Exhibit 10.1
AMENDMENT NO. 1
TO
FIVE-YEAR CREDIT AGREEMENT
          THIS AMENDMENT NO. 1 TO FIVE-YEAR CREDIT AGREEMENT (this “Amendment”)
is made as of January 10, 2007, by and among THE DETROIT EDISON COMPANY (the
“Borrower”), the banks, financial institutions and other institutional lenders
listed on the signature pages hereof (the “Lenders”), BARCLAYS BANK PLC, as
Administrative Agent, and CITIBANK, N.A. and JPMORGAN CHASE BANK, N.A., as
Co-Syndication Agents, under that certain Five-Year Credit Agreement, dated as
of October 17, 2005, by and among the Borrower, the banks, financial
institutions and other institutional lenders from time to time parties thereto,
the Administrative Agent and the Co-Syndication Agents (as amended, restated or
otherwise modified from time to time, the “Credit Agreement”). Defined terms
used herein and not otherwise defined herein shall have the meaning given to
them in the Credit Agreement.
WITNESSETH
          WHEREAS, the Borrower, the Lenders, the Administrative Agent and the
Co-Syndication Agents are parties to the Credit Agreement; and
          WHEREAS, the Borrower has requested that the Administrative Agent, the
Co-Syndication Agents and the Lenders amend the Credit Agreement on the terms
and conditions set forth herein;
          WHEREAS, the Borrower, the Administrative Agent, the Co-Syndication
Agents and the requisite number of Lenders have agreed 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
parties hereto have agreed to the following amendments to the Credit Agreement:

1.   Amendments to the Credit Agreement. Effective as of December 31, 2006 (the
“Effective Date”) and subject to the satisfaction of the conditions precedent
set forth in Section 2 below, the Credit Agreement is hereby amended as follows:

  1.1.   Section 1.01 of the Credit Agreement is amended to insert the following
new definitions of “Excluded Pension Effects”, “Funded Debt”, “Guaranteed
Obligations”, “Hybrid Equity Securities”, “Mandatorily Convertible Securities”,
and “Total Funded Debt” alphabetically therein:

     “Excluded Pension Effects” means the non-cash effects on Consolidated Net
Worth resulting from the implementation of FASB Statement of Financial
Accounting Standards No. 158, Employers’ Accounting for Defined Benefit

 

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Pension and Other Postretirement Plans, an amendment of FASB Statements No. 87,
88, 106, and 132(R), dated September 2006.
     “Funded Debt” means, as to any Person, without duplication: (a) all Debt of
such Person for borrowed money or which has been incurred in connection with the
acquisition of assets (excluding (i) contingent reimbursement obligations in
respect of letters of credit and bankers’ acceptances, (ii) Nonrecourse Debt,
(iii) Junior Subordinated Debt, (iv) Mandatorily Convertible Securities, and
(v) Hybrid Equity Securities), (b) all capital lease obligations of such Person
and (c) all Guaranteed Obligations of Funded Debt of other Persons.
     “Guaranteed Obligations” has the meaning specified in clause (h) of the
definition of “Debt”.
     “Hybrid Equity Securities” means any securities issued by the Borrower or
its Subsidiary or a financing vehicle of the Borrower or its Subsidiary that (i)
are classified as possessing a minimum of “intermediate equity content” by S&P,
Basket C equity credit by Moody’s, and 50% equity credit by Fitch and
(ii) require no repayments or prepayments and no mandatory redemptions or
repurchases, in each case, prior to at least 91 days after the later of the
termination of the Commitments and the repayment in full of the Revolving Credit
Advances and all other amounts due under this Agreement.
     “Mandatorily Convertible Securities” means any mandatorily convertible
equity-linked securities issued by the Borrower or its Subsidiary, so long as
the terms of such securities require no repayments or prepayments and no
mandatory redemptions or repurchases, in each case prior to at least 91 days
after the later of the termination of the Commitments and the repayment in full
of the Revolving Credit Advances and all other amounts due under this Agreement.
     “Total Funded Debt” means all Funded Debt of the Borrower and its
Consolidated Subsidiaries, on a consolidated basis, as determined in accordance
with GAAP.

  1.2.   Section 1.01 of the Credit Agreement is amended to delete the
definition of “Excluded Hedging Debt” in its entirety.     1.3.   Section 1.01
of the Credit Agreement is amended to delete the definition of “Capitalization”
in its entirety and to substitute the following therefor:

     “Capitalization” means the sum of (a) Total Funded Debt plus
(b) Consolidated Net Worth.

  1.4.   Section 1.01 of the Credit Agreement is amended to delete the
definition of “Consolidated Net Worth” in its entirety and to substitute the
following therefor:

     “Consolidated Net Worth” means, as of any date of determination, the
consolidated total stockholders’ equity, including capital stock (but excluding

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treasury stock and capital stock subscribed and unissued), additional paid-in
capital and retained earnings (but excluding the Excluded Pension Effects) of
the Borrower and its Subsidiaries determined in accordance with GAAP.

  1.5.   Section 1.01 of the Credit Agreement is amended to insert at the end of
clause (h) of the definition of “Debt” the following: “(all such obligations
under this clause (h) being “Guaranteed Obligations”).     1.6.  
Section 6.01(i) of the Credit Agreement is amended and restated in its entirety
to read as follows:

     (i) The Borrower and its Subsidiaries, on a Consolidated basis, shall, as
of the last day of any fiscal quarter of the Borrower, have a ratio of (a) Total
Funded Debt to (b) Capitalization in excess of .65:1; or

  1.7.   Exhibit F of the Credit Agreement is amended and restated in its
entirety to read as set forth in the form attached hereto.

2.   Conditions of Effectiveness. The effectiveness of this Amendment is subject
to the conditions precedent that the Administrative Agent shall have received:

  (a)   duly executed originals of this Amendment from each of the Borrower, the
requisite number of Lenders required pursuant to Section 8.01 and the
Administrative Agent; and     (b)   such other documents, instruments and
agreements as the Administrative Agent shall reasonably request.

3.   Representations and Warranties and Reaffirmations of the Borrower.

  3.1.   The Borrower hereby represents and warrants that (i) this Amendment and
the Credit Agreement as previously executed and as modified hereby constitute
legal, valid and binding obligations of the Borrower and are enforceable against
the Borrower in accordance with their terms (except as enforceability may be
limited by bankruptcy, insolvency, reorganization, moratorium or similar laws
affecting the enforcement of creditors’ rights generally), and (ii) no Default
or Event of Default has occurred and is continuing.     3.2.   Upon the
effectiveness of this Amendment and after giving effect hereto, the Borrower
hereby reaffirms all covenants, representations and warranties made in the
Credit Agreement as modified hereby, and agrees that all such covenants,
representations and warranties shall be deemed to have been remade as of the
Effective Date, except that any such covenant, representation, or warranty that
was made as of a specific date shall be considered reaffirmed only as of such
date.

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4.   Reference to the Effect on the Credit Agreement.

  4.1.   Upon the effectiveness of Section 1 hereof, on and after the date
hereof, each reference in the Credit Agreement (including any reference therein
to “this Agreement,” “hereunder,” “hereof,” “herein” or words of like import
referring thereto) or in any other Loan Document shall mean and be a reference
to the Credit Agreement as modified hereby.     4.2.   Except as specifically
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.     4.3.   The
execution, delivery and effectiveness of this Amendment shall not operate as a
waiver of any right, power or remedy of the Administrative Agent or the Lenders,
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.     4.4.   Upon satisfaction of the conditions set forth in Section 2
hereof and the execution hereof by the Borrower and the Required Lenders, this
Amendment shall be binding upon all parties to the Credit Agreement.

5.   GOVERNING LAW. THIS AMENDMENT SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

6.   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.

7.   Counterparts. This Amendment may be executed by one or more of the parties
to this Amendment on any number of separate counterparts and all of said
counterparts taken together shall be deemed to constitute one and the same
instrument.

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

            THE DETROIT EDISON COMPANY, as
the Borrower
      By:   /s/ David R. Murphy       Name:   David R. Murphy      Title:  
Assistant Treasurer     

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  BARCLAYS BANK PLC, as Administrative Agent and as a Lender    
 
           
 
  By:
Name:   /s/ David Barton
 
David Barton    
 
  Title:   Associate Director    
 
                CITIBANK, N.A., as Co-Syndication Agent and as a Lender    
 
           
 
  By:   /s/ Amit Vasani    
 
           
 
  Name:   Amit Vasani    
 
  Title:   Vice President    
 
                JPMORGAN CHASE BANK, N.A., as Co-Syndication Agent and as a
Lender    
 
           
 
  By:   /s/ Nancy R. Barwig    
 
           
 
  Name:   Nancy R. Barwig    
 
  Title:   Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  COMERICA BANK, as Co-Documentation Agent and as a Lender    
 
           
 
  By        
 
  Name:  
 
   
 
  Title:        

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  UBS LOAN FINANCE LLC, as a Lender    
 
           
 
  By
Name:   /s/ Richard L. Tavrow
 
Richard L. Tavrow    
 
  Title:   Director    
 
           
 
  By   /s/ Irja R. Otsa    
 
           
 
  Name:   Irja R. Otsa    
 
  Title:   Associate Director    
 
                UBS SECURITIES LLC, as Co-Documentation Agent    
 
           
 
  By        
 
           
 
  Name:        
 
  Title:        
 
           
 
  By        
 
           
 
  Name:        
 
  Title:        

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  BANK OF AMERICA, N.A., as a Lender    
 
           
 
  By
Name:   /s/ Kevin Bertelsen
 
Kevin Bertelsen    
 
  Title:   Senior Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  BNP PARIBAS, as a Lender    
 
           
 
  By
Name:   /s/ Francis J. Delaney
 
Francis J. Delaney    
 
  Title:   Managing Director    
 
           
 
  By   /s/ Mark A. Renaud    
 
           
 
  Name:   Mark A. Renaud    
 
  Title:   Managing Director    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  KEYBANK NATIONAL ASSOCIATION, as a Lender    
 
           
 
  By   /s/ Sherrie I. Manson
 
   
 
  Name:   Sherrie I. Manson    
 
  Title:   Sr. Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  THE BANK OF NOVA SCOTIA, as a Lender    
 
           
 
  By   /s/ Thane Rattew    
 
           
 
  Name:   Thane A. Rattew    
 
  Title:   Managing Director    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  THE ROYAL BANK OF SCOTLAND plc, as a Lender    
 
           
 
  By   /s/ Andrew N. Taylor    
 
           
 
  Name:   Andrew N. Taylor    
 
  Title:   Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  WACHOVIA BANK, N.A., as a Lender    
 
           
 
  By        
 
           
 
  Name:        
 
  Title:        

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  THE BANK OF NEW YORK, as a Lender    
 
           
 
  By   /s/ Richard Fronapfel, Jr.    
 
           
 
  Name:   Richard Fronapfel, Jr.    
 
  Title:   Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  UNION BANK OF CALIFORNIA, N.A., as a Lender    
 
           
 
  By   /s/ Dennis G. Blank    
 
           
 
  Name:   Dennis G. Blank    
 
  Title:   Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  CREDIT SUISSE, CAYMAN ISLANDS BRANCH, as a Lender    
 
           
 
  By   /s/ Sarah Wu    
 
           
 
  Name:   Sarah Wu    
 
  Title:   Director    
 
           
 
  By   /s/ Shaheen Malik    
 
           
 
  Name:   Shaheen Malik    
 
  Title:   Associate    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  DEUTSCHE BANK AG NEW YORK BRANCH, as a Lender    
 
           
 
  By
Name:   /s/ Marcus Tarkington
 
Marcus Tarkington    
 
  Title:   Director    
 
           
 
  By
Name:   /s/ Rainer Meier
 
Rainer Meier    
 
  Title:   Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  FIFTH THIRD BANK, A MICHIGAN BANKING CORPORATION, as a Lender
   
 
           
 
  By
Name:   /s/ Brian Jelinski
 
Brian Jelinski    
 
  Title:   Officer    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH
(successor-By -merger to UFJ Bank Limited), as a Lender    
 
           
 
  By
Name:   /s/ Chi-Cheng Chen
 
Chi-Cheng Chen    
 
  Title:   Authorized Signatory    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  MELLON BANK, N.A., as a Lender    
 
           
 
  By
Name:   /s/ Thomas J. Tarasovich, Jr.
 
Thomas J. Tarasovich, Jr.    
 
  Title:   Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  LASALLE BANK NATIONAL ASSOCIATION, as a Lender    
 
           
 
  By
Name:    
 
     
 
  Title:        

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  MORGAN STANLEY BANK, as a Lender    
 
           
 
  By
Name:    
 
   
 
  Title:        

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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                  THE NORTHERN TRUST COMPANY, as a Lender    
 
           
 
  By
Name:   /s/ Alex Nikolov
 
Alex Nikolov    
 
  Title:   Second – Vice President    

Signature Page to
The Detroit Edison Company
Amendment No. 1 to Five-Year Credit Agreement

 

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EXHIBIT F — FORM OF
COMPLIANCE CERTIFICATE
COMPLIANCE CERTIFICATE

     
To:
  The Lenders parties to the
 
  Credit Agreement Described Below

     This Compliance Certificate is furnished pursuant to that certain Five-Year
Credit Agreement, dated as of October 17, 2005 (as amended or modified from time
to time, the “Agreement”) among The Detroit Edison Company, a Michigan
corporation (the “Borrower”), the lenders parties thereto, and Barclays Bank
PLC, as Agent for the lenders. Unless otherwise defined herein, capitalized
terms used in this Compliance Certificate have the meanings ascribed thereto in
the Agreement.
     THE UNDERSIGNED HEREBY CERTIFIES THAT:
     1. I am the duly elected                      of the Borrower;
     2. I have reviewed the terms of the Agreement and I have made, or have
caused to be made under my supervision, a detailed review of the transactions
and conditions of the Borrower and its Subsidiaries during the accounting period
covered by the attached financial statements;
     3. The examinations described in paragraph 2 did not disclose, and I have
no knowledge of, the existence of any condition or event which constitutes an
Event of Default or Default during or at the end of the accounting period
covered by the attached financial statements or as of the date of this
Certificate, except as set forth below; and
     4. Schedule 1 attached hereto sets forth financial data and computations
evidencing the Borrower’s compliance with certain covenants of the Agreement,
all of which data and computations are true, complete and correct.
     Described below are the exceptions, if any, to paragraph 3 by listing, in
detail, the nature of the condition or event, the period during which it has
existed and the action which the Borrower has taken, is taking, or proposes to
take with respect to each such condition or event:
     The foregoing certifications, together with the computations set forth in
Schedule I hereto and the financial statements delivered with this Certificate
in support hereof, are made and delivered this ___day of                     ,
___.

                  THE DETROIT EDISON COMPANY    
 
           
 
  By        
 
  Name:  
 
   
 
  Title:        

 

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SCHEDULE 1 TO COMPLIANCE CERTIFICATE
Compliance as of                     , ___with
Provisions of Section 5.01(h) of
the Agreement
FINANCIAL COVENANT
Ratio of Total Funded Debt to Capitalization (Section 6.01(i)).

                  (A)   Numerator (Total Funded Debt):             (i)  
Debt for borrowed money or which has been incurred in connection with the
acquisition of assets (exclusive of contingent reimbursement obligations in
respect of letters of credit and bankers’ acceptances):
  $                            (ii)  
Minus: Nonrecourse Debt:
  -$                            (iii)  
Minus: Junior Subordinated Debt:
  -$                            (iv)  
Minus: Mandatorily Convertible Securities:
  -$                            (v)  
Minus: Hybrid Equity Securities:
  -$                            (vi)  
Plus: Capital lease obligations:
  +$                            (vii)  
Plus: Guaranty Obligations of Funded Debt of other Persons:
  +$                            (viii)  
Numerator: (A)(i) minus (A)(ii) through (A)(v) plus (A)(vi) plus (A)(vii):
  $                               
 
        (B)   Denominator (Capitalization):             (i)  
Total Funded Debt: (A)(viii)
  $                            (ii)  
Plus: Consolidated Net Worth:
  +$                            (iii)  
Denominator: (B)(i) plus (B)(ii):
  $                               
 
        (C)   State whether the ratio of (A)(viii) to (B)(iii) was not greater
than .65:1:   YES/NO