Document:

Exhibit 10.18

 

EXECUTION VERSION

 

SAFG RETIREMENT SERVICES, INC.

 

SENIOR PROMISSORY NOTE

 

	$8,300,000,000 	New York, New York
	 	 
	 	Date: November 1, 2021

 

FOR VALUE RECEIVED,
SAFG Retirement Services, Inc., a Delaware corporation (“Issuer”), unconditionally promises to pay to the order
of American International Group, Inc., a Delaware corporation (“Holder”), in the manner and at the place hereinafter
provided, the principal amount of EIGHT BILLION AND THREE HUNDRED MILLION DOLLARS ($8,300,000,000.00) (as adjusted for any voluntary
prepayments of principal) on the Maturity Date (as defined below).

 

Issuer also promises
to pay interest on the unpaid principal amount hereof from the date hereof until paid in full at a rate per annum equal to LIBOR
+ 100 basis points, plus, if any, Default Interest. Interest on this Note shall be calculated and accrued by increasing the principal
amount of this Note by such interest amount automatically and without action by any person semi-annually in arrears on March 1
and September 1 of each year, beginning on March 1, 2022. Accrued and unpaid interest shall be payable upon any prepayment of this
Note (to the extent accrued on the amount being prepaid) and at maturity. All computations of interest shall be made by Holder
on the basis of a 360-day year, for the actual number of days elapsed in the relevant period (including the first day but
excluding the last day). Anything herein to the contrary notwithstanding, if during any period for which interest is computed hereunder
the applicable interest rate as provided for herein would exceed the maximum rate of interest (the “Maximum Rate”)
that, together with all fees, charges and other payments that are treated as interest under applicable law, may be contracted for,
charged, reserved, received or collected by Holder hereunder under applicable law, Issuer shall not be obligated to pay, and Holder
shall not be entitled to charge, reserve, receive or collect, hereunder interest in excess of the Maximum Rate, and during any
such period the interest payable hereunder shall be limited to the Maximum Rate. For purposes of this paragraph, “LIBOR”
means the rate of interest per annum determined on the basis of the rate for six-month deposits in Dollars as published by the
ICE Benchmark Administration Limited (or any applicable successor page), at approximately 11:00 a.m. (London time) two (2) London
business days prior to the date of issuance of this Note or each March 1 and September 1; provided that in no event shall LIBOR
be deemed to be less than zero. To the extent the Holder reasonably determines that LIBOR is not available or is otherwise not
the prevailing benchmark rate for such instruments like this Note (such determination to be conclusive and binding), then the Holder
taking into account the prevailing benchmark rates replacing LIBOR shall select a replacement rate for LIBOR in consultation with
the Issuer. Upon determination of the Holder of such replacement benchmark rate and written notice by the Holder to the Issuer
of such replacement benchmark rate, such replacement benchmark rate shall be deemed to replace LIBOR hereunder without any further
action of any person.

    	 	1	 

     

    

 

To the extent any default
exists under this Note at any time, this Note shall also bear interest at the default rate of an additional 200 basis points (the
“Default Interest”). At any time a default exists, Default Interest and any other interest hereunder shall be
due and payable on demand in cash.

 

1.            Payments.
All payments of principal and interest in respect of this Note shall be made in lawful money of the United States of America in
same day funds at such place as Holder may direct. Whenever any payment on this Note is stated to be due on a day that is not a
Business Day, such payment shall instead be made on the next Business Day, and such extension of time shall be included in the
computation of interest payable on this Note. Each payment made hereunder shall be credited first to interest then due and the
remainder of such payment shall be credited to principal, and interest shall thereupon cease to accrue upon the principal so credited.
Each of Holder and any subsequent holder of this Note agrees, by its acceptance hereof, that before disposing of this Note or any
part hereof it will make a notation hereon of all principal payments previously made hereunder and of the date to which interest
hereon has been paid; provided, however, that the failure to make a notation of any payment made on this Note shall not limit or
otherwise affect the obligation of Issuer hereunder with respect to payments of principal or interest on this Note. For purposes
of this Note, “Business Day” means any day other than Saturday, Sunday or a day on which commercial banks in
New York, New York are authorized or obligated by law, governmental decree or executive order to be closed.

 

 2.            Prepayments.

 

(a)       Issuer
shall have the right to prepay, without premium or penalty, all or a portion of this Note at any time, provided that all prepayments
of principal shall be accompanied by all interest accrued and unpaid to but excluding the date of prepayment.

 

(b)       Issuer
shall cause all of the net cash proceeds from the issuance or borrowing of any debt for borrowed money from parties unaffiliated
with the Holder or Issuer (including loans or debt securities by the Issuer, any subsidiary of the Issuer or any holding company
of the Issuer (other than Holder) but excluding any short-term borrowings from Federal Home Loan Banks) to be used to prepay the
obligations under this Note within three Business Days following the closing of the issuance or borrowing thereof. All prepayments
under this Section 2(b) shall be accompanied by all interest accrued and unpaid to but excluding the date of prepayment.

 

3.            Maturity
Date. “Maturity Date” means the earlier of (i) November 1, 2022 (or if such day is not a Business Day, the
immediately preceding Business Day); provided however, that (assuming Sections 3(ii) and (iii) of this Note have not occurred)
such November 1, 2022 date is deemed to be automatically extended without amendment for one year from the date of expiry hereof,
or any future expiration date, unless Issuer, at least thirty (30) days prior to any such expiration date, is notified by the Holder
that it elects not to extend such date or any future expiration date; (ii) two Business Days prior to the initial public offering
of the Issuer’s or any of the Issuer’s holding companies’ (other than Holder) common stock or any special purpose
acquisition company (SPAC) transaction or direct listing of the foregoing; and (iii) upon any voluntary filing, involuntary filing,
receivership, bankruptcy or other similar action under any insolvency or bankruptcy law by the Issuer.

    	 	2	 

     

    

 

4.            Miscellaneous.

 

(a)       All
notices and other communications provided for hereunder shall be in writing (including telefacsimile communication) and mailed,
telecopied, or delivered as follows: if to Issuer, at its address specified opposite its signature below; and if to Holder, at

 

American International Group, Inc.

1271 Ave of the Americas Fl 11

New York, NY 10020

Attention: Treasurer

 

or in each case at such other address as
shall be designated by Holder or Issuer. All such notices and communications shall, when mailed, telecopied or sent by overnight
courier, be effective when deposited in the mails, delivered to the overnight courier, as the case may be, or sent by telecopier.

 

(b)       No
failure or delay on the part of Holder or any other holder of this Note to exercise any right, power or privilege under this Note
and no course of dealing between Issuer and Holder shall impair such right, power or privilege or operate as a waiver of any default
or an acquiescence therein, nor shall any single or partial exercise of any such right, power or privilege preclude any other or
further exercise thereof or the exercise of any other right, power or privilege. The rights and remedies expressly provided in
this Note are cumulative to, and not exclusive of, any rights or remedies that Holder would otherwise have. No notice to or demand
on Issuer in any case shall entitle Issuer to any other or further notice or demand in similar or other circumstances or constitute
a waiver of the right of Holder to any other or further action in any circumstances without notice or demand.

 

(c)       Issuer
and any endorser of this Note hereby consent to renewals and extensions of time at or after the maturity hereof, without notice,
and hereby waive diligence, presentment, protest, demand and notice of every kind and, to the full extent permitted by law, the
right to plead any statute of limitations as a defense to any demand hereunder.

 

(d)       THIS
NOTE AND THE RIGHTS AND OBLIGATIONS OF ISSUER AND HOLDER HEREUNDER SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN
ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES.

 

(e)       ALL
JUDICIAL PROCEEDINGS BROUGHT AGAINST ISSUER ARISING OUT OF OR RELATING TO THIS NOTE MAY BE BROUGHT IN ANY STATE OR FEDERAL COURT
OF COMPETENT JURISDICTION IN THE STATE OF NEW YORK, AND BY EXECUTION AND DELIVERY OF THIS NOTE ISSUER ACCEPTS FOR ITSELF AND IN
CONNECTION WITH ITS PROPERTIES, GENERALLY AND UNCONDITIONALLY, THE NONEXCLUSIVE JURISDICTION OF THE AFORESAID COURTS AND WAIVES
ANY DEFENSE OF FORUM NON CONVENIENS AND IRREVOCABLY AGREES TO BE BOUND BY ANY JUDGMENT RENDERED THEREBY IN CONNECTION WITH THIS
NOTE. Issuer hereby agrees that service of all process in any such proceeding in any such court may be made by registered or certified
mail, return receipt requested, to Issuer at its address set forth below its signature hereto, such service being hereby acknowledged
by Issuer to be sufficient for personal jurisdiction in any action against Issuer in any such court and to be otherwise effective
and binding service in every respect. Nothing herein shall affect the right to serve process in any other manner permitted by law
or shall limit the right of Holder to bring proceedings against Issuer in the courts of any other jurisdiction. Issuer shall reimburse
the Holder upon demand by the Holder for all costs and the expenses of the Holder in connection with the enforcement of this Note.

    	 	3	 

     

    

 

(f)       Issuer
hereby waives the benefit of any statute or rule of law or judicial decision which would otherwise require that the provisions
of this Note be construed or interpreted most strongly against the party responsible for the drafting thereof.

 

IN WITNESS WHEREOF,
Issuer has caused this Note to be executed and delivered by its duly authorized representative as of the day and year and at the
place first above written.

 

	 	 	SAFG RETIREMENT SERVICES, INC.
	 	 	 
	 	By:	/s/ Kevin T. Hogan
	 	 	
        Name: Kevin T. Hogan

        Capacity: Chief Executive
        Officer and President

        Address for notice:

        SAFG Retirement Services, Inc.

        21650 Oxnard Street, Suite 750

        Woodland Hills, CA 91367

        Attention: General Counsel

    	 	4ex_351260.htm

Exhibit 10.1

 

 

March 18, 2021

 

VIA E-Mail

 

Enservco Corporation         

Dilco Fluid Service, Inc.

Heat Waves Hot Oil Service, LLC

Heat Waves Water Management LLC

999 18th Street, #1925N

Denver, CA 80202

Attn: Rich Murphy, CEO of Enservco

E-mail:

 

	
			Re:

				
			Agreement to Accept Short Pay and Release Liens 

			

 

Dear Rich:

 

Reference is hereby made to all amounts owing by Enservco Corporation, a Delaware corporation, Dillco Fluid Service, Inc., a Kansas corporation, Heat Waves Hot Oil Service, LLC and Heat Waves Water Management LLC, each a Colorado limited liability company (each a “Borrower,” and collectively, the “Borrowers”), to East West Bank, a California corporation (the “Lender”), including but not limited to those amounts owing pursuant to that certain Loan and Security Agreement dated August 10, 2017 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the “Loan Agreement”) executed by Borrowers in favor of Lender, and all security agreements, mortgages, guarantees and documents related thereto (collectively, the “Security Documents”). The Security Documents, Loan Agreement, and the other documents executed in connection therewith are collectively referred to as the “Loan Documents” and sums due by Borrowers to Lender under the Loan Documents, are referred to as the “Indebtedness.”

 

In full satisfaction of the Indebtedness, Lender will accept the sum of (i) $8,400,000.00 (the “Payment”) plus (ii) 5% of net proceeds advanced against Borrowers’ monthly receivables financed by LSQ Funding (“LSQ”), or any successor lender financing Borrowers’ receivables, up to $1,000,000.00 in the aggregate (the “Receivables Proceeds”), subject to the conditions that that (i) the Payment is received by Lender on or before March 31, 2022 (the “Payment Date”), and (ii) substantially simultaneously with tendering the Payment, Borrowers direct LSQ in writing in form and substance satisfactory to Lender in its reasonable discretion, to remit directly to Lender 5% of Receivables Proceeds otherwise payable to Borrowers up to but in no event exceeding $1,000,000 in the aggregate (the “LSQ Notice”). For the avoidance of doubt, the agreement of Lender to accept the above sums in satisfaction of the Indebtedness and release its liens and security interests, as provided below, is contingent on Lender receiving the entire Payment by the Payment Date, and Borrower delivering the LSQ Notice to LSQ on or before the Payment Date.

 

Borrowers hereby acknowledge and agree that as of the date of this Agreement the Indebtedness exceeds the sum of the Payment and Receivables Proceeds.

 

 

 

 

East West Bank and Servco et. al.

Agreement to Accept Short Pay and Release Liens

Page | 2

 

The Payment shall be made by wire transfer to Lender as follows:

 

Beneficiary Name:                            East West Bank

Account Number:                             242833-187

Receiving Bank Name:                    East West Bank

                                                             135 North Los Robles Ave, Suite 600

Pasadena, CA 91101

Attention: Managed Assets

ABA Number:                                  322070381

Other:                                               Attn: Angela Lee, LNs 3466122 and 66819011

 

Upon timely receipt of the Payment (i) the Indebtedness shall have been satisfied in full, (ii) the Loan Documents and any commitments to lend thereunder will terminate and Borrowers and any guarantors of the Indebtedness will have no further liability under the Loan Documents, (iii) any guarantees of any of the Indebtedness shall be released and discharged, (iv) the liens and security interests of Lender in any and all of the property of the Borrowers and any guarantors of the Indebtedness shall be automatically released and terminated, including without limitation, any liens and security interests evidenced by UCC-1 filings (and upon effectiveness of such release, Borrowers and/or their agents are authorized to terminate any such filing evidencing such security interests) including but not limited to (A) UCC-1 Filing No. 20175322539 filed with the Delaware Secretary of State on August 10, 2017, with Enservco Corporation, as Debtor, and (B) UCC-1 Filing No. 20172074992 filed with the Colorado Secretary of State on August 10, 2017, with Heat Waves Hot Oil Service LLC, as Debtor), and (iv) the only debt owing by Borrowers to Lender will be the Receivables Proceeds, which shall survive satisfaction of the Indebtedness and termination of the Loan Documents.

 

Lender hereby acknowledges and agrees the amount owing as Receivables Proceeds is an unsecured obligation of Borrowers, and Borrowers shall have no obligations under the Loan Documents (secured or unsecured) to Lender after remitting the Receivables Proceeds. Lender agrees, upon the reasonable request of Borrower and/or its respective attorneys, to execute and deliver to the requesting party additional terminations, releases and satisfactions of the Lender’s liens on, and security interests in, Borrower’s property (at Borrower’s sole cost and expense) as are reasonably necessary to evidence the satisfaction of the Indebtedness and the termination of the interests of the Lender in all collateral held with respect thereto..

 

Borrowers hereby acknowledge and agree that the Receivables Proceeds obligation is an unsecured obligation of the Borrowers separate and distinct from the Indebtedness and the Loan Documents, and is not released by the following release of claims.

 

Borrowers, effective upon timely tender of the Payment and giving of the LSQ Notice, for themselves and their respective partners, officers, shareholders, directors, managers, members, agents, servants, contractors, employees, parent, affiliated and subsidiary corporations, partnerships and limited liability companies, and predecessors-in-interest, do absolutely and irrevocably waive, release, and forever discharge Lender, and its partners, officers, shareholders, directors, managers, members, agents, servants, contractors, employees, parent, affiliated and subsidiary corporations, partnerships and limited liability companies from any and all claims, rights, demands, actions, suits, causes of actions, damages, counterclaims, defenses, losses, costs, obligations, rights of indemnification, reimbursement or contribution, liabilities and expenses of every kind or nature, known or unknown, suspected or unsuspected, fixed or contingent, foreseen or unforeseen, arising out of or relating directly or indirectly to any circumstances or state of facts pertaining to the Indebtedness or the Loan Documents, provided, however, that the foregoing shall not constitute a release of any of Lender’s obligations under this Agreement.

 

2

 

 

East West Bank and Servco et. al.

Agreement to Accept Short Pay and Release Liens

Page | 3

 

Lender, effective upon timely receipt of the Payment and Borrower giving the LSQ Notice, for itself and its respective partners, officers, shareholders, directors, managers, members, agents, servants, contractors, employees, parent, affiliated and subsidiary corporations, partnerships and limited liability companies, and predecessors-in-interest, does absolutely and irrevocably waive, release, and forever discharge Borrowers, and their respective partners, officers, shareholders, directors, managers, members, agents, servants, contractors, employees, parent, affiliated and subsidiary corporations, partnerships and limited liability companies from any and all claims, rights, demands, actions, suits, causes of actions, damages, counterclaims, defenses, losses, costs, obligations, rights of indemnification, reimbursement or contribution, liabilities and expenses of every kind or nature, known or unknown, suspected or unsuspected, fixed or contingent, foreseen or unforeseen arising out of or relating directly or indirectly to any circumstances or state of facts pertaining to the Indebtedness or the Loan Documents, provided, however, that the foregoing shall not constitute a release of any of Borrowers’ obligations under this Agreement.

 

The releases in the preceding two paragraphs constitute a waiver of each and all of the provisions of Section 1542 of the California Civil Code, which reads as follows:

 

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.

 

In waiving the provisions of Section 1542 of the California Civil Code, the parties acknowledge that they may hereafter discover facts in addition to or different from those which they now believe to be true with respect to the matters released herein, but agree that they have taken that possibility into account in reaching this settlement, and the releases given herein shall remain in effect as a full and complete release notwithstanding the discovery or existence of such additional or different facts.

 

Each person executing this Agreement on behalf of a party that is an entity represents, and warrants to each other party that such person is the duly authorized representative of the entity on whose behalf s/he signs and has been granted full authority by such entity to execute this Agreement on its behalf. This Agreement may be executed in any number of counterparts, each of which constitutes one and the same instrument.

 

This Agreement supersedes any and all prior discussions and agreements between any Borrower and Lender and respect to the Indebtedness and the Loan Document. This Agreement contains the sole and entire understanding between the parties hereto with respect to the transactions contemplated herein

 

This Agreement is governed by and will be construed in accordance with the laws of the State of California

 

 

 

[Signature Page follows.]

 

3

 

 

East West Bank and Servco et. al.

Agreement to Accept Short Pay and Release Liens

Page | 4

 

	
			 

				
			Very truly yours,

				
			 

			
	 	 	 
	 	East West Bank	 
	
			 

				
			 

				
			 

				
			 

			
	
			 

				
			 

				
			 

				
			 

			
	
			 

				
			By: 

				
			 

				
			 

			
	
			 

				
			Name:

				
			 

				
			 

			
	
			 

				
			Its:

				
			 

				
			 

			

 

 

AGREED as of the ___ DAY OF MARCH 2022:

 

Enservco Corporation

 

 

	By:	 	 
	Name:	 	 
	Its:	 	 
	 	 	 
	 	 	 
	Dillco Fluid Service, Inc.	 
	 	 	 
	 	 	 
	By:	 	 
	Name:	 	 
	Its:	 	 
	 	 	 
	 	 	 
	Heat Waves Hot Oil Service, LLC	 
	 	 	 
	 	 	 
	By:	 	 
	Name:	 	 
	Its:	 	 
	 	 	 
	 	 	 
	Heat Waves Water Management LLC	 
	 	 	 
	 	 	 
	By:	 	 
	Name:	 	 
	Its

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