|
Exhibit 10.8
AMENDMENT NO. 2
TO ASSET AND STOCK PURCHASE AGREEMENT
AMENDMENT NO. 2 (this " Amendment "), dated as of April
27, 2006 to the Asset and Stock Purchase Agreement, between Texas
Instruments Incorporated (" Seller ") and S&C Purchase
Corp., dated as of January 8, 2006 (as amended, the "
Agreement ").
W I T N E S S E T H :
WHEREAS, subject to the terms and conditions of
Section 13.04 of the Agreement, S&C Purchase Corp.
transferred and conveyed to Sensata Technologies B.V., formerly
known as Potazia Holding B.V. (" Buyer "), all of its right,
title, interest and obligations in, to or under the agreement (the
" Assignment ") effective as of February 8, 2006;
and
WHEREAS, the parties desire to amend the Agreement pursuant to
Section 13.02 to reflect the changes set forth herein.
NOW, THEREFORE, the parties hereto agree as follows:
Section 1 . Definitions. Each capitalized term used and
not otherwise defined herein shall have the meaning assigned to
such term in the Agreement.
Section 2 . Real Property Primarily Related to the
Business. The disclosure set forth in Sections 3.13(a) and
(b) of the Disclosure Schedule shall be deleted in its
entirety and shall be deemed replaced, as of the date of the
Agreement, with the disclosure set forth in Annex A hereto.
Section 3 . Disclosure Schedules . (a) Items 5, 8 and 9
in Section 10.02(b) of the Disclosure Schedule shall be
deleted and replaced with the word "[Reserved]". For the avoidance
of doubt, the amendment of Section 10.02(b) of the Disclosure
Schedule with respect to Items 8 and 9, as set forth in the
preceding sentence, shall not otherwise modify the rights and
obligations of Buyer and Seller with respect to such Purchased
Assets pursuant to the Agreement (including pursuant to Sections
2.07, 7.01, 7.02 and 11.02 thereof).
Section 4 . Transferred Indebtedness . The disclosure set
forth in Item 4 of Section 1.01(b) of the Disclosure
Schedule shall be deleted in its entirety and replaced with the
words: "Intercompany loans solely among Purchased Subsidiaries made
pursuant to, and in compliance with, Section 2.06(a)(i) of the
Agreement, including the entrusted loans between (i) Texas
Instruments (Changzhou) Co., Ltd. and Texas Instruments (China)
Company Limited and (ii) Texas Instruments (China) Company
Limited and S&C International Trading (Shanghai) Co., Ltd., in
each case to the extent entered into prior to the Closing in
accordance with that certain letter agreement
between Texas Instruments and Sensata Technologies B.V., formerly
known as Potazia Holding B.V., dated as of March 30, 2006 and
designated as Transferred Indebtedness therein".
Section 5 . Sample Working Capital Calculation . The
disclosure set forth in Section 2.10(a) of the Disclosure
Schedule shall be deleted in its entirety and replaced with the
disclosure set forth in Annex B hereto.
Section 6 . Assignment of Contracts. (a) Buyer and
Seller acknowledge and agree that Seller shall be deemed to have
satisfied its obligations pursuant to Sections 2.07, 7.01 and 7.02
of the Agreement with respect to Contracts listed in Annex C hereto
(the " Identified Contracts "); provided , that at
the request of Buyer, following the Closing, Seller and Buyer will
use their reasonable efforts (but without any payment of money by
Buyer) to obtain the Consent of the other parties to any such
Identified Contract or any claim or right or any benefit arising
thereunder for the assignment thereof to Buyer as Buyer may
reasonably request and the last three sentences of
Section 2.07 and Sections 7.01 and 7.02 of the Agreement shall
apply with respect to such Identified Contract.
(b) Buyer and Seller acknowledge and agree that the last
sentence in Section 3.15 of the Agreement shall not apply to
any Identified Contract unless and until (i) the counterparty
to such Identified Contract shall have asserted that Buyer is not
entitled to continue to receive the benefits of such Identified
Contact in the absence of such counterparty’s Consent, which
assertion shall not have been instigated, and shall not have arisen
out of any dispute initiated, by or on behalf of Buyer or any of
its Subsidaries (other than the Purchased Subsidiaries prior to
Closing), and (ii) Buyer shall have notified Seller of the
receipt of such assertion.
Section 7 . Employees. Buyer and Seller acknowledge and
agree that the following shall be deemed to be Excluded
Liabilities: (i) the profit sharing rights pursuant to
Applicable Law of Business Employees employed in jurisdictions
outside the United States and (ii) all other Liabilities and
commitments relating to current or former Business Employees that,
in the case of each of clauses (i) and (ii), (x) would
but for the operation of this Section 7 be Assumed
Liabilities, (y) are current liabilities of the Business as of
the Closing Date and (z) as a result of Applicable Law, cannot
be assumed by Buyer or any of its Affiliates at the Closing.
Section 8 . Closing . Section 2.09(c)(i) shall be
amended by inserting the words "(or to such Subsidiary of Seller as
Seller may prior to the Closing designate with respect to any
portion of the Purchase Price)" after the phrase "Buyer shall
deliver to Seller".
2
Section 9 . Intercompany Payables and
Receivables . (a) Section 5.07 of the Agreement shall
be deleted and replaced in its entirety with the
following:
"At or prior to the Closing, Seller shall, and shall cause its
Subsidiaries to, retain or eliminate all intercompany receivables
and payables of the Business, incurred in the ordinary course of
business; provided, however, that Seller shall not retain or
eliminate (or cause to be transferred to Seller or a Retained
Subsidiary in the Restructuring) the intercompany receivables and
intercompany payables outstanding as of the close of business on
the Business Day immediately prior to the Closing Date of each of
Texas Instrumentos Eletronicos do Brasil Limitada, Texas
Instruments (Changzhou) Co., Ltd., Texas Instruments (China)
Company Limited or S&C Korea, such intercompany receivables and
payables to be deemed, in each case, to be assets and liabilities,
respectively, primarily related to the Business. For the avoidance
of doubt, any Taxes of the Purchased Subsidiaries arising from such
elimination shall be treated as a Purchased Subsidiary Liability
for purposes of this Agreement."
(b) Item 7 in Section 2.03(e) of the Disclosure
Schedule shall be deleted and shall be replaced in its entirety
with the following, "7. All intercompany payables and receivables
(i) between the Business and any Retained Business or
(ii) within the Business, in each case, other than the
intercompany receivables of and payables of Texas Instrumentos
Eletronicos do Brasil Limitada, Texas Instruments (Changzhou) Co.
Ltd, Texas Instruments (China) Company Limited and S&C
Korea."
(c) Item 6 in Section 2.06(a)(i) of the Disclosure
Schedule shall be deleted and shall be replaced in its entirety
with the following, "6. All intercompany receivables of any
Purchased Subsidiary other than those intercompany receivables
outstanding as of the Closing Date of Texas Instrumentos
Eletronicos do Brasil Limitada, Texas Instruments (Changzhou) Co.,
Ltd. and Texas Instruments (China) Company Limited."
(d) Item 2 in Section 2.06(a)(ii) of the Disclosure
Schedule shall be deleted and shall be replaced in its entirety
with the following, "2. All intercompany payables of any Purchased
Subsidiary other than those intercompany payables outstanding as of
the Closing Date of Texas Instrumentos Eletronicos do Brasil
Limitada, Texas Instruments (Changzhou) Co., Ltd. or Texas
Instruments (China) Company Limited."
(e) Buyer and Seller acknowledge and agree that the intercompany
receivables and intercompany payables of Texas Instrumentos
Eletronicos do Brasil Limitada outstanding as of the close of
business on the date immediately preceding the Closing Date, shall
be treated as accounts receivable and accounts payable, as
applicable, for purposes of Closing Working Capital.
3
Section 10 . Transfer Documents. The
parties acknowledge that they and certain of their Subsidiaries
have or will enter into various transfer agreements, deeds, bills
of sale, assignments and other instruments of conveyance and
assignment in connection with the consummation of the Closing in
various jurisdictions outside the United States (collectively, the
" Local Transfer Documents "). Buyer and Seller acknowledge
and agree that nothing contained in any Local Transfer Document
shall in any way supersede, modify, replace, amend, change,
rescind, expand, exceed, enlarge or in any way affect the
provisions, including the representations, warranties, covenants,
agreements, conditions, or in general, any rights, remedies, or
obligations of Seller or Buyer (or their respective Affiliates) set
forth in the Agreement. To the extent there are inconsistencies
between the provisions of a Local Transfer Agreement and the
provisions of the Agreement, the provisions of the Agreement shall
prevail.
Section 11 . Value Added Tax . Notwithstanding anything
to the contrary in Section 8.02(c) of the Agreement, Buyer and
Seller agree that any value added taxes incurred in connection with
the transactions contemplated by the Agreement shall be borne by
Buyer to the extent such value added taxes would not have been
incurred but for any restructuring or reorganization of the
Business in the Netherlands undertaken during the 180 days
following the Closing Date. For purposes of Section 8.02(c) of
the Agreement, the terms "Transfer Taxes" and "value added taxes"
shall include any interest and penalties imposed with respect to
any Transfer Taxes or value added taxes covered by such
section.
Section 12 . Binding Effect. Except to the extent
expressly provided herein, the Agreement shall remain in full force
and effect in accordance with its terms. This Amendment shall be
governed by and construed as one with the Agreement, and the
Agreement shall, where the context requires, be read and construed
so as to incorporate this Amendment.
Section 13 . Captions. The captions herein are included
for convenience of reference only and shall be ignored in the
construction or interpretation hereof.
Section 14 . Agreement as Amended. From and after the
effective date hereof, each reference to "hereof", "hereunder",
"herein" and "hereby" and each other similar reference and each
reference to "this Agreement" and each other similar reference
contained in the Agreement shall refer to the agreement as amended
hereby.
Section 15 . Governing Law . This Amendment shall be
governed by and construed in accordance with the law of the State
of New York, without regard to the conflicts of law rules of such
state.
4
Section 16 . Counterparts; Effectiveness; No
Third Party Beneficiaries . This Amendment may be signed in any
number of counterparts, each of which shall be an original, with
the same effect as if the signatures thereto and hereto were upon
the same instrument. This Amendment shall become effective when
each party hereto shall have received a counterpart hereof signed
by the other party hereto. Until and unless each party has received
a counterpart hereof signed by the other party hereto, this
Amendment shall have no effect and no party shall have any right or
obligation hereunder (whether by virtue of any other oral or
written agreement or other communication). Except as set forth in
Section 11.02 of the Agreement, no provision of this Amendment
is intended to confer any rights, benefits, remedies or Liabilities
hereunder upon any Person other than the parties hereto and their
respective successors and assigns.
[The remainder of this page has been
intentionally left blank; the next page is the signature
page.]
5
IN WITNESS WHEREOF, the parties hereto have
caused this Amendment to be duly executed by their respective
authorized officers as of the day and year first above
written.
| |
|
|
|
TEXAS INSTRUMENTS INCORPORATED
|
|
|
|
By:
|
|
/s/ Joseph F. Hubach
|
|
Name:
|
|
Joseph F. Hubach
|
|
Title:
|
|
Senior Vice President, Secretary and General
Counsel
|
| |
|
|
|
SENSATA TECHNOLOGIES B.V.
|
|
|
|
By:
|
|
/s/ Ian Blasco
|
|
Name:
|
|
Ian Blasco
|
|
Title:
|
|
Authorized Signatory
|
Exhibit A
Real Property Primarily Related to the
Business
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
Location
|
|
Address
|
|
Owned/
Leased
|
|
Approx. Size
|
|
Major Use
|
|
1.
|
|
Aguascalientes, Mexico
|
|
Av. Aguascalientes Sur No.
401, Ex Ejido Salto de
Ojocaliente, C.P. 20270
|
|
Owned
|
|
116 acres/
334K GSF
(used or held
for use)
|
|
Manufacturing
|
|
|
|
|
|
|
|
2.
|
|
Aguascalientes, Mexico
|
|
Julio Diaz Torres No. 21,
Aguascalientes, Mexico
|
|
Leased
|
|
41K GSF
|
|
Warehouse
|
|
|
|
|
|
|
|
3.
|
|
Aguascalientes, Mexico
|
|
Roberto Díaz Not. 303,
Industrial City,
Aguascalientes, Ags. C.P. ,
Mexico 20290
|
|
Leased
|
|
54K GSF
|
|
Manufacturing/ Warehouse
|
|
|
|
|