Document:

Exhibit 4.72

 

Dated 25 November 2014

ROSETTA NAVIGATION CORP. LIMITED

TRITON SHIPPING LIMITED

as joint and several Borrowers

and

BOX SHIPS INC.

as Guarantor

and

THE BANKS AND FINANCIAL INSTITUTIONS

Listed in Schedule 1

as Lenders

and

ABN AMRO BANK N.V.

as Agent, Underwriter, Swap Bank and as Security Trustee

SECOND SUPPLEMENTAL AGREEMENT

relating to a loan facility of

(originally) up to US$25,000,000

 

 

 

 

Watson, Farley & Williams

 

Index

 

	Clause 		Page
	 		
	
1

	
Interpretation

	
2

	
2

	
Agreement of all parties to the Amendment of the Loan Agreement, the Corporate Guarantee and the other Finance Documents

	
2

	
3

	
Conditions Precedent

	
2

	
4

	
Representations and Warranties

	
3

	
5

	
Amendment of Loan Agreement

	
3

	
6

	
Further Assurances

	
5

	
7

	
Expenses

	
6

	
8

	
Notices

	
6

	
9

	
Supplemental

	
6

	
10

	
Law and Jurisdiction

	
6

	
Schedule 1 Lenders

	
8

	
Schedule 2 Conditions Precedent Documents

	
9

	
Execution Page

	
10

THIS SECOND SUPPLEMENTAL AGREEMENT is made on 25 November 2014

BETWEEN

	(1)	ROSETTA NAVIGATION CORP. LIMITED and TRITON SHIPPING LIMITED, each a company incorporated in Hong Kong whose registered office is at Suite 801, Singga Commercial Centre, 144-151, Connaught Road West, Hong Kong (each a "Borrower" and, together, the "Borrowers");

	(2)	BOX SHIPS INC. a corporation incorporated in the Republic of the Marshall Islands whose registered office is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 as Corporate Guarantor;

	(3)	THE BANKS AND FINANCIAL INSTITUTIONS  listed in Schedule 1, as Lenders; and

	(4)	ABN AMRO BANK N.V. acting through its office at 93 Coolsingel, 3012 ae, Rotterdam, The Netherlands, as Agent, Swap Bank, Underwriter and Security Trustee.

BACKGROUND

	(A)	By a loan agreement dated 27 June 2012 (as amended and supplemented by a supplemental agreement dated 9 August 2013) and made between (i) the Borrowers as joint and several borrowers, (ii) the Lenders and (iv) ABN Amro Bank N.V. (as Agent, Swap Bank, Underwriter and Security Trustee) (the "Loan Agreement"), the Lenders have made available to the Borrowers a loan facility in an amount of (originally) up to US$25,000,000, of which an amount of US$13,750,000 is outstanding by way of principal on the date hereof.

	(B)	By an agency and trust deed (the "Agency and Trust Deed") entered into pursuant to the Loan Agreement, it was agreed that the Security Trustee would hold the Trust Property on trust for the Lenders and the Swap Bank.

	(C)	By a master agreement (the "Master Agreement") (on the 2002 ISDA (Multicurrency Crossborder) form together with the schedule attached thereto (as amended)) dated 27 June 2012 and made between (i) the Borrowers and (ii) the Swap Bank, it was agreed that the Swap Bank would enter into Designated Transactions with the Borrowers from time to time.

	(D)	By a corporate guarantee dated 27 June 2012 (as amended and supplemented from time to time) and made between (i) the Corporate Guarantor and (ii) the Security Trustee, the Corporate Guarantor has guaranteed the obligations of the Borrowers under the Loan Agreement and the Master Agreement.

	(E)	The Borrowers and the Corporate Guarantor have requested to:

		(i)	relax certain financial covenants set out in clause 12.3 (b) and (d) of the Corporate Guarantee (the "Corporate Guarantee Amendments") during the Second Waiver Period (as defined below);

		(ii)	amend the application of the security cover requirements set out in clause 15.1 of the Loan Agreement (the "Security Cover Amendments") during the Second Waiver Period (as defined below);

		(iii)	waive the application of the requirements under Clause 11.20 of the Loan Agreement ( the "Employment Amendments") during the Second Waiver Period (as defined below); and

		(iv)	the consequential amendments (the "Consequential Amendments" and, together with the Corporate Guarantee Amendments, the Security Cover Amendments and 

 

			the Employment Amendments, the "Amendments" and each an "Amendment") to the Loan Agreement, the Corporate Guarantee and the other Finance Documents in connection with those others.

	(F)	This Second Supplemental Agreement sets out the terms and conditions on which the parties agree, with effect on and from the Effective Date, to the Amendments of the Loan Agreement and the Finance Documents in connection with those matters.

IT IS AGREED as follows:

	1	INTERPRETATION

	1.1	Defined expressions

Words and expressions defined in the Loan Agreement shall have the same meanings when used in this Second Supplemental Agreement unless the context otherwise requires.

	1.2	Definitions

In this Second Supplemental Agreement, unless the contrary intention appears:

"Corporate Guarantee"  means the guarantee (as amended and supplemented from time to time) as referred to in Recital (D);

"Effective Date"  means the date on which the Agent notifies the Borrowers and the Creditor Parties that the conditions precedent in Clause 3 have been fulfilled;

"Loan Agreement"  means the loan agreement (as amended, supplemented and/or restated form time to time) as referred to in Recital (A);

"Master Agreement" means the Master Agreement as referred to in Recital (C); and

"Second Waiver Period" means the period commencing on 1 April 2014 (inclusive) and ending on 29 June 2015 (inclusive).

	1.3	Application of construction and interpretation provisions of Loan Agreement

Clauses 1.2 and 1.5 of the Loan Agreement apply, with any necessary modifications, to this Second Supplemental Agreement.

	2	AGREEMENT OF ALL PARTIES TO THE AMENDMENT OF THE LOAN AGREEMENT, THE CORPORATE GUARANTEE AND THE OTHER FINANCE DOCUMENTS

	2.1	Agreement of the parties to this Second Supplemental Agreement

The parties to this Second Supplemental Agreement agree, subject to and upon the terms and conditions of this Second Supplemental Agreement, to the amendment of the Loan Agreement, the Corporate Guarantee and the other Finance Documents to be made pursuant to Clauses 5.1 to 5.3.  The agreement of the parties to this Second Supplemental Agreement contained in Clause 2.1 shall have effect on and from the Effective Date.

	3	CONDITIONS PRECEDENT

	3.1	General

The agreement of the parties to this Second Supplemental Agreement contained in Clause 2.1 is subject to the fulfilment of the conditions precedent in Clause 3.2.

 

2

	3.2	Conditions precedent

The conditions referred to in Clause 2.1 are that the Agent shall have received the documents and evidence referred to in Schedule 2 in all respects in form and substance satisfactory to the Agent and its lawyers on or before the date of this Second Supplemental Agreement or such later date as the Agent may agree with the Creditor Parties and the Borrowers.

	4	REPRESENTATIONS AND WARRANTIES

	4.1	Repetition of Loan Agreement representations and warranties

Each Borrower represents and warrants to the Agent that the representations and warranties in clause 10 of the Loan Agreement, as amended by this Second Supplemental Agreement and updated with appropriate modifications to refer to this Second Supplemental Agreement and, where appropriate, each other Finance Document which is being amended by this Second Supplemental Agreement, remain true and not misleading if repeated on the date of this Second Supplemental Agreement with reference to the circumstances now existing.

	4.2	Repetition of Corporate Guarantee representations and warranties

The Corporate Guarantor represents and warrants to the Lender that the representations and warranties in clause 10 of the Corporate Guarantee, as amended by this Second Supplemental Agreement and updated with appropriate modifications to refer to this Second Supplemental Agreement and, where appropriate, each other Finance Document which is being amended by this Second Supplemental Agreement, remain true and not misleading if repeated on the date of this Second Supplemental Agreement with reference to the circumstances now existing.

	5	AMENDMENT OF LOAN AGREEMENT

	5.1	Amendments to Loan Agreement

		(a)	With effect on and from the Effective Date the Loan Agreement shall be, and shall be deemed by this Second Supplemental Agreement to be, amended as follows:

		(i)	the following definitions shall be included in clause 1.1 of the Loan Agreement in the requisite alphabetical order:

"Group" means the Corporate Guarantor and any of its subsidiaries and "any member of the Group" shall be construed accordingly;

"Second Waiver Period" means the period commencing on 1 April 2014 (inclusive) and ending on 29 June 2015 (inclusive);

		(ii)	the definition of "Margin" in clause 1.1 of the Loan Agreement shall be deleted and replaced as follows:

"Margin" means:

		(a)	during the Waiver Period and the Second Waiver Period, 4.10 per cent. per annum; and

		(b)	at all other times, 3.75 per cent. per annum;";

		(iii)	the definition of "Relevant Percentage" in the last paragraph of clause 15.1 of the Loan Agreement shall be deleted and replaced as follows:

 

3

"In this Clause 15.1 "Relevant Percentage" means:

		(a)	during the Waiver Period, 110 per cent. per annum;

		(b)	during the Second Waiver Period, 120 per cent. per annum; and

		(c)	at all other times, 140 per cent. per annum.";

		(iv)	the words "(other than during the Second Waiver Period)" shall be included after the words "The Borrowers shall ensure that throughout the Security Period" in clause 11.20 of the Loan Agreement; and

	(b)	as so amended pursuant to (a) above, the Loan Agreement shall continue to be binding on each of the parties to it in accordance with its terms as so amended.

	5.2	Amendments to Corporate Guarantee

		(a)	With effect on and from the Effective Date, the Corporate Guarantee shall be, and shall be deemed by this Second Supplemental Agreement to be, amended as follows:

		(i)	the following definition shall be included in clause 1.2 of the Corporate Guarantee in the requisite alphabetical order:

"Second Waiver Period" means the period commencing on 1 April 2014 (inclusive) and ending on 29 June 2015 (inclusive);

		(ii)	clause 12.3(b) of the Corporate Guarantee shall be deleted and replaced as follows:

		"(b)	the Market Value Adjusted Net Worth of the Group shall not be less than:

		(i)	$50,000,000 during the Second Waiver Period; and

		(iii)	$100,000,000 at all other times;";

		(iv)	clause 12.3(d) of the Corporate Guarantee shall be deleted and replaced as follows:

		"(d)	the Leverage Ratio shall not exceed:

		(i)	during the Waiver Period and the Second Wavier Period, 0.85:1; and

		(ii)	at all other times, 0.65:1."; and

		(v)	clause 12.2 (a) of the Corporate Guarantee shall be deleted and replaced as follows:

		"(a)	pay any dividend or make any other form of distribution or effect any form of redemption, purchase or return of share capital if an Event of Default has occurred and has not been remedied or an Event of Default will result from the payment of a dividend or the making of any other form of distribution Provided that the Guarantor may only pay dividends or make any other form of distribution in each financial quarter in an amount of up to, in the case of the Waiver Period, $0.15 and, in the case of the Second Waiver Period, $0.05 per common share outstanding; or"; and

	(b)	as so amended pursuant to (a) above, the Corporate Guarantee shall continue to be binding on each of the parties to it in accordance with its terms as so amended.

	5.3	Amendments to Finance Documents

 

4

With effect on and from the Effective Date each of the Finance Documents, shall be, and shall be deemed by this  Second Supplemental Agreement to be, amended as follows:

	(a)	the definition of, and references throughout each of the Finance Documents to, the Master Agreement, the Loan Agreement and any of the other Finance Documents shall be construed as if the same referred to the Master Agreement, the Loan Agreement and those Finance Documents as amended by this Second Supplemental Agreement; and

	(b)	by construing references throughout each of the Finance Documents to "this Agreement", "this Deed", "hereunder" and other like expressions as if the same referred to such Finance Documents as amended and supplemented by this Second Supplemental Agreement.

	5.4	The Finance Documents to remain in full force and effect

The Finance Documents shall remain in full force and effect, as amended by:

	(a)	the amendments contained or referred to in Clauses 5.1, 5.2 and 5.3; and

	(b)	such further or consequential modifications as may be necessary to give full effect to the terms of this Second Supplemental Agreement.

	6	FURTHER ASSURANCES

	6.1	Borrowers' and Corporate Guarantor's obligations to execute further documents etc.

Each Borrower and the Corporate Guarantor shall:

	(a)	execute and deliver to the Agent (or as it may direct) any assignment, mortgage, power of attorney, proxy or other document, governed by the law of England or such other country as the Agent may, in any particular case, specify; and

	(b)	effect any registration or notarisation, give any notice or take any other step,

which the Agent may, by notice to the Borrowers or the Corporate Guarantor specify for any of the purposes described in Clause 6.2 or for any similar or related purpose.

	6.2	Purposes of further assurances

Those purposes are:

	(a)	validly and effectively to create any Security Interest or right of any kind which the Agent intended should be created by or pursuant to the Loan Agreement or any other Finance Document, each as amended or supplemented by this Second Supplemental Agreement; and

	(b)	implementing the terms and provisions of this Second Supplemental Agreement.

	6.3	Terms of further assurances

The Agent may specify the terms of any document to be executed by the Borrowers or, as the case may be, the Corporate Guarantor, under Clause 6.1, and those terms may include any covenants, powers and provisions which the Agent considers appropriate to protect its interests.

	6.4	Obligation to comply with notice

The Borrowers and the Corporate Guarantor shall comply with a notice under Clause 6.1 by the date specified in the notice.

 

5

	6.5	Additional corporate action

At the same time as the Borrowers or the Corporate Guarantor deliver to the Agent any document executed under Clause 6.1(a), the Borrowers and the Corporate Guarantor shall also deliver to the Agent a certificate signed by 2 of the directors or, if applicable, the sole director of each Borrower or, in the case of the Corporate Guarantor, an officer of the Corporate Guarantor, which shall:

	(a)	set out the text of a resolution of that Borrower's or the Corporate Guarantor's director specifically authorising the execution of the document specified by the Agent unless the execution of the relevant document is authorised by the existing resolutions and general power of attorney of that Borrower or, as the case maybe, the Corporate Guarantor; and

	(b)	state that either the resolution was duly passed by the sole director validly convened and held throughout and is valid under that Borrower's or the Corporate Guarantor's, as the case may be, articles of association or other constitutional documents.

	7	EXPENSES

	7.1	Reimbursement of expenses

The Borrowers shall reimburse to the Agent on demand all reasonable costs, fees and expenses (including, but not limited to, legal fees and expenses) and taxes thereon incurred by the Agent or any other Creditor Party in connection with the negotiation, preparation and execution of this Second Supplemental Agreement and any other documents required thereunder.

	8	NOTICES

	8.1	General

The provisions of clause 28 (Notices) of the Loan Agreement, as amended by this Second Supplemental Agreement, shall apply to this Second Supplemental Agreement as if they were expressly incorporated in this Second Supplemental Agreement with any necessary modifications.

	9	SUPPLEMENTAL

	9.1	Counterparts

This Second Supplemental Agreement may be executed in any number of counterparts.

	9.2	Third party rights

Other than a Creditor Party, no person who is not a party to this Second Supplemental Agreement has any right under the Contracts (Rights of Third Parties) Act 1999 to enforce or to enjoy the benefit of any term of this Second Supplemental Agreement.

	10	LAW AND JURISDICTION

	10.1	Governing law

This Second Supplemental Agreement and any non-contractual obligations arising out of or in connection with it shall be governed by and construed in accordance with English law.

	10.2	Incorporation of the Loan Agreement provisions

 

6

The provisions of clause 31 (Law and Jurisdiction) of the Loan Agreement, as amended by this Second Supplemental Agreement, shall apply to this Second Supplemental Agreement as if they were expressly incorporated in this Second Supplemental Agreement with any necessary modifications.

This Second Supplemental Agreement has been duly executed as a Deed on the date stated at the beginning of this Second Supplemental Agreement.

7

SCHEDULE 1

 LENDERS

	
Lender

	
Lending Office

 

	
ABN AMRO Bank N.V.

	
93 Coolsingel

3012 AE

Rotterdam

The Netherlands

Fax:  +31 10401 5323

 

8

SCHEDULE 2

 CONDITIONS PRECEDENT DOCUMENTS

The following are the documents referred to in Clause 3.2:

	1	In relation to each Borrower, or as the case may be, the Corporate Guarantor, documents of the kind specified in paragraphs 2, 3, 4 and 5 of Schedule 3, Part A of the Loan Agreement with appropriate modifications to refer to this Second Supplemental Agreement (as applicable).

	2	A duly executed original of this Second Supplemental Agreement and any documents required pursuant thereto.

	3	Documentary evidence that the agent for service of process named in clause 31 of the Loan Agreement has accepted its appointment in respect of this Second Supplemental Agreement.

	4	Certified copies of all documents (with a certified translation if an original is not in English) evidencing any other necessary action, approvals or consents with respect to this Second Supplemental Agreement (including without limitation) all necessary governmental and other official approvals and consents in such pertinent jurisdictions as the Agent deems appropriate.

	5	Favourable legal opinions from lawyers appointed by the Agent on such matters concerning the laws of Marshall Islands, Hong Kong and such other relevant jurisdictions as the Agent may require.

	6	Any further opinions, consents, agreements and documents in connection with this Second Supplemental Agreement, the Finance Documents and this Second Supplemental Agreement which the Agent may request by notice to the Borrowers prior to the Effective Date.

9

EXECUTION PAGE

	
BORROWERS

	 	 
	 	 	 
	
SIGNED, SEALED and DELIVERED

	
)

	 
	
for and on behalf of

	
)

	 
	
ROSETTA NAVIGATION CORP. LIMITED

	
)

	 
	
byRobert Perri

	
)

	
  /s/ Robert Perri

	
as Attorney-in-Fact

	
)

	 
	
pursuant to a Power of Attorney dated 18 November 2014

	
)

	 
	
in the presence of:

	
Vassiliki Georgopoulos

	
)

	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 
	 	 	 
	
SIGNED, SEALED and DELIVERED

	
)

	 
	
for and on behalf of

	
)

	 
	
TRITON SHIPPING LIMITED

	
)

	 
	
byRobert Perri

	
)

	
  /s/ Robert Perri

	
as Attorney-in-Fact

	
)

	 
	
pursuant to a Power of Attorney dated 18 November 2014

	
)

	 
	
in the presence of:

	
Vassiliki Georgopoulos

	
)

	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 
	 	 	 
	
CORPORATE GUARANTOR

	 	 
	 	 	 
	
SIGNED byRobert Perri

	 	 
	
Aikaterini Stoupa

	
)

	 
	
for and on behalf of

	
)

	 
	
BOX SHIPS INC.

	
)

	 
	
Witnessed by:

	
Vassiliki Georgopoulos

	 	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 
	 	 	 
	
LENDERS

	 	 
	 	 	 
	
SIGNED byNadine Arleh

	
)

	
  /s/ Nadine Arleh

	
for and on behalf of

	
)

	 
	
ABN AMRO BANK N.V.

	
)

	 
	
Witnessed by:

	
Vassiliki Georgopoulos

	 	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 

  

10

	
AGENT

	 	 
	 	 	 
	
SIGNED byNadine Arleh

	
)

	
  /s/ Nadine Arleh

	
for and on behalf of

	
)

	 
	
ABN AMRO BANK N.V.

	
)

	 
	
Witnessed by:

	
Vassiliki Georgopoulos

	 	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 
	 	 	 
	
SECURITY TRUSTEE

	 	 
	 	 	 
	
SIGNED byNadine Arleh

	
)

	
  /s/ Nadine Arleh

	
for and on behalf of

	
)

	 
	
ABN AMRO BANK N.V.

	
)

	 
	
Witnessed by:

	
Vassiliki Georgopoulos

	 	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 
	 	 	 
	
SWAP BANK

	 	 
	 	 	 
	
SIGNED byNadine Arleh

	
)

	
  /s/ Nadine Arleh

	
for and on behalf of

	
)

	 
	
ABN AMRO BANK N.V.

	
)

	 
	
Witnessed by:

	
Vassiliki Georgopoulos

	 	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 
	 	 	 
	
UNDERWRITER

	 	 
	 	 	 
	
SIGNED byNadine Arleh

	
)

	
  /s/ Nadine Arleh

	
for and on behalf of

	
)

	 
	
ABN AMRO BANK N.V.

	
)

	 
	
Witnessed by:

	
Vassiliki Georgopoulos

	 	
  /s/ Vassiliki Georgopoulos

	 	
Solicitor

	 	 
	 	
Watson, Farley & Williams

	 	 
	 	
348 Syngrou Avenue

	 	 
	 	
176 74 Kallithea

	 	 
	 	
Athens-Greece

	 	 

 

11Exhibit 4.73

 

FOURTH SUPPLEMENTAL LETTER

	
To:

	
Aral Sea Shipping S.A.

80 Broad Street

Monrovia

Liberia

 

	 	
- and -

 

	 	
Box Ships Inc.

Trust Company Complex

Ajeltake Road

Ajeltake Island

Majuro

MH 96960 The Marshall Islands

 

	
From:

	
UniCredit Bank AG

7 Heraklitou Street

106 73 Athens

Greece

Dear Sirs

 17 December 2014

Loan Agreement dated 17 May 2011 (as amended and supplemented by three supplemental letters dated 27 October 2011, 8 February 2013 and 27 June 2013, respectively (together, the "Supplemental Letters") and a side letter dated 27 June 2013, the "Loan Agreement") made between Aral Sea Shipping S.A. as borrower and UniCredit Bank AG as lender (the "Lender") in respect of a loan facility of (originally) up to Thirty two million eight hundred thousand Dollars ($32,800,000)

We refer to the Loan Agreement.

We also refer to the guarantee dated 17 May 2011 (as amended and supplemented by the Supplemental Letters, the "Guarantee") made between (i) Box Ships Inc. as guarantor (the "Guarantor") and (ii) the Lender.

Words and expressions defined in the Loan Agreement and the Guarantee shall have the same meanings when used in this Letter and for the purposes of this Letter:

"Effective Date" means the date on which the conditions precedent listed in paragraph 4 are satisfied;

"Group Lenders" means the entities (other than the Lender) providing financing or re-financing to members of the Group secured on a Fleet Vessel and, in the singular means, any of them; and

"Mortgage Addendum" means an addendum to the Mortgage in an Agreed Form.

"Second Accounts Pledge Amendment" means a second amendment to the Accounts Pledge executed or to be executed between the Borrower as pledgor and the Lender as pledgee in the Agreed Form.

Pursuant to:

		a)	discussions between us in which you have requested our consent to amend the financial covenants set out in clause 12.3 of the Guarantee, the terms of repayment of the Loan, the corporate undertakings and the Margin set out in the Loan Agreement,

		b)	we hereby (subject to the terms set out in this Letter) confirm our consent and agree as follows:

	1	Specific Amendments to Loan Agreement.

The Loan Agreement shall on and from the Effective Date be amended as follows:

	(a)	by deleting the definitions of "Accounts Pledge", "Approved Broker" and "Margin" in Clause 1.1 thereof in their entirety and replacing them with the following new definitions:

""Accounts Pledge" means a deed creating security in respect of the Earnings Account and the Retention Account as amended and supplemented by the Accounts Pledge Amendment and the Second Accounts Pledge Amendment;";

"Approved Broker" means any of Arrow Valuations Ltd, Braemar Seascope Limitied, Fearnleys AS, H. Clarkson & Co., Galbraiths Ltd., Maersk Brokers and Platou Shipbrokers AS, and Simpson Spence & Young, or any other reputable sale and purchase broker, experienced in the container trade approved by the Lender, and in plural means all of them; and

"Margin" means:

		(a)	from the date of this Agreement and up to the Effective Date and subject to Clause 4.12:

		(i)	subject to the Asset Cover Ratio being at least 130 per cent.:

		(A)	at any time the Ship is operating under the Approved Charter, 2.80 per cent. per annum; and

		(B)	at all other times, 3 per cent. per annum; or

		(ii)	at any time, the Asset Cover Ratio is lower than 130 per cent., 4.5 per cent. per annum; and

		(b)	on and from the Effective Date and at all times thereafter, 3 per cent. per annum;";

	(b)	by inserting the following new definitions of "Effective Date", "Extension Date", "Group Lenders", "Pro-rata Prepayment" and "Second Waiver Period" in Clause 1.1 thereof in correct alphabetical order:

""Effective Date" has the meaning given to such term in the fourth supplemental letter dated 17 December 2014 and made between (inter alios) the Borrower and the Lender;

"Extension Date" means a date on which the Lender determines, on the basis of evidence which is certified as to its accuracy by a director or officer of the Guarantor and is setting out a description of all relevant terms and conditions, that the Guarantor and the relevant members of the Group have entered into legally binding documentation with all Group Lenders pursuant to which the provisions, ratios and financial covenants applicable to those members of the Group under their financing arrangements with the Group Lenders which are equivalent to the provisions, ratios and financial covenants set out in Clause 14.1 and clause 12.3 of the Guarantee, have been waived or amended on terms which are more favourable to the members of the Group than those under the Finance Documents;

"Group Lenders" means the entities (other than the Lender) providing financing or re-financing to members of the Group secured on a Fleet Vessel and, in the singular means, any of them;

"Pro-rata Prepayment" means a prepayment of the Loan by the Borrower in an amount which is pro-rata to the amounts prepaid under the financing arrangements of the Group with the Group Lenders after the Effective Date, provided that if no such prepayment is made under the financing arrangements of the Group with any Group Lender, no prepayment of the Loan shall be required to be made by the Borrower;

"Second Accounts Pledge Amendment" means a second amendment to the Accounts Pledge executed or to be executed by (i) the Borrower as pledgor and (ii) the Lender as pledgee in an Agreed Form; and

"Second Waiver Period" means, subject to Clause 14.1, the period commencing on 1 January 2014 and ending on 30 June 2015 (inclusive);";

	(c)	by inserting the following new Clause 7.12 after the existing Clause 7.11 thereof:

		"7.12	Deferral of instalments. Subject to the following terms and conditions, the Borrower may defer payment of no more than four of the repayment instalments falling due within the period commencing on 1 January 2016 and ending on 31 December 2016 during the course of the Security Period:

		(a)	the Lender must receive not less than 10 Business Days' written notice, expiring on the Repayment Date on which the repayment instalment would otherwise have fallen due, of the Borrower's intention to defer payment of such Repayment Instalment (the "Deferred Repayment Instalment");

		(b)	no Event of Default shall have occurred on the date of the notice set above and on the Repayment Date on which the Deferred Repayment Instalment would have fallen due had it not been deferred; and

		(c)	any Deferred Repayment Instalment shall be repaid together with the balloon instalment due on the final Repayment Date."; and

	(d)	by deleting sub-paragraphs (g) and (h) of Clause 11.3 thereof and replacing them with the  following sub-paragraphs:

		"(g)	permit the shares of the Guarantor to cease to be listed on an exchange operated by the New York Stock Exchange, NASDAQ, OMX, OTC markets or OTC Bulletin Board provided that such exchange has been approved by all the Group Lenders;

		(h)	acquire any vessel other than the Ship; or

		(i)	declare or pay any dividend or effect any other form of distribution during the Second Waiver Period or while any Deferred Repayment Instalment remains outstanding.";

	(e)	by deleting the hanging paragraph in Clause 14.1 thereof in its entirety and replacing it with the following new hanging paragraph:

"is below:

		(i)	110 per cent. during the Waiver Period; and

		(ii)	120 per cent. at all times other than during the Waiver Period and the Second Waiver Period,

 

of the aggregate of the Loan and the Swap Exposure,

Provided that if a waiver or an amendment favourable to the Group has been agreed between the Guarantor, other members of the Group and any Group Lenders in respect of those provisions under the financing arrangements with the Group Lenders which are equivalent to the provisions of this Clause 14, the Second Waiver Period shall be deemed, for the purposes of this Clause 14 only, to be extended to the first date on which any such waiver or amendment expires (the "First Date"), subject to the following conditions:

		A.	an Extension Date having occurred;

		B.	any Pro-rata Prepayment having been made;

		C.	the relevant members of the Group having constituted in favour of the Lender additional security of the same type and value as any additional security granted by that or those members of the Group to any Group Lender after the Effective Date; and

		D.	the relevant members of the Group having provided to the Lender any additional undertakings equivalent to those agreed between that or those members of the Group and any Group Lender after the Effective Date,

Provided further that if as a result of the granting of any new waivers or amendments or the extension of the applicable period of an existing waiver or amendment the date on which the waiver or amendment favourable to the Group expires after the First Date, then all references in the proviso to the "First Date" shall be construed as references to the first date on which such waivers or amendments expire and the fulfilment of the conditions set out under paragraphs A. to D. shall be each time determined by reference to the facts and circumstances occurring after the First Date or (as the case may be) the first date on which each further waiver or amendment expires."; and

	(f)	by inserting after Clause 19.5 thereof the following new Clause:

"19.6 Waiver fee. The Borrower shall pay to the Lender a non-refundable waiver fee equal to $50,000 on the final Repayment Date.".

	3	Specific Amendments to the Guarantee.

The Guarantee shall on and from the Effective Date be amended as follows:

	(a)	by inserting the following new Clause 11.15 after the existing Clause 11.14 thereof:

"11.15 Negative pledge on cash. Without prejudice to any other provision of this Guarantee, the Guarantor shall not, and shall procure that none of its subsidiaries will, create or permit to arise any Security Interest over cash or balances in an account except cash or balances in (i) earnings accounts or operating accounts held by members of the Group to which the earnings of Fleet Vessels are paid and (ii) retention accounts in the name(s) of those members of the Group, in amounts not exceeding the minimum amounts required for the relevant member of the Group to comply with its retention and minimum liquidity requirements to Group Lenders or to make the next scheduled payment of principal and interest or to pay the operating expenses of the relevant Fleet Vessel in the ordinary course of business.";

	(b)	by deleting sub-paragraph (d) of Clause 12.2  thereof in its entirety and by replacing it with  the following sub-paragraph:

		"(d)	cause the shares of the Guarantor to cease to be listed on an exchange operated by the New York Stock Exchange, NASDAQ, OMX, OTC markets or OTC Bulletin Board provided that such exchange has been approved by all the Group Lenders;";

	(c)	by deleting Clause 12.3 thereof in its entirety and by replacing it with the following new Clause:

		"12.3	Financial Covenants.  The Guarantor shall ensure that at all times:

		(a)	during:

		(i)	the Second Waiver Period, there is available to the Guarantor and all the other members of the Group an amount equal to the higher of (A) an amount of not less than $500,000 per Fleet Vessel and (B) $5,000,000 (including, for the avoidance of doubt, any amount standing to the credit of the Retention Account which has been transferred thereto in accordance with Clause 17.2 of the Loan Agreement or any other restricted account which is not pledged) in Liquid Assets of which all amounts in respect of the Ship shall be held in the Retention Account, provided that if the Lender determines that the relevant amounts in the equivalent provisions of the financing arrangements of members of the Group with a Group Lender are higher than the amounts set out in this Clause 12.3(a), such higher amounts will apply; and

		(ii)	the period commencing thereafter, there is available to the Guarantor and all the other members of the Group an amount equal to the higher of (A) an amount of not less than $750,000 per Fleet Vessel and (B) $8,000,000 (including, for the avoidance of doubt, any amount standing to the credit of the Retention Account which has been transferred thereto in accordance with Clause 17.2 of the Loan Agreement or any other restricted account which is not pledged) in Liquid Assets of which all amounts in respect of the Ship shall be held in the Retention Account, provided that if the Guarantor provides evidence acceptable to the Lender that the relevant amounts in the equivalent provisions of the financing arrangements of members of the Group with a Group Lender are lower than the amounts set out in this Clause 12.3(a), then:

		(1)	the higher of (aa) $500,000 and (bb) the amount agreed with such Group Lender on a per Fleet Vessel basis, will apply with respect to (ii)(A) above; and

		(2)	the higher of (aa) $5,000,000 and (bb) the amount agreed with such Group Lender on an aggregate basis, will apply with respect to (ii)(B) above;

		(b)	the Leverage Ratio shall not exceed:

		(i)	during the period from the date of this Guarantee up to the commencement of the Waiver Period, 0.65:1;

		(ii)	during the Waiver Period, 0.85:1;

		(iii)	during the Second Waiver Period, 0.80:1; and

		(iv)	at all times thereafter, 0.65:1,

Provided that if the Lender determines that the relevant covenants of the financing arrangements of members of the Group with all Group Lenders

provide for ratios which are higher than the Leverage Ratio set out in this Clause 12.3(b), the lower of such higher ratios will apply (the "Adjusted Ratio") for as long as such ratio remains applicable under the financing arrangements agreed at that time with the relevant Group Lender (the "Applicable Period") (following which the ratio applicable under this Clause 12.3(b) shall revert to 0.65:1) subject to the following conditions:

		A.	an Extension Date having occurred;

		B.	any Pro-rata Prepayment having been made;

		C.	the relevant members of the Group having constituted in favour of the Lender additional security of the same type and value as any additional security granted by that or those members of the Group to any Group Lender after the Effective Date; and

		D.	the relevant members of the Group having provided to the Lender any additional undertakings equivalent to those agreed between that or those members of the Group and any Group Lender after the Effective Date,

Provided further that if as a result of the granting of any new amendments after the expiry of the Applicable Period one or more ratios apply which are higher than 0.65:1 or the Applicable Period is extended, then all references in the proviso to the "Adjusted Ratio" shall be construed as references to the lower of such new ratios, all references in the proviso to the "Applicable Period" shall be construed as references to the Applicable Period as extended or (as the case may be) to the period during which the lower of such new ratios applies and the fulfilment of the conditions set out under paragraphs A. to D. shall be each time determined by reference to the facts and circumstances occurring after the expiry of the Applicable Period or (as the case may be) the expiry of each subsequent applicable period; and

		(c)	the ratio of Total Debt to EBITDA on a trailing 12-month basis shall not exceed 5:1, at any time up to the Effective Date (it being agreed that this ratio shall not apply at any time thereafter)"; and

	(d)	by inserting in the form of compliance certificate set out in the schedule to the Guarantee the following new penultimate paragraph:

"The Guarantor represents that neither the Guarantor nor any other member of the Group has agreed with any Group Lender any financial covenants which are more favourable to a lender than the financial covenants set out in the Guarantee.".

Save for the above amendments and any consequential changes, all of the other provisions of the Loan Agreement and the Guarantee shall continue to remain in full force and effect.

	4	Conditions Precedent. The agreement of the Lender to the amendments to the Loan Agreement and the Guarantee contained in paragraphs 1 and 2 above is subject to the fulfilment of the following conditions precedent which shall have been received by the Lender in all respects in form and substance satisfactory to the Lender and its lawyers on or before the Effective Date:

	(a)	documents of the kind specified in Schedule 2, Part A, paragraphs 3, 4 and 5 of the Loan Agreement (as amended and supplemented) updated with appropriate modifications to refer to this Letter;

	(b)	an original of this Letter duly executed by the Borrower and the other Security Parties signing the acknowledgement to it confirming their agreement to the terms and conditions of the same;

	(c)	evidence acceptable to the Lender that all the Group Lenders have consented to at least equal amendments to the provisions, ratios and financial covenants applicable to members of the Group under their financing arrangements with the Group Lenders as those set out in this Letter;

	(d)	evidence acceptable to the Lender, that the Borrower has made a prepayment of the Loan in the amount of $3,000,000 which has been applied against the 15th, 16th, 17th and 18th instalments due under Clause 7.1 of the Loan Agreement;

	(e)	evidence that the Mortgage Addendum has been duly executed and registered;

	(f)	the Second Accounts Pledge Amendment duly executed; and

	(g)	any further opinions, consents, agreements and documents in connection with this Letter and the Finance Documents which the Lender may request by notice to the Borrower.

	5	Amendments in the Finance Documents. We further confirm that the Loan Agreement and the Finance Documents (as defined therein) shall be amended (with effect from the date of this Letter) as follows:

	(h)	by construing all references throughout the Loan Agreement to "this Agreement" and all references in the Finance Documents (other than the Loan Agreement) to the "Loan Agreement" as references to the Loan Agreement as amended and supplemented by this Letter;

	(i)	by construing all references to the "Finance Documents" in the Loan Agreement and each of the other Finance Documents as references to the Finance Documents as amended and supplemented by this Letter; and

	(j)	by construing all references to the "Mortgage" in the Loan Agreement and each of the other Finance Documents as references to the Mortgage as amended and supplemented by the Mortgage Addendum.

	6	Notices. Clause 27 (Notices) of the Loan Agreement shall extend and apply to this Letter  as if the same were (mutatis mutandis) herein expressly set forth.

	7	Governing Law. This Letter shall be governed by and construed in accordance with English law and Clause 29 (Law and Jurisdiction) of the Loan Agreement shall extend and apply to this Letter as if the same were (mutatis mutandis) herein expressly set forth.

Please confirm your acceptance to the foregoing terms by signing the acceptance at the foot of this Letter.

Yours faithfully

	
/s/ Nikolaos Tzoumakas

	
/s/ Anastasia Kerpinioti

	
Nikolaos Tzoumakas

	
Anastasia Kerpinioti

for and on behalf of

UNICREDIT BANK AG

We hereby acknowledge receipt of the above Letter and confirm our agreement and acceptance to the terms thereof.

	
/s/ Robert Perri

	 
	
Robert Perri

	 

Attorney-in-Fact

for and on behalf of

ARAL SEA SHIPPING S.A.

Date: 17 December 2014

	
/s/ Robert Perri

	
/s/Aikaterini  Iliopoulou

	
Robert Perri

	
Aikaterini  Iliopoulou

	
Attorneys-in-Fact

for and on behalf of

BOX SHIPS INC.

	
for and on behalf of

	 	
BOX SHIPS INC.

	 	 
	
Date: 17 December 2014

 

	 

We hereby confirm and acknowledge that we have read and understood the terms and conditions of the above Letter and agree in all respects to the same and confirm that the Finance Documents (as that term is defined in the Loan Agreement) to which we are a party shall remain in full force and effect and shall continue to stand as security for the obligations of the Borrower under the Loan Agreement (as amended and supplemented by this Letter), the Master Agreement and the other Finance Documents.

	
/s/      George Skrimizeas

	 
	
George Skrimizeas

 

	 

Director

for and on behalf of

ALLSEAS MARINE S.A.

Date: 17 December 2014

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