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Exhibit
10.1
SIXTH MODIFICATION
TO AMENDED AND RESTATED BUSINESS LOAN AND
SECURITY
AGREEMENT AND OTHER
LOAN DOCUMENTS
THIS SIXTH MODIFICATION
TO AMENDED AND RESTATED BUSINESS LOAN AND SECURITY AGREEMENT AND
OTHER LOAN DOCUMENTS (this “ Modification
”), dated as of February ,
2008, is made by and among (i) CITIZENS BANK OF PENNSYLVANIA,
a Pennsylvania state chartered bank (“ Citizens Bank
”), acting in its capacity as the agent for the Lenders (the
“ Agent ”), having offices at 8521 Leesburg
Pike, Suite 405, Vienna, Virginia 22182; (ii) CITIZENS BANK,
acting in its capacity as a Lender, and each other
“Lender” party to the hereinafter defined Loan
Agreement (each, a “ Lender ” and collectively,
the “ Lenders ”); and (iii) ICF CONSULTING
GROUP, INC., a Delaware corporation (the “ Primary
Operating Company ”), ICF INTERNATIONAL, INC., a Delaware
corporation (the “Parent Company ”), and each
other “Borrower” party to the Loan Agreement (together
with the Primary Operating Company and the Parent Company, each, a
“ Borrower ” and collectively, the “
Borrowers ”), each having offices at 9300 Lee Highway,
Fairfax, Virginia 22031. Capitalized terms used but not defined
herein shall have the meanings attributed to such terms in the Loan
Agreement.
W I
T N E S S E T
H T H A
T :
WHEREAS ,
pursuant to the terms of a certain Amended and Restated Business
Loan and Security Agreement dated as of October 5, 2005 (as
amended, modified or restated from time to time, the “
Loan Agreement ”), by and among the Borrowers, the
Agent and the Lenders, the Borrowers originally obtained loans and
certain other financial accommodations (collectively, the “
Loan ”) from the Lenders in the aggregate maximum
principal amount of Seventy-five Million and No/100 Dollars
($75,000,000.00) comprised of (a) Facility A in the maximum
principal amount of Forty-five Million and No/100 Dollars
($45,000,000.00), (b) Facility B in the original principal
amount of Twenty-two Million and No/100 Dollars ($22,000,000.00),
and (c) Facility C in the original principal amount of Eight
Million and No/100 Dollars ($8,000,000.00); and
WHEREAS , the
Loan is evidenced by the Notes and secured by, among other things,
the collateral described in the Loan Agreement; and
WHEREAS ,
pursuant to the terms of a certain First Modification to Amended
and Restated Business Loan and Security Agreement and Other Loan
Documents dated as of March 14, 2006, the Lenders agreed to a
temporary allowance of up to Six Million and No/100 Dollars
($6,000,000.00) for over-advances for the benefit of the Borrowers;
and
WHEREAS ,
pursuant to the terms of a certain Second Modification to Amended
and Restated Business Loan and Security Agreement and Other Loan
Documents dated as of August 25, 2006, the maximum
principal amount of Facility A was increased from Forty-five
Million and No/100 Dollars ($45,000,000.00) to Sixty-five Million
and No/100 Dollars ($65,000,000.00), and the Parent Company
consummated an initial public offering of its common stock, the
proceeds of which were used, in part, to repay all amounts then
outstanding and unpaid under Facility A, Facility B, Facility C and
the Swing Line Facility; and
WHEREAS ,
pursuant to the terms of a certain Third Modification to Amended
and Restated Business Loan and Security Agreement and Other Loan
Documents dated as of December 29, 2006, the Agent and the
Lenders agreed to modify certain provisions of the Loan Agreement,
including without limitation, provisions pertaining to pricing,
interest rate protection arrangements and other provisions more
particularly described therein; and
WHEREAS ,
pursuant to the terms of a certain Fourth Modification to Amended
and Restated Business Loan and Security Agreement and Other Loan
Documents dated as of June 28, 2007, Z-Tech Corporation was
joined as a “Borrower” party to the Loan Agreement and
the other Loan Documents, the maximum principal amount of Facility
A was increased from Sixty-five Million and No/100 Dollars
($65,000,000.00) to Ninety-five Million and No/100 Dollars
($95,000,000.00) and the maximum principal amount of the Swing Line
Facility was increased from Ten Million and No/100 Dollars
($10,000,000.00) to Twenty Million and No/100 Dollars
($20,000,000.00); and
WHEREAS ,
pursuant to the terms of a certain Fifth Modification to Amended
and Restated Business Loan and Security Agreement and Other Loan
Documents dated as of December 3, 2007, among other things,
Simat, Helliesen & Eichner, Inc., and its subsidiaries
were joined as “Borrower” parties to the Loan Agreement
and the other Loan Documents, the borrowing base and other
provisions of the Loan Agreement were amended and the maximum
principal amount of Facility A was increased from Ninety-five
Million and No/100 Dollars ($95,000,000.00) to One Hundred Fifteen
Million and No/100 Dollars ($115,000,000.00); and
WHEREAS , the
Borrowers have requested that the Agent and the Lenders
(a) consent to the Borrowers’ proposed acquisition (the
“ Jones Acquisition ”) of Jones &
Stokes Associates, Inc., a California corporation (“
Jones ”), pursuant to that certain Agreement and Plan
of Merger dated as of January 23, 2008 (the “ Jones
Acquisition Agreement ”), by and among the Parent
Company, the Primary Operating Company, ICF Consulting Group
Acquisition, Inc., Jones, the shareholders of Jones and John W.
Cowdery as the shareholder representative, (b) further
increase the maximum principal amount of Facility A from One
Hundred Fifteen Million and No/100 Dollars ($115,000,000.00) to One
Hundred Twenty-five Million and No/100 Dollars ($125,000,000.00),
the proceeds of which will be used, in part, to finance the Jones
Acquisition, as well as the transactional costs and expenses
related thereto, and (c) amend certain other terms and
provisions set forth in and/or contemplated by the Loan Agreement;
and
WHEREAS , the
Agent and the Lenders have agreed to grant the Borrowers’
request, subject to the terms and conditions set forth herein;
and
WHEREAS , the
Borrowers, the Agent and the Lenders desire to enter into this
Modification to memorialize the agreements and understanding of the
parties with respect to the foregoing matters, as hereinafter
provided.
NOW THEREFORE ,
for Ten Dollars ($10.00) and other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the
parties hereto agree as follows:
1. Recitals . The
foregoing recitals are hereby incorporated herein by this reference
and made a part hereof, with the same force and effect as if fully
set forth herein.
2. Loan Increase;
Promissory Notes .
(A) Subject to the terms and
provisions set forth in this Modification, the Facility A
Commitment Amount is hereby increased from One Hundred Fifteen
Million and No/100 Dollars ($115,000,000.00) to One Hundred
Twenty-five Million and No/100 Dollars
($125,000,000.00).
(B) Simultaneously with the
execution and delivery of this Modification, the Borrowers shall
execute and deliver to the Agent, in form and substance reasonably
satisfactory to the Agent and its counsel: (a) one or more
note modification agreements and/or substitute promissory notes
with respect to Facility A, which shall evidence the increase to
the Facility A Commitment Amount, as described in this
Modification; (b) an opinion of in-house counsel relating to
the consummation of the Jones Acquisition; (c) certified
resolutions and consents, authorizing the increase to the
Commitment Amount and related matters; (d) UCC, judgment,
pending litigation, bankruptcy and tax lien search results for
Jones; and (e) such other documents, instruments and
agreements as the
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Agent and/or the Lenders may reasonably
request; it being understood and agreed that in the event that the
parties do not consummate the contemplated amendment and
restatement of the Loan Agreement on or prior to March 31,
2008, the Agent may request, in its sole discretion, one or more
opinions, certificates, UCC, judgment, pending litigation,
bankruptcy and tax lien searches and other similar information
relating to the Borrowers and this Modification.
(C) Each of the parties
hereto acknowledges and agrees that: (i) any and all
collateral securing the Obligations in whole or in part shall
secure the Obligations, as increased, expanded and extended
pursuant to this Modification, and all Loan Documents are hereby
deemed amended accordingly; and (ii) the additional Loan
proceeds of Facility A made available pursuant to this Modification
shall be advanced from time to time in accordance with and subject
to the applicable provisions of the Loan Agreement.
3. Definitional
Amendments .
The definition of
“Facility A Commitment Amount” set forth in the section
of the Loan Agreement titled “Certain Definitions” is
hereby deleted in its entirety and replaced with the
following:
“ “Facility A
Commitment Amount” shall mean One Hundred Twenty-five
Million and No/100 Dollars ($125,000,000.00), or if such amount
shall be reduced pursuant to this Agreement, such lesser
amount.”
4. Acquisition Consent
. The Agent and the Lenders hereby (a) consent to the
acquisition by the Primary Operating Company of all of the issued
and outstanding capital stock of Jones, and (b) acknowledge
that such acquisition shall not count against the dollar basket
with respect to any Permitted Acquisition set forth in
Section 7.1(d)(ii)(H) of the Loan Agreement, subject to the
terms, covenants, agreements and conditions set forth in this
Modification, including without limitation, the
following:
(i) The Primary Operating
Company shall have acquired all of the issued and outstanding
capital stock of Jones, free and clear of all liens, claims,
encumbrances and any other restrictions or limitations on transfer
thereof (other than Permitted Liens), and the Jones Acquisition
shall have been consummated in accordance with the Jones
Acquisition Agreement, subject to the grant of any waivers
thereunder or modifications thereto (a copy of which shall be
provided to the Agent and its counsel prior to the Borrowers’
use of any Loan proceeds for the Jones Acquisition);
(ii) Simultaneously with the
Jones Acquisition, Jones shall have become joined to the Loan
Agreement, the Notes and the other Loan Documents as a
“Borrower” or “Maker” thereunder (as
applicable) by executing this Modification and all other documents,
instruments and agreements requested by the Agent and the Lenders
in connection therewith;
(iii) the Primary Operating
Company shall have delivered to the Agent a Borrowing
Base/Non-Default Certificate evidencing a minimum availability
under Facility A of at least Ten Million and No/100 Dollars
($10,000,000.00) as of the date of funding of the Jones
Acquisition;
(iv) The Borrowers shall have
delivered to the Agent and its counsel, in form and substance
satisfactory to the Agent and its counsel in all respects, each of
the following items:
(A) a true, correct and
complete copy of the fully executed Jones Acquisition Agreement,
together with all schedules and exhibits attached thereto and/or
referenced therein and all other documents, instruments and
agreements executed, issued and/or delivered in connection with the
Jones Acquisition;
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(B) the articles of
incorporation, certificate of formation (or comparable formation
documents) of Jones, together with all amendments thereto, recently
certified by the applicable governmental authority of the
jurisdiction of organization or incorporation;
(C) the by-laws or operating
agreements of Jones, together with all amendments thereto, recently
certified by a duly authorized corporate officer of
Jones;
(D) corporate resolutions of
the board of directors (or similar governing body) of Jones,
authorizing the execution and delivery of this Modification and
related agreements, and the performance of the transactions
contemplated hereby, together with an incumbency certificate,
certified by a duly authorized corporate officer of
Jones;
(E) a recent good standing
certificate issued by the jurisdiction of formation or
incorporation of Jones, together with recent foreign qualification
certificates issued by the comparable state or country office where
the nature of Jones’ business requires Jones to be qualified
to do business in such state or country;
(F) recent UCC, judgment,
pending litigation, bankruptcy and tax lien search results of Jones
for each jurisdiction (county and state) where any assets of Jones
having a book value in excess of One Hundred Thousand and No/100
Dollars ($100,000.00) are located, and where Jones is
organized;
(G) a duly executed and
delivered joinder to contribution agreement from Jones;
(H) a pro forma quarterly
covenant compliance/non-default certificate in the form attached as
Exhibit 5 to the Loan Agreement, reporting results for the quarter
ending September 30, 2007;
(I) duly executed and
delivered documentation relating to Jones’ execution and
delivery of this Modification, the performance by Jones of all
transactions contemplated hereby (including, without limitation,
the joinder of Jones), the consummation of the Jones Acquisition
and such other matters as the Agent or its counsel may
require;
(J) one or more opinions of
counsel with respect to the consummation of the Jones Acquisition;
and
(K) evidence of insurance and
related certificates, including but not limited to, fire, hazard,
extended coverage, product and other liability, workmen’s
compensation, business interruption, umbrella and key man
insurance, in form and substance satisfactory to the Agent and its
counsel in all respects.
(v) The Agent, for itself and
for the ratable benefit of the Lenders, shall have been granted a
valid, binding and enforceable first priority perfected lien and
security interest (subject only to Permitted Liens) in and to all
of Jones’ assets; and
(vi) Not later than the first
anniversary of the date hereof, the Borrowers shall cause all
primary cash collection accounts (each, a “ Primary Cash
Collection Account ”) of Jones to be maintained with the
Agent, and all other primary bank accounts (each, a “
Primary Bank Account ” and together with the Primary
Cash Collection Accounts, each a “ Covered Account
” and collectively, the “ Covered Accounts
”) of Jones to be maintained with a Lender. Within ninety
(90) days of the date hereof, the Borrowers shall cause any
third party depository institution maintaining a Primary Cash
Collection Account of Jones, to enter into a wire transfer
arrangement with respect to such Primary Cash Collection Account,
in form and substance reasonably satisfactory to the Agent;
provided, however, that (a) in all events, all Covered
Accounts shall be maintained solely with the Agent or a Lender (as
applicable) not later than the first anniversary of the date
hereof, and (b) this Section shall not require Jones to
transfer any Covered Account that would not otherwise be covered by
Section 6.8 of the Loan Agreement; and provided, further, that
this Section shall not be construed to require Jones to take or
omit to take any action or transfer any Covered Account
(individually and collectively, the “ Excluded Bank
Accounts ”) that would violate any applicable laws or
regulations (including, without limitation, ERISA). It is
expressly
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understood and agreed that for so long
as Jones shall maintain any Covered Account (other than the
Excluded Bank Accounts) with any depository institution other than
the Agent or a Lender, then such Covered Account: (a) shall be
used solely for the deposit/receipt of cash, checks and other
remittances owing to Jones from time to time; (b) shall be at
all times, free and clear of any and all liens, claims and
encumbrances (other than the security interest of the Agent granted
hereby); and (c) shall secure the Obligations.
5. Joinder . Jones is
hereby joined as a party to and agrees to be bound by the terms and
conditions of the Loan Agreement, the Notes and the other Loan
Documents, to the same extent as if it were an original signatory
thereto and originally named therein as a Borrower or Maker (as the
case may be). Jones hereby makes all of the representations and
warranties set forth in the Loan Agreement (as modified or
supplemented hereby) and each other Loan Document to which more
than one (1) Borrower is a party thereto and grants to the
Agent, for the ratable benefit of the Lenders, a valid and
enforceable first priority security interest in and to all of its
assets constituting Collateral, free and clear of all liens, claims
and encumbrances (other than any Permitted Liens). Jones further
acknowledges and agrees that it shall be jointly and severally
liable for the performance of any and all past, present and future
obligations of the Borrower(s) in connection with any of the
Note(s), the Loan Agreement and/or the other Loan Documents; it
being understood and agreed that any and all references in the
Note(s), the Loan Agreement and/or the other Loan Documents to
“the Borrower” shall mean Jones, individually and/or
collectively with all other Borrowers.
6. Non-Borrower
Subsidiaries . Jones is a member of seven (7) joint
venture entities as follows (collectively, the “Non-Borrower
Subsidiaries”): (i) Bayview Transportation Consultants,
LLC, (ii) HDR/Jester Seattle Joint Venture,
(iii) Irvington Partners JV, LLC, (iv) JESTER EDAW, LLC,
(v) JSR Venture, LLC, (vi) SPK Venture, LLC and
(vii) Mooney-Hayes, LLC. Each Borrower hereby acknowledges,
covenants, warrants and agrees that it will not transfer any assets
to (including by way of capital contribution), make loans to, and
no proceeds of the Loan may be used by the Non-Borrower
Subsidiaries.
7. Exhibit
Substitutions . Schedule 1 and
Exhibit 4 attached to the Loan Agreement are
hereby deleted in their entirety and Schedule
1 and Exhibit 4 attached hereto
substituted in lieu thereof.
8. Updated Schedules .
The Borrowers shall have delivered to the Agent and its counsel, in
form and substance satisfactory to the Agent and its counsel in all
respects, updated schedules to the Loan Agreement, all of which
shall be attached and be deemed a part of the Loan
Agreement.
9. Expenses . The
Borrowers shall have paid to the Agent (for the ratable benefit of
the Lenders based on each Lender’s Percentage prior to giving
effect to the increase to the Facility A Commitment Amount set
forth herein) in immediately available funds, an upfront fee in the
amount of Fifteen Thousand and No/100 Dollars ($15,000.00), which,
each of the Borrowers acknowledges, has been fully earned as of the
date hereof. The Borrowers shall also pay all of the Agent’s
costs and expenses associated with this Modification and the
transactions referenced herein or contemplated hereby, including,
without limitation, the Agent’s reasonable legal fees and
expenses.
10. Conditions
Precedent . As a condition precedent to the effectiveness of
this Modification, the Agent and its counsel shall have received
the following, each in form and substance satisfactory to the Agent
and its counsel in all respects: (a) a fully executed copy of
this Modification; and (b) such other documents, instruments,
certificates of good standing, corporate resolutions, limited
liability company consents, UCC financing statements, opinions,
certifications, schedules to be attached to the Loan Agreement and
agreements as the Agent may reasonably request, each in such form
and content and from such parties as the Agent shall
require.
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11. Miscellaneous
.
(i) Each Borrower hereby
represents, warrants, acknowledges and agrees that as of the date
hereof (i) there are no set-offs, defenses, deductions or
counterclaims against and no defaults under any of the Notes, the
Loan Agreement or any other Loan Document; (ii) no act, event
or condition has occurred which, with notice or the passage of
time, or both, would constitute a default under any of the
Notes,
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