Exhibit 10.89.1

EXECUTION COPY

AMENDMENT NO. 2

Dated as of October 25, 2010

to

CREDIT AGREEMENT

Dated as of October 16, 2009

THIS AMENDMENT NO. 2 (“Amendment”) is made as of October 25, 2010 by and among
Endo Pharmaceuticals Holdings Inc. (the “Borrower”), the financial institutions
listed on the signature pages hereof (collectively, the “Lenders”) and JPMorgan
Chase Bank, N.A., in its capacity as administrative agent for the Lenders (the
“Administrative Agent”), under that certain Credit Agreement dated as of
October 16, 2009 by and among the Borrower, the Lenders and the Administrative
Agent (as may be further amended, supplemented or otherwise modified from time
to time, the “Credit Agreement”). Capitalized terms used herein and not
otherwise defined herein shall have the respective meanings given to them in the
Credit Agreement.

WHEREAS, the Borrower, the Lenders party hereto and the Administrative Agent
have agreed to make certain amendments to the Credit Agreement;

WHEREAS, the parties hereto have agreed to such amendments 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 enter into this Amendment.

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

(a) Section 2.20 of the Credit Agreement is hereby amended to delete the
reference to “$100,000,000” appearing therein and to replace such reference with
the reference “$500,000,000”.

(b) Section 2.20 of the Credit Agreement is hereby further amended to insert
“each Increasing Lender participating in such tranche,” immediately after the
reference to “executed by the Borrower,” appearing in the third to last sentence
thereof.

2. Conditions of Effectiveness. The effectiveness of this Amendment is subject
to the conditions precedent that (a) the Administrative Agent shall have
received counterparts of this Amendment duly executed by the Borrower, the
Required Lenders and the Administrative Agent and the Consent and Reaffirmation
attached hereto duly executed by the Subsidiary Guarantors, (b) the Borrower
shall have paid to the Administrative Agent, for the account of each Lender that
has executed and delivered its signature page hereto by such time as is
requested by the Administrative Agent, an amendment fee in the amount specified
by the Administrative Agent to the Lenders and (c) the Borrower shall have paid
all of the fees of the Administrative Agent and its affiliates (including, to
the extent invoiced, reasonable attorneys’ fees and expenses of the
Administrative Agent) in connection with this Amendment and the other Loan
Documents.

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3. Representations and Warranties of the Borrower. The Borrower hereby
represents and warrants as follows:

(a) This Amendment and the Credit Agreement, as amended hereby, constitute
legal, valid and binding obligations of the Borrower, enforceable in accordance
with their terms, subject to applicable bankruptcy, insolvency, reorganization,
moratorium or other laws affecting creditors’ rights generally and subject to
general principle of equity, regardless of whether considered in a proceeding in
equity or at law.

(b) As of the date hereof and after giving effect to the terms of this
Amendment, (i) no Default shall have occurred and be continuing and (ii) the
representations and warranties of the Borrower set forth in the Credit
Agreement, as amended hereby, are true and correct in all material respects on
and as of the date hereof except in the case of any such representation and
warranty that expressly relates to an earlier date, in which case such
representation and warranty shall be true and correct in all material respects
on and as of such earlier date.

4. Reference to and Effect on the Credit Agreement.

(a) Upon the effectiveness hereof, each reference to the Credit Agreement in the
Credit Agreement or any other Loan Document shall mean and be a reference to the
Credit Agreement as amended hereby.

(b) Except as specifically amended 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 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.

5. Governing Law. This Amendment shall be construed in accordance with and
governed by the law 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
hereto on any number of separate counterparts, and all of said counterparts
taken together shall be deemed to constitute one and the same instrument.
Signatures delivered by facsimile or PDF shall have the same force and effect as
manual signatures delivered in person.

[Signature Pages Follow]

 

2

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

 

ENDO PHARMACEUTICALS HOLDINGS INC., as the Borrower By  

/s/    Alan G. Levin

  Name: Alan G. Levin   Title: Chief Financial Officer

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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JPMORGAN CHASE BANK, N.A., individually as a Lender and as Administrative Agent

By

 

/s/    Deborah R. Winkler

  Name: Deborah R. Winkler   Title: Vice President

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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BARCLAYS BANK PLC

By

 

/s/    David Barton

  Name: David Barton   Title: Director

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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MORGAN STANLEY BANK, N.A.

By

 

/s/    Scott Taylor

  Name: Scott Taylor   Title: Authorized Signatory

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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ROYAL BANK OF CANADA

By

 

/s/    Mustafa S. Topiwalla

  Name: Mustafa S. Topiwalla   Title: Authorized Signatory

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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BANK OF AMERICA, N.A.

By

 

/s/    Jill J. Hogan

  Name: Jill J. Hogan   Title: Vice President

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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DEUTSCHE BANK AG NEW YORK BRANCH By   /s/    Carin Keegan

Name: Carin Keegan

Title: Director

By   /s/    Erin Morrissey

Name: Erin Morrissey

Title: Vice President

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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CITIBANK N.A. By   /s/    Munira Musadek

Name: Munira Musadek

Title: Vice President

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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UBS LOAN FINANCE LLC By   /s/    Mary E. Evans

Name: Mary E. Evans

Title: Associate Director

By   /s/    Irja R. Otsa

Name: Irja R. Otsa

Title: Associate Director

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH (formerly known as Credit Suisse, Cayman
Islands Branch) By   /s/    Ari Bruger

Name: Ari Bruger

Title: Vice President

By   /s/    Kevin Buddhdew

Name: Kevin Buddhdew

Title: Associate

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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THE GOVERNOR AND COMPANY OF THE BANK OF IRELAND By   /s/    Padraig Rushe

Name: Padraig Rushe

Title: Director

By   /s/    Philip Greene

Name: Philip Greene

Title: Deputy Manager

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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PNC BANK, NATIONAL ASSOCIATION By  

/s/    Meredith Jermann

Name: Meredith Jermann Title: Vice President

 

Signature Page to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009

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CONSENT AND REAFFIRMATION

The undersigned hereby acknowledges receipt of a copy of the foregoing Amendment
No. 2 to the Credit Agreement dated as of October 16, 2009 (the “Credit
Agreement”) by and among Endo Pharmaceuticals Holdings Inc. (the “Borrower”),
the financial institutions listed on the signature pages thereto and JPMorgan
Chase Bank, N.A., in its capacity as administrative agent for the Lenders (the
“Administrative Agent”), which Amendment No. 2 is dated as of October 25, 2010
(the “Amendment”). Capitalized terms used in this Consent and Reaffirmation and
not defined herein shall have the meanings given to them in the Credit
Agreement. Without in any way establishing a course of dealing by the
Administrative Agent or any Lender, each of the undersigned consents to the
Amendment and reaffirms the terms and conditions of the Credit Agreement
(including, but not limited to, the Subsidiary Guaranty) and any other Loan
Document executed by it and acknowledges and agrees that such agreements and
each and every such Loan Document executed by the undersigned in connection with
the Credit Agreement remains in full force and effect and is hereby reaffirmed,
ratified and confirmed. All references to the Credit Agreement contained in the
above-referenced documents shall be a reference to the Credit Agreement as so
modified by the Amendment.

Dated: October 25, 2010

[Signature Page Follows]

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ENDO PHARMACEUTICALS INC. By  

/s/    Alan G. Levin

  Name: Alan G. Levin   Title: EVP & CFO ENDO PHARMACEUTICALS SOLUTIONS INC. By
 

/s/    Alan G. Levin

  Name: Alan G. Levin   Title: EVP & CFO ENDO PHARMACEUTICALS VALERA INC. By  

/s/    Alan G. Levin

  Name: Alan G. Levin   Title: EVP & CFO HEALTHTRONICS, INC. By  

/s/    Richard Rusk

  Name: Richard Rusk   Title: CFO

 

Signature Page to Consent and Reaffirmation to Amendment No. 2

Endo Pharmaceuticals Holdings Inc.

Credit Agreement dated as of October 16, 2009