Document:

Tower Loan Agreement, dated as of 08/17/2007.

 Exhibit 10.3 
 FIRST AMENDMENT TO THIRD CONSOLIDATED, AMENDED AND RESTATED 
 REVOLVING CREDIT CONSTRUCTION LOAN
AGREEMENT 
 THIS FIRST AMENDMENT TO THIRD CONSOLIDATED, AMENDED AND RESTATED REVOLVING CREDIT CONSTRUCTION LOAN AGREEMENT
(hereinafter referred to as this “Amendment”), is made as of August 17, 2007, by and among WCI COMMUNITIES, INC., a Delaware corporation (“Borrower”), BAY COLONY-GATEWAY, INC., a Delaware corporation, RESORT AT
SINGER ISLAND PROPERTIES, INC., a Florida corporation (collectively “Guarantors”), and WACHOVIA BANK, NATIONAL ASSOCIATION, a national banking association, (“Wachovia”) as Agent for itself and the Lenders (as
defined herein) and Lenders. 
 BACKGROUND 
 WHEREAS, Borrower is the borrower under that certain Third Consolidated, Amended and Restated Revolving Credit Construction Loan Agreement dated as of September 22, 2005 (as amended, restated, supplemented or
otherwise modified from time to time, the “Loan Agreement”) with Wachovia as the administrative agent (“Agent”) for itself and the other Lenders party thereto; 
 WHEREAS, Borrower is also borrower under (i) that certain Senior Term Loan Agreement dated as of December 23, 2005 by and among Borrower,
KeyBank National Association, as Administrative Agent, and the Lenders defined therein (as amended, restated, or otherwise modified from time to time, the “Senior Term Loan Agreement”), and (ii) that certain Senior Unsecured
Revolving Credit Agreement; 
 WHEREAS, all capitalized terms used herein but not otherwise defined herein shall have the meanings ascribed
to them in the Loan Agreement; 
 WHEREAS, Guarantors have guaranteed Borrower’s obligations under the Loan Agreement; 
 WHEREAS, Borrower has notified Agent that at its shareholders’ meeting scheduled for August 30, 2007, a slate of directors will be proposed for
election which, if elected, would constitute a Change of Control of Borrower as defined in the Loan Agreement; 
 WHEREAS, a Change of
Control without the prior written consent of Agent constitutes an Event of Default under the Loan Agreement, and a Change of Control constitutes an Event of Default under the Senior Term Loan Agreement and the Senior Unsecured Revolving Credit
Agreement; 
 WHEREAS, Borrower has requested that Agent and Lenders consent to the Change of Control with respect to Borrower; 

WHEREAS, Borrower has requested certain other changes under the Loan Agreement; 

 WHEREAS, Lenders and Agent have consented to the Change of Control and have agreed to such amendments as
set forth herein, subject to the terms and conditions set forth herein; and 
 NOW THEREFORE, in exchange for the mutual covenants and
agreements contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto do hereby agree, covenant, warrant and represent as follows: 
 1. Amendments to Section 1.1 of the Loan Agreement. 
 (a) Section 1.1 of the Loan Agreement, Definitions, is hereby modified and amended by deleting the definitions of “Applicable Rate”, “Change of Control”,
“Commitment” and “Maturity Date”, in their entirety and by substituting the following therefor: 
 “Applicable Rate. At the time of determination thereof, a percentage per annum as shown below: 
  

					
	 Eurodollar Rate
	 	 Base Rate
	 	 Unused Fee

	3.00%	 	1.00%	 	0.35%

 “Change of Control. An event or series of events by which: 
 (a) any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, but excluding
any employee benefit plan of such person or its subsidiaries, and any person or entity acting in its capacity as trustee, agent or other fiduciary or administrator of any such plan) becomes the “beneficial owner” (as defined in Rules 13d-3
and 13d-5 under the Securities Exchange Act of 1934), directly or indirectly, of fifty percent (50%) or more of the equity securities of Borrower entitled to vote for members of the board of directors or equivalent governing body of Borrower on
a fully-diluted basis; or 
 (b) during any period of twelve (12) consecutive months, a majority of the members of the board of directors
or other equivalent governing body of Borrower cease to be composed of individuals (i) who were members of that board or equivalent governing body on the first day of such period, (ii) whose election or nomination to that board or
equivalent governing body was approved by individuals referred to in clause (i) above constituting at the time of such election or nomination at least a majority of that board or equivalent governing body, (iii) who were named in the
Proposed Slate or (iv) whose election or nomination to that board or other equivalent governing body was approved by individuals referred to in clauses (i), (ii) and (iii) above constituting at the time of such election or nomination
at least a majority of that board or equivalent governing body (excluding, in the case of clause (ii), clause (iii) and clause (iv), any individual whose initial nomination for, or assumption of office as, a member of that board or equivalent
governing body occurs as a result of an actual or 

  

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threatened solicitation of proxies or consents for the election or removal of one or more directors by any person or group other than a solicitation for the
election of one or more directors by or on behalf of the board of directors); or 
 (c) for any reason a “change in control”
or similar event shall occur as provided in the Senior Term Loan Agreement, the Senior Revolving Credit Agreement, or any agreement governing any Senior Notes or any Subordinated Indebtedness, as such terms are defined in the Senior Revolving Credit
Agreement.” 
 “Commitment. With respect to each Lender, the obligation to make loans to Borrower under this Agreement up to
the amount set forth on Schedule 1.1 as the amount of such Lender’s commitment to make loans to Borrower, as the same may be reduced from time to time in accordance with Section 2.6.” 
 “Maturity Date. December 31, 2008, or such earlier date as the Obligations are accelerated or the Commitments are terminated pursuant to
the terms hereof.” 
 (b) Section 1.1 of the Loan Agreement, Definitions, is hereby modified and amended by deleting the
definition of “Senior Unsecured Revolving Credit Agreement” in its entirety and by substituting the following therefor: 
 “Senior Revolving Credit Agreement. That certain Revolving Credit Agreement, dated as of June 13, 2006 by and among Borrower, Bank of America, N.A., as Administrative Agent, Swing Line Lender, and L/C Issuer, and the other
lender parties from time to time party thereto, together with Wachovia Bank, N.A., as syndication agent, and Banc of America Securities LLC, Wachovia Capital Markets, LLC and RBS Securities Corporation, as joint lead arrangers and joint book
managers, as the same may be amended, restated, modified or otherwise supplemented from time to time.” 
 (c) Section 1.1 of the
Loan Agreement, Definitions, is hereby modified and amended by adding the following new definitions of “First Amendment Date”, “Proposed Slate”, “Senior Revolving Credit Lenders”,
“Senior Term Lenders”, “Senior Term Loan Agreement” and “WCI Towers” as follows in appropriate alphabetical order: 
 “First Amendment Date. August 17, 2007.” 
 “Proposed Slate. The following
slate of directors presented by Borrower to its shareholders for election on or before September 15, 2007: (i) three (3) members from Borrower’s existing board, (ii) three (3) members designated by Carl Icahn and
certain of his affiliates (the “Icahn Group”), and (iii) three (3) members comprised of any independent director(s) mutually agreed upon by the Borrower’s existing Board and the Ichan Group or any member designated by the
other large existing shareholders (other than the Icahn Group), , and (x) in the case of the foregoing clause (i), in the event any one or more of the three (3) members from Borrower’s existing board ceases to be a director, any
replacement director(s) approved by a majority of the remaining members from Borrower’s existing 

  

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board (and any replacement director(s) pursuant to this clause (x)); (y) in the case of the foregoing clause (ii), in the event any one or more of the
three (3) members designated by the Icahn Group ceases to be a director, any replacement director(s) approved by a majority of the remaining members designated by the Icahn Group (and any replacement director(s) pursuant to this clause (y));
and (z) in the case of the foregoing clause (iii), in the event any one or more of the three (3) members designated by the other large existing shareholders (other than the Icahn Group) or mutually agreed upon by the Borrower’s
existing Board and the Ichan Group ceases to be a director, any replacement director(s) approved by a majority of the members designated by the Icahn Group (or any replacements thereof) and a majority of the members (or any replacements thereof)
from Borrower’s existing board.” 
 “Senior Revolving Credit Lenders means one or more of the lenders or other financial
institutions party to the Senior Revolving Credit Agreement.” 
 “Senior Term Lenders means one or more of the lenders or
other financial institutions party to the Senior Term Loan Agreement.” 
 “Senior Term Loan Agreement. The Senior Term Loan
Agreement dated as of December 23, 2005, by and among Borrower, KeyBank National Association, as Administrative Agent, and the Lenders defined therein, as the same may be amended, restated, modified or otherwise supplemented from time to
time.” 
 “WCI Towers. WCI Towers Northeast USA, Inc., a Delaware corporation.” 
 2. Amendment to Section 2.2 of the Loan Agreement. Section 2.2 of the Loan Agreement, Loan Amount Project Allocations, is hereby
modified and amended by adding a new Section 2.2.4 as follows: 
 “2.2.4 The Net Sales Proceeds (Actual) received by Agent with
respect to a Project pursuant to Section 6.3.2 which exceeds the original Loan Amount Project Allocations as set forth on Exhibit A attached hereto paid by Borrower for a particular Project shall be applied on a pro-rata basis to reduce the
Loan Amount Project Allocations for the remaining Projects.” 
 3. Amendment to Section 2.4 of the Loan Agreement.
Section 2.4 of the Loan Agreement, Increase in Loan Amount, is hereby modified and amended by deleting the introductory paragraph to Section 2.4 in its entirety and by substituting the following therefor: 
 “2.4 Increase in Loan Amount. At any time prior to the First Amendment Date, Agent may in its discretion (which discretion shall not be
arbitrarily or unreasonably exercised so long as the conditions set forth below are satisfied), from time to time at the request of Borrower, increase the Loan Amount by (i) admitting additional Lenders hereunder (each a “Subsequent
Lender”), or (ii) increasing the Commitment of any Lender (each an “Increasing Lender”), subject to the following conditions:” 
  

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 and by adding the following sentence to the end of Section 2.4 thereof as follows: 
 “Notwithstanding anything to the contrary contained in this Section 2.4, from and after the First Amendment Date, Borrower shall be prohibited
from requesting an increase in the Loan Amount.” 
 4. Amendment to Section 2.5 of the Loan Agreement. Section 2.5 of
the Loan Agreement, Adding Condominium Projects, is hereby modified and amended by deleting the introductory paragraph to Section 2.5 in its entirety and by substituting the following therefor: 
 “2.5 Adding Condominium Projects. Borrower may request, at any time prior to the First Amendment Date, the addition of other condominium
projects to this Loan (a “Proposed Project”) on the following terms and conditions:” 
 and by adding the following sentence to the end
of Section 2.5 thereof as follows: 
 “Notwithstanding anything to the contrary contained in this Section 2.5, from and after
the First Amendment Date, Borrower shall be prohibited from requesting the addition of other condominium projects to this Loan.” 
 5.
Amendment to Section 2.6 of the Loan Agreement. Section 2.6 of the Loan Agreement, Reduction of Loan Amount, is hereby modified and amended by deleting Section 2.6 in its entirety and by substituting the following
therefor: 
 “2.6 Reduction of Loan Amount. 
 2.6.1 Loan Amount Reductions. At such time that the Completion Date for each Project is reached and the Loan Amount Project
Allocations for such Project have been repaid pursuant to Section 6.3.2 herein, each Lender’s Commitment shall be reduced on a pro rata basis by the amount of the net Project Costs (excluding all costs for Land) less Escrow Deposits for
closed Units for such completed Project, provided, however, at no time shall the Loan Amount be reduced to an amount that is insufficient to Advance funds pursuant to the Project Budgets for the remaining Projects. Any reductions in the Loan Amount
pursuant to this Section cannot be reborrowed. 
 2.6.2 Optional Reduction in Loan Amount. Provided that no Event of
Default exists or would exist as a result of such action, Borrower may elect, at its option and without the consent of Agent or the Lenders, upon three (3) Business Days prior written notice to the Agent to reduce or terminate by $5,000,000.00
or an integral multiple of $500,000.00 in excess thereof, the unused portion of the Loan Amount, whereupon the Commitments of the Lenders shall be reduced pro rata in accordance with their respective Loan Percentages. Upon the effective date of any
such reduction or termination, Borrower shall pay to Agent for the account of the Lenders the full amount of any accrued but unpaid Unused Fee.” 
  

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 6. Amendments to Section 4.6 of the Loan Agreement. 
 (a) Section 4.6 of the Loan Agreement, Extension of Maturity Date, is hereby modified and amended by deleting the introductory paragraph to
Section 4.6 in its entirety and by substituting the following therefor: 
 “4.6 Extension of Maturity Date. Prior to the
First Amendment Date, the Maturity Date may be extended for successive periods of one (1) year each so as to provide for a continuous four (4) year term, provided the following conditions are met by Borrower:” 
 and by adding the following sentence to the end of Section 4.6 thereof as follows: 
 “Notwithstanding anything to the contrary contained in this Section 4.6, from and after the First Amendment Date, Borrower shall be prohibited from requesting an extension of the Maturity Date.”

 (b) Section 4.6.1 of the Loan Agreement, Requests for Extension, is hereby modified and amended by deleting Section 4.6.1
in its entirety and by substituting the following therefor: 
 “4.6.1 Requests for Extension. Borrower may, by notice to Agent
(who shall promptly notify the Lenders) request at any time prior to the First Amendment Date, but not more than once during any Fiscal Year (the date of such request, the “Extension Request Date”), that each Lender extend such
Lender’s Maturity Date (the “Existing Maturity Date”) for an additional one (1) year period from the Existing Maturity Date (the “Requested Maturity Date”).” 
 7. Amendment to Section 6.3 of the Loan Agreement. Section 6.3 of the Loan Agreement, Payment of Proceeds; Release of Collateral,
is hereby modified and amended by deleting the introductory paragraph to Section 6.3.2 in its entirety and by substituting the following therefor: 
 “6.3.2 With respect to any Project, at such time as the Net Sales Proceeds (Actual) received by Agent with respect to such Project exceeds one hundred twenty percent (120%) of the original Loan Amount
Project Allocation (prior to any reductions pursuant to Section 2.2.4) with respect to such Project and Agent is satisfied that:” 
 8. Amendment to Section 9.24.1 of the Loan Agreement. Section 9.24.1 of the Loan Agreement, Net Sales Proceeds (Projected), is hereby modified and amended by deleting Section 9.24.1 in its entirety and by
substituting the following therefor: 
 “9.24.1 Net Sales Proceeds (Projected). Borrower will not permit the aggregate Net Sales
Proceeds (Projected) of Sales Contracts from the Projects as of the end of any Fiscal Year to be less than ninety percent (90%) of the aggregate Loan Amount Project Allocations; provided, that Borrower may cure any noncompliance with this
covenant in the same manner provided in Section 6.3.3 above. Compliance with this covenant shall be tested annually on or about the date the annual financial statements of Borrower and its Subsidiaries are delivered 

  

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pursuant to Section 9.6.1, and in connection with the addition of a Proposed Project pursuant to Section 2.5.2(c). For purposes of testing this
covenant as of the end of the 2007 Fiscal Year, Loan Amount Project Allocations shall constitute the reduced amount of Loan Amount Project Allocations as reduced pursuant to Section 2.2.4 of this Agreement.” 
 9. Amendment to Section 13.1 of the Loan Agreement. Section 13.1 of the Loan Agreement, Events of Default, is hereby modified and
amended by deleting the punctuation after Section 13.1.22 and inserting an “; or” at the end thereof and by adding a new Section 13.1.23 as follows: 
 “13.1.23 an event of default shall have been declared (i) by any Senior Revolving Credit Lender and be continuing under the Senior Revolving Credit Agreement beyond any applicable cure period or (ii) by
any Senior Term Lender and be continuing under the Senior Term Loan Agreement beyond any applicable cure period.” 
 10. Exhibit A -
Loan Amount Project Allocations. The original Loan Amount Project Allocations allocated for each of the Projects as previously approved by the Lenders with respect to each Project and as reflected on the cover page to the Project Schedules for
such Projects are attached hereto as Exhibit A. 
 11. Proposed New Board. Borrower has notified Agent that it intends to change the
composition of its Board of Directors on or before September 15, 2007. It is proposed that these changes (collectively, the “Proposed Board Changes”) will result in (a) a decrease in the size of the Board of Directors from
ten directors to nine directors, and (b) the existing directors nominating (i) three (3) members from Borrower’s existing board, (ii) three (3) members designated by Carl Icahn and certain of his affiliates (the
“Icahn Group”), and (iii) three (3) members comprised of any independent director(s) mutually agreed upon by the Borrower’s existing Board and the Ichan Group or any member designated by the other large existing
shareholders (other than the Icahn Group). 
 12. Consent. Upon the complete execution of this Amendment by the Required Lenders,
Borrower and each Guarantor and the execution of a similar agreement by the requisite Senior Term Lenders and the requisite Senior Revolving Credit Lenders consenting to the Change of Control, Agent and Lenders agree to consent to the Change of
Control in Borrower arising as a result of the Proposed Board Changes under clause (b) of the definition of “Change of Control”, provided such changes and election occurs in the order and manner set forth in Paragraph 11. 

13. No other Amendments, Consents or Waivers. The execution, delivery and effectiveness of this Amendment shall not, except as expressly
provided above, operate as an amendment, consent or waiver of any right, power or remedy of Agent or Lenders under the Loan Agreement or any of the other Loan Documents, nor constitute an amendment, consent or waiver of any provision of the Loan
Agreement or any of the other Loan Documents. Except for the amendments and consent expressly set forth above, the text of the Loan Agreement and all other Loan Documents shall remain unchanged and in full force and effect and Borrower hereby

  

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ratifies and confirms its obligations thereunder. This Amendment does not constitute a waiver of or consent to any other Event of Default occurring under the
Loan Agreement, including any cross default provisions, or of any Change in Control other than the Proposed Board Changes as set forth herein. This Amendment shall not constitute a modification of the Loan Agreement or a course of dealing with Agent
or Lenders at variance with the Loan Agreement such as to require further notice by Agent or Lenders to require strict compliance with the terms of the Loan Agreement and the other Loan Documents in the future. The execution of this Amendment is
without prejudice to Lenders exercising any and all rights and remedies available to them under the Loan Agreement and applicable law upon any Event of Default, including any cross default provisions, or any Change in Control other than that set
forth herein. 
 14. Conditions of Effectiveness. This Amendment shall become effective as of the date hereof when and only when,
Agent, on behalf of Lenders, shall have received, in form and substance satisfactory to it, the following: 
 (a) counterparts of this
Amendment duly executed by Borrower, each Guarantor and the Required Lenders; 
 (b) a true and correct copy of the Resolutions of Borrower
that authorize the execution, delivery, and performance of this Amendment and the other documents executed in connection herewith; 
 (c)
evidence reasonably satisfactory to Agent that, simultaneously with the effectiveness of this Amendment, the provisions of the Senior Term Loan Agreement and the Senior Revolving Credit Agreement have been amended or waived to the extent necessary
to correspond to the amendments, consents and waivers with respect to the Change of Control set forth in this Amendment; 
 (d) for the
benefit of each Required Lender executing and delivering this Amendment to counsel to Agent by twelve noon (Eastern time) on Friday, August 17, 2007, an amendment fee equal to 35 bps of such Lender’s Commitment in immediately available
funds, such fee shall be fully earned when due and non-refundable when paid; and 
 (e) payment of all reasonable and documented fees and
expenses, payable to Agent, in connection with the execution and delivery of this Agreement, including, without limitation, reasonable and documented fees and expenses of Agent’s counsel. 
 15. Condition Subsequent. Borrower and WCI Towers covenant to provide the duly executed Guaranty of WCI Towers to Agent within twenty
(20) days of execution of this Amendment, the failure to do so constituting an Event of Default. 
 16. Representations. Each of
Borrower and each Guarantor acknowledges, agrees, represents, and warrants to Agent and Lenders as to itself as follows: 
 (a) It is a
corporation organized, validly existing and in good standing under the laws of the State of its incorporation; 
  

 8 

 (b) The execution, delivery and performance by it of this Amendment are within its legal powers, have
been duly authorized by all necessary corporate action and do not contravene (i) its organizational documents, or (ii) in any material respect applicable law or any material contractual restriction binding on or affecting such Person;

 (c) Except for approvals which have been obtained, no material authorization, approval or other action by, and no notice to or filing
with, any governmental authority or regulatory body, is required for the due execution, delivery and performance by such Person of this Amendment; 
 (d) After giving full effect to this Amendment, the Loan Agreement is in full force and effect and enforceable against such Person according to its respective terms and provisions, except as enforceability is limited by any Debtor Relief
Laws or general equitable principles, and Borrower ratifies and affirms the same; 
 (e) All representations and warranties made by such
Person in the Loan Documents are true and correct in all material respects on and as of the date of this Amendment, except to the extent that (i) any of them speak to a different specific date (in which case such representations and warranties
are true and correct in all material respects as of such specific date), or (ii) the facts on which any of them were based have been changed by transactions contemplated or permitted by the Loan Agreement; 
 (f) Both before and after giving effect to this Amendment, no Default or Event of Default exists; 
 (g) The Change of Control occasioned by the election of the Proposed Slate does not constitute an event of default under any agreement evidencing or
governing any indebtedness of the Borrower and its consolidated subsidiaries or trigger an obligation to repurchase any such indebtedness, or if so, the other party to such agreement has executed a waiver of any such event of default or Borrower has
made adequate provisions for the payment of any repurchase obligations; and; 
 (h) That there has been no and are not anticipated to be any
Changes in Control of the Guarantors as defined in the Loan Agreement. 
 17. Reference to and Effect on the Loan Documents. Upon the
effectiveness of this Amendment, on and after the date hereof each reference in the Loan Agreement to “this Agreement,” “hereunder,” “hereof” or words of like import referring to the Loan Agreement, and each reference
in the other Loan Documents to the “Loan Agreement,” “thereunder,” “thereof” or words of like import referring to the Loan Agreement, shall mean and be a reference to the Loan Agreement as amended or otherwise modified
hereby. 
 18. Estoppel and Release. As a material inducement to Agent and Lenders to enter into this Amendment, and by its execution
hereof, each of Borrower and each Guarantor reaffirms, as the date hereof, all of the representations, warranties and indemnities made by it contained in the Loan Documents, as amended hereby, and further, each of Borrower and each Guarantor hereby
represents and warrants to Agent and Lenders and covenants and agrees that it does not have any claims, offsets, counterclaims or defenses against Agent or any Lender or with 

  

 9 

 
respect to any indebtedness evidenced or secured by any of the Loan Documents. Borrower and each Guarantor hereby unconditionally releases Agent and each
Lender from any and all liabilities, claims and causes of action in connection with the Loan Documents and any other matter related or connected with the Loan that is known to Borrower and which has or may have accrued in favor of Borrower prior to
the date hereof. 
 19. Expenses. Borrower agrees to pay all reasonable costs, fees and expenses (including attorneys fees) incurred
by the Lenders in connection with the preparation and negotiation of this Amendment and all ancillary documents contemplated hereby, and payment of the foregoing costs, fees and expenses shall be secured by the Loan Documents. 
 20. Loan Document. This Amendment is a “Loan Document” as defined in the Loan Agreement and is entitled to all the benefits of the Loan
Agreement. In the event of any conflict between the terms of this Amendment and the Loan Agreement, the terms of the Loan Agreement shall prevail. 
 21. No Discharge of Guarantors. By signing this Amendment, each Guarantor made a party hereto expressly consents to the terms and provisions of this Amendment and each Guarantor (a) acknowledges and agrees that this Amendment
shall not alter, impact, or effect a discharge in any fashion any of its obligations under its Guaranty agreements executed in connection with the Loan Agreement, and (b) acknowledges and agrees that its Guaranty is in full force and effect and
each ratifies and affirms the same. 
 22. Governing Law. This Amendment shall be governed by and construed in accordance with the
laws of the State of Florida, without regard to the conflict of laws principles thereof. 
 23. Miscellaneous. This Amendment
constitutes the entire agreement between the parties with respect to the subject matter hereof and any transactions contemplated hereby. Neither this Amendment nor any of the Loan Documents may be changed, waived, discharged or terminated expect as
provided in Article 29 of the Loan Agreement. The headings of this Amendment are for purposes of reference only and shall not limit or otherwise affect the meaning hereof. Each of the parties hereto agrees that no party hereto shall be deemed to be
the drafter of this Amendment. This Amendment may be executed in one or more counterparts, each of which shall be deemed an original and all of which shall constitute one and the same instrument. Delivery of an executed counterpart of this Amendment
by facsimile or e-mail transmission shall be as effective as delivery of a manually executed counterpart hereof. Time is of the essence with respect to this Amendment. 
  

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 IN WITNESS WHEREOF, the undersigned have caused this Amendment to be executed under seal as of the date
first above written. 
  

			
	BORROWER:
	
	WCI COMMUNITIES, INC., a Delaware corporation
		
	By:	 	  

		 	Ernest J. Scheidemann
		 	Vice President and Treasurer

  

			
	Address:	 	24301 Walden Center Drive
		 	Bonita Springs, Florida 34134

 [EXECUTION CONTINUED ON FOLLOWING PAGES] 
  

 First Amendment to Tower Loan Agreement (WCI) 

			
	GUARANTORS:
	
	BAY COLONY-GATEWAY, INC., a
	Delaware corporation
		
	By:	 	  

		 	Ernest J. Scheidemann,
		 	Vice President and Treasurer
	
	 RESORT AT SINGER ISLAND
 PROPERTIES, INC., a
Florida corporation

		
	By:	 	  

		 	Ernest J. Scheidemann,
		 	Vice President and Treasurer

 [EXECUTION CONTINUED ON FOLLOWING PAGES] 
  

 First Amendment to Tower Loan Agreement (WCI) 

			
	WACHOVIA:
	
	 WACHOVIA BANK, NATIONAL
 ASSOCIATION, a
national banking
 association, as Agent and as a Lender

		
	By:	 	  

	Name:	 	Dave Becker
	Title:	 	Senior Vice President

 [EXECUTION CONTINUED ON FOLLOWING PAGES] 
  

 First Amendment to Tower Loan Agreement (WCI)Agreement, dated August 20, 2007.

 Exhibit 10.4 
 EXECUTION COPY 
 AGREEMENT 
 This AGREEMENT, dated as of August 20, 2007 (the “Agreement”), is by and among WCI Communities, Inc., a Delaware corporation (the
“Company”), and Icahn Partners LP, a Delaware limited partnership, Icahn Partners Master Fund LP, a Delaware limited partnership, and High River Limited Partnership, a Delaware limited partnership (collectively, the “Icahn
Parties”, and together with the Company, the “parties”). 
 WITNESSETH: 
 WHEREAS, the Icahn Parties are the beneficial owners of shares of common stock, par value $0.01 per share, of the Company (the “Common
Stock”); 
 WHEREAS, the Company has agreed that at the Company’s 2007 annual meeting of shareholders (the “2007
Annual Meeting”) it will cause the Board of Directors of the Company (the “Board”) to nominate for election as a member of the Board and recommend that the shareholders of the Company vote to elect as directors of the
Company (each, a “Director”), each of the Incumbent Nominees (as defined herein), the Icahn Nominees (as defined herein) and the Other Stockholders Nominees (as defined herein), and solicit proxies from the shareholders of the
Company to effect the foregoing; and 
 WHEREAS, in consideration of the agreements of the Company and the Icahn Parties set forth
herein, among other matters, the Icahn Parties have agreed as set forth herein to vote for the election of each of the Incumbent Nominees, the Icahn Nominees and the Other Stockholders Nominees, at the 2007 Annual Meeting and 2008 annual meeting of
shareholders of the Company (the “2008 Annual Meeting”), in each case as provided herein. 
 NOW, THEREFORE, in
consideration of the mutual covenants and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: 
 ARTICLE I 
 DEFINITIONS

 Section 1.1 Certain Defined Terms. For purposes of this Agreement, the following terms have the respective meanings set
forth below: 
 “2007 Annual Meeting” shall have the meaning set forth in the Recitals. 
 “2008 Annual Meeting” shall have the meaning set forth in the Recitals. 
 “2009 Annual Meeting” shall mean the 2009 annual meeting of shareholders of the Company. 
 “Affiliate” shall have the meaning set forth in Rule 12b-2 promulgated by the Securities and Exchange Commission (the
“SEC”) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Neither the Company nor the Icahn Parties shall be deemed to be Affiliates of each other as a result of their execution of this
Agreement. 

 “Agreement” shall have the meaning set forth in the Preamble. 
 “beneficial owner” and “beneficially own” shall have the same meanings as set forth in Rule 13d-3 promulgated by the
SEC under the Exchange Act, except that a person shall also be deemed to be the beneficial owner of all shares of Common Stock which such person has the right to acquire pursuant to the exercise of any rights in connection with any securities or any
agreement, regardless of when such rights may be exercised and whether they are conditional. 
 “Board” shall have the
meaning set forth in the Recitals. 
 “Company” shall have the meaning set forth in the Preamble. 
 “Common Stock” shall have the meaning set forth in the Recitals. 
 “Continuing Incumbent Director” shall mean an Incumbent Nominee or any Director approved or nominated for election or elected to the
Board with the approval of the majority of (i) the Incumbent Nominees who were members of the Board at the time of such nomination or election and (ii) any replacement Directors of such Incumbent Nominees pursuant to this Agreement.

 “Director” shall have the meaning set forth in the Recitals. 
 “Icahn Nominating Committee” shall mean a committee of the Board comprised of the Icahn Nominees that are members of the Board, as it is
comprised from time to time. 
 “Icahn Nominees” shall mean Carl C. Icahn, Keith Meister and David Schechter or, if prior to
the 2009 Annual Meeting any of such persons is unable or unwilling to serve, any substitute selected by the Icahn Parties prior to the 2007 Annual Meeting and selected by the Icahn Nominating Committee thereafter. 
 “Icahn Parties” shall have the meaning set forth in the Preamble. 
 “Incumbent Nominating Committee” shall mean a committee of the Board comprised of the Continuing Incumbent Directors that are members of
the Board, as it is comprised from time to time. 
 “Incumbent Nominees” shall mean Don E. Ackerman, Charles E. Cobb and
Hilliard M. Eure, III, or, if prior to the 2007 Annual Meeting any of such persons is unable or unwilling to serve, any substitute selected by the Board prior to such meeting. 
 “Other Stockholders Nominating Committee” shall mean a committee of the Board comprised of the Other Stockholders Nominees that are
members of the Board, as it is comprised from time to time. 
 “Other Stockholders Nominees” shall mean Craig Thomas and
Nick Graziano, 

  

 2 

 
selected by S.A.C. Capital Advisors, LLC and Sandell Asset Management Corp., respectively, and Jonathan R. Macey, selected by the mutual agreement of the
Company and the Icahn Parties, or, if prior to the 2007 Annual Meeting any of such persons is unable or unwilling to serve, any substitute selected by S.A.C. Capital Advisors, LLC, Sandell Asset Management Corp. and the mutual agreement of the
Company and the Icahn Parties, respectively, and, in the case of any such substitute selected by S.A.C. Capital Advisors, LLC or Sandell Asset Management Corp., approved by the Company and the Icahn Parties (such approval not to be unreasonably
withheld or delayed) prior to such meeting; provided, that if either of S.A.C. Capital Advisors, LLC or Sandell Asset Management Corp. do not select any such substitute, such substitute shall be selected by the mutual agreement of the Company and
the Icahn Parties. 
 “parties” shall have the meaning set forth in the Preamble. 
 “Shares” shall have the meaning set forth in Section 2.3. 
 “Waivers” shall have the meaning set forth in Section 2.1. 
 ARTICLE II 
 REPRESENTATIONS 
 Section 2.1 Authority; Binding Agreement. The Company hereby represents and warrants that (i) this Agreement has been approved and
authorized (by the unanimous vote of all members of the Board in attendance at the Board meeting approving and authorizing this Agreement) and has been duly authorized, executed and delivered by the Company, and is a valid and binding obligation of
the Company, enforceable against the Company in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting or relating to creditors’ rights
generally, and any equitable remedies, (ii) the Company has obtained waivers, in form and substance satisfactory to the Icahn Parties, from KeyBank National Association, Bank of America, N.A., and Wachovia Bank National Association, each as
administrative agent for the respective lenders (collectively, the “Waivers”), providing that this Agreement and the transactions contemplated herein do not trigger a “change of control” or other similar provision in the
Senior Term Loan Agreement, dated as of December 23, 2005, the Senior Unsecured Revolving Credit Agreement, dated as of June 13, 2006, and the Third Consolidated Amended and Restated Revolving Credit Construction Loan Agreement, dated
September 22, 2005, respectively, in each case, among the Company and the lender parties thereto, and such waivers have been delivered to the Icahn Parties and are in full force and effect and (iii) the Board (by unanimous vote of the
members of Board in attendance at the applicable Board meeting) has amended the Rights Agreement, dated as of January 30, 2007, as amended (the “Rights Agreement”), to provide that the applicable percentage in the definition of
Acquiring Person (as defined in the Rights Agreement) is changed from 15% to 25% and to provide that any increase in percentage of Beneficial Ownership (as defined in the Rights Agreement) resulting from issuances by the Company in which all
shareholders have the opportunity to participate shall be excluded from the determination of whether such a participating shareholder is an Acquiring Person, and such amendment is in form and substance satisfactory to the Icahn Parties, has been
delivered to the Icahn Parties and is in full force and effect and has not been modified or further amended. The Icahn Parties represent and warrant that this Agreement has been duly authorized, 
  

 3 

 
executed and delivered by the Icahn Parties and is a valid and binding obligation of the Icahn Parties, enforceable against the Icahn Parties in accordance
with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting or relating to creditors’ rights generally, and any equitable remedies. Each of the parties
hereto represents and warrants that the execution, delivery and performance of this Agreement by such party does not and will not violate or conflict with (i) any law, rule, regulation, order, judgment or decree applicable to such person or
(ii) result in any breach or violation of or constitute a default under or pursuant to any organizational document of such party. 
 Section 2.2 Governmental Approval. Except for such filings as may be required by the rules promulgated by the SEC, each of the parties hereto represents and warrants that no consent, approval, authorization, license or clearance
of, or filing or registration with, or notification to, any court, legislative, executive or regulatory authority or agency is required in order to permit any party to this Agreement to perform such party’s obligations under this Agreement,
except for such as have been obtained. 
 ARTICLE III 
 COVENANTS 
 Section 3.1 Directors. 
 (a) The Board has duly adopted a resolution providing that immediately prior to the 2007 Annual Meeting, the size of the Board shall be decreased to 9
members, and such resolution is in full force and effect and shall not be rescinded or modified. A true and correct copy of such resolution has been provided to the Icahn Parties. From and after the date hereof until the completion of the 2007
Annual Meeting, the Company shall take no other action to (i) otherwise change the size (whether by increase or decrease) of the Board, other than as contemplated herein, (ii) amend, in any respect, the certificate of incorporation or
bylaws of the Company, other than as contemplated herein, (iii) issue any of its securities to any person, other than pursuant to the Company’s employee benefits and/or incentive plans or agreements existing as of the date hereof, in each
case, in the ordinary course of business and consistent with past practice, (iv) make any change to its capital structure, (v) amend the Rights Plan in any respect, other than as contemplated herein, or (vi) enter into any agreement
to do any of the foregoing, in each case, without the prior written consent of the Icahn Parties, which consent shall not be unreasonably withheld, conditioned or delayed. The Board has also duly adopted a resolution nominating each of the Incumbent
Nominees, the Icahn Nominees and the Other Stockholders Nominees, for election to the Board at the 2007 Annual Meeting and directing the Company and its officers and agents to solicit votes for the election of each of the Incumbent Nominees, the
Icahn Nominees and the Other Stockholders Nominees in the same manner, and such resolution has not been rescinded or modified. A true and correct copy of such resolution has been provided to the Icahn Parties. The Board has duly adopted a resolution
in which it recommends to the Company’s shareholders that they vote for each of the Incumbent Nominees, the Icahn Nominees and the Other Stockholders Nominees as Directors of the Company at the 2007 Annual Meeting and directing that the Company
include this recommendation in its proxy materials (as amended or supplemented) for the 2007 Annual Meeting, and such resolution has not been rescinded or modified. A true and correct copy of such 

  

 4 

 
resolution has been provided to the Icahn Parties. The Company shall cause the proxy used for the 2007 Annual Meeting to solicit authority to vote for each
of the Incumbent Nominees, the Icahn Nominees and the Other Stockholders Nominees at the 2007 Annual Meeting. The Company shall use commercially reasonable efforts to solicit proxies in favor of the election of each of the Incumbent Nominees, the
Icahn Nominees and the Other Stockholders Nominees at the 2007 Annual Meeting. Such nomination, recommendation and solicitation shall be effected in a reasonable manner and shall be undertaken for each such nominee in the same manner. The Icahn
Parties will provide, as promptly as reasonably practicable, all information relating to the Icahn Nominees (and other information, if any) to the extent the Icahn Parties are advised by their legal counsel that such information is required under
applicable law to be included in the Company’s proxy statement and any other solicitation materials to be delivered to its shareholders in connection with the 2007 Annual Meeting or as may be reasonably requested by the Company. To the extent
possible, the Company’s proxy statement and/or soliciting materials for the 2007 Annual Meeting shall contain the same type of information concerning the Icahn Nominees and the Other Stockholders Nominees as provided for the Incumbent Nominees.
Notwithstanding anything herein to the contrary, if at any time prior to the 2007 Annual Meeting, the Board becomes aware of any fact with respect to any one or more of the Incumbent Nominees, the Icahn Nominees or the Other Stockholders Nominees
that would be required to be disclosed in the Company’s proxy materials (as amended or supplemented) under the Exchange Act and the applicable rules and regulations thereof and which fact is not contained in the Company’s proxy materials
(as amended or supplemented), the Company shall immediately notify the Icahn Parties thereof and shall promptly amend or supplement the Company’s proxy materials (as amended or supplemented) as may be required by the Exchange Act and the
applicable rules and regulations thereof. 
 (b) If, prior to the 2009 Annual Meeting, any of the Icahn Nominees once elected at the 2007
Annual Meeting or the 2008 Annual Meeting, as applicable, resigns from the Board or ceases to serve as a Director, then the Icahn Nominating Committee (and no other person, group or entity) shall select a replacement Director to fill the vacancy on
the Board and the Icahn Nominating Committee created thereby and shall nominate such replacement Director at the 2008 Annual Meeting, if applicable, and the Company shall take any and all action to fill such vacancy with such replacement Director
and the Company shall take any and all action to nominate such replacement Director at the 2008 Annual Meeting, or, subject to the rights of the Icahn Nominating Committee described above, to promptly appoint such replacement director if such
vacancy exists after (i) the 2007 Annual Meeting and before the 2008 Annual Meeting or (ii) the 2008 Annual Meeting and before the 2009 Annual Meeting, if applicable. If, prior to the 2009 Annual Meeting, any Incumbent Nominee once elected
at the 2007 Annual Meeting or Continuing Incumbent Director elected at the 2008 Annual Meeting, as the case may be, resigns from the Board or ceases to serve as a Director, then the Incumbent Nominating Committee (and no other person, group or
entity) shall select a replacement Director to fill the vacancy on the Board and the Incumbent Nominating Committee created thereby and shall nominate such replacement Director at the 2008 Annual Meeting, as applicable, and the Company shall take
any and all action to fill such vacancy with such replacement Director and the Company shall take any and all action to nominate such replacement Director at the 2008 Annual Meeting, or, subject to the rights of the Incumbent Nominating Committee
described above, to promptly appoint such replacement director if such vacancy exists after (i) the 2007 Annual Meeting and before the 2008 Annual Meeting or (ii) the 2008 Annual Meeting and 

  

 5 

 
before the 2009 Annual Meeting, if applicable. If, prior to the 2009 Annual Meeting, any one or more of the Other Stockholders Nominees once elected at the
2007 Annual Meeting resigns from the Board or ceases to serve as a Director, then the Other Stockholders Nominating Committee (and no other person, group or entity) shall select a replacement Director to fill the vacancy on the Board and the Other
Stockholders Nominating Committee created thereby and shall nominate such replacement Director at the 2008 Annual Meeting, as applicable, and the Company shall take any and all action to fill such vacancy with such replacement Director and the
Company shall take any and all action to nominate such replacement Director at the 2008 Annual Meeting, or, subject to the rights of the Other Stockholders Nominating Committee described above, to promptly appoint such replacement director if such
vacancy exists after (i) the 2007 Annual Meeting and before the 2008 Annual Meeting or (ii) the 2008 Annual Meeting and before the 2009 Annual Meeting, if applicable; provided, that each of the Icahn Nominating Committee and the
Incumbent Nominating Committee shall have approved any such replacement director(s) by by majority vote of each such committee; provided, further, that if the Icahn Nominating Committee and the Incumbent Nominating Committee do not so
approve of any such person(s) within one (1) month after receipt of the name of the proposed person(s) in accordance with the foregoing proviso, in lieu of the approval right of the Icahn Nominating Committee and the Incumbent Nominating
Committee, the entire Board of Directors shall have the right to approve of such person(s) by majority vote. The Company shall take any and all action to nominate such replacement Director at the 2008 Annual Meeting, or, subject to the rights of the
Other Stockholders Nominating Committee described above, to promptly appoint such replacement director if such vacancy exists after (i) the 2007 Annual Meeting and before the 2008 Annual Meeting or (ii) the 2008 Annual Meeting and before
the 2009 Annual Meeting, if applicable. From the date hereof until immediately following the completion of the 2008 Annual Meeting, the Company shall not oppose or direct, directly or indirectly, any other shareholder to oppose the Continuing
Incumbent Directors, the Icahn Nominees or the Other Stockholders Nominees for election at the 2007 Annual Meeting or the 2008 Annual Meeting or nominate or direct, directly or indirectly, any other shareholder to nominate any person for election as
director at the 2007 Annual Meeting or the 2008 Annual Meeting other than the Incumbent Nominees, the Icahn Nominees and the Other Stockholders Nominees. 
 (c) Prior to the completion of the 2007 Annual Meeting, the Company shall not modify any of the current policies applicable to Directors of the Company. Promptly following the date of this Agreement, but in no event
later than four (4) business days following the date of this Agreement, the Company shall publicly disclose (in its earnings call or otherwise in a manner reasonably satisfactory to the Icahn Parties) the information set forth on Annex
A, which consists of any and all non-public information concerning the Company that prior to the date of such public disclosure has been made available by or on behalf of the Company to the Icahn Parties or any of their affiliates,
representatives, advisors, or financing sources, including without limitation, via access to the Company’s data room site established in connection with the Company’s recent auction process, that constitutes material non-public information
concerning the Company. 
 (d) Promptly following the 2007 Annual Meeting, a majority of the Board shall appoint the Chairman and Vice
Chairman of the Board and the members of the various committees of the Board. 
  

 6 

 (e) Each committee of the Board (other than each of the Icahn Nominating Committee and the Other
Stockholders Nominating Committee) will include at least one member who is an Incumbent Nominee. 
 (f) From and after the completion of the
2007 Annual Meeting and until immediately prior to the 2009 Annual Meeting, the Company shall not take any action to increase or decrease the size of the Board without the affirmative vote of 88.88% of the authorized number of Directors. 

(g) The Company shall cause the 2007 Annual Meeting to be held on August 30, 2007. The Company shall not postpone or adjourn the 2007 Annual
Meeting, or change the record date thereof, without the prior written consent of the Icahn Parties. The Company shall not place any item on the agenda for consideration at the 2007 Annual Meeting (other than the election of directors and the
ratification of the appointment of the Company’s independent registered public accounting firm for 2007) without the prior written consent of the Icahn Parties. 
 Section 3.2 Voting Provisions. 
 (a) From the date hereof until immediately following the 2008
Annual Meeting, the Icahn Parties shall, and shall cause their Affiliates to, not oppose or direct, directly or indirectly, any other shareholder to oppose the Incumbent Nominees for election at the 2007 Annual Meeting or 2008 Annual Meeting or
nominate or direct, directly or indirectly, any other shareholder to nominate any person for election as director at the 2007 Annual Meeting or 2008 Annual Meeting other than the Incumbent Nominees, the Icahn Nominees and the Other Stockholders
Nominees (and the Icahn Parties will withdraw its slate of directors in the existing proxy contest with the Company in connection with the 2007 Annual Meeting). Each of the Icahn Parties will, or will cause the record holder or record holders of all
shares of Common Stock beneficially owned by the Icahn Parties and their Affiliates to, vote all such shares of the Common Stock as to which the Icahn Parties and their Affiliates have the right to vote at each of the 2007 Annual Meeting and the
2008 Annual Meeting, to be present for quorum purposes and to be voted, at each of the 2007 Annual Meeting and 2008 Annual Meeting or at any adjournments or postponements thereof, in favor of each of the Incumbent Nominees, the Icahn Nominees and
the Other Stockholders Nominees and against any other shareholder nominations which are not approved by the Board; provided, that the Icahn Parties shall not be required to comply with this Section 3.2(a) in the event the Company
is subject to a proxy contest by a third party (including S.A.C. Capital Advisors, LLC and Sandell Asset Management Corp., and any other third party, but excluding the Icahn Parties or any Affiliate thereof) seeking to replace the Icahn Nominees or
that would have the effect, if successful, of decreasing below 1/3 the percentage of the Icahn Nominee’s representation on the Board. 
 (b) Notwithstanding anything herein to the contrary, the Icahn Parties shall have no obligations under Section 3.1 or this Section 3.2 if (i) any of the Company’s representations set forth in
Section 2.1 are not true and correct (or were not true and correct when made) or (ii) any of the Continuing Incumbent Directors do not (A) nominate and support each of the Continuing Incumbent Directors, the Icahn Nominees and the
Other Stockholders Nominees for election at the 2007 Annual Meeting and the 2008 Annual Meeting, (B) vote, at 

  

 7 

 
any meeting of the Board or pursuant to any written consent in lieu of a meeting of the Board, to direct the Company and its officers and agents to solicit
votes for the election of each of the Incumbent Nominees, the Icahn Nominees and the Other Stockholders Nominees at the 2007 Annual Meeting and the 2008 Annual Meeting and (C) recommend that the shareholders of the Company vote to elect as
directors of the Company each of the Continuing Incumbent Nominees, the Icahn Nominees and the Other Stockholders Nominees for election at the 2007 Annual Meeting and the 2008 Annual Meeting. 
 Section 3.3 Additional Undertakings by the Company. The Company shall, simultaneously with the execution of this Agreement, by action of the
Board, amend the Company’s by-laws, in form and substance satisfactory to the Icahn Parties, to (i) provide that from the date of the 2007 Annual Meeting until the date of the 2009 Annual Meeting, in addition to any applicable laws, and
except as otherwise provided in this Agreement, the affirmative vote of 88.88% of the authorized number of Directors shall be required to increase or decrease the size of the Board; (ii) establish the Icahn Nominating Committee of the Board,
the Incumbent Nominating Committee of the Board and the Other Stockholders Nominating Committee of the Board and delegate to the Icahn Nominating Committee, the Incumbent Nominating Committee and the Other Stockholders Nominating Committee,
respectively, the power and the authority to (A) fill any vacancies created in the Board and such committee resulting from the resignation or other cessation in service of any Icahn Nominee, any Continuing Incumbent Director, or any Other
Stockholders Nominee, respectively, in each case, at any time and from time to time prior to the 2009 Annual Meeting, and (B) nominate for Director any Icahn Nominee, Continuing Incumbent Director or Other Stockholders Nominee, respectively, in
each case at the 2008 Annual Meeting; and (iii) provide that the foregoing provisions of the Company’s by-laws can only be amended by the Board and by the affirmative vote of 88.88% of the authorized number of Directors. 
 Section 3.4 Publicity. Promptly following the execution of this Agreement, the Company and the Icahn Parties shall prepare and issue a joint
press release in the form attached hereto as Annex B. Thereafter, except as required by applicable law (as such parties are advised by their legal counsel), the Company and the Icahn Parties shall use their reasonable efforts to consult with
each other before issuing any press release or otherwise making any public statement about the execution or terms of this Agreement. 
 ARTICLE IV 
 OTHER PROVISIONS 
 Section 4.1 Remedies. 
 (a) Each party hereto hereby acknowledges and agrees that irreparable
harm would occur in the event any of the provisions of this Agreement were not performed in accordance with their specific terms or were otherwise breached. It is accordingly agreed that the parties shall be entitled to specific relief hereunder,
including, without limitation, an injunction or injunctions to prevent and enjoin breaches of the provisions of this Agreement and to enforce specifically the terms and provisions hereof in the Court of Chancery or any federal court in the State of
Delaware, in addition to any other remedy to which they may be entitled at law or in equity. Any requirements for the securing or posting of any bond with such remedy are hereby waived. 
  

 8 

 (b) Each party hereto hereby acknowledges and agrees that any actions, suits or proceedings arising out
of or relating to this Agreement or the transactions contemplated hereby will be brought solely and exclusively in the Court of Chancery or any federal court in the State of Delaware (and the parties agree not to commence any action, suit or
proceeding relating thereto except in such courts), and further agrees that service of any process, summons, notice or document by U.S. registered mail to the respective addresses set forth in Section 4.4 will be effective service of
process for any such action, suit or proceeding brought against any party in any such court. Each party, on behalf of itself and its Affiliates and Associates, irrevocably and unconditionally waives any objection to the laying of venue of any
action, suit or proceeding arising out of this Agreement or the transactions contemplated hereby, in the Court of Chancery or federal courts in the State of Delaware, and hereby further irrevocably and unconditionally waives and agrees not to plead
or claim in any such court that any such action, suit or proceeding brought in any such court has been brought in an improper or inconvenient forum. 
 (c) Nothing in this Article IV shall prevent any of the parties hereto from enforcing its rights under this Agreement or shall impose any limitation on any of the parties or their respective past, present or
future general partners, Directors, officers, or employees in defending any claim, action, cause of action, suit, administrative action or proceeding of any kind, including, without limitation, any federal, state or other governmental proceeding of
any kind, against any of them. The rights and remedies provided in this Agreement are cumulative and do not exclude any rights or remedies provided by law. 
 Section 4.2 Amendments; Termination. Notwithstanding anything herein to the contrary, both of the Company and the Icahn Parties agree that no amendment or modification may be made to this Agreement, and
this Agreement may not be terminated, in each case, unless approved in writing by both of the Company and the Icahn Parties; provided, however, that the approval by a majority of the Board (which majority shall include a majority of
the Continuing Incumbent Directors) shall be required to approve any of the foregoing on behalf of the Company; and provided, further, that this Agreement shall immediately terminate and be of no further force or effect if the Icahn
Nominees and the Other Stockholders Nominees are not elected to the Board at the 2007 Annual Meeting or do not constitute, collectively, 2/3 of the members of the Board immediately following the 2007 Annual Meeting, other than as a result of such
nominees refusing to stand for election at the 2007 Annual Meeting. 
 Section 4.3 Entire Agreement. This Agreement contains the
entire understanding of the parties with respect to the subject matter hereof. The parties hereto may not amend or modify this Agreement except in such manner as may be agreed upon by a written instrument executed by all of the parties hereto,
provided that such amendment or modification is in accordance with Section 4.2. No failure or delay by any party in exercising any right, power or privilege hereunder shall operate as a waiver thereof nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise of any right, power or privilege. 
 Section 4.4
Notices. All notices, consents, requests, instructions, approvals 

  

 9 

 
and other communications provided for herein and all legal process in regard hereto shall be in writing and delivered (i) personally during normal
business hours, (ii) by overnight courier or (iii) facsimile (with a PDF or other copy by electronic mail), and shall be deemed duly given on the date of delivery. All notices hereunder shall be delivered as set forth below, or pursuant to
such other instructions as may be designated in writing by the party to receive such notice. 
  

					
	 If to the Company:
	  	WCI Communities, Inc.
		  	24301 Walden Center Drive
		  	Bonita Springs, Florida 34134
		  	Attention: Vivien Hastings, Esq.
		  	Fax: (239) 498-8277
		  	Email: vivienhastings@wcicommunities.com
		
	 with a copy to:
	  	Simpson Thacher & Bartlett LLP
		  	425 Lexington Ave.
		  	New York, New York 10017
		  	Attention:	 	Mario A. Ponce, Esq.
		  		 	Avrohom J. Kess, Esq.
		  	Fax: (212) 455-2502
		  	Email: mponce@stblaw.com
		  	            akess@stblaw.com
		
	 If to the Icahn Parties:
	  	Icahn Capital Management LP
		  	c/o Icahn Associates Corp.
		  	767 Fifth Avenue, 47th Floor
		  	Attention: General Counsel
		  	Fax: 212-688-1158
		  	Email: mweitzen@sfire.com

 Section 4.5 Severability. If any terms, provision, covenant or restriction of this
Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected,
impaired or invalidated; provided, that the parties use their best efforts to agree upon and substitute a valid and enforceable term, provision, covenant or restriction for any of such that is held invalid, void or enforceable by a court of
competent jurisdiction. 
 Section 4.6 Expenses. In the event of any litigation among any of the parties hereto concerning this
Agreement or the transactions contemplated hereby, the prevailing party in such litigation shall be entitled to reimbursement from the party opposing such prevailing party of all reasonable attorneys’ fees and costs incurred in connection
therewith. Except as provided in the preceding sentence, all costs and expenses incurred in connection with this Agreement, including in connection with the 2007 Annual Meeting, shall be paid by the party incurring such cost or expense. 

Section 4.7 Term. Unless earlier terminated in accordance with Section 4.2, this Agreement shall remain in full force and
effect from the date hereof until immediately prior to the 2009 Annual Meeting and shall thereafter terminate and be of no further force or effect. 
  

 10 

 Section 4.8 Governing Law. This Agreement shall be governed by and construed and enforced in
accordance with the laws of the State of Delaware, without regard to any conflict of laws provisions thereof. 
 Section 4.9
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns; provided, however, that no party may assign, delegate or otherwise transfer any of its
obligations under this Agreement without the prior written consent of the other parties hereto. 
 Section 4.10 Counterparts.
This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 
 [Remainder of page intentionally left blank] 
  

 11 

 IN WITNESS WHEREOF, each of the parties hereto has executed this Agreement, or caused the same to be
executed by its duly authorized representative as of the date first above written. 
  

			
	WCI COMMUNITIES, INC.
		
		  	 /s/ Jerry Starkey

	Name:	  	Jerry Starkey
	Title:	  	President and Chief Executive Officer

			
	ICAHN PARTNERS LP
		
		 	 /s/ Keith A. Meister

	Name:	 	Keith A. Meister
	Title:	 	Managing Director
	
	ICAHN PARTNERS MASTER FUND LP
		
		 	 /s/ Keith A. Meister

	Name:	 	Keith A. Meister
	Title:	 	Managing Director
	
	HIGH RIVER LIMITED PARTNERSHIP
		
	By:	 	Hopper Investments LLC, its general partner
		
		 	 /s/ Edward E. Mattner

	Name:	 	Edward E. Mattner
	Title:	 	Authorized Signatory

 ANNEX A 
 [See attached materials] 

 ANNEX B 
 [Attach joint press release]

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