Exhibit 10.4
SIXTH AMENDMENT TO CREDIT AGREEMENT AND CONSENT
This SIXTH AMENDMENT TO CREDIT
AGREEMENT AND CONSENT (this “ Amendment ”) dated
as of October 13, 2006, by and among AGCO CORPORATION ,
a Delaware corporation (“ AGCO ”), AGCO
CANADA, LTD. , a Saskatchewan corporation (“ Canadian
Subsidiary ”), AGCO LIMITED , an English
corporation (“ English Subsidiary One ”),
AGCO INTERNATIONAL LIMITED , an English corporation (“
English Subsidiary Two ”), AGCO HOLDING B.V. ,
a Netherlands corporation (“ Netherlands Subsidiary
”), AGCO DEUTSCHLAND HOLDING LIMITED & CO. KG , a
German limited partnership (“ German Subsidiary
”), and VALTRA HOLDING OY , a Finnish limited
liability company (“ Finnish Subsidiary ”; AGCO,
Canadian Subsidiary, English Subsidiary One, English Subsidiary
Two, Netherlands Subsidiary, German Subsidiary and Finnish
Subsidiary are referred to herein collectively as the “
Borrowers ” and individually as a “
Borrower ”); the lenders (the “ Lenders
”) signatory hereto; COÖPERATIEVE CENTRALE
RAIFFEISEN-BOERENLEENBANK B.A., “RABOBANK NEDERLAND”,
CANADIAN BRANCH , as Canadian administrative agent for the
Canadian Lenders (together with any successor, in such capacity,
the “ Canadian Administrative Agent ”); and
COÖPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.,
“RABOBANK NEDERLAND”, NEW YORK BRANCH , as
administrative agent for the Lenders (together with any successor,
in such capacity, the “ Administrative Agent
”).
W
I T N E S S E T H:
WHEREAS, the Borrowers, the
Administrative Agent, the Canadian Administrative Agent, the
Lenders, the Issuing Banks (as defined in the Credit Agreement),
SunTrust Bank and Morgan Stanley Senior Funding, Inc., as
Co-Syndication Agents, and CoBank, ACB and The Bank of
Tokyo-Mitsubishi, Ltd., NY Branch, as Co-Documentation Agents, are
parties to that certain Credit Agreement dated as of
December 22, 2003 (as amended by that certain First Amendment
to Credit Agreement and Consent dated as of April 12, 2004, as
further amended by that certain Second Amendment to Credit
Agreement dated as of August 17, 2004, as further amended by
that certain Third Amendment to Credit Agreement dated as of
March 21, 2005, as further amended by that certain Fourth
Amendment to Credit Agreement and Consent dated as of June 2,
2005, as further amended by that certain Fifth Amendment to Credit
Agreement dated as of March 22, 2006 and as further amended,
restated, supplemented or modified from time to time, the “
Credit Agreement ”); and
WHEREAS, the Borrowers have requested
that certain terms and conditions of the Credit Agreement be
amended, and the Lenders signatory hereto, the Canadian
Administrative Agent and the Administrative Agent have agreed to
the requested amendments on the terms and conditions set forth
herein; and
WHEREAS, the Borrowers intend to
refinance the outstanding obligations under the European
Securitization with the proceeds of a new securitization facility
(the “ New European Securitization Facility ”)
consummated pursuant to the term and conditions hereof; and
WHEREAS, in connection with such
refinancing, the receivables subject to the new securitization
facility will be transferred to AGCO Receivables Limited, a
qualifying special purpose entity, which will be a wholly-owned
indirect Subsidiary of AGCO but which will not be a Restricted
Subsidiary under the Credit Agreement as its accounts will not be,
under GAAP, Consolidated with the accounts of AGCO; and
WHEREAS, to the extent required under
the Credit Agreement, the Borrowers have requested that the Agents
and the Lenders consent to the consummation of the transactions
contemplated in the New Securitization Facility, and the Lenders
signatory hereto and the Agents have consented to the transactions
contemplated in the New Securitization Facility on the terms and
conditions set forth herein;
NOW, THEREFORE, in consideration of
the premises and of the mutual covenants and agreements contained
herein, the parties hereto hereby agree that all capitalized terms
used but not defined herein shall have the meanings ascribed to
such terms in the Credit Agreement, and further agree as
follows:
Section 1. Amendments
to Section 1.1 . Section 1.1 of the Credit Agreement,
Certain Defined Terms, is hereby amended and modified by deleting
the definitions of European Securitization and European
Securitization Documents in their entirety and by substituting the
following in lieu thereof:
““
European Securitization ” means funding in connection
with sales by certain Foreign Subsidiaries of AGCO of wholesale
Receivables invoiced to third parties at addresses located in
Europe to special purpose entity, as more fully set forth in the
European Securitization Documents.”
““
European Securitization Documents ” means
(a) that certain Receivables Transfer Agreement among AGCO
Receivables Limited, French Subsidiary, English Subsidiary One and
Rabobank London dated October 13, 2006, (b) that certain
Receivables Transfer Agreement among AGCO Receivables Limited, AGCO
Iberia S.A., English Subsidiary One and Rabobank London dated
October 13, 2006, (c) that certain Receivables Transfer
Agreement among AGCO Receivables Limited, AGCO GMBH, English
Subsidiary One and Rabobank London dated October 13, 2006,
(d) that certain Receivables Funding Agreement among AGCO
Receivables Limited, Erasmus Capital Corporation and Rabobank
London dated October 13, 2006, (e) that certain
Subordinated Loan Agreement among AGCO Receivables Limited, AGCO
Services Limited, English Subsidiary One and Rabobank London dated
October 13, 2006, (f) that certain Parent Undertaking
Agreement among AGCO Receivables Limited, AGCO and
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Rabobank London
dated October 13, 2006, (g) the Repurchase and
Termination Agreement among Erasmus Capital Corporation, Rabobank
London, AGCO, AGCO Services Limited, English Subsidiary One, AGCO
Vertriebs GmbH, AGCO GmbH, AGCO S.A. and AGCO Iberia SA dated
October 13, 2006 and (h) all other agreements executed in
connection with the foregoing, as the same may be amended,
supplemented, modified or replaced from time to time with the
consent of the Administrative Agent.”
Section 2. Consent to
New European Securitization Facility . Notwithstanding the
limitations set forth in Sections 7.2 (Limitations on
Guaranties), 7.8 (Investments) and 7.11 (Affiliate Transactions) of
the Credit Agreement, the Agents and the Lenders hereby consent to
(i) the Investments made or to be made pursuant to (A) that
certain Subordinated Loan Agreement, dated October 13, 2006,
among AGCO Receivables Limited, AGCO Services Limited, English
Subsidiary One and Rabobank London, and (B) the other European
Securitization Documents (as such term has been amended herein);
(ii) the guaranties by AGCO of payment of fees,
indemnification obligations and performance obligations of AGCO
Receivables Limited pursuant to (A) that certain Parent
Undertaking Agreement, dated October 13, 2006, among AGCO
Receivables Limited, AGCO and Rabobank London, and (B) the
other European Securitization Documents (as such term has been
amended herein), and (iii) the transactions among AGCO Receivables
Limited, on the one hand, and the Borrowers and their Restricted
Subsidiaries, on the other hand, contemplated by the European
Securitization Documents, provided that (i) giving
effect to this Amendment, no Default or Event of Default shall have
occurred and be continuing at the time European Securitization
Documents (as such term has been amended herein) become effective
and (ii) the European Securitization Documents (as such term
has been amended herein) shall be delivered to the Administrative
Agent promptly after the closing thereof. Additionally, the Agents
and Lenders agree that in connection with any other Investment
during this fiscal year or otherwise, the Investments made pursuant
to European Securitization Documents (as such term has been amended
herein) shall not be included in calculating the U.S.
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