Exhibit 10.1

 

AMENDMENT NO. 5

 

This AMENDMENT NO. 5 (“AMENDMENT”) is made as of October 12, 2005, by and among
DOVER MOTORSPORTS, INC., a Delaware corporation, DOVER INTERNATIONAL SPEEDWAY,
INC., a Delaware corporation, GATEWAY INTERNATIONAL MOTORSPORTS CORPORATION, an
Illinois corporation, GATEWAY INTERNATIONAL SERVICES CORPORATION, an Illinois
corporation, MEMPHIS INTERNATIONAL MOTORSPORTS CORPORATION, a Tennessee
corporation, M&N SERVICES CORP., a Tennessee corporation, and NASHVILLE SPEEDWAY
USA, INC., a Tennessee corporation (collectively, “BORROWERS”); MERCANTILE-SAFE
DEPOSIT AND TRUST COMPANY, a Maryland banking corporation as agent (“AGENT”);
MERCANTILE-SAFE DEPOSIT AND TRUST COMPANY, a Maryland banking corporation in its
capacity as issuer of letters of credit (“ISSUING BANK”); and WILMINGTON TRUST
COMPANY, MERCANTILE-SAFE DEPOSIT AND TRUST COMPANY, WILMINGTON SAVINGS FUND
SOCIETY, FSB and PNC BANK, DELAWARE (collectively, “LENDERS”).

 

RECITALS

 

The BORROWERS, the AGENT, the ISSUING BANK and the LENDERS are parties to that
certain Credit Agreement executed February 17, 2004 and effective as of February
19, 2004, as previously amended (“CREDIT AGREEMENT”), pursuant to which the
LENDERS and the ISSUING BANK are providing to the BORROWERS certain credit
facilities (“CREDIT FACILITIES”).

 

The BORROWERS’ repayment obligations in connection with the CREDIT FACILITIES
are evidenced by: (a) the Revolving Loan Promissory Note in the stated principal
amount of Twenty-Seven Million Five Hundred Thousand Dollars ($27,500,000.00)
from the BORROWERS to the order of Mercantile-Safe Deposit and Trust Company
effective as of February 19, 2004 (“MERCANTILE NOTE”); (b) the Revolving Loan
Promissory Note in the stated principal amount of Fifteen Million Dollars
($15,000,000.00) from the BORROWERS to the order of Wilmington Trust Company
effective as of February 19, 2004 (“WILMINGTON TRUST NOTE”); (c) the Amended and
Restated Revolving Loan Promissory Note in the stated principal amount of
Fifteen Million Dollars ($15,000,000.00) from the BORROWERS to the order of PNC
Bank, Delaware effective as of August 5, 2005 (“PNC NOTE”); and (d) the Amended
and Restated Revolving Loan Promissory Note in the stated principal amount of
Twelve Million Five Hundred Thousand Dollars ($12,500,000.00) from the BORROWERS
to Wilmington Savings Fund Society, FSB effective as of August 5, 2005
(“WILMINGTON SAVINGS NOTE”).

 

As used herein the term “LOAN DOCUMENTS” means collectively the CREDIT
AGREEMENT, the MERCANTILE NOTE, the WILMINGTON TRUST NOTE, the PNC NOTE, the
WILMINGTON SAVINGS NOTE and all other documents evidencing the obligations in
connection with the CREDIT FACILITIES.

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

The BORROWERS have requested that the AGENT, the ISSUING BANK and the LENDERS:
(a) increase the maximum principal amount of the CREDIT FACILITIES; and (b)
modify certain provisions of the CREDIT AGREEMENT.

 

The AGENT, the LENDERS and the ISSUING BANK are willing to consent to the
requests of the BORROWERS subject to the terms and provisions of this AMENDMENT.

 

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

 

Section 1. Recitals. The parties acknowledge the accuracy of the above recitals
and hereby incorporate the recitals into this AMENDMENT.

 

Section 2. Amendment to Credit Agreement. Effective as of the date of this
AMENDMENT, the CREDIT AGREEMENT is hereby amended as follows:

 

a. Amended Definition. The definition of “CONSOLIDATED DEBT SERVICE” contained
in Article 1 of the CREDIT AGREEMENT is hereby amended by deleting its present
language in its entirety and substituting in lieu thereof the following:

 

Consolidated Debt Service. The term “CONSOLIDATED DEBT SERVICE” means for any
period of four (4) consecutive fiscal quarters, the amount of cash, interest
expense and payments of principal (excluding (a) payments of principal made on
any LOANS or on account of principal under any other revolving credit
facilities, and (b) the Fourteen Million Five Hundred Eighty-Four Thousand
Dollar ($14,584,000.00) principal payment made to Southwestern Illinois
Development Authority in October, 2005 in connection with the credit facility
described in the Loan Agreement dated May 1, 1996 between Gateway International
Motorsports Corporation and Southwestern Illinois Development Authority)
required to be paid by the BORROWERS during such period, all determined on a
consolidated basis in accordance with G.A.A.P.

 

b. Section 2.12.a. Section 2.12.a of the CREDIT AGREEMENT is hereby amended by
deleting its present language in its entirety and substituting in lieu thereof
the following:

 

a. Mandatory Reductions. The amount of the TOTAL COMMITMENT shall be
automatically reduced on July 1st of each year beginning on July 1, 2006 by: (i)
Seven Million Dollars ($7,000,000.00) on July 1, 2006; and (ii) Eight Million
Dollars ($8,000,000.00) on each July 1st thereafter.

 

2

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

c. Section 6.4. Section 6.4 of the CREDIT AGREEMENT is hereby amended by
deleting its present language in its entirety and substituting in lieu thereof
the following:

 

Section 6.4. No Indebtedness. None of the BORROWERS shall incur, create, assume,
or permit to exist any INDEBTEDNESS except: (a) the OBLIGATIONS; (b)
INDEBTEDNESS secured by PERMITTED LIENS; and (c) INDEBTEDNESS to Mercantile-Safe
Deposit and Trust Company under a short-term loan made in October, 2005 in the
maximum principal amount of One Million Dollars ($1,000,000.00) which remains
outstanding for a period of not more than fifteen (15) calendar days.

 

d. Schedule 1. Schedule 1 of the CREDIT AGREEMENT is hereby amended by deleting
its present language in its entirety and substituting in lieu thereof the terms
of Schedule 1 attached hereto and made a part hereof.

 

Section 3. Amendment to Mercantile Note. The MERCANTILE NOTE is hereby amended
and restated in its entirety in accordance with the terms and provisions of the
Amended and Restated Revolving Loan Promissory of even date herewith from the
BORROWERS to the order of Mercantile-Safe Deposit and Trust Company in the
stated principal amount of Thirty-One Million Four Hundred Twenty-Eight Thousand
Five Hundred Sixty-Eight Dollars ($31,428,568.00).

 

Section 4. Amendment to Wilmington Trust Note. The WILMINGTON TRUST NOTE is
hereby amended and restated in its entirety in accordance with the terms and
provisions of the Amended and Restated Revolving Loan Promissory Note of even
date herewith from the BORROWERS to the order of Wilmington Trust Company in the
stated principal amount of Seventeen Million One Hundred Forty-Two Thousand
Eight Hundred Fifty-Six Dollars ($17,142,856.00).

 

Section 5. Amendment to Wilmington Savings Note. The WILMINGTON SAVINGS NOTE is
hereby amended and restated in its entirety in accordance with the terms and
provisions of the Second Amended and Restated Revolving Loan Promissory Note of
even date herewith from the BORROWERS to the order of Wilmington Savings Fund
Society, FSB in the stated principal amount of Fourteen Million Two Hundred
Eighty-Five Thousand Seven Hundred Twenty Dollars ($14,285,720.00).

 

Section 6. Amendment to PNC Note. The PNC NOTE is hereby amended and restated in
its entirety in accordance with the terms and provisions of the Second Amended
and Restated Revolving Loan Promissory Note of even date herewith from the
BORROWERS to the order of PNC Bank, Delaware in the stated principal amount of
Seventeen Million One Hundred Forty-Two Thousand Eight Hundred Fifty-Six Dollars
($17,142,856.00).

 

Section 7. Fee. In consideration for the agreements of the LENDERS contained
herein, the BORROWERS shall pay, on the date of this AMENDMENT, to the AGENT,
for the ratable benefit of the LENDERS, a fee in the amount of Twenty-Five
Thousand Dollars ($25,000.00).

 

3

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

Section 8. Other Terms. Except as specifically modified herein, all other terms
and provisions of the CREDIT AGREEMENT and all other documents evidencing or
otherwise documenting the terms and provisions of the credit facilities being
provided by the LENDERS and the ISSUING BANK to the BORROWERS remain in full
force and effect and are hereby ratified and confirmed.

 

Section 9. Choice of Law. The laws of the State of Maryland (excluding, however,
conflict of law principals) shall govern and be applied to determine all issues
relating to this AMENDMENT and the rights and obligations of the parties hereto,
including the validity, construction, interpretation and enforceability of this
AMENDMENT.

 

Section 10. Delivery by Telecopier. This AMENDMENT may be delivered by
telecopier and a facsimile of any party’s signature hereto shall constitute an
original signature for all purposes.

 

Section 11. Counterparts. This AMENDMENT may be executed in counterparts each of
which shall be binding upon the signatories but all of which shall constitute
one and the same agreement.

 

IN WITNESS WHEREOF, the parties have executed this AMENDMENT with the specific
intention of creating a document under seal.

 

BORROWERS: DOVER MOTORSPORTS, INC., A Delaware Corporation By:  

/s/ Thomas G. Wintermantel

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

  (SEAL) Name:   Thomas G. Wintermantel     Title:   Treasurer & Assistant
Secretary     DOVER INTERNATIONAL SPEEDWAY, INC., A Delaware Corporation By:  

/s/ Thomas G. Wintermantel

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

  (SEAL) Name:   Thomas G. Wintermantel     Title:   Treasurer & Assistant
Secretary    

 

4

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

BORROWERS (cont.): GATEWAY INTERNATIONAL MOTORSPORTS CORPORATION, An Illinois
Corporation By:  

/s/ Patrick J. Bagley

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

  (SEAL) Name:   Patrick J. Bagley     Title:   Senior Vice President-Finance
GATEWAY INTERNATIONAL SERVICES CORPORATION, An Illinois Corporation By:  

/s/ Tony R. Evans

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

  (SEAL) Name:   Tony R. Evans     Title:   Treasurer and Secretary    
MEMPHIS INTERNATIONAL MOTORSPORTS CORPORATION, A Tennessee Corporation By:  

/s/ Patrick J. Bagley

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

  (SEAL) Name:   Patrick J. Bagley     Title:   Senior Vice President-Finance
M&N SERVICES CORP., A Tennessee Corporation By:  

/s/ Tony R. Evans

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

  (SEAL) Name:   Tony R. Evans     Title:   Treasurer and Secretary    
NASHVILLE SPEEDWAY USA, INC., A Tennessee Corporation By:  

/s/ Patrick J. Bagley

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

  (SEAL) Name:   Patrick J. Bagley     Title:   Senior Vice President-Finance

 

5

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

AGENT: MERCANTILE-SAFE DEPOSIT AND TRUST COMPANY, A Maryland Banking Corporation
By:  

/s/ C. Douglas Sawyer

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

  (SEAL) Name:   C. Douglas Sawyer     Title:   Senior Vice President    
LENDERS: WILMINGTON TRUST COMPANY By:  

/s/ Michael B. Gast

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

  (SEAL) Name:   Michael B. Gast     Title:   Vice President     MERCANTILE-SAFE
DEPOSIT AND TRUST COMPANY By:  

/s/ C. Douglas Sawyer

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

  (SEAL) Name:   C. Douglas Sawyer     Title:   Senior Vice President    
WILMINGTON SAVINGS FUND SOCIETY, FSB By:  

/s/ M. Scott Baylis

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

  (SEAL) Name:   M. Scott Baylis     Title:   Managing Vice President     PNC
BANK, DELAWARE By:  

/s/ Warren C. Engle

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

  (SEAL) Name:   Warren C. Engle     Title:   Senior Vice President    

 

6

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

ISSUING BANK: MERCANTILE-SAFE DEPOSIT AND TRUST COMPANY By:  

/s/ C. Douglas Sawyer

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

  (SEAL) Name:   C. Douglas Sawyer     Title:   Senior Vice President    

 

7

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

SCHEDULE 1

 

Commitments

 

Mercantile-Safe Deposit and Trust Company

   $ 31,428,568.00

Wilmington Trust Company

   $ 17,142,856.00

Wilmington Savings Fund Society, FSB

   $ 14,285,720.00

PNC Bank, Delaware

   $ 17,142,856.00

 

8