Exhibit 10.50
EXECUTION COPY
AMENDMENT NO.
11 dated as of April 10, 2008 to the Amended and Restated
Credit, Security, Guaranty and Pledge Agreement dated as of
December 15, 2003 among Lions Gate Entertainment Corp. and
Lions Gate Entertainment Inc. (together, the “
Borrowers ”), the Guarantors named therein, the
Lenders referred to therein, JPMorgan Chase Bank, National
Association (formerly known as JPMorgan Chase Bank), as
Administrative Agent and as Issuing Bank for the Lenders (the
“ Administrative Agent ”), JPMorgan Chase Bank,
National Association Toronto Branch (formerly known as JPMorgan
Chase Bank, Toronto Branch) as Canadian Agent, Bank of America,
N.A. (as successor by merger to Fleet National Bank), as
Co-Syndication Agent and BNP Paribas, as Co-Syndication Agent (as
the same is hereby amended and may be amended, supplemented or
otherwise modified, the “ Credit Agreement
”).
INTRODUCTORY STATEMENT
The Lenders have made available to
the Borrowers a credit facility pursuant to the terms of the Credit
Agreement.
Pursuant to Amendment Number 10 to
the Credit Agreement dated as of August 8, 2007 (“
Amendment No. 10 ”), the Credit Agreement was
amended to, among other things, permit PA Lender (as defined below)
to make loans of up to $60,000,000 to Lions Gate Pennsylvania,
Inc., a Pennsylvania corporation (“ LGPA ”)
substantially on the terms set forth in Schedule 1.7 thereof
to fund the production of motion pictures and televisions shows in
the Pennsylvania Regional Center subject to the requirements that
(i) the PA Lender has entered into an intercreditor agreement
with the Administrative Agent reasonably satisfactory to the
Administrative Agent in all respects and (ii) a cash
collateral account, holding an amount equal to the principal amount
of the outstanding loans made by the PA Lender, is maintained with
the Administrative Agent.
In order to (i) implement
Amendment No. 10, (ii) provide guarantees and a security
interest in the Film Library (as defined below) to the PA Lender
for the obligations under the PA Credit Agreement and
(iii) permit an increase in the amount of the loans by the PA
Lender to $66,000,000 and approve certain other changes to the
terms thereof, the parties hereto have agreed to amend the Credit
Agreement, all on the terms and subject to the conditions herein
set forth.
Therefore, the parties hereto hereby
agree as follows:
Section 1. Defined Terms
. Capitalized terms used herein and not otherwise defined herein
shall have the meaning given them in the Credit Agreement.
Section 2. Amendments to the
Credit Agreement . Subject to the satisfaction of the
conditions precedent set forth in Section 3 hereof, the Credit
Agreement is hereby amended as of the Effective Date (as
hereinafter defined) as follows:
(A) Article 1 of the Credit
Agreement is hereby amended to insert the following definitions in
their appropriate alphabetical sequence:
‘ Film
Library ’ shall mean with respect to each Credit Party,
that portion of the Collateral representing all of such Credit
Party’s right, title and interest in and to all items of
Product including the distribution rights for each item of Product,
commencing on the date that is eighteen (18) months after the
date that any such item of Product was first commercially
distributed, exhibited or released, and any proceeds thereof.
‘
Group Lender ’ and ‘ Group Lenders
’ shall mean, at any time for which it is to be determined,
the Sterling Lender and/or the U.S. Dollar Lenders, as
applicable.
‘
LGPA ’ shall mean Lions Gate Pennsylvania, Inc., a
Pennsylvania corporation.
‘ PA
Borrower ’ shall mean, jointly and severally, LGPA
together with its Subsidiaries party to the PA Credit Agreement
from time to time.
‘ PA
Credit Agreement ’ shall mean that certain Loan Agreement
entered into on April ___, 2008, by and between PA Lender and PA
Borrowers.
‘ PA
Event of Default ’ shall mean an Event of Default, as
defined in the PA Credit Agreement.
‘ PA
Lender ’ shall mean Pennsylvania Regional Center, LP I
and its permitted successors and assigns, as lender to PA Borrowers
pursuant to the terms of the PA Credit Agreement.
‘ PA
Loan ’ shall mean the loans made under, and in accordance
with, the PA Credit Agreement.
‘ PA
Obligations ’ shall mean all “Obligations”
owing by the PA Borrowers to PA Lender as defined in the PA Credit
Agreement.”
(B) Article 1 is hereby
further amended by replacing the definitions of
“Borrower,” “Event of Default,”
“Lender,” “Lenders,”
“Guarantors” and “Obligations,” contained
therein in their entirety with the following, respectively:
‘
Borrower ’ shall mean LGEC and LGEI, except that with
respect to the UK Loans, Borrower shall mean the UK Borrower;
provided , however , that for the
2
purposes of
Articles 8, 9 and 12 hereof, the term “Borrower” shall
also include the PA Borrowers in respect of the PA
Obligations.
‘
Event of Default ’ shall have the meaning given to
such term in Article 7 hereof and for the purposes of Articles
8, 9, 10, 11 and 12, hereof, the term “Event of
Default” shall also include a PA Event of Default.
‘
Guarantors ’ shall mean (i) LGEC with respect to
(a) the Obligations of LGEI and (b) the PA Obligations,
(ii) LGEI with respect to (a) the Obligations of LGEC and
(b) the PA Obligations, (iii) all the other entities
listed on Schedule 3.7(a) and Schedule 1.3 hereto and any
other direct or indirect Subsidiary of a Credit Party acquired or
created after the date hereof (other than, with respect to the
guaranty of PA Obligations, any PA Borrower) which Subsidiary
becomes a signatory to this Credit Agreement as a Guarantor as
required by Section 5.17 with respect to (1) the obligations
of all of the Borrowers under this Credit Agreement, the Notes, any
other Fundamental Document and the Fee Letter and (2) the PA
Obligations and (iv) Redbus Pictures and Redbus Home Entertainment
Limited and any other Subsidiaries of Redbus acquired or created
after the date hereof, which Subsidiary becomes a signatory to this
Credit Agreement as a Guarantor as required by Section 5.17
with respect to the obligations of the UK Borrower; provided
, however , that for the sake of clarification, no
Unrestricted Subsidiary or Inactive Subsidiary shall be a Guarantor
hereunder; provided , further , that neither Redbus
nor any of its Subsidiaries shall be considered Guarantor of the
Obligations of LGEI, LGEC or any PA Borrower hereunder.
‘
Lender ’ and ‘ Lenders ’ shall mean
the Sterling Lender and/or the U.S. Dollar Lenders and/or the PA
Lender, as applicable.
‘
Obligations ’ shall mean (a) the obligation of
the Borrowers to make due and punctual payment of
(i) principal of and interest on the Loans, the face amount of
the Commitment Fees, any reimbursement obligations in respect of
Letters of Credit, monetary obligations of any Credit Party
pursuant to interparty agreements delivered in connection with
Special Purpose Producer Agreements, costs and attorneys’
fees and all other monetary obligations of the Borrowers to the
Administrative Agent, the Issuing Bank or any Group Lender under
this Credit Agreement, the Notes, any other Fundamental Document or
the Fee Letter, (ii) all amounts payable by the Borrowers to
any Group Lender under any Currency Agreement or Interest Rate
Protection Agreement, provided that the Administrative Agent shall
have received written notice thereof within ten (10) Business
Days after execution of such Currency Agreement or Interest Rate
Protection Agreement and (iii) amounts payable to JPMorgan
Chase Bank or any of its Affiliates in connection with any bank
account maintained by the Borrowers or any other Credit Party at
JPMorgan Chase Bank or any such Affiliate or any other banking
services provided to the Borrowers or any other Credit Party by
JPMorgan Chase Bank or any such Affiliate and (b) for the
purposes of Articles 8, 9 and 12, hereof and Annex I hereto, the
term “Obligations” shall also include the PA
Obligations.”
3
(C) Article I of the Credit
Agreement is hereby amended by replacing each use, throughout, of:
(i) “the Lenders” with “the Group Lenders”,
(ii) “Lender” with “Group Lender”
(including, without limitation, in the definition of
“Required Lenders”) and (iii) “all Lenders”
with “all Group Lenders”, except that uses of
“the Lenders”, “Lender” and “all
Lenders” in the following definitions shall not be
replaced:
(1)
“Administrative Agent”;
(2)
“Initial Date”, item (iii); and
(3)
“Material Adverse Effect”.
(D) The definition of
“Pennsylvania Regional Financing Arrangement” appearing
in Article 1 of the Credit Agreement is hereby amended by
deleting the words “on Schedule 1.7 annexed
hereto” and inserting in the place the words “set forth
in the PA Credit Agreement”.
(E) The definition of
“Percentage” appearing in Article 1 of the Credit
Agreement is hereby amended by adding the following proviso at the
end of the existing text:
”;
provided however, that solely for purposes of Section 12.6
hereof (including determination of Pro Rata Share for use in
connection with Section 12.6), Percentage shall be determined
as if the PA Lender holds a U.S. Dollar Credit Commitment equal to
its commitment under the PA Credit Agreement and the Total U.S.
Dollar Revolving Credit Commitment were increased by such
amount.”
(F) Articles 2 through 7 and
Arti
|