Document:

Exhibit 10.3

 

EXECUTION VERSION

 

GUARANTY AGREEMENT

 

GUARANTY AGREEMENT
(this “Guaranty”), dated as of December 21, 2018, is made by FUELCELL ENERGY, INC., a Delaware corporation
(“Guarantor”), in favor of GENERATE LENDING, LLC, a Delaware limited liability company (“Lender”).

 

A.           Pursuant
to that certain Construction Loan Agreement, dated as of December 21, 2018, by and among FUELCELL ENERGY FINANCE II, LLC,
a Connecticut limited liability company (“Borrower”), BAKERSFIELD FUEL CELL 1, LLC, a Delaware limited
liability company (“Bakersfield”), BRT FUEL CELL, LLC, a New York limited liability company (“BRT”),
CR FUEL CELL, LLC, a New York limited liability company (“CR”), YAPHANK FUEL CELL PARK, LLC, a
New York limited liability company (“Yaphank”), HOMESTEAD FUEL CELL 1, LLC, a Connecticut limited liability
company (“Homestead”), DERBY FUEL CELL, LLC, a Connecticut limited liability company (“Derby”,
and collectively with Bakersfield, BRT, CR, Yaphank and Homestead, each, an “Initial Project Company Guarantor”,
and together, the “Initial Project Company Guarantors”), the other Loan Parties party thereto from time to time,
and Lender (as amended, amended and restated, supplemented, or otherwise modified from time to time, the “Loan Agreement”),
Lender has agreed to make certain loans and other financial accommodations to Borrower.

 

B.           The
Lender is not willing to make the Loan, or otherwise extend credit, to Borrower unless Guarantor unconditionally guarantees payment
and performance to the Lender of the Guaranteed Obligations pursuant to the terms and conditions herein agreed.

 

C.           Guarantor
directly or indirectly owns all of the ownership interests of Borrower and each Initial Project Company Guarantor, is financially
interested in their respective affairs, and expects to derive financial benefits from the loans and other financial accommodations
to be provided by Lender to the Borrower under or in connection with the Loan Agreement.

 

D.           This
Guaranty is required pursuant to the terms of the Loan Agreement.

 

NOW THEREFORE,
in consideration of the foregoing, in order to induce Lender to enter into and make loans and other financial accommodations to
Borrower under the Loan Agreement, and for other good and valuable consideration, the receipt and adequacy of which are hereby
acknowledged, Guarantor hereby agrees as follows:

 

ARTICLE I

DEFINITIONS

 

As used in this Guaranty,
capitalized terms not otherwise defined herein have the meanings defined for them in the Loan Agreement.

 

ARTICLE II

INDEMNITIES AND GUARANTIES

 

Section 1. Guaranty.
Guarantor hereby absolutely, unconditionally and irrevocably guarantees to Lender the punctual payment and performance of the Obligations
of the Borrower and the other Loan Parties to the Lender arising under or in connection with Sections 2.3(h) and 2.3(i) of the
Loan Agreement, including without limitation the payment of all sums now owing or which may in the future be owing by Borrower
or any other Loan Party under such Sections of the Loan Agreement, as and when the same are due and payable, and whether for principal,
interest, fees, expenses, indemnification or otherwise (all of the foregoing being the “Guaranteed Obligations”).
The Guaranteed Obligations include, without limitation, interest accruing after the commencement of a proceeding under bankruptcy,
insolvency or similar laws of any jurisdiction at the rate or rates provided in the Loan Documents. This Guaranty is a guaranty
of payment and not of collection only. Lender shall not be required to exhaust any right or remedy or take any action against Borrower,
any other Loan Party or any other guarantor, person or entity or any collateral. Guarantor agrees that, as between Guarantor and
Lender, the Guaranteed Obligations may be declared to be due and payable for the purposes of this Guaranty notwithstanding any
stay, injunction or other prohibition which may prevent, delay or vitiate any declaration regarding Borrower or any other Loan
Party and that in the event of a declaration or attempted declaration, the Guaranteed Obligations shall immediately become due
and payable by Guarantor for the purposes of this Guaranty.

 

     

     

    

 

Section 2.  Guaranty
Absolute. Guarantor guarantees that the Guaranteed Obligations shall be paid strictly in accordance with the terms of
the Loan Documents. The liability of Guarantor under this Guaranty is absolute and unconditional irrespective of: (a) any change
in the time, manner or place of payment of, or in any other term of, all or any of the Loan Documents or Guaranteed Obligations,
or any other amendment or waiver of or any consent to departure from any of the terms of any Loan Document or Guaranteed Obligation,
including any increase or decrease in the rate of interest thereon; (b) any release or amendment or waiver of, or consent to departure
from, or failure to act by Lender with respect to, any other guaranty or support document, or any exchange, release or non-perfection
of, or failure to act by Lender with respect to, any collateral, for all or any of the Loan Documents or Guaranteed Obligations,
or the release of Borrower or any other Loan Party from its respective obligations under the Loan Documents; (c) any present or
future law, regulation or order of any jurisdiction (whether of right or in fact) or of any agency thereof purporting to reduce,
amend, restructure or otherwise affect any term of any Loan Document or Guaranteed Obligation; (d) any change in the corporate
existence, structure, or ownership of Borrower or any other Loan Party or the liquidation or dissolution of Borrower or any other
Loan Party; (e) without being limited by the foregoing, any lack of validity or enforceability of any Loan Document or Guaranteed
Obligation; and (f) any other setoff, recoupment, defense or counterclaim whatsoever (in any case, whether based on contract,
tort or any other theory) with respect to the Loan Documents or the transactions contemplated thereby which might constitute a
legal or equitable defense available to, or discharge of, Borrower, any other Loan Party or a guarantor.

 

Section 3.  Guaranty
Irrevocable. This Guaranty is a continuing guaranty of all Guaranteed Obligations now or hereafter existing under the
Loan Agreement and shall remain in full force and effect until all Guaranteed Obligations and other amounts payable under this
Guaranty are paid in full in cash and any Commitments of the Lender with respect to the Guaranteed Obligations are terminated.

 

Section 4.  Reinstatement.
Notwithstanding Section 3 of this Guaranty, this Guaranty shall continue in full force and effect or be revived, as the case may
be, if at any time any payment by or on behalf of the Borrower or the Guarantor is made, in respect to the Guaranteed Obligations
is rescinded or must otherwise be returned by Lender on the insolvency, bankruptcy or reorganization of Borrower or any other
Loan Party or otherwise, all as though the payment had not been made.

 

Section 5.  Subrogation.
The Guarantor shall not exercise any right of subrogation or similar rights with respect to any payments it makes under this Guaranty
until all the Guaranteed Obligations have been paid in full and any Commitments with respect to the Guaranteed Obligations are
terminated. If any amounts are paid to the Guarantor in violation of the foregoing limitation, then such amounts shall be held
in trust for the benefit of Lender, and shall forthwith be paid to Lender to reduce the amount of the Guaranteed Obligations,
whether matured or unmatured. If Guarantor makes payment to Lender, of all or any part of the Guaranteed Obligations and all the
Guaranteed Obligations are paid in full and the Loan Documents are no longer in effect, Lender shall, at Guarantor’s request,
execute and deliver to Guarantor appropriate documents, without recourse and without representation or warranty, necessary to
evidence the transfer by subrogation to Guarantor of an interest in the Guaranteed Obligations resulting from the payment.

 

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Section 6.   Subordination.
Without limiting Lender’s rights under any other agreement, until the Obligations are indefeasibly paid in full, any liabilities
owed by Borrower or any other Loan Party to Guarantor in connection with any extension of credit or financial accommodation by
Guarantor to or for the account of Borrower or any other Loan Party, including but not limited to interest accruing at the agreed
contract rate after the commencement of a bankruptcy or similar proceeding, are hereby subordinated to the Guaranteed Obligations,
and such liabilities of Borrower or such Loan Party, as applicable, to Guarantor, if Lender so requests, shall be collected, enforced
and received by Guarantor as trustee for Lender and shall be paid over to Lender on account of the Guaranteed Obligations but without
reducing or affecting in any manner the liability of Guarantor under the other provisions of this Guaranty.

 

Section 7.  Certain
Taxes. The Guarantor further agrees that all payments to be made hereunder shall be made without setoff or counterclaim
and free and clear of, and without deduction for, any taxes, levies, imposts, duties, charges, fees, deductions, withholdings or
restrictions or conditions of any nature whatsoever now or hereafter imposed, levied, collected, withheld or assessed by any country
or by any political subdivision or taxing authority thereof or therein (“Taxes”). If any Taxes are required
to be withheld from any amounts payable to Lender hereunder, the amounts so payable to Lender shall be increased to the extent
necessary to yield to Lender (after payment of all Taxes) the amounts payable hereunder in the full amounts so to be paid. Whenever
any Tax is paid by Guarantor, as promptly as possible thereafter, Guarantor shall send Lender an official receipt showing payment
thereof, together with such additional documentary evidence as may be required from time to time by Lender.

 

Section 8.   Representations
and Warranties. Guarantor represents and warrants that: (a) this Guaranty (i) has been authorized by all necessary action;
(ii) does not violate any agreement, instrument, law, regulation or order applicable to Guarantor; (iii) does not require the
consent or approval of any person or entity, including but not limited to any governmental authority, or any filing or registration
of any kind; and (iv) is the legal, valid and binding obligation of Guarantor enforceable against Guarantor in accordance with
its terms, except to the extent that enforcement may be limited by applicable bankruptcy, insolvency and other similar laws affecting
creditors’ rights generally; and (b) in executing and delivering this Guaranty, Guarantor has (i) without reliance on Lender
or any information received from Lender and based upon such documents and information it deems appropriate, made an independent
investigation of the transactions contemplated hereby and Borrower and the other Loan Parties and their respective business, assets,
operations, prospects and condition, financial or otherwise, and any circumstances which may bear upon such transactions, the
Borrower or any other Loan Party or the obligations and risks undertaken herein with respect to the Guaranteed Obligations; (ii)
adequate means to obtain from Borrower and each other Loan Party on a continuing basis information concerning Borrower and each
other Loan Party; (iii) has full and complete access to the Loan Documents and any other documents executed in connection with
the Loan Documents; and (iv) not relied and will not rely upon any representations or warranties of Lender not embodied herein
or any acts heretofore or hereafter taken by Lender (including but not limited to any review by Lender of the affairs of Borrower
or any other Loan Party).

 

Section 9.   Affirmative
Covenant. Guarantor shall (i) maintain its existence as a corporation in good standing under the laws of the State of Delaware
and good standing in each other jurisdiction where it is required to be so qualified, authorized or in good standing, except where
the failure to so qualify or be in good standing would not reasonably be expected to result in a Material Adverse Effect and (ii)
cause to be done all things necessary to preserve and keep in full force and effect its existence and rights, to conduct its business
in a prudent manner, to maintain in full force and effect, and renew from time to time, its franchises, permits, licenses, patents,
and trademarks that are necessary to operate its business.

 

Section 10.  [RESERVED.]

 

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Section 11.  Remedies.

 

(a)          Upon
the occurrence of any Project Company Event of Default which continues beyond the applicable period of grace provided for in the
Loan Agreement, Lender shall be entitled, in addition to exercising any remedies set forth in this Guaranty or otherwise available
at law or in equity, to accelerate Guarantor’s obligations hereunder with respect to the Project Company Guarantor(s) and
the related Approved Project(s) to which such Project Company Event of Default relate.

 

(b)          Upon
the occurrence of any Facility Event of Default which continues beyond the applicable period of grace provided for in the Loan
Agreement, Lender shall be entitled, in addition to exercising any remedies set forth in this Guaranty or otherwise available at
law or in equity, to accelerate all of the Guarantor’s obligations hereunder.

 

(c)          The
remedies provided in this Guaranty are cumulative and not exclusive of any remedies provided by law.

 

Section 12.  Setoff.
Guarantor agrees that, in addition to (and without limitation of) any right of setoff, banker’s lien or counterclaim Lender
may otherwise have, Lender shall be entitled, at its option, to offset balances (general or special, time or demand, provisional
or final) held by it for the account of Guarantor, against any amount payable by Guarantor under this Guaranty which is not paid
when due (regardless of whether such balances are then due to Guarantor).

 

Section 13.  Formalities.
Guarantor waives presentment, demand, notice of dishonor, protest, notice of acceptance of this Guaranty or incurrence of any Guaranteed
Obligation and any other formality with respect to any of the Guaranteed Obligations or this Guaranty.

 

Section 14.  Amendments
and Waivers. No amendment or waiver of any provision of this Guaranty, nor consent to any departure by Guarantor therefrom,
shall be effective unless it is in writing and signed by Lender, and then the waiver or consent shall be effective only in the
specific instance and for the specific purpose for which given. No failure on the part of Lender to exercise, and no delay in exercising,
any right under this Guaranty shall operate as a waiver or preclude any other or further exercise thereof or the exercise of any
other right.

 

Section 15.  Expenses.
Guarantor shall reimburse Lender on demand for all costs, expenses and charges (including without limitation fees and charges of
legal counsel for Lender) incurred by Lender in connection with the enforcement of this Guaranty. The obligations of Guarantor
under this Section 15 shall survive the termination of this Guaranty.

 

Section 16.  Assignment.
This Guaranty shall be binding on, and shall inure to the benefit of Guarantor, Lender and their respective successors and assigns;
provided that Guarantor may not assign or transfer its rights or obligations under this Guaranty. Without limiting the generality
of the foregoing, Lender may assign, sell participations in or otherwise transfer its rights under the Loan Documents pursuant
to the terms thereof to any other person or entity, and the other person or entity shall then become vested with all the rights
granted to Lender in this Guaranty or otherwise.

 

Section 17.  Captions.
The headings and captions in this Guaranty are for convenience only and shall not affect the interpretation or construction of
this Guaranty.

 

Section 18.  Notices.
All notices or communications by any party relating to this Guaranty shall be in writing and shall be personally delivered or
sent by a recognized overnight delivery service, certified mail, postage prepaid, return receipt requested, electronic mail, or
by fax to Guarantor or to Lender, as the case may be, at its addresses set forth below:

 

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	 	If to the Guarantor:	FuelCell Energy, Inc.
	 	 	3 Great Pasture Road
	 	 	Danbury, Connecticut 06810
	 	 	Attn: Legal Department
	 	 	Facsimile:  (203) 825-6069
	 	 	Email: jarasimowicz@fce.com
	 	 	 
	 	If to the Lender:	Generate Lending, LLC
	 	 	555 De Haro Street, Suite 300
	 	 	San Francisco, CA 94107
	 	 	Attn: Notices
	 	 	Email: notices@generatecapital.com
	 	 	 
	 	 	With a copy to:
	 	 	 
	 	 	Justin Boose, Esquire
	 	 	Troutman Sanders LLP
	 	 	875 Third Avenue
	 	 	New York, NY 10022
	 	 	Facsimile:  212-704-5922
	 	 	Email: Justin.boose@troutman.com

 

The parties hereto may change the address
at which they are to receive notices hereunder, by notice in writing in the foregoing manner given to the other.

 

Section 19.  Governing Law; Jurisdiction;
Consent to Service of Process.

 

(a)          This
Guaranty and any claims, controversy, dispute or cause of action (whether in contract or tort or otherwise) based upon, arising
out of or relating to this Guaranty and the transactions contemplated hereby and thereby shall be construed in accordance with
and be governed by the law (without giving effect to the conflict of law principles thereof) of the State of New York.

 

(b)          Guarantor
hereby irrevocably and unconditionally submits, for itself and its property, to the jurisdiction of the STATE AND FEDERAL COURTS
OF THE STATE OF NEW YORK SITTING IN THE BOROUGH OF MANHATTAN, AND ANY APPELLATE COURT FROM ANY THEREOF, in any action or proceeding
arising out of or relating to this Guaranty or the transactions contemplated hereby or thereby, or for recognition or enforcement
of any judgment, and each of the parties hereto hereby irrevocably and unconditionally agrees that all claims in respect of any
such action or proceeding may be heard and determined in such courts or, to the extent permitted by applicable law, such appellate
court. Each of Guarantor and, by its acceptance hereof, Lender, 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 Guaranty shall affect any right that the Lender may otherwise have to bring any action or proceeding relating to this Guaranty
against the Guarantor or its properties in the courts of any jurisdiction.

 

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(c)          Guarantor
irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do so, any objection which it may
now or hereafter have to the laying of venue of any such suit, action or proceeding described in subsection (b) of this Section
and brought in any court referred to in subsection (b) of this Section. Each of the parties hereto 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.

 

(d)          Guarantor
irrevocably consents to the service of process in the manner provided for notices in Section 18 herein. Nothing in this
Guaranty will affect the right of Guarantor or Lender to serve process in any other manner permitted by law.

 

Section 20.  WAIVER
OF JURY TRIAL. EACH OF GUARANTOR AND, BY ITS ACCEPTANCE HEREOF, LENDER, HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED
BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING
TO THIS GUARANTY OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY). EACH OF GUARANTOR
AND, BY ITS ACCEPTANCE HEREOF, LENDER, (i) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED,
EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (ii)
ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS GUARANTY BY, AMONG OTHER THINGS, THE MUTUAL
WAIVERS AND CERTIFICATIONS IN THIS SECTION.

 

Section 21. Integration;
Effectiveness. This Guaranty alone sets forth the entire understanding of Guarantor and Lender relating to the guarantee
of the Guaranteed Obligations and constitutes the entire contract between the parties relating to the subject matter hereof and
supersedes any and all previous agreements and understandings, oral or written, relating to the subject matter hereof. This Guaranty
shall become effective when it shall have been executed and delivered by Guarantor to Lender. Delivery of an executed signature
page of this Guaranty by PDF, telecopy, or other electronic means shall be effective as delivery of a manually executed signature
page of this Guaranty.

 

[Remainder of page intentionally blank;
signature page follows.]

 

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IN WITNESS WHEREOF, Guarantor has
caused this Guaranty Agreement to be duly executed and delivered by its duly authorized officer as of the date first above written.

 

	 	FUELCELL ENERGY, INC.
	 	 
	 	By:  	/s/ Michael S. Bishop
	 	Name: 	Michael S. Bishop
	 	Title: 	Senior Vice President & Chief Financial Officer

 

Guaranty
agreement

Signature
pageExhibit 10.4

 

FIFTH AMENDMENT TO LOAN AND SECURITY
AGREEMENT

 

THIS FIFTH AMENDMENT
TO LOAN AND SECURITY AGREEMENT (this “Amendment”), dated as of December 19, 2018 (the “Amendment
Effective Date”), is entered into by and among FuelCell Energy, Inc., a Delaware corporation (“Parent”),
Versa Power Systems, Inc., a Delaware corporation (“Versa Delaware”), Versa Power Systems Ltd. a corporation
organized under the laws of Alberta, Canada (“Versa Canada”), and each of Parent’s Subsidiaries that delivers
a Joinder Agreement pursuant to Section 7.13 of the Loan and Security Agreement (hereinafter collectively referred to as the “Borrowers”
and each, a “Borrower”), the several banks and other financial institutions or entities from time to time parties
thereto as Lender, constituting the Required Lenders, and HERCULES CAPITAL, INC., a Maryland corporation, in its capacity as administrative
agent and collateral agent for itself and the Lender (in such capacity, together with its successors and assigns in such capacity,
“Agent”).

 

Borrower, the Lender
and Agent are parties to a Loan and Security Agreement dated as of April 14, 2016 (as amended as of September 5, 2017, October
27, 2017, March 28, 2018 and August 29, 2018, and as may be further amended, restated or modified from time to time, the “Loan
and Security Agreement”). The Borrowers have requested that Agent and Lender agree to certain amendments to the Loan
and Security Agreement. Agent and Lender have agreed to such request, subject to the terms and conditions hereof.

 

Accordingly, the parties
hereto agree as follows:

 

		SECTION 1	Definitions; Interpretation.

 

(a)          Terms
Defined in Loan and Security Agreement. All capitalized terms used in this Amendment (including in the recitals hereof) and
not otherwise defined herein shall have the meanings assigned to them in the Loan and Security Agreement.

 

(b)          Interpretation.
The rules of interpretation set forth in Section 1.1 of the Loan and Security Agreement shall be applicable to this Amendment
and are incorporated herein by this reference.

 

		SECTION 2	Amendments to the Loan and Security Agreement.

 

(a)          The
Loan and Security Agreement shall be amended as follows effective as of the Amendment Effective Date:

 

(i)          New
Definitions. The following definitions are added to Section 1.1 in their proper alphabetical order:

 

“Fifth
Amendment” means that certain Fifth Amendment to Loan and Security Agreement dated as of December 19, 2018, among Borrowers,
Lender and Agent.

 

“Fifth
Amendment Effective Date” means December 19, 2018.

 

(ii)         Amended
Definitions. The following definitions, as set forth in Section 1.1 are amended as follows:

 

(1)         Clause
(x) of the definition of “Permitted Investment” is hereby amended and restated in its entirety as follows:

 

“(x) Investments
in Project Companies (directly or indirectly through FuelCell Energy Finance, LLC or FuelCell Energy Finance II, LLC), as long
as no Event of Default has occurred and is existing, pursuant to Project Roundtrip Transactions; provided that in each case substantially
all of such invested proceeds are used (X) in connection with the development, construction, ownership and operation of Projects
by Project Companies including with regard to proceeds that are paid by a Project Company to Borrower or any Affiliate thereof
in connection with the acquisition or construction of equipment or other assets or services related to such Project; or (Y) solely
with respect to Project Roundtrip Transactions, to repay Project Company Indebtedness;”

 

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(2)         Clause
(viii) of the definition of “Permitted Liens” is hereby amended and restated in its entirety as follows:

 

“(viii)
Liens pursuant to any Project Company Indebtedness as long as such Liens are limited to the assets held by Project Companies and
equity interests in Project Companies held by FuelCell Energy Finance, LLC or FuelCell Energy Finance II, LLC;”

 

(3)         The
definition of “Project Companies” is hereby amended and restated in its entirety as follows:

 

““Project
Companies” means those Subsidiaries of Borrower listed on Schedule AD or as may be created after the Closing Date
solely to hold all the assets of a Project or to hold equity interests in other Project Companies or to function as a lead market
participant for one or more Project Companies.”

 

(4)         The
introductory clause of “Project Company Indebtedness” is hereby amended and restated in its entirety as follows:

 

““Project Company Indebtedness”
means any Indebtedness, including Indebtedness listed on Schedule AB, that is incurred by either FuelCell Energy Finance,
LLC, FuelCell Energy Finance II, LLC or Project Companies for which substantially all of the proceeds are used [. . .]”

 

(5)         Clause
(b) of the definition of “Project Roundtrip Transaction” are amended and restated in their entirety as follows:

 

“(b) no
Investment under a Project Roundtrip Transaction shall exceed $40,000,000.00 in each instance (i.e., no more than $40,000,000.00
outstanding from any Project Company before the proceeds have to be distributed back to Borrower to cover the amount invested dollar
for dollar), and”

 

(6)         The
definition of “Qualified Subsidiary” is amended and restated in its entirety as follows:

 

““Qualified
Subsidiary” means any direct or indirect Domestic Subsidiary (other than the Project Companies, Permitted Shell Subsidiaries,
FuelCell Energy Finance, LLC or FuelCell Energy Finance II, LLC) or Eligible Foreign Subsidiary.”

 

(iii)        Section
7.7. Clause (b)(i) of Section 7.7 is hereby amended in its entirety as follows:

 

“(i) a Subsidiary may pay dividends
or make distributions to Borrower or to any Subsidiary that is, directly or indirectly, wholly owned by Borrower and”

 

(iv)        Schedules.
As of the Fifth Amendment Effective Date, Schedule 1, Schedule 1A, Schedule 5.14, Schedule AB, Schedule AC and Schedule AD are
amended and restated in their entirety as attached hereto.

 

(b)          References
within Loan and Security Agreement. Each reference in the Loan and Security Agreement to “this Agreement” and the
words “hereof,” “herein,” “hereunder,” or words of like import, shall mean and be a reference
to the Loan and Security Agreement as amended by this Amendment.

 

SECTION 3       Conditions
of Effectiveness. The effectiveness of Section 2 of this Amendment shall be subject to the satisfaction of each of the
following conditions precedent:

 

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(a)          Fees
and Expenses. The Parent shall have paid all attorney fees and other costs and expenses then due in accordance with Section
5(e), and (ii) all other fees, costs and expenses, if any, due and payable as of the Amendment Effective Date under the Loan
and Security Agreement.

 

(b)          This
Amendment. Agent shall have received this Amendment, executed by Agent, the Lender and the Borrowers.

 

(c)          Representations
and Warranties; No Default. On the Amendment Effective Date, after giving effect to the amendment of the Loan and Security
Agreement contemplated hereby:

 

(i)          The
representations and warranties contained in Section 4 shall be true and correct on and as of the Amendment Effective Date
as though made on and as of such date; and

 

(ii)         There
exist no Events of Default or events that with the passage of time would result in an Event of Default.

 

SECTION 4        Representations
and Warranties. To induce Agent and Lender to enter into this Amendment, each Borrower hereby confirms, as of the date hereof,
(a) that the representations and warranties made by it in Section 5 of the Loan and Security Agreement and in the other Loan Documents
are true and correct in all material respects; provided, however, that such materiality qualifier shall not be applicable
to any representations and warranties that already are qualified or modified by materiality in the text thereof; (b) that there
has not been and there does not exist a Material Adverse Effect; and (c) that the information included in the Perfection Certificate
delivered to Agent on the Amendment Effective Date is true and correct. For the purposes of this Section 4, (i) each
reference in Section 5 of the Loan and Security Agreement to “this Agreement,” and the words “hereof,”
“herein,” “hereunder,” or words of like import in such Section, shall mean and be a reference to the Loan
and Security Agreement as amended by this Amendment, and (ii) any representations and warranties which relate solely to an
earlier date shall not be deemed confirmed and restated as of the date hereof (provided that such representations and warranties
shall be true, correct and complete as of such earlier date).

 

		SECTION 5	Miscellaneous.

 

(a)          Loan
Documents Otherwise Not Affected; Reaffirmation. Except as expressly amended pursuant hereto or referenced herein, the Loan
and Security Agreement and the other Loan Documents shall remain unchanged and in full force and effect and are hereby ratified
and confirmed in all respects. The Lender’s and Agent’s execution and delivery of, or acceptance of, this Amendment
shall not be deemed to create a course of dealing or otherwise create any express or implied duty by any of them to provide any
other or further amendments, consents or waivers in the future. Each Borrower hereby reaffirms the grant of security under Section
3.1 of the Loan and Security Agreement (including but not limited to the pledge of all shares and equity interests required under
Sections 3.1 and 3.2 of the Loan and Security Agreement) and hereby reaffirms that such grant of security in the Collateral (including
but not limited to the pledge of all shares and equity interests required under Sections 3.1 and 3.2 of the Loan and Security Agreement)
secures all Secured Obligations under the Loan and Security Agreement and the other Loan Documents, and each Borrower hereby grants
a security interest and lien in the shares of Fuel Cell Energy EU, B.V. to secure the Secured Obligations under the Loan Documents,
in each case subject to the terms of Sections 3.1 and 3.2 of the Loan and Security Agreement.

 

(b)          Conditions.
For purposes of determining compliance with the conditions specified in Section 3, each Lender that has signed this Amendment
shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter required thereunder
to be consented to or approved by or acceptable or satisfactory to a Lender unless Agent shall have received notice from such Lender
prior to the Amendment Effective Date specifying its objection thereto.

 

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(c)          Release.
In consideration of the agreements of Agent and each Lender contained herein and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, each Borrower, on behalf of itself and its successors, assigns, and other
legal representatives, hereby fully, absolutely, unconditionally and irrevocably releases, remises and forever discharges Agent
and each Lender, and its successors and assigns, and its present and former shareholders, affiliates, subsidiaries, divisions,
predecessors, directors, officers, attorneys, employees, agents and other representatives (Agent, Lenders and all such other persons
being hereinafter referred to collectively as the “Releasees” and individually as a “Releasee”),
of and from all demands, actions, causes of action, suits, covenants, contracts, controversies, agreements, promises, sums of money,
accounts, bills, reckonings, damages and any and all other claims, counterclaims, defenses, rights of set-off, demands and liabilities
whatsoever of every name and nature, known or unknown, suspected or unsuspected, both at law and in equity, which any Borrower,
or any of its successors, assigns, or other legal representatives may now or hereafter own, hold, have or claim to have against
the Releasees or any of them for, upon, or by reason of any circumstance, action, cause or thing whatsoever which arises at any
time on or prior to the day and date of this Amendment, including, without limitation, for or on account of, or in relation to,
or in any way in connection with the Loan Agreement, or any of the other Loan Documents or transactions thereunder or related thereto.
Each Borrower understands, acknowledges and agrees that the release set forth above may be pleaded as a full and complete defense
and may be used as a basis for an injunction against any action, suit or other proceeding which may be instituted, prosecuted or
attempted in breach of the provisions of such release. Each Borrower agrees that no fact, event, circumstance, evidence or transaction
which could now be asserted or which may hereafter be discovered shall affect in any manner the final, absolute and unconditional
nature of the release set forth above. Borrower waives the provisions of California Civil Code section 1542, which states:

 

A GENERAL RELEASE
DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE
RELEASE, WHICH IF KNOWN BY HIM OR HER, MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.

 

(d)          No
Reliance. Each Borrower hereby acknowledges and confirms to Agent and the Lender that such Borrower is executing this Amendment
on the basis of its own investigation and for its own reasons without reliance upon any agreement, representation, understanding
or communication by or on behalf of any other Person.

 

(e)          Costs
and Expenses. Each Borrower agrees to pay to Agent on the Amendment Effective Date the out-of-pocket costs and expenses of
Agent and the Lenders party hereto, and the fees and disbursements of counsel to Agent and the Lenders party hereto (including
allocated costs of internal counsel), in connection with the negotiation, preparation, execution and delivery of this Amendment
and any other documents to be delivered in connection herewith on the Amendment Effective Date or after such date.

 

(f)          Binding
Effect. This Amendment binds and is for the benefit of the successors and permitted assigns of each party.

 

(g)          Governing
Law. This Agreement and the other Loan Documents shall be governed by, and construed and enforced in accordance with, the laws
of the State of California, excluding conflict of laws principles that would cause the application of laws of any other jurisdiction.

 

(h)          Complete
Agreement; Amendments. This Amendment and the Loan Documents represent the entire agreement about this subject matter and supersede
prior negotiations or agreements with respect to such subject matter. All prior agreements, understandings, representations, warranties,
and negotiations between the parties about the subject matter of this Amendment and the Loan Documents merge into this Amendment
and the Loan Documents.

 

(i)          Severability
of Provisions. Each provision of this Amendment is severable from every other provision in determining the enforceability of
any provision.

 

(j)          Counterparts.
This Amendment may be executed in any number of counterparts and by different parties on separate counterparts, each of which,
when executed and delivered, is an original, and all taken together, constitute one Amendment. Delivery of an executed counterpart
of a signature page of this Amendment by facsimile, portable document format (.pdf) or other electronic transmission will be as
effective as delivery of a manually executed counterpart hereof.

 

(k)          Loan
Documents. This Amendment shall constitute a Loan Document.

 

[Balance of Page Intentionally
Left Blank; Signature Pages Follow] 

 

    	 	4	 

     

    

 

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

 

	 	BORROWERS:
	 	 
	 	FuelCell Energy, Inc.
	 	 	 
	 	Signature:	/s/ Michael S. Bishop
	 	 	 
	 	Print Name:	Michael S. Bishop
	 	 	 
	 	Title:	Sr. Vice President,  Chief Financial Officer
	 	 	 
	 	Versa Power Systems, Inc.
	 	 	 
	 	Signature:	/s/ Michael S. Bishop
	 	 	 
	 	Print Name:	Michael S. Bishop
	 	 	 
	 	Title:	Sr. Vice President,  Chief Financial Officer
	 	 	 
	 	Versa Power Systems Ltd.
	 	 	 
	 	Signature:	/s/ Michael S. Bishop
	 	 	 
	 	Print Name:	Michael S. Bishop
	 	 	 
	 	Title:	Sr. Vice President,  Chief Financial Officer

 

[Signature Page to Fith Amendment to Loan
and Security Agreement] 

 

     

     

    

 

	 	AGENT:
	 	 
	 	HERCULES CAPITAL, INC.
	 	 	 
	 	Signature:	/s/ Jennifer Choe
	 	 	 
	 	Print Name:	Jennifer Choe
	 	 	 
	 	Title:	Assistant General Counsel
	 	 	 
	 	LENDER:	 
	 	 	 
	 	HERCULES FUNDING II, LLC
	 	 	 
	 	Signature:	/s/ Jennifer Choe
	 	 	 
	 	Print Name:	Jennifer Choe
	 	 	 
	 	Title:	Assistant General Counsel

 

[Signature Page to Fith Amendment to Loan
and Security Agreement] 

 

     

     

    

 

SCHEDULE 1

 

Subsidiaries

 

		1.	Versa Power Systems, Inc., a Delaware corporation.

 

		2.	Versa Power Systems, Ltd., a corporation organized under
the laws of Alberta, Canada.

 

		3.	FuelCell Energy Finance, LLC, a Connecticut limited liability
company.

 

		4.	FCE FuelCell Energy Ltd., a corporation organized under
the laws of British Columbia, Canada.

 

		5.	FCE Korea Ltd., a corporation organized under the laws
of the Republic of Korea.

 

		6.	FuelCell Energy Solutions GmbH, a corporation organized
under the laws of Germany.

 

		7.	FuelCell Energy EU B.V., a corporation organized under
the laws of the Netherlands.

 

     

     

    

 

SCHEDULE 1A

 

Current Indebtedness

 

		1.	Loan Agreement, dated April 29, 2008, by and between
FUELCELL ENERGY, INC. and THE CONNECTICUT DEVELOPMENT AUTHORITY.

 

		2.	Loan Agreement, dated March 5, 2013, by and between
FuelCell Energy, Inc. and the Clean Energy Finance and Investment Authority.

 

		3.	Assistance Agreement by and between the STATE OF CONNECTICUT
Acting by the DEPARTMEBT OF ECONOMIC AND COMMUNITY DEVELOPMENT and FUELCELL ENERGY, INC. dated October 19, 2015 regarding a Phase
I Loan and Phase 2 Loan to be made to Borrower with regard to the FuelCell Energy Expansion Project, as defined therein.

 

		4.	Loan Agreement, dated July 30, 2014, by and between
FUELCELL ENERGY FINANCE, LLC, a Connecticut limited liability company and NRG Energy, Inc., a Delaware corporation.

 

		5.	Amended and Restated Lease Agreement, dated as of December
23, 2015, between PNC Energy Capital, LLC a Delaware limited liability company and UCI Fuel Cell, LLC a Delaware limited liability
company.

 

		6.	Guaranty, dated as of July 30, 2014 by FUELCELL ENERGY,
INC. in favor of NRG ENERGY, INC.

 

		7.	Master Guaranty Agreement, dated December 11, 2015 by
FuelCell Energy, Inc. in favor of PNC Energy Capital LLC.

 

		8.	Guaranty, dated April 28, 2014 by FuelCell Energy, Inc.
for the benefit of the University of Bridgeport.

 

		9.	Guaranty, dated October 13, 2015 by FuelCell Energy,
Inc. for the benefit of the County of Alameda.

 

		10.	Parent Guarantee, dated November 23, 2015 by FuelCell
Energy, Inc. for the benefit of Pfizer Inc.

 

		11.	Lease Guaranty, dated July 21, 2016 by FuelCell Energy,
Inc. for the benefit of J.A.R. Associates.

 

		12.	Guarantee, dated August 29, 2016, by FuelCell Energy,
Inc. in favor of City of Riverside.

 

		13.	Guaranty, dated May 18, 2017, by FuelCell Energy, Inc.
in favor of the Trustees of Trinity College, Inc.

 

		14.	Guaranty, dated October 18, 2017, by FuelCell Energy,
Inc. in favor of the Connecticut Municipal Electric Energy Cooperative.

 

     

     

    

 

		15.	Payment and Performance Guaranty, dated November 27,
2017, by FuelCell Energy, Inc. in favor of Toyota Motor North America, Inc.

 

		16.	Irrevocable Standby Letter of Credit No. CTCS-285954,
dated April 25, 2012, in favor of BIOFUELS FUEL CELL, LLC and U.S. BANKCORP COMMUNITY DEVELOPMENT CORPORATION and the BANK OF
NEW YORK MELLON for the account of FUELCELL ENERGY, INC. for an amount of $4,800,000.

 

		17.	Irrevocable Letter of Credit No. CTCS-767201, dated
November 8, 2013 in favor of CIGNA HEALTH AND LIFE INSURANCE COMPANY for the account of FUELCELL ENERGY, INC. for the amount of
$750,000.

 

		18.	Standby Letter of Credit No. TTTS-700624 as amended
by Amendment No. 1 dated May 24, 2013, in favor of THE TRAVELERS INDEMNITY COMPANY for the account of FUELCELL ENERGY, INC. for
the amount of $100,000.

 

		19.	Irrevocable Standby Letter of Credit No. CTCS-874167,
dated January 16, 2015, in favor of UIL DISTRIBUTED RESOURCES, LLC for the account of FUELCELL ENERGY, INC. for the amount of
$1,000,000.

 

		20.	Irrevocable Standby Letter of Credit No. CTCS-840261,
dated December 2, 2014, in favor if THE UNITED ILLUMINATING COMPANY, for the account of FUELCELL ENERGY, INC. for the amount of
$518,736.

 

		21.	Irrevocable Standby Letter of Credit No. CTCS-840219,
dated December 2, 2014, in favor of THE UNITED ILLUMINATING COMPANY, for the account of FUELCELL ENERGY, INC. for the amount of
$523,636.

 

		22.	Standby Letter of Credit No. CTCS-809963 as amended
by Amendment No. 3 dated November 18, 2014, in favor of ZURICH AMERICAN INSURANCE COMPANY, for the account of FUELCELL ENERGY,
INC. for the amount of $1,200,000.

 

     

     

    

SCHEDULE 5.14

 

Capitalization

 

Common stock ($0.0001 par value). There
are 225,000,000 shares authorized as of December 03, 2018. There are 98,912,230 shares issued and outstanding as of December 03,
2018.

 

Preferred Stock. The Company has 250,000
shares of Preferred Stock authorized for issuance.

 

At December 03, 2018, there are 64,020 shares
of our 5% Series B Cumulative Convertible Perpetual Preferred Stock (Liquidation Preference $1,000) Series B Preferred Stock issued
and outstanding.

 

As of December 03, 2018, there were 7,917
shares of Series C Preferred Stock issued and outstanding.

 

As of December 03, 2018, there were 29,690
shares of Series D Preferred Stock issued and outstanding.

 

Subsidiaries:

 

		1.	Versa Power Systems, Inc., a Delaware corporation.

 

		2.	Versa Power Systems, Ltd., a corporation organized under
the laws of Alberta, Canada.

 

		3.	FuelCell Energy Finance, LLC, a Connecticut limited liability
company.

 

		4.	FCE FuelCell Energy, Ltd. a corporation organized under
the laws of British Columbia, Canada.

 

		5.	FCE Korea Ltd., a corporation organized under the laws
of the Republic of Korea.

 

		6.	FuelCell Energy Solutions, GmbH, a corporation organized
under the laws of Germany.

 

		7.	FuelCell Energy EU, B.V., a corporation organized under
the laws of the Netherlands.

 

     

     

    

 

SCHEDULE AC

 

Permitted Shell Subsidiaries

 

None.

 

     

     

    

 

SCHEDULE AD

 

Project Companies

 

		1.	UCI Fuel Cell, LLC, a Delaware limited liability company.

 

		2.	Riverside Fuel Cell, LLC, a Delaware limited liability
company.

 

		3.	Yaphank Fuel Cell Park, LLC, a New York limited liability
company.

 

		4.	CR Fuel Cell, LLC, a New York limited liability company.

 

		5.	Montville Fuel Cell Park, LLC, Connecticut limited liability
company.

 

		6.	Eastern Connecticut Fuel Cell Properties, LLC, a Connecticut
limited liability company.

 

		7.	SRJFC, LLC, a Delaware limited liability company.

 

		8.	Farmingdale Fuel Cell, LLC, a New York limited liability
company.

 

		9.	BRT Fuel Cell, LLC, a New York limited liability company.

 

		10.	Bakersfield Fuel Cell 1, LLC, a Delaware limited liability
company.

 

		11.	Groton Fuel Cell 1, LLC, a Connecticut limited liability
company.

 

		12.	Groton Station Fuel Cell, LLC, a Connecticut limited liability
company.

 

		13.	Long Beach Trigen, LLC, a Delaware limited liability company.

 

		14.	Central CA Fuel Cell 2, LLC, a Delaware limited liability
company.

 

		15.	New Britain Renewable Energy, LLC, a Delaware limited liability
company.

 

		16.	Central CT Fuel Cell 1, LLC, a Connecticut limited liability
company.

 

		17.	TRS Fuel Cell, LLC, a Connecticut limited liability company.

 

		18.	Derby Fuel Cell, LLC, a Connecticut limited liability company.

 

		19.	Homestead Fuel Cell 1, LLC, a Connecticut limited liability
company.

 

		20.	FuelCell Energy, Finance II, LLC, a Connecticut limited
liability company.

 

		21.	DFC ERG CT, LLC, a Connecticut limited liability company.

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