Revolving Note


 Exhibit 10.2 
 REVOLVING NOTE 
  

			
	$35,000,000.00	  	October 21, 2009

 FOR VALUE RECEIVED, OMEGA PROTEIN CORPORATION, a Nevada corporation, and
OMEGA PROTEIN, INC., a Virginia corporation, each having its principal place of business at 2105 Citywest Blvd., Suite 500, Houston, Texas 77042 (collectively, “Borrowers”), jointly and severally promise to pay
to the order of WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association (“Lender”), the principal sum of Thirty Five Million and No/100 Dollars ($35,000,000.00) or, if less, the Principal Debt (as defined in
the Agreement referred to in Section 1 below), together with interest on the unpaid principal balance as set forth below. All sums hereunder are payable to Lender at its principal office in Houston, Harris County, Texas. 
 1. Definitions. Unless the context hereof otherwise requires or provides, the terms used herein have the same meanings
as defined in that certain Loan Agreement of even date herewith among Borrowers and Lender (as the same has been or may be amended or supplemented from time to time, the “Agreement”). 
 2. Interest Rate. The unpaid principal balance from time to time outstanding from the date hereof until maturity (whether by
acceleration or otherwise) shall bear interest as provided in the Agreement. 
 3. Payment of Interest and Principal. The
principal of and interest on this Note shall be due and payable as provided in the Agreement. The principal and interest due hereunder shall be evidenced by Lender’s records which, absent manifest error, shall be conclusive evidence of the
computation of principal and interest balances owed by Borrowers to Lender. 
 4. Default. Upon the occurrence of a
Bankruptcy Default, the entire principal of and accrued interest on this Note shall forthwith be due and payable without demand, presentment for payment, notice of nonpayment, protest, notice of protest, notice of intent to accelerate, notice of
acceleration and all other notices and further actions of any kind, all of which are hereby expressly waived by Borrowers. If any other Event of Default occurs and is continuing, the holder of this Note may, without demand or notice of its election
declare the entire unpaid balance of this Note and all other indebtedness of Borrowers to Lender (but not any obligations under any Swap Agreement with any Lender Swap Provider, which shall be due in accordance with and governed by the provisions of
said Swap Agreement), or any part thereof, immediately due and payable, whereupon the principal of and accrued interest on this Note shall be forthwith due and payable without demand, presentment for payment, notice of nonpayment, protest, notice of
protest, notice of intent to accelerate, notice of acceleration and all other notices and further actions of any kind, all of which are hereby expressly waived by Borrowers. 
 5. Waiver. Each surety, endorser, guarantor and any other party now or hereafter liable for the payment of this Note in whole or in
part (“Surety”) and Borrowers hereby severally (a) waive grace, demand, presentment for payment, notice of nonpayment, protest, notice of protest, non-payment or dishonor, notice of intent to accelerate, notice of acceleration
and all other notices, filing of suit and diligence in collecting this Note or enforcing any other security







 
with respect to same, (b) agree to any substitution, surrender, subordination, waiver, modification, change, exchange or release of any security or the release of the liability of any
parties primarily or secondarily liable hereon, (c) agree that Lender is not required first to institute suit or exhaust its remedies hereon against any Borrower, any Surety or others liable or to become liable hereon or to enforce its rights
against them or any security with respect to same or to join any of them in any suit against any others of them, and (d) consent to any extension or postponement of time of payment of this Note and to any other indulgence with respect hereto
without notice thereof to any of them. No failure or delay on the part of Lender in exercising any right, power or privilege hereunder shall operate as a waiver thereof. 
 6. Attorneys’ Fees. If this Note is not paid at maturity, regardless of how such maturity may be brought about, or is collected or attempted to be collected through the initiation or
prosecution of any suit or through any probate, bankruptcy or any other judicial proceedings, or through any arbitration proceeding, or is placed in the hands of an attorney for collection, Borrowers shall pay, in addition to all other amounts owing
hereunder, all actual expenses of collection, all court costs and reasonable attorney’s fees incurred by the holder hereof. 
 7. Limitation on Agreements. All agreements between Borrowers and Lender, whether now existing or hereafter arising, are hereby limited so that in no event shall the amount paid, or agreed to be paid to or charged or demanded by
Lender for the use, forbearance, or detention of money or for the payment or performance of any covenant or obligation contained herein or in any other document evidencing, securing or pertaining to this Note, exceed the Maximum Rate. If any
circumstance otherwise would cause the amount paid, charged or demanded to exceed the Maximum Rate, the amount paid or agreed to be paid to or charged or demanded by Lender shall be reduced to the Maximum Rate, and if Lender ever receives interest
which otherwise would exceed the Maximum Rate, such amount which would be excessive interest shall be applied to the reduction of the principal of this Note and not to the payment of interest, or if such excessive interest otherwise would exceed the
unpaid balance of principal of this Note such excess shall be applied first to other indebtedness of Borrowers to Lender, and the balance, if any, shall be refunded to Borrowers. In determining whether the interest paid, agreed to be paid, charged
or demanded hereunder exceeds the highest amount permitted by applicable law, all sums paid or agreed to be paid to or charged or demanded by Lender for the use, forbearance or detention of the indebtedness of Borrowers to Lender shall, to the
extent permitted by applicable law, (i) be amortized, prorated, allocated and spread throughout the full term of such indebtedness until payment in full so that the actual rate of interest on account of such indebtedness is uniform throughout
such term, (ii) be characterized as a fee, expense or other charge other than interest, and (iii) exclude any voluntary prepayments and the effects thereof. The terms and provisions of this Section shall control and supersede every other
provision of all agreements between Lender and Borrowers in conflict herewith. 
 8. Governing Law and Venue.

 (a) THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS (BUT NOT THE RULES GOVERNING CONFLICTS OF
LAWS) OF THE STATE OF TEXAS AND SHALL BE PERFORMABLE IN HARRIS COUNTY, TEXAS. Chapter 346 of the Texas Finance Code does not apply to this Note. Borrowers irrevocably submit to the jurisdiction of any Texas state

  

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court or any United States court located in the State of Texas (or any court having jurisdiction over appeals from any such court) in any proceeding between or among them arising out of or in any
way relating to this Note or the Loan Documents whether arising in contract, tort or otherwise. Any suit, action or proceeding may be brought in the courts of the State of Texas, County of Harris, or in the United States District Court for the
Southern District of Texas, Houston Division. Borrowers irrevocably consent to the service of process in any suit, action or proceeding in said court by the mailing thereof, by registered or certified mail, postage prepaid, to its address for
notices set forth in the Agreement. Service shall be deemed effective five (5) days after such mailing. If requested to do so by any party, Borrowers agree to waive service of process and to execute any and all documents necessary to implement
such waiver in accordance with the Texas Rules of Civil Procedure. Borrowers irrevocably waive any objections which they may now or hereafter have (including any based on the grounds of forum non conveniens) to the laying of venue of any suit,
action or proceeding arising out of or relating to this Note or the Loan Documents brought in the courts located in Harris County, Texas. Nothing herein impairs the right to bring proceedings in the courts of any other jurisdiction or to effect
service of process in any other manner permitted. 
 (b) Borrowers recognize that courts outside of Harris County, Texas, may
also have jurisdiction over suits, actions or proceedings arising out of this Note and the Loan Documents. In the event any party shall institute a proceeding involving this Note or the Loan Documents in a jurisdiction outside Harris County, Texas,
the party instituting such litigation shall indemnify the other parties for any losses and expenses that may result from the breach of the foregoing covenant to institute such proceeding only in a state or federal court in Harris County, Texas,
including without limitation any additional expenses incurred as the result of litigating in another jurisdiction; such as the expenses and reasonable fees of local counsel and travel and lodging expenses of the indemnified parties, its witnesses,
experts and support personnel. 
 9. Business Day. If any action is required or permitted to be taken hereunder on a day
which is not a Business Day, such action shall be taken on the next succeeding day which is a Business Day, and, to the extent applicable, interest on the unpaid principal balance shall continue to accrue at the applicable rate. 
 10. Agreement. This Note is the Note referred to in the Agreement, and is entitled to the benefits thereof and the security as
provided for therein. Reference is made to the Agreement and the Loan Documents for a statement of the rights and obligations of Borrowers, a description of the nature and extent of the security and the rights of the parties with respect to such
security, and a statement of the terms and conditions under which the due date of this Note may be accelerated. 
 11.
Relationship of Parties. Borrowers and Lender agree that the relationship between them shall be solely that of debtor and creditor. Nothing contained in this Note or in any other Loan Document shall be deemed to create a partnership,
tenancy-in-common, joint tenancy, joint venture or co-ownership by or between Borrowers and Lender. Lender shall not be in any way responsible or liable for debts, losses, obligations or duties of Borrowers with respect to the collateral described
in the Loan Documents or otherwise. Borrowers, at all times consistent with the terms and provisions of this Note and the Loan Documents, shall be free to determine and follow its own policies and practices in the conduct of their business.

  

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 12. Arbitration. 
 (a) Arbitration. The parties hereto agree, upon demand by any party, to submit to binding arbitration all claims, disputes and
controversies between or among them (and their respective employees, officers, directors, attorneys, and other agents), whether in tort, contract or otherwise in any way arising out of or relating to (i) any credit subject hereto, or any of the
Loan Documents, and their negotiation, execution, collateralization, administration, repayment, modification, extension, substitution, formation, inducement, enforcement, default or termination; or (ii) requests for additional credit.

 (b) Governing Rules. Any arbitration proceeding will (i) proceed in a location in Texas selected by the American
Arbitration Association (“AAA”); (ii) be governed by the Federal Arbitration Act (Title 9 of the United States Code), notwithstanding any conflicting choice of law provision in any of the documents between the parties; and
(iii) be conducted by the AAA, or such other administrator as the parties shall mutually agree upon, in accordance with the AAA’s commercial dispute resolution procedures, unless the claim or counterclaim is at least $1,000,000.00
exclusive of claimed interest, arbitration fees and costs in which case the arbitration shall be conducted in accordance with the AAA’s optional procedures for large, complex commercial disputes (the commercial dispute resolution procedures or
the optional procedures for large, complex commercial disputes to be referred to herein, as applicable, as the “Rules”). If there is any inconsistency between the terms hereof and the Rules, the terms and procedures set forth herein
shall control. Any party who fails or refuses to submit to arbitration following a demand by any other party shall bear all costs and expenses incurred by such other party in compelling arbitration of any dispute. Nothing contained herein shall be
deemed to be a waiver by any party that is a bank of the protections afforded to it under 12 U.S.C. §91 or any similar applicable state law. 
 (c) No Waiver of Provisional Remedies, Self-Help and Foreclosure. The arbitration requirement does not limit the right of any party to (i) foreclose against real or personal property
collateral; (ii) exercise self-help remedies relating to collateral or proceeds of collateral such as setoff or repossession; or (iii) obtain provisional or ancillary remedies such as replevin, injunctive relief, attachment or the
appointment of a receiver, before during or after the pendency of any arbitration proceeding. This exclusion does not constitute a waiver of the right or obligation of any party to submit any dispute to arbitration or reference hereunder, including
those arising from the exercise of the actions detailed in sections (i), (ii) and (iii) of this paragraph. 
 (d)
Arbitrator Qualifications and Powers. Any arbitration proceeding in which the amount in controversy is $5,000,000.00 or less will be decided by a single arbitrator selected according to the Rules, and who shall not render an award of greater
than $5,000,000.00. Any dispute in which the amount in controversy exceeds $5,000,000.00 shall be decided by majority vote of a panel of three (3) arbitrators; provided however, that all three (3) arbitrators must actively
participate in all hearings and deliberations. The arbitrator will be a neutral attorney licensed in the State of Texas with a minimum of ten (10) years experience in the substantive law

  

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applicable to the subject matter of the dispute to be arbitrated. The arbitrator will determine whether or not an issue is arbitratable and will give effect to the statutes of limitation in
determining any claim. In any arbitration proceeding the arbitrator will decide (by documents only or with a hearing at the arbitrator’s discretion) any pre-hearing motions which are similar to motions to dismiss for failure to state a claim or
motions for summary adjudication. The arbitrator shall resolve all disputes in accordance with the substantive law of Texas and may grant any remedy or relief that a court of such state could order or grant within the scope hereof and such ancillary
relief as is necessary to make effective any award. The arbitrator shall also have the power to award recovery of all costs and fees, to impose sanctions and to take such other action as the arbitrator deems necessary to the same extent a judge
could pursuant to the Federal Rules of Civil Procedure, the Texas Rules of Civil Procedure or other applicable law. Judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction. The institution and maintenance
of an action for judicial relief or pursuit of a provisional or ancillary remedy shall not constitute a waiver of the right of any party, including the plaintiff, to submit the controversy or claim to arbitration if any other party contests such
action for judicial relief. 
 (e) Discovery. In any arbitration proceeding, discovery will be permitted in accordance
with the Rules. All discovery shall be expressly limited to matters directly relevant to the dispute being arbitrated and must be completed no later than twenty (20) days before the hearing date. Any requests for an extension of the discovery
periods, or any discovery disputes, will be subject to final determination by the arbitrator upon a showing that the request for discovery is essential for the party’s presentation and that no alternative means for obtaining information is
available. 
 (f) Class Proceeding and Consolidations. No party hereto shall be entitled to join or consolidate disputes
by or against others in any arbitration, except parties who have executed any Loan Document, or to include in any arbitration any dispute as a representative or member of a class, or to act in any arbitration in the interest of the general public or
in a private attorney general capacity. 
 (g) Payment of Arbitration Costs and Fees. The arbitrator shall award all
costs and expenses of the arbitration proceeding. 
 (h) Miscellaneous. To the maximum extent practicable, the AAA, the
arbitrators and the parties shall take all action required to conclude any arbitration proceeding within one hundred eighty (180) days of the filing of the dispute with the AAA. No arbitrator or other party to an arbitration proceeding may
disclose the existence, content or results thereof, except for disclosures of information by a party required in the ordinary course of its business or by applicable law or regulation. If more than one agreement for arbitration by or between the
parties potentially applies to a dispute, the arbitration provision most directly related to the Loan Documents or the subject matter of the dispute shall control. This arbitration provision shall survive termination, amendment or expiration of any
of the Loan Documents or any relationship between the parties. 
 13. WAIVER OF JURY TRIAL. TO THE FULLEST EXTENT
PERMITTED BY APPLICABLE LAW, BORROWERS HEREBY IRREVOCABLY AND EXPRESSLY WAIVE

  

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ALL RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR COUNTERCLAIM (WHETHER BASED UPON CONTRACT, TORT, OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS NOTE OR ANY OF THE OTHER LOAN
DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY OR THE ACTIONS OF LENDER IN THE NEGOTIATION, ADMINISTRATION, OR ENFORCEMENT HEREOF OR THEREOF. 
 IN WITNESS WHEREOF, Borrowers have executed this Note as of the date and year first above written. 
  

			
	OMEGA PROTEIN CORPORATION
		
	By:	 	 /s/ Robert W. Stockton

		 	Robert W. Stockton
		 	 Executive Vice President and
 Chief Financial Officer

	
	OMEGA PROTEIN, INC.
		
	By:	 	 /s/ Robert W. Stockton

		 	Robert W. Stockton
		 	Vice President and Treasurer


  

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