EXHIBIT 10.1
March 27, 2009
New Ulm Telecom, Inc.
400 Second Street North
P.O. Box 697
New Ulm, Minnesota 56073-0697
James T. Sanft
Lindquist & Vennum, P.L.L.P
4200 IDS Center
80 South Eighth Street
Minneapolis, Minnesota 55402
Ladies and Gentlemen:
Reference
is made to the Master Loan Agreement (as amended, modified,
supplemented, extended or restated from time to time, the “
MLA ”), dated as of January 4, 2008, by and
between New Ulm Telecom, Inc. (the “ Borrower
”) and CoBank, ACB, (“ CoBank ”),
as supplemented by that certain First Supplement to the Master Loan
Agreement, dated as of January 4, 2008, by and between the Borrower
and CoBank (as amended, modified, supplemented, extended or
restated from time to time, the “ First
Supplement ”) and by that certain Second Supplement
to the Master Loan Agreement, dated as of January 4, 2008, by and
between the Borrower and CoBank (as amended, modified,
supplemented, extended or restated from time to time, the “
Second Supplement ”; the MLA, as supplemented
by the First Supplement and the Second Supplement, the “
Loan Agreement ”). Capitalized terms used but
not defined herein have the meanings assigned to them in the Loan
Agreement.
Waiver
Pursuant
to Subsection 8(I)(3) of the MLA, the Borrower is required to
maintain at all times, measured and reported on a consolidated
basis as of the last day of each fiscal quarter, an Equity to Total
Assets Ratio greater than 40%. For the fiscal quarter ended
December 31, 2008, the Borrower had an Equity to Total Assets Ratio
of 39.59% (the “ Equity Ratio Default
”).
The
Loan Parties have requested that CoBank waive the Equity Ratio
Default. In reliance on the representations and warranties of the
Loan Parties in this letter agreement and in connection with the
request for such waiver, and subject to the effectiveness of this
letter agreement as described below, CoBank hereby waives the
Equity Ratio Default.
Amendment
By
this letter agreement, the table contained in Subsection 8(I)(1) of
the MLA is deleted in its entirety and replaced with the
following:
1
