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

[titanfifthamendmentto_image1.gif]
FIFTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT

dated as of December 5, 2014

among

TITAN MACHINERY INC.
a Delaware corporation,
as Borrower,

THE FINANCIAL INSTITUTIONS PARTY HERETO,
as Lenders,

and

WELLS FARGO BANK, NATIONAL ASSOCIATION,
as Administrative Agent,
Swing Line Lender and L/C Issuer

BANK OF AMERICA, N.A.
as Syndication Agent
 
COBANK, ACB
as Documentation Agent

WELLS FARGO SECURITIES, LLC
Sole Lead Arranger and Sole Book Runner
 

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

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

FIFTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT
This FIFTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (“Fifth
Amendment”), dated as of December 5, 2014 (“Fifth Amendment Effective Date”), is
among TITAN MACHINERY INC., a Delaware corporation (“Borrower”), the several
financial institutions party to this Fifth Amendment as Lenders, and WELLS FARGO
BANK, NATIONAL ASSOCIATION, a national banking association, as Administrative
Agent, Swing Line Lender and L/C Issuer. Capitalized terms not otherwise defined
herein shall have the meaning assigned to them in the Credit Agreement (as
hereinafter defined).
RECITALS
WHEREAS Borrower, Administrative Agent, Lenders, Swing Line Lender, and
L/C Issuer are parties to that certain Amended and Restated Credit Agreement
dated March 30, 2012, as amended by that certain First Amendment to Amended and
Restated Credit Agreement dated as of December 4, 2012, that certain Second
Amendment to Amended and Restated Credit Agreement dated as of November 14,
2013, that certain Third Amendment to Amended and Restated Credit Agreement
dated as of April 3, 2014, and that certain Fourth Amendment to Amended and
Restated Credit Agreement dated as of July 31, 2014 (as further amended from
time to time, the “Credit Agreement”) and, as applicable, the other Loan
Documents, pursuant to which Lenders have made available to Borrower certain
extensions of credit referenced therein on the terms and conditions contained
therein; and
WHEREAS Borrower has requested that Administrative Agent and Lenders (a) modify
the pricing grid, (b) modify the Floorplan Borrowing Base, and (c) further
modify the Credit Agreement on the terms and conditions contained herein; and
WHEREAS the Administrative Agent and Lenders have agreed to modify the Credit
Agreement on the terms and conditions contained herein;
NOW, THEREFORE, in consideration of the mutual agreements, provisions and
covenants contained herein and for other good and valuable consideration (the
receipt and sufficiency of which are hereby acknowledged), the parties agree as
follows:
AGREEMENT
ARTICLE I – MODIFICATIONS & CONSENTS
SECTION 1.1
MODIFICATIONS TO CREDIT AGREEMENT

As of the Fifth Amendment Effective Date, the Credit Agreement is modified as
follows:

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

1.1.1    The definition of “Applicable Rate” in Section 1.01 of the Credit
Agreement is hereby deleted in its entirety and the following is substituted
therefor:

“Applicable Rate” means, at any time, the applicable percentage per annum
(expressed in basis points) set forth on Schedule 1.01‑A, each such percentage
being based, subject to Section 2.08(d), upon the Consolidated Leverage Ratio
and Consolidated Pre-Tax Income as set forth in the most recent Compliance
Certificate received by Administrative Agent pursuant to Section 4.01(a)(xii) or
Section 6.02(b), as applicable. If, at any time, the Consolidated Leverage Ratio
and Consolidated Pre-Tax Income qualify for different Tiers on Schedule 1.01-A,
the Tier with the higher margins shall apply.

1.1.2    The following definition of “Consolidated Pre-Tax Income” is hereby
inserted in Section 1.01 of the Credit Agreement in alphabetical order:

“Consolidated Pre-Tax Income” means, as of any date of determination, for the
period consisting of the four consecutive Fiscal Periods ending on such date of
determination, for Borrower and its Subsidiaries on a consolidated basis, net
income before taxes.

1.1.3    The definition of “Floorplan Borrowing Base” in Section 1.01 of the
Credit Agreement is hereby deleted in its entirety and the following is
substituted therefor:
“Floorplan Borrowing Base” means as of any date of calculation, an amount, as
set forth on the most current Borrowing Base Certificate delivered to the
Administrative Agent, equal to the sum of:
(a)90% of the net book value of Eligible New Equipment Inventory held by
Borrower one year or less; plus
(b)80% of the net book value of Eligible New Equipment Inventory held by
Borrower more than one year but less than or equal to two years; plus
(c)50% of the net book value of Eligible New Equipment Inventory held by
Borrower more than two years but less than or equal to three years; plus
(d)75% of the net book value of Eligible Used Equipment Inventory held by
Borrower one year or less; plus
(e)65% of the net book value of Eligible Used Equipment Inventory held by
Borrower more than one year but less than or equal to two years; plus
(f)25% of the net book value of Eligible Used Equipment Inventory held by
Borrower more than two years but less than or equal to three years; minus
(g)the Floorplan Borrowing Base Reserve.
The Borrower, Administrative Agent and the Lenders acknowledge and agree that
(i) the advance rates set forth in this definition are solely to establish the
parameters for Availability, and (ii) this definition does not constitute nor
shall it be deemed to constitute an express or implied representation or
determination by Lenders that the recovery in a forced liquidation scenario
would be equal to the advance rates established herein.

2

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

1.1.4    The following definition of “One-Time Re-Measurement Charge” is hereby
inserted in Section 1.01 of the Credit Agreement in alphabetical order:

“One-Time Re-measurement Charge” means that certain re-measurement charge
sustained by Borrower as a result of a $4,924,000 Ukrainian re-measurement of
VAT related assets, from Ukrainian Hryvnia to U.S. Dollars.

1.1.5    Section 2.08(d) of the Credit Agreement is hereby deleted in its
entirety and the following is substituted therefor:
(d)    Increases and Decreases of Applicable Rates. Any increase or decrease in
any Applicable Rate resulting from a change in the Consolidated Leverage Ratio
or Consolidated Pre-Tax Income shall become effective as of the date that is the
earlier of: (i) the last date by which Borrower is otherwise required to deliver
a Compliance Certificate in accordance with Section 6.02(b) with reference to
Section 6.01 for a given period (each such date, a “calculation date”); and
(ii) the date that is two Business Days after the date on which Borrower
actually delivers a Compliance Certificate in accordance with Section 6.02(b)
with reference to Section 6.01 for such period; provided that, if any Compliance
Certificate required to be delivered in accordance with Section 6.02(b) with
reference to Section 6.01 for any given period is not delivered to
Administrative Agent on or before the related calculation date, then Tier 5 (as
indicated on Schedule 1.01‑A) shall apply, effective on the related calculation
date until two Business Days after such Compliance Certificate is actually
received by Administrative Agent.
Notwithstanding the foregoing, in the event that a Compliance Certificate
delivered pursuant to Section 6.02(b) is inaccurate (regardless of whether (i)
this Agreement is in effect, or (ii) the Working Capital Commitments are in
effect, (iii) the Floorplan Commitments are in effect or (iv) any Credit
Extension is outstanding when such inaccuracy is discovered or such Compliance
Certificate was delivered), and such inaccuracy, if corrected, would have led to
the application of a higher Applicable Rate for any period (an “Applicable
Period”) than the Applicable Rate applied for such Applicable Period, then (x)
the Borrower shall immediately deliver to the Administrative Agent a corrected
Compliance Certificate for such Applicable Period, (y) the Applicable Rate for
such Applicable Period shall be determined as if the Consolidated Leverage Ratio
and Consolidated Pre-Tax Income in the corrected Compliance Certificate were
applicable for such Applicable Period, and (z) the Borrower shall immediately
pay to the Administrative Agent the accrued additional interest and fees owing
as a result of such increased Applicable Rate for such Applicable Period, which
payment shall be promptly applied by the Administrative Agent in accordance with
Section 2.12. Nothing in this paragraph shall limit the rights of the
Administrative Agent and Lenders with respect to Section 2.08(b) and Section
8.01, provided that payment of any amounts due under the previous sentence shall
cure any Default and Event of Default resulting from any such inaccurate
Compliance Certificate (but not any underlying financial covenant or other
default).

1.1.6    Section 6.12(c) of the Credit Agreement is hereby deleted in its
entirety and the following is substituted therefor:

(c)    Consolidated Pre-Tax Income. Borrower shall maintain, as of each date
described below, a Consolidated Pre-Tax Income of not less than the
corresponding minimum amount for such date:

3

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

Date
Minimum Consolidated Pre-Tax Income
October 31, 2014
$10,000,000
January 31, 2015
$5,000,000
April 30, 2015
$6,000,000
July 31, 2015
$6,000,000
October 31, 2015
$10,000,000
January 31, 2016
$10,000,000
April 30, 2016 and the end of each Fiscal Period thereafter
$15,000,000

For purposes of calculating Consolidated Pre-Tax Income to determine the
Applicable Rate and compliance with this Section 6.12(c), (a) for all Fiscal
Periods through the Fiscal Period ending October 31, 2014, the One-Time
Impairment Charge shall be excluded from the calculation of Consolidated Pre-Tax
Income; (b) for all Fiscal Periods through the Fiscal Period ending October 31,
2014 for that portion of the One-Time Restructuring Charge incurred in the
Fiscal Period ending January 31, 2014, and through the Fiscal Period January 31,
2015 for that portion of the One-Time Restructuring Charge incurred in the
Fiscal Period ending April 30, 2014, the One-Time Restructuring Charge shall be
excluded from the calculation of Consolidated Pre-Tax Income; (c) for the Fiscal
Periods ending October 31, 2014 and January 31, 2015, $4,924,000 of the One-Time
Re-measurement Charge shall be excluded from the calculation of Consolidated
Pre-Tax Income; (d) for the Fiscal Period ending April 30, 2015, $1,826,000 of
the One-Time Re-measurement Charge shall be excluded from the calculation of
Consolidated Pre-Tax Income; (e) for the Fiscal Period ending July 31, 2015,
$518,000 of the One-Time Re-measurement Charge shall be excluded from the
calculation of Consolidated Pre-Tax Income.

1.1.7    Section 7.02(d) of the Credit Agreement is hereby deleted in its
entirety and the following is substituted therefor:

(d)    (i) Investments of Borrower in any Subsidiary Guarantor; (ii) Investments
of any Subsidiary Guarantor in any other Subsidiary Guarantor; (iii) Investments
of any Subsidiary in Borrower; (iv) Investments of Borrower or any wholly‑owned
Subsidiary thereof consisting of Equity Interests disclosed on Schedule 5.16;
(v) Investments permitted under Section 7.03(k); (vi) Investments of Borrower in
Foreign Subsidiaries in an aggregate amount outstanding at any time not to
exceed (A) $135,000,000 from October 31, 2014 through January 30, 2015; (B)
$125,000,000 from January 31, 2015 through July 30, 2015; (C) $120,000,000 from
July 31, 2015 through October 30, 2015; and (D) $110,000,000 from and after
October 31, 2015; and (vii) Investments of any Foreign Subsidiary in any other
Foreign Subsidiary;

1.1.8    Section 7.02(l) of the Credit Agreement is hereby deleted in its
entirety and the following is substituted therefor:

(l)    subject to any limitations set forth in Sections 7.02(a) through (k),
other Investments in an aggregate amount outstanding at any time not to exceed
two percent (2%) of Consolidated Total Assets.

1.1.9    Section 7.03(c) of the Credit Agreement is hereby deleted in its
entirety and the following is substituted therefor:

(c)    Guarantees by Borrower or any Subsidiary thereof of Debt (other than Debt
under the Loan Documents) otherwise permitted hereunder of Borrower or any
Domestic Subsidiary thereof;

4

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

1.1.10    Section 7.03(m) of the Credit Agreement is hereby deleted in its
entirety and the following is substituted therefor:

(m)     (i) Debt of any Foreign Subsidiary and (ii) unsecured guarantees by
Borrower of such Debt; provided, that the aggregate amount of such Debt
guaranteed by Borrower does not exceed (A) $115,000,000 through July 30, 2015
and (B) $110,000,000 from and after July 31, 2015; provided further, that the
foregoing limitation on guarantees does not apply to (x) Debt obtained by a
Foreign Subsidiary from or through any manufacturer, supplier or other vendor or
its Affiliates, or (y) other floorplan financing Debt obtained by a Foreign
Subsidiary other than from a bank or other institutional lender;

1.1.11    Schedule 1.01-A to the Credit Agreement is deleted and replaced with
the Schedule 1.01-A attached to this Fifth Amendment.

1.1.12    Exhibit B (Form of Compliance Certificate) to the Credit Agreement is
deleted and replaced with the Compliance Certificate form attached to this Fifth
Amendment as Exhibit A.

1.1.13    Exhibit H (Form of Borrowing Base Certificate) to the Credit Agreement
is deleted and replaced with the Borrowing Base Certificate form attached to
this Fifth Amendment as Exhibit B.

ARTICLE II – COVENANTS
SECTION 2.1
EXPENSES

Borrower shall pay all reasonable expenses and costs of Administrative Agent
(including, without limitation, the reasonable attorney fees and expenses of
counsel for Administrative Agent) in connection with the preparation,
negotiation, execution and approval of this Fifth Amendment and any and all
other documents, instruments and things contemplated hereby, whether or not such
transactions are consummated, together with all other reasonable expenses and
costs incurred by Administrative Agent chargeable to Borrower pursuant to the
terms of the Credit Agreement which are unpaid at such time.
ARTICLE III – CONDITIONS TO FIFTH AMENDMENT; GENERAL PROVISIONS
SECTION 3.1
CONDITIONS PRECEDENT

3.1.1    This Fifth Amendment and the transactions contemplated herein are
expressly conditioned upon the satisfaction by Borrower of the following
conditions, all in the sole but reasonable discretion of the Administrative
Agent:

(a)    Borrower shall have delivered to Administrative Agent such certificates
of resolutions or other action, incumbency certificates or other certificates of
Responsible Officers of

5

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

Borrower as Administrative Agent may reasonably require evidencing the identity,
authority and capacity of each Responsible Officer thereof authorized to act as
a Responsible Officer in connection with the Loan Documents to which Borrower is
a party, each in form and substance reasonably acceptable to Administrative
Agent;

(b)    No Material Adverse Effect shall have occurred since Closing;

(c)    No Default or Event of Default shall have occurred and be continuing; and

(d)    Borrower shall have paid all amounts owed to Administrative Agent and
Lenders in connection with this Fifth Amendment.

3.1.2    Without limiting the foregoing, the effectiveness of this Fifth
Amendment shall be conditioned on receipt by Administrative Agent of the consent
of Required Lenders.
SECTION 3.2
RATIFICATION; ESTOPPEL; REAFFIRMATION

3.2.1    Borrower hereby reaffirms and ratifies the Credit Agreement and other
Loan Documents, as amended, modified and supplemented hereby.

3.2.2    Borrower hereby reaffirms to Administrative Agent and to each Lending
Party that each of the representations, warranties, covenants and agreements set
forth in the Credit Agreement and the other Loan Documents with the same force
and effect as if each were separately stated herein and made as of the date
hereof except to the extent any such representation or warranty is stated to
relate solely to an earlier date, in which case such representation or warranty
shall have been true and correct on and as of such earlier date.

3.2.3    Borrower further represents and warrants that, as of the date hereof,
it has no counterclaims, defenses or offsets of any nature whatsoever to the
Obligations or any of the Loan Documents and that as of the date hereof no
unwaived Default or Event of Default by Borrower, Administrative Agent or any
Lending Party has occurred or exists under any of the Loan Documents.

3.2.4    Borrower hereby ratifies, affirms, reaffirms, acknowledges, confirms
and agrees that the Credit Agreement and other Loan Documents, as amended,
modified and supplemented hereby by this Fifth Amendment, represent the valid,
binding, enforceable and collectible obligations of Borrower except to the
extent enforceability may be limited by bankruptcy, insolvency, or similar laws
affecting the enforcement of creditors’ rights generally and by equitable
principles.

3.2.5    Borrower hereby affirms, acknowledges and confirms that the provisions
of this Fifth Amendment shall be a part of the Credit Agreement and Loan
Documents for all purposes.

6

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

3.2.6    Borrower affirms and acknowledges that the recitals to this Fifth
Amendment are true and accurate and are hereby incorporated into this Fifth
Amendment.
SECTION 3.3
RELEASE

Borrower does hereby release, remise, acquit and forever discharge
Administrative Agent and Lenders and Administrative Agent and Lenders’
employees, agents, representatives, consultants, attorneys, fiduciaries,
servants, officers, directors, partners, predecessors, successors and assigns,
subsidiary corporations, parent corporation, and related corporate divisions
(all of the foregoing hereinafter called the “Released Parties”), from any and
all action and causes of action, judgments, executions, suits, debts, claims,
demands, liabilities, obligations, damages and expenses of any and every
character, known or unknown, direct and/or indirect, at law or in equity, of
whatsoever kind or nature, whether heretofore or hereafter arising, for or
because of any matter or things done, omitted or suffered to be done by any of
the Released Parties prior to and including the date of execution hereof, and in
any way directly or indirectly arising out of or in any way connected to this
Fifth Amendment, the Credit Agreement and the other Loan Documents, except, in
each case, to the extent of the gross negligence or willful misconduct of the
Released Parties (all of the foregoing hereinafter called the “Released
Matters”). Borrower acknowledges that the agreements in this paragraph are
intended to be in full satisfaction of all or any alleged injuries or damages
arising in connection with the Released Matters. Borrower represents and
warrants to Administrative Agent and the Lenders that it has not purported to
transfer, assign or otherwise convey any right, title or interest of Borrower in
any Released Matter to any other Person and that the foregoing constitutes a
full and complete release of all Released Matters.
SECTION 3.4
TIME OF THE ESSENCE

Time is of the essence of the Fifth Amendment, the Credit Agreement and Loan
Documents.
SECTION 3.5
GOVERNING LAW; JURISDICTION; ETC.

3.5.1    GOVERNING LAW. THIS FIFTH AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED
IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO
PRINCIPLES OF CONFLICTS OF LAW.
3.5.2    SUBMISSION TO JURISDICTION. EACH PARTY HERETO IRREVOCABLY AND
UNCONDITIONALLY SUBMITS, FOR ITSELF AND ITS PROPERTY, TO THE NONEXCLUSIVE
JURISDICTION OF THE COURTS OF THE SUPREME COURT OF THE STATE OF NEW YORK SITTING
IN NEW YORK COUNTY IN THE BOROUGH OF MANHATTAN AND OF THE UNITED STATES DISTRICT
COURT FOR THE SOUTHERN DISTRICT OF NEW YORK, AND ANY APPELLATE COURT FROM ANY
THEREOF, IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS FIFTH
AMENDMENT OR ANY OTHER LOAN DOCUMENT TO WHICH EACH IS A PARTY, OR FOR
RECOGNITION OR ENFORCEMENT OF ANY JUDGMENT, AND EACH OF THE PARTIES HERETO
IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL

7

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

CLAIMS IN RESPECT OF ANY SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED
IN SUCH STATE COURTS OR, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, IN
SUCH FEDERAL COURTS. EACH OF THE PARTIES HERETO AGREES THAT A FINAL JUDGMENT IN
ANY SUCH ACTION OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER
JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW.
NOTHING IN THIS FIFTH AMENDMENT OR IN ANY OTHER LOAN DOCUMENT SHALL AFFECT ANY
RIGHT THAT ANY PARTY MAY OTHERWISE HAVE TO BRING ANY ACTION OR PROCEEDING
RELATING TO THIS FIFTH AMENDMENT OR ANY OTHER LOAN DOCUMENT AGAINST ANY OTHER
PARTY OR ANY OF ITS PROPERTIES IN THE COURTS OF ANY OTHER JURISDICTION.
3.5.3    WAIVER OF VENUE. EACH PARTY HERETO IRREVOCABLY AND UNCONDITIONALLY
WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY OBJECTION THAT IT
MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY ACTION OR PROCEEDING
ARISING OUT OF OR RELATING TO THIS FIFTH AMENDMENT OR ANY OTHER LOAN DOCUMENT IN
ANY COURT REFERRED TO IN SECTION 3.5.2. EACH OF THE PARTIES HERETO HEREBY
IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THE
DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH ACTION OR PROCEEDING
IN ANY SUCH COURT.
3.5.4    SERVICE OF PROCESS. EACH PARTY HERETO IRREVOCABLY CONSENTS TO SERVICE
OF PROCESS IN THE MANNER PROVIDED FOR NOTICES IN SECTION 10.02 OF THE CREDIT
AGREEMENT. NOTHING IN THIS FIFTH AMENDMENT WILL AFFECT THE RIGHT OF ANY PARTY
HERETO TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY APPLICABLE LAW.
SECTION 3.6
COUNTERPARTS; SEVERABILITY

3.6.1    This Fifth Amendment may be executed simultaneously in one or more
counterparts, each of which shall be deemed an original, but all of which shall
together constitute one and the same instrument.

3.6.2    If any term or provision of this Fifth Amendment, or the application
thereof to any person or circumstances, shall, to any extent, be invalid or
unenforceable, the remainder of this Fifth Amendment, or the application of such
term or provision to persons or circumstances other than those as to which it is
held invalid or unenforceable, shall not be affected thereby, and each term and
provision of this Fifth Amendment shall be valid and shall be enforced to the
fullest extent permitted by law.
SECTION 3.7
WAIVER OF RIGHT TO JURY TRIAL

TO THE EXTENT PERMITTED BY APPLICABLE LAW, EACH OF THE PARTIES HERETO HEREBY
WAIVES ITS RIGHT TO A JURY TRIAL OF ANY CLAIM. EACH OF THE PARTIES HERETO
REPRESENTS THAT EACH HAS REVIEWED THIS WAIVER AND EACH KNOWINGLY AND

8

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

VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION WITH LEGAL
COUNSEL ON SUCH MATTERS. IN THE EVENT OF LITIGATION, A COPY OF THIS FIFTH
AMENDMENT MAY BE FILED AS A WRITTEN CONSENT TO A TRIAL BY THE COURT.
SECTION 3.8
FINAL EXPRESSION

THIS WRITTEN AGREEMENT IS THE FINAL EXPRESSION OF THE FIFTH AMENDMENT TO THE
CREDIT AGREEMENT AMONG THE PARTIES HERETO AS THE SAME EXISTS TODAY AND MAY NOT
BE CONTRADICTED BY EVIDENCE OF ANY PRIOR OR CONTEMPORANEOUS ORAL AGREEMENT
BETWEEN THE PARTIES HERETO.

BY SIGNING BELOW, THE PARTIES HERETO HEREBY AFFIRM THAT THERE IS NO UNWRITTEN
ORAL CREDIT AGREEMENT BETWEEN THEMSELVES WITH RESPECT TO THE SUBJECT MATTER OF
THIS FIFTH AMENDMENT OR OF THE CREDIT AGREEMENT GENERALLY.

[SIGNATURE PAGES FOLLOW]

9

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

IN WITNESS WHEREOF, the parties hereto have caused this Fifth Amendment to be
duly executed as of the date first written above.

BORROWER:

TITAN MACHINERY INC.,
a Delaware corporation

By:  /s/ Ted O. Christianson, Treasurer             
Name:   Ted O. Christianson             
Title:    Treasurer            

 

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

ADMINISTRATIVE AGENT, L/C ISSUER AND SWING LINE LENDER:

WELLS FARGO BANK, NATIONAL ASSOCIATION,
a national banking association, as Administrative Agent, L/C Issuer and Swing
Line Lender

By:  /s/ Mark T. Lundquist             
Name:   Mark T. Lundquist            
Title:   Vice President            

 
WELLS FARGO BANK, NATIONAL ASSOCIATION,
a national banking association, as a Lender

By:  /s/ Mark T. Lundquist             
Name:   Mark T. Lundquist            
Title:  Vice President            

 

 
 

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

LENDER:

 
COBANK, ACB

By:   /s/ Wayne D. Horsman            
Name:   Wayne D. Horsman            
Title:    Vice-President           

 
 
 

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

LENDER:

 
BANK OF AMERICA, N.A.

By:    /s/ Don Stafford           
Name:    Don Stafford            
Title:    SVP           

 
 
 

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

LENDER:

 
BANK OF THE WEST 
a California banking corporation

By: /s/ Ryan J. Mauser           
Name:  Ryan Mauser              
Title:    Vice President           

 
 
 

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

LENDER:

 
BREMER BANK, N.A.

By:   /s/ Wesley Well           
Name:  Wesley Well             
Title:  President - Lisbon             

 
 
 

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

LENDER:

 
COMERICA BANK

By:   /s/ Darren Grahsl            
Name:   Darren Grahsl            
Title:   Vice President            

 

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

SCHEDULE 1.01-A

APPLICABLE RATES

Tier
Consolidated Leverage Ratio
Consolidated Pre-Tax Income
Applicable LIBOR Margin (bps)
Applicable Base Rate Margin (bps)
Applicable L/C Margin (bps)
I
Less than 1.50 to 1.00
Greater than or equal to $75,000,000
150.0
50.0
150.0
II
Greater than or equal to 1.50 to 1.00 but less than 2.00 to 1.00
Greater than or equal to $50,000,000 but less than $75,000,000
175.0
75.0
175.0
III
Greater than or equal to 2.00 to 1.00 but less than 2.50 to 1.00
Greater than or equal to $30,000,000 but less than $50,000,000
225.0
125.0
225.0
IV
Greater than or equal to 2.50 to 1.00 but less than 3.00 to 1.00
Greater than or equal to $20,000,000 but less than $30,000,000
250.0
150.0
250.0
V
Greater than or equal to 3.00 to 1.00
Less than $20,000,000
287.5
187.5
287.5

Schedule 1.01-A to Fifth Amendment to Amended and Restated Credit Agreement

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

EXHIBIT A

FORM OF COMPLIANCE CERTIFICATE

(attached)

Exhibit A to Fifth Amendment to Amended and Restated Credit Agreement

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

EXHIBIT A

Compliance Certificate

To:
Wells Fargo Bank, National Association, as the Administrative Agent

Date:
____________ __, 20__

Subject:
Titan Machinery Inc.

Financial Statements

In accordance with our Amended and Restated Credit Agreement dated as of March
30, 2012, as amended, modified, extended, renewed, supplemented, or restated
(the “Credit Agreement”), attached are the financial statements of Titan
Machinery Inc. (the “Borrower”) of and for the [fiscal year] [fiscal quarter]
ended ____________ __, 20__ (the “Reporting Date”) and the year-to-date period
then ended (the “Current Financials”) required to be made publicly available on
EDGAR or otherwise delivered pursuant to Section 6.01 of the Credit Agreement.
All terms used in this certificate have the meanings given in the Credit
Agreement.

The Borrower certifies that the Current Financials have been prepared in
accordance with GAAP, subject to normal year-end adjustments and absence of
footnotes, and fairly present in all material respects the consolidated
financial condition of the Borrower as of the date thereof and in a manner
consistent with prior periods.

Defaults. (Check one):

The Borrower further certifies that:

¨    Except as previously reported in writing to the Administrative Agent, the
Borrower does not have knowledge of the occurrence of any Default under the
Credit Agreement.

¨    The Borrower has knowledge of the occurrence of a Default under the Credit
Agreement not previously reported in writing to the Administrative Agent and
attached hereto is a statement of the facts with respect to thereto and the
action which the Borrower is taking or purposes to take with respect thereto.

Representations and Warranties:

The Borrower further certifies that each of the representations and warranties
made by the Borrower, any Subsidiary, and/or any member of the Borrower party to
the Credit Agreement and/or party to any other Loan Document are true and
correct in all material respects on and as of the date of this Compliance
Certificate as if made on and as of the date of this Compliance Certificate (and
for purposes of this Compliance Certificate, the representations and warranties
made by the Borrower in Section 5.11 of the Credit Agreement shall be deemed to
refer to the financial statements of the Borrower made publicly available on
EDGAR or otherwise delivered to the Administrative Agent and the Lenders with
this Compliance Certificate).

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

Applicable Rate. The Borrower further certifies as follows:

As of the Reporting Date, the Borrower’s Consolidated Leverage Ratio was
___________ to 1.00 and Consolidated Pre-Tax Income was $________________. As a
result, the applicable Tier on Schedule 1.01-A to the Credit Agreement is Tier
____.
 
Financial Covenants. The Borrower further certifies as follows:

1.    Maximum Consolidated Net Leverage Ratio. Pursuant to Section 6.12(a) of
the Credit Agreement, as of the Reporting Date, the Borrower’s Consolidated Net
Leverage Ratio was _____ to 1.00 which ¨ satisfies ¨ does not satisfy the
requirement that such ratio be no more than the applicable ratio set forth below
on the Reporting Date.

Reporting Date
Maximum Consolidated Net Leverage Ratio
April 30, 2014 through October 31, 2014
3.25:1.00
January 31, 2015 and thereafter
3.00:1.00

2.    Minimum Consolidated Fixed Charge Coverage Ratio. Pursuant to Section
6.12(b) of the Credit Agreement, as of the Reporting Date, the Borrower’s
Consolidated Fixed Charge Coverage Ratio was _____ to 1.00 which ¨ satisfies ¨
does not satisfy the requirement that such ratio be no less than 1.25 to 1.00 on
the Reporting Date.

3.    Minimum Consolidated Pre-Tax Income. Pursuant to Section 6.12(c) of the
Credit Agreement, as of the Reporting Date, the Borrower’s Consolidated Pre-Tax
Income was $_________________ which ¨ satisfies ¨ does not satisfy the
requirement that Consolidated Pre-Tax Income be no less than the applicable
amount set forth below on the Reporting Date.

Date
Minimum Consolidated Pre-Tax Income
October 31, 2014
$10,000,000
January 31, 2015
$5,000,000
April 30, 2015
$6,000,000
July 31, 2015
$6,000,000
October 31, 2015
$10,000,000
January 31, 2016
$10,000,000
April 30, 2016 and the end of each Fiscal Period thereafter
$15,000,000

Attached hereto are all relevant facts in reasonable detail to evidence, and the
computations of the financial covenants referred to above. These computations
were made in accordance with GAAP or as otherwise provided in the Credit
Agreement.

Additional Covenants and Limitations. The Borrower further certifies as follows:

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

1.    Foreign Investments. As of the Reporting Date, the aggregate outstanding
amount of Borrower’s Investments in Foreign Subsidiaries was $_________________
which ¨ satisfies ¨ does not satisfy the requirement that such Investments not
exceed (A) $135,000,000 from October 31, 2014 through April 29, 2015; (B)
$125,000,000 from April 30, 2015 through July 30, 2015; (C) $120,000,000 from
July 31, 2015 through October 30, 2015; and (D) $110,000,000 from and after
October 31, 2015.
2.    Foreign Guarantees. As of the Reporting Date, the aggregate outstanding
amount of Debt of Foreign Subsidiaries guaranteed by Borrower (excluding (x)
Debt obtained by a Foreign Subsidiary from or through any manufacturer, supplier
or other vendor or its Affiliates, or (y) other floorplan financing Debt
obtained by a Foreign Subsidiary other than from a bank or other institutional
lender) was $_________________ which ¨ satisfies ¨ does not satisfy the
requirement that such Investments not exceed (A) $115,000,000 through July 30,
2015 and (B) $110,000,000 from and after July 31, 2015.
3.    Existing Debt. The following Debt is outstanding as of the Reporting Date:
Amount
Debt
$
CNH Capital America, LLC - 0% Debt
$
CNH Capital America, LLC - Interest Bearing
$
Agricredit Acceptance, LLC
$
Rental Equipment Debt (7.03(n))
$
Floorplan Loans
$
Working Capital Loans

TITAN MACHINERY INC.,
a Delaware corporation

By                    
Name:                 
Title:                     

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

EXHIBIT B

FORM OF BORROWING BASE CERTIFICATE

(attached)

Exhibit B to Fifth Amendment to Amended and Restated Credit Agreement

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

BORROWING BASE CERTIFICATE

Pursuant to the AMENDED AND RESTATED CREDIT AGREEMENT, dated as of March 30,
2012, among Titan Machinery Inc., a Delaware corporation (“Borrower”), the
Subsidiary Guarantors party thereto, the several financial institutions thereto
as Lenders, and WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking
association, as Administrative Agent, Swing Line Lender and L/C Issuer (as
amended from time to time, the “Credit Agreement”), the undersigned certifies
that as of the close of business on the date set forth below, the Floorplan
Availability and Working Capital Availability are computed as set forth below.
 
The undersigned represents and warrants that this Borrowing Base Certificate is
a true and correct statement of, and that the information contained herein is
true and correct in all material respects regarding, the status of Eligible
Accounts, Eligible New Equipment Inventory, Eligible Used Equipment Inventory,
Eligible Rental Equipment, and Eligible Parts and Attachments Inventory and that
the amounts reflected herein are in compliance with the provisions of the Credit
Agreement and the Exhibits thereto. The undersigned further represents and
warrants that there is no continuing Event of Default and all representations
and warranties continued in the Credit Agreement and other Loan Documents are
true and correct in all material respects. The undersigned understands that
Wells Fargo Bank, National Association, and the other Lenders will extend loans
in reliance upon the information contained herein. In the event of a conflict
between the following summary of eligibility criteria and the criteria set forth
in the definition of Eligible Accounts, Eligible New Equipment Inventory,
Eligible Used Equipment Inventory, Eligible Rental Equipment, and Eligible Parts
and Attachments Inventory indicated in the Credit Agreement, the Credit
Agreement shall govern. Capitalized terms used herein and not otherwise defined
herein shall have the meanings specified in the Credit Agreement.

Calculation of Floorplan Borrowing Base as of ____________:

New Equipment Inventory - NBV                    $____________ [a]
Less: Ineligible New Equipment Inventory
Encumbered/Other U.S. New Equipment Inventory     $____________
New Equipment Inventory located outside the U.S.    $____________
New Equipment on Hand > 3 years            $____________
Total Ineligible New Equipment Inventory            $____________ [b]
Total Eligible New Equipment Inventory ([a]-[b])            $____________[c]

Eligible New Equipment Inventory held one year or less            $____________
[d]
Available at 90% of net book value ([d]*0.90)            $____________ [e]

Eligible New Equipment Inventory held more than one year but less
than or equal to two years                        $____________ [f]
Available at 80% of net book value ([f]*0.80)            $____________ [g]

Eligible New Equipment Inventory held more than two years but
less than or equal to three years                        $____________ [h]
Available at 50% of net book value ([h]*0.50)            $____________ [i]

Used Equipment Inventory - NBV                    $____________ [j]
Less: Ineligible Used Equipment Inventory
Encumbered/Other U.S. Used Equipment Inventory    $____________    
Used Equipment on Hand > 3 years            $____________    

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

Used Equipment Inventory located outside the U.S.    $____________
Total Ineligible Used Equipment Inventory            $____________ [k]
Total Eligible Used Equipment Inventory ([e]-[f])            $____________ [l]

Eligible Used Equipment Inventory held one year or less            $____________
[m]
Available at 75% of net book value ([m]*0.75)            $____________ [n]

Eligible Used Equipment Inventory held more than one year but less
than or equal to two years                        $____________ [o]
Available at 65% of net book value ([o]*0.65)            $____________ [p]

Eligible Used Equipment Inventory held more than two years but
less than or equal to three years                        $____________ [q]
Available at 25% of net book value ([q]*0.25)            $____________ [r]

Floor Plan Borrowing Base ([e] + [g] + [i] + [n] + [p] +
[r])        $____________ [s]

Total Floorplan Loans                            $____________ [t]
Total Swing Line Loans                            $____________ [u]
L/C Credit Extension                            $____________ [v]
Total Floorplan Outstandings ([t]+[u]+[v])                $____________ [w]

Aggregate Floorplan Commitment                    $____________ [x]
    
Floorplan Availability (lesser of [s] minus [w] or; [x] minus
[w])        $____________    

Calculation of WORKING CAPITAL Borrowing Base as of ____________:

Gross Accounts Receivable                        $____________ [a]
Less: Ineligible Accounts Receivable
A/R Greater than 90 days Past Due        $____________    
Cross Agings > 20%                $____________    
Warranty Receivables                $____________
Supplier Receivables                $____________    
Discount Receivables                $____________    
Other A/R Due From Suppliers            $____________    
Employee Receivables                $____________    
Encumbered A/R or Contracts in Transit        $____________    
Foreign Receivables                $____________    
Related Party/Intercompany Receivables        $____________
Earned not billed rental Receivables        $____________
A/R Eliminations                $____________
Other Ineligible Receivables            $____________
Total Ineligible Accounts Receivable                $____________ [b]
Total Eligible Accounts Receivable ([a]-[b])                $____________ [c]
Available at 80% Advance Rate     ([c]*0.80)                 $____________ [d]

Rental Equipment Inventory - NBV                    $____________[e]

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement

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

Less: Ineligible Rental Equipment Inventory                $____________[f]
Total Eligible Used Rental Equipment Inventory
([e]-[f])            $____________[g]
Available at 85% of net book value ([g]*0.85)                $____________[h]

Gross Parts and Attachments Inventory                    $____________[i]
Less: Ineligible Parts and Attachments Inventory
Trade/Notes Payables due to CNH        $____________    
CNH Finance Reserve                $25,000
CNH Parts Reserve 1                 $____________    
Parts on Hand > 3 years in excess of $1MM    $____________    
Parts Subject to First Lien of Others (Non CNH)    $____________    
Foreign Parts                    $____________    
Total Ineligible Parts and Attachments                $____________ [j]
Total Eligible Parts and Attachments Inventory
([i]-[j])            $____________ [k]
Available at 75% Advance Rate ([k]*0.75)                $____________ [l]

Work in Process Inventory                        $____________ [m]
Available at 50% Advance Rate ([m]*.50)                $____________ [n]

Total Parts and Attachments Inventory ([l] + [n])                $____________
[o]

Working Capital Borrowing Base ([d] + [h] + [o])            $____________ [p]

Working Capital Loans                            $____________ [q]
L/C Credit Extension                            $____________ [r]
Total Working Capital Outstandings ([q]+[r])                $____________ [s]
                    
Aggregate Working Capital Commitment                $____________ [t]         
    
Working Capital Availability (lesser of [p] minus [s] or; [t] minus
[s])    $____________        

                        
IN WITNESS WHEREOF, this Borrowing Base Certificate has been duly executed as of
the date first written above.

TITAN MACHINERY INC.
a Delaware corporation

By:     
Name:     
Title:

1 CNH Parts Reserve = 50% of the sum of CNH Parts & Attachments less Trade/Notes
Payable due to CNH less CNH Finance Reserve of $25,000,000.

Signature Page to Fifth Amendment to Amended and Restated Credit Agreement