Exhibit 10.2
EXECUTION COPY
AMENDMENT NO. 1
TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT
     This AMENDMENT NO. 1 to FOURTH AMENDED AND RESTATED CREDIT AGREEMENT (the
“Amendment”), dated as of February 22, 2008, is entered into by and among Tesoro
Corporation (the “Borrower”), the financial institutions party to the
below-defined Credit Agreement (the “Lenders”), and JPMorgan Chase Bank,
National Association, as Administrative Agent (the “Agent”). Each capitalized
term used herein and not otherwise defined herein shall have the meaning given
to it in the below-defined Credit Agreement.
WITNESSETH
     WHEREAS, the Borrower, the Lenders, and the Agent are parties to a Fourth
Amended and Restated Credit Agreement dated as of May 11, 2007 (as the same may
be amended, restated, supplemented or otherwise modified from time to time, the
“Credit Agreement”); and
     WHEREAS, the Borrower wishes to amend the Credit Agreement in certain
respects and the Lenders and the Agent are willing to amend the Credit Agreement
on the terms and conditions set forth herein;
     NOW, THEREFORE, in consideration of the premises set forth above, the terms
and conditions contained herein, and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the Borrower, the
Agent and the Lenders hereby agree as follows:
     1. Amendments to Credit Agreement. Effective as of the date first above
written, and subject to the satisfaction of the conditions to effectiveness set
forth in Section 2 below, the Credit Agreement is hereby amended as follows:
     (a) Section 6.10 of the Credit Agreement is hereby amended to (i) delete
the “or” at the end of clause (b) thereof, (ii) replace the “.” at the end of
clause (c) thereof with “; or” and (iii) insert immediately at the end thereof
the following new clause (d):
(d) the Borrower and its Subsidiaries may make Restricted Payments in an
aggregate amount not in excess of $100,000,000 during any rolling four quarter
period, so long as immediately before the time of declaration of such Restricted
Payment (and in each case as determined on a pro forma basis after giving effect
to the applicable Restricted Payment as of the date of declaration thereof) no
Default or Unmatured Default exists and Excess

 

--------------------------------------------------------------------------------

 

Availability equals or exceeds 20% of the Borrowing Base then in effect and
shall remain equal to or in excess of 20% for the remainder of the day on which
such declaration is made.
     (b) Section 6.21 of the Credit Agreement is hereby amended to insert
immediately at the end thereof the following sentence:
For the avoidance of doubt, so long as the Borrower is in compliance with the
Standard Reserve that is required to be in effect when the aforementioned ratio
is less than 1.00 to 1.00 (including, without limitation, such Standard Reserve
not resulting in an overadvance), such ratio may be less than 1.00 to 1.00 and
no Default or Unmatured Default shall result therefrom.
     2. Conditions of Effectiveness. This Amendment shall become effective and
be
deemed effective as of the date hereof, if, and only if:
          (a) the Agent shall have received executed copies of this Amendment
from the Borrower and each of the Lenders; and
          (b) the Agent shall have received a written reaffirmation of the
Borrower’s and the Subsidiary Guarantors’ respective obligations under the
Guaranty and the Collateral Documents in form and substance substantially
similar to Exhibit A hereto.
     3. Representations and Warranties of the Borrower. The Borrower hereby
represents and warrants as follows:
          (a) The Credit Agreement as previously executed constitutes the legal,
valid and binding obligation of the Borrower and is enforceable against the
Borrower in accordance with its terms, except as enforceability may be limited
by (i) bankruptcy, insolvency, fraudulent conveyances, reorganization or similar
laws relating to or affecting the enforcement of creditors’ rights generally;
(ii) general equitable principles (whether considered in a proceeding in equity
or at law); and (iii) requirements of reasonableness, good faith and fair
dealing.
          (b) Upon the effectiveness of this Amendment, the Borrower hereby (i)
represents that no Default or Unmatured Default exists under the terms of the
Credit Agreement, (ii) reaffirms all covenants, representations and warranties
made in the Credit Agreement, and (iii) agrees that all such covenants,
representations and warranties shall be deemed to have been remade as of the
effective date of this Amendment, provided that any such covenant,
representation or warranty that references a specific date is reaffirmed as of
such referenced date.
          (c) The modifications contemplated by this Amendment are permitted
under the terms of indentures and other agreements referenced in Section 9.18 of
the Credit Agreement that remain in effect as of the date hereof.
     4. Effect on the Credit Agreement.

2

--------------------------------------------------------------------------------

 

          (a) Upon the effectiveness of this Amendment, on and after the date
hereof, each reference in the Credit Agreement to “this Agreement,” “hereunder,”
“hereof,” “herein” or words of like import shall mean and be a reference to the
Credit Agreement, as amended and modified hereby.
          (b) Except as specifically amended and modified above, the Credit
Agreement and all other documents, instruments and agreements executed and/or
delivered in connection therewith shall remain in full force and effect, and are
hereby ratified and confirmed.
          (c) The execution, delivery and effectiveness of this Amendment shall
neither, except as expressly provided herein, operate as a waiver of any right,
power or remedy of the Lenders or the Agent, nor constitute a waiver of any
provision of the Credit Agreement or any other documents, instruments and
agreements executed and/or delivered in connection therewith.
     5. Costs and Expenses. The Borrower agrees to pay all reasonable costs,
fees and out-of-pocket expenses (including attorneys’ fees and expenses charged
to the Agent) incurred by the Agent and the Lenders in connection with the
preparation, arrangement, execution and enforcement of this Amendment.
     6. Governing Law. This Amendment shall be governed by and construed in
accordance with the internal laws, as opposed to the conflicts of law
provisions, of the State of New York; provided, however, that if a court,
tribunal or other judicial entity with jurisdiction over the Credit Agreement,
this Amendment and the transactions evidenced by the Loan Documents were to
disregard such choice of law, this Amendment shall be governed by and construed
in accordance with the internal laws, as opposed to the conflicts of law
provisions, of the State of Illinois.
     7. Headings. Section headings in this Amendment are included herein for
convenience of reference only and shall not constitute a part of this Amendment
for any other purpose.
     8. Counterparts. This Amendment may be executed by one or more of the
parties to the Amendment on any number of separate counterparts and all of said
counterparts taken together shall be deemed to constitute one and the same
instrument. Delivery of an executed counterpart of a signature page of this
Amendment by facsimile shall be effective as delivery of a manually executed
counterpart of this Amendment.
     9. No Strict Construction. The parties hereto have participated jointly in
the negotiation and drafting of this Amendment. In the event an ambiguity or
question of intent or interpretation arises, this Amendment shall be construed
as if drafted jointly by the parties hereto and no presumption or burden of
proof shall arise favoring or disfavoring any party by virtue of the authorship
of any provisions of this Amendment.
The remainder of this page is intentionally blank.

3

--------------------------------------------------------------------------------

 

     IN WITNESS WHEREOF, this Amendment has been duly executed as of the day and
year first above written.

            TESORO CORPORATION,
as the Borrower
      By:   /s/ Otto C. Schwethelm         Name:   Otto C. Schwethelm        
Title:   Vice President and Chief Financial Officer     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            JPMORGAN CHASE BANK,
NATIONAL ASSOCIATION,
individually, as initial LC Issuer, and as Administrative
Agent
      By:   /s/ J. Devin Mock         Name:   J. Devin Mock        Title:   Vice
President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            LEHMAN COMMERCIAL PAPER INC.,
as Syndication Agent and as a Lender
      By:   /s/ Maria M. Lund         Name:   Maria M. Lund        Title:  
Authorized signatory     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            BANK OF AMERICA, N.A.,
as a Co-Documentation Agent and as a Lender
      By:   /s/ Hance VanBeber         Name:   Hance VanBeber        Title:  
Senior Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            THE BANK OF TOKYO-MITSUBISHI UFJ, LTD.,
as a Co-Documentation Agent and as a Lender
      By:   /s/ Damain Sullivan         Name:   Damain Sullivan         Title:  
Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            FORTIS CAPITAL CORP.,
as a Co-Documentation Agent and as a Lender
      By:   /s/ Casey Lowary         Name:   Casey Lowary        Title:  
Director     

                  By:   /s/ Darrell Holley         Name:   Darrell Holley       
Title:   Managing Director     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            THE ROYAL BANK OF SCOTLAND plc,
as a Co-Documentation Agent and as a Lender
      By:   /s/ Eric Stoerr         Name:   Eric Stoerr         Title:  
Director     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            BNP PARIBAS,
as a Lender
      By:   /s/ Mark A. Cox         Name:   Mark A. Cox         Title:  
Managing Director     

                  By:   /s/ Greg Smothers         Name:   Greg Smothers       
Title:   Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            CALYON NEW YORK BRANCH,
as a Lender
      By:   /s/ Tom Byargeon         Name:   Tom Byargeon        Title:  
Managing Director     

                  By:   /s/ Sharada Manne         Name:   Sharada Manne       
Title:   Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            CITIBANK, N.A.,
as a Lender  
 
    By:   /s/ Amy Pincu         Name:   Amy Pincu         Title:   Vice
President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            LASALLE BUSINESS CREDIT, LLC,
as a Lender
      By:   /s/ Hance VanBeber         Name:   Hance VanBeber        Title:  
Sr. Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            MIZUHO CORPORATE BANK, LTD.,
as a Lender
        By:   /s/ Raymond Ventura         Name:   Raymond Ventura       
Title:   Deputy General Manager     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            NATIXIS,
as a Lender
        By:   /s/ Louis P. Laville, III         Louis P. Laville, III        
Managing Director     

                  By:   /s/ Daniel Payer         Daniel Payer         Director 
   

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            RZB FINANCE, LLC,
as a Lender
      By:   /s/ Shirley Ritch         Name:   Shirley Ritch        Title:  
Assistant Vice President     

                  By:   /s/ John A. Valiska         Name:   John A. Valiska     
  Title:   First Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            THE BANK OF NOVA SCOTIA,
as a Lender
      By:   /s/ Andrew Ostrov         Name:   Andrew Ostrov        Title:  
Director     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            SUMITOMO MITSUI BANKING CORP.,
as a Lender
      By:   /s/ William M. Ginn         Name:   William M. Ginn        Title:  
General Manager     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            WACHOVIA BANK, NATIONAL ASSOCIATION,
as a Lender
      By:   /s/ John Williammee, Jr.         Name:   John Williammee, Jr.      
  Title:   Director     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            WELLS FARGO FOOTHILL, LLC,
as a Lender
      By:   /s/ Rina Shinoda         Name:   Rina Shinoda         Title:   Vice
President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            BMO CAPITAL MARKETS FINANCING, INC.,
as a Lender
      By:   /s/ Mary Lou Allen         Name:   Mary Lou Allen         Title:  
Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            GMAC COMMERCIAL FINANCE, LLC,
as a Lender
      By:   /s/ James Bruce         Name:   James Bruce        Title:  
Director     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            NATIONAL CITY BUSINESS CREDIT, INC.,
as a Lender
      By:   /s/ Todd W. Milenius         Name:   Todd W. Milenius       
Title:   Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            PNC BANK, N.A.,
as a Lender
      By:   /s/ Terrance O. McKinney         Name:   Terrance O. McKinney       
Title:   Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            REGIONS BANK,
as a Lender
      By:   /s/ Michael Fogarty         Name:   Michael Fogarty        Title:  
SVP     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            SIEMENS FINANCIAL SERVICES, INC.,
as a Lender
      By:   /s/ Mark Picillo         Name:   Mark Picillo        Title:   Vice
President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            SOCIÉTÉ GÉNÉRALE,
as a Lender
      By:   /s/ Emmanuel Chesneau         Name:   Emmanuel Chesneau       
Title:   Managing Director              By:   /s/ Craig Tashjian         Name:  
Craig Tashjian        Title:   Managing Director     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            COMERICA BANK,
as a Lender
      By:   /s/ Gerald R. Finney, Jr.         Name:   Gerald R. Finney, Jr.     
  Title:   Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            THE FROST NATIONAL BANK,
as a Lender
      By:   /s/ Beth Weakley         Name:   Beth Weakley        Title:   EVP   
 

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            GUARANTY BANK,
as a Lender
      By:   /s/ Jim R. Hamilton         Name:   Jim R. Hamilton        Title:  
Senior Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            SOVEREIGN BANK,
as a Lender
      By:   /s/ Kathryn McEnroe Williams         Name:   Kathryn McEnroe
Williams        Title:   VP     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            U.S. BANK, NATIONAL ASSOCIATION,
as a Lender
      By:   /s/ Thomas Visconti         Name:   Thomas Visconti        Title:  
Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            ALLIED IRISH BANKS, PLC,
as a Lender
      By:   /s/ Albert D. Perez         Name:   Albert D. Perez        Title:  
Vice President              By:   /s/ Mia Bolin         Name:   Mia Bolin       
Title:   Assistant Vice President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            AMEGY BANK NATIONAL ASSOCIATION,
as a Lender
      By:   /s/ W. Bryan Chapman         Name:   W. Bryan Chapman       
Title:   SVP & Energy Lending Manager     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            CAPITAL ONE, NATIONAL ASSOCIATION,
as a Lender
      By:   /s/ Stan G. Weiser Jr.         Name:   Stan G. Weiser Jr.       
Title:   Vice-President     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            UPS CAPITAL CORPORATION,
as a Lender
      By:   /s/ John P. Holloway         Name:   John P. Holloway       
Title:   Director of Portfolio Management     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

            WEBSTER BUSINESS CREDIT CORPORATION,
as a Lender
      By:   /s/ Julian Vigder         Name:   Julian Vigder        Title:   AVP 
   

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

--------------------------------------------------------------------------------

 

EXHIBIT A
TO
AMENDMENT NO. 1
FORM OF REAFFIRMATION
Attached

--------------------------------------------------------------------------------

 

AFFIRMATION OF LOAN DOCUMENTS
     Reference is hereby made to the Fourth Amended and Restated Credit
Agreement, dated as of May 11, 2007 (as the same may be amended, restated,
supplemented or otherwise modified from time to time, the “Credit Agreement”),
by and among Tesoro Corporation (the “Borrower”), the financial institutions
from time to time party thereto as Lenders (the “Lenders”) and JPMorgan Chase
Bank, National Association, as Administrative Agent (the “Administrative
Agent”). Capitalized terms used in this Affirmation of Loan Documents and not
defined herein shall have the meanings given to them in the Credit Agreement.
     Each of the undersigned hereby acknowledges receipt of a copy of Amendment
No. 1 to Fourth Amended and Restated Credit Agreement, which amends the Credit
Agreement, and affirms the terms and conditions of each Loan Document executed
by it, including, without limitation, the Security Agreement and the Guaranty,
and acknowledges and agrees that each such Loan Document executed by it in
connection with the Prior Credit Agreement remains in full force and effect and
is hereby reaffirmed, ratified and confirmed.
     Each reference to the “Credit Agreement” contained in the above-referenced
documents shall be a reference to the Credit Agreement as the same may from time
to time hereafter be amended, modified, supplemented or restated.
Dated: February 22, 2008
*******

--------------------------------------------------------------------------------

 

GOLD STAR MARITIME COMPANY
TESORO ALASKA COMPANY
TESORO AVIATION COMPANY
TESORO COMPANIES, INC.
TESORO ENVIRONMENTAL RESOURCES COMPANY
TESORO FAR EAST MARITIME COMPANY
TESORO FINANCIAL SERVICES HOLDING COMPANY
TESORO MARITIME COMPANY
TESORO NORTHSTORE COMPANY
TESORO REFINING AND MARKETING COMPANY
TESORO TRADING COMPANY
TESORO VOSTOK COMPANY
TESORO WASATCH, LLC
TESORO SIERRA PROPERTIES, LLC
TESORO SOUTH COAST COMPANY, LLC
TESORO WEST COAST COMPANY, LLC

By:   /s/ Phillip M. Anderson

 
Name: Phillip M. Anderson
Title:   Vice President and Treasurer

TESORO HAWAII CORPORATION

By:   /s/ Gregory A. Wright

 
Name: Gregory A. Wright

Title:   Executive Vice President and Chief Financial Officer

SMILEY’S SUPER SERVICE, INC.

By:   /s/ Otto C. Schwethelm

 
Name: Otto C. Schwethelm

Title:   Vice President, Chief Financial Officer and Treasurer

SIGNATURE PAGE TO AFFIRMATION OF LOAN DOCUMENTS

--------------------------------------------------------------------------------

 

            State of California Public Employees’ Retirement System, as a Lender
      By:   /s/ Mike Claybar         Name:   Mike Claybar        Title:  
Portfolio Manager     

SIGNATURE PAGE TO AMENDMENT NO. 1 TO
FOURTH AMENDED AND RESTATED CREDIT AGREEMENT