|
Exhibit 4.1 $425,000,000.00 FIRST AMENDED AND RESTATED
CREDIT AGREEMENT Dated as of September 8, 2008 among RTI
INTERNATIONAL METALS, INC.
as Borrower and The Lenders Party Hereto and NATIONAL CITY BANK
as Administrative Agent and CITIBANK, N.A.
as Syndication Agent and PNC BANK, NATIONAL ASSOCIATION
as Documentation Agent and PNC CAPITAL MARKETS LLC and FIFTH THIRD
BANK
as Co-Lead Arrangers and PNC CAPITAL MARKETS LLC
as Sole Bookrunner
TABLE OF CONTENTS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE I DEFINITIONS AND ACCOUNTING
TERMS
|
|
|
1
|
|
|
|
|
Section 1.01
|
|
Defined Terms
|
|
|
1
|
|
|
|
|
Section 1.02
|
|
Other Interpretive Provisions
|
|
|
25
|
|
|
|
|
Section 1.03
|
|
Accounting Terms
|
|
|
26
|
|
|
|
|
Section 1.04
|
|
Times of Day
|
|
|
26
|
|
|
|
|
Section 1.05
|
|
Rounding
|
|
|
26
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE II THE COMMITMENTS AND LOANS
|
|
|
27
|
|
|
|
|
Section 2.01
|
|
Revolving Loans
|
|
|
27
|
|
|
|
|
Section 2.02
|
|
Term Loans
|
|
|
27
|
|
|
|
|
Section 2.03
|
|
Swing Loans
|
|
|
28
|
|
|
|
|
Section 2.04
|
|
Letters of Credit
|
|
|
28
|
|
|
|
|
Section 2.05
|
|
Term Loan Borrowing; Revolving Loan Borrowings,
Swing Loan Borrowings
|
|
|
29
|
|
|
|
|
Section 2.06
|
|
Conversions or Continuations
|
|
|
34
|
|
|
|
|
Section 2.07
|
|
Prepayments
|
|
|
35
|
|
|
|
|
Section 2.08
|
|
Termination or Reduction of Commitments
|
|
|
37
|
|
|
|
|
Section 2.09
|
|
Repayment of Loans
|
|
|
37
|
|
|
|
|
Section 2.10
|
|
Interest
|
|
|
38
|
|
|
|
|
Section 2.11
|
|
Interest Rate Determination
|
|
|
38
|
|
|
|
|
Section 2.12
|
|
Fees
|
|
|
39
|
|
|
|
|
Section 2.13
|
|
Computation of Interest and Fees
|
|
|
40
|
|
|
|
|
Section 2.14
|
|
Evidence of Debt
|
|
|
40
|
|
|
|
|
Section 2.15
|
|
Payments Generally; Administrative Agent’s
Clawback
|
|
|
41
|
|
|
|
|
Section 2.16
|
|
Sharing of Payments by Lenders
|
|
|
42
|
|
|
|
|
Section 2.17
|
|
Increase in the Aggregate Revolving Credit
Commitments
|
|
|
42
|
|
|
|
|
Section 2.18
|
|
Extension of Revolving Credit Maturity Date
|
|
|
44
|
|
|
|
|
Section 2.19
|
|
Issuance of Letters of Credit
|
|
|
48
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE III TAXES, YIELD PROTECTION AND
ILLEGALITY
|
|
|
52
|
|
|
|
|
Section 3.01
|
|
Taxes
|
|
|
52
|
|
|
|
|
Section 3.02
|
|
Illegality
|
|
|
55
|
|
|
|
|
Section 3.03
|
|
Inability to Determine Rates
|
|
|
55
|
|
|
|
|
Section 3.04
|
|
Increased Costs; Reserves on Eurodollar Rate
Loans
|
|
|
56
|
|
|
|
|
Section 3.05
|
|
Compensation for Losses
|
|
|
57
|
|
|
|
|
Section 3.06
|
|
Mitigation Obligations; Replacement of Lenders
|
|
|
58
|
|
|
|
|
Section 3.07
|
|
Survival
|
|
|
59
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE IV CONDITIONS PRECEDENT
|
|
|
59
|
|
|
|
|
Section 4.01
|
|
Conditions of Effectiveness
|
|
|
59
|
|
|
|
|
Section 4.02
|
|
Conditions to Borrowing and Issuance of Letters of
Credits
|
|
|
61
|
|
|
|
|
Section 4.03
|
|
Conditions to Commitment Increases
|
|
|
61
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE V REPRESENTATIONS AND WARRANTIES
|
|
|
62
|
|
|
|
|
Section 5.01
|
|
Organization, Good Standing and Qualification
|
|
|
62
|
|
|
|
|
Section 5.02
|
|
Authority
|
|
|
62
|
|
|
|
|
Section 5.03
|
|
Governmental Filings; No Violations
|
|
|
62
|
|
|
|
|
Section 5.04
|
|
Financial Statements
|
|
|
63
|
|
|
|
|
Section 5.05
|
|
Disclosure
|
|
|
63
|
|
|
|
|
Section 5.06
|
|
Material Adverse Change
|
|
|
64
|
|
|
|
|
Section 5.07
|
|
Litigation
|
|
|
64
|
|
|
|
|
Section 5.08
|
|
Employee Benefits
|
|
|
64
|
|
|
|
|
Section 5.09
|
|
Compliance with Laws
|
|
|
65
|
|
|
|
|
Section 5.10
|
|
Environmental Matters
|
|
|
66
|
|
|
|
|
Section 5.11
|
|
Payment of Taxes
|
|
|
66
|
|
|
|
|
Section 5.12
|
|
Intellectual Property
|
|
|
67
|
|
|
|
|
Section 5.13
|
|
Title to Properties
|
|
|
67
|
|
|
|
|
Section 5.14
|
|
Material Contracts
|
|
|
67
|
|
|
|
|
Section 5.15
|
|
Insurance
|
|
|
67
|
|
|
|
|
Section 5.16
|
|
Federal Reserve Regulations
|
|
|
68
|
|
|
|
|
Section 5.17
|
|
Investment Company
|
|
|
68
|
|
|
|
|
Section 5.18
|
|
Subsidiaries
|
|
|
68
|
|
|
|
|
Section 5.19
|
|
Solvency
|
|
|
68
|
|
|
|
|
Section 5.20
|
|
Pledged Equity
|
|
|
69
|
|
|
|
|
Section 5.21
|
|
Pari Passu
|
|
|
69
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE VI AFFIRMATIVE COVENANTS
|
|
|
69
|
|
|
|
|
Section 6.01
|
|
Financial Reporting
|
|
|
69
|
|
|
|
|
Section 6.02
|
|
Notices
|
|
|
71
|
|
|
|
|
Section 6.03
|
|
Use of Proceeds
|
|
|
71
|
|
|
|
|
Section 6.04
|
|
Preservation of Existence
|
|
|
72
|
|
|
|
|
Section 6.05
|
|
Insurance
|
|
|
72
|
|
|
|
|
Section 6.06
|
|
Compliance with Laws
|
|
|
72
|
|
|
|
|
Section 6.07
|
|
Access
|
|
|
72
|
|
|
|
|
Section 6.08
|
|
Payment Taxes and Other Obligations
|
|
|
73
|
|
|
|
|
Section 6.09
|
|
New Material Subsidiaries
|
|
|
73
|
|
|
|
|
Section 6.10
|
|
Maintenance of Properties and Leases
|
|
|
73
|
|
|
|
|
Section 6.11
|
|
Keeping of Records and Books of Account
|
|
|
73
|
|
|
|
|
Section 6.12
|
|
Further Assurances
|
|
|
74
|
|
|
|
|
Section 6.13
|
|
Transactions With Affiliates
|
|
|
74
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE VII NEGATIVE COVENANTS
|
|
|
74
|
|
|
|
|
Section 7.01
|
|
Debt
|
|
|
74
|
|
|
|
|
Section 7.02
|
|
Liens
|
|
|
76
|
|
|
|
|
Section 7.03
|
|
Fiscal Year; Nature of Business, Accounting
Policies
|
|
|
76
|
|
|
|
|
Section 7.04
|
|
Financial Covenants
|
|
|
76
|
|
|
|
|
Section 7.05
|
|
Liquidations, Mergers and Consolidations
|
|
|
76
|
|
|
|
|
Section 7.06
|
|
Dispositions of Assets or Subsidiaries
|
|
|
77
|
|
|
|
|
Section 7.07
|
|
Dividends and Related Distributions
|
|
|
78
|
|
ii
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Page
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Section 7.08
|
|
Changes in Organizational Documents
|
|
|
78
|
|
|
|
|
Section 7.09
|
|
Negative Pledge
|
|
|
79
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE VIII EVENTS OF DEFAULT AND
REMEDIES
|
|
|
79
|
|
|
|
|
Section 8.01
|
|
Events of Default
|
|
|
79
|
|
|
|
|
Section 8.02
|
|
Remedies Upon Event of Default
|
|
|
81
|
|
|
|
|
Section 8.03
|
|
Application of Funds
|
|
|
82
|
|
|
|
|
Section 8.04
|
|
Actions in Respect of the Letters of Credit Upon
Event of Default; L/C Cash Collateral Account
|
|
|
82
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE IX ADMINISTRATIVE AGENT; DOCUMENTATION
AGENT
|
|
|
85
|
|
|
|
|
Section 9.01
|
|
Appointment and Authority
|
|
|
85
|
|
|
|
|
Section 9.02
|
|
Rights as a Lender
|
|
|
86
|
|
|
|
|
Section 9.03
|
|
Exculpatory Provisions
|
|
|
86
|
|
|
|
|
Section 9.04
|
|
Reliance by Administrative Agent and/or
Documentation Agent
|
|
|
87
|
|
|
|
|
Section 9.05
|
|
Delegation of Duties
|
|
|
88
|
|
|
|
|
Section 9.06
|
|
Resignation of Administrative Agent
|
|
|
88
|
|
|
|
|
Section 9.07
|
|
Non-Reliance on Administrative Agent or
Documentation Agent and Other Lenders
|
|
|
89
|
|
|
|
|
Section 9.08
|
|
No Other Duties, Etc.
|
|
|
89
|
|
|
|
|
|
|
|
|
|
|
|
|
ARTICLE X MISCELLANEOUS
|
|
|
90
|
|
|
|
|
Section 10.01
|
|
Amendments, Etc.
|
|
|
90
|
|
|
|
|
Section 10.02
|
|
Notices; Effectiveness; Electronic
Communication
|
|
|
91
|
|
|
|
|
Section 10.03
|
|
No Waiver; Cumulative Remedies
|
|
|
92
|
|
|
|
|
Section 10.04
|
|
Expenses; Indemnity; Damage Waiver
|
|
|
93
|
|
|
|
|
Section 10.05
|
|
Payments Set Aside
|
|
|
95
|
|
|
|
|
Section 10.06
|
|
Successors and Assigns
|
|
|
95
|
|
|
|
|
Section 10.07
|
|
Treatment of Certain Information;
Confidentiality
|
|
|
99
|
|
|
|
|
Section 10.08
|
|
Right of Setoff
|
|
|
100
|
|
|
|
|
Section 10.09
|
|
Interest Rate Limitation
|
|
|
100
|
|
|
|
|
Section 10.10
|
|
Counterparts; Integration; Effectiveness
|
|
|
100
|
|
|
|
|
Section 10.11
|
|
Survival of Representations and Warranties
|
|
|
101
|
|
|
|
|
Section 10.12
|
|
Severability
|
|
|
101
|
|
|
|
|
Section 10.13
|
|
Replacement of Lenders
|
|
|
101
|
|
|
|
|
Section 10.14
|
|
Governing Law; Jurisdiction; Etc.
|
|
|
102
|
|
|
|
|
Section 10.15
|
|
Waiver of Jury Trial
|
|
|
103
|
|
|
|
|
Section 10.16
|
|
USA PATRIOT Act Notice
|
|
|
103
|
|
|
|
|
Section 10.17
|
|
Amendment and Restatement
|
|
|
103
|
|
iii
|
|
|
|
|
|
|
|
|
|
|
|
|
Page
|
|
|
|
|
|
|
|
|
|
|
|
|
SCHEDULES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Schedule 2.01
|
|
—
|
|
Revolving Credit Commitments and Applicable
Revolving Credit Percentages
|
|
|
|
|
|
Schedule 2.02
|
|
—
|
|
Term Loan Commitments and Applicable Term Loan
Percentages
|
|
|
|
|
|
Schedule 2.04
|
|
—
|
|
Existing Letters of Credit
|
|
|
|
|
|
Schedule 2.10
|
|
—
|
|
Applicable Margins
|
|
|
|
|
|
Schedule 5.07
|
|
—
|
|
Litigation
|
|
|
|
|
|
Schedule 5.18
|
|
—
|
|
Subsidiaries
|
|
|
|
|
|
Schedule 7.01(a)
|
|
—
|
|
Existing Debt
|
|
|
|
|
|
Schedule 7.01(b)
|
|
—
|
|
Existing Subsidiary Debt
|
|
|
|
|
|
Schedule 7.02
|
|
—
|
|
Existing Liens
|
|
|
|
|
|
Schedule 7.07
|
|
—
|
|
Restrictions on Dividends
|
|
|
|
|
|
Schedule 10.02
|
|
—
|
|
Notice Information
|
|
|
|
|
|
|
|
|
|
|
EXHIBITS
|
|
|
|
|
|
|
|
|
|
Exhibit A
|
—
|
|
Form of Loan Notice
|
|
Exhibit B
|
—
|
|
Form of Conversion or Continuation Notice
|
|
Exhibit C
|
—
|
|
Form of Revolving Credit Commitment Increase
Notice
|
|
Exhibit D
|
—
|
|
Form of Promissory Note (Revolving Loan)
|
|
Exhibit E
|
—
|
|
Form of Promissory Note (Term Loan)
|
|
Exhibit F
|
—
|
|
Form of Assignment and Assumption
|
|
Exhibit G
|
—
|
|
Form of Subsidiary Guaranty
|
|
Exhibit H
|
—
|
|
Form of Pledge Agreement
|
|
Exhibit I
|
—
|
|
Form of Compliance Certificate
|
iv
FIRST AMENDED AND RESTATED CREDIT AGREEMENT
This
FIRST AMENDED AND RESTATED CREDIT AGREEMENT (this "
Agreement ") is entered into as of September 8,
2008 among RTI INTERNATIONAL METALS, INC., an Ohio corporation (the
" Borrower "), each lender from time to time party
hereto, PNC BANK, NATIONAL ASSOCIATION, as issuer of letters of
credit, PNC BANK NATIONAL ASSOCIATION, as Documentation Agent,
CITIBANK, N.A., as Syndication Agent, PNC CAPITAL MARKETS LLC and
FIFTH THIRD BANK, as Co-Lead Arrangers, and NATIONAL CITY BANK, as
Swing Loan Bank and Administrative Agent.
WHEREAS,
the Borrower, various financial institutions and Citibank, N.A., as
administrative agent for such various financial institutions,
entered into that certain Credit Agreement, dated as of
September 27, 2007 (as amended prior to the date hereof, the
"Existing Credit Agreement");
WHEREAS,
the Borrower has requested that the Lenders (as defined below)
amend and restate the Existing Credit Agreement in order to provide
a credit facility to make loans to the Borrower and that the
Issuing Bank issue Letters of Credit on the Borrower’s
behalf, and the Lenders and the Issuing Bank are willing to do so
on the terms and conditions set forth herein; and
WHEREAS,
the Administrative Agent, the Documentation Agent and the Lenders
are willing to amend and restate the Existing Credit Agreement in
order to provide such credit upon the terms and conditions
hereinafter set forth.
In
consideration of the mutual covenants and agreements herein
contained, the parties hereto covenant and agree as follows:
ARTICLE I
DEFINITIONS AND ACCOUNTING TERMS
Section 1.01 Defined Terms .
As used
in this Agreement, the following terms shall have the meanings set
forth below:
"
Act " has the meaning assigned to such term in
Section 10.16.
"
Administrative Agent " means National City Bank, in
its capacity as administrative agent under any of the Loan
Documents, or any successor administrative agent.
"
Administrative Agent Fee Letter " means that certain
fee letter, dated September 3, 2008, by and between the
Borrower and the Administrative Agent, as amended, modified or
supplemented from time to time.
"
Administrative Agent’s Office " means the
Administrative Agent’s address and, as appropriate, account
as set forth on Schedule 10.02 , or such other address
or account as the Administrative Agent may from time to time notify
to the Borrower and the Lenders.
"
Administrative Questionnaire " means an
Administrative Questionnaire in a form supplied by the
Administrative Agent.
"
Affiliate " means, with respect to any Person,
another Person that directly, or indirectly through one or more
intermediaries, Controls or is Controlled by or is under common
Control with the Person specified.
"
Aggregate Commitments " means the Commitments, as
applicable, of all the Lenders.
"
Aggregate Revolving Credit Commitments " means the
Revolving Credit Commitments of all the Lenders.
"
Aggregate Term Loan Commitments " means the Term Loan
Commitments of all the Lenders.
"
Agreement " means this First Amended and Restated
Credit Agreement.
"
Applicable Margin " means, from time to time, the
percentages per annum determined by reference to the Leverage Ratio
in respect of the facility fee pursuant to Section 2.12(a),
the Revolving Loans which are Eurodollar Rate Loans and the Term
Loans, as set forth on Schedule 2.10 .
"
Applicable Revolving Credit Percentage " means with
respect to any Lender at any time, the percentage (carried out to
the ninth decimal place) of the Aggregate Revolving Credit
Commitments represented by such Lender’s Revolving Credit
Commitment at such time. If the commitment of each Lender to make
Revolving Credit Loans has been terminated pursuant to
Section 8.02 or if the Aggregate Revolving Credit Commitments
have expired, then the Applicable Revolving Credit Percentage of
each Lender shall be determined based on the Applicable Revolving
Credit Percentage of such Lender most recently in effect, giving
effect to any subsequent assignments or increase in Revolving
Credit Commitments. The initial Applicable Revolving Credit
Percentage of each Lender is set forth opposite the name of such
Lender on Schedule 2.01 or in the Assignment and
Assumption pursuant to which such Lender becomes a party hereto, as
applicable.
2
"
Applicable Term Loan Percentage " means with respect
to any Lender at any time, the percentage (carried out to the ninth
decimal place) of the Aggregate Term Loan Commitments represented
by such Lender’s Term Loan Commitment at such time. The
initial Applicable Term Loan Percentage of each Lender is set forth
opposite the name of such Lender on Schedule 2.02 or in
the Assignment and Assumption pursuant to which such Lender becomes
a party hereto, as applicable.
"
Approved Fund " means any Fund that is administered
or managed by (a) a Lender, (b) an Affiliate of a Lender
or (c) an entity or an Affiliate of an entity that administers
or manages a Lender.
"
Asbestos " includes chrysotile, amosite, crocidolite,
tremolite asbestos, anthophyllite asbestos, actinolite asbestos,
asbestos winchite, asbestos richterite, and any of these minerals
that have been chemically treated and/or altered and any
asbestiform variety, type or component thereof and any
asbestos-containing material.
"
Asbestos-Containing Material " means any material
containing Asbestos, including, without limitation, any
Asbestos-containing products, automotive or industrial parts or
components, equipment, improvements to real property and any other
material that contains Asbestos.
"
Assignment and Assumption " means an Assignment and
Assumption entered into by a Lender and an Eligible Assignee (with
the consent of any party whose consent is required hereunder), and
accepted by the Administrative Agent, in substantially the form of
Exhibit F or any other form approved by the
Administrative Agent.
"
Assuming Revolving Credit Lender " has the meaning
specified in Section 2.17(d).
"
Audited Financial Statements " means the audited
consolidated balance sheet of the Borrower and its Subsidiaries for
the fiscal year ended December 31, 2007 and the related
consolidated statements of income or operations,
shareholders’ equity and cash flows for such fiscal year of
the Borrower and its Subsidiaries, including the notes thereto.
"
Authorized Officer " the chief executive officer,
president, chief financial officer, senior vice president of
strategic planning and finance, assistant treasurer or treasurer of
a Loan Party, acting singly or any officer designated by any such
Loan Party. Any document delivered hereunder that is signed by an
Authorized Officer of a Loan Party shall be conclusively presumed
to have been authorized by all necessary corporate, partnership
and/or other action on the part of such Loan Party and such
Authorized Officer shall be conclusively presumed to have acted on
behalf of such Loan Party.
3
"
Availability Period " means the period from and
including the Closing Date to the Revolving Credit Maturity Date.
"
Available Amount " of any Letter of Credit means, at
any time, the maximum amount available to be drawn under such
Letter of Credit at such time (assuming the compliance at such time
with all conditions to drawing).
"
Bankruptcy and Equity Exception " has the meaning
specified in Section 5.02.
"
Base Rate " means for any day a fluctuating rate per
annum equal to the higher of (a) the Federal Funds Rate plus
1/2 of 1% and (b) the rate of interest in effect for such day
as publicly announced by the Administrative Agent from time to time
as the Administrative Agent’s "prime rate." Any change in
such rate announced by the Administrative Agent shall take effect
at the opening of business on the day specified in the public
announcement of such change.
"
Base Rate Loan " means a Loan that bears interest
based on the Base Rate.
"
Borrower " has the meaning specified in the
introductory paragraph hereto.
"
Borrower Materials " has the meaning assigned to such
term in Section 6.01.
"
Borrowing " means a Revolving Loan Borrowing, a Swing
Loan Borrowing or a Term Loan Borrowing.
"
Business Day " means any day other than a Saturday,
Sunday or other day on which commercial banks are authorized to
close under the laws of, or are in fact closed in, the state where
the Administrative Agent’s Office is located and, if such day
relates to any Eurodollar Rate Loan, means any such day on which
dealings in Dollar deposits are conducted by and between banks in
the London interbank eurodollar market.
"
Capitalized Lease " of a Person means any lease of
property by such Person as lessee which would be capitalized on a
balance sheet of such Person prepared in accordance with GAAP.
"
Capitalized Lease Obligations " of a Person means the
amount of the obligations of such Person under Capitalized Leases
which would be shown as a liability on a balance sheet of such
Person prepared in accordance with GAAP.
"
Cash Equivalents " means any of the following types
of investments, to the extent owned by the Borrower or its Domestic
Subsidiaries free and clear of all Liens, (i) securities
issued or directly and fully guaranteed or insured by the United
States Government or any agency instrumentality thereof having
maturities of not more than six months from the date of
acquisition, (ii) time deposits, certificates of deposit and
eurodollar time deposits with
4
maturities of not more than six months from the date of
acquisition, bankers’ acceptances with maturities not
exceeding six months from the date of acquisition and overnight
bank deposits, in each case with any Lender or with any domestic
commercial bank having capital and surplus in excess of Five
Hundred Million and 00/100 Dollars ($500,000,000.00),
(iii) repurchase obligations with a term of not more than
thirty (30) days for underlying securities of any of the types
described in clauses (i) or (ii) and entered into with
any bank meeting the qualifications specified in clause
(ii) above, (iv) commercial paper maturing in one hundred
eighty (180) days or less rated not lower than "A-1" by
S&P or "P-1" by Moody’s on the date of acquisition,
(v) variable rate demand notes whether recorded as cash
equivalents or short-term investments under GAAP and rated not
lower than A-1 by S&P or P-1 by Moody’s on the date of
acquisition and credit enhanced either by a letter of credit from a
bank meeting the qualifications specified in clause (ii) above
or by bond insurance and (vi) shares of any money market fund
that (i) has at least eighty percent (80%) of its assets
invested continuously in the types of investments referred to in
clauses (i), (ii), (iii) and (iv) above, (ii) has net
assets of not less than Five Hundred Million and 00/100 Dollars
($500,000,000.00.) and (iii) is rated at least "AAA" by
S&P and, if rated by Moody’s, "Aaa" by Moody’s.
"
Change in Law " means the occurrence, after the date
of this Agreement, of any of the following: (a) the adoption
or taking effect of any law, rule, regulation or treaty,
(b) any change in any law, rule, regulation or treaty or in
the administration, interpretation or application thereof by any
Governmental Entity or (c) compliance by any Lender (or, for
the purpose of Section 3.04(b), any Lending Office of such Lender
or by such Lender’s holding company, if any) with any
request, guideline or directive (whether or not having the force of
law) of any Governmental Entity.
"
Change of Control " means (a) the acquisition of
ownership, directly or indirectly, beneficially or of record, by
any Person or group (within the meaning of the Securities Exchange
Act of 1934 and the rules of the Securities and Exchange Commission
thereunder as in effect on the date hereof), of equity interests
representing more than fifty percent (50%) of the aggregate
ordinary voting power represented by the issued and outstanding
equity interests in the Borrower or (b) the occupation of a
majority of the seats (other than vacant seats) on the board of
directors of the Borrower by Persons who were not
(i) directors of the Borrower on the date of this Agreement,
(ii) nominated by the board of directors of the Borrower, or
(iii) appointed by directors referred to in the preceding
clauses (i) and (ii).
"
Closing Date " means the first date that all the
conditions precedent in Section 4.01 are satisfied or waived
in accordance with Section 10.01.
"
Code " means the Internal Revenue Code of 1986, as
amended from time to time.
5
"
Co-Lead Arranger Fee Letter " means that certain fee
letter, dated August 28, 2008, by and between the Borrower and
Fifth Third Bank, as amended, modified or supplemented from time to
time. "
Commitment " means a Term Loan Commitment, a
Revolving Credit Commitment, a Swing Loan Commitment or a Letter of
Credit Commitment.
"
Company Foreign Benefit Plan " has the meaning
assigned to such term in Section 5.08(g).
"
Compensation and Benefit Plan " means, with respect
to any Person, any bonus, deferred compensation, pension,
retirement, profit-sharing, thrift, savings, employee stock
ownership, stock bonus, stock purchase, change in control,
retention, restricted stock, stock option, employment, termination,
severance, compensation, medical, health or other compensation or
benefit plan, including, without limitation, each "employee benefit
plan" within the meaning of Section 3(3) of ERISA, that covers
employees or former employees, or directors or former directors of
such Person or any of its Subsidiaries, or to which contributions
are made or otherwise required to be made, by such Person or any of
its Subsidiaries, together with any trust agreement or insurance
contract forming a part of such Compensation and Benefit Plan.
"
Consolidated Debt " means, at any time, all Debt that
would be required to appear as liabilities on the consolidated
balance sheet of the Borrower and its Subsidiaries prepared in
accordance with GAAP plus all guarantee obligations (or obligations
having the economic effect of guarantee obligations) of the
Borrower or any Subsidiary in respect of Debt of Persons other than
the Borrower or any Subsidiary.
"
Consolidated EBITDA " means, for any period, the sum
(without duplication) of (a) Consolidated Net Income for such
period, plus, without duplication and to the extent deducted in
determining such Consolidated Net Income, the sum of
(i) Consolidated Interest Expense for such period, (ii) income
tax expense for such period, and (iii) depreciation and
amortization expense for such period, all determined on a
consolidated basis for each such item in accordance with GAAP;
(iv) all other non-cash charges (including impairment charges
with respect to good will) and expenses (including stock based
compensation) of the Borrower and its Subsidiaries determined on a
consolidated basis in accordance with GAAP, (v) charges,
expenses and fees incurred in connection with this Agreement and
the Loans, (vi) non-recurring charges, fees and expenses
incurred in connection with corporate restructurings and
acquisitions, in an aggregate amount not to exceed Ten Million and
00/100 Dollars ($10,000,000.00) in any calendar year and not to
exceed Twenty-Five Million and 00/100 Dollars ($25,000,000.00)
during the term of this Agreement, and minus , to the extent
included in determining such consolidated net income, any non-cash
income or non-cash gains, all as determined on a consolidated basis
in accordance with GAAP. EBITDA will be calculated on a pro forma
basis to give effect to acquisitions and sales (other than in the
ordinary course of business) by the
6
Borrower and its consolidated subsidiaries consummated on or
after the first (1st) day of a measurement period and prior to the
date of determination as if effective on the first (1st) day of
such period.
"
Consolidated Interest Expense " means, for any
period, the total interest expense of the Borrower and its
Subsidiaries determined on a consolidated basis in accordance with
GAAP with respect to all outstanding Debt of the Borrower and its
Subsidiaries.
"
Consolidated Net Income " means, for any period, net
income for the Borrower and the Subsidiaries for such period
determined on a consolidated basis in accordance with GAAP.
"
Consolidated Net Tangible Assets " means, at any
time, the total assets less all Intangible Assets appearing on the
consolidated balance sheet of the Borrower as of the end of the
most recently concluded fiscal quarter of the Borrower.
"
Contingent Obligation " of a Person means any
obligation arising under any agreement, undertaking or arrangement
by which such Person (a) assumes, guarantees, endorses,
contingently agrees to purchase or provide funds for the payment
of, or otherwise becomes or is contingently liable for, the Debt or
other financial obligation or similar liability of any other
Person, excluding guarantees of the obligations of any Subsidiary
which do not constitute Debt of such Subsidiary, or (b) agrees
to maintain the net worth or working capital or other financial
condition of any other Person, or (c) otherwise assures any
creditor of such other Person against loss, but excluding
endorsements of instruments for deposit or collection in the
ordinary course of business.
"
Contracts " has the meaning specified in
Section 5.03(b).
"
Control " means the possession, directly or
indirectly, of the power to direct or cause the direction of the
management or policies of a Person, whether through the ability to
exercise voting power, by contract or otherwise. "Controlling" and
"Controlled" have meanings correlative thereto.
"
Controlled Group" means all members of a controlled
group of corporations and all trades or businesses (whether or not
incorporated) under common control which, together with any of the
Loan Parties and/or one or more of the Subsidiaries, are treated as
a single employer (i) under Section 414(b) or (c) of the
Code or (ii) for the purposes of Section 302 of ERISA or
Section 412 of the Code, under Section 414(b), (c),
(m) or (o) of the Code.
"
Conversion or Continuation Notice " means a notice of
conversion or continuation delivered pursuant to Section 2.06,
which, if in writing, shall be substantially in the form of
Exhibit B .
7
"
Debt " of a Person means such Person’s
(a) obligations for borrowed money, (b) obligations
representing the deferred purchase price of property or services
(other than accounts payable and accrued expenses arising in the
ordinary course of such Person’s business payable on terms
customary in the trade and not evidenced by a note),
(c) obligations, whether or not assumed, secured by Liens or
payable out of the proceeds or production from property now or
hereafter owned or acquired by such Person, (d) obligations
which are evidenced by notes, bonds, or similar instruments,
(e) Capitalized Lease Obligations, (f) Contingent
Obligations and (g) obligations for which such Person is
obligated pursuant to or in respect of a letter of credit and, for
the purpose of Section 7.01 only, Hedging Agreements.
"
Debtor Relief Laws " means the Bankruptcy Code of the
United States, and all other liquidation, conservatorship,
bankruptcy, assignment for the benefit of creditors, moratorium,
rearrangement, receivership, insolvency, reorganization, or similar
debtor relief laws of the United States or other applicable
jurisdictions from time to time in effect and affecting the rights
of creditors generally.
"
Default " means any event or condition that
constitutes an Event of Default or that, with the giving of any
notice, the passage of time, or both, would be an Event of Default.
"
Defaulting Lender " means any Lender that
(a) has failed to fund any portion of the Loans required to be
funded by it hereunder within one (1) Business Day of the date
required to be funded by it hereunder, (b) has otherwise
failed to pay over to the Administrative Agent or any other Lender
any other amount required to be paid by it hereunder within one
(1) Business Day of the date when due, unless the subject of a
good faith dispute, or (c) has been deemed insolvent or become
the subject of a bankruptcy or insolvency proceeding.
"
Default Rate " means an interest rate equal to
(a) the Base Rate plus (b) the Applicable Margin,
if any, applicable to Base Rate Loans plus (c) two percent
(2%) per annum; provided , however , that with
respect to a Eurodollar Rate Loan, the Default Rate shall be an
interest rate equal to the interest rate (including any Applicable
Margin) otherwise applicable to such Loan plus two percent (2%) per
annum.
"
Documentation Agent " means PNC Bank, National
Association, in its capacity as documentation agent under any of
the Loan Documents, or any successor documentation agent.
"
Documentation Agent Fee Letter " means that certain
engagement letter, dated July 28, 2008, by and between the
Borrower and the Documentation Agent, as amended, modified or
supplemented from time to time.
"
Dollar " and " $ " mean lawful money of
the United States.
8
"
Domestic Subsidiary " means any Subsidiary of the
Borrower organized under the laws of (i) any State of the
United States or the District of Columbia or (ii) any
commonwealth, territory or possession of the United States.
"
Eligible Assignee " means (a) a Lender;
(b) an Affiliate of a Lender; (c) an Approved Fund; and
(d) any other Person (other than a natural person) approved by
the Administrative Agent and, so long as no Event of Default has
occurred and is continuing, the Borrower (such approval of the
Administrative Agent and the Borrower, as applicable, not to be
unreasonably withheld or delayed); provided that notwithstanding
the foregoing, "Eligible Assignee" shall not include the Borrower
or any of the Borrower’s Affiliates or Subsidiaries.
"
Environmental Law " means any applicable Law
(including common law) relating to: (a) pollution; (b) the
protection of the environment (including air, water, soil,
subsurface strata and natural resources) or public health and
safety; and (c) the regulation of the generation, use,
storage, handling, transportation, treatment, release, remediation
or disposal of Hazardous Substances.
"
Environmental Liability " means any liability,
contingent or otherwise (including any liability for damages, costs
of environmental remediation, fines, penalties or indemnities), of
the Borrower, any other Loan Party or any of their respective
Subsidiaries directly or indirectly resulting from or based upon
(a) violation of any Environmental Law, (b) the
generation, use, handling, transportation, storage, treatment or
disposal of any Hazardous Substances, (c) exposure to any
Hazardous Substances, (d) the release or threatened release of
any Hazardous Substances into the environment or (e) any
contract, agreement or other consensual arrangement pursuant to
which liability is assumed or imposed with respect to any of the
foregoing.
"
ERISA " means the Employee Retirement Income Security
Act of 1974, as amended from time to time.
"
ERISA Affiliate " means any Person, trade or business
that together with any Loan Party is or was treated as a
single-employer within the meaning of Section 414(b), (c),
(m) or (o) of the Code or Section 4001(b) of ERISA.
"
ERISA Event " means (a) a Reportable Event with
respect to any Pension Plan, (b) the occurrence of an
accumulated funding deficiency (whether or not waived) within the
meaning of Section 412 of the Code or Section 302 of
ERISA with respect to any Pension Plan or the filing of an
application to waive the funding requirements with respect to any
Pension Plan, (c) the withdrawal of a Loan Party or any ERISA
Affiliate from a Plan during a plan year in which such Loan Party
or ERISA Affiliate was a "substantial employer" as defined in
Section 4001(a)(2) of ERISA with respect to any Plan,
(d) the termination of a Pension Plan, the filing of a notice
of intent to terminate such Pension Plan or the treatment of an
amendment of such Pension Plan as a termination under
Section 4041 of ERISA, (e) the institution by the PBGC
of
9
proceedings to terminate a Pension Plan or to appoint a trustee
to administer a Pension Plan, (f) any event or condition which
could reasonable be expected to constitute grounds under Section
4042 of ERISA for the termination of, or appointment of a trustee
to administer, such Plan, (g) the imposition upon any Loan
Party or ERISA Affiliate of any withdrawal liability, or
(h) the reorganization or insolvency of any Multiemployer
Plan. "
Eurodollar Rate " means for any Interest Period with
respect to a Eurodollar Rate Loan, an interest rate per annum equal
to the rate per annum obtained by dividing (a) the rate per
annum (rounded upward to the nearest whole multiple of 1/100 of 1%
per annum) appearing on Reuters LIBOR01 Screen (or any successor
page) as the London interbank offered rate for deposits in U.S.
dollars at approximately 11:00 A.M. (London time) two
(2) Business Days prior to the first (1st) day of such
Interest Period for a term comparable to such Interest Period or,
if for any reason such rate is not available, the average (rounded
upward to the nearest whole multiple of 1/100 of 1% per annum, if
such average is not such a multiple) of the rate per annum at which
deposits in U.S. dollars are offered by the principal office of
National City Bank in London, England to prime banks in the London
interbank market at 11:00 A.M. (London time) two
(2) Business Days before the first (1st) day of such Interest
Period in an amount substantially equal to National City
Bank’s Eurodollar Rate Loan comprising part of such Borrowing
to be outstanding during such Interest Period and for a period
equal to such Interest Period by (b) a percentage equal to one
hundred percent (100%) minus the Eurodollar Rate Reserve Percentage
for such Interest Period. If the Reuters LIBOR01 Screen (or any
successor page) is unavailable, the Eurodollar Rate for any
Interest Period for each Eurodollar Rate Loan comprising part of
the same Borrowing shall be determined by National City Bank.
"
Eurodollar Rate Loan " means a Loan that bears
interest at a rate based on the Eurodollar Rate.
"
Eurodollar Rate Reserve Percentage " for any Interest
Period for all Eurodollar Rate Loans comprising part of the same
Borrowing means the reserve percentage applicable two
(2) Business Days before the first (1st) day of such Interest
Period under regulations issued from time to time by the Board of
Governors of the Federal Reserve System (or any successor) for
determining the maximum reserve requirement (including, without
limitation, any emergency, supplemental or other marginal reserve
requirement) for a member bank of the Federal Reserve System in New
York City with respect to liabilities or assets consisting of or
including eurocurrency liabilities (or with respect to any other
category of liabilities that includes deposits by reference to
which the interest rate on Eurodollar Rate Loans is determined)
having a term equal to such Interest Period.
"
Event of Default " has the meaning specified in
Section 8.01.
"
Exchange Act " means the Securities Exchange Act of
1934, as amended.
10
"
Excluded Taxes " means, with respect to the
Administrative Agent, any Lender or any other recipient of any
payment to be made by or on account of any obligation of the
Borrower hereunder, (a) taxes imposed on or measured by its
overall net income (however denominated), and franchise taxes
imposed on it (in lieu of net income taxes), by the jurisdiction
(or any political subdivision thereof) under the laws of which such
recipient is organized or in which its principal office is located
or, in the case of any Lender, in which its applicable Lending
Office is located, (b) any branch profits taxes imposed by the
United States or any similar tax imposed by any other jurisdiction
in which the Borrower is located and (c) in the case of a
Foreign Lender (other than an assignee pursuant to a request by the
Borrower under Section 10.13), any withholding tax imposed by
the jurisdiction in which the Borrower is resident that is imposed
on amounts payable to such Foreign Lender at the time such Foreign
Lender becomes a party hereto (or designates a new Lending Office)
or the date on which a Participant becomes entitled to the benefits
of Section 3.01 pursuant to Section 10.06(d) or is
attributable to such Foreign Lender’s failure or inability
(other than as a result of a Change in Law) to comply with
Section 3.01(e), except to the extent that such Foreign Lender
(or its assignor, if any) was entitled, at the time of designation
of a new Lending Office (or assignment), to receive additional
amounts from the Borrower with respect to such withholding tax
pursuant to Section 3.01(a).
"Existing Credit Agreement" has the meaning set forth
in the preamble to this Agreement.
"
Existing Letters of Credit " means each "Letter of
Credit" issued pursuant to the terms of, and as defined in, the
Existing Credit Agreement and outstanding on the Closing Date and
set forth on Schedule 2.04 hereto.
"
Extended Revolving Credit Maturity Date " has the
meaning specified in Section 2.18(a).
"
Extending Revolving Credit Lender " has the meaning
specified in Section 2.18(a)(i).
"
Federal Funds Rate " means, for any day, a
fluctuating interest rate per annum equal to the weighted average
of the rates on overnight Federal funds transactions with members
of the Federal Reserve System arranged by Federal funds brokers on
such day, as published by the Federal Reserve Bank of New York on
the Business Day next succeeding such day; provided that
(a) if such day is not a Business Day, the Federal Funds Rate
for such day shall be such rate on such transactions on the next
preceding Business Day as so published on the next succeeding
Business Day, and (b) if no such rate is so published on such
next succeeding Business Day, the Federal Funds Rate for such day
shall be the average quotations (rounded upward, if necessary, to a
whole multiple of 1/100 of 1%) for such day for such transactions
received by the
11
Administrative Agent from three (3) Federal funds brokers
of recognized standing selected by the Administrative Agent.
"
Financial Officer " of a Person means the chief
financial officer, principal accounting officer, treasurer or
controller of such Person or any officer having substantially the
same position for such Person.
"
Foreign Lender " means any Lender that is organized
under the laws of a jurisdiction other than that in which the
Borrower is resident for tax purposes. For purposes of this
definition, the United States, each State thereof and the District
of Columbia shall be deemed to constitute a single jurisdiction.
"
Foreign Subsidiary " means each Subsidiary which is
not a Domestic Subsidiary.
"
FRB " means the Board of Governors of the Federal
Reserve System of the United States.
"
Fund " means any Person (other than a natural person)
that is (or will be) engaged in making, purchasing, holding or
otherwise investing in commercial loans and similar extensions of
credit in the ordinary course of its business.
"
GAAP " means generally accepted accounting principles
in the United States set forth in the opinions and pronouncements
of the Accounting Principles Board and the American Institute of
Certified Public Accountants and statements and pronouncements of
the Financial Accounting Standards Board or such other principles
as may be approved by a significant segment of the accounting
profession in the United States, that are applicable to the
circumstances as of the date of determination, consistently
applied.
"
Governmental Entity " has the meaning specified in
Section 5.03(a).
"
Guarantors " means the Material Subsidiaries that are
Domestic Subsidiaries as of the date hereof and each other
Subsidiary that has executed the Subsidiary Guaranty pursuant to
Section 6.09.
"
Guaranty Supplement " means a Guaranty Supplement in
the form attached as Exhibit B to the Subsidiary Guaranty.
"
Hazardous Substance " means any chemical, material or
substance that is defined as harmful to human health, the
environment, or natural resources by any Environmental Law,
including without limitation, petroleum, petroleum products,
Asbestos, and Asbestos-Containing Materials.
12
"
Hedging Agreement " means any interest rate
protection agreement, foreign currency exchange agreement,
commodity price protection agreement or other interest or currency
exchange rate or commodity price hedging arrangement or puts and
calls on any of the foregoing and with respect to equity
securities.
"
Increasing and Extending Revolving Credit Lender "
has the meaning specified in Section 2.18(a)(ii).
"
Increasing Revolving Credit Lender " has the meaning
specified in Section 2.17(b).
"
Indemnified Taxes " means Taxes other than Excluded
Taxes.
"
Indemnitee " has the meaning specified in
Section 10.04(b).
"
Information " has the meaning assigned to such term
in Section 10.07.
"
Intangible Assets " means, at any date, the amount
(if any) stated under the heading "Goodwill and Other Intangible
assets, net" or under any other heading relating to intangible
assets separately listed, in each case, on the face of a balance
sheet of the Borrower prepared on a consolidated basis as of such
date. "
Intellectual Property Rights " shall mean all
patents, patent applications, trademarks, trade names, service
marks, brand names, copyrights, technology, know-how, computer
software programs or applications, databases and tangible or
intangible proprietary information or materials that are currently
used in the Borrower’s and its Subsidiaries’ businesses
and as to which Borrower and its Subsidiaries have rights.
"
Interest Payment Date " means, (a) as to any
Eurodollar Rate Loan, the last day of each Interest Period
applicable to such Loan and the Revolving Credit Maturity Date or
the Term Loan Maturity Date, as applicable, and, if such Interest
Period has a duration of more than three (3) months, on each day
that occurs during such Interest Period every three (3) months
from the first (1st) day of such Interest Period and on the date
such Eurodollar Rate advance shall be converted or paid in full;
and (b) as to any Base Rate Loan, the last Business Day of
each calendar quarter commencing September 30, 2008 and the
Revolving Credit Maturity Date or the Term Loan Maturity Date, as
applicable.
"
Interest Period " means, as to each Eurodollar Rate
Loan, the period commencing on the date such Eurodollar Rate Loan
is disbursed or converted to or continued as a Eurodollar Rate Loan
and ending on the last day of the Interest Period determined in
accordance with Section 2.11; provided that:
(i) the
Interest Period for any Eurodollar Rate Loan shall be for a period
of
13
one (1), two (2), three (3) or six (6) months;
(ii) any
Interest Period that would otherwise end on a day that is not a
Business Day shall be extended to the next succeeding Business Day
unless, in the case of a Eurodollar Rate Loan, such Business Day
falls in another calendar month, in which case such Interest Period
shall end on the next preceding Business Day;
(iii) any
Interest Period pertaining to a Eurodollar Rate Loan that begins on
the last Business Day of a calendar month (or on a day for which
there is no numerically corresponding day in the calendar month at
the end of such Interest Period) shall end on the last Business Day
of the calendar month at the end of such Interest Period; and
(iv) no
Interest Period shall extend beyond the Revolving Credit Maturity
Date or the Term Loan Maturity Date, as applicable.
"
Investment Quebec Facility" means the loan facility
up to the aggregate principal amount of Five Million One Hundred
Seventy-Five Thousand and 00/100 Canadian Dollars (CDN
$5,175,000.00) between Investissement Quebec and RTI-Claro, Inc.
dated as of July 24, 2006.
"
IRS " means the United States Internal Revenue
Service.
"
Issuing Bank " means PNC Bank, National Association,
as the issuer of Letters of Credit, or such other Lender as shall,
with the consent of the Issuing Bank, the Borrower and the
Administrative Agent, have assumed the obligations of the Issuing
Bank with respect to all or any of the Letters of Credit hereunder.
"
L/C Cash Collateral Account " has the meaning
specified in Section 8.04(b).
"
L/C Cash Collateral Account Collateral " has the
meaning specified in Section 8.04(b).
"
L/C Cash Collateral Account Investments " has the
meaning specified in Section 8.04(c).
"
L/C Cash Collateral Account Obligations " has the
meaning specified in Section 8.04(e)(i).
"
L/C Related Documents " has the meaning specified in
Section 2.19(e)(i).
"
Law " means any law (including common law),
constitution, statute, treaty, regulation, rule, ordinance,
opinion, release, ruling, order, injunction, writ, decree,
bond,
14
judgment, authorization or approval, lien or award of or
settlement agreement with any Governmental Entity.
"
Lenders " means the Banks listed on the signature
pages hereof and each assignee that shall become a party hereto
pursuant to Section 10.06 and shall include the Swing Loan
Bank and the Issuing Bank.
"
Lending Office " means, as to any Lender, the office
or offices of such Lender described as such in such Lender’s
Administrative Questionnaire, or such other office or offices as a
Lender may from time to time notify the Borrower and the
Administrative Agent.
"
Letter of Credit " has the meaning specified in
Section 2.04(a).
"
Letter of Credit Agreement " has the meaning
specified in Section 2.19(a)(i).
"
Letter of Credit Commitment " means, with respect to
the Issuing Bank, the obligation of the Issuing Bank to issue
Letters of Credit for the account of the Borrower in an amount not
to exceed at any one time the Letter of Credit Facility, as such
amount may be reduced from time to time by the Available Amount of
any outstanding Letter of Credit issued by any other Issuing Bank.
"
Letter of Credit Facility " means an aggregate amount
not to exceed Forty Million and 00/100 Dollars ($40,000,000.00) at
any time outstanding.
"
Letter of Credit Loan " means a payment by the
Issuing Bank of a draft drawn under any Letter of Credit pursuant
to Section 2.19(b) or, without duplication, a payment by a
Lender in respect thereof pursuant to Section 2.19(b).
"
Letter of Credit Outstandings " means, at any time,
the aggregate Available Amount of all Letters of Credit plus the
aggregate outstanding principal amount of all Letter of Credit
Loans.
"
Leverage Ratio " has the meaning specified in
Section 7.04(a).
"
Lien " means any security interest, lien (statutory
or other), mortgage, pledge, hypothecation, assignment, deposit
arrangement, encumbrance or preference, priority or other security
agreement or preferential arrangement of any kind or nature
whatsoever (including, without limitation, the interest of a vendor
or lessor under any conditional sale, Capitalized Lease or other
title retention agreement).
"
Litigation Claims " has the meaning specified in
Section 5.07.
15
"
Loan Documents " means this Agreement, each Note,
each Subsidiary Guaranty, each Pledge Agreement, the Administrative
Agent Fee Letter and the Documentation Agent Fee Letter.
"
Loan Notice " means an Activity Report, pursuant to
Section 2.05, which, shall be substantially in the form of
Exhibit A .
"
Loan Parties " means, collectively, the Borrower and
the Guarantors.
"
Loans " means all Term Loans, all Revolving Loans,
all Swing Loans and all Letter of Credit Loans.
"
Margin Stock " has the meaning assigned to such term
under Regulation U of the FRB.
"
Material Adverse Change " means a material adverse
change in the business, financial condition or operations of the
Borrower and its Subsidiaries taken as a whole.
"
Material Adverse Effect " means a material adverse
effect on the (a) business, financial condition or operations
of the Borrower and its Subsidiaries taken as a whole,
(b) ability of each Loan Party to perform any of its
obligations under any Loan Document to which it is a party or (c)
rights or remedies available to the Lenders under any Loan
Document.
"
Material Subsidiary " means, RMI Titanium Company,
Tradco, Inc., RTI Energy Systems, Inc., Extrusion Technology
Corporation of America, New Century Metals Southeast, Inc., RTI
Finance Corp., RTI-Claro, Inc., RTI International Metals Limited
and each other Subsidiary of the Borrower which at any time has
five percent (5%) or more of the consolidated assets of the
Borrower and its Subsidiaries.
"
Moody’s " means Moody’s Investors
Service, Inc. and any successor thereto.
"
Multiemployer Plan " means a Plan that is a
multiemployer plan within the meaning of Section 4001(a)(3) of
ERISA to which any Loan Party or any ERISA Affiliate is or was
obligated to make contributions.
"
National City Bank " means National City Bank and its
successors.
"
Net Debt " means as of any time, Consolidated Debt
minus cash and Cash Equivalents of the Borrower and its
Domestic Subsidiaries in excess of Fifty Million and 00/100 Dollars
($50,000,000.00).
"
Non-Bank Certificate " has the meaning specified in
Section 3.01(e)(iii).
16
"
Non-Extending Revolving Credit Lender " has the
meaning specified in Section 2.18(a).
"
Note " or " Notes " means, singularly
or collectively, as the context may require, all the Revolving
Credit Notes and Term Notes.
"
Notice of Issuance " has the meaning specified in
Section 2.19(a)(i).
"
Notice of Revolving Loan Borrowing " has the meaning
specified in Section 2.05(b).
"
Notice of Swing Loan Borrowing " has the meaning
specified in Section 2.05(c).
"
Obligations " means all advances to, and debts,
liabilities, obligations, covenants and duties of, any Loan Party
arising under any Loan Document or otherwise with respect to any
Loan, whether direct or indirect (including those acquired by
assumption), absolute or contingent, due or to become due, now
existing or hereafter arising and including interest and fees that
accrue after the commencement by or against any Loan Party or any
Affiliate thereof of any proceeding under any Debtor Relief laws
naming such Person as the debtor in such proceeding, regardless of
whether such interest and fees are allowed claims in such
proceeding.
"
Organization Documents " means, (a) with respect
to any corporation, the certificate or articles of incorporation
and the bylaws (or equivalent or comparable constitutive documents
with respect to any non-U.S. jurisdiction); (b) with respect
to any limited liability company, the certificate or articles of
formation or organization and operating agreement; and
(c) with respect to any partnership, joint venture, trust or
other form of business entity, the partnership, joint venture or
other applicable agreement of formation or organization and any
agreement, instrument, filing or notice with respect thereto filed
in connection with its formation or organization with the
applicable Governmental Entity in the jurisdiction of its formation
or organization and, if applicable, any certificate or articles of
formation or organization of such entity.
"
Other Taxes " means all present or future stamp or
documentary taxes or any other excise or property taxes or similar
charges or levies arising from any payment made hereunder or under
any other Loan Document or from the execution, delivery or
enforcement of, or otherwise with respect to, this Agreement or any
other Loan Document.
"
Participant " has the meaning specified in
Section 10.06(d).
"
PBGC " means the Pension Benefit Guaranty
Corporation.
"
Pension Plan " means any Plan that is subject to
Section 412 of the Code or Title IV of ERISA, other than a
Multiemployer Plan.
17
"
Permitted Liens " shall mean:
(a) Liens
for taxes, assessments, governmental levies or similar charges
incurred in the ordinary course of business and which are not yet
due and payable, or if due and payable, (i) are being
contested in good faith and by appropriate and lawful proceedings
diligently conducted, but only so long as such proceedings could
not subject the Administrative Agent, the Swing Loan Bank, the
Lenders or the Issuing Bank to any civil or criminal penalties or
liabilities, (ii) for which such reserves or other appropriate
provisions, if any, as shall be required by GAAP shall have been
made and (iii) which shall be paid in accordance with the
terms of any final judgments or orders relating thereto within
thirty (30) days after the entry of such judgments or orders;
(b) Pledges
or deposits made in the ordinary course of business to secure
payment of workmen’s compensation, or to participate in any
fund in connection with workmen’s compensation, unemployment
insurance, old-age pensions, other social security programs or
similar program or to secure liability to insurance carriers under
insurance or self insurance agreements or arrangement;
(c) Liens
of mechanics, materialmen, warehousemen, carrier or other like
Liens, securing obligations incurred in the ordinary course of
business that are not yet due and payable and Liens of landlords
securing obligations to pay lease payments that are not yet due and
payable or in default, or if such Liens are due and payable,
(i) are being contested in good faith and by appropriate and
lawful proceedings diligently conducted, (ii) for which such
reserves or other appropriate provisions, if any, as required by
GAAP shall have been made and (iii) which shall be paid in
accordance with the terms of any final judgments or orders relating
thereto within thirty (30) days after the entry of such
judgments or orders;
(d) Pledges,
bonds or deposits made in the ordinary course of business to secure
performance of bids, tenders, contracts (other than for the
repayment of borrowed money) or leases, not in excess of the
aggregate amounts due thereunder, or to secure statutory
obligations, or surety, appeal, indemnity, performance or other
similar bonds required in the ordinary course business;
(e) (i) Encumbrances
consisting of zoning restrictions, easements, rights-of-way, or
other restrictions on the use of real property, (ii) defects
in title to real property, and (iii) Liens, encumbrances and
title defects affecting real property not known by the Borrower or
a Subsidiary, as applicable, and not discoverable by a search of
the public records, none of which materially impairs the use of
such property;
(f) (i) Liens
on assets of a Person which is merged into or acquired by the
Borrower or a Subsidiary of the Borrower on or after the date this
Agreement, and (ii) Liens on assets acquired after the date of
this Agreement, provided that (A) such Liens existed at the
time
18
of such merger or acquisition and were not created in
anticipation thereof, (B) no such Lien is spread to cover any
property or assets of the Borrower or any Subsidiary of the
Borrower; and (C) the principal amount of Indebtedness secured
thereby is not increased from the amount outstanding immediately
prior to such merger or acquisition;
(g) Liens
created by or resulting from any litigation or legal proceedings
which are currently being contested in good faith by appropriate
and lawful proceedings diligently conducted and for which such
reserves or other appropriate provisions, if any, as shall be
required by GAAP shall have been made and Liens arising out of
judgments or orders for the payment of money which do not
constitute an Event of Default hereunder;
(h) Liens
placed upon fixed assets described on Schedule 7.02 or
fixed assets or equipment hereafter acquired, in each case to
secure all or a portion of the purchase price thereof, provided
that any such Lien shall not encumber any other property of the
Borrower or any Subsidiary;
(i) Other
Liens incidental to the conduct of the Borrower’s or any
Subsidiary’s business or the ownership of its property and
assets which were not incurred in connection with the borrowing of
money or the obtaining of advances or credit, and which do not in
the aggregate materially detract from the value of the
Borrower’s or any Subsidiary’s property or assets or
which do not materially impair the use thereof in the operation of
the Borrower’s business;
(j) Leases
or subleases not otherwise prohibited by this Agreement or the
other Loan Documents;
(k) The
titanium sponge manufacturing facility lease agreement which the
Borrower or one of its Subsidiaries will enter into in connection
with the financing of such facility and Liens on such facility in
favor of state development authorities with respect to tax
incentives in connection with such facility; and
(l) Other
Liens securing Debt not exceeding ten percent (10%) of the
Consolidated Net Tangible Assets and not encumbering the Pledged
Equity.
(m) Liens
created hereunder or under any other Loan Document in favor of the
Administrative Agent for its benefit and the benefit of the Swing
Loan Bank, any Issuing Bank or any Lender;
"
Person " shall mean any individual, corporation
(including not-for-profit corporations), general or limited
partnership, limited liability company, joint venture, estate,
trust, association, organization, Governmental Entity or other
entity of any kind or nature.
19
"
Plan " means an employee pension benefit plan, as
defined in Section 3(2) of ERISA, as to which any Loan Party
or ERISA Affiliate may have any liability.
"
Platform " has the meaning assigned to such term in
Section 6.01(f).
"
Pledge Agreement " means the First Amended and
Restated Negative Pledge and Pledge Agreement, dated as of the
Closing Date, by the Borrower in favor of the Administrative Agent,
the First Amended and Restated Equity Pledge Agreement, dated as of
the Closing Date by the Borrower in favor of the Administrative
Agent, the Charge Over Securities, dated September 27, 2007,
between the Borrower and Citibank, N.A. (in its capacity as
security agent) as amended and supplemented by a Supplemental Deed,
dated as of the Closing Date, between the Borrower, Citibank, N.A.
(the existing security agent) and the Administrative Agent (the new
security agent) and any other pledge agreement executed from time
to time by a Pledgor in favor of the Administrative Agent in
substantially the forms attached hereto as Exhibit H
with such changes as advisable based on the laws of the
jurisdiction of organization of the Foreign Subsidiary the
ownership interests of which are encumbered by such pledge
agreement, each as amended, modified or supplemented from time to
time. "
Pledged Equity " means sixty-five percent (65%) of
the shares of capital stock of RTI-Claro, Inc., and RTI Europe
Limited and sixty-five percent (65%) of the capital stock,
beneficial, partnership or membership interests of any Foreign
Subsidiary which may from time to time be pledged by a Pledgor
pursuant to Section 6.09.
"
Pledgor " means (i) the Borrower and
(ii) each Domestic Subsidiary which owns, directly or
indirectly, any Foreign Subsidiary which is a Material Subsidiary.
"
Proposed Additional Revolving Credit Commitment " has
the meaning specified in Section 2.18(a)(ii).
"
Purchase " means any transaction, or any series of
related transactions, consummated on or after the date of this
Agreement, by which any Loan Party or any Subsidiary
(a) acquires any going business or all or substantially all of
the assets of any Person or division or line of business thereof,
whether through purchase of assets, merger or otherwise, or
(b) directly or indirectly acquires (in one transaction or as
of the most recent transaction in a series of transactions) at
least a majority (in number of votes) of the securities of a
corporation which have ordinary voting power for the election of
directors (other than securities having such power only by reason
of the happening of a contingency) or a majority (by percentage or
voting power) of the outstanding partnership interests of a
partnership.
"
Ratable Share" means the proportion that a
Lender’s Commitment (excluding the Swing Loan Commitment)
bears to the Commitments (excluding the Swing Loan Commitments) of
all of the Lenders. If the Commitments have terminated or expired,
the
20
Ratable Share shall be determined based upon the Commitments
most recently in effect, giving effect to any assignments.
"
Register " has the meaning specified in
Section 10.06(c).
"
Related Parties " means, with respect to any Person,
such Person’s Affiliates and the partners, directors,
officers, employees, agents and advisors of such Person and of such
Person’s Affiliates.
"
Reportable Event " means a reportable event as
defined in Section 4043 of ERISA and the regulations issued
under such section, with respect to a Pension Plan, excluding,
however, such events as to which the PBGC has by regulation waived
the requirement of Section 4043(a) of ERISA that it be notified
within thirty (30) days of the occurrence of such event
pursuant to subsection
.22, .23, .27, .28
or .31 of DOL Regulations Section 4043.
"
Required Lenders " means, as of any date of
determination, Lenders having more than fifty percent (50%) of the
Aggregate Commitments or, if the commitment of each Lender to make
Loans has been terminated pursuant to Section 8.02(a), Lenders
holding in the aggregate more than fifty percent (50%) of the Total
Outstandings; provided that the Commitment of, and the portion of
the Total Outstandings held or deemed held by, any Defaulting
Lender shall be excluded for purposes of making a determination of
Required Lenders.
"
Revolving Credit Assumption Agreement " has the
meaning specified in Section 2.17(d)(ii).
"
Revolving Credit Commitment " means as to any Lender
(a) the amount set forth opposite such Lender’s name on
Schedule 2.01 hereto as such Lender’s "Revolving
Credit Commitment", (b) if such Lender has become a Lender
hereunder pursuant to an Assignment and Assumption, the amount set
forth as such Lender’s "Revolving Credit Commitment" in such
Assignment and Assumption or (c) if such Lender has entered into
any Assignment and Assumption, the amount set forth as such
Lender’s "Revolving Credit Commitment" in the Register
maintained by the Administrative Agent pursuant to
Section 10.06(c), as such amount may be reduced pursuant to
Section 2.08. The aggregate amount of the Revolving Credit
Commitments on the Closing Date is Two Hundred Million and 00/100
Dollars ($200,000,000.00).
"
Revolving Credit Commitment Date " has the meaning
specified in Section 2.17(b).
"
Revolving Credit Commitment Increase " has the
meaning specified in Section 2.17(a).
21
"
Revolving Credit Increase Date " has the meaning
specified in Section 2.17(a).
"
Revolving Credit Maturity Date " means the earliest
of (a) September 27, 2012, subject to extension pursuant
to Section 2.18, (b) the date of termination in whole of
the Revolving Credit Commitments pursuant to Section 2.08 and
(c) the date of the termination in whole of the Commitments
pursuant to Section 8.02(a).
"
Revolving Credit Note " means a promissory note made
by the Borrower in favor of a Lender evidencing the Revolving Loans
made by such Lender, substantially in the form of
Exhibit D , as amended, modified or supplemented from
time to time.
"
Revolving Loan " means a Loan by a Lender to the
Borrower as part of a Revolving Loan Borrowing and refers to a Base
Rate Loan or a Eurodollar Rate Loan, each of which shall be a "
Type " of Revolving Loan.
"
Revolving Loan Borrowing " means a borrowing
consisting of simultaneous Revolving Loans of the same Type made be
each of the Lenders pursuant to Section 2.01.
"
Revolving Loan Outstandings " means, at any time, the
then aggregate outstanding principal amount of all Revolving Loans.
"
S&P " means Standard & Poor’s Ratings
Services, a division of The McGraw-Hill Companies, Inc. and any
successor thereto.
"
SEC " means the Securities and Exchange Commission,
or any Governmental Entity succeeding to any of its principal
functions.
"
Solvent " shall mean, with respect to any person on a
particular date, that on such date (i) the fair value of the
property of such person is greater than the total amount of
liabilities, including, without limitation, contingent liabilities,
of such person, (ii) the present fair salable value of the
assets of such person is not less than the amount that will be
required to pay the probable liability of such person on its debts
as they become absolute and matured, (iii) such person does
not intend to, and does not believe that it will, incur debts or
liabilities beyond such person’s ability to pay as such debts
and liabilities mature and (iv) such person is not engaged in
business or a transaction, and is not about to engage in business
or a transaction, for which such person’s property would
constitute an unreasonably small capital. For purposes of the
definition of "Solvent" above, the amount of contingent liabilities
at any time shall be computed as the amount that, in the light of
all the facts and circumstances existing as such time, represents
the amount that can reasonably be expected to become an actual or
matured liability.
"
Subsidiary " means, with respect to any Person, any
entity, whether incorporated or unincorporated (including, without
limitation, any limited liability company or limited
22
partnership), of which at least a majority of the securities
ownership interests having by their terms ordinary voting power to
elect a majority of the board of directors or other Persons
performing similar functions is directly or indirectly owned or
controlled by such Person or by one or more of its respective
Subsidiaries or by such Person and any one or more of its
respective Subsidiaries.
"
Subsidiary Guaranty " means the Subsidiary Guaranty
made by the Guarantors in favor of the Administrative Agent, the
Issuing Bank, the Swing Loan Bank and the Lenders, substantially in
the form of Exhibit G , as supplemented from time to
time pursuant to Section 6.09, each as amended, modified or
supplemented from time to time.
"
Swing Loan " means a Loan made by (a) the Swing
Loan Bank pursuant to Section 2.03 or (b) by any other
Lender pursuant to Section 2.05(b).
"
Swing Loan Bank " means National City Bank or such
other Lenders as shall, with the consent of each Swing Loan Bank,
the Administrative Agent and the Borrower, have assumed all or any
portion of the obligations of a Swing Loan Bank to make Swing
Loans.
"
Swing Loan Borrowing " means a borrowing consisting
of a Swing Loan made by the Swing Loan Bank.
"
Swing Loan Commitment " means an aggregate amount not
to exceed Fifteen Million and 00/100 Dollars ($15,000,000.00) at
any one time.
"
Swing Loan Outstandings " means, at any time, the
aggregate outstanding principal amount of all Swing Loans.
"
Syndication Agent " means Citibank, N.A., in its
capacity as syndication agent under any of the Loan Documents, or
any successor syndication agent.
"
Tax " (including, with correlative meaning, the term
" Taxes ,") includes all federal, state, local and
foreign income, profits, franchise, gross receipts, environmental,
capital stock, severances, stamp, payroll, sales, employment,
unemployment, disability, use, property, withholding, excise,
production, value added, occupancy and other taxes, duties or
assessments of any nature whatsoever, together with all interest,
penalties and additions imposed with respect to such amounts and
any interest in respect of such penalties and additions.
"
Tax Return " includes all returns and reports
(including elections, declarations, disclosures, schedules,
estimates and information returns, as well as attachments thereto
and amendments thereof) required to be supplied to a Tax authority
relating to Taxes.
23
"
Term Loan " means a Loan by a Lender to the Borrower
as part of a Term Loan Borrowing and refers to a Base Rate Loan or
a Eurodollar Rate Loan, each of which shall be a " Type " of
Term Loan.
"
Term Loan Borrowing " means a borrowing consisting of
simultaneous Term Loans of the same Type made by each of the
Lenders pursuant to Section 2.02(a).
"
Term Loan Commitment " means as to any Lender
(a) the amount set forth opposite such Lender’s name on
Schedule 2.02 hereto as such Lender’s "Term Loan
Commitment", (b) if such Lender has become a Lender hereunder
pursuant to an Assignment and Assumption, the amount set forth as
such Lender’s "Term Loan Commitment" in such Assignment and
Assumption or (c) if such Lender has entered into any
Assignment and Assumption, the amount set forth as such
Lender’s "Term Loan Commitment" in the Register maintained by
the Administrative Agent pursuant to Section 10.06(c), in each
case as the Term Loan Outstandings with respect to such Term Loan
Commitment are reduced under this Agreement, including without
limitation, pursuant to Section 2.09(b). The aggregate amount
of the Term Loan Commitments on the Closing Date is Two Hundred
Twenty-Five Million and 00/100 Dollars ($225,000,000.00).
"
Term Loan Maturity Date " means the earliest of
(a) September 27, 2012, and (b) the date of the
termination in whole of the Commitments pursuant to
Section 8.02(a).
"
Term Loan Outstandings " means, at any time, the then
aggregate outstanding principal amount of all Term Loans.
"
Term Note " means a promissory note made by the
Borrower in favor of a Lender evidencing the Term Loan made by such
Lender, substantially in the form of Exhibit E , as
amended, modified or supplemented from time to time.
"
Total Commitments " means Four Hundred Twenty-Five
Million and 00/100 Dollars ($425,000,000.00), as such amount may be
increased or reduced as expressly provided in this Agreement.
"
Total Outstandings " means, at any time, the sum of
(i) the Term Loan Outstandings, (ii) the Revolving Loan
Outstandings, (iii) the Swing Loan Outstandings and the
(iv) the Letter of Credit Outstandings.
"
Transactions " means the execution, delivery and
performance by the Loan Parties of the Loan Documents, the
borrowing of Loans, the issuance of Letters of Credit and the use
of the proceeds thereof.
24
"
Type " means, with respect to a Loan, its character
as a Base Rate Loan or a Eurodollar Rate Loan.
"
Unfunded Liability " means the amount (if any) by
which the present value of all vested and unvested accrued benefits
under a Single Employer Plan exceeds the fair market value of
assets allocable to such benefits, all determined as of the then
most recent valuation date for such Plans based on the actuarial
assumptions used by the Plan’s actuary in the most recent
annual valuation of the Plan.
"
United States " and " U.S. " mean the
United States of America.
"
Unused Revolving Credit Commitment " means, with
respect to each Lender at any time, (a) such Lender’s
Revolving Credit Commitment at such time minus (b) the
sum of (i) the aggregate principal amount of all Revolving
Loans made by such Lender (in its capacity as a Lender) and
outstanding at such time, plus (ii) such Lender’s
Applicable Revolving Credit Percentage of the aggregate Available
Amount of all the Letters of Credit outstanding at such time.
Section 1.02 Other Interpretive Provisions
.
With
reference to this Agreement and each other Loan Document, unless
otherwise specified herein or in such other Loan Document:
(a) The
definitions of terms herein shall apply equally to the singular and
plural forms of the terms defined. Whenever the context may
require, any pronoun shall include the corresponding masculine,
feminine and neuter forms. The words "include," "includes" and
"including" shall be deemed to be followed by the phrase "without
limitation." The word "will" shall be construed to have the same
meaning and effect as the word "shall." Unless the context requires
otherwise, (i) any definition of or reference to any agreement,
instrument or other document (including any Organization Document)
shall be construed as referring to such agreement, instrument or
other document as from time to time amended, supplemented or
otherwise modified (subject to any restrictions on such amendments,
supplements or modifications set forth herein or in any other Loan
Document), (ii) any reference herein to any Person shall be
construed to include such Person’s successors and assigns,
(iii) the words "herein," "hereof" and "hereunder," and words
of similar import when used in any Loan Document, shall be
construed to refer to such Loan Document in its entirety and not to
any particular provision thereof, (iv) all references in a
Loan Document to Articles, Sections, Exhibits and Schedules shall
be construed to refer to Articles and Sections of, and Exhibits and
Schedules to, the Loan Document in which such references appear,
(v) any reference to any law shall include all statutory and
regulatory provisions consolidating, amending replacing or
interpreting such law and any reference to any law or regulation
shall, unless otherwise specified, refer to such law or regulation
as amended, modified or supplemented from time to time, and
25
(vi) the words "asset" and "property" shall be construed to
have the same meaning and effect and to refer to any and all
tangible and intangible assets and properties, including cash,
securities, accounts and contract rights.
(b) In
the computation of periods of time from a specified date to a later
specified date, the word "from" means "from and including;" the
words "to" and "until" each mean "to but excluding;" and the word
"through" means "to and including."
(c) Article
and Section headings herein and in the other Loan Documents are
included for convenience of reference only and shall not affect the
interpretation of this Agreement or any other Loan Document.
Section 1.03 Accounting Terms .
(a)
Generally . All accounting terms not specifically or
completely defined herein shall be construed in conformity with,
and all financial data (including financial ratios and other
financial calculations) required to be submitted pursuant to this
Agreement shall be prepared in conformity with, GAAP applied on a
consistent basis, as in effect from time to time.
(b)
Changes in GAAP . If at any time any change in GAAP would
affect the computation of any financial ratio or requirement set
forth in any Loan Document, and either the Borrower or the Required
Lenders shall so request, the Administrative Agent, the Lenders and
the Borrower shall negotiate in good faith to amend such ratio or
requirement to preserve the original intent thereof in light of
such change in GAAP (subject to the approval of the Required
Lenders); provided that, until so amended, (i) such ratio or
requirement shall continue to be computed in accordance with GAAP
prior to such change therein and (ii) the Borrower shall
provide to the Administrative Agent and the Lenders financial
statements and other documents required under this Agreement or as
reasonably requested hereunder setting forth a reconciliation
between calculations of such ratio or requirement made before and
after giving effect to such change in GAAP.
Section 1.04 Times of Day .
Unless
otherwise specified, all references herein to times of day shall be
references to Eastern time (daylight or standard, as applicable).
Section 1.05 Rounding .
For the
purposes of the calculating the number of shares of Pledged Equity
pursuant to Sections 5.18 and 7.05(c) and the definition of
"Pledged Equity", if the pledge of sixty-five percent (65%) of the
stock or other interests of the applicable Material Subsidiary
would result in the issuance of fractional shares, such lower
percentage that would be rounded up to
26
sixty-five percent (65%) if such percentage were carried to the
first decimal point may be used to determine the number of shares
or other interests. ARTICLE II
THE COMMITMENTS AND LOANS
Section 2.01 Revolving Loans .
(a) Each
Lender severally agrees, on the terms and conditions hereinafter
set forth, to make Revolving Loans to the Borrower from time to
time on any Business Day during the Availability Period in an
aggregate amount not to exceed at any time such Lender’s
Unused Revolving Credit Commitment. Anything in this Agreement to
the contrary notwithstanding, the Total Outstandings shall not on
the date of any extension of credit under this Agreement nor on the
last day of an Interest Period for any outstanding Borrowing exceed
the Total Commitments.
(b) Each
Revolving Loan Borrowing shall be in an aggregate amount of not
less than Ten Million and 00/100 Dollars ($10,000,000.00) or a
whole multiple of One Million and 00/100 Dollars ($1,000,000.00) in
excess thereof or the aggregate Unused Revolving Credit
Commitments, if less. Each Revolving Loan Borrowing shall consist
of Revolving Loans of the same Type made on the same day by the
Lenders ratably according to their respective Revolving Credit
Commitments.
(c) Within
the limits set forth above, the Borrower may from time to time
borrow, prepay pursuant to Section 2.07, repay pursuant to
Section 2.09 and reborrow under this Section 2.01.
Section 2.02 Term Loans .
(a) Subject
to the terms and conditions hereof, and relying upon the
representations and warranties herein set forth, each Lender
severally agrees to make a Term Loan to the Borrower on the Closing
Date in the aggregate principal amount of Two Hundred Twenty-Five
Million and 00/100 Dollars ($225,000,000.00) based upon and not to
exceed such Lender’s Term Loan Commitment. Anything in this
Agreement to the contrary notwithstanding, the Total Outstandings
shall not on the date of any extension of credit under this
Agreement nor on the last day of an Interest Period for any
outstanding Borrowing exceed the Total Commitments.
(b) The
obligations of each Lender to make Term Loans to the Borrower shall
be in proportion to such Lender’s Applicable Term Loan
Percentage, but each Lender’s Term Loan to the Borrower shall
never exceed the Term Loan Commitment. The failure of any Lender to
make a Term Loan shall not relieve any other Lender of its
obligations to make a Term Loan nor shall it impose any additional
liability on any other Lender hereunder. The Lenders
27
shall have no obligation to make Term Loans hereunder after the
Closing Date. The Term Loan Commitments are not revolving credit
commitments, and the Borrower shall not have the right to borrow,
repay and reborrow under this Section 2.02.
Section 2.03 Swing Loans .
(a) The
Borrower may request the Swing Loan Bank to make, and the Swing
Loan Bank agrees, on the terms and conditions hereof including the
limitation set forth in Section 2.01(b), to make Swing Loans
to the Borrower from time to time on any Business Day during the
Availability Period in an aggregate amount not to exceed at any
time outstanding Fifteen Million and 00/100 Dollars
($15,000,000.00).
(b) Each
Swing Loan shall be a Base Rate Loan or shall bear interest at such
other interest rate as mutually agreed to between the Borrower and
the Swing Loan Bank.
(c) Within
the limits of the Swing Loan Commitments and the Unused Revolving
Credit Commitments as aforesaid, the Borrower may borrow under this
Section 2.03, prepay pursuant to Section 2.07, repay
pursuant to Section 2.09 and reborrow under this
Section 2.03.
Section 2.04 Letters of Credit.
(a) The
Issuing Bank agrees, on the terms and conditions hereof, to issue
one or more letters of credit (each, a " Letter of
Credit ") for the account of the Borrower, or any
Subsidiary of the Borrower, from time to time on any Business Day
during the Availability Period until the date thirty (30) days
before the then scheduled Revolving Credit Maturity Date,
provided that (i) the aggregate Available Amount of all
Letters of Credit shall not exceed at any time the Letter of Credit
Facility (ii) the Available Amount of such Letters of Credit
shall not exceed the aggregate Unused Revolving Credit Commitments
of the Lenders at such time and (iii) if a Letter of Credit
shall be issued for a Subsidiary of the Borrower, the Borrower
shall cause such Subsidiary to be a co-applicant with the Borrower
with respect to such Letter of Credit.
(b) No
Letter of Credit shall have an expiration date (including all
rights of the Borrower or the beneficiary thereof to require
renewal of, or to have automatically renewed, such Letter of
Credit) later than thirty (30) days before the then scheduled
Revolving Credit Maturity Date (as in effect on the date of
issuance of the applicable Letter of Credit).
(c) Any
Letter of Credit may provide that it will be automatically renewed
annually unless notice is given (1) by the Borrower to the
relevant Issuing Bank not less than five (5) Business Days
prior to the date of the automatic renewal of such Letter of
Credit, that such Letter of Credit will not be renewed, or
(2) by the relevant Issuing Bank to the Borrower
28
not less than thirty (30) Business Days prior to the date
of the automatic renewal of such Letter of Credit, of its election
not to renew such Letter of Credit; provided ,
however , that no Issuing Bank shall give such a notice
except (A) at any time during the continuance of any Event of
Default or (B) if any automatic renewal would extend a Letter
of Credit expiration date to later than thirty (30) days prior
to the then scheduled Revolving Credit Maturity Date. In either
case in which such notice is given pursuant to the preceding
sentence, such Letter of Credit will expire on the date it would
otherwise have been automatically renewed, provided that the
terms of such Letter of Credit may (y) require the relevant
Issuing Bank forthwith to give to the named beneficiary of such
Letter of Credit notice of any notice given pursuant to the
preceding sentence and (z) permit the beneficiary, upon
receipt of the notice under clause (y), to draw under such Letter
of Credit prior to the date such Letter of Credit would otherwise
have been automatically renewed.
(d) Within
the limits of the Letter of Credit Facility, the Borrower may
request the issuance of Letters of Credit under
Section 2.04(a), repay any Letter of Credit Loans resulting
from drawings thereunder and request the issuance of additional
Letters of Credit under Section 2.04(a).
(e) Each
letter of credit listed on Schedule 2.04 shall be
deemed to constitute a Letter of Credit issued hereunder, and each
Lender or each Affiliate of a Lender that is an issuer of such a
Letter of Credit shall, for purposes of Section 2.19, be
deemed to be the Issuing Bank for each such letter of credit,
provided than any renewal or replacement of any such letter
of credit shall be issued by the Issuing Bank pursuant to the terms
of this Agreement.
Section 2.05 Term Loan Borrowing; Revolving Loan
Borrowings, Swing Loan Borrowings .
(a)
Term Loan Borrowing . (i) The
Term Loan Borrowing shall be made on notice, given not later than
(x) in the case of a Term Loan Borrowing comprised of
Eurodollar Rate Loans, 12:00 noon (New York City time) on the third
(3rd) Business Day prior to the Closing Date, and (y) in the
case of a Term Loan Borrowing comprised of Base Rate Loans,
10:00 A.M. (New York City time) on the Closing Date, by the
Borrower to the Administrative Agent, which shall give to each
Lender prompt notice thereof by telecopier, telex, cable or
electronic mail. The notice of Term Loan Borrowing shall be made in
the form of a written Loan Notice, or orally and confirmed
immediately in writing, by telecopier, telex, cable or electronic
mail, in the form of a written Loan Notice, specifying therein the
requested (i) Type of Term Loan comprising the Term Loan
Borrowing, (ii) aggregate amount of such Term Loan Borrowing
and (iii) in the case of a Term Loan Borrowing comprised of
Eurodollar Rate Loans, the Interest Period for such Term Loan. Each
Lender shall (A) before 11:00 A.M. (New York City time)
on the Closing Date (in the
29
case of a Eurodollar Rate Borrowing) and (B) before 1:00
P.M. (New York City time) on the Closing Date of such Term Loan
Borrowing (in the case of a Base Rate Borrowing), make available
for the account of its applicable Lending Office to the
Administrative Agent at the Administrative Agent’s Account in
same day funds, such Lender’s ratable portion of such Term
Loan Borrowing (based upon its Applicable Term Loan Percentage).
After the Administrative Agent’s receipt of such funds and
upon fulfillment of the applicable conditions set forth in
Section 4.01, the Administrative Agent will make such funds
available to the Borrower in such manner as the Administrative
Agent and the Borrower may agree.
(ii) Subject to Sections 3.02
and 3.03, the notice of Term Loan Borrowing shall be irrevocable
and binding on the Borrower. If the notice of Term Loan Borrowing
specifies such Term Loan Borrowing is to be comprised of Eurodollar
Rate Loans, the Borrower shall indemnify each relevant Lender
against any loss, cost or expense incurred by such Lender as a
result of any failure to fulfill on or before the Closing Date the
applicable conditions set forth in Section 4.01, including,
without limitation, any loss (excluding loss of anticipated
profits), cost or expense incurred by reason of the liquidation or
reemployment of deposits or other funds acquired by such Lender to
fund the Term Loan to be made by such Lender as part of such Term
Loan Borrowing when such Term Loan, as a result of such failure, is
not made on such date. (iii) The
failure of any Lender to make the Term Loan to be made by it as
part of the Term Loan Borrowing shall not relieve any other Lender
of its obligation, if any, hereunder to make its Term Loan on the
Closing Date, but no Lender shall be responsible for the failure of
any other Lender to make the Term Loan to be made by such other
Lender on the Closing Date. (iv) If
any Lender makes available to the Administrative Agent funds for
the Term Loan to be made by such Lender as provided in the
foregoing provisions of this Article II, and such funds are
not made available on the Closing Date to the Borrower by the
Administrative Agent because the conditions to the Term Loan
Borrowing set forth in Section 4.01 are not satisfied or
waived in accordance with the terms hereof, the Administrative
Agent shall return such funds (in like funds as received from such
Lender) to such Lender within one (1) Business Day, without
interest. (v) The obligations of the
Lenders hereunder to make Term Loans and to make payments pursuant
to Section 10.04(c) are several and not joint. The failure of
any Lender to make any Term Loan or to make any payment under
Section 10.04(c) on any date required hereunder shall not
relieve any other Lender of its corresponding obligation to do so
on such date, and no Lender shall be responsible for the failure of
any other Lender to so make its Term Loan or to make its payment
under Section 10.04(c).
30
(vi) Nothing herein shall be
deemed to obligate any Lender to obtain the funds for the Term Loan
in any particular place or manner or to constitute a representation
by any Lender that it has obtained or will obtain the funds for the
Term Loan in any particular place or manner.
(b)
Revolving Loan Borrowings . (i) Each Revolving Loan
Borrowing shall be made on notice, given not later than
(x) 12:00 noon (New York City time) on the third (3rd)
Business Day prior to the date of a Eurodollar Rate Borrowing, and
(y) 10:00 A.M. (New York City time) on the day of a Base
Rate Borrowing, by the Borrower to the Administrative Agent, which
shall give to each Lender prompt notice thereof by telecopier,
telex, cable or electronic mail. Each notice of a Revolving Loan
Borrowing (a " Notice of Revolving Loan Borrowing ")
shall be made in the form of a written Loan Notice, or orally and
confirmed immediately in writing, by telecopier, telex, cable or
electronic mail, in the form of a written Loan Notice, specifying
therein the requested (i) date of such Revolving Loan
Borrowing (which shall be a Business Day), (ii) Type of
Revolving Loan comprising such Revolving Loan Borrowing,
(iii) aggregate amount of such Revolving Loan Borrowing and
(iv) in the case of a Revolving Loan Borrowing comprised of
Eurodollar Rate Loans, the Interest Period for each such Revolving
Loan. Each Lender shall (A) before 11:00 A.M. (New York
City time) on the date of such Borrowing (in the case of a
Eurodollar Rate Borrowing) and (B) before 1:00 P.M. (New York
City time) on the date of such Borrowing (in the case of a Base
Rate Borrowing), make available for the account of its applicable
Lending Office to the Administrative Agent at the Administrative
Agent’s Account in same day funds, such Lender’s
ratable portion of such Borrowing (based upon its Applicable
Revolving Credit Percentage). After the Administrative
Agent’s receipt of such funds and upon fulfillment of the
applicable conditions set forth in Section 4.02, the
Administrative Agent will make such funds available to the Borrower
in such manner as the Administrative Agent and the Borrower may
agree; provided , however , that the Administrative
Agent shall first make a portion of such funds equal to the
aggregate principal amount of any Swing Loan and Letter of Credit
Loans as to which the Borrower has received timely notice made by
the Swing Loan Bank or the Issuing Bank, as the case may be, and by
any other Lender and outstanding on the date of such Revolving Loan
Borrowing, plus interest accrued and unpaid thereon to and as of
such date, available to the Swing Loan Bank or the Issuing Bank, as
the case may be, and such other Lenders for repayment of such Swing
Loans and Letter of Credit Loans.
(ii) Subject to Sections 3.02
and 3.03, each Notice of Revolving Loan Borrowing shall be
irrevocable and binding on the Borrower. In the case of any
Revolving Loan Borrowing by the Borrower which the related Notice
of Revolving Loan Borrowing specifies is to be comprised of
Eurodollar Rate Loans, the Borrower shall indemnify each relevant
Lender against any loss, cost or expense incurred by such Lender as
a result of any failure to fulfill on or before the date specified
in such Notice of Revolving Loan Borrowing for such Revolving Loan
Borrowing the applicable conditions set forth in Section 4.02,
including, without limitation, any loss (excluding
31
loss of anticipated profits), cost or expense incurred by reason
of the liquidation or reemployment of deposits or other funds
acquired by such Lender to fund the Revolving Loan to be made by
such Lender as part of such Revolving Loan Borrowing when such
Revolving Loan, as a result of such failure, is not made on such
date. (iii) Unless the Administrative
Agent shall have received notice from a Lender prior to the time
any Revolving Loan Borrowing is required to be made that such
Lender will not make available to the Administrative Agent such
Lender’s ratable portion of such Revolving Loan Borrowing,
the Administrative Agent may assume that such Lender has made such
portion available to the Administrative Agent on the date of such
Revolving Loan Borrowing in accordance with subsection (b)(i) of
this Section 2.05 and the Administrative Agent may, in
reliance upon such assumption, make available to the Borrower on
such date a corresponding amount. If and to the extent that such
Lender shall not have so made such ratable portion available to the
Administrative Agent, such Lender agrees to pay to the
Administrative Agent forthwith on demand a fee in the amount of Two
Hundred Dollars ($200.00), and such Lender and the Borrower
severally agree to repay to the Administrative Agent forthwith on
demand such ratable portion of such Revolving Loan Borrowing
together with interest thereon, for each day from the date such
amount is made available to the Borrower until the date such amount
is repaid to the Administrative Agent, at (A) in the case of
the Borrower, the interest rate applicable at the time to Revolving
Loans comprising such Revolving Loan Borrowing and (ii) in the
case of such Lender, the Federal Funds Rate, provided that
the Borrower retains its rights against such Lender with respect to
any damages it may incur as a result of such Lender’s failure
to fund, and notwithstanding anything herein to the contrary, in no
event shall the Borrower be liable to such Lender or any other
Person for the interest payable by such Lender to the
Administrative Agent pursuant to this sentence. If such Lender
shall repay to the Administrative Agent such corresponding amount,
such amount so repaid shall constitute such Lender’s
Revolving Loan as part of such Revolving Loan Borrowing for
purposes of this Agreement. (iv) The
failure of any Lender to make the Revolving Loan to be made by it
as part of any Revolving Loan Borrowing shall not relieve any other
Lender of its obligation, if any, hereunder to make its Revolving
Loan on the date of such Revolving Loan Borrowing, but no Lender
shall be responsible for the failure of any other Lender to make
the Revolving Loan to be made by such other Lender on the date of
any Revolving Loan Borrowing. (v) If
any Lender makes available to the Administrative Agent funds for
any Loan to be made by such Lender as provided in the foregoing
provisions of this Article II, and such funds are not made
available to the Borrower by the Administrative Agent because the
conditions to the applicable Borrowing set forth in
Section 4.02 are not satisfied or waived in accordance with
the terms hereof, the Administrative Agent
32
shall return such funds (in like funds as received from such
Lender) to such Lender, without interest.
(vi) The obligations of the Lenders
hereunder to make Loans and to make payments pursuant to
Section 10.04(c) are several and not joint. The failure of any
Lender to make any Loan or to make any payment under
Section 10.04(c) on any date required hereunder shall not
relieve any other Lender of its corresponding obligation to do so
on such date, and no Lender shall be responsible for the failure of
any other Lender to so make its Loan or to make its payment under
Section 10.04(c).
(vii) Nothing herein shall be
deemed to obligate any Lender to obtain the funds for any Loan in
any particular place or manner or to constitute a representation by
any Lender that it has obtained or will obtain the funds for any
Loan in any particular place or manner.
(c)
Swing Loan Borrowings . (i) Each Swing Loan Borrowing
shall be made on oral notice, given not later than 2:00 P.M. (New
York City time) on the date of such proposed Swing Loan Borrowing
by the Borrower to the Administrative Agent (who shall promptly
inform the Swing Loan Bank thereof). Promptly thereafter, the
Borrower shall give written notice of the Swing Loan Borrowing
(each such notice a " Notice of Swing Loan Borrowing
") to the Administrative Agent by electronic mail (which shall give
to the Swing Loan Bank prompt notice thereof by electronic mail),
and shall specify therein (i) the date of such Borrowing
(which shall be a Business Day), (ii) the amount of such
Borrowing and (iii) the account of the Borrower to which the
proceeds of such Borrowing are to be made available.
(ii) Upon (i) demand by the
Swing Loan Bank, each other Lender shall purchase from the Swing
Loan Bank, and the Swing Loan Bank shall sell and assign to each
other Lender, such other Lender’s Applicable Revolving Credit
Percentage of each outstanding Swing Loan made by the Swing Loan
Bank together with related claims for accrued and unpaid interest
or (ii) an Event of Default of the type referred to in clauses
(a), (f), (g) or (h) of Section 8.01, upon a Change
of Control or any rescission or restoration of any payment received
by the Swing Loan Bank in respect of any Swing Loan (whether as a
result of proceedings in bankruptcy or otherwise), each Lender
shall purchase from the Swing Loan Bank, and the Swing Loan Bank
shall sell and assign to each Lender, such Lender’s
Applicable Revolving Credit Percentage of each outstanding Swing
Loan together with related claims for accrued and unpaid interest,
in each case by making available for the account of its Applicable
Lending Office to the Administrative Agent for the account of the
Swing Loan Bank by deposit to the Administrative Agent at its
aforesaid address, in same day funds, an amount equal to the sum of
(x) the portion of the outstanding principal amount of such
Swing Loans to be purchased by such Lender plus
(y) interest accrued and unpaid to and as of such date on such
portion of the outstanding principal amount of such Swing Loans.
Each Lender’s obligation to make
33
such payments to the Administrative Agent for the account of the
Swing Loan Bank under this paragraph (b)(ii), and the Swing Loan
Bank’s right to receive the same, shall be absolute and
unconditional and shall not be affected by any circumstance
whatsoever, including, without limitation, the failure of any other
Lender to make its payment under this paragraph (c)(ii), the
financial condition of the Borrower (or any other Person), the
existence of any Default, the failure of any of the conditions set
forth in Section 4.02 to be satisfied, or the termination of the
Commitments. Each such payment to the Swing Loan Bank shall be made
without any offset, abatement, withholding or reduction whatsoever.
Each Lender agrees to purchase its Applicable Revolving Credit
Percentage of such outstanding Swing Loans as described above on
(i) the Business Day on which demand therefor is made by the
Swing Loan Bank, provided that notice of such demand is
given not later than 11:00 A.M. (New York City time) on such
Business Day or (ii) the first (1st) Business Day next
succeeding such demand if notice of such demand is given after such
time. Upon any such assignment by the Swing Loan Bank to any other
Lender of a portion of the Swing Loan Bank’s Swing Loans, the
Swing Loan Bank represents and warrants to such other Lender that
the Swing Loan Bank is the legal and beneficial owner of such
interest being assigned by it, but makes no other representation or
warranty and assumes no responsibility with respect to such Swing
Loan, the Loan Documents or any party thereto. If and to the extent
that any Lender shall not have so made the amount of such Swing
Loan available to the Administrative Agent, such Lender agrees to
pay to the Administrative Agent for the account of the Swing Loan
Bank forthwith on demand such amount together with interest
thereon, for each day from the date of demand by the Swing Loan
Bank until the date such amount is paid to the Administrative
Agent, at the Federal Funds Rate. If such Lender shall pay to the
Administrative Agent such amount for the account of the Swing Loan
Bank, such amount so paid in respect of principal shall constitute
a Swing Loan by such Lender for purposes of this Agreement, and the
outstanding principal amount of the Swing Loans made by the Swing
Loan Bank shall be reduced by such amount pro rata .
Section 2.06 Conversions or Continuations
.
(a) Each
conversion of Loans from one Type to the other and each
continuation of Eurodollar Rate Loans shall be made upon the
Borrower’s irrevocable notice to the Administrative Agent,
which may be given by telephone or in the form of a written
Conversion or Continuation Notice. Each such notice must be
received by the Administrative Agent not later than 12:00 noon
three (3) Business Days prior to the requested date of any
conversion to or continuation of Eurodollar Rate Loans or of any
conversion of Eurodollar Rate Loans to Base Rate Loans. Each
telephonic notice by the Borrower pursuant to this
Section 2.06(a) must be confirmed promptly by delivery to the
Administrative Agent of a written Conversion or Continuation Notice
appropriately completed and signed by an Authorized Officer of the
Borrower. Each conversion to or continuation of Eurodollar Rate
Loans shall be in a principal amount of Ten Million and 00/100
Dollars ($10,000,000.00) or a whole multiple of
34
One Million and 00/100 Dollars ($1,000,000.00) in excess
thereof. Each conversion to Base Rate Loans shall be in a principal
amount of Five Hundred Thousand and 00/100 Dollars ($500,000.00) or
a whole multiple of One Hundred Thousand and 00/100 Dollars
($100,000.00) in excess thereof. Each Conversion or Continuation
Notice (whether telephonic or written) shall specify
(i) whether the Borrower is requesting a conversion of Loans
from one Type to the other or a continuation of Eurodollar Rate
Loans, (ii) the requested date of the conversion or
continuation, as the case may be (which shall be a Business Day),
(iii) the principal amount of Loans to be converted or
continued, (iv) the Type of Loans to which existing Loans are
to be converted, and (v) if applicable, the duration of the
Interest Period with respect thereto. If the Borrower fails to give
a timely notice requesting a conversion or continuation, then the
applicable Loans shall be made as, or converted to, Base Rate
Loans. Any such automatic conversion to Base Rate Loans shall be
effective as of the last day of the Interest Period then in effect
with respect to the applicable Eurodollar Rate Loans. If the
Borrower requests a conversion to, or continuation of Eurodollar
Rate Loans in any such Conversion or Continuation Notice, but fails
to specify an Interest Period, it will be deemed to have specified
an Interest Period of one month.
(b) Except
as otherwise provided herein, a Eurodollar Rate Loan may be
continued or converted only on the last day of an Interest Period
for such Eurodollar Rate Loan. During the existence of an Event of
Default, no Loans may be converted to or continued as Eurodollar
Rate Loans without the consent of the Required Lenders.
(c) The
Administrative Agent shall promptly notify the Borrower and the
Lenders of the interest rate applicable to any Interest Period for
Eurodollar Rate Loans upon determination of such interest rate. At
any time that Base Rate Loans are outstanding, the Administrative
Agent shall notify the Borrower and the Lenders of any change in
the Administrative Agent’s prime rate used in determining the
Base Rate promptly following the public announcement of such
change.
(d) After
giving effect to all Borrowings, all conversions of Loans from one
Type to the other, and all continuations of Loans as the same Type,
there shall not be more than eight Interest Periods in effect with
respect to Loans.
Section 2.07 Prepayments .
(a)
Voluntary Prepayments . The Borrower may, upon notice to the
Administrative Agent, at any time or from time to time voluntarily
prepay Loans in whole or in part without premium or penalty;
provided that (i) such notice must be received by the
Administrative Agent not later than 10:00 a.m. (A) two
(2) Business Days prior to any date of prepayment of
Eurodollar Rate Loans and (B) on the date of prepayment of
Base Rate Loans; (ii) any prepayment of Loans shall be in a
principal amount of Ten Million and 00/100 Dollars ($10,000,000.00)
or a whole multiple of One Million and 00/100 Dollars
($1,000,000.00) in
35
excess thereof; if less, the entire principal amount thereof
then outstanding. Each such notice shall specify the date and
amount of such prepayment and the Type(s) of Loans to be prepaid.
All Term Loan prepayments permitted pursuant to this
Section 2.07 shall be applied ratably to the unpaid
installments of principal on the Term Loans. If the Borrower
prepays a Loan but fails to specify the applicable Eurodollar Rate
Loan which the Borrower is prepaying, the prepayment shall be
applied (i) first to Revolving Loans and then to Term Loans;
and (ii) after giving effect to the allocations in clause
(i) above and in the preceding sentence, first to Loans to
Base Rate Loans, then to Eurodollar Rate Loans. The Administrative
Agent will promptly notify each Lender of its receipt of each such
notice, and of the amount of such Lender’s Applicable
Revolving Credit Percentage or Applicable Term Loan Percentage, as
applicable, of such prepayment. If such notice is given by the
Borrower, the Borrower shall make such prepayment and the payment
amount specified in such notice shall be due and payable on the
date specified therein. Any prepayment of a Eurodollar Rate Loan
shall be accompanied by all accrued interest on the amount prepaid,
together with any additional amounts required pursuant to
Section 3.05. Each such prepayment shall be applied to the
Loans of the Lenders in accordance with their respective Applicable
Revolving Credit Percentage or Applicable Term Loan Percentage, as
applicable.
(b)
Mandatory Prepayments . Within three hundred sixty five
(365) days of any sale or other disposition of assets by the
Borrower or such Subsidiary of the Borrower as permitted by Section
7.06(d) when the proceeds of such sale or other disposition or the
aggregate proceeds of all such sales and other dispositions in any
fiscal year exceed Twenty-Five Million and 00/100 Dollars
($25,000,000.00), the Borrower shall make a mandatory prepayment of
principal on the Term Loan equal to the after-tax proceeds of such
sale (as estimated in good faith by the Borrower), together with
accrued interest on such principal amount to the extent that the
Borrower and its Subsidiaries have not reinvested the proceeds of
such sale or other disposition in capital expenditures or
acquisition of replacement assets. All prepayments pursuant to this
Section 2.07(b) shall first be applied ratably to the unpaid
installments of principal on the Term Loan, and then to the
Revolving Loans outstanding, if any, and the excess, if any, shall
be returned to the Borrower. All prepayments required pursuant to
this Section 2.07(b) shall first be applied to the principal
amount of the Base Rate Loans, then to the principal amount of the
Eurodollar Rate Loans. In accordance with Sections 3.04 and
3.05, as applicable, the Borrower shall indemnify the Lenders for
any loss or expense, including loss of margin, incurred with
respect to any such prepayments applied against Eurodollar Rate
Loans on any day other than the last day of the applicable Interest
Period.
(c)
Excess Outstandings . If for any reason the Total
Outstandings (excluding the Term Loan Outstandings) at any time
exceed the Aggregate Revolving Credit Commitments then in effect,
the Borrower shall immediately prepay Loans in an aggregate amount
equal to such excess.
36
(d)
No Reborrowing . Term Loans prepaid pursuant to this
Section 2.07 may not be reborrowed.
Section 2.08 Termination or Reduction of Commitments
.
The
Borrower may, upon notice to the Administrative Agent, terminate
the Aggregate Revolving Credit Commitments or from time to time
permanently reduce the Aggregate Revolving Credit Commitments;
provided that (i) any such notice shall be received by the
Administrative Agent not later than 11:00 a.m. three
(3) Business Days prior to the date of termination or
reduction, (ii) any such partial reduction shall be in an aggregate
amount of Ten Million and 00/100 Dollars ($10,000,000.00) or any
whole multiple of One Million and 00/100 Dollars ($1,000,000.00) in
excess thereof, and (iii) the Borrower shall not terminate or
reduce the Aggregate Revolving Credit Commitments if, after giving
effect thereto and to any concurrent prepayments hereunder, the
Total Outstandings (excluding the Term Loan Outstandings) would
exceed the Aggregate Revolving Credit Commitments. The
Administrative Agent will promptly notify the Lenders of any such
notice of termination or reduction of the Aggregate Revolving
Credit Commitments. Any reduction of the Aggregate Revolving Credit
Commitments shall be applied to the Commitment of each Lender
according to its Applicable Revolving Credit Percentage. All fees
accrued until the effective date of any termination of the
Aggregate Revolving Credit Commitments shall be paid on the
effective date of such termination.
Section 2.09 Repayment of Loans .
(a)
Revolving Loans . The Borrower shall repay to the
Administrative Agent for the account of each Lender the principal
amount of each Revolving Loan made by such Lender to the Borrower,
and each Revolving Loan made by such Lender shall mature, on the
earlier of (i) the last day of the Interest Period for such
Revolving Loan and (ii) the Revolving Credit Maturity Date.
(b)
Term Loans . The Borrower shall repay to the Administrative
Agent for the account of each Lender, as applicable, the principal
amount of the Term Loans made by such Lender to the Borrower in:
consecutive quarterly installments as follows: (i) on the last
Business Day of each March, June, September and December, 2010, a
quarterly installment each in an amount equal to Eleven Million Two
Hundred Fifty Thousand and 00/100 Dollars ($11,250,000.00);
(ii) on the last Business Day of each March, June, September
and December, 2011, a quarterly installment each in an amount equal
to Eleven Million Two Hundred Fifty Thousand and 00/100 Dollars
($11,250,000.00); and (iii) on the last Business Day of each March
and June, 2012, a quarterly installment each in an amount equal to
Thirty Three Million Seven Hundred Fifty Thousand and 00/100
Dollars ($33,750,000.00), with the final installment of the
remaining principal balance and accrued and unpaid interest due and
payable on the Term Loan Maturity Date.
37
(c)
Swing Loans . The Borrower shall repay to the Administrative
Agent for the account of the Swing Loan Bank and each other Lender
that has made a Swing Loan, the outstanding principal amount of
each Swing Loan to the Borrower made by each of them on the earlier
of (i) the first Wednesday following the date of such Swing
Loan Borrowing and (ii) the Revolving Credit Maturity Date.
Section 2.10 Interest .
(a) Subject
to Section 2.10(b), (i) each Eurodollar Rate Loan shall
bear interest on the outstanding principal amount thereof for each
Interest Period at a rate per annum equal to the Eurodollar Rate
for such Interest Period plus the respective Applicable Margin; and
(ii) each Base Rate Loan shall bear interest on the
outstanding principal amount thereof from the applicable borrowing
date at a rate per annum equal to the Base Rate plus the respective
Applicable Margin.
(b) If
any principal of or interest on any Loan or any fee or other amount
payable by the Loan Parties hereunder is not paid when due, whether
at stated maturity, upon acceleration or otherwise, such overdue
amount shall bear interest, after as well as before judgment, at a
rate per annum equal to the Default Rate to the fullest extent
permitted by applicable laws. Accrued and unpaid interest on past
due amounts (including interest on past due interest) shall be due
and payable upon demand.
(c) Interest
on each Loan shall be due and payable in arrears on each Interest
Payment Date applicable thereto and at such other times as may be
specified herein. Interest hereunder shall be due and payable in
accordance with the terms hereof before and after judgment, and
before and after the commencement of any proceeding under any
Debtor Relief Law.
Section 2.11 Interest Rate Determination
.
(a) The
Administrative Agent shall give prompt notice to the Borrower and
the Lenders of the applicable interest rate determined by the
Administrative Agent if the screen rate is unavailable.
(b) If
the Borrower shall fail to select the duration of any Interest
Period for any Eurodollar Rate Loans in accordance with the
provisions contained in the definition of "Interest Period" in
Section 1.01, the Administrative Agent will forthwith so
notify the Borrower and the Lenders and such Loans will
automatically, on the last day of the then existing Interest Period
therefor, convert into Base Rate Loans.
(c) On
the date on which the aggregate unpaid principal amount of
Eurodollar Rate Loans comprising any Borrowing shall be reduced, by
payment or prepayment or
38
otherwise, to less than Ten Million and 00/100 Dollars
($10,000,000.00), such Loans shall automatically, on the last day
of the then existing Interest Period therefor, convert into Base
Rate Loans.
(d) Upon
the occurrence and during the continuance of any Event of Default,
(i) each Eurodollar Rate Loan will automatically, on the last
day of the then existing Interest Period therefor, convert into a
Base Rate Loan and (ii) the obligation of the Lenders to make,
or to convert Loans into, Eurodollar Rate Loans shall be suspended.
(e) If
the Reuters LIBOR01 Screen is unavailable and the Administrative
Agent cannot determine the Eurodollar Rate for any Eurodollar Rate
Loans: (i) the Administrative Agent
shall forthwith notify the Borrower and the Lenders that the
interest rate cannot be determined for such Eurodollar Rate Loans,
(ii) each outstanding Eurodollar Rate
Loan will automatically, on the last day of the then existing
Interest Period therefor, convert into a Base Rate Loan (or if such
Loan is then a Base Rate Loan, will continue as a Base Rate Loan),
and (iii) the obligation of the
Lenders to make Eurodollar Rate Loans or to convert Loans into
Eurodollar Rate Loans shall be suspended until the Administrative
Agent shall notify the Borrower and the Lenders that the
circumstances causing such suspension no longer exist.
Section 2.12 Fees .
(a)
Facility Fee . The Borrower shall pay to the Administrative
Agent for the account of each Lender in accordance with its
Applicable Revolving Credit Percentage, a facility fee equal to the
respective Applicable Margin times the Aggregate Revolving Credit
Commitments. The facility fee shall accrue at all times from and
including the Closing Date to but excluding the Revolving Credit
Maturity Date, including at any time during which one or more of
the conditions in Article IV is not met, and shall be due and
payable quarterly in arrears on the last Business Day of each
September, December, March and June, commencing September 30,
2008, and on the Revolving Credit Maturity Date (and, if
applicable, thereafter on demand).
(b)
Letter of Credit Fees . The Borrower shall pay the following
amounts with respect to Letters of Credit issued by any Issuing
Bank: (i) to the Administrative Agent
for the account of the Issuing Bank with respect to each Letter of
Credit issued by the Issuing Bank, an issuance fee equal to one
eighth of one percent (0.125%) per annum of the Available Amount of
such Letter of
39
Credit, due and payable in arrears on (A) the last Business
Day of each September, December, March and June, commencing on the
first day following the issuance of such Letter of Credit and
(B) the Revolving Credit Maturity Date (and, if applicable,
thereafter on demand); and (ii) to
the Administrative Agent for the ratable account of each Lender, a
letter of credit fee equal to a rate per annum equal to the
Applicable Margin for Eurodollar Rate Loans on the Available Amount
of all outstanding Letters of Credit. The letter of credit fee
shall accrue at all times from and including the Closing Date to
and including the Revolving Credit Maturity Date, including at any
time during which one or more of the conditions in
Section 4.02 is not met, and shall be due and payable in
arrears on (A) the last Business Day of each September,
December, March and June, commencing September 30, 2008 and
(B) the Revolving Credit Maturity Date (and, if applicable,
thereafter on demand).
(c)
Other Fees . The Borrower shall pay: (i) the
Documentation Agent, for its own account, such fees as have been
agreed to pursuant to the Documentation Agent Fee Letter; and
(ii) the Administrative Agent, for its own account or the
account of the Lenders, as applicable, such fees as have been
agreed pursuant to the Administrative Agent Fee Letter.
Section 2.13 Computation of Interest and Fees
.
All
computations of interest for Base Rate Loans shall be made on the
basis of a year of 365 or 366 days, as the case may be, and
actual days elapsed when the Base Rate is determined pursuant to
clause (b) of the definition of Base Rate. All other
computations of fees and interest shall be made on the basis of a
360-day year and actual days elapsed (which results in more fees or
interest, as applicable, being paid than if computed on the basis
of a 365-day year). Interest shall accrue on each Loan for the day
on which the Loan is made, and shall not accrue on a Loan, or any
portion thereof, for the day on which the Loan or such portion is
paid, provided that any Loan that is repaid on the same day on
which it is made shall, subject to Section 2.15(a), bear
interest for one (1) day. Each determination by the
Administrative Agent of an interest rate or fee hereunder shall be
conclusive and binding for all purposes, absent manifest error.
Section 2.14 Evidence of Debt .
The
Loans made by each Lender shall be evidenced by one or more
accounts or records maintained by such Lender and by the
Administrative Agent in the ordinary course of business. The
accounts or records maintained by the Administrative Agent and each
Lender shall be conclusive absent manifest error of the amount of
the Loans made by the Lenders to the Borrower and the interest and
payments thereon. Any failure to so record or any error in doing so
shall not, however, limit or otherwise affect the obligation of the
Borrower hereunder to pay
40
any amount owing with respect to the Obligations. In the event
of any conflict between the accounts and records maintained by any
Lender and the accounts and records of the Administrative Agent in
respect of such matters, the accounts and records of the
Administrative Agent shall control in the absence of manifest
error. Upon the request of any Lender made through the
Administrative Agent, the Borrower shall execute and deliver to
such Lender (through the Administrative Agent) Notes, which shall
evidence such Lender’s Loans in addition to such accounts or
records. Each Lender may attach schedules to its Notes and endorse
thereon the date, Type (if applicable), amount and maturity of its
Loans and payments with respect thereto.
Section 2.15 Payments Generally; Administrative
Agent’s Clawback .
(a)
General . All payments to be made by the Borrower shall be
made without condition or deduction for any counterclaim, defense,
recoupment or setoff. Except as otherwise expressly provided
herein, all payments by the Borrower hereunder shall be made to the
Administrative Agent, for the account of the respective Lenders to
which such payment is owed, at the Administrative Agent’s
Office in Dollars and in immediately available funds not later than
2:00 p.m. on the date specified herein. The Administrative Agent
will promptly distribute to each Lender its Applicable Revolving
Credit Percentage or Applicable Term Loan Percentage, as
applicable, (or other applicable share as provided herein) of such
payment in like funds as received by wire transfer to such
Lender’s Lending Office. All payments received by the
Administrative Agent after 2:00 p.m. shall be deemed received on
the next succeeding Business Day and any applicable interest or fee
shall continue to accrue. If any payment to be made by the Borrower
shall come due on a day other than a Business Day, payment shall be
made on the next following Business Day, and such extension of time
shall be reflected in computing interest or fees, as the case may
be.
(b)
Payments by Borrower; Presumptions by Administrative Agent .
Unless the Administrative Agent shall have received notice from the
Borrower prior to the date on which any payment is due to the
Administrative Agent for the account of the Lenders hereunder that
the Borrower will not make such payment, the Administrative Agent
may assume that the Borrower has made such payment on such date in
accordance herewith and may, in reliance upon such assumption,
distribute to the Lenders the amount due. In such event, if the
Borrower has not in fact made such payment, then each of the
Lenders severally agrees to repay to the Administrative Agent
forthwith on demand the amount so distributed to such Lender, in
immediately available funds with interest thereon, for each day
from and including the date such amount is distributed to it to but
excluding the date of payment to the Administrative Agent, at the
greater of the Federal Funds Rate and a rate determined by the
Administrative Agent in accordance with banking industry rules on
interbank compensation. A notice of the Administrative Agent to any
Lender or the Borrower with respect to any amount owing under this
Section 2.15(b) shall be conclusive, absent manifest
error.
41
Section 2.16 Sharing of Payments by Lenders
.
If any
Lender shall, by exercising any right of setoff or counterclaim or
otherwise, obtain payment in respect of any principal of or
interest on any of the Loans made by it resulting in such
Lender’s receiving payment of a proportion of the aggregate
amount of such Loans and accrued interest thereon greater than its
pro rata share thereof as provided herein, then the Lender
receiving such greater proportion shall (a) notify the
Administrative Agent of such fact, and (b) purchase (for cash
at face value) participations in the Loans of the other Lenders, or
make such other adjustments as shall be equitable, so that the
benefit of all such payments shall be shared by the Lenders ratably
in accordance with the aggregate amount of principal of and accrued
interest on their respective Loans and other amounts owing them,
provided that: (i) if any such
participations are purchased and all or any portion of the payment
giving rise thereto is recovered, such participations shall be
rescinded and the purchase price restored to the extent of such
recovery, without interest; and (ii)
the provisions of this Section 2.16 shall not be construed to
apply to (x) any payment made by the Borrower pursuant to and
in accordance with the express terms of this Agreement or
(y) any payment obtained by a Lender as consideration for the
assignment of or sale of a participation in any of its Loans to any
assignee or participant, other than to the Borrower or any
Subsidiary thereof (as to which the provisions of this
Section 2.16 shall apply). The Borrower consents to the
foregoing and agrees, to the extent it may effectively do so under
applicable law, that any Lender acquiring a participation pursuant
to the foregoing arrangements may exercise against the Borrower
rights of setoff and counterclaim with respect to such
participation as fully as if such Lender were a direct creditor of
the Borrower in the amount of such participation.
Section 2.17 Increase in the Aggregate Revolving Credit
Commitments .
(a) The
Borrower may, at any time but in any event not more than once in
any calendar year prior to the Revolving Credit Maturity Date, by
notice to the Administrative Agent in the form attached hereto as
Exhibit C , request that the aggregate amount of the
Revolving Credit Commitments be increased by an amount of at least
Ten Million and 00/100 Dollars ($10,000,000.00) or an integral
multiple of Five Million and 00/100 Dollars ($5,000,000.00) in
excess thereof (each a " Revolving Credit Commitment
Increase ") to be effective as of a date that is at least
ninety (90) days prior to the scheduled Revolving Credit Maturity
Date then in effect (the " Revolving Credit Increase
Date ") as specified in the related notice to the
Administrative Agent; provided , however that
(i) in no event shall the aggregate amount of the Revolving
Credit Commitments at any time exceed Three Hundred Million and
00/100 Dollars ($300,000,000.00) and (ii) on the date of any
request by the Borrower for a Revolving Credit Commitment
Increase
42
and on the related Revolving Credit Increase Date the conditions
set forth in Section 4.03 shall have been satisfied.
(b) The
Administrative Agent shall promptly notify the Lenders of a request
by the Borrower for a Revolving Credit Commitment Increase, which
notice shall include (i) the proposed amount of such requested
Revolving Credit Commitment Increase, (ii) the proposed
Revolving Credit Increase Date and (iii) the date by which
Lenders wishing to participate in the Revolving Credit Commitment
Increase must commit to an increase in the amount of their
respective Revolving Credit Commitments (the " Revolving
Credit Commitment Date "). Each Lender that is willing to
participate in such requested Revolving Credit Commitment Increase
(each an " Increasing Revolving Credit Lender ")
shall, in its sole discretion, give written notice to the
Administrative Agent on or prior to the Revolving Credit Commitment
Date of the amount by which it is willing to increase its Revolving
Credit Commitment. If the Lenders notify the Administrative Agent
that they are willing to increase the amount of their respective
Revolving Credit Commitments by an aggregate amount that exceeds
the amount of the requested Revolving Credit Commitment Increase,
the requested Revolving Credit Commitment Increase shall be
allocated among the Lenders pro rata in accordance with the
aggregate Revolving Loan Commitments of such Increasing Revolving
Credit Lenders.
(c) Promptly
following each Revolving Credit Commitment Date, the Administrative
Agent shall notify the Borrower as to the amount, if any, by which
the Lenders are willing to participate in the requested Revolving
Credit Commitment Increase. If the aggregate amount by which the
Lenders are willing to participate in any requested Revolving
Credit Commitment Increase on any such Revolving Credit Commitment
Date is less than the requested Revolving Credit Commitment
Increase, then the Borrower may extend offers to one or more
Eligible Assignees to participate in any portion of the requested
Revolving Credit Commitment Increase that has not been committed to
by the Lenders as of the applicable Revolving Credit Commitment
Date; provided , however , that the Revolving Credit
Commitment of each such Eligible Assignee shall be in an amount of
Five Million and 00/100 Dollars ($5,000,000.00) or an integral
multiple of One Million and 00/100 Dollars ($1,000,000.00) in
excess thereof.
(d) On
each Revolving Credit Increase Date, each Eligible Assignee that
accepts an offer to participate in a requested Revolving Credit
Commitment Increase in accordance with Section 2.17(c) (each
such Eligible Assignee, an " Assuming Revolving Credit
Lender ") shall become a Lender party to this Agreement as
of such Revolving Credit Increase Date and the Revolving Credit
Commitment of each Increasing Revolving Credit Lender for such
requested Revolving Credit Commitment Increase shall be so
increased by such amount (or by the amount allocated to such Lender
pursuant to the last sentence of Section 2.17(b)) as of such
Revolving Credit Increase Date; provided , however ,
that the Administrative Agent shall have received on or before such
Revolving Credit Increase Date the following, each dated such
date:
43
(i) certified copies of
resolutions of the Board of Directors of the Borrower or the
Executive Committee of such Board approving the Revolving Credit
Commitment Increase and the corresponding modifications to this
Agreement and an opinion of counsel for the Borrower (which may be
in-house counsel) satisfactory to the Administrative Agent;
(ii) an assumption agreement from
each Assuming Revolving Credit Lender, if any, in form and
substance satisfactory to the Borrower and the Administrative Agent
(each a " Revolving Credit Assumption Agreement "),
duly executed by such Assuming Revolving Credit Lender, the
Administrative Agent and the Borrower; and
(iii) confirmation from each
Increasing Revolving Credit Lender of the increase in the amount of
its Revolving Credit Commitment in a writing satisfactory to the
Borrower and the Administrative Agent. On each Revolving Credit
Increase Date, upon fulfillment of the conditions set forth in the
immediately preceding sentence of this Section 2.17(d) and in
Section 4.03, the Administrative Agent shall notify the
Lenders (including, without limitation, each Assuming Lender) and
the Borrower, on or before 1:00 P.M. (New York City time), by
telecopier, of the occurrence of the Revolving Credit Commitment
Increase to be effected on such Revolving Credit Increase Date and
shall record in the Register the relevant information with respect
to each Increasing Revolving Credit Lender and each Assuming
Revolving Credit Lender on such date.
(e) On
the Revolving Credit Increase Date, if any Revolving Loans are then
outstanding, the Borrower shall borrow from all or certain of the
Lenders and/or (subject to compliance by the Borrower with
Section 3.05) prepay Revolving Loans of all or certain of the
Lenders such that, after giving effect thereto, the Revolving Loans
(including, without limitation, the Types and Interest Periods
thereof) shall be held by the Lenders (including for such purposes
the Increasing Revolving Credit Lenders and the Assuming Revolving
Credit Lenders) ratably in accordance with their respective
Applicable Revolving Credit Percentage after giving effect to such
Revolving Credit Commitment Increase. On and after each Revolving
Credit Increase Date, the Applicable Revolving Credit Percentage of
each Lender’s participation in Revolving Loans shall be
calculated after giving effect to each such Revolving Credit
Commitment Increase.
Section 2.18 Extension of Revolving Credit Maturity
Date .
(a) The
Borrower may, by notice to the Administrative Agent (which shall
promptly notify the Lenders) not less than forty-five
(45) days and not more than ninety (90) days prior to
each of the first (1st) and second (2nd) anniversaries of the
Closing Date (each anniversary, an " Anniversary Date
", request that each Lender extend such Lender’s Revolving
Credit Maturity Date to the date (the " Extended Revolving
Credit Maturity Date ") that is one
44
year after the then scheduled Revolving Credit Maturity Date.
Each Lender, acting in its sole discretion, shall, by written
notice to the Administrative Agent given no later than the date
(the " Consent Date ") that is twenty (20) days
prior to the relevant Anniversary Date ( provided that, if
such date is not a Business Day, the Consent Date shall be the next
succeeding Business Day), advise the Administrative Agent as to:
(i) whether such Lender agrees to
such extension of its Revolving Credit Maturity Date (each Lender
so agreeing to such extension being an " Extending Revolving
Credit Lender "); and (ii)
only if such Lender is an Extending Revolving Credit Lender,
whether such Lender also irrevocably offers to increase the amount
of its Revolving Credit Commitment in connection with the
replacement of one or more Non-Extending Lenders (each Lender so
offering to increase its Revolving Credit Commitment being an "
Increasing and Extending Revolving Credit Lender " as
well as an Extending Revolving Credit Lender) and, if so, the
amount of the additional Revolving Credit Commitment such Lender so
irrevocably offers to assume hereunder (such Lender’s "
Proposed Additional Revolving Credit Commitment ").
Each Lender that determines not to extend its Revolving Credit
Maturity Date (a " Non-Extending Revolving Credit
Lender ") shall notify the Administrative Agent (which
shall notify the Lenders) of such fact promptly after such
determination but in any event no later than the Consent Date, and
any Lender that does not advise the Administrative Agent in writing
on or before the Consent Date shall be deemed to be a Non-Extending
Revolving Credit Lender and (without limiting the Borrower’s
rights under this Section 2.18) shall have no liability to the
Borrower in connection therewith. The election of any Lender to
agree to such extension shall not obligate any other Lender so to
agree. The Administrative Agent shall notify the Borrower of each
Lender’s determination under this Section 2.18(a) no
later than the date fifteen (15) days prior to the relevant
Anniversary Date (or, if such date is not a Business Day, on the
next preceding Business Day). (b)
(i) If all of the Lenders are Extending Revolving Credit
Lenders, then, effective as of the Consent Date, the Revolving
Credit Maturity Date of each Lender shall be extended to the
Extended Revolving Credit Maturity Date as provided in
Section 2.18(b)(ii)(1), and the respective Revolving Credit
Commitments of the Lenders will not be subject to change at such
Consent Date pursuant to this Section 2.18.
(ii) If and only if the sum of
(x) the aggregate amount of the Revolving Credit Commitments
of the Extending Revolving Credit Lenders (that are not Increasing
and Extending Revolving Credit Lenders) plus (y) the
aggregate amount of the Proposed Additional Revolving Credit
Commitments of the Increasing and Extending Revolving Credit
Lenders (such sum, the " Extending Revolving Credit
Commitments ") shall be
45
equal to at least fifty percent (50%) of the then total
Revolving Credit Commitments, then: (1) effective as of the
Consent Date, the Revolving Credit Maturity Date of each Extending
Revolving Credit Lender shall be extended to the Extended Revolving
Credit Maturity Date; (2) the Borrower shall (so long as no
Event of Default shall have occurred and be continuing) have the
right, but not the obligation, during the period commencing on the
Consent Date and ending on the immediately succeeding Anniversary
Date to replace each Non-Extending Revolving Credit Lender as a
party to this Agreement in accordance with Section 2.18(c);
and (3) the Administrative Agent shall notify the Issuing Bank
and the Swing Loan Bank of the Extended Revolving Credit Maturity
Date and the Lenders whose Revolving Credit Maturity Dates are the
Extended Revolving Credit Maturity Date, and the Issuing Bank and
the Swing Loan Bank, acting in its sole discretion, shall determine
whether it shall elect to extend its Revolving Credit Maturity Date
to the Extended Revolving Credit Maturity Date and shall so notify
the Administrative Agent, at which time the Issuing Bank’s
obligation to issue Letters of Credit pursuant to Section 2.04
and the Swing Loan Bank’s obligation to make Swing Loan
pursuant to Section 2.03 shall be extended to the date that is
thirty (30) days prior to the Extended Revolving Credit
Maturity Date. (iii) If neither of
the conditions specified in clause (i) or clause (ii) of
this Section 2.18(b) is satisfied, then neither the Revolving
Credit Maturity Date nor the Revolving Credit Commitment of any
Lender will change pursuant to this Section 2.18 on such
Consent Date, and the Borrower will not have the right to take any
of the actions specified in Section 2.18(b)(ii)(2).
(c) Replacement
by the Borrower of Non-Extending Revolving Credit Lenders pursuant
to Section 2.18(b)(ii)(2) shall be effected as follows (certain
terms being used in this Section 2.18(c) having the meanings
assigned to them in Section 2.18(d)) on the relevant
Assignment Date: (i) the Assignors
shall severally assign and transfer to the Assignees, and the
Assignees shall severally purchase and assume from the Assignors,
all of the Assignors’ rights and obligations (including,
without limitation, the Assignors’ respective Revolving
Credit Commitments) hereunder and under the Revolving Credit
Notes;
46
(ii) each Assignee shall pay to
the Administrative Agent, for account of the Assignors, an amount
equal to such Assignee’s Share of the aggregate outstanding
principal amount of the Loans then held by the Assignors; and
(iii) the Borrower shall pay to the
Administrative Agent, for account of the Assignors, all interest,
fees and other amounts (other than principal of outstanding Loans)
then due and owing to the Assignors by the Borrower hereunder
(including, without limitation, payments due such Assignors, if
any, under Sections 3.01 and 3.04). The assignments provided
for in this Section 2.18(c) shall be effected on the relevant
Assignment Date in accordance with Section 10.06 and pursuant
to one or more Assignments and Assumptions. After giving effect to
such assignments, each Assignee shall have a Revolving Credit
Commitment hereunder (which, if such Assignee was a Lender
hereunder immediately prior to giving effect to such assignment,
shall be in addition to such Assignee’s existing Revolving
Credit Commitment) in an amount equal to the amount of its Assumed
Commitment. Upon any such termination or assignment, each Assignor
shall cease to be a party hereto to the extent of its assignment
but shall continue to be obligated under and be entitled to the
benefits of Section 10.04, as well as to any fees and other
amounts accrued for its account under Sections 2.12, 3.01 or
3.04 and not yet paid.
(d) For
purposes of this Section 2.18 the following terms shall have
the following meanings (such meanings to be equally applicable to
both the singular and plural forms of the terms defined):
"
Assigned Commitments " means the Commitments of
Non-Extending Revolving Credit Lenders to be replaced pursuant to
Section 2.18(b)(ii)(2).
"
Assignees " means, at any time, Increasing and Extending
Revolving Credit Lenders and, if the Assigned Commitments exceed
the aggregate amount of the Proposed Additional Revolving Credit
Commitments, one or more Assuming Revolving Credit Lenders.
"
Assignment Date " means the relevant Anniversary Date or
such earlier date as shall be acceptable to the Borrower, the
relevant Assignors, the relevant Assignees and the Administrative
Agent.
"
Assignors " means, at any time, the Non-Extending Revolving
Credit Lenders to be replaced by the Borrower pursuant to
Section 2.18(b)(ii)(2).
The "
Assumed Commitment " of each Assignee shall be determined as
follows:
(a) If
the aggregate amount of the Proposed Additional Revolving Credit
Commitments of all of the Increasing Revolving Credit Lenders shall
exceed the aggregate
47
amount of the Assigned Commitments, then (i) the amount of
the Assumed Commitment of each Increasing and Extending Revolving
Credit Lender shall be equal to (x) the aggregate amount of
the Assigned Commitments multiplied by (y) a
fraction, the numerator of which is equal to such Increasing and
Extending Revolving Credit Lender’s Revolving Credit
Commitment as then in effect and the denominator of which is the
aggregate amount of the Revolving Credit Commitments of all
Increasing and Extending Revolving Credit Lenders as then in
effect; and (ii) no Assuming Revolving Credit Lender shall be
entitled to become a Lender hereunder pursuant to Section 2.18(c)
(and, accordingly, each Assuming Revolving Credit Lender shall have
an Assumed Commitment of zero).
(b) If
the aggregate amount of the Proposed Additional Revolving Credit
Commitments of all of the Increasing and Extending Revolving Credit
Lenders shall be less than or equal to the aggregate amount of the
Assigned Commitments, then: (i) the amount of the Assumed
Commitment of each Increasing and Extending Revolving Credit Lender
shall be equal to such Increasing and Extending Revolving Credit
Lender’s Proposed Additional Commitment; and (ii) the
excess, if any, of the aggregate amount of the Assigned Commitments
over the aggregate amount of the Proposed Additional
Revolving Credit Commitments shall be allocated among Assuming
Revolving Credit Lenders in such a manner as the Borrower and the
Administrative Agent may agree.
(c) "
Share " means, as to any Assignee, a fraction the numerator
of which is equal to such Assignee’s Assumed Commitment and
the denominator of which is the aggregate amount of the Assumed
Commitments of all the Assignees.
Section 2.19 Issuance of Letters of Credit
.
(a)
Request for Issuance . (i)
Each Letter of Credit issued after the date hereof shall be issued
upon notice, given not later than 11:00 A.M. (New York City
time) on the third (3rd) Business Day prior to the proposed
issuance of such Letter of Credit (or such shorter period of time
as may be acceptable to the applicable Issuing Bank), by the
Borrower to the applicable Issuing Bank. Each such notice of
issuance of a Letter of Credit (a " Notice of
Issuance ") shall be by telephone, confirmed immediately in
writing by telecopier, specifying therein the requested
(A) date of such issuance (which shall be a Business Day),
(B) Available Amount of such Letter of Credit,
(C) expiration date of such Letter of Credit, (D) name
and address of the beneficiary of such Letter of Credit and
(E) form of such Letter of Credit, and shall be accompanied by
such application and agreement for letter of credit (each such
application and agreement being herein called a " Letter of
Credit Agreement ") as the Issuing Bank may specify to the
Borrower for use in connection with such requested Letter of
Credit.
48
(ii) If the requested form of such
Letter of Credit is reasonably acceptable to the applicable Issuing
Bank, the Issuing Bank will, upon fulfillment of the applicable
conditions set forth in Article 4.02, make such Letter of
Credit available to the Borrower at its address set forth on
Schedule 10.02 or as otherwise agreed with the Borrower
in connection with such issuance. In the event and to the extent
that the provisions of any Letter of Credit Agreement shall
conflict with this Agreement, the provisions of this Agreement
shall govern. (iii) By the issuance
of a Letter of Credit (or an amendment to a Letter of Credit
increasing the amount thereof) and without any further action on
the part of the applicable Issuing Bank or the Lenders, the Issuing
Bank hereby grants to each Lender, and each Lender hereby acquires
from the Issuing Bank, a participation in such Letter of Credit
equal to such Lender’s Applicable Revolving Credit Percentage
of the aggregate amount available to be drawn under such Letter of
Credit. The Borrower hereby agrees to each such participation. Each
Lender acknowledges and agrees that its obligation to acquire
participations pursuant to this paragraph in respect of Letters of
Credit is absolute and unconditional and shall not be affected by
any circumstance whatsoever, including any amendment, renewal or
extension of any Letter of Credit or the occurrence and continuance
of a Default or reduction or termination of the Revolving Credit
Commitments, and that each such payment shall be made without any
offset, abatement, withholding or reduction whatsoever. Each Lender
further acknowledges and agrees that its participation in each
Letter of Credit will be automatically adjusted to reflect such
Lender’s Applicable Revolving Credit Percentage of the
Available Amount of such Letter of Credit at each time such
Lender’s Revolving Credit Commitment is amended pursuant to
the operation of Section 2.17 or 2.18, as applicable, by an
assignment in accordance with Section 10.06 or otherwise
pursuant to this Agreement.
(b)
Drawing and Reimbursement .
(i) The payment by the Issuing Bank
of a draft drawn under any Letter of Credit shall constitute for
all purposes of this Agreement the making by the Issuing Bank of a
Letter of Credit Loan, which shall be a Base Rate Loan, in the
amount of such draft. The Issuing Bank shall give prompt notice
(and the Issuing Bank will use its commercially reasonable efforts
to deliver such notice within one (1) Business Day) to the
Borrower and the Administrative Agent of each drawing under any
Letter of Credit issued by it. Upon written demand by the Issuing
Bank, with a copy of such demand to the Administrative Agent, each
Lender shall pay to the Administrative Agent such Lender’s
Applicable Revolving Credit Percentage of such outstanding Letter
of Credit Loan, by making available for the account of its
Applicable Lending Office to the Administrative Agent for the
account of the Issuing Bank, by deposit to the Administrative
Agent’s Account, in same day funds, an amount equal to the
portion of the outstanding principal amount of such Letter of
Credit Loan to be funded by such Lender.
49
|