Exhibit 10.1

 

Execution Version

 

FIRST AMENDMENT

 

FIRST AMENDMENT, dated as of February 1, 2016 (this “Amendment”), to the Credit
Agreement, dated as of March 19, 2014, among RENT-A-CENTER, INC., a Delaware
corporation (the “Borrower”), the lenders party thereto (the “Lenders”),
JPMORGAN CHASE BANK, N.A., as administrative agent (in such capacity, the
“Administrative Agent”), and the other agents party thereto (as may be further
amended, supplemented or otherwise modified from time to time, the “Credit
Agreement”).  Terms defined in the Credit Agreement shall be used in this
Amendment with their defined meanings unless otherwise defined herein.

 

W I T N E S S E T H :

 

WHEREAS, the Borrower, the Lenders and the Administrative Agent are parties to
the Credit Agreement; and

 

WHEREAS, subject to the terms and conditions of this Amendment, the parties
hereto wish to amend the Credit Agreement as herein provided;

 

NOW, THEREFORE, the parties hereto hereby agree as follows:

 

SECTION 1.                            Amendments to Section 7.6 (Restricted
Payments).

 

(a)                                 Section 7.6(b) of the Credit Agreement is
hereby amended by deleting clause (ii) thereof and substituting in lieu thereof
the following new clause (ii) as follows:

 

“(ii) greater than 3.75 to 1.00, such Stock Payments shall not exceed
$15,000,000 in the aggregate in any fiscal year of the Borrower, when taken
together with (1) the Notes Payments made pursuant to clause (ii) of
Section 7.9(a)(1), (2) the Notes Payments made pursuant to Section 7.9(a)(2) and
(3) the Stock Payments made pursuant to Section 7.6(f), in each case, in such
fiscal year;”

 

(b)                                 Section 7.6 of the Credit Agreement is
hereby amended by (i) deleting the word “and” at the end of clause (d) thereof,
(ii) deleting the “.” at the end of clause (e) thereof and substituting in lieu
thereof the text “; and” and (iii) inserting the following new clause (f) as
follows:

 

“(f)                             so long as no Default or Event of Default shall
have occurred and be continuing or would immediately result therefrom, the
Borrower may make Restricted Payments with respect to Stock Payments in an
aggregate amount during any fiscal year of the Borrower not to exceed
$20,000,000, when taken together with the Notes Payments made pursuant to
Section 7.9(a)(2) in such fiscal year, if, after giving pro forma effect
thereto, the Consolidated Senior Leverage Ratio as of the last day of the most
recent fiscal quarter for which the relevant financial information is available
is less than or equal to 3.75 to 1.00.”

 

SECTION 2.                            Amendments to Section 7.9 (Payments and
Modifications of Certain Debt Instruments and Qualified Preferred Stock).

 

(a)                                 Section 7.9(a) of the Credit Agreement is
hereby amended by deleting clause (ii) thereof and substituting in lieu thereof
the following new clause (ii) as follows:

 

“(ii) greater than 3.75 to 1.00, such Notes Payments shall not exceed
$15,000,000 in the aggregate in any fiscal year of the Borrower, when taken
together with (1) the Stock

 

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Payments made pursuant to clause (ii) of the proviso of Section 7.6(b), (2) the
Stock Payments made pursuant to Section 7.6(f) and (3) the Notes Payments made
pursuant to Section 7.9(a)(2), in each case, in such fiscal year.”

 

(b)                                 Section 7.9 of the Credit Agreement is
hereby amended by (i) inserting the text “(1)” immediately following the text
“provided, further, that,” in clause (a) thereof and (ii) deleting the “.” at
the end of clause (a) and substituting in lieu thereof the following text:

 

“; and (2) if, after giving pro forma effect thereto, the Consolidated Senior
Leverage Ratio as of the last day of the most recent fiscal quarter for which
the relevant financial information is available is less than or equal to 3.75 to
1.00, such Notes Payments shall not exceed $20,000,000 in the aggregate in any
fiscal year of the Borrower, when taken together with the Stock Payments made
pursuant to Section 7.6(f) in such fiscal year.”

 

SECTION 3.                            Amendments to Section 2.19 (Taxes).
Section 2.19 of the Credit Agreement is amended by renumbering
Section 2.19(h) and Section 2.19(i) as Section 2.19(i) and Section 2.19(j),
respectively, and adding new Section 2.19(h) as follows:

 

“(h)                           For purposes of determining withholding Taxes
imposed under FATCA, from and after the effective date of the First Amendment,
dated as of February 1, 2016, to this Agreement, the Borrower and the
Administrative Agent shall treat (and the Lenders hereby authorize the
Administrative Agent to treat) the Credit Agreement as not qualifying as a
“grandfathered obligation” within the meaning of Treasury Regulation
Section 1.1471-2(b)(2)(i).”

 

SECTION 4.                            Conditions to Effectiveness.  This
Amendment shall become effective on and as of the date hereof (the “First
Amendment Effective Date”) upon the Administrative Agent having received this
Amendment, executed and delivered by a duly authorized officer of the Borrower
and the Required Lenders.

 

SECTION 5.                            Representations and Warranties.  The
Borrower hereby represents and warrants to the Administrative Agent and each
Lender that (immediately before and after giving effect to this Amendment) the
representations and warranties set forth in Section 4 of the Credit Agreement
are true and correct in all material respects on and as of the First Amendment
Effective Date with the same effect as though made on and as of the First
Amendment Effective Date, except to the extent such representations and
warranties expressly relate to an earlier date (in which case such
representations and warranties were true and correct in all material respects on
and as of such earlier date).

 

SECTION 6.                            GOVERNING LAW; WAIVER OF JURY TRIAL;
MISCELLANEOUS:

 

(a)                                 No Change.  Except as expressly provided
herein, no term or provision of the Credit Agreement shall be amended, modified
or supplemented, and each term and provision of the Credit Agreement shall
remain in full force and effect and is hereby ratified and confirmed in all
respects, in each case as amended by this Amendment.  This Amendment shall
constitute a Loan Document.

 

(b)                                 Counterparts.  This Amendment may be
executed by the parties hereto in any number of separate counterparts, and all
of said counterparts taken together shall be deemed to constitute one and the
same instrument.  Delivery of an executed signature page of this Amendment by
facsimile transmission, by electronic mail in “portable document format”
(“.pdf”) form, or by any other electronic

 

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means intended to preserve the original graphic and pictorial appearance of a
document, or by a combination of such means, shall be effective as delivery of a
manually executed counterpart hereof.

 

(c)                                  Payment of Fees and Expenses.  The Borrower
agrees to pay or reimburse the Administrative Agent for all reasonable
out-of-pocket costs and expenses incurred in connection with the preparation,
negotiation and execution of this Amendment, including, without limitation, the
reasonable fees, disbursements and other charges of counsel for the
Administrative Agent.

 

(d)                                 GOVERNING LAW.  THIS AMENDMENT AND THE
RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER THIS AMENDMENT SHALL BE GOVERNED BY,
AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW
YORK.

 

(e)                                  WAIVER OF JURY TRIAL.  EACH PARTY HERETO
HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN ANY LEGAL ACTION
OR PROCEEDING RELATING TO THIS AMENDMENT AND FOR ANY COUNTERCLAIM THEREIN.

 

[Signature Pages Follow]

 

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IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly
executed and delivered by their respective proper and duly authorized officers
as of the day and year first above written.

 

 

RENT-A-CENTER, INC.

 

 

 

 

 

By:

/s/ Guy J. Constant

 

 

Guy J. Constant, Executive Vice President - Finance, Chief Financial Officer &
Treasurer

 

 

 

 

 

JPMORGAN CHASE BANK, N.A.,

 

 

as Administrative Agent and a Lender

 

 

 

 

 

 

 

By:

/s/ Maria Riaz

 

 

Name:

Maria Riaz

 

 

Title:

Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Bank of America N.A.,

 

 

as a Lender and Syndication Agent

 

 

 

 

 

By:

/s/ David McCauley

 

 

Name:

David McCauley

 

 

Title:

Senior Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Compass Bank,

 

 

as a Lender

 

 

 

 

 

By:

/s/ Raj Nambiar

 

 

Name:

Raj Nambiar

 

 

Title:

Sr. Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Wells Fargo Bank, N.A.,

 

 

as a Lender

 

 

 

 

 

By:

/s/ Ronald W. Harrison

 

 

Name:

Ronald W. Harrison

 

 

Title:

Senior Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: SunTrust Bank,

 

 

as a Lender

 

 

 

 

 

 

 

By:

/s/ Johnetta Bush

 

 

Name:

Johnetta Bush

 

 

Title:

Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Fifth Third Bank,

 

 

as a Lender

 

 

 

 

 

By:

/s/ Brian Anderson

 

 

Name:

Brian Anderson

 

 

Title:

Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Comerica Bank,

 

 

as a Lender

 

 

 

 

 

 

 

By:

/s/ Chris Reed

 

 

Name:

Chris Reed

 

 

Title:

Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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BRANCH BANKING AND TRUST COMPANY,

 

 

as a Lender

 

 

 

 

 

 

 

By:

/s/ Janet L. Wheeler

 

 

Name:

Janet L. Wheeler

 

 

Title:

Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Regions Bank,

 

 

as a Lender

 

 

 

 

 

 

 

By:

/s/ Claire Harrison

 

 

Name:

Claire Harrison

 

 

Title:

Vice President, Corporate Banking

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: ZB, N.A. dba Amegy Bank,

 

 

as a Lender

 

 

 

 

 

 

 

By:

/s/ Kathy Magee

 

 

Kathy Magee

 

 

Senior Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Citibank,N.A.,

 

 

as a Lender

 

 

 

 

 

 

 

By:

/s/ Bradley C. Peters

 

 

Name:

Bradley C. Peters

 

 

Title:

Senior Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: Citizens Bank, N.A.,

 

(formerly known as RBS Citizens, N.A.),

 

 

as a Revolving Lender only

 

 

 

 

 

 

 

By:

/s/ Peter van der Horst

 

 

Name:

Peter van der Horst

 

 

Title:

Senior Vice President

 

FIRST AMENDMENT SIGNATURE PAGE

 

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NAME OF LENDER: INTRUST Bank, N.A,

 

 

as a Lender

 

 

 

 

 

 

 

By:

/s/ Marlon E. King

 

 

Name:

Marlon E. King

 

 

Title:

Sr. Commercial Relationship Mgr.

 

FIRST AMENDMENT SIGNATURE PAGE

 

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