Farm Credit Services of
America
SEVENTH AMENDMENT TO CREDIT
AGREEMENT
This Seventh
Amendment to Credit Agreement (“Amendment”) is made and
entered into effective the 19th day of February, 2009, by and
between Siouxland Ethanol, LLC (hereinafter referred to as
“Borrower”) and Farm Credit Services of America,
FLCA and Farm Credit Services of America, PCA (hereinafter
referred to as “Lender”) to amend and modify the Credit
Agreement dated May 4, 2006 (hereinafter referred to as the
“Credit Agreement”). The Credit Agreement and
underlying Loan Documents are modified only to the extent necessary
to give effect to the terms of this Amendment, and the remaining
terms of said Loan Documents, not otherwise inconsistent herewith,
are ratified by the parties. Capitalized terms used but not
otherwise defined herein have the respective meanings given to them
in the Credit Agreement.
In
consideration of the mutual agreements, provisions and covenants
herein contained, and furthermore to induce Lender to consider
financial accommodations for the Borrower under the terms and
provisions of the Credit Agreement, the parties hereby agree as
follows:
Credit
Facilities A, B and C are hereby amended to change the Variable
Rate to the Libor Short Term Index Rate, plus 4.00% effective
February 13, 2009.
The
following Section is amended as follows:
Section 6.10.1 Working Capital. Beginning
January 31, 2009, Borrower agrees to maintain working capital
(current assets, plus the un-advanced portion of Loan Facility B,
minus current liabilities) of not less than $4,000,000.00,
increasing to $5,000,000.00 as of September 30, 2009 and
thereafter.
Section 6.10.2 Debt Coverage Ratio. Beginning
fiscal year end 2010, and annually thereafter, Borrow agrees to
maintain a Debt Coverage Ratio, defined as net income plus
depreciation and amortization minus extraordinary gain
(loss) minus after tax income (expense) minus gain
(lo
