EXHIBIT 10.85.9

 

CLOSING CHECKLIST

 

RENEWAL AND EXTENSION OF THE

REVOLVING LINE OF CREDIT PROVIDED BY

COMERICA BANK

TO

MICROSEMI CORPORATION

 

MARCH 29, 2005

 

LENDER:    Comerica Bank (“Comerica”) BORROWER:    Microsemi Corporation
TRANSACTION:    Amendment to $30,000,000 Revolving Line of Credit

 

I. PRIMARY LOAN DOCUMENTS

 

  1. Amendment to Credit Agreement1

 

  2. Consent of Guarantors1

 

  3. Judicial Reference Letter1

 

II. MISCELLANEOUS

 

  4. Reimbursement of Bank’s Legal Fees and Expenses2

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1 To be drafted by MCPS.

2 To be provided by Borrower.

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NINTH AMENDMENT

TO

CREDIT AGREEMENT

 

Dated as of March 29, 2005

 

This NINTH AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) is among MICROSEMI
CORPORATION, a Delaware corporation (the “Borrower”), the several financial
institutions party to the Credit Agreement referred to below (collectively, the
“Lenders”; individually, a “Lender”), and COMERICA BANK, as administrative agent
for the Lenders (the “Administrative Agent”).

 

PRELIMINARY STATEMENTS:

 

(1) The Borrower, the Lenders and the Administrative Agent have entered into
that certain Credit Agreement dated as of April 2, 1999, as amended by the First
Amendment to Credit Agreement dated as of June 25, 1999, the Second Amendment to
Credit Agreement dated as of February 14, 2000, the Third Amendment to Credit
Agreement dated as of April 2, 2001, the Fourth Amendment to Credit Agreement
dated as of May 25, 2002, the Fifth Amendment to Credit Agreement dated as of
December 5, 2002, the Sixth Amendment to Credit Agreement dated as of December
10, 2003, the Seventh Amendment to Credit Agreement dated as of March 31, 2004
and the Eighth Amendment to Credit Agreement dated as of March 31, 2004 (as so
amended the “Credit Agreement”; capitalized terms used and not otherwise defined
herein have the meanings assigned to such terms in the Credit Agreement).

 

(2) The Borrower has requested that the Administrative Agent and the Lenders
make certain amendments to the Credit Agreement.

 

(3) The Administrative Agent and the Lenders are, on the terms and conditions
stated below, willing to grant the request of the Borrower.

 

NOW, THEREFORE in consideration of the premises and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the
parties hereto hereby agree as: follows:

 

SECTION 1. Amendments to Credit Agreement. Effective as of the date hereof and
subject to the satisfaction of the conditions precedent set forth in Section 2
hereof, the Credit Agreement is hereby amended as follows:

 

(a) The definition of the term “Stated Maturity Date” in Section 1.1 of the
Credit Agreement is hereby amended and restated in its entirety to read as
follows:

 

“Stated Maturity Date means March 31, 2007.”

 

(b) Section 10.9, Governing Law, shall be amended and restated in its entirely
to read as follows:

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“Section 10.9. Governing Law; Entire Agreement. THIS AGREEMENT, THE NOTES AND
EACH OTHER LOAN DOCUMENT SHALL EACH BE DEEMED TO BE A CONTRACT GOVERNED BY AND
CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF CALIFORNIA
(WITHOUT REGARD TO ITS CONFLICT OF LAWS PROVISIONS). This Agreement, the Notes
and the other Loan Documents constitute the entire understanding among the
parties hereto with respect to the subject matter hereof and supersede prior
agreements, written or oral, with respect thereto.”

 

(c) Section 10.13., Forum Selection and Consent to Jurisdiction, shall be
amended and restated in its entirety to read as follows:

 

“Section 10.13 Forum Selection and Consent to Jurisdiction. Borrower, Lenders
and Administrative Agent hereby irrevocably submit to the non-exclusive
jurisdiction of any United States Federal Court or California state court
sitting in Los Angeles, California in any action or proceeding arising out of or
relating to this Agreement or any of the Loan Documents and Borrower, Lenders
and Administrative Agent hereby irrevocably agree that all claims in respect of
such action or proceeding may be heard and determined in any such United States
Federal Court or California state court. Borrower irrevocably consents to the
service of any and all process in any such action or proceeding brought in any
court in or of the State of California by the delivery of copies of such process
to Borrower at its address specified on the signature page hereto or by
certified mail directed to such address or such other address as may be
designated by Borrower in a notice to the other parties that complies as to
delivery with the terms of Section 10.2. Nothing in this Section shall affect
the right of Administrative Agent to serve process in any other manner permitted
by law or limit the right of the Administrative Agent to bring any such action
or proceeding against Borrower or any of Borrower’s Subsidiaries or any of their
property in the courts with subject matter jurisdiction of any other
jurisdiction. Borrower irrevocably waives any objection to the laying of venue
of any such suit or proceeding in the above described courts.”

 

SECTION 2. Conditions to Effectiveness. The amendments in Section 1 of this
Amendment shall be effective as of the date hereof, subject to the
Administrative Agent’s receipt of the following on or before March 29, 2005:

 

(a) counterparts of this Amendment executed by the Administrative Agent, the
Borrower and all Lenders;

 

(b) a reaffirmation of the Guaranty, in form and substance satisfactory to the
Agent, duly-executed by each Guarantor; and

 

(c) such other documentation as the Administrative Agent or any Lender shall
reasonably request.

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SECTION 3. Representations and Warranties. The Borrower represents and warrants
as follows:

 

(a) Authority: Enforceability. The Borrower has the requisite corporate power
and authority to execute, deliver and perform this Amendment, and to perform its
obligations under the Credit Agreement as amended hereby. The execution,
delivery and performance by the Borrower of this Amendment, and the consummation
of the transactions contemplated hereby, have been duly approved by the Board of
Directors of the Borrower and no other corporate proceedings on the part of the
Borrower are necessary to consummate such transactions. This Amendment has been
duly executed and delivered by the Borrower. Each of this Amendment and the
Credit Agreement as amended hereby constitutes the legal, valid and binding
obligation of the Borrower, enforceable against the Borrower in accordance with
its terms.

 

(b) Loan Document Representations and Warranties. The representations and
warranties contained in each Loan Document are true and correct on and as of the
date hereof, before and after giving effect to this Amendment, as though made on
and as of such date (unless stated to relate solely to an earlier date, in which
case such representations and warranties shall be true and correct as of such
earlier date).

 

(c) Absence of Default. No event has occurred and is continuing, or would result
from the effectiveness of this Amendment, that constitutes a Default.

 

SECTION 4. Reference to and Effect on the Loan Documents. (a) Upon and after the
effectiveness of this Amendment, each reference in the Credit Agreement to “this
Agreement”, “hereunder”, “hereof” or words of like import referring to the
Credit Agreement, and each reference in the other Loan Documents to “the Credit
Agreement”, “thereunder”, “thereof” or words of like import referring to the
Credit Agreement, shall mean and be a reference to the Credit Agreement as
modified and amended hereby.

 

(b) Except as specifically amended above, the Credit Agreement and all other
Loan Documents are and shall continue to be in full force and effect and are
hereby in all respects ratified and confirmed.

 

(c) The execution, delivery and effectiveness of this Amendment shall not,
except as expressly provided herein, operate as a waiver of any right, power or
remedy of any Lender or the Administrative Agent under any of the Loan
Documents, nor constitute a waiver of any provision of any of the Loan
Documents.

 

SECTION 5. Execution in Counterparts. This Amendment may be executed in any
number of counterparts and by different parties hereto in separate counterparts,
each of which when so executed and delivered shall be deemed to be an original
and all of which taken together shall constitute but one and the same agreement.
Delivery of an executed counterpart of a signature page to this Amendment by
telefacsimile shall be effective as delivery of a manually executed count of
this Amendment.

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IN WITNESS WHEREOF, the parties hereto have caused this Ninth Amendment to
Credit Agreement to be executed by their respective officers thereunto duly
authorized, as of the date first above written.

 

COMERICA BANK, as Administrative Agent By:  

/s/ Elisabeth C. Schutz

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Name:   Elisabeth C. Schutz Title:   Vice President Address:   Comerica Bank    

500 North State College Boulevard

Suite 570

   

Orange, CA 92868

Telephone: 714-940-6715

Facsimile: 714-940-6719

Attention: Elisabeth C. Schutz

COMERICA BANK, as a Lender By:  

/s/ Elisabeth C. Schutz

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Name:   Elisabeth C. Schutz Title:   Vice President Address:   Comerica Bank    

500 North State College Boulevard

Suite 570

   

Orange, CA 92868

Telephone: 714-940-6715

Facsimile: 714-940-6719

Attention: Elisabeth C. Schutz

 

This Amendment is approved and accepted as of the date first above written
MICROSEMI CORPORATION By:  

/s/ David R. Sonksen

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Name:   DAVID R. SONKSEN Title:   Ex. V. P. & CFO

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CONSENT OF GUARANTORS

Dated as of March 29, 2005

 

Please refer to that certain Guaranty dated as of April 2, 1999 (the “Guaranty”)
executed by the undersigned in favor of Comerica Bank, as Administrative Agent
under the Credit Agreement dated as of April 2, 1999 for Microsemi Corporation,
as amended (the “Credit Agreement”). Capitalized terms used herein shall have
the meanings ascribed thereto in the Credit Agreement.

 

The undersigned have reviewed that certain Amendment of even date herewith to
the Credit Agreement. By their execution hereof, the undersigned Guarantors
hereby consent to the terms of the Amendment.

 

By its execution hereof, each of the undersigned Guarantors hereby represents
and warrants that:

 

(i) this Consent has been duly authorized, executed and delivered by the
undersigned Guarantor and constitutes its legal, valid and binding obligation
enforceable against it in accordance with the terms hereof (subject to
applicable bankruptcy, reorganization, insolvency, moratorium or similar laws
affecting creditors’ rights generally and subject, as to enforceability, to
equitable principles of general application (regardless of whether enforcement
is sought in a proceeding in equity or at law)); and

 

(ii) the representations and warranties contained in the Guaranty are true and
correct as of the date hereof as though made on and as of the date hereof.

 

The undersigned Guarantors hereby further confirm and agree that the Guaranty is
and shall continue to be in full force and effect and is hereby in all respects
ratified and confirmed.

 

[signature page follows]

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GUARANTORS: MICROSEMI CORP. – INTEGRATED PRODUCTS MICROSEMI CORPORATION –
SCOTTSDALE MICROSEMI CORPORATION – COLORADO

MICROSEMI CORPORATION –MASSACHUSETTS

(formerly known as Microsemi Wartertown, Inc.)

By:  

/s/ David R. Sonksen

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Title:   Ex. V.P. & CFO MICROSEMI CORP. – SANTA ANA By:.  

/s/ David R. Sonksen

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Title:   Ex. V.P. & CFO

 

Accepted, Acknowledged and Agreed:

 

COMERICA BANK

as Administrative Agent

By:

 

/s/ Elisabeth C. Schutz

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Title:

  Vice President

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March 29, 2005

 

Microsemi Corp. - Integrated Products

Microsemi Corporation - Scottsdale

Microsemi Corporation - Colorado

Microsemi Corporation - Massachusetts

Microsemi Corporation - Santa Ana

(collectively referred to as, “Guarantors”)

 

Dear Guarantors:

 

This Letter Agreement is entered into by and between Comerica Bank (“Bank”) and
the undersigned party as of this 29th day of March, 2005.

 

The undersigned and Bank agree that the following Reference Provision shall be
made a part of any agreement, instrument, or document entered into between the
undersigned and Bank (collectively, the “Agreement”) and is hereby incorporated
into any such Agreement by this reference.

 

Reference Provision.

 

a. The parties prefer that any dispute between them be resolved in litigation
subject to a Jury Trial Waiver as set forth in the Agreement, but the
availability of that process is in doubt because of the opinion of the
California Court of Appeal in Grafton Partners LP v. Superior Court, 9
Cal.Rptr.3d 511. This Reference Provision will be applicable until the
California Supreme Court completes its review of that case, and will continue to
be applicable if either that court or a California Court of Appeal publishes a
decision holding that a pre-dispute Jury Trial Waiver provision similar to that
contained in the Agreement is invalid or unenforceable. Delay in requesting
appointment of a referee pending review of any such decision, or participation
in litigation pending review, will not be deemed a waiver of this Reference
Provision.

 

b. Other than (i) nonjudicial foreclosure of security interests in real or
personal property, (ii) the appointment of a receiver or (iii) the exercise of
other provisional remedies (any of which may be initiated pursuant to applicable
law), any controversy, dispute or claim (each, a “Claim”) between the parties
arising out of or relating to the Agreement, will be resolved by a reference
proceeding in California in accordance with the provisions of Section 638 et
seq. of the California Code of Civil Procedure (“CCP”), or their successor
sections, which shall constitute the exclusive

 

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remedy for the resolution of any Claim, including whether the Claim is subject
to the reference proceeding. Except as otherwise provided in the Agreement,
venue for the reference proceeding will be in the Superior Court or Federal
District Court in the County or District where venue is otherwise appropriate
under applicable law (the “Court”).

 

c. The referee shall be a retired Judge or Justice selected by mutual written
agreement of the parties. If the parties do not agree, the referee shall be
selected by the Presiding Judge of the Court (or his or her representative). A
request for appointment of a referee may be heard on an ex parte or expedited
basis, and the parties agree that irreparable harm would result if ex parte
relief is not granted. The referee shall be appointed to sit with all the powers
provided by law. Each party shall have one peremptory challenge pursuant to CCP
§ 170.6. Pending appointment of the referee, the Court has power to issue
temporary or provisional remedies.

 

d. The parties agree that time is of the essence in conducting the reference
proceedings. Accordingly, the referee shall be requested to (a) set the matter
for a status and trial-setting conference within fifteen (15) days after the
date of selection of the referee, (b) if practicable, try all issues of law or
fact within ninety (90) days after the date of the conference and (c) report a
statement of decision within twenty (20) days after the matter has been
submitted for decision. Any decision rendered by the referee will be final,
binding and conclusive, and judgment shall be entered pursuant to CCP §644.

 

e. The referee will have power to expand or limit the amount and duration of
discovery. The referee may set or extend discovery deadlines or cutoffs for good
cause, including a party’s failure to provide requested discovery for any reason
whatsoever. Unless otherwise ordered, no party shall be entitled to “priority”
in conducting discovery, depositions may be taken by either party upon seven (7)
days written notice, and all other discovery shall be responded to within
fifteen (15) days after service. All disputes relating to discovery which cannot
be resolved by the parties shall be submitted to the referee whose decision
shall be final and binding.

 

f. Except as expressly set forth in this Agreement, the referee shall determine
the manner in which the reference proceeding is conducted including the time and
place of hearings, the order of presentation of evidence, and all other
questions that arise with respect to the course of the reference proceeding. All
proceedings and hearings conducted before the referee, except for trial, shall
be conducted without a court reporter, except that when any party so requests, a
court reporter will be used at any hearing conducted before the referee, and the
referee will be provided a courtesy copy of the transcript. The party making
such a request shall have the obligation to arrange for and pay the court
reporter. Subject to the referee’s power to award costs to the prevailing party,
the parties will equally share the cost of the referee and the court reporter at
trial.

 

g. The referee shall be required to determine all issues in accordance with
existing case law and the statutory laws of the State of California. The rules
of evidence applicable to proceedings at law in the State of California will be
applicable to the reference proceeding. The referee shall be empowered to enter
equitable as well as legal relief, provide all temporary or

 

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provisional remedies, enter equitable orders that will be binding on the parties
and rule on any motion which would be authorized in a trial, including without
limitation motions for summary judgment or summary adjudication. The referee
shall issue a decision at the close of the reference proceeding which disposes
of all claims of the parties that are the subject of the reference. The
referee’s decision shall be entered by the Court as a judgment or an order in
the same manner as if the action had been tried by the Court. The parties
reserve the right to appeal from the final judgment or order or from any
appealable decision or order entered by the referee. The parties reserve the
right to findings of fact, conclusions of laws, a written statement of decision,
and the right to move for a new trial or a different judgment, which new trial,
if granted, is also to be a reference proceeding under this provision.

 

h. If the enabling legislation which provides for appointment of a referee is
repealed (and no successor statute is enacted), any dispute between the parties
that would otherwise be determined by reference procedure will be resolved and
determined by arbitration. The arbitration will be conducted by a retired judge
or Justice, in accordance with the California Arbitration Act §1280 through
§1294.2 of the CCP as amended from time to time. The limitations with respect to
discovery set forth above shall apply to any such arbitration proceeding.

 

i. THE PARTIES RECOGNIZE AND AGREE THAT ALL DISPUTES RESOLVED UNDER THIS
REFERENCE PROVISION WILL BE DECIDED BY A REFEREE AND NOT BY A JURY, AND THAT
THEY ARE IN EFFECT WAIVING THEIR RIGHT TO TRIAL BY JURY IN AGREEING TO THIS
REFERENCE PROVISION. AFTER CONSULTING (OR HAVING HAD THE OPPORTUNITY TO CONSULT)
WITH COUNSEL OF THEIR OWN CHOICE, EACH PARTY KNOWINGLY AND VOLUNTARILY AND FOR
THEIR MUTUAL BENEFIT AGREES THAT THIS REFERENCE PROVISION WILL APPLY TO ANY
DISPUTE BETWEEN THEM WHICH ARISES OUT OF OR IS RELATED TO THE AGREEMENT.

 

[signatures on following page]

 

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COMERICA BANK By:  

/s/ Elisabeth C. Schutz

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Its:   Vice President MICROSEMI CORP. – INTEGRATED PRODUCTS MICROSEMI
CORPORATION – SCOTTSDALE MICROSEMI CORPORATION – COLORADO
MICROSEMI CORPORATION – MASSACHUSETTS (formerly known as Microsemi Wartertown,
Inc.) By:  

/s/ David R. Sonksen

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Its:   Ex. V. P. & CFO MICROSEMI CORP. – SANTA ANA By:  

/s/ David R. Sonksen

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Its:   Ex. V. P. & CFO

 

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