EXHIBIT 10(iii)

AMENDMENT NO. 4 TO
AMENDED AND RESTATED CREDIT AGREEMENT

         THIS AMENDMENT NO. 4 TO AMENDED AND RESTATED CREDIT AGREEMENT dated as
of November 1, 2001, but effective nunc pro tunc as of September 30, 2001 (this
“Amendment No. 4”), by and among COOPER TIRE & RUBBER COMPANY, a Delaware
corporation (as more fully defined in the Existing Credit Agreement referred to
below, the “Borrower”), and the Banks (as defined in the Existing Credit
Agreement) and PNC BANK, NATIONAL ASSOCIATION, in its capacity as the issuer of
letters of credit under the Existing Credit Agreement and as agent for the Banks
under the Existing Credit Agreement (in such capacity, as more fully defined in
the Existing Credit Agreement, as the “Agent”), amends that certain Amended and
Restated Credit Agreement dated as of September 1, 2000, by and among the
Borrower, the Banks and the Agent (such Credit Agreement is herein referred to
as the “Original Credit Agreement”), as amended by that certain Amendment No. 1
to Amended and Restated Credit Agreement dated as of March 27, 2001 (the
“Amendment No. 1”), that certain Amendment No. 2 to Amended and Restated Credit
Agreement dated as of August 30, 2001 (the “Amendment No. 2”) and that Amendment
No. 3 to Amended and Restated Credit Agreement dated as of and effective nunc
pro tunc as of September 30, 2001, (the “Amendment No. 3”; and the Original
Credit Agreement, as amended by the Amendment No. 1, the Amendment No. 2 and
Amendment No. 3, is herein referred to as the “Existing Credit Agreement”).

WITNESSETH:

         WHEREAS, the Borrower has requested an amendment of certain covenants
contained in the Existing Credit Agreement; and the Banks and the Agent have
agreed to certain amendments to the Existing Credit Agreement upon the terms and
conditions set forth herein.

         NOW THEREFORE, in consideration of the premises (each of which is
incorporated herein by reference), the Borrower, the Banks and the Agent,
intending to be legally bound hereby, agree as follows:

ARTICLE I
AMENDMENTS TO EXISTING CREDIT AGREEMENT

         Section 1.01. Amendment to Section 1.1 of the Existing Credit
Agreement. The following definition set forth in Section 1.1 of the Existing
Credit Agreement is amended and restated to read as follows:

         “Loan Documents” shall mean this Agreement, the Notes, the Requests for
Disbursement, the Amendment No. 1 Loan Documents, the Amendment No. 2 Loan
Documents, the Amendment No. 3 Loan Documents, the Amendment No. 4 Loan
Documents and any other instruments, certificates or documents delivered or
contemplated to be delivered hereunder or thereunder or in connection herewith
or therewith, as the same may be supplemented or amended from time to time in
accordance herewith or therewith; and “Loan Document” shall mean any of the Loan
Documents.

         Section 1.02. Addition of Definitions to Section 1.1 of the Existing
Credit Agreement. The following definitions are hereby added to Section 1.1 of
the Existing Credit Agreement and shall be inserted in their correct
alphabetical order:

         “Amendment No. 4” shall mean that certain Amendment No. 4 to Credit
Agreement dated as of November 1, 2001, but effective nunc pro tunc as of
September 30, 2001, by and among the Borrower, the Agent and the Banks.

 

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         “Amendment No. 4 Closing Date” shall mean November 13, 2001, but
effective as of September 30, 2001, nunc pro tunc.

         “Amendment No. 4 Loan Documents” shall mean this Amendment No. 4, and
any other documents delivered or contemplated to be delivered hereunder or
thereunder or in connection herewith or therewith, as the same may be
supplemented or amended from time to time in accordance herewith or therewith;
and the term “Amendment No. 4 Loan Document” shall mean any of the Amendment
No. 4 Loan Documents.

         “Class Action and Individual Litigation” means those certain class
action and individual lawsuits filed against the Borrower and listed below:

          Case Name   Court Jurisdiction   Case Number

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Talalai, et al. v. Cooper Tire & Rubber Co.   Superior Court, Law
Division, Middlesex
County, New Jersey   MID-L-8839-00 MT

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Dunn, et al. v. Cooper Tire & Rubber Co.   South Central Jud. District, Burleigh
County, North Dakota   08-00-C-02620

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D’Alessio, et al. v. Cooper Tire & Rubber Co.   Superior Court,
Cumberland County,
Maine   CV-00-701

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Krystyan, et al. v. Cooper Tire & Rubber Co.   Circuit Court, Wayne
County, Michigan   00-039-524-CP

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Nolan, et al. v. Cooper Tire & Rubber Co.   Court of Common Pleas, Philadelphia
County, Pennsylvania   0012-1533

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Mason, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-176

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Morris, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-178

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Edwards, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-177

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Adams, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-179

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Mosley, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-180

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Berends, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-181

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Rusck v. Cooper Tire & Rubber Co.   U.S. District Court, Southern District of
Ohio   MDL No. 1393, No. C2-01-182

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Namovicz v. Cooper Tire & Rubber Co.   U.S. District Court, Southern District of
Ohio   MDL No. 1393, No. C2-01-183

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          Case Name   Court Jurisdiction   Case Number

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Rodger, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-184

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Villanueva, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-186

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Justice, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-185

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Skeens, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-00-1334

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Hobbs, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-187

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Montes, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-188

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Hebbard, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-189

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Deck, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-190

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Dorman, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-825

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Fogel v. Cooper Tire & Rubber Co.   U.S. District Court, Southern District of
Ohio   MDL No. 1393, No. C2- 01-829

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Carr, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2- 01-568

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Potthoff, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-826

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Johnson, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-827

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Comfort, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-828

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Crowther, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-830

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Brown, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Southern
District of Ohio   MDL No. 1393, No. C2-01-1081

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McKinney, et al. v. Cooper Tire & Rubber Co.   U.S. District Court of Colorado  
No. 01-M-1450

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Bergeron, et al. v. Cooper Tire & Rubber Co.   U.S. District Court of New
Hampshire   01-254-JD

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Albertson, et al. v. Cooper Tire & Rubber Co.   U.S. District Court, Western
District of Washington at Tacoma   C01-5400 FDB

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         “Third Quarter 2001 Special Charge” shall mean the pre-tax charge of
Fifty-Five Million Dollars ($55,000,000) recorded by the Borrower for its Fiscal
Quarter ending September 30, 2001 for the settlement of claims arising out of
the Class Action and Individual Litigation.

         Section 1.03. Amendment to Section 5.2 of the Original Credit
Agreement. Section 5.2 of the Original Credit Agreement is amended and restated
to read as follows:

5.2 Fixed Charge Coverage Ratio. The Borrower shall not incur or remain liable
for Consolidated Indebtedness owing to any Person if (a) the incurrence of such
Consolidated Indebtedness (after giving effect thereto) would cause the Borrower
to be in violation of any provision of this Agreement or (b) the Borrower’s
Consolidated Net Income Available for Fixed Charges for the period of the four
(4) Fiscal Quarters immediately preceding the Date of Determination is equal to
or less than (i) two hundred percent (200%) of all Fixed Charges payable in
respect of the four (4) Fiscal Quarter periods ending September 30, 2000 or
December 31, 2000, (ii) one hundred eighty percent (180%) of all Fixed Charges
payable in respect of the four (4) Fiscal Quarter period ending March 31, 2001,
(iii) one hundred sixty percent (160%) for all Fixed Charges payable in respect
of the four (4) Fiscal Quarter periods ending June 30, 2001, (iv) one hundred
fifty percent (150%) for all Fixed Charges payable in respect of the four
(4) Fiscal Quarters ending September 30, 2001, and (v) two hundred percent
(200%) for all Fixed Charges payable in respect of each of the four (4) Fiscal
Quarter periods ending on or after December 31, 2001; provided, however, that
the calculation of the fixed charge coverage ratio as required by this
Section 5.2 for any of the four quarter fiscal periods ending September 30,
2001, December 31, 2001, March 31, 2002 and June 30, 2002 is hereby modified
such that the numerator of the fixed charge coverage ratio for such a four
quarter fiscal period shall read as follows: “the Borrower’s Consolidated Net
Income Available for Fixed Charges plus the Third Quarter 2001 Special Charge”.

         Section 1.04. No Other Amendments. The amendments to the Existing
Credit Agreement set forth in Sections 1.01, 1.02 and 1.03 of this Amendment
No. 4 do not either implicitly or explicitly alter, waive or amend, except as
expressly provided in this Amendment No. 4, the provisions of the Existing
Credit Agreement. The amendments set forth in Sections 1.01, 1.02 and 1.03 of
this Amendment No. 4 do not waive, now or in the future, compliance with any
other covenant, term or condition to be performed or complied with nor does it
impair any rights or remedies of the Banks or the Agent under the Existing
Credit Agreement with respect to any such violation.

ARTICLE II
BORROWER’S SUPPLEMENTAL REPRESENTATIONS

         As an inducement to the Banks and the Agent to enter into this
Amendment No. 4, the Borrower hereby represents and warrants that:

         Section 2.01. Incorporation by Reference. The Borrower hereby repeats
herein for the benefit of the Banks and the Agent the representations and
warranties made by the Borrower in Article III of the Existing Credit Agreement,
as amended hereby, except that for purposes hereof such representations and
warranties shall be deemed to extend to and cover this Amendment No. 4.

 

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ARTICLE III
MISCELLANEOUS

         Section 3.01. Ratification of Terms. This Amendment No. 4 shall be
construed in connection with and as part of the Existing Credit Agreement; and
the Existing Credit Agreement is hereby amended and modified to include this
Amendment No. 4. Except as expressly amended by this Amendment No. 4, the
Existing Credit Agreement and each and every representation, warranty, covenant,
term and condition contained therein is specifically ratified and confirmed.

         Section 3.02. References. All notices, communications, agreements,
certificates, documents or other instruments executed and delivered after the
execution and delivery of this Amendment No. 4 may refer to the Existing Credit
Agreement without making specific reference to this Amendment No. 4, but
nevertheless all such references shall include this Amendment No. 4 unless the
context requires otherwise.

         Section 3.03. Counterparts. This Amendment No. 4 may be executed in any
number of counterparts, and by the different parties hereto on separate
counterparts, each of which when so executed and delivered shall be an original,
but all of which together shall constitute one and the same instrument. Delivery
of an executed counterpart of a signature page to this Amendment No. 4 by
telecopier shall be effective as of delivery of a manually executed counterpart
of this Amendment No. 4.

         Section 3.04. Capitalized Terms. Except for proper nouns and as
otherwise defined herein, capitalized terms used herein shall have the meanings
ascribed to them in the Existing Credit Agreement, as amended hereby.

         Section 3.05. Conditions Precedent. It shall be a condition precedent
to the effectiveness of this Amendment No. 4 and to the amendment of terms of
the Existing Credit Agreement as herein set forth that:

         (i)  The Agent shall have received on behalf of the Banks, on or before
the Amendment Effective Date (as hereinafter defined) the following items, each,
unless otherwise indicated, dated on or before the Amendment Effective Date and
in form and substance satisfactory to the Agent and its counsel:

                  (A) A duly executed counterpart original of this Amendment
No. 4;

                  (B) A copy of the corporate action of the Borrower certified
by the Secretary or Assistant Secretary of the Borrower to authorize the
execution and delivery of, and performance under, this Amendment No. 4 and the
other Amendment No. 4 Loan Documents to which it is a party;

                  (C) A certificate of the secretary or assistant secretary of
the Borrower certifying the names of the persons authorized to sign this
Amendment No. 4 and the other Amendment No. 4 Loan Documents to which it is a
party, and all other documents and certificates delivered hereunder together
with the true signatures of such persons;

                  (D) A certificate of the Chief Financial Officer of the
Borrower certifying that the statements set forth in Section 3.05(ii) of this
Amendment No. 4, as of the Amendment No. 4 Closing Date, are true and correct;
and

                  (E) Except for events disclosed in the Borrower’s Annual
Report on Form 10-K for the year ended December 31, 2000, and for Quarterly
Reports on Form 10-Q for the quarters ended March 31, 2001 and June 30, 2001, no
event has occurred to the Borrower which would reasonably be likely to

 

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have a Material Adverse Effect on the Borrower; and there shall be delivered to
the Agent for the benefit of each Bank and the Agent a certificate dated the
Closing Date and signed by the Chief Executive Officer, President, Chief
Financial Officer or Vice President of the Borrower to such effect;

         (ii)  The following statements shall be true and correct on the
Amendment Effective Date and the Agent shall have received a certificate signed
by an authorized officer of the Borrower, dated the Amendment Effective Date,
stating that:

                  (A) the representations and warranties contained in
Section 2.01 of this Amendment No. 4 and in the other Loan Documents, as amended
hereby, with respect to the Borrower are true and correct on and as of the
Amendment Effective Date as though made on and as of such date;

                  (B) no Event of Default, or event which, with the passage of
time or the giving of notice or both, would become an Event of Default, has
occurred and is continuing, or would result from the execution of this Amendment
No. 4;

                  (C) the Borrower has in all material respects performed all
agreements, covenants and conditions required to be performed on or prior to the
date hereof under the Agreement and the other Loan Documents;

         (iii)  For purposes of this Amendment No. 4, upon completion of the
conditions set forth above in this Section 3.05, the term “Amendment Effective
Date” shall mean, and the effective date of this Amendment No. 4 shall be deemed
to be, September 30, 2001, nunc pro tunc.

         Section 3.06. Amendment Effective Date. From and after the Amendment
Effective Date, all references in the Existing Credit Agreement and each of the
other Loan Documents to the Agreement shall be deemed to be references to the
Existing Credit Agreement as amended hereby.

         Section 3.07. Certain Taxes. The Borrower agrees to pay, and save the
Agent and the Banks harmless from, all liability for any stamp or other taxes
which may be payable with respect to the execution of this Amendment No. 4, the
other Amendment No. 4 Loan Documents or any other documents, instruments or
transactions pursuant to or in connection herewith or therewith, which
obligation shall survive the termination of this Amendment No. 4.

         Section 3.08. Costs and Expenses. The Borrower hereby agrees to pay all
reasonable out-of-pocket costs and expenses of the Agent (including, without
limitation, the reasonable fees and the disbursements of the Agent’s special
counsel, Tucker Arensberg, P.C.) in connection with the preparation, execution
and delivery of this Amendment No. 4 and the related documents.

         Section 3.09. Severability. Any provision of this Amendment No. 4 which
is prohibited or unenforceable in any jurisdiction shall, as to such
jurisdiction, be ineffective to the extent of such prohibition or enforceability
without invalidating the remaining portions hereof or affecting the validity or
enforceability of such provision in any other jurisdiction.

         Section 3.10. Governing Law. Amendment No. 4 shall be a contract made
under and governed by the laws of the Commonwealth of Pennsylvania.

 

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         Section 3.11. Headings. The headings of this Amendment No. 4 are for
purposes of reference only and shall not limit or otherwise affect the meaning
thereof.

[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]

 

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         IN WITNESS WHEREOF, the parties hereto, with the intent to be legally
bound hereby, have caused this Amendment No. 4 to be duly executed by their
proper and duly authorized officers as of, and effective nunc pro tunc as of the
day and year first above written.

                      Borrower:               ATTEST       (SEAL) COOPER TIRE &
RUBBER COMPANY, a Delaware corporation               By:   /s/ Richard N.
Jacobson   By:   /s/ P.G. Weaver    

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Name:
Title:   Richard N. Jacobson
Assistant Secretary   Name:
Title:   P.G. Weaver
Vice President and CFO               By:   /s/ Kathy A. Brumbaugh   By:   /s/
Stephen O. Schroeder    

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Name:
Title:   Kathy A. Brumbaugh
Executive Legal Secretary   Name:
Title:   Stephen O. Schroeder
Treasurer

                            Agent:

                            PNC BANK, NATIONAL ASSOCIATION,
                            in its capacity as Agent

              By:   /s/ James V. Cannella   By:   /s/ Joseph G. Moran    

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Name:
Title:   James V. Cannella
Vice President   Name:
Title:   Joseph G. Moran
Vice President

                  Banks:

          PNC BANK, NATIONAL ASSOCIATION       By:   /s/ Joseph G. Moran    

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Name:
Title:   Joseph G. Moran
Vice President

[SIGNATURES FOR OTHER BANKS SET FORTH ON THE FOLLOWING PAGE]

 

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[SIGNATURES FOR OTHER BANKS SET FORTH BELOW]

              Banks Cont.:               NATIONAL CITY BANK               By:  
/s/ James C. Ritchie        

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    Name:
Title:   James C. Ritchie
Assistant Vice President               BANK OF AMERICA, N.A.               By:  
/s/ Matthew J. Reilly        

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    Name:
Title:   Matthew J. Reilly
Vice President               THE CHASE MANHATTAN BANK               By:   /s/
Henry W. Centa        

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    Name:
Title:   Henry W. Centa
Vice President               BANK ONE, MICHIGAN               By:   /s/ William
J. Maxbauer        

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    Name:
Title:   William J. Maxbauer
First Vice President               THE BANK OF NEW YORK               By:   /s/
Edward J. Dougherty III        

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    Name:
Title:   Edward J. Dougherty
Vice President

[SIGNATURES FOR OTHER BANKS SET FORTH ON THE FOLLOWING PAGE]

 

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[SIGNATURES FOR OTHER BANKS SET FORTH BELOW]

              Banks Cont.:               FIFTH THIRD BANK, NORTHWESTERN, OHIO,
N.A.               By:   /s/ Jeffery C. Shrader        

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    Name:
Title:   Jeffery C. Shrader
Vice President               SUNTRUST BANK               By:   /s/ William C.
Humphries        

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    Name:
Title:   William C. Humphries
Director