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JOINDER TO AMENDED AND RESTATED NOTE PURCHASE AGREEMENT AND FINANCE DOCUMENTS

Note Purchase Agreement

JOINDER TO AMENDED AND RESTATED NOTE PURCHASE AGREEMENT AND FINANCE DOCUMENTS | Document Parties: STONEMOR PARTNERS LP | Highland Memorial Park, Inc | StoneMor Arkansas Subsidiary LLC | StoneMor California, Inc | StoneMor Hawaii LLC | StoneMor Iowa LLC | StoneMor Puerto Rico LLC | StoneMor South Carolina LLC You are currently viewing:
This Note Purchase Agreement involves

STONEMOR PARTNERS LP | Highland Memorial Park, Inc | StoneMor Arkansas Subsidiary LLC | StoneMor California, Inc | StoneMor Hawaii LLC | StoneMor Iowa LLC | StoneMor Puerto Rico LLC | StoneMor South Carolina LLC

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Title: JOINDER TO AMENDED AND RESTATED NOTE PURCHASE AGREEMENT AND FINANCE DOCUMENTS
Governing Law: New York     Date: 12/28/2007
Industry: Personal Services     Law Firm: Rose Law     Sector: Services

JOINDER TO AMENDED AND RESTATED NOTE PURCHASE AGREEMENT AND FINANCE DOCUMENTS, Parties: stonemor partners lp , highland memorial park  inc , stonemor arkansas subsidiary llc , stonemor california  inc , stonemor hawaii llc , stonemor iowa llc , stonemor puerto rico llc , stonemor south carolina llc
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EXHIBIT 10.2

J OINDER T O A MENDED A ND R ESTATED N OTE P URCHASE A GREEMENT A ND F INANCE D OCUMENTS

This JOINDER TO AMENDED AND RESTATED NOTE PURCHASE AGREEMENT AND FINANCE DOCUMENTS (this “Joinder”), is dated this 21 st day of December, 2007, by and among StoneMor Arkansas Subsidiary LLC, an Arkansas limited liability company, StoneMor California, Inc., a California corporation, StoneMor California Subsidiary, Inc., a California corporation, StoneMor Florida Subsidiary LLC, a Florida limited liability company, StoneMor Hawaii LLC, a Hawaii limited liability company, StoneMor Hawaii Subsidiary LLC, a Hawaii limited liability company, StoneMor Iowa LLC, an Iowa limited liability company, StoneMor Iowa Subsidiary LLC, an Iowa limited liability company, StoneMor Puerto Rico LLC, a Puerto Rico limited liability company, StoneMor Puerto Rico Subsidiary LLC, a Puerto Rico limited liability company, StoneMor South Carolina LLC, a South Carolina limited liability company, StoneMor South Carolina Subsidiary LLC, a South Carolina limited liability company and StoneMor Tennessee Subsidiary, Inc., a Tennessee corporation, Alderwoods (Ohio) Cemetery Holdings, Inc., an Ohio nonprofit corporation, Highland Memorial Park, Inc., an Ohio nonprofit corporation, Hillside Memorial Park Association, Inc., an Ohio nonprofit corporation, Northlawn Memorial Gardens, an Ohio nonprofit corporation and Sierra View Memorial Park, a California non-profit corporation (each a “ New Issuer ”, and collectively, the “ New Issuers ”), the other Issuers (as defined below), and the Purchasers (as defined below).

BACKGROUND

A. Pursuant to that certain Amended and Restated Note Purchase Agreement entered into on August 15, 2007, by and among StoneMor GP LLC, a Delaware limited liability company (the “ General Partner ”), StoneMor Partners L.P., a Delaware limited partnership (the “ Parent ”), StoneMor Operating LLC, a Delaware limited liability company (the “ Company ”), the Subsidiaries of the Parent set forth on the signature pages thereto (together with the Company, the “ Existing Issuers ” and collectively with the New Issuers, the “ Issuers ” and together with the General Partner and the Parent, collectively the “ Credit Parties ”), and the purchasers of notes issued thereunder (the “ Purchasers ”) (as so amended, and as amended, modified or otherwise supplemented from time to time, the “ Note Purchase Agreement ”), the Purchasers agreed, inter alia , to purchase $35,000,000 of the Existing Issuers’ 9.34% Series B Senior Secured Notes due 2012 and to provide additional credit facilities on a secured basis.

B. Pursuant to the Note Purchase Agreement and the Finance Documents, the Existing Issuers have granted to the Collateral Agent, for the benefit of the Purchasers and other Secured Creditors, a lien on and security interest in substantially all of their property and assets to secure all Secured Obligations.

C. The Company and certain of its subsidiaries (collectively, the “ Buyers ”) entered into an Asset Purchase and Sale Agreement (the “ Purchase Agreement ”), dated December 4, 2007, with SCI Funeral Services, Inc., an Iowa corporation, and certain of its subsidiaries

 


(collectively, the “ Sellers ”), pursuant to which, as of the closing thereunder the Buyers will purchase certain cemeteries, funeral homes and other assets of the Sellers (the “ Acquired Assets ”) for an aggregate consideration of Sixty-Eight Million Dollars ($68,000,000), subject to adjustment, as described and set forth in the Purchase Agreement.

D. Each New Issuer will benefit, directly and indirectly, from credit and other financial accommodations extended by the Purchasers to the Issuers.

Now, therefore, for value received, and in consideration of the purchase of the Series B Notes, and other credit accommodations given or to be given to the Issuers by the Purchasers from time to time, each New Issuer and each other Credit Party hereby agrees as follows:

1. Except as expressly set forth herein, all capitalized terms used and not defined herein shall have the respective meanings ascribed thereto in the Note Purchase Agreement or the Intercreditor Agreement (as defined in the Note Purchase Agreement), as applicable.

2. Each Issuer represents and warrants that the purchase of the Acquired Assets pursuant to the Purchase Agreement conforms, or will conform at the time of the related acquisition, in all respects with all the requirements of the Note Purchase Agreement.

3. Each New Issuer acknowledges and agrees that it hereby agrees to join as an “Issuer” under the Note Purchase Agreement, and to join, in the same capacity as the Existing Issuers, in the Series A Notes and the Series B Notes, the Intercreditor Agreement, the Security Agreement, the Pledge Agreement, and the other Security Documents and Finance Documents.

4. This Joinder is effective upon the date of the New Issuers’ execution and delivery hereof to the Purchasers and upon such execution and delivery, all references in: (a) the Note Purchase Agreement and other Finance Documents to the terms “Issuer” or “Issuers”; (b) the Pledge Agreement to the terms “Pledgor” or “Pledgors”; and (c) the Security Agreement to the terms “Debtor” and “Debtors”, shall be deemed to include the New Issuers. Without limiting the generality of the foregoing, each New Issuer hereby affirms all grants (including the grant of a lien and security interest), covenants, agreements, representations, and warranties (except to the extent expressly relating to an earlier date) contained in the Note Purchase Agreement, the Pledge Agreement, and the Security Agreement, as amended hereby, each and all of which are and shall remain applicable to the Collateral from time to time owned by the New Issuers or in which any New Issuer from time to time has any rights. Without limiting the foregoing, the New Issuers acknowledge that they have granted to Collateral Agent, for the benefit of the Secured Creditors, a Lien on, among other things, substantially all of the New Issuers’ property and assets, constituting Collateral of the New Issuers. Nothing contained herein, or in the Joinder to Amended and Restated Credit Agreement and Credit Documents, dated as the date hereof (the “ Credit Agreement Joinder ”), shall in any manner impair the priority of the liens and security interests heretofore granted in favor of Collateral Agent under the Security Agreement, the Pledge Agreement or any other Credit Document.

5. The information set forth on Schedule A hereto shall be added to various Annexes to the Pledge Agreement and the Security Agreement, and such Annexes shall be amended thereby, as provided in the Credit Agreement Joinder.

 

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6. In connection with the execution and delivery of this Joinder and the Credit Agreement Joinder, the Existing Issuers and the New Issuers have delivered to the Noteholders or the Collateral Agent, as appropriate, such deliveries as are required by the Note Purchase Agreement, including, without limitation: (a) certificates representing the Equity Interest in each New Issuer, together with assignments in blank (or such other similar deliveries as may be appropriate in the reasonable discretion of the Required Holders); (b) allonges joining each New Issuer to each Series A Note and each Series B Note; (c) a master secretary’s certificate attaching the organizational documents and authorizing resolutions for each New Issuer and any other applicable Credit Party; (d) mortgages, deeds of trust and other real estate related documentation; (e) the complete executed Purchase Agreement, certified by the Company; and (f) legal opinions with respect to the above deliveries.

7. Each New Issuer represents and warrants that upon becoming an Issuer, such New Issuer, as applicable, is in compliance in all material respects, with all representations and warranties, and is and shall be bound by and agrees to comply with the covenants, contained in the Note Purchase Agreement and other Finance Documents, and is not in default in the performance or observation of any covenant or condition under the Note Purchase Agreement or any Finance Document.

8. Each New Issuer hereby acknowledges and agrees that the Secured Obligations are secured by all of its assets constituting Collateral according to, and otherwise on and subject to, the terms and conditions of the Security Agreement and the Pledge Agreement to the same extent and with the same force and effect as if such New Issuer had originally been one of the Issuers under the Note Purchase Agreement and had originally executed the same as such an Issuer.

9. Except as specifically modified hereby, all of the terms and conditions of the Note Purchase Agreement and other Finance Documents shall remain unchanged and in full force and effect.

10. Each New Issuer agrees to execute and deliver such further instruments and documents and do such further acts and things as the Required Holders, or the Collateral Agent, may reasonably deem necessary or proper to carry out more effectively the purposes of this Joinder and the Finance Documents.

11. No reference to this Joinder need be made in the Note Purchase Agreement or in any other Finance Document, and any reference to any Finance Document in any Finance Document shall be deemed a reference to the Finance Documents as modified hereby, and to include this Joinder, allonges and all other documents executed and delivered in connection herewith.

12. This Joinder shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

13. This Joinder shall be governed by and construed in accordance with the laws of the State of New York without reference to the choice of law doctrine of the State of New York.

 

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14. This Joinder may be executed in any number of counterparts with the same affect as if all of the signatures on such counterparts appeared on one document and each counterpart shall be deemed an original.

15. Each New Issuer hereby waives acceptance of this Joinder by any of the Secured Creditors.

16. The last sentence of Section 23.1 of the Note Purchase Agreement shall be applicable to all New Issuers that are Controlled Non-Profits and nothing contained in this Joinder is intended to modify the limitations set forth in such last sentence with respect to the liability of such New Issuers or the Obligations secured by the Collateral of such New Issuers.

[Remainder of page intentionally left blank]

 

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This Joinder to Amended and Restated Note Purchase Agreement and Finance Documents is hereby delivered, acknowledged and agreed to as of the date first above written.

New Issuers

StoneMor Arkansas Subsidiary LLC

StoneMor California, Inc.

StoneMor California Subsidiary, Inc.

StoneMor Florida Subsidiary LLC

StoneMor Hawaii LLC

StoneMor Hawaii Subsidiary LLC

StoneMor Iowa LLC

StoneMor Iowa Subsidiary LLC

StoneMor Puerto Rico LLC

StoneMor Puerto Rico Subsidiary LLC

StoneMor South Carolina LLC

StoneMor South Carolina Subsidiary LLC

StoneMor Tennessee Subsidiary, Inc.

Alderwoods (Ohio) Cemetery Holdings, Inc.

Highland Memorial Park, Inc.

Hillside Memorial Park Association, Inc.

Northlawn Memorial Gardens

Sierra View Memorial Park

 

By:  

/s/ Paul Waimberg

 

Paul Waimberg, as Vice President of Finance

for each of the above-named New Issuers

 


Credit Parties
      STONEMOR GP LLC
      By:  

/s/ Paul Waimberg

    Paul Waimberg, Vice President and Assistant Secretary
      STONEMOR PARTNERS L.P.
      By:   STONEMOR GP LLC
    its General Partner
      By:  

/s/ Paul Waimberg

    Paul Waimberg, Vice President and Assistant Secretary
      STONEMOR OPERATING LLC
      By:  

/s/ Paul Waimberg


 
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