledge of Additional Securities 4.10 Post-Closing Collateral 16 SECTION 5.2. Voting Rights; Distributions; etc Matters 17 SECTION 5.3. Defaults, etc 18 SECTION 5.4. Certain Agreements of Pledgors As Issuers and Holders of Equity Interests 18 SECTION 6.1. Grant of Intellectual Property License 19 SECTION 6.2. Protection of Administrative Agent’s Security 19 SECTION 6.3. After-Acquired Intellectual Property Collateral 20 SECTION 6.4. Litigation 20 SECTION 7.1. Maintenance of Records 21 SECTION 7.2. Legend 21 SECTION 7.3. Modification of Terms, etc 21 SECTION 7.4. Collection 21 SECTION 8.1. Transfers of Pledged Collateral 22 SECTION 9.1. Remedies 22 SECTION 9.2. 4.11 Notice of Sale 24 Changes 17 SECTION 9.3. Waiver 4.12 No Impairment of Notice and Claims 24 the Security Interests 17 SECTION 9.4. Certain Sales of Pledged Collateral 24 4.13 Letter-of-Credit Rights 17 SECTION 9.5. No Waiver; Cumulative Remedies 26 SECTION 9.6. Certain Additional Actions Regarding Intellectual Property 26 SECTION 10.1. Application of Proceeds 274.14 ULC/Partnerships 17

USE OF PLEDGED COLLATERAL. Delivery of Certificated Securities Collateral 11 13 SECTION 3.2. Perfection of Uncertificated Securities Collateral 11 13 SECTION 3.3. [Reserved] 12 Financing Statements and Other Filings; Maintenance of Perfected Security Interest 14 SECTION 3.4. Other Actions 12 15 SECTION 3.5. Joinder of Additional Guarantors; Release of Guarantors 13 18 SECTION 3.6. Supplements; Further Assurances 13 19 SECTION 4.1. Title 14 19 SECTION 4.2. Validity of Security Interest 14 20 SECTION 4.3. Defense of Claims; /Transferability of Pledged Collateral 14 20 SECTION 4.4. Other Financing Statements 15 20 SECTION 4.5. Location of Inventory and Equipment 15 SECTION 4.6. Due Authorization and Issuance 15 SECTION 4.7. Consents, etc 15 SECTION 4.8. Pledged Collateral 15 SECTION 4.9. Insurance 16 SECTION 4.10. Chief Executive Office; Change of Name; Jurisdiction of Organization 16 20 SECTION 4.6. Location of Inventory and Equipment 21 SECTION 4.7. Corporate Names; Prior Transactions 22 SECTION 4.8. Due Authorization and Issuance 22 SECTION 4.9. No Conflicts, Consents, etc 22 SECTION 4.10. Pledged Collateral 22 SECTION 4.11. Insurance 22 SECTION 4.12. Payment of Taxes; Compliance with Laws; Contesting Liens; Claims 23 SECTION 5.1. Pledge of Additional Securities Collateral 16 23 SECTION 5.2. Voting Rights; Distributions; etc 17 etc. 23 SECTION 5.3. Operative Agreements 25 SECTION 5.4. Defaults, etc 18 25 SECTION 5.45.5. Certain Agreements of Pledgors As as Issuers and Holders of Equity Interests 18 25 SECTION 6.1. Grant of Intellectual Property License 19 25 SECTION 6.2. Protection of Administrative Agent’s Security 19 26 SECTION 6.3. After-Acquired Intellectual Property Collateral 20 27 SECTION 6.4. Modifications 27 SECTION 6.5. Litigation 20 27 SECTION 7.1. Maintenance of Records 21 28 SECTION 7.2. Legend 21 28 SECTION 7.3. Modification of Terms, etc 21 28 SECTION 7.4. Collection 21 28 SECTION 8.1. Transfers of Pledged Collateral 22 29 SECTION 9.1. Remedies 22 29 SECTION 9.2. Notice of Sale 24 31 SECTION 9.3. Waiver of Notice and Claims 24 31 SECTION 9.4. Certain Sales of Pledged Collateral 24 31 SECTION 9.5. No Waiver; Cumulative Remedies 26 32 SECTION 9.6. Certain Additional Actions Regarding Intellectual Property 26 33 SECTION 10.1. Collateral Account 33 SECTION 10.2. Proceeds of Casualty Events and Collateral Dispositions 34 SECTION 10.3. Application of Proceeds 2734 SECTION 11.1. Concerning Administrative Agent 34 SECTION 11.2. Administrative Agent May Perform; Administrative Agent Appointed Attorney-in-Fact 35 SECTION 11.3. Continuing Security Interest; Assignment 36 SECTION 11.4. Termination; Release 36 SECTION 11.5. Modification in Writing 37 SECTION 11.6. Notices 37 SECTION 11.7. GOVERNING LAW 37 SECTION 11.8. CONSENT TO JURISDICTION AND SERVICE OF PROCESS; WAIVER OF JURY TRIAL 37 SECTION 11.9. Severability of Provisions 38 SECTION 11.10. Execution in Counterparts 38 SECTION 11.11. Business Days 38 SECTION 11.12. Waiver of Stay 38 SECTION 11.13. No Credit for Payment of Taxes or Imposition 38 SECTION 11.14. No Claims Against Administrative Agent 38 SECTION 11.15. No Release 39 SECTION 11.16. Obligations Absolute 39 SIGNATURES SCHEDULE 3.4 Locations for Landlord Lien Waivers/Bailee Letters SCHEDULE 4.9 Required Consents EXHIBIT 1 Form of Issuer’s Acknowledgment EXHIBIT 2 Form of Securities Pledge Amendment EXHIBIT 3 Form of Joinder Agreement EXHIBIT 4 Form of Control Agreement Concerning Securities Accounts EXHIBIT 5 Form of Control Agreement Concerning Deposit Accounts EXHIBIT 6 Form of Copyright Security Agreement EXHIBIT 7 Form of Patent Security Agreement EXHIBIT 8 Form of Trademark Security Agreement U.S. SECURITY AGREEMENT dated as of December 18, 2003 (as amended, amended and restated, supplemented or otherwise modified from time to time in accordance with the provisions hereof, this “Agreement”) made by BRP (USA) Inc., a corporation existing under the laws of Delaware (the “U.S. Revolving Borrower”), BRP Holding LP, a limited partnership formed under the laws of Delaware (the “U.S. Term Borrower” and, together with the U.S. Revolving Borrower, the “U.S. Borrowers”), and THE GUARANTORS LISTED ON THE SIGNATURE PAGES HERETO (the “Original Guarantors”) OR FROM TIME TO TIME PARTY HERETO BY EXECUTION OF A JOINDER AGREEMENT (the “Additional Guarantors” and, together with the Original Guarantors, the “U.S. Guarantors”), as pledgors, assignors and debtors (the U.S. Borrowers, together with the U.S. Guarantors, in such capacities and together with any successors in such capacities, the “Pledgors” and each, a “Pledgor”), in favor of the BANK OF MONTREAL, in its capacity as Administrative Agent pursuant to the Credit Agreement (as hereinafter defined), as pledgee, assignee and secured party (in such capacities and together with any successors in such capacities, the “Administrative Agent”).

USE OF PLEDGED COLLATERAL. Delivery of Certificated Securities Collateral 11 15 SECTION 3.2. Perfection of Uncertificated Securities Collateral 11 15 SECTION 3.3. [Reserved] 12 Financing Statements and Other Filings; Maintenance of Perfected Security Interest 16 SECTION 3.4. Other Actions 12 16 SECTION 3.5. Joinder of Additional Guarantors; Release of Subsidiary Guarantors 13 21 SECTION 3.6. Supplements; Further Assurances 13 21 SECTION 4.1. Title 14 22 SECTION 4.2. Validity of Security Interest 14 22 SECTION 4.3. Defense of Claims; Transferability of Pledged Collateral 14 23 SECTION 4.4. Other Financing Statements 15 23 SECTION 4.5. Location of Inventory and Equipment 15 SECTION 4.6. Due Authorization and Issuance 15 SECTION 4.7. Consents, etc 15 SECTION 4.8. Pledged Collateral 15 SECTION 4.9. Insurance 16 SECTION 4.10. Chief Executive Office; Change of Name; Jurisdiction of Organization 16 23 SECTION 4.6. Location of Inventory and Equipment. 23 SECTION 4.7. Due Authorization and Issuance 24 SECTION 4.8. Consents, etc. 24 SECTION 4.9. Pledged Collateral 24 SECTION 4.10. [Reserved] 24 SECTION 4.11. Payment of Taxes; Compliance with Laws; Contesting Liens; Claims 24 SECTION 4.12. Access to Pledged Collateral, Books and Records; Other Information 25 SECTION 5.1. Pledge of Additional Securities Collateral 16 25 SECTION 5.2. Voting Rights; Distributions; etc 17 etc. 25 SECTION 5.3. Defaults, etc 18 [Reserved] 26 SECTION 5.4. Certain Agreements of Pledgors As as Issuers and Holders of Equity Interests 18 27 SECTION 6.1. Grant of Intellectual Property License 19 27 SECTION 6.2. Protection of Administrative Agent’s Security 19 27 SECTION 6.3. After-Acquired Intellectual Property Collateral 20 28 SECTION 6.4. Litigation 20 29 SECTION 7.1. Maintenance of Records 21 30 SECTION 7.2. Legend 21 30 SECTION 7.3. Modification of Terms, etc 21 30 SECTION 7.4. Collection 21 30 SECTION 8.1. Transfers of Pledged Collateral 22 31 SECTION 9.1. Remedies 22 31 SECTION 9.2. Notice of Sale 24 33 SECTION 9.3. Waiver of Notice and Claims 24 33 SECTION 9.4. Certain Sales of Pledged Collateral 24 34 SECTION 9.5. No Waiver; Cumulative Remedies 26 35 SECTION 9.6. Certain Additional Actions Regarding Intellectual Property 26 35 SECTION 10.1. Proceeds of Casualty Events and Collateral Dispositions 36 SECTION 10.2. Application of Proceeds 2736